Shale Law Weekly Review – Week of May 3, 2021

Methane Emissions: U.S. Senate Passes Resolution Disapproving Emissions Standards Rule ⚡
On April 28, 2021, the U.S. Senate passed a resolution disapproving the 2020 oil and gas emissions standards rule.  The 2020 rule titled, Oil and Natural Gas Sector: Emission Standards for New, Reconstructed, and Modified Sources Review, rescinded methane-specific requirements of the 2016 new source performance standards.  (85 FR 57018).  The resolution must also be passed by the U.S. House of Representatives before being sent to the President for his signature.  If the resolution is signed into law, the resolution will reinstate the 2016 new source performance standards.  (81 FR 35823).

Hydraulic Fracturing Bans: California Moves to End Oil Production within the State by 2045
On April 23, 2021, California Governor Gavin Newsom issued a news release announcing plans to end oil production within the state by January 2045.  Practical details on this process will be determined by the California Air Resources Board.  The Board will review “economic, environmental and health benefits and effects of eliminating oil extraction.” To initiate this transition, the Geologic Energy Management Division within the Department of Conservation will begin limiting new hydraulic fracturing permits.  By 2024, these permits will no longer be issued by the Department.

GHG Emissions: Several States Sue Administration Over Social Cost of Carbon Calculations
On April 22, 2021, several states filed a complaint in the U.S. District Court for the Western District of Louisiana against the federal government for the methods used to calculate the social cost of carbon (SCC).  According to the complaint, the government did not use notice and comment procedures when creating the SCC and, therefore, violated the Administrative Procedure Act.  In addition, the complaint alleges that the methods to create the SCC did not involve a cost/benefit analysis required by executive branch policy.

Shale Law/Policy Resources of Interest:

Brigit Rollins, Senate Advances Carbon Market Bill (April 22, 2021)

Charles Sartain, Ambiguity Foils Right of Way Agreement (April 28, 2021)

Charles Sartain, Climate Change for Energy Professionals – Part 4 (April 29, 2021)

Hillary Aidun, Resource Bank: Impacts Of Renewable Energy Facilities (April 26, 2021)

 AGENCY PRESS RELEASES – STATE/FEDERAL

Pennsylvania Department of Environmental Protection

DEP Announces Four Northeast Counties Begin Countywide Action Plans to Improve Water Quality in Communities (April 26, 2021)

DEP Announces Twelve Northcentral Counties Begin Countywide Action Plans to Improve Water Quality in Communities (April 27, 2021)

United States Environmental Protection Agency

EPA Reconsiders Previous Administration’s Withdrawal of California’s Waiver to Enforce Greenhouse Gas Standards for Cars and Light Trucks (April 26, 2021)

EPA Announces 50th WIFIA Loan—$33 Million to Support Climate Resiliency in Roseville, California (April 20, 2021)

STATE ACTIONS—EXECUTIVE/LEGISLATIVE

Pennsylvania Legislature

HB 1285 “An Act amending Title 66 (Public Utilities) of the Pennsylvania Consolidated Statutes, in rates and distribution systems, providing for recovery of electric vehicle infrastructure and gas system expansion costs” Referred to Consumer Affairs (April 26, 2021)

SB 601 “An Act amending Title 66 (Public Utilities) of the Pennsylvania Consolidated Statutes, in public utility code, providing for minimum energy and water efficiency standards for certain products sold in this Commonwealth” Referred to Consumer Protection and Professional Licensure (April 27, 2021)

SB 28 “An Act providing for the administration of permits by State agencies, for a tracking system for permit applications, for the establishment of permit programs, for third-party review of permit decision delays and for annual reports” Re-referred to Appropriations (April 28, 2021)

SB 32 “An Act amending the act of June 25, 1982 (P.L.633, No.181), known as the Regulatory Review Act” Re-Referred to Appropriations (April 28, 2021)

SB 119 “An Act authorizing the Department of Environmental Protection to conduct a public comment process on and submit to the General Assembly a measure or action intended to abate, control or limit carbon dioxide emissions by imposing a revenue-generating tax or fee on carbon dioxide emissions” First Consideration (April 27, 2021)

Pennsylvania Executive Agencies—Actions and Notices (Pa. Bulletin Vol. 51, No. 18—May 1, 2021)

51 Pa.B. 2448  Department of Environmental Protection “Air Quality Technical Advisory Committee Special Meeting” (May 1, 2021)

FEDERAL ACTIONS—EXECUTIVE/LEGISLATIVE

Federal Executive Agencies (Federal Register April 26-30, 2021):

Ocean Energy Management Bureau

86 FR 22067 Notice—List of Restricted Joint Bidders “Notice on Outer Continental Shelf Oil and Gas Lease Sales” (April 26, 2021)

Federal Energy Regulatory Commission

86 FR 22106 Notice—Comments Period “Columbia Gas Transmission, LLC; Notice of Request Under Blanket Authorization and Establishing Intervention and Protest Deadline” (April 27, 2021)

86 FR 22407 Notice—Comments Period “Transcontinental Gas Pipe Line Company, LLC; Notice of Application and Establishing Intervention Deadline” (April 28, 2021)

86 FR 22401 Notice “Nopetro LNG, LLC; Notice of Petition for Declaratory Order” (April 28, 2021)

86 FR 22657 Notice—Comments Period “ANR Pipeline Company; Notice of Scoping Period Requesting Comments on Environmental Issues for The Proposed; Wisconsin Access Project” (April 29, 2021)

86 FR 22957 Notice—Comments Period “Empire Pipeline, Inc.; Notice of Petition for Waiver” (April 29, 2021)

Interior Department

86 FR 22703 Call for Nominations Notice “Notice of Call for Nominations for the Exxon Valdez” (April 29, 2021)

National Oceanic and Atmospheric Administration

86 FR 22397 Notice—Comments Period “Notice of Availability of the Deepwater Horizon Oil Spill Louisiana Trustee Implementation Group Draft Phase II Restoration Plan #3.2: Mid-Barataria Sediment Diversion; Extension of Public Comment Period” (April 28, 2021)

House Energy and Commerce Committee Actions:

H.R. 2889 “To amend the Natural Gas Act with respect to actions for eminent domain by holders of certificates of public convenience and necessity, and for other purposes” Referred to the House Committee on Energy and Commerce (April 28, 2021)

H.R. 1542 “Renewable Fuel Infrastructure Investment and Market Expansion Act of 2021” Referred to the Subcommittee on Commodity Exchanges, Energy, and Credit (April 28, 2021)

H.R. 1492 “Methane Waste Prevention Act of 2021” Ordered to be Reported by the Yeas and Nays: 23 – 20 (April 28, 2021)

H.R. 2810 “To ensure that certain Federal infrastructure programs require the use of materials produced in the United States, and for other purposes” Referred to the Subcommittee on Water Resources and Environment (April 23, 2021)

1. 2780 “To provide for climate change planning, mitigation, adaptation, and resilience in the United States Territories and Freely Associated States, and for other purposes” Referred to the Subcommittee on Economic Development, Public Buildings, and Emergency Management (April 23, 2021)

Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks April 26-30, 2021:

“Biden Administration Allows Dakota Access To Keep Operating, For Now” Oil and Gas Journal

“First Certified Carbon Neutrally Produced Oil Sold” Rigzone

“U.S. Supreme Court Tackles Pipeline Company’s Bid To Seize New Jersey Land” Reuters

“Judge Pushes Army Corps For Dakota Access Review” Energywire

“US Ends Oil, Gas Lease Sales From Public Land Through June” AP

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