Judges rule against Obama administration on offshore oil drilling moratorium

In his rebuttal, Gray told the court that the second moratorium was being planned by Interior regardless of how the court would rule on the stay.

Appearing before the court was Henry Dart, counsel for the state of Louisiana and Gov. Bobby Jindal, who also attended the hearing. Dart said the moratorium would be the “coup de grace” to Louisiana’s economy, following Hurricanes Katrina and Rita, the nationwide recession and the BP oil-rig fiasco. Asked by the court what the impact of a second blowout would be on the state, Dart replied, “Frankly I don’t know that it could make it worse.” Dart argued that Salazar failed to consult with Louisiana at all before issuing the moratorium, a violation of Title 43 U.S. Code 1334a.

In the 2-1 decision, the court turned down the administration’s application for the stay, saying “Secretary [Salazar] has failed to demonstrate a likelihood of irreparable injury if the stay is not granted; he has made no showing that there is any likelihood that drilling activities will be resumed pending appeal.”  The latter comment was a reference to the de facto moratorium which has been in place since the Deepwater Horizon rig exploded in April.  The decision allowed for the federal government to apply to the court for emergency relief should any deep-water rigs actually commence drilling before the full appeal is heard on an expedited calendar in the week of August 30.

Davis was joined in his decision by fellow Reagan appointee Jerry E. Smith. Dissenting was Clinton appointee James L. Dennis.

James Plummer is a freelance writer based in New Orleans.