[Federal Register Volume 74, Number 158 (Tuesday, August 18, 2009)]
[Notices]
[Pages 41693-41695]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-19763]
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DEPARTMENT OF ENERGY
Variance for Certain Requirements Under the Department of
Energy's National Environmental Policy Act Implementing Procedures for
the Deployment of Combined Heat and Power, District Energy Systems,
Waste Energy Recovery Systems, and Efficient Industrial Equipment
Initiative
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
Deployment of Combined Heat and Power, District Energy Systems, Waste
Energy Recovery Systems, and Efficient Industrial Equipment 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, as
applicable, for projects 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 projects for possible future funding consistent with the sense
of urgency underpinning the Recovery Act.
DATES: Effective date: August 18, 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
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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 $16.8 billion for
DOE to further energy efficiency and renewable energy. (Recovery Act,
Division A, Title IV) DOE decided to make $156 million of these funds
available for grants to entities that will deploy sustainable energy
infrastructure projects and energy efficient industrial technologies in
four areas: combined heat and power systems; district energy systems;
industrial waste energy recovery; and efficient industrial equipment.
To implement this decision, DOE issued a competitive financial
assistance funding opportunity announcement on June 1, 2009. (Recovery
Act: Deployment of Combined Heat and Power (CHP) Systems, District
Energy Systems, Waste Energy Systems, and Efficient Industrial
Equipment, DE-FOA-0000044).
This funding opportunity is critical to the deployment of new and
replacement systems and equipment that are highly efficient and that
make use of energy that would otherwise be wasted. In the areas of
combined heat and power systems and district energy systems, new
systems must have a thermal efficiency of at least 60 percent;
replacement systems must provide an efficiency increase of at least 25
percent compared to the system being replaced. In the area of waste
energy recovery systems, new systems must have a minimum efficiency of
30 percent; replacement systems must provide a 25 percent increase over
the replaced system. As to energy efficient industrial equipment,
applicants must deploy technologies that result in a minimum efficiency
improvement of 25 percent. Deployment of these systems and equipment
will produce substantial energy savings and aid in the nation's
economic recovery by creating or retaining jobs in the United States.
The funding opportunity announcement is a competitive solicitation.
DOE has received more than 225 applications, which is more 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.
One aspect of the merit review process is consideration of potential
adverse environmental impacts. As part of the application process, each
applicant was required to complete an environmental questionnaire; the
environmental information in these questionnaires will be considered
during the merit review. Consideration of potential environmental
impacts will be facilitated by the participation of DOE NEPA Compliance
Officers, who will assist the merit review panel in preparation of the
Merit Review Report, and the selection official in his consideration of
the report and of the proposals deemed suitable for funding.
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.)
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 Deployment of
Combined Heat and Power Systems, District Energy Systems, Waste Energy
Systems, and Efficient Industrial Equipment (DE-FOA-0000044) is soundly
based on the interests of public welfare. Expediting the award of
funding to promising proposals will accelerate deployment of
sustainable energy infrastructure and energy efficient industrial
technologies that will reduce energy use. In addition, it will
facilitate the nation's economic recovery by creating and retaining
jobs.
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 and discuss the
potential environmental impacts of the proposals under consideration
for selection. 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.
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Issued in Washington, DC, on August 12, 2009.
Eric J. Fygi,
Acting General Counsel.
[FR Doc. E9-19763 Filed 8-17-09; 8:45 am]
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