Oil and gas Archives - Chicago-Kent Journal of Environmental and Energy Law

President Biden’s climate plans include a review of federal and state royalty rates paid by private companies for access to fossil fuel reserves underneath public lands.[i] On January 27, Biden issued Executive Order 14008, “Tackling the Climate Crisis at Home and Abroad,” urging aggressive domestic policy directives.[ii]

The Order directed the Secretary of the Interior to pause the issuance of new oil and gas leases for drilling rights on federal lands until the Secretary completes a “comprehensive review” of oil and gas permitting requirements.[iii] The Secretary subsequently issued Order No. 3395 (“the Order”), which directed the pause on approving new leases for fossil fuel extraction on federal lands and ordered the comprehensive review of federal royalty rates.[iv]

Biden’s Moratorium on Public Lands Drilling Leases will have a Muted Impact–at Least in the Short-term

By Journal Editor

On February 13, 2021

In News & Announcements, In the News

One week after his inauguration, President Biden issued Executive Order 14008, “Tackling the Climate Crisis at Home and Abroad” (the Order), a move consistent with the progressive environmental platform he championed during his campaign.[i] The Order lays out aggressive domestic policy mandates and reaffirms the Biden Administration’s commitment to leading the global effort to combat the climate crisis.[ii]

As part of the sweeping domestic policies set forth in the Order, President Biden directed the Secretary of Interior (the Secretary) to pause new oil and gas leases on public lands and offshore waters.[iii] The Order does not specify the length of the moratorium, but does prohibit the issuance of any new leases until the Secretary conducts a “comprehensive review” of the current oil and gas permitting requirements under law.[iv]

Aftereffects of 2010 Deepwater Horizon Oil Spill Continue to Threaten Gulf of Mexico Marine Life

By Journal Editor

On November 6, 2020

In News & Announcements

More than 10 years after the Deepwater Horizon drilling rig explosion on the Gulf of Mexico, conservation groups continue to sound the alarm regarding its lasting effects.[i]

The BP-operated rig spilled an estimated 4.9 million barrels of oil, killing marine life and damaging the Gulf coast from Louisiana to Florida.[ii] A complaint filed on October 21 by conservation groups alleges that the federal government has violated the Endangered Species Act (ESA) and Administrative Procedure Act (APA).[iii] The National Marine Fisheries Service (NMFS), a federal agency tasked with protecting marine resources, is accused of issuing “an arbitrary and capricious programmatic biological opinion governing federally authorized oil and gas activities.”[iv]

Consent Decree Requires EPA to Comply with Clean Air Act Obligations

By Journal Editor

On November 1, 2020

In News & Announcements, In the News

A California federal court recently approved an agreement between the United States Environmental Protection Agency (“EPA”) and the Center for Biological Diversity (the “Center”) that requires EPA to take affirmative steps to ensure that eight states have plans in place to reduce emissions from their oil and gas extraction areas as mandated by the Clean Air Act (“CAA” or “Act”).[i]

Emphasizing health hazards like asthma and reduced lung function that can develop in people who endure prolonged exposure to ground-level ozone (i.e., smog), the Center noted that the agreement will likely improve the health of residents who live closest to the extraction areas.[ii] The Center estimates that as many as 70 million people live in these areas and are at the greatest risk of exposure to harmful asthma-causing smog from oil and gas extraction operations.[iii]

Bureau of Land Management Reduces Royalty Rates for Onshore Drilling Operators

By Journal Editor

On October 2, 2020

In News & Announcements, In the News, Blog Posts

In April, the U.S. Department of Interior’s Bureau of Land Management (“BLM”) issued guidance reducing the royalty rate for energy companies that drill for oil and gas on public land.[1] The announcement came as analysts began to understand the dire financial consequences of the COVID-19 pandemic on the oil and gas industry. BLM’s guidance aimed to provide a lifeline to the already struggling industry.[2]

The Mine Leasing Act of 1920 (“MLA”) governs the development of oil and gas on federal land.[3] It authorizes the Secretary of the Interior to hold auctions for the subsurface rights of federal lands that contain fossil fuel deposits.[4] Under this arrangement, an energy company submits a bid for the lease, and, if successful, pays the federal government rent and royalties for its use.[5]

Chicago-Kent Journal of Environmental and Energy Law

Tag: Oil and gas

Oil and Gas Royalty Rates on Public Lands Under Review by Biden Administration

Biden’s Moratorium on Public Lands Drilling Leases will have a Muted Impact–at Least in the Short-term

Aftereffects of 2010 Deepwater Horizon Oil Spill Continue to Threaten Gulf of Mexico Marine Life

Consent Decree Requires EPA to Comply with Clean Air Act Obligations

Bureau of Land Management Reduces Royalty Rates for Onshore Drilling Operators

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