23 Red States Push Back Against Net-Zero Rules, Call on Global Initiative for Answers
“Net zero programs are unrealistic and harm both American agriculture and industry”
Alabama has joined a coalition of 23 Republican-led States in demanding transparency over a global climate initiative's latest net-zero emissions standard. They fear the plan could saddle core industries—including farming—with steep costs and legal risks.
In an August 8, 2025 letter to the Science Based Targets initiative (SBTi) signed by Iowa Attorney General Brenna Bird and co-signed by Alabama Attorney General Steve Marshall and others, states:
“Net zero programs are unrealistic and harm both American agriculture and industry. Making net zero a goal actively harms Americans, creates risk for energy independence, and increases the cost of food.”
SETi is currently backed by the United Nations and several environmental nonprofits. SBTi recently introduced a Financial Institutions Net-Zero Standard, which asks member companies to commit to eliminating carbon emissions across their portfolios.
The Attorneys General argue that enforcing such guidelines may drive up energy and food costs. They also warn it could block investments in vital sectors like oil, gas—and by extension, farming and other energy-reliant industries.
“It is illegal for companies and organizations to agree to limit output of goods or services,” the letter states. It questions whether SBTi’s standard masks collusion among financial firms, possibly breaching both state and federal antitrust laws.
AG Marshall minced no words: “For years, radical activist groups have sought to pressure the financial sector into imposing their ideological agenda on hardworking, productive industries. American agriculture stands as the global gold standard for quality and efficiency, feeding not just Americans but countless others around the world… We will not stand by as they attempt to undermine American values, sabotage capitalism, and strangle our economic backbone.”
The letter demands that SBTi clarify how the standard was developed, whether financial institutions coordinated their actions, and which firms have agreed to follow it. A response is requested by September 8.
Led by Iowa Attorney General Brenna Bird, the letter is backed by 22 other state Attorneys General, including those from Alabama, Florida, Georgia, Texas, Virginia, South Carolina, and others.
Florida has taken that push even further. Attorney General James Uthmeier says he’s issuing subpoenas to SBTi and another nonprofit, CDP, to investigate if they improperly coerced businesses into sharing sensitive data or complying with climate standards under unfounded pretexts.
This move marks the latest effort by conservative States to challenge ESG (Environmental, Social, and Governance) initiatives, particularly those they see as veiled attempts to steer business practices through environmental standards—not democratic debate.
