Today: Spate of recent storms highlights the need for finance to deal with the effects of global warming; EU Parliament votes to narrow sustainability rules; plastic makers are sharing how much of their packaging goes to waste.

Welcome back: Adaptation and resilience finance are dominating the agenda at this year’s United Nations Climate Change Conference, as worries mount over the risk posed by extreme weather events from climate change, WSJ Pro Sustainable Business's Yusuf Khan reports.

Last year COP delegates agreed to mobilize $1.3 trillion of climate finance, with $300 billion going toward developing countries annually by 2035. But this year in Belém, the opening days have focused on adaptation finance—investing to deal with the effects of climate change, rather than trying to stop or reverse it, which is known as mitigation.

Discussions have included bringing together different forms of finance to build a blended model that can deliver money to projects in emerging economies and which often bear the brunt of extreme weather events. Financing could come from investment funds, multilateral development banks, commercial banks and governments. It also marks a move away from aid and concessional capital, which have often dominated COPs.

Multilateral development banks and commercial banks at the conference have said making projects replicable and bankable is key, as solutions found in one market can be applied in the next. This could be an irrigation project for farmers or a solar project in a rural area.

• Welcome to Belém, the city in the Brazilian rainforest hosting the world’s climate talks. (WSJ)
• China’s clean technology manufacturing dominance is driving global clean energy adoption and saving the Paris Agreement. (WSJ)
• Coalition rallies behind a push to put plans on how and when to quit fossil fuels high up on the UN climate summit agenda. (FT)
• Global carbon dioxide emissions from fossil-fuel use will reach a record high this year. (Bloomberg)

European Union lawmakers have voted to further narrow the scope of the bloc’s corporate sustainability rules, a move that follows pressure from the Trump administration, which has pursued a deregulatory agenda on climate issues, Dow Jones Risk Journal reports.

In a vote in the European Parliament on Thursday, members approved a bill that would increase the size a company needs to be before it is required to report on its impact on people and the environment, removing the obligation from around 90% of companies initially covered.

• Only businesses employing 1,750 employees or more and with a net annual turnover of more than 450 million euros, equivalent to about $524 million, need to carry out social and environmental reporting under the EU’s Corporate Sustainability Reporting Directive, or CSRD.
   
• Only companies with at least 5,000 workers and a 1.5 billion euro turnover would need to comply with due diligence regulation, known as the Corporate Sustainability Due Diligence Directive, or CSDDD.
   
• No requirement for companies to set out transition plans to meet climate change commitments, which many companies disliked.

Last month, the U.S. and Qatar sent a letter to the heads of EU member states, saying the bloc should repeal its corporate sustainability rules or scrap some of the provisions. The countries said CSDDD would have unintended consequences for liquefied natural gas exports and the availability of affordable energy for EU consumers.

The legislation now needs approval from EU member states.

• The European Parliament approved the EU's plan to cut greenhouse gas emissions by 90% by 2040. (Reuters)

Businesses making everything from plastic utensils to takeout containers are about to reveal how much pollution they are responsible for in California.

From tomorrow, plastic producers will begin reporting the total number of plastic products they sell in the Golden State. The goal is to make companies responsible for pollution and recycling, rather than putting the onus on the consumer, WSJ Pro Sustainable Business's Clara Hudson reports.

It’s part of a wave of plastic-pollution laws across the country to enforce so-called extended producer responsibility by requiring companies to invest in recycling infrastructure and report on plastic waste. Such rules span states from Oregon to Maine, each with their own distinct approach.

The California requirements, under the Plastic Pollution Prevention and Packaging Producer Responsibility Act, stipulate that all single-use packaging in California be recyclable or compostable by 2032, and that 65% of single-use plastic packaging be actually recycled by the same year.

• Mushroom packaging takes on plastic at Belgian startup. (Barron's)

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• The IEA forecasts a significant oil surplus, with supply potentially exceeding demand by 2.4 million barrels a day this year. (WSJ)
   
• U.S. crude oil inventories rose by 6.4 million barrels to 427.6 million barrels, exceeding expectations. (WSJ)
   
• Google and TotalEnergies sign 15-year renewable energy deal to power Ohio data centers. (ESG Today)
   
• BlackRock’s GIP and Spanish construction company ACS agree to form a $2.3 billion joint venture to develop data centers. (WSJ)
   
• AXA IM Alts raises $560 million for nature-based investment strategy, targets high-integrity carbon projects in emerging markets. (ESG News)
   
• Pennsylvania has quit the Regional Greenhouse Gas Initiative, leaving the state with no significant climate policy. (E&E News)
   
• Career advice from the farmer’s son leading sustainability at KFC, Pizza Hut and Taco Bell. (Trellis)

WSJ Pro Sustainable Business gives you an inside look at how companies are tackling sustainability. Send comments to bureau chief Perry Cleveland-Peck at perry.cleveland-peck@wsj.com and reporters Clara Hudson at clara.hudson@wsj.com and Yusuf Khan at yusuf.khan@wsj.com. Follow us on LinkedIn at perrycp, clara-hudson and yusuf_khan.