By Blake Jackson
The Securities and Exchange Commission (SEC) finalized a rule mandating climate-related disclosures for publicly traded companies. Their initial proposal, however, caused significant worry for Farm Bureau. It required companies to report emissions across their entire supply chain (Scope 3), which would have indirectly impacted farmers and ranchers. This could have led to increased food prices and placed a strain on resources.
Farm Bureau actively lobbied for the exclusion of Scope 3 reporting, highlighting the excessive compliance burden, potential privacy concerns, and the possibility of farmers facing unintended liability. The SEC acknowledged these issues and Chairman Gensler recognized that the rule unintentionally encompassed agriculture.
The final rule eliminated Scope 3 reporting, a major victory for Farm Bureau. This reduces unnecessary regulations for farmers and helps ensure the affordability of food production. Farm Bureau credits the success to its members' advocacy efforts and collaboration with legislators on Capitol Hill.
Looking forward, Farm Bureau urges California to emulate the SEC's approach and eliminate Scope 3 reporting requirements within the state. This would prevent unnecessary burdens on farmers and allow them to focus on environmental improvements without the hassle of complex emissions tracking.
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Categories: Pennsylvania, Government & Policy