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Today Congress unveils a bill I'm really excited about. It holds companies accountable on climate change-related risk. This is a long time in the making. A THREAD:
In the Senate, the bill is led by @SenWarren: warren.senate.gov/newsroom/press…; in the House by @RepCasten: financialservices.house.gov/uploadedfiles/…; Today the House holds a hearing to talk about corporate climate risks and how the bill will help: financialservices.house.gov/calendar/event…
@SenWarren @RepCasten Companies (like the rest of us) face climate-related risks. The physical risks of climate change, plus the financial risks, legal risks, and reputational risks are all very real and very costly for companies.
@SenWarren @RepCasten For example, I did an analysis that found oil companies face a shocking level of risk from sea level rise and storm surge at their refineries—Risks that they fail to disclose their investors. ucsusa.org/risingrisks 
@SenWarren @RepCasten Investors are increasingly noticing this lack of transparency about how companies are preparing (or not) for climate impacts and a low-carbon future. That's why @SEC_News issued guidance in 2010 asking public companies in the US to disclose climate-related risks to investors.
@SenWarren @RepCasten @SEC_News The @FSB_TCFD has been defining what good climate disclosure looks like for companies. We need companies to seriously consider and prepare for climate related risks and disclose their plans to investors.
@SenWarren @RepCasten @SEC_News @FSB_TCFD The problem is that most companies do a poor job of disclosing climate-related risks, even if (like in the case of fossil fuel companies) those risks are substantial.
@SenWarren @RepCasten @SEC_News @FSB_TCFD The Climate Accountability Scorecard I helped with continues to find poor climate disclosure from companies (last column in this figure) ucsusa.org/climatescoreca…
@SenWarren @RepCasten @SEC_News @FSB_TCFD The Climate Risk Disclosure Act unveiled today in Congress takes this issue head on. It strengthens the requirements for companies to consider and disclose their climate-related risks and gives decisionmakers more power to hold them accountable when they don’t.
@SenWarren @RepCasten @SEC_News @FSB_TCFD Importantly, the bill requires companies to plan for a low-carbon future—something most companies don’t currently do at all, or only do at a superficial level, e.g. “We are prepared for shifting energy markets.” (??)
@SenWarren @RepCasten @SEC_News @FSB_TCFD The bill beefs up the role of @SEC_News. The agency will develop standards to help put companies in line with @IPCC_CH recommendations to limit global warming to 1.5 C above pre-industrial levels, to avoid the worst effects of climate change.
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH This isn’t a new or radical idea. In 2017, the majority of @exxonmobil shareholders (!) demanded the company report on its business plans for a world in which global temperature increase is kept well below 2 C. washingtonpost.com/news/energy-en…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil This year, 99% of @BP_plc shareholders voted in favor of the company reporting on how its business plans align with the goals of the Paris Agreement. bloomberg.com/news/articles/…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc And the @FSB_TCFD has made similar recommendations: Companies should be preparing for a low-carbon future and they need to tell us about it. fsb-tcfd.org/publications/f…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc @UCSUSA and 32 investor and environmental groups are also supporting the bill. This common-sense legislation is long overdue. ucsusa.org/press/2019/new…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc @UCSUSA One of the witnesses today is from @CalPERS, which (thanks to new legislation in CA) now has to file comprehensive reports about climate risk to the retirement savings of thousands of state workers. sustainablebrands.com/read/finance-i…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc @UCSUSA @CalPERS This was a great move. @UCSUSA, @ieefa_institute, @ciel_tweets, @FossilFreeCA, and @EnvCalifornia supported it. Companies must focus on the urgent need to reduce emissions to net-zero by mid-century. ieefa.org/ieefa-and-envi…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc @UCSUSA @CalPERS @ieefa_institute @ciel_tweets @FossilFreeCA @EnvCalifornia This bill is especially important now as fossil fuel companies are pursuing new ways to avoid their climate responsibility. As we all discuss climate policies like the #GreenNewDeal, oil companies are trying to strike deals in Washington to evade #climateliability lawsuits.
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc @UCSUSA @CalPERS @ieefa_institute @ciel_tweets @FossilFreeCA @EnvCalifornia Exxon Mobil, ConocoPhillips, BP, and Shell are all supporting a carbon tax in exchange for waiver that would grant them immunity from climate-related lawsuits. It shows their hand. If they are acting responsibility, why worry about lawsuits? washingtonpost.com/energy-environ…
@SenWarren @RepCasten @SEC_News @FSB_TCFD @IPCC_CH @exxonmobil @BP_plc @UCSUSA @CalPERS @ieefa_institute @ciel_tweets @FossilFreeCA @EnvCalifornia We can't let the fossil fuel industry avoid responsibility for their contribution to climate change while the world burns. This is why we need the Climate Risk Disclosure Act.
