Mich. Supreme Court overturns Line 5 tunnel approval, orders new environmental review

(UI) — The Michigan Supreme Court has ordered state regulators to reconsider their approval of Enbridge's proposed Line 5 tunnel project, ruling that the Michigan Public Service Commission (PSC) failed to adequately evaluate the project's environmental impacts and alternatives before issuing a permit. 

In a July 31 decision, the court vacated the PSC's 2023 approval of the Great Lakes Tunnel project and remanded the case for further review. The justices concluded the commission did not properly assess whether extending the lifespan of the Line 5 pipeline could pollute, impair or destroy public trust resources, nor did it sufficiently compare the tunnel proposal with reasonable alternatives.

The proposed tunnel would house a replacement segment of Enbridge's Line 5 pipeline beneath the Straits of Mackinac, replacing the existing dual pipelines that have operated on the lakebed for more than 70 years. The project has been promoted as a long-term solution to reduce the risk of an oil spill while maintaining energy deliveries between Superior, Wis., and Sarnia, Ontario. Tribal nations and environmental groups challenged the PSC's approval, arguing regulators improperly limited the scope of their environmental review and failed to fully consider alternatives to the project.

The ruling does not halt the tunnel project permanently, but it requires the PSC to conduct a new review that addresses environmental impacts and project alternatives before reconsidering the permit. The decision represents another significant legal hurdle for Enbridge as the company continues pursuing approvals for the underground tunnel, which also remains subject to additional state and federal permitting requirements.

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