The agencies regulating industrial chemical processes are taking a second look at modernizing regulations aimed at preventing chemical accidents in the near future. The Occupational Safety and Health Administration’s (OSHA) Process Safety Management (PSM) standard and the Environmental Protection Agency’s (EPA) Risk Management Program (RMP) rule were practically identical for processes containing threshold levels of … Continue Reading
We previously reported on requirements for Scope 3 emissions in the proposed climate disclosure rule released by the U.S. Securities Exchange Commission (“SEC”) on March 21, 2022 (“Proposed Rule”). In addition to Scope 3 emissions, the Proposed Rule would also require a registrant to disclose information about its direct GHG emissions (Scope 1) and indirect … Continue Reading
Rechargeable lithium-ion batteries increasingly power electric vehicles and a wide range of consumer electronics, and are a critical component of President Biden’s national strategy to eliminate carbon dioxide emissions from the US economy. To ramp up the domestic industry, the U.S. Department of Energy (DOE), in coordination with the U.S. Department of Labor and the … Continue Reading
The Securities and Exchange Commission recently proposed amendments to their existing disclosure policy that would require publicly traded corporations to disclose more information regarding climate change related risks, and how those risks may impact the company’s business and outlook (read, “bottom line and stock value”). While the SEC regulates publicly traded corporations, privately held companies … Continue Reading
On March 21, 2022, the U.S. Securities Exchange Commission (“SEC”) approved and released a proposed rulemaking package (the “Proposed Rule”) that would enact sweeping changes to climate-related disclosures. One key component of the Proposed Rule is a reporting requirement for certain Scope 3 emissions. What are Scope 3 Emissions Scope 3 emissions are “all other … Continue Reading
On March 14, 2022, the U.S. Environmental Protection Agency (“EPA”) published (1) a direct final rule and (2) a proposed rule that would update the standard that consultants follow to ensure Phase I reports satisfy the All Appropriate Inquiry standard (“AAI”). To qualify for certain defenses under the Comprehensive Environmental Response, Compensation, and Liability (“CERCLA”) … Continue Reading
In the initial months of 2022, the Department of Justice (DOJ) has indicated that it will increasingly pursue cases relating to worker safety and safe working conditions through formal collaboration with the Department of Labor (DOL), as well as its subsidiary agencies including the Occupational Safety and Health Administration (OSHA). In January 2022, former Reed … Continue Reading
A new “Clean Hydrogen Bill” (SB 1075, Skinner) has been introduced in the California Legislature as a means of achieving the State’s goals for reducing greenhouse gas emissions and mitigating climate change. If passed, this bill would significantly increase the emphasis on “green hydrogen” as an alternative fuel in California’s economy, opening up material business … Continue Reading
The European Banking Authority (“EBA”) recently published final rules for lenders on how they must publish data on environmental, social and governance (“ESG”) risks, and how these risks may affect their balance sheets. The watchdog hopes that the proposed rules will help to “address shortcomings of institutions’ current ESG disclosures at EU level by setting … Continue Reading
In an article by Casey J. Snyder, Associate at Reed Smith, published by the American Bar Association, we highlighted key U.S. climate litigation trends from 2015-2020. This timeframe showed a general increase in overall climate litigation and an emphasis in state courts to advance novel climate litigation theories, among other trends. New litigation in the United … Continue Reading
A report published September 1, 2021 by analytics provider Intelligize (“Report”) revealed that companies were “all over the map” when it came to current disclosure practices on Environmental Social and Governance (“ESG”) issues and that their executives and other professionals showed a “troubling” lack of knowledge about ESG issues. The survey responses came from hundreds … Continue Reading
A number of signs point to the fact that public companies should expect increased scrutiny on whether their environmental-related ESG offerings, practices and controls are consistent with their disclosures, claims and marketing material. SIGN #1: The Securities and Exchange Commission (SEC or Commission) announced that New Jersey Attorney General Gurbir Grewal will become the next … Continue Reading
Many public companies are keeping a close watch on potential GHG regulations because the shape of these regulations can significantly affect their regulatory and reporting obligations and thus affect their ESG obligations. There is a significant difference between two recent proposals on that front. CARBON TAX: The concept of a carbon tax is simple: fossil … Continue Reading
In a previous post, we reported on the Climate Risk Disclosure Act of 2021 (the “Act’) being placed on list of all bills reported from committee and eligible for House floor action, some sweeping changes required by that Act, and the Act’s uncertain future in the Senate. This Part II focuses on the effect of … Continue Reading
An example of a new trend towards recognizing “Environmental, Social and Governance” (“ESG”) impacts from business operations is the recently introduced Climate Risk Disclosure Act of 2021 (“the Act”). As currently drafted, the Act would require significant new public disclosures from publicly traded companies regarding financial risks to their operations and profitability from climate change … Continue Reading
In our previous ESG Update blog, we described what the then anticipated new EU-wide Sustainable Corporate Governance requirements might look like. On 21 April, The European Commission published a draft of the proposed new Corporate Sustainability Reporting Directive (CSRD). It will completely replace and significantly expand the scope of the current EU Non-Financial Reporting Directive. … Continue Reading
On Earth Day, April 22, 2021, President Biden announced that the U.S. will aim to cut carbon emissions in half by the year 2030 compared to 2005 levels. This is significantly higher even than goals established by President Obama during his tenure. The virtual Leaders Summit on Climate where the announcement was made took place … Continue Reading
In our “What to expect in 2021” blog, one cross-sectoral EU initiative we flagged was forthcoming Commission proposals for far-reaching new EU-wide Sustainable Corporate Governance requirements. Here are some more details of what that might entail. Background Recent studies have suggested that companies performing well on ESG factors outperform their peers and that those with … Continue Reading
2021 is shaping up to be a very busy year for those who are affected by EU laws relating to Environment, Health & Safety, ESG and product compliance matters. Important developments are expected this year across a number of the EU’s flagship Green Deal policy initiatives, but there are many other significant initiatives to watch … Continue Reading
