California Safe Harbor Bill (AB 1911)

As the carbon market community gathers at North American Carbon World (NACW) in San Diego this week, conversations are centering on the future of transparent, credible climate action and the related policies shaping it. One such policy is California’s proposed Assembly Bill 1911, which reflects the state’s continued leadership in advancing high-integrity carbon markets.

Assembly Bill 1911, titled “Advertising: environmental marketing claims: carbon credits,” aims to strengthen the voluntary carbon market (VCM) by requiring that environmental marketing claims tied to carbon credits be backed by a carbon crediting program meeting certain guidelines. These requirements include a set of specific criteria including methodological transparency, robust tracking, third party verifying, and ensuring environmental integrity.

This builds on existing California law, which restricts false or misleading environmental claims, whether stated directly or indirectly. AB 1911 goes a step further by offering a “safe harbor” for businesses that protects them from lawsuits or complaints related to misleading claims, if their carbon credits come from eligible programs including: the California Air Resources Board (CARB), the Carbon Offsetting Reduction Scheme for International Aviation (CORSIA), or other prominent carbon registries that meet the clearly defined  guidelines [1].

The state intends to publish an official list of qualifying programs ahead of January 1, 2027, offering  clarity to market participants on which carbon credit programs will qualify for the safe harbor provisions of subsection (b) in AB 1911.

Overall, AB 1911 reinforces California’s broader climate strategy, and provides a clear signal that high quality carbon programs  can-and-do ensure integrity, transparency, and accountability. If passed, AB 1911 will give buyers additional confidence in the VCM by establishing clear legal protections on what is not greenwashing when it comes to  purchasing carbon credits.

Reference: 

[1]. Bill Text – AB-1911