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Renewable Energy Permitting in Hawaii

Cameron BlackPermitting Specialist

Hawaii State Energy OfficeDepartment of Business, Economic Development & Tourism

April 5, 2011

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Hawaii Depends on Imports• 90% of our energy and food is imported

Energy: 70-80% oil imported from foreign countries, 20-30% imported from Alaska Largest oil spill in U.S. history occurred 300 NM (600 km) off Honolulu; Hawaiian Patriot (1977)*

– >30M gallons spilled into Pacific Ocean, away from HI (Exxon Valdez: 11M gallons) Other HI spills: 3,360 gallons onto shore (B. Pt., 1989); 2,000 gallons (B. Pt., 2006) Approximately 1 tanker (1.5 M bbls) arrives in Hawaii every two weeks

• Hawaii pays the highest electricity and fuel costs in the U.S.**

• Hawaii food prices are above U.S. average***

* National Oceanic and Atmospheric Administration (2011) ** U.S. Energy Information Administration (Jan. 2011) AAA Daily Fuel Gauge Report (March 2011)*** U.S. Dept. of Agriculture (2011)

Kalaeloa, Oahu

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Site

Resource

Off-take

Permits

Technology

Team

Capital

Development Risk Capital

Project Finance

Asset Finance$

Project Development Capital Risks

Risk

Unknowns

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Permitting JourneyFederal Permits

Shoreline Certification

Subdivisions

FAA

BOEMRE

USACOE

Nat’l Park Service

NOAA

US FWS

Dept. of Interior

US Coast Guard

Sewer Connection

PUC

Start

HCDA

Enterprise Zone (DBEDT)

DLIR

EPA

County Permits

Building/Electrical Plumbing/Grading

Inspections

Contested Case Legal Action

Zoning

Planning Commission

Neighborhood Board

County Council

Environmental Health (DOH)

ESRC

Special Management Area

Endangered Species

(DOFAW)

Special Use Zoning/Boundary

(LUC)

Geothermal (DLNR)

Coastal Zone (DBEDT)

Land Division (DLNR)DHHL

Haw Homes Comm

CWRM (DLNR)

Dams/Reservoirs (DLNR)

OCCL (DLNR)

BLNR

HDOT

DOTAX

DOEState Permits

USDA

DOT

FERC

HRS 343 (OEQC)

Quarantine/Pesticides (DOA)

SHPD (DLNR)

ACHP

NEPA (CEQ)Environmental

Services

Pubic Works

Homeowner Associations

Finish

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Permitting Challenges • Up to 60 county, state, and federal permits could be required

Renewable energy projects average 10 - 20 permits Many different agencies, branches, divisions, offices, commissions, departments, administrations

• Agency-Applicant exchange Incomplete applications, additional information requested, project changes, rule changes

• Hawaii’s many protected natural resources Cultural/historical Ecological (environment, species, water)

• Hawaii’s many different land use laws State, County, DHHL, ALISH

• Renewable energy technologies offer new compliance questions HRS 343, building/electrical codes, uses (zoning), clean air

• Public opposition to project• Permits impact project financing • Residential Photovoltaic/Solar

Perceived lack of uniformity (inspections and installations)

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Permitting Solutions • Identify all permits and agencies early

Closely consider permitting requirements; contact potential permitting agencies if questions Retain a credible consultant (quality project team)

• Better Agency-Applicant exchange One submittal = one review Online permitting

• Identify all impacted species, historical/cultural sites, and natural resources Understand and appreciate the importance of these resources/sites Work with relevant groups to protect/propagate or feature protected resources

• Find a zone that permits your project (location, location, location) Infrastructure (roads, utilities, water, circuit lads)

• Adjust your project to fit the zone• Engage the public early in the process

Incorporate their comments; take recommendations under serious consideration

• Allow ample permitting time prior to financing; financing contingencies• Residential Photovoltaic/Solar

Work with property owner, agency, and installer/contractor

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Navigating the Permitting Journey • Guide to Renewable Energy Development and Permitting Wizard (map, GPS)

Where am I? Where do I start? Where do I need to go? Identify pitfalls Travel recommendations

• Online Permitting (self-service fueling, one-stop shopping) Way to get there faster

– e-Permitting - DOH/DBEDT– County online permitting tools

• Other inter-governmental coordination efforts (infrastructure, signage) Coordinating the journey

• Renewable Energy Facility Siting Process (personal guide) Get to the Finish within 12 months of HRS 343 compliance

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Permitting Tools• Guide to Renewable Energy Facility Permitting in Hawaii

Development challenges in HI, facilitation strategies, renewable technologies– Identifies all county, state, federal permits and when/why needed– Discusses application processing steps, estimated times, costs– Audience: developers, government, homeowners, lenders, public– Input from government and private sector– Expected completion: Spring 2011 (Guidebook and HCEI Website); ongoing updates

• Permitting Wizard (Hawaii Clean Energy Initiative website) http://www.hawaiicleanenergyinitiative.org/ Creates Permit Plan online via answers to series of project/site questions

– Location, technology/facility, surrounding environment Identifies

– All required permits, relevant agencies, permitting sequence and prerequisites, estimated permit issuance timelines

Phase II - User accounts, Wizard updates– Public and private sector outreach sessions

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Permitting Wizard

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Permitting Tools• Online Permitting (building permits and others)

C&CH, Department of Planning and Permitting Maui County Kauai County Hawaii County

• County/State/Utility Cooperation Uniformity

– Installations and inspections for residential/commercial projects Partnerships

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Permitting Tools• e-Permitting Portal Project – DOH/DBEDT

All DOH Environmental Heath Administration (EHS) permits/approvals online– Water, Air, Soil, Waste, Drinking Water, Injection Wells, Sanitation, Noise

Easy online permit identification and application/online payment User accounts store all Applicant or Project permits

– Stores all other reports and forms required for a permit Instant DOH-Applicant interaction DOH can easily modify permit applications and requirements Users can track processing status of permit

– Users automatically notified of processing progress and needs Model for other state/county agencies Expected completion: Fall 2011

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e-Permitting Portal

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Permitting Tools • Renewable Energy Facility Siting Process (HRS 201N)

Projects must have capacity of >5MW or 1M gal/yr biofuels to be eligible All county and state permits must be issued within 12 mos. (18 mo. extension)

of HRS 343 compliance (final acceptance of HRS 343 document)– Federal agency coordination

Energy Coordinator (DBEDT) – Permit Plan (Application), Cost Reimbursement Agreement (CRA)– Public notice (OEQC) and public hearing on Permit Plan

Applicant– CRA, commitment to participate, cooperation with permitting agencies

Permitting Agencies

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Thank YouQuestions and Discussion

cameron.b.black@dbedt.hawaii.gov(808) 587-9009