New Jersey’s Climate Corporate Accountability Act (CCDAA)

What Companies Need to Know

Independently of federal action, corporate climate disclosure requirements are advancing at the state level, and New Jersey may be the next state to join California in mandating greenhouse gas (GHG) emissions reporting for large companies. The bill is modeled closely on California’s SB 253 and mirrors New York’s recently advanced legislation. Because the bill has not been signed into law, all provisions discussed here reflect proposed requirements. Companies should monitor developments closely as the final version may look different.

Related

Preparing for California’s Climate Disclosure Laws

For information on New York’s CCDAA, refer to this blog.

Current Status

In January 2026, the New Jersey state legislature introduced Senate Bill 679, the Climate Corporate Data Accountability Act (CCDAA), sponsored by Senator Bob Smith and Senator John McKeon.

On February 12, 2026, the State Senate’s Environment and Energy Committee reported the bill with amendments (discussed later in this article), passing it on a 3-2 vote, before referring it to the Senate’s Budget and Appropriations Committee, where it currently awaits further action. Enactment is not yet certain, but it warrants attention from any company with a significant New Jersey presence.

Who Would Be Covered

Just like its California and New York counterparts, NJ’s GHG reporting requirement would apply to U.S.-based companies doing business in New Jersey with total annual revenues exceeding $1 billion.

Key Requirements & Provisions

GHG emissions reporting: Covered companies would be required to disclose their Scopes 1 and 2 emissions in line with the GHG Protocol. A proposed Scope 3 reporting requirement was removed.

Third-party assurance: The bill calls for independent assurance of disclosures.

Cross-jurisdictional recognition: Reports submitted to California would satisfy NJ’s reporting requirements.

First Amendment protection: The bill allows companies to withhold certain information on free speech grounds, with advance notice to the Attorney General.

Committee Amendments

The Senate Environment and Energy Committee adopted three amendments to S679 before advancing the bill to the Budget and Appropriations Committee.

1. Removal of Scope 3 reporting: The most significant change eliminated Scope 3, limiting mandatory disclosure to Scopes 1 and 2. However, even without a NJ Scope 3 requirement, exposure under other jurisdictions such as California or New York will likely still necessitate reporting value-chain emissions data.
2. Parent company reporting: A parent company would be permitted to file a single consolidated disclosure covering its subsidiaries.
3. National Association of Insurance Commissioners (NAIC) Climate Risk Disclosure Survey equivalency: Insurance companies that complete the NAIC Climate Risk Disclosure Survey would satisfy the bill’s reporting requirements, similar to California’s requirements.

Enforcement

Non-compliance carries financial risk. The New Jersey Department of Environmental Protection would be authorized to collect fees from all in-scope entities and could issue fines of up to $50,000 per day to companies that fail to report.

Timeline

Reporting deadlines for companies covered by this Act would depend on the eventual date of enactment.

• Scopes 1 and 2 disclosures would be required within three years of enactment
• Limited assurance would be required within four years of enactment
• Reasonable assurance would be required within eight years of enactment

Therefore, if the bill is enacted in 2026, Scope 1 and 2 disclosures could be required by  2029.

How to prepare: Companies who want to stay ahead of this emerging regulation should monitor developments and consider begin building their emissions inventory and assurance programs, positioning themselves to comply when requirements take effect.

How G&A Can Help

Navigating evolving climate disclosure requirements demands both regulatory expertise and practical implementation support.

G&A’s climate team can help your organization with emissions inventory development, assurance readiness, regulatory monitoring, and cross-jurisdictional strategy for companies preparing for compliance with New Jersey’s CCDAA and other states’ disclosure requirements.

Whether you’re just beginning to assess your CCDAA exposure or already building out your disclosure infrastructure, set up a call with our team to learn how G&A can support your climate reporting goals.

 

Neva Modric

Sustainability Analyst, G&A Institute

Neva Modric is a Sustainability Analyst at G&A Institute. Her role includes conducting research to support client engagements, assisting with double materiality assessments, developing sustainability reports, analyzing ESG data, and providing general sustainability consulting. She is passionate about helping companies drive positive, sustainable impact that benefits both people and the environment.