05/06/2026

2026 Quarter 1 Regulatory Update

 

The first quarter of 2026 brought several important regulatory updates from federal and California agencies affecting our industry. These updates are summarized in the following sections.

FEDERAL REGULATORY UPDATES

United States Army Corps of Engineers

On March 15, 2026, the United States (U.S.) Army Corps of Engineers (USACE) issued the 2026 Nationwide Permits (NWPs), which effectively superseded the NWPs issued in 2021. Under Section 404 of the Clean Water Act, NWPs are issued by the USACE to approve activities that have “minimal individual and cumulative adverse effects on the aquatic environment.” The 2026 NWPs include and 56 existing NWPs with minor modifications. The modifications generally consist of clarifications related to the scope of authorized activities, as well as the language for regulatory implementation. The following modifications to the NWPs are relevant to the linear utilities industry:

  • NWP 12 – Oil or Natural Gas Pipeline Activities contains a revision of an existing note that encourages project proponents to provide project activity information to the National Oceanic and Atmospheric Administration and the National Ocean Service for project activities that could affect navigation. It also includes the addition of a note that encourages project proponents to provide the dimensions and coordinates of the project to the U.S. Coast Guard if project activities are proposed in navigable waters of the U.S.
  • NWP 57 – Electric Utility Line and Telecommunications Activities contains a revision of an existing note and the addition of a note that encourages project proponents to provide drawings and coordinates of project activities to the National Ocean Service and the U.S. Coast Guard if project activities are proposed in navigable waters of the U.S. It also allows for authorization of battery energy storage systems activities that include electric utility lines or associated infrastructure.
  • NWP 58 – Utility Line Activities for Water and Other Substances states that pipelines carrying certain non-petrochemical substances may now obtain authorization under this NWP.

 

The new NWP issued by the USACE is NWP 60 – Activities to Improve the Passage of Fish and Other Aquatic Organisms, which streamlines authorization of activities that restore or enhance the ability of fish and other aquatic organisms to move through aquatic ecosystems. The activity must result in a loss of less than 1 acre to waters of the U.S., and the NWP does not authorize dam removal activities or the construction or installation of new culverts where there are not already existing culverts.

United States Environmental Protection Agency

Proposed Rule

The U.S. Environmental Protection Agency (EPA) proposed a rule on January 15, 2026 to update and clarify Section 401 of the Clean Water Act. Section 401 of the Clean Water Act grants states and tribes the authority to approve or deny activities that may result in discharges into waters of the U.S. through the issuance of water quality certifications. The proposed rule outlines documents that must be submitted for a certifying agency to deem a water quality certification request complete. If an applicant has submitted all required documents outlined in the proposed rule, a certifying authority may not postpone completion of the request to ask for further information. Additionally, the proposed rule would limit the power of certifying agencies solely to the regulation of discharge from project activities versus the entirety of the project. The proposed rule also requires that when a certifying authority issues a certification with conditions, the authority must note the water quality standard triggering the condition.

With the proposed rule, the regulatory power of certifying agencies under the Clean Water Act Section 401 water quality certification process would be significantly reduced. Public comment on the proposed rule concluded on February 17, 2026. The rule is expected to be finalized in the spring of 2026.

Final Rule

A final rule was published to the Federal Register by the EPA on February 18, 2026 to rescind the “Endangerment Finding.” In 2009, the “Endangerment Finding” determined that greenhouse gas (GHG) emissions “endanger both the public health and the public welfare of current and future generations.” The finding required regulation of GHG emissions under Section 202(a) of the Clean Air Act. The final rule removes all GHG emission standards under the Clean Air Act on the basis that “GHG emission standards for new motor vehicles and engines do not impact in any material way the public health and welfare concerns identified in the Administrator’s prior findings in 2009.” The EPA will no longer be authorized to set GHG emission standards and all current GHG emission standards for light-duty, medium-duty, and heavy-duty vehicles will be revoked. Although the final rule removes standards for motor vehicles, stationary source GHG emission standards remain unchanged. The final rule took effect on April 20, 2026.

CALIFORNIA REGULATORY UPDATES

State Water Resources Control Board

On February 19, 2026, the State Water Resources Control Board (SWRCB) posted a public notice of water quality certification for the USACE’s Regional Permit for Energy Emergency Activities. The SWRCB proposes issuing a General Certification pursuant to Section 401 of the Clean Water Act and the Porter-Cologne Water Quality Control Act in order to streamline energy projects that would benefit the state during the declared energy emergency. Some of the pre-certified activities that could be covered in the General Certification include temporary dewatering structures and fills, temporary construction areas, and electric, oil, and natural gas facilities. Conditions to protect water quality would be included in the general certification. The public comment period ended on April 6, 2026.

California Department of Fish and Wildlife

In February 2026, the California Department of Fish and Wildlife (CDFW) published a petition evaluation determining that there is sufficient information to support the proposal to list the northern population of western spadefoot (Spea hammondii) as threatened and the southern population of western spadefoot as endangered under the California Endangered Species Act. The CDFW proposed listing the species in September 2025 due to significant declines in population resulting from habitat fragmentation and destruction, most notably the loss of vernal pool habitat. The California Fish and Game Commission is anticipated to consider the petition evaluation.

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