The PennEast has pipeline project may proceed after the U.S. Supreme Court ruled that New Jersey-owned land could be seized for the $1 billion project.
New Jersey Solicitor General Jeremy Feigenbaum had argued that the 1938 Natural Gas Act did not allow private companies to use eminent domain to sue the state. PennEast had obtained a Federal Energy Regulatory Commission permit for the project.
In a 5-4 decision, the Supreme Court overturned a 3rd Circuit U.S. Court of Appeals ruling that the federal law regulating the natural gas industry didn’t outweigh the state’s immunities accorded from the 11th amendment.
Chief Justice John Roberts wrote the majority opinion, joined by Justices Stephen Breyer, Samuel Alito, Sonia Sotomayor, and Brett Kavanaugh. Supporting New Jersey’s claim were Justices Clarence Thomas, Elena Kagan, Neil Gorsuch and Amy Coney Barrett.
“FERC certificate holders to condemn all necessary rights-of-way, whether owned by private parties or States,” the opinion said. “Condemnation actions do not offend state sovereignty, because the States consented at the founding to the exercise of the federal eminent domain power.”
Gov. Phil Murphy had fought the proposal to build a 116-mile natural gas pipeline, repeating his call to transition New Jersey to 100% clean energy by 2050.
Murphy’s opposition to the pipeline project has come despite strong support from labor unions who want the jobs the PennEast project would bring the state.
The Trump administration had argued that the U.S. Court of Appeals for the Third Circuit was wrong to give jurisdiction over eminent domain to the states.
PennEast, which is pushing a $1 billion pipeline project, lost their bid to take public land at the appellate court level
Feigenbaum was a law clerk for Kagan.
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