H.R. 10500: Unleashing American Pipelines Act

This bill would change how legal challenges to certain federal approvals for natural gas pipelines are handled.

What it applies to

The bill focuses on approvals for a certificate of public convenience and necessity under the Natural Gas Act. This certificate is a key federal approval needed for many interstate natural gas pipeline projects.

Main changes

• Limits who can sue: It would generally bar courts from hearing challenges to these approvals unless the challenge is brought under the Administrative Procedure Act and filed within 180 days of the approval.
• Limits eligible challengers: A challenge could be brought by:
  • the company that applied for the certificate, or
  • someone who has already suffered, or is likely to imminently suffer, direct and irreparable economic harm from the approval.
• Association lawsuits: If an association sues on behalf of members, each member it represents would have to meet that same harm standard.
• Changes the legal standard: If a case is allowed to go forward, courts would be instructed to set aside unlawful agency actions under the usual federal review rules, but with a higher evidentiary standard in one part of that review, requiring clear and convincing evidence instead of substantial evidence.
• Places certain cases in one court: The U.S. Court of Appeals for the D.C. Circuit would have original and exclusive jurisdiction over claims that an agency action related to these applications exceeds the agency’s legal authority.

Practical effect

In plain terms, the bill would make it harder for people or groups to challenge federal approvals for natural gas pipeline certificates, would narrow who can bring those challenges, would require them to be filed quickly, and would route some disputes directly to the D.C. Circuit.

Relevant Companies

• ET — Energy Transfer could be affected because it develops and operates natural gas pipelines that may need federal certificate approvals.
• KMI — Kinder Morgan could be affected because it is a major natural gas pipeline operator and project developer.
• WMB — Williams Companies could be affected because it builds and operates interstate natural gas pipeline infrastructure.
• EPD — Enterprise Products Partners could be affected if its gas pipeline or related energy infrastructure projects require these federal approvals.
• TRP — TC Energy could be affected because its U.S. pipeline projects may be subject to Natural Gas Act certificate review.
• OKE — ONEOK could be affected through its natural gas pipeline and midstream operations that depend on federal permitting and approval processes.