The U.S. Securities and Exchange Commission has proposed rescinding the amendments to its Securities Act of 1933 and Securities Exchange Act of 1934 rules that require registrants to provide specified climate-related information in registration statements and annual reports. The proposal would remove the SEC’s separate climate disclosure requirements and revert to the existing disclosure framework, under which climate-related matters are disclosed when they are financially material. The release argues that material climate-related issues are already addressed through existing requirements covering the description of the business, risk factors, management’s discussion and analysis, and the financial statements and related notes. It also questions the SEC’s statutory authority for the climate rule and raises Administrative Procedure Act concerns on the basis that the final rule materially departed from the original proposal. The climate rule has been stayed pending consolidated litigation in the Eighth Circuit in Iowa v. SEC, and the Commission ended its defense of the rule in March 2025. The Commission is seeking views from market participants and other affected parties on the rescission proposal.
U.S. Securities & Exchange Commission2026-05-29
U.S. Securities and Exchange Commission proposes rescinding climate disclosure requirements for registration statements and annual reports
The U.S. Securities and Exchange Commission has proposed rescinding its climate-related disclosure amendments to the Securities Act of 1933 and Securities Exchange Act of 1934, reverting to the existing framework requiring disclosure of climate matters only when financially material. The SEC argues that current requirements already capture material climate issues, questions its statutory authority and the rule’s consistency with the Administrative Procedure Act, and notes that the rule has been stayed and is no longer defended in court.