In an unprecedented legal action, Brazil’s Attorney-General’s Office (AGU), representing the Chico Mendes Institute for Biodiversity Conservation (ICMBio), has filed a lawsuit seeking BRL 635 million (approximately USD 115 million) in compensation for climate damage caused by illegal cattle ranching in the Jamanxim National Forest, a protected area in the Amazon rainforest.
The lawsuit, filed in the Federal Court of Pará state, is Brazil’s largest climate damage lawsuit targeting environmental violations in conservation units yet. It argues that the deforestation of 7,075 hectares of the national forest were the result of illegal activities such as large-scale deforestation, illegal burning, the use of herbicides, and the destruction of permanent preservation areas.
Attorney-General Jorge Messias stresses the government’s firm stance on environmental protection: “The federal government will have zero tolerance for environmental offenders […] We will not tolerate, under any circumstances, any type of environmental violation, especially in conservation and preservation areas, such as our national parks”.
The lawsuit stems from overflights and inspections conducted by environmental authorities in Brazil, including ICMBio and the National Institute of the Environment and Renewable Natural Resources (IBAMA). The inspectors discovered over 3,000 cattle grazing in the deforested areas, none of which were registered with the Pará State Agricultural Defense Agency (ADEPARÁ).
The financial compensation being sought is based on the social cost of greenhouse gas emissions resulting from the destruction of the forest. Government estimates indicate that 1,139,075 tons of carbon were released into the atmosphere due to environmental degradation in the area. The ‘social cost’ of greenhouse gas emissions is calculated using the OECD Social Cost of Carbon mechanism. ICMBio President Mauro Pires underlined the singularity of the lawsuit: “This type of lawsuit is paving the way for us to follow”.
The lawsuit not only seeks compensation for climate damages but also a court order for the ranchers to vacate within 30 days. Moreover, the AGU requested further measures to prevent exploitation of the deforested land, including the demolition of all structures – such as homes and sheds – in the national forest.
The outcome of this case is expected to influence future climate lawsuits in Brazil and reinforce Brazil’s zero-tolerance approach to environmental crimes, particularly in the Amazon, where illegal cattle farming remains a major driver of deforestation.
Climate Lawsuits in Brazil
Just two months ago, a Brazilian cattle rancher, Dirceu Kruger, was ordered to pay over $50 million in climate compensation for illegally deforesting 5,600 hectares of the Amazon. At the time, this case represented the largest civil lawsuit for climate damage in the country's history. Kruger had been fined repeatedly for clearing land using fire, which released an estimated 901,600 tons of carbon dioxide. The lawsuit argued that Kruger's actions violated the Paris Agreement by contributing to intergenerational environmental damage and intensifying the climate crisis. The court ordered Kruger to restore the degraded land and blocked his assets, with the compensation funds directed to Brazil’s National Climate Change Fund.
Another notable case to watch, originating from Brazil, is the largest class action ever in the English legal system. The trial against the British-Australian mining giant BHP will commence on 7 October 2024. The case relates to the 2015 collapse of a mining tailings dam in Brazil, which resulted in the deaths of 19 people and the release of toxic waste. Over 700,000 Brazilians are seeking £36 billion in damages, arguing that BHP failed to adequately compensate the victims. This case is notable, as it may set a strong global precedent in holding multinational corporations accountable in their home jurisdictions for harms caused abroad.
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