SHARPE: The Ridiculous Reasoning Behind New York’s Climate Change Law

New York just passed a law to “fine” oil and gas companies $75 billion over the next 25 years for the damages caused by climate change. New York is joining two dozen cities and states in suing, claiming the oil and gas companies knew that climate change was occurring in the 1970s and did nothing about it.
There are several reasons New York’s law and these lawsuits have no basis and should be immediately thrown out.
First, how do you determine how much those cities and states are being damaged? Because every storm, flood, fire or drought is blamed on climate change.
Obviously, that is false; such events have occurred since the beginning of time. Further, none of the plaintiffs acknowledge the benefits of fossil fuels — the underappreciated workhorse that brought us out of the dark ages. The fires in Los Angeles are a catastrophe, with billions in homes and infrastructure being destroyed. To the extent that carbon energy is to blame for the fires, you must acknowledge that the infrastructure would not have been there without carbon energy. Further, carbon energy, which underpins our life as we know it, has not ruined the environment but has helped preserve it. The nastiest living conditions with the lowest life expectancy on the planet are where people have little, if any, access to energy.
Second, since New York and most other plaintiffs produce virtually no oil or gas, which companies are responsible for their emissions? New York’s emissions did not occur because Exxon produces oil and gas in Texas or elsewhere; those emissions came because their citizens continue consuming the fuels crucial to running their lives.
To illustrate, New York banned fracking in 2015, even though it sits over the prolific gas reserves of the Marcellus Shale. It continues to consume 1.7 trillion cubic feet of natural gas annually, the same as before the ban. Instead of producing its gas, New York imports the fuel from neighboring Pennsylvania, to whom it has exported the economic benefit of the capital, royalty and taxes. What it did not export was the emissions associated with consumption, which will not go away until there is a viable alternative.
This brings us to the most crucial point — there is not yet a viable alternative.
Had Exxon acknowledged in the 1970s that carbon-dioxide emissions were an issue, what was Exxon and the rest of the world supposed to do about it? Vice President Al Gore raised the alarm in 1993, and soon thereafter the world went into a panic to “transition” from fossil fuels. For the last 30 years, the United States has spent billions, and the world has spent trillions on the energy transition, yet in 2023, 82.5 percent of U.S. energy and 84 percent of the world’s energy still came from fossil fuels.
New York is a perfect example. In 2007, 69.6 percent of its energy came from oil and natural gas. However, because of reductions in coal and nuclear energy production, in 2021, 72.5 percent of its energy came from oil and natural gas.
How is the oil and gas industry responsible for its emissions? It is clear that had the supposed “energy transition” started in the 1970s vs. the 1990s, it would have made no difference. No matter how much money you pour into them, wind, solar and batteries do not replicate the convenient, abundant, affordable, and reliable energy from oil and natural gas.
New York’s law and these lawsuits are disingenuous efforts to place blame on energy producers versus energy consumers for the effects of fossil fuels. Ironically, none of those cities or states are clamoring for more nuclear energy, which is the only honest answer to a carbon-free future.
If New York believes it is being irreparably damaged by oil and natural gas, the state is welcome to quit using them whenever it wishes.