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Hotspots

A Hail Mary Kansas Lawsuit Against the IRA

And more of the week’s top conflicts around renewable energy.

A Hail Mary Kansas Lawsuit Against the IRA
  1. Jackson County, Kansas — We’ve been covering anti-renewable lawsuits in the Trump 2.0 era closely at The Fight. But we now have a champion for the most aggressive lawsuit yet: a case filed against a single solar project intended to somehow kill … the entire Inflation Reduction Act?
    1. Three Kansas residents have gotten the support of five seasoned attorneys — including two Federalist Society alums — to sue the federal government claiming that projects benefiting from IRA tax credits should have to be reviewed under the National Environmental Policy Act, and that implementation of the IRA violated the Administrative Procedures Act.
    2. Their lawsuit, which was filed days before Trump took office, cites a single NextEra project in Kansas to make its claims of tangible damages.
    3. We asked the attorneys to comment on the lawsuit, as we’re wondering if this is an opening salvo before a broader legal effort to challenge IRA implementation.
    4. It’s worth saying this is obviously a huge ask of the administration, even in the Trump era. Not to mention it’s unclear how this legal complaint will fare with Trump’s decision to knock down NEPA implementing regulations (more on that in our Policy Watch section). But at a minimum, this is a noteworthy and novel attempt at what some may argue is a nuisance lawsuit — and indicates how conservative legal experts are finding common cause with disgruntled neighbors of renewables projects.
  2. St. James Parish, Louisiana — A state judge ruled this week that St. James Parish lawfully rejected what is believed to be one of the state’s largest solar projects.
    1. The Parish Council last year denied D.E. Shaw Renewables’ St. James Solar Energy Center which was supposed to connect to an Entergy substation as part of that utility’s solar and wind project pipeline.
    2. The rejection however came after years of local resistance to the project. D.E. Shaw took them to court after the most recent denial. But now they’ve lost, with a state judge ruling this week that they’ve failed to prove the council had good reason to say no.
    3. It’s a potential bad omen for Entergy’s efforts to complete the largest renewables expansion in state history.
  3. Alaska — We’ve never talked about Alaska here at The Fight but it’s time to do so, because renewables projects are having trouble up North.
    1. Renewable IPP is pulling the plug on a large solar project in Nikiski, a village southwest of Anchorage, citing uncertainty around federal funding and tax credits.
    2. The remote city of Kotzebue is trying to develop wind turbines to move its grid off of fossil fuels. But its money is tied up in the Trump funding freeze.
    3. Why am I watching this so closely? Alaska Governor Mike Dunleavy is quietly pro renewables. Its broader effort to use “all of the above” to market his state’s relevance in energy markets and its minerals tied to the energy transition.

Here’s what else I’m watching …

In Massachusetts, anti-wind activist Mary Chalke is running for a seat on the select board for the town of Nantucket. She’s well known for wearing a whale costume to protests.

In North Carolina, local pro-wind advocates hope Duke Energy’s land-based wind projects will be safe from the Trump administration.

In Washington State, Whitman County has imposed a wind moratorium.

In Virginia, Apex Clean Energy’s Rocky Forge solar project has survived a legal challenge.

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Hotspots

Judge, Siding With Trump, Saves Solar From NEPA

And more on the week’s biggest conflicts around renewable energy projects.

The United States.
Heatmap Illustration/Getty Images

1. Jackson County, Kansas – A judge has rejected a Hail Mary lawsuit to kill a single solar farm over it benefiting from the Inflation Reduction Act, siding with arguments from a somewhat unexpected source — the Trump administration’s Justice Department — which argued that projects qualifying for tax credits do not require federal environmental reviews.

  • We previously reported that this lawsuit filed by frustrated Kansans targeted implementation of the IRA when it first was filed in February. That was true then, but afterwards an amended complaint was filed that focused entirely on the solar farm at the heart of the case: NextEra’s Jeffrey Solar. The case focuses now on whether Jeffrey benefiting from IRA credits means it should’ve gotten reviewed under the National Environmental Policy Act.
  • Perhaps surprisingly to some, the Trump Justice Department argued against these NEPA reviews – a posture that jibes with the administration’s approach to streamlining the overall environmental analysis process but works in favor of companies using IRA credits.
  • In a ruling that came down on Tuesday, District Judge Holly Teeter ruled the landowners lacked standing to sue because “there is a mismatch between their environmental concerns tied to construction of the Jeffrey Solar Project and the tax credits and regulations,” and they did not “plausibly allege the substantial federal control and responsibility necessary to trigger NEPA review.”
  • “Plaintiffs’ claims, arguments, and requested relief have been difficult to analyze,” Teeter wrote in her opinion. “They are trying to use the procedural requirements of NEPA as a roadblock because they do not like what Congress has chosen to incentivize and what regulations Jackson County is considering. But those challenges must be made to the legislative branch, not to the judiciary.”

2. Portage County, Wisconsin – The largest solar project in the Badger State is now one step closer to construction after settling with environmentalists concerned about impacts to the Greater Prairie Chicken, an imperiled bird species beloved in wildlife conservation circles.

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Spotlight

Renewables Swept Up in Data Center Backlash

Just look at Virginia.

A data center.
Heatmap Illustration/Getty Images

Solar and wind projects are getting swept up in the blowback to data center construction, presenting a risk to renewable energy companies who are hoping to ride the rise of AI in an otherwise difficult moment for the industry.

The American data center boom is going to demand an enormous amount of electricity and renewables developers believe much of it will come from solar and wind. But while these types of energy generation may be more easily constructed than, say, a fossil power plant, it doesn’t necessarily mean a connection to a data center will make a renewable project more popular. Not to mention data centers in rural areas face complaints that overlap with prominent arguments against solar and wind – like noise and impacts to water and farmland – which is leading to unfavorable outcomes for renewable energy developers more broadly when a community turns against a data center.

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Q&A

How the Wind Industry Can Fight Back

A conversation with Chris Moyer of Echo Communications

The Q&A subject.
Heatmap Illustration

Today’s conversation is with Chris Moyer of Echo Communications, a D.C.-based communications firm that focuses on defending zero- and low-carbon energy and federal investments in climate action. Moyer, a veteran communications adviser who previously worked on Capitol Hill, has some hot takes as of late about how he believes industry and political leaders have in his view failed to properly rebut attacks on solar and wind energy, in addition to the Inflation Reduction Act. On Tuesday he sent an email blast out to his listserv – which I am on – that boldly declared: “The Wind Industry’s Strategy is Failing.”

Of course after getting that email, it shouldn’t surprise readers of The Fight to hear I had to understand what he meant by that, and share it with all of you. So here goes. The following conversation has been abridged and lightly edited for clarity.

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