Thursday, August 23, 2007

Energy Independence

The struggle to reach it continues, in the courts.

REVIEW & OUTLOOK
Shell Game
The greens try to sue their way to an energy policy.
Thursday, August 23, 2007 12:01 a.m. EDT


Just about everyone claims the U.S. must urgently become "energy independent," yet at the same time just about every policy that may actually serve that goal is met with environmentalist opposition. That contradiction has impeded the Bush Administration's attempts to increase domestic energy production. And even the modest progress so far may be blocked because litigation is driving the conflict out of politics and into the courts.

To see this trend at work, look north to Alaska, where lawsuits are blocking an offshore drilling program. Last week, the Ninth Circuit Court of Appeals granted an emergency stay that will suspend all operations until at least September, when the court will hear full arguments. The decision noted that the litigants--environmental pressure groups like the Natural Resources Defense Council--had shown "a probability of success on the merits." Uh-oh.

This is bad news for Shell, whose three-year exploration program in the Beaufort Sea was green-lighted by the Department of the Interior in February. The company planned to sink up to four temporary wells this summer to determine the available resources. But there's a limited open-water window before the winter ice moves back in, so the Ninth Circuit could delay work for a year, even if it decides in Shell's favor.

The worst ramifications, however, could hit environmental and regulatory law. The greens argue that the environmental review process of the Interior agency responsible for domestic energy leasing, the Minerals Management Service, was incomplete. Allegedly, there are not enough protections for bowhead whales as they migrate to their winter grounds. They also say that the program could affect other wildlife and that there could be oil spills.