What matters to me today is climate policy’s impact on businesses’ bottom lines. The feds have no climate laws; California does. So where does that leave you?
Let me clarify as to “the feds have no climate laws.” Congress never passed legislation aimed at climate. Instead, EPA and others have tethered to the closest provisions possible in the federal Clean Air Act (CAA). But the CAA targets localized pollutants, not global phenomena, resulting in a significant miss-match.
The lynchpin of that legally precarious regime is the “endangerment finding.” Under the CAA, EPA must make a finding of endangerment to human health before a substance can be classified a “pollutant” for regulation. WaPo and the NYT last night reported that EPA has drafted a rule rescinding the prior endangerment finding for greenhouse gases. Without that finding, all federal climate regulations crumble.
Enter California. Nothing derivative here. As discussed last week, California has two laws directly aimed at climate emissions and risks. And despite efforts to weaken or delay them, the Legislature and reluctant Governor have them in full force and effect in just five months. First reporting deadline: January 1, 2026, for climate-related “risks.”
Make no mistake: climate-focused risk assessment and management is a business imperative, and that is not going away. Let’s discuss.
That’s what matters to me today in 250 words or less. What matters to you? I’d really like to know.