Shale Law Weekly Review – Week of August 9, 2021

LNG Infrastructure: Court Orders FERC to Review Climate Change Impacts of Texas Liquefied Natural Gas Terminals
On August 3, 2021, the United States Court of Appeals for the District of Columbia Circuit issued an opinion finding that the Federal Energy Regulatory Commission (FERC) failed to sufficiently address the impacts of three liquefied natural gas (LNG) export terminals located in Cameron County, Texas. Vecinos Para el Bienestar De La Comunidad Costera, et al. v. Federal Energy Regulatory Commission, No. 20-1045. The case was brought by several environmental groups that argued FERC’s review of the LNG projects’ climate change impacts did not meet the standards of the National Environmental Policy Act. In addition, the environmental groups alleged that additional justification was required under the Natural Gas Act in order to determine whether the project meets the threshold for “public interest and convenience.”  The court agreed with the environmental groups and remanded the case without vacating FERC’s orders.

Pipelines: Federal Court in Montana Denies Motion to Dismiss Keystone XL Pipeline-related Case, Held a Mootness Exception
Although TC Energy Corp. announced in June 2021 the termination of the Keystone XL Pipeline Project following President Joe Biden’s revocation of the 2019 Presidential Permit, the U.S. District Court for the District of Montana denied on July 30, 2021, a motion previously filed by TC Energy Corp. to dismiss a pending-related lawsuit citing the mootness of the case. Indigenous Environmental Network et al. v. Trump et al., USDC Montana, No. 4:19-cv-00028. The court explained that “[e]ven if the case failed to present a live controversy, it meets a mootness exception,” recalling that “[i]t remains unclear whether President Biden or a future president simply could issue unilaterally another permit to TC Energy.” For this reason, TC Energy is required to keep the court informed of “any changes, expansions, or alteration to the existing pipeline infrastructure from the 1.2-mile border crossing segment during the pendency of this matter.”

Shale Law/Policy Resources of Interest:

Charles Sartain, Is There a Problem with Nuclear Energy? (August 5, 2021).

Hillary Aidun, Community Group Welcomes Step Forward for Solar Energy in New York (August 4, 2021).

Margaret Barry and Korey Silverman-Roati, August 2021 Updates to the Climate Case Charts (August 4, 2021).

John McFarland, Abbott and Legislature Get Blowback on Fix of Texas Grid (August 4, 2021).

AGENCY PRESS RELEASES – STATE/FEDERAL

U.S. Department of Energy

DOE Announces Nearly $34 Million to Advance Waste and Algae Bioenergy Technology (August 3, 2021).

U.S. Environmental Protection Agency

North Dakota Pipeline Company to Pay $35 Million in Criminal Fines and Civil Penalties for Largest-Ever Inland Spill of Produced Water from Oil Drilling (August 6, 2021).

EPA to Overhaul Pollution Standards for Passenger Vehicles and Heavy-Duty Trucks, Paving Way for Zero-Emission Future (August 5, 2021).

EPA Announces Selections of Charter Members to the Science Advisory Board, (August 2, 2021).

STATE ACTIONS—EXECUTIVE/LEGISLATIVE

Pennsylvania Executive Agencies—Actions and Notices (Pa. Bulletin Vol. 51, No. 32—August 7, 2021)

51 Pa.B. 4333 Proposed Rulemaking: “Additional RACT Requirements for Major Sources of NOx and VOCs for the 2015 Ozone NAAQS.”

51 Pa.B. 4413 Notice: “Environmental Justice Advisory Board August Meeting [on August 19].”

51 Pa.B. 4423 Notice: “Public Utility Service Termination Moratorium, M-2020-3019244; COVID-19 Cost Tracking and Creation of Regulatory Asset M-2020-3019775.”

Pennsylvania Legislature

Upcoming Meeting: House Environmental Resources and Energy Meeting on August 17.

FEDERAL ACTIONS—EXECUTIVE/LEGISLATIVE

Federal Executive Agencies (Federal Register August 2–August 6, 2021):

Environmental Protection Agency

86 FR 41911 Proposed Rule: “Notice of Public Meetings Regarding “Waters of the United States”; Establishment of a Public Docket; Request for Recommendations” (August 4, 2021).

86 FR 41801 Proposed Rules: “Effluent Limitations Guidelines and Standards for the Steam Electric Power Generating Point Source Category” (August 3, 2021).

Federal Energy Regulatory Commission

86 FR 43077 Rule: “Limiting Authorizations to Proceed with Construction Activities Pending Rehearing [and Clarification of Order No. 871-B]” (August 6, 2021).

86 FR 42816 Notice: “ANR Pipeline Company; Lakes Transmission Limited Partnership; Notice of Availability of the Draft Environmental Impact Statement for the Proposed Alberta Xpress and Lease Capacity Abandonment Project” (August 5, 2021).

86 FR 42820 Notice: “Texas Gas Transmission, LLC; Notice of Scoping Period Requesting Comments on Environmental Issues for the Proposed Henderson County Expansion Project” (August 5, 2021).

Interior Department

86 FR 41988 Notice: “Notice to Reopen the Exxon Valdez Oil Spill Public Advisory Committee Call for Nominations” (August 4, 2021).

Land Management Bureau

86 FR 42879 Notice: “Notice of Proposed Reinstatement of Terminated Oil and Gas Leases OKNM 123551, OKNM 129741, OKNM 134913, OKNM 121968, Oklahoma” (August 5, 2021).

86 FR 41989 Notice: “Notice of Intent to Prepare a Supplemental Environmental Impact Statement for the Coastal Plain Oil and Gas Leasing Program, Alaska” (August 4, 2021).

House Energy and Commerce Committee Actions:

H.R.4972 “To require the establishment of an advanced energy technology research initiative and an advanced energy technology and modeling grant program, and for other purposes.” Referred to the Committee on Energy and Commerce, and in addition to the Committee on Science, Space, and Technology. . . (August 6, 2021).

H.R.4920 “To establish a working group on electric vehicles.” Referred to the Subcommittee on Highways and Transit (August 4, 2021).

H.R.4909 “To accelerate research, development, demonstration, and deployment of hydrogen from clean energy sources, and for other purposes.” Referred to the Committee on Science, Space, and Technology, and in addition to the Committee on Energy and Commerce. . . (August 3, 2021).

H.R.4908 “To require the Secretary of Transportation to establish a grant program to increase the availability of electric vehicle charging infrastructure in environmental justice communities, and for other purposes.” Referred to the House Committee on Energy and Commerce (August 3, 2021).

Senate Energy and Natural Resources Committee:

S.2659 “A bill to require the establishment of an advanced energy technology research initiative and an advanced energy technology and modeling grant program, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources (August 5, 2021).

S.2650 “A bill to provide mandatory funding for hazardous fuels reduction projects on certain Federal land, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources (August 5, 2021).

S.2637 “A bill to amend the Public Utility Regulatory Policies Act of 1978 to require the consideration of a standard requiring electric utilities to offer community solar programs to ratepayers.” Read twice and referred to the Committee on Energy and Natural Resources (August 5, 2021).

S.2613 “A bill to provide for climate change planning, mitigation, adaptation, and resilience in the United States Territories and Freely Associated States, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources (August 4, 2021).

Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks August 2–August 6, 2021:

Five Key Energy Components of the Bipartisan Infrastructure Bill, The Hill

Oil Settles Lower in Volatile Trade on Worries About Delta Variant, Reuters

Texas Upstream Oil Economy on the Mend, Rigzone

Inside Clean Energy: A Geothermal Energy Boom May Be Coming, and Ex-Oil Workers Are Leading the Way, Inside Climate News

Tight Supply, Elevated Prices Test Appalachian Producer Commitments, S&P Global Platts

New Mexico Posts Oil-Output Record as Permian Basin Bounces Back, BNN Bloomberg

Connect with us on Facebook.  Every week we post the CASL Ledger detailing our publications and activities from the week. 

Penn State Shale Law Podcast: Listen to the latest episode here.

Written by:
Noah Gochnauer, Research Assistant
Chloe Marie, Research Specialist
Jackie Schweichler, Staff Attorney