Montana vs. meddling kids

From: POLITICO's The Long Game - Tuesday Jun 20,2023 04:01 pm
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Jun 20, 2023 View in browser
 
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By Debra Kahn

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THE BIG IDEA

A photo collage of images of several children who are suing Montana over climate issues.

These young Montanans had their day in court. Now it's the state's turn. | POLITICO illustration; photos courtesy of Our Children's Trust

MONTANA TAKES THE STAND — Montanans were treated yesterday to the novel sight of state bureaucrats defending their constitutional right to permit fossil fuel projects.

The case, Held v. Montana, is the first of its kind to make it to trial in the United States and could serve as a bellwether for other efforts to hold governments and industries to account for their role in warming the planet, as Lesley Clark reports for POLITICO's E&E News.

Monday's oral arguments were Montana officials' chance to push back on a week of testimony from young plaintiffs who argue that the state's constitution requires agencies to take climate change into account.

Enacted in 1972 amid a national wave of environmental awareness, the document puts the right to a "clean and healthful environment" right at the top — ahead of freedom of religion and speech.

Officials argued Monday that they're just following the law, including a new one that bars them from considering the effects of climate change on projects. They said the Montana Environmental Policy Act that the youth are challenging doesn't have the regulatory teeth that would allow the state to reject projects under it.

“We have no right ... not to follow the law,” said Chris Dorrington, director of the state's Department of Environmental Quality, adding that his department “does not have the authority to not permit something that fully complies with the law.”

State officials got a little testy at the plaintiffs' assertion that Montana has never turned down a fossil fuel project.

“I do take some offense at an insinuation that the folks at DEQ are simply putting their stamp of approval on any application that rolls in the door,” said Sonja Nowakowski, the state’s air, energy and mining division administrator. “These are very robust permitting processes. These people thrive on poking holes in applications and making sure they meet the letter of the law.”

The mere fact that the trial is happening is the real news here. State lawmakers have insulated regulators pretty well from it, via the law they passed this spring barring consideration of climate change in evaluating projects. (The activists say it was aimed at weakening their case.)

Still, legal experts are closely watching the two-week trial and say a decision on behalf of the young people could provide compelling precedent for future lawsuits that seek to prod governments to do more about climate change.

And it comes as a separate set of climate liability challenges filed by cities and states against the oil and gas industry are poised to advance after years of procedural wrangling in the Supreme Court and elsewhere.

Click on all the links above for Lesley's exhaustive coverage of the case, on location in Helena.

A fly fisher, a competitive Nordic skier, a fifth-generation cattle rancher: Meet the 16 youth plaintiffs leading the challenge.

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BUILDING BLOCKS

AND JUST LIKE THAT — After months of congressional wrangling over permitting reform, the Supreme Court may have delivered much of what industry was looking for in one fell swoop, Annie Snider reports.

Last month's Sackett v. EPA decision shrinking federal wetlands protections took a wrecking ball to an expansive permitting regime that has been in place for nearly 50 years. The 5-4 ruling put at least half the country’s marshes, swamps and other wetlands outside the reach of federal water protections, an outcome that could speed the way for pipelines, power lines, highways and housing projects across the U.S.

“Sackett is not a Promised Land. It didn’t clear up everything. But boy did it clear up a lot,” said Molly Cagle, senior counsel at the law firm Baker Botts, who advises infrastructure developers on permitting.

Now, legal experts say, hundreds of projects will probably no longer need Clean Water Act permits. Others will still have to go through the water permitting process, but will likely face far fewer requirements to either lessen their impacts or pay for rebuilding wetlands elsewhere.

OTOH — Inflation is biting at new energy projects — offshore wind in particular, Heather Richards reports for POLITICO's E&E News.

A recent market analysis by Westwood Global Energy Group found the cost to build offshore wind farms has spiked by as much as 20 percent amid high inflation in the U.S. and other countries, threatening to slow down the budding industry.

Spikes in fuel prices as well as materials such as steel and copper could drive a $280 billion increase in the cost to build out the offshore wind industry over the next 10 years, it says.

The Westwood findings echo recent warnings from companies developing some of the first offshore wind farms in the U.S. that the projects might not be viable unless utilities agree to pay more for the electricity or states give developers a larger share of federal tax benefits.

 

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EXTREMES

FLOOD FACTS — New York is set to become one of the largest states to make home sellers disclose past flood damage and future risk, Tom Frank reports for POLITICO's E&E News.

The bill that passed the state Legislature earlier this month marks a victory for environmental advocates who have been pushing legislatures across the U.S. to adopt laws that they say could shed light on the dangers of living in flood-prone areas.

The measure is now before Gov. Kathy Hochul (D), who is widely expected to sign it following her approval last year of a similar bill that requires flood disclosure on rental leases.

SUPPLY CHAINS

VW'S BUG — Volkswagen is facing pressure from shareholders to distance itself from China's Xinjiang region, where it has a plant that hasn't been tied to forced labor but is near areas that have been.

It's a lose-lose situation for VW, which led the Western charge into the Chinese market in the 1980s and remains dependent on business there for 15 percent of its pretax profit and 37 percent of its new car sales last year.

Pulling out of the region would jeopardize relations with Beijing, but staying could antagonize German politicians, who have been emphasizing “values-driven” diplomacy.

Read more from Stuart Lau, Joshua Posaner and Hans von der Burchard.

 

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Team Sustainability is editor Greg Mott, deputy editor Debra Kahn and reporters Jordan Wolman and Allison Prang. Reach us all at gmott@politico.com, dkahn@politico.com, jwolman@politico.com and aprang@politico.com.

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WHAT WE'RE CLICKING

The Washington Post has a look at how passive cooling technology can help us use our roofs to combat global warming.

— The drive to get workers to return to the office has entered the bribery and coercion stage. The New York Times explains.

— Microsoft, BlackRock and JPMorgan Chase are among companies looking to an ancient type of charcoal as a potential next big thing for carbon markets. Bloomberg has details.

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Recognizing the impact climate change has on human health, we’re also working to minimize our footprint by accelerating a path to net-zero, leading efforts to decarbonize the U.S. health system and reducing waste, water and paper usage. Read the report to learn more about our progress on sustainability.

 
 

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