SEC ready to release new rules on climate disclosure, increasing pressure on oil companies

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The rules are expected to allow asset management firms and retirement funds to easily...

The Securities and Exchange Commission SEC is expected to create a standardized reporting protocol to make it easer for investors to compare greenhouse gas emissions among companies and whether they are adapting their businesses to a low-carbon environment.WASHINGTON - The U.S. Securities and Exchange Commission is preparing toto report their greenhouse gas emissions, putting further pressure on the oil and gas industry.

That would allow asset management firms and retirement funds to easily compare the greenhouse gas emissions of Exxon Mobil against Occidental Petroleum or solar and wind energy companies, potentially driving investment towards firms that can produce energy with the least impact on the climate.Biden looks at financial rules to deprive oil of capital, shift country on climate

The SEC’s focus on climate disclosure follows increasing scrutiny by investors on how oil companies and other large emitters are readying themselves for a global movement to reduce greenhouse gas emissions to net zero by 2050. “The train has already left the station with other regulators,” Munilla said, “There’s a gross inefficiency in the U.S. marketplace in the way this information is flowing. As a result, those companies that are innovating are getting lost in the sauce.”

 

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I’m particularly interested in seeing how/if they include reporting of Scope 3 emissions.

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