SEC Climate-Related Disclosures - What You Need to Know (Course Id 2329)

• Who is this course for?
  This course is for CPAs, accountants, and other professionals needing Continuing Professional Education (CPE) who want to understand the SEC’s new climate-related disclosure requirements.

• What is this course about or what problem does this course solve?
  The course explains the SEC’s final rules on climate-related disclosures for public companies, addressing the need for transparency about climate risks while balancing compliance costs.

• How can the knowledge from this course be used?
  Participants can apply the knowledge to recognize disclosure requirements, identify climate risks, understand Scope 1–3 emissions, and ensure compliance with SEC reporting timelines.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  It is important because it equips professionals with the technical understanding required to support public companies in implementing SEC climate-related disclosure standards in their financial reporting.

• When is this course relevant or timely?
  The course is especially timely in 2024 and beyond, as the SEC’s new rules were released in March 2024 and public companies must soon begin including these disclosures in filings.

• How is a course like this consumed or used?
  This self-study text-based course is completed online, with review questions and a final exam that must be passed with at least 70% to earn 2.0 CPE credits.

On March 6, 2024, the SEC released its long-awaited final rules with respect to climate-related disclosures for public companies.  These rules reflected the SEC’s attempt at responding to investors’ demand for more information about climate-related risks while also balancing the costs of implementing the disclosure requirements.  This course provides a high-level overview of the climate-related disclosure requirements along with information about when public companies must start including these disclosures in their respective filings.

NASBA QAS - Text - NASBA Registry - 2329

Course Learning Objectives

• Recognize how the SEC climate-related disclosures have evolved
• Identify types of climate related risks
• Differentiate between Scope 1, 2, and 3 emissions
• Recognize qualitative and quantitative climate-related disclosures
• Identify assurance requirements and compliance dates for different types of entities

Chapter 1 - SEC Climate-Related Disclosures - What You Need to Know

Course Learning Objectives

Course Overview

Introduction

Background Introduction

Climate-Related Disclosure Resources

The Need for Enhanced/Standardized Climate-Related Disclosures

Summary of Climate-Related Disclosures

Climate-Related Risks (1)

Actual & Potential Impacts of Climate-Related Risks (2)

Description of Expenditures from Mitigation/Adaptation Activities (3)

Review Questions

Transition Plans, Scenario Analysis, & Internal Carbon Prices (4)

BOD Oversight of Climate-Related Risks (5)

Risk Management Process (6)

Targets and Goals (7)

Scope 1 & Scope 2 GHG Emissions (8)

Attestation Over GHG Emissions Disclosures (9)

Review Questions

Financial Statement Effects (10, 11, & 12)

Financial Impact Metrics

Expenditure Effects

Financial Estimates and Assumptions

Opportunities

Financial Statement Disclosure Requirements

Inclusion of Disclosures in the Financial Statements (Rule 14-01(a))

Registrants Subject to Climate-Related Disclosure Rules and Affected Forms

Compliance Dates

Review Questions

Glossary of Key Terms