Fossil Fuel Lawsuits Are A Tax On Consumers

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Announcing the state’s lawsuit against energy producers, California AG Rob Bonta claimed it is time to make energy companies pay for “the harm they have caused.” It is one of more than thirty such lawsuits around the country.

As I have argued herehere, and here, these lawsuits are not heroic efforts to safeguard the environment. The filings by cities and state AGs, as well as the dozens of other suits they hope to inspire, will primarily harm families by worsening the affordability crisis that is already harming households across the country. As with any policy that drives up the costs of energy, low- and middle-income families will bear the brunt of the costs.

Of course, harming families and local businesses through higher energy costs is not how the plaintiffs justify their lawsuits. California and other elected officials around the country sell their lawsuits to their local constituents with populist tropes about corporate accountability.

Click to read the full article in Forbes. 

Nothing contained in this blog is to be construed as necessarily reflecting the views of the Pacific Research Institute or as an attempt to thwart or aid the passage of any legislation.

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