California lawmakers threaten regulator

December 18th, 2024

California lawmakers have threatened the California Air Resources Board (CARB) in a letter concerning legislative oversight hearings. 

California State Senators Scott Wiener and Henry Stern have warned the regulator with legislative oversight hearings over its plans to delay enforcement of new climate reporting regulation.  

The letter comes following the release of CARB’s enforcement notice, that announced an ease on the new emissions reporting requirements. The notice included requirements that aim to give companies extra preparation time.  

Senators Stern and Wiener wrote the “Climate Corporate Data Accountability Act,” SB 253 and the “Greenhouse gases: climate-related financial risk,” SB 261.  

SB 253 states that companies earning greater revenue than $1 billion, that do business in California, must report emissions annually across scopes 1,2, and 3.   

SB 261 requires US companies operating in California with revenues greater than $500 million to report, disclosing their climate-related financial risk and their measures to reduce and adapt to risk.  

Both laws were approved in 2023 by California Governor Gavin Newsom. However, at the time a concern was expressed about the timeline of the new regulations.  

Earlier this year, when the new regulations were signed into law as SB 219, most of the original starting dates were stuck to excluding an ease on Scope 3 emissions reporting timing.  

In this months' notice, CARB said it “recognizes that companies may need some lead time to implement new data collection processes,” and that it will “exercise its enforcement discretion.” 

Deeming the notice “unacceptable,” Wiener and Stern in their letter expressed frustration at CARB’s decisions.  

“As we prepare for a new federal administration that has expressed open hostility to climate action in general and corporate emissions disclosure requirements specifically, it is critical that this landmark policy proceed in a robust and timely manner to preserve California’s historic role as a leader and a backstop in the fight against the climate crisis,” the letter stated. 

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