Louisiana Association of Business and Industry President and CEO Will Green
Both houses of the Louisiana Legislature have passed versions of a measure that would provide energy companies operating in the state with protection from legal claims seeking climate-change damages relating to greenhouse gas emissions.
The measure, House Bill 804, authored by Rep. Brett Geymann (R-Lake Charles), passed the state Senate this week on a 31-to-3 vote. The bill stresses that Louisiana public policies aim to promote the generation of energy to meet the state’s needs and to protect both energy consumers and producers from claims of injury caused by the emission of greenhouse gases.
“(The) proposed law prohibits any covered civil liability action for climate-change damages from greenhouse gas emissions from being brought, filed or maintained by any person against any person in any court or proceeding in this state,” the Legislature’s analysis of the bill states.
Exceptions to the proposed legal protections include when a company violates enforceable state or federal statutes or valid permits – or violates workplace safety standards outlined in the federal Occupational Safety and Health Act (OSHA).
The state Senate added other limitations to the measure, which is titled the “Louisiana Energy Protection Act,” These limitations include a provision stating that the legal protections apply only to civil actions related to climate change that are filed after the measure’s effective date once it is signed into law – and not to lawsuits that are currently working their way through the court system.
Both consumer and business groups have expressed support for the bill.
“The Louisiana Energy Protection Act is an important step toward strengthening legal certainty and reinforcing Louisiana’s competitiveness for investment, economic growth and job creation,” Will Green, president and CEO of the Louisiana Association of Business and Industry, said in an email to the Louisiana Record. “The legislation provides greater clarity and predictability in Louisiana’s legal climate while preserving longstanding environmental protections and regulatory remedies.”
Public policy in the state should be established by elected policymakers rather than by conflicting court rulings or a hodgepodge of litigation launched by activists that can harm the energy industry and increase consumer costs, according to Green.
“The Legislature should establish the policy of this state, not entrepreneurial plaintiffs seeking to weaponize our legal system against the citizens, farmers, businesses and industries that make up the backbone of Louisiana’s economy,” he said.
The Consumer Energy Alliance (CEA), a nonprofit group that advocates for affordable, dependable and clean energy for consumers, also expressed support for HB 804, saying that the measure puts in place guardrails to control frivolous climate-change lawsuits.
“The bill promotes the production and consumption of energy, while protecting energy producers and users from politically motivated lawsuits seeking massive damages,” Jeff Ostermayer, CEA’s spokesman, told the Record in an email. “Additionally, the bill reinforces an ‘all-of-the-above’ energy strategy that has served Louisiana well. From traditional oil and gas to emerging technologies, the state’s strength rests in its ability to support a full spectrum of energy development.”
Environmental groups such as the Delta Chapter of the Sierra Club criticize the measure as overly broad, saying that it would grant industry a “license to pollute” with little accountability. State taxpayers could be left to foot the bill for environmental disasters resulting from carbon capture and sequestration failures, for example, according to the group.
