Vermont's Climate Superfund Act: Pioneering Climate Accountability for Fossil Fuel Companies - Environment+Energy Leader

More than 60 companies in the oil, gas and coal sectors may be held accountable for decades of damage caused in Vermont if this new legislation passes, setting precedent for other states to follow Vermont’s path. (Photo by Kevin Davison on Unsplash)
by Staff Writer | May 29, 2024
This article is included in these additional categories:
Vermont is on the verge of enacting the Climate Superfund Act, a pioneering piece of legislation that aims to hold oil, gas, and coal companies accountable for damages linked to historical greenhouse gas emissions. This legislation, modeled after the federal Superfund law, represents the first instance of a state applying the “polluter pays” principle to climate impacts, potentially transforming climate policy nationwide.
Advancements in climate science, particularly the ability to attribute specific global warming effects to individual events such as floods and heat waves, have enabled this legislative move. Researchers can now track historical emissions from companies and link these emissions to disasters with quantifiable costs.
The push for the Climate Superfund Act (S.259) has gained momentum following severe flooding in Vermont, reminiscent of past hurricanes, with damages exceeding $1 billion. This crisis galvanized a bipartisan coalition of lawmakers, including state Senate Republican leaders and members of the Progressive Party, to support the bill. State Senator Nader Hashim highlighted the financial burden of climate adaptation, arguing that it is more equitable for fossil fuel companies to bear these costs rather than Vermont taxpayers or relying solely on federal aid.
The fossil fuel industry is expected to contest the legislation pending approval from Republican Governor Phil Scott. Legal experts, however, believe that industry challenges will not likely dispute the validity of attribution science, as courts tend to allow legislatures considerable leeway in crafting laws based on the best available science.
Christophe Courchesne, director of the Vermont Law and Graduate School’s Environmental Advocacy Clinic, noted that state policymakers’ serious consideration of attribution science is a powerful tool for climate accountability.
Vermont’s initiative is not isolated. Similar legislative efforts are emerging in California, New York, Massachusetts, and Maryland, with federal proposals from Senators Bernie Sanders and Chris Van Hollen. The Vermont bill mandates the state treasurer to assess costs linked to emissions from 1995 to 2024, holding companies that have produced over a billion tons of greenhouse gases liable. This approach could affect approximately 68 companies, predominantly in the oil, gas, and coal sectors.
Attribution science, integral to the bill, is rooted in the meticulous documentation of corporate emissions, as highlighted by Richard Heede of the Climate Accountability Institute. This science enables precise estimation of each company’s contribution to climate change, bolstering the case for financial accountability.
Vermont’s treasurer, Mike Pieciak, is tasked with implementing the legislation, including selecting the scientific methods to underpin the program. The bill’s reliance on robust scientific analysis is designed to withstand legal scrutiny and ensure a defensible approach to calculating climate damages.
As the legislation moves forward, it could set a precedent for other states and potentially reshape the landscape of climate litigation and accountability across the United States.