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THE LONG GAME

A newsletter from POLITICO for leaders building a sustainable future.




THE LONG GAME

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ABOUT THE AUTHOR : DEBRA KAHN

Debra covers all things sustainability. She previously served as California
bureau chief and as California environment and transportation reporter, where
she covered climate, water, air pollution, electric vehicles, fuel economy,
high-speed rail and wildfires. She came to Politico in January 2019 after 13
years at E&E News, 10 of those in California. She hails from Maryland and is a
proud Terp.


THE LONG GAME - POLITICO ARCHIVE


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 * View the Full The Long Game Archives »


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 4. GLENN YOUNGKIN EYES TOTAL CONTROL IN VIRGINIA


 5. CHINA NEGOTIATING WITH HAVANA ABOUT JOINT MILITARY TRAINING FACILITY IN CUBA




MONTANA VS. MEDDLING KIDS

By DEBRA KAHN 

06/20/2023 12:00 PM EDT

Presented by


THE BIG IDEA

These young Montanans had their day in court. Now it's the state's turn. |
POLITICO illustration; photos courtesy of Our Children's Trust

MONTANA TAKES THE STAND — Montanans were treated yesterday to the novel sight of
state bureaucrats defending their constitutional right to permit fossil fuel
projects.

The case, Held v. Montana, is the first of its kind to make it to trial in the
United States and could serve as a bellwether for other efforts to hold
governments and industries to account for their role in warming the planet, as
Lesley Clark reports for POLITICO’s E&E News.

Monday’s oral arguments were Montana officials’ chance to push back on a week of
testimony from young plaintiffs who argue that the state’s constitution requires
agencies to take climate change into account.

Enacted in 1972 amid a national wave of environmental awareness, the document
puts the right to a “clean and healthful environment” right at the top — ahead
of freedom of religion and speech.

Officials argued Monday that they’re just following the law, including a new one
that bars them from considering the effects of climate change on projects. They
said the Montana Environmental Policy Act that the youth are challenging doesn’t
have the regulatory teeth that would allow the state to reject projects under
it.

“We have no right ... not to follow the law,” said Chris Dorrington, director of
the state’s Department of Environmental Quality, adding that his department
“does not have the authority to not permit something that fully complies with
the law.”

State officials got a little testy at the plaintiffs’ assertion that Montana has
never turned down a fossil fuel project.

“I do take some offense at an insinuation that the folks at DEQ are simply
putting their stamp of approval on any application that rolls in the door,” said
Sonja Nowakowski, the state’s air, energy and mining division administrator.
“These are very robust permitting processes. These people thrive on poking holes
in applications and making sure they meet the letter of the law.”

The mere fact that the trial is happening is the real news here. State lawmakers
have insulated regulators pretty well from it, via the law they passed this
spring barring consideration of climate change in evaluating projects. (The
activists say it was aimed at weakening their case.)

Still, legal experts are closely watching the two-week trial and say a decision
on behalf of the young people could provide compelling precedent for future
lawsuits that seek to prod governments to do more about climate change.

And it comes as a separate set of climate liability challenges filed by cities
and states against the oil and gas industry are poised to advance after years of
procedural wrangling in the Supreme Court and elsewhere.

Click on all the links above for Lesley’s exhaustive coverage of the case, on
location in Helena.

A fly fisher, a competitive Nordic skier, a fifth-generation cattle rancher:
Meet the 16 youth plaintiffs leading the challenge.


A message from UnitedHealth Group:

At UnitedHealth Group, sustainability is central to our mission, culture and
strategy as we work to improve access, simplicity, outcomes and value in health
care, and build a health system that works better for everyone. Read our
just-released 2022 Sustainability Report to see our progress on long-term
commitments and learn how we’re helping to expand access to care and achieve
better health outcomes.


BUILDING BLOCKS

AND JUST LIKE THAT — After months of congressional wrangling over permitting
reform, the Supreme Court may have delivered much of what industry was looking
for in one fell swoop, Annie Snider reports.

Last month’s Sackett v. EPA decision shrinking federal wetlands protections took
a wrecking ball to an expansive permitting regime that has been in place for
nearly 50 years. The 5-4 ruling put at least half the country’s marshes, swamps
and other wetlands outside the reach of federal water protections, an outcome
that could speed the way for pipelines, power lines, highways and housing
projects across the U.S.

“Sackett is not a Promised Land. It didn’t clear up everything. But boy did it
clear up a lot,” said Molly Cagle, senior counsel at the law firm Baker Botts,
who advises infrastructure developers on permitting.

Now, legal experts say, hundreds of projects will probably no longer need Clean
Water Act permits. Others will still have to go through the water permitting
process, but will likely face far fewer requirements to either lessen their
impacts or pay for rebuilding wetlands elsewhere.

OTOH — Inflation is biting at new energy projects — offshore wind in particular,
Heather Richards reports for POLITICO’s E&E News.

A recent market analysis by Westwood Global Energy Group found the cost to build
offshore wind farms has spiked by as much as 20 percent amid high inflation in
the U.S. and other countries, threatening to slow down the budding industry.

Spikes in fuel prices as well as materials such as steel and copper could drive
a $280 billion increase in the cost to build out the offshore wind industry over
the next 10 years, it says.

The Westwood findings echo recent warnings from companies developing some of the
first offshore wind farms in the U.S. that the projects might not be viable
unless utilities agree to pay more for the electricity or states give developers
a larger share of federal tax benefits.


SUBSCRIBE TO POWER SWITCH: The energy landscape is profoundly transforming.
Power Switch is a daily newsletter that unlocks the most important stories
driving the energy sector and the political forces shaping critical decisions
about your energy future, from production to storage, distribution to
consumption. Don’t miss out on Power Switch, your guide to the politics of
energy transformation in America and around the world. SUBSCRIBE TODAY.


EXTREMES

FLOOD FACTS — New York is set to become one of the largest states to make home
sellers disclose past flood damage and future risk, Tom Frank reports for
POLITICO’s E&E News.

The bill that passed the state Legislature earlier this month marks a victory
for environmental advocates who have been pushing legislatures across the U.S.
to adopt laws that they say could shed light on the dangers of living in
flood-prone areas.

The measure is now before Gov. Kathy Hochul (D), who is widely expected to sign
it following her approval last year of a similar bill that requires flood
disclosure on rental leases.



SUPPLY CHAINS

VW’S BUG — Volkswagen is facing pressure from shareholders to distance itself
from China’s Xinjiang region, where it has a plant that hasn’t been tied to
forced labor but is near areas that have been.

It’s a lose-lose situation for VW, which led the Western charge into the Chinese
market in the 1980s and remains dependent on business there for 15 percent of
its pretax profit and 37 percent of its new car sales last year.

Pulling out of the region would jeopardize relations with Beijing, but staying
could antagonize German politicians, who have been emphasizing “values-driven”
diplomacy.

Read more from Stuart Lau, Joshua Posaner and Hans von der Burchard.


A message from UnitedHealth Group:




YOU TELL US

GAME ON — Welcome to the Long Game, where we tell you about the latest on
efforts to shape our future. We deliver data-driven storytelling, compelling
interviews with industry and political leaders, and news Tuesday through Friday
to keep you in the loop on sustainability.

Team Sustainability is editor Greg Mott, deputy editor Debra Kahn and reporters
Jordan Wolman and Allison Prang. Reach us all at gmott@politico.com,
dkahn@politico.com, jwolman@politico.com and aprang@politico.com.

Want more? Don’t we all. Sign up for the Long Game. Four days a week and still
free!


LISTEN TO POLITICO’S ENERGY PODCAST: Check out our daily five-minute brief on
the latest energy and environmental politics and policy news. Don’t miss out on
the must-know stories, candid insights, and analysis from POLITICO’s energy
team. Listen today.


WHAT WE'RE CLICKING

— The Washington Post has a look at how passive cooling technology can help us
use our roofs to combat global warming.

— The drive to get workers to return to the office has entered the bribery and
coercion stage. The New York Times explains.

— Microsoft, BlackRock and JPMorgan Chase are among companies looking to an
ancient type of charcoal as a potential next big thing for carbon markets.
Bloomberg has details.


A message from UnitedHealth Group:

Our 2022 Sustainability Report highlights our ongoing commitment to help people
live healthier lives and help make the health system work better for everyone.
At UnitedHealth Group, we’re helping to build a modern, high-performing health
system that improves health outcomes for everyone by focusing on value-based
care and care coordination as well as lowering the cost of prescription drugs
and providing care in the home.

Recognizing the impact climate change has on human health, we’re also working to
minimize our footprint by accelerating a path to net-zero, leading efforts to
decarbonize the U.S. health system and reducing waste, water and paper usage.
Read the report to learn more about our progress on sustainability.


FOLLOW US ON TWITTER

 * Debra Kahn @debra_kahn
 * Greg Mott @gwmott
 * Jordan Wolman @jordanwolman
 * Allison Prang @AllisonPrang


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