This article by ExxonKnews is published here as part of the global journalism collaboration Covering Climate Now.
For the first time, a gas utility could be on the hook for its role in deceiving the public about the climate crisis. Multnomah, Oregon, has added NW Natural—Oregon’s oldest and largest supplier of “natural” gas, also known as fossil or methane gas—to the list of defendants in a lawsuit that seeks to make fossil fuel companies pay $52 billion for their role in the deadly 2021 Pacific Northwest heat dome.
NW Natural “has routinely misrepresented” the climate harms of gas while undermining the energy transition “in an effort to frighten customers and discourage policy makers from using their authority to protect the public,” according to the county’s amended complaint. The company has portrayed gas as “safe, clean, and environmentally friendly,” despite the fact that methane, its primary component, is 80 times more potent as a greenhouse gas than carbon dioxide.
In its original complaint, Oregon’s most populous county argued that oil and gas companies’ decades-long climate deception helped lead to the heat dome that killed 69 people in Multnomah—an event scientists said would have been “virtually impossible” without climate change. The 2023 lawsuit seeks to recover costs incurred from other extreme weather events and make Exxon, Chevron, McKinsey, and other defendants pay for a range of adaptation measures to protect residents from future ones. The updated complaint now adds that NW Natural “engaged in an enterprise of misrepresentation about the effects its products would have on the climate, and that the use of its products could cause an extreme heat event to occur.”
That enterprise has reportedly ramped up in recent years as the company fights a growing push for policies to limit emissions and phase out their product. The utility has run advertising campaigns touting “renewable natural gas,” targeted children through school books depicting gas as safe and clean, and created front groups posing as local grassroots advocates to fight electrification and promote “consumer choice,” according to evidence cited by the complaint and further detailed in additional reporting, investigations, and challenges to state regulators.
“As we learned in this country when we took on big tobacco, this is not an easy step or one I take lightly but I do believe it’s our best way to fight for our community and protect our future,” Multnomah County Chair Jessica Vega Pederson said in a press release.
Like many fossil fuel and petrochemical companies, NW Natural sponsors sporting events, concerts, and small nonprofits in the region reliant on external funding. The utility’s embedded presence in the community makes it all the more important for the county to “highlight the insidious nature of their communications,” said Carra Sahler, a Multnomah County resident and Director and Staff Attorney at the Green Energy Institute at Lewis & Clark Law School, which has represented advocacy groups in cases against NW Natural for customer rate hikes.
“People want to trust that their utility is doing the right thing, that the utility is providing the information necessary for them to make choices about their energy use,” Sahler said. “It feels like we’ve crossed into a new era where there is no way forward but to stop [NW Natural] from spreading misinformation.”
‘Renewable natural gas’
On a “low carbon energy future” page on its website, NW Natural claims it “has an important role to play in helping our region move to a lower-carbon, renewable energy future in a more resilient and affordable way.” The company goes on to boast its investments in so-called “renewable natural gas,” or gas acquired from decomposing organic matter at livestock operations and landfills.
For years, the utility has used customers’ money to fund ad campaigns promoting “renewable natural gas,” blasting out the slogan “Less We Can,” and insinuating that the company is already providing the “renewable” energy source to Oregon homes. The utility calls RNG a “carbon neutral resource,” but its own filings with Oregon regulators show that’s not true: two of its extraction sites at Tyson slaughterhouses in Nebraska, for example, have a climate footprint.
The company also appears to overstate its use of RNG in its operations. At the Tyson slaughterhouses, the Nebraska-sourced gas is piped mainly to Nebraska customers rather than Oregonians, ProPublica reporters found. And according to the company’s reports, RNG makes up less than 1% of the total gas acquired by NW Natural—a statistic the company blames on “uncertain support from policy makers and regulators, coupled with ongoing barriers created by certain climate advocates.”
According to ads and internal PowerPoint scrutinized by DeSmog and documents revealed by ProPublica, the RNG ad campaigns were part of a strategy to beat back the growing “anti-fossil fuel chorus.” That strategy also involved convincing the state legislature to greenlight a state-produced inventory of Oregon’s “technical potential” for “RNG,” and using the highest possible estimates—the amount of RNG Oregon could produce if it had unlimited money—to successfully lobby for another bill to make ratepayers cover the added costs of the biogas, and establish voluntary goals for its use, which the utility would then use to battle regulation.
Targeting schools
NW Natural’s campaign to “promote the continued use and consumption of fossil fuel gas by influencing public opinion” also “targets the next generation through children,” according to Multnomah’s complaint, which cites “gas-related” activity workbooks sent by NW Natural to schools. The books, which target children as young as kindergartners, use puzzles, word games, cartoons, and other activities depicting fossil gas as safe, clean, and beneficial for society, reporting from DeSmog found.
A group funded by the utility, called Bonneville Environmental Foundation, also planned an event for teachers—which was ultimately canceled after students planned to protest—called “Clean Energy Teacher Training: Exploring Renewable Gas.” The utility promised each teacher who attended the session in Portland a $200 stipend, plus reimbursement for mileage if they traveled more than 50 miles.
In 2022, a coalition of nonprofits and state representatives sent a letter calling on Oregon Attorney General Ellen Rosenblum to investigate the utility’s “misleading advertising,” stating that “it is particularly concerning that school children are being subjected to misinformation from corporate entities of any kind, but especially by a fossil fuel corporation selling a product that is harmful to children’s health.” In 2023, the group once again called on the AG to “investigate and sue NW Natural if appropriate.”
In response to concerns raised by a coalition of local environmental and consumer advocates, the state Public Utility Commission ruled in April that NW Natural can no longer charge ratepayers for pro-gas advertising targeting schoolchildren.
Battling climate action
NW Natural hasn’t just advertised fossil gas as a cleaner, “renewable” fuel—it has also fought policies to reduce emissions and shift toward electrification. Reports show the utility hired a scientist to oppose bans on gas in new construction, worked with a public relations firm and its front group to “defeat policies detrimental to the natural gas industry,” and sued the Oregon Environmental Quality Commission over the state’s landmark Climate Protection Program that aimed to reduce emissions.
The company even posed as a local grassroots group to oppose a partial ban on new natural gas construction by Eugene’s City Council in 2023. Just days after the ban was passed, “Eugene Residents for Energy Choice” was registered with the Oregon Secretary of State. Funded by NW Natural to the tune of nearly $950,000 in a span of two weeks, the group collected signatures to revoke the ban—which was ultimately repealed by the city council.
Recently, state regulators accused NW Natural of misleading consumers about Oregon’s carbon crediting program after the utility claimed in a newsletter that the program would raise rates without reducing greenhouse gas emissions.
NW Natural’s actions are part of a much larger push by the gas industry to fight regulations, including longstanding campaigns by the American Gas Association—an industry trade group of which it is a member, and where its CEO, David Anderson, sits on the board. As more communities pass laws to tighten standards for appliances and limit new construction of gas pipelines to homes and businesses, the group’s campaigns to counter scientific evidence that using gas stoves is harmful to human health have resurfaced.
Another new defendant
Multnomah County’s amended complaint adds one more new defendant to the case: the Oregon Institute of Science and Medicine. The nonprofit ran the 1998 “Oregon Petition,” which claimed to capture signatures from 17,000 scientists who agreed there was “no convincing scientific evidence that human release of greenhouse gasses is causing or will, in the foreseeable future, cause catastrophic heating of the Earth’s atmosphere and disruption of the Earth’s climate.”
In reality, the petition was not signed by 17,000 scientists, but included fictitious names, deceased persons, and celebrities, according to the complaint. The project was designed to look as though it was approved by the National Academy of Scientists, but was actually authored by Fred Seitz, co founder of the Exxon-backed think tank GMI.
‘A signal to the gas industry‘
In June, the county won a procedural victory when a federal court ruled that its lawsuit could move forward in state court.
Pat Parenteau, an environmental law professor and senior fellow at Vermont Law School, said the evidence of the utility’s deception cited in the complaint fell short of the “massive” amount of evidence plaintiffs have cited against oil companies. Further evidence of NW Natural’s deception could expand through the course of discovery and additional reporting, he added.
Michael Gerrard, director of the Sabin Center for Climate Change Law at Columbia University, agreed that gas utilities’ “histories of climate deception have not been as thoroughly mined as those of the oil companies,” but noted that additional evidence could land more utilities in court for climate deception.
“It does send a signal to the gas industry that these sorts of plaintiffs are looking at them more closely than they have in the past,” Gerrard said.
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