Vermont defends landmark climate law as Trump administration and oil industry sue

Vermont is preparing for a drawn-out legal fight after President Trump’s Justice Department joined fossil fuel interests in suing to block the state’s new Climate Superfund law, which seeks to make oil companies pay for decades of greenhouse gas emissions.

Nina Sablan reports for Inside Climate News.


In short:

  • Vermont’s Climate Superfund Act, passed in 2024, aims to hold fossil fuel companies financially responsible for damages caused by their past greenhouse gas emissions from 1995 to 2024.
  • The Trump administration sued Vermont and New York on May 1, arguing the laws interfere with federal authority and burden domestic energy production, echoing industry opposition.
  • Despite mounting legal costs and political resistance, Vermont leaders say the law is constitutional and necessary to fund climate adaptation in a state increasingly battered by extreme weather.

Key quote:

“Frankly, the president is using the Department of Justice as a political shield for his allies in the oil industry.”

— Ben Edgerly Walsh, the Climate and Energy Program director at the Vermont Public Interest Group

Why this matters:

As climate disasters grow more destructive and expensive, states like Vermont are trying to make polluters — not taxpayers — foot the bill. The Climate Superfund approach doesn’t regulate future emissions; it retroactively charges fossil fuel companies for past harms based on climate attribution science. That distinction is legally important and politically explosive. The stakes are high: Vermont is a small, rural state with limited resources, but its strategy has inspired similar bills in other states and could set a legal precedent. Meanwhile, the fossil fuel industry, with support from the federal government under President Trump, is mobilizing hard to kill it. The outcome will shape how the U.S. distributes the financial burden of climate change, and whether frontline communities can secure relief.

Related: States ramp up efforts to make fossil fuel giants pay for climate damages

A man wearing a business suit riding his bike to work

Encouragement boosts people’s likelihood to take climate action

Framing climate action as “doing more good” instead of “doing less bad” makes people more willing to act and feel better about it, a study finds.
A stack of particle board viewed from the side

A climate case for turning farm waste to building materials

Wheat straw and rice husks already appear in niche construction products. A new study explores the global climate effects if they went mainstream.
Child sitting in a doorway and looking down at the ground

The world has pledged to triple climate financing for poorer countries. Is the UK about to U-turn?

The UK has been warned that cutting climate financing for poorer countries would be an “act of self-harm” that would hinder its global influence and damage food security.

The blue and white Energy Star logo sticker

Energy Star program survives Trump administration's budget cuts

Energy Star, the program that helps guide consumers to more energy-efficient appliances and electronics, has survived President Donald Trump’s attempt to kill it.
An aerial view of a nickel mining operation

Canadian nickel mine’s plan to store carbon in waste rock

The Crawford Nickel mine outside Timmins, Ontario, is receiving millions of public dollars to figure out how to lower greenhouse gas emissions.

A row of solar panels with the city of Shanghai in the background

China to see solar capacity outstrip coal capacity this year

The China Electricity Council says that, by the end of 2026, wind and solar will account for nearly half of China’s power capacity.

A tin hut with a small solar panel on the roof

Solar energy gains ground across Africa, but challenges persist

Solar power is expanding rapidly across Africa, with some countries now generating a significant share of electricity from the sun, but energy poverty, battery risks and rising costs threaten future growth.
From our Newsroom
Multiple Houston-area oil and gas facilities that have violated pollution laws are seeking permit renewals

Multiple Houston-area oil and gas facilities that have violated pollution laws are seeking permit renewals

One facility has emitted cancer-causing chemicals into waterways at levels up to 520% higher than legal limits.

Regulators are underestimating health impacts from air pollution: Study

Regulators are underestimating health impacts from air pollution: Study

"The reality is, we are not exposed to one chemical at a time.”

Pennsylvania governor Josh Shapiro speaks with the state flag and American flag behind him.

Two years into his term, has Gov. Shapiro kept his promises to regulate Pennsylvania’s fracking industry?

A new report assesses the administration’s progress and makes new recommendations

silhouette of people holding hands by a lake at sunset

An open letter from EPA staff to the American public

“We cannot stand by and allow this to happen. We need to hold this administration accountable.”

wildfire retardants being sprayed by plane

New evidence links heavy metal pollution with wildfire retardants

“The chemical black box” that blankets wildfire-impacted areas is increasingly under scrutiny.

Stay informed: sign up for The Daily Climate newsletter
Top news on climate impacts, solutions, politics, drivers. Delivered to your inbox week days.