No matter when legislation is passed in Washington, or what final shape it takes, climate change regulations are already affecting your business. Twenty-five states now have some form of cap-and-trade program running or under development. Some states are already requiring projects to review their carbon impacts, an entirely new area of analysis. And the Securities and Exchange Commission has just issued new interpretive guidance for publicly traded companies required to disclose climate change information (for an excellent summary of this guidance by White & Case, please click here.)
As we get closer and closer to climate change legislation in the U.S., the advocates for both sides get more and more shrill, and the ratio of signal-to-noise is not improving. With all the vehemence and vitriol, is it possible for the uncommitted to determine what the answer is?
For most companies today, the secret answer is: it doesn't matter. It doesn't matter if manmade climate change is happening now or not. If your company operates in the environmental or energy sector, what matters is the opportunities that are being created. The advocates too often miss the point that our climate change policies will drive us toward:
- Energy independence
- American jobs - including manufacturing jobs
- Advanced energy technology.
Opponents who are worried about the costs of compliance too often miss the fact that for more than 40 years we have only increased our dependence on foreign oil, sending untold trillions of dollars out of the country. Redirecting our spending to the benefit of domestic companies and American jobs can only be a good thing. There's a reason General Electric has added 650 renewable energy jobs to its Schenectady, N.Y., operations - jobs with an average salary of $75,000.
The smart companies aren't waiting for one side or the other to prevail - they're already benefiting from the inevitable movement toward climate change regulation.

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