If you're interested in this past year's regulatory developments in the marine renewables industry, check out the Ocean Renewable Energy Coalition filings at FERC and MMS that I prepared last year and recently posted here at the OREC website. And you haven't done so already, be sure to register for the upcoming Global Marine Renewables Conference where I'll be giving an overview on regulatory developments in the marine renewables industry in the U.S.
This Renewable Energy Access story (11/19/07) reports that Hawaii has released these Ocean Energy Guidelines to aid developers interested in siting wave energy projects in Hawaii. The guidelines
"describe what ocean developers need to do," such as communicating with the community early in the process and disclosing information on the size and location of the project, the technology used and potential risks to the environment, navigation, recreation and homeland security.
From what I've observed, most ocean energy developers have been engaging the community early and often, to gain support for projects. Those developers that don't involve the community from the outset quite frankly, don't deserve to stake a claim to public waters.
Unfortunately, with limited operational experience, many developers don't have the data to fully and accurately describe expected impacts. Developers' inability to offer definitive information can sometimes breed distrust - a belief amongst stakeholders that a developer is hiding something, when in reality, the developer simply doesn't have what stakeholders want to see. Developers could acquire this information by deploying test projects and gathering data, but to date, agencies have been wary about this type of incremental approach.
Establishing guidelines is always a step in the right direction for the marine renewables industry. Guidelines show that a state has a real interest in exploring the possibility of marine resources. But if guidelines ask for data that the industry simply doesn't have, stalemate results, despite the state's best intentions.
Back at the end of August 2007, Pace Global Energy released this Report concluding that LIPA's proposed offshore wind farm would cost $800 million, more than double the cost originally predicted. As a result of the report, LIPA chairman decided to recommend pulling the plug on the project, as reported here in Renewable Energy Access. However, in mid-September, Bluewater Wind, which had initially submitted a bid to build and manage LIPA's offshore wind project approached LIPA, with a proposal for a larger offshore wind farm, as reported here. According to the report, Bluewater Wind believes that it can lower the cost of power from an offshore wind farm by constructing a larger project which will provide the benefits of economy of scale.
Those who follow the offshore wind industry (or at least, this blog), may recognize Bluewater Wind as the winner in a competitive bidding process in Delaware that pitted offshore wind against a more conventional natural gas fired project. Delaware regulators chose the offshore wind option though it was marginally more expensive because of a desire to promote diverse energy supply and to mitigate global warming. Of course, as I noted here, at least one recent university study shows that Delaware residents don't mind paying extra for offshore wind.
The Congressional Research Service prepared this Report for Congress on Wave and Tidal Power (May 2, 2007). The Report focuses on applicable statutes that govern the permitting process as well as some of the recent developments on the process for issuance of preliminary permits and the jurisdictional brawl between FERC and MMS. And, there's also mention of some of the early ideas that I proposed for expediting the permitting process in these comments that I filed at FERC over two years ago.
[Editor's Note - I deleted the remainder of this post; it will be re-packaged as another post for later publication]
This month, both the UK and the US took major steps forward in creation of a comprehensive system for the development of offshore wind, wave and tidal, while at the same time, ensuring adequate protection of the environment. Across the pond, the UK just issued a Marine Bill White Paperprepared by the Department of Environment, Food and Rural Affairs. According to this Reuters article,
Britain looks to boost wind, wave and tidal power (March 15, 2007) "the white paper policy document, which is open for public consultation until June, proposes a strategic marine planning system to set national objectives and priorities for offshore developments. It also aims to speed up the marine licensing process and create a new oversight body, the Marine Management Organization, to ensure that proposals for wind and wave power developments are in the right place and do not threaten wildlife."
Meanwhile, here in the US, the MMS has issued its long awaited draft Programmatic Environmental Impact Statement, for development of alternative energy resources on the OSC.
For those enterprising readers who choose to crack open either the UK or US document, you'll see that both are huge - and I haven't had time to do much more than skim the executive summary sections. Preliminarily, it seems that the UK is still well ahead; it's already proposing a new regulatory scheme, while MMS' DEIS evaluates regulations that still haven't yet been proposed. But both programs are a step in the right direction towards facilitating siting of offshore renewables while safeguarding the environment. Once I've had a chance to digest these documents, I'll follow with a longer report.
Below is my power point presentation from a talk that I gave at the Texas Journal of Oil, Gas and Energy Law symposium on Emerging Energy Technologies. The talk was my first run of a concept I'm developing on creating a "third wave" approach to regulation of marine renewable technologies. The third wave, is an apt metaphor for marine renewables, but it's intended to evoke Alvin Toffler's conception of the third wave in social development. As I said, it's still a working concept in my mind, not sure if it can mesh with present day regulation, but something that I hope can improve the way we regulate industry and innovation.
As many who follow the field are aware, marine renewable energy projects, such as wave, tidal and offshore wind are subject to a myriad of regulations. A few years back, I developed this handy Summary Chart of Regulations for Alternative Offshore Renewables, which I update to reflect new developments. If you're trying to gain a quick understanding of the applicable regulations, and whether a statute applies or doesn't to a specific technology, this should be your first place to look.
If you've ever wondered WHY develop marine renewables or how they work, the British Wind Energy Association has come up with this terrific brochure (PDF) which provides some good, easy to understand explanations.
Over at Map Room, I came across this post about the Renewable Energy Atlas of Alaska (PDF Report). Among other things, the map identifies potential sources of renewable energy including wind and tidal power. In fact, there's enough interest in tidal power in Alaska to have warranted the state's First Tidal Energy Conference this past January 2007.
Notwithstanding its abundant renewables, three quarters of Alaska's electricity is generated from fossil fuels, mostly natural gas, according to the Map Room post.
Will offshore wind be coming to Delaware any time soon? The answer isn't clear, but if an offshore project is proposed, Delaware residents would support it, at least according to this article, University of Delaware Study Supports Wind Power Plan, Cape Gazette (1/26/07). The interim version of the report can be accessed here.
The study surveyed 949 Delaware residents. From this one page summary of the results, 50 percent of Delaware residents believed that offshore wind power should be encouraged, with another 35 percent responding that it should be allowed in appropriate circumstances. And when it comes to new sources of power coming from coal or natural gas or from an offshore wind farm, ninety percent of residents chose the latter, even though it might mean a monthly rate increase.
Not everyone supports offshore wind, however. The article quotes Michael Tyler, head of the Citizens Coalition as saying: "Our precious oceans are not the venue for wind power,” said Tyler."
Continue reading "Offshore Wind: Coming Soon to Delaware?" »
