BLM Issues Final EIS on Massive Wyoming Wind Complex; Bills in Congress Would Establish Renewable Royalty System

BLM Issues Final EIS on Massive Wyoming Wind Complex; Bills in Congress Would Establish Renewable Royalty System

On July 2, Secretary of the Interior Ken Salazar announced the release of the final environmental impact statement for two wind farms that could have the combined generating capacity of approximately 2,500 megawatts. When fully constructed, the Chokecherry and Sierra Madre wind farms, situated just south of Rawlins, Wyoming, will have 1,000 turbines and take up nearly 230,000 acres of mixed Bureau of Land Management (BLM) and private lands, reports the Wildlife Management Institute. The proposed plan has raised concerns for wildlife in the region, in particular sage grouse and golden eagles as well as wintering range and movement corridors for mule deer and pronghorn. The scope of the project also has some conservation organizations pointing towards the need for a leasing and royalty program for renewable energy development on federal public lands.

Because the Chokecherry and Sierra Madre wind farm sites proposed by The Power Company of Wyoming, LLC (PCW) are less than ten miles apart, the BLM has been analyzing the two sites together. The process began in 2008 and the BLM is anticipating a final record of decision (ROD) to be released this fall with construction expected to begin in 2013. The requested right of way is for a term of 30 years and the plan includes a review of effectiveness every five years with the option to renew the ROW and upgrade the facility as necessary. When fully constructed within the next five years, the combined facilities will be the largest wind power development in the United States and one of the largest in the world powering over one million homes.

"Wyoming has incredible wind resources and this proposed wind energy project has potential to generate jobs and bring a record amount of clean power to market throughout the West," said Acting BLM Director Mike Pool. "We look forward to hearing from the public as we work to ensure that this proposal, if approved, would be built in the right way and in the right place to minimize environmental impacts."

The preferred alternative identified by BLM, alternative 1R, is a modification of the original siting proposed by PCW after addressing the range of issues that were outlined within the draft EIS. This alternative has removed 247 acres of greater sage-grouse core areas and over 1,000 acres of big game habitat within the Red Rim-Grizzly Wildlife Habitat Management Area due to an existing memorandum of understanding with the Wyoming Game and Fish Department.

The EIS documents the potential direct impacts to wildlife. The analysis cites a loss of 232 acres of crucial winter range for mule deer and the creation of 436 miles of permanent roads in mule deer and pronghorn seasonal habitat. In addition, the report cites an annual estimated collision mortality of 6,300 bats and over 5,400 birds each year, including over 150 raptors with the potential loss of 46-64 golden eagles each year. ?These estimates use assumptions based on doubling mortality counts from 1.5 MW turbines since limited data exists on the 3 MW turbines proposed for the project. ?In addition, 127,465 acres of the project would be within 4 miles of identified greater sage-grouse core areas.

The developer has initiated their own "comprehensive, science-based avian and bat monitoring approach ? which combines avian radar technology and traditional monitoring methods ? ? to better identify usage and patterns. Results from the monitoring program will allow PCW to identify the most appropriate conservation practices to avoid, minimize and mitigate potential risks to avian and bat species." As part of the planning and development, the BLM and PCW are considering mitigation requirements including precluding development within sage grouse core areas, restrictions on timing of activities, and enhancing sage grouse habitat outside of the project area.

"PCW's wildlife studies not only go above and beyond what was required for the EIS but also reflect an unprecedented level of pre-construction data-gathering and analysis," Miller said. "We have and continue to work closely with BLM and other federal, state and local authorizing agencies to effectively and responsibly combine wind energy development with ranching operations."

The massive land use of the Chokecherry/Sierra Madre facilities once again calls attention to the process for approving renewable energy projects on federal lands. Currently wind and solar developers apply for right of way permits from the BLM or for special use permits from the U.S. Forest Service in order to develop their projects on public lands. Unlike mineral development, there is no leasing process and no royalty system for renewable energy.

With the current push for renewable energy development on federal public lands, some members of Congress are seeking to establish a royalty-based competitive leasing system. The Public Lands Renewable Energy Development Act (S. 1775) was introduced in November 2011 by Senators Jon Tester (D-MT), John Risch (R-ID), Mark Udall (D-CO), Harry Reid (D-NV) and Dean Heller (R-NV). In late June, Representatives Joe Heck (R-NV) and Martin Heinrich (D-NM) introduced a companion bill (H.R. 5991) and a second House bill is anticipated any day.

The bills call for pilot projects to determine the best way to structure a leasing program for renewable energy with a royalty system on the amount of power generated to start immediately. ?For the first ten years, companies would pay 1.5 to 2 percent of the gross proceeds in royalties after which the royalty rates would increase to 2 to 5 percent. ?Fifty percent of the revenues would be shared equally between the counties and states where the wind and solar facilities are sited. Thirty-five percent of royalties would go to a Renewable Energy Resource Conservation Fund to protect fish, wildlife and water resources mostly to restore and protect fish and wildlife habitat as mitigation for impacts from wind and solar development. And 15 percent of the revenues would return to the Federal government to cover the cost of administering renewable-energy leases on public land.

A 30-day comment on the final environmental impact statement will close on July 30 at which point the BLM will move forward with their final record of decision. (jas)

July 13, 2012