ARLINGTON, VA. (CN) – Steadfast Insurance says it has no duty to defend The AES Corp., one of many companies being sued by the Alaskan village of Kivalina, which says it is being inundated and destroyed by global warming.
AES is a holding company that owns parts of fossil-fuel fired electric plants in nine states and Puerto Rico. It is one of the defendants in Native Village of Kivalina v. ExxonMobil et al., filed in San Francisco Federal Court.
Steadfast says it is not obligated to defend or indemnify AES because the greenhouse gas pollution emitted by its plants is no accident but is “an inevitable product of electricity generation”; because the emissions began before the insurance policy was issued; and because pollution is specifically excluded from the policy.
Steadfast, which says it has been providing defense for AES, wants to abandon it, and demands repayment, and an order excusing it from any further defense or indemnities. It is represented in Arlington County Court by David Florin with Crowell & Moring of Washington, D.C.