Ceres Submits Comment Letter to California Air Resources Board Urging Alignment with Global Climate Disclosure Standards

BOSTON, March 18, 2025 – Ceres today submitted a public comment letter to the California Air Resources Board (CARB) supporting implementation of the state’s landmark climate disclosure laws. The letter reflects insights and perspectives from more than 100 climate and financial reporting practitioners representing over 70 companies, trade associations, and institutional investors. 

In virtual roundtables and poll responses, corporate participants emphasized that many companies subject to SB 253 and SB 261are prepared to disclose climate-related information and will benefit from regulatory certainty as they build internal capacity and establish the controls and procedures necessary to comply with these laws. 

“Companies are not waiting to act on climate disclosure—many are already reporting voluntarily or under mandatory frameworks in other jurisdictions,” said Steven Rothstein, Managing Director of the Ceres Accelerator for Sustainable Capital Markets. “Now, CARB has a critical opportunity to ensure that California’s implementation of SB 253 and SB 261 harmonizes with these efforts, reducing duplication, improving comparability, and strengthening climate risk transparency for investors and stakeholders.” 

Key trends highlighted in Ceres’ submission: 

1. Strong Corporate Engagement in Climate Reporting 
   Ceres’ research found that nearly all participating companies are already reporting climate-related risks and greenhouse gas emissions, either voluntarily or in compliance with international mandates.  

2. The Need for Harmonization with Global Standards 
   Given the high level of existing climate disclosure activity, companies strongly favor an approach that ensures interoperability with established reporting frameworks such as the International Sustainability Standards Board (ISSB) Standards and the European Union’s Corporate Sustainability Reporting Directive (CSRD). 

3. Aligning Reporting Timelines with Financial Cycles 
   Companies recommend allowing a reporting timeline similar to the CSRD’s, which permits publication within 12 months of the end of a company’s fiscal year, ensuring accurate, investor-grade information. 

Ceres led efforts to garner the necessary support to pass the California climate disclosure laws, including by highlighting support from major corporations and investors that are seeking consistent and standardized policies to deliver climate information. Last week, Ceres released an analysis of the number of public and private companies that will likely be impacted by SB 253 and SB 261.   

About Ceres  

Ceres is a nonprofit advocacy organization working to accelerate the transition to a cleaner, more just, and sustainable world. United under a shared vision, our powerful networks of investors and companies are proving sustainability is the bottom line—changing markets and sectors from the inside out. For more information, visit ceres.org.