The United States District Court for the Western District of Louisiana, Lake Charles Division, on August 22, 2024 issued an injunction barring the United States Environmental Protection Agency (EPA) and the United States Department of Justice (DOJ) from enforcing regulations based on Title VI of the Civil Rights Act, 42 U.S.C. 200d, et seq., in the State of Louisiana (the “State”). The ruling in State of Louisiana v. US Environmental Protection Agency, et al., No. 2:23-CV-00692, 2024 WL 3904868, at *1 (W.D. La. Aug. 22, 2024), effectively prohibits these federal agencies from implementing regulations that implicate Title VI’s disparate impact prohibition.   Read More »

Share | Email| Comments|  Topics: Air, Clean Air Act, Disparate Impact, Environmental Justice, Injunction, Louisiana, Permits, Rulemaking, Title VI

In the wake of the Supreme Court’s decision in Loper Bright Enters. v. Raimondo, 244 S.Ct. 2244 (2024), the general breadth and scope of agency decision-making has been called into question. In its recent decision, Huntsman Petrochemical LLC v. EPA, No. 23-1045, 2024 WL 3763355 (D.C. Cir. Aug. 13, 2024), the D.C. Circuit has made it clear that where statutory interpretation is not implicated, the Court will continue to afford EPA’s conclusions involving technical expertise a significant degree of deference. While neither the parties nor the Court attempted to address or reference Loper Bright, the Court articulated a clear standard applicable to agency actions involving statistical and modeling analyses: the Court will examine each step of an agency’s analysis to satisfy themselves that the agency has not “departed from a rational course.” Only where a statistical model “bears no rational relationship to the characteristics of data to which it was applied” will agency action be deemed arbitrary and capricious. Accordingly, regulated entities should be aware that the concept of deference lives on when challenging agency decision-making, even in the wake of the fall of Chevron Deference. Read More »

Share | Email| Comments|  Topics: Air, Chevron Deference, Clean Air Act, D.C. Circuit, Emissions, EPA, HAPs, Hazardous Air Pollutants, Rulemaking

On July 18, 2024, in Shirley v. Pennsylvania Legislative Reference Bureau, No. 85 MAP 2022, 2024 WL 3450536 (Pa. July 18, 2024), the Pennsylvania Supreme Court reversed the denial of three nonprofit organizations’ application to intervene in the litigation challenging the Pennsylvania Department of Environmental Protection (PADEP) regulation implementing Pennsylvania’s participation in the Regional Greenhouse Gas Initiative (the RGGI Regulation).  After rejecting several arguments regarding the appealability of the order denying intervention, the Court found that the nonprofits’ interest in defending the RGGI Regulation under the Pennsylvania Constitution’s Environmental Rights Amendment (ERA) was not adequately represented by the PADEP and therefore the lower court erred in denying intervention.  Because of this ruling, the three nonprofit organizations (Citizens for Pennsylvania’s Future, Clean Air Council, and the Sierra Club) (Nonprofits) are now able to pursue an appeal of the Commonwealth Court’s final order permanently enjoining the RGGI Regulation from going into effect.  Read More »

Share | Email| Comments|  Topics: Air, Clean Air Act, Environmental Rights Amendment, Greenhouse Gas, Hazardous Air Pollutants, Intervention, Pennsylvania, Pennsylvania Department of Environmental Protection, Rulemaking, Standing

On July 25, 2023, a Third Circuit panel rejected an environmental group’s challenge of federally approved changes to Pennsylvania’s State Implementation Plan (“SIP”),  holding that the Environmental Protection Agency (“EPA”) emissions-based analysis did not violate the Clean Air Act (“CAA”). Ctr. for Biological Diversity v. U.S. Env’t Prot. Agency, 2023 WL 471884, at *6 (3d Cir. 2023). The panel’s reasoning focused on a close statutory reading of §7410 of the CAA, which prevents EPA from approving any SIP revision that would “interfere with any applicable requirement for attainment and reasonable further progress” in reaching the National Ambient Air Quality Standards (“NAAQS”). Id. at *4. NAAQS are air quality benchmarks that each state must work toward by reducing their air pollution levels. Id. at *1. Ultimately, the Third Circuit held that Pennsylvania’s revisions did not interfere with NAAQS attainment because Pennsylvania reasonably concluded that emissions would likely decrease under the source specific requirements imposed by the revised plan. Id. at *4. Read More »

Share | Email| Comments|  Topics: Air, Citizen Suit, Clean Air Act, Climate Change, Greenhouse Gas, HAPs, Hazardous Air Pollutants, Legislation, Pennsylvania, Rulemaking, Third Circuit

EPA’s Clean Air Act (“CAA”) rulemakings directed at power plants are often the target of regulatory challenges in federal court.  EPA’s latest rulemaking regulating Hazardous Air Pollutant (“HAP”) emissions from coal- and oil-fired electric utility steam generating units (“EGUs”) is unlikely to be an exception. 88 Fed. Reg. 13956 (Mar. 6, 2023).  In the now final rule, EPA has revoked an earlier action taken in 2020, in which the agency declined to regulate HAP emissions from EGUs after comparing the costs of compliance relative to the benefits of regulation, relying at the time on the Supreme Court’s decision in Michigan v. EPA, 576 U.S. 743 (2015).  Id. at 13957; see also 85 Fed. Reg. 31286. Now, just three years later under a new administration, the agency has backtracked, finding that it is appropriate and necessary to regulate HAP emissions from EGUs based on new data regarding the costs and benefits of regulating HAP emissions.  EPA claims that its latest decision is actually more in line with the statutory factors identified in Michigan for determining whether it is “appropriate and necessary” to regulate HAP emissions from EGUs under the CAA. Read More »

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This post was authored by Trang Do, a summer associate.

In West Virginia v. EPA, the Supreme Court limited the authority of the United States Environmental Protection Agency (EPA) to reduce greenhouse gases by setting emission guidelines for existing power plants, characterizing the energy generation shifting strategy proposed in the Clean Power Plan (CPP) as an overreach of the agency’s power. In a 6-3 decision, with the three liberal justices dissenting, the Court held that the authority to adopt a regulatory program that would significantly alter how the nation’s energy is generated fell under an “extraordinary case” of the major questions doctrine. West Virginia v. EPA 597 U. S. ____ (2022). The major questions doctrine requires that a federal agency have “clear congressional authorization” when acting on issues of great “economic and political significance.” Id. (citing Utility Air Regulatory Group v. EPA, 573 U. S. 302, 324). Read More »

Share | Email| Comments|  Topics: Clean Air Act, Climate Change, Decisions of Note, Electric, Emissions, Energy, EPA, Greenhouse Gas, Legislation, Refinery, Rulemaking, Supreme Court, West Virginia

The Freedom of Information Act (“FOIA”) requires federal agencies to produce certain documents upon request to the general public unless one of nine exemptions applies. FOIA’s fifth exemption “protects from disclosure documents generated during an agency’s deliberations about a policy, as opposed to documents that embody or explain a policy that the agency adopts.” On March 4, 2021, in United States Fish and Wildlife Service et al. v. Sierra Club, Inc., No. 19-547, the Supreme Court of the United States held that draft biological opinions prepared by the U.S. Fish and Wildlife service (“FWS”) and National Marine Fisheries Service (“NMFS”) (collectively, the “Services”) fall within this deliberative process privilege exemption. Read More »

Share | Email| Comments|  Topics: Endangered Species Act, FOIA, Rulemaking

On February 22, 2021, the D.C. Circuit granted the Environmental Protection Agency’s (“EPA”) motion to stay the vacatur of the Trump administration’s Clean Power Plan Repeal Rule until EPA conducts further rulemaking on the issue in the case of American Lung Association v. EPA, No. 19-1140 (D.C. Cir., Feb. 22, 2021). This decision marks the latest action in the ongoing efforts by EPA and states to regulate greenhouse gas emissions; particularly in terms of carbon emissions from currently existing power plants. For additional background, please see previous MGKF blog on this topic here.  Read More »

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Last week the U.S. Fish and Wildlife Service ("FWS") and the National Marine Fisheries Service ("NMFS") (collectively, the "Services") finalized a rule defining the term "habitat" as used for designating "critical habitat" under the Endangered Species Act (the "ESA"). The ESA requires the Services to designate critical habitat for threatened and endangered species to conserve the ecosystems relied upon by these species. By definition, “critical habitat” includes both areas occupied and unoccupied by the species that are “essential to the conservation of the species.” Read More »

Share | Email| Comments|  Topics: Administrative Procedures Act, Case Update, Endangered Species Act, Fish and Wildlife Service, Rulemaking

On January 19, 2021, the U.S. Court of Appeals for the D.C. Circuit vacated and remanded the Trump administration’s Affordable Clean Energy Rule (“ACE Rule”), which itself was a rollback of the Obama administration’s Clean Power Plan (“CPP”); once again reshaping the heart of American climate policy. American Lung Association v. EPA, No. 19-1140 (D.C. Cir., Jan. 19, 2021). The CPP and ACE Rule both sought to regulate greenhouse gas (“GHG”) emissions from existing stationary sources but used highly divergent interpretations of the Clean Air Act (“CAA”) to do so. In making its ruling, the Court called the Trump Environmental Protection Agency’s interpretation of the CAA a “fundamental misconstruction” of the statute and provided a lengthy analysis of its findings. Id. at 16. The Court ultimately held that because the Environmental Protection Agency (“EPA”) based the ACE Rule “on an erroneous view of the law” (as opposed to having based the ACE Rule on a valid exercise of agency discretion), the court had no choice but to vacate the rule and remand it to the EPA for additional interpretation. Id. at 46. Because President Biden has described climate change as the “existential threat of our time,” the Biden EPA will likely use this opportunity to draft new rulemaking regarding the regulation of GHG emissions. Read More »

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