How Trump's DOJ is quietly protecting billionaires — and destroying poor neighborhoods

How Trump's DOJ is quietly protecting billionaires — and destroying poor neighborhoods

President Donald J. Trump and First Lady Melania Trump are greeted by guests as they arrive to the New Year’s Eve celebration Tuesday evening, Dec. 31, 2019, at Mar-a-Lago in Palm Beach, Fla. (Official White House Photo by Tia Dufour)

President Donald J. Trump and First Lady Melania Trump are greeted by guests as they arrive to the New Year’s Eve celebration Tuesday evening, Dec. 31, 2019, at Mar-a-Lago in Palm Beach, Fla. (Official White House Photo by Tia Dufour)

The barely- acknowledged silver lining in Trump’s war in Iran is that it has pushed 30% of the world’s economic power into a race toward renewable energy. Market volatility of fossil fuels, already complex, has become so intolerable due to the oil chokehold in the Strait of Hormuz that nearly 60 nations are mapping out their accelerated plan to abandon fossil fuels.

Legacy cities, built around heavily polluting industries from 1940-1970, inherited dystopian realities, including toxic brownfields, disappearing populations, poverty, declining birth rates, and diminished life expectancy from airborne particulates. Study after study has shown that people of color, many of whom live in legacy cities, face disproportionate health problems from pollution including benzenes, coal ash, airborne particulates, industrial waste, and lead. One study showed that a 10 mile difference in where someone lives can make a 33 year difference in life expectancy due largely to differences in air, soil, and water quality.

As we watch our coastlines sink while fires, droughts and floods increase in intensity, it is only a matter of time before courts begin to compensate victims of mass environmental injury. While legacy cities, comprised of poor and/or black majorities, would make ideal class-action plaintiffs, the best way to avoid a forced national restructuring of the energy map is for state lawmakers to relieve legacy cities from state-sanctioned monopolies that have harmed them for decades.

Republicans should not have a monopoly on energy

Enter the utility monopoly, comprised predominantly of white, mid-to-upper wealth, males. Thirty-four states have created regulated energy monopolies under which competition is eliminated in exchange for “heightened state control”; these controls are exercised to guarantee regulated utilities a certain rate of return on their capital investments, regardless of injuries and pollution caused along the way. The statutes guarantee that the more power plants utilities build, the more financial rewards for their investors, regardless of whether or not those projects injure public health. Even project overruns, where a projected $5 billion plant ends up costing $10 billion, results in greater profits to shareholders, while 100% of the overrun costs are paid for by the consumer.

There is no industry in the free market economy of United States — other than the energy industry — where a given, controlled, highly lucrative ROI is legally guaranteed.

Utility monopoly states have established public utility monopolies to control local electricity production and distribution. Through public utility commissions (PUCs), they govern and regulate monopolies conceived as vertically integrated businesses, meaning the monopoly provides service from front (generation) to end (the consumer meter.) The entrenched array of state-controlled monopolies throughout the U.S. resulted in increased reliance on coal and coke powered facilities that leach chemicals toxic to human life in predominantly black, brown, Asian, and poor communities.

Follow the Money

The Trump administration is fighting climate progress in unprecedented ways. This month, Trump’s Justice Department sued Minnesota to block a state-level lawsuit against oil companies, arguing that the well-pleaded lawsuit is an attempt to regulate greenhouse gas emissions. This action follows a 2025 executive order directing the DOJ to protect energy production from state-level climate lawsuits, and complements Trump’s relentless efforts to increase reliance on fossil fuels to enrich and protect his deep-pocket fossil fuel donors.

While litigation winds through the federal courts, states could take matters into their own hands by transferring green energy generation to legacy cities and away from monopolistic utilities. The policy change would bring a profound economic shift by offering sustained economic opportunity to poor people, people of color, and others who live next to industry that ravages its host. This is an economic restitution approach based on evidence that black, brown, and poor citizens are disproportionately harmed by industrial pollution, toxic brownfields, and airborne particulates linked to living in legacy cities.

Redress is not suggested — nor recoverable — for decisions made in the 40s and 50s about where to site polluting industry. Demographics have shifted, and many entities have engaged in corporate shell games designed to insulate them from misdeeds of their corporate forbears.

But today there is no shortage of alternative energy firms with green energy expertise to share with municipalities in exchange for a share of the profits, if only they were not barred by artificial market constraints of Public Utility Commissions. It’s not hard to draft a 30-year lease where the energy developer provides expertise and equipment, and the city provides land, tax and permitting incentives. Over time, shared profits would gradually shift to the city while private investment is recovered.

Environmental justice would benefit the planet

Bringing energy autonomy to legacy cities would present a viable and sustainable economic justice model. Exempting legacy cities from PUCs, or state restraint, as compensation for decades of pollution and diminished life expectancy seems like a win-win, especially compared to the potential devastation of a well-funded class action.

A simple exemption for legacy cities would free 48 cities to set up green utilities through public-private ventures of their own choosing, and would soon provide cash-strapped cities more than enough money to enhance city services and possibly pay dividends to residents. Instead of drowning in debt, legacy cities could soon pave roads, buy municipal EV fleets for police and fire, and provide the kind of early education that gives urban youth a real chance at succeeding.

The war in Iran hits home how absurd it is to extract limited fossil fuels and export them around the globe when wind and solar power exists in everyone’s back yard. Black, brown, and poor communities disproportionately poisoned by fossil fuels own the wind and sun as much as anyone else, and should not have to sue the richest defendants in the world just to get their fair share. As long as we inhabit a spinning ball that circles the sun, we will have all the wind and solar energy we will ever need.

Sabrina Haake is a columnist and 25+ year federal trial attorney specializing in 1st and 14th A defense. She writes the free Substack, The Haake Take.

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