California To Propose Delaying Corporate GHG Emissions Reporting by Three Months

Yesterday afternoon – with 48 days to go until the first reports are due – the California Air Resources Board announced that it will be proposing a three-month pushback of this year’s deadline for reporting Scope 1 and 2 greenhouse gas emissions under SB 253. This would move the due date from August 10 to November 10. We further discuss the announcement in this post.

SB 253 is more formally known as the Climate Corporate Data Accountability Act (California Health & Safety Code Section 38532). It requires annual public disclosure of Scope 1, 2 and 3 greenhouse gas emissions by US-organized entities doing business in California with total annual revenues exceeding $1 billion. SB 253 is further discussed in numerous Ropes & Gray posts available here. Also see this recent post in which we share our observations for this reporting cycle.

As many readers will recall, the CARB Board approved the initial regulation under SB 253 and SB 261 on February 26. SB 261 is the companion climate risk reporting requirement. That mandate is on pause following an order by the Ninth Circuit Court of Appeals preliminarily enjoining the enforcement of SB 261 pending an ongoing appeal being considered by the court. 

In yesterday’s announcement, CARB indicated that it will be proposing limited changes to the regulation to clarify certain requirements. It will make these changes available for comment as part of a forthcoming 15-day public comment period. Because this step may delay finalizing the regulatory package, CARB will be proposing a three-month deferral in the reporting deadline.

Notice of the 15-day public comment period, and the details of the proposed changes, will be forthcoming.

CARB submitted the initial regulation to the California Office of Administrative Law on May 20. CARB updated its website yesterday to indicate that the initial regulation and associated rulemaking documents submitted to OAL for final review and approval have been withdrawn and will be resubmitted.

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