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Governor’s Clean Energy GREEN TEAM

Governor’s Clean Energy GREEN TEAM. Annual Statewide Air Quality Conference May 10, 2001. AB 970 Summary. Created Governor’s Clean Energy Green Team Expedited Permitting Available for Certain “Peaking” Power Plants and those Without Significant Environmental Effects

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Governor’s Clean Energy GREEN TEAM

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  1. Governor’s Clean Energy GREEN TEAM Annual Statewide Air Quality Conference May 10, 2001

  2. AB 970 Summary • Created Governor’s Clean Energy Green Team • Expedited Permitting Available for Certain “Peaking” Power Plants and those Without Significant Environmental Effects • Funded Peak Electricity Demand Reduction Programs at CEC and CPUC

  3. Green Team Agencies • State Agencies: • EOB, CPUC, CEC, CalEPA, Resources, OPR, TTCA • Federal Agency Partners: • US FWS, US EPA • Local & Regional Agency Partners: • SDAPCD, SJVAPCD, BAAQMD • Up to 4 more Agency partners

  4. Green Team Responsibilities • Guidance Documents for Power Plant Construction and Environmental Effects and Mitigation • Essential Input Guidance: water supply, emission offsets, natural gas • Local Government Permitting Assistance • Recommend Financing Programs for Renewable Energy Projects

  5. Electricity GenerationOutlook: Summer 2001 • Statewide Outlook: • If hotter than normal (1:10) up to 4990 MW short without new projects • Added twist: low hydropower year • San Diego and San Francisco have transmission constraints • Today, 14,000 MW currently out of service – no way for CA to verify reasons for most outages

  6. Executive Orders:Expedited Processes • Expand Capacity at Existing Plants • Re-Start Old Plants • Speed Governmental and Public Review of New Facilities

  7. New Projects State– Wide: Summer 2001 • 3 Major Power Plants: 1262 MW • Re-starts of Natural Gas and Biomass plants: 590 MW • New Renewable Projects: 80 MW (de-rated) • New Peakers: 2000 MW • Re-rates: 650 MW

  8. Power Plant Permitting • California Energy Commission Permits: • Thermal (e.g., natural gas, geothermal) and • 50 MW and larger • Local Government Permits • Non-Thermal of any size (e.g., wind) • Thermal, smaller than 50 MW (e.g., small peakers) • APCDs/AQMDs • All power plants with emissions

  9. CEC Emergency Permit for Summer 2001 • Emergency Process for New Facilities • 3 Week Permit Review (EO D-26-01, D-28-01) • Eligible: • Thermal, 50 MW and larger • Under 50 MW, thermal projects with ISO contracts • Online by September 30, 2001 • No “fatal flaws” • State and local agencies authorized to alter procedures to meet emergency schedule

  10. Local Government Expedited Process • Expedited Review for New Facilities • 7 Day Public Review of CEQA Documents (e.g., NOP, EIR, ND, etc.) (EO D-26-01) • Eligible: • Non-thermal or under 50 MW • Online by September 30, 2001 • Local government discretion to use shortened time period • Green Team assistance to obtain expedited federal and state approvals – CalEPA Permit Assistance Centers

  11. Expanded Capacityat Existing Plants • Executive Order D-22-01 • Expand capacity by up to 50 MW using existing installed equipment • No CEC permission required if increased production is under 50 MW and limited to June 1, 2001 -- October 1, 2001 • Order expires December 31, 2001

  12. Re-Start of Existing Plants • Executive Order D-22-01 & D-28-01 • CEC license procedure shortened • Local, regional and state reviewing agencies authorized to shorten procedures to meet CEC schedule • Order expires December 31, 2001

  13. Air Permitting • APCDs and AQMDs • CARB Emission Credit Reduction Bank • Executive Order D-24-01, D-28-01 • ERCs available through the California Air Resources Board • ERCs achieved through CARB-funded reductions in emissions from existing sources

  14. Key ERC Bank Information • Available to powerplant applicants who can be online by 9/30/01 • ERCs for NOx and PM10 • Bank ERCs expire 11/1/03; replacements are the responsibility of applicant • Mitigation Fee: $6,000/ton/pollutant

  15. Emergency PeakerAir Requirements • Must Meet BACT by Summer 2002 • Shortage of SCR for Summer 2001 • Up to 25ppm NOx for Summer 2001 • Up to 2000 MW of new peaking power by Sept 2001 • Many projects meeting BACT immediately

  16. Statewide AirOutlook • 2163 MW -- installed SCR between 10/2000 and 5/22001 • 1500+MW --currently installing, finishing by early June • 500+ MW --installed NOx burners • ⇛ Over 4100 MW with NOx Controls installed since Summer 2000

  17. Air Challenges • Permit Operating Hour Restrictions Removed for Essential Units • Blackouts = Backup Generators (diesel) • Proposals to Use BUGs in Advance of Blackouts • ISO • SDG&E • Interruptible Program

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