May 8, 2024

Shale Law Weekly Review—Week of May 6, 2024

International Development: European Parliament Approves the Net-Zero Industry Act ⚡
On Thursday, April 25, 2024, the members of the European Parliament voted to approve the Net-Zero Industry Act, which will create “a framework of measures for strengthening Europe’s net-zero technology products manufacturing ecosystem.” The proposal was adopted with “361 votes to 121, with 45 abstentions,” and it will become law after being formally adopted by the Council of the European Union (EU). According to the adopted text, the primary purpose of the act is to incentivize the production and implementation of renewable technologies that will support the EU’s industrial decarbonization objectives. More specifically, the act “sets a target for Europe to produce 40% of its annual deployment needs in net-zero technologies by 2030, based on National Energy and Climate Plans (NECPs) and to capture 15% of the global market value for these technologies.” Because the EU currently imports most of the technologies required to achieve net-zero, the act has a primary focus on domestic manufacturing of renewable energy sources, such as solar panels, carbon capture and storage, heat pumps, onshore wind, and more. The act also aims to incentivize the implementation of renewable technologies, like solar panels and heat pumps, into households to “support reaching Europe’s 2030 and 2050 climate targets.” Additionally, the act aims to speed up and simplify the permitting process for net-zero technology development through the “Net-Zero Acceleration Valleys” initiatives, which are designed to lower the administrative burden for developing such technologies.

Wastewater Treatment/Disposal: Commonwealth Court of Pennsylvania Upholds Environmental Hearing Board Order for Plaintiff’s Lack of Standing to Challenge Permit
On April 16, 2024, the Commonwealth Court of Pennsylvania upheld the Environmental Hearing Board’s (EHB) 2022 Order that Senator Muth did not have legal standing to appeal a permit issued to Eureka Resources for an oil and gas wastewater treatment facility in Dimock Township, along the Susquehanna River. Citing the Supreme Court’s rationale in Lujan v. National Wildlife Federation, 497 U.S. 871, 889 (1990), court held that the complaint did not demonstrate an “injury in fact” because it lacked a “causal connection” between the permit and the alleged injuries to her use, time spent, recreation, employment, and her consumption of food and water, and the likelihood of the future impact of discharges from the facility. Specifically, the court emphasized the lack of specificity in the complaint because it did not “explain how or when she uses the land around these waterways,” (i.e., swimming, fishing, sailing, etc.) nor did the complaint state, “where . . . she recreates and whether whatever activity she engages in has any association to the discharge point.” Furthermore, the court pointed to evidence (i.e., credit card receipts) of simply being within the “broad vicinity” of township as insufficient to establish “direct interest” in EHB’s issuance of the permit and to therefore, have standing to challenge the issued permit.

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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.

On May 4, 2024, from 9:30am–3:00pm (ET), Penn State Extension will present “Succession Planning for Forest Landowners” at the Dauphin County Extension in Dauphin, PA. Center Staff Attorney Brook Duer will present as part of the program.

Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks 

Texas operators turn to flaring amid weak gas prices (Reuters)

New technology helps US shale oil industry start to rebuild well productivity (Reuters)

US LPG, LNG exports hit record high as US gas production booms (S&P Global)

AI boom to fuel natural gas demand in coming years, report says (Reuters)

Oil and gas production fee set to hit Colorado producers (Reuters)

Connect with us on Facebook.

Penn State Farmland Energy Legal Podcast: Listen to the latest episode here.

Oil & Gas Law & Policy Resources:

De Spiegeleir & Brucher, The European Court of Human Rights’ April 9 Climate Rulings and the Future (Thereof) (April 29, 2024)

Blattner, Separation of Powers and KlimaSeniorinnen (April 30, 2024)

Vidigal, International Trade and “Embedded Emissions” after KlimaSeniorinnen: The Extraterritoriality of Climate Change Obligations (May 1, 2024)

Bloomberg, Oil Extends Drop on Mideast Cease-Fire Prospects, US Inflation (May 1, 2024)

Granoff, Are sustainable finance metrics up for the volatility of the transition to net zero? A new working paper investigates (May 2, 2024)

FEDERAL ACTIONS—EXECUTIVE & LEGISLATIVE

U.S. DEPARTMENT OF ENERGY PRESS RELEASES

DOE Announces New Actions to Enhance America’s Global Leadership in Artificial Intelligence (April 29, 2024)

Biden-Harris Administration Announces $78 Million to Further Drive Down Energy Costs and Enhance Energy Security in Rural and Remote Communities Across America (April 30, 2024)

U.S.-UK Strategic Energy Dialogue 2024: Joint Statement (April 30, 2024)

Biden-Harris Administration Announces New National Security Memorandum to Strengthen U.S. Department of Energy’s Role in Ensuring Security and Resilience Across America’s Energy Sector (April 30, 2024)

DOE Finalizes Efficiency Standards for Water Heaters to Save Americans Over $7 Billion on Household Utility Bills Annually (April 30, 2024)

Biden-Harris Administration Announces More Than $26 Million to 37 State, Local, and Tribal Governments to Support Clean Energy Projects (May 1, 2024)

U.S. ENVIRONMENTAL PROTECTION AGENCY PRESS RELEASES

Biden-Harris Administration Announces $3 Billion for Lead Pipe Replacement to Advance Safe Drinking Water as Part of Investing in America Agenda (May 2, 2024)

EPA Announces Final Rule to Protect Water Quality Where Tribes have Treaty and Reserved Rights (May 2, 2024)

Biden-Harris Administration Announces Over $152 Million for Pennsylvania Lead Pipe Replacement to Advance Safe Drinking Water as Part of Investing in America Agenda (May 2, 2024)

EPA Partners with Webster County to Support Community-Driven Energy Transition and Economic Revitalization Goals (May 1, 2024)

EPA Partners with Energy Communities to Support Community-Driven Energy Transition and Economic Revitalization Goals (May 1, 2024)

FEDERAL EXECUTIVE AGENCIES (Federal Register April 27, 2024– May 2, 2024)

Energy Department

89 FR 35384: Rule: “Clean Energy for New Federal Buildings and Major Renovations of Federal Buildings” (May 1, 2024)

Land Management Bureau

89 FR 35634: Rule: “Rights-of-Way, Leasing, and Operations for Renewable Energy” (May 1, 2024)

Natural Resources Conservation Office

89 FR 34266: Notice, Comments Close 7/1/24: “Agency Information Collection Activities: 30 CFR Parts 1227, 1228, and 1229, Delegated and Cooperative Activities With States and Indian Tribes” (April 30, 2024)

Pipeline and Hazardous Materials Safety Administration

89 FR 33264: Rule: “Pipeline Safety: Periodic Updates of Regulatory References to Technical Standards and Miscellaneous Amendments” (April 29, 2024)

Ocean Energy Management Bureau

89 FR 34268: Notice: “Notice on Outer Continental Shelf Oil and Gas Lease Sales” (April 30, 2024)

Other Agencies

89 FR 35703: Rule: “Publication of Venezuela Sanctions Regulations Web General Licenses 5O, 8M, and 44A” (May 2, 2024)

89 FR 35849: Notice, Comments Close 7/1/24: “Agency Information Collection Activities; Application Requirements for States and Tribes To Apply for Orphaned Well Site Plugging, Remediation, and Restoration Funding Consideration, and Ongoing State and Tribal Reporting Requirements for Funding Recipients” (May 2, 2024)

89 FR 35442: Rule: “National Environmental Policy Act Implementing Regulations Revisions Phase 2” (May 1, 2024)

89 FR 34214: Notice: “Taking and Importing Marine Mammals; Taking Marine Mammals Incidental to Geophysical Surveys Related to Oil and Gas Activities in the Gulf of Mexico” (April 30, 2024)

U.S. HOUSE ENERGY AND COMMERCE COMMITTEE

H.R.8187 “To direct the Secretary of Energy to establish and carry out a program to support the development, maintenance, implementation, and adoption of digital identification systems for advanced energy technologies for the purpose of increasing critical material supply chain transparency.” Referred to the Committee on Energy and Commerce, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. (April 30, 2024)

H.Res.1175 “Expressing the sense of the House of Representatives that hydropower is a vital component to an all-of-the-above approach to energy development which is critical to United States national security.” Referred to the House Committee on Energy and Commerce. (April 29, 2024)

U.S. SENATE ENERGY AND NATURAL RESOURCES COMMITTEE 

H.R.1069 “Clean Energy Demonstration Transparency Act of 2023” Received in the Senate and Read twice and referred to the Committee on Energy and Natural Resources. (April 30, 2024)

STATE ACTIONS—EXECUTIVE & LEGISLATIVE 

PENNSYLVANIA DEPT. OF ENVIRONMENTAL PROTECTION PRESS RELEASES

DEP Launches New Pilot Program to Reduce Errors, Speed Up Processing Time for Key Construction Permit (April 29, 2024)

PENNSYLVANIA EXECUTIVE AGENCIES (Pa. Bulletin Vol. 54, No. 17 – April 27, 2024)

Pennsylvania Legislature

HB 1615 “An Act providing for minimum energy and water efficiency standards for certain products sold in this Commonwealth; imposing penalties; and making repeals.” Removed from table [House] (May 1, 2024)

Written by:
Kendal Ashman, Research Assistant
Kole Zellers, Research Assistant
Dillon Lightfoot, Research Assistant
Jasmine Gunning, Research Assistant
Sergio Porras, Research Assistant
Jackie Schweichler, Staff Attorney