Reporting In To Save The Planet
A new working paper, titled Voluntary Climate Action and Credible Regulatory Threat: Evidence from the Carbon Disclosure Project
, by Lily Hsueh shows that while legal challenges and political change kept the Clean Power Plan (CPP) from being implemented, the temporary threat of regulation prompted corporations to take preemptive action. Professor Hsueh analyzed Fortune 500 companies' voluntary carbon disclosures—a form of industry self-regulation in climate mitigation. Before the CPP was introduced, U.S. and non-U.S. firms disclosed at similar levels. After EPA introduced the CPP, U.S. firms disclosed at higher levels. Further, those with climate change managers operating in carbon intensive sectors—energy, utilities, and materials—were two to three times more likely to disclose. Professor Hsueh summarized her findings
for The Regulatory Review..