US-CONGRESS BILLS-119hr9975ih: Carbon Dioxide Removal Leadership Act of 2026
The Carbon Dioxide Removal Leadership Act of 2026 establishes a federal program to incentivize carbon dioxide removal (CDR) through contracts and tax credits, with reporting requirements for companies claiming CDR credits. This impacts ESG disclosures, particularly scope 3 emissions and GHG inventories.
Aforeworn detected this change in the ESG & Climate Disclosure space on July 28, 2026 and published this briefing so affected operators are forewarned rather than caught off guard. It is rated Medium urgency. Public companies, large private filers, sustainability consultants, EU-market exporters should confirm how it applies to their specific situation before acting. There is a time constraint attached: Effective upon enactment; reporting requirements likely phased in over 1-2 years.. Acting after that point can mean penalties, a lapsed licence, or lost eligibility — exactly the kind of surprise Aforeworn exists to prevent. Aforeworn monitors ESG & Climate Disclosure continuously and turns every detected change into a plain-English briefing like this one, so you always know first. Forewarned is forearmed.
What changed
New federal CDR credit program with mandatory reporting for entities claiming credits; potential alignment with SEC climate rule and CSRD requirements for scope 3 removals.
Who it affects
Public companies, large private filers, sustainability consultants, EU-market exporters
What you must do
Assess eligibility for CDR credits; update GHG inventory to include CDR activities; prepare for additional disclosure requirements if claiming credits.
Deadline
Effective upon enactment; reporting requirements likely phased in over 1-2 years.
Source: https://www.govinfo.gov/app/details/BILLS-119hr9975ih
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