Michigan sues major oil companies, alleging cartel raised energy costs

Michigan’s attorney general filed a federal antitrust lawsuit accusing several major oil companies and the American Petroleum Institute of forming a “cartel” that raised energy costs in the state by working to stifle renewables and downplay climate risks. The complaint names ExxonMobil, Chevron, Shell and BP and says the companies colluded to hinder wind and solar power and suppress information about global warming.

Attorney General Dana Nessel said, “Michigan is facing an energy affordability crisis as our home energy costs skyrocket and consumers are left without affordable options for transportation,” and added that the costs were due to corporate profit-seeking rather than natural inflation.

Industry representatives disputed the claims. Elise Otten, a spokeswoman for Exxon, called the suit “yet another legally incoherent effort to regulate by lawsuit.” Ryan Meyers of the A.P.I. said energy policy belongs in Congress, not “a patchwork of courtrooms.” Theodore J. Boutrous Jr., representing Chevron, pointed to prior dismissals of similar suits and warned the complaint ignored Michigan’s dependence on oil and gas; BP and Shell declined to comment.

The filing is notable because it invokes antitrust law rather than the more common state-level climate or consumer-protection claims; only one other antitrust suit has been filed and that case was dismissed with an appeal pending.