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Posts Tagged ‘FERC Preliminary Permit’

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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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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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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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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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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