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Office of Energy Projects Terry L. Turpin, P.E. LNG Engineering Branch Federal Energy Regulatory Commission October 18, 2006 LNG IMPORT PROJECTS: FERC REVIEW PROCESS
Office of Energy Projects
Terry L. Turpin, P.E.LNG Engineering Branch
Federal Energy Regulatory Commission
October 18, 2006
LNG IMPORT PROJECTS:FERC REVIEW PROCESS
FERC
Office of Energy Projects2
• FERC Organizational Structure• LNG Project Review Process• Engineering Design Review• Exclusion Zones• Emergency Response Plan• Cost-Sharing Plan• Safety & Security Coordination with States
Overview
FERC
Office of Energy Projects
ChairmanKelliher (R)
ExternalAffairs
GeneralCounsel
EnergyMarkets &Reliability
ExecutiveDirector
AdministrativeLitigation
AdministrativeLaw Judges
EnergyProjects
Secretary
CommissionerKelly (D)
CommissionerSpitzer (R)
CommissionerMoeller (R)
CommissionerWellinghoff (D)
Enforcement
3
FERC
4
DirectorJ. Mark Robinson
Deputy DirectorRobert J. Cupina
Division of Pipeline Certificates
Director - Berne L. MosleyDeputy Dir. - Vacant
Division of Gas-Environment & EngineeringDirector - Richard R. Hoffmann
Deputy Dir. – Lauren H. O’Donnell
Division of Hydropower Licensing
Director - Ann F. MilesDeputy Dir.- Edward A. Abrams
Division of HydropowerAdministration & Compliance
Director - Joseph D. MorganDeputy Dir. - Hossein Ildari
Division of Dam Safety& Inspections
Director – Constantine G. TjoumasDeputy Dir. – Daniel J. Mahoney
Energy InfrastructurePolicy GroupJeff C. Wright
Assistant DirectorManagement & Operations
Thomas E. DeWitt
Certificates Branch 1Michael J. McGehee
Certificates Branch 2William L. Zoller
Gas Branch 1Michael J. Boyle
Gas Branch 2Alisa M. Lykens
Gas Branch 3Lonnie A. Lister
Hydro East Branch 1Vince E. Yearick
Hydro East Branch 2Mark A. Pawlowski
Hydro West Branch 1Jennifer Hill
Hydro West Branch 2Timothy J. Welch
Land ResourceBranch
John E. Estep
Engineering &Jurisdiction BranchWilliam Y. Guey-Lee
Biological ResourcesBranch
George H. Taylor
Washington OfficeWilliam H. Allerton
Atlanta RegionalOffice
Jerrold W. Gotzmer
Chicago RegionalOffice
Peggy A. Harding
New York RegionalOffice
Charles Goggins
Portland RegionalOffice
Harry T. Hall
San FranciscoRegional Office
Takeshi Yamashita
LNG EngineeringBranch
Terry L. Turpin
LNG ComplianceBranch
Chris M. Zerby
OEP Organizational Structure
Timeline for LNG Project Review Process
StartPF
Review
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Review DraftResource Reports
& Prepare Prelim. DEIS
IssueDraftEIS
FileAt
FERC
IssueOrder
Prepare Draft ResourceReports
IssueFinalEIS
Applicant’s Activities
FERC’s Activities
DetermineApplicationComplete
(months)
SubmitPF
letter
FERC
Office of Energy Projects5
Office of Energy Projects
FERC
Start of Pre-Filing Process
Scoping Meeting / Site Visit
Data Requests, Analysis & Agency Coordination
Notice of Application
Interventions & Protests
Issue DEIS
Public Meeting / Comments
Issue FEIS
Authorization / Denial
Safety & Engineering
Cryogenic Design &Safety Review
Technical Conference
Waterway SuitabilityAssessment Review
Waterway Suitability Report
USCG Letter of Recommendation(issued independently)
LNG Project Review Process
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FERC
Office of Energy Projects7
Multi-Agency Jurisdiction
FERC – Section 3 of the Natural Gas Act
USCG – 33 CFR Part 105 Facility Security
FERC – Lead Agency for Environmental Impact Statement
DOT – 49 CFR Part 193 Safety StandardsUSCG – 33 CFR Part 127
Interagency Agreement of February 2004 ensures integrated and concurrent review
shipfirst
valve
tank
pipeline
FERC
Office of Energy Projects8
FERC Staff’sEngineering Review
Onshore Facility Review• Cryogenic Design and
Technical Review – Report 13• Safety systems – detection and
control• Exclusion Zones – Thermal
Radiation and Flammable Vapor
• Compliance with 49 CFR Part 193 and NFPA 59A
Marine Safety Review• Coordination w/ Coast Guard• Cargo spill hazard analysis
FERC
Office of Energy Projects9
Cryogenic Design Review
• Fuel Gas System
• Storage Tanks
• Electrical Systems
• Seismic design review
• Operational reliability
• Training, Operation & Emergency Procedures
• Compliance with DOT & NFPA safety requirements
Marine Facilities LNG Pumps LNG VaporizersCompressors & BlowersProcess VesselsProcess Piping SystemsInstrument Pneumatic System Instrumentation & Controls
FERC
Office of Energy Projects10
Exclusion Zones
• Title 49, CFR, Part 193: Federal Safety Standards for LNG Facilities establish siting criteria in terms of exclusion zones.
– Sec. 193.2057 Thermal radiation protection
– Sec. 193.2059 Flammable vapor-gas dispersion protection.
• Require that each LNG container and LNG transfer system must have a thermal and flammable vapor dispersion exclusion zone.
• Zones are calculated for design spills established by NFPA 59A: Standard for the Production, Storage, and Handling of LNG.
FERC
Office of Energy Projects11
LNG Storage TankIncident Flux (Btu/ft2 hr) Exclusion Area
1,600 Outdoor assembly area occupied by 50 or more people.
3,000 Offsite structures used foroccupancies or residences.
10,000 Property line that can be built upon.
Vaporization, Process, or LNG transfer areasIncident Flux (Btu/ft2 hr) Exclusion Area
1,600 Property line that can be built upon.
Thermal Radiation Exclusion Zones
FERC
Office of Energy Projects12
Vapor DispersionExclusion Zones
• Part 193.2059 requires that provisions be made to minimize the possibility of flammable vapors from a design spill from reaching a property line that can be built upon.
• Calculations are done to 2.5 percent average gas concentration (one half the lower flammability limit of LNG vapor).
FERC
Office of Energy Projects13
Marine Traffic and Vessel Safety
• Compliance with 33 CFR Part 127
• Letter of Intent to initiate U.S. Coast Guard Letter of Recommendation
• June 2005 NVIC / WSA
• Marine Safety Analysis –Thermal Radiation and Flammable Vapor Hazards
• Vessel Traffic Congestion
FERC
Office of Energy Projects14
• To be developed in coordination with the Coast Guard, state, county, and local emergency planning groups, fire departments, state and local law enforcement, and appropriate Federal agencies.
• Must include– designated contacts with state and local emergency response agencies; – procedures for notification of local officials and emergency response
agencies; – procedures for notifying residents and recreational users within areas of
potential hazard; – evacuation routes for residents and other public use areas that are within
any transient hazard areas along the route of the LNG vessel transit; – locations of permanent sirens and other warning devices; and– an “emergency coordinator” on each LNG vessel to activate sirens and other
warning devices.
• Must include a Cost-Sharing Plan
• The ERP must be approved by FERC prior to any final approval to begin construction
Emergency Response Plan
FERC
Office of Energy Projects15
Cost-Sharing Plan
• Identifies mechanisms for funding all project-specific security/emergency management costs that may be imposed on state and local agencies
• The Cost-Sharing Plan (as part of the ERP) must be approved by FERC prior to any final approval to begin construction
FERC
Office of Energy Projects16
• Governor designates an agency to consult with FERC about state and local safety considerations
• The designated agency may file an advisory
report within 30 days of filing of application
• Project Sponsor’s Emergency Response Plan
must involve state and local agencies
Safety & SecurityCoordination with States
FERC
Office of Energy Projects17
Please send an original and two copies of your comment letter to:
Magalie R. Salas, SecretaryFederal Energy Regulatory Commission888 First St., N.E., Room 1AWashington, DC 20426
Reference Docket No. PF06-22-000 on the original and both copies, and label one copy of your comments for the attention of the Gas Branch 2, DG2E.
Comments may also be submitted electronically to the FERC via the Internet on the FERC’s website. See the instructions at http://www.ferc.gov under the “e-Filing” link.
How to Comment
Office of Energy Projects
LNG IMPORT PROJECTS:FERC REVIEW PROCESS
