New Zealand: Law Passed to Protect Businesses from Climate Lawsuits

The New Zealand Parliament has passed a law aimed at protecting businesses from lawsuits related to climate damage. This legislation is intended to prevent civil litigation from challenging the government's climate policy.

Often referred to as an "industrial shield," the law notably affects a lawsuit by Mike Smith against six major emitters, which was set to be reviewed in April 2027. This revision has dismissed the lawsuit, underscoring the government's intent to safeguard groups exposed to climate risks.

This initiative has sparked criticism from the opposition, which questions the law's impact on corporate environmental accountability. The costs of climate damage would thus be shifted onto the state, local communities, and insurers.