SEC Climate Disclosure Rule: 2026 Status, Timeline & What Companies Must Do Now
The SEC’s 2024 climate disclosure rule has been effectively rescinded. The SEC stopped defending it in March 2025 and proposed full withdrawal. But disclosure obligations haven’t disappeared — California’s SB 253, the EU’s CSRD, and ISSB S2 now fill the gap. The timeline table below shows exactly where things stand.
SEC Climate Disclosure Rule: Full Timeline
| Date | Event | What It Means |
|---|---|---|
| March 2024 | SEC finalizes climate disclosure rule | Required Scope 1, 2, 3 reporting for public companies |
| April 2024 | SEC voluntarily stays the rule | Implementation paused pending legal challenges |
| March 2025 | SEC stops defending the rule | Rule effectively abandoned under new administration |
| April 2025 | 8th Circuit suspends litigation | Legal process frozen |
| 2026 | SEC proposes full rescission | Rule being formally withdrawn |
| 2026 onwards | State laws fill the gap | California SB 253, SB 261 now primary US obligations |
| 2027 | ISSB S2 widely adopted globally | 40+ jurisdictions implementing climate disclosures |
What Public Companies Must Do Now
Even though the federal SEC rule is being withdrawn, climate disclosure obligations remain. Companies operating in California, the EU, or with international investors face binding requirements under:
- California SB 253 — requires large companies doing business in California to disclose Scope 1, 2, and 3 emissions
- California SB 261 — requires climate-related financial risk disclosure
- EU CSRD — applies to large EU companies and non-EU companies with significant EU revenue
- ISSB S2 — adopted in 40+ jurisdictions and becoming the global baseline
For a full compliance framework, see our California Climate Accountability Laws guide and the ESG Regulatory Frameworks Complete Guide.
Frequently Asked Questions
Is the SEC climate disclosure rule still in effect in 2026?
No. The SEC stopped defending the rule in March 2025 and has proposed full rescission. The rule is effectively dead at the federal level, though state and international obligations remain.
What replaced the SEC climate disclosure rule?
California’s SB 253 and SB 261 are now the primary US climate disclosure obligations. Internationally, ISSB S2 has been adopted in 40+ jurisdictions and is becoming the global standard.
Do companies still need to disclose climate risk in 2026?
Yes — companies operating in California, the EU, or with international investors face binding climate disclosure requirements regardless of the SEC rule being withdrawn.
When did the SEC abandon its climate disclosure rule?
The SEC voluntarily stayed the rule in April 2024, stopped defending it in March 2025, and proposed full rescission in 2026.