News
The Politics Behind the SEC’s New Climate Disclosure Rule—and What It Means for Investors
“If companies don’t seriously start moving away from fossil fuels, a lot of the assets on their books are going to be stranded assets, and investors will be left holding the bag.”
Interview by Steve Curwood, Living on Earth
From our collaborating partner “Living on Earth,” public radio’s environmental news magazine, an interview by executive producer and host Steve Curwood with Pat Parenteau, an emeritus professor of law at Vermont Law and Graduate School.
Related Knowledge Center: Climate economics
State of Play
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”