Ocean Renewable

Danger Already Looming With Respect to MMS Regulations

The MMS regulations on alternative energy development on the OCS haven't even issued and already, there are calls for MMS to withhold action on the Cape Wind Project until it establishes guidelines for all offshore wind projects.  Massachusetts Governor Mitt Romney took this position in a letter available here at Cape Cod  Today and we've also included the letter in its entirety at the end of this post.

It's not clear how whatever system MMS puts into place is going to differ all that dramatically from the environmental review undertaken by the Corps.   These days, there's very little difference in federal licensing processes, whether run by the Corps, FERC or any other agency.  All require consultation and input from state agencies, all allow for significant public notice, all provide for stakeholder meetings, all involve disputes over the extent of studies that an applicant must perform.  If MMS does in fact decide to promulgate its own rules for obtaining a lease on the OCS, I wouldn't be surprised if large portions of the rule were lifted from FERC, the Corps or other federal or state agencies.  And if that's the case, what is the point of withholding action on Cape Wind until MMS completes its rulemaking?

[continue reading for text of Romney's letter]

MMS Regulations on OCS, Coming Soon

Preparatory to issuing an Advance Notice of Rulemaking (ANOPR) concerning leases and rights of way for alternative energy projects on the Outer Continental Shelf (OCS), the Department of Interior's Mineral Management Service has created this website on Renewable Energy and Alternative Uses of the OCS.  OREC will be visiting this site regularly to keep abreast of proposed rules when they issue as well as other developments.

At present, the site contains this Presentation on Alternative Energy by MMS Deputy Director Walter Cruickshank which gives a very brief preview of how MMS anticipates that its leasing program will operate.  According to the presentation, MMS has taken steps to assume lead agency authority for the Cape Wind and Long Island Power Authority offshore wind projects (presumably, the Wind Energy Systems Technology's Galveston Offshore Wind Project, which just successfully secured a lease for the project with the Texas General Lands Office will not be affected by MMS' new OCS jurisdiction since the project is located exclusively on Texas submerged lands.)  It is not yet clear how MMS intends to handle offshore ocean energy projects, i.e., whether MMS will assume control now held by FERC or will share the lead. 

ITC Report on Global Renewable Energy Markets

Some of our members may be interested in this recent Report issued last month by the United States International Trade Commission entitled "General Factfinding Investigation: Renewable Energy Services: An Examination of U.S. and Foreign Markets." (Publication 3805) The report examines global markets for various forms of renewable energy, including wind, solar, biomass and ocean, with a chapter devoted to each.

For Posterity

The testimony that OREC submitted to the House Ways and Means Committee this past summer on a production tax credit for ocean renewables has been saved for posterity here in the Energy Bill archives.

FERC Continues to Keep Hold on Ocean Projects

On October 11, 2005, FERC asserted jurisdiction over Energetech America's proposed Port Judith, Rhode Island Project.  FERC's order is available as a PDF file here.  Energetech may have a chance to qualify for a short term waiver from licensing requirements if it can submit the information that FERC has requested in this letter.  OREC will keep you posted on this matter as it unfolds at our website.