Banking Republicans Request SEC Records on Proposed Climate Disclosure Rule
Press for Answers on Impact on Energy Costs as Gas Prices Hit Record High
Washington, D.C. – As gas prices hit a record high of $5 per gallon nationally, U.S. Senate Banking Committee Republicans are asking the Securities and Exchange Commission (SEC) to provide more information related to its 500-page proposed climate disclosure rule.
“This sweeping, close to 500-page proposed rule is unnecessary and inappropriate, exceeds the SEC’s mission and expertise, will harm consumers, workers, and the entire U.S. economy at a time when energy prices are skyrocketing, and hijacks the democratic process in determining U.S. climate policy,” the Senators wrote.
“Furthermore,
the SEC’s sweeping proposed climate disclosure rule will impose enormous costs
on the entire U.S. economy if it goes into effect. Coupled with Biden
administration policies that have been hostile to traditional energy, the SEC’s
proposed rule will discourage capital investment in oil, natural gas, and other
energy industries at a time when inflation is at a 40-year high and energy
prices are skyrocketing. It will also force significant job losses within one
sector of the economy when it is not the proper role of the SEC to be directing
capital allocation.”
The
Senators requested the SEC submit answers to a number of detailed questions,
including: whether the SEC has evaluated the costs associated with the proposed
rule, including on energy prices; whether the SEC has made efforts to minimize
the First Amendment concerns associated with the proposed rule; and whether the
SEC coordinated with any other Federal agencies on the policies contained in
the proposed climate disclosure rule.
Banking
Committee Republicans also requested that the SEC preserve and turn over a
number of records related to the proposed climate disclosure rule, including
emails and text messages between the SEC and the White House, U.S.
Environmental Protection Agency (EPA), Financial Stability Oversight Council
(FSOC), and others, including individuals and entities outside the Executive
Branch.
In
April, Senate Banking Committee Republicans sent a letter
calling on SEC Chairman Gary Gensler to withdraw the agency’s proposed climate
disclosure rule, citing concerns about the SEC’s lack of regulatory authority
in the climate change space, the significant compliance burdens on public
companies, and the rulemaking’s likely consequence — capital outflows from
domestic fossil fuel producers when energy prices for Americans are
skyrocketing.
“Unfortunately,
the SEC’s proposed climate disclosure rule is just the latest example of a
financial regulator hijacking the democratic process by straying into a
contentious public policy issue wholly unrelated to its mission and expertise.
Addressing matters like global warming requires political decisions involving
tradeoffs. In a democratic society, those tradeoffs must be made by elected
representatives, who are accountable to the American people, not unelected
financial regulators.”
To
read the full letter, click
here.
###
Next Article Previous Article
