Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

California lawmakers ushered in a robust suite of climate legislation at the end of the term in August, dedicating $54 billion to climate programs over the next five years. The state's demonstrated dedication to climate issues dovetails with the federal government's recent passage of the Inflation Reduction Act, which included several environmental provisions discussed in a recent WilmerHale alert. If signed by Governor Newsom, the new laws will impact oil and gas infrastructure, carbon dioxide emissions, and carbon sequestration capabilities, among other items. For example:

Not all pending climate legislation was successful. SB 260, the California Climate Corporate Accountability Act, failed in the Assembly. SB 260 would have mandated that US-based businesses with annual revenues exceeding one billion dollars annually report all greenhouse gas emissions attributable to the business, including direct emissions, electricity use, and indirect emissions from the supply chain, waste disposal, leased assets, and other sources. AB 2133, which would have increased goals for reducing GHGs, also failed. Under AB 2133, California would have aimed to reduce GHG emissions to 55% below 1990 emissions (the current target is 40%).

Governor Newsom has until September 30, 2022 to veto or sign the bills that passed. Because Governor Newsom indicated strong support for many of the bills at the end of the session, it is expected that the climate legislation will largely become law. Regulated industries and entities should prepare for compliance in the new legal landscape, and WilmerHale's energy and environmental team is poised to help.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

  © Mondaq® Ltd 1994 - 2022. All Rights Reserved.

Password Passwords are Case Sensitive

Free, unlimited access to more than half a million articles (one-article limit removed) from the diverse perspectives of 5,000 leading law, accountancy and advisory firms

Articles tailored to your interests and optional alerts about important changes

Receive priority invitations to relevant webinars and events

You’ll only need to do it once, and readership information is just for authors and is never sold to third parties.

We need this to enable us to match you with other users from the same organisation. It is also part of the information that we share to our content providers ("Contributors") who contribute Content for free for your use.