Shale Law Weekly Review – Week of February 22, 2021

GHG Emissions: White House Council Rescinds 2019 Draft Guidance Regarding Greenhouse Gas Emissions ⚡
On February 19, 2021, the White House Council on Environmental Quality (CEQ) published a notice in the Federal Register rescinding 2019 Draft Guidance regarding greenhouse gas (GHG) emissions.  The CEQ was established by the National Environmental Policy Act to advise the president on environmental matters.  The 2019 Draft Guidance was meant to provide Federal Agencies with standards of how to evaluate GHG emissions for major federal actions.  The 2019 guidance provided that federal agencies should consider “foreseeable” impacts of GHG emissions, but should preclude considering “remote” or “speculative” impacts.  The CEQ’s recent notice was issued in response to Executive Order 13990, “Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis.”  While the CEQ’s notice has rescinded the 2019 Guidance, the CEQ plans to review and revise the 2016 Draft Guidance that was previously replaced by the 2019 Draft Guidance.

Production and Operation: EPA Grants Emergency Waivers to Address Diminished Fuel Supply in Texas
On February 19, 2021, the Environmental Protections Agency (EPA) issued a letter to the Governor of Texas, waiving certain federal fuel requirements in light of diminished fuel supply in Texas.  Texas has had record freezing temperatures throughout the state, affecting suppliers’ abilities to distribute gasoline and diesel to consumers.  EPA’s Acting Administrator, Jane T. Nishida, determined that an “extreme and unusual fuel supply circumstance exists” and was not reasonably foreseeable.  The letter temporarily waives the requirement that suppliers and retailers in El Paso County distribute and use oxygenated gasoline.  The changes will be effective until March 5, 2021.  The letter also waives the requirement that Texas-specific diesel fuel (TxLED) be sold in 110 counties within the states.  The TxLED waiver will also be in effect until March 5, 2021.

Wildlife Habitat: Study Concludes Songbird Reproduction Diminished Due to Natural Gas Compressor Noise
On January 19, 2021, Penn State’s Department of Ecosystem Science and Management published a study finding that songbirds’ reproductive success is reduced when songbird nests are subjected to natural gas compressor noise.  Researchers used 80 nesting boxes for Eastern Bluebirds and Tree Swallows and introduced natural gas compressor noise to half of the boxes.  The study found that the noise did not deter the birds from nesting in the noisy areas nor did it cause the birds to abandon nests in the noisy area.  The study, however, found that birds nesting in the noisy areas had reduced hatching and that fewer fledglings survived to adulthood.

Shale Law/Policy Resources of Interest:

George A. Bibikos, At the Well Weekly (Feb. 12, 2021)

Charles Sartain, Climate Change for Energy Professionals – Part 1 (Feb. 16, 2021)

Daniel Metzger, Principles Of International Law And The Adoption Of A Market-Based Mechanism For Greenhouse Gas Emissions From Shipping: New Sabin Center White Paper (Feb. 16, 2021)

AGENCY PRESS RELEASES – STATE/FEDERAL

Pennsylvania Department of Environmental Protection

DEP Advances Actions to Support Electric Vehicle Use Statewide (Feb. 19, 2021)

STATE ACTIONS—EXECUTIVE/LEGISLATIVE

Pennsylvania Legislature

HB 548 “An Act amending Title 66 (Public Utilities) of the Pennsylvania Consolidated Statutes, in natural gas competition, further providing for duties of natural gas distribution companies and for consumer protections and customer service” Referred to Consumer Affairs (Feb. 17, 2021)

Environmental Resources and Energy Committee

Meeting Notice: February 24, 2021 at 9:00 a.m. “Informational meeting on area of oversight for the ERE Committee for the benefit of the members regarding the state of our natural gas economy in Pennsylvania and opportunities for growing our energy industry”

FEDERAL ACTIONS—EXECUTIVE/LEGISLATIVE

Federal Executive Agencies (Federal Register Feb. 15-19, 2021):

Federal Energy Regulatory Commission

86 FR 9448 Order establishing index level “Five-Year Review of the Oil Pipeline Index” (Feb. 16, 2021)

86 FR 9921 Notice—Comments Period “LA Storage, LLC; Notice of Applcation and Establishing Intervention Deadline” (Feb. 17, 2021)

86 FR 10261 Notice—Comments Period “Florida Gas Transmission Company, LLC; Notice of Application and Establishing Intervention and Protest Deadline” (Feb. 19, 2021)

Land Management Bureau

86 FR 10131 Amended opening order “Extension of the Opening Order in Public Land Order No. 7899, Alaska” (Feb. 18, 2021)

Council on Environmental Quality

86 FR 10252 Notice of recission on draft guidance “National Environmental Policy Act Guidance on Consideration of Greenhouse Gas Emissions” (Feb. 19, 2021)

Ocean Energy Management Bureau

86 FR 10132 Notice to rescind a record of decision “Gulf of Mexico, Outer Continental Shelf, Oil and Gas Lease Sale 257” (Feb. 18, 2021)

House Energy and Commerce Committee Actions:

H.R. 1119 “To codify an Executive order securing the United States bulk-power system” Referred to the Committee on Energy and Commerce (Feb. 18, 2021)

H.R. 1113 “To impose an annual deadline of June 1 for small refineries to submit petitions for exemptions from the renewable fuel requirements under section 211(o) of the Clean Air Act” Referred to the House Committee on Energy and Commerce (Feb. 18, 2021)

1. Res. 125 “To oppose the use of the National Emergencies Act to declare a national emergency relating to climate change” Referred to the Subcommittee on Economic Development (Feb. 16, 2021)

Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks Feb. 15-19, 2021:

“Report: Appalachian Fracking Boom Didn’t Deliver” Farm and Dairy

“No Easy Answers as Texas Power Grid, Natural Gas Market Rocked by Unprecedented Cold Snap” Natural Gas Intelligence

“Groups Nix Lawsuit After Failing to Stop $2B Texas Pipeline” E&E News

“’Fracking Ban’ Bill Passes New Mexico Senate Committee, Slammed By Oil And Gas Industry” Carlsbad Current Argus

“New Climate Satellite Spotted Giant Methane Leak as It Happened” Bloomberg Green

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