Transcript No Slide Title

FERC
Federal
Energy Regulatory
Major
Pipeline
Commission
Projects
TheConstruction
Pre-Filing
Process
10
Office of Energy Projects
IRWA/AI
January 13-14, 2009
FERC Gas Program
 Evaluate applications for facilities to import, export
transport, store or exchange natural gas in interstate
commerce
 Authorize the construction and operation of facilities
 Approve abandonment of facilities
 Conduct environmental reviews of proposals involving
construction, modification, or abandonment
 Implement Pre-Filing Process
 Conduct inspections of LNG facilities and pipeline
construction
Phases of Project
Review
 Project Preparation
─ The applicant working on its own
 Pre-Filing
─ FERC staff working with the applicant and
stakeholders before the filing of an application
 Application Review
─ FERC staff working with the applicant and
stakeholders after the filing of an application
 Post-Authorization
─ FERC staff working with the applicant and
stakeholders to ensure compliance with conditions
to the FERC approval
The Pre-Filing Process
 Voluntary for pipelines, required for LNG
facilities
 Used for projects requiring an EIS, or an EA
where controversy is likely
 Normally requires the applicant to hire and
fund a contractor to prepare EA/EIS
─ Staff selects contractor from list of three
provided by the applicant
─ Contractor works solely under Staff’s
direction
Pre-Filing Requirements
 Project sponsor selects site, pipeline routes
and begins surveys and studies
 Meet with staff regarding proposed project
 Submit draft RFP for 3rd-party contract and
draft PF request for staff review
 File PF request
 Complete at least 6 months of PF review
Goals of the Pre-Filing
Process


Early identification and resolution of
environmental issues
More direct interaction between FERC staff
and stakeholders

Interactive, concurrent NEPA/permitting
process, no shortcuts

FERC staff are advocates of the Process,
not the Project!

Goal of “no surprises” when application is
filed
FERC Staff Pre-Filing
Activities
 Identify affected parties:  Issue scoping notice
 Examine alternatives
─ landowners
─ agencies
 Arrange and attend site
─ other stakeholders
 Facilitate identification
of issues
 Identify study needs
 Facilitate resolution of
issues
visits and meetings
 Initiate preparation of
preliminary NEPA
document
 Review draft resource
reports
Public Involvement
During Pre-Filing Review
The FERC Process
 Project Sponsor Sends
Public Input
 Contact the project sponsor
Landowner Notification
w/questions, concerns;
Package
contact FERC
 Issue Notice of Intent to
Prepare the NEPA
Document (i.e., scoping)
 Hold Scoping Meetings
 Send letters expressing
concerns about
environmental impact
 Attend scoping meetings
The Environmental Report
(13 Resource Reports)
1. General Project
2.
3.
4.
5.
6.
7.
Description
Water Use & Quality
Fish, Wildlife &
Vegetation
Cultural Resources
Socioeconomics
Geological
Resources
Soils
8. Land Use, Recreation,
& Aesthetics
9. Air & Noise Quality
10. Alternatives
11. Reliability & Safety
12. PCB Contamination
(for pipelines only)
13. LNG Engineering &
Design Details
Public Involvement
During Application Review
The FERC Process
 Issue Notice of the
Application
 Issue Notice of
Availability of the DEIS
Public Input
 File an Intervention;
register for e-subscription
 File comments on the
adequacy of DEIS
 Hold Public Meetings on  Attend public meetings to
DEIS
 Issue a Commission
Order
give comments on DEIS
 Interveners can file a
request for rehearing of
the Commission Order
FERC
Timelines: Traditional vs.
Pre-Filing Process
Develop Prepare
Study Resource
Corridor Reports
File
At
FERC
Traditional – Applicant Activities
Conduct
Scoping
(length of study
period determined
by the Applicant)
Review
Resource
Reports &
Analyze
Project
Traditional – FERC Activities
Prepare
Resource
Reports
Develop
Study
Corridor
Approve
PF
Request
(at least
6 mos.
before filing)
-6
-5
-4
File
At
FERC
Conduct Scoping
& Direct
Preparation of
Resource Reports
-3
-2
-1
Issue
Final
EIS
Issue
Order
Pre-Filing – Applicant Activities
Analyze Issue
Project Draft
EIS
0
Issue
Draft
EIS
1
2
3
4
Issue
Final
EIS
5
6
7
8
(months)
Issue
Order
9
10
Pre-Filing – FERC Activities
11
12
13
14
15
16
17
18
Office of Energy Projects
Successes
 The Pre-filing process is the norm
 Increased agency acceptance of and participation
in the Pre-filing process
 Smaller projects are being filed and approved
quicker (using both the Pre-filing and Traditional
processes
 Other agencies are adopting similar review
strategies
The Real World
of Pre-Filing
 The Pre-filing Process is not always being used
as intended
─ Agency consultations are not occurring during Prefiling or pre-certificate stages
─ Site-specific issues are not being identified and
resolved
 The number of recommendations in
environmental documents is increasing instead of
decreasing
 Result—delays in the start of construction
Stopping the Pendulum
 Make better use of the
PF process
 Deal openly with
landowners
 Engage elected officials
 In other words—resolve
the issues before they
become problems
Working Together
for Solutions
 Industry Efforts
─ Commitment to Landowners
─ Issues with shared corridors
 Re-establish a regular dialogue between FERC
staff and the industry
 Industry needs to educate consumers on impact
of new natural gas supplies on our way of life
 FERC staff want to be part of the solution
Contact Information
Lauren H. O’Donnell, Director
Div. of Gas – Environment & Engineering
202-502-8325
[email protected]