Attorney General Steve Marshall is leading a 19-state lawsuit asking the U.S. Supreme Court to declare some Democrat-led states' efforts to prosecute energy companies unconstitutional.
The Alabama-led lawsuit claims that several states' efforts are an attempt to coerce other states to comply with climate-conscious policies "by imposing ruinous liability and coercive remedies on energy companies through state tort actions governed by state law in state court."
The lawsuit names California, Connecticut, Minnesota, New Jersey and Rhode Island as defendants due to their individual litigation against energy companies.
For instance, California filed a state lawsuit against some of the nation's largest oil companies, claiming the companies directly caused climate change, leading to drought, wildfires, an "unusually cold spring, and a record-hot summer."
"These extremes are the products of climate change, and climate change is the product of widespread combustion of fossil fuels," the California lawsuit argues. "Oil and gas company executives have known for decades that reliance on fossil fuels would cause these catastrophic results, but they suppressed that information from the public and policymakers by actively pushing out disinformation on the topic. Their deception caused a delayed societal response to global warming. And their misconduct has resulted in tremendous costs to people, property, and natural resources, which continue to unfold each day."
California asked the court to impose a jury trial to hear the case and restrictions on the oil companies to "protect and/or prevent further pollution, impairment and destruction of the natural resources of California."
Marshall and the other states argue that the proposed restriction suggested by California and other states would place an undue burden on states that do not share their "truly radical" climate agenda. The suit argues that the proposed restrictions would, in essence, dictate national energy policy.
"If Defendant States are right about the substance and reach of state law, their actions imperil access to affordable energy everywhere and inculpate every State and indeed every person on the planet," Marshall's lawsuit reads. "Consequently, Defendant States threaten not only our system of federalism and equal sovereignty among States, but our basic way of life."
"The theory advanced by these states is truly radical: A small gas station in rural Alabama could owe money to the people of Minnesota simply for selling a gallon of gas," Marshall said. "The customer might even be liable too. These states are welcome to enforce their preferred policies within their jurisdiction, but they do not have authority to dictate our national energy policy. If the Supreme Court lets them continue, California and its allies will imperil access to affordable energy for every American. That would threaten our national security and harm millions of Americans already struggling to pay for gas and groceries. To protect Alabama citizens and our constitutional order, we had no choice but to sue."
The suit argues that Alabama is directly interested in filing the lawsuit since "Alabama is an energy-rich state with a wide variety of resources, including deposits of coal, crude oil and natural gas."
AG Marshall Lawsuit. by Craig Monger on Scribd
"The Bureau of Economic Analysis reports that in 2022, employees in Alabama working in oil and gas extraction received over $54 million in compensation, and employees in pipeline transportation received over $86 million," the lawsuit reads. "In Fiscal Year 2022, Alabama received around $1 billion in tax revenue from traditional energy sources, including $700 million from its gasoline tax, $32 million from oil and gas privileges, and $12 million from oil and gas production.
"Alabama also receives funds directly from companies who have purchased the right to develop natural gas resources in Mobile Bay. The amount of payment each year depends on natural gas volumes produced and the price of natural gas per thousand cubic feet. In Fiscal Year 2022, the Alabama Trust Fund, which receives these payments, received $67.9 million in royalties."
Attorneys general from Alaska, Florida, Georgia, Idaho, Iowa, Kansas, Mississippi, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Oklahoma, South Carolina, South Dakota, Utah, West Virginia and Wyoming have also joined the lawsuit with Alabama.
To connect with the author of this story or to comment, email craig.monger@1819news.com.
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