How Charleston's climate-change lawsuit could harm all of S.C.

South Carolina is known for its beautiful beaches, delicious shrimp and grits, and of course being the “First in the South” for presidential primary elections. Now, however, it appears that it will also be known for filing the first and still only climate change lawsuit in the South, with more than roughly two dozen similar cases being filed across the country. Specifically, Charleston’s climate lawsuit has made the Palmetto State an outlier in the region and undermined our reputation as a good place to do business.

Although this action was taken by local leadership in Charleston, it threatens to have impacts that could reverberate all across the state, including here in Greenville. Specifically, the ongoing lawsuit, which was filed by now former Charleston Mayor John Tecklenburg in September 2020 against two dozen major oil and pipeline companies for their alleged roles in contributing to climate change and its purported impacts on the city, is not only legally dubious, but it could also cause significant economic harm in South Carolina while doing nothing to address what its backers allege are the underlying impacts of climate change.

Findings from a recent PwC economic analysis indicate the oil and gas industry added more than $13.2 billion to the Gross Domestic Product (GDP) of South Carolina in 2021 alone. It was also a major job creator in the state, employing more than 26,000 residents directly and supporting more than 83,000 jobs elsewhere in South Carolina – many of which are at small businesses – and totaling more than $6.1 billion in labor income.

If this counterproductive litigation is successful, it would not only dismantle this economic engine; it also would mean higher energy prices for all South Carolina families and businesses at a time when few can afford it. With an annual inflation rate of 3.6%, South Carolina already ranks in the top five states with the highest increase year over year in the cost of living.

More: Pinched by inflation? Here's where South Carolina ranks among 5 worst states

No doubt the steep 4.6% jump in the cost of electricity last year is a main driver of our high inflation rate, but this expense would only soar higher should inputs needed to power our homes (i.e. oil and gas) become more expensive.

There is also no legal basis for blaming energy companies for purported damages from climate change, and such lawsuits raise concerning constitutional and legal questions. A win in this case could open the door to an expanded interpretation of nuisance law that could increase the legal risks for other businesses and potentially force them to close their doors. Given the fact that small businesses are already grappling with a broken U.S. lawsuit system that costs them $160 billion annually, the last thing that they need is the addition of new legal precedents that could needlessly increase their potential liability.

Targeting South Carolina’s energy companies like Brabham Oil Co.- the lead defendant in the Charleston lawsuit – hurts every resident in the state, especially small business owners, many of whom just recently recovered from the negative effects of COVID policies and are continuing to struggle with soaring costs.

As a new leader with fresh perspectives and the first Republican elected since the 1870s, Charleston’s new mayor has an opportunity to recalibrate the city’s approach to environmental issues and protect residents and businesses across the state from the negative impacts of this climate lawsuit by withdrawing.

Upon taking office, Mayor William Cogswell pledged a new era of Charleston leadership, insisting that we “think differently, act fearlessly, and address our obstacles head-on.”

Rather than litigate, if local governments in the state – such as Charleston – are concerned about combatting what they believe to be climate change-induced weather events, they should focus on using resources already available to them and work collaboratively with the private sector, including small startups and other innovators, to invest in constructive solutions to generate cleaner energy and lower emissions.

Diane Hardy is executive director of the Mom and Pop Alliance, which provides education, communication, and advocacy for SC’s family-owned businesses, and the owner of a small business in the Greenville area.

This article originally appeared on Greenville News: How Charleston's climate change suit could impact all of S.C.