POINTE À LA HACHE, La. — In a landmark decision, a jury ordered Chevron to pay $744.6 million to repair the damage it inflicted on the coastal wetlands of southeast Louisiana. This verdict concludes a decade-long legal battle, and is the first in a series of lawsuits against prominent oil companies accused of worsening the state’s coastal erosion. Chevron plans to appeal the decision, which could potentially impact similar future cases against other oil and gas companies for environmental harm.
The jury established that Texaco, a company Chevron acquired in 2001, breached Louisiana’s coastal regulation laws by not restoring wetland areas after industrial activities such as dredging and well drilling had ceased. This violation includes the improper disposal of wastewater in the marshlands. John Carmouche, the lead attorney for the plaintiffs, emphasized the importance of corporate accountability, stating, “No company is big enough to ignore the law.”
According to the lawsuit, companies are required under the 1978 Louisiana coastal management law to restore their operation sites to their original condition after use. Despite these regulations, Chevron did not secure the necessary permits nor remediate environmental impacts, leading to long-standing degradation. Experts testified that the company chose profit over environmental responsibility, significantly contributing to wetland erosion.
The jury’s award includes $575 million for land loss, $161 million for contamination, and $8.6 million for abandoned equipment. With interest, restoration costs surpass $1.1 billion. Plaquemines Parish, which filed the lawsuit, originally sought $2.6 billion in damages. Chevron’s attorney, Mike Phillips, countered that the company is not to blame for Plaquemines Parish’s land loss, asserting that the relevant laws do not retroactively apply to actions conducted before their enactment. Phillips decried the verdict as “unjust” and cited “numerous legal errors.”
In 2013, Plaquemines Parish initiated the lawsuit, blaming oil companies for vastly contributing to coastal land loss. The U.S. Geological Survey highlighted that over 2,000 square miles of Louisiana’s land has disappeared in the last century, largely attributing this to oil and gas infrastructures. Projections indicate a further loss of 3,000 square miles in upcoming decades. Canals and wastewater exacerbate sea level rise and weaken wetlands, leaving the region vulnerable to severe weather and flooding.
Phillips argued that blame lies with Louisiana’s levee system. Reconnecting the Mississippi River to the delta is essential to address land restoration, rather than legal actions against oil companies. Despite Chevron questioning the feasibility of costly restoration proposals, the lawsuit held the company accountable for the accelerating degradation rather than being the sole cause.
Advocates for coastal communities insist that the state’s future depends on maintaining these lands. Jimmy Faircloth, representing Louisiana, reiterated the cultural and economic importance of preserving the coastline. A sentiment echoed by Carmouche, asserting that successful litigation can convey a new balance must be struck between industrial development and environmental preservation.
The verdict may prompt other oil companies to settle similar lawsuits, with over 20 cases pending in Plaquemines Parish alone. The state is approaching a critical point in funding future coastal restoration without new financial injections from settlements. Critics argue that judgments like this could threaten Louisiana’s position in the energy sector, but proponents believe they are vital for long-term environmental sustainability.