A Peruvian farmer’s lawsuit against German utility RWE, seeking damages for alleged climate change risks to his home, was dismissed by a German court on Wednesday. 

The court determined that the estimated damage risk was insufficient to proceed with the case, according to a Reuters report.

In a widely followed, decade-old case, the court has ruled that no appeal is possible for farmer Saul Luciano Lliuya.

Lliuya claimed that the emissions of the company RWE contributed to the melting of Andean glaciers, thereby increasing the flood risk to his home.

Presiding judge Rolf Meyer of the Hamm court dismissed the plaintiff’s case, stating that experts’ assessment of a 1% risk of damage to their house over 30 years was insufficient to warrant further legal action. 

The ruling was delivered in the western city of Hamm.

Meyer stated that significant negative consequences could have led to requirements for polluters to reduce emissions or provide compensation.

Meyer found the plaintiff’s arguments well-structured, describing the case as a small-scale representation of global issues, specifically the disparities between the southern and northern hemispheres, and the divide between the poor and the rich.

Inspire further litigations

Germanwatch, an environmental and human rights group backing the legal action, stated that the lawsuit, according to plaintiff Lliuya’s lawyer Roda Verheyen, is expected to inspire further litigation.

“What the court said today means that other people can bring other cases, other people who are affected by climate change, and can draw on that principle,” Noah Walker-Crawford, a researcher at London School of Economics Grantham Research Institute, was quoted in the report.

RWE, the major energy company currently in the process of decommissioning its coal-fired power stations, stated that the recent effort to establish a binding legal precedent in a particular case was unsuccessful. 

The company’s ongoing transition away from coal power underscores its commitment to cleaner energy sources and aligns with broader environmental goals. 

This legal challenge is potentially significant for the future of energy policy and regulation in the region.

The utility said in a statement:

We regard it as an entirely misplaced approach to turn courtrooms into a forum for NGOs’ demands on climate protection policies.

Future steps

RWE affirmed its goal of achieving climate neutrality by 2040. The company also noted that the German industrial sector has made significant progress in reducing CO2 emissions compared to other nations.

Citing the Carbon Majors database, which tracks historical emissions from major fossil fuel producers, Lliuya has claimed that RWE is responsible for nearly 0.5% of global anthropogenic emissions since the Industrial Revolution. 

Consequently, Lliuya argues that RWE must pay a proportionate share of the costs associated with adapting to climate change.

Lliuya calculated that RWE’s portion of the $3.5 million required for a flood defense project in his region would be approximately $17,500.

The 44-year-old farmer from Huaraz, whose family cultivates corn, wheat, barley, and potatoes, did not attend Wednesday’s court session. 

He said he chose to sue RWE instead of targeting other projects near his home because it is one of the largest polluters in Europe.

Despite the court’s dismissal of his case, Lliuya, speaking from his hometown of Huaraz, considered it a progression in the pursuit of climate justice.

From the beginning we wanted to set a precedent to hold companies responsible,” Lliuya said. “We didn’t get everything, but this was a big step forward for other lawsuits.

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