SEC’s new climate disclosure rules

SEC’s new climate disclosure rules

On March 6, 2024, the Securities and Exchange Commission (SEC) adopted its final rules requiring the disclosure of certain climate-related information in filings with the SEC, including registration statements and annual reports. This was almost a year after initially proposing the rules and after receiving more than 20,000 public comments in response. These rules stem from a growing interest by the SEC in how companies provide climate-related information to their investors. The SEC stated that “the markets have recognized that climate-related risks can affect a company’s business and its current and longer-term financial performance and position.” Moreover, the final rules are “a continuation of the commission’s efforts to respond to investor need for more consistent, comparable and reliable information about the financial effects of climate-related risks on a registrant’s business, as well as information about how the registrant manages these risks.”

SEC’s new climate disclosure rules

Attorney at Law / James D. Bradbury PLLC