Amicus Curiae Brief — Sunoco LP, et al., Petitioners v. City and County of Honolulu, Hawaii, et al.
Supreme Court briefApr 1, 2024
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Nos. 23-947, 23-952
In the Supreme Court of the United States
______________________
SUNOCO LP, ET AL.,
Petitioners,
v.
CITY AND COUNTY OF HONOLULU, HAWAII, ET AL.
Respondents.
______________________
SHELL PLC (fka ROYAL DUTCH SHELL PLC),
SHELL USA, INC. (fka SHELL OIL COMPANY),
AND SHELL OIL PRODUCTS COMPANY LLC,
Petitioners,
v.
CITY AND COUNTY OF HONOLULU, HAWAII, ET AL.
Respondents.
______________________
BRIEF OF AMICI CURIAE GENERAL
(RETIRED) RICHARD B. MYERS and
ADMIRAL (RETIRED) MICHAEL G.
MULLEN, IN SUPPORT OF PETITIONERS
_______________
On Petition for a Writ of Certiorari
to the Supreme Court of Hawaii
_______________
Tristan L. Duncan (Counsel of Record)
William F. Northrip
SHOOK, HARDY & BACON L.L.P.
2555 Grand Blvd.
Kansas City, MO 64108
(816) 474-6550
tlduncan@shb.com
Counsel for Amici Curiae
i
TABLE OF CONTENTS
Page
TABLE OF AUTHORITIES .................................... ii
INTEREST OF AMICI CURIAE ............................. 1
INTRODUCTION AND
SUMMARY OF THE ARGUMENT ................... 5
ARGUMENT .......................................................... 11
I. The Important National Security
Interests in the Crosshairs of These
Cases: An Historical Overview of the
Federal Government’s Role in the
Production and Sale of Oil and Gas............ 11
II. The Federal Government’s Efforts to
Ensure a Dependable, Abundant Supply
of Oil and Gas Continue to be Essential
to Its Conduct of Foreign Affairs and
Military Preparedness. ............................... 18
III.Our Nation’s Vital Interests in Fuel
Security and Climate Change Must be
Reconciled in a Uniform, National Way,
Which Will Not Occur If Petitioners Are
Subject to a Patchwork of State-Court
Actions Regarding Inter-state and
International Emissions.............................. 20
CONCLUSION ....................................................... 22
ii
TABLE OF AUTHORITIES
Page(s)
Cases
Am. Elec. Power Co. v. Conn.,
564 U.S. 410 (2011)................................................ 7
American Ins. Ass’n v. Garamendi,
539 U.S. 396 (2003)................................................ 9
Banco National de Cuba v. Sabbatino,
376 U.S. 398 (1964)................................................ 9
BMW of N. Am., Inc. v. Gore,
517 U.S. 559 (1996).............................................. 10
California ex rel. Brown v. Watt,
668 F.2d 1290 (D.C. Cir. 1981) ............................ 17
City of New York v. Chevron Corp.,
993 F.3d 81 (2d Cir. 2021) ..................... 3, 9, 20, 21
N. Car., ex rel. Cooper v. Tenn. Valley Auth.,
615 F.3d 291 (4th Cir. 2010) ............................... 10
Exxon Mobil Corp. v. United States,
2020 WL 5573048
(S.D. Tex. Sept. 16, 2020) ........................ 6, 7, 8, 15
Int’l Paper Co. v. Ouellette,
479 U.S. 481 (1987).............................................. 10
Kurns v. Railroad Friction Prods. Corp.,
565 U.S. 625 (2012).............................................. 10
iii
Shell Oil Co. v. United States,
751 F.3d 1282 (Fed. Cir. 2014) ............................ 14
United States v. Standard Oil Co. of Cal.,
332 U.S. 301 (1947).............................................. 10
Statutes
43 U.S.C. § 1802 ........................................................ 17
Defense Production Act of 1950,
Pub. L. No. 81–774 ........................................ 15, 17
Outer Continental Shelf Lands
Act of 1953, 43 U.S.C. § 1332(3) .............. 15, 17, 18
Trans-Alaska Pipeline Authorization
Act of 1973, Pub. L. No. 93-153,
§ 202(a), 87 Stat. 576, 584 (1973),
Pub. L. No. 93-153 ............................................... 16
Other Authorities
Annual Message to the Congress on the
State of the Union, 1 Pub. Papers 59
(Jan. 23, 1974)...................................................... 16
Def. Logistics Agency Energy, Fiscal
Year 2019 Fact Book (2019),
https://www.dla.mil/Portals/104/Doc
uments/Energy/Publications/FactBoo
kFiscalYear2019_highres.pdf?ver=20
20-01-21-103755-473 ........................................... 19
iv
Department of Energy, “Energy for the
Warfighter: The Department of
Defense Operational Energy
Strategy,” June 14, 2011,
https://www.energy.gov/articles/ener
gy-war-fighter-department-defenseoperational-energy-strategy .................................. 4
Energy Security Forum, Washington,
D.C., 13 October 2010,
https://www.dvidshub.net/news/5804
0/mullen-military-has-strategicimperative-save-resources ..................................... 8
H.R. Rep. No. 94-1084 (1976) ................................... 17
H.R. Rep. No. 95-590 (1977) ..................................... 18
Hearings Before Committee on Naval
Affairs of the House of
Representatives on Estimates
Submitted by the Secretary of the
Navy, 64th Cong. 761 (1915) ............................... 11
Ian O. Lessor, Resources and Strategy:
Vital Materials in International
Conflict 1600 – The Present (1989)................ 12, 13
Jay Hakes, A Declaration of Energy
Independence (2008) ............................................ 15
John W. Frey & H. Chandler Ide,
A History of the Petroleum
Administration for War, 1941-1945 (1946) ......... 14
v
National Petroleum Council, A National
Oil Policy for the United States (1949)................ 13
Nixon Message, N.Y. Times, Apr. 19, 1973 .............. 16
President Barack Obama, Remarks on
Energy at Andrews Air Force Base,
Maryland (Mar. 31, 2010).................................... 18
Press Secretary, White House Office of
Communications, Statement on
North Slope Oil Bill Signing
(Nov. 28, 1995), 1995 WL 699656 ....................... 18
Report of the Activities of the Joint
Committee on Defense Production, S. Rep.
No. 94-1, Pt. 1 (Jan. 17, 1975, 1st Sess.) ............. 17
Special Message to the Congress on the
Energy Crisis, 1 Pub. Papers 29
(Jan. 23, 1974)...................................................... 16
State of Delaware, ex rel., v BP America
Inc., et al., Superior Court of the
State of Delaware, C.A. No.
N20C-09-097, State of Delaware's
Application for Certification of
Interlocutory Appeal (Jan. 19, 2024) .................... 9
Statement By President George W. Bush
Upon Signing [H.R. 6111],
2 Pub. Papers 2217 (Dec. 20, 2006) ..................... 18
vi
Statement of Ralph K. Davies, Deputy
Petroleum Administrator of War,
Special Committee Investigating
Petroleum Resources, S. Res. 36
(Nov. 28, 1945) ..................................................... 13
Statement of Senator O’Mahoney,
Chairman, Special Committee
Investigating Petroleum Resources,
S. Res. 36 (Nov. 28, 1945) .................................... 14
U.S. Climate Lawsuits Endanger Military
and U.S. National Security Interests
by Robert Harward, Vice Admiral,
U.S. Navy Retired, American Military
News (April 20, 2023) at
https://americanmilitarynews.com/202
3/04/u-s-climate-lawsuits-endangermilitary-and-u-s-national-securityinterests/ .............................................................. 19
U.S. Energy Info. Admin., U.S. energy
facts explained (Apr. 27, 2020),
https://www.eia.gov/energyexplained/
us-energy-facts/imports-andexports.php .......................................................... 19
U.S. Gov't Accountability Off.,
GAO/RCED-87-75FS, Naval
Petroleum Reserves: Oil Sales
Procedures and Prices at Elk Hills,
April Through December 1986 (1987)................. 12
Yergin, THE PRIZE: THE EPIC QUEST FOR
OIL, MONEY & POWER (1991) ............................... 13
1
INTEREST OF AMICI CURIAE1
United States Air Force General (Retired) Richard
B. Myers was appointed Vice Chairman of the Joint
Chiefs of Staff by President Clinton in 2000 and was
appointed by President George W. Bush in 2001 to
become the 15th Chairman of the Joint Chiefs of
Staff. In that capacity, he served as the principal
military advisor to the United States President,
Secretary of Defense, and the National Security
Council. He served in that role until 2005. General
Myers joined the Air Force in 1965 through the ROTC
program at Kansas State University. He served in the
Vietnam War and had over 600 combat flying hours in
Vietnam. He has held numerous commands and
served in significant staff positions in the Air Force.
General Myers has received numerous awards and
decorations for his service, including the Legion of
Merit, the French Legion of Honor, and the
Presidential Medal of Freedom. He received his
fourth-star in 1997 and retired from active duty in
2005, after more than forty years of active
service. General Myers began serving as the Interim
President of Kansas State University in late April
2016, and was announced as the permanent President
on November 15, 2016. General Myers served as the
14th President of Kansas State University until his
retirement on February 11, 2022.
1 Pursuant to Rule 37.6, counsel for amici curiae certify that no
counsel for a party authored this brief in whole or in part, and no
party or party’s counsel contributed money that was intended to
fund preparing or submitting the brief. Amici curiae have accepted no payment for submission of this brief. All parties were
timely notified of the amici’s interest in filing this brief.
2
United States Navy Admiral (Retired) Michael G.
Mullen, served as the 17th Chairman of the Joint
Chiefs of Staff from 2007-2011 under both President
George W. Bush and President Obama. A graduate of
the United States Naval Academy in 1968, Admiral
Mullen served in the Vietnam War and commanded
his first ship, the USS Noxubee, from 1973-1975. He
earned a Master’s Degree in Operations Research in
1985 and, later that year, took command of the
guided-missile destroyer USS Goldsborough. In 1991,
Admiral Mullen participated in Harvard University’s
Advanced Executive Management graduate program.
He was promoted to Rear Admiral in 1997 and, in
1998, was named Director of Surface Warfare in the
office of the Chief of Naval Operations (CNO).
Admiral Mullen is one of only four naval officers who
has the distinction of receiving four, 4-Star
assignments. In 2003, Admiral Mullen was named
Vice Chief of Naval Operations and was tapped to
head the United States Naval Forces in Europe and
NATO’s Joint Force Command in Naples. He then was
appointed Chief of Naval Operations in 2005, and, in
2007, he was nominated by George W. Bush to be the
17th Chairman of the Joint Chiefs of Staff. Admiral
Mullen retired from this position in 2011 after serving
for four years under both a Republican and a
Democratic president.
The focus of this brief is not on the underlying
merits of the litigation. Amici express no view, and
take no position, on climate change policy. They
strongly believe these important national and
international policy issues should be addressed to
Congress and the Executive Branch, not adjudicated
piecemeal across the country in a multitude of state
courts. Instead, this brief provides a history of the
3
Federal Government’s role in the production and sale
of gasoline and diesel to ensure that the military is
“deployment-ready.” For more than a century,
petroleum products have been, and currently are,
essential for fueling the United States military
around the world. In amici’s view, the use of fossil
fuels was crucial to the success of the armed forces
when amici served as Chairmen of the Joint Chiefs of
Staff, and it remains crucial today.
In light of that concern, amici believe this
extensive history and their practical experience
demonstrate that these cases do not involve localized,
intra-state interests. Rather, the causation and
damages theories in these cases inextricably involve
worldwide impacts and core federal interests. City of
New York v. Chevron Corp., 993 F.3d 81, 92 (2d Cir.
2021) (Plaintiffs seek to hold petitioners liable “for the
effects of emissions made around the globe over the
past several hundred years.”); App.100a, 134a (¶¶ 1,
35) (The Honolulu Plaintiffs similarly allege that the
“production and use of [the energy companies’] fossil
fuel products create greenhouse gas pollution that
warms the planet and changes our climate” and that
“global warming” is “caused by [such] emissions,” for
which they seek significant damages and abatement
awards).
To be clear, it is not as though we believe anything
having to do with climate change presents a national
security concern. There are thousands of lawsuits
filed that may relate in some way to greenhouse gases,
and we do not feel the need to weigh in on the vast
majority of those lawsuits. But these climate change
cases are different. This subset of cases causes us
concern because of both its sheer scope and its
4
transparent attempt to substitute parochial
judgments for those of the national, elected and
appointed actors, to whom the Constitution commits
domestic and international policy-making for this
complex, multi-faceted world-wide issue. Therefore, to
assist the Court in understanding the importance of
granting review and why these cases cause significant
national security concerns, this brief first discusses
the
Federal
Government’s—particularly
the
military’s—historical control and direction of
Petitioners’ production and sale of petroleum
products.
The brief concludes with our perspective on the
practical realities presented by these cases and the
reasons we believe the writs of certiorari should be
granted. As former Chairmen of the Joint Chiefs of
Staff serving under both Democratic and Republican
administrations and with over 80 years of combined
service in the military, we can personally attest that
petroleum products produced by companies like
Petitioners have been critical to national security,
military preparedness, and combat missions. We are
not alone in this belief. Military commanders, like
General David Petraeus, universally emphasize that
“[e]nergy is the lifeblood of our warfighting
capabilities.”2 To ensure the military has a
dependable, abundant supply of the energy
indispensable to our Nation’s warfighting capacity,
this brief explains why, in our view, the climate
2 Quoted in Department of Energy, “Energy for the Warfighter:
The Department of Defense Operational Energy Strategy,”
June 14, 2011, https://www.energy.gov/articles/energy-warfighter-department-defense-operational-energy-strategy.
5
change issues at the heart of these civil damages suits
is a matter for Federal law, not state law.
While it is important to continue to look for
“greener” ways to fuel the military, the reality is the
U.S. military must always take into account its
enemies’ own fossil-fuel uses and potential superior
deployment abilities because of those uses. The
United States could go it alone and unilaterally strip
itself of higher-performing fossil fuels, but that risks
putting the Nation at a significant disadvantage. It
would weaken our armed forces while relatively
strengthening those of our adversaries. Stated
differently, achieving energy security is a prerequisite
for national security. As a result, reduction in fossilfuel use can be accomplished only through
comprehensive
international,
multi-lateral
negotiations and treaties led by the Legislative and
Executive branches. This is how reduction of nuclear
weapons was achieved during and following the Cold
War.
INTRODUCTION AND SUMMARY OF
THE ARGUMENT
This case centers on the global sale and
consumption of oil and gas products that are used by
virtually every person on the planet every single day.
Respondent seeks to impose ruinous liability on
Petitioners’ production and sale of these essential
products through claims brought under state law
around the country. Due to the extensive Federal
Government involvement in the development and
growth of the domestic oil and gas industry,
Respondent’s claims implicate uniquely federal
interests that are necessarily governed by federal law.
6
Oil and gas products are critical to national
security,
economic
stability
and
military
preparedness. For more than 100 years, the Federal
Government has actively encouraged – indeed it has
compelled – domestic exploration, production and sale
of oil and gas. As federal courts have recognized,
petroleum products have been “crucial to the national
defense,” including but by no means limited to “fuel
and diesel oil used in the Navy’s ships; and lubricating
oils used for various military machines.” Exxon Mobil
Corp. v. United States, 2020 WL 5573048, at *31 (S.D.
Tex. Sept. 16, 2020) (emphasis added); see also id. at
*47 (noting the “value of [the] petroleum industry’s
contribution to the nation’s military success”). The
Federal Government has incentivized and contracted
with Petitioners to obtain oil and gas products to
ensure a dependable, abundant supply of oil and gas
for the nation’s economic and military security.
In contrast to the Hawaii Supreme Court, the
United States Second Circuit Court of Appeals
recognized that “[i]t [wa]s precisely because fossil
fuels emit greenhouse gases – which collectively
‘exacerbate global warming’ – that the “plaintiff[]
[wa]s seeking damages.” Id. at 91, 97. “Consequently,
though the City’s lawsuit would regulate crossborder emissions in an indirect and roundabout
manner, it would regulate them nonetheless.” Id. at
93. Therefore, the court concluded that the city’s
“sprawling” claims, which – like plaintiffs’ claims
here – sought “damages for the cumulative impact of
conduct occurring simultaneously across just about
every jurisdiction on the planet” – were “simply
beyond the limits of state law.” Id. at 92.
7
We share the Second Circuit’s concerns. The
specter of huge and inconsistent damages awards
across the country is likely to trigger cascading effects,
gravely imperiling our military preparedness. Id. at
93-94 (citing Am. Elec. Power Co. v. Conn., 564 U.S. 410
(2011) at 427) (explaining that “[t]o permit this suit to
proceed under state law would further risk upsetting
the careful balance that has been struck between the
prevention of global warming, a project that necessarily requires national standards and global participation, on the one hand, and energy production,
economic growth, foreign policy, and national security,
on the other.” (emphasis added)). Because “states will
invariably differ in their assessment of the proper
balance between these national and international
objectives, there is a real risk that subjecting the
[energy companies’] global operations to a welter of
different states’ laws could undermine important
federal policy choices.” Id. The court concluded that
“[t]o hold the [energy company defendants]
accountable … would ... bypass the various diplomatic
channels that the United States uses to address this
issue.” Id. at 103.
In contrast, the state supreme court did not
address at all the “foreign policy concerns” that the
Second Circuit determined “foreclose” claims “targeting emissions emanating from beyond our national
borders.” Id. at 101. It did not address those foreign
affairs concerns because that court concluded
plaintiffs “d[id] not ask th[e] court to limit, cap, or
enjoin the production and sale of fossil fuels.”
App.40a. But from our perspective, this conclusion
blinks reality. As the Second Circuit explained
“regulation can be effectively exerted through an
award of damages.” Although “the City’s lawsuit
8
would regulate cross-border emissions in an indirect
and roundabout manner, it would regulate them
nonetheless.” Id. at 92-93.
It is precisely this “indirect and roundabout” de
facto regulation of available fuel sources that concerns
us. State tort damages and abatement cases unduly
risk constricting the availability of oil and gas to the
detriment of national security interests, at a critical
juncture in our Nation’s history, when geopolitical
forces and energy security are especially vulnerable to
belligerent nations. The availability of Petitioners’
fuel products remains crucial to the success of our
armed forces. As Admiral Mullen once put it, “[e]nergy
security needs to be one of the first things we think
about, before we deploy another soldier, before we
build another ship or plane, and before we buy or fill
another rucksack.”3 The Second Circuit correctly
recognized,
[t]o hold the [energy companies] accountable for
purely foreign activity … would require them to
internalize the costs of climate change and would
presumably affect the price and production of fossil fuels abroad. It would also bypass the various
diplomatic channels that the United States uses
to address this issue, such as the U.N. Framework and the Paris Agreement. Such an outcome
would obviously sow confusion and needlessly
complicate the nation’s foreign policy, while
clearly infringing on the prerogatives of the political branches.
3 Energy Security Forum, Washington, D.C., 13 October 2010,
https://www.dvidshub.net/news/58040/mullen-military-hasstrategic-imperative-save-resources.
9
City of New York, 993 F.3d at 103; American Ins. Ass’n
v. Garamendi, 539 U.S. 396, 413 (2003) (quoting
Banco National de Cuba v. Sabbatino, 376 U.S. 398
(1964), at 427 n.25) (“There is … no question that at
some point an exercise of state power that touches on
foreign relations must yield to the National
Government’s policy, given the ‘concern for uniformity
in this country’s dealings with foreign nations’ that
animated the Constitution’s allocation of the foreign
relations power to the National Government in the
first place.”).
And while Respondents may argue that their case
is only about commercial speech and warnings to
consumers – and is not about stopping the sale of fossil
fuels – the reality is their theory of causation and the
relief they seek is not so limited.4 “[R]egulation can be
4 Indeed, in the related Delaware climate change case, Respond-
ent’s counsel, who represents many states and municipalities in
these cases, argued for certification of an interlocutory appeal to
the Delaware Supreme Court of the state trial court’s Order dismissing all of Delaware’s claims predicated on out-of-state emissions as preempted by federal law. Respondent’s counsel admitted that limiting the case to in-state emissions would significantly shrink the scope of the case: “The Order’s CAA preemption
ruling, which precludes tort liability insofar as it involves out-ofstate emissions, fundamentally constrains the State’s theory and
proof of its case. Whereas the State originally set out to prove
that Defendants’ [alleged violations of state law] injured the
State by increasing emissions in Delaware and elsewhere (italics
in the original), it must now prevail on a far narrower path to
liability, causation and damages, namely that Defendants’ tortious conduct caused in-state impacts by increasing exclusively
in-state emissions (italics in the original). The Order potentially
drastically limits the State’s ultimate damages claim, ...” State
of Delaware, ex rel., v BP America Inc., et al., Superior Court of
10
effectively exerted through an award of damages,”
Kurns v. Railroad Friction Prods. Corp., 565 U.S. 625,
637 (2012) (cleaned up), and “[s]tate power” can be
wielded as much by the “application of a state rule of
law in a civil lawsuit as by a statute,” BMW of N. Am.,
Inc. v. Gore, 517 U.S. 559, 572 n.17 (1996).
Environmental tort claims force defendants “to
change [their] methods of doing business.” Int’l Paper
Co. v. Ouellette, 479 U.S. 481, at 495 (1987). Allowing
Respondent to obtain its requested sweeping relief,
therefore, “would encourage courts to use vague public
nuisance standards to scuttle the nation’s carefully
created system for accommodating the need for energy
production and the need for clean air. The result
would be a balkanization of clean air regulations and
a confused patchwork of standards, to the detriment
of industry and the environment alike.” N. Car., ex rel.
Cooper v. Tenn. Valley Auth., 615 F.3d 291, 301 (4th
Cir. 2010) see also United States v. Standard Oil Co.
of Cal., 332 U.S. 301, 311 (1947).
Because Respondent’s Complaint seeks to penalize
Petitioners for their lawful past, present and future
sale of oil and gas, it risks making them prohibitively
costly and scarce. Their claims, therefore, necessarily
cause national security concerns. This amicus brief
provides an historical background of the Federal
Government’s oversight and control of the oil and gas
industry, and an explanation of how these state court
the State of Delaware, C.A. No. N20C-09-097, State of Delaware’s Application for Certification of Interlocutory Appeal (Jan.
19, 2024), at p. 15.
11
damages and abatement suits imperil our nation’s
ability to be “deployment-ready.”
ARGUMENT
For more than a century, and to this day, the
Federal Government has incentivized, compelled and
controlled aspects of United States oil and gas sales
and has reserved rights to take additional control for
the benefit of the nation’s defense, security, and
economy. The Federal Government has required and
otherwise been inextricably involved in the
development of the nation’s oil resources both for
governmental use and the use of billions of consumers.
Respondent’s claims arising from the production and
sale of oil and gas necessarily implicate the Federal
Government’s actions and policy choices, including
the extensive history of federal laws, contracts and
leases that supported and controlled significant
portions of our nation’s fuel supply.
I.
The Important National Security
Interests in the Crosshairs of These
Cases: An Historical Overview of
the Federal Government’s Role in
the Production and Sale of Oil and
Gas.
More than a century ago, in 1910, President Taft
implored Congress to develop domestic oil sources:
“As not only the largest owner of oil lands, but as a
prospective large consumer of oil by reason of the
increasing use of fuel oil by the Navy, the Federal
Government is directly concerned both in encouraging
rational development and at the same time insuring
the longest possible life to the oil supply.” Hearings
Before Committee on Naval Affairs of the House of
12
Representatives on Estimates Submitted by the
Secretary of the Navy, 64th Cong. 761 (1915).
Within two years, on September 2, 1912, President
Taft established by Executive Order the first "Naval
Petroleum Reserve" at Elk Hills, California, taking
the extraordinary step of withdrawing large portions
of land from eligibility for private ownership and
designating them for the development of fuel
resources to ensure the United States Navy would
remain deployment-ready in the event of war. See
U.S. Gov’t Accountability Off., GAO/RCED-87-75FS,
Naval Petroleum Reserves: Oil Sales Procedures and
Prices at Elk Hills, April Through December 1986, at
3 (1987) (“GAO Fact Sheet”).5
The defining characteristic of World War I was
mechanization (i.e., the emergence of tanks, aircraft,
and submarines), and accordingly “oil and its products
began to rank as among the principal agents by which
the Allies would conduct war and by which they could
win it.’” Ian O. Lessor, Resources and Strategy: Vital
Materials in International Conflict 1600 – The Present
(1989) at 42. The necessity was echoed among the
Allies, as British Cabinet Minister Walter Long
expressed in an address to the House of Commons in
1917:
Oil is probably more important at this moment
than anything else. You may have men, munitions, and money, but if you do not have oil, …
all your other advantages would be of comparatively little value.
5 http://www.gao.gov/assets/90/87497.pdf
13
Yergin, THE PRIZE: THE EPIC QUEST FOR OIL, MONEY
& POWER (1991) at 177.
By 1917, American oil was vital for war efforts. As
the Admiralty Director of Stores stated, “[W]ithout
the aid of oil from America our modern oil-burning
fleet cannot keep the sea.” Lessor, Resources and
Strategy at 43. In response to the Allies’ cry for help,
the United States provided over 80 percent of the
Allied requirements for petroleum products and
greatly influenced the outcome of the war. Id.
(explaining that “petrol … is as necessary as blood in
the battles of tomorrow”) (quoting Clemenceau’s letter
to President Wilson)).
World War II confirmed petroleum’s role as a key
American resource and underscored the government’s
interest in maintaining and managing it. Statement
of Ralph K. Davies, Deputy Petroleum Administrator
of War, Special Committee Investigating Petroleum
Resources, S. Res. 36, at 4 (Nov. 28, 1945) (“Our
overseas forces required nearly twice as many tons of
oil as arms and armament, ammunition,
transportation and construction equipment, food,
clothing, shelter, medical supplies, and all other
materials together. In both essentiality and quantity,
oil has become the greatest of all munitions.”);
National Petroleum Council, A National Oil Policy for
the United States at 1 (1949) (“A prime weapon of
victory in two world wars, [oil] is a bulwark of our
national security.”).
In 1941, as the United States prepared to enter
World War II, its need for large quantities of oil and
gas to produce high-octane fuel for planes (“avgas”),
oil for ships, lubricants, and synthetic rubber far
outstripped the nation’s capacity. Given the role
14
played by strategic bombers, small attack bombers,
fighters, and search and rescue aircraft, Avgas was
particularly essential to the war effort in both Europe
and the Pacific. It is fair to describe it as the most
critically needed petroleum product during the War.
And it has continued being essential up to today. To
insure its supply, the Federal Government created
agencies to control petroleum production and
distribution; it directed the production of certain
petroleum products; and it managed resources.
In 1942, President Roosevelt established several
agencies to oversee wartime petroleum production,
including the War Production Board (“WPB”) and the
Petroleum Administration for War (“PAW”). The
PAW centralized the government’s petroleum-related
activities. The PAW dictated products, quantity and
quality to America’s oil refiners. See John W. Frey
& H. Chandler Ide, A History of the Petroleum
Administration for War, 1941-1945, at 219 (1946)).
At the direction of the Federal Government, the oil
companies increased avgas production “over twelvefold from approximately 40,000 barrels per day in
December 1941 to 514,000 barrels per day in 1945,
[which] was crucial to Allied success in the war.” Shell
Oil Co. v. United States, 751 F.3d 1282, 1285 (Fed. Cir.
2014). “No one who knows even the slightest bit about
what the petroleum industry contributed … can fail to
understand that it was, without the slightest doubt,
one of the most effective arms of this Government” in
fulfilling the government’s core defense functions.
Statement of Senator O’Mahoney, Chairman, Special
Committee Investigating Petroleum Resources, S.
Res. 36, at 1 (Nov. 28, 1945) (emphasis added).
15
In 1950, President Truman, established the
Petroleum Administration for Defense (“PAD”) under
authority of the Defense Production Act of 1950, Pub.
L. No. 81–774 (“DPA”). The PAD ordered production
of oil and gas to ensure adequate quantities of avgas
for military use. Exxon, 2020 WL 5573048, at *28; see
also id. at *15 (detailing the government’s use of the
Defense Production Act of 1950 to “force” the
petroleum industry to “increase [its] production of
wartime . . . petroleum products”).
To further promote domestic oil and gas production
in 1953, Congress passed the Outer Continental Shelf
Lands Act (“OCSLA”), directing the U.S. Department
of the Interior to make nearly 27 million acres of the
OCS available for “expeditious and orderly
development” of fossil fuel production. 43 U.S.C.
§1332(3).
During the Cold War, the U.S. military
commanded the development of more innovative
military fuels and continued its role as the driving
force behind domestic production. During the 1960s,
U.S. energy consumption increased 51%, compared to
only 36% during the previous decade. Jay Hakes, A
Declaration of Energy Independence at 17 (2008). As
demand continued to climb into the early 1970s, the
Nation faced a precarious shortage of oil and gas.
To avert a national energy crisis, in 1973,
President Nixon ordered a dramatic increase in
development for ready-production from the OCS:
Approximately half of the oil and gas resources
in this country are located on public lands,
primarily on the Outer Continental Shelf
[OCS]. The speed at which we can increase our
16
domestic energy production will depend in
large measure on how rapidly these resources
can be developed. I am therefore directing the
Secretary of the Interior to take steps which
would triple the annual acreage leased on the
Outer Continental Shelf by 1979 ….
Nixon Message, N.Y. Times, Apr. 19, 1973.6
Also in 1973, President Nixon announced a goal of
energy independence by 1980. Annual Message to the
Congress on the State of the Union, 1 Pub. Papers 59
(Jan. 23, 1974).7
“Project Independence 1980”
ordered, among other things, that the Secretary of the
Interior “increase the acreage leased on the [OCS] to
10 million acres beginning in 1975, more than tripling
what had originally been planned.” Special Message
to the Congress on the Energy Crisis, 1 Pub. Papers
29 (Jan. 23, 1974).8
Congress passed the Trans-Alaska Pipeline
Authorization Act of 1973, determining that it was in
the “national interest” to deliver oil and gas from
Alaska’s North Slope “to domestic markets … because
of growing domestic shortages and increasing
dependence upon insecure foreign sources.” TransAlaska Pipeline Authorization Act, Pub. L. No. 93153, § 202(a), 87 Stat. 576, 584 (1973), Pub. L. No. 93153, at
https://www.govinfo.gov/content/pkg/
STATUTE-87/pdf/STATUTE-87-Pg576.pdf.
6 https://www.nytimes.com/1973/04/19/archives/excerpts-from-
nixon-message-developing-our-domestic-energy.html.
7 https://quod.lib.umich.edu/p/ppotpus/4731948.1974.001/99?view=image&size=100
8 https://quod.lib.umich.edu/p/ppotpus/4731948.1974.001/69
17
To address “immediate and critical” petroleum
shortages in the military brought by the 1973 OPEC
Oil Embargo, the Federal Government invoked the
DPA to bolster its reserves with additional petroleum
from domestic oil and gas companies. Twenty-Fourth
Annual Report of the Activities of the Joint
Committee on Defense Production, S. Rep. No. 94-1,
Pt. 1, at 442 (Jan. 17, 1975, 1st Sess.).
In 1974, responding to President Nixon’s direction
to “increase the acreage leased on the Outer
Continental Shelf”, Congress amended OCSLA. This
amendment increased federal control over lessees “to
result in expedited exploration and development of
the Outer Continental Shelf in order to achieve
national economic and energy policy goals, assure
national security, reduce dependence on foreign
sources, and maintain a favorable balance of
payments in world trade.” California ex rel. Brown v.
Watt, 668 F.2d 1290, 1296 (D.C. Cir. 1981) (quoting 43
U.S.C. § 1802); see also Special Message to the
Congress on the Energy Crisis, 1 Pub. Papers 29 (Jan.
23, 1974).9
In 1978, as part of amendments to OCSLA, the
Congressional Ad Hoc Select Committee on the OCS
concluded again that “alternative sources of energy
will not be commercially practical for years to come,”
H.R. Rep. No. 94-1084, at 254 (1976) and
“[d]evelopment of our OCS resources will afford us
needed time—as much as a generation—within which
9https://quod.lib.umich.edu/p/ppot-
pus/4731948.1974.001?rgn=main;view=fulltext.
18
to develop alternative sources of energy.” H.R. Rep.
No. 95-590, at 53 (1977).
II.
The Federal Government’s Efforts
to Ensure a Dependable, Abundant
Supply of Oil and Gas Continue to
be Essential to Its Conduct of Foreign Affairs and Military Preparedness.
In 1995, Congress and President Bill Clinton
amended OCSLA to permit the Secretary of the
Interior to “unlock an estimated 15 billion barrels of
oil in the central and western Gulf of Mexico” for
exploration, production and sale. Press Secretary,
White House Office of Communications, Statement on
North Slope Oil Bill Signing (Nov. 28, 1995), 1995 WL
699656, at *1.
Federal promotion and use of domestic oil continued to grow in the 2000s. In 2006, the Bush administration opened leases of approximately 8 million additional acres of OCS lands in the Gulf of Mexico to
“address high energy prices, protect American jobs,
and reduce our dependence on foreign oil.” Statement
By President George W. Bush Upon Signing [H.R.
6111], 2 Pub. Papers 2217 (Dec. 20, 2006)(emphasis
added).10
In 2010, President Obama “announc[ed] the
expansion of offshore oil and gas exploration,”
explaining “in order to sustain economic growth,
produce jobs, and keep our businesses competitive, we
are going to need to harness traditional sources of fuel
even as we ramp up production of new sources of
10 https://books.google.com/books?id=o2ei8yOph-
boC&printsec=frontcover#v=onepage&q&f=false.
19
renewable, homegrown energy.” President Barack
Obama, Remarks on Energy at Andrews Air Force
Base, Maryland (Mar. 31, 2010)(emphasis added).11
In 2019, the United States became a net total
energy exporter for the first time since 1952. U.S.
Energy Info. Admin., U.S. energy facts explained
(Apr. 27, 2020), https://www.eia.gov/energyexplained/
us-energy-facts/imports-and-exports.php.
The
Department of Defense alone purchased 94.2 million
barrels of military-spec compliant fuel products,
totaling $12.1 billion in procurement actions.12 And
even today, as former Vice Admiral Robert Harward
reports, “energy manufacturers are answering
President Biden’s directive to export natural gas to
our allies in Europe. For example, the U.S. has been
able to respond to Russia’s chokehold of the European
energy market by increasing shipments of liquefied
natural gas and crude oil by 137 percent and 38
percent, respectively.”13
When Respondent’s Complaint is viewed within
the historical context of the Federal Government’s
pervasive control and direction of oil and gas
11 https://obamawhitehouse.archives.gov/the-press-office/re-
marks-president-energy-security-andrews-air-force-base3312010
12 Def. Logistics Agency Energy, Fiscal Year 2019 Fact Book
(2019) at 4, 27, https://www.dla.mil/Portals/104/Documents/Energy/Publications/FactBookFiscalYear2019_highres.pdf?ver=2020-01-21-103755-473.
13 U.S. Climate Lawsuits Endanger Military and U.S. National
Security Interests by Robert Harward, Vice Admiral, U.S. Navy
Retired, American Military News (April 20, 2023) at
https://americanmilitarynews.com/2023/04/u-s-climate-lawsuits-endanger-military-and-u-s-national-security-interests/
20
production, it is clear Respondent’s state law claims
seek to undercut these national and international
policies and actions governing the sale of oil and gas
and trigger national security concerns for a reliable
and stable energy supply.
III.
Our Nation’s Vital Interests in Fuel
Security and Climate Change Must
be Reconciled in a Uniform, National Way, Which Will Not Occur If
Petitioners Are Subject to a Patchwork of State-Court Actions Regarding Inter-state and International Emissions.
At the end of the day, we are concerned that the
upshot of this litigation and the broad relief it seeks
would negatively impact strong national interests in
fuel security and military readiness. Fuel security is a
crucial national interest and is especially critical to
the U.S. military, in times of both war and peace, to
power ships, tanks, and aircraft, provide energy to run
bases, stations, and detachments, and enable
numerous operations. It should thus come as no
surprise that the US military is the single largest
purchaser and consumer of fuel in the United States.
Climate change is likewise an issue of critical
national (indeed, global) importance. Greenhouse-gas
emissions are a form of transboundary air pollution
and thus present a matter of uniquely federal concern,
rather than a State or local matter. See City of New
York, 993 F.3d at 85-86 (2d Cir. 2021) (“Global
warming presents a uniquely international problem of
national concern. It is therefore not well-suited to the
application of state law.”).
21
Litigating Plaintiff’s claims against Defendants in
a decentralized way under various states’ laws will
undermine these vital national interests and
undermine a reliable domestic, fuel supply. It would
subject Defendants to potential liability and
injunctions under a patchwork of state laws, without
a uniform guide. Courts have recognized that this
would “risk upsetting the careful balance that has
been struck between the prevention of global
warming, a project that necessarily requires national
standards and global participation, on the one hand,
and energy production, economic growth, foreign
policy, and national security, on the other.” City of
New York, 993 F.3d at 93; see also id. (“And as states
will invariably differ in their assessment of the proper
balance between these national and international
objectives, there is a real risk that subjecting the
Producers’ global operations to a welter of different
states’ laws could undermine important federal policy
choices.”).
To be sure, the United States Military continues to
look for “greener” ways to fuel the military, and we
support ameliorating climate change risks at our
bases, but the reality is the U.S. military must always
take into account its enemies’ own fossil-fuel uses and
potential superior deployment abilities because of
those uses. The United States could go it alone and
unilaterally strip itself of higher-performing fossil
fuels, but that risks putting the Nation at a significant
competitive disadvantage, militarily and otherwise.
The ruinous damages these cases seek risk kneecapping this country while empowering others who
seek to exploit just such vulnerabilities. Stated
differently, energy security and national security go
22
hand-in-hand; we cannot achieve national security
without first accomplishing energy security.
At bottom, our experience has taught us that
private-sector production and sale of oil and gas are
essential to our military operations and thus our
national security. Our Constitutional oath includes
our commitment to “support and defend the
Constitution of the United States against all enemies,
foreign and domestic,” which necessarily includes a
commitment to ensure the military has sufficient fuel
to accomplish its missions. In order to adhere to that
oath, it is the duty of military officers to enable a
plentiful supply of fuel to operate vehicles, ships, and
planes. Because energy is essential to protect our
Nation, its people, and the world at large, the decision
of how much is appropriate must be left with the
Federal Government and the branches of the Federal
Government tasked with our foreign policy and
national security.
CONCLUSION
The Shell (Dkt. No. 93-952) and Sunoco LP, et. al.
(Dkt. No. 23-947) writs of certiorari should be granted.
Respectfully submitted,
Tristan L. Duncan
(Counsel of Record)
William F. Northrip
SHOOK, HARDY & BACON L.L.P.
2555 Grand Blvd.
Kansas City MO 64108
(816) 474-6550
tlduncan@shb.com
Dated: April 1, 2024
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.