The New York State Senate has passed legislation aimed at curbing greenwashing by requiring large corporations to publicly disclose their greenhouse gas emissions, laying the groundwork for a state-level corporate climate disclosure regime.
The measure, known as the Climate Corporate Data Accountability Act (Senate Bill 9072A), was approved in a 40–22 vote on 10 February. The bill applies to companies that conduct business or derive revenue from activities in New York and generated more than $1 billion in revenue in the previous fiscal year, including income earned by subsidiaries.
If enacted, the legislation would require covered entities to annually disclose their direct emissions (Scope 1) and indirect emissions from purchased energy (Scope 2) beginning in 2028. Disclosure of indirect value chain emissions (Scope 3) would follow from 2029 onwards. The bill does not set specific reporting deadlines, stating that detailed timelines will be determined at a later stage. This approach provides companies with greater flexibility compared to earlier versions of the proposal introduced in 2023 and 2024.
The legislation mirrors elements of California Senate Bill 253, which requires large companies operating in California with annual revenues exceeding $1 billion to report their greenhouse gas emissions annually. Supporters argue that aligning disclosure requirements across major US states could improve transparency and comparability in corporate climate reporting.
Sponsored by State Senator Pete Harckham, the New York bill forms part of a broader package of environmental measures passed the same day, including proposals to reduce industrial pollution, prevent tampering with emissions control devices and restrict the sale of consumer goods containing toxic chemicals.
The legislation includes exemptions for certain out-of-state entities. Companies incorporated outside New York would not be deemed to be “doing business” in the state if their activities are limited to specific functions outlined in section 1301(b) of the New York Business Corporation Law, such as maintaining legal proceedings, holding director or shareholder meetings, distributing information to members, or maintaining bank accounts and securities transfer offices.
Following its approval in the Senate, the bill has been sent to the New York State Assembly, where a companion measure is under consideration.
