Comment Text:
Financial regulators must use their existing authorities to mandate that financial institutions disclose their exposure to climate risk, their direct level of greenhouse gas emissions, as well as the emissions of the assets they finance. Disclosures should be mandatory – including and especially disclosures of financed emissions.
Banks cannot continue to accelerate climate chaos. Banks themselves have publicly admitted that fossil fuel finance is risky business. Climate change is already destabilizing our planet, and the pace at which it will continue to rock our financial system if financial institutions continue to support the fossil fuel industry is tremendous. Banks must disclose their climate risk, and financial regulators must require those disclosures, and seek to mitigate climate-related risks. It is regulators’ statutory mandate to identify and mitigate threats to the financial institutions and markets under their respective jurisdictions.
