(The Center Square) – The American Petroleum Institute is opposing proposed legislation in Rhode Island that would require energy companies to retroactively pay for costs related to damages deemed to be caused by carbon emissions.

State Sen. Linda L. Ujifusa, D-Dist. 11, state Rep. Jennifer Boylan, D-Dist. 66, introduced the Rhode Island Climate Superfund Act of 2025. If passed and signed into law, the measure would have the state’s Department of Environmental Management determine, by Jan. 1, 2026, the total costs the state incurred for its “climate change response work” since Jan. 1, 2009.

By June 1, 2026, the DEM would collect information from the state’s municipalities related to their costs for similar work, also dating to Jan. 1, 2009.

Then the department would determine “proportional amounts” each energy company is responsible for, and within six months demand each energy company reimburse the state and municipalities for their cleanup efforts.

At a Thursday hearing of the Rhode Island House Environmental and Natural Resources Committee, Michael Giaimo, Northeast regional director for the American Petroleum Institute, provided written testimony that the measure “retroactively imposes costs and liability on prior activities that were legal, violates equal protection and due process rights by holding companies responsible for the actions of society at large, and is preempted by federal law.”

Giaimo noted that the institute and the U.S. Chamber of Commerce filed a complaint in federal court challenging the legality of similar legislation passed in 2024 in Vermont.

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“This legislation is not the way forward for Rhode Island. It fundamentally defies logic to retroactively punish companies for producing legal and essential fuels that were demanded by the state and its citizens for the past 35 years and will continue to be needed for the foreseeable future,” Giaimo said in a statement to The Center Square. “Unfortunately, this bill will not directly reduce emissions but rather sends a confrontational message to the business community that the rules of the game can change without reason. Passing this law would be profoundly counterproductive for the state and its residents and businesses who are highly dependent on lawfully produced natural gas and oil to support Rhode Island residents’ daily lives.”

At Thursday’s hearing, committee members recommended the measure be held for further study.