According to Bloomberg, in the course of a pre-recorded interview presented at the Oslo Energy Forum last week, BlackRock’s Larry Fink reiterated the impediments associated with regulatory mandates imposed on public companies to disclose Scope 3 emissions and other specific ESG risks associated with predominantly private company-composed supply chains:
“Companies are very willing to report one and two,” Fink said of Scopes 1 and 2, which reflect a firm’s own emissions. “But to report Scope 3, then you were reporting on your supply chains and most of your supply chains are private companies on the supply side,” he said during a pre-recorded interview at the Oslo Energy Forum on Tuesday.
“And so this is the structural problem we’re facing in society today,” he said.
As noted in the Society’s Supplemental Comment Letter (one of two) on the SEC’s climate disclosure proposal (footnote 3), BlackRock was among a number of large institutional investors that did not support mandatory disclosure of Scope 3 emissions.
Access our prior reports on climate disclosure proposal comment letter analyses here, here, here, here, and here (see “Climate”) and additional resources on our Climate Risk & Disclosure page.
This post first appeared in the weekly Society Alert!