Climate Risk Disclosure Act Reintroduced in Congress

Democrats today reintroduced the Climate Risk Disclosure Act, bill that would require public companies to make disclosures about their exposure to climate-related risks. Backed in the House by Rep. Sean Casten (D-Ill.) and in the Senate by Sen. Elizabeth Warren (D-Mass.), the bill would direct the Securities and Exchange Commission to require firms issuing securities to make disclosures on an annual basis on their direct and indirect greenhouse gas emissions, fossil fuel-related assets, risk management strategies for addressing climate change and information on how their valuation would be affected under various climate change scenarios.

The bill is expected to be considered in the House Financial Services Committee as early as next week.