Energy Insider

January 2025

Issue #5: New York’s $75 Billion Climate Fund Faces Legal Hurdles

Big Oil battles Albany’s sweeping tax.

​

What’s Going On:

New York State has enacted a $75 billion climate “superfund” law aimed at holding oil companies accountable for global greenhouse gas emissions from 2000 to 2018. Signed by Governor Kathy Hochul, the law seeks to fund environmental remediation projects through annual payments over 24 years from fossil fuel companies operating in the state.

Key Issues:

1. Retrospective Penalty:
   • Critics argue the law imposes retroactive penalties, violating constitutional protections against ex post facto laws.
   • The law penalizes companies for past emissions without offering them a chance to contest liability in court.
2. Fair Share Debate:
   • Companies like ExxonMobil are taxed based on global emissions, not just their activities in New York.
   • This raises concerns about states overstepping their jurisdiction and taxing beyond their “fair share.”
3. Legal Challenges Ahead:
   • The law faces potential challenges under constitutional provisions, including the Commerce Clause and Due Process.
   • Questions of causation also loom large—how directly can oil companies be blamed for climate change?

The Bigger Picture:

Why It Matters:

• States like California, Maryland, and Massachusetts are considering similar measures, which could create a national precedent.
• These laws represent a growing trend of states taking climate action as federal policies waver under new leadership.

Pushback from Big Oil:

• Oil companies argue that these laws shift the blame onto them instead of consumers who use fossil fuels.
• They warn of cascading economic impacts, including higher energy prices.

Broader Implications:

• If upheld, New York’s law could inspire more states to hold industries accountable for environmental damages.
• Alternatively, a successful legal challenge could stymie state-led climate initiatives nationwide.

The Takeaway:

New York’s ambitious climate law has sparked a high-stakes legal battle that could reshape state-led climate accountability. As lawsuits loom, the outcome will set the tone for how states and corporations address climate costs in the years ahead.

​

In this issue: ​

Hot off the Press New York’s $75 Billion Climate Fund Faces Legal Hurdles Sponsorship Add your Sponsorship Here. Company Spotlight WeaveGrid

Today's issue sponsored by Add your Sponsorship

We share details about your company.

We add your links.

• Click the arrow we provided a template for you.
• We push your content until there is a new sponsor on our posts.

Join our sponsorship program

​

Company Spotlight

WeaveGrid

Who They Are​
WeaveGrid creates smart software that helps electric vehicles (EVs) charge efficiently while supporting the electric grid. Their goal is to make EV adoption easier, cheaper, and better for the environment.
​

The Basics

• Started: 2018
• Where: San Francisco, California
• What They Do: Build software that manages EV charging to reduce grid strain, save money, and use renewable energy more effectively.
• Website: weavegrid.com​
  ​

What They Make​
WeaveGrid’s software uses machine learning and analytics to:

• Help utilities manage EV charging during off-peak hours.
• Lower costs for EV owners by optimizing charging times.
• Integrate clean energy into the grid seamlessly.
  ​

What Makes Them Special

• They focus on solving grid challenges to make EV growth sustainable.
• Their systems benefit both utility companies and EV drivers.
• They’re backed by major investors, including Woven Capital (Toyota’s growth fund) and Salesforce Ventures.
  ​

How Big Are They?

• Raised $28 million in funding in December 2024 to expand their reach.
• Partnered with utilities to bring EV charging solutions to more areas.
• Growing rapidly as EV adoption accelerates worldwide.
  ​

Why It Matters​
As EVs become more popular, the demand for electricity is skyrocketing. WeaveGrid’s smart software ensures that EVs can grow without overwhelming the grid, helping to create a cleaner, more reliable energy future.

Learn more at weavegrid.com.

​