In the 1982 case of Pacific Gas & Electric Co. et al. v. State Energy Resources Conservation and Development Commission et al., the U.S Supreme Court ruled in favor of California's State Energy Resources Conservation and Development Commission, which had imposed a moratorium on new nuclear power plants until a solution for disposing high-level radioactive waste was approved by the state legislature. The court held that while federal law regulates safety issues related to nuclear energy, states have authority over economic aspects including whether or not to construct such facilities within their borders based on economic considerations like waste disposal costs. This decision upheld states' rights to regulate industries for economic reasons without infringing upon federal jurisdiction over radiological safety concerns.

The dissenting opinion in the Pacific Gas & Electric Co. v. State Energy Resources Conservation and Development Commission case argued that the California law, which required utilities to prove they had adequate storage facilities for nuclear waste before building new plants, was not preempted by federal law. The dissenters believed that states should have a role in regulating nuclear power due to its potential dangers and unique issues related to waste disposal. They contended that while Congress has authority over atomic energy safety standards, it did not intend to occupy the entire field of nuclear safety concerns thus leaving room for state regulations aimed at ensuring safe operation of these facilities within their borders.