In American energy policy, Alaska’s Arctic region creates heated debates. In those debates, we take the side of the true American “environmentalists”—those who recognize that responsible resource development can coexist with conservation, bringing economic opportunities and energy security to our nation, while promoting free markets and civil liberties.
In contrast, President Biden made a September 6, 2023 statement that casts a long shadow on the fundamentally American tenets that we fight for every day in the courts.
President Biden said that he intends for his administration to cancel lawfully issued oil and gas leases in Alaska’s North Slope, including the Arctic National Wildlife Refuge—premised, at least on the surface, on alleged environmental-review deficiencies. We are familiar with arguments like these; and in our experience, they do not hold water.
No Inherent Authority
In its public-facing statements, the administration does not provide any clear basis for cancelation that is consistent with American law; rather, the President’s statement and implied directive to the Secretary of the Interior seem to assume that federal regulators can take such steps by fiat. In her contemporaneous statement, the Secretary of the Interior has asserted she has such inherent authority. But that is not so.
We just won this fight. As we showed in our successes in Solenex v. Haalandthe Secretary of the Interior cannot cancel a lawfully issued oil and gas lease based on an assertion of “inherent authority.” As the Court said, “the existence of a legal defect is a necessary precondition.”
We do not take federal regulators’ assumptions of “inherent authority” to cancel lawfully issued oil and gas leases lightly. Instead, we fight for the people who are counting on the federal government—including President Biden and his federal regulators—to honor their agreements.
We are waiting to see what the federal regulators do with President Biden’s September 6 statement. After all, saying something ridiculous isn’t unconstitutional, doing something in line with that statement on the other hand may be. When they claim to find a legal defect in an oil and gas lease, we will make sure the defect exists. We will scrutinize their allegations. And we are vigilant.
Biden’s Disdain
We have fought for decades to show that the Department of the Interior lacks any “inherent authority” to cancel lawfully issued oil and gas leases. And though as of now we are not aware of official actions to cancel the Alaska oil and gas leases, our work in Solenex shined light on the need for due process when unelected regulators make unlawful decisions.
President Biden’s stance on American energy independence and local control is a matter of significant concern. For instance, requesting crude oil from OPEC while limiting domestic energy development raises questions about the administration’s true intentions.
Moreover, these actions seem to disregard local knowledge and control, particularly in the Western states. As we have seen repeatedly, the federal regulators’ unilateral decisions can have dire economic consequences for real people. It is imperative to consider the voices of those closest to the affected regions, especially when it comes to land management. That is not a lesson that many federal regulators want to hear.
Mountain States in the Fight
Mountain States Legal Foundation, through its successful representation in cases like Solenex, has proven its unwavering commitment to property rights, due process, and other civil liberties. In Solenex, our victory reinforces the principle that the Department of the Interior cannot arbitrarily or capriciously cancel lawfully issued oil and gas leases. We continue to advocate for property rights on similar fronts, ensuring that property owners are treated fairly, and the federal government adheres to its constitutional and legal obligations in the oil and gas leasing and development processes.
Balancing conservation and economic growth in Alaska’s Arctic, and in America, might be a complex endeavor. But the “balance” must include challenging an executive branch that acts unlawfully. And we will continue to watch and advocate for fairness and justice in these critical matters.