ClientEarth v. Secretary of State for Business, Energy, and Industrial Strategy

ClientEarth filed a lawsuit seeking to block the construction of a fossil gas-powered power plant that would be Europe's largest. The challenge rested on the fact that the Secretary of State for Business, Energy, and Industrial Strategy had not properly considered the climate impacts in approving the project.

Background
In October 2019, the company Drax Power Limited was granted an application to build a new power plant by the Secretary of State for Business, Energy and Industrial Strategy, Andrea Leadsom. When Drax had submitted its application, a number of environmental concerns were raised. After the Secretary accepted the application in 2018, a Panel was appointed to examine it and advise the Secretary on whether or not to grant it. The Panel's July 2019 report recommended that consent for development be withheld due to climate considerations, but the Secretary disagreed and granted the application. ClientEarth, an environmental nonprofit focused on climate litigation, filed suit in the High Court challenging the Secretary's decision. ClintEarth alleged that the Secretary misinterpreted the "Overarching National Policy Statement for Energy", didn't consider the carbon-capture readiness of the plant, and didn't consider the UK's commitment to net zero emissions by 2050.

Relevant Law and Principles

 * Overarching National Policy Statement for Energy
 * Climate Change Act 2008
 * Planning Act 2008
 * Section 104(7)
 * Infrastructure Planning (Environmental Impact Assessment) Regulations 2017
 * Paris Agreement

Ruling
The High Court ruled in favor of the Secretary. The judge stated that there had to be a balancing of costs and benefits, with other public interests weighed against the UK's climate goals, including the plant's contributions to the diversity of energy supply. ClientEarth appealed and the Court of Appeals upheld the High Court's ruling. The Court of Appeals gave ClientEarth leave to appeal, but it decided not to go to the Supreme Court.

In February 2021, Drax Power scrapped plans to move forward with the project, avoiding a 3.6GW gas plant and climate costs. However, Drax has continued to double down on its other plants. In Mississippi, Drax was fined $2.5 million for breaching air pollution rules.

Takeaways
This case was disappointing for climate advocates and it showed how the National Policy Statements should be interpreted in regards to climate change. The Court's ruling meant that even though the emissions of a project may be sufficient to refuse the granting of an application, it does not necessitate the refusal and the Secretary has the discretion to weigh emissions against other concerns.

Links

 * ClientEarth
 * Drax