In a significant step toward enhancing transparency and supporting the state’s ambitious climate goals, the New York State Department of Environmental Conservation (DEC) has introduced draft regulations for a Mandatory Greenhouse Gas Reporting Program. This initiative is designed to gather detailed information on greenhouse gas (GHG) emissions, which is crucial for understanding and addressing the sources of these emissions. The program aligns with the statutory mandates included in the Climate Leadership and Community Protection Act, which requires New York to reduce GHG emissions by 40% by 2030 and 85% by 2050, in each case relative to 1990 levels. Importantly, the DEC underscores that this is a reporting-only program and that reporting entities will not be required to make any emissions reductions under the program, including through the purchase of emissions allowances.
The proposed regulations mandate annual emissions reporting starting with information covering emissions generated during the 2026 calendar year. As summarized in Appendix A, the proposed program applies to a wide range of entities, including owners and operators of facilities; fuel suppliers; waste haulers and transporters; electric power entities; and suppliers of agricultural lime and fertilizer, in each case subject to specific thresholds. Key dates under the program are set forth in Appendix B, with the first reports due by June 1, 2027. DEC has published a “Frequently Asked Questions” or “FAQ” covering the program to provide more information on the entities required to report and the reporting process, which may be found here.
To ensure the accuracy and reliability of the data, large emission sources (i.e., sources meeting specific annual thresholds, which are outlined in Appendix C), are required to have their emissions data reports verified by a DEC-accredited third-party service. This verification must be completed no later than August 10 of each emission year, with the first verification due by August 10, 2027. For purposes of the proposed reporting program, verification is a process to evaluate the emissions data of a reporting entity against the DEC’s procedures and includes an evaluation of the methods for calculating and reporting GHG emissions. Subject facilities must also submit a GHG monitoring plan by December 31, 2026.
The DEC has developed a GHG estimator tool to assist "Reporting Companies" (as defined in the FAQ) in determining whether their emissions meet or exceed the defined thresholds. This tool is not considered a final or legally binding determination of an entity’s reporting obligation and the version published by the DEC may be used for illustrative purposes only. In addition, the DEC is developing an online reporting platform—the New York State Greenhouse Gas Reporting Tool (or NYS e-GGRT)—to facilitate streamlined reporting.
If finalized, violators of the reporting regulations would be subject to stringent penalties for noncompliance, including injunctions, penalties and/or fines enumerated in Article 71 of New York’s Environmental Conservation Law. Each day a required report remains unsubmitted, is submitted late, or contains incomplete or inaccurate information would constitute a separate violation. Similarly, each metric ton of CO2e emitted but not reported would also be considered a separate violation. The DEC has the authority to assign an emissions level to entities failing to submit or verify emissions data, based on the best available information.
The draft regulations are currently open for public comments until July 1, 2025. The DEC will hold a series of webinars and public hearings to gather feedback, and to issue the final version of the regulations, which is expected to occur by the end of 2025.
We recommend that potentially affected entities review the proposed regulations and consider participating in the public comment process. If you have any questions regarding this client alert or the proposed regulations, please do not hesitate to contact the Akin lawyers referenced below.
Appendix A – Who Should Report Under Part 253?
*Note: CO2e calculations use a 20-year global warming potential (20GWP). 20GWP is an assessment of the Global Warming Potential of GHGs over an integrated 20-year time frame.
Appendix B: Part 253 Key Dates
*Note: Emission data reports and verification statements for the 2026 emissions data year would be due in 2027.
Appendix C: Large Emissions Source Thresholds
Source: NY Dep’t. Env’t Conserv., Mandatory Greenhouse Gas Reporting Program Frequently Asked Questions 2, https://dec.ny.gov/sites/default/files/2025-03/ghgreportingfaq.pdf.
