[Federal Register Volume 74, Number 122 (Friday, June 26, 2009)]
[Notices]
[Pages 30558-30559]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-15126]
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DEPARTMENT OF ENERGY
Variance for Certain Requirements for the Electric Drive Vehicle
Battery and Component Manufacturing Initiative Under the Department of
Energy's National Environmental Policy Act Implementing Procedures
AGENCY: U.S. Department of Energy.
ACTION: Notice of variance.
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SUMMARY: This notice announces the Department of Energy's (DOE's)
decision, pursuant to 10 CFR 1021.343(c), that it is in the interest of
public welfare to grant a variance from certain requirements of its
National Environmental Policy Act (NEPA) Implementing Procedures (10
CFR part 1021) in regard to the review of applications under the
Electric Drive Vehicle Battery and Component Manufacturing Initiative
funded by the American Recovery and Reinvestment Act of 2009 (Recovery
Act). The variance is limited to certain requirements identified in 10
CFR 1021.216, Procurement, Financial Assistance, and Joint Ventures.
The variance in no way affects the requirement to prepare an
environmental assessment or environmental impact statement for any
application selected for funding. The merit review of applications in
response to this funding opportunity will include consideration of the
potentially significant environmental impacts of the projects proposed
for funding that are within the competitive range. By providing this
variance, DOE can reduce the time needed to select applications for
possible future funding consistent with the sense of urgency
underpinning the Recovery Act.
DATES: Effective date: June 26, 2009.
FOR FURTHER INFORMATION CONTACT: Dr. R. Paul Detwiler, Director, Office
of Project Facilitation and Compliance, National Energy Technology
Laboratory, 626 Cochrans Mill Road, P.O. Box 10940, Pittsburgh, PA
15236-0940 or [email protected].
SUPPLEMENTARY INFORMATION:
Background
The purposes of the Recovery Act are to: (1) Preserve and create
jobs and promote economic recovery; (2) assist those most impacted by
the recession; (3) provide investments needed to increase economic
efficiency by spurring technological advances in science and health;
(4) invest in transportation, environmental protection, and other
infrastructure that will provide long-term economic benefits; and (5)
stabilize State and local government budgets, in order to minimize and
avoid reductions in essential services and counterproductive state and
local tax increases. Federal departments must manage and expend funds
made available through the Recovery Act to achieve these purposes,
``including commencing expenditures and activities as quickly as
possible consistent with prudent management.'' (Recovery Act, Section
3)
In the Recovery Act, the Congress appropriated $2 billion for DOE
to provide grants to manufacturers of advanced battery systems and
vehicle batteries to be produced in the United States, including
advanced lithium ion batteries, hybrid electrical systems, component
manufacturers, and software designers. (Recovery Act, Title IV) To
implement this provision, DOE issued a financial assistance funding
opportunity announcement on March 19, 2009, for the Electric Drive
Vehicle Battery and Component Manufacturing Initiative. (DE-FOA-
0000026)
This initiative is critical to the development and production of
electric drive vehicle systems that will substantially reduce petroleum
consumption. In addition, as stated in the funding opportunity
announcement, the grants will meaningfully aid in the nation's economic
recovery by creating U.S. based manufacturing jobs.
The funding opportunity announcement is a competitive solicitation,
and DOE has received more applications than it expects to be able to
fund. DOE is now reviewing the merits of the applications in order to
select those to which it may provide funding. Criterion 4 of the merit
review criteria includes consideration of anticipated environmental
impacts. As with environmental reviews under NEPA, the focus will be on
potentially significant environmental impacts. As part of the
application process, each applicant was required to complete an
environmental questionnaire, which will be considered during the merit
review. Consideration of potential environmental impacts will be
facilitated by the participation of a DOE NEPA Compliance Officer as a
resource to the merit review panel and the selection official.
DOE's NEPA implementing procedures, at 10 CFR 1021.216, establish a
process for the consideration of potential environmental impacts prior
to selection. The central element of this process is preparation by DOE
of an environmental critique containing, among other things, a ``brief
comparative evaluation of the potential environmental impacts of the
offers, which will address direct and indirect effects, short-term and
long-term effects, proposed mitigation measures, adverse effects that
cannot be avoided, areas where important environmental information is
incomplete and unavailable, unresolved environmental issues and
practicable mitigating measures not included in the offeror's
proposal.'' (10 CFR 1021.216(g)(3)) This environmental critique forms
the basis for an environmental synopsis, which is made available to the
public and is incorporated into any environmental assessment or
environmental impact statement prepared. (10 CFR 1021.216(h)) Another
feature of the environmental critique is that, in addition to
information provided by the applicant, ``it may also evaluate
supplemental information developed by DOE as necessary for a reasoned
decision.'' (10 CFR 1021.216(f)) This contrasts with the merit review
process, which is limited to information provided in the application.
Some other components of an environmental critique (e.g., brief
discussion of the purpose of the funding opportunity and of the
applicants' proposals) repeat information that is already part of the
Merit Review Report that is prepared for the selection official. (The
Merit Review Report is not publicly available.)
[[Page 30559]]
DOE's existing NEPA regulations provide for certain variances
``soundly based on the interests of national security or the public
health, safety, or welfare.'' (10 CFR 1021.343(c)) Any such variance
must have the advance written approval of the General Counsel,\1\ and
DOE must publish a notice in the Federal Register specifying the
variance granted and the reasons.
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\1\ DOE's NEPA regulations state at 10 CFR 1021.343(c) that the
Secretary of Energy must provide written approval of any variance
under that section. However, this authority has been delegated to
the General Counsel pursuant to Department of Energy Delegation
Order No. 00-015.00A to the General Counsel.
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Variance
Pursuant to 10 CFR 1021.343(c), I have determined that granting a
variance from the requirements of 10 CFR 1021.216(c) through (h) with
respect to the Department's funding opportunity for the Electric Drive
Vehicle Battery and Component Manufacturing Initiative (DE-FOA-0000026)
is soundly based on the interests of public welfare. Expediting the
award of funding to promising proposals will accelerate development and
production of electric drive vehicles. In addition, it will facilitate
the nation's economic recovery by creating and retaining jobs and by
transforming the nation's industrial infrastructure.
I have concluded that the Department's process for making these
funding awards will provide the selecting official with sufficient
information regarding potential environmental impacts in the Merit
Review Report, which will summarize the strengths and weaknesses of the
proposals according to the merit review criteria, including but not
limited to environmental impacts. This report also will provide certain
other information called for in 10 CFR 1021.216(g).
This variance does not affect the requirements imposed by 10 CFR
1021.216(i). If projects selected for funding require preparation of an
environmental assessment or environmental impact statement, these NEPA
reviews will be completed before DOE takes any action that would have
an adverse environmental impact or limit the choice of reasonable
alternatives. In addition, consistent with the openness provisions of
10 CFR 1021.216(h), any such environmental assessment or environmental
impact statement will describe the environmental factors noted in the
Merit Review Report that are relevant to the proposal being analyzed.
Issued in Washington, DC, on June 22, 2009.
Scott Blake Harris,
General Counsel.
[FR Doc. E9-15126 Filed 6-25-09; 8:45 am]
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