Hawaii Counties Sue Energy Companies

Two weeks ago, the mayor of Honolulu, HI, and members of the City Council announced plans to sue fossil fuel companies over the effects of climate change.

• It’s the second Hawaiian county to do so, following Maui the week before.
• It named Exxon Mobil, Chevron, Shell, and other energy firms as the targets.

Zoom out: The counties are joining a series of lower-level governments bringing action on climate change directly to pollution-generating companies, rather than hammering those companies indirectly via regulations or other lawmaking.

• The U.S. Supreme Court recently declined to block a lawsuit Baltimore brought against energy companies.
• A verdict is expected any day now in a case pitting New York against Exxon.

As an archipelago, Hawaii is especially vulnerable to rising sea levels.

• A 2018 report found that sea-level rise could render more than 6,500 structures and 25,800 acres of land located near the state shoreline unusable or lost as early as 2060 in a worst-case scenario. That could displace more than 20,000 residents.
• A 2017 study found that rising oceans could result in $12.9 billion of loss and damage to private property.

One challenge for the lawsuits: It’s tough to make direct connections between company activities and adverse effects of climate change. That’s why New York’s lawsuit was centered on misleading investors.

• It’s not clear if Honolulu will have to make that connection in court. But it’s definitely taking a riskier path by tying its claims to disruption of the natural environment.

Looking ahead and what to watch for: Expect more news of local governments suing fossil fuel companies. But pay attention to whether they claim the companies are a “nuisance,” have misled shareholders, or have harmed the physical environment.