A coalition of 23 state attorneys general, led by Oklahoma’s Gentner Drummond, formally challenged Moody’s Corporation over its use of Environmental, Social, and Governance (ESG) factors.
The officials argue that speculative ESG forecasts have caused unfair credit downgrades for fossil fuel companies.
The group warns that these ESG-influenced ratings could negatively impact state bond ratings.
This action underscores growing tension between sustainability metrics and the economic interests of energy-dependent states.