Justia Energy, Oil & Gas Law Opinion Summaries

Articles Posted in Government & Administrative Law
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In 1983, the Nuclear Waste Policy Act, 42 U.S.C. 10101-10270, authorized the Department of Energy to contract with nuclear facilities for disposal of spent nuclear fuel and high level radioactive waste. The Standard Contract provided that rights and duties may be assignable with transfer of SNF title. Plaintiff entered into the Standard Contract in 1983 and sold its operation and SNF to ENVY in 2002, including assignment of the Standard Contract, except one payment obligation. Plaintiff transferred claims related to DOE defaults. As a result of DOE’s breach, ENVY built on-site dry-storage facilities. The Claims Court consolidated ENVY’s suit with plaintiff’s suit. The government admitted breach; the Claims Court awarded ENVY $34,895,467 (undisputed damages) and certain disputed damages. The Federal Circuit affirmed in part. Plaintiff validly assigned pre-existing claims; while partial assignment of rights and duties under the contract was not valid, the government waived objection. The assignment encompassed claims against the government. Legal and lobbying fees to secure Vermont approval for mitigation were foreseeable, but other expenses were not recoverable. ENVY failed to prove costs of disposing of contaminated material discovered due to the breach and its characterization of spent fuel moved to dry storage. ENVY is not entitled to recover cost of capital for funding mitigation, or Resource Code 19 payroll loader overhead costs, but may recover capital suspense loader overhead costs,.View "VT Yankee Nuclear Power Corp. v. United States" on Justia Law

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Ruling on a joint petition for declaratory order filed by Monongahela Power Company and Potomac Edison Company ("The Utilities"), The Public Service Commission of West Virginia held that the alternative and renewable energy resource credits attributable to energy purchases by the Utilities from Morgantown Energy Associates (MEA) and the City of New Martinsville ("the Generators"), were owned by the Utilities during the terms of electric energy purchase agreements between the entities. On appeal, the Generators contended that the Commission erred in its ruling and that the energy resource credits were owned by them. The Supreme Court affirmed, holding (1) the Commission did not err in finding the credits at issue were owned by the Utilities; and (2) the Commission did not err in holding that it would deem MEA's Morgantown project as a certified facility under the Alternative and Renewable Energy Portfolio Act upon the submission of sufficient evidence by the Utilities. View "City of New Martinsville v. Pub. Serv. Comm'n " on Justia Law

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NextEra Energy Resources, LLC appealed the Iowa Utility Board's decision to grant advance ratemaking principles to MidAmerican Energy Company for a proposed wind generation facility. The district court affirmed the Board. The Supreme Court affirmed, holding (1) the Board properly interpreted and applied Iowa Code 476.53; (2) substantial evidence supported the Board's findings; (3) Iowa Code 476.43 was not applicable to this ratemaking proceeding; and (4) section 476.53 as applied to a rate-regulated public utility that may compete in the wholesale energy market did not violate the Equal Protection clauses of the Iowa or U.S. Constitutions or the Commerce Clause of the U.S. Constitution. View "Nextera Energy Res., LLC v. Iowa Utils. Bd." on Justia Law

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Petitioners petitioned the court for review of the Commission's rulemaking regarding temporary storage of permanent disposal of nuclear waste. The court held that the rulemaking issue constituted a major federal action necessitating either an environmental impact statement or a finding of no significant environmental impact. The court further held that the Commission's evaluation of the risks of spent nuclear fuel was deficient in two specified ways. Accordingly, the court granted the petitions for review, vacated the Commission's orders, and remanded for further proceedings. View "State of New York v. NRC" on Justia Law

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API petitioned for review of a 2008 EPA regulation deregulating many "hazardous secondary materials" under the Resource Conservation and Recovery Act (RCRA), 42 U.S.C. 6901-6992k. After the parties completed briefing, the EPA issued a notice of proposed rulemaking that, if made final, would significantly amend the EPA's 2008 decision. As a result, the court deemed this controversy unripe as a prudential matter and ordered the case held in abeyance, subject to regular reports on the status of the proposed rulemaking. View "American Petroleum Institute v. EPA" on Justia Law

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Covanta Maine, LLC (Covanta), a subsidiary of Covanta Energy, appealed from orders of the Public Utilities Commission denying Covanta's requests for certification of two of its facilities as Class I new renewable resources. Covanta argued that the Commission erred by basing its conclusion that the facilities were not refurbished on the ratio of Covanta's expenditures in the facilities to the value of those facilities, and it therefore asserted that the Commission improperly denied certification of its two facilities. The Supreme Court vacated the judgment of the Commission, holding that the Commission erred by establishing a requirement that the expenditures meet some minimum level that equals an unspecified percentage of the total value of the facility. Remanded. View "Covanta Maine, LLC v. Pub. Utils. Comm'n" on Justia Law

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Petitioners, nuclear power plant owners and operators, sought review of a November 2010 determination by the Secretary of Energy finding that there was no basis for suspending, or otherwise adjusting, annual fees collected from them totaling some $750 million a year. The court concluded that the Secretary had failed to perform a valid evaluation, as he was obliged to do under the 1982 Nuclear Waste Policy Act, 42 U.S.C. 10101 et seq., but the court did not think it appropriate to order the suspension of the fee at this time. Instead, the court remanded to the Secretary with directions to comply with the statute within six months. View "Nat'l Assoc. of Regulatory Utility Commissioners v. Dept. of Energy" on Justia Law

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Petitioners, non-profit environmental protection organizations, filed petitions for judicial review challenging sixteen Department of the Interior (DOI) plan approvals, issued between March 29 and May 20, 2010, under the Outer Continental Shelf Lands Act (OCSLA), 43 U.S.C. 1331-1356a. The court concluded that: (1) petitioners' OCSLA-based challenges were justiciable, except for four, which have become moot; (2) the DOI's approval of the exploratory and development plans were subject to judicial review by the court under OCSLA, 43 U.S.C. 1349(c)(2); (3) petitioners' failure to participate in the administrative proceedings related to the DOI's approval of the plans as required by section 1349(c)(3) did not oust the court's jurisdiction because that participation requirement was a non-jurisdictional administrative exhaustion rule; but, (4) petitioners have not shown sufficient justification for excusing them from that exhaustion requirement in this case. Accordingly, except for four of petitioners' petitions for judicial review that were dismissed as moot, petitioners' petitions for judicial review were dismissed because of their failure to participate in the administrative proceedings. View "Gulf Restoration Network, Inc., et al. v. Salazar, et al.; Ctr for Biological Diversity v. Salazar, et al." on Justia Law

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In expedited petitions for review, the court considered the allegations of petitioners that the Bureau of Ocean Energy Management (BOEM) failed to discharge obligations under the Outer Continental Shelf Lands Act (OCSLA) in approving Shell's plan for exploratory oil drilling in the Beaufort Sea. The court concluded that BOEM's decision that Shell's exploration plan complied with OCSLA's requirements was entitled to deference and was supported by the record as a whole. Accordingly, the court denied the expedited petitions. View "Native Village of Point Hope, et al. v. Salazar, et al.; Inupiat Community v. Salazar" on Justia Law

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Petitioner Town of Seabrook appealed an order of the New Hampshire Department of Environmental Services (DES) which granted Respondent NextEra Energy Seabrook, LLC (NextEra), several tax exemptions under RSA 72:12-a (Supp. 2011). Upon review of the record, the Supreme Court found that the record supported DES' decisions except for one: the Court found no evidence in the record to support an increase in a percentage allocation allowed under the statute. Accordingly, the Court partly affirmed, partly reversed the DES' decision, and remanded the case for further proceedings. View "Appeal of Town of Seabrook " on Justia Law