SpaceX's Starship vehicle at its Starbase, Texas, launch site before the Flight 13 launch. Credit: SpaceX

WASHINGTON — The Department of Transportation is proposing to exempt commercial space launch licensing from many environmental regulations, a move praised by industry but criticized by environmental groups.

The department announced July 28 its intent to file a proposed rule for public comment that would exempt Federal Aviation Administration licenses for commercial launches and reentries, as well as launch sites, from 13 federal laws and associated regulations.

The rule would invoke the statutory authority of the secretary of transportation to waive requirements of those laws in the licensing process after consulting with the heads of the agencies responsible for enforcing those laws, and after concluding those requirements are “not necessary to protect the public health and safety, safety of property, and national security and foreign policy interests of the United States,” the rule stated.

Among the laws that would be waived in the proposed rule is the National Environmental Policy Act, or NEPA, which requires environmental reviews for “major federal actions” that include licenses. The proposal cited a 2025 Supreme Court decision that limited the scope of NEPA to direct consequences of the proposed action.