Judge Permanently Blocks Biden Oil And Gas Leasing Pause In 13 States

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by Tyler Durden
Sunday, Aug 21, 2022 - 06:30 PM

Authored by Allen Zhong via The Epoch Times (emphasis ours),

A federal judge Thursday issued a permanent injunction against the Biden administration’s pause of new oil and gas leasing in federal lands.

President Joe Biden speaks from the Blue Room Balcony of the White House in Washington on Aug. 1, 2022. (Jim Watson/Pool via AP)

The injunction applies to the 13 states that sued the Biden administration over the moratorium in March 2021, including Alabama, Alaska, Arkansas, Georgia, Louisiana, Mississippi, Missouri, Montana, Nebraska, Oklahoma, Texas, Utah, and West Virginia.

Terry Doughty, the U.S. district judge for the Western District of Louisiana, ruled that the White House overreached in the ban.

President Joe Biden signed Executive Order 14008 on Jan. 27, 2021, banning all new oil and natural gas leases on federal lands and offshore waters. The order didn’t cancel existing leases on federal lands and offshore waters. Leases on private lands were also not affected.

Thirteen states led by Louisiana sued the Biden administration, saying the lease ban violated the Outer Continental Shelf Lands Act (OCSLA), which governs offshore oil and gas leases, and the Mineral Leasing Act (MLA), which governs onshore land leases on federal lands.

Doughty issued a temporary injunction back in June 2022 in this case. The injunction was overthrown by the 5th U.S. Circuit Court of Appeals on Wednesday.

Doughty’s permanent injunction came a day after the circuit court’s ruling (pdf).

In the permanent injunction, Doughty ruled that the executive branch has no authority to change both laws.

Both statutes require Government Defendants’ agencies to sell oil and gas leases. The OCSLA has a Five-Year Plan in effect that requires eligible leases to be sold. Government Defendants’ agencies have no authority to make significant revisions in the OCSLA Five-Year Plan without going through the procedure mandated by Congress. The MLA requires the DOI to hold lease sales, where eligible lands are available at least quarterly,” he wrote in the ruling (pdf). “By stopping the process, the agencies are in effect amending two Congressional statutes. Neither the OCSLA nor the MLA gives the Government Defendants’ agencies the authority to implement a Stop of lease sales.”

The Epoch Times reached out to the Interior Department and the White House for comments.

Texas Attorney General Ken Paxton (C) and Montana Attorney General Austin Knudsen announce a lawsuit against President Joe Biden’s administration, in Edinburgh, Texas, on Jan. 28, 2022. (Charlotte Cuthbertson/The Epoch Times)

Montana Attorney General Austin Knudsen applauded the permanent injunction.

“President Biden’s executive order to choke off energy development didn’t just increase prices and hurt American families—it was flatly illegal. This decision is a victory for the rule of law and the workers and the rural communities who depend on the energy industry,” he said in a statement.

An ongoing lease moratorium would have lowered employment by 210 jobs, reduced personal income by $13 million, and cost $4 million in oil and gas taxes in Montana in 2021, he said citing a December 2020 study conducted by the University of Wyoming.

Biggest Offshore Oil, Gas Lease Sale Revived

Days before the permanent injunction, a lease known as Lease Sale 257, which is also under dispute in the multiple-state lawsuit, was revived by Biden through the so-called Inflation Reduction Act.

The Inflation Reduction Act includes provisions that direct spending, tax credits, and loans to bolster technologies such as solar panels and equipment to cut pollution at coal- and gas-powered power plants.

Read more here...