Energy Law
1 – Hydro Power
Fall 2014
Sep 2, 2014
Alan Palmiter
Not for distribution- for study purposes only
Schedule
Topic
1 – Hydro
2 – Coal
3 - Domestic Oil
4 – Intl Petroleum
5 – Natural Gas
6 – Nuclear
7 – Renewables
8 – Electricity
9 – Transportation
10 – Cons/Efficiency
Visit – Henry Campen
Student presentations
Student presentations
Date
Sep 02
Sep 09
Sep 16
Sep 23
Sep 30
Oct 07
Oct 14
Oct 21
Nov 11
Nov 18
???
Nov 25
Dec 02
* No classes Oct 28 and Nov 04
Special participants
Santiago, Alison, Peter
Cam, Jeb
Andrew, Jeb, Samantha
Cam, Andrew, Samantha
Kees, Shaun, Hunter
Santiago, Hunter, Alison, Peter
Kees, Shaun, Hunter
Kees, Cam, Andrew
Alison, Jeb, Samantha
Santiago, Shaun, Peter
First-come, first-served
First-come, first-served
Topic roadmap
1. Hydropower in energy mix
– Compared to other sources (including renewables)
– History of hydropower
– Future of hydropower / hydrokinetic power
2. How hydropower works
– Look inside dam
– Pros / cons of hydropower
3. Regulation of hydropower
– FERC licensing
– Interested parties
4. Future of hydropower
– Types of hydrokinetic power
– Regulation of hydrokinetic projects
1
http://www.eia.gov/totalenergy/
Energy Sources
http://www.eia.gov/totalenergy/data/annual/perspectives.cfm
Avg US utility
customer = 10.8
Mwh / year
Total
electricity used
by residential
sector = 1,375
Mwh / year
Energy production and use by state
North Carolina
2. How hydropower works
Click for video
Itaipú, Brazil – world’s largest
hydroelectric power plant
• In 2000, the power plant
generated 93 MM MWHs
• 20% of Brazil’s power
supply in Brazil / 94%
ofParaguay’s
• 7,919 meters long, max
height 196 meters (65stories)
• Generates more than the
Three Gorges Dam
(China).
Itaipú, Brazil - Google Maps
To see all the details that are visible on the
screen, use the "Print" link next to the map.
Map data ©2013 Google, Inav/Geosistemas SRL, MapLink -
Largest in the U.S. is the
Grand Coulee Dam
• Columbia River in
Washington state.
• Average power generation
= 21 MM MWHs per year
• Construction began in
1933, completed in 1942
grand coulee dam google maps - Google Maps
To see all the details that are visible on the
screen, use the "Print" link next to the map.
Map data ©2013 Google -
Pros and cons
Pros:
 Reduce greenhouse gas
emissions
 Cheaper to operate (after
initial costs; no fuel costs;
low maintenance)
 Stable generation source
(compared to other
renewables)
 Ancillary benefits (i.e.
flood control and
irrigation)
Cons:
 Environmental impact:
dams affect natural river
systems, fish and wildlife
 Dams affect/destroy
communities
 Interferes with navigation
on water ways
 GHG emissions: methane
from vegetation, as well as
CO2 from cement
“Let It Be” video on hydro dams
Prof Mark T Brown
Klamath River Restoration Project
3. How hydropower is regulated
Water mills
• History
• Water rights
– Common law
– Mill Acts
1. Compensate
landowners
2. Exclusive compensation
(annual payments)
3. Private right of taking
• Constitutionality?
Pop Quiz
Hydro Power
1.
True or false? Hydro power is the
3.
largest source of renewable energy
in the United States, accounting for
about 35% renewable energy and
8% of electric power generation.
2.
Which is false –
a. Water power was a main
source of energy in the US
Industrial Revolution
b. States set up compensation
schemes for property owners
affected by dams
c. Common law remedies in
water rights cases were
uniformly displaced
4.
Which is false -a. Most hydropower projects are
privately owned (though
federally licensed)
b. The largest US dams are
federally owned and operated
c. Federal agencies must get
FERC license to operate hydro
plant
d. FERC has post-license power to
order removal of dam
True or false? States do not license
hydropower projects; their only
role is to provide financing to
municipal hydro projects. See Iowa
Hydro-Electric Coop v. FPC (US
1946).
Answers: 1-T (2011) / 2-C (Fiske) / 3-C (Act) / 4-F
Federal hydro regulatory - timeline
1920
1940
1980
2000
2020
FERC hydro licensing
FERC
jurisdiction?
Preliminary
permit?
State CWA
certification?
Issue
license?
PURPA
exemption?
•
•
•
•
Comp Plan?
Water power?
EIS?
Public uses?
Retire hydro
project?
Integrated
licensing?
Judicial
review?
4. Future of hydropower …
Click for video
Federal hydrokinetic regulation - timeline
1920
1940
1980
2000
2020
Pop Quiz
Hydrokinetic Power
1.
True or false? Conventional hydro
power relies on diverting water
flows, while hydrokinetic power
relies on natural water flows.
2.
Which is true –
a. Hydrokinetic power, like wind
power, is variable and far from
population centers
b. FERC does not see a future for
hydrokinetic power
c. Hydrokinetic projects are
underway in Puget Sound
d. Hydrokinetic projects are
underway in Europe
3.
Which is false -a. Hydrokinetic projects, like
conventional hydro projects,
must be licensed by FERC
b. FERC has jurisdiction over
hydrokinetic projects on the OCS
because on “navigable waters”
c. Hydrokinetic projects on the OCS
must be licensed by the
Department of the Interior
d. Hydrokinetic projects on the OCS
must lease from the federal
government (Dept of Interior)
4.
True or false? States have licensing
authority over hydrokinetic projects
on their shores, before the OCS.
Answers: 1-T / 2-D (Portugal) / 3-C (lease) / 4-F (FPA)
Energy federalism
Hydro
Federal
State
Hydroelectric
(private and municipal)
FERC licensing and
relicensing
State input and CWA
permits
Hydroelectric
(federal)
Federal statute
None
Hydrokinetic
(non-OCS)
FERC licensing and
relicensing
State input and CWA
permits
Hydrokinetic
(OCS)
FERC licensing on OCS
DOI leasing on OCS
None
17 USC S 767
Hypothetical
Municipal Water has an old
FPA hydro license for its
dam on the Placid River
that is about to expire. It
applies to FERC for a new
license.
Group #1: You represent Sierra
Club, which wants the dam
torn down
Group #2: You represent
Development League,
which wants the dam
relicensed
Group #3: You represent State
Conservation Dept, which
wants new conditions
added to license
Make your arguments …
(e) Issue of licenses for construction, etc., of dams, conduits, reservoirs, etc. To issue licenses to
citizens of the United States, or to any association of such citizens, or to any corporation
organized under the laws of the United States or any State thereof, or to any State or municipality
for the purpose of constructing, operating, and maintaining dams, water conduits, reservoirs,
power houses, transmission lines, or other project works necessary or convenient for the
development and improvement of navigation and for the development, transmission, and
utilization of power across, along, from, or in any of the streams or other bodies of water over
which Congress has jurisdiction under its authority to regulate commerce with foreign nations
and among the several States, or upon any part of the public lands and reservations of the United
States (including the Territories), or for the purpose of utilizing the surplus water or water power
from any Government dam, except as herein provided: Provided, That licenses shall be issued
within any reservation only after a finding by the Commission that the license will not interfere or
be inconsistent with the purpose for which such reservation was created or acquired, and shall be
subject to and contain such conditions as the Secretary of the department under whose
supervision such reservation falls shall deem necessary for the adequate protection and
utilization of such reservation: The license applicant and any party to the proceeding shall be
entitled to a determination on the record, after opportunity for an agency trial-type hearing of no
more than 90 days, on any disputed issues of material fact with respect to such conditions. All
disputed issues of material fact raised by any party shall be determined in a single trialtype hearing to be conducted by the relevant resource agency in accordance with the regulations
promulgated under this subsection and within the time frame established by the Commission for
each license proceeding. Within 90 days of August 8, 2005, the Secretaries of the Interior,
Commerce, and Agriculture shall establish jointly, by rule, the procedures for such expedited trialtype hearing, including the opportunity to undertake discovery and cross-examine witnesses, in
consultation with the Federal Energy Regulatory Commission. Provided further, That no license
affecting the navigable capacity of any navigable waters of the United States shall be issued until
the plans of the dam or other structures affecting the navigation have been approved by the
Chief of Engineers and the Secretary of the Army. Whenever the contemplated improvement is,
in the judgment of the Commission, desirable and justified in the public interest for the purpose
of improving or developing a waterway or waterways for the use or benefit of interstate or
foreign commerce, a finding to that effect shall be made by the Commission and shall become a
part of the records of the Commission: Provided further, That in case the Commission shall find
that any Government dam may be advantageously used by the United States for public purposes
in addition to navigation, no license therefor shall be issued until two years after it shall have
reported to Congress the facts and conditions relating thereto, except that this provision shall not
apply to any Government dam constructed prior to June 10, 1920: And provided further, That
upon the filing of any application for a license which has not been preceded by a preliminary
permit under subsection (f) of this section, notice shall be given and published as required by the
proviso of said subsection. In deciding whether to issue any license under this subchapter for any
project, the Commission, in addition to the power and development purposes for which licenses
are issued, shall give equal consideration to the purposes of energy conservation, the protection,
mitigation of damage to, and enhancement of, fish and wildlife (including related spawning
grounds and habitat), the protection of recreational opportunities, and the preservation of other
aspects of environmental quality.
The end