Article
California’s Climate Reporting Rules Hit Pause, but Companies Should Keep Preparing
Environment + Energy Leader
by Sedina L. Banks
Environmental Partner Sedina Banks authored "California’s Climate Reporting Rules Hit Pause, but Companies Should Keep Preparing" in Environment + Energy Leader, discussing why companies should continue preparing for California's climate reporting requirements despite recent regulatory delays.
Excerpts:
Enacted in 2023 as part of the California Climate Accountability Package, Senate Bill 261 was originally expected to require covered businesses to begin making climate-related financial risk disclosures as early as January 1, 2026. However, legal challenges and regulatory delays have left that deadline in the past without any mandatory disclosures being required. Similarly, the California Air Resources Board (CARB) deferred Senate Bill 253’s climate disclosure reporting requirements by three months, further postponing implementation of California’s climate disclosure requirements. As a result, businesses continue to face significant uncertainty regarding both their disclosure obligations and compliance deadlines. Despite this uncertainty, due to the scope of the disclosure requirements and time required to gather necessary data, businesses should continue preparing for compliance.
Resources
