Does your company operate in California? New regulations under SB 219 bring emissions disclosures and climate risk reporting. Act now to ensure compliance, protect your reputation, and stay ahead of the curve.
This legislation marks an important positions for California—and the broader U.S.—as leaders in the global shift toward a net zero-compatible economy. However, navigating the evolving landscape of climate disclosure requirements can be complex and overwhelming.
The Climate Corporate Data Accountability Act (formerly SB 253) and the Climate-Related Financial Risk Act (formerly SB 261), now collectively known as the Climate Accountability Package, have undergone significant updates. Staying informed on these changes is crucial for businesses navigating this new regulatory landscape. Read the recent updates and developments here.
South Pole's team of climate and policy experts is ready to support you. From Scope 3 emissions accounting to climate-related financial disclosures aligned with TCFD recommendations, we'll help bridge the gaps and ensure you're prepared for what lies ahead.
Each company's compliance journey is unique, and we are here to meet you where your business is at and help you meet your climate targets.
Read our brochure for step-by-step guidance to prepare for your company's compliance.
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What is the main objective of the California Climate Disclosure bills?
The overall objective of California's climate disclosure bill is to promote corporate accountability, integrity, and transparency in the reporting of greenhouse emissions, climate-related financial risks and climate action-related claims needed to develop a roadmap towards building a resilient low-carbon economy within California.
What companies are impacted by these bills?
Public and private US-based companies that do business in California and exceed revenue thresholds of $1 billion and $500 million under the Climate Corporate Data Accountability Act and the Climate-Related Financial Risk respectively will be required to disclose their greenhouse gas emissions and climate-related financial risks.
What happens if a company fails to comply?
The California Air Resources Board (CARB) may impose penalties for failures to meet the requirements of SB 219. The penalties can be up to $500,000 for Climate Corporate Data Accountability Act and $50,000 for Climate-Related Financial Risk in a given year.
When will the new bills start to apply?
Climate Corporate Data Accountability Act requires reporting on Scope 1 and 2 emissions in 2026 based on fiscal year 2025. However, the date of disclosure is to be determined by the CARB. The deadline for Scope 3 emissions disclosure is yet to be determined by CARB. The Climate-Related Financial Risk requires companies to prepare a climate-related financial risk report by January 1, 2026 and publish the report on the company's website.
Where should companies report on SB 219?
Annual greenhouse gas emissions should be reported on a publicly accessible digital platform which will be created by the CARB. The biennial climate-related financial risk report should be disclosed on a company's website.
Does your company operate in California? New regulations under SB 219 bring emissions disclosures and climate risk reporting. Act now to ensure compliance, protect your reputation, and stay ahead of the curve.
