𝗪𝗵𝗮𝘁 𝗪𝗶𝗹𝗹 𝗖𝗮𝗹𝗶𝗳𝗼𝗿𝗻𝗶𝗮'𝘀 𝗖𝗹𝗶𝗺𝗮𝘁𝗲 𝗥𝘂𝗹𝗲𝘀 𝗥𝗲𝘃𝗲𝗮𝗹 𝗜𝗻 𝗧𝗵𝗲 𝗥𝗶𝗽𝗽𝗹𝗲? 🌊

There are some companies in California that are about to hit their first major milestone under 𝗦𝗕 𝟮𝟱𝟯, the Climate Corporate Data Accountability Act.

If your company has over $1 billion in annual revenue, your 2025 greenhouse‑gas emissions (Scope 1 & 2) will need to be publicly reported in 2026 — with Scope 3 (supply‑chain emissions) on deck for 2027.

Here’s where the ripple starts 🌊

Even though smaller businesses aren’t directly covered, 𝗦𝗰𝗼𝗽𝗲 𝟯 𝗿𝗲𝗽𝗼𝗿𝘁𝗶𝗻𝗴 𝗺𝗲𝗮𝗻𝘀 𝗯𝗶𝗴 𝗰𝗼𝗺𝗽𝗮𝗻𝗶𝗲𝘀 𝘄𝗶𝗹𝗹 𝘁𝘂𝗿𝗻 𝘁𝗼 𝘁𝗵𝗲𝗶𝗿 𝘀𝘂𝗽𝗽𝗹𝗶𝗲𝗿𝘀 𝗳𝗼𝗿 𝗱𝗮𝘁𝗮, emissions, climate targets, verification of evidence. So the compliance wave doesn’t stop at the billion‑dollar line; it rolls downstream through entire value chains.

🔍 The paradox?

Some see SB 253 as red tape. But in practice, it’s driving modernization, pushing sustainability data into core finance systems, audit processes, and risk governance. The companies treating this as a strategic data build, not just compliance, are the ones gaining early advantages: stronger investor confidence, smoother supply‑chain relationships, and sharper visibility of transition risks.

💡It will be fascinating to see which companies further down the value chain step up and adopt more robust measures to keep pace with their counterparts.

So, when your biggest customer comes asking for assured emissions data, will you be chasing spreadsheets or confidently hitting "send"?