PLANET | CLIMATE DISCLOSURE
The U . S . Securities and Exchange Commission ( SEC ) has proposed a historic new rule that would require publicly traded companies to significantly increase reporting of their climate-related risks , emissions , and net-zero transition plans .
The new climate proposal aims to enhance and standardise companies ’ climate-related disclosures for investors and other market participants , including greenhouse gas emissions and exposure to climate change risks – ensuring consistency in the quality , and comparability , of information contained in corporate climate disclosures .
If enacted , the new ruling would apply to all public companies that file the US 10-K as well as foreign private issuers that file 20-F forms with the SEC . Although the SEC ’ s regulations don ’ t apply directly to private companies , privately owned businesses that are in public company value chains still need to pay attention .
“ Under the rule , companies would be required to disclose climate change risks to their operations when they file registration statements , annual reports , and other filings ,” Wes Bricker , PwC ’ s US Trust Solutions Co-Leader tells Business Chief .
Wes Bricker
64 March 2023