Emissions planning beyond Trump tricky for U.S. companies following climate cuts

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illuminem summarises for you the essential news of the day. Read the full piece on The Wall Street Journal or enjoy below:

🗞️ Driving the news: U.S. companies are grappling with the uncertainty created by President Trump's rollback of climate regulations, particularly in the wake of repealing the “endangerment finding”
• As businesses continue to push for lower emissions, they find themselves facing regulatory whiplash, with policies frequently shifting between administrations
• Oil, auto, and airline industries acknowledge that, while Trump's deregulation benefits them in the short term, they still need to prepare for long-term climate rules, which may tighten under future administrations

🔭 The context: Companies, such as ExxonMobil, Halliburton, and Ford, have pointed out that while they benefit from reduced immediate regulations, climate uncertainty persists
• The pushback against regulatory uncertainty is compounded by global emissions reporting mandates from the EU, California, and New York
• This makes it essential for these companies to account for future regulations, especially in international markets where stricter rules are being enforced

🌍 Why it matters for the planet: The U.S. climate policy uncertainty complicates efforts to reduce global emissions
• The lack of long-term climate policy could hinder substantial progress in reducing emissions in the future, especially as global markets continue to demand stricter climate regulations
• Industry experts point out that uncertainty in emissions standards could create unpredictable costs and slow progress toward net-zero goals, directly impacting the fight against climate change

⏭️ What’s next: The energy sector will need to balance short-term regulatory relaxation with long-term climate commitments and preparation for stricter standards
• The pressure for clear and stable climate policies remains high, especially from global markets such as Europe and California, where emissions and climate reporting regulations are already taking shape

💬 One quote: "When it starts to impact operations and planning and your budget towards tracking your emissions or measuring them, it may not be material under this regulatory framework under Trump, but might be extremely material in three years.” – Angeli Patel, Executive Director at UC Berkeley’s Center for Law and Business

📈 One stat: Exxon Mobil stated in its filing, “Without supportive policies and the innovations they drive, net zero will remain out of reach, for society and for Exxon Mobil”

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