Operating in California?
Never fail an SB 253 audit

California SB 253, the Climate Corporate Data Accountability Act, requires large public and private businesses doing business in California to publicly disclose their greenhouse gas (GHG) emissions every year.

It is the first U.S. law mandating comprehensive greenhouse gas emissions reporting across direct emissions, indirect emissions, and value chain emissions. SB 253 is a central part of California’s climate accountability package. The California Air Resources Board (CARB) oversees compliance and adopted initial regulations in February 2026.

SB 253 applies to corporations, partnerships, and limited liability companies that do business in California and report total annual revenue exceeding $1 billion. Revenue is calculated based on gross receipts consistent with California corporate tax filings, not California-specific revenue alone.

The law’s broad definition of doing business in California means many out-of-state companies are covered reporting entities. If your company has operations, employees, sales, or property in California and exceeds the revenue threshold, SB 253 likely applies to you.

Covered reporting entities must annually disclose three categories of greenhouse gas emissions using the Greenhouse Gas Protocol standards:

• Scope 1 (direct emissions): Emissions from sources your company owns or controls
• Scope 2 (indirect emissions): Emissions from purchased electricity, heat, or steam Scope 3 (value chain emissions): Indirect emissions across your full upstream and downstream supply chain
• Scope 3 emissions often account for over 90% of a company’s total emissions. Reports are submitted to a publicly accessible CARB registry and must be independently verified starting in 2026. The first deadline for Scope 1 and 2 disclosures is August 10, 2026. Scope 3 reporting begins in 2027, with a safe harbor protecting good faith efforts until 2030. Non-compliance can result in administrative penalties of up to $500,000 per year.

Sweep is purpose-built to help companies meet SB 253 reporting requirements quickly and accurately. The CCDAA module includes pre-configured GHG Protocol-aligned indicators, AI-assisted data mapping via Sweepy, and supplier engagement tools to close Scope 3 data gaps fast.

Every calculation and methodology is fully traceable for CARB and your assurance provider. Sweep’s dedicated audit period support and carbon footprint verification services work alongside your team from kick-off to wrap-up, so you hit deadlines without fire drills.

Yes. Scope 3 emissions reporting is one of the most complex and data-intensive requirements under SB 253, and Sweep is built to handle it. The platform combines activity-based and purchase-based data collection, supplier surveys with automated reminders, real-time completion tracking, and AI-assisted data mapping to close data gaps fast.

Sweep also provides extrapolation tools and industry average data where direct supplier data is unavailable, keeping your submission GHG Protocol-compliant and assurance-ready.

Yes. Sweep supports both California climate disclosure laws through dedicated modules. The CCDAA module covers SB 253 greenhouse gas emissions reporting, aligned with the Greenhouse Gas Protocol and CARB’s guidance.

The CRFRA module covers SB 261 climate-related financial risk disclosures, aligned with ISSB IFRS S2. Both modules are available separately or as a combined California package, so companies can comply with both SB 253 and SB 261 from a single platform.

Sweep supports all major sustainability reporting standards, including CSRD, ISSB, and GRI, alongside California’s climate disclosure laws. Because Sweep unifies your emissions data in one platform, the data you collect for SB 253 can be used directly for other reporting requirements, with no duplication of effort. Collect once, report everywhere.