permitting policies and pitfalls of offshore wind

30
Permitting Policies Permitting Policies and Pitfalls of and Pitfalls of Offshore Wind Offshore Wind Presented By Katherine A. Roek STOEL RIVES LLP May 5, 2009

Upload: ardith

Post on 11-Jan-2016

26 views

Category:

Documents


0 download

DESCRIPTION

Permitting Policies and Pitfalls of Offshore Wind. Presented By Katherine A. Roek STOEL RIVES LLP May 5, 2009. To order any of these books, please contact:. Katherine A. Roek * 612.373.8820 [email protected] * www.stoel.com. Why are we discussing offshore?. Overview. - PowerPoint PPT Presentation

TRANSCRIPT

Page 1: Permitting Policies and Pitfalls of Offshore Wind

Permitting Policies and Permitting Policies and Pitfalls of Offshore Pitfalls of Offshore

WindWind

Presented By

Katherine A. RoekSTOEL RIVES LLP

May 5, 2009

Page 2: Permitting Policies and Pitfalls of Offshore Wind

2

To order any of these books, please contact:To order any of these books, please contact:

Katherine A. Roek * 612.373.8820 [email protected] * www.stoel.comKatherine A. Roek * 612.373.8820 [email protected] * www.stoel.com

Page 3: Permitting Policies and Pitfalls of Offshore Wind

Why are we discussing Why are we discussing offshore?offshore?

3

Page 4: Permitting Policies and Pitfalls of Offshore Wind

Overview Overview

• Offshore vs. Onshore permitting issues

• Federal jurisdictional waters vs. State jurisdictional waters

• State of offshore wind development in the U.S.

• What does the future hold?

4

Page 5: Permitting Policies and Pitfalls of Offshore Wind

Permitting IssuesPermitting Issues

• Land interest acquisition

• Local zoning

• Avian impacts

• Other wildlife/endangered species

• Wetlands

• Aviation

• Visual impacts

• Noise/human health consequences

5

• Marine mammals• Fish• Navigation• Existing uses (commercial

fisheries, crabbing)• Electromagnetic field• Creation of new environments /

adaptive management• Water quality• Ease of removal• Military radar

ONSHORE OFFSHORE

Page 6: Permitting Policies and Pitfalls of Offshore Wind

Siting Authority – Federal Siting Authority – Federal WatersWaters

Outer Continental Shelf (OCS) under the jurisdiction of:

•Minerals Management Service (MMS)

•Federal Energy Regulatory Commission (FERC)

6

Page 7: Permitting Policies and Pitfalls of Offshore Wind

Siting Authority – State WatersSiting Authority – State Waters

• Atlantic/Pacific coasts– up to 3 nautical miles offshore

• Great Lakes – each state out to center of lake

• Gulf of Mexico (Texas, Florida)– 9 nautical miles offshore

7

Page 8: Permitting Policies and Pitfalls of Offshore Wind

8

Page 9: Permitting Policies and Pitfalls of Offshore Wind

9

Page 10: Permitting Policies and Pitfalls of Offshore Wind

Offshore Wind Development Offshore Wind Development –Federal Laws–Federal Laws

• Submerged Lands Act of 1953

• Coastal Zone Management Act

• National Environmental Policy Act

• Endangered Species Act

• Clean Water Act

10

Page 11: Permitting Policies and Pitfalls of Offshore Wind

Offshore Wind Development Offshore Wind Development –Federal Laws–Federal Laws

• Others

– Fish & Wildlife Coordination Act

– Rivers & Harbors Act

– Migratory Bird Treaty Act

– Marine Mammals Protection Act

11

Page 12: Permitting Policies and Pitfalls of Offshore Wind

Offshore Wind Development Offshore Wind Development –State Laws–State Laws

• State environmental policy act (if applicable)• Water quality• Endangered species / wildlife protection• Commercial fishing / crabbing• Coastal zone management• Marine safety• Onshore issues (cables, waterfront

development)• Water rights (?)

12

Page 13: Permitting Policies and Pitfalls of Offshore Wind

Federal – MMS Leasing Federal – MMS Leasing RegulationsRegulations

• MMS issued final regulations for granting competitive / non-competitive commercial leases, limited leases, rights-of-way and rights-of-use and easements on the OCS.– Finalized proposed regs that were issued

July 9, 2008

13

April 22, 2009

Page 14: Permitting Policies and Pitfalls of Offshore Wind

Federal – MMS Leasing Federal – MMS Leasing Regulations Regulations

• Types of leases: – Commercial

• Energy development

• ~30 years

• Competitively bid

– Limited• Data gathering

• ~5 years

• BUT: limited power sale permitted14

Page 15: Permitting Policies and Pitfalls of Offshore Wind

Federal – MMS Leasing Federal – MMS Leasing RegulationsRegulations

• Regulations also specify: – Required Financial Assurance– Rental Amounts and Operating Fees– Environmental Review

• Changes from proposed rules include:– Allowance of limited power production

during limited lease– Addition of multiple-factor auction format

with respect to bidding process15

Page 16: Permitting Policies and Pitfalls of Offshore Wind

MMS Limited Leases IssuedMMS Limited Leases Issued

• MMS issued limited leases (under interim policy) to companies to conduct data collection and technology assessment activities on the OCS. – Does not authorize energy production.

16

July 2008

Page 17: Permitting Policies and Pitfalls of Offshore Wind

MMS Limited Leases IssuedMMS Limited Leases Issued

• Wind energy recipients of leases include:

– Fisherman’s Energy (NJ, RI)

– Deepwater Wind (NJ, RI)

– Southern Company (GA)

– Bluewater Wind (DE, NJ, NY, RI)

17

Page 18: Permitting Policies and Pitfalls of Offshore Wind

Interaction between MMS & Interaction between MMS & FERCFERC

• Federal Power Act

– authorizes FERC to issue licenses for non-federal hydropower projects

• OCSLA

– authorizes MMS to issue leases/ROW on OCS

18

Page 19: Permitting Policies and Pitfalls of Offshore Wind

Interaction between MMS & Interaction between MMS & FERCFERC

• FERC-MMS signed a Memorandum of Understanding.– FERC will issue licenses for hydro projects

on OCS– MMS will issues leases, easements, and ROW

on OCS

19

April 9, 2009

Page 20: Permitting Policies and Pitfalls of Offshore Wind

20

Page 21: Permitting Policies and Pitfalls of Offshore Wind

Current U.S. ProjectsCurrent U.S. Projects

• Cape Wind (130 turbines, 420 MW, Nantucket)

– January 16, 2009: Final EIS (2,800-pages)issued by MMS. Awaiting lease from MMS.

– January-March 2009: Received consistency determination, composite approval from state. 21

SOURCE: GreenPeace USA

Page 22: Permitting Policies and Pitfalls of Offshore Wind

Current U.S. ProjectsCurrent U.S. Projects

• Bluewater Wind (450 MW, Delaware)

– July 31, 2008: PPA with Delmarva Power approved by DE Public Service Commission.

– Evaluating wind resources, preparing environmental and permitting documents for submission to MMS.

22

Page 23: Permitting Policies and Pitfalls of Offshore Wind

Current U.S. ProjectsCurrent U.S. Projects

• Deepwater Wind

– January 2009: agreement with RI to construct two-phased project: 5-8 turbines in state waters (2012); utility-scale (~400 MW) in federal waters (TBD).

– October 2008: selected by NJ Board of Public Utilities to build 350 MW wind farm in federal waters. Includes $19 million in state grant monies (2013).

23

Page 24: Permitting Policies and Pitfalls of Offshore Wind

Current U.S. ProjectsCurrent U.S. Projects

• Wind Energy Systems Technology (WEST)– 2005: Signed lease with TX GLO for 150

MW project.

– Meteorological tower off of Galveston has compiled almost two years of data.

• Great Lakes Energy Development Task Force (off coast of Cuyahoga County, OH – Lake Erie)– Has begun resource assessment. – Spring 2009: feasibility study.

24

Page 25: Permitting Policies and Pitfalls of Offshore Wind

Current U.S. ProjectsCurrent U.S. Projects

• Long Island Power Authority / Con Edison– Joint FS for interconnection of 350 MW

project 13 miles offshore of Long Island, with the ability to extend up to 700 MW.

– Interconnect request filed w/ NY ISO.– April 2009: Wind collaborative of state,

municipal entities interested in supporting / purchasing power from the project.

25

Page 26: Permitting Policies and Pitfalls of Offshore Wind

State InitiativesState Initiatives

• Wisconsin – January 2009: Public Service Commission –

prepared Feasibility Report

– Working with Michigan on potential cooperation

• Michigan– May 2008: Offshore Wind Permitting Dry-Run

– Great Lakes Wind Council created by Governor to identify prudent locations for offshore wind farms.

26

Page 27: Permitting Policies and Pitfalls of Offshore Wind

State InitiativesState Initiatives

• Rhode Island– Ocean Zoning– Selected Preferred Developer– Legislation to Facilitate PPAs

• New Jersey– Blue Ribbon Panel to Evaluate Offshore Wind– Ocean Environmental Assessment– Selected Preferred Developer– Created Energy Master Plan

27

Page 28: Permitting Policies and Pitfalls of Offshore Wind

Land-based

OffshoreWindTechnology

EstimatedUS Resource

0m-20m430-GW

ComerciallyProven

Technology DemonstrationPhase

No exclusions assumed for resource estimates

30m-60m541-GW

60m-900m1533-GW

ShallowWater

TransitionalDepth

DeepwaterFloating

28

Page 29: Permitting Policies and Pitfalls of Offshore Wind

ResourcesResources

• www.mms.gov/offshore/alternativeenergy/regulatoryinformation.htm

• www.awea.org/faq/wwt_offshore.html

• www.psc.wi.gov

• www.michigan.gov/dleg

• www.ri.gov

• www.nj.gov

29

Page 30: Permitting Policies and Pitfalls of Offshore Wind

Thank you!Thank you!

Visit our booth - #3148!

Katherine A. Roek

(612) 373-8820

[email protected]

www.stoel.com

30