Energy Workforce & Technology Council released the following statements from Presidents Tim Tarpley and Molly Determan, responding to the U.S. Securities and Exchange Commission’s (SEC) release of its final climate-related risk disclosure rule. The rule was first proposed in March of 2022.
In response to the highly controversial rule, the SEC received over 15,000 comment letters, the most ever received for any proposed rule in the agency’s history. The final rule will require reporting to start on a sliding scale dependent on the filer type and data, beginning in 2025 and going through 2033.
“While the SEC did make some positive changes over the original proposed rule such as removing the Scope 3 reporting requirement and improving the materiality standard, there are still significant concerns regarding the legality and scope of this rule,” said Energy Workforce President Tim Tarpley. “The ruling will put additional costs on reporting and data collection for public companies without necessarily leading to a reduction in emissions. Overall, we believe emissions reporting should be voluntary and driven by market forces, not a government mandate.”
“Make no mistake, the energy industry remains committed to reducing emissions,” said Energy Workforce President Molly Determan. The energy services sector is at the forefront of developing new technologies and deploying existing alternatives to reduce emissions and power the globe more sustainably. However, the industry needs clear metrics that allow us to implement achievable goals rather than bureaucratic red tape that does little to impact climate outcomes.”
Further analysis by Energy Workforce President Tim Tarpley can be found here. In 2022, Energy Workforce submitted comments on the draft ruling.
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Karina Erickson, Communications Director, writes about the Energy Workforce & Technology Council. Click here to subscribe to the Energy Workforce newsletter, which highlights sector-specific issues, best practices, activities and more.
