California Climate Disclosures
BE PREPARED WITH 51TOCARBONZERO
California is leading the US in mandatory climate disclosures.
From January 2026, thousands of companies doing business in California will be required to report on their greenhouse gas emissions and climate-related financial risks, even if they’re not headquartered in the state.
If your organisation has over $500 million in global annual revenue, these two new rules likely apply to you.
SB 253: Climate Corporate Data Accountability Act
Who must comply
- Public and private companies
- $1 billion+ global revenue
- Doing business in California
What’s required
- Annual disclosure of Scope 1, 2 and 3 greenhouse gas emissions
- Third-party assurance required (Scope 3 by 2030)
- Reports submitted to CARB
- Admin fee: TBD (likely low thousands)
Timeline
- FY2025 data reported 30 June 2026 (Scopes 1 & 2)
- FY2026 data reported in 2027 (Scope 3)
SB 261: Climate-Related Financial Risk Act
Who must comply
- Public and private companies
- $500 million+ global revenue
- Doing business in California
What’s required
- Biennial disclosure of:
– Climate-related financial risks
– Measures to reduce or adapt to those risks - TCFD-aligned structure:
– Governance
– Strategy
– Risk Management
– Metrics & Targets - Reports must be published publicly and submitted to CARB
- Estimated admin fee: $1,000–$1,403/year
Timeline
- First report due: 1 January 2026
- Updated every 2 years
Unlike voluntary frameworks, SB 253 and SB 261 are legally binding – with mandatory disclosure, regulator oversight and reputational consequences for non-compliance.
For many businesses, this means:
- Reporting far deeper into the supply chain (Scope 3)
- Managing climate risk at board level
- Disclosing data in a format that’s public, consistent and auditable.
Get started now…
By preparing now and getting ahead of SB 253 and SB 261, you’ll have time to build confidence in your data, align stakeholders and avoid unnecessary last-minute pressure.
At 51toCarbonZero, we work as an extension of your team to simplify the process, reduce risk and ensure your disclosures stand up to scrutiny, without draining internal resource.
How 51toCarbonZero can help:
Our platform and advisory service help you comply confidently with both SB 253 and SB 261:
GHG Emissions Reporting
We automate the entire carbon accounting process – from raw data ingestion to audit-ready calculations – across Scope 1, 2 and 3.
Our platform applies over 40,000 verified emission factors (DEFRA, EPA), reduces manual input risk and prepares outputs that meet the assurance standards required under SB 253. With built-in support for annual reporting cycles, we help you stay compliant and confident, year after year.
Climate Risk Disclosures
We use AI to identify and assess physical and transition risks aligned to the TCFD framework, then generate clear, structured reports tailored for SB 261.
Our tools help you quantify risk, assess business impact and co-develop a roadmap of mitigation and adaptation actions – all with stakeholder-ready outputs that can be published on your website and submitted to CARB.
Multi-Framework Compliance
Whether you’re reporting under California law or preparing for global frameworks, our solution ensures you’re covered.
We support end-to-end compliance with SB 253 and SB 261, and align your disclosures with TCFD and ISSB standards – future-proofing your reporting and reducing duplication across regulatory regimes. All in one central system.
Expert Support
Our ISO-trained Climate Success Managers bring deep experience in climate strategy, risk management and disclosure.
They act as an extension of your team – guiding you through data validation, materiality assessments, stakeholder input and reporting delivery. Backed by verified workflows and a dedicated support model, we ensure your submissions are accurate, auditable and aligned to the standards that matter.
Ready to Learn More?
We help organisations meet climate disclosure rules with less strain and more impact.
From emissions reporting to risk analysis, our platform and advisory model make it simple to act credibly, unlock commercial value and stand out with clients, customers and procurement teams alike.
Talk to us about your SB 253 and SB 261 strategy.
Audit Ready Reporting.
Data accuracy is paramount at 51toCarbonZero. Our platform and reports adhere to the GHG Protocol Standards, ensuring the highest level of data integrity and precision through automated checks. Additionally, our team of expert ISO lead verifiers offers comprehensive support, preparing you thoroughly for external disclosure and assurance.