FSOC Sets Vote to End Climate Related Financial Risk Advisory Committee
Move is a blow to longstanding attempts to prepare U.S. economy for financial impacts caused by climate change
WASHINGTON — The Financial Stability Oversight Council (FSOC) on Wednesday is set to vote on a measure that would end two committees intended to help protect the financial system from climate-related risks. FSOC will move to dissolve the Climate Related Financial Risk Committee (CFRC) and the Climate Related Financial Risk Advisory Committee (CFRAC). In response, Tracey Lewis, senior policy counsel for Public Citizen’s Climate Program and a member of CFRAC, issued the following statement:
“The Trump administration is set to destroy key protections against the risks climate change poses to our economy. The committee’s work on the financial impacts of climate disasters on housing, homeowners insurance, and financial regulation play an important role in protecting the safety and soundness of the American financial system.
“The Trump administration has worked diligently to destroy advisory councils across federal agencies that deal with climate and its impacts on the American people. Now, farmers lack a voice at the USDA, and investors lack a voice at the SEC and CFTC on climate matters that directly impact their finances. Trump’s move to undercut climate protections is a direct favor for the fossil fuel industry.
“Although the Trump administration thinks it can erase this vital work, CFRAC’s mission to address climate related financial risks will continue outside of the federal government at both the state and local levels through involvement between governments and civil society organizations, because the American people demand a better future where their home, jobs, and health are protected by sound policies that guard against future climate related harms.”
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