Energy Law and Electricity Regulation

The Middle East is emerging as a significant frontier in natural hydrogen exploration, with countries like Oman, Saudi Arabia, and the UAE leveraging unique geological formations to pursue this clean energy source. As regulatory frameworks and commercial agreements take shape in real time, the region's early-stage developments are creating unprecedented opportunities for legal practitioners and energy investors navigating this nascent industry.

The Supreme Court's recent decisions in Trump v. Slaughter, FCC v. AT&T, and Sripetch v. SEC have fundamentally reshaped administrative law, particularly affecting independent agencies like FERC. While the Court overturned nearly a century of precedent protecting agency independence and clarified enforcement procedures, the full implications for energy regulators and other federal agencies remain uncertain and will likely be tested through future litigation.

This episode examines the legal and contractual framework surrounding natural hydrogen exploration and production in the United States, comparing traditional oil and gas leases with emerging hydrogen-specific agreements. The discussion covers critical provisions including granting clauses, royalty structures, environmental attributes, and the practical challenges of developing this nascent energy resource.

The EPA has proposed the Sixth Unregulated Contaminant Monitoring Rule (UCMR 6), requiring public water systems to collect data on 30 unregulated contaminants including certain PFAS from 2028 to 2030. Despite petitions from seven state governors and environmental groups, the agency declined to add microplastics to the monitoring list, citing the absence of validated testing methods, though microplastics remain on the draft Contaminant Candidate List 6 for potential future regulation.

While EPA has proposed modifications to certain PFAS drinking water regulations, the PFOA and PFOS limits remain firmly in place, and EPA has signaled that a restarted rulemaking process could yield additional requirements for the rescinded compounds in the future.

Given the deregulatory approach taken by the Trump administration on PFAS maximum contaminant levels (MCLs) (as detailed in Part I) and the money his administration is making available for states (as detailed in Part II), this Part III analyzes the other side of the Trump administration’s environmental federalism – what the states are doing. States have responded in varying ways to the reduced federal action for PFAS MCLs, including some acting directly in response to the Trump administration’s recent MCL changes.

The Federal Energy Regulatory Commission has issued six show cause orders targeting Regional Transmission Organizations and Independent System Operators, demanding they justify or reform their interconnection rules for data centers and large energy users. As electricity demand skyrockets from data center proliferation, FERC is taking unprecedented action to accelerate how major facilities connect to the electric grid.

On June 22, 2026, President Trump signed two Executive Orders on quantum technology, representing the most significant federal action on quantum technology in years.

Texas Gov. Greg Abbott has called for sweeping legislative action on data centers for the Texas Legislature to pass in the upcoming 2027 Texas legislative session.

The Middle East is emerging as a significant frontier in natural hydrogen exploration, with countries like Oman, Saudi Arabia, and the UAE leveraging unique geological formations to pursue this clean energy source. As regulatory frameworks and commercial agreements take shape in real time, the region's early-stage developments are creating unprecedented opportunities for legal practitioners and energy investors navigating this nascent industry.

The U.S. Department of the Treasury's Office of Foreign Assets Control has issued General License X, authorizing a broad range of transactions involving Iranian-origin crude oil and related products following a June 2026 Memorandum of Understanding between the United States and Iran. This development marks a significant shift in sanctions policy, though Iran remains subject to comprehensive U.S. sanctions with important limitations and compliance considerations that companies must carefully navigate.

The Federal Energy Regulatory Commission has issued sweeping show cause orders to Regional Transmission Organizations and Independent System Operators, fundamentally reshaping how large electricity users like data centers access the transmission grid. These orders establish new frameworks for transmission service applications, cost allocation, and interconnection processes while seeking to protect existing wholesale customers from bearing the costs of grid upgrades that primarily benefit new large loads. Th