Alandmark climate case brought by a Peruvian farmer against energy giant RWE resumes today (17 March) at the Higher Regional Court in Hamm, Germany.

Saul Luciano Lliuya is a Quechua-speaking farmer and mountain guide from Peru’s Ancash region. The 44-year-old believes that RWE, as one of the world’s top historic greenhouse gas emitters, should share in the cost of protecting his hometown, Huaraz, from a swollen glacial lake at risk of overflowing due to melting snow and ice.

The hearings will determine what evidence will be permissible in the final trial, which will rule on whether RWE – which has never operated in Peru – can be held liable for damages.

RWE denies legal responsibility, arguing that climate change is a global issue caused by many contributors.

What is the case about?

Lliuya first challenged RWE after a 2013 Carbon Majors Study found the company responsible for 0.5 per cent of climate change since industrialisation began in the 1850s.

He is asking for the company to pay for about 0.5 per cent of the cost of protecting Huaraz from the imminent risk of flooding and overflow from Lake Palcacocha. That amount has been tallied at around €17,000.

“What I am asking is for the company to take responsibility for part of the construction costs, such as a dike in this case,” he told reporters in Lima in early March before departing for Germany.

In 2015, Lliuya filed a suit against the company that was later dismissed by a court in Essen. In 2017, a higher court in Hamm admitted an appeal.

Following pandemic-induced delays, the initial hearings are now taking place.

What does it mean for global corporations?

The case is ground-breaking in every way.

RWE insists it has always complied with government guidelines on greenhouse gasemissions and aims to be carbon-neutral by 2040. Yet its historical contribution to a warming planethas put it in the crosshairs, raising questions about corporate accountability for climate change and cross-border legal responsibilities.

“Never before has a case of climate justice reached an evidentiary stage,” Andrea Tang, a lawyer for Germanwatch, the environmental NGO supporting Lliuya, said in Lima.

She added that the case “would set a huge precedent for the future of climate justice.”

With more than 40 climate damages cases ongoing worldwide, according to not-for-profit research group Zero Carbon Analytics, Lliuya’s case has major precedent setting potential.

How a Peruvian farmer captured global headlines

Before the case even reached this stage, it had already commanded global attention.

For one, Lliuya had never left Peru before he decided to take RWE to court. His efforts also brought European experts to Peru.

Following diplomatic talks, judges from Germany visited Huaraz and Lake Palcacocha – about 4,500 metres above sea level in the Andes – in 2022. Surrounded by dozens of journalists and documentary film teams, they assessed the potential risk to the village.

While Lliuya has won the legal battle to have his case tried, it is yet to be seen if that visit also won the judges over to his side of the scientific argument.