CA State Assembly Passes 2026 Emission-Tracking Legislation
The California State Assembly has recently passed the Climate Corporate Data Accountability Act (SB 253). If passed into law, it would require California businesses that exceed an annual revenue of $1 billion to report “certain greenhouse gas emissions” starting in 2026. This includes emissions caused by sources the company “directly controls regardless of location”, indirect emissions from electricity, heating, and/or cooling, and emissions from sources the company does not directly control, like “purchased goods, business travel, employee commutes, and sold products”. The Chamber of Commerce co-authored a letter with multiple other California businesses strongly opposed this legislation, explaining how companies would have to pay an expected $600,000 per emissions disclosure, which would make it extremely difficult for small and medium sized businesses to comply. It is also unclear whether Newsom will support the bill; as the legislation would put California over its spending plan, which had to undergo substantial decreases due to inflation and slowing revenue.