The U.S. Securities and Exchange Commission has decided to halt the enforcement of its new climate disclosure rule as it faces legal battles in court. The regulation, which was approved in March, mandates certain U.S. public companies to disclose their greenhouse gas emissions and climate risks. However, the rule encountered immediate legal opposition, prompting the SEC to put it on hold.
The SEC's decision to stay the rule is aimed at preventing regulatory uncertainty for affected companies during the ongoing litigation process. The rule is currently under review in the U.S. Court of Appeals for the Eighth Circuit.
