· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on The Wall Street Journal or enjoy below:
🗞️ Driving the news: The U.S. Securities and Exchange Commission (SEC) is pausing its defense of the climate disclosure rule under acting Chair Mark Uyeda
• Uyeda directed staff to request a delay in court arguments while the SEC reevaluates the rule’s future
•The rule, finalized last year, required public companies to disclose greenhouse gas emissions but faced legal challenges from multiple states and energy firms
🔭 The context: The SEC's rule originally included Scope 3 emissions reporting (covering supply chains and product use) but was scaled back due to business opposition
• Despite this, 10 states and energy companies sued, arguing the SEC lacked authority to impose such regulations
• The Trump administration and some EU countries are now pushing back against corporate climate reporting requirements
🌍 Why it matters for the planet: Weakening climate disclosure rules could reduce transparency on corporate emissions, impacting investors, regulators, and climate action efforts
• While California and New York are advancing state-level disclosure laws, a federal rollback may create inconsistencies and regulatory uncertainty
• The move signals a broader retreat from corporate climate accountability under Trump’s leadership
⏭️ What's next: The SEC will deliberate on whether to revise or scrap the rule entirely, increasing uncertainty for businesses and investors
• Legal challenges in California and New York may test whether states can enforce their own stricter climate disclosure mandates
• The global trend toward scaling back ESG regulations could influence corporate climate policies worldwide
💬 One quote: “I continue to question the statutory authority of the commission to adopt the rule, the need for the rule, and the evaluation of costs and benefits.” — Mark Uyeda, acting SEC Chair
📈 One stat: 10 U.S. states, including Georgia, West Virginia, and Alaska, are suing to overturn the SEC’s climate rule
Click for more news covering the latest on corporate sustainability
