Justia Government & Administrative Law Opinion Summaries
Articles Posted in Energy, Oil & Gas Law
Delphi Oil, Inc. v. Forrest County Board of Supervisors
The Forrest County Board of Supervisors passed an ordinance requiring oil and gas facilities located within the county be fenced in. Delphi Oil, Inc. appealed a circuit court order that upheld the Board's ordinance, arguing that the regulatory authority of the State Oil and Gas Board (OGB) preempted any local regulations of oil and gas activity. The Supreme Court found the state law did not preempt the local ordinance, and affirmed. View "Delphi Oil, Inc. v. Forrest County Board of Supervisors" on Justia Law
Assoc. of Battery Recyclers v. EPA, et al
Petitioners challenged the EPA's revised emissions standards for secondary lead smelting facilities. In 2012, acting pursuant to sections 112(d)(6) and 112(f)(2) of the Clean Air Act, 42 U.S.C. 7412(d)(6), (f)(2), EPA revised the 1995 emissions standards for secondary lead smelting facilities, reducing allowable emissions by 90% and requiring smelters to totally enclose certain "fugitive" emission sources. Industry petitioners first argued that the Secondary Lead Rule impermissibly regulated elemental lead as hazardous air pollutants (HAP). The court concluded, inter alia, that industry petitioners' first contention was time-barred and the second contention also failed because the Rule set HAP emissions standards at levels designed to attain the primary lead national ambient air quality standards (NAAQS), not the converse. In regards to environmental petitioners' challenges, the court concluded that environmental petitioners have shown that their members would have standing under Article III to sue in their own right. However, environmental petitioners' challenge failed on the merits. Their primary argument that, when EPA revised emissions standards under section 112(d)(6), it must recalculate the maximum achievable control technology in accordance with sections 112(d)(2) and (d)(3), was barred by NRDC v. EPA, 529 F.3d 1077 (D.C. Cir. 2008). Accordingly, the court denied in part and dismissed in part the petitions for review. View "Assoc. of Battery Recyclers v. EPA, et al" on Justia Law
Gadeco v. Industrial Commission
Slawson and Gadeco were owners of oil and gas leasehold interests in a section of real property located in Mountrail County which comprised the spacing unit for the Coyote 1-32H well. In 2009, Slawson sent Gadeco and to other working interest owners in the spacing unit invitations to participate in the cost of drilling and completing the well. The Supreme Court reversed an Industrial Commission order authorizing Slawson Exploration Company to assess a 200 percent risk penalty against Gadeco, LLC, for failing to accept Slawson's invitation to participate in the well within 30 days, and remanded to the Commission to explain its decision. On remand, the Commission determined Slawson's invitation to Gadeco to participate in the well complied with regulatory requirements and authorized Slawson to assess a 200 percent risk penalty against Gadeco. Gadeco appealed the district court judgment affirming the Industrial Commission's order on remand. The district court reversed the Commission's decision holding that, after sending the July 8, 2009 invitation to participate, Slawson changed three of the five requirements for an invitation, The court determined the changed facts required that Slawson provide Gadeco with a new invitation to participate. The Commission again authorized Slawson to assess a 200 percent risk penalty against Gadeco, ruling Slawson's invitation to participate complied with the regulatory requirements for a valid invitation to participate and Gadeco failed to accept the invitation within 30 days of receipt. The district court affirmed the Commission's order, concluding its "findings and conclusions are sustained by the law and by substantial and credible evidence." The Supreme Court nevertheless concluded that the Commission has discretion and administrative expertise to evaluate compliance with the requirements for an invitation to participate. The Commission therefore did not err in construing the language in the regulation to require Gadeco's election to participate to be received by Slawson within 30 days of Gadeco's receipt of the invitation and in authorizing Slawson to assess the risk penalty against Gadeco. View "Gadeco v. Industrial Commission" on Justia Law
Blue Ridge Env. Defense League, et al v. Nuclear Regulatory Commission, et al
This case arose from actions taken by the Commission approving an application by Southern for combined licenses to construct and operate new Units 3 and 4 of the Vogtle Nuclear Plant and an application by Westinghouse for an amendment to its already-approved reactor design on which the Vogtle application relied. After the close of the combined-license hearing record, petitioners sought to reopen the hearing to litigate contentions relating to the nuclear accident at the Fukushima Dai-ichi complex in Japan. The court held that the Commission acted reasonably in denying petitioners' contentions where the Task Force Report, studying the implications of the Fukushima accident for the United States, alone was not a "new and significant" circumstance requiring a supplemental environmental impact statement and petitioners' contentions lacked specific links between the Fukushima Accident and the Vogtle Site. Accordingly, the court denied the petitions for review. View "Blue Ridge Env. Defense League, et al v. Nuclear Regulatory Commission, et al" on Justia Law
So. California Edison Co. v. FERC
In 2007, FERC granted various rate incentives to encourage the construction of three projects by SoCal Edison. The beneficial rate treatment included incentives to be added to a base rate of return for the projects. Later that year, SoCal Edison filed revisions to its transmission tariff, pursuant to section 205 of the Federal Power Act (FPA), 16 U.S.C. 824d, to reflect changes to its transmission revenue requirements and rates, implementing the rate incentives and proposing a base return on equity (ROE). The Commission concluded that SoCal Edison's base ROE should be set at the median, rather than the midpoint as SoCal Edison proposed, of the range established by a proxy group of publicly-traded companies, and that the ROE for the locked-in period should be updated to reflect the most recently available financial data. SoCal Edison petitioned for review, challenging the Commission's conclusions. The court denied the petition as to the Commission's methodology for measuring the ROE, and the court granted the petition and remanded in view of the Commission's failure to comply with 5 U.S.C. 556(e) when it updated the ROE with information outside the record. View "So. California Edison Co. v. FERC" on Justia Law
American Petroleum Institute, et al v. SEC
Pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act, Pub. L. No. 111-203, 124 Stat. 1376, the SEC promulgated a rule requiring certain companies to disclose payments made to foreign governments relating to the commercial development of oil, natural gas, or minerals. Petitioners challenged the statute and the regulation, raising constitutional and statutory claims. The court dismissed the petition for review for lack of jurisdiction. Because petitioners have simultaneously filed a complaint in the district court, the court need not consider transferring the petition to that court. Additionally, the court's dismissal of the petition was without prejudice to petitioners' suit in the district court. View "American Petroleum Institute, et al v. SEC" on Justia Law
Ky. S. Coal Corp. v. Ky. Energy & Env’t Cabinet
The Kentucky Energy and Environment Cabinet denied Kentucky Southern Coal Corporation's (KSCC) application to renew its surface and underground coal mining permit, finding that a bona fide dispute existed over KSCC's right of entry to 18.1 acres within the permit boundaries. The circuit court affirmed the Cabinet's decision, finding that the expiration of a surface lease adjudicated by another circuit court created a bona fide dispute over the rights of KSCC to mine the coal on the 18.1-acre tract. The court of appeals affirmed. The Supreme Court affirmed, holding (1) a bona fide property dispute existed in this case, which the Cabinet had no legal authority to adjudicate; and (2) accordingly, the Cabinet did not err in denying KSCC's renewal permit. View "Ky. S. Coal Corp. v. Ky. Energy & Env't Cabinet" on Justia Law
Bickett v. Fed. Mine Safety & Review Comm’n
Under the Federal Mine Safety & Health Act of 1977, the Secretary of Labor protects the health and safety of miners, acting through the Federal Mine Safety and Health Administration (MSHA). Regulations under the Act require mine operators to report all mine-related injuries and illnesses suffered by employees. In 2010, MSHA acted on a new and broader interpretation and informed 39 mine operators that they would be required to permit MSHA inspectors to review employee medical and personnel records during inspections. Two operators refused to provide the records. MSHA issued citations and imposed penalties. An ALJ and the Review Commission found that the demands and enforcement were lawful under 30 U.S.C. 813(h) and 30 C.F.R. 50.41. Mine employees intervened to raise personal privacy challenges. The Seventh Circuit denied a petition for review, rejecting arguments that MSHA does not have authority for the requirement; that 30 C.F.R. 50.41 is not a reasonable interpretation of the Act and was not properly promulgated; that the requirement infringes operators’ Fourth Amendment right not to be searched without a warrant; that the demands violate the miners’ Fourth Amendment privacy rights in their medical records; and that penalties imposed for noncompliance violate the operators’ Fifth Amendment due process rights. View "Bickett v. Fed. Mine Safety & Review Comm'n" on Justia Law
Mingo Logan Coal Co. v. EPA
Mingo Logan applied to the Corps for a permit under section 404 of the Clean Water Act (CWA), 33 U.S.C. 1344, to discharge dredged or fill material from a mountain-top coal mine in West Virginia into three streams and their tributaries. The Corps issued the permit to Mingo Logan, approving the requested disposal sites for the discharged materials. Four years later, the EPA invoked its subsection 404(c) authority to "withdraw" the specifications of two of the streams as disposal sites, thereby prohibiting Mingo Logan from discharging them. Mingo Logan then filed this action challenging the EPA's withdrawal of the specified sites. The court reversed the district court's grant of summary judgment to Mingo Logan and concluded that the EPA had post-permit withdrawal authority. Accordingly, the court remanded for further proceedings. View "Mingo Logan Coal Co. v. EPA" on Justia Law
KY Riverkeeper, Inc. v. Rowlette
In 2007, the Army Corps of Engineers issued two nationwide general permits that authorized surface and underground coalmining operations to discharge dredged and fill material into waters of the United States. The Corps conducted a public notice-and-comment period and completed a cumulative-impacts analysis that projected the permits’ respective environmental impacts before determining that compensatory mitigation would reduce adverse impacts to a minimal level. The Corps disclosed its analyses and findings in each permit’s Environmental Assessment in lieu of an environmental impact statement. Riverkeeper sued, alleging violations of the Clean Water Act, 33 U.S.C. 1344(e), the National Environmental Protection Act, 42 U.S.C. 4332(2)(C), and the Administrative Procedure Act, 5 U.S.C. 706, during the Corps’ issuance of two nationwide coal-mining waste-discharge permits in 2007. The district court granted summary judgment to the Corps. During Riverkeeper’s appeal, the permits at issue expired. The Sixth Circuit concluded that the case remains in controversy and reversed in part. Although the Corps repeatedly objected to the feasibility of Riverkeeper’s demands, in taking the “easier path” of preparing an environmental assessment instead of an environmental impact statement the Corps failed to follow CWA and NEPA regulations by documenting its assessment of environmental impacts and examining past impacts. View "KY Riverkeeper, Inc. v. Rowlette" on Justia Law