Justia U.S. D.C. Circuit Court of Appeals Opinion Summaries

The Alaska LNG Project sought authorization from the Department of Energy to export up to twenty million metric tons of liquefied natural gas (LNG) per year for thirty years. The Department initially authorized the Project to export LNG to free-trade countries in 2014 and later to non-free trade countries in 2015, subject to environmental review. In 2023, the Department issued a final order approving the Project’s export application, concluding that the approval was consistent with the public interest despite uncertainties regarding environmental impacts.The Federal Energy Regulatory Commission (FERC) had previously authorized the construction and operation of the Project’s facilities, including an 800-mile pipeline and associated infrastructure, after preparing an extensive environmental impact statement. The U.S. Court of Appeals for the District of Columbia Circuit upheld FERC’s compliance with the National Environmental Policy Act (NEPA) in Center for Biological Diversity v. FERC. The Department of Energy adopted FERC’s impact statement and issued its own supplemental environmental impact statement in response to Executive Order 13990.The United States Court of Appeals for the District of Columbia Circuit reviewed the Department of Energy’s final order. The court found that the Department had properly adopted FERC’s environmental impact statement and complied with NEPA. The court also upheld the Department’s finding of substantial uncertainty regarding the magnitude of environmental impacts, particularly greenhouse gas emissions and climate impacts, associated with the Project’s exports. The court concluded that the impacts of downstream emissions in foreign countries were not reasonably foreseeable and that the Department’s analysis was supported by substantial evidence.The court denied the petitions for review, affirming the Department of Energy’s authorization for the Alaska LNG Project to export LNG. View "Sierra Club v. DOE" on Justia Law

Driftwood Pipeline LLC sought approval from the Federal Energy Regulatory Commission (FERC) to build two new natural gas pipelines in southwestern Louisiana. FERC granted the approval, concluding that the project would serve a market need and that its benefits outweighed its adverse environmental impacts. Healthy Gulf and Sierra Club challenged this decision, arguing that FERC failed to comply with the National Environmental Policy Act (NEPA) and the Natural Gas Act.The Federal Energy Regulatory Commission (FERC) issued a Section 7 certificate to Driftwood Pipeline LLC, determining that the project was required by public convenience and necessity. FERC also published an environmental impact statement, concluding that the project would have some adverse environmental impacts but none that were significant. Healthy Gulf and Sierra Club requested a rehearing, which was deemed denied when FERC did not act on it. They then petitioned for review, raising challenges under NEPA and the Natural Gas Act.The United States Court of Appeals for the District of Columbia Circuit reviewed the case. The court held that FERC adequately considered the environmental effects of the project, including its impact on greenhouse gas emissions, and found that FERC's refusal to characterize the significance of these emissions was reasonable. The court also found that FERC's determination of market need was supported by substantial evidence, including precedent agreements and an independent market study. The court concluded that FERC had properly balanced the project's benefits against its adverse effects and denied the petition for review. View "Healthy Gulf v. FERC" on Justia Law

The case involves a challenge to a rule promulgated by the Pipeline and Hazardous Materials Safety Administration (PHMSA) in 2020, which authorized the transportation of liquefied natural gas (LNG) by rail in newly designed tank cars without requiring a permit. LNG is a hazardous material that poses significant risks if released, including explosions, fires, and the formation of ultra-cold gas clouds. The rule did not limit the number of LNG tank cars per train or set a mandatory speed limit, raising safety concerns among various stakeholders.The rule was challenged by a coalition of environmental nonprofits, several states, and the Puyallup Tribe of Indians. They argued that PHMSA did not adequately consider the safety risks and that the National Environmental Policy Act (NEPA) required the preparation of an Environmental Impact Statement (EIS). The petitioners contended that the decision not to prepare an EIS was arbitrary and capricious.The United States Court of Appeals for the District of Columbia Circuit reviewed the case. The court found that PHMSA's decision not to prepare an EIS was indeed arbitrary and capricious. The court noted that transporting LNG by rail poses a low-probability but high-consequence risk of derailment, which could result in catastrophic environmental impacts. The court emphasized that PHMSA failed to adequately consider the probability and potential consequences of such accidents and did not impose sufficient safety measures, such as a mandatory speed limit or a cap on the number of LNG tank cars per train.The court held that PHMSA's failure to prepare an EIS violated NEPA and vacated the LNG Rule, remanding the case to PHMSA for further proceedings. The court's decision underscores the importance of thoroughly assessing environmental risks and adhering to NEPA's requirements in rulemaking processes. View "Sierra Club v. DOT" on Justia Law

Aclara Meters LLC owned the license for the Somersworth Hydroelectric Project on the Salmon Falls River between New Hampshire and Maine from 2016 to 2023. In 2019, Aclara sought to surrender its license to the Federal Energy Regulatory Commission (FERC). After conducting an environmental assessment, FERC authorized the surrender in 2023. American Whitewater, a conservation organization, requested a rehearing, arguing that two dams from the Project should be removed as a condition of surrender. FERC denied the request, leading Whitewater to petition the United States Court of Appeals for the District of Columbia Circuit for relief, claiming that FERC acted arbitrarily and capriciously under the Federal Power Act (FPA) and the National Environmental Policy Act (NEPA).The Commission's environmental assessment concluded that approving the surrender as proposed would not significantly affect the environment, thus an Environmental Impact Statement (EIS) was unnecessary. FERC found that removing the dams was unfeasible due to the local municipalities' reliance on the reservoir for water supply and other needs. The Commission also determined that the benefits of keeping the dams outweighed the environmental and recreational benefits of their removal. FERC's decision was based on the public interest, considering the water supply, firefighting needs, and potential impacts on local infrastructure.The United States Court of Appeals for the District of Columbia Circuit reviewed the case and denied Whitewater's petition for review. The court held that FERC's analysis was neither arbitrary nor capricious. The Commission reasonably determined that dam removal was unfeasible and appropriately assessed the public interest. The court found that FERC's decision to approve the license surrender without dam removal was supported by substantial evidence and consistent with its policies and precedents. View "American Whitewater v. FERC" on Justia Law

The State of Indiana approved a plan to retire a coal-fired facility and replace it with wind and solar energy sources, supplemented by two new natural gas turbines to ensure grid reliability. The Federal Energy Regulatory Commission (FERC) approved a natural gas pipeline to serve these turbines. The Citizens Action Coalition of Indiana challenged FERC’s approval, arguing that FERC’s environmental analysis was unreasonable and inconsistent with the National Environmental Policy Act (NEPA) and the Natural Gas Act (NGA). The core claim was that FERC should have analyzed non-gas alternatives before approving the pipeline.The Indiana Utility Regulatory Commission initially denied CenterPoint Energy’s proposal for an 850-megawatt natural gas unit due to inadequate consideration of alternatives. CenterPoint then modified its plan to include wind generation and applied to build two smaller gas-fired turbines, which the Indiana Commission approved. CenterPoint contracted with Texas Gas Transmission for a 24-mile pipeline to supply natural gas to the new units. Citizens Action intervened in the FERC proceeding, raising environmental concerns. FERC prepared an environmental impact statement and approved the pipeline. Citizens Action’s request for rehearing was denied by operation of law, leading to the current petition for review.The United States Court of Appeals for the District of Columbia Circuit reviewed the case. The court held that FERC acted lawfully and reasonably in its environmental analysis and public convenience and necessity determination. FERC was not required to consider non-gas alternatives outside its jurisdiction and properly identified the project’s purpose as supporting CenterPoint’s new natural gas units. The court also found that FERC’s use of emissions percentages and the absence of a significance label were reasonable and consistent with NEPA. The petition for review was denied. View "Citizens Action Coalition of Indiana, Inc. v. FERC" on Justia Law

The Environmental Protection Agency (EPA) issued a final rule implementing section 2613 of the Toxic Substances Control Act (TSCA), as amended by the Frank R. Lautenberg Chemical Safety for the 21st Century Act. The rule concerns the assertion and treatment of confidential business information (CBI) claims for information reported to or obtained by the EPA under the TSCA. The Environmental Defense Fund (EDF) challenged three aspects of the rule, arguing that it was contrary to law and arbitrary and capricious. The American Chemistry Council (ACC) also challenged the rule, arguing that it allowed for the unlawful disclosure of information protected by section 2613(a) of the TSCA.The United States Court of Appeals for the District of Columbia Circuit reviewed the case. EDF argued that the EPA's regulatory definition of "health and safety study" was impermissibly narrow, that the EPA should require substantiation and routine review of pre-commercialization CBI claims after commercialization, and that the EPA's use of permissive language in the rule was inappropriate. ACC argued that the rule allowed for the unlawful disclosure of specific chemical identities when downstream entities reported information without knowledge of the specific chemical identity.The court denied EDF's petition for review, holding that the EPA's definition of "health and safety study" was consistent with the statute and not arbitrary or capricious. The court also held that the TSCA does not require reassertion and substantiation of pre-commercialization CBI claims after commercialization and that the EPA's use of permissive language was reasonable. However, the court granted ACC's petition for review, holding that the rule was unlawful to the extent it required entities reporting by non-confidential accession numbers and without knowledge of the underlying chemical identity to assert CBI claims for the underlying chemical identity. The court vacated these requirements under the rule. View "Environmental Defense Fund v. EPA" on Justia Law

A group of organizations and a resident challenged a plan by the Federal Aviation Administration (FAA) and the National Park Service (NPS) regulating tourist flights over four national parks near San Francisco. The agencies determined that no environmental analysis was needed under the National Environmental Policy Act (NEPA) because the plan would cause minimal additional environmental impact compared to existing conditions.The U.S. Court of Appeals for the District of Columbia Circuit reviewed the case. The court noted that the agencies had previously announced their intent to prepare an environmental assessment but later terminated that process. The agencies then decided to use the existing number of flights as the baseline for their environmental analysis, concluding that the plan would have no significant environmental impact.The court held that the agencies acted arbitrarily by using the existing flights under interim operating authority as the baseline for their NEPA analysis. This approach effectively enshrined the status quo without evaluating the environmental impacts of the existing flights. The court found that the agencies' reliance on interim operating authority as the baseline was unreasonable and contrary to their duties under the National Parks Air Tour Management Act and NEPA.The court vacated the FAA's order and remanded the case for further proceedings, instructing the agencies to conduct a proper NEPA analysis. The court also noted that the agencies could move for a stay of the mandate if they wished to keep the current plan in place while conducting the new analysis. View "Marin Audubon Society v. FAA" on Justia Law

The case involves the U.S. Sugar Corporation and other industry petitioners challenging the Environmental Protection Agency's (EPA) 2022 rule that classified certain industrial boilers as "new" sources of hazardous air pollutants, even though they were built before the applicable emission standards were proposed in 2020. The EPA used a 2013-era dataset to establish these standards, excluding more recent data to maintain consistency with still-valid 2013 standards. Environmental petitioners argued that this exclusion violated the Clean Air Act.The U.S. Court of Appeals for the District of Columbia Circuit reviewed the case. The lower court had previously remanded the EPA's 2011 rule without vacatur, allowing the invalid standards to remain while the EPA revised them. The industry petitioners argued that the EPA's classification of boilers built after June 4, 2010, as "new" sources was incorrect, as these boilers were constructed before the 2020 proposal of the new standards. The environmental petitioners contended that the EPA's decision to use outdated data was arbitrary and capricious.The D.C. Circuit held that the EPA's classification of boilers built before August 24, 2020, as "new" sources was incorrect under the Clean Air Act. The court found that the proper date to determine whether a boiler is "new" should be when each specific emission standard is first proposed, not when any standard for the category was first proposed. Therefore, the court set aside the EPA's 2022 rule to the extent that it defined sources constructed before August 24, 2020, as "new."The court also held that the EPA's decision to rely on the 2013-era dataset was neither unlawful nor arbitrary and capricious. The court found that the EPA's choice was reasonable given the limited nature of the remand and the need for consistency across standards. Thus, the court denied the environmental petitioners' petition for review. View "United States Sugar Corporation v. EPA" on Justia Law

Holtec International applied to the Nuclear Regulatory Commission (NRC) for a license to construct and operate a spent nuclear fuel storage facility in New Mexico. The NRC denied multiple requests for intervention and a hearing from various petitioners, including Beyond Nuclear, Sierra Club, and Fasken Land and Minerals. These petitioners argued that the NRC acted unreasonably and contrary to law in denying their requests.The Atomic Safety and Licensing Board (Board) found the petitioners' contentions inadmissible and denied their petitions to intervene. The NRC affirmed the Board’s decisions. Beyond Nuclear, Environmental Petitioners (including Sierra Club), and Fasken each petitioned for review of the orders denying intervention. The case was held in abeyance until the NRC issued Holtec a license, after which the case was removed from abeyance for review by the United States Court of Appeals for the District of Columbia Circuit.The United States Court of Appeals for the District of Columbia Circuit reviewed the petitions and found that the NRC reasonably declined to admit the petitioners' factual contentions and complied with statutory and regulatory requirements. The court held that Beyond Nuclear did not raise a genuine dispute of law or fact regarding the NRC’s authority to consider Holtec’s application. The court also found that Environmental Petitioners failed to demonstrate any genuine disputes of material fact or law in their contentions related to statutory authority, alleged misrepresentations by Holtec, and compliance with the National Environmental Policy Act (NEPA). Additionally, the court determined that Fasken’s late-filed contentions were procedurally defective, untimely, and immaterial.The court denied all the petitions for review, affirming the NRC’s decisions to deny the requests for intervention. View "Beyond Nuclear, Inc. v. NRC" on Justia Law

The case involves the Environmental Protection Agency (EPA) and its denial of small refinery exemptions under the Renewable Fuel Standard (RFS) program. The RFS program mandates that refineries blend renewable fuels into fossil fuels or purchase credits to comply. Small refineries can petition for exemptions if compliance causes disproportionate economic hardship. In 2022, the EPA denied all pending exemption petitions, arguing that compliance costs are passed on to consumers, thus no refinery faces economic hardship due to the RFS program. The EPA also provided alternative compliance options for certain refineries whose exemptions were initially granted but later denied.Previously, the EPA had granted exemptions based on a Department of Energy (DOE) study and a scoring matrix that considered various economic factors. However, following a Tenth Circuit decision and the Supreme Court's ruling in HollyFrontier, the EPA revised its approach, focusing solely on compliance costs and the RIN cost passthrough theory. This led to the denial of all pending petitions, including those of Sinclair Wyoming Refining Company and Wynnewood Refining Company, which had initially received exemptions.The United States Court of Appeals for the District of Columbia Circuit reviewed the case. The court found that the EPA's rationale for denying the exemptions was contrary to law and arbitrary and capricious. The court held that the EPA's interpretation of "disproportionate economic hardship" was too narrow and inconsistent with the Clean Air Act. The court also found that the EPA failed to adequately support its assumption that refineries could always purchase RINs ratably and pass the costs to consumers. Consequently, the court vacated the EPA's denial actions, except for two refineries deemed ineligible on other grounds, and dismissed Growth Energy's petition for lack of standing. The court denied Sinclair's petition challenging the alternative compliance action and dismissed Wynnewood's petition for not challenging a final agency action. View "Sinclair Wyoming Refining Company LLC v. Environmental Protection Agency" on Justia Law