1 / 9

“Transmission Siting and The Federal Landscape”

“Transmission Siting and The Federal Landscape”. Remarks of James J. Hoecker Husch Blackwell Sanders Former Chairman of the FERC. Public Participation In Transmission Siting January 26, 2010 Orlando, FL. Challenges to The Transmission System. Aging and deteriorating infrastructure

orrick
Download Presentation

“Transmission Siting and The Federal Landscape”

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. “Transmission Siting andThe Federal Landscape” Remarks of James J. Hoecker Husch Blackwell Sanders Former Chairman of the FERC Public Participation In Transmission Siting January 26, 2010 Orlando, FL

  2. Challenges to The Transmission System • Aging and deteriorating infrastructure • More dispersed resources of generation • Wholesale competition among generators • Complex bulk power markets • Arrival of the digital economy • Electricity consumption doubled 1980-2007 • Shifts of public policy (e.g., RPS, efficiency, demand response) • NERC: Transmission additions will triple to 3100 miles/year 2009-2018. On the books now: 90 planned projects each greater than $100million

  3. Transmission Regulation –It Boils Down to Need • Siting – Location, Location...and Need • States consider “need” for facilities when siting them • Cost allocation – Who Pays? Who Benefits? • States are influenced by the rate impacts on citizens when considering need; FERC often defers to states and stakeholders • Planning – Which Projects Are Needed? • Stakeholders & regional planners determine whether projects satisfy reliability, economic, environmental, or public policy needs

  4. Challenges to New Transmission Construction • “Not in my backyard” or “not in my term of office” or “hands off my cheap energy” • Conflicts between local, state and regional interests • Inconsistent state and local regulation • Uncoordinated Environmental reviews • Federal land authorization, esp. in the West • Lack of timing coordination among siting entities • Varying GHG restrictions and RPS’s • Difficulty right-sizing for short and long-term needs • Uncoordinated siting between lines and generators • Timing of “need” determinations

  5. Stakeholder Participation:Important but Often Messy “The uncoordinated participation of this wide spectrum of interested parties, and the nature of EHV transmission crossing jurisdictional boundaries, complicates and impedes the planning, approval, and permitting processes. This can further delay the already lengthy siting process, add to the cost of transmission projects, and increase the financial risk to a transmission developer.” DOE Electric Advisory Committee Keeping the Lights On in a New World” (2009)(p.49)

  6. Status of Federal Siting • Section 216, Federal Power Act (Sec.1221, EPAct 2005) • National Interest Electric Transmission Corridor • Limited FERC backstop authority within NIETCs • FERC’s Aggressive Interpretation of Its Authority • Regional State Compacts • Enter the Fourth Circuit - Piedmont Environmental Council v. FERC • Timely state action is dispositive • Supreme Court has refused review

  7. Piedmont Environmental Council v. FERC “The result of the Fourth Circuit decision is nullification of the comprehensive scheme erected by Congress with respect to U.S. transmission policy. The goal of Congress was to strengthen the interstate grid to support competitive markets, assure reliability, and promote development of renewable energy capacity. Congress recognized that development of larger interstate transmission projects is necessary to accomplish those policy goals, and also appreciated that state and local siting is poorly suited for development of such projects…. [T]he Fourth Circuit has interpreted Congress’ intent as maintaining each state’s veto authority over new interstate transmission facilities no matter how vital to the national interest.” Amicus Brief By Four Former FERC Chairmen

  8. Now What? • Pending transmission legislation – • S.1462 American Clean Energy Leadership Act • HR 2454 American Clean Energy & Security Act • Administration initiatives – Interagency MOU on federal lands; more? • New Siting Approaches? • Pre-emptive federal backstop • Natural gas pipeline model; federal siting for high priority lines • Interstate siting compacts • Adoption of federal, state and local “best practices” for • Valuing their viewshed • Protecting Property values • Land conservation • Multi-agency permitting • Combine siting with regional or interconnection-wide planning processes

  9. James J. Hoecker, JD, Ph.D Husch Blackwell Sanders LLP Hoecker Energy Law & Policy PLLC james.hoecker@huschblackwell.com www.helppllc.com 202-378-2300 www.wiresgroup.com

More Related