Michigan lost a federal lawsuit over the Line 5 oil and gas pipeline on Wednesday.
The state has tried to shut down the more than 70-year-old pipeline that runs through the Straits of Mackinac since 2019 over concerns about the safety risk it could pose to the Great Lakes.
Over the years, the underwater pipeline’s protective coating has worn thin in some areas. In 2018, a tugboat anchor strike caused damage to the pipeline. In all cases, Enbridge Energy, the Canadian company that owns the pipeline, said there was no serious threat.
In the lawsuit decided Wednesday, Enbridge sought to stop the state from trying any further efforts to shut down the pipeline, which starts in Wisconsin, runs through Michigan's Upper Peninsula, the Straits of Mackinac, and Lower Peninsula, before ending in Ontario, Canada.
Enbridge argued the state couldn’t regulate Line 5 because the federal Pipeline Safety Act superseded any state policies.
Western District of Michigan Judge Robert Jonker agreed, despite acknowledging Michigan had an interest in the pipeline’s safety and protecting the environment.
“For better or worse, the national government has unequivocally decided to displace state power in this area and assume exclusive responsibility for interstate pipeline safety,” Jonker said in his order.
In a written statement, Enbridge spokesperson Ryan Duffy welcomed the decision.
“The Court affirmed that the Pipeline and Hazardous Materials Safety Administration (PHMSA) is the exclusive federal regulator of pipeline safety. PHMSA has taken no action against Line 5, underscoring its safe operation. Enbridge has always worked closely with PHMSA and will continue to do so,” Duffy said.
Another argument Enbridge raised in its lawsuit claimed Michigan’s attempts to close Line 5 violated the federal government’s ability to conduct foreign affairs. The company invoked a 1977 treaty between the U.S. and Canada to say the matter was an issue of U.S. foreign policy, not something Michigan could bypass.
Jonker found the state could not interfere with U.S. foreign relations.
“The United States has an express policy preference in favor of the uninterrupted flow of oil through international pipelines. And as shown by recent events, Defendants’ attempt to shutdown Line 5 produces far more than an 'incidental effect' that conflicts with that express federal foreign policy,” Jonker wrote.
In response to Wednesday’s decision, the state Attorney General’s office said it would evaluate its options alongside the governor and Department of Natural Resources leadership. Danny Wimmer is a spokesperson for Attorney General Dana Nessel.
“We are consulting with their offices for review of the opinion and determination of next steps, which could include efforts to appeal this ruling. From our own preliminary review, it appears this opinion is wrongly decided on the law and an affront to Michigan’s sovereign interests in managing the use and occupation of its submerged lands,” Wimmer said.
Despite the setback in this case, a separate lawsuit from the Attorney General’s office against Enbridge is still pending in state court -- though Enbridge is still trying to move that case to federal court. The U.S. Supreme Court could decide where the case lands.
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