Justia Energy, Oil & Gas Law Opinion Summaries

The case involves a dispute over the construction of an offshore wind project aimed at reducing reliance on fossil fuels. The project, proposed by Vineyard Wind 1, LLC, was expected to provide energy sufficient to power 400,000 Massachusetts homes. However, residents of Martha's Vineyard and Nantucket opposed the project, arguing that federal agencies failed to properly assess the potential impact of the project on the endangered North Atlantic right whale.Previously, the United States District Court for the District of Massachusetts had granted summary judgment in favor of the National Marine Fisheries Service (NMFS) and Vineyard Wind, rejecting the residents' challenge to a biological opinion issued by the NMFS and relied on by the Bureau of Ocean Energy Management in permitting the construction of the wind power project.In the United States Court of Appeals for the First Circuit, the residents challenged the lower court's decision, arguing that the NMFS's determination that the incidental harassment of up to twenty right whales constituted a "small number" under the Marine Mammal Protection Act (MMPA) was arbitrary, capricious, and unlawful. They also argued that NMFS's consideration of the "specified activity" and the "specific geographic region" within which that activity would occur for purposes of issuing the Incidental Harassment Authorization (IHA) to Vineyard Wind was impermissibly narrow in scope.The Court of Appeals affirmed the lower court's decision, finding that the NMFS's determination was not arbitrary or capricious and that it had properly delineated the "specific geographic region" for the purposes of the IHA. The court also found that the residents' concerns about the broader effect of the project on the right whale population were unwarranted, as the agency had considered the impact on the entire right whale population in its "negligible impact" analysis, its biological opinion, and in its participation in the Bureau of Ocean Energy Management's Environmental Impact Statement. View "Melone v. Coit" on Justia Law

A group of Nantucket residents, organized as Nantucket Residents Against Turbines, challenged the approval of the Vineyard Wind project by the U.S. Bureau of Ocean Energy Management (BOEM). The project involves the construction of a wind power facility off the coast of Massachusetts. The residents alleged that the federal agencies violated the Endangered Species Act by concluding that the project's construction would not jeopardize the critically endangered North Atlantic right whale. They also claimed that BOEM violated the National Environmental Policy Act by relying on a flawed analysis by the National Marine Fisheries Service (NMFS).The case was initially heard in the United States District Court for the District of Massachusetts, which granted summary judgment in favor of the federal agencies. The court found that NMFS and BOEM had followed the law in analyzing the right whale's current status and environmental baseline, the likely effects of the Vineyard Wind project on the right whale, and the efficacy of measures to mitigate those effects. The court also found that the agencies' analyses rationally supported their conclusion that Vineyard Wind would not likely jeopardize the continued existence of the right whale.On appeal, the United States Court of Appeals for the First Circuit affirmed the judgment of the district court. The appellate court found that the lower court had correctly interpreted the law and that the federal agencies had not violated the Endangered Species Act or the National Environmental Policy Act. The court concluded that the agencies' analyses were rational and that their conclusion that the Vineyard Wind project would not likely jeopardize the continued existence of the right whale was supported by the evidence. View "Nantucket Residents Against Turbines v. U.S. Bureau of Ocean Energy Management" on Justia Law

In the case at hand, the defendant, Christopher Condron, was convicted of wire fraud and conspiracy to defraud the United States by obtaining payment for false claims. He had been involved in submitting applications to the United States Department of the Treasury for grant money in connection with supposed renewable energy projects. The applications were submitted on behalf of four different companies, which were created under the name of his then-girlfriend, Jessica Metivier.Condron appealed his conviction on three main grounds: 1) He argued that there was insufficient evidence to sustain his conviction on all counts. 2) He claimed that the government's argument and evidence at trial constructively amended, or at least prejudicially varied from, one of the wire fraud counts. 3) He contended that the district court abused its discretion when it limited his cross-examination of a key government witness.The United States Court of Appeals for the First Circuit rejected all three arguments and affirmed Condron's conviction. It found that there was sufficient evidence to support the conviction, that the government did not constructively amend or prejudicially vary from the indictment, and that the district court did not abuse its discretion in limiting Condron's cross-examination of a key government witness. View "US v. Condron" on Justia Law

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

In this climate-change case, the First Circuit once more affirmed the order of the federal district court allowing Rhode Island's motion to return to state court its state court complaint against oil and gas companies for damages caused by fossil fuels, holding that Rhode Island's complaint did not give rise to federal removal jurisdiction.Rhode Island originally brought this complaint in state court, alleging state-law causes of action for, inter alia, public nuisance. After the energy companies removed the case to federal district court Rhode Island moved for the case to be remanded to state court. The district court granted the motion and ordered the case remanded to state court. The First Circuit affirmed the remand order. On certiorari, the Supreme Court instructed that the First Circuit give further consideration in light of recent caselaw. The First Circuit received supplemental briefs and then affirmed once more the judge's remand order, holding that removal based on federal-question jurisdiction and on other jurisdictional and removal statutes was not proper. View "State of Rhode Island v. Shell Oil Products Co., LLC" on Justia Law

The First Circuit affirmed the decision of the Massachusetts Department of Environmental Protection (DEP) reaffirming the issuance of an air permit to Algonquin Gas Transmission, LLC for a natural gas compressor station in Weymouth, Massachusetts, holding that the agency's actions were not arbitrary or capricious.DEP had previously approved Algonquin's plans to power the Weymouth station using a natural gas-fired turbine, which emitted nitrogen oxides. In a prior appeal, the City of Quincy, the Towns of Braintree and Hingham, and a group of citizens (collectively, the City) and other petitioners established that the DEP did not follow its own procedures when it eliminated an electric motor as a possible alternative to the gas-fired turbine, and the First Circuit remanded the case. On remand, DEP again concluded that an electric motor was not what Massachusetts regulations call the "best available control technology" (BACT) for the new compressor station and reaffirmed the air permit at issue. The First Circuit affirmed the DEP's decision after remand, holding that substantial evidence supported the decision and that the agency's determination was not arbitrary and capricious. View "City of Quincy v. Massachusetts Department of Environmental Protection" on Justia Law

The First Circuit affirmed the judgment of the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA) Title III court allowing certain expenses incurred by the Puerto Rico Electric Power Authority (PREPA) under a contract entered into with LUMA Energy, LLC and LUMA Energy ServCo, LLC (collectively, LUMA) as entitled to administrative expense priority pursuant to section 503(b)(1)(A) of the Bankruptcy Code, holding that there was no error.In 2017, the Financial Oversight and Management Board for Puerto Rico (FOMB) filed for bankruptcy on behalf of PREPA. In 2020, PREPA entered into a contract with LUMA, a private consortium, to transfer the operations and management of PREPA to LUMA. At issue was whether the Title III court erred in allowing expenses incurred by PREPA under the contract as entitled to administrative expense priority. The First Circuit affirmed, holding (1) section 503(b)(1)(A) applies in Title III cases; (2) the Title III court did not abuse its discretion in applying the requirements of section 503(b)(1)(A); and (3) the Title III court correctly held that 48 U.S.C. 2126(e) prevents it from reviewing challenges to FOMB's certification decision. View "Union de Trabajadores de la Industria Eléctrica y Riego v. Puerto Rico Electric Power Authority" on Justia Law

The First Circuit affirmed the judgment of the PROMESA Title III court granting the motion of the Financial Oversight and Management Board to assume certain long-term power supply contracts on behalf of the Puerto Rico Electric Power Authority (PREPA) under 11 U.S.C. 365 and 48 U.S.C. 2161, holding that there was no clear error.On appeal, Appellants - PREPA's primary labor union, an energy company that had other contracts with PREPA, and multiple environmental groups - argued that the Board abused the assumption procedure set forth in section 365 to avoid the competitive bidding process ordinarily required for long-term power supply contracts under Commonwealth law. The First Circuit affirmed, holding (1) the Board's motion to assume was ripe for resolution by the Title III court and remained so on appeal; and (2) the Title III court properly granted the Board's motion to assume the renegotiated contracts under the customary standards of section 365(a). View "Campamento Contra Las Cenizas v. Puerto Rico Electric Power Authority" on Justia Law

In this complaint alleging violations of the Clean Water Act (CWA), 33 U.S.C. 1251 et seq., and the Resource Conservation and Recovery Act (RCA), 42 U.S.C. 6901 et seq., the First Circuit vacated the order of the district court granting a motion to stay the proceedings under the so-called doctrine of primary jurisdiction, holding that the district court improperly stayed the case.Conservation Law Foundation, a not-for-profit organization, brought this suit against ExxonMobil Corporation, ExxonMobil Oil Corporation, and ExxonMobil Pipeline Company (collectively, ExxonMobil), alleging unlawful violations at ExxonMobil's petroleum storage and distribution terminal in Everett, Massachusetts. After the district court denied ExxonMobil's motion to dismiss, ExxonMobil moved to stay the case under the doctrine of primary jurisdiction until the Environmental Protection Agency (EPA) issued a decision on ExxonMobil's pending permit renewal application for the Everett terminal. The First Circuit vacated the stay order, holding that the district court erred in granting a stay under the doctrine of primary jurisdiction until EPA issues a new permit for ExxonMobil's Everett terminal. View "Conservation Law Foundation v. ExxonMobil Corp." on Justia Law

The First Circuit affirmed the judgment of the district court denying a preliminary injunction barring construction of Segment 1 of a planned five-segment electric transmission power corridor in Maine, holding that Plaintiffs failed to show a likelihood of success on the merits.The planned transmission power corridor was part of a larger project that would run from Quebec, Canada to Massachusetts. After its performance of an environmental assessment, the Army Corps of Engineers issued a permit authorizing Central Maine Power, a private company, to take three actions in Segment 1. Plaintiffs, environmental organizations, sought preliminary injunctive relief. The district court rejected Plaintiffs' challenges and denied relief. Plaintiffs then brought this interlocutory appeal and filed an emergency motion for injunction pending appeal. The First Circuit affirmed, holding that Plaintiffs' challenges did not demonstrate a likelihood of success on the merits. View "Sierra Club v. United States Department of Army Corps of Engineers" on Justia Law