The first reporting deadline under California SB 253, the Climate Corporate Data Accountability Act, is fast approaching. Covered companies doing business in California must submit annual reports of their Scope 1 and Scope 2 greenhouse gas emissions by August 10, 2026. With this date now firmly on the calendar, California has moved from theoretical climate disclosure regulator to active compliance authority, and companies within the law's scope should be well into their preparation efforts.
The significance of the California deadline has been amplified by developments at the federal level. As the U.S. Securities and Exchange Commission continues to retreat from its analogous federal climate disclosure rules, SB 253 has emerged as the leading domestic emissions reporting regime. For large public and private companies with operations in California, the practical result is that a state statute, rather than a federal rule, now defines the near-term contours of mandatory greenhouse gas disclosure. Companies that had been calibrating their climate reporting strategies around the SEC framework should recalibrate around California's requirements and timeline.
SB 253 applies to large companies doing business in California and requires annual disclosure of Scope 1 emissions, which cover direct emissions from owned or controlled sources, and Scope 2 emissions, which cover indirect emissions from purchased energy. Because the August 10, 2026 deadline remains in effect regardless of the federal rollback, covered entities cannot rely on shifting federal priorities to relieve their state-level obligations.
In practical terms, covered companies should be taking several steps now. That includes conducting a thorough inventory of Scope 1 and Scope 2 emissions data across relevant operations, establishing internal workflows for data collection, review, and reporting, and evaluating readiness for the assurance requirements associated with the statute. Companies that have not yet mapped their organizational boundary, identified data owners, or engaged appropriate technical resources risk running short on time as the filing date approaches.
The months ahead will require coordinated attention from legal, finance, sustainability, and operations teams to meet California's expectations on schedule.
This article is provided for general informational purposes only and does not constitute legal advice. Companies should consult qualified counsel for advice tailored to their specific circumstances and reporting obligations.