California Defers Scope 1 and Scope 2 GHG Reporting Deadline to November 10

On June 24, the California Air Resources Board (CARB) announced that it is planning to delay the first-year reporting deadline for Scope 1 and Scope 2 greenhouse gas (GHG) emissions under SB 253 (the Climate Corporate Data Accountability Act) from August 10 to November 10.

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This three-month extension will provide reporting entities additional time following the formal adoption of the Initial Regulation, if approved by the Office of Administrative Law (OAL). 

In connection with this deferral, CARB has withdrawn the Initial Regulation from OAL review to allow time to make limited clarifying changes to certain requirements. These changes will be made available for a forthcoming 15-day public comment period. 

What 2026 Reporting Entails

SB 253 requires US-based companies with total annual revenues exceeding $1 billion that do business in California to disclose their Scope 1, Scope 2, and Scope 3 GHG emissions annually. The initial (first-year) 2026 report addresses only Scope 1 and Scope 2 emissions; Scope 3 reporting begins in 2027. 

Reporting entities should be aware of the following regarding what CARB will accept for the first-year report.

  • Existing Annual Reports: If a company develops its own annual report that includes information on Scope 1 and Scope 2 emissions, it may submit that report to CARB. 

  • Voluntary or Regulatory Program Submissions: If a company already submits annual Scope 1 and Scope 2 emissions through a voluntary program or to another regulatory program, it may submit that same information to CARB. 

  • CARB’s Reporting Template: A company may choose to submit data using CARB’s Scope 1 and 2 GHG Reporting Template, though use of the template is voluntary for the first reporting cycle. 

  • Assurance: CARB will exercise enforcement discretion and will not require limited assurance for the first-year 2026 report, whether or not the data received assurance. 

  • Reporting Period: Most reporting entities will report fiscal year 2025 data. Entities whose fiscal year ends on or before February 1, 2026, will report the fiscal year ending in 2026. 

  • Companies Not Collecting Aata as of December 2024: Pursuant to CARB’s December 5, 2024, Enforcement Notice, companies that were not collecting or planning to collect Scope 1 and Scope 2 GHG emissions data at the time the notice was issued need only submit a statement on company letterhead to CARB stating that they did not submit a report because they were not collecting or planning to collect such data at the time of the notice. 

Please contact ArentFox Schiff with questions about how this development may affect your reporting obligations.

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