New York State has released a draft regulation requiring large emitters to report annual greenhouse gas (GHG) emissions starting in 2027, advancing its ESG and carbon neutral strategy. The rule, proposed by the Department of Environmental Conservation (DEC), mandates entities emitting 10,000 metric tons or more of CO2-equivalent (CO2e) annually to report emissions data from 2026 by June 2027. 

Covered sectors include electricity generation, landfills, stationary combustion, natural gas infrastructure, anaerobic digestion, fuel suppliers, waste haulers, and agricultural distributors. Although the rule does not yet require emissions cuts or carbon allowance purchases, it forms the foundation for New York’s future cap-and-invest system projected to raise over $1 billion annually. 

DEC Acting Commissioner Amanda Lefton emphasized the importance of emissions data in shaping equitable climate policy: “This data is critical to inform the State’s sustained efforts to protect our environment and improve the health and quality of life of all New Yorkers.” 

The upcoming cap-and-invest program—aligned with New York’s Climate Act—will require major emitters and fuel providers to buy emissions allowances under a shrinking cap. Funds raised will be directed toward emissions reduction projects and to support disadvantaged communities affected by climate change. 

Reporting requirements begin in June 2027, with some facilities subject to third-party verification. The DEC will provide a digital platform, training, and tools to ease compliance. Entities may also reuse emissions data previously submitted to federal or state agencies. 

Public comments on the proposal are open until July 1, 2025, with five public hearings and two webinars scheduled. A final rule is expected by year-end. 

This move reinforces New York’s climate leadership and ESG commitment amid potential federal rollbacks, ensuring consistent emissions tracking and climate transparency. 

Sources : 

https://esgnews.com/new-york-releases-draft-rule-requiring-major-emitters-to-report-ghg-emissions-by-2027/  

https://dec.ny.gov/news/press-releases/2025/3/dec-releases-draft-regulations-to-collect-greenhouse-gas-emissions-data