US Climate Disclosure: Stay up to Date with Key Federal & State Regulations for Businesses

The emissions and climate disclosure landscape in US, at both federal and state-level, is rapidly changing. The Trump administration has rejected the UN Sustainable Development Goals, which has called into question the federal government’s support for climate -related disclosures, and broader sustainability initiatives. Several U.S states are developing regulation in anticipation of a regulation gap ...

Anna Twomlow

20 Mar 2025 4 mins read time

The emissions and climate disclosure landscape in US, at both federal and state-level, is rapidly changing. The Trump administration has rejected the UN Sustainable Development Goals, which has called into question the federal government’s support for climate -related disclosures, and broader sustainability initiatives. Several U.S states are developing regulation in anticipation of a regulation gap at the federal level.

EcoAct will be monitoring this changing landscape closely in the US and Canada and providing updates to this page accordingly. Our tailored solutions, including carbon footprinting, target setting, climate scenario analysis and regulatory gap analysis services will help companies navigate these regulations to maximize both compliance and impact.

Federal Regulation in the US

US Securities and Exchange Commission (SEC) Rules

In March 2025, the SEC voted to end its defense of The Enhancement and Standardization of Climate-Related Disclosures for Investors rules. By choosing not to participate in the litigation of the rule, the SEC does not need to rescind the rules, adapt the rules, or develop methods to implement the rules. 

It is likely that the rules will be defeated in court, and not be legislated

Greenhouse Gas Reporting Program (GHGRP)

Since 2010, approximately 8,000 facilities have reported emissions to the EPA annually. Facilities and suppliers are required to submit GHG emissions reports from covered sources exceeding 25,000 metric tons CO2e per year. These emissions primarily fall under Scope 1. However, given EPA budget cuts and the Trump administration’s push for deregulation, there is uncertainty around future federal disclosure requirements.

State-level Regulation in the US

Enacted Regulations

California – Senate Bill 219 (formerly SB 253 and SB 261)  

California is at the forefront of climate-related disclosure legislation in the US. Approved in September 2024, regulation SB219 combines the Climate Accountability Act (SB 253) and Climate Risk Disclosure Act (SB 261).

Key Provisions:

  • SB219 requires companies with annual revenues exceeding $1 billion to report their Scope 1 and 2 emissions in 2026, and Scope 3 emissions in 2027.
  • It also mandates biennial climate risk reporting for companies with annual revenues over $500 million, beginning in 2026.

Proposed Regulations

New York: Senate Bill 897C and Senate Bill 5437

Two bills were officially introduced by New-York senators in January 2025, as updated versions of bills that failed to pass in the 2021-22 and 2023-24 legislative sessions. These bills are very similar to SB219 in California and are currently in the initial stages of the legislative process, awaiting further action within the committee.

Key Provisions:

  • Senate Bill S3456 proposes that companies doing business in New York State, and with annual revenues exceeding $1 billion, should publicly report Scope 1, 2 and 3 greenhouse gas emissions in tiered stages beginning in 2027.
  • Senate Bill S3697 focuses on climate-related financial risk disclosure, proposing that any business entity formed in the US with a total annual revenue exceeding $500 million in its prior fiscal year should prepare a climate-related financial risk report biennially, beginning in 2028.

New Jersey: Bill S4117

New Jersey’s Senate introduced Bill S4117, the Climate Corporate Data Accountability Act in January 2026. As of March 2025, the bill has been referred to Senate Budget and Appropriations Committee

Key Provisions:

  • Bill S4117 would require companies with annual revenues over $1 billion to disclose their Scope 1, 2, and 3 greenhouse gas emissions within four years of the effective legislation date.

States to watch

Emissions and climate disclosure bills were proposed in the Colorado, Illinois, Minnesota and Washington senates in the last few years. Whilst these proposals were unsuccessful, updated versions of the bills are expected to in the near future.

Stay Up to Date

Regulatory frameworks for emissions and climate risk disclosure in US are evolving quickly, with new standards and updates expected in the coming months and years at both federal and state levels. EcoAct remains committed to keeping businesses informed as these changes unfold. We will continue to update this page with the latest developments, ensuring you have the insights needed to stay ahead.

For tailored guidance on regulatory compliance and strategic climate action, reach out to EcoAct. Stay tuned for future updates as we track the US’s progress in emissions and climate risk disclosure.