The Role of Accounting and Auditing in Addressing Climate Change
By Samantha Ross Getty/Mario Tama
Floodwaters cover a roadway near structures damaged by Hurricane Laura on October 10, 2020, in Cameron, Louisiana.
With President Joe Biden’s recommitment to the Paris climate accord, all eyes are on the policy changes and investments necessary to chart a course to net-zero global greenhouse gas emissions by 2050 and accounting and independent auditing can help keep the United States on track.
Julia Cusick
Introduction and summary
U.S. federal securities laws are founded on the idea that transparency promotes well-functioning capital markets. This is particularly true when it comes to the urgent goal of reducing global greenhouse gas emissions to prevent the devastating impacts of climate change. For companies, those impacts include both physical risks, including the risk that facilities will be destroyed by fire or flood, and risks related to the global transition to a low-