“New York’s High-Stakes Gamble: Who Really Wins and Who Loses in the $75 Billion Energy Heist?”

The Climate Change Superfund Bill: A Turning Point for New York State?

On July 27, 2023, New York Governor Kathy Hochul signed into law the Climate Change Superfund bill, marking a significant milestone in the state’s efforts to combat climate change. The bill, sponsored by Sen. Liz Krueger and Rep. Jeffrey Dinowitz, aims to hold oil and gas companies accountable for their alleged role in polluting the environment and pay $75 billion over the next 25 years to mitigate the effects of climate change.

The legislation is modeled on federal and state Superfund laws, which was first introduced in the 1980s to clean up contaminated sites. The Climate Change Superfund bill, however, is unique in that it targets companies accused of contributing to climate change, rather than individual sites.

Critics of the bill argue that it is unrealistic and that it may face long-term legal challenges. Business groups, such as the New York State Business Council, claim that the bill will increase the cost of doing business in the state and that consumers will ultimately bear the brunt of higher energy prices.

Ken Pokarski, vice president of the New York State Business Council, said, “What do you want them to do? Don’t sell fuel in New York state.” However, proponents of the bill believe that it is a necessary step to take in combating climate change and making polluters accountable for their actions.

Sen. Krueger said, “The Climate Change Superfund Act is now law. Over the past decade, courts have regularly dismissed lawsuits against the oil and gas industry, saying climate liability issues should be decided by legislative bodies. Well, the Legislature of New York State, the tenth largest economy in the world – has accepted the invitation, I hope. We’ve made it clear: The planet’s largest climate polluters are uniquely responsible for causing the climate crisis, and they must pay their fair share to help ordinary New Yorkers cope with the consequences.”

Governor Hochul hailed the legislation as a victory for the state’s citizens and emphasized that the funds will be used to mitigate climate change efforts. “This bill would allow New York State to recoup $75 billion from major polluters… For too long, New Yorkers have been bearing the costs of a climate crisis that is impacting every region of the state,” she said.

According to estimates, 38 companies deemed to be carbon polluters will be punished for their alleged role in contributing to climate change. These companies include US oil giants Exxon Mobil and Chevron, British Shell and BP, and Petrobras. Saudi Arabia’s Saudi Aramco is expected to face the largest bill at $640 million per year, while Mexico’s state-owned Pemex will face $193 million per year. Russia’s Lukoil could face charges of around $100 million a year.

FAQs:

Q: What is the Climate Change Superfund bill?
A: The Climate Change Superfund bill is a new law passed in New York State that aims to hold oil and gas companies accountable for their alleged role in contributing to climate change.

Q: How much will the bill cost?
A: The bill is expected to cost companies approximately $75 billion over the next 25 years.

Q: What companies will be affected by the bill?
A: According to estimates, 38 companies deemed to be carbon polluters will be punished for their alleged role in contributing to climate change. These companies include US oil giants Exxon Mobil and Chevron, British Shell and BP, and Petrobras.

Q: What will the funds from the bill be used for?
A: The funds will be used to mitigate the effects of climate change in New York state.

Conclusion:

The Climate Change Superfund bill is a significant turning point for New York state, marking a major step towards holding polluters accountable for their actions. While critics of the bill argue that it is unrealistic and may face long-term legal challenges, proponents believe that it is a necessary step to take in combating climate change. The bill is expected to have far-reaching consequences, including increased costs for energy consumers and potential challenges for foreign companies. As the climate crisis continues to pose a major threat to the state and the nation, the passage of this bill is a critical step towards addressing the problem.