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Archive for the ‘FERC’ Category

MendoCoastCurrent, March 14, 2011

Dear President Obama,

Continuing to hear comments that you, your administration and your cabinet members consider nuclear power as a clean, renewable solution is most alarming.

Mr. President, let’s consider the nuclear event occurring in Japan right now and learn the simple truth that any safe renewable energy portfolio DOES NOT include nuclear energy.

The ramifications of the current Japanese nuclear trauma will be felt worldwide as will the fall-out, for months and possibly years to come.

Mr. President, I strongly encourage your team to change course, hit the ground running in alternative, renewable and sustainable energy r&d right now.

Here’s a solution that may be started TODAY ~ http://bit.ly/t7ov1

I call it Mendocino Energy and am not attached to the name, yet very passionate about this important safe, renewable energy development concept. Time has come for us to get rolling!

Mendocino Energy ~ At this core energy technology incubator, energy policy is created as renewable energy technologies and science move swiftly from white boards and white papers to testing, refinement and implementation.

The Vision

Mendocino Energy is located on the Mendocino coast, three plus hours north of San Francisco, Silicon Valley. On the waterfront of Fort Bragg, utilizing a portion of the now-defunct Georgia-Pacific Mill Site to innovate in best practices, cost-efficient, safe renewable and sustainable energy development – wind, wave, solar, bioremediation, green-ag/algae, smart grid and grid technologies, et al.

The process is collaborative in creating, identifying and engineering optimum, commercial-scale, sustainable, renewable energy solutions with acumen.

Start-ups, utility companies, universities (e.g. Precourt Institute for Energy at Stanford), EPRI, the federal government (FERC, DOE, DOI) and the world’s greatest minds gathering at this fast-tracked, unique coming-together of a green work force and the U.S. government, creating responsible, safe renewable energy technologies to quickly identify best commercialization candidates and build-outs.

The campus is quickly constructed on healthy areas of the Mill Site as in the past, this waterfront, 400+ acre industry created contaminated areas where mushroom bioremediation is underway.

Determining best sitings for projects in solar thermal, wind turbines and mills, algae farming, bioremediation; taking the important first steps towards establishing U.S. leadership in renewable energy and the global green economy.

With deep concern & hope,

Laurel Krause

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MendoCoastCurrent, June 25, 2010

The Federal Energy Regulatory Commission (FERC) today proposed to build on its Order No. 890 open access transmission reforms by establishing a closer link between regional electric transmission planning and cost allocation to help ensure that needed transmission facilities actually are built.

The Notice of Proposed Rulemaking (NOPR) is based on an extensive record: three years of monitoring implementation of Order No. 890, three regional technical conferences and examination of more than 150 sets of comments filed in response to an October 2009 request for comment on transmission planning and cost allocation. It proposes and seeks comment on requiring:

  • Transmission providers to establish a closer link between cost allocation and regional transmission planning by identifying and establishing cost allocation methods for beneficiaries of new transmission facilities;
  • Transmission planning to take into account needs driven by public policy requirements established by state or federal laws or regulations;
  • Neighboring transmission planning regions to improve their coordination with respect to facilities that are proposed to be constructed in two adjacent regions and could address transmission needs more efficiently than separate intraregional facilities; and
  • The removal from Commission-approved tariffs or agreements provisions that provide an undue advantage to an incumbent developer so that sponsors of transmission projects have the right, consistent with state or local laws or regulations, to build and own facilities selected for inclusion in regional transmission plans.

“Our nation needs a transmission grid that can accommodate rising consumer demand for a more diverse mix of power generators and the sophisticated technology of the smart grid,” FERC Chairman Jon Wellinghoff said. “To do that, we must make sure FERC transmission policies are open and fair to all.”

A significant aspect of the proposal is the requirement that transmission planning take into account public policy requirements, such as state-mandated renewable portfolio standards. Doing so during the transmission planning process will help ensure these legal requirements are met in a way that is fair and efficient to transmission customers.

The proposal also ties cost allocation to the regional transmission planning processes to facilitate the transition from planning to implementation. This ensures that only those consumers benefiting from transmission facilities are charged for associated costs, and gives each region the first opportunity to develop cost allocation mechanisms and identify how the benefits of transmission facilities will be determined. Comments are due 60 days after publication in the Federal Register.

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MendoCoastCurrent, June 24, 2010

Public institutions and private sector organizations from across the country should form a coalition to help states, localities and regions develop and deploy successful and cost-effective electric demand response programs, a new Federal Energy Regulatory Commission (FERC) staff report says.

The coalition effort is the centerpiece of the National Action Plan on Demand Response Report , issued today, that identifies strategies and activities to achieve the objectives of the Energy Independence and Security Act of 2007.

“There is strength in numbers. Coalitions harness the combined energy of individual organizations, producing results that can go far beyond what can be accomplished on an individual basis,” FERC Chairman Jon Wellinghoff said. “The success of this National Action Plan depends on all interested public and private supporters working to implement it.”

The public-private coalition outlined in the National Action Plan would coordinate and combine the efforts of state and local officials, utilities and demand response providers, regional wholesale power market operators, electricity consumers, the federal government and other interest groups. Demand response refers to the ability of customers to adjust their electricity use by responding to price signals, reliability concerns or signals from the grid operator. Demand response is a valuable resource for meeting the nation’s energy needs.

The 2007 law required FERC to identify the requirements for technical assistance to states so they can maximize the amount of demand response that can be developed and deployed; design and identify requirements for a national communications program that includes broad-based customer education and support; and develop or identify analytical tools, information, model regulations and contracts and other materials for use by customers, states, utilities and demand response providers.

The National Action Plan applies to the entire country, yet recognizes Congress’ intent that state and local governments play an important role in developing demand response. It is the result of more than two years of open, transparent consultation with all interested groups to help states, localities and regions develop demand response resources.

The National Action Plan on Demand Response is available at here.

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FRANK HARTZELL, Mendocino Beacon, June 24, 2010

The Federal Energy Regulatory Commission (FERC) told the Southern California partnership planning to develop wave energy off Mendocino that the firm’s permit will probably be canceled

Kenneth Hogan of FERC wrote that GreenWave Energy Solutions had failed to file both a required notice of intent and a pre-application document (PAD), in a letter sent Monday.

Both documents were due in early May for GreenWave’s two proposed wave energy farms off San Luis Obispo and Mendocino. Both documents are intended to determine the scale of the projects now being considered and the “probable revocation” applies to both projects.

Earlier this year, GreenWave announced they had entered into an agreement with Ocean Power Technologies (OPT) of New Jersey, one of the world’s top companies in the field to get the two projects going.

GreenWave has so far pushed the biggest wave energy project idea of all, one that would generate a whopping 100 megawatts of power off Mendocino.

GreenWave was granted a preliminary permit in May 2009, after FERC had sent the permit back for more details and deliberated for nearly a year. A preliminary permit is an exclusive right to study an area of the ocean.

At the end of a successful preliminary permit process, that developer gets first right to install wave energy devices, by virtue of being the first to file for the preliminary permit.

The area now claimed by GreenWave had previously been claimed by Chevron.

But GreenWave is now told they will probably lose their claim to that area.

“The failure to timely file a [Notice of Intent] and PAD warrants the cancellation of a preliminary permit,” Hogan wrote. “This letter constitutes notice under section 5 of the Federal Power Act of the probable cancellation of both preliminary permits no less than 30 days from the date of this letter.”

The cancellation would be bad news for Tony Strickland, a Southern California Republican who made his work as one of the four GreenWave Partners a key plank in the campaign with which won his state Senate seat by the narrowest of margins two years ago. He lists “alternative energy executive” as his occupation.

Now, Strickland is using his status as a green energy businessman in his campaign to be state controller. He won the Republican nomination last month by a wide margin.

“Tony serves as Vice President of GreenWave Energy Solutions LLC, a company that seeks to harness the power of ocean waves to provide energy to Californians,” his campaign website states.

GreenWave has never held a single local meeting to introduce or explain its claim of the waters off Mendocino village. Some locals are amazed at how much Strickland makes of a project that exists only on paper.

“GreenWave Energy Solutions was the recipient of the United Chamber of Commerce Small Business Award for 2008 and Tony has been featured on CNBC for his work with the company,” the Controller 2010 campaign website states.

On the other hand, the permit termination would be good news for the Marine Life Protection Act Initiative. According to a California Attorney General opinion, the MLPAI is banned from putting any new marine parks (of any of the three kinds) in areas where there are pre-existing ocean leases, which includes the GreenWave lease off Mendocino and the PG&E lease off Eureka. Thus, a big area of ocean real estate is currently off limits to creation of new protected areas by the MLPAI.

Earlier this year, GreenWave promised FERC several rounds of local meetings for March and April, which failed to materialize. And the company has filed other documents late during its FERC process.

But FERC’s revocation threats may be premature. A review of the FERC lease documents shows GreenWave may have a valid reason why they didn’t file the documents that resulted in this week’s letter from Hogan.

The FERC lease gives GreenWave the option of filing a Notice of Intent and Draft License in two years, instead of the one-year filing requirement for the NOI and PAD. However, to further complicate matters, GreenWave actually promised the NOI and PAD would be done in June 2010. That promise was made in GreenWave’s 45-day filing in June 2009.

GreenWave Energy Solutions is described as a limited liability company with five members, President Wayne Burkamp, Strickland, engineer Bill Bustamante and prominent Southern California housing developers Dean Kunicki and Gary Gorian.

Attempts to reach GreenWave president Burkamp or FERC’s Hogan weren’t successful by press time.

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MARSHA WALTON, MNN.com, June 8, 2010

The last thing that supporters of a promising renewable energy source want is a technology that harms wildlife.

So before wave energy buoys are deployed off the Oregon coast, scientists and developers want to make sure that 18,000 migrating gray whales are not put in jeopardy.

These whales, weighing 30 to 40 tons each, make a twice-yearly journey, heading south to breed off Baja, Mexico, in winter, and back up to the Pacific Northwest in spring.

Biologist Bruce Mate wants to find out if a low power underwater noise can be used effectively to nudge the whales away from wave energy devices.

“We want them to turn their headlights on,” says Mate, director of Oregon State’s Marine Mammal Institute.

Mate says the “whoop-whoop-whoop” sound being tested “is designed to be something unnatural. We don’t want them to think of it as background noise, as a wave, or as another animal. We want it to be something that is disconcerting,” he says.

Disconcerting enough so that the animals would move a few hundred yards away from the energy-capturing buoys, expected to weigh about 200 tons.

The underwater cables on these wave buoys are solid, 4 to 6 inches in diameter. Mate says a gray whale swimming 3 to 4 mph could be seriously hurt if it collided with a cable.

Mate has a grant from the Department of Energy to test whether the acoustic device is the right strategy to keep whales and buoys away from each other. Tests will begin in late December, and end before mothers and calves migrate north in May.

The noise-making device, about the size of a cantaloupe, will be located about 75 feet below the ocean surface, moored in about 140 feet of water. During the testing, it will make noise for three seconds a minute, six hours a day.

Gray whales stick close to shore, about 2.5 to 3 miles away. Swimming farther out, they can become lunch for killer whales.

During the tests, researchers will use theodolites, surveying instruments that measure horizontal and vertical angles. Mate says the animals’ actions should be fairly easy to observe as they encounter the noise.

“These animals track very straight lines during migration. They are motivated to get to the other end,” he says.

The Federal Energy Regulatory Commission (FERC) licenses wave energy technologies, and dozens of agencies oversee how this technology will affect ocean life.

“Wave energy developers are required to undergo a rigorous permitting process to install both commercial-scale and pilot projects,” says Thomas Welch of the Department of Energy (DOE).

Ocean Power Technologies is set to deploy the first of 10 energy-generating buoys off Reedsport, Ore., later this year.

Wave energy developers say they have worked with conservation groups from the start, dealing with everything from whales to erosion.

“As an untapped renewable resource there is tremendous potential,” says Justin Klure, a partner at Pacific Energy Ventures, a company that advances the ocean energy industry.

A believer in clean energy, Klure says it is imperative that the technology be the least disruptive.

“Nobody knows if a large buoy or any other technology is going to have an impact on an ecosystem. A misstep early could set back the industry. This is hard work, it’s expensive, if you don’t have a solid foundation, we feel, that is going to cost you later,” he says.

Klure says the industry has studied how other energy development, including wind and solar, have dealt with environmental challenges.

“I think the lesson here is how critical project siting is. It’s the same concept as land use planning for the ocean. Where are the most sensitive ecosystems? Where are areas that need to be preserved for recreation, or commercial fishing?” Klure says.

It will likely be five to 10 years before wave energy provides significant electricity production. But the acoustics research by Mate could provide help to animals, reaching beyond the Pacific coast.

“We certainly hope it has broader uses,” Mate says. If the sounds do move animals to safety, similar devices could be used to lure whales back from shallow waters if they are in danger of stranding — or even help whales or other marine mammals skirt the poisons of a large oil spill.

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May 22, 2010

The Federal Energy Regulatory Commission (FERC) and the State of California have signed a Memorandum of Understanding (MOU) to coordinate procedures and schedules for review of hydrokinetic energy projects off the California coast.

This marks the fourth hydrokinetics MOU that FERC has signed with other states, following agreements signed last year with Washington and Maine, and with Oregon in 2008. Today’s agreement ensures that FERC and California will undertake all permitting and licensing efforts in an environmentally sensitive manner, taking into account economic and cultural concerns.

“This agreement with California shows FERC’s continuing commitment to work with the states to ensure American consumers can enjoy the environmental and financial benefits of clean, renewable hydrokinetic energy,” FERC Chairman Jon Wellinghoff said.

“I am delighted the State of California has signed an MOU with the Commission on developing hydrokinetic projects off the California coast,” Commissioner Philip Moeller said. “This completes a sweep of the West Coast which, along with Maine, is showing its commitment to bringing the benefits of clean hydrokinetic energy to the consumers of the United States.”

FERC and California have agreed to the following with respect to hydrokinetics:

  • Each will notify the other when one becomes aware of a potential applicant for a preliminary permit, pilot project license or license;
  • When considering a license application, each will agree as early as possible on a schedule for processing. The schedule will include milestones, and FERC and California will encourage other federal agencies and stakeholders to comply with the schedules;
  • They will coordinate the environmental reviews of any proposed projects in California state waters. FERC and California also will consult with stakeholders, including project developers, on the design of studies and environmental matters; and
  • They will encourage applicants to seek pilot project licenses prior to a full commercial license, to allow for testing of devices before commercial deployment.

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JEFF ST.  JOHN, Earth2Tech, March 1, 2010

Federal Energy Regulatory Commission Chairman Jon Wellinghoff wants his agency to have a lot more authority over planning cross-state transmission lines, as well as getting states and utilities to share the costs of building them. But on Monday, the utility industry pushed back. The Coalition for Fair Transmission Policy — an industry group made up of 10 big utilities including Southern Co., Consolidated Edison, Alliant, DTE Energy, PPL, Progress Energy and PSEG — says it will lobby to change proposed Senate legislation that it says could unfairly spread the costs of building big new transmission lines across multiple states. Or, to put it another way, “states and regions that get the benefits of new transmission should be the ones to pay for them,” Bruce Edelston, the coalition’s executive director, said Monday.

The coalition has a specific target —Senate Bill 1462, otherwise known as the American Clean Leadership Act. It wants to take out language from the bill that would give FERC more authority over transmission lines, and replace it with language that “precludes the allocation of transmission expansion costs to electric consumers unless there are measurable economic or reliability benefits for those consumers.”

Wellinghoff has said his agency needs more power to force states to agree on new ways to share the costs of massive new transmission lines to carry clean power from the places it’s most cheaply produced to where it’s most needed. Without it, he told a Senate panel in March, “it is unlikely that the Nation will be able to achieve energy security and economic stability.”

But FERC having more power could involve, for example, a transmission line from a North Dakota wind farm to Illinois’ Chicago suburbs, which might cross three states along its route. How should those “middle mile” states, which have to give up land and cover some costs of maintaining those lines, but may not receive power, be given a piece of the action? In Edelston’s view, the costs and benefits of such undertakings should be shared equally among all regions that have to give something up to let them happen. If a project can’t pay for itself while providing some financial benefit to utility customers in each of those states, it shouldn’t get built, he said.

President Barack Obama has called for 3,000 miles of new transmission lines to be built to help the country double its renewable energy use by 2012. Estimates on the costs of this new interstate energy highway system range from $100 billion to $200 billion, Edelston said — and those costs may be underestimated. A consortium of Eastern power grid operators said last year that transmission to carry wind power from the Midwest to the East could cost $80 billion over the next 15 years or so.

Wellinghoff has said that with such scale of the transmission lines needed, it might be hard to move quickly through the complicated, state-by-state siting and permitting mechanisms now in place — and that’s not to mention the universal opposition to having high-voltage power lines running through your backyard or environmentally sensitive region. For a sampling of the barriers to new transmission lines even within one state’s boundaries, look to California, where one big transmission line in the Central Valley was canceled in the face of local landowner and environmental opposition, and another in San Diego and Imperial counties is being challenged in court.

But Edelston pointed out that transmission projects are still moving forward under business-as-usual conditions, and several projects are underway by “Green Power Express” developer ITC for example. Other private efforts are underway, such as the Tres Amigas project that would connect the nation’s three mega-grid systems in the East, West and in Texas. Transmission projects take years to plan, permit and build, however, making long-range financing a challenge.

Not all utilities are against FERC’s sought-after expanded authority. American Electric Power, which serves 11 states, urged a Senate panel in March to expand federal authority over new transmission lines, including more broad cost-sharing, saying the economic benefits will outweigh the costs. FERC has already signed a MOU with EPA and the departments of Agriculture, Commerce, Defense, Energy and the Interior to work together on siting and permitting new transmission lines on federal lands, but that doesn’t necessarily solve the problem of states and their utilities arguing over costs and benefits.

For companies making next-generation transmission equipment such as HVDC and superconducting wire and cable — not to mention developers of utility-scale renewable power projects in hard-to-reach areas — it’s an important controversy to keep an eye on.

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FRANK HARTZELL, Mendocino Beacon, February 25, 2010

The Southern California investment company with a federal permit to develop wave energy in waters off Mendocino has entered into a partnership with one of the world’s top companies in the field.

GreenWave Energy Solutions recently entered into a memo of understanding, or MOU, with Ocean Power Technologies (OPT) of New Jersey, a move which makes wave energy off the village of Mendocino much more likely than ever.

Earlier this month, Ocean Power Technologies earned a federal license to develop wave energy off Reedsport, Ore., a groundbreaking move in the Federal Energy Regulatory Commission (FERC) process.

Ocean Power Technologies had its own FERC wave energy preliminary permit off Cape Mendocino but last year gave up on that site as impractical. OPT, which has since eclipsed many of its hydrokinetics competitors, plans to bring its experience to developing waters off Mendocino, the FERC permit states.

OPT recently deployed one of its Power Buoys off Hawaii, where it is also developing wave energy. OPT has been granted the exclusive right to sell their patented WEC devices to GreenWave for the generation of electrical power off Mendocino.

The existence of GreenWave’s FERC preliminary permit already spells doom for the creation of any new Marine Life Protection Act (MLPAI) Initiative protection of the claimed area.

GreenWave told FERC in its latest progress report that the firm has a target date of April 2012 for filing a license to actually develop electricity off Mendocino.

A preliminary permit gives exclusive study rights to an area to the applicant and also provides automatic preference to a license to actually produce power in the ocean.

“The proposed 100 megawatt GreenWave Mendocino Wave Park is estimated to generate an average of 250 GigaWatt-hours annually. GreenWave has contacted most or all of the stakeholders … and will continue to conduct community outreach and informational efforts to keep all stakeholders apprised of progress and plans related to the environmental studies and development of this proposed wave energy project,” the FERC filing by GreenWave President Wayne Burkamp states.

GreenWave and Ocean Power Technologies plan joint meetings locally beginning in March, the filing states. The two firms plan to file full details of the wave energy project with FERC by March and then discuss those plans in public meetings with locals.

Wave energy has generated substantial local opposition led by local fishermen. The environmental community in Mendocino has also opposed wave energy. Environmentalists in Humboldt County have not been involved in the issue.

PG&E, faced with local opposition, withdrew its Fort Bragg wave energy development application and continued its effort in friendlier Humboldt County, then added a second site in Southern California.

National environmental groups signed off on wave energy in a letter to president Obama. But the Obama administration studied the issue and, like Fort Bragg residents, learned the technology raised serious environmental issues and was too theoretical to help with the nation’s energy needs in the foreseeable future. In the meantime, fishing and civic groups have been seeking to construct a public process that protects the ocean.

A group formed in Fort Bragg, Fishermen Interested in Safe Hydrokinetics (FISH) is the lead plaintiff on a lawsuit against FERC challenging FERC’s issuance of the exclusive development rights to waters off Mendocino to GreenWave. The city of Fort Bragg, County of Mendocino, the Ocean Protection Council, the Pacific Coast Federation of Fishermen and the Recreational Fishing Alliance are also part of the challenge.

The lawsuit, with filings due in federal court this spring and summer, asserts that FERC failed to follow environmental laws or create a comprehensive plan before issuing wave energy permits.

“GreenWave has reviewed the allegations contained in the complaint and believes the allegations are without merit. GreenWave is monitoring this litigation and will provide any support that FERC believes necessary,” GreenWave’s recent filing states.

PG&E said the reason it abandoned its Fort Bragg development site was Noyo Harbor is unsuitable. That hasn’t discouraged GreenWave so far.

Background

The exclusive three-year preliminary permit granted in May 2009 to GreenWave stretches from just north of Albion to off Point Cabrillo, about a half-mile to three miles offshore.

Five men from the Thousand Oaks area of Southern California, including Tony Strickland, a Republican state senator, formed GreenWave Energy Solutions about two years ago.

Strickland, one of the state’s most ardent deregulators and anti-tax advocates, won the state Legislature’s closest race last November by a handful of votes, California’s closest major race. He made his involvement in alternative energy a key part of his campaign.

Green Wave Energy Solutions when formed was composed of Burkamp, Strickland, engineer Bill Bustamante and prominent housing developers Dean Kunicki and Gary Gorian.

Calls to GreenWave’s message phone number revealed Strickland and the others are still involved.

GreenWave does not mention Strickland, or any local members of the California Legislature among its communications with the Legislature in its report to FERC.

“GreenWave has participated in numerous meetings with California state government officials regarding various aspects of the permitting process and the political dynamics of development of a wave farm, in this district. GreenWave has met with various legislative personnel including California State Assemblyman Felipe Fuentes (39th District). Assemblyman Nathan Fletcher (75th District), and Gov. Schwarzenegger’s Chief Deputy Legislative Assistant, John Moffatt.

“These meetings involved discussions regarding the future of wave energy in California, working to streamline the permitting process in California and questions related to legislation which would assist in wave energy development,” the FERC filing states.

The Marine Life Protection Act Initiative process has concentrated solely on restricting and banning fishing, despite broader general ocean protection goals in the act. An opinion issued by the California Attorney General’s office states that any prior legal claim (such as a preliminary permit for wave energy) precludes the establishment of any type of new marine protected area. However, that fact has not yet been introduced into the discussions of creation of “arrays” or fishing restricted areas, despite large areas off limits in both Humboldt and Mendocino counties due to permits granted to PG&E and GreenWave.

Editor’s Note: Phenomenal reporting by Frank Hartzell, thank you!

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FRANK HARTZELL, Mendocino Beacon, December 17, 2009

The Obama administration has launched a new “zoning” approach that puts all ocean activities under the umbrella of nine regional planning bodies.

Public comments are being accepted through Friday, Feb. 12.

The approach is more local and integrated than the current strategy, which puts separate functions under different federal agencies. But it remains to be seen how such a plan can satisfy a plethora of federal laws that now protect the Atlantic and Pacific oceans, the Gulf of Mexico and the Great Lakes.

The issue of whales killed by ships (like the blue whale kill in October off Fort Bragg) is cited in the new report as an example of how the regional planning approach could solve problems that single agencies cannot.

In the Stellwagen Bank National Marine Sanctuary off Boston, the Coast Guard, National Oceanic and Atmospheric Administration, and several other government agencies and stakeholders reconfigured the Boston Traffic Separation Scheme, after numerous fatal collisions between marine mammals and ships.

This kind of joint action is what the new Obama approach anticipates using nationwide.

The reconfigured shipping lanes reduced risk of collision by an estimated 81% for all baleen whales and 58% for endangered right whales, studies show.

NOAA is the lone federal agency dealing with the whale kill issue locally, working with two state agencies, which have regulations that are inconsistent. With the Fort Bragg incident highlighting weaknesses in the regulatory process, a regional board could propose solutions.

In another example of oversight conflict, the Federal Energy Regulatory Commission (FERC) planned and launched a policy for wave energy leasing completely without local governments’ knowledge. Other federal agencies also bombarded FERC with criticism and problems their federal fellow had failed to anticipate when FERC’s program came to light.

The Obama administration’s idea is to bring all the federal and local agencies to the table at the planning stage, not the reactive stage.

“The uses of our oceans, coasts and Great Lakes have expanded exponentially over time,” said Nancy Sutley, chair of the White House Council on Environmental Quality, who also heads the Ocean Policy Task Force. “At the same time they are facing environmental challenges, including pollution and habitat destruction, that make them increasingly vulnerable.

“Without an improved, more thoughtful approach, we risk an increase in user conflicts and the potential loss of critical economic, ecosystem, social, and cultural benefits for present and future generations,” said Sutley, in a press release.

Many scientific studies have called for ocean zoning, but this is the first effort to make the idea work.

California, Oregon and Washington would be included in a single planning area The participants in the planning process, such as Indian tribes, federal agencies, states and local entities, would be asked to sign a contract modeled on development agreements.

Development agreements are widely used by housing developers to bring all county and state permitting agencies to the table so they can get loans and prepare to launch a project.

Sutley said the administration will reconvene the National Ocean Council to work with the regional planning bodies.

While the new approach promises more locally responsive planning, the job of the National Ocean Council will be to ensure that planning is consistent from region to region. That is likely to create some conflicts with monied interests representing some uses, such as oil drilling, and leave other uses with less ability to advocate at the table.

The proposal comes from the Interagency Ocean Policy Task Force, established by President Obama on June 12. It is led by Sutley and consists of 24 senior-level officials from administration agencies, departments and offices.

The task force’s interim framework is available for a 60-day public review and comment period. After the close of the comment period, the task force will finalize its recommendations in both this report and the Sept. 10 interim report and provide a final report to the President in early 2010.

For more details on the Interagency Ocean Policy Task Force, including the interim framework, and to submit comments, visit www.whitehouse.gov/oceans.

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DAVID R. BAKER, San Francisco Chronicle, December 12, 2009

The waves off of Vandenberg Air Force Base on the central California coast could one day generate electricity, if Pacific Gas and Electric Co. has its way.

The utility reported Friday that it has signed an agreement with the U.S. Air Force to study the area’s potential for a wave power project. If approved by the Federal Energy Regulatory Commission, the project could one day generate as much as 100 megawatts of electricity. A megawatt is a snapshot figure, roughly equal to the amount of electricity used by 750 average homes at any given instant.

Wave power technologies have the potential to provide large amounts of electricity. But they have been slow to leave the lab.

The typical wave power system consists of buoys that generate electricity as they bob up and down on the ocean’s surface. But the ocean has proven tougher than some of the systems.

PG&E two years ago agreed to buy electricity from a proposed “wave park” near Eureka to be built by Canadian company Finavera. But Finavera’s prototype buoy sank during a test, and California energy regulators killed the deal.

Under its $6 million WaveConnect program, PG&E is still studying potential wave park sites off Humboldt County. The utility, based in San Francisco, also examined the Mendocino County coast before ruling it out.

Vandenberg makes an attractive test site. It occupies a bend in the coast of Santa Barbara County where some of the beaches face west, some face southwest and others face south. PG&E in particular wants to study the area between Point Arguello and Point Conception.

“Generally, that piece of the coast is very active for waves,” said PG&E spokesman Kory Raftery. “It picks up swells from different directions.”

If the company wins federal approval, it will study the area for three years before making a decision on whether to test wave power devices there. The company wants to test several different devices but has not yet picked which ones, Raftery said.

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JACKIE NOBLETT, Mass High Tech, August 18, 2009

wave-ocean-blue-sea-water-white-foam-photoMaine and the Federal Energy Regulatory Commission will cooperate on the application, review and permitting process for tidal energy projects after signing a memorandum of understanding Wednesday.

The MOU calls for the entities to notify each other when a tidal developer applies for a preliminary permit, pilot project license or license. They will coordinate their permitting schedules and take into account each entity’s specific needs and master plans.

FERC has signed similar agreements with Washington and Oregon, but it is the first agreement with a state on the East Coast.

The agreement came after a meeting between Maine Gov. John Baldacci and FERC Chairman Jon Wellinghoff in Washington, D.C., today.

Some 17 tidal projects had applied for FERC permits as of January 1, 1009, according to the Maine Department of Environmental Protection.

A collaboration between the University of Maine, Maine Maritime Academy and Portland-based Ocean Renewable Power Co., announced in April, has landed nearly $1 million in grant money from the federal government to research and develop tidal power in Maine.

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TODD WOODY, The New York Times, August 12, 2009

wave-ocean-blue-sea-water-white-foam-photoPacific Gas & Electric has quietly dropped one of two planned 40-megawatt wave-farm projects.
Stroll through San Francisco and you can’t miss California utility Pacific Gas & Electric’s latest ad campaign. Posters plastered around town read: “Wave Power: Bad for sandcastles. Good for you.”

But PG&E recently dropped one of its two 40-megawatt wave-farm projects planned for the Northern California coast, according to documents filed with the Federal Regulatory Energy Commission.

“During the past year, PG&E undertook agency consultation and public outreach and commenced an examination of the technical and environmental feasibility of the proposed project,” wrote utility attorney Annette Faraglia in a June 9 letter to the commission. “Based on the results of this examination, PG&E has concluded that the harbor at Fort Bragg, Noyo Harbor, is not suitable for certain aspects of the project.”

In 2007, the utility had applied for federal permits to explore the feasibility of placing wave energy generators in the Pacific Ocean off the coast of Humboldt and Mendocino counties.

The scuttling of the project is just the latest setback for wave energy. Last year, California regulators also declined to approve a PG&E contract to buy a small amount of electricity from a Northern California wave farm to be built by Finavera Renewables, on the grounds the project was not viable.

Despite the difficulties, PG&E is pushing forward with a similar wave project in Humboldt county. The utility has cut that project’s size from 136 square miles to 18 square miles as it zeroes in on the most productive areas of the ocean. Ms. Morris said that the utility expects to file a license application for the pilot project in the spring of 2010.

However, the National Marine Fisheries Service has identified a plethora of protected species that may be affected by the Humboldt project, ranging from endangered coho salmon to the northern elephant seal and long-beaked common dolphin.

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MendoCoastCurrent, July 19, 2009

SmartGrid-graphicThe Federal Energy Regulatory Commission (FERC) moved to accelerate the development of a smart electric transmission system that could improve the efficiency and operation of the grid. The Smart Grid Policy Statement sets priorities for work on development of standards for the developement of a reliable and smart grid.

Smart grid advancements are digital, enabling two-way communications and real-time coordination of information from both generating plants and demand-side resources. Thus improving the efficiency of the bulk-power system with the goal of achieving long-term savings for consumers. Also providing tools for consumers to control their electricity costs.

The policy issued today tracks the proposed policy issued March 19, 2009 and sets priorities for development of smart grid standards to achieve interoperability and functionality of smart grid systems and devices. It also sets FERC policy for recovery of costs by utilities that act early to adopt smart grid technologies.

“Changes in how we produce, deliver and consume electricity will require ‘smarter’ bulk power systems with secure, reliable communications capabilities to deliver long-term savings for consumers,” FERC Chairman Jon Wellinghoff said. “Our new smart grid policy looks at the big picture by establishing priorities for development of smart grid standards, while giving utilities that take the crucial early steps to invest in smart grid technologies needed assurance about cost recovery.”

“The new policy adopts as a Commission priority the early development by industry of smart grid standards to:

  • Ensure the cybersecurity of the grid;
  • Provide two-way communications among regional market operators, utilities, service providers and consumers;
  • Ensure that power system operators have equipment that allows them to operate reliably by monitoring their own systems as well as neighboring systems that affect them;
  • Coordinate the integration into the power system of emerging technologies such as renewable resources, demand response resources, electricity storage facilities and electric transportation systems.

So early adopters of smart grid technologies will recover smart grid costs if they demonstrate that those costs serve to protect cybersecurity and reliability of the electric system, and have the ability to be upgraded, among other requirements.

And explains that by adopting these standards for smart grid technologies, FERC will not interfere with any state’s ability to adopt whatever advanced metering or demand response program it chooses.

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UCILIA WANG, GreenTechMeida, July 1, 2009

The draft plan covers how the state would plan and oversee all sorts of projects located within the state waters, including wind, tidal and wave farms.

wave-ocean-blue-sea-water-white-foam-photoMassachusetts released a draft of a plan Wednesday that would govern the permitting and management of projects such as tidal and wave energy farms.

Touted by the state as the first comprehensive ocean management plan in the country, it aims to support renewable energy and other industrial operations in the state waters while taking care to protect marine resources, the state said.

But creating a management plan would help to ensure a more careful planning and permitting process. Other states might follow Massachusetts’ step as more renewable energy project developers express an interest in building wind and ocean power farms up and down the Atlantic and Pacific coasts.

The federal government also has taken steps to set up the regulatory framework, especially because the current administration is keen on promoting renewable energy production and job creation.

Earlier this year, the Department of Interior and the Federal Energy Regulatory Commission settled a dispute over their authorities to permit and oversee energy projects on the outer continental shelf.

Last week, the Interior Department issued the first ever leases for wind energy exploration on the outer continental shelf.

Generating energy from ocean currents holds a lot of promise, but it also faces many technical and financing challenges. Companies that are developing ocean power technologies are largely in the pre-commercial stage.

Creating the management plan would yield maps and studies showing sensitive habitats that would require protection, as well as sites that are suitable for energy projects.

The state is now collecting public comments on the plan, and hopes to finalize it by the end of the year.

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MendoCoastCurrent, June 17, 2009

300_127728The West has been at the forefront of the country’s development and implementation of renewable energy technologies, leading the way in passing effective Renewable Portfolio Standards and harnessing the region’s significant renewable energy resources. The initiatives announced at the recent annual western governors’ meeting offered a collaboration of federal and state efforts to help western states continue to lead in energy and climate issues, while driving U.S. economic recovery and protecting the environment.

Secretaries Chu, Salazar and Vilsack and Chairs Sutley and Wellinghoff offered the western state governors next steps to tap renewable energy potential and create green jobs, focusing on energy strategies and initiatives to support their states and constituents.

Included in these initiatives are the development of a smarter electric grid and more reliable transmission system, protection of critical wildlife corridors and habitats, promoting the development of renewable energy sources and laying the groundwork for integrating these energy sources onto the national electricity grid.

“These steps send an unmistakable message: the Obama Administration will be a strong partner with the West on clean energy” Energy Secretary Steven Chu said. “We will create jobs, promote our energy independence and cut our carbon emissions by unlocking the enormous potential for renewable energy in the Western United States”

“Our collective presence here demonstrates the Obama Administration’s commitment to working with the Western governors as we begin to meet the challenge of connecting the sun of the deserts and the wind of the plains with the places where people live” said Ken Salazar, Secretary of the Interior.

“President Obama has been very clear about his intent to address our country’s long-term energy challenges and this multi-department approach will help increase production of energy from renewable sources and generate new, green jobs in the process” said Agriculture Secretary Tom Vilsack. “When we produce more energy from clean sources, we help protect our farmland and our forests for future generations”

“With their focus on clean energy, electricity transmission and Western water supply, the Governors have shown a commitment to addressing the critical issue of climate change and the challenges it presents to state and local governments” said Nancy Sutley, Chair of the White House Council on Environmental Quality. “The areas covered during this meeting, from water supplies and renewable energy, to fostering international cooperation on energy and the environment, are issues we are also focused on at the White House under the leadership of President Obama. We look forward to working together to meet these challenges”

“FERC looks forward to coordinating with DOE and working with the states and local planning entities and other interested parties in the course of facilitating the resource assessments and transmission plans” FERC Chairman Jon Wellinghoff said.

The actions announced include:

$80 Million for Regional and Interconnection Transmission Analysis and Planning:

The Department of Energy announced $80 million in new funding under the American Reinvestment and Recovery Act to support long-term, coordinated interconnection transmission planning across the country. Under the program, state and local governments, utilities and other stakeholders will collaborate on the development and implementation of the next generation of high-voltage transmission networks.

The continental United States is currently served by three separate networks or “interconnections” – the Western, Eastern and Texas interconnections. Within each network, output and consumption by the generation and transmission facilities must be carefully coordinated. As additional energy sources are joined to the country’s electrical grid, increased planning and analysis will be essential to maintain electricity reliability.

Secretary Chu announced the release of a $60 million solicitation seeking proposals to develop long-term interconnection plans in each of the regions, which will include dialogue and collaboration among states within an interconnection on how best to meet the area’s long-term electricity supply needs. The remaining $20 million in funding will pay for supporting additional transmission and demand analysis to be performed by DOE’s national laboratories and the North American Electric Reliability Corporation (NERC).

$50 Million for Assistance to State Electricity Regulators:

Secretary Chu announced $50 million in funding from the American Recovery and Reinvestment Act to support state public utility commissions and their key role in regulating and overseeing new electricity projects, which can include smart grid developments, renewable energy and energy efficiency programs, carbon capture and storage projects, etc. The funds will be used by states and public utility commissions to hire new staff and retrain existing employees to accelerate reviews of the large number of electric utility requests expected under the Recovery Act. Public utility commissions in each state and the District of Columbia are eligible for grants.

Nearly $40 Million to Support Energy Assurance Capabilities for States:

The Department of Energy also announced that $39.5 million in Recovery Act funding will be available for state governments to improve emergency preparedness plans and ensure the resiliency of the country’s electrical grid. Funds will be used by the cities and states to hire or retrain staff to prepare them for issues such as integrating smart grid technology into the transmission network, critical infrastructure interdependencies and cybersecurity. Throughout this process, the emphasis will be on building regional capacity to ensure energy reliability, where states can help and learn from one another. Funds will be available to all states to increase management, monitoring and assessment capacity of their electrical systems.

$57 Million for Wood-to-Energy Grants and Biomass Utilization Projects:

The Department of Agriculture announced $57 million in funding for 30 biomass projects. The projects – $49 million for wood-to-energy grants and $8 million for biomass utilization – are located in 14 states, including Arizona, California, Colorado, Idaho, North Dakota, New Mexico, Nevada, Oregon and Washington.

In keeping with the Obama Administration’s interest in innovative sources for energy, these Recovery Act funds may help to create markets for small diameter wood and low value trees removed during forest restoration activities. This work will result in increased value of biomass generated during forest restoration projects, the removal of economic barriers to using small diameter trees and woody biomass and generation of renewable energy from woody biomass. These funds may also help communities and entrepreneurs turn residues from forest restoration activities into marketable energy products. Projects were nominated by Forest Service regional offices and selected nationally through objective criteria on a competitive basis.

Biomass utilization also provides additional opportunities for removal of hazardous fuels on federal forests and grasslands and on lands owned by state, local governments, private organizations and individual landowners.

Memorandum of Understanding to Improve State Wildlife Data Systems, Protect Wildlife Corridors and Key Habitats across the West:

During today’s Annual Meeting in Park City, Utah, Secretaries Salazar, Vilsack and Chu agreed to partner with the Western Governors’ Association to enhance state wildlife data systems that will help minimize the impact to wildlife corridors and key habitats. Improved mapping and data on wildlife migration corridors and habitats will significantly improve the decision-making process across state and federal government as new renewable and fossil energy resources and transmission systems are planned. Because the development of this data often involves crossing state lines and includes information from both private and public lands, increased cooperation and coordination, like this Memorandum of Understanding (MOU), are important to developing a comprehensive view on the impact of specific energy development options.

Western Renewable Energy Zones Report Identifies Target Areas for Renewable Energy Development:

The Department of Energy and the Western Governors’ Association released a joint report by the Western Renewable Energy Zones initiative that takes first steps toward identifying areas in the Western transmission network that have the potential for large-scale development of renewable resources with low environmental impacts. Participants in the project included renewable energy developers, tribal interests, utility planners, environmental groups and government policymakers. Together, they developed new modeling tools and data to facilitate interstate collaboration in permitting new multistate transmission lines.

In May 2008, the Western Governors’ Association and DOE launched the Western Renewable Energy Zones initiative to identify those areas in the West with vast renewable resources to expedite the development and delivery of renewable energy to where it is needed. Under the Initiative, renewable energy resources are being analyzed within 11 states, two Canadian provinces and areas in Mexico that are part of the Western Interconnection.

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Electric Light & Power, June 11, 2009

menu01onAs the Obama administration shapes its policy on transmission planning, siting and cost allocation, the Large Public Power Council (LPPC) has sent a joint letter voicing its transmission policy views and concerns to Energy Secretary Chu, Interior Secretary Salazar, Agriculture Secretary Vilsack, FERC Chairman Wellinghoff, White House Council on Environmental Quality Chair Sutley and Presidential Energy Advisor Carol Browner.

The letter was sent to the Obama policy makers by Bob Johnston, Chair of the 23 member not-for-profit utility organization. Members of the LPPC own and operate nearly 90% of the transmission investment owned by non-federal public power entities in the United States.

The LPPC told the Obama Administration that it is “most supportive of a framework for interconnection-wide planning that addresses the growing need to interconnect renewable resources to the grid.”

“Many of our members are leaders in renewable deployment and energy efficiency. We are committed to these policy goals and closely tied to the values of our local communities,” the LPPC emphasized. “But we also believe that creating a new planning bureaucracy could be costly and counterproductive in achieving needed infrastructure development.”

The LPPC voiced strong support for the region-wide planning process recently mandated by FERC Order 890 that directed implementation of new region-wide planning processes that the LPPC claims “require an unprecedented level of regional coordination, transparency and federal oversight.”

“It seems quite clear that federal climate legislation and a national renewable portfolio standard will further focus these planning processes, the LPPC asserted. “LPPC fully expects that the regional processes to which parties have recently committed will take on new urgency and purpose. Adding a planning bureaucracy to that mix will be time consuming and will likely delay rather than expedite transmission development.”

The LPPC also told the Obama policy makers that, “it would be unnecessary, inequitable and counterproductive to allocate the cost of a new transmission superhighway to all load serving entities without regard to their ability to use the facilities or their ability to rely on more economical alternatives to meet environmental goals.”

The LPPC contended, “that certain proposals it has reviewed to allocate the cost of new transmission on an interconnection-wide basis would provide an enormous and unnecessary subsidy to large scale renewable generation located far from load centers, at the expense of other, potentially more economical alternatives. Utilities, state regulators, and regional transmission organizations should determine how to meet the environmental goals established by Congress most effectively by making economic choices among the array of available options, without subsidy of one technology or market segment over others.”

The LPPC letter further claimed that the cost of a massive transmission build-out will be substantial and that cost estimates they had reviewed “appear to be meaningfully understated.” The LPPC estimates that nationwide costs for such a build-out “may range between $135 billion and $325 billion, equating to a monthly per customer cost between $14 and $35.  This is a critical matter for LPPC members, as advocates for the consumers we serve.”

The Large Public Power Council letter concluded by offering its support for additional federal siting authority for multi-state transmission facilities “in order to overcome the limited ability of individual states to address multi-state transmission projects to meet regional needs. LPPC is confident that such new authority can be undertaken in consultation with existing state siting authorities in a manner that capitalizes on existing expertise and ensures that state and local concerns are addressed in the siting process.”

The LPPC’s membership includes 23 of the nation’s largest publicly owned, not-for-profit energy systems. Members are located in 10 states and provide reliable, electricity to some of the largest cities in the U.S. including Los Angeles, Seattle, Omaha, Phoenix, Sacramento, San Antonio, Jacksonville, Orlando and Austin.

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Editor’s Note: On October 14, 2009 John R. Norris’ FERC nomination received endorsement from the U.S. Senate Panel.

MendoCoastCurrent, June 11, 2009

norris_johnPresident Barack Obama nominated Iowa Democrat John R. Norris to the Federal Energy Regulatory Commission, filling the seat vacated by the resignation of former Chairman Joseph Kelliher, a Republican.

Norris was most recently chief of staff to Agriculture Secretary Tom Vilsack. He is also a former chief of staff to then Iowa Gov. Vilsack, a former chairman of the Iowa Democratic Party and chairman of the Iowa Utilities Board from 2005-2009.

This FERC nomination shifts the five-member commission’s political balance to three Democrats and two Republicans from three Republicans and two Democrats.

In March, Obama designated Commissioner Jon Wellinghoff, a Nevada independent turned Democrat, to be commission chairman, succeeding Kelliher.

The president also announced the nomination of Commissioner Suedeen Kelly, a New Mexico Democrat, to a third term.

Editors Note: On September 21, 2009, FERC Commissioner Suedeen Kelly announced she is declining the nomination to serve a second term on the panel.  In her tenure, Kelly has overseen the development of commercial scale renewable energy, the expansion of bid-based regional auction markets for electricity, growth in natural gas pipelines and storage and the birth of the smart grid. “It is time for me to move on and pursue opportunities to advance these objectives in the private sector,” said Kelly in a statement.

The two Republicans on the panel are Philip Moeller of Washington and Marc Spitzer of Arizona.

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JAMES RICKMAN, Seeking Alpha, June 8, 2009

wave-ocean-blue-sea-water-white-foam-photoOceans cover more than 70% of the Earth’s surface. As the world’s largest solar collectors, oceans generate thermal energy from the sun. They also produce mechanical energy from the tides and waves. Even though the sun affects all ocean activity, the gravitational pull of the moon primarily drives the tides, and the wind powers the ocean waves.

Wave energy is the capture of the power from waves on the surface of the ocean. It is one of the newer forms of renewable or ‘green’ energy under development, not as advanced as solar energy, fuel cells, wind energy, ethanol, geothermal companies, and flywheels. However, interest in wave energy is increasing and may be the wave of the future in coastal areas according to many sources including the International Energy Agency Implementing Agreement on Ocean Energy Systems (Report 2009).

Although fewer than 12 MW of ocean power capacity has been installed to date worldwide, we find a significant increase of investments reaching over $2 billion for R&D worldwide within the ocean power market including the development of commercial ocean wave power combination wind farms within the next three years.

Tidal turbines are a new technology that can be used in many tidal areas. They are basically wind turbines that can be located anywhere there is strong tidal flow. Because water is about 800 times denser than air, tidal turbines will have to be much sturdier than wind turbines. They will be heavier and more expensive to build but will be able to capture more energy. For example, in the U.S. Pacific Northwest region alone, it’s feasible that wave energy could produce 40–70 kilowatts (kW) per meter (3.3 feet) of western coastline. Renewable energy analysts believe there is enough energy in the ocean waves to provide up to 2 terawatts of electricity.

Companies to Watch in the Developing Wave Power Industry:

Siemens AG (SI) is a joint venture partner of Voith Siemens Hydro Power Generation, a leader in advanced hydro power technology and services, which owns Wavegen, Scotland’s first wave power company. Wavegen’s device is known as an oscillating water column, which is normally sited at the shoreline rather than in open water. A small facility is already connected to the Scottish power grid, and the company is working on another project in Northern Spain.

Ocean Power Technologies, Inc (OPTT) develops proprietary systems that generate electricity through ocean waves. Its PowerBuoy system is used to supply electricity to local and regional electric power grids. Iberdrola hired the company to build and operate a small wave power station off Santona, Spain, and is talking with French oil major Total (TOT) about another wave energy project off the French coast. It is also working on projects in England, Scotland, Hawaii, and Oregon.

Pelamis Wave Power, formerly known as Ocean Power Delivery, is a privately held company which has several owners including various venture capital funds, General Electric Energy (GE) and Norsk Hydro ADR (NHYDY.PK). Pelamis Wave Power is an excellent example of Scottish success in developing groundbreaking technology which may put Scotland at the forefront of Europe’s renewable revolution and create over 18,000 green high wage jobs in Scotland over the next decade. The Pelamis project is also being studied by Chevron (CVX).

Endesa SA ADS (ELEYY.PK) is a Spanish electric utility which is developing, in partnership with Pelamis, the world’s first full scale commercial wave power farm off Aguçadoura, Portugal which powers over 15,000 homes. A second phase of the project is now planned to increase the installed capacity from 2.25MW to 21MW using a further 25 Pelamis machines.

RWE AG ADR (RWEOY.PK) is a German management holding company with six divisions involved in power and energy. It is developing wave power stations in Siadar Bay on the Isle of Lewis off the coast of Scotland.

Australia’s Oceanlinx offers an oscillating wave column design and counts Germany’s largest power generator RWE as an investor. It has multiple projects in Australia and the U.S., as well as South Africa, Mexico, and Britain.

Alstom (AOMFF.PK) has also announced development in the promising but challenging field of capturing energy from waves and tides adding to the further interest from major renewable power developers in this emerging industry.

The U.S. Department of Energy has announced several wave energy developments including a cost-shared value of over $18 million, under the DOE’s competitive solicitation for Advanced Water Power Projects. The projects will advance commercial viability, cost-competitiveness, and market acceptance of new technologies that can harness renewable energy from oceans and rivers. The DOE has selected the following organizations and projects for grant awards:

First Topic Area: Technology Development (Up to $600,000 for up to two years)

Electric Power Research Institute, Inc (EPRI) (Palo Alto, Calif.) Fish-friendly hydropower turbine development & deployment. EPRI will address the additional developmental engineering required to prepare a more efficient and environmentally friendly hydropower turbine for the commercial market and allow it to compete with traditional designs.

Verdant Power Inc. (New York, N.Y.) Improved structure and fabrication of large, high-power kinetic hydropower systems rotors. Verdant will design, analyze, develop for manufacture, fabricate and thoroughly test an improved turbine blade design structure to allow for larger, higher-power and more cost-effective tidal power turbines.

Public Utility District #1 of Snohomish County (SnoPUD) (Everett, Wash.) Puget Sound Tidal Energy In-Water Testing and Development Project. SnoPUD will conduct in-water testing and demonstration of tidal flow technology as a first step toward potential construction of a commercial-scale power plant. The specific goal of this proposal is to complete engineering design and obtain construction approvals for a Puget Sound tidal pilot demonstration plant in the Admiralty Inlet region of the Sound.

Pacific Gas and Electric Company – San Francisco, Calif. WaveConnect Wave Energy In-Water Testing and Development Project. PG&E will complete engineering design, conduct baseline environmental studies, and submit all license construction and operation applications required for a wave energy demonstration plant for the Humboldt WaveConnect site in Northern California.

Concepts ETI, Inc (White River Junction, Vt.) Development and Demonstration of an Ocean Wave Converter (OWC) Power System. Concepts ETI will prepare detailed design, manufacturing and installation drawings of an OWC. They will then manufacture and install the system in Maui, Hawaii.

Lockheed Martin Corporation (LMT) – Manassas, Va., Advanced Composite Ocean Thermal Energy Conversion – “OTEC”, cold water pipe project. Lockheed Martin will validate manufacturing techniques for coldwater pipes critical to OTEC in order to help create a more cost-effective OTEC system.

Second Topic Area, Market Acceleration (Award size: up to $500,000)

Electric Power Research Institute (Palo Alto, Calif.) Wave Energy Resource Assessment and GIS Database for the U.S. EPRI will determine the naturally available resource base and the maximum practicable extractable wave energy resource in the U.S., as well as the annual electrical energy which could be produced by typical wave energy conversion devices from that resource.

Georgia Tech Research Corporation (Atlanta, Ga.) Assessment of Energy Production Potential from Tidal Streams in the U.S. Georgia Tech will utilize an advanced ocean circulation numerical model to predict tidal currents and compute both available and effective power densities for distribution to potential project developers and the general public.

Re Vision Consulting, LLC (Sacramento, Calif.) Best Siting Practices for Marine and Hydrokinetic Technologies With Respect to Environmental and Navigational Impacts. Re Vision will establish baseline, technology-based scenarios to identify potential concerns in the siting of marine and hydrokinetic energy devices, and to provide information and data to industry and regulators.

Pacific Energy Ventures, LLC (Portland, Ore.) Siting Protocol for Marine and Hydrokinetic Energy Projects. Pacific Energy Ventures will bring together a multi-disciplinary team in an iterative and collaborative process to develop, review, and recommend how emerging hydrokinetic technologies can be sited to minimize environmental impacts.

PCCI, Inc. (Alexandria, Va.) Marine and Hydrokinetic Renewable Energy Technologies: Identification of Potential Navigational Impacts and Mitigation Measures. PCCI will provide improved guidance to help developers understand how marine and hydrokinetic devices can be sited to minimize navigational impact and to expedite the U.S. Coast Guard review process.

Science Applications International Corporation (SAI) – San Diego, Calif., International Standards Development for Marine and Hydrokinetic Renewable Energy. SAIC will assist in the development of relevant marine and hydrokinetic energy industry standards, provide consistency and predictability to their development, and increase U.S. industry’s collaboration and representation in the development process.

Third Topic Area, National Marine Energy Centers (Award size: up to $1.25 million for up to five years)

Oregon State University, and University of Washington – Northwest National Marine Renewable Energy Center. OSU and UW will partner to develop the Northwest National Marine Renewable Energy Center with a full range of capabilities to support wave and tidal energy development for the U.S. Center activities are structured to: facilitate device commercialization, inform regulatory and policy decisions, and close key gaps in understanding.

University of Hawaii (Honolulu, Hawaii) National Renewable Marine Energy Center in Hawaii will facilitate the development and implementation of commercial wave energy systems and to assist the private sector in moving ocean thermal energy conversion systems beyond proof-of-concept to pre-commercialization, long-term testing.

Types of Hydro Turbines

There are two main types of hydro turbines: impulse and reaction. The type of hydropower turbine selected for a project is based on the height of standing water— the flow, or volume of water, at the site. Other deciding factors include how deep the turbine must be set, efficiency, and cost.

Impulse Turbines

The impulse turbine generally uses the velocity of the water to move the runner and discharges to atmospheric pressure. The water stream hits each bucket on the runner. There is no suction on the down side of the turbine, and the water flows out the bottom of the turbine housing after hitting the runner. An impulse turbine, for example Pelton or Cross-Flow is generally suitable for high head, low flow applications.

Reaction Turbines

A reaction turbine develops power from the combined action of pressure and moving water. The runner is placed directly in the water stream flowing over the blades rather than striking each individually. Reaction turbines include the Propeller, Bulb, Straflo, Tube, Kaplan, Francis or Kenetic are generally used for sites with lower head and higher flows than compared with the impulse turbines.

Types of Hydropower Plants

There are three types of hydropower facilities: impoundment, diversion, and pumped storage. Some hydropower plants use dams and some do not.

Many dams were built for other purposes and hydropower was added later. In the United States, there are about 80,000 dams of which only 2,400 produce power. The other dams are for recreation, stock/farm ponds, flood control, water supply, and irrigation. Hydropower plants range in size from small systems for a home or village to large projects producing electricity for utilities.

Impoundment

The most common type of hydroelectric power plant (above image) is an impoundment facility. An impoundment facility, typically a large hydropower system, uses a dam to store river water in a reservoir. Water released from the reservoir flows through a turbine, spinning it, which in turn activates a generator to produce electricity. The water may be released either to meet changing electricity needs or to maintain a constant reservoir level.

The Future of Ocean and Wave Energy

Wave energy devices extract energy directly from surface waves or from pressure fluctuations below the surface. Renewable energy analysts believe there is enough energy in the ocean waves to provide up to 2 terawatts of electricity. (A terawatt is equal to a trillion watts.)

Wave energy rich areas of the world include the western coasts of Scotland, northern Canada, southern Africa, Japan, Australia, and the northeastern and northwestern coasts of the United States. In the Pacific Northwest alone, it’s feasible that wave energy could produce 40–70 kilowatts (kW) per meter (3.3 feet) of western coastline. The West Coast of the United States is more than a 1,000 miles long.
In general, careful site selection is the key to keeping the environmental impacts of wave energy systems to a minimum. Wave energy system planners can choose sites that preserve scenic shorefronts. They also can avoid areas where wave energy systems can significantly alter flow patterns of sediment on the ocean floor.

Economically, wave energy systems are just beginning to compete with traditional power sources. However, the costs to produce wave energy are quickly coming down. Some European experts predict that wave power devices will soon find lucrative niche markets. Once built, they have low operation and maintenance costs because the fuel they use — seawater — is FREE.

The current cost of wave energy vs. traditional electric power sources?

It has been estimated that improving technology and economies of scale will allow wave generators to produce electricity at a cost comparable to wind-driven turbines, which produce energy at about 4.5 cents kWh.

For now, the best wave generator technology in place in the United Kingdom is producing energy at an average projected/assessed cost of 6.7 cents kWh.

In comparison, electricity generated by large scale coal burning power plants costs about 2.6 cents per kilowatt-hour. Combined-cycle natural gas turbine technology, the primary source of new electric power capacity is about 3 cents per kilowatt hour or higher. It is not unusual to average costs of 5 cents per kilowatt-hour and up for municipal utilities districts.

Currently, the United States, Brazil, Europe, Scotland, Germany, Portugal, Canada and France all lead the developing wave energy industry that will return 30% growth or more for the next five years.

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Excerpts from FRANK HARTZELL’s article in the Mendocino Beacon, June 4, 2009

13298_DIA_0_opt picOcean Power Technologies’ subsidiary California Wave Energy Partners in it’s “wave energy project proposed off Cape Mendocino has surrendered its Federal Energy Regulatory Commission (FERC) preliminary permit, making two major companies that have abandoned the area in the past two weeks.

The moves come at a time when President Obama’s energy policy has cut funding for wave energy in favor of solar and wind energy development.

The withdrawals leave GreenWave Energy Solutions LLC, with a permit off Mendocino, as the only local wave energy project.

Pacific Gas and Electric Company announced earlier this month they would not seek to develop wave energy off Fort Bragg. However, PG&E has not yet legally abandoned its FERC preliminary permit.

California Wave Energy Partners did just that on May 26, telling FERC their parent company, Ocean Power Technologies (OPT) was pulling out of California in favor of developing wave energy more seriously in Oregon.

The project was proposed near Centerville off Humboldt County, south of Eureka on the remote coast of Cape Mendocino.

“OPT subsidiaries are also developing two other projects at Coos Bay and Reedsport,” wrote Herbert Nock of OPT. “During the process of developing these projects, OPT has learned the importance of community involvement in the project definition and permitting process.

“OPT therefore feels it is in the best interests of all parties to focus its efforts (in Oregon) at this time. This will allow the time and resources necessary to responsibly develop these sites for the benefit of the coastal community and the state,” Nock wrote.

The Cape Mendocino project was to be situated in a prime wave energy spot, but with connections to the power grid still to be determined. The project was never the subject of a public meeting in Mendocino County and stayed under the radar compared to several other Humboldt County projects. PG&E still plans to develop its WaveConnect project off Eureka.

Brandi Ehlers, a PG&E spokeswoman, said PG&E plans to relinquish the preliminary permit for the Mendocino Wave Connect project soon.

She said the utility spent $75,000 on the Mendocino County portion of Wave Connect before stopping because Noyo Harbor was ill-equipped to deal with an offshore energy plant.

“PG&E is not currently pursuing applications for new FERC hydrokinetic preliminary permits, but it is important that we continue to explore other possibilities,” Ehlers said in response to a question.

Secretary of the Interior Ken Salazar has announced that his department will host 12 public workshops this month to discuss the newly-issued regulatory program for renewable energy development on the U.S. Outer Continental Shelf.

All the meetings are to be held in large cities — in Seattle June 24, Portland on June 25, and San Francisco on June 26.

Salazar restarted the process of building a framework for energy development in the ocean, which had been started in the Bush Administration but never finished.

The new program establishes a process for granting leases, easements, and rights-of-way for offshore renewable energy projects as well as methods for sharing revenues generated from OCS renewable energy projects with adjacent coastal States. The rules for alternative energy development in the oceans become effective June 29.

Most of the actual ocean energy development figures are for the Atlantic and Gulf of Mexico. The Pacific Ocean’s near-shore slopes are too steep and too deep for current wind energy technology. Wave and tidal energy are still in their infancy, not seen as able to help with President Obama’s energy plan.

The Obama administration has proposed a 25% cut in the research and development budget for wave and tidal power, according to an in-depth report in the Tacoma, Wash., News Tribune.

At the same time the White House sought an 82% increase in solar power research funding, a 36% increase in wind power funding and a 14% increase in geothermal funding. But it looked to cut wave and tidal research funding from $40 million to $30 million, the News Tribune reported.

Interior’s Minerals Management Service, the agency charged with regulating renewable energy development on the Outer Continental Shelf [and specifically wind energy projects], is organizing and conducting the workshops, which will begin with a detailed presentation and then open the floor to a question and answer session. All workshops are open to the public and anyone interested in offshore renewable energy production is encouraged to participate.”

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Editors Note:  On June 9, 2009, PG&E filed with the Federal Energy Regulatory Commission (FERC) a petition to release the Mendocino WaveConnect preliminary permit.

wave-ocean-blue-sea-water-white-foam-photoMendoCoastCurrent, May 11, 2009

In early May 2009, PG&E’s WaveConnect team decided to cancel the Mendocino WaveConnect project because the Noyo Harbor didn’t pass muster and was deemed insufficient in several engineering aspects, therefore unable to support PG&E’s Mendocino WaveConnect pilot wave energy program offshore.

PG&E summarily rejected re-situating the launch site to the Fort Bragg Mill Site, only a short distance from the Noyo Harbor, where PG&E could construct a state-of-the-art launch for Mendocino WaveConnect.

PG&E plans to report their decision to the Federal Energy Regulatory Commission and anticipates surrendering the Mendocino WaveConnect FERC pilot wave energy permit. The City of Fort Bragg, County of Mendocino and the FISH Committee were brought up to speed by PG&E on May 11th.

PG&E had raised $6mm in funding from CPUC and DOE for WaveConnect, allocated to both Mendocino and Humboldt projects. This remaining funds will now be directed to only Humboldt WaveConnect.

And PG&E notes that Humboldt WaveConnect, at Humboldt Bay and its harbor, offers WaveConnect the required spaciousness and the industrial infrastructure as well as a welcoming, interested community.

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Excerpts of FRANK HARTZELL’s article, Mendocino Beacon, May 7, 2009

gweclogo1GreenWave Energy Solutions, an “alternative energy startup has been granted a three-year preliminary permit to study wave energy off Mendocino.

It’s locals’ first look at action by a newly recast Federal Energy Regulatory Commission (FERC), which is tasked by the Obama Administration to make a greater push to develop alternative energy.

On May 1, FERC issued an exclusive preliminary permit to GreenWave Energy Solutions LLC. The permit’s area stretches from just north of Albion to off Point Cabrillo, about a half-mile from shore to three miles offshore.

Five men from the Thousand Oaks area of Southern California, including Tony Strickland, a Republican state senator, formed GreenWave Energy Solutions about two years ago.

Strickland, one of the state’s most ardent deregulators and anti-tax advocates, won the state Legislature’s closest race last November by a handful of votes. He made his involvement in alternative energy a key part of his campaign.

Green Wave Energy Solutions is composed of president Wayne Burkamp, Strickland, engineer Bill Bustamante, developer Dean Kunicki and developer Gary Gorian. Kunicki and Gorian are major real estate developers in Southern California.

The preliminary permit reserves that area solely for GreenWave and also gives the company first rights to apply for a long-term power license in state waters.”

“The GreenWave proposal envisions eventual construction of a power plant with more than twice the capacity of that planned by PG&E. GreenWave’s Burkamp said the firm is not a shell corporation or a subsidiary of any other company.

GreenWave hopes to someday install 10 to 100 Pelamis or OPT hydrokinetic devices capable of producing 100 megawatts, with a 2- to 3-mile long powerline running to shore, the permit application states.

FERC’s permit conditions for GreenWave don’t vary much from those imposed by FERC under the former Bush Administration.

But locals made this preliminary permit one of the longest ever. And the application has more interveners and more people commenting than any other “hydrokinetic” project in the nation. FERC has issued and is considering hydrokinetic permits from the Yukon River to the Florida Keys for wave, tidal, ocean current and river flow power.

While issuing the permit, FERC briefly responds to each point raised by locals.

“As for the concerns raised by Mendocino County and Laurel Krause regarding the financial capability and experience of the applicant, it has been the Commission’s policy for some time that, at least where there is no competition for a permit, the Commission will not base grant of the permit on proof of an applicant’s ability to finance or perform studies under the permit,” FERC wrote. “However, as discussed below, application of the Commission’s strict scrutiny policy may include cancellation of the permit if the applicant is unable to demonstrate, for financial or other reasons, adequate progress toward the possible development of a license application.”

Although FERC is an independent agency, President Obama appointed Jon Wellinghoff as chairman of the five-member commission after the chairman under President Bush resigned and left FERC. With the commission now split 2-2 between Republicans and Democrats, Obama now has the opportunity to change its direction with his appointment of a new fifth member.

FERC also recently accepted three preliminary permit applications from Sonoma County to study wave energy off its shores, a nod to local government that signals a change of direction for the independent federal commission.

That change began when Mendocino County and the City of Fort Bragg protested exclusion from the process and a lawsuit was threatened.

The permit is the first wave energy permit since the Obama Administration released new standards for the process of generating alternative energy on the outer continental shelf.

Under that plan, FERC has complete control of the wave energy process inside three miles. For projects like PG&E’s wave energy proposal, which extends on both sides of the three-mile line, a Minerals Management Service lease is required past state waters. PG&E withdrew from its efforts to get a MMS lease last year.

GreenWave’s permit area appears to extend just beyond the three-mile limit. John Romero of MMS said neither PG&E or GreenWave has sought a lease from MMS.

GreenWave’s application says the initial phase will involve spending between $1 million and $2 million and will be financed entirely through private equity.

“The estimated cost of the second phase (the actual installation of wave energy devices in the water and the generation of power from these devices) will be $20 million to $40 million,” the application states.

Burkamp told the newspaper that GreenWave’s application is different from PG&E’s in that GreenWave will focus on solving environmental issues, while PG&E Wave Connect is set up to test rival technologies.

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MARK CLAYTON, The Christian Science Monitor, April 24, 2009

wave-ocean-blue-sea-water-white-foam-photoThree miles off the craggy, wave-crashing coastline near Humboldt Bay, California, deep ocean swells roll through a swath of ocean that is soon to be the site of the nation’s first major wave energy project.

Like other renewable energy technology, ocean energy generated by waves, tidal currents or steady offshore winds has been considered full of promise yet perennially years from reaching full-blown commercial development.

That’s still true – commercial-scale deployment is at least five years away. Yet there are fresh signs that ocean power is surging. And if all goes well, WaveConnect, the wave energy pilot project at Humboldt that’s being developed by Pacific Gas and Electric Co. (PG&E), could by next year deploy five commercial-scale wave systems, each putting 1 megawatt of ocean-generated power onto the electric grid.

At less than 1% of the capacity of a big coal-fired power plant, that might seem a pittance. Yet studies show that wave energy could one day produce enough power to supply 17% of California’s electric needs – and make a sizable dent in the state’s greenhouse gas emissions.

Nationwide, ocean power’s potential is far larger. Waves alone could produce 10,000 megawatts of power, about 6.5% of US electricity demand – or as much as produced by conventional hydropower dam generators, estimated the Electric Power Research Institute (EPRI), the research arm of the public utility industry based in Palo Alto, California, in 2007. All together, offshore wind, tidal power, and waves could meet 10% of US electricity needs.

That potential hasn’t gone unnoticed by the Obama administration. After years of jurisdictional bickering, the Federal Energy Regulatory Commission (FERC) and the Department of Interior — MMS last month moved to clarify permitting requirements that have long slowed ocean energy development.

While the Bush administration requested zero for its Department of Energy ocean power R&D budget a few years ago, the agency has reversed course and now plans to quadruple funding to $40 million in the next fiscal year.

If the WaveConnect pilot project succeeds, experts say that the Humboldt site, along with another off Mendocino County to the south, could expand to 80 megawatts. Success there could fling open the door to commercial-scale projects not only along California’s surf-pounding coast but prompt a bicoastal US wave power development surge.

“Even without much support, ocean power has proliferated in the last two to three years, with many more companies trying new and different technology,” says George Hagerman, an ocean energy researcher at the Virginia Tech Advanced Research Institute in Arlington, Va.

Wave and tidal current energy are today at about the same stage as land-based wind power was in the early 1980s, he says, but with “a lot more development just waiting to see that first commercial success.”

More than 50 companies worldwide and 17 US-based companies are now developing ocean power prototypes, an EPRI survey shows. As of last fall, FERC tallied 34 tidal power and nine wave power permits with another 20 tidal current, four wave energy, and three ocean current applications pending.

Some of those permits are held by Christopher Sauer’s company, Ocean Renewable Power of Portland, Maine, which expects to deploy an underwater tidal current generator in a channel near Eastport, Maine, later this year.

After testing a prototype since December 2007, Mr. Sauer is now ready to deploy a far more powerful series of turbines using “foils” – not unlike an airplane propeller – to efficiently convert water current that’s around six knots into as much as 100,000 watts of power. To do that requires a series of “stacked” turbines totaling 52 feet wide by 14 feet high.

“This is definitely not a tinkertoy,” Sauer says.

Tidal energy, as demonstrated by Verdant Power’s efforts in New York City’s East River, could one day provide the US with 3,000 megawatts of power, EPRI says. Yet a limited number of appropriate sites with fast current means that wave and offshore wind energy have the largest potential.

“Wave energy technology is still very much in emerging pre-commercial stage,” says Roger Bedard, ocean technology leader for EPRI. “But what we’re seeing with the PG&E WaveConnect is an important project that could have a significant impact.”

Funding is a problem. As with most renewable power, financing for ocean power has been becalmed by the nation’s financial crisis. Some 17 Wall Street finance companies that had funded renewables, including ocean power, are now down to about seven, says John Miller, director of the Marine Renewable Energy Center at the University of Massachusetts at Dartmouth.

Even so, entrepreneurs like Sauer aren’t close to giving up – and even believe that the funding tide may have turned. Private equity and the state of Maine provided funding at a critical time, he says.

“It’s really been a struggle, particularly since mid-September when Bear Sterns went down,” Sauers says. “We worked without pay for a while, but we made it through.”

Venture capitalists are not involved in ocean energy right now, he admits. Yet he does get his phone calls returned. “They’re not writing checks yet, but they’re talking more,” he says.

When they do start writing checks, it may be to propel devices such as the Pelamis and the PowerBuoy. Makers of those devices, and more than a dozen wave energy companies worldwide, will soon vie to be among five businesses selected to send their machines to the ocean off Humboldt.

One of the major challenges they will face is “survivability” in the face of towering winter waves. By that measure, one of the more successful generators – success defined by time at sea without breaking or sinking – is the Pelamis, a series of red metal cylinders connected by hinges and hydraulic pistons.

Looking a bit like a red bullet train, several of the units were until recently floating on the undulating sea surface off the coast of Portugal. The Pelamis coverts waves to electric power as hydraulic cylinders connecting its floating cylinders expand and contract thereby squeezing fluid through a power unit that extracts energy.

An evaluation of a Pelamis unit installed off the coast of Massachusetts a few years ago found that for $273 million, a wave farm with 206 of the devices could produce energy at a cost of about 13.4 cents a kilowatt hours. Such costs would drop sharply and be competitive with onshore wind energy if the industry settled on a technology and mass-produced it.

“Even with worst-case assumptions, the economics of wave energy compares favorably to wind energy,” the 2004 study conducted for EPRI found.

One US-based contestant for a WaveConnect slot is likely to be the PowerBuoy, a 135-five-foot-long steel cylinder made by Ocean Power Technology (OPT) of Pennington, N.J. Inside the cylinder that is suspended by a float, a pistonlike structure moves up and down with the bobbing of the waves. That drives a generator, sending up to 150 kilowatts of power to a cable on the ocean bottom. A dozen or more buoys tethered to the ocean floor make a power plant.

“Survivability” is a critical concern for all ocean power systems. Constant battering by waves has sunk more than one wave generator. But one of PowerBuoy’s main claims is that its 56-foot-long prototype unit operated continuously for two years before being pulled for inspection.

“The ability to ride out passing huge waves is a very important part of our system,” says Charles Dunleavy, OPT’s chief financial officer. “Right now, the industry is basically just trying to assimilate and deal with many different technologies as well as the cost of putting structures out there in the ocean.”

Beside survivability and economics, though, the critical question of impact on the environment remains.

“We think they’re benign,” EPRI’s Mr. Bedard says. “But we’ve never put large arrays of energy devices in the ocean before. If you make these things big enough, they would have a negative impact.”

Mr. Dunleavy is optimistic that OPT’s technology is “not efficient enough to rob coastlines and their ecosystems of needed waves. A formal evaluation found the company’s PowerBuoy installed near a Navy base in Hawaii as having “no significant impact,” he says.

Gauging the environmental impacts of various systems will be studied closely in the WaveConnect program, along with observations gathered from fishermen, surfers, and coastal-impact groups, says David Eisenhauer, a PG&E spokesman, says.

“There’s definitely good potential for this project,” says Mr. Eisenhauer. “It’s our responsibility to explore any renewable energy we can bring to our customers – but only if it can be done in an economically and environmentally feasible way.”

Offshore wind is getting a boost, too. On April 22, the Obama administration laid out new rules on offshore leases, royalty payments, and easement that are designed to pave the way for investors.

Offshore wind energy is a commercially ready technology, with 10,000 megawatts of wind energy already deployed off European shores. Studies have shown that the US has about 500,000 megawatts of potential offshore energy. Across 10 to 11 East Coast states, offshore wind could supply as much as 20% of the states’ electricity demand without the need for long transmission lines, Hagerman notes.

But development has lagged, thanks to political opposition and regulatory hurdles. So the US remains about five years behind Europe on wave and tidal and farther than that on offshore wind, Bedard says. “They have 10,000 megawatts of offshore wind and we have zero.”

While more costly than land-based wind power, new offshore wind projects have been shown in some studies to have a lower cost of energy than coal projects of the same size and closer to the cost of energy of a new natural-gas fired power plant, Hagerman says.

Offshore wind is the only ocean energy technology ready to be deployed in gigawatt quantities in the next decade, Bedard says. Beyond that, wave and tidal will play important roles.

For offshore wind developers, that means federal efforts to clarify the rules on developing ocean wind energy can’t come soon enough. Burt Hamner plans a hybrid approach to ocean energy – using platforms that produce 10% wave energy and 90% wind energy.

But Mr. Hamner’s dual-power system has run into a bureaucratic tangle – with the Minerals Management Service and FERC both wanting his company to meet widely divergent permit requirements, he says.

“What the public has to understand is that we are faced with a flat-out energy crisis,” Hamner says. “We have to change the regulatory system to develop a structure that’s realistic for what we’re doing.”

To be feasible, costs for offshore wind systems must come down. But even so, a big offshore wind farm with hundreds of turbines might cost $4 billion – while a larger coal-fired power plant is just as much and a nuclear power even more, he contends.

“There is no cheap solution,” Hamner says. “But if we’re successful, the prize could be a big one.”

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MendoCoastCurrent, April 23, 2009

images3In Octoberr 2008 Grays Harbor Ocean Energy applied for seven Federal Energy Regulatory Commission (FERC) preliminary permits for projects located in the Atlantic Ocean about 12 to 25 miles offshore off the coasts of New York, Massachusetts, and Rhode Island, and in the Pacific Ocean about 5 to 30 miles off the coasts of California and Hawaii.

On April 9, 2009 FERC and MMS signed a Memorandum of Understanding (MOU) clarifying jurisdictional responsibilities for renewable energy projects in offshore waters on the Outer Continental Shelf (OCS).  The stated goals of this MOU are to establish a cohesive, streamlined process, encouraging development of wind, solar, and ocean or wave energy projects.

In this MOU, FERC agrees to not issue preliminary permits for ocean or wave projects that are located on the Outer Continental Shelf. 

And as a result, on April 17, 2009 FERC dismissed all seven Grays Harbor’s pending preliminary permit applications for its proposed wave projects as each and every project is located on the OCS.

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H. JOSEF HEBERT, AP/StarTribune, April 22, 2009

dept_of_interior_seal

Washington D.C. — The Interior Department issued long-awaited regulations on April 22, 2009 governing offshore renewable energy projects that would tap wind, ocean currents and waves to produce electricity.

The framework establishes how leases will be issued and sets in place revenue sharing with nearby coastal states that will receive 27.5% of the royalties that will be generated from the electricity production.

Interior Secretary Ken Salazar said in an interview that applications are expected for dozens of proposed offshore wind projects, many off the north and central Atlantic in the coming months. “This will open the gates for them to move forward … It sets the rules of the road,” Salazer said.

Actual lease approvals will take longer.

Salazar said he expects the first electricity production from some of the offshore projects in two or three years, probably off the Atlantic Coast.

President Barack Obama, marking Earth Day during an appearances in Iowa, welcomed “the bold steps toward opening America’s oceans and new energy frontier.”

The offshore leasing rules for electricity production from wind, ocean currents and tidal waves had stalled for two years because of a jurisdictional dispute between the Interior Department and the Federal Energy Regulatory Commission over responsibility for ocean current projects.

That disagreement was resolved earlier this month in a memorandum of understanding signed by Salazar and FERC Chairman Jon Wellinghoff.

The department’s Minerals Management Service will control offshore wind and solar projects and issue leases and easements for wave and ocean current energy development. The energy regulatory agency will issue licenses for building and operating wave and ocean current projects.

Salazar repeatedly has championed the development of offshore wind turbine-generated energy, especially off the central Atlantic Coast where the potential for wind as an electricity source is believe to be huge.

He said he has had numerous requests from governors and senators from Atlantic Coastal states to move forward with offshore wind development. State are interested in not only the close availability of wind-generated electricity for the populous Northeast, but also the potential for additional state revenue.

“We expect there will be significant revenue that will be generated,” Salazar said.

Under the framework nearby coastal states would receive 27.5% and the federal government the rest.

Currently there is a proposal for a wind farm off Nantucket Sound, Mass., known as Cape Wind, which has been under review separately from the regulation announced Wednesday. The Interior Department said no decision has been made on the Cape Wind project, but if it is approved it will be subject to the terms of the new rules.

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COLIN SULLIVAN, The New York Times, April 14, 2009

wave-ocean-blue-sea-water-white-foam-photoPalo Alto — Technology for tapping ocean waves, tides and rivers for electricity is far from commercial viability and lagging well behind wind, solar and other fledgling power sectors, a panel of experts said last week during a forum here on climate change and marine ecosystems.

While the potential for marine energy is great, ocean wave and tidal energy projects are still winding their way through an early research and development phase, these experts said.

“It’s basically not commercially financeable yet,” said Edwin Feo, a partner at Milbank, Tweed, Hadley & McCloy, during a conference at Stanford University. “They are still a long ways from getting access to the capital and being deployed, because they are simply immature technologies.”

Ocean and tidal energy are renewable sources that can be used to meet California’s renewable portfolio standard of 10 percent of electricity by 2010. But the industry has been hampered by uncertainty about environmental effects, poor economics, jurisdictional tieups and scattered progress for a handful of entrepreneurs.

Finavera Renewables, based in British Columbia, recently canceled all of its wave projects, bringing to a close what was the first permit for wave power from the Federal Energy Regulatory Commission. And last fall, the California Public Utilities Commission (CPUC) denied Pacific Gas & Electric Co.’s application for a power purchase agreement with Finavera Renewables, citing the technology’s immaturity.

Roger Bedard, head of the Electric Power Research Institute’s wave power research unit, said the United States is at least five and maybe 10 years away from the first commercial project in marine waters. A buoy at a Marine Corps base in Hawaii is the only wave-powered device that has been connected to the power grid so far in the United States. The first pilot tidal project, in New York’s East River, took five years to get a permit from FERC.

Feo, who handles renewable energy project financing at his law firm, says more than 80 ocean, tidal and river technologies are being tested by start-ups that do not have much access to capital or guarantee of long-term access to their resource. That has translated into little interest from the investment community.

“Most of these companies are start-ups,” Feo said. “From a project perspective, that doesn’t work. People who put money into projects expect long-term returns.”

William Douros of the National Oceanic and Atmospheric Administration (NOAA) expressed similar concerns and said agency officials have been trying to sort through early jurisdictional disputes and the development of some technologies that would “take up a lot of space on the sea floor.”

“You would think offshore wave energy projects are a given,” Douros said. “And yet, from our perspective, from within our agency, there are still a lot of questions.”

‘Really exciting times’

But the belief in marine energy is there in some quarters, prompting the Interior Department to clear up jurisdictional disputes with FERC for projects outside 3 miles from state waters. Under an agreement announced last week, Interior will issue leases for offshore wave and current energy development, while FREC will license the projects.

The agreement gives Interior’s Minerals Management Service exclusive jurisdiction over the production, transportation or transmission of energy from offshore wind and solar projects. MMS and FERC will share responsibilities for hydrokinetic projects, such as wave, tidal and ocean current.

Maurice Hill, who works on the leasing program at MMS, said the agency is developing “a comprehensive approach” to offshore energy development. Interior Secretary Ken Salazar himself has been holding regional meetings and will visit San Francisco this week to talk shop as part of that process.

Hill said MMS and the U.S. Geological Survey will issue a report within 45 days on potential development and then go public with its leasing program.

“These next couple of months are really exciting times, especially on the OCS,” he said.

Still, Hill acknowledged that the industry is in an early stage and said federal officials are approaching environmental effects especially with caution.

“We don’t know how they’ll work,” he said. “We’re testing at this stage.”

‘Highly energetic’ West Coast waves

But if projects do lurch forward, the Electric Power Research Institute’s Bedard said, the resource potential is off the charts. He believes it is possible to have 10 gigawatts of ocean wave energy online by 2025, and 3 gigawatts of river and ocean energy up in the same time frame.

The potential is greatest on the West Coast, Bedard said, where “highly energetic” waves pound the long coastline over thousands of miles. Alaska and California have the most to gain, he said, with Oregon, Washington and Hawaii not far behind.

To Feo, a key concern is the length of time MMS chooses to issue leases to developers. He said the typical MMS conditional lease time of two, three or five years won’t work for ocean wave technology because entrepreneurs need longer-term commitments to build projects and show investors the industry is here to say.

“It just won’t work” at two, three or five years, Feo said. “Sooner or later, you have to get beyond pilot projects.”

Hill refused to answer questions about the length of the leases being considered by MMS.

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MendoCoastCurrent, March 20, 2009

ferc_seal1Yesterday the Federal Energy Regulatory Commission (FERC), led by Chairman Jon Wellinghoff, filed this FERC Smart Grid Policy Statement introducing a proposed Smart Grid, interoperability standards with an interim period rate plan.  FERC has invited comments by May 1, 2009. 

FERC offered this summary:

This proposed policy statement and action plan provides guidance to inform the development of a smarter grid for the nation’s electric transmission system focusing on the development of key standards to achieve interoperability of smart grid devices and systems. The Commission also proposes a rate policy for the interim period until interoperability standards are adopted. Smart grid investments that demonstrate system security and compliance with Commission-approved reliability standards, the ability to be upgraded, and other specified criteria will be eligible for timely rate recovery and other rate treatments. This rate policy will encourage development of smart grid systems.

This FERC policy statement explores aspects of the proposed smart grid and electricity transmission especially as it relates FERC’s assumed areas of jurisdiction.  Push back may come from overlapping agencies, states and local municipalities, suggesting FERC benefiting in creating fair, inclusive, environmentally-safe, smart grid energy policies based on a transparent rulemaking period to obtain best direction as well as understand ensuing issues, overlaps and disputes.  

As renewable energy policy is nascent, and as generated electricity comes from remote lands, FERC’s Smart Grid energy policies has relevance to every technologist, environmentalist, stakeholder and supporters of the renewable energy world.

You may also access the entire archived meeting FERC Webcast which includes the Smart Grid policy statement, or download the Smart Grid Preso & Q/A portion.

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Editor’s Note:  On September 21, 2009 FERC Commissioner Suedeen Kelly declined a nomination to serve a second term on the panel. Kelly, a Democratic commissioner nominated by President Obama, said she was leaving her post for the private sector.  A FERC spokeswoman said Kelly would remain in her seat until Congress adjourns later this year.

In her tenure, Kelly has overseen the development of commercial scale renewable energy, the expansion of bid-based regional auction markets for electricity, growth in natural gas pipelines and storage and the birth of the smart grid.

“It is time for me to move on and pursue opportunities to advance these objectives in the private sector,” Kelly said in a statement.

The Senate has still yet to confirm another FERC nominee, John Norris. If the Senate fails to confirm Norris and replace Kelly before it adjourns, it will have only three commissioners sitting: two Republican and one Democrat.

MendoCoastCurrent, March 20, 2009

President Barack Obama has designated Jon Wellinghoff as chairman of the Federal Energy Regulatory Commission (FERC), a position he has held on an acting basis since January.

Wellinghoff is one of two Democrats on the five-member FERC commission.  Separately, the White House said Obama will nominate Commissioner Suedeen Kelly, the panel’s other Democrat, to a third term. Wellinghoff has been on the commission since 2006 and Kelly since 2003.

The Senate confirms commission members, but the president may name its chairman without Senate action.

Here’s the Obama Administration’s FERC Team:

comm_mem

Chairman Jon Wellinghoff, Commissioner Suedeen G. Kelly, Commissioner Philip D. Moeller, Commissioner Marc Spitzer

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Cherry Creek News Staff, March 17, 2009

WASHINGTON, DC – In a joint statement issued today Secretary of the Interior (DOI), Ken Salazar and Acting Chairman of the Federal Energy Regulatory Commission (FERC) Jon Wellinghoff announced that the two agencies have confirmed their intent to work together to facilitate the permitting of renewable energy in offshore waters.

“Our renewable energy is too important for bureaucratic turf battles to slow down our progress. I am proud that we have reached an agreement with the Federal Energy Regulatory Commission regarding our respective roles in approving offshore renewable energy projects. This agreement will help sweep aside red tape so that our country can capture the great power of wave, tidal, wind and solar power off our coasts,” Secretary Salazar said.

“FERC is pleased to be working with the Department of the Interior and Secretary Salazar on a procedure that will help get renewable energy projects off the drawing board and onto the Outer Continental Shelf,” Acting FERC Chairman Jon Wellinghoff said.

Below is the joint Statement between DOI and FERC signed by Secretary Salazar and Acting Chairmain Wellinghoff:

JOINT STATEMENT BY THE SECRETARY OF THE INTERIOR AND THE ACTING CHAIRMAN OF THE FEDERAL ENERGY REGULATORY COMMISSION ON THE DEVELOPMENT OF RENEWABLE ENERGY RESOURCES ON THE OUTER CONTINENTAL SHELF

The United States has significant renewable energy resources in offshore waters, including wind energy, solar energy, and wave and ocean current energy.

Under the Outer Continental Shelf Lands Act, the Secretary of the Interior, acting through the Minerals Management Service, has the authority to grant leases, easements, and rights-of-way on the outer continental shelf for the development of oil and gas resources. The Energy Policy Act of 2005 amended the Outer Continental Shelf Lands Act to provide the Interior Department with parallel permitting authority with regard to the production, transportation, or transmission of energy from additional sources of energy on the outer continental shelf, including renewable energy sources.

The Interior Department’s responsibility for the permitting and development of renewable energy resources on the outer continental shelf is broad. In particular, the Department of the Interior has permitting and development authority over wind power projects that use offshore resources beyond state waters.

Interior’s authority does not diminish existing responsibilities that other agencies have with regard to the outer continental shelf. In that regard, under the Federal Power Act, the Federal Energy Regulatory Commission has the statutory responsibility to oversee the development of hydropower resources in navigable waters of the United States. “Hydrokinetic” power potentially can be developed offshore through new technologies that seek to convert wave, tidal and ocean current energy to electricity. FERC will have the primary responsibility to manage the licensing of such projects in offshore waters pursuant to the Federal Power Act, using procedures developed for hydropower licenses, and with the active involvement of relevant federal land and resource agencies, including the Department of the Interior.

We have requested our staffs to prepare a short Memorandum of Understanding that sets forth these principles, and which describes the process by which permits and licenses related to renewable energy resources in offshore waters will be developed.

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Ocean Energy Council, March 17, 2009

fauResearchers in Dania Beach, Fla., landed almost $1.2 million in a federal grant to continue working on an underwater turbine prototype that will use ocean currents to generate power.

Researchers at Florida Atlantic University’s (FAU) Center for Ocean Energy Technology (COET) joined Rep. Ron Klein, D-Fla., today to announced the funding at the SeaTech campus in Dania Beach. The grant is part of the $410 billion spending bill signed by President Barack Obama. This is the first time the project has received federal funds.

The money will help pay for testing and possibly expanding the staff as the Center moves toward making the turbines a commercial product that can be used in offshore areas around the country. Scientists and engineers say these underwater turbines can power buildings along the coastline and eventually become a major energy source.

All the testing to date has been on land while the FAU Center studies underwater conditions and seeks federal and state permits to put the first prototype in the water, possibly this summer.

The Center expects to raise its national profile and get more funding for this and other renewable ocean energy projects, including ocean thermal energy (OTEC) and deep seawater cooling for air conditioning. “This [money] puts us on the radar screen at the federal level,” said Susan Skemp, executive director of the Center.

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EVAN LEHMANN, The New York Times, March 17, 2009

The oceans might not be big enough for sharp-elbowed renewable energy developers. Aspiring power producers are claiming sweeping stretches of sea along the East Coast, sometimes overlapping each other and igniting modern-day allegations of “claim jumping.”

Open water miles from shore is the newest frontier for prospectors, as vague notions persist about who in the federal government presides over the ocean depths. A jurisdictional dispute between two federal agencies — the Department of Interior’s Minerals Management Service and the Federal Energy Regulatory Commission — is encouraging a “Wild West” atmosphere, as one participant described the accelerating race to grab chunks of seafloor for energy development.

The impasse has led competing prospectors to claim the same areas of ocean off New Jersey’s coast, citing authority from different federal agencies. Wind developers are accusing Seattle-based Grays Harbor Ocean Energy Co. of taking advantage of the regulatory uncertainty to snatch a 200-square-mile swath of ocean for a proposed wave and wind energy project through FERC.

Smaller patches within that area had already been identified for wind farms approved by the state and been given a preliminary green light by MMS.

“They are all around us,” Chris Wissemann, founder of Deepwater Wind, said of Grays Harbor. State regulators awarded development rights to Deepwater Wind last fall to build a 350-megawatt wind farm about 20 miles off the shore with PSEG Renewable Generation.

But now the Grays Harbor site is “completely overlapping” the smaller 20-square-mile area of ocean identified by Deepwater Wind, Wissemann added, noting that his project is at “full stop.” The sprawling Grays Harbor parcel also encompasses a second wind project, proposed by Bluewater Wind, which plans to erect about 100 turbines over 24 square miles.

Wind developers and state officials are pressing FERC to deny Grays Harbor’s permit. A decision could come this spring.

‘Wild West’ goes to sea

The confusion is the offspring of dueling federal agencies. The Minerals Management Service is generally considered the landlord of the ocean floor, and has been working for three years on new rules to provide leases for wind farms on the outer continental shelf. There is no dispute about its authority over wind projects, as outlined in the Energy Policy Act of 2005.

But the Federal Energy Regulatory Commission has been arguing for two years that it maintains jurisdiction over hydrokinetic projects — those that tap the power of waves and currents — under the Federal Power Act.

That leaves developers of both wind and wave technologies vulnerable to each other. Preliminary permits are easy to get, and that can lead to “a lot of gamesmanship” in areas known to have good energy prospects, said Carolyn Elefant, a lawyer with the Ocean Renewable Energy Coalition.

“There are a lot of people who have these visions of flipping sites, selling sites, jumping claims and making people buy them off,” she said. “It’s the Wild West.”

That “back and forth” struggle between the two agencies stalled the release of MMS’s new rule on offshore renewable energy projects at the close of George W. Bush’s presidency, according to Michael Olsen, a former deputy assistant secretary in the Interior Department, who worked on the rule. Developers say the delay has prevented the offshore industry from growing.

“There was a tremendous push at the end of the last administration” to finalize the rule, Olsen said an event sponsored by the Energy Bar Association yesterday. “And it was delayed because of this dispute.”

‘Permit flippers’ vs. ‘mafiosos’

Grays Harbor is at the center of that storm. Run by Burton Hamner, who has experience in coastal management, the company in October plunged into the race to build the first offshore power generation project on the East Coast.

It applied for six interim leases from FERC, a move that would give it priority over hundreds of square miles off the coasts of Massachusetts, New Jersey, Rhode Island and several other states. The move could essentially secure those areas for three years, sidelining other wind companies that had already gone through a competitive selection process with the state of New Jersey and that are now waiting on the MMS rule before moving forward.

“I could literally have my equipment on a boat and receive a letter from FERC saying, ‘You have no right to do this because we have a competing set of regs,'” said Wissemann of Deepwater Wind, which might wait to build a data-collecting test tower until the dispute is settled.

A group of nine U.S. lawmakers, mostly from the East Coast, assailed Grays Harbor’s move — without mentioning the company — as “claim jumping” in a letter last week to Interior Secretary Ken Salazar. Some wind developers are furious, saying Hamner is “site banking” stretches of ocean with an eye toward trading in real estate, not clean energy.

“They’re looking to flip the permits,” said one official with a wind developer.

But Hamner dismisses those accusations as if they’re insults from entitled lawmakers or bested competitors acting like bossy “New Jersey mafiosos.”

Salazar pushing for a fix

He describes his maneuvering as a good business decision, one that fits within existing rules. He is not a claim jumper, he says, because MMS has not issued the rule needed to receive leases — an assertion with which his competitors have no choice but to agree.

“You can’t say somebody else is claim jumping when you haven’t in fact made a claim,” Hamner said. “All they’re doing is sitting there on the shore saying, ‘Hey, we were here first. What’s this guy doing messin’ in our sandbox?'”

He is unapologetic about applying for interim permits under FERC, days after the commission underscored its jurisdiction over hydrokinetic (wave power) projects in October. Nor does he feel burdened by exploiting the turf battle in Washington. FERC, he says, is the rightful overseer of electricity projects.

“They could have done the same thing that I did,” Hamner said of other developers. “The ocean’s got a lot of opportunity. There’s room for everybody. What we don’t want to have is people standing on the shore who’ve got the attitude of New Jersey mafiosos saying that’s their playground.”

Hamner is eligible for a FERC permit because he’s emphasizing wave power. At each of his seven sites, he proposes raising 100 platforms, each with three legs. Every leg will carry a 330-kilowatt generator, providing about 10% of the 1,100 megawatts produced by each project. Hamner plans to find the bulk of his electricity through wind turbines, big, 10-megawatt units on each platform.

The territorial dispute, meanwhile, is rising to a new level of urgency in Washington. Salazar said he hopes to draft a long-delayed memorandum of understanding with FERC, perhaps as soon as today. That could prevent the agencies from “stumbling over each other,” he told reporters on a conference call yesterday.

“We will not let any of the jurisdictional turf battles in the past get in the way with moving forward with our energy agenda,” Salazar said.

The MMS rule regarding leases could follow soon if the inter-agency dispute is settled. That’s considered a key requirement for sparking a robust offshore industry.

“They just need to work it out,” said Laurie Jodziewicz, manager of siting policy for the American Wind Energy Association. “We have some real projects that are being held up right now.”

Yet Olsen, the former official with Interior who worked on the rule, expressed doubt yesterday that Salazar would be able to quickly disarm the two sides. Congress might have to draft new legislation, he predicted, or perhaps President Obama’s new energy czar, Carol Browner, could muscle a jurisdictional remedy into place.

“It’s going to be the same thing,” Olsen said, recalling past challenges to fixing the problem. “Something’s gotta happen.”

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H. JOSEF HEBERT, The Associated Press, March 16, 2009

While the Obama administration has touted offshore renewable energy development, a turf fight between two federal agencies has stymied the government’s ability to issue rules needed to approve wind energy projects off America’s coasts.

Interior Secretary Ken Salazar said Monday the infighting has got to stop.

“It will be resolved,” Salazar said in response to questions about the dispute. “We will not let any of the jurisdictional turf battles of the past get in the way of our moving forward with the renewable energy agenda.”

The dispute, which dates to late 2007, pits the Interior Department against the Federal Energy Regulatory Commission over which entity should approve projects that use coastal waves and currents to produce power.

Offshore wind development has been entangled in the dispute because Interior’s Mineral Management Service does not want to separate wind projects from the tidal wave, or hydrokinetic power, programs – which FERC in turn has refused to surrender, according to several officials who have followed the dispute.

Interior and FERC are said to be close to agreement on a “memorandum of understanding” that would delineate each organization’s involvement in the offshore renewable energy approval process.

Salazar has been vocal in his call for more aggressive development of renewable energy projects off the country’s coasts, especially off the northern and central Atlantic. He said the governors of New Jersey and Delaware have asked what is holding up the regulations and said projects off their coasts are ready to go.

Jon Wellinghoff, acting chairman of FERC, played down the interagency dispute and – like Salazar – said he was confident the problem will soon be worked out.

“It’s less of a dispute than people say it is,” insisted Wellinghoff in a brief interview, adding that he doubted it has stopped any wind projects.

“It has nothing to do with wind. It only has to do with our jurisdiction over hydrokinetic systems, whether they are on the Outer Continental Shelf or not,” said Wellinghoff. He said he saw no reason why the Mineral Management Service would insist on viewing the tidal wave and wind issues together.

Salazar over the past week met with Wellinghoff to try to work out a memorandum of understanding that could be issued as early as this week. Both men are expected to be asked about the disagreement at a Senate Energy and Natural Resources Committee hearing Tuesday.

“If we don’t resolve the jurisdictional issues between FERC and the Department of Interior, we are not going to be able to move forward in the development of our offshore renewable energy resources,” said Salazar.

Mike Olsen, an attorney who represents Deep Water Wind, a company that wants to build a 96-turbine wind farm off the New Jersey coast, calls the dispute a classic government turf battle.

“It’s two agencies both feeling each has specific authority and jurisdiction. Neither one wants to yield its authority or jurisdiction to the other,” said Olsen, who as a deputy assistant Interior secretary in the Bush administration observed the dispute first hand.

Interior waged “a full court press” to get the rules on offshore renewable energy development finalize last year, Olsen said, but the effort was thwarted by the lack of an agreement with FERC.

“From our perspective the rule was ready to go in November,” said Olsen. But despite involvement of the Bush White House, no memorandum of understanding on the jurisdiction issue could be hammered out between Interior and FERC.

With a new administration on the horizon “the battle was put on hold,” he said.

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TOM DOGGETT, Reuters, March 12, 2009

WASHINGTON – Congress should give the federal government more authority to approve extra powerful transmission lines to move electricity generated by renewable sources, overriding state objections when necessary, a top energy regulator said on Thursday.

Broader federal authority would help meet President Barack Obama’s goal of doubling U.S. production of renewable energy like solar and wind power in the next three years, said Jon Wellinghoff, acting chairman of the Federal Energy Regulatory Committee.

This could help cut greenhouse gas emissions spewed by coal-fired power plants that contribute to global warming, he said.

The timely siting of electric transmission facilities will be essential to meeting our nation’s goal of reducing reliance on carbon-emitting sources of electric energy and bringing new sources of renewable energy to market,” Wellinghoff said at a Senate Energy Committee hearing on new transmission lines.

At the end of the day if there is a state who blocks a line that’s in the national public interest I think, unfortunately, there needs to be a federal override,” he said.

Congress gave FERC authority to site and permit electric transmission lines crossing state borders within important corridors with grid congestion. But a federal court ruled FERC cannot use this authority if a state denies a transmission project in a timely manner.

Without broader federal siting authority … it is unlikely that the nation will be able to achieve energy security and economic stability,” Wellinghoff said. 

Sen. Jeff Bingaman, Democrat of New Mexico, chairman of the energy committee, agreed FERC’s current siting authority is insufficient.

It does not apply to most of the country and does not take into account future need,” he said.

Senate Majority Leader Harry Reid, Democrat of Nevada, has introduced legislation to give the government broader siting authority for new power lines for renewable energy.

Reid, who also testified at Thursday’s hearing, later told reporters he wanted to roll that bill along with a new national renewable electricity standard into climate change legislation.

The bill he envisions would cap U.S. greenhouse gas emissions and require power plants, oil refineries and other industrial facilities to buy permits to emit carbon polluting emissions.

House Speaker Nancy Pelosi wants to take a similar approach, Reid said:

The House has decided to take them all up together. That’s probably where we’re headed.”

Reid said he hoped the combined bill would clear the Senate this summer. He said he would consider tacking the bill on to budget reconciliation legislation the Senate could pass with a simple majority, without needing 60 votes to stop a filibuster.

Oh I love 51 (votes) compared to 60,” Reid said. “We know that’s an alternative.”

Senator Lisa Murkowski of Alaska, the top Republican on the energy panel, said she opposed combining the energy and climate change bill and folding it into budget legislation.

I also strongly disagree with attempts to do an end run around Congress and mandate what would be the biggest change in our energy policy in the nation’s history through the budget reconciliation process,” she said.

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CHRIS NEWKUMET, Platts.com, March 9, 2009

kelliherUS Federal Energy Regulatory Commission member Joseph Kelliher on Monday said he will leave the agency March 13.

Kelliher was chairman of FERC from July 9, 2005, until January 22, 2009, and has served at the commission since November 20, 2003.

Just before the inauguration of President Barack Obama, Kelliher announced he would surrender the gavel to a chairman of Obama’s choice, which turned out to be Jon Wellinghoff, who is serving on an acting basis.

With a change in political party in the White House, the FERC chairman typically leaves the commission within weeks of the inauguration, regardless of how much time is left on his term.

Although Kelliher’s term as a commissioner does not end until June 2012, he stopped participating in all official commission business when he stepped down as chairman.

Under the commission’s ethics rules, sitting commissioners are required to recuse themselves from cases that may impact a potential employer with whom the commissioner is discussing future employment.

On the five-member commission, administrative rules allow for a three-member majority reflecting the president’s party, including the chairmanship. While all commissioners must be confirmed by the Senate, the chairman is simply designated by the White House in a letter setting out the president’s choice.

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MendoCoastCurrent, March 11, 2009

17transition2-6001Secretary of the Interior Ken Salazar announced today that he has just signed his first order establishing renewable energy generation as the top priority of the Department of the Interior. Following President Obama’s lead in steering the United States into this new energy path, he said this agenda would create jobs and grow investment and innovation at home. Also noted was that the DOI will focus mostly in western states for generation of electricity through renewable energy (solar, wind, wave, geothermal, biomass).

Secretary Salazar illustrated this opportunity with the Bureau of Land Management backlog over 200 solar energy projects and over 20 wind projects in western states alone. There have yet been any permits or jobs created for these renewable energy projects to be fast-tracked in consideration, evaluated in terms of environmental impact and anticipating the acceptable projects will move forward swiftly.

Starting today, renewable energy projects in solar, wind, small hydro, geothermal and biomass will benefit in priority treatment to generate electricity and renewable energy. And Secretary Salazar stated that a newly-formed energy and climate change task force is already working hard, nights and weekend to develop these plans (since January 20th) for presentation to a Dept. of Energy committee soon. 

In tandem, Secretary Salazar indicated that through cross-departmental effort (BLM, EPA, Dept. of Energy, MMS, FERC and others), his goal is to rapidly and responsibly move forward with Obama’s renewable energy agenda to develop and upgrade the United States electric transmission grid.  

When asked about Cape Wind off Cape Cod, Mr. Salazar indicate that “after we hold our hearings around the country [for MMS rulemaking] the jurisdictional issues between the Federal Energy Regulatory Commission and Minerals Management Service shall be accomplished within this year.” Many projects are being inhibited and we are actively clearing the path to move forward.

The roadshow planned by Secretary Salazar shall help identify renewable energy zones (solar energy in western states minus ecological sensitivity (reduction). He explained that today, through solar energy in the western states alone, we may produce 88% of all of the energy needs and adding wind takes it over 100%. This also fuels the need for a national transmission system as a high priority.

Salazar also called for the need to finalize and renew offshore renewable energy rules that protect the United States landscapes, wildlife and environment as we serve as steward of our lands.

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MendoCoastCurrent from Platts Energy Podium, February 12, 2009

The recently approved Economic Stimulus Plan includes expanding the US electric transmission grid and this may be the just the start of what will be a costly effort to improve reliability and deliver renewable energy to consumers from remote locations, Federal Energy Regulatory Commission (FERC) Acting Chairman Jon Wellinghoff told the Platts Energy Podium on February 12, 2009.

Wellinghoff defines the Stimulus energy funds as “seed money. But it really isn’t [enough] money to make huge advances in the overall backbone grid that we’re talking about to integrate substantial amounts of wind.”

While details of the plan compromises are unclear, the measure could provide $10 billion or more to transmission upgrades. Wellinghoff said backbone transmission projects could cost more than $200 billion. “And I think we’ll see that money coming from the private sector,” based on proposals already submitted to FERC.

Wellinghoff’s focused on Congress strengthening federal authority to site interstate high-voltage electric transmission lines to carry wind power to metropolitan areas and expects FERC to be heavily involved in formulation of either a comprehensive energy bill or a series of bills meant to address obstacles to increasing renewable wind, solar and geothermal energy, and other matters that fall within FERC’s purview. 

FERC plays a critical role “given the authorities we’ve been given in the 2005 and 2007 acts and our capabilities with respect to policy and implementation of energy infrastructure.”

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Publisher’s Note:  Feb 09, 2009 – Not only has Finavera surrendered their Makah Bay license noted below, they also announced surrendering the Humboldt County, California Preliminary Permit to explore wave energy:

“Finavera Renewables has filed applications to surrender its Federal Energy Regulatory Commission license for the Makah Bay Wave Energy Pilot Project in Washington and the Humboldt County Preliminary Permit for a proposed wave energy project in California.”

MendoCoastCurrent readers may recall Finavera’s inability to secure CPUC funding for the Humboldt project; noted below capitalization, financial climate as key reasons in these actions.

MendoCoastCurrent, February 6, 2009

finavera-wavepark-graphicToday Finavera Renewables surrendered their Federal Energy Regulatory Commission (FERC) Makah Bay, Washington wave energy project license, commenting that the Makah Bay Finavera project “never emerged from the planning stages.”

And “due to the current economic climate and the restrictions on capital necessary to continue development of this early-stage experimental Project, the Project has become uneconomic.  Efforts by Finavera to transfer the license were not successful.  Therefore, Finavera respectfully requests that the <FERC> Commission allow it to surrender its license for the Project. ”

Back in early 2007, Finavera’s Makah Bay project looked like it would become the first U.S. and west coast project deployment of wave energy devices.  And this project also had a unique status based on Native American Indian land/coastal waters, so the rules of FERC, MMS were different due to sovereign status.

Then AquaBuoy, Finavera’s premier wave energy device, sank off the Oregon coast due to a bilge pump failure in late October 2007.  

Recently noted was Finavera’s comment that they are currently focusing their renewable energy efforts toward wind energy projects closer to their homebase in British Columbia, Canada and in Ireland.

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SUSAN CHAMBERS, The World, February 4, 2009

coos-bay-intro2Coos Bay, Oregon — The jobs are coming, so Ocean Power Technologies insists.

OPT spokesman Len Bergstein said Monday the company wants to get stimulus funds from the federal government.

“We have a strong interest in presenting a project that would be jobs-ready right now,” Bergstein said.

OPT wants to get a test buoy in the water soon. It recently formed an agreement with Lockheed Martin in which Lockheed would provide construction, systems integration and deployment work, according to a press release.

The announcement last week followed on a similar report from Oregon Iron Works in Clackamas and American Bridge in Reedsport that said they plan to share buoy construction work, if Oregon Iron gets OPT’s contract.

Bergstein said the Lockheed agreement is for higher level technical, systems integration work.

“It would not replace work on the coast,” he said.

OPT has said it hopes to get a buoy in the water this year and to submit plans to the Federal Energy Regulatory Commission and the federal government in March.

The Obama administration recently put together the White House Task Force on Middle Class Working Families, chaired by Vice President Joe Biden, to boost the living standards of the country’s middle class. Its first focus is green jobs, those that use renewable energy resources, reduce pollution, conserve energy and natural resources and reconstitute waste. The task force’s first meeting is Feb. 27.

If the community can get behind OPT’s plans, Bergstein said, the company could submit it to the task force.

“We want to demonstrate that wave energy projects are the kinds of things that can bring jobs to coastal communities,” he said. “Nothing could say that better than being part of a stimulus package.”

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SUSAN CHAMBERS, The World, February 3, 2009

Coos Bay — The announcement came as a surprise to everyone.

beachpThe Federal Energy Regulatory Commission’s Thursday order issuing a preliminary permit for a 200- to 400-buoy wave energy project off of Newport shocked Ocean Power Technologies leaders as well as the public.

“It’s a project, a site that is not on our priority list right now,” OPT spokesman Len Bergstein said. “It was a little bit of a surprise to us in terms of timing.”

What’s different about this project is that FERC’s approval stirs up a hornet’s nest at the time OPT is trying to work with residents on the South Coast for community approval of two sites: a 10-buoy project off of Gardiner and a 200-buoy project off of the North Spit.

It also calls into question FERC’s intentions of adhering to a memorandum of understanding previously negotiated with Oregon to give the state greater siting power over wave energy projects in the territorial sea.

The approval also seems to be designed for FERC to flex authority over territory traditionally overseen by the U.S. Department of Interior’s Minerals Management Service. Both agencies have claimed the area outside of Oregon’s territorial sea, beyond three nautical miles.

Mixed Messages

As the FERC notice of approval hit residents’ e-mail inboxes late Thursday, outrage began to build.

“My concern is this sends the wrong message,” said Lincoln County District Attorney Rob Bovett. “This is high-value crab grounds, about as valuable as you get.”

OPT applied for the permit in November 2006, but let the application slide. The jurisdictional battle meant the application was going nowhere fast. OPT decided to concentrate its work on the Gardiner and Coos Bay sites, both of which are inside the territorial sea.

Bergstein said as soon as he found out about the approval, he immediately called Lincoln County Commissioner Terry Thompson and other Lincoln County folks, particularly those involved with the Fishermen Involved in Natural Energy group.

“Clearly, we have not been prompting FERC,” Bergstein said.

Bovett, who was involved in the commenting on the original OPT application, said Fishermen Involved has been working with wave energy companies to determine the best sites for development that would have the least impact on the fishing industry and local communities. This, though, was different.

“FINE wasn’t involved in the selection of this box,” Bovett said.

State vs. FERC?

Bovett’s first question was: Does the memorandum of understanding not mean anything?

In March 2008, FERC and Oregon signed a memorandum designed to “coordinate the procedures and schedules for review of wave energy projects.”

Bovett just chuckled.  According to the deal, he said, FERC wasn’t going to issue permits willy nilly. 

Some of the discrepancy over the decision to issue a preliminary permit — which allows OPT to only study the area for feasibility — may be because Oregon hasn’t finished updating its territorial sea plan. The Ocean Policy Advisory Council and the state have been working on it, but the marine reserves issue has dominated the council’s time over the past year.

“This will obviously get everybody’s attention,” Southern Oregon Ocean Resource Coalition Chairman Nick Furman said of FERC’s decision.

That’s putting it lightly.

Whereas the Reedsport and Coos Bay sites are considered by some to be ground zero as far as local communities negotiating with wave energy developers, the Newport site could be ground zero for state vs. federal and agency vs. agency jurisdiction and siting battles.

However, Bovett said, OPT holds the key right now.

The New Jersey-based wave energy developer should withdraw from  the site, he said. Otherwise, years of litigation seem likely — and courts ultimately would have the final say over which agency should be in charge of alternative energy.

“OPT can fix this,” Bovett said. “It’s exactly what they should do.”

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MendoCoastCurrent, January 29, 2009

images2At his first White House press conference, President Obama declared “the days of Washington dragging its heels are over” and ordered an immediate review of the Bush administration’s refusal to give California authority to enforce tougher emission and fuel efficiency standards on gas and diesel automobiles.

For more than two years California Governor Schwarzenegger has sought to impose stricter standards on automobile manufacturers in an effort to spur adoption of plug-in electric cars.

President Obama’s order may signal his interest in granting California’s request in a matter of weeks. Eighteen other States, representing nearly half the nation’s population, have indicated they wish to follow California’s lead, calling for the establishment of a national electric car-charging network.

President Obama’s push for electric cars is closely linked to his $11 billion high voltage “superhighway” that was passed last night by the House included in the $819 billion economic stimulus.

The newly-chosen, Acting Chairman of the Federal Energy Regulatory Commission (FERC), Jon Wellinghoff, is calling for regulators and automobile manufacturers to plan integration in the car-charging networks for electric vehicles into the national power grid. “If you’re an automobile company, you’d better get on the bandwagon…because there is definitely going to be a move toward electrification,” said Wellinghoff.  Chip manufacturers and power companies may also wish to jump in.

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Editors Note:  On May 11, 2009, PG&E pulled-out of Mendocino WaveConnect, read it here: http://tinyurl.com/qwlbg6 . The remains of the $6M are now solely allocated to Humboldt WaveConnect.

MendoCoastCurrent, January 29, 2009

wave-ocean-blue-sea-water-white-foam-photoPG&E caught a major renewable energy wave today as the California Public Utilities Commission approved $4.8 million in funding their centerpiece wave energy project, WaveConnect. The program also received an additional $1.2 million in matching funds from the Department of Energy. PG&E’s WaveConnect, a project already two years in the making, launches with a $6M kitty.

WaveConnect is chartered with exploring wave energy development off the coasts of Mendocino and Humboldt counties in Northern California. The stakeholders in this region are dyed-in-the-wool political activists, living in environmentally-centric coastal communities and have reacted protectively, sounding alarms that PG&E and the Federal government’s wave energy plans may foul, diminish and destroy the Pacific Ocean and marine life.

Over the two years that PG&E and the Federal Energy Regulatory Commission (FERC) advanced WaveConnect, only recently have environmental concerns and study become part of the discussion. The opportunity for Mendocino and Humboldt coastal communities and local governments to embrace wave energy development and connect with WaveConnect has not gone well, especially as the Federal Energy Regulatory Commission (FERC) has disallowed the City of Fort Bragg and local fishermen to be party in the WaveConnect FERC Preliminary Permitting.

Jonathan Marshall, publisher of Next100, a PG&E blog, wrote “PG&E’s first step will be to conduct meetings with local stakeholders and agencies to learn about their issues and concerns. After completing appropriate environmental reviews and permit applications, which could take a couple of years, PG&E then plans to build an undersea infrastructure, including power transmission cables, to support wave energy demonstration projects. The utility will then invite manufacturers of wave energy devices to install them offshore for testing and comparison.”

“The anticipated cost of wave power compares favorably to the early days of solar and wind,” says William Toman, WaveConnect project manager at PG&E. “It will take several stages of design evolution to lower costs and increase reliability.” The CPUC and the DOE are betting on this evolution as in this funding scenario engineered by PG&E, the CPUC awards $4.8M in ratepayer funds while the DOE $1.2M is a matching grant.

Wave energy may become a key source of renewable energy in California. It’s proposed that the 745-mile coastline could produce 1/5th of California’s energy needs if, admittedly a big if, economic, environmental, land use and grid connection issues — and community issues — don’t stand in the way.

Marshall wrote in closing “Making ocean power technology work reliably and at a competitive price will be the first big challenge. Serving offshore installations with power transmission lines will be another economic and engineering hurdle. Finally, ocean power developers must also convince local communities and government regulators that their installations will not destroy marine life, cause boating collisions or navigational hazards, or degrade ocean views.”

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Please Take Action By MONDAY, FEBRUARY 9, 2009 before 2:00 pm!

MendoCoastCurrent, January 29, 2009

ferc_seal1Just a couple of weeks ago, Ann Miles, Director of Hydropower Licensing at the Federal Energy Regulatory Commission visited the Mendocino coast.  The centerpiece of her presentation on January 13, 2009 at Fort Bragg Town Hall was to explain the FERC Hydokinetic Licensing process.

For all those present at the meeting, Ms. Miles informed the Mendocino community of the WRONG DATE to file citizen Motions to Intervene in the Green Wave LLC proposed FERC project on the Mendocino village coastline.

FERC has kindly updated the mis-information and has indicated they wish to have the correct date promoted.  This correct date to file Motions to Intervene (directions follow) is now Monday, February 9, 2009 no later than 2:00 P.M. PST.

* * * * * * * *

Here’s a novel and effective way for you, your company and your family to state your position to the Federal Government on Mendocino wave energy development. It’s pretty simple to do, it’s empowering and it’s effective in that each filing can make a difference. Interested? Read on.

This action relates to Green Wave Energy Solutions’ application for a wave energy Preliminary Permit that was recently accepted by the Federal Energy Regulatory Commission (FERC). Since early December 2008, FERC has enabled a process for the public and interested parties to share their views (intervene).  The best way to participate is go online to the FERC web site and use the guide below to share your views on the Green Wave FERC hydrokinetic application.

Click on this HERE for a step-by-step instruction guide authored by Elizabeth Mitchell, FERC Coordinator for Fishermen Interested in Safe Hydrokinetics, FISH.

More about the FERC and Green Wave Energy Solutions Mendocino Wave Energy Permit

An application for a wave energy project in the ocean off Mendocino, California has been filed by Green Wave Energy Solutions, LLC.  Green Wave has made an application to put 10 to 100 wave energy devices in 17 square miles of ocean, between 0.5 and 2.6 miles offshore, running roughly north and south between the Navarro River and Point Cabrillo on the North Coast of California.

On December 9, 2008, the Federal Energy Regulatory Commission (FERC) began the permit process for the project by issuing a “Notice of Preliminary Permit Applications Accepted for Filing and Soliciting Comment, Motions to Intervene, and Competing Applications.”  

The law provides that interested individuals and organizations may become parties to the permit process.  In order to become a party, you and/or your organization(s) must file a “Motion to Intervene.”  The deadline for intervening in the Green Wave Project is Monday, February 9, 2009 by 2:00 P.M. PST.

You may intervene no matter what your current views are on the merits of wave energy.  Intervention gives you a place at the table as a full party to the permit process.  It also enables you to appeal future FERC rulings with respect to the permit. 

Intervening is not difficult, and you do not have to be a lawyer to do it.  If you file your motion to intervene by the Monday, February 9, 2009 deadline, and no one opposes your intervention, you automatically become a party after 15 days.

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MendoCoastCurrent, January 29, 2009

As the Monday, February 9, 2009 before 2 p.m. deadline for filing FERC Motion to Intervene papers regarding the Green Wave LLC wave energy preliminary permit off the Mendocino village coast approaches, locals, the City of Fort Bragg and fishing organization are participating and electronically filing their views with FERC.

Here’s the excellent brief filed by the County of  Mendocino, California:  HERE

Have you filed your FERC Motion to Intervene today?

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Susan Chambers, The World, January 26, 2009

coos-bay-intro1Coos Bay, Oregon – Ocean Power Technologies is feeling pressure as local groups, the state and even the Federal Energy Regulatory Commission urge the company to shrink its 200-buoy Coos Bay plan.

Oregon Wave Energy Partners I, as Ocean Power Technologies, filed its notice of intent and preliminary application document with FERC in March 2008 for the 200-buoy array off the North Spit.

The Southern Oregon Ocean Resource Coalition, Oregon International Port of Coos Bay, Surfrider Foundation and the Oregon Department of Fish and Wildlife filed comments suggesting OPT slow down. Instead of going for a full build-out, phase it in after more studies are done, they said.

The 200-buoy plan also runs counter to FERC’s own advice.

In August 2008, FERC told OPT that, “since information about the potential environmental effects of large-scale projects, such as proposed in your (preliminary application document) is limited, we believe that in most situations, smaller pilot projects are better suited for development at this time.”

The coalition also debated the length of the license, should it be granted. Like hydropower licenses, which typically are in force for between 30 and 50 years, so too are hyrokinetic licenses — those that cover wave, tidal and current energy projects.

“… it is premature to license a project of the size and scope planned off of Coos Bay, especially given the 30- to 50-year license terms being sought after,” SOORC said, noting that more studies should be done first.

OPT has said it will be a few years before even the first few buoys are in the water. OPT hasn’t yet placed one buoy in the water at Gardiner but FERC could grant a license for the Coos Bay project before any studies from the Reedsport project are completed.

ODFW, too, said more studies must be done.

“ODFW believes that the proposed project size (200 buoys) is not consistent with state’s support of experimental wave energy projects,” ODFW wrote in its comments. “A full build-out of a commercial sized project at this stage would lack the applied knowledge from studies of previous experimental projects, thus ODFW would not fully understand the potential impacts of the project in order to responsibly and thoroughly comment on a large project.”

The Port of Coos Bay reiterated Oregon Gov. Ted Kulongoski’s plan for the territorial sea. Last year, Kulongoski wrote to FERC that large-scale projects “must be preceded by a comprehensive evaluation for this and other uses of these waters to ensure those ocean resources and other ocean values and uses will not be harmed.”

That shows, the port said, that a small demonstration project should be allowed first, with studies over several years on impacts to the environment and coastal communities — before a full license is granted.

OPT’s vice president of Business Development and Marketing, Herb Nock, said the company expected such comments.

“It’s a range of views,” Nock said. “We came back to the public meetings and are investing the time to understand the alternative uses of the sea.”

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KATE GALBRAITH, The New York Times, January 26, 2009

Almost lost amid President Barack Obama’s stream of appointments was that of Jon Wellinghoff as Acting Chairman of the Federal Energy Regulatory Commission. The FERC’s duties include regulating interstate transmission of electricity, watching over the nation’s wholesale electricity markets and also licensing new hydropower projects.

Mr. Wellinghoff — a Democrat who has been one of five FERC commissioners for the last three years, and previously worked in private practice as a lawyer specializing in energy issues — has applauded Mr. Obama’s clean energy goals. His appointment drew praise from environmentalists.

“He’s been a consistent advocate of sustainable energy policies — energy efficiency, renewable energy and clean distributed resources,” said Ralph Cavanagh of the Natural Resources Defense Council in an e-mail message, “and he has focused on making sure these resources are treated fairly in energy markets (many of which had been notorious for hostility to these relative newcomers).”

One of Mr. Wellinghoff’s roles, according to his biography, has been to advise the NRDC on U.S.-China energy issues.

The previous chairman, Joseph Kelliher, a Republican, was the subject of controversy for his close participation in former Vice President Dick Cheney’s 2000 Energy Task Force. Mr. Kelliher stepped down earlier this month.

Mr. Wellinghoff helped establish the “Energy Innovations Sector” of FERC, which helps look into and promote new technologies, and he co-authored a paper on how to more effectively regulate hydrokinetic projects.

According to his published biography, he was also the main author of the renewable energy standards established in Nevada — although as Matthew Wald and I have reported, the state has lagged in achieving those standards.

So what will his appointment mean for FERC? Mr. Cavanagh expects the commission to pay more attention to energy efficiency and distributed electricity generation, and that it will “look favorably on initiatives designed to accelerate full integration of renewable resources and energy efficiency into the nation’s portfolio of energy resources.”

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MendoCoastCurrent, January 27, 2009

bio_wellinghoff_j_highWashington, D.C. — On January 23, 2009, President Barack Obama has named Jon Wellinghoff acting chairman of the Federal Energy Regulatory Commission (FERC). Wellinghoff responded that he looks forward to serving the president and the nation in this capacity.

“I thank President Obama for the opportunity to lead FERC at a time when our nation faces the challenge of providing consumers with access to clean, renewable energy and ensuring that our nation can deliver that energy in the most efficient, smart and technologically sophisticated manner possible. I look forward to working with my FERC colleagues, FERC staff, the public and the energy industry to turn these energy challenges into a reality,” said Wellinghoff.

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SIOBHAN HUGHES, Dow Jones News, January 26, 2009

U.S. President Barack Obama on Monday ordered the Environmental Protection Agency to consider allowing California to regulate greenhouse-gas emissions from automobiles, a policy that could spur the development of new vehicles.

“The federal government must work with, not against, states to reduce greenhouse-gas emissions,” Obama said at a press conference filled with environmental activists and members of his cabinet. He ordered the EPA to “immediately review” a 2007 decision to deny California the waiver it needs to go forward.

The action marks a sharp reversal from the administration of President George W. Bush, which concluded that California wasn’t entitled to its own standards as global warming wasn’t unique to the state. In putting the U.S. on a different course, Obama was signaling a broader commitment to reshaping U.S. energy habits.

“America’s dependence on oil is one of the most serious threats that our nation has faced,” Obama said. “It puts the American people at the mercy of shifting gas prices, stifles innovation, and sets back our ability to compete.”

It isn’t clear how quickly the EPA will make its decision — or how quickly the Obama administration can move the U.S. away from fossil fuels. The new administration already faces a severe economic recession, something that could make it harder for car companies to finance innovation. On Monday, General Motors Corp. (GM) said in a statement that while it was “ready to engage” with the Obama administration, any talks should take into account “economic factors” and the pace at which new technologies can development.

“We hold no illusion about the task that lies ahead,” Obama said. “I cannot promise a quick fix. No single technology or set of regulations will get the job done. But we will commit ourselves to steady, focused, pragmatic pursuit of an America that is freed from our energy dependence and empowered by a new energy economy.”

Obama acted with the backing of the environmental wing of his base, which rushed out press releases to praise his action. Environment America, an environmental group, estimated that applying the California standard in just 13 other states would save 50 billion gallons of gasoline by 2020, for a total savings of $93 billion, and reduce greenhouse-gas emissions by more than 450 million metric tons in total by 2020.

Obama separately ordered the U.S. Department of Transportation to finalize new automobile fuel-efficiency standards so that they will be in place for the 2011 model year. The Bush administration was supposed to implement the rules, mandated by a 2007 law, but left the issue to Obama.

EPA staff has already told Congress that allowing California to regulate greenhouse-gas emissions from vehicles could spur technological innovation not just in California, but across the country. That is because states are free to stick with federal standards or adopt the California standard. Fourteen other states have already adopted the California standard and four more are considering doing so.

The California rules apply to greenhouse-gas emissions, and aren’t fuel- efficiency standards. But California regulators have said that their standard would result in vehicles that average 44 miles per gallon. That compares with a 35 mile-per-gallon standard established by Congress for 2020.

Among the possible new technologies to be developed: electric cars. As part of a broad rule-making on greenhouse-gas emissions last year, the EPA staff said that between 2020 and 2025, vehicle fuel-efficiency standards could be well above the 35-mile-per gallon mandated by Congress, based on technologies such as plug-in hybrid vehicles, which run partly on rechargeable batteries. As if to underscore the point, acting Federal Energy Regulatory Commission Chairman Jon Wellinghoff said Monday that regulators and the automobile industry must integrate electric vehicles into the national power grid.

“If you’re an automobile company, you’d better get on the bandwagon, because if you don’t, you’re going to be left out of the band because there is definitely going to be a move toward electrification worldwide,” Wellinghoff said.

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CASSANDRA PROFITA, The Daily Astorian, January 26, 2009

In a move eagerly anticipated by liquefied natural gas opponents on the North Coast of Oregon, President Barack Obama has named Jon Wellinghoff acting chairman of the Federal Energy Regulatory Commission.

“The move, together with likely changes to the board’s makeup in the coming months and pending challenges to the U.S. Court of Appeals, could have consequences for the Bradwood Landing LNG project, the front-runner among three LNG proposals in Oregon.

Wellinghoff, a Democrat, was the lone dissenting vote on the Bradwood project, which was approved by FERC in a 4-1 vote in September. He replaces former chairman Joseph Kelliher, a Republican, who stepped down earlier this month but remains on the board as he looks for new job opportunities.

Wellinghoff helped establish FERC’s Energy Innovations Sector to promote new technologies and was also the main author of the renewable energy standards established in Nevada, where he served as the state’s first consumer advocate for customers of public utilities. Environmentalists expect the commission to put a higher priority on energy efficiency and renewable resources under his leadership.

“The new chairman is technically only one vote, but he does help set the agenda for the discussions and considerations of FERC,” said Peter Huhtala, executive director of the Astoria-based Columbia River Business Alliance, which is opposed to LNG. “It’s a step in the right direction, certainly.”

Wellinghoff traveled to Oregon in 2007 to talk with local and state leaders about the three LNG projects proposed in Oregon. Two proposed terminals are on the lower Columbia River and one is in Coos Bay.

“He listened to our concerns,” said Huhtala. “I felt like we were listened to, and – son of a gun – he followed up.”

Wellinghoff voted against the $650 million Bradwood Landing project, proposed for a site 20 miles east of Astoria on the Columbia River, arguing that the project developers have not proven the LNG terminal is needed to meet the region’s energy needs, that more efficient, reliable and environmentally preferable alternatives could substitute for LNG, and that “significant environmental concerns” about the project had not been fully evaluated.

Several challenges to FERC’s approval of the Bradwood project are still in the works, and two FERC board members, Kelliher and Commissioner Suedeen Kelly, whose term ends June 30 are likely to be replaced by Obama appointees in the next six months.

“It starts to get real easy to count to three, doesn’t it?” said Huhtala.

Brett VandenHeuvel, executive director of the LNG opponent group Columbia Riverkeeper, said by the time the Bradwood project developers have met more than 100 conditions placed on the September approval, the board may have a different opinion of what meets federal regulations.

“Bradwood is far from meeting its conditions and far from getting its approval to start construction,” he said. “FERC’s approval says there can’t be any construction, any action, until they get final approval from FERC after satisfying all the conditions. We expect FERC to look at Bradwood with a more critical eye when determining the conditions.”

Columbia Riverkeeper and Gov. Ted Kulongoski are both planning to file a challenge to FERC’s approval of the Bradwood project at the U.S. Court of Appeals this week. The state of Washington and regional tribes may file similar challenges, as well.

If the court overturns the Bradwood approval, FERC will have to revisit the case and may even be forced to redo the environmental assessment of the project.

“With a new chair, new FERC members and a decision from the court rejecting FERC’s initial approval, we may very well get a different answer,” said VandenHeuvel.

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MendoCoastCurrent, January 17, 2009

Here’s the post from MendoCoastCurrent in the Citizen’s Briefing Book at President-elect Barack Obama’s change.gov site:

Renewable Energy Development (RED) federal task force

Immediately establish and staff a Renewable Energy Development (RED) federal task force chartered with exploring and fast-tracking the development, exploration and commercialization of environmentally-sensitive renewable energy solutions in solar, wind, wave, green-ag, et al.

At this ‘world-class incubator,’ federal energy policy development is created as cutting-edge technologies and science move swiftly from white boards and white papers to testing to refinement and implementation.

∞∞∞∞∞∞∞∞∞∞∞∞∞∞∞

If you wish to support this, please vote up this post at :

Renewable Energy Development (RED) federal task force.

∞∞∞∞∞∞∞∞∞∞∞∞∞∞∞

Mendocino Energy:

Renewable energy incubator and campus on the Mendocino coast exploring nascent and organic technology solutions in wind, wave, solar, green-ag, bioremediation and coastal energy, located on the 400+ acre waterfront G-P Mill site.

Mendocino Energy may be a Campus in Obama’s Renewable Energy Development (RED) federal task force.

Vision:

Mendocino Energy is located on the Mendocino coast, three plus hours north of San Francisco/Silicon Valley.  On the waterfront of Fort Bragg, a portion of the now-defunct Georgia-Pacific Mill Site shall be used for exploring best practices, cost-efficient, environmentally-sensitive renewable and sustainable energy development – wind, wave, solar, bioremediation, green-ag, among many others. The end goal is to identify and engineer optimum, commercial-scale, sustainable, renewable energy solutions.

Start-ups, universities (e.g., Stanford’s newly-funded energy institute), the federal government (RED) and the world’s greatest minds working together to create, collaborate, compete and participate in this fast-tracked exploration.

The campus is quickly constructed of green, temp-portable structures (also a green technology) on the healthiest areas of the Mill Site as in the past, this waterfront, 400+ acre created contaminated areas where mushroom bioremediation is currently being tested (one more sustainable technology requiring exploration). So, readying the site and determining best sites for solar thermal, wind turbines and mills, wave energy, etc.

To learn more about these technologies, especially wave energy, RSS MendoCoastCurrent.

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FRANK HARTZELL’s article with MendoCoastCurrent edits, January 15, 2009

After nearly two years of local pleas for specifics on the WaveConnect project, PG&E representatives surprised Fort Bragg and Mendocino County representatives with many new details.

Those included the promise by PG&E that all environmental studies would be public, not private information. In the recent past, PG&E had been resisting calls by competitors and ratepayer advocates before the California Public Utilities Commission to make public more information learned during the WaveConnect study.

Another surprise was that PG&E has found about 10 different viable wave energy technologies — far more than first envisioned. The utility will choose the top three or four wave energy devices and test those under a pilot project license.

On Tuesday, the pilot license process became the biggest issue for wave energy officials gathered at Town Hall to hear two top officials explain the roles of the Federal Energy Regulatory Commission, or FERC, and the California Coastal Commission.

Both Tom Luster, who will oversee all wave energy projects for the California Coastal Commission and 23-year FERC veteran Ann Miles, FERC Director of Hydropower Licensing said Fort Bragg has had more interest in wave energy than anywhere else in California.

Miles said PG&E would need to file for a conventional license by this March under FERC rules. Using the “faster” pilot license gives them until March 2010 to get started.

Miles provided lengthy and knowledgeable explanations of convoluted FERC processes during the three-hour meeting. But PG&E’s new announcements, which came in private meetings last week, overshadowed the presentations by the top state and federal officials.

Luster explained how the California Coastal Commission would work with the State Lands Commission to review any wave energy project within three miles of shore.

PG&E is now saying their 40-megawatt powerplant will be located “well beyond” that three-mile state limit. The powerplant would likely come after the five-year pilot project license.

That announcement unexpectedly changed the game for the state.

Luster said the big power cable that extends to shore would be regulated by the Coastal Commission, but development beyond three miles would be regulated only for “federal consistency.”

While planning for an eventual project many miles from shore, PG&E will give up on areas more than three miles from shore for now, they have told FERC.

PG&E told Fort Bragg they would site the pilot project much closer to shore, to avoid the jurisdictional conflict between FERC and fellow federal agency Minerals Management Service, or MMS.

FERC claims the authority to be the regulatory authority for all water energy projects in the United States. MMS claims authority for ocean federal waters, which are those more than three miles from shore.

PG&E’s 68-square-mile preliminary permit area, which runs from Point Cabrillo to Cleone and to more than three miles offshore, will be trimmed down to eliminate areas beyond the federal-state jurisdiction line.

PG&E representatives are now promising significant help to local governments.

It was reported that all of the power generated by the 40 megawatt WaveConnect would be consumed in Mendocino County and would provide for nearly all of Fort Bragg’s electric demand when WaveConnect is generating.

Additionally, PG&E intends to pay their expenses, including reviewing, permitting and the community process for public participation.

Miles said FERC has no requirements in place to determine that a developer be able to pay for removal of devices in case of bankruptcy or disaster.

Luster said the State Lands Commission handles financial arrangements, such as bonding of projects.

Miles was making her first ever visit to Northern California. She was set to answer questions from the general public at a Town Hall forum Tuesday night.

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MendoCoastCurrent, January 8, 2009

obama-hope1Key President-elect Barack Obama renewable energy quotes from his January 8, 2009 speech to the U.S. Congress and citizens, on his top economic priorities as he takes office.

“. . .the first question that each of us asks isn’t ‘what’s good for me?’ but ‘what’s good for the country my children will inherit?”

On creating new jobs and investing in America’s future:

“This plan must begin today. A plan I’m confident will save and create at least three million jobs over the next few years.”

The American Recovery & Reinvestment Program:

“It’s not just a public works program. It’s a plan that recognizes both the paradox and promise of the moment. The fact that there are millions of Americans trying to find work, even as all around the country there’s so much work to be done and that’s why we’ll invest in priorities like energy and education, healthcare and a new infrastructure that are necessary to keep us strong and competitive in the 21st century. That’s why the overwhelming majority of the jobs created will be in the private sector while our plan will save public sector jobs . . .”

“To finally spark the creation of a clean energy economy, we will double the production of alternative energy in the next three years. We will modernize more than 75% of federal buildings and improve the energy efficiency of two million American homes, saving consumers and taxpayers billions on our energy bills.”

“In the process, we will put Americans to work in jobs that pay well and cannot be outsourced. Jobs building solar panels and wind turbines, constructing fuel efficient cars and buildings, and developing the new energy technologies that will lead to even more jobs, more savings and a cleaner, safer planet in the bargain.”

“The time has come to build a 21st century economy in which hard work and responsibility are once again rewarded.”

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MendoCoastCurrent, January 7, 2009

Federal Energy Regulatory Commission Chairman Joseph T. Kelliher today issued the following statement:

Today I announce my intention to step down as chairman of the Federal Energy Regulatory Commission (FERC), effective January 20, 2009. Although my term as commissioner does not end until 2012, I will also immediately begin to recuse myself from FERC business, as I explore other career opportunities.  

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DAVID EHRLICH, Earth2Tech/GigaOm, December 23, 2008

environmental_defenseOcean energy could have a big part to play under President-elect Barack Obama’s environmentally friendly administration, but a coalition that’s pushing for more wave and tidal power says change is needed to expand the number of projects in the U.S. Right now, there are only a handful of ocean energy projects in the U.S. and they’re all in the testing phase, according to the coalition.

The group, which is led by the New York-based Environmental Defense Fund, a non-profit environmental advocacy organization, said it has met with Obama’s transition team to discuss what it says is a confusing, and sometimes contradictory, array of federal regulations for ocean power. It claims that with federal help, ocean energy has the potential to generate 10% of the country’s demand for electricity, as well as create tens of thousands of jobs in the U.S.

Earlier this month, Obama named four key members to his cabinet that will be responsible for energy and climate change, including Steven Chu as energy secretary.

One big conflict the new cabinet may have to deal with is a jurisdictional dispute between the Federal Energy Regulatory Commission and the Minerals Management Service, part of the Dept. of the Interior. Both agencies have claims on the waters where ocean energy projects would be installed.

Part of the Energy Policy Act of 2005 gave the Minerals Management Service the power to issue leases for renewable energy projects in the outer continental shelf a zone of federally owned seabeds outside of state waters, which the coalition said typically covers an area from 3-200 nautical miles offshore.

But that new law didn’t eliminate any preexisting federal authority in the area, and the FERC has said it has the authority to license wave and tidal projects in U.S. territorial waters covering an area within 12 nautical miles of the shore.

According to the coalition, despite negotiations between the two agencies, they’ve been unable to reach an agreement on the overlapping claims. The group said that the continued uncertainty from that conflict is making it harder to lock down financing for ocean energy projects in the States.

The coalition is made up of local governments, utilities, environmental groups and ocean power companies, including Pennington, N.J.-based Ocean Power Technologies, which recently inked a deal to develop wave power projects off the coasts of Australia and New Zealand.

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Excerpts from article by FRANK HARTZELL, The Mendocino Beacon, December 24, 2008

On January 13, 2009, from 5-7p.m. at Fort Bragg Town Hall, a “top official from the Federal Energy Regulatory Commission (FERC) will appear to explain the agency’s strategy on developing what it calls “hydrokinetic” power as an alterative energy source.

Ann F. Miles, FERC’s director of the Division of Hydropower Licensing, will meet with county and city officials before attending the public meeting in Fort Bragg.

“The FISH Committee is looking forward to FERC’s visit, and welcomes the opportunity to learn about the different FERC licensing processes for wave energy, and how fishermen and other affected people can participate and have their voices heard,” said attorney Elizabeth Mitchell, who represents the Fisherman Involved for Safe Hydrokinetics.

Ocean waters off the Mendocino Coast, from Little River to Cleone, are now claimed under exclusive study permits by two different wave energy developers. GreenWave LLC claims 17 square miles of waters from Little River to Point Cabrillo, while PG&E claims 68 square miles from Point Cabrillo to Cleone.

Preliminary permits granted by FERC give not only exclusive study rights to the claimants, but also licensing priority to develop wave energy upon successful completion of the three-year studies.

Fort Bragg has become ground-zero for wave energy regulation. The federal Minerals Management Service, which is involved in an open feud with FERC over wave energy regulation, has sought to make Fort Bragg its test case.

FERC drew local ire by denying local efforts to intervene in the study process. At one point, protesters carried signs targeting the obscure federal agency with messages such as “Don’t FERC with us.”

One FERC insider said commissioners had complained that more fuss had been made in tiny Fort Bragg than the entire rest of the nation.

FERC later relented and on appeal granted intervener status to Mendocino County, for the PG&E project. The period to intervene and comment on GreenWave’s permit closes Friday, Feb. 6. As yet, nobody has filed anything with FERC, according to its Website.

“The commission’s existing procedures are well-established and well-suited to address this expansion of conventional hydropower with new technologies,” Miles told Congress last year, “and we are prepared to learn from experience in this rapidly evolving area and to make whatever regulatory adjustments are appropriate in order to help realize the potential of this renewable energy resource.”

FERC expanded its domain into all tidal, wave, river flow and ocean current study and licensing with its novel concept of a unified “hydrokinetic” regulation.

From the Yukon River in Alaska to the ocean currents off the Florida Keys, FERC has grown its regulatory territory dramatically since the start of the Bush administration. The agency is now explaining how dam regulation and wave energy innovation can go together. FERC recently granted the first hydrokinetic plant permit for production of energy in the Mississippi River in the state of Minnesota.

The independent agency has moved quickly with Neo-Con era disdain for regulation, eschewing calls from fellow federal and state agencies for a conventional rulemaking process. Instead FERC has adjusted its process as it goes along.

In her presentation to Congress, Miles focused on wave energy, not the more prevalent river current energy plans. She said wave energy projects will likely occur close to shore, not far out in federal waters.

“The cumulative costs of development … make it advantageous to locate projects nearer to the shore,” Miles told Congress.

Locals have complained that FERC has no intelligible process for public input. Governments and critics of FERC have been frustrated in efforts to get details.

FERC is a uniquely independent federal agency. It is under the Department of Energy but does not report to DOE, a structure that was created during the Great Depression. The president appoints FERC commissioners.

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JOHN M. BRODER, The New York Times, December 18, 2008

17transition2-6001President-elect Barack Obama’s choice to lead the Interior Department, Senator Ken Salazar of Colorado, will inherit an agency demoralized by years of scandal, political interference and mismanagement.

He must deal with the sharp tension between those who seek to exploit public lands for energy, minerals and recreation and those who want to preserve the lands. He will be expected to restore scientific integrity to a department where it has repeatedly been compromised. He will be responsible for ending the department’s coziness with the industries it regulates. And he will have to work hard to overcome skepticism among many environmentalists about his views on resource and wildlife issues.

One senior Interior Department executive described the job Mr. Salazar has been chosen for as “the booby prize of the Cabinet.”

As Mr. Obama introduced Mr. Salazar and Tom Vilsack, the former Iowa governor tapped to be secretary of agriculture, at a press conference Wednesday in Chicago, he said their responsibility would be to balance the protection of farms and public lands against the need to find new sources of energy.

“It’s time for a new kind of leadership in Washington that’s committed to using our lands in a responsible way to benefit all our families,” Mr. Obama said. “That means ensuring that even as we are promoting development where it makes sense, we are also fulfilling our obligation to protect our national treasures.”

Mr. Salazar, wearing his customary ten-gallon hat and bolo tie, said that his job entails helping the nation address climate change through a “moon shot” on energy independence. But that would include not just the development of “green” energy sources like wind power, but also the continued domestic development of coal, oil and natural gas, fossil fuels that generate greenhouse gases when they are burned.

Environmental advocates offered mixed reviews of Mr. Salazar, 53, a first-term Democratic senator who served as head of Colorado’s natural resources department and as the state’s attorney general. Mr. Salazar was not the first choice of environmentalists, who openly pushed the appointment of Representative Raul Grijalva, Democrat of Arizona, who has a strong record as a conservationist.

Oil and mining interests praised Mr. Salazar’s performance as a state official and as a senator, saying that he was not doctrinaire about the use of public lands. “Nothing in his record suggests he’s an ideologue,” said Luke Popovich, spokesman for the National Mining Association. “Here’s a man who understands the issues, is open-minded and can see at least two sides of an issue.”

Mr. Popovich noted approvingly that Mr. Salazar had tried to engineer a deal in the Senate allowing mining companies and others to reclaim abandoned mines without fear of lawsuits. (The legislation is pending.) He has also supported robust research on technology to reduce carbon dioxide emissions from coal-burning power plants, something the coal industry favors.

He also backed a compromise that would let oil companies drill for natural gas in limited parts of the Roan Plateau in northwestern Colorado, a plan that most environmental advocates opposed.

Mr. Salazar is a fifth-generation Coloradan who grew up on a ranch near the New Mexico border. He has been a farmer, lawyer and small-business man as well as a public servant.

Pam Kiely, program director at Environment Colorado, said Mr. Salazar had been a champion of wilderness protection and of strong water quality laws, and had raised questions about the environmental costs of oil shale development, a subject of great controversy in the Mountain West. She said he had not spoken out forcefully against oil and gas development in millions of acres of national forests and roadless areas.

“We hope he continues to play a role in ensuring that, as we develop our mineral rights in these incredibly sensitive areas, we require industry to put in place safeguards that protect our health, environment, water and air quality,” Ms. Kiely said.

Marc Smith, executive director of the Independent Petroleum Association of Mountain States, said in a statement that Mr. Salazar understood that energy security can be achieved only by making use of all domestic energy sources, including those found on and under public lands.

“We are pleased that the president-elect has chosen someone who understands that there is a direct connection between federal lands and access to affordable, clean natural gas,” Mr. Smith said.

While industry officials praised his moderation, Mr. Salazar drew harsh criticism from some environmentalists.

“He is a right-of-center Democrat who often favors industry and big agriculture in battles over global warming, fuel efficiency and endangered species,” said Kieran Suckling, executive director of Center for Biological Diversity, which tracks endangered species and habitat issues. “He is very unlikely to bring significant change to the scandal-plagued Department of Interior. It’s a very disappointing choice for a presidency which promised visionary change.”

Daniel R. Patterson, formerly an official of the Interior Department’s Bureau of Land Management and now southwest regional director of the Public Employees for Environmental Responsibility, an advocacy group, said that Mr. Salazar has justifiably become the most controversial of Mr. Obama’s cabinet appointees.

“Salazar has a disturbingly weak conservation record, particularly on energy development, global warming, endangered wildlife and protecting scientific integrity,” said Mr. Patterson, who was elected last month to the Arizona House of Representatives from Tucson and who supports fellow Arizonan Mr. Grijalva for the Interior job. “It’s no surprise oil and gas, mining, agribusiness and other polluting industries that have dominated Interior are supporting rancher Salazar — he’s their friend.”

Even as Mr. Salazar navigates the department’s tricky political cross-currents, he must also deal with significant internal management challenges. Members of Congress and outside groups are calling for review of dozens of decisions made under the Bush administration on endangered species and oil and gas leasing. The senior management ranks of the department have been depleted by departures of demoralized career employees.

And the agency’s computer systems are badly in need of repair, after millions of dollars have been spent on systems that have not worked, according to several internal reports.

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JOHN DRISCOLL, The Times-Standard, December 15, 2008

A white paper commissioned by the state of California says that tapping the ocean for power should be done carefully.

The report for the California Energy Commission and the Ocean Protection Council looked at the possible socio-economic and environmental effects of the infant industry, including what it might mean for fisheries and coastal habitat.

It also made recommendations on what research should be done to address those potential effects.

The waters remain murky in regard to what type of technology wave energy projects might use, and the scope of necessary development. The study finds that it will be key to fill in that missing information to determine what impacts they might have.

“Site selection and project scale are critical factors in anticipating these potential effects,” the report reads.

Depending on their size and location, the study reads, commercial and sport fisheries might be impacted, but new projects would yield construction and operations jobs for nearby communities.

But projects could also interfere with wave shoaling and beach building by stripping some energy out of waves, and that in turn could affect species from the high tide line out to the continental shelf.

The buoys or other structures designed to convert wave power to electricity are also likely to act like artificial reefs where reef-related fish would congregate, the report reads, a change from what would typically occur in the open ocean.

Birds and marine mammals may also be affected, but likely to a small degree, the study found.

Still, the report concludes that there aren’t any dramatic impacts expected, and recommends that the push to develop projects proceed carefully, listing a slew of research that should be done to help understand the potential for problems.

Greg Crawford, an oceanographer with Humboldt State University and an author of the paper, said that much depends on what type of wave projects are employed.

“This stuff needs to be approached holistically,” Crawford said.

While some wave energy projects are beginning to be used around the world, there is little information on how durable they are over the long term.

As Crawford pointed out, they are deployed in particularly difficult and treacherous environments.

The report recommends starting small, both in the laboratory and with small-scale projects to help begin to understand the effects they might have when deployed on an industrial scale.

The Pacific Gas and Electric Co. has won authorization from the federal government to study several areas off the Humboldt and Mendocino coasts, but the company recently ran into what appears to be an insurmountable obstacle from state utilities regulators on another project off Trinidad. In October, the California Public Utilities Commission denied the first wave power project it has ever considered, on the grounds that the Trinidad Head proposal isn’t viable, and the contract price to sell the power is too expensive.

A feud of sorts over final jurisdiction on wave energy projects persists between the Federal Energy Regulatory Commission (FERC) and the U.S. Mines and Minerals Service (MMS). And it’s not clear exactly what agency would make the determination of whether the costs of projects outweigh their benefits, said HSU economist Steve Hackett, another author of the study.

“I think it’s a very daunting situation for the public utilities or a power company to take on,” Hackett said.

While environmental issues will be hashed out in an environmental analysis, economic effects should also be considered, Hackett said. That includes the detriments to a struggling fishing fleet and the upside of jobs from energy projects, he said.

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