East Tennessee Group v. FERC
CourtCourt of Appeals for the D.C. Circuit
Date FiledAugust 28, 2026
Docket24-1253
StatusPublished
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Full Opinion
United States Court of Appeals
FOR THE DISTRICT OF COLUMBIA CIRCUIT
Argued December 18, 2025 Decided August 28, 2026
No. 24-1253
EAST TENNESSEE GROUP,
PETITIONER
v.
FEDERAL ENERGY REGULATORY COMMISSION,
RESPONDENT
EAST TENNESSEE NATURAL GAS, LLC,
INTERVENOR
Consolidated with 25-1072
On Petitions for Review of Orders of the
Federal Energy Regulatory Commission
Ryan J. Regula argued the cause for petitioner. With him
on the briefs was Kelly A. Daly.
Scott R. Ediger, Attorney, Federal Energy Regulatory
Commission, argued the cause for respondent. With him on
the brief were David L. Morenoff, Deputy General Counsel,
and Robert H. Solomon, Solicitor.
2
Joshua S. Johnson argued the cause for respondent-
intervenor. With him on the brief were Jeremy C. Marwell,
Andrew N. Beach, and James D. Seegers.
Before: MILLETT, KATSAS and CHILDS, Circuit Judges.
Opinion for the Court filed by Circuit Judge CHILDS.
CHILDS, Circuit Judge: Symbols of our nation’s
interconnectivity come in many forms. One of these is our
energy system, embodied in the copious pipelines and grids
crisscrossing these United States. When it works well, our
energy system is a Möbius strip, seamlessly connected and
fluidly running between cities and states. The success of these
grids and lines results from a daily exercise in public and
private collaboration, led in part by the work of the Federal
Energy Regulatory Commission. Our role today is to smooth
a dispute between these participants about the procedure that
was used to approve some improvements to this unified
system.
A natural gas company, East Tennessee Natural Gas, LLC,
sought permission from the Federal Energy Regulatory
Commission to improve its pipeline services and facilities and
increase its customer service rates to account for these
improvements. A collective of the company’s customers,
known as East Tennessee Group, protested. When the agency
granted East Tennessee Natural Gas’s requests, the customers
came to us to challenge the lawfulness of the agency
proceedings. In particular, they challenge the adequacy of the
Federal Energy Regulatory Commission’s responses to their
requests for data. The heartbeat of East Tennessee Group’s
challenge is that, despite receiving the data they requested, the
agency’s tardiness in providing that data still violated their
procedural due process rights in the agency proceeding. On
3
that basis, and others, East Tennessee Group petitions for
vacatur of the agency’s resulting orders. We deny the
petitions.
I.
A.
Congress enacted the Natural Gas Act, Pub. L. No. 75–688,
52 Stat. 821 (1938) (codified as amended at 15 U.S.C. §§ 717–
717z), to regulate the transportation and sale of natural gas in
interstate commerce. PennEast Pipeline Co., LLC v. New
Jersey, 594 U.S. 482, 489 (2021). Congress vested the
Federal Energy Regulatory Commission (FERC or
Commission) with a connected authority to regulate the
“construction, extension, or abandonment of” natural gas
facilities under Section 7 of the Natural Gas Act. 15 U.S.C.
§ 717f. To obtain pipeline construction permissions, natural
gas companies must initiate proceedings before FERC, and
their applications are reviewed by the Commission. See id.
§ 717f(c), (d).
Before constructing facilities, a natural gas company must
seek permission from FERC in the form of a Certificate of
Public Convenience and Necessity (Certificate). Id.
§ 717f(c). The Commission may grant a “qualified applicant”
a Certificate subject to certain conditions, including that the
“proposed . . . construction . . . authorized by the certificate, is
or will be required by the present or future public convenience
and necessity.” Id. § 717f(e). Similarly, to abandon facilities
they must also seek FERC’s permission, and it may be granted
if “the present or future public convenience or necessity permit
such abandonment.” Id. § 717f(b).
Although a natural gas company is obligated to include
several exhibits for the Commission’s review, only one set of
4
exhibits is relevant to this dispute: the “Exhibit Gs.” 1 See 18
C.F.R. § 157.14(a)(8)–(10). These exhibits pertain to the flow
data of the energy source involved in the certificate application,
in this case natural gas. Like other natural gas data, the
Exhibit Gs can contain what is known as “Critical Energy
Infrastructure Information.” Id. § 388.113(c)(2). FERC
regulation defines Critical Energy Infrastructure Information
as national security sensitive information depicting “specific
engineering, vulnerability, or detailed design information
about proposed or existing critical infrastructure.” Id. FERC
strictly controls public access to this information and provides
it only upon request. See id. §§ 388.113(g). By FERC
regulation, any such request must include a signed non-
disclosure agreement, a detailed statement of need for the
requested Critical Energy Infrastructure Information, and the
requester’s contact information. Id. § 388.113(g)(5)(i).
Following receipt of that request, FERC determines whether,
and under what conditions, it will release the Critical Energy
Infrastructure Information. Id. § 388.113(g)(5)(iii).
The undercurrent of the challenge before us is the
timeliness of FERC’s provision of natural gas pipeline Critical
Energy Infrastructure Information to a requester.
1
“Exhibit G” contains “[f]low diagrams” that show the daily
capacity of the current facilities and their operation “with and
without proposed facilities added.” 18 C.F.R. § 157.14(a)(8).
“Exhibit G-I” contains additional flow diagrams depicting “the
maximum deliveries” of the energy that the “applicant’s existing and
proposed facilities” can achieve under favorable operating
conditions. Id. § 157.14(a)(9). “Exhibit G-II” is “a statement of
engineering design data in explanation and support of the diagrams
and the proposed project.” Id. § 157.14(a)(10).
5
B.
1.
East Tennessee Natural Gas (Pipeline) is a “natural gas
company” that is “engaged in the transportation of natural gas
in interstate commerce.” 15 U.S.C. § 717a(1), (6). It is the
owner and operator of a natural gas pipeline that crosses
several states, including Georgia, North Carolina, Tennessee,
and Virginia. In the spring of 2023, the Pipeline submitted to
FERC an application for permission under Section 7 of the
Natural Gas Act for both a Certificate of Public Convenience
and Necessity and also for permission to abandon facilities
(certificate proceedings). Id. § 717f(b), (c); J.A. 33, 37. The
Pipeline’s application sought to construct and then operate
miles of new cross-county natural gas pipeline and facilities; it
also sought to test, upgrade, and replace its current facilities
(System Alignment Program).
The Pipeline contended that the System Alignment
Program meets FERC’s statutory and policy requirements for
a Certificate. The Pipeline reported that construction was
necessary to address the changes in its customers’ usage of
natural gas, which had resulted in shortfalls in the natural gas
available in certain parts of its system, and the Pipeline further
represented that ordinary alternative methods were no longer
effective to serve those changed needs. To further bolster the
necessity of the System Alignment Program, the Pipeline’s
application contained representations of energy flow data,
including all the Exhibit Gs. The entire volume of the
Pipeline’s application that contained the Exhibit Gs was
withheld from the public certificate proceeding docket, as it
contained Critical Energy Infrastructure Information.
Of course, the System Alignment Program and all its
benefits have a price tag, and because the Pipeline proposed
6
that the System Alignment Program was one “designed” to
benefit “existing customers,” its customers would help foot the
bill. J.A. 38. The Pipeline thus asked the Commission for a
“pre-determination” to roll the costs of the System Alignment
Program into its service rate, with the rate to be determined in
a future proceeding.
East Tennessee Group (Customers) is an association of
these affected customers, each of whom is a retail distributor
of natural gas, and each has contracts to receive natural gas
through the Pipeline’s transportation system. The Customers
intervened and also protested in the certificate proceedings for
the System Alignment Program, requesting that the certificate
be denied. See 18 C.F.R. § 157.10; J.A. 5. The Customers
argued: (1) there were more cost-effective alternatives to the
System Alignment Program; (2) there was insufficient
evidence to show that the System Alignment Program was
responsive to changes in customers’ energy service needs; and
(3) there was insufficient justification for the Commission to
pre-determine that the Pipeline could roll the costs of the
System Alignment Program into future customer service rates.
Of course, the Customers were concerned about the prospect
of paying, even in part, for a project that would cost hundreds
of millions of dollars. Yet the Customers also searched for
record evidence of the need for such an extensive, expensive
project.
The Pipeline answered the protests, in part challenging the
Customers’ assertions about the fairness of the rolled-in rate
and the necessity of the System Alignment Program. It
contested the Customers’ argument that there was a lack of
flow data to show that the System Alignment Program was
necessary to continue uninterrupted services. Pointing to its
flow data, among other things, the Pipeline argued that there
7
was sufficient evidence in the record to support the program’s
necessity.
As filings continued to be made on the docket, FERC
began its own work. FERC’s Office of Energy Projects
requested troves of supplemental information from the
Pipeline. Of these requests, several pertained to receiving
additional pipeline flow data to assess the necessity of the
System Alignment Program. All productions from the
Pipeline pertaining to flow data were withheld from the public
docket as Critical Energy Infrastructure Information.
After the parties made their submissions and the hearing
concluded, the Commission issued its order granting the
Pipeline a Certificate of Public Convenience and Necessity and
approving the Pipeline’s request for facility abandonment
(Certificate Order). 2 E. Tenn. Nat. Gas, LLC, 186 FERC
¶ 61,210 (2024). The Commission found that the System
Alignment Program, and the proposed rolled-in rate, complied
with the Natural Gas Act and the Commission’s Certificate
Policy Statement. 3
2
One Commissioner dissented in part from the Certificate Order;
her analysis, pertaining to Section 7 of the Endangered Species Act,
16 U.S.C. § 1536, is not relevant to this dispute.
3
The Commission relies on the criteria in guidance documents,
known as “policy statements,” to make determinations about these
applications. Certification of New Interstate Natural Gas Pipeline
Facilities, 88 FERC ¶ 61,227 (Sept. 15, 1999), clarified, 90 FERC
¶ 61,128 (Feb. 9, 2000), further clarified, 92 FERC ¶ 61,094 (July
28, 2000) (collectively, Certificate Policy Statement). When it was
necessitated by the record, this court has reviewed challenges to the
Commission’s interpretations of the Certificate Policy Statement.
See, e.g., Minisink Residents for Env’t Pres. & Safety v. FERC, 762
F.3d 97, 106–11 (D.C. Cir. 2014).
8
Critically, in so finding, the Commission identified,
expanded upon, and addressed the arguments of the Customers
in great detail. The Commission found that, when considering
the evidence, there was sufficient explanation about why the
Pipeline’s alternative measures could no longer serve its
customers as its private and public obligations required. E.
Tenn. Nat. Gas, LLC, 186 FERC ¶ 61,210, at P 15–16.
Importantly, the Commission noted the Exhibit Gs and the
Pipeline’s supplemental data productions when it determined
that the System Alignment Program was needed for the
Pipeline to continue uninterrupted service. Id. at P 14 & n.71,
15 & nn.72, 74–78, P 16 & nn.79–82. The Commission
additionally found that the rolled-in rate treatment was
appropriate because, among other things, the System
Alignment Program would ensure that the Pipeline could
“continue to provide reliable service to its customers.” Id. at
P 21. The Commission specifically noted that any objections
to the fairness of the rolled-in rate could be addressed in a
future proceeding under Section 4 of the Natural Gas Act. 4 Id.
2.
In April of 2024, the Customers filed a petition for
rehearing. J.A. 19. In their petition, the Customers
explained that they had requested “a timely copy” of the
Pipeline’s “Form 567 System Flow Diagram,” which they
believed was being improperly withheld by FERC. J.A. 242–
4
Under Section 4 of the Natural Gas Act, 15 U.S.C. § 717c,
pipelines “initiate proceedings to set or modify permanent rates.”
Mo. Pub. Serv. Comm’n v. FERC, 601 F.3d 581, 583 (D.C. Cir.
2010). There, the Commission considers challenges to the fairness
of service rates. See 15 U.S.C. § 717c(a)–(b); see also BNP Paribas
Energy Trading GP v. FERC, 743 F.3d 264, 267 (D.C. Cir. 2014)
(“The Natural Gas Act requires that rates be just and reasonable and
not unduly discriminatory.” (citing id.))
9
43. In the Customers’ view, their outstanding request thus
precluded the Commission from lawfully issuing the
Certificate Order. J.A. 243.
To that end, the Customers specified two errors in their
petition. See 18 C.F.R. § 385.713(c); J.A. 241. First, that the
Commission erred in making a premature decision, specifically
one made before the Customers were “provided access to
critical information and documents essential to [their] ability to
meaningfully participate” in the certificate proceedings. J.A.
241. Second, that the Commission erred in concluding
“substantial evidence” supported “its decision when,” in the
Customers’ view “not all information had been made available
for the parties to examine and to test the validity” of the
Pipeline’s assertions in its Certificate application. J.A. 241.
As a result, the Customers argued the Certificate Order was
unlawful because it was arbitrary and capricious and violated
the Customers’ due process rights.
a.
According to the certificate proceeding docket, the
Customers’ petition for rehearing was the first time they ever
mentioned their data request. So to understand the
Customers’ rehearing challenge, we must take a step back in
time. In June of 2023, Rick Smead, of RBN Energy LLC, who
stated he was “supporting” the Customers, reached out to a
representative for the Pipeline. P.A. 63. Smead asked for “a
copy” of the Pipeline’s 2022 “Form 567 system flow diagram
that was just filed at the Commission.” P.A. 63.
Form No. 567 is an annually required set of diagrams that
natural gas pipelines provide to FERC to “reflect[] operating
conditions on its main transmission system during the previous
twelve months.” 18 C.F.R. § 260.8(a). This form is
withheld from the public as Critical Energy Infrastructure
10
Information, but it can be released by request when the
appropriate showing is made. Id. § 388.113(g)(5); see also
P.A. 148–49.
The Pipeline responded that to receive a copy of that form,
Smead should request it directly from FERC’s Critical Energy
Infrastructure Information Coordinator. Smead submitted his
request to FERC the same day. A month later, Smead again
contacted the Pipeline, stating that he had not received a
response and asked if the Pipeline had been directed to provide
him the 2022 Form No. 567. The Pipeline stated that it
received no such direction from FERC. Smead sent no further
emails to the Pipeline and made no comments about this
request on the certificate proceeding docket before the
Commission.
The Customers’ April 2024 request for rehearing—
containing their specified errors and statement of issues 5—was
entirely based on their lack of access to the Pipeline’s 2022
Form No. 567.
b.
On May 20, 2024, the Commission denied rehearing
(Rehearing Denial Order). E. Tenn. Nat. Gas, LLC, 187
FERC ¶ 62,119 (2024). Later in May, FERC began the
procedure to disclose the Pipeline’s 2022 Form No. 567 to the
Customers. Upon finding that the Customers had made the
required showing, FERC granted the Customers permission to
view the Pipeline’s 2022 Form No. 567. In July, the
Customers filed a petition for review of the Certificate and
5
FERC’s regulations require that each “issue” for rehearing be
separately enumerated and include citations to any “Commission and
court precedent” on the matters raised by the petitioner; otherwise,
the issue is waived. 18 C.F.R. § 385.713(c)(2).
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Rehearing Denial Orders. Petition for Review, No. 24-1253,
Dkt. 2065352 (July 18, 2024); see Allegheny Def. Project v.
FERC, 964 F.3d 1, 19 (D.C. Cir. 2020) (en banc); see also 15
U.S.C. § 717r(a); 18 C.F.R. § 385.713. Then, in August, the
Customers requested the Pipeline’s 2023 Form No. 567.
Again, FERC concluded that the Customers made the required
showing to access the document and gave the Customers access
to both the 2022 and 2023 Form No. 567s (Pipeline’s annual
flow data).
The Customers did not make comments on the certificate
proceeding docket or otherwise respond to FERC upon
receiving the Pipeline’s annual flow data. So, later that
month, FERC’s Office of Energy Projects made a filing on that
docket to prompt the Customers to respond. FERC filed
copies of two new letters—sent to the Customers and the
Pipeline—requesting comments about the Pipeline’s annual
flow data. The Customers objected to FERC’s request for
comments; the Pipeline complied. The Customers argued that
only if they had received the Pipeline’s annual flow data in
2023 would they have had the necessary time and resources to
analyze the data and raise appropriate comments.
In September of 2024, the System Alignment Program
began. Even with the commencement of the program, in
October of 2024, FERC again reached out via letter and docket
filing to the Customers and the Pipeline, asking another time
for comments on the docket about the Pipeline’s annual flow
data. The Pipeline timely responded; however, the Customers
reiterated their objection and declined to make comments. In
fact, the Customers declined to make any further comments at
all about the Pipeline’s annual flow data.
In December of 2024, a panel of the Commission issued a
supplemental order, an “Order Addressing Arguments Raised
12
on Rehearing” (Modified Certificate Order). E. Tenn. Nat.
Gas, LLC, 189 FERC ¶ 61,232 (2024). While the
Commission maintained that the Certificate Order was final,
id. at P 1 (citing Allegheny, 964 F.3d 1), it modified the
discussion of the Certificate Order in part to address the
Customers’ petition for rehearing. In relevant part, the
Commission declined to consider the Customers’ argument
that they were denied due process because it found that FERC
eventually did provide the Pipeline’s annual flow data.
Because the Customers’ rehearing request was entirely
premised on receiving that data, the Commission then
reaffirmed its ultimate conclusion to issue the Certificate
Order.
Following this decision, the Customers again petitioned
for review, this time, not just of the Commission’s Certificate
Order, but also of the Rehearing Denial and the Modified
Certificate Orders. Petition for Review, No. 25-1072, Dkt.
2101821 (Feb. 19, 2025). FERC responds, and the Pipeline
intervenes to support it. We consider their consolidated
petitions below.
II.
Before we reach the merits of these petitions, there are three
threshold justiciability issues to address. We first consider
whether the Customers have standing to bring this challenge,
which they do. We next consider whether the Customers’
challenge is moot, which it is not. Then we must discern
which of the Customers’ challenges we have statutory
jurisdiction to review, and there is only one.
A.
We begin, where we must, with constitutional standing.
The Natural Gas Act permits the Customers to seek judicial
13
review of the Certificate Order if they were parties to the
underlying proceedings and “aggrieved” by the order. 15
U.S.C. § 717r(b). To be “aggrieved,” id., the Customers must
establish that they meet the constitutional minimum of
standing. See MISO Transmission Owners v. FERC, 177
F.4th 1204, 1220 (D.C. Cir. 2026); see also Lujan v. Defs. of
Wildlife, 504 U.S. 555, 560–61 (1992). The Customers must
therefore show that they “(1) suffer[] an injury in fact, (2) that
is fairly traceable to the challenged conduct of the defendant,
and (3) that is likely to be redressed by a favorable judicial
decision.” Spokeo, Inc. v. Robins, 578 U.S. 330, 338 (2016).
The Customers begin by asserting that the Commission’s
Certificate Order causes them to suffer an injury because the
costs of the System Alignment Program will be rolled into their
service rate, and a procedural injury resulting from the
Commission making its decision before the Customers’ data
request was fulfilled. The Customers argue that vacatur of the
Certificate Order will redress those injuries. This seems
simple enough. However, the Pipeline challenges the
Customers’ standing on redressability grounds, arguing that, in
actuality, the Customers’ only cognizable harm is related to
their receipt of the Pipeline’s annual flow data. As such,
because FERC has already provided the Pipeline’s annual flow
data, this court is without the ability to redress their injury.
The Pipeline does not break new ground with this argument;
the Commission’s position on the Customers’ rehearing
petition made a similar assertion. And yet, we still disagree.
The source and character of the Customers’ harm is plain.
We see the veins of these asserted injuries throughout the three
orders that the Customers challenge. Theirs is not only the
monetary injury caused by the rolled-in rates permitted by the
orders. It is also the procedural injury caused by the ways in
14
which FERC responded to the Customers’ requests for the
Pipeline’s annual flow data.
True, the challenged orders do not directly regulate the
Customers or immediately determine their future service rates.
See PNGTS Shippers’ Grp. v. FERC, 592 F.3d 132, 137 (D.C.
Cir. 2010) (no standing when the effect of FERC’s actions on
customer rates was not “inevitable” and would be later
determined). However, these orders, taken together, will
imminently affect the terms and rate of the Pipeline’s service
to the Customers because FERC approved the System
Alignment Program and predetermined, before the Section 4
proceeding where rate determinations normally occur, that a
rolled-in rate will pay for it. This is sufficient for standing.
See Miss. Valley Gas Co. v. FERC, 68 F.3d 503, 508 (D.C. Cir.
1995) (holding that there was an injury in fact when the
challenged FERC orders would “affect the rates” to be paid to
a natural gas company and the orders were “directly within the
authority conferred upon FERC by the Natural Gas Act”);
MISO, 177 F.4th at 1222 (concluding customers had standing
when they were “directly subject to the rates established by the
challenged orders”); Dep’t of Com. v. New York, 588 U.S. 752,
767 (2019) (“[S]ubstantial risk that the harm will occur” is
sufficient for Article III injury. (citation omitted)).
Further, the facts of the orders’ issuance are what sit at the
heart of the Customers’ petition: the untimeliness of their
access to the Pipeline’s annual flow data, which the Customers
felt was necessary to their ability to effectively participate and
protest in the certificate proceeding. In the Customers’ view,
FERC has not yet given them the careful review and
consideration of their protest that certificate proceedings
require. Though the flow data was ultimately turned over and
FERC solicited comment thereafter, the Customers felt the
time they were given to review and respond to the data was too
15
short and came too late to cure the harm they suffered and to
allow for fair consideration of their objections. The
Customers believe that, absent FERC’s untimely responses, the
substance of their participation and, in turn, the outcome of the
challenged orders could have been different. That is also
enough. See Mendoza v. Perez, 754 F.3d 1002, 1010 (D.C.
Cir. 2014) (holding a petitioner is not required to show that
“correcting the procedural violation would necessarily alter the
final effect of the agency’s action on the [petitioner’s]
interest”). Because the Customers challenge the propriety of
the “procedural do-over” the Commission afforded them, their
standing to petition is satisfied. Fore River Residents Against
the Compressor Station v. FERC, 77 F.4th 882, 889 (D.C. Cir.
2023); see also Minisink Residents for Env’t Pres. & Safety v.
FERC, 762 F.3d 97, 106 (D.C. Cir. 2014) (describing similar
fulfilment of procedural injury requirements for standing).
Now, in response to the Pipeline’s redressability challenge,
we conclude that the aforementioned harms can still be
resolved by an order of this court. Vacatur or even remand of
the challenged orders would provide the Customers a host of
relief, including, but not limited to, a new chance to rely upon
the allegedly untimely flow data for their challenge to the
System Alignment Program and its predetermined rolled-in
rate. See Lichoulas v. FERC, 606 F.3d 769, 775 (D.C. Cir.
2010) (“[T]here should be little question” that when the subject
of challenge is “the inaction” of an agency, “a judgment
preventing or requiring the action will redress it.” (citation
modified)); see also Ne. Energy Assocs. v. FERC, 158 F.3d
150, 153–54 (D.C. Cir. 1998) (concluding that redressability
was fulfilled because remand could allow the Commission the
opportunity to consider new arguments).
Moreover, for the redressability of a procedural injury, this
court does not require more than what the Customers have
16
already presented us with. See Lujan, 504 U.S. at 572 n.7
(explaining that when petitioners are afforded a procedural
right to protect their interest in an agency proceeding they need
not meet the ordinary redressability standard); see also Sierra
Club v. FERC, 827 F.3d 59, 65 (D.C. Cir. 2016) (For “a party
alleg[ing] deprivation of its procedural rights, courts relax the
normal standards of redressability and imminence.”). We find
ourselves satisfied with the Customers’ showing. Thus, the
Customers have Article III standing to seek our review.
B.
The Pipeline also posits that the Customers’ petition is
moot, relying on a similar rationale to what it used in its
redressability challenge. Here, the Pipeline suggests that the
Customers received complete relief when they obtained the
Pipeline’s annual flow data and were offered multiple
opportunities to use it during the certificate proceedings. So,
in the Pipeline’s view, this court can no longer provide an
effective remedy. Again, we do not agree.
Mootness doctrine ensures that federal courts decide only
“actual, ongoing controversies.” Pub. Citizen, Inc. v. FERC,
92 F.4th 1124, 1127 (D.C. Cir. 2024) (citation omitted).
When a case is moot, a decision by this court “will neither
presently affect the parties’ rights nor have a more-than-
speculative chance of affecting them in the future.” Id. at
1128 (citation omitted); see also Tenaska Clear Creek Wind,
LLC v. FERC, 108 F.4th 858, 867 (D.C. Cir. 2024) (“If events
outrun the controversy such that the court can grant no
meaningful relief, the case must be dismissed as moot.”
(citation omitted)). No events have caused this court to lose
the power to provide relief to the Customers.
FERC’s initiation of the System Alignment Program has
not mooted the petition because this court could use vacatur to
17
require FERC to stop the program and follow a different
procedure to review the certificate application. See Del.
Riverkeeper Network v. FERC, 857 F.3d 388, 396–97 (D.C.
Cir. 2017), overruled in part on other grounds by Allegheny,
964 F.3d 1 (D.C. Cir. 2020) (rejecting that the initiation of a
project mooted dispute because vacatur could halt it and could
“force FERC to follow the proper” procedure); see also
Gunpowder Riverkeeper v. FERC, 807 F.3d 267, 272 (D.C.
Cir. 2015) (similar). Nor has the start of Section 4
proceedings mooted the petition. Those proceedings, which
deal only with the fairness of a service rate, will not address the
injuries that the Customers have charged us to assess.
Because that proceeding would only provide the Customers
partial relief, if any, this petition cannot be moot. See Del.
Riverkeeper Network, 857 F.3d at 397 (explaining that “even
the availability of a partial remedy is sufficient to prevent [a]
case from being moot.” (citation omitted)).
Finally, FERC fulfilling the Customers’ request for the
Pipeline’s annual flow data did not moot this dispute. Access
to the Pipeline’s annual data was, and remains, distinct from
the objections the Customers have consistently lodged about
the proceedings and the Certificate Order. Gunpowder
Riverkeeper, 807 F.3d at 272. The Customers believe FERC’s
failure was not only in initially declining to provide the data
but then later providing it in an untimely fashion, which they
believe denied them the chance to properly protest in the first
place and file their rehearing petition. Cf. Fore River, 77 F.4th
at 890 (concluding that a petition was mooted because
petitioners had received “all of the procedural relief” they
requested). Thus, the Customers request a second chance, a
procedural do-over, that keeps their petition live. See id. at
889 (remarking that the petition was mooted in part because it
did “not raise any specific objection to the Commission’s own
process on rehearing or to the substance of its decision”).
18
Providing the data has not made it so “that the decision [of the
court] will neither presently affect the parties’ rights nor have
a more-than-speculative chance of affecting them in the
future.” Gunpowder Riverkeeper, 807 F.3d at 272 (citation
omitted)). In the Customers’ eyes, the data they have now
received does them little good; they believe it came too late to
be of any utility to their cause. Hence, the Customers’ petition
is not moot.
C.
Next, several of the arguments FERC and the Pipeline
make in response to this petition assert that we lack the
statutory jurisdiction to consider several of the Customers’
arguments. We must take such assertions seriously, for
Section 19 of the Natural Gas Act strictly circumscribes the
scope of our review of Commission orders, largely so that we
may only review what the Commission has first taken a swing
at. See 15 U.S.C. § 717r(b) (“No objection to the order of the
Commission shall be considered by the court unless such
objection shall have been urged before the Commission in the
application for rehearing.”); Entergy Servs., Inc. v. FERC, 391
F.3d 1240, 1247 (D.C. Cir. 2004) (“Parties seeking review of
FERC orders must petition for rehearing . . . [and] raise in that
petition all of the objections urged on appeal.” (citation
omitted)). Consequently, unless there is a “reasonable
ground” for the Customers’ “failure” to make an objection to
the Commission first, we will not consider it here. See 15
U.S.C. § 717r(b).
To begin, we must determine precisely what the Customers
argued before the Commission because those will likely be the
only overtures we may hear. As we noted above, the
Customers’ petition for rehearing specified just two errors in
the Commission’s Certificate Order. First, that the Certificate
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Order was issued “prematurely,” because the Customers had
not yet been given the “critical information and documents”—
the Pipeline’s annual flow data—they needed to participate in
the certificate proceedings. J.A. 241. Second, the Customers
argued that the Certificate Order was unsupported by
substantial evidence because they were not able to
meaningfully participate via comment without the data. See
J.A. 241. These two procedural errors were the entire basis of
their petition for rehearing.
The Customers, in their understandable zeal, have made
many arguments before us in their petition beyond their two
procedural errors. In particular, the Customers now argue the
Certificate Order is also unlawful because the Commission:
(1) ignored contradictory evidence in the docket record,
(2) ignored evidence in another proceeding the Pipeline had
pending before the Commission, (3) maintained its
predetermination of a rolled-in service rate, (4) improperly
relied on the Policy Statement in the certificate proceedings,
and (5) misapplied the Policy Statement in the Certificate
Order. Petitioner’s Br. 14–16; see also id. at 18–31. The
Customers assure us that these arguments are reviewable. We
think not.
These new arguments do not appear in the Customers’
petition for rehearing. See Colum. Gulf Transmission, LLC v.
FERC, 106 F.4th 1220, 1236 (D.C. Cir. 2024) (declining to
consider arguments from petitioner made for the first time in
its brief). Resisting this fact, the Customers argue that the new
arguments are so important or obvious that they need not be
explicated or supported to be preserved for our review, but this
is just not true. Birckhead v. FERC, 925 F.3d 510, 520 (D.C.
Cir. 2019) (declining to consider unpreserved arguments
despite its own “misgivings” about the Commission’s actions).
The Customers’ additional arguments indeed depend on
20
detailed consideration of the certificate proceeding record,
other Commission proceedings, and the Commission’s
particular uses of its Policy Statement. Relatedly, the
Customers’ arguments are also not salvageable because they
are intertwined with the preserved ones the Customers made in
their petition for rehearing. That is artful argument that we do
not allow. See Off. of the Consumers’ Couns., State of Ohio
v. FERC, 914 F.2d 290, 295 (D.C. Cir. 1990) (“Petitioners
cannot preserve an objection indirectly.”); Peregrine Oil &
Gas II, LLC v. FERC, No. 21-1106, 2022 WL 2764203, at *2
(D.C. Cir. July 15, 2022) (declining to consider an unpreserved
argument intertwined with a preserved one).
Because they do not concede their arguments are new, the
Customers also do not argue that there were reasonable
grounds for their failure to make these arguments to the
Commission first. 15 U.S.C. § 717r(b) (“No objection to the
order of the Commission shall be considered by the court
unless such objection shall have been urged before the
Commission in the application for rehearing unless there is
reasonable ground for failure so to do.” (emphasis added)); see
also Ctr. for Biological Diversity v. FERC, 67 F.4th 1176, 1183
(D.C. Cir. 2023). With this exception foreclosed, we have no
occasion to review these arguments.
So whatever their merit, the Customers’ new arguments are
outside of our statutory jurisdiction and flit away from our
review. See 15 U.S.C. § 717r(b); Entergy Servs., 391 F.3d at
1247 (citation omitted).
III.
Now, we address the merits. The fountainhead of this
procedural challenge is the Customers’ assertion that they were
unlawfully denied access to the Pipeline’s annual flow data and
subsequently engaged in uninformed decision-making in the
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absence of the Customers’ data-informed advocacy. We
review these arguments, and we find them wanting.
We review the Certificate Order under our arbitrary and
capricious standard. Minisink, 762 F.3d at 105–06. Thus, we
ensure “the Commission’s decisionmaking is reasoned,
principled, and based upon the record.” Id. at 106 (quoting
Am. Gas Ass’n v. FERC, 593 F.3d 14, 19 (D.C. Cir. 2010)).
However, we will not substitute the Commission’s judgment
with our own. See id. Especially here, where the decision to
grant the Certificate Order “is a matter peculiarly within the
discretion of the Commission.” Id. (citation omitted).
A.
The Customers argue that the Commission’s orders
violated the Administrative Procedure Act, 5 U.S.C. § 706(2),
because they believe FERC “fail[ed] to address the obfuscation
and denial of [the Customers’] access” to the Pipeline’s annual
flow data, which they also contend was wrongfully “not made
available until after the Certificate Order was granted.”
Petitioner’s Br. 14. Further, the Customers posit, the
Certificate Order was unlawful because FERC “denied” them
“timely access” to this critical information, thereby depriving
them of the chance to “participate meaningfully” in the
certificate proceedings. Id. at 15.
FERC and the Pipeline contest the Customers’ challenge
on several grounds, but we repeat only the most salient
arguments here. FERC argues that the Certificate Order was
sufficiently supported by the administrative record, including
data responsive to the Customers’ request for the Pipeline’s
annual flow data. Further, FERC contends that the Customers
“never demonstrated the materiality” of the Pipeline’s annual
flow data, “despite repeated opportunities to do so.”
Respondent’s Br. 25. The Pipeline makes similar assertions,
22
adding that the Customers repeatedly declined to properly act
upon receiving the data by making responsive arguments
during rehearing.
We have been here before. In Minisink Residents for
Environmental Preservation and Safety v. FERC, petitioners
claimed “that their due process rights were violated because the
Commission failed to timely provide them with certain
documentation during the proceedings.” 762 F.3d at 115.
There, petitioners sought “particular hydraulic studies and
engineering analyses that [the pipeline] provided to FERC;”
and, in that case, the pipeline submitted this documentation “as
part of its application.” Id. Denying the petition, we
determined that FERC provided petitioners access to that
documentation in time for them to “make meaningful use” of
it during rehearing. Id.
In Myersville Citizens for a Rural Community, Inc. v.
FERC, we considered similar arguments that petitioners
suffered due process violations because they were “deprived of
a meaningful opportunity to comment” on Critical Energy
Infrastructure Information. 783 F.3d 1301, 1327 (D.C. Cir.
2015) (citation modified). Referencing Minisink, we rejected
that argument. Id. In part, because we reasoned that
petitioners did not receive their requested documents “too
late,” because they were still able to comment before the
rehearing deadline. Id. So we concluded petitioners had a
“meaningful opportunity to challenge” the evidence that they