The climate-related disclosure rule proposed by the Securities and Exchange Commission (SEC) this week attempts to elevate public companies’ evaluation of climate risk from nice-to-have to must-have.
The rule, if finalized, will reward companies that have already been assessing and reporting on climate-related risks to their financial performance. And it would force companies that have been reluctant to initiate a self-examination of their environmental impact to do so, posthaste.
