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  • Press Release

Final Climate Disclosure Rules Include Key Change

Jennifer Scott

WASHINGTON (March 6, 2024) — The American Chemistry Council (ACC) issued the following statement in response to the release of the Securities and Exchange Commission (SEC)’s final rules, “The Enhancement and Standardization of Climate-Related Disclosures for Investors.”

“While it will take some time to digest the lengthy rule package, we’re pleased that the Commission has removed the proposed requirement that companies quantify and report on ‘Scope 3’ emissions. ACC members supply critical chemistries used in the value chains of nearly every sector of the economy. This requirement posed unique challenges for the chemical sector while providing little value to investors.

“Any new or expanded reporting requirements must provide information that is relevant, reliable, material to investors, and accessible to reporting companies. Our comments highlighted many areas of the proposal that failed to meet these basic criteria or were clear cases of regulatory overreach. We are hopeful that the final rule includes other revisions that address our concerns, and we will work with our members to highlight and address any remaining flaws.

“ACC members already track Scope 1 and Scope 2 emissions through Responsible Care®, our industry’s leading safety and sustainability performance initiative. Our members are engaged in a range of efforts through the market to track and report on material climate risk directly to value chain stakeholders or through third parties.

“ACC and its members are committed to being partners and solution providers in supporting a sensible path to a lower-emissions economy. We vigorously participated in this rulemaking and look forward to engaging on proposals with significant impacts for companies and sustainability efforts.”

American Chemistry Council

The American Chemistry Council’s mission is to advocate for the people, policy, and products of chemistry that make the United States the global leader in innovation and manufacturing. To achieve this, we: Champion science-based policy solutions across all levels of government; Drive continuous performance improvement to protect employees and communities through Responsible Care®; Foster the development of sustainability practices throughout ACC member companies; and Communicate authentically with communities about challenges and solutions for a safer, healthier and more sustainable way of life. Our vision is a world made better by chemistry, where people live happier, healthier, and more prosperous lives, safely and sustainably—for generations to come.