Corporate Climate Disclosures Increase Ahead Of Legislation

‍Fifth Wall Newsletter: https://mailchi.mp/fifthwall/what-will-lead-the-next-climate-tech-wave

A sweeping climate-disclosure rule which requires public companies to report climate-related risks and emissions data is expected to arrive soon. The SEC first proposed the legislation last spring and it will likely face some pushback, the Wall Street Journal writes.

The rule would require companies to assess greenhouse-gas emissions from vendors in their supply chain, known as Scope 3 emissions. Critics argue the SEC is overstepping with a complex and costly mandate.

Compliance with a rule like this could cost real estate owners and operators if they aren’t preparing with the necessary tracking and management tech. A majority of executives said their businesses would likely spend at least $750,000 to comply with the new SEC rule in its first year.

Even so, many companies are moving forward as if the rule already exists and working to decarbonize operations. In fact, about 70 percent of companies intend to comply with the SEC rule regardless of when it becomes final, according to a survey released by PwC and Workiva.