The Maine Supreme Judicial Court answered certified questions from the First Circuit concerning state law preemption of a City of South Portland ordinance that prohibited bulk loading of crude oil onto vessels in the City’s harbor. A federal district court rejected a challenge to the ordinance in 2018. The Maine high court said a license issued by the Maine Department of Environmental Protection for a marine oil terminal facility was not an “order” within the meaning of the Maine Coastal Conveyance Act that could have preemptive effect and, moreover, that the license was not in conflict with the ordinance, even if it could be considered an order. The court also concluded that the Coastal Conveyance Act as a whole did not preempt the City’s ordinance by implication.

Pipeline operator's challenge to coastal city's local law prohibiting the loading of oil on tankers.

Portland Pipe Line Corp. v. City of South Portland

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Maine High Court Said State Law Would Not Preempt Local Ordinance Prohibiting Crude Oil Loading

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Oil is a combustible liquid fossil fuel composed mainly of hydrocarbons, occurring as crude oil and refined into petroleum products such as petrol, diesel and kerosene.

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Maine High Court Said State Law Would Not Preempt Local Ordinance Prohibiting Crude Oil Loading

Policy instrument

Risk

Fossil fuel

Economic sector

Finance