On June 30, 2022, California Governor Gavin Newsom signed Assembly Bill 205 (“AB 205”), which, among various other things, expands the siting jurisdiction of the California Energy Commission (“CEC”) to include non-thermal generating facilities, such as solar and wind projects, with a capacity of 50 megawatts (MW) or more. The CEC’s siting jurisdiction was previously
EU to step up taxation of carbon at the border
In this article, we take stock of the Carbon Border Adjustment Mechanism (CBAM), and similar initiatives in the United States, Canada, the United Kingdom, South Korea, and China, and what they mean for the energy sector.
Key takeaways:
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Shale Law Weekly Review—Week of July 4, 2022
Oil and Gas Leasing: Lawsuit Filed Challenging Federal Leasing Sales
On June 28, 2022, several conservation groups filed a lawsuit challenging the U.S. Department of the Interior and the U.S. Bureau of Land Management’s approval of the sale of 173 oil and gas leasing parcels. The lawsuit, filed in the U.S. District Court for the…
The European Financial Reporting Advisory Group issues draft European Sustainability Reporting Standards
In response to growing investor demand for information concerning companies’ sustainability-related financial risks, the sustainability disclosure landscape has rapidly changed over the last decade. In what marks one of the latest developments to the sustainability disclosure landscape, on 29 April 2022, the European Financial Reporting Advisory Group (“EFRAG“) – a private organisation that provides technical assistance to the European Commission – issued its initial draft European Sustainability Reporting Standards (“ESRS“) for public comment. The ESRS, which EFRAG were tasked with preparing by the European Commission as part of the proposed Corporate Sustainability Reporting Directive (“CSRD“), set out proposed requirements for companies to report on sustainability-related impacts, opportunities and risks under the CSRD.
As Colorado River Conditions Continue to Deteriorate, the United States Warns that More Cuts will be Required and the Basin States Consider Options
The Colorado River is a critical water source for more than 40 million people, vast agricultural operations, numerous industries, and a wide variety of ecological resources across the seven states that share its waters: Arizona, California, Nevada, Utah, New Mexico, Colorado, and Wyoming. The River is regulated by the United States…
West Virginia v. EPA Limits the Federal Government’s Power to Promote Clean Energy and Combat Climate Change
The Supreme Court decided West Virginia v. EPA on Thursday, June 30, 2022, curbing the power of the Environmental Protection Agency (EPA) to regulate greenhouse gas emissions from power plants across the country. The decision focuses on EPA’s authority under a specific section of the Clean Air Act. But a closer read suggests more sweeping,…
Supreme Court Rejects EPA’s Authority to Force Power Generation Shifting Under Clean Air Act
The decision will limit EPA’s options for future regulation of existing power plant GHG emissions and may have broader implications for other federal agency rulemakings.
By Stacey L. VanBelleghem, Karl A. Karg, and Malorie R. Medellin
On June 30, 2022, the US Supreme Court issued its long-awaited ruling in West Virginia v. EPA — the consolidated petitions addressing EPA’s authority to regulate existing power plant greenhouse gas (GHG) emissions under Section 111(d) of the Clean Air Act (CAA). In a 6-3 opinion drafted by Chief Justice Roberts, the Court ruled against EPA, holding that EPA’s attempt to force an overall shift in power generation from higher-emitting to lower-emitting sources exceeded EPA’s statutory authority. Indeed, the Court noted that such a sweeping transformation of the nation’s power sector implicated a “major question” requiring explicit congressional authorization, that the Court argued the CAA did not provide.
Agricultural Law Weekly Review—Week Ending June 24, 2022
Pesticides/Herbicides: U.S. Supreme Court Declines to Hear Bayer RoundUp Verdict Appeal
On June 21, 2022, the U.S. Supreme Court denied the August 16, 2021 Petition For Certiorari filed by Bayer (purchaser of Monsanto’s glyphosate-containing RoundUp product line and successor to its product liabilities) seeking to appeal the May 14, 2021, decision of the Ninth Circuit…
Winds of Change: Proposed Revisions to Japan’s Offshore Wind Public Auction Process
In December 2021, consortia led by Mitsubishi Corporation won the rights to develop all three projects offered in Japan’s first major offshore wind public auction with an aggregate capacity of approximately 1.7 gigawatts (GW). Mitsubishi’s success was underpinned by tariff prices well below the ceiling price of 29 yen per kilowatt-hour. This auction result is…
Supreme Court Rejects Obama-Era EPA Plan to Regulate Existing Power Plants under Section 111(d) of the Clean Air Act
In a highly anticipated decision, the U.S. Supreme Court (Court) rejected U.S. EPA’s (EPA) Clean Power Plan in West Virginia v. EPA on June 30, 2022. Relying upon the “major questions doctrine,” the Court found that Congress had not intended to authorize EPA to regulate emissions using “generation shifting” (i.e., requirements that power production be…