FERC & Hydrokinetic ProjectsFERC & Hydrokinetic Projects
Ocean Energy for New England Ocean Energy for New England ConferenceConference
Hosted by the Marine Renewable Energy Center at Hosted by the Marine Renewable Energy Center at the Advanced Technology and Manufacturing the Advanced Technology and Manufacturing
Center Center Fall River, MAFall River, MA
October 6, 2008October 6, 2008
TopicsTopics
• Flexibility at Flexibility at FERC: Approach FERC: Approach to New to New TechnologiesTechnologies
• Hydrokinetic Hydrokinetic Project Proposals Project Proposals
• Next steps & Next steps & informationinformation
Hydrokinetic ProjectsHydrokinetic Projects
Conventional hydropower projects
Hydrokinetic projects: generate electricity from waves or directly from the flow of water in ocean currents, tides, or inland waterways
Regulatory ApproachRegulatory Approach
• The Commission:The Commission:– supports the development of hydrokinetic supports the development of hydrokinetic
projectsprojects– recognizes the conundrum of need for real-recognizes the conundrum of need for real-
world testing, yet limited information to world testing, yet limited information to prepare applicationprepare application
• Tailored existing program:Tailored existing program:– Preliminary permits Preliminary permits – Test projects Test projects – Pilot project licensePilot project license
Types of IssuancesTypes of Issuances
• Preliminary permitsPreliminary permits– Maintains priority of application for three yearsMaintains priority of application for three years– Conduct feasibility studies and prefiling Conduct feasibility studies and prefiling
activitiesactivities– Doesn’t authorize constructionDoesn’t authorize construction
• LicensesLicenses– Authorizes construction Authorizes construction
and operationand operation– Original up to 50 yearsOriginal up to 50 years– Relicense 30-50 yearsRelicense 30-50 years
Preliminary Permit Preliminary Permit ReviewReview
Strict Scrutiny – February 15, Strict Scrutiny – February 15, 20072007
• ApplicationsApplications– Appropriately sized areaAppropriately sized area– Details of proposedDetails of proposed
technologytechnology• Post-issuance administrationPost-issuance administration
– Schedule of activitiesSchedule of activities– Progress reportsProgress reports– Cancel permit if no progressCancel permit if no progress
Hydrokinetic Project Hydrokinetic Project PermitsPermits
(as of September 23, 2008)(as of September 23, 2008)
• Issued, existing preliminary permitsIssued, existing preliminary permits– 34 tidal, 9 wave, 0 ocean current, 68 34 tidal, 9 wave, 0 ocean current, 68
inlandinland
• Pending preliminary permitsPending preliminary permits– 20 tidal, 4 wave, 3 ocean current, 66 20 tidal, 4 wave, 3 ocean current, 66
inlandinland
FERC-Issued Hydrokinetic License and Preliminary
Permits
FERC-Issued Hydrokinetic Preliminary Permits
Pending Preliminary Pending Preliminary PermitsPermits
Test ProjectsTest Projects(no FERC license needed)(no FERC license needed)
• Verdant Declaratory Order- April 2005, July Verdant Declaratory Order- April 2005, July 20052005
• No license required if:No license required if:-Experimental technology -Experimental technology
-Short term installation -Short term installation for conducting studiesfor conducting studies
-Test project does not -Test project does not transmit into, or displace transmit into, or displace power from, the national power from, the national electric energy gridelectric energy grid
Pilot Project LicensePilot Project LicenseWhitepaper – updated April 14, Whitepaper – updated April 14,
20082008
• Test technologies, evaluate sites, monitor Test technologies, evaluate sites, monitor effects, and generate electricityeffects, and generate electricity
• Agency and public input, with FERC Agency and public input, with FERC oversightoversight
• Complete licensing in as few as 6 monthsComplete licensing in as few as 6 months• Guard against environmental harmGuard against environmental harm
– Short license term, small footprint, removableShort license term, small footprint, removable– Careful monitoringCareful monitoring– Project shutdown or removal if harmProject shutdown or removal if harm
Pilot Project Licensing Pilot Project Licensing Procedures Procedures
Available for projects that are:Available for projects that are:• small, short term small, short term • not in sensitive areasnot in sensitive areas• removable & able to be shut down removable & able to be shut down • removed, with site restoredremoved, with site restored• initiated by draft application in a form initiated by draft application in a form
sufficient to support environmental analysissufficient to support environmental analysis
***On case-by-case basis******On case-by-case basis***
Hydrokinetic Project Hydrokinetic Project ProposalsProposals (as of June 4, 2008)(as of June 4, 2008)
• Pre-filing license applicationsPre-filing license applications– Reedsport (OR) Reedsport (OR) – Coos Bay (OR)Coos Bay (OR)– Douglas County (OR)Douglas County (OR)– Roosevelt Island (NY)Roosevelt Island (NY)
• License issued License issued – Makah Bay (WA)Makah Bay (WA)
Typical StatutesTypical Statutes
• Federal Power ActFederal Power Act• National Environmental Policy ActNational Environmental Policy Act• Endangered Species ActEndangered Species Act• Marine Mammal Protection ActMarine Mammal Protection Act• Magnuson-Stevens Fisheries ActMagnuson-Stevens Fisheries Act• Fish and Wildlife Coordination ActFish and Wildlife Coordination Act• Coastal Zone Management ActCoastal Zone Management Act• Clean Water ActClean Water Act• National Historic Preservation ActNational Historic Preservation Act
Give equal consideration to power and environmental values
Licensing StandardLicensing StandardFederal Power ActFederal Power Act
Standard Licensing ProcessesStandard Licensing Processes
Integrated Licensing Process (ILP)-defaultIntegrated Licensing Process (ILP)-default– Traditional Licensing Process (TLP)Traditional Licensing Process (TLP)– Alternative Licensing Process (ALP)Alternative Licensing Process (ALP)
Prefiling:
• Consult with interested parties on issues and studies
•Public meeting(s)
• Conduct studies•Prepare license application
Postfiling:
• Seek comments from interested parties
• Prepare EA or EIS and seek comments
• Weigh all information in record before Commission decision
• Process Process guidanceguidance
• Issued and Issued and pending permits pending permits and licensesand licenses
• Timeline of Timeline of Commission Commission actionsactions
Hydrokinetic WebsiteHydrokinetic Websitewww.ferc.govwww.ferc.gov
Next StepsNext Steps
• Project specificProject specific– Participate in prefiling and process Participate in prefiling and process
applicationsapplications
• ProgrammaticProgrammatic
– Coordinate with states and agencies to Coordinate with states and agencies to establish agreements (MOUs, etc)establish agreements (MOUs, etc)
– Continue outreachContinue outreach– Consider additional strategies as projects Consider additional strategies as projects
progress, i.e., how best to build out from a progress, i.e., how best to build out from a pilot projectpilot project
QuestionsQuestionswww.ferc.govwww.ferc.gov
Kristen MurphyKristen Murphy202.502.6236202.502.6236
[email protected]@ferc.gov
Applicant Files License Application (Including Revised Monitoring Plan ),
Applicant Prepared DBA, CZMA
Application, and 401 Application (if
needed )5
Applicant Provides to Stakeholders and Files with
Commission: 1) NOI; 2) Draft License Application
(DLA), Including Proposed Monitoring Plan ; 3) Request for Waiver/Process Plan; 4) Request for Designation as Non-Federal Representative
for ESA & Section 106 (NHPA) Consultation
Commission Notices Pre-Filing Process and
Document Availability 1
Agencies and Others File Comments on Process Plan
and DLA (Including Monitoring Plan)
Commission Solicits Tribal Consultation and Designates
Applicant as Non-Federal Representative for ESA and
Section 106 Consultation 2
30
Commission Issues Acceptance & REA
Notice; and Request for Interventions
6A
Commission Issues BA
6B
Agencies and Others File
Recommendations , Conditions, and
Comments on the Application
7
30
15 30
Commission Issues Single EA
if FONSI8
Agencies and Others Comment
on EA; 10J Resolution
9
3060Ready for
Commission Decision
10
Pre
-Fili
ng
Act
ivity
Pos
t-Fili
ng A
ctiv
ity
Commission Notices Conclusion
of Pre-filing Process
Commission Makes Determination on
Request for Waiver/Process
Plan 4
15 Commission Issues Meeting
Notice (if needed)
3 A
30
15Public Meeting/Technical
Conference (if needed)
3 B
Hydrokinetic Pilot Project Licensing ProceduresHydrokinetic Pilot Project Licensing Procedures
