Local Laws with Global Reach: California's New Sustainability Disclosure Laws
This article is by Ricardo, who put a sustainable future in reach by creating innovative services that are at the intersection of transport, energy and environmental agendas across the globe.
California has passed new climate disclosure bills which will impact companies doing business in the state and their global supply chains.
The Climate Corporate Data Accountability Act (CCDAA) is a landmark bill for carbon accounting requiring public and private companies with annual revenues greater than $1 billion doing business in California (even if they are not headquartered there) to report their contribution to climate change including their full greenhouse gas (GHG) emissions (Scopes 1, 2 and 3).
The Climate-Related Financial Risk Act (CRFRA), passed as a companion bill to the CCDAA, requires companies with revenue of greater than US$500 million to disclose their climate-related financial risks along with measures they are taking to reduce and adapt to the risks. It is the first mandatory climate-related risk disclosure law to go into effect in the US.
In their blog, Ricardo’s experts explain the impacts these bills will have, their global context and the steps you should take to prepare. Read the blog on the Ricardo website.
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