President Donald Trump signed an executive order on Tuesday directing the Department of Justice to identify and challenge state and local climate-related laws that undermine US energy production and national security.
The directive, issued from the White House on Monday, outlines a plan to “unleash American energy” by removing what it calls “illegitimate impediments” to the development of domestic energy resources, including oil, natural gas, coal, hydropower, nuclear energy, and critical minerals.
Trump said regulations imposed by certain states are harming energy producers and violating constitutional principles by restricting interstate commerce and imposing retroactive penalties.
“These State laws and policies try to dictate interstate and international disputes over air, water, and natural resources; unduly discriminate against out-of-State businesses; contravene the equality of States; and retroactively impose arbitrary and excessive fines without legitimate justification,” the order says. “These State laws and policies are fundamentally irreconcilable with my Administration’s objective to unleash American energy. They should not stand.”
Under the executive order, the Attorney General is instructed to identify state and local laws that may be unconstitutional, preempted by federal law, or otherwise deemed unenforceable. These include laws and lawsuits related to greenhouse gas emissions, environmental justice initiatives, ESG (environmental, social, governance) measures, and carbon penalties.
“The Attorney General shall prioritize the identification of any such State laws purporting to address ‘climate change’ or involving ‘environmental, social, and governance’ initiatives, ‘environmental justice,’ carbon or ‘greenhouse gas’ emissions, and funds to collect carbon penalties or carbon taxes,” the order says.
Within 60 days, the Attorney General must report to the President with findings and recommendations, including potential legislative or additional executive action.
States like New York, California, and Vermont are specifically cited in the order as examples of jurisdictions enacting what the administration calls “ideologically motivated” climate laws. Some of these laws impose retroactive penalties or create regulatory hurdles for out-of-state energy companies — measures the Trump administration views as unconstitutional interference with interstate and federal energy policy.
The order may shield Alaska-based or Alaska-bound energy companies and projects from climate-related lawsuits filed in other states, helping stabilize investment confidence in large-scale resource projects.
However, the order is also likely to face legal challenges and opposition from environmental groups, climate-focused states, and some members of Congress. Its long-term effect will depend on how aggressively the Justice Department pursues enforcement and how courts interpret the balance of federal versus state authority over environmental and energy regulations.
The executive order is part of a broader Trump administration push to reverse climate policies enacted at the state and federal level over the past decade. It aligns with a campaign promise to restore American energy independence and roll back what Trump has repeatedly described as “radical” environmental regulations.
