Vermont Becomes First State to Hold Oil Companies Accountable for Climate Damage

Vermont made history on Friday by becoming the first state to pass a law requiring oil companies to pay for damages related to alleged climate change. Republican Governor Phil Scott allowed the bill to become law without his signature, as the General Assembly has a veto-proof majority in both chambers.

Despite his concerns, Governor Scott decided not to veto the bill. In a letter to John Bloomer, the Republican secretary of the state Senate, Scott expressed his worries about the bill’s implications, citing the limited funds allocated for the legal battle against oil companies.

Last July, Vermont faced severe flooding caused by heavy rain, leading some to attribute the extreme weather to climate change. The new legislation mandates a report to be submitted by Jan. 15, 2026, detailing the costs of greenhouse gas emissions on residents and the state from 1995 to 2024.

The law empowers the state attorney general to seek payments from oil companies for their contribution to climate change since 1995. The funds generated will be used for climate change recovery and adaptation efforts. States like California, New York, Massachusetts, and Maryland are reportedly considering similar measures.

State Representative Martin Lalonde, confident in the legal grounds of the policy, emphasized the importance of holding corporations accountable for their role in addressing climate change.