Climate Change Law & Policy

Concern about climate change has made greenhouse gas (GHG) regulation a reality. In response, many companies will be required to reduce GHG emissions and invest in new capital projects. Climate change has the obvious potential to affect environmental conditions, international politics, energy production and transportation economics. In addition, the issue may affect issues as varied as business infrastructure, real estate values, crop production and natural resource allocation. New laws and regulations will generate enforcement issues and litigation, as well as a need to understand and use emerging carbon markets to manage carbon "footprints." Investor and consumer perception of a company's response to these issues and disclosure of climate risk may affect stock price and enterprise value.

Our national Climate Change practice helps our clients manage the risks and capitalize on the opportunities that come with changes in the environment. We work in all areas of the law that involve GHG emissions, including capital markets and trading, energy development, purchase and supply, environmental and land use restrictions, administrative matters, corporate finance, tax and tort law. Our Climate Change team – composed of lawyers experienced in each of these areas – closely follows (and even initiates) developments in this new field and provides strategic advice to companies planning voluntary or regulated transactions involving climate change issues.

We regularly advise on:

Regulatory Compliance

• International, national, state and local climate law and policy, which include GHG emissions inventories, reporting protocols and registries, and GHG mitigation requirements at industrial facilities and power plants.
• Siting and permitting for large- and small-scale renewable and traditional energy projects using coal, wind, solar, hydropower and biomass, as well as the transmission and supply of traditional and renewable energy.
• Siting, permitting and operating industrial and agricultural projects to comply with, or take advantage of, particular climate change programs, requirements and investments.
• Obtaining regulatory approvals and waivers from state and local regulatory bodies and commissions, including the Federal Energy Regulatory Commission, EPA and many other agencies.
• GHG impact analysis under the National Environmental Policy Act and state and local planning laws.
• Corporate disclosure of climate change regulatory risks and responses under SEC and Sarbanes-Oxley reporting requirements.
• Inventory and management of carbon “footprints.”

Carbon Finance, Markets and Acquisitions

• Carbon trading strategies and market analysis, including cap and trade programs (e.g., Chicago Climate Exchange), carbon offsets, and the sale and procurement of verified emissions reductions (VERs) and renewable energy credits (RECs).
• Due diligence for M&A transactions, including analysis of geographic vulnerabilities, required capital expenditures, operational flexibility under different regulatory scenarios and participation in trading markets.
• Technology funds and ethical investments.

Policy Analysis, Government Representation, and Strategic Planning

• Existing and emerging climate change law and policy at the international, national, regional, state and local level.
• Participation in voluntary GHG-reduction programs, including GHG emissions reporting platforms, verifiable emissions reductions and receipt of early (pre-regulatory) action credit for reductions.
• Insurance exposure (environmental, property, directors’ and officers’ liability) related to climate risk and procurement of adequate insurance.
• Representation of interests in public comment processes that develop climate change regulations and standards. We also review documents in relation to this issue.
• Managing external relations related to a company's climate change initiatives.

Contracting and Asset Transfer

• Negotiating and drafting contracts for a wide variety of facilities, as well as for the sale or transfer of environmental and energy products. This includes contracts for renewable energy credits, credit trading and the sale of GHG emission reduction products.
• Preparation of all types of agreements affecting renewable energy generating facilities, including power purchase agreements, interconnection agreements, tolling agreements, transmission agreements and natural gas transportation agreements.
• All aspects of project development, including project finance, siting, regulatory approvals, sales agreements and contracts.

Litigation

• Climate change lawsuits arising from national environmental policies, including the National Environmental Policy Act, the Clean Air Act, the Clean Water Act and the Endangered Species Act.
• Climate change lawsuits arising from common law, including tort and potential directors’ and officers’ liability.