Court overturns ruling in class-action case against state-backed geothermal project

An appeals court has overturned a lower court ruling that held the government responsible for a series of earthquakes that struck the southeastern city of Pohang in 2017 and 2018.

A participant holds a sign urging progress in the trial during a citizens' rally organized by the Pohang Earthquake Citizens' Countermeasure Headquarters and 120 social, religious and volunteer groups at Pohang Jungang Market in Pohang, North Gyeongsang, on Nov. 15, 2024. [NEWS1]

An appeals court has overturned a lower court ruling that held the government responsible for a series of earthquakes that struck the southeastern city of Pohang in 2017 and 2018, which had previously been attributed to a state-backed geothermal energy project.

The Daegu High Court on Monday ruled against 111 residents of Pohang, including Mo Sung-eun, co-head of the Pohang earthquake countermeasures committee, who filed a damages suit against the government and steelmaker Posco, among others.

"The court finds that the plaintiffs failed to sufficiently prove negligence in the part of the defendants," the appellate bench said in its ruling. "Even the claims partially upheld in the initial ruling have now been rejected, and all of the plaintiffs' claims are hereby dismissed."

The court also noted, however, that the ruling is not final, as the plaintiffs may still appeal to the Supreme Court.

The 5.4-magnitude earthquake, the second-strongest ever recorded in Korea, that hit Pohang on Nov. 15, 2017, and the 4.6-magnitude aftershock on Feb. 11, 2018, are believed to have likely been triggered by the government's geothermal power experiments in the area.

Participants hold signs urging progress in the trial during a citizens' rally organized by the Pohang Earthquake Citizens' Countermeasure Headquarters and 120 social, religious and volunteer groups at Pohang Jungang Market in Pohang, North Gyeongsang on Nov. 15, 2024. [YONHAP]

The 2017 earthquake displaced nearly 1,800 people. The Bank of Korea said the earthquake damaged 57,000 structures, and the Ministry of the Interior and Safety said it would cost around 144.5 billion won ($102.6 million) to restore the damage.

In a first-instance ruling in November 2023, the Pohang branch of the Daegu District Court had partially sided with the plaintiffs, ordering the government and other defendants to pay 2 million to 3 million won in damages to each claimant.

A total of 499,881 Pohang residents had joined the class-action lawsuit seeking compensation for quake-related psychological and material damages as of March last year, according to the countermeasures committee.

That figure represents 96 percent of the city’s population at the time of the earthquake.

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff. BY JANG GU-SEUL [kim.minyoung5@joongang.co.kr]