California Passes Nation's First Law Requiring Big Businesses to Disclose Carbon Emissions
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California lawmakers passed a bill requiring large businesses to disclose scope 1, 2, and 3 carbon emissions. The bill now goes to Governor Newsom to sign into law.
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The bill would make California the first state to mandate detailed carbon accounting and emissions reporting by businesses.
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The bill requires emissions disclosures starting in 2026 (scope 1 and 2) and 2027 (scope 3). California will review and update the rules in 2029 and 2030.
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Supporters like Al Gore say emissions accounting is key to pushing climate action. Apple and Google support the bill, though note uncertainty in scope 3 data.
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Opponents like the California Chamber of Commerce say the scope 3 requirements are flawed and will increase costs. But supporters say environmental disclosures differ from financial reporting.
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