Mountain Valley Pipeline Still Troubled Despite Court Decision on Southgate Extension

Washington, DC -- Today, the DC Circuit Court of Appeals rejected environmental groups' challenge to the Federal Energy Regulatory Commission’s (FERC) approval of Mountain Valley Pipeline’s proposed Southgate extension that is meant to extend the beleaguered mainline into North Carolina. The Southgate project would add an additional 75 miles of pipeline from Southern Virginia into central North Carolina, ending in a county that has unanimously and publicly opposed it. Investors are also reevaluating the extension project. The project and its regulatory review process have been subject to intense scrutiny owing to insufficient environmental justice review procedures. This decision could result in higher rates for fossil fuels for an unneeded pipeline, especially at a time when we should be transitioning to affordable clean energy, not doubling down on risky fossil fuels. 

Despite the permit approval, the controversial gas pipeline project faces strong headwinds. Virginia has issued more than $2 million in fines for more than 300 water quality-related violations during construction of the mainline. In December of 2021, the Virginia Air Quality Control Board denied a crucial air permit for MVP Southgate’s proposed Lambert compressor station, which would have been located near Chatham, Virginia. This consequential decision came after the North Carolina Department of Environmental Quality (NCDEQ) twice rejected MVP Southgate's 401 water quality certification, due to the uncertain future of the Mainline. MVP has not yet reapplied for either permit. Furthermore, MVP Southgate has had zero construction to date, and cannot proceed with construction until the MVP mainline also receives all of its outstanding permits, if that ever comes to pass.

Sierra Club Senior Campaign Representative, Caroline Hansley said, “Unfortunately, today’s decision will hit vulnerable communities the hardest and sacrifice our water quality, all for the benefit of wealthy investors. This project is not needed and is years behind schedule—with no completion in sight, billions over budget, and still lacking multiple necessary permits. It’s time they see the writing on the wall and abandon this boondoggle. Our communities and our environment deserve better.”