Clean Air Coalition of Western New York, Inc. v. New York State Public Service Commission

The New York Appellate Division reversed the dismissal of a proceeding challenging the New York State Public Service Commission’s (PSC’s) September 2022 declaratory ruling that a cryptocurrency company’s acquisition of a limited liability company that owned a natural gas-fired cogeneration facility in Niagara County did not require further PSC review. A trial court dismissed the proceeding as unripe because the PSC had not yet ruled on the petitioners’ application for rehearing. The appellate court found that the State Administrative Procedure Act foreclosed a rehearing on the September 2022 declaratory ruling and that the ruling was therefore ripe for review. The appellate court also rejected the cryptocurrency respondents’ contention that the appeal was moot because the transaction was complete and because it would be costly to undo construction and improvements to the facility undertaken since September 2022. The appellate court found that the petitioners sought relief that would be available even if unwinding the transaction was not feasible, namely analysis under Section 7 of New York’s Climate Leadership and Community Protection Act that could lead to environmental mitigation requirements. The court also rejected the argument that the petitioners lacked standing, finding that increase in use of the facility would affect the petitioners’ members differently than other members of the public due to the members’ proximity to the facility.