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“The only common thread is the seeming desire of the court to aggrandize the power of the courts.”

The word “consequential” barely touches the importance of the Supreme Court’s decisions this term, as two cases — Loper Bright Enterprises v. Raimondo and Corner Post, Inc. v. Board of Governors — took a wrecking ball to the stability of the administrative state. Courts will no longer give deference to regulators to interpret statute and will permit new challenges against existing rules. Essentially, depending on whom you ask, anything goes.
So naturally, we had to ask. While the legal universe is still digesting these rulings, climate and environmental law experts had plenty of opinions about them, as lawyers tend to do. Here’s what we heard:
The Supreme Court has been on a campaign to weaken environmental regulation. In 2016, it halted implementation of President Obama’s Clean Power Plan without explanation. In 2022, it issued the devastating opinion in West Virginia v. Environmental Protection Agency, finding that the EPA couldn’t go very far in using the Clean Air Act to fight climate change because the statute isn’t specific enough. In 2023, the court in Sackett v. EPA greatly reduced the coverage of the Clean Water Act.
That campaign intensified this year. On June 27, 2024, in Ohio v. EPA, it struck down a life-saving Clean Air Act rule based on exceedingly narrow technical grounds that Justice Amy Coney Barrett, in her dissent, found were completely off base. The same day, in SEC v. Jarkesy, the Court said that agencies could not use long-established administrative processes to impose certain kinds of penalties. On June 28, the court reversed the Chevron doctrine in Loper Bright Enterprises v. Raimondo. On July 1, in Corner Post, Inc. v. Board of Governors, it said that corporate defendants can challenge federal regulations long past the usual statute of limitations. And this campaign may continue: on June 24 the Supreme Court agreed to hear Seven County Infrastructure Coalition v. Eagle County, which may shrink the coverage of the National Environmental Policy Act.
The next election will determine whether the 6-3 conservative majority may be enlarged and rejuvenated to last another generation, or — depending on the fates — may shrink or be reversed.
For good reason, the last day of the Supreme Court’s term will be known for its decision giving presidents incredibly broad immunity from criminal prosecution. But another decision that will play a major role in restricting the ability of the executive branch to protect the environment should not be neglected. Corner Post effectively eliminated what had been a six-year statute of limitations for challenging federal regulations. The impact of Corner Post will amplify the effect of last week’s opinion overturning the Chevron decision, which had held that the judiciary should defer to reasonable legal interpretations made by the executive branch.
The Court announcing that it will take a much more aggressive role in replacing the judgment of regulatory experts in the executive branch with their own judgments will have particularly dire consequences for environmental regulations. What they see as “excessive” environmental regulation is one of the central reasons why conservative legal activists wanted the Chevron doctrine overruled. It’s not a coincidence that last week, the court also prevented a federal regulation of air pollutants from going into effect, one of a long series of Roberts court rulings undermining environmental regulation. And in a darkly comic illustration of what a bad idea it is to replace the judgment of EPA experts with that of arrogant, power-hungry judges, in his opinion for the court, Justice Gorsuch confused “nitrous oxide” (commonly known as “laughing gas”) and “nitrogen oxides” (the pollutant the EPA sought to regulate.)
People who want to stop environmental regulation will not be laughing when considering the effects of this Supreme Court term. Conservative lawyers will aggressively forum-shop for judges hostile to environmental regulations to bring challenges even to long-settled rules, and the authority of the EPA will be under constant threat as the planet continues to warm.
The combined effect of the Corner Post and Loper decisions may not be immediate, but they will be profound. They will make it harder for agencies to do their work, and easier for challengers (especially very well-funded challengers) to attack and delay actions.
The two opinions are hard to reconcile. In Loper, the opinion cites Chevron as "fostering unwarranted instability" in the law, but in Corner Post, the court has added extreme instability by leaving open-ended the question of when a regulation is ever settled. The only common thread is the seeming desire of the court to aggrandize the power of the courts.
Specific to climate, notwithstanding the statement in the opinion that Loper does not reopen prior holdings that used the Chevron framework, it is hard to imagine that such challenges will not be forthcoming. In particular, opponents of the finding in Massachusetts v. EPA may see Loper and Corner Post as an opportunity to reopen that 2007 case, especially as the court seems quite ready and willing to overturn past precedents.
Finally, we have examples of how pre- Chevron litigation worked under the Clean Air Act — and these examples should give as much pause to conservatives as to progressives. Courts are not likely to function well as regulatory agencies. The original Chevron decision was favored by conservatives at the time; post-Chevron, conservatives may regret that they got what they asked for.
The Supreme Court’s rulings this session jeopardize critical environmental protections and climate progress and are likely to wreak chaos across the regulatory landscape. In Corner Post the Supreme Court upended the statute of limitations for challenging many government regulations, opening the door to hundreds of new corporate challenges to long-established protections we all take for granted. And in Loper Bright, the court displaced the long-standing Chevron doctrine by shifting power to judges and sidelining the expertise of agency staff who live and breathe the science and safety concerns that federal agencies specialize in.
In combination, the cases tip the balance of power away from everyday Americans that depend on commonsense protections to industry groups that believe they will financially benefit without any limitations in place. We’re ready to fight back to make sure this conservative supermajority doesn't leave us with a patchwork of inconsistent rulings and an annihilation of the regulatory structure and critical protections that keep us safe and healthy.
The Supreme Court's decisions, in combination, make it clear that the Court intends to insert itself as, in Justice Kagan's words, the country's “administrative czar.” Those decisions give courts control over a wide array of scientific, technical, and policy choices necessary to effectively implement our laws protecting clean air, clean water, and affordable and reliable energy (and much more). That is likely to prove corrosive to climate policy; judges lack the accountability, expertise, and experience of agencies like the EPA or the Department of Energy.
But the primary drivers of decarbonization — economics and public investments to accelerate the clean energy transition, like the Inflation Reduction Act — remain relatively insulated from judicial interference. So while the court's decisions make the likely pathway to decarbonization less steady, science-driven, and predictable, it should not derail our ongoing progress towards achieving our climate goals over the long term.
Undoubtedly, the Supreme Court’s decisions in Corner Post and Loper Bright will make it easier for plaintiffs to prevail in legal challenges to environmental regulations. But we should be careful to keep things in perspective. The end of Chevron deference means that agency interpretations of statutes will get more judicial scrutiny than they did before, but even under Chevron deference it was limited by such things as the major questions doctrine. Agency interpretations are still likely to prevail in many cases. Similarly, while the changes to when the statute of limitations begins to run will allow additional challenges to be brought, a regulation that has already survived earlier legal challenges is likely to be upheld again if challenged by a new plaintiff later on. Agencies like EPA or the Federal Energy Regulatory Commission do not need to be insulated from judicial review in order to be able to function. If they do, that suggests a deeper problem with the administrative state.
In its regulatory jurisprudence this term, the Supreme Court has fundamentally changed the playing field for environmental regulation, making it much more difficult for agencies to use the flexibility that Congress has attempted to provide to protect the environment. This is likely to be felt especially where agencies are trying to tackle new problems using older statutes. The ball is now in Congress's court to protect the American people by regularly improving the nation's environmental laws, ensuring that federal regulatory programs that prevent pollution and preserve our country's natural resources for future generations are not lost forever over legal technicalities.
Taken together, Corner Post and Loper Bright fire the starting gun for an onslaught of lawsuits challenging long-settled regulatory programs. (They also sound the dinner bell for amoral corporate law firms.)
Judicial conservatives have long proclaimed the need for judicial minimalism and caution. Judges, they say, are not elected, and have no business making policy from the bench. They should decide individual cases and focus on the facts in front of them to avoid ripple effects that they can’t foresee and can’t easily fix.
This conservative supermajority is instead heedlessly pursuing a political agenda. By rewriting settled precedents to pursue a holy war against federal regulations, the court is truly legislating from the bench. And in justifying all this by citing idiosyncratic views of the separation of powers, the court is practically holding a new constitutional convention behind closed doors.
The Supreme Court has made it clear that legal precedents and the plain language of statutes will not slow their crusade to destroy the modern regulatory state at the behest of their wealthy benefactors. Justice Ketanji Brown Jackson got it right in her dissent in Corner Post: “At the end of a momentous Term, this much is clear: The tsunami of lawsuits against agencies that the Court's holdings in this case and Loper Bright have authorized has the potential to devastate the functioning of the Federal Government.”
This tsunami of lawsuits will result in less consistent statutory interpretations based on individual courts' views on government regulation generally and on the matter at hand. The court's power grab lays bare the importance of civil society and elected officials finding ways to rebalance the relationships between the three branches of government and supporting the ability of federal agencies to implement federal laws effectively.
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On diesel backup generators, Chinese rare earths, and geothermal milestones
Current conditions: A polar vortex is sending Arctic air across the Upper Midwest and Northeast, bringing more than a foot of snow to parts of Michigan • In the Pacific Northwest, an atmospheric river is set to bring rain showers on the coast and snow inland • The death toll from flooding across Southeast Asia has surpassed 1,300.
The Department of Transportation is poised to significantly weaken fuel efficiency requirements for tens of millions of new cars and light trucks, President Donald Trump announced Wednesday. Heatmap's Robinson Meyer explained: “The United States essentially has two ways to regulate pollution from cars and light trucks: It can limit greenhouse gas emissions from new cars and trucks, and it can require the fuel economy from new vehicles to get a little better every year. Trump is pulling screws and wires out of both of these systems.” Flanked by auto executives in the Oval Office, Trump announced that new vehicles in 2031 would only need to average 34.5 miles per gallon, down from the 50 miles per gallon goal the Biden administration set. While carmakers publicly cheered the move, executives “privately fretted” to The New York Times “that they are being buffeted by conflicting federal policies” after spending billions of dollars to prepare to manufacture electric vehicles.
The administration claimed the rollback would save Americans $109 billion over five years and shave $1,000 off the average cost of a new car. But as Rob noted in August, the administration’s fight against tailpipe emissions could actually end up raising the price of gasoline.

Secretary of Energy Chris Wright pitched tapping into backup generators at data centers, hospitals, and factories to augment the supply of power on the grid. Speaking at the North American Gas Forum on Tuesday, Wright said the generators — most of which run on diesel, natural gas, or fuels such as propane — could contribute roughly 35 gigawatts of electricity. “We have 35 gigawatts of backup generators that are sitting there today, and you can’t turn them on. That’s just nuts. Emissions rules or whatever … people, come on,” Wright said, according to E&E News. “If we just turn those generators on for a few hours a year, we’ve expanded the capacity of our grid by 35 gigawatts. That’s massive.”
In a post on X, Aaron Bryant, an energy markets analyst at the law firm White & Case, called the proposal “shortsighted at best,” since the generators expose load growth to some measure of commodity risk and “unworkable at worst” because zoning ordinances, air pollution, and noise restrictions may prohibit use of the generators.
The National Petroleum Council, an advisory panel at the Energy Department, submitted its recommendations Wednesday for how to reform federal permitting rules. Among the proposals was an endorsement of an idea to bar federal agencies from yanking already-granted permits. Democrats in Congress put forward the concept to prevent the Trump administration from reversing approvals for offshore turbines and other renewable projects targeted by the White House.
The proposal marks a significant step within the executive branch, given that Trump himself is “the biggest wild card in permitting reform,” as Heatmap’s Jael Holzman wrote last month. But legislation is moving in Congress. In the House, the SPEED Act overwhelmingly won a committee vote last month. Now Arkansas Senator Tom Cotton, a Republican, has introduced a new bill in the Senate with its own House version.
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Following a summit between Trump and Chinese President Xi Jinping in October, Beijing agreed to overhaul its licensing regime for approving exports of rare earths to allow for streamlined permits to sell the metals overseas. At least three Chinese manufacturers of rare earth magnets have now secured new licenses to speed up exports to some customers, Reuters reported. It’s a sign of easing tensions between Washington and Beijing, offering some reprieve from the Chinese export restrictions that threatened to choke off the U.S. supply of key metals. But it’s still tenuous. China could ratchet up restrictions again, and the U.S. is still looking to increase domestic production of critical minerals to counter the leverage the People’s Republic wields through its near monopoly on the metals.
If there’s one thing Tim Latimer, the chief executive of the next-generation geothermal company Fervo Energy, wants to see in any permitting reform, it’s measures to making building new transmission lines easier. “The biggest threat to American global competitiveness, and it does not matter if your priorities are climate change, affordability, the AI race, national security or all of the above, is our country’s complete inability to build and upgrade transmission at any meaningful scale,” Latimer wrote in a post on X. Fervo is working on building the nation’s first full-scale next-generation geothermal plant in Utah, and running new transmission lines out to remote parts of the desert where it’s often best to drill for hot rocks is costly.
Fervo isn’t the only geothermal company making news. On Thursday morning, Zanskar, a geothermal startup that uses modern prospecting methods to find new conventional resources, announced that it had made the biggest “blind” discovery in the U.S. in more than 30 years. A “blind” find is a geothermal system that shows no visible signs of what’s below the surface, such as vents or geysers. While companies such as Fervo aim to use fracking technology to create reservoirs in hot rocks located where there aren’t underground aquatic formations to tap into, Zanskar is betting that using artificial intelligence to locate new conventional resources can result in faster, cheaper geothermal plants than next-generation technology can yield.
Here’s a little exclusive for you to end on: I got a copy of a letter signed by dozens of pro-nuclear advocates calling on New York state and local officials to kickstart an effort to rebuild the Indian Point nuclear plant just north of New York City. Describing the “forced premature closure” of the plant as “a major setback for New York,” the letter said the plant could be restored, noting that rising demand for clean, firm electricity has spurred utilities in Michigan, Iowa, and Pennsylvania to embark on historic restarts of decommissioned reactors. “Recommissioning Indian Point would stabilize electricity prices and deliver one of the fastest and largest returns of clean power available anywhere in the country,” the letter reads.
The Trump administration has started to weaken the rules requiring cars and trucks to get more fuel-efficient every year.
In a press event on Wednesday in the Oval Office, flanked by advisors and some of the country’s top auto executives, President Trump declared that the old rules “forced automakers to build cars using expensive technologies that drove up costs, drove up prices, and made the car much worse.”
He said that the rules were part of the “green new scam” and that ditching them would save consumers some $1,000 every year. That framed the rollback as part of the president’s seeming pivot to affordability, which has happened since Democrats trounced Republicans in the November off-cycle elections.
That pivot remains belated and at least a little half-hearted: On Wednesday, Trump made no mention of dropping the auto tariffs that are raising imported car prices by perhaps $5,000 per vehicle, according to Cox Automotive. Ditching the fuel economy rules, too, could increase demand for gasoline and thus raise prices at the pump — although they remain fairly low right now, with the national average below $3 a gallon.
What’s more interesting — and worrying — is that the rules fit into the administration’s broader war on innovation in the American car and light-duty truck sector.
The United States essentially has two ways to regulate pollution from cars and light trucks: It can limit greenhouse gas emissions from new cars and trucks, and it can require the fuel economy from new vehicles to get a little better every year.
Trump is pulling screws and wires out of both of these systems. In the first category, he’s begun to unwind the Environmental Protection Agency’s limits on carbon pollution from cars and light duty trucks, which he termed an “EV mandate.” (The Biden-era rules sought to require about half of new car sales be electric by 2030, although hybrids could help meet that standard.) Trump is also trying to keep the EPA from ever regulating anything to do with carbon pollution again by going after the agency’s “Endangerment Finding” — a scientific assessment that greenhouse gases are dangerous to human wellbeing.
That’s only half of the president’s war on air pollution rules, though. Since the oil crises of the 1970s, the National Highway Traffic Safety Administration has regulated fuel economy for new vehicles under the Corporate Average Fuel Economy, or CAFE, standards. When these rules are binding, the agency can require new cars and trucks sold in the U.S. to get a little more fuel-efficient every year. The idea is that these rules help limit the country’s gasoline consumption, thus keeping a lid on oil prices and letting the whole economy run more efficiently.
President Trump’s signature tax law, the One Big Beautiful Bill Act, already eliminated the fines that automakers have to pay when they fail to meet the standard. That change, pushed by Senator Ted Cruz of Texas, effectively rendered the regulation toothless. But now Trump is weakening the rules just for good measure. (At the press conference on Wednesday, Cruz stood behind the president — and next to Jim Farley, the CEO of Ford.)
Under the new Trump proposal, automakers would need to achieve only an average of 34.5 miles per gallon in 2031. Under Biden’s proposal, they needed to hit 50 miles per gallon that year.
Those numbers, I should add, are somewhat deceptive — because of how CAFE standards are calculated, the headline number is 20% to 30% stricter than a real-world fuel economy number. In essence, that means the new Trump era rules will come out to a real-world mile-per-gallon number in the mid-to-high 20s. That will give automakers ample regulatory room to sell more inefficient and gas-guzzling sport utility vehicles and pickups, which remain more profitable than electric vehicles.
Which is not ideal for air pollution or the energy transition. But the real risk for the American automaking industry is not that Ford might churn out a few extra Escapes over the next several years. It’s that the Trump proposal would eliminate the ability for automakers to trade compliance credits to meet the rules. These credit markets — which allow manufacturers of gas guzzlers to redeem themselves by buying credits generated by cleaner cars — have been a valuable revenue source for new vehicle companies like Tesla, Lucid, and Rivian. The Trump proposal would cut off that revenue — and with it, one of the few remaining ways that automakers are cross-subsidizing EV innovation in the United States.
During his campaign, President Trump said that he wanted the “cleanest air.” That promise is looking as incorrect as his pledge to cut electricity costs in half within a year.
How will America’s largest grid deal with the influx of electricity demand? It has until the end of the year to figure things out.
As America’s largest electricity market was deliberating over how to reform the interconnection of data centers, its independent market monitor threw a regulatory grenade into the mix. Just before the Thanksgiving holiday, the monitor filed a complaint with federal regulators saying that PJM Interconnection, which spans from Washington, D.C. to Ohio, should simply stop connecting new large data centers that it doesn’t have the capacity to serve reliably.
The complaint is just the latest development in a months-long debate involving the electricity market, power producers, utilities, elected officials, environmental activists, and consumer advocates over how to connect the deluge data centers in PJM’s 13-state territory without further increasing consumer electricity prices.
The system has been pushed into crisis by skyrocketing capacity auction prices, in which generators get paid to ensure they’re available when demand spikes. Those capacity auction prices have been fueled by high-octane demand projections, with PJM’s summer peak forecasted to jump from 154 gigawatts to 210 gigawatts in a decade. The 2034-35 forecast jumped 17% in just a year.
Over the past two two capacity auctions, actual and forecast data center growth has been responsible for over $16.6 billion in new costs, according to PJM’s independent market monitor; by contrast, the previous year’s auction generated a mere $2.2 billion. This has translated directly to higher retail electricity prices, including 20% increases in some parts of PJM’s territory, like New Jersey. It has also generated concerns about reliability of the whole system.
PJM wants to reform how data centers interconnect before the next capacity auction in June, but its members committee was unable to come to an agreement on a recommendation to PJM’s board during a November meeting. There were a dozen proposals, including one from the monitor; like all the others, it failed to garner the necessary two-thirds majority vote to be adopted formally.
So the monitor took its ideas straight to the top.
The market monitor’s complaint to the Federal Energy Regulatory Commission tracks closely with its plan at the November meeting. “PJM is currently proposing to allow the interconnection of large new data center loads that it cannot serve reliably and that will require load curtailments (black outs) of the data centers or of other customers at times. That result is not consistent with the basic responsibility of PJM to maintain a reliable grid and is therefore not just and reasonable,” the filing said. “Interconnecting large new data center loads when adequate capacity is not available is not providing reliable service.”
A PJM spokesperson told me, “We are still reviewing the complaint and will reserve comment at this time.”
But can its board still get a plan to FERC and avoid another blowout capacity auction?
“PJM is going to make a filing in December, no matter what. They have to get these rules in place to get to that next capacity auction in June,” Jon Gordon, policy director at Advanced Energy United, told me. “That’s what this has been about from the get-go. Nothing is going to stop PJM from filling something.”
The PJM spokesperson confirmed to me that “the board intends to act on large load additions to the system and is expected to provide an indication of its next steps over the next few weeks.” But especially after the membership’s failure to make a unified recommendation, what that proposal will be remains unclear. That has been a source of agita for the organizations’ many stakeholders.
“The absence of an affirmative advisory recommendation from the Members Committee creates uncertainty as to what reforms PJM’s Board of Managers may submit to the Federal Energy Regulatory Commission (FERC), and when stakeholders can expect that submission,” analysts at ClearView Energy Partners wrote in a note to clients. In spite of PJM’s commitments, they warned that the process could “slip into January,” which would give FERC just enough time to process the submission before the next capacity auction.
One idea did attract a majority vote from PJM’s membership: Southern Maryland Electric Cooperative’s, which largely echoed the PJM board’s own plan with some amendments. That suggestion called for a “Price Responsive Demand” system, in which electricity customers would agree to reduce their usage when wholesale prices spike. The system would be voluntary, unlike an earlier PJM proposal, which foresaw forcing large customers to curtail their power. “The load elects to not take on a capacity obligation, therefore does not pay for capacity, and is required to reduce demand during stressed system conditions,” PJM explained in an update. The Southern Maryland plan tweaks the PRD system to adjust its pricing mechanism. but largely aligns with what PJM’s staff put forward.
“There’s almost no real difference between the PJM proposal and that Southern Maryland proposal,” Gordon told me.
That might please restive stakeholders, or at least be something PJM’s board could go forward with knowing that the balance of its voting membership agreed with something similar.
“We maintain our view that a final proposal could resemble the proposed solution package from PJM staff,” the ClearView note said. “We also think the Board could propose reforms to PJM’s PRD program. Indeed, as noted above, SMECO’s revisions to the service gained majority support.”
The PJM plan also included relatively uncontroversial reforms to load forecasting to cut down on duplicated requests and better share information, and an “expedited interconnection track” on which new, large-scale generation could be fast-tracked if it were signed off on by a state government “to expedite consideration of permitting and siting.”
Gordon said that the market monitor’s complaint could be read as the organization “desperately trying to get FERC to weigh in” on its side, even if PJM is more likely to go with something like its own staff-authored submission.
“The key aspect of the market monitor’s proposal was that PJM should not allow a data center to interconnect until there was enough generation to supply them,” Gordon explained. During the meeting preceding the vote, “PJM said they didn’t think they had the authority to deny someone interconnection.”
This dispute over whether the electricity system has an obligation to serve all customers has been the existential question making the debate about how to serve data centers extra angsty.
But PJM looks to be trying to sidestep that big question and nibble around the edges of reform.
“Everybody is really conflicted here,” Gordon told me. “They’re all about protecting consumers. They don’t want to see any more increases, obviously, and they want to keep the lights on. Of course, they also want data center developers in their states. It’s really hard to have all three.”