Quick Hit:

President Donald Trump’s latest executive order marks a bold escalation in his agenda to restore American energy dominance. By directing the Department of Justice to challenge state-level climate regulations that exceed constitutional boundaries, President Trump has placed liberal-led states on notice.

Key Details: 

• President Trump declared a “national energy emergency” and ordered the DOJ to target state-level climate change laws.

• The order calls out efforts by states to “extort” payments from energy producers under the guise of environmental protection.

• Legal battles over these laws are already active in states like Vermont and New York, with federal intervention now likely.

Diving Deeper:

President Trump’s new executive order is a clear shot across the bow at states seeking to implement aggressive climate laws that penalize fossil fuel companies. Framing his decision as part of a broader effort to safeguard the nation’s energy security and economic stability, Trump warned that “American energy dominance is threatened when State and local governments seek to regulate energy beyond their constitutional or statutory authorities.”

At the heart of this battle are so-called “climate superfund” laws—state-level measures modeled after federal legislation from the 1980s that forced polluters to pay for toxic waste cleanup. Blue states like Vermont and New York have repurposed this strategy, aiming to hold fossil fuel companies financially liable for climate-related damages. But Trump’s administration contends these efforts are nothing short of legal overreach.

The Department of Justice is now tasked with evaluating whether states are exceeding their legal limits. In practice, this could mean joining active lawsuits or initiating new legal challenges to derail such climate laws. Legal scholars, even on the left, acknowledge the magnitude of this maneuver. Michael Gerrard of Columbia University’s climate law center called it an “extraordinarily bold move,” noting the DOJ could intervene in pending cases concerning liability for climate change costs.

The oil and gas industry welcomed Trump’s action. The American Petroleum Institute applauded the administration for standing against what it calls “activist-driven campaigns” that jeopardize access to affordable, reliable energy. Industry allies argue these climate laws are politically motivated efforts to target fossil fuel producers—at the expense of jobs, energy prices, and national interests.

Democrats, as expected, pushed back. California Governor Gavin Newsom accused Trump of “turning back the clock,” while New York and New Mexico's governors pledged to “keep advancing solutions to the climate crisis.” Their resolve is unlikely to shake Trump’s administration, which has shown a consistent pattern of rejecting eco-socialist policies that undermine U.S. industry.

Critics of the order, including anti-fossil fuel groups, decried it as a corporate giveaway. Groups like “Make Polluters Pay” argued it “weaponizes the Justice Department” in service of fossil fuel billionaires. Yet, it’s worth noting that the lawsuits in question—such as Honolulu’s climate damage suit and California’s push to hold oil companies liable—are less about protecting the environment and more about funneling billions into state coffers.

Trump’s order has already sparked debates in state capitols. In Pennsylvania, where climate regulation efforts are underway, officials worry the DOJ may target their attempts to price carbon emissions. John Quigley, a former state environmental secretary, warned the order “knows no bounds,” a reflection of how profoundly the Trump administration is willing to reshape environmental federalism.