Hawaii wants to force an oil ban on the rest of the country

by Andrew Langer, Washington Examiner, August 27, 2024

Despite the Biden administration spending trillions to promote green energy, America and the rest of the world still overwhelmingly depend on oil and gas to power their cars, homes, and appliances. However, if the city of Honolulu gets its way in Sunoco v. City and County of Honolulu, a nationwide oil ban might soon go into effect.

Honolulu claims energy companies are the source of “injuries” for its residents because the “climate crisis” is caused by the “use of fossil fuel products.” Using Hawaii tort law, it seeks billions of dollars in restitution and a court order that these companies stop “producing and promoting the sale and use of fuel products.” The sale of any fuel product in any state would be deemed a trespass against the Aloha State.

That’s right. Despite acknowledging that “it is not possible to determine the source of any particular molecule of C02,” effectively admitting that it cannot prove the basic facts it asserts, this lawsuit seeks to compel companies to cease production and sale of oil and gas everywhere.

While the energy industry responded with a motion to dismiss the case, the Hawaii Supreme Court denied its motion, ruling that this case is a states’ rights issue.

Hawaii is free to ban the sale of oil and gas within its state boundaries anytime it wants, but it cannot force other states to do the same by state judicial fiat.

If Hawaii gets its way, consumers would have to pay as much as $3,800 extra per year on electricity alone. People suffering from three years of inflation and skyrocketing energy prices already just paid the highest year-over-year increase in electricity costs since the beginning of the century. They are also paying about 71 cents more for a gallon of gas today than they did in 2021. While Hawaii might enjoy paying the second-highest gas prices in the nation, most consumers want to avoid paying even higher costs.

But make no mistake: The price increases won’t stop with consumers’ gas and electricity bills. As production and transportation costs go up, businesses will inevitably pass these added business costs on to their consumers through higher prices on just about every other good and service, from food to housing to everything in between.

Hawaii’s power grab would also turn the Constitution’s concept of federalism, the delicate balance of power between the federal government and the states, on its head. It would set a dangerous precedent that enables states to impose their laws, regulations, and policy preferences across the country if they can find a friendly state judge to do its bidding. This is the very scenario that federalism was meant to prevent.

Fortunately, recognizing what is at stake, the Supreme Court has expressed interest in hearing this case, requesting that the Biden administration file a brief stating its position. Attorneys general from 20 states have filed an amicus brief with the Supreme Court arguing that Hawaii cannot dictate energy policy for their states. Led by Alabama Attorney General Steve Marshall, the coalition argued that Hawaii’s position is “an affront to the equal sovereignty” of their states and that it is an attempt by one state to use its own laws to impose its energy policies on the rest of the nation.

For the sake of the Constitution and consumers across the country, here’s hoping the Supreme Court soon says it agrees.

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Andrew Langer is the president of Institute for Liberty