Shale Law Weekly Review – Week of March 1, 2021

Pipelines: Court of Appeals Denies Emergency Stay of Mountain Valley Pipeline Construction ⚡
On February 19, 2021, the U.S. Court of Appeals for the District of Columbia Circuit denied an Emergency Motion for Stay Pending Appeal regarding Mountain Valley Pipeline construction in Appalachian Voices v. FERC, Docket nos. 20-1512 and 21-1040.  Several environmental groups filed an Emergency Motion for Stay after the Federal Energy Regulatory Commission (FERC) issued orders allowing the pipeline project to continue construction.  The Motion requested that that the court stay new pipeline construction to prevent environmental damage along the proposed pipeline route.  The court denied the stay after reviewing the parties’ briefings, finding that Petitioners did not meet the “stringent requirements” needed for a stay.  The court referenced Nken v. Holder and a court procedures handbook in support of its decision.  The Mountain Valley Pipeline is now 92% complete and is expected to transmit up to “two million dekatherms per day” of natural gas.

Hydraulic Fracturing Bans: Commission Bans Hydraulic Fracturing in Delaware River Basin
On February 25, 2021, the Delaware River Basin Commission (DRBC) adopted a final rule that bans high volume hydraulic fracturing in the Delaware River Basin.  The DRBC is comprised of the North Atlantic Division Engineer for the U.S. Army Corps of Engineers and the governors of Pennsylvania, New Jersey, New York, and Delaware.  To support approval of the final rule, DRBC made several findings including that hydraulic fracturing activities could negatively impact surface water and groundwater.  Pennsylvania Governor, Tom Wolf, said in a news release that DRBC’s decision will “preserv[e] the water resources of this unique region for generations to come.”  The Delaware River Basin covers 13,539 square miles and provides water resources for 13 million people.

Public Lands: Seventeen States Ask White House to Withdraw Ban on New Hydraulic Fracturing Projects on Public Lands
On February 22, 2021, seventeen state governors sent a letter to President Biden asking him to withdraw Executive Order 14008 which indefinitely bans new hydraulic fracturing on public lands.  The letter expresses concerns about the impact a hydraulic fracturing ban would have on industry jobs, local economies, and reliance on foreign oil imports.  The Executive Order titled, Executive Order on Tackling the Climate Crisis at Home and Abroad instructs the Secretary of the Interior to indefinitely “pause new oil and natural gas leases on public lands or in offshore waters pending . . . review and reconsideration of . . . leasing practices.”  The Order explains that climate change considerations will be at the forefront of public policy and national security.  To read more about the Executive Order, see the Shale Law Weekly Review for February 1, 2021.

Water Quality/Wildlife Habitat: Israel’s Ministry of Environmental Protection Investigates Source of Oil Spill in Mediterranean Waters
On February 17, 2021, Israel’s Ministry of Environmental Protection issued a news release detailing reports of tar washing up onto its beaches.  A subsequent news release on February 20 explained that the tar was likely the result of an oil leak that traveled to shore after a heavy storm.  The Israeli Government has identified ten ships so far that could be the source of the leak.  On February 23, a clean-up proposal was approved by the Israeli Government, allocating 45 million NID ($13.7 million USD) to address the pollution caused by the oil and aid any wildlife affected.

Shale Law/Policy Resources of Interest:

Charles Sartain, Defective Drill Pipe+Delivery Ticket=Lawsuit (Feb. 22, 2021)

Stacey Mitchell, Jack Lyman, and Brian Williamson, Biden’s Climate Agenda Means Oil, Gas Cos. Must Innovate (Feb. 19, 2021)

Charles Sartain, Climate Change for Energy Professionals – Part 2 (Feb. 25, 2021)

Hillary Aidun, Opposition To Renewable Energy Facilities In The United States: New Sabin Center Report (Feb. 24, 2021)

AGENCY PRESS RELEASES – STATE/FEDERAL

Pennsylvania Department of Environmental Protection

DEP Collects $497,000 in Penalties from Sunoco for Violations Along Mariner East 2 Pipeline (Feb. 25, 2021)

United States Department of Energy

Jennifer M. Granholm Sworn in as 16th Secretary of Energy (Feb. 25, 2021)

United States Environmental Protection Agency

After Careful Consideration, EPA Supports Tenth Circuit’s Renewable Fuels Association Decision (Feb. 22, 2021)

STATE ACTIONS—EXECUTIVE/LEGISLATIVE

Pennsylvania Legislature

HB 573 “An Act providing for an erosion and sediment control permit” Referred to Environmental Resources and Energy (Feb. 22, 2021)

HB 574 “An Act imposing a duty on the Department of Environmental Protection to maintain a system for applicants to track the status of certain permit applications” Referred to Environmental Resources and Energy (Feb. 22, 2021)

SB 284 “An Act amending Title 27 (Environmental Resources) of the Pennsylvania Consolidated Statutes, providing for bonding for alternative energy production projects” Referred to Environmental Resources and Energy (Feb. 26, 2021)

FEDERAL ACTIONS—EXECUTIVE/LEGISLATIVE

Federal Executive Agencies (Federal Register Feb. 22-26, 2021):

Federal Energy Regulatory Commission

86 FR 10566 Notice—Comments Period “Pacific Gas and Electric Company; Notice of Petition for Declaratory Order” (Feb. 22, 2021)

86 FR 11275 Notice—Comments Period “Pacific Gas and Electric Company; Notice of Application Accepted for Filing and Soliciting Motions To Intervene and Protests” (Feb. 24, 2021)

86 FR 11268 Notice of inquiry “Certification of New Interstate Natural Gas Facilities” (Feb. 24, 2021)

86 FR 11281 Notice—Comments Period “Southern Star Central Gas Pipeline, Inc.; Notice of Request Under Blanket Authorization and Establishing Intervention and Protest Deadline” (Feb. 24, 2021)

Interior Department

86 FR 11551 Notice of availability; request for public comments “Florida Trustee Implementation Group Deepwater Horizon Oil Spill Draft Restoration Plan 2 and Environmental Assessment: Habitat Projects on Federally Managed Lands, Sea Turtles, Marine Mammals, Birds, and Provide and Enhance Recreational Opportunities” (Feb. 25, 2021)

National Oceanic and Atmospheric Administration

86 FR 10658 Notice; issuance of an incidental harassment authorization “Takes of Marine Mammals Incidental To Specified Activities; Taking Marine Mammals Incidental to West Dock Facility Construction Activities Associated With the Alaska LNG Project in Prudhoe Bay, Alaska” (Feb. 22, 2021)

Pipelines and Hazardous Materials Safety Administration

86 FR 11570 Notice—Comments Period “Pipeline Safety: Request for Special Permit; Tejas Pipeline, LLC” (Feb. 25, 2021)

House Energy and Commerce Committee Actions:

H.R. 1375 “To amend the Department of Energy Organization Act to establish an Office of Energy Equity, and for other purposes.” Referred to the House Committee on Energy and Commerce (Feb. 25, 2021)

H.R. 1374 “To amend the Energy Policy and Conservation Act to provide Federal financial assistance to States to implement, review, and revise State energy security plans, and for other purposes.” Referred to the House Committee on Energy and Commerce (Feb. 25, 2021)

1. Res. 158 “Calling on President Biden to immediately implement his radical climate agenda at the White House by prohibiting use of petroleum-based products and energy sources.” Referred to the Committee on Energy and Commerce (Feb. 24, 2021)

H.R. 1221 “To increase deployment of electric vehicle charging infrastructure in low-income communities and communities of color, and for other purposes.” Referred to the Committee on Energy and Commerce (Feb. 23, 2021)

1. Res. 163 “Expressing the sense of the House of Representatives that the United States should support, and not limit access to, all domestic sources of energy development in an effort to achieve full energy security” Referred to the Committee on Energy and Commerce (Feb. 25, 2021)

Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks Feb. 22-26, 2021:

“Pioneer CEO Says U.S. Shale Will No Longer Be Threat to OPEC” BNN Bloomberg

“Pa. Coronavirus Update: Wolf Promotes Natural Gas Tax To Boost Pandemic Economy” WHYY

“Maryland’s Capital City Joins a Long Line of Litigants Seeking Climate-Related Damages from the Fossil Fuel Industry” Inside Climate News

“Orphaned South Dakota Gas Wells Could Soon Power Bitcoin Mining” South Dakota Public Broadcasting

“Biden Faces First Test On Fracking Ban” Energywire

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Written by:
Sara Jenkins – Research Assistant
Jackie Schweichler – Staff Attorney
Sarah Straub – Research Assistant