Summary:

New York State enacted a landmark "polluter pays" climate superfund bill.
The bill will force major fossil fuel companies to pay $75 billion over 25 years for climate damages.
The legislation was passed despite opposition from business groups and underscores the importance of state-level climate action.
The bill is unlikely to raise gas prices, according to Nobel laureate economist Joseph Stiglitz.
New York's action could inspire similar legislation in other states, potentially creating a significant national impact.

NYC's Landmark Climate Superfund: Holding Polluters Accountable

New York, the 10th largest economy globally, just made history. Governor Kathy Hochul signed a groundbreaking "polluter pays" climate superfund bill, holding major fossil fuel companies accountable for climate change damages.

How it Works:

The bill, inspired by the federal "polluter pays" principle, will require major fossil fuel companies to pay New York State billions of dollars over 25 years. The fees are calculated based on each company's share of emissions from 2000 to 2018. This is a significant step, as by the year 2000, the science of climate change was well-established, making it difficult for companies to claim ignorance.

The Fight for the Bill:

The bill's passage wasn't easy. Activists, including members of Third Act, staged protests and even arrests to push for its approval. Business groups opposed the bill, but proponents argued that taxpayers shouldn't bear the cost of climate change-related damage, and that responsibility should fall on the companies that profited from fossil fuels.

Economic Impact:

Nobel laureate economist Joseph Stiglitz points out that the bill is unlikely to increase gas prices, as the global oil market sets prices, not individual companies. The bill is projected to raise $75 billion over 25 years.

Potential Ripple Effect:

New York's action could inspire other states to follow suit. This strategy mirrors the approach that successfully targeted the tobacco industry. This represents a significant step in tackling climate change on a state level, showing how progress can be made even with a climate-denying administration in power.

Further Information: