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Supreme Court Clears Uinta Basin Railway in Win for Oil Transport

by Krystal

The U.S. Supreme Court has cleared the way for the controversial Uinta Basin Railway, ruling in favor of a limited interpretation of federal environmental review laws. The unanimous decision on Thursday marks a major step toward expanding oil transport from Utah’s remote Uinta Basin to national markets.

The project, backed by oil producers and several rural Utah counties, aims to connect the oil-rich region to the national rail system. This would enable shipments to refineries on the Gulf and West Coasts, potentially boosting crude production and transport volumes.

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At issue in the case was how far federal agencies must go in evaluating environmental consequences under the National Environmental Policy Act (NEPA). A lower court had blocked the project, arguing that the Surface Transportation Board (STB) failed to consider indirect effects, such as emissions from refining the oil and increased oil production.

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Writing for the court, Justice Brett Kavanaugh rejected that broader interpretation. He emphasized that NEPA is meant to guide agency decisions, not halt them.

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“Simply stated, NEPA is a procedural cross-check, not a substantive roadblock,” Kavanaugh wrote. “The goal of the law is to inform agency decisionmaking, not to paralyze it.”

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Supporters of the railway, including the STB, argue that environmental impacts were reviewed thoroughly. The agency imposed 91 mitigation measures to address concerns such as noise, wildlife disruption, and local pollution.

The ruling delivers a victory to the oil industry and the project’s backers. But opposition remains strong. Environmental groups and Colorado officials warn of increased wildfire risks, oil spills, and climate effects from the larger volumes of oil likely to be extracted and transported.

The decision also reflects a broader trend in Supreme Court rulings that favor limited regulatory authority. Earlier this year, the Court overturned the Chevron doctrine, which had long given federal agencies leeway in interpreting ambiguous laws. Together, these rulings signal a shift toward stricter judicial oversight of federal rulemaking.

Though the legal battle may be over, the Uinta Basin Railway still faces potential regulatory and political obstacles before construction begins. Opponents are expected to continue pushing for state and federal action to halt or delay the project.For now, the Supreme Court has removed the biggest legal hurdle, giving the railway a green signal to move forward.

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