On March 6, 2024, the US Securities and Exchange Commission adopted final rules (“Final Rules”) that enhance and standardize the disclosure of climate-related information in registration statements and Exchange Act reports. The Final Rules were scaled back after years of significant feedback from registrants and other stakeholders, with the Commission receiving more than 24,000 comment letters in response to the initial rule proposal in March 2022.
On March 6, 2024, the US Securities and Exchange Commission (“SEC” or “Commission”) adopted final rules (“Final Rules”) that enhance and standardize the disclosure of climate-related information in registration statements and Exchange Act reports. The Final Rules were scaled back after years of significant feedback from registrants and other stakeholders, with the Commission receiving more than 24,000 comment letters in response to the initial rule proposal (“Proposed Rules”) in March 2022.
Below we discuss, among others: (i) the key takeaways and requirements for climate disclosures under the Final Rules, (ii) the key differences between the Proposed Rules and Final Rules, (iii) the expected compliance dates for disclosures under the Final Rules, and (iv) some practical considerations for companies that are subject to multiple climate disclosure regimes and regulations such as the new California and European Union climate reporting requirements.