Page 4 - NorthAmOil Week 33 2021

NorthAmOil COMMENTARY NorthAmOil
Biden administration battles in courts over federal leasing pause
The administration of US President Joe Biden is appealing against a court decision overturning its moratorium on federal oil and gas leasing, even as another lawsuit is launched against the government
US
WHAT:
The Biden administration is appealing against the court order that blocked its pause on federal oil and gas leasing.
WHY:
The US Department of
the Interior is arguing that the emissions impacts of federal leasing programmes need to be taken into account.
WHAT NEXT:
Meanwhile, US industry groups have filed
a separate lawsuit challenging the moratorium.
THE administration of US President Joe Biden is pushing back against attempts to challenge its pause on federal oil and gas leasing through lit- igation, as it continues its review of leasing pro- grammes on federal land and in federal waters. This week, the US Department of the Interior (DoI) filed a challenge against a federal judge’s decision in June to block the leasing moratorium.
However, the DoI said it would proceed with the auction of new leases during the appeals pro- cess “consistent with the district court’s injunc- tion during the appeal”. It will use “discretion provided under the law to conduct leasing in a manner that takes into account the programme’s many deficiencies”, the department added.
The development will be welcomed by the states and industry groups that oppose the Biden administration’s stance on federal leasing and have been keen to have auctions resume while the court battle finishes playing out. Indeed, this week, the American Petroleum Institute (API) and 11 other industry groups filed the lawsuit in federal court in the Western District of Lou- isiana in a bid to force the DoI to reinstate the lease sales. The groups described the length of the moratorium as “unprecedented”.
Biden position
Biden had pledged as part of his election cam- paign to stop issuing new federal drilling leases. The auctions were suspended almost immedi- ately after he took office early this year in order to allow the DoI to carry out a review of the entire federal leasing programme. The review was expected to have been wrapped up by now, with US Secretary of the Interior Deb Haaland previously saying that a report would be released in the early summer, and telling a Congressional committee in late July that it was due for release “very soon”.
However, those opposing the Biden admin- istration’s moves have sought to lift the leasing moratorium through litigation. In March, 14 states filed a lawsuit challenging the leasing pause. And in June, Judge Terry Doughty of the US District Court for the Western District of Louisiana issued a preliminary injunction blocking the administration from enforcing its moratorium.
The DoI is now trying to overturn Doughty’s decision.
“The appeal of the preliminary injunction is important and necessary,” the DoI said in a
US President Joe Biden had pledged to stop issuing new federal drilling leases as part of his election campaign.
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Week 33 19•August•2021