Corporate Transparency and ESG Disclosure

Overview

Corporate Transparency and ESG Disclosure

The American Sustainable Council is working to address the growing concerns about business activities which are unaccounted for, or currently escape disclosure as negative externalities, activities which at this point also do not affect the P&L or balance sheet of corporations. ASBC is calling for policy solutions and other interventions which incentivize the method of True-Cost Accounting or sometimes known as Impact Weighted Accounts. Currently, we believe that policy incentives and or requirements must include considerations of current GAAP standards, regulatory intervention, accounting standards, valuation methodologies, ESG investment criteria, related reporting methods, tax regime reform and an overall increase in transparency and equity in corporate and business governance. 

Social and environmental externalities together with poor governance practices most acutely impact BIPoC communities and support systemic racism. ESG standards are a critical tool to use in creating a more just society and economy.

In order to incentivize corporate accountability and support greater corporate disclosure, including ESG disclosure, ASBC will work to advocate for policy solutions which drive:

  1. Higher levels of transparency across all financial disclosure and reporting 
  2. Inclusive metrics for evaluating real financial risk which include systemic ESG considerations,  
  3. Transparency and equity in insurers coverage and investments, as risk is primarily managed currently through the insurance industry
  4. Progressive tax incentives which encourage transparent and equitable corporate governance  
  5. Overall support for a just and equitable transition

ASBC seeks to engage thought leaders in our community and networks (including experts in current standard setting and reporting) to offer new proposals for updating policy affecting reporting standards, regulatory agencies, tax, business insurance, federal government procurement, state authority and related financial services. 

Post

SEC Climate Disclosure Sign-On Statement

The investor, business and stakeholder communities face a historic opportunity to shape the responses of U.S. financial markets to climate change. ASBC is privileged to work alongside Ceres to support SEC commissioners and staff who are working to improve climate change disclosure, by providing a collective statement about essential principles the SEC should incorporate into a climate change disclosure rulemaking.

The deadline to sign on is May 31, 2021.