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  1. 1. <ul><li>Regulation of Marine Renewable Energy Development in the United States </li></ul><ul><li>A 15 Minute Encapsulation </li></ul><ul><li>_____________________ </li></ul><ul><li>Carolyn Elefant, Esq. </li></ul><ul><li>Ocean Renewable Energy Coalition </li></ul><ul><li>202-297-6100 </li></ul><ul><li>[email_address] </li></ul><ul><li>Global Marine Renewable Energy Conference, New York City </li></ul><ul><li>April 17, 2008 </li></ul>
  2. 2. Welcome to the United States!
  3. 3. For marine renewables, the U.S. is a land of enormous opportunity…
  4. 4. … and enormously complicated regulation!
  5. 5. This talk gives a snapshot of the regulation of marine renewables in the U.S. and some of the challenges we face.
  6. 6. Here, my challenge is to complete my overview within fifteen minutes.
  7. 7. One reason for the complexity of regulation of marine renewables is that oceans are public resources held in trust and accommodating multiple uses.
  8. 8. Regulation is particularly complex in the U.S. because of a federalist system with dual state and national interests.
  9. 10. O OTEC <ul><li>NOAA has license authority under OTEC Act of 1980. </li></ul><ul><li>NOAA withdrew regulations in 1996 since no company ever filed an application. </li></ul>
  10. 11. O Offshore Wind <ul><li>MMS empowered to issue wind leases on OCS per EPAct 2005. </li></ul><ul><li>States approve projects on state submerged lands and portions of OCS projects that cross state lands. </li></ul>
  11. 12. O Wave/Tidal <ul><li>0-3 miles - FERC, under Part I, FPA </li></ul><ul><li>3-12 miles - MMS and FERC? Or MMS or FERC? </li></ul><ul><li>12-200 miles - MMS </li></ul>
  12. 13. O FERC/MMS: Key Differences <ul><li>FERC </li></ul><ul><ul><li>Authority over entire project, state and federal pieces </li></ul></ul><ul><ul><li>License does not confer property interests </li></ul></ul><ul><ul><li>Rules adapted from hydro </li></ul></ul><ul><ul><li>Permit gives priority </li></ul></ul><ul><ul><li>Developer selects sites </li></ul></ul><ul><li>MMS </li></ul><ul><ul><li>Authority stops at OCS limits </li></ul></ul><ul><ul><li>Lease confers property interest </li></ul></ul><ul><ul><li>Developer can nominate sites but MMS may open for bid </li></ul></ul><ul><ul><li>Still developing rules </li></ul></ul><ul><ul><li>No priority rights in proposed test lease rules </li></ul></ul><ul><ul><li>Programmatic approach </li></ul></ul>
  13. 14. Different FERC Approvals <ul><li>Preliminary Permit </li></ul><ul><ul><li>3 years, site study only, priority for license </li></ul></ul><ul><li>Verdant Exemption </li></ul><ul><ul><li>18 month exempt to test facility </li></ul></ul><ul><li>Pilot Project License </li></ul><ul><ul><li>5 year, <5 MW, 1 year app. process, must decommission </li></ul></ul><ul><li>Conditional License </li></ul><ul><ul><li>License but no construction until all permits received </li></ul></ul><ul><li>License </li></ul><ul><ul><li>30-50 year term </li></ul></ul><ul><li>Exemption </li></ul><ul><ul><li>Minimal FERC oversight after issuance </li></ul></ul>
  14. 15. Different Types of MMS Leases <ul><li>Interim/Test Lease </li></ul><ul><ul><li>For data collection or testing facilities for alternative energy technologies on OCS </li></ul></ul><ul><ul><li>As proposed, no priority rights </li></ul></ul><ul><ul><li>As proposed, competitive process </li></ul></ul><ul><ul><li>NOPR, request for nominations and draft proposed lease issued, awaiting final rule </li></ul></ul><ul><li>Longer Term Lease </li></ul><ul><ul><li>ANOPR in Feb. 06, policy under development </li></ul></ul><ul><ul><li>Programmatic EIS prepared and issued </li></ul></ul>
  15. 16. Summary Chart of State & Fed. Regulations Applicable To FERC and MMS Author- izations
  16. 17. The puzzle for the U.S. is to regulate in a way that helps wave/tidal to “commercialize without compromise.”
  17. 18. What are the regulatory options for marine renewables?
  18. 19. One stop shopping centralizes the process, but won’t work unless agencies will cede control.
  19. 20. Streamlining speeds demos into the water, but developers may not use them without funding or option for build out.
  20. 21. Programmatic plan/zoning can give certainty…but do we have enough data now to draw “lines in the sand?”
  21. 22. Adaptive management allows for data gathering and staged growth…but what to do if impacts can’t be addressed?
  22. 23. Let’s use these next few days to create regulatory options that point marine renewables in the direction of success.
  23. 24. <ul><li>It is time for Marine Renewables to “seas” the day! </li></ul><ul><li>For additional information, visit </li></ul><ul><li> </li></ul>