On February 15, 2023, the California Supreme Court denied the petitions for review and issued an order decertifying the Second District Court of Appeal’s controversial (and previously published) opinion in G.I. Industries v. City of Thousand Oaks (2022) 84 Cal.App.5th 814, rev. den. and depub’d. 2/15/23 (Supreme Ct. Case No. S277439).  (My prior posts on this decision and its subsequent procedural history can be accessed by clicking on their following dates:  10/31/22; 12/5/22; and 1/30/23.

On January 9, the White House Council on Environmental Quality (CEQ) issued an Interim Guidance on Consideration of Greenhouse Gas (GHG) Emissions and Climate Change (Interim Guidance) “to assist Federal agencies in their consideration of the effects of GHG emissions and climate change when evaluating proposed major Federal actions in accordance with the National Environmental Policy Act (NEPA).”

Food Labeling: Multidistrict Litigation Panel Consolidates Beyond Meat False Advertising Cases
On February 1, 2023, the U.S. Judicial Panel on Multidistrict Litigation issued a transfer order consolidating in the U.S. District Court for the Northern District of Illinois five cases alleging false advertising claims against Beyond Meat, Inc., which manufactures plant-based meat substitute products. In

On November 22, 2022, the White House released a new version of the Climate and Economic Justice Screening Tool, an online interactive map that uses datasets on various “burdens” environmental justice communities may face, such as climate change, energy, health, housing, legacy pollution, transportation, water and wastewater, and workforce development. Communities will be identified as disadvantaged if they are in a census tract that meets the threshold for at least one of the burden categories and corresponding economic indicator, or are on the lands of a federally recognized tribe.

The European Union (“EU”) is coming closer to adopting mandatory rules for companies that use carbon credits.

  • First, the European Parliament and Council are considering for adoption a Commission for a Regulation on a Carbon Removal Certification Framework (“CRCF Regulation Proposal”).

These two regulatory initiatives are closely tied to each other.  In effect, the draft ESRS that the Commission is considering for adoption require subject entities to disclose GHG removals and GHG mitigation projects financed through carbon credits.

The EU’s aim of regulating carbon credits coincides with its push for carbon neutrality by 2050, and a related significant proliferation of companies publicly committing to achieve “net-zero” emissions by mid-century, which has triggered an uptick in strategic purchases of carbon credits in the voluntary carbon market (“VCM”). The CRCF Regulation Proposal and the upcoming ESRS will help to expand sustainable and verified carbon removals and encourage investment in technological innovation.   

Companies turning to the VCM to reach their net zero goals, and others active in the generation, trading, and use of carbon credits, will want to follow these initiatives closely.  Opportunities remain for companies to express views that may shape the final contours of these regulations.