California holds the line on climate disclosures with no time to coast
Following its release of detailed FAQs on climate reporting rules, the California Air Resources Board (CARB) has made it clear that deadlines under the state’s landmark climate disclosure laws (SB 253 and SB 261) are here to stay. A recent guest post by Alyssa Zucker of Workiva, published by ESG Today, adds further perspective from CARB’s first public workshop and stakeholder feedback process.
SB 253 sets mandatory emissions reporting – Scope 1 and 2 starting in 2026, Scope 3 from 2027 – while SB 261 calls for climate-related financial risk disclosures every two years, starting in 2026. Although the final rulemaking timeline has shifted slightly, the expectations have not. The message from regulators is consistent: prepare now. “Good faith” flexibility under SB 253 may offer some breathing room, but there’s no such allowance under SB 261.
Workshop discussions reinforced what we saw in the FAQ: pressure to clarify which companies are in scope, refine definitions, and ensure alignment with established frameworks like IFRS S2 and the Greenhouse Gas Protocol. There’s also strong demand for globally comparable, decision-useful data, not just compliance for compliance’s sake.
Read the full guest post on ESG Today here.
