TOPIC #1
Permitting and Siting Reform
The federal government looks to accelerate permitting timelines to meet growing energy demand.
The Trump Administration Launches a Sweeping Deregulatory Agenda
In January 2025, the Trump administration declared a national energy emergency and launched a sweeping federal effort to accelerate domestic energy production and infrastructure development through permitting and siting reform.
Through executive orders and regulatory reinterpretations, the administration has prioritized speed and certainty in project approvals. Federal agencies, courts, and state legislatures have followed with actions aimed at compressing timelines and reducing local opposition.
If these immediate and long-term deregulatory developments are sustained and survive legal challenges, they could dramatically shorten project timelines for energy infrastructure.
Key Takeaways
The Trump administration declared a national energy emergency and launched sweeping deregulatory actions, including executive orders that prioritize speed and certainty in permitting for select energy resources.
To counter local opposition and delays, some states like New York, Michigan, and Pennsylvania have passed laws that centralize energy permitting. These laws streamline approval processes, reducing local opposition and delays.
Recent changes to the National Environmental Policy Act and EPA regulations have imposed strict deadlines and reduced the scope of environmental reviews.
Spurring Deregulation and Declaring a National Energy Emergency to Establish “Energy Dominance”
The Trump administration entered office in January 2025 with a focus on American “energy dominance.” On day one, President Trump issued two executive orders (EOs): Unleashing American Energy (EO 14154) and Declaring a National Energy Emergency (EO 14156).
“Unleashing American Energy” revokes several Biden-era EOs and promotes exploration and production of select resources on federal lands and waters. It mandates agencies to streamline permitting, limit greenhouse-gas analysis, encourage critical-mineral processing, and ensure regulatory decisions favor domestic energy development (see Figure 1).
“Declaring a National Energy Emergency” directs federal agencies to use emergency authorities to develop domestic energy resources. The directive only applies to certain resources and excludes solar, wind, and battery storage resources (see Figure 2).
These orders signal a sweeping shift in federal permitting priorities with significant implications for project development, regulatory compliance, and long-term investment strategies. Depending on the technology, developers may experience reduced permitting roadblocks, more favorable regulatory interpretations, and a higher likelihood of project approval.
FIGURE 1
Key Provisions of Executive Order 14154: Unleashing American Energy (Jan. 20, 2025)
Sources: The White House; ScottMadden analysis
FIGURE 2
Key Provisions of Executive Order 14156: Declaring a National Energy Emergency (Jan. 20, 2025)
Sources: The White House; ScottMadden analysis
The Evolution and Streamlining of NEPA Oversight (1970–2025)
The National Environmental Policy Act (NEPA) requires federal agencies to assess environmental impacts before approving major actions that could significantly affect the environment.
Agencies fulfill this duty by completing one of the following:
- Environmental Assessment (EA): A concise evaluation used to determine whether significant impacts are likely
- Environmental Impact Statement (EIS): A more rigorous and detailed analysis examining the environmental consequences of proposed actions and alternatives
In 1977, the Council on Environmental Quality (CEQ), was empowered by EO 11991 to issue binding NEPA regulations (see Figure 3). Over time, NEPA compliance has become cumbersome. In 2020, the average time to complete an EIS was 4.8 years.
In 2023, the Fiscal Responsibility Act sought to streamline the NEPA review process by enacting the following reforms:
- EAs were limited to 75 pages and a one-year time limit for review
- EISs were limited to 300 pages and a two-year time limit for review
FIGURE 3
Overview of the NEPA Process
Source: Department of Agriculture
In recent months, CEQ’s authority was curtailed by federal courts. In addition, President Trump rescinded EO 11991 and retracted existing NEPA regulations. In May 2025, the Supreme Court further narrowed NEPA’s reach, ruling that agencies need only evaluate the direct effects of projects.
Amidst this change, federal agencies have also developed expedited permitting in response to the national energy emergency:
- Department of Interior (DOI): Issued alternative compliance arrangements in April 2025 for NEPA, the Clean Water Act, and the National Historic Preservation Act. Projects analyzed in an EA will now be reviewed within approximately 14 days. Projects requiring an EIS will be reviewed in roughly 28 days.
- Department of Energy (DOE): Released an updated interim final rule for NEPA that streamlines reviews by setting stricter deadlines, page limits, and clearer agency roles.
The result will be shorter permitting timelines for energy infrastructure. In May 2025, the Bureau of Land Management used expedited permitting to approve an EA for Anfield Energy’s proposed Velvet-Wood uranium mine project in Utah after a 14-day environmental review.
The United States cannot afford to wait. President Trump has made it clear that our energy security is national security, and these emergency procedures reflect our unwavering commitment to protecting both.
We are cutting through unnecessary delays to fast-track the development of American energy and critical minerals—resources that are essential to our economy, our military readiness, and our global competitiveness.
By reducing a multi-year permitting process down to just 28 days, the Department will lead with urgency, resolve, and a clear focus on strengthening the nation’s energy independence...
—Secretary of the Interior Doug Burgum (Apr. 23, 2025)
EPA Initiates Deregulatory Reforms to Accelerate Federal Permitting
In response to President Trump’s directives, EPA has initiated deregulatory reforms targeting the Clean Air Act (CAA) and Clean Water Act (CWA) to expedite federal permitting. The agency is framing these changes as necessary to remove bottlenecks for energy and industrial development in the context of national interest.
Key proposals include repealing CAA Section 111 greenhouse gas standards for the power sector, eliminating requirements for carbon capture or offsets, and reverting the 2024 Mercury and Air Toxics Standards to their 2012 version. These adjustments are designed to ease retrofit requirements for existing plants and simplify Title V permit* renewals.
EPA has narrowed the definition of “Waters of the United States” under the CWA to exclude wetlands not directly adjacent to permanent waters. This significantly reduces the scope of projects requiring Section 404 permits.**
Collectively, these proposed actions could accelerate federal approvals for energy infrastructure and industrial development by months or even years. If upheld, they represent a durable shift in how the EPA implements environmental regulations.
Notes:
* A Title V permit consolidates all federal and state air pollution control requirements for major sources into one document, ensuring compliance for facilities emitting significant air pollutants.
** A CWA Section 404 permit authorizes the discharge of dredged or fill material into waters of the United States, including wetlands, to regulate activities like construction, development, and land alteration.
State-Level Reforms Seek to Preempt Local Opposition and Speed Up Permitting
Beyond federal issues, local opposition to renewable energy projects, conventional generation, and transmission infrastructure is a continuing challenge.
Some states have begun centralizing permitting processes to circumvent these issues. Recent examples include:
- New York passed the Renewable Action through Project Interconnection and Deployment (RAPID) Act, which consolidates the environmental review, permitting, and siting of major renewable energy facilities and transmission facilities under the Office of Renewable Energy Siting and Electric Transmission.
- Michigan passed legislation granting the Michigan Public Service Commission (MPSC) authority to approve large renewable projects. Developers may seek approval from MPSC for projects that are ≥50 MW for solar/storage and ≥100 MW for wind if a local government fails to approve or deny an application within 120 days (or 240 days if granted an extension).
- Pennsylvania established the Streamlining Permits for Economic Expansion and Development (SPEED) Program in July 2024, to reduce permitting delays by allowing state-approved third-party entities to perform the review process for certain air, land, and water permits for applicants.
These reforms reduce challenges from local opposition, offering utilities, independent power producers, and developers faster, more predictable approval processes. These changes enhance project timelines, reduce risks of local vetoes, and support investment certainty.
FIGURE 4
Local Restrictions on Solar and Wind Projects (2013-2025)
Note: Restrictions include temporary moratoria; outright bans; regulations, such as extreme setback requirements or height limits, that are so restrictive that they can act as de facto bans; and zoning amendments that are designed to block a specific proposed project.
Sources: Renewable Rejection Database; ScottMadden research
Implications
The Trump administration has taken an approach to federal permitting, representing a decisive shift toward maximizing domestic energy production. Actions have focused on declaring a national energy emergency, challenging long-standing regulatory frameworks and precedents, and aggressively pursuing policies that accelerate federal permitting.
For developers and investors, these changes reduce uncertainty, lower project costs, and accelerate time-to-market for a range of energy projects, particularly those involving fossil fuels and critical minerals.
The executive branch has not been alone in addressing permitting reforms. The courts and state governments have also weighed in. The Supreme Court recently issued a ruling intended to limit the scope of permitting and litigation under NEPA. Meanwhile, New York, Michigan, and Pennsylvania have taken significant actions to either preempt local opposition or speed up permitting of projects. These developments will have lasting consequences on energy infrastructure permitting and siting.
CONTACT OUR EXPERTS
On Permitting and Siting Reform
Josh Kmiec
PARTNER
joshuakmiec@scottmadden.com 919.781.4191
Tony Gonzalez
PARTNER
tgonzalez@scottmadden.com 404.814.0020
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