Justia Energy, Oil & Gas Law Opinion Summaries

Articles Posted in Environmental Law
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The Supreme Court affirmed the orders of the circuit court denying Defendants' motions to dismiss for lack of jurisdiction and for failure to state a claim in this action brought by the City and County of Honolulu and the Honolulu Board of Water Supply (collectively, Plaintiffs) against a number of oil and gas producers (collectively, Defendants), holding that there was no error.Plaintiffs sued Defendants alleging public nuisance, private nuisance, strict liability failure to warn, negligent failure to warn, and trespass. Specifically, Plaintiffs alleged that Defendants engaged in a deceptive promotion campaign and misled the public about the dangers and environmental impact of using their fossil fuel products. Defendants filed a motion to dismiss, arguing, among other things, that Plaintiffs' claims were preempted by the Clean Air Act (CAA). The Supreme Court denied the motions, holding (1) Defendants were subject to specific jurisdiction in Hawai'i; (2) the CAA displaced federal common law governing interstate pollution damages suit, and following displacement, federal common law did and does not preempt state law; and (3) the CAA did not preempt Plaintiffs' claims. View "City & County of Honolulu v. Sunoco LP" on Justia Law

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The Bonneville Power Administration (BPA) is a federal agency tasked with selling the power generated at various hydroelectric facilities in the Pacific Northwest. In the decision on review, BPA set its rates for the 2022–2023 fiscal period. Environmental groups now petition for a review of that decision, arguing that BPA failed to comply with a pair of statutory duties in the Northwest Power Act relating to fish and wildlife.   The Ninth Circuit denied the petition. The panel held that petitioners had Article III standing. First, petitioners have alleged injury, in fact where they are interested in the fish populations in the Columbia River Basin, and ongoing harm to these fish populations inflicts an injury on petitioners’ members. Second, any harm to the fish populations is traceable to BPA’s BP-22 ratemaking. Third, Petitioners have adequately alleged redressability where it is a reasonable inference from the historical record that Petitioners’ injuries would be at least partially redressed by a favorable decision on the merits. Turning to the merits, the panel held that the text and structure of the NWPA as a whole convincingly provide that NWEPA Section 4(h)(11)(A) does not apply to rate making where that provision does not mention ratemaking, and other features of the statutory scheme buttress this conclusion. View "IDAHO CONSERVATION LEAGUE, ET AL V. BPA" on Justia Law

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The Supreme Court affirmed the decision of the administrative law judge (ALJ) from the Office of Administrative Hearings affirming the decision of the North Carolina Department of Environmental Quality, Division of Water Resources (Division) to issue a National Pollutant Discharge Elimination System Permit to Martin Marietta Materials, Inc., holding that there was no error in the proceedings below.The permit at issue allowed Martin Marietta to discharge twelve million gallons of mining wastewater per day from Vanceboro Quarry into Blounts Creek tributaries. The ALJ affirmed the issuance of the permit. The superior court reversed, concluding that the Division failed to ensure "reasonable compliance with the biological integrity standard." The court of appeals reversed, concluding that the permit was properly and validly issued in accordance with the applicable regulations. The Supreme Court affirmed, holding that the ALJ properly made findings of fact and properly applied those facts to a correct interpretation of the regulatory plain language. View "Sound Rivers, Inc. v. N.C. Dep't of Environmental Quality" on Justia Law

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EEE Minerals, LLC, and a Trustee for The Vohs Family Revocable Living Trust, sued the State of North Dakota, the Board of University and School Lands, and the Board’s commissioner in a dispute over mineral interests in McKenzie County, North Dakota. Plaintiffs alleged that state law related to mineral ownership was preempted by federal law and that the defendants had engaged in an unconstitutional taking of the plaintiffs’ mineral interests. Plaintiffs sought damages, an injunction, and declaratory relief. The district court dismissed the action.   The Eighth Circuit affirmed. Plaintiffs contend that the Flood Control Act impliedly preempts the North Dakota statute because the state law “stands as an obstacle to the accomplishment and execution of the full purposes and objectives of Congress.” The court explained that it is not convinced that the State’s determination of a high-water mark, and the attendant settling of property rights under state law, stands as an obstacle to accomplishing the objectives of the Flood Control Act. The court wrote that the interests of the United States and the goals of the Flood Control Act are unaffected by a dispute between the State and a private party over mineral rights that were not acquired by the federal government.   Further, the court explained that Plaintiffs have not established that the United States will be prevented from flooding or inundating any land covered by the 1957 deed in which the State claims ownership of mineral interests under state law. The Flood Control Act would not dictate that property rights be assigned to Plaintiffs. View "EEE Minerals, LLC v. State of North Dakota" on Justia Law

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The Nuclear Regulatory Commission has asserted that it has authority under the Atomic Energy Act to license temporary, away from reactor storage facilities for spent nuclear fuel. Based on that claim of authority, the Commission issued a license for Interim Storage Partners, LLC, to operate a temporary storage facility on the Permian Basin.Fasken Land and Minerals, Ltd., and Permian Basin Land and Royalty Owners (“PBLRO”) petitioned for review of the license. As did the State of Texas, arguing that the Atomic Energy Act doesn’t confer authority on the Commission to license such a facility.The Fifth Circuit granted Texas’ petition for review and vacated the license, finding that the Atomic Energy Act does not confer on the Commission the broad authority it claims to issue licenses for private parties to store spent nuclear fuel away from the reactor. And the Nuclear Waste Policy Act establishes a comprehensive statutory scheme for dealing with nuclear waste generated from commercial nuclear power generation, thereby foreclosing the Commission’s claim of authority. View "State of Texas v. NRC" on Justia Law

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Three conservation groups challenged the U.S. Bureau of Land Management’s approval of Jonah Energy’s development project on state and federal land in Wyoming. The project was designed to drill exploratory wells on land for which Jonah possessed development rights. The conservation groups argued the district court erred in upholding the BLM’s approval under the National Environmental Protection Act and the Federal Land Polocy and Management Act. Specifically, they contended the BLM inadequately considered the impact of the project on the sage-grouse and pronghorn antelope migration and grazing patterns. The Tenth Circuit concluded the BLM adequately collected and considered information on the sage-grouse and pronghorn, and selected a development plan that met statutory requirements. View "Western Watersheds Project, et al. v. United States Bureau of Land Management, et al." on Justia Law

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MSHA’s jurisdiction, the Federal Mine Safety and Health Review Commission (“Commission”) held that for the list of items in Section 802(h)(1)(C) to be considered a “mine,” the items had to be located at an extraction site, or the roads appurtenant thereto.  Because neither the trucks nor the facility associated with the citations at issue were located on land covered under subsections (A)–(B), the Commission found they failed to constitute a “mine” and vacated the citations. The Commission also found that, as an independent contractor not engaged in servicing a mine at the time of the citation, KC Transport failed to qualify as an “operator” under Section 802(d) of the Mine Act. The Secretary of Labor (“the Secretary”), acting through MSHA, appealed the Commission’s decision and asked the court to uphold the two citations as an appropriate exercise of the Secretary’s jurisdiction under the Mine Act. In the Secretary’s view, subsection (C) of the “mine” definition covers KC Transport’s facility and trucks because they were “used in” mining activity.   The DC Circuit vacated and remanded the Commission’s decision, allowing the Secretary to interpret the statute’s ambiguous language. The court explained that given the Mine Act’s language, context, and the court’s binding precedent, it finds that the Commission erred in its interpretation of the “mine” and “operator” definitions. And we generally defer to the Secretary’s reasonable interpretation of an ambiguous statute—even when the Commission disagrees. But here, the Secretary’s position treats subsection (C) as 4 unambiguous and makes no meaningful effort to address the numerous practical concerns that would arise under such an interpretation. View "Secretary of Labor v. KC Transport, Inc." on Justia Law

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The Supreme Court affirmed the judgment of the superior court in favor of the Town of Exeter in this action seeking injunctive and declaratory relief challenging the Town's decision to amend its zoning ordinance, which prevented Plaintiff from developing three commercial solar-field projects in Exeter, holding that Plaintiff was not entitled to relief on its allegations of error.On appeal, Plaintiff challenged several aspects of the superior court's judgment denying Plaintiff's request to enjoin enforcement of an emergency moratorium ordinance preventing review of Plaintiff's solar-field projects and to declare that Plaintiff's solar-field projects were vested pursuant to R.I. Gen. Laws 45-24-44. The Supreme Court affirmed, holding that, under this Court's understanding of the relevant law, the trial court properly entered judgment in favor of the Town. View "Green Development, LLC v. Town of Exeter" on Justia Law

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The Supreme Court affirmed the order of the Ohio Power Siting Board authorizing Firelands Wind, LLC to construct, operate, and maintain a wind farm in Huron and Erie Counties, holding that the nineteen nearby residents and the Black Swamp Bird Observatory that brought this appeal (collectively, Appellants) have not established that the Board's order was unlawful or unreasonable.On appeal, Appellants challenged the Board's determination that the wind farm satisfies the statutory requirements for constructing a major utility facility, asserting, among other things, that the project could kill birds and create excessive noise for residents near the wind farm and that the Board improperly failed to follow its administrative rules. The Supreme Court affirmed, holding that the Board's order was neither unlawful nor unreasonable. View "In re Application of Firelands Wind, L.L.C." on Justia Law

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The First Circuit denied Petitioners' petition objecting to a permit issued by the Environmental Protection Agency (EPA) and affirmed by the Environmental Appeals Board requiring General Electric Company (GE) to clean up polychlorinated biphenyls from certain portions of the Housatonic River, holding that the EPA's challenged actions were not arbitrary or capricious.On appeal, Petitioners brought three substantive challenges and also brought procedural challenges to the permit's issuance. The First Circuit denied the petition after noting that should GE's cleanup of the river not achieve the goals set out in the permit, the permit requires further measures, holding that Petitioners were not entitled to relief on their procedural and substantive legal challenges. View "Housatonic River Initiative v. U.S. Environmental Protection Agency" on Justia Law