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FCC proposes satellite environmental exemption, sparking NEPA debate

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Satellite Dish

WASHINGTON, July 7 — The Federal Communications Commission is sitting on a proposed rule change that would exempt satellite systems from environmental review under the National Environmental Policy Act, a move that pits the breakneck pace of commercial space against the slow machinery of federal oversight. The detail that matters is that NEPA, the 1970 law that requires federal agencies to assess the environmental effects of their actions, has long applied to FCC licensing of satellite constellations.

The agency’s 2023 proposal argues that satellite reentries have minimal environmental impact and that full NEPA reviews would delay licensing. Under the hood, the technical reality is that the FCC has already been granting waivers for individual satellite constellations, effectively sidestepping the full environmental review process on a case-by-case basis.

The proposed rule change would make that exemption permanent and universal. The FCC has received over 1,000 public comments on the proposal as of mid-2024. Industry groups including the Satellite Industry Association have lined up in support, arguing that NEPA reviews are an unnecessary drag on an industry that is already subject to other federal oversight.

Earthjustice, the environmental law firm, filed a formal comment in January 2024 pushing back hard. Their argument is that the cumulative effect of thousands of satellite deorbits could harm the atmosphere, and they have called on the FCC to conduct a programmatic environmental impact statement — a comprehensive study of the whole system rather than piecemeal assessments of individual satellites.

The debate highlights the tension between rapid space commercialisation and environmental stewardship. The FCC’s decision remains pending. As ever with these things, the outcome will signal how the agency intends to balance two competing imperatives: the push to license ever-larger constellations for broadband and Earth observation, and the legal obligation to consider what all those reentering satellites might do to the upper atmosphere.

The detail that matters is that the FCC has historically granted waivers for individual satellite constellations, which suggests the agency has already made a de facto judgment about the scale of the environmental risk. The proposed rule change would simply formalise that judgment. What to watch next is whether the FCC moves to a final rule before the end of the year, or whether the weight of those 1,000-plus public comments — and the organised opposition from Earthjustice — forces a slower, more deliberative process.

The technical reality is that satellite operators are planning constellations numbering in the tens of thousands, and the cumulative atmospheric chemistry of all those reentries is not yet well understood. The FCC’s decision on this rule change will determine whether that understanding is required before the licences are granted.

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