douglas a. sipe outreach manager division of gas-environment and engineering

Douglas A. SipeDouglas A. Sipe Outreach ManagerOutreach Manager

Division of Division of Gas-Environment and Gas-Environment and

EngineeringEngineering

Federal Energy Regulatory Federal Energy Regulatory CommissionCommission

Office of Energy ProjectsOffice of Energy Projects

FERC OutreachFERC OutreachIRWA IRWA

Calgary, June 2010Calgary, June 2010

What is Outreach?What is Outreach?

An effort to connect ideas or practices to the efforts An effort to connect ideas or practices to the efforts of other specific audiences of other specific audiences

A systemic attempt to provide services beyond A systemic attempt to provide services beyond conventional limitsconventional limits

The ability of one community to work beyond its The ability of one community to work beyond its boundaries in unexpected ways to provide for boundaries in unexpected ways to provide for another communityanother community

FERCFERC

Office of Energy Office of Energy ProjectsProjects

Who is FERC?Who is FERC?

FERC is an independent federal regulatory FERC is an independent federal regulatory

agency that: agency that: Regulates the interstate transmission of natural Regulates the interstate transmission of natural

gas (siting & rates); electricity and oil (rates only);gas (siting & rates); electricity and oil (rates only);

Reviews proposals to build interstate natural gas Reviews proposals to build interstate natural gas

pipelines and liquefied natural gas (LNG) terminals, pipelines and liquefied natural gas (LNG) terminals,

and natural gas storage fields and natural gas storage fields

Licenses and inspects non-federal hydropower Licenses and inspects non-federal hydropower

projectsprojects


FERCFERC

FERC Organization ChartFERC Organization ChartFERCFERC


Chairman Jon Wellinghoff

Commissioner John R. Norris

Commissioner Philip D. Moeller

Commissioner Marc Spitzer

Commissioner

Cheryl LaFleur

Energy Energy ProjectsProjects

Electric Electric ReliabilityReliability

External External AffairsAffairs

Energy Market Energy Market RegulationRegulation

EnforcementEnforcement

Energy Policy & Energy Policy & InnovationInnovation

Administrative Administrative LitigationLitigation

Administrative Administrative Law JudgesLaw Judges

Executive Executive DirectorDirector

General General CounselCounsel

SecretarySecretary

FERC’s Siting AuthorityFERC’s Siting Authority

Section 3 of the Natural Gas ActSection 3 of the Natural Gas Act Determination of consistency with the public Determination of consistency with the public

interestinterest Section 7 of the Natural Gas ActSection 7 of the Natural Gas Act

Determination of public convenience and necessityDetermination of public convenience and necessity Energy Policy Act of 2005Energy Policy Act of 2005

Assigns FERC exclusive siting authority—does not Assigns FERC exclusive siting authority—does not preempt other required federal authorizationspreempt other required federal authorizations

Mandates use of Pre-Filing Process for LNG terminalsMandates use of Pre-Filing Process for LNG terminals Names FERC lead agency for NEPA review and Names FERC lead agency for NEPA review and

coordinator of all federal authorizationscoordinator of all federal authorizations

FERCFERC


The Pre-Filing ProcessThe Pre-Filing Process

More interactive NEPA/permitting process, no shortcutsMore interactive NEPA/permitting process, no shortcuts Be more proactive and explore ways to Be more proactive and explore ways to OutreachOutreach Earlier, more direct interaction between FERC, other Earlier, more direct interaction between FERC, other

agencies, landowners, and the applicantagencies, landowners, and the applicant Transparency in the Pre-Filing Review ProcessTransparency in the Pre-Filing Review Process Goal is to resolve problems and have “no surprises”Goal is to resolve problems and have “no surprises” Pre-filing procedures are designed to encourage Pre-filing procedures are designed to encourage

cooperation with federal, state, and local authoritiescooperation with federal, state, and local authorities

FERC staff is an advocate for the process, not the project

FERCFERC


FERC

Office of Energy Projects

Timelines: Traditional vs.Pre-Filing Process

DevelopStudy

Corridor

DevelopStudy

Corridor

Approve PF

Request(at least6 mos.

before filing)

Conduct

Scoping

-6 -5 -4 -3 -2 -1 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Conduct Scoping &

Direct Preparation of

Resource Reports

IssueDraftEIS

IssueDraftEIS

FileAt

FERC

IssueOrder

IssueOrder

FileAt

FERC

Prepare ResourceReports

PrepareResourceReports

IssueFinalEIS

IssueFinalEIS

Traditional – Applicant Activities

Traditional – FERC Activities

Pre-Filing – Applicant Activities

Pre-Filing – FERC Activities

(months)

Review Resource Reports

& AnalyzeProject

(length of studyperiod determined by the Applicant)

AnalyzeProject

INFRASTRUCTURE INFRASTRUCTURE BOOM BOOM

(Certificated in the last 10 years)(Certificated in the last 10 years)

Pipelines Pipelines 106 Bcf/day of Capacity and 14,592 Miles106 Bcf/day of Capacity and 14,592 Miles

Storage FacilitiesStorage Facilities 870 Bcf of Capacity870 Bcf of Capacity

LNG FacilitiesLNG Facilities 37 Bcf/day of Total Capacity37 Bcf/day of Total Capacity

FERCFERC


Heightened Heightened Public InterestPublic Interest

Congressional Interest Escalated SignificantlyCongressional Interest Escalated Significantly Increased calls to FERC’s Office of External Affairs Increased calls to FERC’s Office of External Affairs

and Office of Enforcement (Dispute Resolution and Office of Enforcement (Dispute Resolution Service) Service)

Filed letters and calls to FERC PM’s/ManagementFiled letters and calls to FERC PM’s/Management* Change… landowner calls now being * Change… landowner calls now being

referred to the Dispute Resolution Servicereferred to the Dispute Resolution Service

FERFERCC


The Landowners’ The Landowners’ PerspectivePerspective

FERC OutreachFERC Outreach EffortsEfforts

Continue to improve our Outreach ProgramContinue to improve our Outreach Program FERC House callsFERC House calls

Address elected officials earlier in the processAddress elected officials earlier in the processContinue to consult with and educate federal, Continue to consult with and educate federal,

state, and local agenciesstate, and local agencies Federal, State, and Local Agency Learning Federal, State, and Local Agency Learning

CurveCurveRefine ways to connect with affected stakeholdersRefine ways to connect with affected stakeholders

New Stakeholder Document coming soonNew Stakeholder Document coming soonFERC's Expectations, Role, and Outreach GoalFERC's Expectations, Role, and Outreach Goal

FERCFERC


FERC’s State Outreach FERC’s State Outreach InitiativeInitiative

FERC needs to get out in front of projectsFERC needs to get out in front of projects Industry needs to anticipate infrastructure hotspots Industry needs to anticipate infrastructure hotspots

and communicateand communicate Turn opposition into understandingTurn opposition into understanding Communicate to all stakeholders that there is a Communicate to all stakeholders that there is a

process in placeprocess in place Office of External AffairsOffice of External Affairs

State and Public Affairs DivisionsState and Public Affairs Divisions

FERCFERC

Industry PromotionIndustry Promotion

A Robust Stakeholder & Public Outreach InitiativeA Robust Stakeholder & Public Outreach InitiativeWhat is your Communication Plan?What is your Communication Plan?What is the Industry Training Protocol?What is the Industry Training Protocol?

How is the Industry Tailoring their Message?How is the Industry Tailoring their Message?

FERFERCC


Making Strides ForwardMaking Strides Forward

INGAA’s Commitment to LandownersINGAA’s Commitment to Landowners Eight Steps to build and maintain strong positive Eight Steps to build and maintain strong positive

relations with landownersrelations with landowners Industry is strengthening overall training Industry is strengthening overall training

Who is the Face of your Company or ProjectWho is the Face of your Company or Project Outreach Coordinators positions are being created Outreach Coordinators positions are being created *** ***

Good Idea***Good Idea*** Overall Industry Outreach improvementOverall Industry Outreach improvement

Newsletters and updates of project statusNewsletters and updates of project status Communicating with us (win-win)Communicating with us (win-win)

FERCFERC


15

Communication and Timing - Tiered Approach• Phase 1 – Inform elected officials of potential project and seek feedback

– Develop core execution team– Develop list and engage Tier One key stakeholders – local, state and federal officials– Conduct study route risk assessment/due diligence/feasibility– Document Tier One feedback/concerns/suggestions/our responses

• Phase 2 - Collaborative effort to engage stakeholders of project’s purpose and need– Engage Tier Two key stakeholders - Agencies– Refine scope with stakeholder feedback– Prepare detailed presentation materials– Refine study corridor with alternative routes– FERC “Pre” Pre-File Meeting

• Phase 3 - Advancing the project– Refine permitting and regulatory strategy– Engage Tier Three key stakeholders – Non-governmental organizations (NGOs)– Notify community with voluntary public informational meetings– Request survey permission– Commence field work– Continuous route review

Industry ContinuedIndustry Continued FocusFocus

Catalog your stakeholders interactionsCatalog your stakeholders interactions Key when the Commission is looking for Key when the Commission is looking for

answers answers Amplified Media and Stakeholder SavvyAmplified Media and Stakeholder SavvyLandowner Complaint Resolution Procedures Landowner Complaint Resolution Procedures Protect your ImageProtect your ImageCommunicate your side of the storyCommunicate your side of the storyDon’t sit in SilenceDon’t sit in Silence

FERCFERC


Project Timing and theProject Timing and the FERC Review Process FERC Review Process

FERC process is a model that worksFERC process is a model that works

Pre-filing, application analysis, and post-Pre-filing, application analysis, and post-

authorizationauthorization

A process is needed to streamline the siting of A process is needed to streamline the siting of

energy infrastructureenergy infrastructure

Adequate gas infrastructure is essentialAdequate gas infrastructure is essential

The nation has been well-served by the Commission’s The nation has been well-served by the Commission’s

siting of natural gas infrastructuresiting of natural gas infrastructure

Commission analysis and decisions are timelyCommission analysis and decisions are timely

FERCFERC

Identifies StakeholdersIdentifies Stakeholders

EIS Pre-Filing Environmental Review ProcessEIS Pre-Filing Environmental Review Process

PublicInputOpportunities



Applicant Process

Studies potential site locationsStudies potential site locations

Participates in Applicant’s open houseParticipates in Applicant’s open house

Issues Notice of Intentfor Preparation of an EIS opening the

scoping period to seek public comments.

Issues Notice of Intentfor Preparation of an EIS opening the

scoping period to seek public comments.

Issues Notice of ApplicationIssues Notice of Application

Analyzes data and prepares Draft EISAnalyzes data and prepares Draft EIS

Issues Draft EISand opens comment period

Issues Draft EISand opens comment period

Holds public comment meetings on the Draft EIS in the project area

Holds public comment meetings on the Draft EIS in the project area

Responds to commentsand revises the Draft EISResponds to comments

and revises the Draft EIS

Issues Notice to Proceed with construction.

Issues Notice to Proceed with construction.

FERC Process

Conducts route studies and field surveys. Develops application.

Conducts route studies and field surveys. Develops application.

Commission Issues OrderCommission Issues Order

Submits outstanding information to satisfy conditions of Commission Order

Submits outstanding information to satisfy conditions of Commission Order

Requests use ofFERC’s Pre-Filing Process

Requests use ofFERC’s Pre-Filing Process

Assesses market need andconsiders project feasibilityAssesses market need andconsiders project feasibility

Receives Applicant’s request to conduct its review of the project within FERC’s NEPA Pre-Filing Process

Receives Applicant’s request to conduct its review of the project within FERC’s NEPA Pre-Filing Process

Parties can request FERCto rehear decision

Parties can request FERCto rehear decision

Issues Final EISIssues Final EIS

Holds public scoping meeting(s) andsite visits in the project area.

Consults with interested stakeholders.

Holds public scoping meeting(s) andsite visits in the project area.

Consults with interested stakeholders.

Formally Approves Pre-Filing Process and issues PF Docket No. to Applicant

Formally Approves Pre-Filing Process and issues PF Docket No. to Applicant

Holds open house to discuss projectHolds open house to discuss project

Files formal application with the FERCFiles formal application with the FERC

Questions?Questions?

Federal Energy Regulatory CommissionFederal Energy Regulatory Commission

888 First Street, N.E.888 First Street, N.E.

Washington, DC 20426Washington, DC 20426

FERCFERC


Douglas A. SipeDouglas A. Sipe

202.502.8837202.502.8837

[email protected]@ferc.govv

douglas a. sipe outreach manager division of gas-environment and engineering

Documents

prefiling review processgoal

nepa review

public interestsection

norris commissioner

bcfday of capacity

direct interaction

unexpected ways

necessityenergy policy