California Governor Gavin Newsom signed into law a bill requiring all companies with more than $1B in revenue operating in California to report their carbon emissions. The law will begin in 2026 with Scope 3 measurements starting in 2027. Businesses must comply using the Greenhouse Gas Protocol standards.
A couple of notes for SION60 clients. .
First, the Greenhouse Gas Protocol standard is the methodology upon which we built our software. You can read a very short summary about it our solution page. Our CEO completed the complex and detailed GHG Scope 3 certification in June 2023.
Second, many will say “there goes California again!” California represents 14% of the US GDP and is the 5th largest economy in the world by itself. It’s automobile emissions standards drive automaker’s design across the globe and many other states follow California’s environmental leadership over time. This law will impact 5300 companies operating in California.
Finally, the SEC is also considering requirements for Scope 3 for US publicly traded businesses.
