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New Energy Frontier
     Balancing Energy Development
           on Federal Lands

             A Joint Report to Congress on
 Siting Energy Development Projects on Federal Lands

            U.S. Department of the Interior
            U.S. Department of Agriculture
                      May 2011
New Energy Frontier: Balancing Energy Development on Federal Lands



                              Table of Contents
1.0 Executive Summary . . . . . . . . . . . . . . . 1              3.1.4 U.S. Fish and Wildlife Service
                                                                          Wind Energy Guidelines. . . .      . . 15
2.0 Introduction . . . . . . . . . . . . . . . . . . . 5       3.2 Onshore Renewable Energy:
                                                                   Solar Energy. . . . . . . . . . . . . .   . . 17
    2.1 Overview . . . . . . . . . . . . . . .    .   .   .5       3.2.1 Solar Energy Programmatic
    2.2 Congressional Direction . . . . . . . .   .   .   .7              EIS for BLM-Managed Lands .        . . 17
    2.3 Responsible Agencies . . . . . . . . .    .   .   .8       3.2.2 Solar Energy Study Areas . . .      . . 18
        2.3.1 Bureau of Land Management .         .   .   .8       3.2.3 Water Use for Solar Facilities .    . . 20
        2.3.2 Bureau of Reclamation . . . .       .   .   .8   3.3 Onshore Renewable Energy:
        2.3.3 Bureau of Indian Affairs . . . .    .   .   .8       Geothermal Energy . . . . . . . . . .     . . 21
        2.3.4 Bureau of Ocean Energy                               3.3.1 Overview . . . . . . . . . . . .       . 22
               Management, Regulation and                          3.3.2 Geothermal Energy
               Enforcement (formerly the MMS)         . .9               Programmatic EIS . . . . . . . .       . 22
        2.3.5 Office of Surface Mining                             3.3.3 Siting Geothermal
               Reclamation and Enforcement .          .   .9             Energy Facilities. . . . . . . . .     . 23
        2.3.6 National Park Service . . . . . .       .   .9       3.3.4 BLM and Forest Service
        2.3.7 U. S. Fish and Wildlife Service .       .   10             Coordination. . . . . . . . . . .      . 23
        2.3.8 U.S. Geological Survey . . . . .        .   10       3.3.5 Geothermal Energy on
        2.3.9 Office of Insular Affairs . . . . .     .   10             Federal Lands . . . . . . . . . .      . 25
        2.3.10 USDA Forest Service . . . . . .        .   11   3.4 Onshore Renewable Energy:
        2.3.11 U.S. Department of Energy . . .        .   11       Biomass Energy . . . . . . . . . . . . .     . 26
        2.3.12 National Oceanic and                                3.4.1 Overview . . . . . . . . . . . .       . 26
               Atmospheric Administration . . .       . 12         3.4.2 Biomass in Managing Healthy
                                                                         Forest and Range Systems . . .         . 27
3.0 Overview of Renewable Energy Resources                     3.5 Hydropower . . . . . . . . . . . . . . .     . 29
    on Federal Lands . . . . . . . . . . . . . . . 13              3.5.1 Overview . . . . . . . . . . . .       . 29
                                                                   3.5.2 Expanding Federal Hydropower
    3.1. Onshore Renewable Energy:                                       Production . . . . . . . . . . . .     . 31
         Wind Energy. . . . . . . . . . .   . . . . . 13           3.5.3 Memorandum of
         3.1.1 Overview . . . . . . . .     . . . . . 14                 Understanding. . . . . . . . . .       . 31
         3.1.2 Wind Energy on                                      3.5.4 Pilot Project Program . . . . . .      . 31
               BLM-Managed Lands . .        . . . . . 15           3.5.5 Hydropower Modernization
         3.1.3 Wind Energy on National                                   Initiative . . . . . . . . . . . . .   . 32
               Forest System Lands . .      . . . . . 15


                                                                                                                   i
New Energy Frontier: Balancing Energy Development on Federal Lands


         3.5.6 Reclamation’s Lease of                               4.2.1 Siting Projects to Protect
                Power Privilege . . . . . . . .    . . 32                 Resources and Values . . . . .       . 45
         3.5.7 Hydropower Facilities on                             4.2.2 Land Use Planning . . . . . . .      . 46
                Federal Lands . . . . . . . . .    . . 32           4.2.3 Public Involvement and
         3.5.8 Hydropower and the National                                Conflict Resolution . . . . . . .    .   48
                Park Service. . . . . . . . . .    . . 34           4.2.4 Environmental Review. . . . . .      .   48
         3.5.9 Hydropower and the Fish and                          4.2.5 Permit Applications and Review.      .   49
                Wildlife Service . . . . . . . .   .   .   34       4.2.6 Water Resources . . . . . . . .      .   50
     3.6 Offshore Renewable Energy . . . . .       .   .   35       4.2.7 Protecting Scenic Landscapes .       .   51
         3.6.1 Overview . . . . . . . . . . .      .   .   36       4.2.8 Wildlife and Migratory Birds . . .   .   53
         3.6.2 Public Involvement . . . . . .      .   .   38       4.2.9 Endangered Species Act
         3.6.3 Policy and Regulatory                                      Compliance . . . . . . . . . . .     . 55
                  Framework . . . . . . . . . . . .        38       4.2.10 Cultural Resources . . . . . . . .      56
         3.6.4    Programmatic Environmental                        4.2.11 Avoidance and Exclusion Areas:
                  Review. . . . . . . . . . . . . . .      38               National Parks and
         3.6.5    Impact Mitigation . . . . . . . . .      38               Other Protected Lands . . . . . .      56
         3.6.6    Interagency Coordination . . . . .       39       4.2.12 Consultation Among Agencies. . .        57
         3.6.7    U.S. Fish and Wildlife Service and                4.2.13 U.S. Fish and Wildlife Service
                  National Marine Fisheries                                 and National Park Service
                  Service Consultation . . . . . . .       39               Project Participation . . . . . . .    57
         3.6.8    Protecting Coastal Units of the                   4.2.14 Inspection, Enforcement,
                  NOAA and the National Park                                Monitoring, and Compliance. . . .      58
                  and National Wildlife                             4.2.15 Final Closure and Reclamation . .       58
                  Refuge Systems. . . . . . . . . .        39       4.2.16 Coordinating with Tribal
         3.6.9    Decommissioning . . . . . . . . .        39               Governments . . . . . . . . . . .      58
         3.6.10   Bonding . . . . . . . . . . . . . .      40   4.3 Strategic Planning and Interdepartmental
                                                                    Coordination for Renewable Energy
4.0 Onshore Energy in Balance with Other                            Projects . . . . . . . . . . . . . . . . . .   59
    Resources and Values . . . . . . . . . . . . . 41               4.3.1 Overview . . . . . . . . . . . . .       59
                                                                    4.3.2 The Opportunity . . . . . . . . . .      60
     4.1 Overview . . . . . . . . . . . . . . .    . . 41           4.3.3 The Plan. . . . . . . . . . . . . .      61
         4.1.1 Renewable Energy:                                4.4 Transmission Requirements and Siting
                Organizational Improvements .      . . 42           for Renewable Energy. . . . . . . . . . .      61
         4.1.2 Priority Renewable                                   4.4.1 Overview . . . . . . . . . . . . .       61
                Energy Projects . . . . . . . .    . . 43           4.4.2 Siting Transmission on
     4.2 Onshore Energy Projects . . . . . . .     . . 45                   U. S. Forest Service Lands . . . .     63


ii
New Energy Frontier: Balancing Energy Development on Federal Lands


   4.5. Methodology Used to Limit Short-Term                        5.3.3 Siting and Operational
        and Long-Term Impacts . . . . . . . . . .      64                 Considerations . . . . . . .     . . . 92
        4.5.1 Landscape Assessment                                  5.3.4 Permitting Procedures and
               Initiatives . . . . . . . . . . . . .   64                 Requirements . . . . . . . .     . . . 93
        4.5.2 Best Management Practices . . .          65           5.3.5 Monitoring and Compliance
        4.5.3 Addressing the Legacy of Historic                           Over the Life of the Project .   . . . 95
               Energy Development . . . . . . .        66           5.3.6 Restoration and Reclamation      . . . 95
        4.5.4 Onsite and Offsite Mitigation . . .      68           5.3.7 Bonding . . . . . . . . . . .    . . . 96
        4.5.5 Facilitating FWS Endangered
               Species Permitting on                        6.0 Conclusion . . . . . . . . . . . . . . . . . . . 97
               Private Lands . . . . . . . . . . .     68
   4.6 Bonding and Reclamation . . . . . . . . .       70   7.0 Appendices . . . . . . . . . . . . . . . . . . 99
       4.6.1 Overview . . . . . . . . . . . . . 70
       4.6.2 Reclamation . . . . . . . . . . . . 70             7.1 Appendix 1
       4.6.3 Reclamation Standards . . . . . . 70                   Secretarial Order on Developing
                                                                    Renewable Energy . . . . . . . . . . .      . 99
5.0 Conventional Energy Development . . . . . . 71              7.2 Appendix 2
                                                                    Inquiries and Proposals for Wind Energy
   5.1 Oil and Gas in the Federal Estate . . . .   . 71             on National Forest System Lands . . . .     103
       5.1.1 Onshore Overview. . . . . . . .       . 74         7.3 Appendix 3
       5.1.2 Leasing Reforms . . . . . . . .       . 77             Environmental Laws and Regulations . .      105
       5.1.3 Pilot Project to Improve                           7.4 Appendix 4
               Federal Permit Coordination . .     . 78             Memorandum of Understanding
       5.1.4 Oil and Gas Best                                       for Hydropower . . . . . . . . . . . . .    107
               Management Practices . . . . .      .   79       7.5 Appendix 5
       5.1.5 Bonding . . . . . . . . . . . . .     .   79           Applicable Laws . . . . . . . . . . . . .   119
   5.2 Coal Program . . . . . . . . . . . . . .    .   80       7.6 Appendix 6
       5.2.1 Overview . . . . . . . . . . . .      .   80           Principles of the BLM’s Visual
       5.2.2 Lands Suitable for Coal Leasing       .   81           Resource Management . . . . . . . . .       123
       5.2.3 Competitive Leasing Process . .       .   81
       5.2.4 Lease Terms and Conditions . .        .   84   8.0 Acronyms Used in This Report . . . . . . . 129
       5.2.5 Bonding . . . . . . . . . . . . .     .   84
       5.2.6 Termination of a Lease . . . . .      .   84
   5.3 Offshore Oil and Gas Development . . .      .   85
       5.3.1 Overview . . . . . . . . . . . .      .   85
       5.3.2 Interagency Coordination . . . .      .   92


                                                                                                                  iii
New Energy Frontier: Balancing Energy Development on Federal Lands



                  1.0 Executive Summary
This report responds to the direction of Congress      sumption have declined from 57 percent in 2008
as provided in the Statement of Managers (Rept.        to less than 50 percent in 2010.
111-316) accompanying the Department of the
Interior, Environment, and Related Agencies Ap-        As part of its comprehensive energy strategy, the
propriations Act, 2010, and separate recommen-         Obama Administration has offered, and continues
dations of individual members regarding issues         to offer, millions of acres of public land for oil
associated with the development of both renew-         and gas exploration and production. In 2010, the
able and conventional energy from Federal lands        Bureau of Land Management (BLM) held 33 oil
both onshore and on the Federal Outer Continen-        and gas lease sales covering 3.2 million acres. In
tal Shelf (OCS).                                       2011, the BLM is scheduled to hold an additional
                                                       33 lease sales. Currently, 38.2 million acres of
Federal lands and offshore areas managed by the        public lands are under lease for oil and gas devel-
U.S. Department of the Interior (DOI) and the          opment, of which only 16.6 million acres are ac-
U.S. Department of Agriculture (USDA) Forest           tive and 21.6 million acres are inactive. In 2010,
Service (USFS) are key components of a com-            the BLM processed more than 5,200 applications
prehensive energy strategy that increases the safe     for permits to drill (APDs) on Federal and Indian
and responsible production of natural gas and oil      lands. In 2011, the BLM expects to process more
in the United States, makes renewable energy a         than 7,200 APDs.
priority, begins to move the Nation toward a clean
energy economy, creates jobs, and reduces our          Offshore, in 2010, the Bureau of Ocean Energy
dependence on foreign oil.                             Management, Regulation and Enforcement (BO-
                                                       EMRE) offered 36.9 million acres in the Gulf of
The United States’ conventional energy supplies        Mexico for oil and gas exploration and produc-
have been, and continue to be, a critical compo-       tion; 37.9 million acres of the OCS are under ac-
nent of our Nation’s energy portfolio. Even as the     tive lease, of which 6.5 million acres are produc-
Nation responded to the Deepwater Horizon oil          ing.
spill in the Gulf of Mexico, total U.S. crude oil
production was higher in 2010 than in any year         While offering public lands and Federal waters
since 2003. U.S. natural gas production is also in-    for oil and gas production, the Obama Admin-
creasing, reaching 26.9 trillion cubic feet in 2010,   istration has also undertaken needed reforms to
a 5 percent increase from 2008 and the highest         make oil and gas development safer and more en-
level in more than 30 years. Offshore, oil produc-     vironmentally responsible. The Deepwater Hori-
tion from the OCS has increased by more than a         zon oil spill underscored the need for reforms to
third, from 446 million barrels in 2008 to an es-      the safety and oversight of exploration, develop-
timate of about 600 million barrels in 2010. On-       ment, and production.
shore, oil production from public lands increased
5 percent over the last year, from 109 million bar-    Since the Deepwater Horizon spill, the DOI has
rels in 2009 to 114 million barrels in 2010.           raised the bar for safety and environmental re-
                                                       sponsibility, setting standards and certification
Overall, imports have fallen by 9 percent since        protocols for drilling well design, testing, and
2008, and net imports as a share of total con-         control equipment and establishing rigorous per-


                                                                                                         1
New Energy Frontier: Balancing Energy Development on Federal Lands


formance standards to reduce workplace error           production, development, and delivery of renew-
and require operators to maintain comprehensive        able energy one of the top priorities for the DOI
safety and environmental management programs.          as part of a balanced energy development strat-
Operators must now submit well-specific blowout        egy. Also in his first few months, the Secretary
scenarios and revised worst-case discharge cal-        reached an agreement with the Federal Energy
culations. Deepwater operators must also show          Regulatory Commission to clarify jurisdictional
that they have the capability to contain a subsea      responsibilities regarding offshore renewable
discharge like the Deepwater Horizon oil spill.        energy development, approved the issuance of a
These standards set a clear, achievable path for       new framework for offshore renewable develop-
responsible offshore exploration, development,         ment, and instructed the BLM to proceed vigor-
and production.                                        ously with the process of reviewing onshore solar,
                                                       wind, and geothermal energy development appli-
The Administration’s energy strategy encourages        cations that previously had been languishing.
increased conventional energy production, but
it has also opened a new frontier for renewable        The Secretary’s renewable energy strategy in-
energy production on public lands and waters.          cludes extensive measures, to include, but not
Working with many partners and stakeholders            limited to:
among Federal, state, tribal, and local interests,
the DOI and USDA/USFS are pursuing a new co-           •	 Appropriate siting of energy projects to op-
ordinated strategy for balanced and responsible           timize opportunities while protecting scenic
development of conventional and renewable en-             resources, wildlife, and other values and
ergy on Federal lands. Together, our Departments          maximizing the use of areas that are already
manage about 700 million acres of land onshore,           developed;
and the DOI manages energy development on 1.7
billion acres of the OCS. This new frontier holds      •	 Proactive interagency and interdepartmental
vast potential for renewable energy production            collaboration and consultation in the ongoing
from wind, solar, geothermal, hydropower, and             development of a comprehensive strategy for
biomass that – together with conventional energy          meeting our renewable energy development
resources – can contribute to the Nation’s energy         goals;
security and to the clean energy economy of the
future.                                                •	 Assistance and support for the Federal En-
                                                          ergy Regulatory Commission, Department of
However, the development of these energy re-              Energy, and state governments in conduct-
sources must be carried out in balance with many          ing strategic planning necessary in the siting
other uses and values that serve the public interest      and development of transmission facilities to
and support the quality of life American citizens         deliver new energy from the public lands to
enjoy. These values include cultural, ecological,         the places where people live and work;
economic, historical, recreational, and scenic re-
sources.                                               •	 Development and implementation of policy,
                                                          methodology, research, and management
In March of 2009, soon after his appointment              tools to prevent or minimize short- and long-
to the Department of the Interior, Secretary Ken          term impacts of energy development; and
Salazar issued Secretarial Order 3285 making the


2                                                                                     1.0 Executive Summary
New Energy Frontier: Balancing Energy Development on Federal Lands


•	 Measures to ensure full compliance with             and environmentally responsible renewable ener-
   terms and conditions of development and             gy development activities, such as the siting and
   successful reclamation of energy project sites      construction of offshore wind farms on the OCS,
   after the useful life of the projects.              as well as other forms of renewable energy such
                                                       as wave, current, and solar energy.
Similarly, Secretary of Agriculture Vilsack has
initiated a Departmentwide Renewable Energy            The BLM, BOEMRE, and USFS are entrusted
Strategy which has significant implications both       with an enormously complex and critical respon-
on and off public lands. The portion that deals        sibility: to protect our natural resources while
with public lands specifically embraces lands          managing the energy resources of Federal lands
managed by the USFS and includes both the na-          and waters to promote our Nation’s energy secu-
tional forests and grasslands. The USDA Renew-         rity; reduce our dependence on foreign sources of
able Energy Strategy dovetails with Secretary          energy; provide jobs and economic opportunity to
Vilsack’s “All Lands” approach to caring for the       advance America’s economic recovery; and con-
Nation’s forests regardless of ownership.              tribute to a cleaner, healthier environment.

Given the significance of woody biomass in the         To develop and deliver conventional and renew-
Nation’s current renewable energy portfolio and        able energy in a manner that balances energy pro-
its expected role in the future, it is noteworthy      duction with protecting public land resources and
that Secretary Vilsack has identified this as a spe-   values, our Departments are taking the following
cial focus area within the Department’s overall        actions:
strategies for renewable energy and forests. The
USFS plays a central role in using woody bio-          •	 Siting projects to maximize protection of
mass to achieve both land stewardship objectives          resources and values;
and providing clean renewable energy. This role
ranges from management of the source material          •   Playing a leadership role in the creation of
on Federal lands to assisting the energy utiliza-          new woody biomass opportunities;
tion of wood in specific locations and includes
conducting fundamental research on the use of          •	 Managing public resources with sensitiv-
wood as an energy source. Other USDA agencies             ity toward special landscapes, coastal areas,
that play key roles in this effort include Rural De-      and ridgelines through the land use planning
velopment and the Farm Service Agency.                    process;

The DOI is leading efforts to implement the nec-       •	 Involving interested stakeholders—local,
essary frameworks and agreements for the devel-           state, and tribal governments and industry,
opment of comprehensive conventional and re-              the general public, user groups, and advo-
newable energy programs on the OCS. On April              cacy groups;
22, 2009, the President announced that the DOI
completed the Final Renewable Energy Frame-            •	 Completing thorough, science-based envi-
work to govern management of the Department’s             ronmental reviews;
Offshore Renewable Energy Program. This rule-
making established a program to grant leases,          •	 Minimizing visual impacts through Visual
easements, and rights-of-way for orderly, safe,           Resource Management;


1.0 Executive Summary                                                                                     3
New Energy Frontier: Balancing Energy Development on Federal Lands


•	 Addressing wildlife and habitat concerns          •	 Requiring bonds that cover reclamation costs
   by reducing impacts through proper project           and help guarantee compliance with the
   siting and mitigating impacts that cannot be         terms and conditions of the rights-of-way or
   avoided;                                             lease and setting reclamation standards that
                                                        define the reclamation, revegetation, restora-
•	 Avoiding national parks, USFS roadless               tion, and soil stabilization requirements of
   areas, and other important protected land-           the project area.
   scapes;
                                                     The renewable energy strategies of both the DOI
•   Investigating and applying new management        and USDA are guided by the fundamental belief
    strategies, such as adaptive management,         that renewable energy for America will allow us
    where appropriate;                               to diversify energy sources and ultimately reduce
                                                     our reliance on fossil fuels. The development of
•	 Coordinating and consulting effectively           new renewable energy sources need not come at
   across the Government;                            the expense of our Nation’s natural and cultural
                                                     heritage. If promoted and sited in a thoughtful
•	 Applying best management practices to help        way, new energy development can, instead, con-
   ensure that energy development is conducted       tribute to conservation and protection of the en-
   in an environmentally responsible manner,         vironment.
   such as reducing the area of disturbance, ad-
   justing the location of facilities, or choosing   We are determined to succeed in this dual mis-
   a paint color to help a facility blend into the   sion. As we proceed, we will continue to rely
   landscape better; and                             upon and value the guidance of Congress.




4                                                                                   1.0 Executive Summary
New Energy Frontier: Balancing Energy Development on Federal Lands



                             2.0 Introduction
     “We have a choice. We can remain the world’s leading importer of oil, or we
     can become the world’s leading exporter of clean energy. We can hand over
      the jobs of the future to our competitors, or we can confront what they have
     already recognized as the great opportunity of our time: the nation that leads
    the world in creating new sources of clean energy will be the nation that leads
       the 21st century global economy. That’s the nation I want America to be.”

                               President Obama, March 27, 2009


2.1 Overview                                         in the way we manage these resources. The 2010
                                                     Deepwater Horizon oil spill was the most obvious
Since the 1973 oil embargo almost 40 years ago,      example of an unacceptable conventional energy
the United States has struggled to reduce ener-      development impact, but the DOI is also faced
gy demand, energy imports, and the impacts of        with unexpected wildlife and air quality issues in
energy use and development. The Nation needs         many areas of the western United States where
a renewed commitment to these objectives.            conventional energy development has occurred.
Thus, President Obama and his Cabinet, working       The DOI continues to provide ample opportuni-
closely with the Congress, have set ambitious        ties for conventional energy development from
goals for developing new, domestic clean energy      the Federal estate and is enhancing safety and
sources while reducing oil demand and oil im-        environmental protections to make sure develop-
ports. The DOI and USDA can play a central role      ment is carried out responsibly. Industry remains
in providing sites for renewable energy genera-      interested in these opportunities, continuing to
tion, continuing to improve the safety and envi-     bid for onshore oil and gas leases and working on
ronmental sustainability of conventional energy      new environmental protections for offshore de-
development, and making sure there is adequate       velopment—from safety and environmental man-
access for needed electricity transmission infra-    agement systems to subsea containment—that
structure.                                           will help create an international gold standard for
                                                     new OCS oil and gas development.
After more than 100 years of conventional energy
development on the public lands, the legacy of       Most renewable energy resources, in contrast,
oil and gas development on the public lands is       are still in the early stages of development in the
significant. This development has created pros-      U.S. These resources are typically much cleaner
perity and still supports jobs and energy security   to produce and to use than conventional energy
for America, but it has also created significant     resources. However, the potential environmen-
environmental impacts across tens of millions        tal impacts of renewable energy development
of acres both offshore and onshore. Although         must still be taken seriously, with efforts made
much conventional energy development is man-         to limit or prevent negative environmental im-
aged responsibly and with minimal impact, there      pacts through responsible development practices.
remain significant opportunities for improvement     While tens of millions of acres of public lands


                                                                                                       5
New Energy Frontier: Balancing Energy Development on Federal Lands


and the OCS have been affected by oil and gas             Meanwhile, traditional energy resources pro-
development, the first solar energy projects on           duced from Federal lands managed by the
public lands and the first wind energy projects           Departments presently account for approximate-
on the Federal OCS are only now getting started.          ly 30 percent of the Nation’s energy supply, and
The DOI and its bureaus that oversee this devel-          will continue to play a major role in meeting
opment (BLM and BOEMRE) are now embarked                  the Nation’s energy needs for the foreseeable
on a new mission—the responsible development              future.
of renewable energy resources such as wind, so-
lar, geothermal, and sustainable hydropower. As           In addition to playing a preeminent role in man-
the conventional energy industry deals with some          aging the energy resources of the public lands and
of the environmental impacts of its development           offshore waters, the DOI is also a steward of much
history and works to achieve higher standards for         of our Nation’s natural and cultural resource base.
development, renewable energy developers are              The Department recognizes that the success of its
working to create a new energy industry under             mission depends upon a wise, comprehensive,
clean, safe standards from the outset.                    and strategic plan of action across Federal juris-
                                                          dictions and among many nongovernmental enti-
The President has asked Federal agencies to work          ties and stakeholders whose contributions are vi-
together toward doubling renewable energy gen-            tal. Thus, the DOI works closely with the USDA,
erating capacity by the end of 2011. This call to         Department of Energy (DOE), Environmental
increase production of energy from our Nation’s           Protection Agency (EPA), and other Federal part-
own renewable energy resources places the DOI             ners, as well as states, tribes, industry, and other
and USDA in a unique position to contribute sig-          users of public lands to develop our energy re-
nificantly to one of the most critical national pri-      sources responsibly.
orities of modern times. In delivering new energy
to America, the DOI and USDA are guided by the            A balanced, responsible approach to energy pro-
fundamental belief that renewable energy devel-           duction from Federal lands and the OCS is in-
opment, where promoted and sited in a thought-            tegral to the Nation’s current energy production
ful way, can fully contribute to conservation and         and its energy future. Today, about 38.2 mil-
protection of the environment.                            lion acres of onshore Federal lands are under oil
                                                          and gas lease, with about 12.1 million acres in
Clean, renewable energy development can take              production onshore—yet until 2010 when Sec-
place on many areas of Federal lands. Traditional         retary Salazar approved nine new solar projects
energy resources like coal, natural gas, oil, and other   on public lands, representing approximately
fossil fuels produce carbon dioxide directly and can      3,700 megawatts (MW) of electric generating ca-
emit other greenhouses gases, whereas biomass,            pacity, there was not a single commercial solar
wind, solar, hydropower, and other renewable ener-        energy project on, or under development on, the
gy systems can substantially reduce carbon dioxide        public lands. The right-of-way grants for these
emissions on a lifecycle basis. Issued by Secretary       solar projects encompass approximately 36,000
Salazar in March 2009, and refined in February            acres. Offshore, there is a similar historic imbal-
2010, Secretarial Order 3285 makes the produc-            ance between renewable and conventional energy
tion, development, and delivery of renewable en-          development, with about 38 million acres under
ergy, onshore and offshore, top priorities for the        oil and gas lease (about 6.5 million in produc-
DOI (Appendix 1).                                         tion) and no Federal offshore wind or marine


6                                                                                                2.0 Introduction
New Energy Frontier: Balancing Energy Development on Federal Lands


hydrokinetic energy production. The impacts
of conventional energy production from Federal            report should also provide a detailed strategic
lands and the OCS have been significant. To date,         plan on how the Department and the Forest
the impacts of renewable energy development on            Service will coordinate the development of such
                                                          projects, particularly in areas where there is mixed
public lands are comparatively light.
                                                          ownership or management by the Department
                                                          of the Interior, Forest Service, Department
This report documents the progress made to date
                                                          of Defense, and non-Federal landowners.
and our plan of action for continued progress to-
                                                          Additionally, the report should identify specifically
ward ensuring the highest level of accountability,        what areas of the public lands and the Outer
efficiency, and responsibility in the management          Continental Shelf will be considered for projects
of our Federal energy resources.                          based on: (1) their potential for renewable energy
                                                          generation; (2) what additional transmission
2.2 Congressional Direction                               lines will be necessary to connect these new
                                                          sources of power to the energy grid; (3) where
                                                          these transmission lines will be placed; (4) the
Statement of Managers (Rept. 111-316) Accom-
                                                          methodology to be used to limit the size of solar
panying the Department of the Interior, Environ-
                                                          troughs and photovoltaic facilities, and (5) the
ment, and Related Agencies Appropriations Act,            impact on water resources.
2010
                                                          The report should also include an analysis of
  The conferees understand that renewable energy
                                                          the useful life of renewable energy sites and
  will become a more significant source of power for
                                                          provide an explanation of how the infrastructure
  the Nation and that the Department of the Interior
                                                          will be removed from the public lands when it is
  and the Forest Service will play a prominent role
                                                          no longer functional. The conferees believe that
  in its development. However, the conferees are
                                                          some mechanism, such as a bond put forth by the
  concerned about the impacts these projects may
                                                          permittees, should be utilized by the Department
  have on the landscape and water resources,
                                                          and the Forest Service so that the government
  particularly those for wind and solar power.
                                                          does not have to pay for the removal of these
  Proposed solar projects can each cover several
                                                          large facilities after they are no longer viable.
  square miles and the newest wind turbines are
  over 500 feet tall. Appropriate siting of these
                                                          The Department of the Interior and Forest Service
  projects and cost-appropriate size limitations are
                                                          should consult with the Congress on a regular
  critical to ensuring that the pristine landscapes,
                                                          basis as they proceed with the development of
  limited water resources, and magnificent views
                                                          policies and the preparation of environmental
  of the country’s public lands and coastlines are
                                                          documents and permitting of renewable energy
  protected.
                                                          projects.
  Accordingly, within 180 days of enactment, the
  conferees direct the Department of the Interior         The conferees believe that renewable energy
  to submit a report in consultation with the Forest      developers should have less difficulty permitting
  Service on the criteria used for siting renewable       their projects on disturbed private lands than on
  energy projects, including the extent to which          pristine public lands, in order to facilitate greater
  protection of scenic landscapes, ridgetops, water       species protection and stewardship of public
  resources, habitat including that for endangered        resources and public lands. The conferees
  species, and shorelines will be considered. The         recommend that the Secretary evaluate whether


2.0 Introduction                                                                                                  7
New Energy Frontier: Balancing Energy Development on Federal Lands



    a cooperative agreement with States under              2.3 Responsible Agencies
    Section 6 of the Endangered Species Act, the                2.3.1 Bureau of Land Management
    establishment of a Section 4(d) rule under the
    same Act, or the creation of a template `general       The BLM is responsible for more than 245 mil-
    habitat conservation plan' would improve the           lion acres of public lands as well as 700 million
    permitting process for solar projects on private
                                                           subsurface acres of mineral estate. The BLM
    lands in the California desert.
                                                           manages Federal onshore oil, gas, and coal op-
                                                           erations that make important contributions to the
In chapter 5, this report also responds to further         Nation’s domestic energy supply. These lands
recommendations from Senate Majority Leader                also hold extensive renewable energy resources
Harry Reid, set forth in a December 21, 2009, let-         that contribute to the Nation’s renewable energy
ter to the Secretary of the Interior, which reads as       portfolio. This gives the BLM a principal role
follows:                                                   in fulfilling the administration’s goals for a new
                                                           energy economy based on a rapid and responsible
    I would like to recommend that you broaden the         move to large-scale production of solar, wind,
    Department’s review to include an analysis of          and geothermal energy.
    all energy development on public lands not just
    renewable energy, including siting processes,
    permitting costs, related staffing, long-term
                                                                    2.3.2 Bureau of Reclamation
    reclamation and remediation costs, multi-agency
                                                           The Bureau of Reclamation (BOR) is a water re-
    coordination activities, as well as the methodology
    used by the Department to limit the short- and long-   source management agency with numerous pro-
    term impacts on land, water, air quality, wildlife,    grams, initiatives, and activities that will help the
    public health and scenic values associated with        western states, Native American tribes, and oth-
    non-renewable energy resource extraction,              ers meet new water needs and balance the multi-
    production, and, where applicable, related waste       tude of competing water uses in the West. As the
    storage. Please include an evaluation of any           second largest producer of hydroelectric power in
    other issues that would be valuable to Congress in     the western United States, the BOR plays a key
    the development of New Energy and public lands         role in providing renewable energy to western
    policies that will help meet the nation’s critical     consumers while protecting the environment and
    challenges of global warming and energy security.      the public's investment in these structures. BOR
                                                           facilities help to avoid the annual production of
In developing this report, the DOI and USDA                approximately 51 billion pounds of carbon diox-
Forest Service have considered Senator Reid’s              ide that might otherwise be generated by fossil
recommendations, as well as a series of requests           fuel power plants.
set forth by Senator Lamar Alexander, former
Ranking Minority Member of the Interior Ap-                        2.3.3 Bureau of Indian Affairs
propriations Subcommittee and current Ranking
Minority Member of the Energy and Water De-                The DOI’s Bureau of Indian Affairs (BIA) is re-
velopment Appropriations Subcommittee, writ-               sponsible for the administration of 56 million
ten in separate letters to both the Secretary of the       acres of land held in trust for American Indian
Interior and the Secretary of Agriculture dated            tribes, Alaska Natives, and individual Indian
March 2010.                                                landowners. This land contains large amounts of


8                                                                                                  2.0 Introduction
New Energy Frontier: Balancing Energy Development on Federal Lands


both renewable and nonrenewable trust resources        the OCS for the development of renewable en-
as well as access to areas with high potential for     ergy. Future OCS renewable energy activities are
wind and solar energy resource development.            anticipated to include electrical generation from
Under the purview of the Assistant Secretary           wind and hydrokinetic (ocean wave and ocean
for Indian Affairs, the Office of Indian Energy        current) resources.
and Economic Development and the BIA work
closely with tribes to assist them in all aspects of          2.3.5 Office of Surface Mining
energy resource exploration and development in-               Reclamation and Enforcement
cluding, but not limited to, resource assessment,
economic analysis, environmental impact evalua-        The Office of Surface Mining Reclamation and
tion, and realty management.                           Enforcement (OSM) works with the BLM, states,
                                                       and Indian tribes to assure that citizens and the
          2.3.4 Bureau of Ocean Energy                 environment are protected during surface coal
             Management, Regulation                    mining and that the land is restored to beneficial
                 and Enforcement                       use when mining is finished. The OSM and its
                (formerly the MMS)                     partners are also responsible for ensuring that
                                                       lands and water which were degraded by min-
The BOEMRE, formerly the Minerals Manage-              ing operations before 1977 are reclaimed. Today,
ment Service (MMS), manages the Nation’s               OSM has 24 states which have assumed primary
offshore oil, natural gas, and other energy and        responsibility for regulating surface mining ac-
mineral resources on the Federal OCS. In May           tivities within their borders and are administer-
2010, the Secretary of the Interior announced the      ing programs to clean up abandoned mine sites.
fundamental restructuring of MMS, moving to            The OSM has oversight responsibilities for those
divide the agency into three separate entities—        approved state programs. Through cooperative
Bureau of Ocean Energy Management, Bureau of           agreements, the Secretary of the Interior delegates
Safety and Environmental Enforcement, and the          regulatory responsibilities for surface coal min-
Office of Natural Resources Revenue—in order           ing and reclamation operations on Federal lands
to improve the oversight of offshore energy de-        to states with approved regulatory programs. The
velopment and the revenues associated with it.         DOI retains the duty to authorize the mining of
The BOEMRE was established as an interim or-           leased Federal coal. The OSM regulates surface
ganization, and on October 1, 2010, the Office of      coal mining and reclamation operations on Indian
Natural Resources Revenue was formally estab-          lands. Currently, however, three tribes are in the
lished as a separate entity within the Office of the   process of developing their own programs.
Secretary. The reorganization is planned for full
implementation by October 1, 2011.                              2.3.6 National Park Service

The Nation’s 1.7 billion acres of the OCS are          The National Park Service (NPS) manages more
believed to contain more than 60 percent of            than 84 million acres of National Park System
the Nation’s remaining undiscovered, techni-           lands and has responsibility over a variety of
cally recoverable oil and almost 40 percent of         other special status areas, to include the National
its undiscovered technically recoverable natu-         Trails System, wild and scenic rivers, national
ral gas (MMS National Assessment, 2006).               historic landmarks, national natural landmarks,
The BOEMRE is also responsible for leasing on          and places on the National Register of Historic


2.0 Introduction                                                                                         9
New Energy Frontier: Balancing Energy Development on Federal Lands


Places. Given its many stewardship responsibili-       tives, internal strategic planning, important and
ties, the NPS has a special role to ensure that any    unanticipated global events, customer surveys
leasing, siting, and permitting of energy facilities   and needs, and the guiding principles of objec-
on the public lands near parks and other special       tive and impartial science. The USGS Water Use
status areas is done in a way that safeguards their    Program estimates the amount of water withdraw-
resources and values. When the permitting of           als associated with eight sectors of water use, in-
energy development could impact adjacent park          cluding thermoelectric power generation, which
units and other special status areas, the NPS is       is the largest sector of water withdrawals in the
active in park protection and the decisionmak-         Nation. Estimation of water use is a key factor in
ing process. Current steps are being taken to          assessing the sustainability of water supplies to
strengthen these measures.                             support energy development, while also protect-
                                                       ing important environmental values. While con-
     2.3.7 U. S. Fish and Wildlife Service             tributing efforts to address challenges of the New
                                                       Energy Frontier, the USGS will be instrumental
The U.S. Fish and Wildlife Service (FWS) is            in providing the science framework and informa-
dedicated to the conservation, protection, and en-     tion necessary for all partners to use in analyzing
hancement of fish and wildlife and their habitats      impacts and making decisions on mitigation, res-
by administering laws such as the Endangered           toration, and conservation efforts.
Species Act, Migratory Bird Treaty Act, and the
Fish and Wildlife Coordination Act. The FWS                     2.3.9 Office of Insular Affairs
is responsible for managing fish and wildlife
Federal trust resources, including threatened and      The Office of Insular Affairs (OIA) is currently
endangered species, migratory birds, interjuris-       leading efforts to investigate opportunities for
dictional fish species, certain marine mammals,        increased renewable energy and energy effi-
and the National Wildlife Refuge System. The           ciency deployment in the U.S. Territories. The
FWS is engaged in energy planning and review           DOI, through OIA, and DOE have entered into
to assist other agencies and the energy industry in    an agreement with the U.S. Virgin Islands to de-
avoiding and otherwise mitigating the impacts of       crease the territory’s dependence on fossil fuels.
energy development on these trust resources. The       In April 2009, the Virgin Islands was chosen as
FWS manages approximately 90 million acres of          one of three pilot locations for Energy Develop-
refuge lands.                                          ment in Island Nations (EDIN)—an international
                                                       partnership with the goal of bringing renewable
         2.3.8 U.S. Geological Survey                  energy to islands around the world. Through
                                                       participation in EDIN, the Virgin Islands will be
The U.S. Geological Survey (USGS) Energy Re-           able to access technical resources of the DOE’s
sources Program provides objective, impartial,         National Renewable Energy Laboratory (NREL)
and scientifically robust information to advance       to develop technically and economically sound
the understanding of geologically based energy         plans to implement sustainable energy technolo-
resources; contributes to plans for a secure energy    gies. The OIA is also working with the DOE/
future; and facilitates evaluation and responsible     NREL to develop renewable energy and energy
use of resources. The Energy Resources Pro-            efficiency plans for the three Pacific Territories of
gram research portfolio is responsive to national      American Samoa, Commonwealth of the North-
priorities established through legislative direc-      ern Mariana Islands, and Guam.


10                                                                                             2.0 Introduction
New Energy Frontier: Balancing Energy Development on Federal Lands


            2.3.10 USDA Forest Service                  into several areas including training, direct tech-
                                                        nical assistance, policy support, transmission
The USFS manages 193 million acres of National          planning, siting of large scale projects, research
Forest System lands that are important sources          and development of new technologies, and spon-
of both conventional and renewable forms of en-         soring research and development of wind turbine
ergy. This is a point of emphasis in the USDA           impacts on wildlife. Specific support areas are as
Renewable Energy Strategy. The lands and re-            follows:
sources represent a sustainable, strategic asset in
achieving and enhancing U.S. energy security,           •	 The DOE worked with the BLM to conduct a
economic opportunity, environmental quality, and           programmatic environmental impact state-
global competitiveness. Given its many steward-            ment (PEIS) for wind, which was completed
ship responsibilities, the USFS has a special role         in 2006, and one for solar, expected to be
to ensure that any leasing, siting, and permitting         complete in 2011.
of energy facilities are done in a way that protects
the character of protected areas, such as wilder-       •	 The DOE and the BLM signed a memo-
ness, roadless areas, and wild and scenic rivers           randum of understanding (MOU) on July
and trails. Given the significant role that biomass        8, 2010, that establishes public land for a
plays in the Nation’s renewable energy portfolio,          solar demonstration zone (SDZ). This SDZ
the USFS plays a lead role in furthering the use of        will be public land that is withdrawn for the
woody biomass. Secretary Vilsack’s “All Lands”             DOE. The DOE will work with industry to
vision for forests helps guide this focus beyond           demonstrate advanced solar generation tech-
the national forests and grasslands.                       nologies at this site.
The USFS works across ownerships to sustain
                                                        •	 The DOE and national laboratory staff are
the health, diversity, and productivity of the Na-
                                                           developing and conducting training courses
tion’s forests and grasslands to meet the needs,
                                                           in wind and solar technologies for DOI
including energy needs, of present and future
                                                           staff. These courses include information on
generations. Specifically, the State and Private
                                                           technology, performance, economics, con-
Forestry organization of the USFS reaches across
                                                           struction level impacts, and environmental
the boundaries of national forests to states, tribes,
                                                           impacts.
communities, and nonindustrial private landown-
ers of the Nation’s forested lands. USFS Research
                                                        •	 The DOE, the U.S. Army Corps of Engineers
and Development scientists develop, execute, and
                                                           (ACOE), and the BOR signed an MOU to
disseminate science practices and technology to
                                                           work toward the increased development of
improve the health, resiliency, and use of all the
                                                           sustainable hydropower generation opportu-
Nation’s forests and grasslands, including for bio-
                                                           nities on BOR and ACOE facilities.
mass energy and integrating energy production
into sustainable forest and grassland manage-
                                                        •	 In June 2010, the DOE and BOEMRE signed
ment.
                                                           an MOU to cooperate on a number of issues
       2.3.11 U.S. Department of Energy                    related to offshore wind development.

The DOE has been a long-standing partner with           •   On February 7, 2011, Secretary Salazar and
the DOI and USDA. The DOE cooperation falls                 Secretary of Energy Steven Chu unveiled


2.0 Introduction                                                                                         11
New Energy Frontier: Balancing Energy Development on Federal Lands


     A National Offshore Wind Strategy: Creat-             to establish a coordinated network of Federal
     ing an Offshore Wind Industry in the United           energy corridors on Federal lands throughout
     States, a joint strategic plan to accelerate the      the United States. An example of this work
     development of offshore wind energy.                  is the West-wide Energy Corridor project.

•	 The DOE is working with the OIA to support                    2.3.12 National Oceanic and
   the increased use of renewable energy in the                  Atmospheric Administration
   U.S. Territories.
                                                        The Department of Commerce’s National Oce-
•	 The DOE works with all DOI agencies and              anic and Atmospheric Administration (NOAA)
   bureaus on the DOE Federal Energy Man-               is also an important Federal partner on energy
   agement Program to encourage increased               issues. Their expertise, services, and responsi-
   energy efficiency, water conservation, and           bilities are critical to energy conservation, devel-
   renewable energy deployment at DOI fa-               opment, production, management, and delivery.
   cilities (e.g., national park sites, BLM field       The NOAA also helps to ensure the protection of
   offices, Main Interior Building).                    coastal and ocean environmental resources as en-
                                                        ergy activities take place. The administration is
•	 The DOE’s Office of Electricity Delivery             involved in a variety of energy sectors, including
   and Energy Reliability is working with other         offshore oil and gas, marine hydrokinetic energy,
   Federal agencies including the Departments           liquefied natural gas, ocean thermal energy con-
   of the Interior, Defense, Commerce, and              version, offshore and onshore wind energy, solar
   Agriculture to improve energy delivery and           energy, biomass and biofuels, traditional hydro-
   enhance the electric transmission grid for the       power, and nuclear energy.
   future. These agencies are working together




12                                                                                             2.0 Introduction
New Energy Frontier: Balancing Energy Development on Federal Lands



    3.0 Overview of Renewable Energy
       Resources on Federal Lands
      “The Department of the Interior plays a leading role in our Nation’s quest to
    build a clean energy economy – creating American jobs and driving innovation
     – by promoting renewable energy on our public lands. As part of this Admin-
      istration’s commitment to a safe, secure energy future, Interior is unlocking
            our Nation’s renewable energy potential in unprecedented ways.”

                                 Interior Secretary Ken Salazar



3.1 Onshore Renewable Energy:
Wind Energy
•   Federal lands currently account for 6 percent
    of renewable electricity generation and 0.1
    percent of a total energy supply of 6 billion
    kilowatt hours (kWh).

•   Abundant wind energy potential exists on
    Federal lands in the West, Great Plains, and
    New England.

•   The total wind potential for Federal lands
    alone is up to 350,000 MW.

•   The BLM has 25 wind energy facilities on
    public lands in Arizona, California, Utah,
    Nevada, and Wyoming with a total installed
    capacity of 437 MW.

•   Federal and state wind energy incentives
    continue to foster interest in commercial
    wind energy projects on public lands.

•   Forty-seven new wind development project
    applications are currently being processed.




                                                                                                    13
New Energy Frontier: Balancing Energy Development on Federal Lands


                3.1.1 Overview                         radars, can cause false readings that can disrupt
                                                       forecaster situational awareness and radar algo-
Wind power uses the naturally occurring energy         rithms.
of the wind for practical purposes like generating
electricity, charging batteries, or pumping water.     Additional infrastructure for and placement of
Wind turbines capture the kinetic energy in the        wind energy facilities are important to transmis-
wind, converting it into electrical energy. Utility-   sion of wind energy. As wind energy scales up to
scale turbines are mounted on tall towers, usually     become a greater share of electricity supply, wind
200 feet or more above the Earth's surface where       energy projects may be challenged by the need to
the wind is faster and less turbulent. In utility-     connect to the energy transmission grid. As an
scale power applications, multiple turbines are        intermittent source of generation, major new de-
connected to the utility grid, providing electricity   velopment projects are likely to require enhanced
when the wind blows.                                   regional transmission capability, energy storage
                                                       capacity, and/or backup generation capacity to
For more than a decade, wind energy has been           successfully integrate into the grid without jeop-
the fastest growing energy technology world-           ardizing transmission reliability. In addition to
wide, achieving an annual growth rate greater          wind development, solar and geothermal projects
than 30 percent. As of January 2010, the United        may require new or significant upgrades to the
States has a total installed wind energy capacity      existing transmission grid, as would some new
of 35,000 MW.                                          conventional electricity generation sources.

Potential impacts associated with wind energy          Laws recently enacted by 33 states require elec-
development are complex and specific to each           tric utilities to provide a portion of their energy
site. The priority concern now are impacts relat-      from renewable energy sources. As a result, the
ing to bird and bat collisions with rotating blades    BLM and USFS anticipate a continued increase
and wildlife habitat alteration and fragmentation.     of interest in the use of Federal lands for renew-
Although proper siting decisions, stipulations,        able energy development. Specifically, the BLM:
and good management practices can minimize
these environmental concerns, an effective moni-       •   Manages 20.6 million acres of public lands
toring program is needed to collect data and con-          with wind power potential in 11 western
tinue to observe effects. The potential impacts            states;
on resources such as wildlife and scenery will be
analyzed in site-specific National Environmental       •   Has 207 rights-of-way applications pending
Policy Act (NEPA) documents, as appropriate.               for the use of public lands for wind energy
                                                           site testing; and
Wind turbines can also negatively impact Amer-
ica’s network of radars. The NOAA is working           •   Has 25 installed wind development projects
with the Departments of Defense, Homeland Se-              with a capacity of 437 MW and an additional
curity, and Transportation to develop software to          four projects approved but not yet com-
model potential wind turbine impacts on radars in          pleted, which will bring total capacity to 580
advance of turbine installation to better support          MW.
the evaluation of industry siting requests. For
example, turbines, when sited close to weather


14                                                     3.0 Overview of Renewable Energy Resources on Federal Lands
New Energy Frontier: Balancing Energy Development on Federal Lands


              3.1.2 Wind Energy on                            corridors, national recreation areas, inventoried
              BLM-Managed Lands                               roadless and roadless areas, and other areas where
                                                              laws or other land management objectives would
A PEIS relating to the authorization of wind en-              prohibit or severely restrict renewable energy de-
ergy projects on BLM-managed lands was com-                   velopment. The assessment projects a maximum
pleted in June 2005. This PEIS provides an anal-              development potential of approximately 139,000
ysis of the development of wind energy projects               MW of wind energy from National Forest System
in the West. In conjunction with the publication              (NFS) lands.
of the PEIS, the BLM amended 52 land use plans
to allow for the use of public lands for wind en-             Numerous inquiries have been made about the
ergy development. The BLM offices are able to                 siting of meteorological towers to obtain data re-
use the PEIS as an aid in analyzing impacts of                garding feasibility of wind energy development
specific applications for the use of public lands in          on these lands. Appendix 2 displays those inqui-
the development and production of wind energy.                ries and proposals for wind energy facilities on
                                                              NFS lands. As of December 2010, there were ap-
In 2006, the BLM issued a wind energy policy to               proximately 10 meteorological towers installed
provide guidance on best management practices                 on NFS lands nationwide.
and measures to mitigate potential impacts on
birds, wildlife habitat, and other resources. The             Currently under review, the Deerfield Wind Proj-
2006 policy was updated in December 2008 with                 ect is a proposal to construct and operate a wind
regard to rental rates, visual resource guidance,             energy facility on NFS lands in the Green Moun-
requirements for plans of development, and areas              tain National Forest in Searsburg and Readsboro,
excluded from development. However, as the sit-               Vermont. The project would construct 15 new 2
ing of renewable energy projects on the landscape             to 2.1 megawatt-class wind turbines.
is relatively new, much remains unknown about
effects on wildlife and habitat. The BLM contin-              The USFS recognizes that renewable energy pro-
ues to conduct studies necessary to evaluate and              duction and transmission are appropriate uses of
process the increasing number of rights-of-way                NFS lands. The agency is developing and imple-
applications for the siting of wind energy projects           menting national directives to enhance consisten-
and rights-of-way applications for electric trans-            cy and efficacy in siting, authorizing, and admin-
mission lines for these projects.                             istering wind energy site testing and development
                                                              on NFS lands. These directives will supplement
            3.1.3 Wind Energy on                              rather than replace existing special use regula-
        National Forest System Lands                          tions and directives.

The USFS, in partnership with the DOE’s Na-                       3.1.4 U.S. Fish and Wildlife Service
tional Renewable Energy Laboratory in Golden,                           Wind Energy Guidelines
Colorado, prepared a report entitled, Assessing
the Potential for Renewable Energy on National                The Wind Turbine Guidelines Advisory Com-
Forest System Lands. This document covered ap-                mittee was established in 2007 under the Federal
proximately 170 million acres of national forests             Advisory Committee Act to provide advice and
and national grasslands. The assessment exclud-               recommendations to the Secretary of the Interi-
ed Alaska, wilderness areas, wild and scenic river            or on developing effective measures to avoid or


3.0 Overview of Renewable Energy Resources on Federal Lands                                                   15
New Energy Frontier: Balancing Energy Development on Federal Lands


minimize impacts to wildlife and their habitats      Eagle Conservation Plan Guidance to address
related to land-based wind energy projects. The      this problem. These guidelines were released on
FWS chaired the committee, which included 22         February 8, 2011, and will be open for public
members representing Federal and state agencies,     comment until May 19, 2011.
wildlife conservation organizations, and the wind
energy industry. The committee’s recommen-           The BLM, USFS, and FWS have coordinated
dations contain advice regarding policy issues,      closely during the development of wind ener-
as well as science-based technical guidance on       gy policy and guidelines to ensure consistency
how to best assess and prevent adverse impacts       among the agencies. In 2011, the FWS is plan-
to wildlife and their habitats while allowing for    ning to expand its research to learn the impacts of
the development of the Nation’s wind energy re-      wind energy technology on wildlife in the Great
sources. Based on this work, the FWS developed       Plains and offshore coastal areas.
the Draft Voluntary Land-Based Wind Energy
Guidelines. These guidelines were released on
February 8, 2011, and will be open for public                   The Committee’s
comment until May 19, 2011.                                 recommendations include:

These recommendations, aimed at minimizing the           •	 A	decisionmaking	framework	that	
impacts of land-based wind farms on wildlife and           guides	all	stages	of	wind	energy	
habitat, will be used to develop final FWS Wind            development;
Turbine Guidelines. The finalization process will
include coordination with other Federal agencies         •	 Reliance	on	the	best	available	
and public comment. The FWS guidelines will                science	when	assessing	renewable	
be applicable to private as well as Federal lands.         energy	projects	and	their	potential	
                                                           environmental	impact;	and
The development of facilities to generate elec-
tricity from wind turbines in the western United         •	 Use	of	landscape-scaled	planning	that	
States has increased dramatically in the range             recognizes	the	need	to	think	long	term	
of the golden eagle, putting these eagles at risk          about	protecting	our	Nation’s	economic	
from collision with wind turbines. The FWS is
                                                           and	natural	resources.
charged with implementing the Bald and Golden
Eagle Protection Act and has developed the Draft




16                                                   3.0 Overview of Renewable Energy Resources on Federal Lands
New Energy Frontier: Balancing Energy Development on Federal Lands



3.2 Onshore Renewable Energy:                                 As of late 2010, the USFS had not received any
                                                              applications for utility or other large-scale com-
Solar Energy                                                  mercial solar facilities.

•   Solar radiation levels in the Southwest are                    3.2.1 Solar Energy Programmatic
    some of the most ideal in the world for en-                       EIS for BLM-Managed Lands
    ergy production. Federal potential is found
    principally on BLM-managed lands, with                    In December 2010, the BLM and the DOE com-
    23 million acres of public lands having solar             pleted a draft BLM/DOE Programmatic Envi-
    energy development potential.                             ronmental Impact Statement for Solar Energy
                                                              Development in Six Southwestern States. The
•   Energy from the sun is used to generate elec-             document, a landscape-level planning effort to
    tricity; heat water; and heat, cool, and light            facilitate environmentally responsible solar en-
    buildings.                                                ergy development, analyzes the potential impacts
                                                              from utility-scale solar energy development and
•   Solar energy accounted for 0.9 billion kWh,               evaluates alternatives for establishing a compre-
    or 1 percent, of renewable electricity genera-            hensive solar energy development program. The
    tion in 2008.                                             public comment period on the draft PEIS opened
                                                              December 17, 2010, and ran through March 17,
•   To date, there is no installed solar capacity             2011. The comment period was recently extended
    on BLM lands. In 2010, the BLM approved                   through April 16, 2011.
    nine solar projects, with a total capacity of
    3,682 MW.                                                 Twenty-four solar energy study areas, comprising
                                                              approximately 677,400 acres—more than 1,000
As of late 2010, the BLM had more than 100 ap-                square miles—are being analyzed in detail to de-
plications pending for utility-scale solar energy             termine whether they are appropriate for designa-
projects in Arizona, California, Nevada, and New              tion as Solar Energy Zones to be managed with
Mexico that involve about 1.05 million acres of               a preference for solar energy generation on sites
land and have an applicant-estimated capacity of              suited for solar development (see 3.2.2).
61,000 MW.




3.0 Overview of Renewable Energy Resources on Federal Lands                                                   17
New Energy Frontier: Balancing Energy Development on Federal Lands


In the draft PEIS, the BLM proposes to: (1) es-       were excluded from further analysis. The catego-
tablish a new Solar Energy Program that would         ries of NLCS lands that were excluded include
include Solar Energy Zones, (2) standardize and       wilderness areas, wilderness study areas, instant
streamline the authorization process for solar        study areas, national conservation areas, national
energy development projects, and (3) establish        monuments, wild and scenic rivers, and national
mandatory design features for such development        historic and scenic trails.
on public lands, thus providing a more efficient
process for siting and permitting responsible so-     Other potentially sensitive areas that were elimi-
lar energy development.                               nated from further analysis in the solar draft PEIS
                                                      include: areas identified as critical habitat for
As part of the draft PEIS development, the DOE        threatened and endangered species, areas of criti-
plans to develop a suite of solar energy environ-     cal environmental concern (ACEC), special rec-
mental policies and mitigation strategies that        reation management areas (SRMA), areas desig-
would apply to the deployment of DOE-sup-             nated by the BLM as no surface occupancy, and
ported solar energy projects, whether located on      areas designated by the BLM in its existing land
BLM-administered lands or other Federal, state,       use plans as exclusion or avoidance areas for de-
tribal, or private lands. The BLM would con-          velopment.
tinue to employ its own environmental policies
and mitigation strategies when making decisions       The resulting lands that the BLM considers to
on whether to issue rights-of-way for utility-scale   have solar development potential include approx-
solar energy development projects on public           imately 4.5 million acres in Arizona, 1.8 million
lands. The BLM and DOE will work together to          acres in California, 0.15 million acres in Colora-
implement consistent policies and strategies.         do, 9.6 million acres in Nevada, 4.1 million acres
                                                      in New Mexico, and 2.5 million acres in Utah.
Public lands deemed technically suitable for util-
ity-scale solar energy development are located in     As with all forms of energy development, there
a six-state study area (including Arizona, Califor-   are potential environmental concerns from solar
nia, Colorado, Nevada, New Mexico, and Utah).         energy development, such as land disturbance/
These lands are suitable because: they have excel-    land use impacts, aesthetic impacts, impacts on
lent solar energy resources; they have low slopes     wildlife habitat, consumption of water and other
of less than 5 percent—since higher slopes are a      resources, problems connecting to the grid, and
barrier to construction for most solar facilities;    using potentially hazardous materials. Although
they have contiguous areas of at least 247 acres      proper siting decisions, stipulations, and good
(1 square kilometer)—since utility-scale solar fa-    management practices can help to minimize en-
cilities require concentrated development.            vironmental concerns, an effective monitoring
                                                      program is needed to collect data and continue to
Further evaluation was conducted on these lands       observe all effects.
to address potential environmental suitability
concerns.                                                    3.2.2 Solar Energy Study Areas

Lands containing outstanding cultural, ecologi-       In addition to lands identified in the solar draft
cal, or scientific values within the BLM’s Na-        PEIS, the BLM identified 24 tracts of BLM-ad-
tional Landscape Conservation System (NLCS)           ministered land in six western states, known as


18                                                    3.0 Overview of Renewable Energy Resources on Federal Lands
New Energy Frontier: Balancing Energy Development on Federal Lands




                       Solar Technologies:
                     2010 Approved Projects

                                                              Parabolic Trough
                                                                • 60 percent of applications
                                                                • 3 approved projects

                                                              Photovoltaic
                                                                • 30 percent of applications
                                                                • 2 approved projects


                                                              Power Tower
                                                                • 10 percent of applications
                                                                • 2 approved projects




                                                              Solar Dish
                                                                • No pending applications
                                                                • 2 approved projects

solar energy study areas, with the potential to               acres. Lands in these study areas are flatter than
be used for large-scale solar energy production.              other lands identified in the draft PEIS as techni-
BLM experts at state and field office levels cre-             cally suitable for solar development, with slopes
ated and assessed guidance to identify the study              that are generally less than 2 percent. Addition-
areas. The guidance criteria include: proxim-                 ally, the areas must be free of other types of con-
ity to existing roads, transmission, or designated            flict, such as threatened and endangered species
transmission corridors; and a size of at least 2,500          habitat, ACECs, SRMAs, and NLCS lands.


3.0 Overview of Renewable Energy Resources on Federal Lands                                                    19
New Energy Frontier: Balancing Energy Development on Federal Lands


There are three solar energy study areas in Ari-      use the most water are those that create electric-
zona, four in California, four in Colorado, seven     ity by generating steam, such as parabolic trough
in Nevada, three in New Mexico, and three in          and power tower technologies. The technologies
Utah. The study areas range in size from 1,522        that use the least amount of water are photovol-
acres (De Tilla Gulch in Colorado was originally      taic and dish/engine systems.
about 2,500 acres but revised to avoid a sensitive
area) to 202,295 acres (Riverside East in Califor-    Because the ideal locations for solar facilities are
nia). The 24 study areas are located in 14 sepa-      typically in arid areas, water use and water avail-
rate BLM district and field offices and 16 separate   ability are key considerations when thermoelec-
counties.                                             tric technologies (those utilizing a steam cycle)
                                                      are selected. Cooling technologies using the least
The boundaries of several of the study areas were     amount of water are preferred. In practice, how-
altered in response to scoping comments and           ever, many more factors must be considered when
based on land management considerations, in-          selecting the appropriate cooling system.
cluding the need to protect adjacent special sta-
tus areas such as national parks. The revisions       Conventional cooling systems for thermoelectric
will make the study areas easier to describe and      power plants, usually referred to as wet recirculat-
manage, eliminate areas with sensitive resources,     ing cooling, provide the best performance under
and in some cases, add adjacent lands that ap-        most weather conditions. Unfortunately, since
pear equally suitable for solar energy develop-       their primary mechanism for heat dissipation is
ment. The total combined land area is 677,400         evaporation of some of the water in the recirculat-
acres. This combined area could harvest enough        ing system, their water demands are the greatest
solar energy to produce approximately 60 to 108       among the available cooling options.
gigawatts (GW), depending on the types of solar
technologies that will be used.                       The solar technologies that use the least amount
                                                      of water are photovoltaic and dish systems that
     3.2.3 Water Use for Solar Facilities             employ dry cooling. Dry cooling systems cool
                                                      steam in a condenser by passing ambient air over
As with other energy facilities, water is a neces-    the condenser’s surface and are feasible in desert
sary component for construction and operation of      environments. However, the net power output of
all solar energy facilities. During construction,     concentrated solar power facilities equipped with
water is needed to control fugitive dust, compact     dry cooling will be less than that of a similarly
soils, wash equipment, and support the work-          sized facility using wet recirculating cooling.
force. The amount of water use during construc-
tion is dependent on the project location and the     Hybrid wet/dry systems have been developed that
specific project design. During operations, all so-   introduce water into the air stream by passing it
lar energy technologies require water to support      over the steam condenser or by deluging the outer
the workforce and for periodic washing of mir-        surface of the condenser with water. The cooling
rors or panels, at a minimum. Water is necessary      mechanism is the same as for wet recirculating
for facility operations for the useful life of that   cooling systems; water flash evaporates, cooling
facility, usually 20 to 30 years. Depending on        either the air stream or the surface of the condens-
the technology used, some solar facilities can be     er as it does so. Such wet/dry hybrids are not as
relatively water intensive. The technologies that     thermally efficient as conventional wet recirculat-


20                                                    3.0 Overview of Renewable Energy Resources on Federal Lands
New Energy Frontier: Balancing Energy Development on Federal Lands


ing cooling systems. However, they use substan-               3.3 Onshore Renewable Energy:
tially less water and offer somewhat better perfor-
mance than dry cooling alone, but still with some             Geothermal Energy
reduction in power output. Such hybrid systems
perform best in desert environments where rela-               •   The U.S. leads the world in geothermal
tive humidity is typically very low.                              generation capacity with 3,152 MW (August
                                                                  2009) from 77 power plants, accounting for
Solar facilities in dry environments may reduce                   about 35 percent of world geothermal pro-
groundwater or surface water requirements by uti-                 duction.
lizing reclaimed water from wastewater treatment
facilities. Some cooling technologies use organic             •   During 2009, geothermal energy accounted
solvents in closed systems in place of water; al-                 for 17 percent of U.S. renewable electricity
though, cooling systems of this design have lim-                  generation, providing 15 billion kWh.
ited capacity and have been successfully applied
only to facilities with relatively small generating           •   Geothermal energy production provides
capacities. However, both of these water-saving                   baseload energy, like that from a nuclear
systems may be utilized in future solar facilities                or conventionally fueled facility, that is not
in arid areas.                                                    dependent on fluctuating natural conditions.
While water availability remains the primary
                                                              •   Most geothermal production is in Califor-
consideration in the selection of a cooling system
                                                                  nia and Nevada; other active states include
for concentrated solar power facilities utilizing
                                                                  Idaho, New Mexico, Oregon, and Utah.
steam, other factors also enter into the selection.
                                                                  California provides 82 percent of U.S. gen-
These include land requirements, visual resource
                                                                  erating capacity or 30 percent of the world’s
impacts (i.e., the physical profiles of the system
                                                                  geothermal generating capacity.
and, in some cases, the steam plume that may re-
sult in some weather conditions), the initial chem-
                                                              •   During 2009, about 4.4 billion kWh of elec-
istry of the available water, the complexity of the
                                                                  tricity was generated from geothermal leases
water treatment before it can be introduced into
                                                                  on BLM-managed land, and the electricity
the cooling system, capital and operating costs,
                                                                  supplied 35 power plants.
and the parasitic load (i.e., the amount of power
needed to operate the system).




3.0 Overview of Renewable Energy Resources on Federal Lands                                                      21
New Energy Frontier: Balancing Energy Development on Federal Lands


                3.3.1 Overview
                                                            The Humboldt-Toiyabe National
The BLM administers more than 245 million sur-              Forest was the first forest to use
face acres of public lands and 700 million acres of          the programmatic analysis and
subsurface mineral estate. The USFS is respon-
                                                              established a model for other
sible for the surface management of 193 million
acres of NFS lands. The Geothermal Steam Act,                   national forests to follow.
as amended, defines the role of the USFS in the
management of geothermal resources.                     This will facilitate leasing and provide
                                                        for environmentally sound geothermal
          3.3.2 Geothermal Energy                        energy exploration and development.
              Programmatic EIS

The BLM and the USFS jointly prepared a geo-          accordance with NEPA, the Federal Land Policy
thermal energy PEIS that was completed on De-         and Management Act of 1976, and the National
cember 17, 2008, with the signing of the record       Forest Management Act of 1976. Even with
of decision. The USDA supported and adopted           the record of decision for the final PEIS issued,
the PEIS. The record of decision approved the         any ground-disturbing activities for subsequent
DOI’s decision to facilitate geothermal leasing       geothermal exploration, drilling, utilization, and
of Federal mineral estate in the 12 western states    reclamation permits will be subject to additional
of Alaska, Arizona, California, Colorado, Idaho,      site-specific environmental review under NEPA.
Montana, Nevada, New Mexico, Oregon, Utah,
Washington, and Wyoming.                              While the decision did not amend any USFS land
                                                      use plans, it does provide the framework to facili-
The decision (1) allocates BLM lands as open to       tate the USFS efforts in the processing of pending
be considered for geothermal leasing or closed        geothermal lease applications and future geother-
for geothermal leasing, and identifies those NFS      mal projects on USFS lands.
lands that are legally open or closed to leasing;
(2) develops a reasonably foreseeable develop-        The PEIS describes the statutory authority under
ment scenario that indicates a potential for 12,210   the Geothermal Steam Act to protect designated
MW of electrical generating capacity from 244         thermal features in parks by (1) alerting poten-
power plants by 2025, plus additional direct uses     tial lessees that no leasing is allowed in National
of geothermal resources; and (3) adopts stipula-      Park System units; (2) noting that the Island Park
tions, best management practices, and procedures      Geothermal Area adjacent to Yellowstone Na-
for geothermal leasing and development.               tional Park is closed to leasing; and (3) explain-
                                                      ing that other lands in proximity to the parks with
These actions will be implemented as BLM re-          designated thermal features will require a special
source management plan amendments for 114             analysis of the potential effects of possible geo-
land use plans. The proposed action and plan          thermal development and may be determined in-
amendments were evaluated through the prepa-          eligible for lease. The NPS works with the BLM
ration of the Final Programmatic Environmental        to ensure that these statutory duties are carried
Impact Statement for Geothermal Leasing in the        out.
Western United States, which was prepared in


22                                                    3.0 Overview of Renewable Energy Resources on Federal Lands
New Energy Frontier: Balancing Energy Development on Federal Lands


The following table illustrates the estimated fu-             permit prior to building a power plant and asso-
ture geothermal generating potential by state. It             ciate facilities. The approval process involves a
was compiled from various sources and served                  NEPA analysis, which may be an environmental
as the basis for the PEIS reasonable foreseeable              assessment or an environmental impact statement
development scenario for the purpose of impact                (EIS), depending on the scope of the project and
analysis.                                                     potential impacts anticipated. One of the pur-
          Estimated Future Geothermal                         poses of the analysis is to incorporate best man-
          Electrical Generation by State                      agement practices to minimize the impact of the
                                                              facility and minimize the footprint.
                      Estimated           Estimated
                     Commercial          Commercial
      State                                                   As of late 2010, there were 58 geothermal leases
                    Development         Development
                    by 2015 (MW)        by 2025 (MW)          in a producing status covering about 56,000 acres.
                                                              While some of the leases produce geothermal re-
    California          2,375                4,703            sources for electrical generation for non-Feder-
     Nevada             1,473                2,880            al-sited power plants, there were 17 production
                                                              facilities located on Federal leases for which the
      Idaho              855                 1,670
                                                              BLM has approved a utilization permit. These
     Oregon              380                 1,250            power plants were sited on a total of 313 acres
      Utah               230                  620             for an average of 18.4 acres per plant, or about 1
                                                              percent of the average lease size of about 1,800
   Washington             50                  600             acres. There were 120 geothermal leases cover-
  New Mexico              80                  170             ing approximately 134,000 acres of NFS lands.
     Alaska               20                  150
                                                                      3.3.4 BLM and Forest Service
     Arizona              20                  50
                                                                              Coordination
    Colorado              20                  50
                                                              The BLM and USFS have a long history of co-
    Montana               20                  50
                                                              ordination on geothermal leasing and permitting
    Wyoming               20                  50              on USFS-administered lands under an MOU, re-
Note: This table was compiled from a variety of sources,      vised in April 2006, to implement Section 225
for the purpose of developing the reasonable foreseeable      of the Energy Policy Act of 2005. Section 225
development scenario in the FINAL Programmatic Envi-          requires the coordination of geothermal leasing
ronmental Impact Statement for Geothermal Leasing in the      and permitting on public lands and NFS lands be-
Western United States (2008).
                                                              tween the Secretary of the Interior and Secretary
                                                              of Agriculture.
 3.3.3 Siting Geothermal Energy Facilities
                                                              The BLM and USFS coordinate geothermal re-
The issuance of a geothermal lease does not au-               source leasing activities on NFS lands. While the
thorize lease activities, other than casual use.              USFS manages the surface estate of NFS lands,
Permits and authorizations are required prior to              the BLM is responsible for managing the mineral
starting lease operations: drilling of temperature            estate. This includes the leasing and permitting of
gradient wells, geothermal drilling permits for               exploration and development of geothermal leas-
production and injection wells, and a construction            es. The USFS serves as lead agency for geother-


3.0 Overview of Renewable Energy Resources on Federal Lands                                                    23
New Energy Frontier: Balancing Energy Development on Federal Lands


                             Map of Lands with Geothermal Potential




24                                                  3.0 Overview of Renewable Energy Resources on Federal Lands
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New Energy Frontier Report

  • 1. New Energy Frontier Balancing Energy Development on Federal Lands A Joint Report to Congress on Siting Energy Development Projects on Federal Lands U.S. Department of the Interior U.S. Department of Agriculture May 2011
  • 2.
  • 3. New Energy Frontier: Balancing Energy Development on Federal Lands Table of Contents 1.0 Executive Summary . . . . . . . . . . . . . . . 1 3.1.4 U.S. Fish and Wildlife Service Wind Energy Guidelines. . . . . . 15 2.0 Introduction . . . . . . . . . . . . . . . . . . . 5 3.2 Onshore Renewable Energy: Solar Energy. . . . . . . . . . . . . . . . 17 2.1 Overview . . . . . . . . . . . . . . . . . .5 3.2.1 Solar Energy Programmatic 2.2 Congressional Direction . . . . . . . . . . .7 EIS for BLM-Managed Lands . . . 17 2.3 Responsible Agencies . . . . . . . . . . . .8 3.2.2 Solar Energy Study Areas . . . . . 18 2.3.1 Bureau of Land Management . . . .8 3.2.3 Water Use for Solar Facilities . . . 20 2.3.2 Bureau of Reclamation . . . . . . .8 3.3 Onshore Renewable Energy: 2.3.3 Bureau of Indian Affairs . . . . . . .8 Geothermal Energy . . . . . . . . . . . . 21 2.3.4 Bureau of Ocean Energy 3.3.1 Overview . . . . . . . . . . . . . 22 Management, Regulation and 3.3.2 Geothermal Energy Enforcement (formerly the MMS) . .9 Programmatic EIS . . . . . . . . . 22 2.3.5 Office of Surface Mining 3.3.3 Siting Geothermal Reclamation and Enforcement . . .9 Energy Facilities. . . . . . . . . . 23 2.3.6 National Park Service . . . . . . . .9 3.3.4 BLM and Forest Service 2.3.7 U. S. Fish and Wildlife Service . . 10 Coordination. . . . . . . . . . . . 23 2.3.8 U.S. Geological Survey . . . . . . 10 3.3.5 Geothermal Energy on 2.3.9 Office of Insular Affairs . . . . . . 10 Federal Lands . . . . . . . . . . . 25 2.3.10 USDA Forest Service . . . . . . . 11 3.4 Onshore Renewable Energy: 2.3.11 U.S. Department of Energy . . . . 11 Biomass Energy . . . . . . . . . . . . . . 26 2.3.12 National Oceanic and 3.4.1 Overview . . . . . . . . . . . . . 26 Atmospheric Administration . . . . 12 3.4.2 Biomass in Managing Healthy Forest and Range Systems . . . . 27 3.0 Overview of Renewable Energy Resources 3.5 Hydropower . . . . . . . . . . . . . . . . 29 on Federal Lands . . . . . . . . . . . . . . . 13 3.5.1 Overview . . . . . . . . . . . . . 29 3.5.2 Expanding Federal Hydropower 3.1. Onshore Renewable Energy: Production . . . . . . . . . . . . . 31 Wind Energy. . . . . . . . . . . . . . . . 13 3.5.3 Memorandum of 3.1.1 Overview . . . . . . . . . . . . . 14 Understanding. . . . . . . . . . . 31 3.1.2 Wind Energy on 3.5.4 Pilot Project Program . . . . . . . 31 BLM-Managed Lands . . . . . . . 15 3.5.5 Hydropower Modernization 3.1.3 Wind Energy on National Initiative . . . . . . . . . . . . . . 32 Forest System Lands . . . . . . . 15 i
  • 4. New Energy Frontier: Balancing Energy Development on Federal Lands 3.5.6 Reclamation’s Lease of 4.2.1 Siting Projects to Protect Power Privilege . . . . . . . . . . 32 Resources and Values . . . . . . 45 3.5.7 Hydropower Facilities on 4.2.2 Land Use Planning . . . . . . . . 46 Federal Lands . . . . . . . . . . . 32 4.2.3 Public Involvement and 3.5.8 Hydropower and the National Conflict Resolution . . . . . . . . 48 Park Service. . . . . . . . . . . . 34 4.2.4 Environmental Review. . . . . . . 48 3.5.9 Hydropower and the Fish and 4.2.5 Permit Applications and Review. . 49 Wildlife Service . . . . . . . . . . 34 4.2.6 Water Resources . . . . . . . . . 50 3.6 Offshore Renewable Energy . . . . . . . 35 4.2.7 Protecting Scenic Landscapes . . 51 3.6.1 Overview . . . . . . . . . . . . . 36 4.2.8 Wildlife and Migratory Birds . . . . 53 3.6.2 Public Involvement . . . . . . . . 38 4.2.9 Endangered Species Act 3.6.3 Policy and Regulatory Compliance . . . . . . . . . . . . 55 Framework . . . . . . . . . . . . 38 4.2.10 Cultural Resources . . . . . . . . 56 3.6.4 Programmatic Environmental 4.2.11 Avoidance and Exclusion Areas: Review. . . . . . . . . . . . . . . 38 National Parks and 3.6.5 Impact Mitigation . . . . . . . . . 38 Other Protected Lands . . . . . . 56 3.6.6 Interagency Coordination . . . . . 39 4.2.12 Consultation Among Agencies. . . 57 3.6.7 U.S. Fish and Wildlife Service and 4.2.13 U.S. Fish and Wildlife Service National Marine Fisheries and National Park Service Service Consultation . . . . . . . 39 Project Participation . . . . . . . 57 3.6.8 Protecting Coastal Units of the 4.2.14 Inspection, Enforcement, NOAA and the National Park Monitoring, and Compliance. . . . 58 and National Wildlife 4.2.15 Final Closure and Reclamation . . 58 Refuge Systems. . . . . . . . . . 39 4.2.16 Coordinating with Tribal 3.6.9 Decommissioning . . . . . . . . . 39 Governments . . . . . . . . . . . 58 3.6.10 Bonding . . . . . . . . . . . . . . 40 4.3 Strategic Planning and Interdepartmental Coordination for Renewable Energy 4.0 Onshore Energy in Balance with Other Projects . . . . . . . . . . . . . . . . . . 59 Resources and Values . . . . . . . . . . . . . 41 4.3.1 Overview . . . . . . . . . . . . . 59 4.3.2 The Opportunity . . . . . . . . . . 60 4.1 Overview . . . . . . . . . . . . . . . . . 41 4.3.3 The Plan. . . . . . . . . . . . . . 61 4.1.1 Renewable Energy: 4.4 Transmission Requirements and Siting Organizational Improvements . . . 42 for Renewable Energy. . . . . . . . . . . 61 4.1.2 Priority Renewable 4.4.1 Overview . . . . . . . . . . . . . 61 Energy Projects . . . . . . . . . . 43 4.4.2 Siting Transmission on 4.2 Onshore Energy Projects . . . . . . . . . 45 U. S. Forest Service Lands . . . . 63 ii
  • 5. New Energy Frontier: Balancing Energy Development on Federal Lands 4.5. Methodology Used to Limit Short-Term 5.3.3 Siting and Operational and Long-Term Impacts . . . . . . . . . . 64 Considerations . . . . . . . . . . 92 4.5.1 Landscape Assessment 5.3.4 Permitting Procedures and Initiatives . . . . . . . . . . . . . 64 Requirements . . . . . . . . . . . 93 4.5.2 Best Management Practices . . . 65 5.3.5 Monitoring and Compliance 4.5.3 Addressing the Legacy of Historic Over the Life of the Project . . . . 95 Energy Development . . . . . . . 66 5.3.6 Restoration and Reclamation . . . 95 4.5.4 Onsite and Offsite Mitigation . . . 68 5.3.7 Bonding . . . . . . . . . . . . . . 96 4.5.5 Facilitating FWS Endangered Species Permitting on 6.0 Conclusion . . . . . . . . . . . . . . . . . . . 97 Private Lands . . . . . . . . . . . 68 4.6 Bonding and Reclamation . . . . . . . . . 70 7.0 Appendices . . . . . . . . . . . . . . . . . . 99 4.6.1 Overview . . . . . . . . . . . . . 70 4.6.2 Reclamation . . . . . . . . . . . . 70 7.1 Appendix 1 4.6.3 Reclamation Standards . . . . . . 70 Secretarial Order on Developing Renewable Energy . . . . . . . . . . . . 99 5.0 Conventional Energy Development . . . . . . 71 7.2 Appendix 2 Inquiries and Proposals for Wind Energy 5.1 Oil and Gas in the Federal Estate . . . . . 71 on National Forest System Lands . . . . 103 5.1.1 Onshore Overview. . . . . . . . . 74 7.3 Appendix 3 5.1.2 Leasing Reforms . . . . . . . . . 77 Environmental Laws and Regulations . . 105 5.1.3 Pilot Project to Improve 7.4 Appendix 4 Federal Permit Coordination . . . 78 Memorandum of Understanding 5.1.4 Oil and Gas Best for Hydropower . . . . . . . . . . . . . 107 Management Practices . . . . . . 79 7.5 Appendix 5 5.1.5 Bonding . . . . . . . . . . . . . . 79 Applicable Laws . . . . . . . . . . . . . 119 5.2 Coal Program . . . . . . . . . . . . . . . 80 7.6 Appendix 6 5.2.1 Overview . . . . . . . . . . . . . 80 Principles of the BLM’s Visual 5.2.2 Lands Suitable for Coal Leasing . 81 Resource Management . . . . . . . . . 123 5.2.3 Competitive Leasing Process . . . 81 5.2.4 Lease Terms and Conditions . . . 84 8.0 Acronyms Used in This Report . . . . . . . 129 5.2.5 Bonding . . . . . . . . . . . . . . 84 5.2.6 Termination of a Lease . . . . . . 84 5.3 Offshore Oil and Gas Development . . . . 85 5.3.1 Overview . . . . . . . . . . . . . 85 5.3.2 Interagency Coordination . . . . . 92 iii
  • 6.
  • 7. New Energy Frontier: Balancing Energy Development on Federal Lands 1.0 Executive Summary This report responds to the direction of Congress sumption have declined from 57 percent in 2008 as provided in the Statement of Managers (Rept. to less than 50 percent in 2010. 111-316) accompanying the Department of the Interior, Environment, and Related Agencies Ap- As part of its comprehensive energy strategy, the propriations Act, 2010, and separate recommen- Obama Administration has offered, and continues dations of individual members regarding issues to offer, millions of acres of public land for oil associated with the development of both renew- and gas exploration and production. In 2010, the able and conventional energy from Federal lands Bureau of Land Management (BLM) held 33 oil both onshore and on the Federal Outer Continen- and gas lease sales covering 3.2 million acres. In tal Shelf (OCS). 2011, the BLM is scheduled to hold an additional 33 lease sales. Currently, 38.2 million acres of Federal lands and offshore areas managed by the public lands are under lease for oil and gas devel- U.S. Department of the Interior (DOI) and the opment, of which only 16.6 million acres are ac- U.S. Department of Agriculture (USDA) Forest tive and 21.6 million acres are inactive. In 2010, Service (USFS) are key components of a com- the BLM processed more than 5,200 applications prehensive energy strategy that increases the safe for permits to drill (APDs) on Federal and Indian and responsible production of natural gas and oil lands. In 2011, the BLM expects to process more in the United States, makes renewable energy a than 7,200 APDs. priority, begins to move the Nation toward a clean energy economy, creates jobs, and reduces our Offshore, in 2010, the Bureau of Ocean Energy dependence on foreign oil. Management, Regulation and Enforcement (BO- EMRE) offered 36.9 million acres in the Gulf of The United States’ conventional energy supplies Mexico for oil and gas exploration and produc- have been, and continue to be, a critical compo- tion; 37.9 million acres of the OCS are under ac- nent of our Nation’s energy portfolio. Even as the tive lease, of which 6.5 million acres are produc- Nation responded to the Deepwater Horizon oil ing. spill in the Gulf of Mexico, total U.S. crude oil production was higher in 2010 than in any year While offering public lands and Federal waters since 2003. U.S. natural gas production is also in- for oil and gas production, the Obama Admin- creasing, reaching 26.9 trillion cubic feet in 2010, istration has also undertaken needed reforms to a 5 percent increase from 2008 and the highest make oil and gas development safer and more en- level in more than 30 years. Offshore, oil produc- vironmentally responsible. The Deepwater Hori- tion from the OCS has increased by more than a zon oil spill underscored the need for reforms to third, from 446 million barrels in 2008 to an es- the safety and oversight of exploration, develop- timate of about 600 million barrels in 2010. On- ment, and production. shore, oil production from public lands increased 5 percent over the last year, from 109 million bar- Since the Deepwater Horizon spill, the DOI has rels in 2009 to 114 million barrels in 2010. raised the bar for safety and environmental re- sponsibility, setting standards and certification Overall, imports have fallen by 9 percent since protocols for drilling well design, testing, and 2008, and net imports as a share of total con- control equipment and establishing rigorous per- 1
  • 8. New Energy Frontier: Balancing Energy Development on Federal Lands formance standards to reduce workplace error production, development, and delivery of renew- and require operators to maintain comprehensive able energy one of the top priorities for the DOI safety and environmental management programs. as part of a balanced energy development strat- Operators must now submit well-specific blowout egy. Also in his first few months, the Secretary scenarios and revised worst-case discharge cal- reached an agreement with the Federal Energy culations. Deepwater operators must also show Regulatory Commission to clarify jurisdictional that they have the capability to contain a subsea responsibilities regarding offshore renewable discharge like the Deepwater Horizon oil spill. energy development, approved the issuance of a These standards set a clear, achievable path for new framework for offshore renewable develop- responsible offshore exploration, development, ment, and instructed the BLM to proceed vigor- and production. ously with the process of reviewing onshore solar, wind, and geothermal energy development appli- The Administration’s energy strategy encourages cations that previously had been languishing. increased conventional energy production, but it has also opened a new frontier for renewable The Secretary’s renewable energy strategy in- energy production on public lands and waters. cludes extensive measures, to include, but not Working with many partners and stakeholders limited to: among Federal, state, tribal, and local interests, the DOI and USDA/USFS are pursuing a new co- • Appropriate siting of energy projects to op- ordinated strategy for balanced and responsible timize opportunities while protecting scenic development of conventional and renewable en- resources, wildlife, and other values and ergy on Federal lands. Together, our Departments maximizing the use of areas that are already manage about 700 million acres of land onshore, developed; and the DOI manages energy development on 1.7 billion acres of the OCS. This new frontier holds • Proactive interagency and interdepartmental vast potential for renewable energy production collaboration and consultation in the ongoing from wind, solar, geothermal, hydropower, and development of a comprehensive strategy for biomass that – together with conventional energy meeting our renewable energy development resources – can contribute to the Nation’s energy goals; security and to the clean energy economy of the future. • Assistance and support for the Federal En- ergy Regulatory Commission, Department of However, the development of these energy re- Energy, and state governments in conduct- sources must be carried out in balance with many ing strategic planning necessary in the siting other uses and values that serve the public interest and development of transmission facilities to and support the quality of life American citizens deliver new energy from the public lands to enjoy. These values include cultural, ecological, the places where people live and work; economic, historical, recreational, and scenic re- sources. • Development and implementation of policy, methodology, research, and management In March of 2009, soon after his appointment tools to prevent or minimize short- and long- to the Department of the Interior, Secretary Ken term impacts of energy development; and Salazar issued Secretarial Order 3285 making the 2 1.0 Executive Summary
  • 9. New Energy Frontier: Balancing Energy Development on Federal Lands • Measures to ensure full compliance with and environmentally responsible renewable ener- terms and conditions of development and gy development activities, such as the siting and successful reclamation of energy project sites construction of offshore wind farms on the OCS, after the useful life of the projects. as well as other forms of renewable energy such as wave, current, and solar energy. Similarly, Secretary of Agriculture Vilsack has initiated a Departmentwide Renewable Energy The BLM, BOEMRE, and USFS are entrusted Strategy which has significant implications both with an enormously complex and critical respon- on and off public lands. The portion that deals sibility: to protect our natural resources while with public lands specifically embraces lands managing the energy resources of Federal lands managed by the USFS and includes both the na- and waters to promote our Nation’s energy secu- tional forests and grasslands. The USDA Renew- rity; reduce our dependence on foreign sources of able Energy Strategy dovetails with Secretary energy; provide jobs and economic opportunity to Vilsack’s “All Lands” approach to caring for the advance America’s economic recovery; and con- Nation’s forests regardless of ownership. tribute to a cleaner, healthier environment. Given the significance of woody biomass in the To develop and deliver conventional and renew- Nation’s current renewable energy portfolio and able energy in a manner that balances energy pro- its expected role in the future, it is noteworthy duction with protecting public land resources and that Secretary Vilsack has identified this as a spe- values, our Departments are taking the following cial focus area within the Department’s overall actions: strategies for renewable energy and forests. The USFS plays a central role in using woody bio- • Siting projects to maximize protection of mass to achieve both land stewardship objectives resources and values; and providing clean renewable energy. This role ranges from management of the source material • Playing a leadership role in the creation of on Federal lands to assisting the energy utiliza- new woody biomass opportunities; tion of wood in specific locations and includes conducting fundamental research on the use of • Managing public resources with sensitiv- wood as an energy source. Other USDA agencies ity toward special landscapes, coastal areas, that play key roles in this effort include Rural De- and ridgelines through the land use planning velopment and the Farm Service Agency. process; The DOI is leading efforts to implement the nec- • Involving interested stakeholders—local, essary frameworks and agreements for the devel- state, and tribal governments and industry, opment of comprehensive conventional and re- the general public, user groups, and advo- newable energy programs on the OCS. On April cacy groups; 22, 2009, the President announced that the DOI completed the Final Renewable Energy Frame- • Completing thorough, science-based envi- work to govern management of the Department’s ronmental reviews; Offshore Renewable Energy Program. This rule- making established a program to grant leases, • Minimizing visual impacts through Visual easements, and rights-of-way for orderly, safe, Resource Management; 1.0 Executive Summary 3
  • 10. New Energy Frontier: Balancing Energy Development on Federal Lands • Addressing wildlife and habitat concerns • Requiring bonds that cover reclamation costs by reducing impacts through proper project and help guarantee compliance with the siting and mitigating impacts that cannot be terms and conditions of the rights-of-way or avoided; lease and setting reclamation standards that define the reclamation, revegetation, restora- • Avoiding national parks, USFS roadless tion, and soil stabilization requirements of areas, and other important protected land- the project area. scapes; The renewable energy strategies of both the DOI • Investigating and applying new management and USDA are guided by the fundamental belief strategies, such as adaptive management, that renewable energy for America will allow us where appropriate; to diversify energy sources and ultimately reduce our reliance on fossil fuels. The development of • Coordinating and consulting effectively new renewable energy sources need not come at across the Government; the expense of our Nation’s natural and cultural heritage. If promoted and sited in a thoughtful • Applying best management practices to help way, new energy development can, instead, con- ensure that energy development is conducted tribute to conservation and protection of the en- in an environmentally responsible manner, vironment. such as reducing the area of disturbance, ad- justing the location of facilities, or choosing We are determined to succeed in this dual mis- a paint color to help a facility blend into the sion. As we proceed, we will continue to rely landscape better; and upon and value the guidance of Congress. 4 1.0 Executive Summary
  • 11. New Energy Frontier: Balancing Energy Development on Federal Lands 2.0 Introduction “We have a choice. We can remain the world’s leading importer of oil, or we can become the world’s leading exporter of clean energy. We can hand over the jobs of the future to our competitors, or we can confront what they have already recognized as the great opportunity of our time: the nation that leads the world in creating new sources of clean energy will be the nation that leads the 21st century global economy. That’s the nation I want America to be.” President Obama, March 27, 2009 2.1 Overview in the way we manage these resources. The 2010 Deepwater Horizon oil spill was the most obvious Since the 1973 oil embargo almost 40 years ago, example of an unacceptable conventional energy the United States has struggled to reduce ener- development impact, but the DOI is also faced gy demand, energy imports, and the impacts of with unexpected wildlife and air quality issues in energy use and development. The Nation needs many areas of the western United States where a renewed commitment to these objectives. conventional energy development has occurred. Thus, President Obama and his Cabinet, working The DOI continues to provide ample opportuni- closely with the Congress, have set ambitious ties for conventional energy development from goals for developing new, domestic clean energy the Federal estate and is enhancing safety and sources while reducing oil demand and oil im- environmental protections to make sure develop- ports. The DOI and USDA can play a central role ment is carried out responsibly. Industry remains in providing sites for renewable energy genera- interested in these opportunities, continuing to tion, continuing to improve the safety and envi- bid for onshore oil and gas leases and working on ronmental sustainability of conventional energy new environmental protections for offshore de- development, and making sure there is adequate velopment—from safety and environmental man- access for needed electricity transmission infra- agement systems to subsea containment—that structure. will help create an international gold standard for new OCS oil and gas development. After more than 100 years of conventional energy development on the public lands, the legacy of Most renewable energy resources, in contrast, oil and gas development on the public lands is are still in the early stages of development in the significant. This development has created pros- U.S. These resources are typically much cleaner perity and still supports jobs and energy security to produce and to use than conventional energy for America, but it has also created significant resources. However, the potential environmen- environmental impacts across tens of millions tal impacts of renewable energy development of acres both offshore and onshore. Although must still be taken seriously, with efforts made much conventional energy development is man- to limit or prevent negative environmental im- aged responsibly and with minimal impact, there pacts through responsible development practices. remain significant opportunities for improvement While tens of millions of acres of public lands 5
  • 12. New Energy Frontier: Balancing Energy Development on Federal Lands and the OCS have been affected by oil and gas Meanwhile, traditional energy resources pro- development, the first solar energy projects on duced from Federal lands managed by the public lands and the first wind energy projects Departments presently account for approximate- on the Federal OCS are only now getting started. ly 30 percent of the Nation’s energy supply, and The DOI and its bureaus that oversee this devel- will continue to play a major role in meeting opment (BLM and BOEMRE) are now embarked the Nation’s energy needs for the foreseeable on a new mission—the responsible development future. of renewable energy resources such as wind, so- lar, geothermal, and sustainable hydropower. As In addition to playing a preeminent role in man- the conventional energy industry deals with some aging the energy resources of the public lands and of the environmental impacts of its development offshore waters, the DOI is also a steward of much history and works to achieve higher standards for of our Nation’s natural and cultural resource base. development, renewable energy developers are The Department recognizes that the success of its working to create a new energy industry under mission depends upon a wise, comprehensive, clean, safe standards from the outset. and strategic plan of action across Federal juris- dictions and among many nongovernmental enti- The President has asked Federal agencies to work ties and stakeholders whose contributions are vi- together toward doubling renewable energy gen- tal. Thus, the DOI works closely with the USDA, erating capacity by the end of 2011. This call to Department of Energy (DOE), Environmental increase production of energy from our Nation’s Protection Agency (EPA), and other Federal part- own renewable energy resources places the DOI ners, as well as states, tribes, industry, and other and USDA in a unique position to contribute sig- users of public lands to develop our energy re- nificantly to one of the most critical national pri- sources responsibly. orities of modern times. In delivering new energy to America, the DOI and USDA are guided by the A balanced, responsible approach to energy pro- fundamental belief that renewable energy devel- duction from Federal lands and the OCS is in- opment, where promoted and sited in a thought- tegral to the Nation’s current energy production ful way, can fully contribute to conservation and and its energy future. Today, about 38.2 mil- protection of the environment. lion acres of onshore Federal lands are under oil and gas lease, with about 12.1 million acres in Clean, renewable energy development can take production onshore—yet until 2010 when Sec- place on many areas of Federal lands. Traditional retary Salazar approved nine new solar projects energy resources like coal, natural gas, oil, and other on public lands, representing approximately fossil fuels produce carbon dioxide directly and can 3,700 megawatts (MW) of electric generating ca- emit other greenhouses gases, whereas biomass, pacity, there was not a single commercial solar wind, solar, hydropower, and other renewable ener- energy project on, or under development on, the gy systems can substantially reduce carbon dioxide public lands. The right-of-way grants for these emissions on a lifecycle basis. Issued by Secretary solar projects encompass approximately 36,000 Salazar in March 2009, and refined in February acres. Offshore, there is a similar historic imbal- 2010, Secretarial Order 3285 makes the produc- ance between renewable and conventional energy tion, development, and delivery of renewable en- development, with about 38 million acres under ergy, onshore and offshore, top priorities for the oil and gas lease (about 6.5 million in produc- DOI (Appendix 1). tion) and no Federal offshore wind or marine 6 2.0 Introduction
  • 13. New Energy Frontier: Balancing Energy Development on Federal Lands hydrokinetic energy production. The impacts of conventional energy production from Federal report should also provide a detailed strategic lands and the OCS have been significant. To date, plan on how the Department and the Forest the impacts of renewable energy development on Service will coordinate the development of such projects, particularly in areas where there is mixed public lands are comparatively light. ownership or management by the Department of the Interior, Forest Service, Department This report documents the progress made to date of Defense, and non-Federal landowners. and our plan of action for continued progress to- Additionally, the report should identify specifically ward ensuring the highest level of accountability, what areas of the public lands and the Outer efficiency, and responsibility in the management Continental Shelf will be considered for projects of our Federal energy resources. based on: (1) their potential for renewable energy generation; (2) what additional transmission 2.2 Congressional Direction lines will be necessary to connect these new sources of power to the energy grid; (3) where these transmission lines will be placed; (4) the Statement of Managers (Rept. 111-316) Accom- methodology to be used to limit the size of solar panying the Department of the Interior, Environ- troughs and photovoltaic facilities, and (5) the ment, and Related Agencies Appropriations Act, impact on water resources. 2010 The report should also include an analysis of The conferees understand that renewable energy the useful life of renewable energy sites and will become a more significant source of power for provide an explanation of how the infrastructure the Nation and that the Department of the Interior will be removed from the public lands when it is and the Forest Service will play a prominent role no longer functional. The conferees believe that in its development. However, the conferees are some mechanism, such as a bond put forth by the concerned about the impacts these projects may permittees, should be utilized by the Department have on the landscape and water resources, and the Forest Service so that the government particularly those for wind and solar power. does not have to pay for the removal of these Proposed solar projects can each cover several large facilities after they are no longer viable. square miles and the newest wind turbines are over 500 feet tall. Appropriate siting of these The Department of the Interior and Forest Service projects and cost-appropriate size limitations are should consult with the Congress on a regular critical to ensuring that the pristine landscapes, basis as they proceed with the development of limited water resources, and magnificent views policies and the preparation of environmental of the country’s public lands and coastlines are documents and permitting of renewable energy protected. projects. Accordingly, within 180 days of enactment, the conferees direct the Department of the Interior The conferees believe that renewable energy to submit a report in consultation with the Forest developers should have less difficulty permitting Service on the criteria used for siting renewable their projects on disturbed private lands than on energy projects, including the extent to which pristine public lands, in order to facilitate greater protection of scenic landscapes, ridgetops, water species protection and stewardship of public resources, habitat including that for endangered resources and public lands. The conferees species, and shorelines will be considered. The recommend that the Secretary evaluate whether 2.0 Introduction 7
  • 14. New Energy Frontier: Balancing Energy Development on Federal Lands a cooperative agreement with States under 2.3 Responsible Agencies Section 6 of the Endangered Species Act, the 2.3.1 Bureau of Land Management establishment of a Section 4(d) rule under the same Act, or the creation of a template `general The BLM is responsible for more than 245 mil- habitat conservation plan' would improve the lion acres of public lands as well as 700 million permitting process for solar projects on private subsurface acres of mineral estate. The BLM lands in the California desert. manages Federal onshore oil, gas, and coal op- erations that make important contributions to the In chapter 5, this report also responds to further Nation’s domestic energy supply. These lands recommendations from Senate Majority Leader also hold extensive renewable energy resources Harry Reid, set forth in a December 21, 2009, let- that contribute to the Nation’s renewable energy ter to the Secretary of the Interior, which reads as portfolio. This gives the BLM a principal role follows: in fulfilling the administration’s goals for a new energy economy based on a rapid and responsible I would like to recommend that you broaden the move to large-scale production of solar, wind, Department’s review to include an analysis of and geothermal energy. all energy development on public lands not just renewable energy, including siting processes, permitting costs, related staffing, long-term 2.3.2 Bureau of Reclamation reclamation and remediation costs, multi-agency The Bureau of Reclamation (BOR) is a water re- coordination activities, as well as the methodology used by the Department to limit the short- and long- source management agency with numerous pro- term impacts on land, water, air quality, wildlife, grams, initiatives, and activities that will help the public health and scenic values associated with western states, Native American tribes, and oth- non-renewable energy resource extraction, ers meet new water needs and balance the multi- production, and, where applicable, related waste tude of competing water uses in the West. As the storage. Please include an evaluation of any second largest producer of hydroelectric power in other issues that would be valuable to Congress in the western United States, the BOR plays a key the development of New Energy and public lands role in providing renewable energy to western policies that will help meet the nation’s critical consumers while protecting the environment and challenges of global warming and energy security. the public's investment in these structures. BOR facilities help to avoid the annual production of In developing this report, the DOI and USDA approximately 51 billion pounds of carbon diox- Forest Service have considered Senator Reid’s ide that might otherwise be generated by fossil recommendations, as well as a series of requests fuel power plants. set forth by Senator Lamar Alexander, former Ranking Minority Member of the Interior Ap- 2.3.3 Bureau of Indian Affairs propriations Subcommittee and current Ranking Minority Member of the Energy and Water De- The DOI’s Bureau of Indian Affairs (BIA) is re- velopment Appropriations Subcommittee, writ- sponsible for the administration of 56 million ten in separate letters to both the Secretary of the acres of land held in trust for American Indian Interior and the Secretary of Agriculture dated tribes, Alaska Natives, and individual Indian March 2010. landowners. This land contains large amounts of 8 2.0 Introduction
  • 15. New Energy Frontier: Balancing Energy Development on Federal Lands both renewable and nonrenewable trust resources the OCS for the development of renewable en- as well as access to areas with high potential for ergy. Future OCS renewable energy activities are wind and solar energy resource development. anticipated to include electrical generation from Under the purview of the Assistant Secretary wind and hydrokinetic (ocean wave and ocean for Indian Affairs, the Office of Indian Energy current) resources. and Economic Development and the BIA work closely with tribes to assist them in all aspects of 2.3.5 Office of Surface Mining energy resource exploration and development in- Reclamation and Enforcement cluding, but not limited to, resource assessment, economic analysis, environmental impact evalua- The Office of Surface Mining Reclamation and tion, and realty management. Enforcement (OSM) works with the BLM, states, and Indian tribes to assure that citizens and the 2.3.4 Bureau of Ocean Energy environment are protected during surface coal Management, Regulation mining and that the land is restored to beneficial and Enforcement use when mining is finished. The OSM and its (formerly the MMS) partners are also responsible for ensuring that lands and water which were degraded by min- The BOEMRE, formerly the Minerals Manage- ing operations before 1977 are reclaimed. Today, ment Service (MMS), manages the Nation’s OSM has 24 states which have assumed primary offshore oil, natural gas, and other energy and responsibility for regulating surface mining ac- mineral resources on the Federal OCS. In May tivities within their borders and are administer- 2010, the Secretary of the Interior announced the ing programs to clean up abandoned mine sites. fundamental restructuring of MMS, moving to The OSM has oversight responsibilities for those divide the agency into three separate entities— approved state programs. Through cooperative Bureau of Ocean Energy Management, Bureau of agreements, the Secretary of the Interior delegates Safety and Environmental Enforcement, and the regulatory responsibilities for surface coal min- Office of Natural Resources Revenue—in order ing and reclamation operations on Federal lands to improve the oversight of offshore energy de- to states with approved regulatory programs. The velopment and the revenues associated with it. DOI retains the duty to authorize the mining of The BOEMRE was established as an interim or- leased Federal coal. The OSM regulates surface ganization, and on October 1, 2010, the Office of coal mining and reclamation operations on Indian Natural Resources Revenue was formally estab- lands. Currently, however, three tribes are in the lished as a separate entity within the Office of the process of developing their own programs. Secretary. The reorganization is planned for full implementation by October 1, 2011. 2.3.6 National Park Service The Nation’s 1.7 billion acres of the OCS are The National Park Service (NPS) manages more believed to contain more than 60 percent of than 84 million acres of National Park System the Nation’s remaining undiscovered, techni- lands and has responsibility over a variety of cally recoverable oil and almost 40 percent of other special status areas, to include the National its undiscovered technically recoverable natu- Trails System, wild and scenic rivers, national ral gas (MMS National Assessment, 2006). historic landmarks, national natural landmarks, The BOEMRE is also responsible for leasing on and places on the National Register of Historic 2.0 Introduction 9
  • 16. New Energy Frontier: Balancing Energy Development on Federal Lands Places. Given its many stewardship responsibili- tives, internal strategic planning, important and ties, the NPS has a special role to ensure that any unanticipated global events, customer surveys leasing, siting, and permitting of energy facilities and needs, and the guiding principles of objec- on the public lands near parks and other special tive and impartial science. The USGS Water Use status areas is done in a way that safeguards their Program estimates the amount of water withdraw- resources and values. When the permitting of als associated with eight sectors of water use, in- energy development could impact adjacent park cluding thermoelectric power generation, which units and other special status areas, the NPS is is the largest sector of water withdrawals in the active in park protection and the decisionmak- Nation. Estimation of water use is a key factor in ing process. Current steps are being taken to assessing the sustainability of water supplies to strengthen these measures. support energy development, while also protect- ing important environmental values. While con- 2.3.7 U. S. Fish and Wildlife Service tributing efforts to address challenges of the New Energy Frontier, the USGS will be instrumental The U.S. Fish and Wildlife Service (FWS) is in providing the science framework and informa- dedicated to the conservation, protection, and en- tion necessary for all partners to use in analyzing hancement of fish and wildlife and their habitats impacts and making decisions on mitigation, res- by administering laws such as the Endangered toration, and conservation efforts. Species Act, Migratory Bird Treaty Act, and the Fish and Wildlife Coordination Act. The FWS 2.3.9 Office of Insular Affairs is responsible for managing fish and wildlife Federal trust resources, including threatened and The Office of Insular Affairs (OIA) is currently endangered species, migratory birds, interjuris- leading efforts to investigate opportunities for dictional fish species, certain marine mammals, increased renewable energy and energy effi- and the National Wildlife Refuge System. The ciency deployment in the U.S. Territories. The FWS is engaged in energy planning and review DOI, through OIA, and DOE have entered into to assist other agencies and the energy industry in an agreement with the U.S. Virgin Islands to de- avoiding and otherwise mitigating the impacts of crease the territory’s dependence on fossil fuels. energy development on these trust resources. The In April 2009, the Virgin Islands was chosen as FWS manages approximately 90 million acres of one of three pilot locations for Energy Develop- refuge lands. ment in Island Nations (EDIN)—an international partnership with the goal of bringing renewable 2.3.8 U.S. Geological Survey energy to islands around the world. Through participation in EDIN, the Virgin Islands will be The U.S. Geological Survey (USGS) Energy Re- able to access technical resources of the DOE’s sources Program provides objective, impartial, National Renewable Energy Laboratory (NREL) and scientifically robust information to advance to develop technically and economically sound the understanding of geologically based energy plans to implement sustainable energy technolo- resources; contributes to plans for a secure energy gies. The OIA is also working with the DOE/ future; and facilitates evaluation and responsible NREL to develop renewable energy and energy use of resources. The Energy Resources Pro- efficiency plans for the three Pacific Territories of gram research portfolio is responsive to national American Samoa, Commonwealth of the North- priorities established through legislative direc- ern Mariana Islands, and Guam. 10 2.0 Introduction
  • 17. New Energy Frontier: Balancing Energy Development on Federal Lands 2.3.10 USDA Forest Service into several areas including training, direct tech- nical assistance, policy support, transmission The USFS manages 193 million acres of National planning, siting of large scale projects, research Forest System lands that are important sources and development of new technologies, and spon- of both conventional and renewable forms of en- soring research and development of wind turbine ergy. This is a point of emphasis in the USDA impacts on wildlife. Specific support areas are as Renewable Energy Strategy. The lands and re- follows: sources represent a sustainable, strategic asset in achieving and enhancing U.S. energy security, • The DOE worked with the BLM to conduct a economic opportunity, environmental quality, and programmatic environmental impact state- global competitiveness. Given its many steward- ment (PEIS) for wind, which was completed ship responsibilities, the USFS has a special role in 2006, and one for solar, expected to be to ensure that any leasing, siting, and permitting complete in 2011. of energy facilities are done in a way that protects the character of protected areas, such as wilder- • The DOE and the BLM signed a memo- ness, roadless areas, and wild and scenic rivers randum of understanding (MOU) on July and trails. Given the significant role that biomass 8, 2010, that establishes public land for a plays in the Nation’s renewable energy portfolio, solar demonstration zone (SDZ). This SDZ the USFS plays a lead role in furthering the use of will be public land that is withdrawn for the woody biomass. Secretary Vilsack’s “All Lands” DOE. The DOE will work with industry to vision for forests helps guide this focus beyond demonstrate advanced solar generation tech- the national forests and grasslands. nologies at this site. The USFS works across ownerships to sustain • The DOE and national laboratory staff are the health, diversity, and productivity of the Na- developing and conducting training courses tion’s forests and grasslands to meet the needs, in wind and solar technologies for DOI including energy needs, of present and future staff. These courses include information on generations. Specifically, the State and Private technology, performance, economics, con- Forestry organization of the USFS reaches across struction level impacts, and environmental the boundaries of national forests to states, tribes, impacts. communities, and nonindustrial private landown- ers of the Nation’s forested lands. USFS Research • The DOE, the U.S. Army Corps of Engineers and Development scientists develop, execute, and (ACOE), and the BOR signed an MOU to disseminate science practices and technology to work toward the increased development of improve the health, resiliency, and use of all the sustainable hydropower generation opportu- Nation’s forests and grasslands, including for bio- nities on BOR and ACOE facilities. mass energy and integrating energy production into sustainable forest and grassland manage- • In June 2010, the DOE and BOEMRE signed ment. an MOU to cooperate on a number of issues 2.3.11 U.S. Department of Energy related to offshore wind development. The DOE has been a long-standing partner with • On February 7, 2011, Secretary Salazar and the DOI and USDA. The DOE cooperation falls Secretary of Energy Steven Chu unveiled 2.0 Introduction 11
  • 18. New Energy Frontier: Balancing Energy Development on Federal Lands A National Offshore Wind Strategy: Creat- to establish a coordinated network of Federal ing an Offshore Wind Industry in the United energy corridors on Federal lands throughout States, a joint strategic plan to accelerate the the United States. An example of this work development of offshore wind energy. is the West-wide Energy Corridor project. • The DOE is working with the OIA to support 2.3.12 National Oceanic and the increased use of renewable energy in the Atmospheric Administration U.S. Territories. The Department of Commerce’s National Oce- • The DOE works with all DOI agencies and anic and Atmospheric Administration (NOAA) bureaus on the DOE Federal Energy Man- is also an important Federal partner on energy agement Program to encourage increased issues. Their expertise, services, and responsi- energy efficiency, water conservation, and bilities are critical to energy conservation, devel- renewable energy deployment at DOI fa- opment, production, management, and delivery. cilities (e.g., national park sites, BLM field The NOAA also helps to ensure the protection of offices, Main Interior Building). coastal and ocean environmental resources as en- ergy activities take place. The administration is • The DOE’s Office of Electricity Delivery involved in a variety of energy sectors, including and Energy Reliability is working with other offshore oil and gas, marine hydrokinetic energy, Federal agencies including the Departments liquefied natural gas, ocean thermal energy con- of the Interior, Defense, Commerce, and version, offshore and onshore wind energy, solar Agriculture to improve energy delivery and energy, biomass and biofuels, traditional hydro- enhance the electric transmission grid for the power, and nuclear energy. future. These agencies are working together 12 2.0 Introduction
  • 19. New Energy Frontier: Balancing Energy Development on Federal Lands 3.0 Overview of Renewable Energy Resources on Federal Lands “The Department of the Interior plays a leading role in our Nation’s quest to build a clean energy economy – creating American jobs and driving innovation – by promoting renewable energy on our public lands. As part of this Admin- istration’s commitment to a safe, secure energy future, Interior is unlocking our Nation’s renewable energy potential in unprecedented ways.” Interior Secretary Ken Salazar 3.1 Onshore Renewable Energy: Wind Energy • Federal lands currently account for 6 percent of renewable electricity generation and 0.1 percent of a total energy supply of 6 billion kilowatt hours (kWh). • Abundant wind energy potential exists on Federal lands in the West, Great Plains, and New England. • The total wind potential for Federal lands alone is up to 350,000 MW. • The BLM has 25 wind energy facilities on public lands in Arizona, California, Utah, Nevada, and Wyoming with a total installed capacity of 437 MW. • Federal and state wind energy incentives continue to foster interest in commercial wind energy projects on public lands. • Forty-seven new wind development project applications are currently being processed. 13
  • 20. New Energy Frontier: Balancing Energy Development on Federal Lands 3.1.1 Overview radars, can cause false readings that can disrupt forecaster situational awareness and radar algo- Wind power uses the naturally occurring energy rithms. of the wind for practical purposes like generating electricity, charging batteries, or pumping water. Additional infrastructure for and placement of Wind turbines capture the kinetic energy in the wind energy facilities are important to transmis- wind, converting it into electrical energy. Utility- sion of wind energy. As wind energy scales up to scale turbines are mounted on tall towers, usually become a greater share of electricity supply, wind 200 feet or more above the Earth's surface where energy projects may be challenged by the need to the wind is faster and less turbulent. In utility- connect to the energy transmission grid. As an scale power applications, multiple turbines are intermittent source of generation, major new de- connected to the utility grid, providing electricity velopment projects are likely to require enhanced when the wind blows. regional transmission capability, energy storage capacity, and/or backup generation capacity to For more than a decade, wind energy has been successfully integrate into the grid without jeop- the fastest growing energy technology world- ardizing transmission reliability. In addition to wide, achieving an annual growth rate greater wind development, solar and geothermal projects than 30 percent. As of January 2010, the United may require new or significant upgrades to the States has a total installed wind energy capacity existing transmission grid, as would some new of 35,000 MW. conventional electricity generation sources. Potential impacts associated with wind energy Laws recently enacted by 33 states require elec- development are complex and specific to each tric utilities to provide a portion of their energy site. The priority concern now are impacts relat- from renewable energy sources. As a result, the ing to bird and bat collisions with rotating blades BLM and USFS anticipate a continued increase and wildlife habitat alteration and fragmentation. of interest in the use of Federal lands for renew- Although proper siting decisions, stipulations, able energy development. Specifically, the BLM: and good management practices can minimize these environmental concerns, an effective moni- • Manages 20.6 million acres of public lands toring program is needed to collect data and con- with wind power potential in 11 western tinue to observe effects. The potential impacts states; on resources such as wildlife and scenery will be analyzed in site-specific National Environmental • Has 207 rights-of-way applications pending Policy Act (NEPA) documents, as appropriate. for the use of public lands for wind energy site testing; and Wind turbines can also negatively impact Amer- ica’s network of radars. The NOAA is working • Has 25 installed wind development projects with the Departments of Defense, Homeland Se- with a capacity of 437 MW and an additional curity, and Transportation to develop software to four projects approved but not yet com- model potential wind turbine impacts on radars in pleted, which will bring total capacity to 580 advance of turbine installation to better support MW. the evaluation of industry siting requests. For example, turbines, when sited close to weather 14 3.0 Overview of Renewable Energy Resources on Federal Lands
  • 21. New Energy Frontier: Balancing Energy Development on Federal Lands 3.1.2 Wind Energy on corridors, national recreation areas, inventoried BLM-Managed Lands roadless and roadless areas, and other areas where laws or other land management objectives would A PEIS relating to the authorization of wind en- prohibit or severely restrict renewable energy de- ergy projects on BLM-managed lands was com- velopment. The assessment projects a maximum pleted in June 2005. This PEIS provides an anal- development potential of approximately 139,000 ysis of the development of wind energy projects MW of wind energy from National Forest System in the West. In conjunction with the publication (NFS) lands. of the PEIS, the BLM amended 52 land use plans to allow for the use of public lands for wind en- Numerous inquiries have been made about the ergy development. The BLM offices are able to siting of meteorological towers to obtain data re- use the PEIS as an aid in analyzing impacts of garding feasibility of wind energy development specific applications for the use of public lands in on these lands. Appendix 2 displays those inqui- the development and production of wind energy. ries and proposals for wind energy facilities on NFS lands. As of December 2010, there were ap- In 2006, the BLM issued a wind energy policy to proximately 10 meteorological towers installed provide guidance on best management practices on NFS lands nationwide. and measures to mitigate potential impacts on birds, wildlife habitat, and other resources. The Currently under review, the Deerfield Wind Proj- 2006 policy was updated in December 2008 with ect is a proposal to construct and operate a wind regard to rental rates, visual resource guidance, energy facility on NFS lands in the Green Moun- requirements for plans of development, and areas tain National Forest in Searsburg and Readsboro, excluded from development. However, as the sit- Vermont. The project would construct 15 new 2 ing of renewable energy projects on the landscape to 2.1 megawatt-class wind turbines. is relatively new, much remains unknown about effects on wildlife and habitat. The BLM contin- The USFS recognizes that renewable energy pro- ues to conduct studies necessary to evaluate and duction and transmission are appropriate uses of process the increasing number of rights-of-way NFS lands. The agency is developing and imple- applications for the siting of wind energy projects menting national directives to enhance consisten- and rights-of-way applications for electric trans- cy and efficacy in siting, authorizing, and admin- mission lines for these projects. istering wind energy site testing and development on NFS lands. These directives will supplement 3.1.3 Wind Energy on rather than replace existing special use regula- National Forest System Lands tions and directives. The USFS, in partnership with the DOE’s Na- 3.1.4 U.S. Fish and Wildlife Service tional Renewable Energy Laboratory in Golden, Wind Energy Guidelines Colorado, prepared a report entitled, Assessing the Potential for Renewable Energy on National The Wind Turbine Guidelines Advisory Com- Forest System Lands. This document covered ap- mittee was established in 2007 under the Federal proximately 170 million acres of national forests Advisory Committee Act to provide advice and and national grasslands. The assessment exclud- recommendations to the Secretary of the Interi- ed Alaska, wilderness areas, wild and scenic river or on developing effective measures to avoid or 3.0 Overview of Renewable Energy Resources on Federal Lands 15
  • 22. New Energy Frontier: Balancing Energy Development on Federal Lands minimize impacts to wildlife and their habitats Eagle Conservation Plan Guidance to address related to land-based wind energy projects. The this problem. These guidelines were released on FWS chaired the committee, which included 22 February 8, 2011, and will be open for public members representing Federal and state agencies, comment until May 19, 2011. wildlife conservation organizations, and the wind energy industry. The committee’s recommen- The BLM, USFS, and FWS have coordinated dations contain advice regarding policy issues, closely during the development of wind ener- as well as science-based technical guidance on gy policy and guidelines to ensure consistency how to best assess and prevent adverse impacts among the agencies. In 2011, the FWS is plan- to wildlife and their habitats while allowing for ning to expand its research to learn the impacts of the development of the Nation’s wind energy re- wind energy technology on wildlife in the Great sources. Based on this work, the FWS developed Plains and offshore coastal areas. the Draft Voluntary Land-Based Wind Energy Guidelines. These guidelines were released on February 8, 2011, and will be open for public The Committee’s comment until May 19, 2011. recommendations include: These recommendations, aimed at minimizing the • A decisionmaking framework that impacts of land-based wind farms on wildlife and guides all stages of wind energy habitat, will be used to develop final FWS Wind development; Turbine Guidelines. The finalization process will include coordination with other Federal agencies • Reliance on the best available and public comment. The FWS guidelines will science when assessing renewable be applicable to private as well as Federal lands. energy projects and their potential environmental impact; and The development of facilities to generate elec- tricity from wind turbines in the western United • Use of landscape-scaled planning that States has increased dramatically in the range recognizes the need to think long term of the golden eagle, putting these eagles at risk about protecting our Nation’s economic from collision with wind turbines. The FWS is and natural resources. charged with implementing the Bald and Golden Eagle Protection Act and has developed the Draft 16 3.0 Overview of Renewable Energy Resources on Federal Lands
  • 23. New Energy Frontier: Balancing Energy Development on Federal Lands 3.2 Onshore Renewable Energy: As of late 2010, the USFS had not received any applications for utility or other large-scale com- Solar Energy mercial solar facilities. • Solar radiation levels in the Southwest are 3.2.1 Solar Energy Programmatic some of the most ideal in the world for en- EIS for BLM-Managed Lands ergy production. Federal potential is found principally on BLM-managed lands, with In December 2010, the BLM and the DOE com- 23 million acres of public lands having solar pleted a draft BLM/DOE Programmatic Envi- energy development potential. ronmental Impact Statement for Solar Energy Development in Six Southwestern States. The • Energy from the sun is used to generate elec- document, a landscape-level planning effort to tricity; heat water; and heat, cool, and light facilitate environmentally responsible solar en- buildings. ergy development, analyzes the potential impacts from utility-scale solar energy development and • Solar energy accounted for 0.9 billion kWh, evaluates alternatives for establishing a compre- or 1 percent, of renewable electricity genera- hensive solar energy development program. The tion in 2008. public comment period on the draft PEIS opened December 17, 2010, and ran through March 17, • To date, there is no installed solar capacity 2011. The comment period was recently extended on BLM lands. In 2010, the BLM approved through April 16, 2011. nine solar projects, with a total capacity of 3,682 MW. Twenty-four solar energy study areas, comprising approximately 677,400 acres—more than 1,000 As of late 2010, the BLM had more than 100 ap- square miles—are being analyzed in detail to de- plications pending for utility-scale solar energy termine whether they are appropriate for designa- projects in Arizona, California, Nevada, and New tion as Solar Energy Zones to be managed with Mexico that involve about 1.05 million acres of a preference for solar energy generation on sites land and have an applicant-estimated capacity of suited for solar development (see 3.2.2). 61,000 MW. 3.0 Overview of Renewable Energy Resources on Federal Lands 17
  • 24. New Energy Frontier: Balancing Energy Development on Federal Lands In the draft PEIS, the BLM proposes to: (1) es- were excluded from further analysis. The catego- tablish a new Solar Energy Program that would ries of NLCS lands that were excluded include include Solar Energy Zones, (2) standardize and wilderness areas, wilderness study areas, instant streamline the authorization process for solar study areas, national conservation areas, national energy development projects, and (3) establish monuments, wild and scenic rivers, and national mandatory design features for such development historic and scenic trails. on public lands, thus providing a more efficient process for siting and permitting responsible so- Other potentially sensitive areas that were elimi- lar energy development. nated from further analysis in the solar draft PEIS include: areas identified as critical habitat for As part of the draft PEIS development, the DOE threatened and endangered species, areas of criti- plans to develop a suite of solar energy environ- cal environmental concern (ACEC), special rec- mental policies and mitigation strategies that reation management areas (SRMA), areas desig- would apply to the deployment of DOE-sup- nated by the BLM as no surface occupancy, and ported solar energy projects, whether located on areas designated by the BLM in its existing land BLM-administered lands or other Federal, state, use plans as exclusion or avoidance areas for de- tribal, or private lands. The BLM would con- velopment. tinue to employ its own environmental policies and mitigation strategies when making decisions The resulting lands that the BLM considers to on whether to issue rights-of-way for utility-scale have solar development potential include approx- solar energy development projects on public imately 4.5 million acres in Arizona, 1.8 million lands. The BLM and DOE will work together to acres in California, 0.15 million acres in Colora- implement consistent policies and strategies. do, 9.6 million acres in Nevada, 4.1 million acres in New Mexico, and 2.5 million acres in Utah. Public lands deemed technically suitable for util- ity-scale solar energy development are located in As with all forms of energy development, there a six-state study area (including Arizona, Califor- are potential environmental concerns from solar nia, Colorado, Nevada, New Mexico, and Utah). energy development, such as land disturbance/ These lands are suitable because: they have excel- land use impacts, aesthetic impacts, impacts on lent solar energy resources; they have low slopes wildlife habitat, consumption of water and other of less than 5 percent—since higher slopes are a resources, problems connecting to the grid, and barrier to construction for most solar facilities; using potentially hazardous materials. Although they have contiguous areas of at least 247 acres proper siting decisions, stipulations, and good (1 square kilometer)—since utility-scale solar fa- management practices can help to minimize en- cilities require concentrated development. vironmental concerns, an effective monitoring program is needed to collect data and continue to Further evaluation was conducted on these lands observe all effects. to address potential environmental suitability concerns. 3.2.2 Solar Energy Study Areas Lands containing outstanding cultural, ecologi- In addition to lands identified in the solar draft cal, or scientific values within the BLM’s Na- PEIS, the BLM identified 24 tracts of BLM-ad- tional Landscape Conservation System (NLCS) ministered land in six western states, known as 18 3.0 Overview of Renewable Energy Resources on Federal Lands
  • 25. New Energy Frontier: Balancing Energy Development on Federal Lands Solar Technologies: 2010 Approved Projects Parabolic Trough • 60 percent of applications • 3 approved projects Photovoltaic • 30 percent of applications • 2 approved projects Power Tower • 10 percent of applications • 2 approved projects Solar Dish • No pending applications • 2 approved projects solar energy study areas, with the potential to acres. Lands in these study areas are flatter than be used for large-scale solar energy production. other lands identified in the draft PEIS as techni- BLM experts at state and field office levels cre- cally suitable for solar development, with slopes ated and assessed guidance to identify the study that are generally less than 2 percent. Addition- areas. The guidance criteria include: proxim- ally, the areas must be free of other types of con- ity to existing roads, transmission, or designated flict, such as threatened and endangered species transmission corridors; and a size of at least 2,500 habitat, ACECs, SRMAs, and NLCS lands. 3.0 Overview of Renewable Energy Resources on Federal Lands 19
  • 26. New Energy Frontier: Balancing Energy Development on Federal Lands There are three solar energy study areas in Ari- use the most water are those that create electric- zona, four in California, four in Colorado, seven ity by generating steam, such as parabolic trough in Nevada, three in New Mexico, and three in and power tower technologies. The technologies Utah. The study areas range in size from 1,522 that use the least amount of water are photovol- acres (De Tilla Gulch in Colorado was originally taic and dish/engine systems. about 2,500 acres but revised to avoid a sensitive area) to 202,295 acres (Riverside East in Califor- Because the ideal locations for solar facilities are nia). The 24 study areas are located in 14 sepa- typically in arid areas, water use and water avail- rate BLM district and field offices and 16 separate ability are key considerations when thermoelec- counties. tric technologies (those utilizing a steam cycle) are selected. Cooling technologies using the least The boundaries of several of the study areas were amount of water are preferred. In practice, how- altered in response to scoping comments and ever, many more factors must be considered when based on land management considerations, in- selecting the appropriate cooling system. cluding the need to protect adjacent special sta- tus areas such as national parks. The revisions Conventional cooling systems for thermoelectric will make the study areas easier to describe and power plants, usually referred to as wet recirculat- manage, eliminate areas with sensitive resources, ing cooling, provide the best performance under and in some cases, add adjacent lands that ap- most weather conditions. Unfortunately, since pear equally suitable for solar energy develop- their primary mechanism for heat dissipation is ment. The total combined land area is 677,400 evaporation of some of the water in the recirculat- acres. This combined area could harvest enough ing system, their water demands are the greatest solar energy to produce approximately 60 to 108 among the available cooling options. gigawatts (GW), depending on the types of solar technologies that will be used. The solar technologies that use the least amount of water are photovoltaic and dish systems that 3.2.3 Water Use for Solar Facilities employ dry cooling. Dry cooling systems cool steam in a condenser by passing ambient air over As with other energy facilities, water is a neces- the condenser’s surface and are feasible in desert sary component for construction and operation of environments. However, the net power output of all solar energy facilities. During construction, concentrated solar power facilities equipped with water is needed to control fugitive dust, compact dry cooling will be less than that of a similarly soils, wash equipment, and support the work- sized facility using wet recirculating cooling. force. The amount of water use during construc- tion is dependent on the project location and the Hybrid wet/dry systems have been developed that specific project design. During operations, all so- introduce water into the air stream by passing it lar energy technologies require water to support over the steam condenser or by deluging the outer the workforce and for periodic washing of mir- surface of the condenser with water. The cooling rors or panels, at a minimum. Water is necessary mechanism is the same as for wet recirculating for facility operations for the useful life of that cooling systems; water flash evaporates, cooling facility, usually 20 to 30 years. Depending on either the air stream or the surface of the condens- the technology used, some solar facilities can be er as it does so. Such wet/dry hybrids are not as relatively water intensive. The technologies that thermally efficient as conventional wet recirculat- 20 3.0 Overview of Renewable Energy Resources on Federal Lands
  • 27. New Energy Frontier: Balancing Energy Development on Federal Lands ing cooling systems. However, they use substan- 3.3 Onshore Renewable Energy: tially less water and offer somewhat better perfor- mance than dry cooling alone, but still with some Geothermal Energy reduction in power output. Such hybrid systems perform best in desert environments where rela- • The U.S. leads the world in geothermal tive humidity is typically very low. generation capacity with 3,152 MW (August 2009) from 77 power plants, accounting for Solar facilities in dry environments may reduce about 35 percent of world geothermal pro- groundwater or surface water requirements by uti- duction. lizing reclaimed water from wastewater treatment facilities. Some cooling technologies use organic • During 2009, geothermal energy accounted solvents in closed systems in place of water; al- for 17 percent of U.S. renewable electricity though, cooling systems of this design have lim- generation, providing 15 billion kWh. ited capacity and have been successfully applied only to facilities with relatively small generating • Geothermal energy production provides capacities. However, both of these water-saving baseload energy, like that from a nuclear systems may be utilized in future solar facilities or conventionally fueled facility, that is not in arid areas. dependent on fluctuating natural conditions. While water availability remains the primary • Most geothermal production is in Califor- consideration in the selection of a cooling system nia and Nevada; other active states include for concentrated solar power facilities utilizing Idaho, New Mexico, Oregon, and Utah. steam, other factors also enter into the selection. California provides 82 percent of U.S. gen- These include land requirements, visual resource erating capacity or 30 percent of the world’s impacts (i.e., the physical profiles of the system geothermal generating capacity. and, in some cases, the steam plume that may re- sult in some weather conditions), the initial chem- • During 2009, about 4.4 billion kWh of elec- istry of the available water, the complexity of the tricity was generated from geothermal leases water treatment before it can be introduced into on BLM-managed land, and the electricity the cooling system, capital and operating costs, supplied 35 power plants. and the parasitic load (i.e., the amount of power needed to operate the system). 3.0 Overview of Renewable Energy Resources on Federal Lands 21
  • 28. New Energy Frontier: Balancing Energy Development on Federal Lands 3.3.1 Overview The Humboldt-Toiyabe National The BLM administers more than 245 million sur- Forest was the first forest to use face acres of public lands and 700 million acres of the programmatic analysis and subsurface mineral estate. The USFS is respon- established a model for other sible for the surface management of 193 million acres of NFS lands. The Geothermal Steam Act, national forests to follow. as amended, defines the role of the USFS in the management of geothermal resources. This will facilitate leasing and provide for environmentally sound geothermal 3.3.2 Geothermal Energy energy exploration and development. Programmatic EIS The BLM and the USFS jointly prepared a geo- accordance with NEPA, the Federal Land Policy thermal energy PEIS that was completed on De- and Management Act of 1976, and the National cember 17, 2008, with the signing of the record Forest Management Act of 1976. Even with of decision. The USDA supported and adopted the record of decision for the final PEIS issued, the PEIS. The record of decision approved the any ground-disturbing activities for subsequent DOI’s decision to facilitate geothermal leasing geothermal exploration, drilling, utilization, and of Federal mineral estate in the 12 western states reclamation permits will be subject to additional of Alaska, Arizona, California, Colorado, Idaho, site-specific environmental review under NEPA. Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming. While the decision did not amend any USFS land use plans, it does provide the framework to facili- The decision (1) allocates BLM lands as open to tate the USFS efforts in the processing of pending be considered for geothermal leasing or closed geothermal lease applications and future geother- for geothermal leasing, and identifies those NFS mal projects on USFS lands. lands that are legally open or closed to leasing; (2) develops a reasonably foreseeable develop- The PEIS describes the statutory authority under ment scenario that indicates a potential for 12,210 the Geothermal Steam Act to protect designated MW of electrical generating capacity from 244 thermal features in parks by (1) alerting poten- power plants by 2025, plus additional direct uses tial lessees that no leasing is allowed in National of geothermal resources; and (3) adopts stipula- Park System units; (2) noting that the Island Park tions, best management practices, and procedures Geothermal Area adjacent to Yellowstone Na- for geothermal leasing and development. tional Park is closed to leasing; and (3) explain- ing that other lands in proximity to the parks with These actions will be implemented as BLM re- designated thermal features will require a special source management plan amendments for 114 analysis of the potential effects of possible geo- land use plans. The proposed action and plan thermal development and may be determined in- amendments were evaluated through the prepa- eligible for lease. The NPS works with the BLM ration of the Final Programmatic Environmental to ensure that these statutory duties are carried Impact Statement for Geothermal Leasing in the out. Western United States, which was prepared in 22 3.0 Overview of Renewable Energy Resources on Federal Lands
  • 29. New Energy Frontier: Balancing Energy Development on Federal Lands The following table illustrates the estimated fu- permit prior to building a power plant and asso- ture geothermal generating potential by state. It ciate facilities. The approval process involves a was compiled from various sources and served NEPA analysis, which may be an environmental as the basis for the PEIS reasonable foreseeable assessment or an environmental impact statement development scenario for the purpose of impact (EIS), depending on the scope of the project and analysis. potential impacts anticipated. One of the pur- Estimated Future Geothermal poses of the analysis is to incorporate best man- Electrical Generation by State agement practices to minimize the impact of the facility and minimize the footprint. Estimated Estimated Commercial Commercial State As of late 2010, there were 58 geothermal leases Development Development by 2015 (MW) by 2025 (MW) in a producing status covering about 56,000 acres. While some of the leases produce geothermal re- California 2,375 4,703 sources for electrical generation for non-Feder- Nevada 1,473 2,880 al-sited power plants, there were 17 production facilities located on Federal leases for which the Idaho 855 1,670 BLM has approved a utilization permit. These Oregon 380 1,250 power plants were sited on a total of 313 acres Utah 230 620 for an average of 18.4 acres per plant, or about 1 percent of the average lease size of about 1,800 Washington 50 600 acres. There were 120 geothermal leases cover- New Mexico 80 170 ing approximately 134,000 acres of NFS lands. Alaska 20 150 3.3.4 BLM and Forest Service Arizona 20 50 Coordination Colorado 20 50 The BLM and USFS have a long history of co- Montana 20 50 ordination on geothermal leasing and permitting Wyoming 20 50 on USFS-administered lands under an MOU, re- Note: This table was compiled from a variety of sources, vised in April 2006, to implement Section 225 for the purpose of developing the reasonable foreseeable of the Energy Policy Act of 2005. Section 225 development scenario in the FINAL Programmatic Envi- requires the coordination of geothermal leasing ronmental Impact Statement for Geothermal Leasing in the and permitting on public lands and NFS lands be- Western United States (2008). tween the Secretary of the Interior and Secretary of Agriculture. 3.3.3 Siting Geothermal Energy Facilities The BLM and USFS coordinate geothermal re- The issuance of a geothermal lease does not au- source leasing activities on NFS lands. While the thorize lease activities, other than casual use. USFS manages the surface estate of NFS lands, Permits and authorizations are required prior to the BLM is responsible for managing the mineral starting lease operations: drilling of temperature estate. This includes the leasing and permitting of gradient wells, geothermal drilling permits for exploration and development of geothermal leas- production and injection wells, and a construction es. The USFS serves as lead agency for geother- 3.0 Overview of Renewable Energy Resources on Federal Lands 23
  • 30. New Energy Frontier: Balancing Energy Development on Federal Lands Map of Lands with Geothermal Potential 24 3.0 Overview of Renewable Energy Resources on Federal Lands