CONTACT: Veda Banerjee, 415-999-8332, [email protected]
OAKLAND, CA — Today the Ninth Circuit Court of Appeals issued a split ruling in CalChamber’s ongoing lawsuit to kill SB 253 and SB 261, California’s corporate climate disclosure laws. The court affirmed that Scope 1 and 2 emissions reporting will move forward. It temporarily blocked Scope 3 reporting, which was set to begin in 2027, and all of SB 261 on climate financial risk reporting. This is a preliminary ruling, not a final judgment, and the constitutional case continues in district court.
Statement from Gracyna Mohabir, Senior Regulatory Advocate, California Environmental Voters:
“Today’s ruling confirms what we’ve said from the start: the public has a right to know how much the largest companies in California pollute. Starting tomorrow, every company with more than $1 billion in annual revenue that does business in California must report emissions from its own operations and the energy it buys, and the California Air Resources Board (CARB) will enforce it.
Full disclosure is within reach, and it is worth the fight. Scope 3 is where 70-90 percent of most companies’ climate pollution lives: in their supply chains and the products they sell. Once it is reported, investors will see the whole picture, companies that clean up their supply chains will get credit for it, and California’s standard will drive emissions progress far beyond our borders.
“This isn’t the final word. Leading companies are already reporting, more than 40 countries require emissions disclosure, and the Legislature has reaffirmed this law twice. We’ll keep working with CARB, Senator Wiener, and our partners to ensure full disclosure and see SB 253 implemented as written.”
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California Environmental Voters (EnviroVoters) believes the climate crisis is here and this moment requires transformative change. California has the policy solutions to stop climate change but lacks the political will to do it at the rate and scale that’s necessary. EnviroVoters exists to build the political power to solve the climate crisis, advance justice, and create a roadmap for global action. We organize voters, elect and train candidates, and hold lawmakers accountable for bold policy change. We won’t stop until we have resilient, healthy, thriving communities, and a democracy and economy that is just and sustainable for all. Join us at www.envirovoters.org and on Instagram, LinkedIn, and X. See more press releases.