ELR Citation: 53 ELR 20115
No(s). 23-1094 (3d Cir. Jul 25, 2023)

The Third Circuit vacated EPA's 2022 decision to reverse its prior determination and to require an oil refinery in the Virgin Islands to obtain a PSD permit before it can resume operations. The refinery owner petitioned for review, arguing EPA's application of its reactivation policy—under which an existing facility is considered "new" if the Agency concludes it was previously "shut down" and restarted—as applied to the refinery exceeded statutory authority because the CAA applies the PSD program only to newly constructed facilities and modifications. The court agreed, finding that because the refinery is not new and has not undergone a "modification" as defined by the Act, EPA exceeded its authority by requiring the refinery to obtain a PSD permit. It granted the owner's petition and vacated EPA's decision.