June 10, 2024
Shale Law Weekly Review—Week of June 10, 2024
Landscape Issues: Pennsylvania Department of Environmental Protection Allocates $5.6 Million for Environmental Restoration Projects on Abandoned Mine Lands ⚡
On May 13, 2024, the Pennsylvania Department of Environmental Protection (DEP) announced it allocated over $5.6 million in grants from funds received through the federal Bipartisan Infrastructure Law for eight environmental restoration projects on abandoned mine lands. These funds are being allocated through the Abandoned Mine Lands and Acid Mine Drainage Grant Program. Significant allocations include $2.7 million to the Allegheny Land Trust for restoration of the Chalfant Run watershed in Allegheny County and $1.9 million to the Western Pennsylvania Conservancy. Applications for the next grant round are open until July 19, 2024.
National Energy Policy: U.S. Department of Energy Releases Barrels of Gasoline from Northeast Gasoline Supply Reserve
On May 21, 2024, the U.S. Department of Energy (DOE) it would be releasing close to a million (998,824) barrels of gasoline from the Northeast Gasoline Supply Reserve (NGSR), in an attempt to lower gas prices for the summer months. The barrels will be auctioned off 100,000 at a time, to ensure competitive bidding and pricing. Furthermore, the DOE released a solicitation stating bids are due by May 28, at 11:00 am central time, and the gas will be distributed to the bid winners by June 30, in time for the July 4th holiday.
Pipelines: U.S. Supreme Court Denies Petition to Hear Mountain Valley Pipeline Challenge
On May 20, 2024, the Supreme Court of the United States denied a petition claiming that the Mountain Valley Pipeline (MVP) was unconstitutionally given the authority to seize their land for the project. Cletus Woodrow Bohon, et al., Petitioners v. FERC, et al, No. 23-1053. The case began in 2020, when petitioners argued that Congress should not have given the Federal Energy Regulatory Commission (FERC) the power of eminent domain, an argument the district court dismissed for lack of jurisdiction, and which the D.C. Circuit Court affirmed. The writ of certiorari filed by the petitioners argued that circuit court’s decision directly contradicted Supreme Court precedent, as well as allowing an executive branch agency to deprive an Article III court of jurisdiction. This is just one of the many challenges the MVP has faced, including a May 14th court of appeals restoration of compensation for 560 acres of their land taken by the pipeline.
Pipelines: The Canada Energy Regulator Approves Trans Mountain Expansion Project’s Pipeline Expansion
On April 30, 2024, the Canada Energy Regulator (CER) announced the approval of the Trans Mountain Expansion Project’s (TREP) to expand the current pipeline system. The pipeline system, which will exist alongside the current Trans Mountain Pipeline, With this approval, the TREP is subject to 156 project conditions, which include safety provisions, environmental protection, etc. Additionally, the CER will continue working with the Trans Mountain Indigenous Advisory and Monitoring Committee (IAMC-TMX) to ensure that Indigenous rights are protected and to provide for Indigenous oversight of the activities. The CER will continue overseeing the TREP to ensure it is following proper codes and regulations for the duration of the pipeline usage.
Air Quality: EU Imposes New Regulations on Methane Emissions
On May 27. 2024, the European Union (EU) announced in a press release the adoption of a set of regulations intended to establish limits on the methane emissions produced from European oil and gas imports. As part of the “Fit for 55” legislative package, which aims to reduce greenhouse gas emissions in the EU by least 55% by 2030, methane gas, which is “second only to carbon dioxide in its overall contribution to climate change, was targeted by the EU in their plans to reduce emissions. As such, the EU released a set of new regulations that specifically strengthened monitoring and reporting rules as well as prevention and mitigation measures. Part of these new changed include stricter monitoring of well inventories, new requirements for reporting and repairing methane leaks, and bans on previous methods of dispersing methane gas in wells, such as venting and flaring.
Air Quality: EU Implements New Rules for Gas and Hydrogen Markets
On May 21, 2024, the European Union (EU) announced in a press release the adoption of a set of new and updated regulations and requirements regarding the European gas and hydrogen markets. As part of the “Fit for 55” legislative package, which aims to reduce greenhouse gas emissions int eh EU by at least 55% in 2030, the EU works towards its goal to, “cut greenhouse gas emissions at the same time as ensuring security of supply and the proper functioning of the internal markets for natural gas and hydrogen.” According to the new regulations, new rules for the transport and storage of gas and hydrogen are to be implemented in order to ensure that emissions are kept as low as reasonably possible. In addition, in order to usher in the phase-out of fossil fuels, the new regulations will prohibit the creation of long-term contracts that involve fossil gases in 2049. This will be done to encourage the use of renewable and low-carbon gases, such as hydrogen, in European markets.
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CENTER PROGRAMS & RESOURCES
Understanding Agricultural Law – A free monthly Zoom webinar series for all agricultural and rural business advisors. One hour of substantive CLE credit available for Pennsylvania-licensed attorneys at no charge. Recordings and materials from the series, more information, and registration available here.
- June 28, 2024, 12:00 – 1:00 pm (ET). Understanding the Basics of the Clean Water Act & Agriculture. (Register)
Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks
US LNG exports rise in May as Freeport LNG returns to production (Natural Gas World)
Simson Urges EU States to Agree on Timeline for End of Russian Gas (Rigzone)
LNG Investments to Jump Over 50 Percent in 2029: Goldman Sachs (Rigzone)
BLM To Hold Wyoming’s Smallest Oil And Gas Lease Auction In 15 Years (Cowboy State Daily)
Vermont becomes first state to require oil companies to pay for climate change damage (The Hill)
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Penn State Farmland Energy Legal Podcast: Listen to the latest episode here.
Oil & Gas Law & Policy Resources:
McFarland, Hamilton v. ConocoPhillips – The first appellate opinion on Production Sharing Agreements (June 6, 2024)
Mallen, This Week’s Climate Policy Update (June 5, 2024)
Sartain, Supreme Court of Texas Sorts Out Complicated Assignment of Oil and Gas Leases (June 3, 2024)
Bloomberg, Thermon boosts capacity for electrification and decarbonisation solutions (May 7, 2024)
Torre-Schaub, Why Climate Science Matters for International Law (June 6, 2024)
FEDERAL ACTIONS—EXECUTIVE & LEGISLATIVE
U.S. DEPARTMENT OF ENERGY PRESS RELEASES
DOE Announces National Definition of a Zero Emissions Building (June 6, 2024)
DOE Announces First Projects Under New Cleanup to Clean Energy Initiative (June 5, 2024)
U.S. ENVIRONMENTAL PROTECTION AGENCY PRESS RELEASES
FEDERAL EXECUTIVE AGENCIES (Federal Register June 1, 2024 – June 7, 2024)
Environmental Protection Agency
89 FR 47468 Rule “Air Plan Approval; KY; Updates to Attainment Status Designations” (June 3, 2024)
89 FR 47955 Notice “Clean Air Act Operating Permit Program; Order on Petition for Objection to State Operating Permit for DCP Operating Company, LP: Platteville Natural Gas Processing Plant” (June 4, 2024)
89 FR 48164 Notice “Proposed Information Collection Request; Revision; Changes to EPA’s Natural Gas STAR Program” (June 5, 2024)
Federal Energy Regulatory Commission
89 FR 48157 Notice “FERC Form 580 Interrogatory on Fuel and Energy Purchase Practices; Notice of Request for Partial Waiver” (June 5, 2024)
89 FR 47944 Notice “Pacific Gas and Electric Company; Notice of Availability of Environmental Assessment” (June 4, 2024)
Energy Department
89 FR 48266: Rule: “Clean Energy for New Federal Buildings and Major Renovations of Federal Buildings; Correction” (June 6, 2024)
Pipeline and Hazardous Materials Safety Administration
89 FR 48482 Notice “Hazardous Materials: Request for Feedback on Tare Weight Marking Policy for Cylinders” (June 6, 2024)
Other Agencies
89 FR 48034 Rule “Endangered and Threatened Wildlife and Plants; Endangered Species Status With Critical Habitat for Guadalupe Fatmucket, Texas Fatmucket, Guadalupe Orb, Texas Pimpleback, Balcones Spike, and False Spike, and Threatened Species Status With Section 4(d) Rule and Critical Habitat for Texas Fawnsfoot” (June 4, 2024)
U.S. HOUSE ENERGY AND COMMERCE COMMITTEE
H.R.8618 “To require the Environmental Protection Agency to assess the lifecycle greenhouse gas emissions associated with forest biomass combustion for electricity when developing relevant rules and regulations and to carry out a study on the impacts of the forest biomass industry, and for other purposes.” Referred to the House Committee on Energy and Commerce (June 4, 2024)
H.J.Res.163 “Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Environmental Protection Agency relating to “New Source Performance Standards for Greenhouse Gas Emissions From New, Modified, and Reconstructed Fossil Fuel-Fired Electric Generating Units; Emission Guidelines for Greenhouse Gas Emissions From Existing Fossil Fuel-Fired Electric Generating Units; and Repeal of the Affordable Clean Energy Rule” Referred to the House Committee on Energy and Commerce. (June 5, 2024)
STATE ACTIONS—EXECUTIVE & LEGISLATIVE
PENNSYLVANIA DEPT. OF ENVIRONMENTAL PROTECTION PRESS RELEASES
DEP To Host Public Hearing for Proposed Monroe County Warehouse Project (June 5, 2024)
PENNSYLVANIA EXECUTIVE AGENCIES (Pa. Bulletin Vol. 54, No. 21 – May 25, 2024)
Pennsylvania Public Utility Commission
54 Pa.B. 3098 “Proposed Clean Energy Campus Projects on Commonwealth-Owned Abandoned Mine Lands; Request for Information” (June 1, 2024)
54 Pa.B. 3044 “Applications For National Pollutant Discharge Elimination System (Npdes) Permits And Water Quality Management (Wqm) Permits Under The Clean Streams Law And Federal Cleanwater Act” (June 1, 2024)
Pennsylvania Legislature
HB 2384 “An Act amending the act of July 7, 1980 (P.L.380, No.97), known as the Solid Waste Management Act, in general provisions, further providing for definitions; and, in residual waste, providing for prohibition on road spreading and land application of oil and gas wastewater, Referred to Environmental Resources and Energy [House] (June 5, 2024)
Written by:
Victoria Dutterer, Research Assistant
Riley Amdor, Research Assistant
Caden Dean-Sauter, Research Assistant
Jose Rojas, Research Assistant
Jackie Schweichler, Staff Attorney
