What California SB 261 pause means for businesses
California pauses SB 261 but SB 253 moves ahead. Learn what the ruling means for climate risk disclosure and how companies should prepare for 2026 and beyond.
A resource to help you prepare for SB 253
To help companies get ahead of SB 253, Sweep created a practical guide that explains how to turn emissions data into useful, auditable insight.
The future of California’s climate disclosure laws
The pause of SB 261 creates temporary breathing room but not long term certainty. Climate related financial risks continue to rise, investor expectations continue to sharpen, and the global shift toward climate reporting is accelerating rather than slowing.
SB 253 remains firmly on track. Companies must continue preparing system level carbon accounting, strengthening supplier engagement, improving data quality, and working toward assurance. State agencies responsible for enforcement may seek administrative penalties from entities that fail to comply with future climate disclosure requirements. Those that build strong foundations now will be better prepared for upcoming state rules, potential federal requirements, international alignment through ISSB, and growing market expectations.
Sweep can help
Sweep is a carbon and ESG management platform that empowers businesses to meet their sustainability goals.
Using our platform, you can:
- Conduct a thorough assessment of your carbon footprint.
- Get a real-time overview of your supply chain and ensure that your suppliers meet your sustainability targets.
- Reach full compliance with the CSRD and other key ESG legislation in a matter of weeks.
- Ensure your sustainability information is reliable by having it verified by a third party before going public.
See how we can help you on your sustainability journey
