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Dive Brief:
The Securities and Exchange Commission proposed a rule Friday to formally rescind the climate-risk disclosure regulation adopted under prior SEC Chair Gary Gensler in 2024. Though adopted in 2024, the final rule never went into effect.
The proposal would rescind the climate disclosure rules “in their entirety,” according to a Friday press release. The agency said the rules exceeded the SEC’s statutory authority, but also said there were "independent, compelling reasons” to rescind them, “even if it had authority to adopt such final rules.”
The 2024 rules would have required companies to disclose climate-related risks with material impacts on companies, as well as other climate disclosures. The agency signaled its intention to rescind the rules earlier this month in filings to the Office of Information and Regulatory Affairs and the federal appeals court overseeing lawsuits to the rule.
