Hill, Wagner, Huizenga Praise SEC’s Decision to Abandon its Defense of Climate Disclosure Rules
Washington,
March 27, 2025 -
Today, Chairman French Hill (AR-02), Rep. Ann Wagner (MO-02), Chair of the Subcommittee on Capital Markets, and Rep. Bill Huizenga (MI-04), Vice Chair of the House Committee on Financial Services, applauded the U.S. Securities and Exchange Commission’s (SEC) decision to abandon its defense of the Enhancement and Standardization of Climate-Related Disclosures for Investors rules, which were finalized in March 2024.
“The SEC’s decision to abandon its defense of the climate disclosure rule is a welcome and long-overdue recognition of what many of us have been saying from the start: this rule was a gross overreach of the SEC’s statutory authority. Rather than focusing on its core mission—protecting investors, maintaining fair and efficient markets, and facilitating capital formation—the Commission, under former Chair Gensler, pursued a radical climate agenda that stretches the law and imposes significant costs on public companies and investors. This reversal is a victory for common sense, American businesses, and the rule of law. This decision marks a turning point for the SEC to return to its fundamental purpose and stop being used as a political tool to advance policies that properly belong in the legislative branch,” the lawmakers said.
Background:
The rule required registrants to provide certain climate-related information in their registration statements and annual reports. The rule also required information from a registrant on their climate-related risks that have materially impacted or were reasonably likely to have a material impact on, its final business strategy – leading to unnecessary expenses.
