Canadian Securities Administrators Pause Work on Mandatory Climate Reporting Requirements

Canadian securities regulators have paused the development of mandatory climate-related disclosure rules and diversity reporting amendments, citing the need to support Canadian markets amid shifting global standards. The Canadian Securities Administrators (CSA) emphasized that this decision reflects recent changes in the U.S. where the SEC abandoned its climate-related reporting rules and EU, which is in the midst of its “Omnibus” process to reduce the scope and simplify disclosure requirements under it CSRD climate reporting rules. In place of mandatory reporting requirements, the CSA encourages voluntary use of the Canadian Sustainability Standards Board’s new sustainability disclosures.