A federal judge sided with SpaceX after an environmental group sought to stop its rocket launches just months before the company’s CEO is slated to work closely with the incoming Trump administration.

During static fire tests and launches, SpaceX uses a “deluge system” that applies water to the rocket engine exhaust to absorb heat and prevent explosions during takeoff.

SpaceX has said the system uses “clean, potable (drinking) water” for the tests, but a Texas-based environmental group claims the process poses a risk to the environment.

In an October lawsuit, Save RGV, a nonprofit based in the Rio Grande Valley of Texas, claimed SpaceX was violating the Clean Water Act by releasing wastewater from the launches at Starbase in Boca Chica Beach, roughly 25 miles east of the city of Brownsville. 

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A SpaceX Falcon Heavy rocket with a NASA spacecraft bound for Jupiter lifts off from pad 39A at the Kennedy Space Center Oct. 14, 2024, in Cape Canaveral, Fla. (John Raoux)

The group requested a restraining order be put in place to block SpaceX from using the deluge system, which would put a hold on rocket launches.

In a post on X, formerly Twitter, after the suit was filed, the aeronautics company said an environmental review had already been conducted that cleared the system from any environmental hazards.

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“The Texas Commission on Environmental Quality (TCEQ) conducted a technical review of Starship’s water-cooled flame deflector, which uses potable (drinking) water and determined that its use does not pose risk to the environment,” SpaceX said in an Oct. 10 post. “Save RGV acknowledged that they are aware of these straightforward facts and still filed an unwarranted and frivolous lawsuit.”

SpaceX and Tesla founder Elon Musk speaks during an America PAC town hall Oct. 26, 2024, in Lancaster, Pa. (Samuel Corum/Getty Images)

In a new ruling, U.S. District Judge Rolando Olvera denied the restraining order request, saying that halting the rocket launches could have various negative implications, including for NASA.

“Being unable to launch would create various consequences for not only Defendant, but also the public at large. It would significantly delay and possibly destroy Defendant’s contracts with NASA to further the Artemis Program and Human Landing System Program — worth billions of dollars,” Olvera wrote.

The judge also ruled that SpaceX has not been harming the environment, citing environmental reviews that have already been conducted on the launch system.

“At the beginning of the Starship-Super Heavy Launch System’s development, it became evident that a deluge water system was necessary to protect the launch site and surrounding areas during launches,” the judge wrote. “A deluge water system sprays large quantities of potable water at the base of the spacecrafts during launch to prevent fires and reduce dispersal of dust and debris.”

A SpaceX Falcon 9 rocket with a crew of two lifts off from launch pad 40 at the Cape Canaveral Space Force Station Sept. 28, 2024, at Cape Canaveral, Fla. (AP Photo/John Raoux)

The decision comes just two months before Musk is expected to work closely with President-elect Trump’s administration.

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Musk is planning to work with Trump and entrepreneur Vivek Ramaswamy on the newly formed Department of Government Efficiency to cut government spending.