CARB Approves Climate Transparency Regulation for Entities Doing Business in California
Published Friday, March 6, 2026
The California Air Resources Board approved a regulation at its February meeting establishing administration and implementation fees for two climate disclosure laws: the Climate Corporate Data Accountability Act and the Climate-Related Financial Risk Act. The regulation also sets the first-year reporting deadline under the Climate Corporate Data Accountability Act.
The rule implements requirements from Senate Bill 253 and Senate Bill 261, as amended by Senate Bill 219. It outlines how program fees will be assessed to cover administrative costs, defines key terms needed for program implementation and establishes a reporting schedule. The regulation applies to large corporations doing business in California with annual revenues exceeding $500 million or $1 billion, depending on the statute. It adopts a flat-rate fee structure and sets Aug. 10 as the first-year reporting deadline under SB 253.
For the first reporting year, companies will report only Scope 1 and Scope 2 greenhouse gas emissions. Scope 1 emissions are direct emissions from sources owned or controlled by the company, while Scope 2 emissions are indirect emissions from purchased electricity, steam, heat or cooling.
Staff contact: Steven Fenaroli, sfenaroli@cfbf.com.
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