✦ Plain-English Summary

Liability for Climate Change Damage (Make the Polluters Pay) Bill 2020

What it does

Companies that emit large amounts of greenhouse gases—like coal mines, oil producers, and coal-fired power stations—become legally responsible for paying compensation to Australians harmed by climate change. People who suffer damage from climate impacts (floods, bushfires, property loss, health problems) could sue these major emitters and recover money based on their share of global emissions.

Why it matters

Currently, companies that profit from fossil fuels face no legal consequence for climate damage. This bill would shift that burden, making polluters pay for the harms their emissions cause rather than leaving communities and taxpayers to cover the costs.

Key details

• Liability is proportional: A company only pays for damage matching its share of total global greenhouse gas emissions (so if a coal producer causes 0.1% of global emissions, they're liable for 0.1% of climate damage).
• No time limit: People can sue for climate damage without running up against a deadline—there's no statute of limitations.
• Broad definition of damage: Claims can cover property loss, infrastructure damage, insurance costs, injuries, illness, and psychological harm from climate-related events.

Official Description

Provides that fossil fuel companies are liable for climate change damage in proportion to their greenhouse gas emissions; and enables certain persons, including those impacted by climate change, to bring legal actions against major greenhouse gas emitters for damage caused by climate change.

Committee Referrals

Senate Standing Committee for the Scrutiny of Bills

No formal division recorded

This bill passed by voice vote — parliament agreed without calling a formal count. A division is only recorded when a member explicitly requests one.

No votes yet.

No votes were recorded for this bill.