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Cape Wind, Rules, and Fairness
06/24/06 · 12:39 pm :: posted by Chuck Kleekamp
A comment has been made that no rules were in place when Cape Wind started is simply in error. Cape Wind has abided by all the rules in place since applying for a permit at least since November 15, 2001 when they submitted the “Expanded Environmental Notification Form” to the Executive Office of Environmental Affairs in Boston. That 200 page document and all the environmental assessments contained therein was undoubtedly very costly.
Since then an exhaustive list of rules were followed with 20 or more public agencies culminating with the permit application to the Army Corps of Engineers and their Draft Environmental Impact Statement of some 4,000 pages on November 8, 2004. By that time, some 20 million dollars was expended by Cape Wind in “following the rules” that were all in place at that time.
Since then the rules have changed, the Mineral Management Service (MMS) has taken over and more millions of dollars will be spent by Cape Wind by their willingness to comply with the changed rules in implementing a revised impact statement by the MMS that will be completed over the next two years or so.
Not to be lost in the detail... but indeed Cape Wind will pay a lease for a “shared” use of the federal property (it’s not state property) as required in the Energy Policy Act of 2005 (EPACT) just enacted last August. The Secretary of the Interior will certainly impose a reasonable lease (with 27% going to the State) for the shared use of the Sound (even though it extracts nothing other than electricity generated by the free wind).
And yes, competitive bids for offshore leases will be required for future wind farms in federal waters with the exception, in fairness, to the two windfarms that were in the permitting stages before the EPACT was enacted, namely Cape Wind on Nantucket Sound and the Long Island Power Authority’s windfarm off Long Island.
In response to the fairness issue let me add that the staff at the Senate Energy Committee said it best in a prepared a three-page document, entitled, “Cape Wind Termination Provision (Section 414) in the Coast Guard Authorization Conference Report”, and I quote(emphasis added):
“…Consistency and fairness also dictated a commitment to a smooth transition from the previous regulatory system into the more comprehensive one under EPACT 2005. That necessitated some transition provisions for the few existing projects that had started prior to the enactment of EPACT. The most notable of these was the Cape Wind project. It had particularly made progress towards Federal permitting prior to enactment of EPACT. The Cape Wind developers had permitted, successfully defended in Federal court, constructed, and operated an offshore test facility to qualify the wind resource at the proposed site, at considerable private expense.“Because of the substantial financial investment made by Cape Wind under the previous regulatory system, which did not require competitive bidding prior to initiating project specific regulatory compliance activities (which are quite costly), the Cape Wind project and other projects that could demonstrate the same characteristics (either through construction of offshore test facilities or through responses to requests for proposals by a public authority) were exempted from the competition requirements that apply to de novo offshore wind development after the date of enactment of EPACT. In addition to being an equitable outcome for projects that had fully complied with the previously existing Federal rules on the OCS, this also prevented the considerable prior public investment by Federal and State governments in analysis and permitting of offshore wind development from being thrown away arbitrarily.
“If approved, the Cape Wind project will pay the same royalties to the Federal government that MMS will charge to all other offshore wind projects.” “The charge that the provisions of section 388 of EPACT 2005 represent some special giveaway to the Cape Wind project or any other existing offshore energy project is without foundation.”End of staff at the Senate Energy Committee quotation.
Regards,
Chuck Kleekamp, P.E. Ret.
Vice President, Clean Power Now
17 comments
Blog posts and comments are entirely the thoughts and ideas of the people who write them and in no way represent the views of CapeCodToday.com, eCape, Inc., or its employees or owners.
06/24/06 @ 1:34 pm
johnp [Member] writes:
I am in favor of the project, but I am annoyed that, after all this time wrangling at the upper echelons, no one has come forward describing the benefits to Cape citizens. For example, what areas of the Cape will be served, who will be served, i.e. are there target groups which will benefit, e.g. only municipal buildings, pockets such as the larger-populated towns, is it Cape-wide. In dollars and cents, how does the savings trickle down to the masses? In other words, as a senior citizen, will I benefit? In the morass of studies, we have lost sight of the bottom line for the citizens. If it's going to save substantial dollars, then it matters not what the naysayers say. Thank you for your persistence.
[ Show all comments by this user ]
Chuck Kleekamp [Member] writes:
A note to Johnp on benefits. Thank you for your patience. An answer in two parts.
1. For a condensed list of benefits go to CleanPowerNow.org and pull down the tab for “Wind Energy in Nantucket Sound,” then go down to “Fact Sheets,” then select “21 Reasons.” Also look at “Benefits to Health” and “Emissions Reductions and Oil Imports.”
2. The power generated will physically go to the Cape and Islands first, then off cape if the wind power exceeds the energy load on the cape.
3. In dollars and cents that trickle down.... It will depend on who buys the electrical energy from Cape Wind. You cannot do this as an individual or as a business any more than you can call up Mirant and ask to buy power directly from the Canal plant. Under deregulation power plants like Canal or Cape Wind must sell (wholesale) to a distributor like NStar or ConEdisionSolutions who are retailers of electricity. That’s your choice now. The price is determined by the retailer.
1. For a condensed list of benefits go to CleanPowerNow.org and pull down the tab for “Wind Energy in Nantucket Sound,” then go down to “Fact Sheets,” then select “21 Reasons.” Also look at “Benefits to Health” and “Emissions Reductions and Oil Imports.”
2. The power generated will physically go to the Cape and Islands first, then off cape if the wind power exceeds the energy load on the cape.
3. In dollars and cents that trickle down.... It will depend on who buys the electrical energy from Cape Wind. You cannot do this as an individual or as a business any more than you can call up Mirant and ask to buy power directly from the Canal plant. Under deregulation power plants like Canal or Cape Wind must sell (wholesale) to a distributor like NStar or ConEdisionSolutions who are retailers of electricity. That’s your choice now. The price is determined by the retailer.
Chuck Kleekamp [Member] writes:
Part 2 to Johnp
4. If you want to buy power from Cape Wind, encourage your representative in the Cape Light Compact to become a cooperative so they can buy Cape Wind power on a long term contract at a wholesale rate, and in turn, sell it to you without markup. It will obviously have to be less than what is available on the market now or Cape Wind won’t be able to sell it to anybody. What that is remains to be seen but it will not be increasing like electricity from conventional sources. Do you know what the price of electricity will be three years from now from ConEdisionSolutions? That depends largely on the world price for oil and natural gas and whatever happens on the world scene in the oil exporting countries.
Remember, the wind is free and forever!
Regards,
Chuck Kleekamp
4. If you want to buy power from Cape Wind, encourage your representative in the Cape Light Compact to become a cooperative so they can buy Cape Wind power on a long term contract at a wholesale rate, and in turn, sell it to you without markup. It will obviously have to be less than what is available on the market now or Cape Wind won’t be able to sell it to anybody. What that is remains to be seen but it will not be increasing like electricity from conventional sources. Do you know what the price of electricity will be three years from now from ConEdisionSolutions? That depends largely on the world price for oil and natural gas and whatever happens on the world scene in the oil exporting countries.
Remember, the wind is free and forever!
Regards,
Chuck Kleekamp
SM [Member] writes:
johnp where are you from? The Cape Light Compact representatives from Dennis and Yarmouth are holding up the Cooperative. They are appointed by the Selectmen in those towns.
Eventually Cape Wind is going to sell it's power to a supplier. That supplier will pass on the savings to their customers. Some of us who sign up with that supplier will benefit. Why not all of us? Because the CLC is playing politics and covering the asses of the Selectmen who appointed them, who do not support the wind farm.
Real benefits could accrue to Cape residents in the form of a long term stable price electricity contract from Cape Wind, like the SEMASS trash deal the Cape has enjoyed for 20 years.
In case you don't know who the culprits are, Bob Mahoney (Dennis) and Charlotte Streibel (Yarmouth),Chair and Vice Chair of the CLC.
Eventually Cape Wind is going to sell it's power to a supplier. That supplier will pass on the savings to their customers. Some of us who sign up with that supplier will benefit. Why not all of us? Because the CLC is playing politics and covering the asses of the Selectmen who appointed them, who do not support the wind farm.
Real benefits could accrue to Cape residents in the form of a long term stable price electricity contract from Cape Wind, like the SEMASS trash deal the Cape has enjoyed for 20 years.
In case you don't know who the culprits are, Bob Mahoney (Dennis) and Charlotte Streibel (Yarmouth),Chair and Vice Chair of the CLC.
barbaradurkin [Member] writes:
Charles:
Not so long ago, you suggested a teaspoon of mineral oil for “what ails you” in a disingenuous attempt to convey that mineral oil is safe material. We were on the subject of a 43,000 gallon transformer platform; and I responded that oil, in this context, is considered as hazardous material by the EPA.
Here we go again; sure, Charles, rules were in place when Cape Wind announced its plan to take possession of our public resource. One such rule is that citizens must wear a seat belt while driving or riding in a car in Massachusetts. We are on the topic of Cape Wind.
Why, if we have rules in place, is MMS currently establishing policies, rules, and best management practices for a national alternate energy program?
Not so long ago, you suggested a teaspoon of mineral oil for “what ails you” in a disingenuous attempt to convey that mineral oil is safe material. We were on the subject of a 43,000 gallon transformer platform; and I responded that oil, in this context, is considered as hazardous material by the EPA.
Here we go again; sure, Charles, rules were in place when Cape Wind announced its plan to take possession of our public resource. One such rule is that citizens must wear a seat belt while driving or riding in a car in Massachusetts. We are on the topic of Cape Wind.
Why, if we have rules in place, is MMS currently establishing policies, rules, and best management practices for a national alternate energy program?
barbaradurkin [Member] writes:
Charles:
Cape Wind wants to pay us for the use of our resource without competing for this use by bid against other developers. “It’s all in the terms,” Charles, and leave it to Conservation Law Foundation to make these very sweet indeed, for the developer.
Conservation Law Foundation, in their letter of November 16, 2005 to Interior Secretary Gail Norton, roughly translates, (How about allowing us to pay 1/15,360 of the value of 24 square miles of ocean use to the public?)
CLF: “For perspective, it is worth noting that the actual physical footprint of Cape Wind’s project infrastructure is expected to require less that one acre of land on the OCS.”
The greater the risks, the greater the rewards, Charles. The public needs advocacy, not the for profit developers who roll the dice by choice. Cape Wind would steal Nantucket Sound for a song at $25 million. A strip mall costs less.
Cape Wind would create a precedent that would come back to bite us. The international community of developers applauds you, as you their true friend.
Cape Wind wants to pay us for the use of our resource without competing for this use by bid against other developers. “It’s all in the terms,” Charles, and leave it to Conservation Law Foundation to make these very sweet indeed, for the developer.
Conservation Law Foundation, in their letter of November 16, 2005 to Interior Secretary Gail Norton, roughly translates, (How about allowing us to pay 1/15,360 of the value of 24 square miles of ocean use to the public?)
CLF: “For perspective, it is worth noting that the actual physical footprint of Cape Wind’s project infrastructure is expected to require less that one acre of land on the OCS.”
The greater the risks, the greater the rewards, Charles. The public needs advocacy, not the for profit developers who roll the dice by choice. Cape Wind would steal Nantucket Sound for a song at $25 million. A strip mall costs less.
Cape Wind would create a precedent that would come back to bite us. The international community of developers applauds you, as you their true friend.
Jack Coleman [Member] writes:
... and Bill Koch, Doug Yearley, et al., applaud you, Barbara, as their faithful friend. Tell me, when were you appointed spokesperson for The Public? Or is this one of those self-anointed positions?
Correct me if I'm wrong here, but even if Cape Wind had to undergo competitive bidding - five years and $20 million into the permitting process - you'd still be opposed to the project.
Correct me if I'm wrong here, but even if Cape Wind had to undergo competitive bidding - five years and $20 million into the permitting process - you'd still be opposed to the project.
No one likes a: SMART ASS [Visitor] writes:
Barbara is not the publics spokesperson nor manspokeswoman... She is a voice of the d'Alliance in disguise.
A friend of the evil nay sayers you mention Jack...
Intent of preserving THEIR SOUND... Their VIEW.
No matter what the cost to them or the rest of us.
They don't give a rats ass about anything else.
I say shove a 500' turbine up theirs.
A friend of the evil nay sayers you mention Jack...
Intent of preserving THEIR SOUND... Their VIEW.
No matter what the cost to them or the rest of us.
They don't give a rats ass about anything else.
I say shove a 500' turbine up theirs.
barbaradurkin [Member] writes:
Jack:
You know better than most how many objections I have to Cape Wind, the panacea. You'll find no sympathy here for a developer who made the decision to gamble $25 million in hopeful anticipation of a return of $billions on his wager. It is often suggested that we need to be "fair" and allow this project based on Cape Wind's investment and efforts. I don't view Nantucket Sound as a consolation prize under any set of circumstances.
Jim Gordon has made the decision to become a gambling man. My guess is that some of that $25 million he has wagered is subsidized by the public.
As for your suggestion that I am a self appointed public spokesperson, I will attempt to speak for myself, while I am fairly confident that many share my views on this subject. Your point is well taken.
If the mammals and birds could applaud, Jack, who might they applaud for, one who advocates that their habitat be spared, or one who would destroy their habitat?
You know better than most how many objections I have to Cape Wind, the panacea. You'll find no sympathy here for a developer who made the decision to gamble $25 million in hopeful anticipation of a return of $billions on his wager. It is often suggested that we need to be "fair" and allow this project based on Cape Wind's investment and efforts. I don't view Nantucket Sound as a consolation prize under any set of circumstances.
Jim Gordon has made the decision to become a gambling man. My guess is that some of that $25 million he has wagered is subsidized by the public.
As for your suggestion that I am a self appointed public spokesperson, I will attempt to speak for myself, while I am fairly confident that many share my views on this subject. Your point is well taken.
If the mammals and birds could applaud, Jack, who might they applaud for, one who advocates that their habitat be spared, or one who would destroy their habitat?
barbaradurkin [Member] writes:
Stephen:
It pleasures me that you are so threatened by the Alliance. You are smart to recognize that the APNS represents the best chance for the long term preservation of Nantucket Sound.
Cape Wind is a Brother Grimms' Fairy Tale, and I don't want you to find this out first hand.
There is no need for you to be vulgar while you're attempting to make your points.
It pleasures me that you are so threatened by the Alliance. You are smart to recognize that the APNS represents the best chance for the long term preservation of Nantucket Sound.
Cape Wind is a Brother Grimms' Fairy Tale, and I don't want you to find this out first hand.
There is no need for you to be vulgar while you're attempting to make your points.
Chuck Kleekamp [Member] writes:
Barbara,
I would think the polar bears, among other mammals, would applaud Cape Wind for making a big start in reducing global warming. And the endangered birds, who Jack Clark of the Audubon said, face the bigger danger of extinction from a raising ocean over the Cape’s barrier islands, would applaud for helping save their habitat.
Barbara, can you name another single project in the United States that will avoid the emission of a million tons of carbon dioxide? Have you seen “An Inconvenient Truth” yet? Have you ever visited an offshore windfarm in Europe? There are at least a dozen of them with more under construction, two of which will be larger than Cape Wind.
May this windfarm set the stage for the beginning of offshore wind in the United States.
Regards,
Chuck Kleekamp
I would think the polar bears, among other mammals, would applaud Cape Wind for making a big start in reducing global warming. And the endangered birds, who Jack Clark of the Audubon said, face the bigger danger of extinction from a raising ocean over the Cape’s barrier islands, would applaud for helping save their habitat.
Barbara, can you name another single project in the United States that will avoid the emission of a million tons of carbon dioxide? Have you seen “An Inconvenient Truth” yet? Have you ever visited an offshore windfarm in Europe? There are at least a dozen of them with more under construction, two of which will be larger than Cape Wind.
May this windfarm set the stage for the beginning of offshore wind in the United States.
Regards,
Chuck Kleekamp
barbaradurkin [Member] writes:
Charles:
When Jack Clarke of MA Audubon publicly states that their organization, or their fledgling, will not participate in the bidding process, and will not accept an extensive long term monitoring contract, or Adaptive Management Plan contract, worth multi millions of dollars, (a condition of MA Audubon's preliminary approval of Cape Wind), I will consider what MA Audubon has to say. Until that day comes, my view is that they have forsaken up to 6,600 birds that would die, annually, by the permitting of Cape Wind. They are collecting data, analyzing data, and commenting on this project during the application phase. How could you consider their opinion to be objective, if they would profit by the approval of this project?
When you answer my questions, instead of ignoring them, I will consider your questions. In the interim, might I suggest that you take a teaspoon of mineral oil for what ails you.
May this wind farm end up on the cutting room floor.
Regards,
Barbara Durkin
When Jack Clarke of MA Audubon publicly states that their organization, or their fledgling, will not participate in the bidding process, and will not accept an extensive long term monitoring contract, or Adaptive Management Plan contract, worth multi millions of dollars, (a condition of MA Audubon's preliminary approval of Cape Wind), I will consider what MA Audubon has to say. Until that day comes, my view is that they have forsaken up to 6,600 birds that would die, annually, by the permitting of Cape Wind. They are collecting data, analyzing data, and commenting on this project during the application phase. How could you consider their opinion to be objective, if they would profit by the approval of this project?
When you answer my questions, instead of ignoring them, I will consider your questions. In the interim, might I suggest that you take a teaspoon of mineral oil for what ails you.
May this wind farm end up on the cutting room floor.
Regards,
Barbara Durkin
No one likes a: SMART ASS [Visitor] writes:
Chuck, Barbara really doesn't care about preserving the sound for anything but the VIEW... Never mind about the pollutants raining down on it from Brayton & Miraint...
It won't be seen like the turbines... Doesn't matter if fish & wildlife are being killed or not...
It's the VIEW...
Nice to know MA Audubon at least knows what is the reality of what is happening from an ecological basis...
If they came out against the project... Why, they would be heros & experts...
Now they are bums! No suprise there.
P.s. Notice how she drills home the unlikely 6,600 birds...
Isn't there about 600 bird brains who claim to want to "save the sound"...
About 60 have actual motives otherwise...
And about 6 of these... Predominatly financially underwriting this ill-concieved endevor.
Keep the faith.
It won't be seen like the turbines... Doesn't matter if fish & wildlife are being killed or not...
It's the VIEW...
Nice to know MA Audubon at least knows what is the reality of what is happening from an ecological basis...
If they came out against the project... Why, they would be heros & experts...
Now they are bums! No suprise there.
P.s. Notice how she drills home the unlikely 6,600 birds...
Isn't there about 600 bird brains who claim to want to "save the sound"...
About 60 have actual motives otherwise...
And about 6 of these... Predominatly financially underwriting this ill-concieved endevor.
Keep the faith.
barbaradurkin [Member] writes:
Stephen:
I'm perfectly capable of presenting my concerns about Cape Wind, there is no need for your assist, thank you just the same.
"Views" is not a dirty word, Stephen, that's why it's okay to use the word in your brochures.
In fact, the National Environmental Polciy Act, NEPA, provides assurance to the American public that as "Views" are important to our quality of life, they are offered protection under that law.
Public safety is also assured under NEPA. As I recall, cultural assets are as well.
You see, Stephen, NEPA places emphasis not only on quality of life, but also on
the right of the public to participate in decision making that affects all of us.
Sadly, some wish to silence the public voice; and to negate the public rights and protections provided for under NEPA.
And even more sadly, you break bread with them, Stephen, despite their attack on our laws for their selfish motivation, these folks of Cape Wind.
I'm perfectly capable of presenting my concerns about Cape Wind, there is no need for your assist, thank you just the same.
"Views" is not a dirty word, Stephen, that's why it's okay to use the word in your brochures.
In fact, the National Environmental Polciy Act, NEPA, provides assurance to the American public that as "Views" are important to our quality of life, they are offered protection under that law.
Public safety is also assured under NEPA. As I recall, cultural assets are as well.
You see, Stephen, NEPA places emphasis not only on quality of life, but also on
the right of the public to participate in decision making that affects all of us.
Sadly, some wish to silence the public voice; and to negate the public rights and protections provided for under NEPA.
And even more sadly, you break bread with them, Stephen, despite their attack on our laws for their selfish motivation, these folks of Cape Wind.
No one likes a: SMART ASS [Visitor] writes:
Mondays are not the days to pig pile on Peckham girls... So back off!
Barbara, take back your "attack on our laws" or back it up.
As far as selfish goes... Do you sing the same tune about any capitalist (ie perhaps your boss) who has been very successful working within the system of existing of governmental standards to promote and expand his business?
PP... Be careful smart lady:~)
Barbara, take back your "attack on our laws" or back it up.
As far as selfish goes... Do you sing the same tune about any capitalist (ie perhaps your boss) who has been very successful working within the system of existing of governmental standards to promote and expand his business?
PP... Be careful smart lady:~)
barbaradurkin [Member] writes:
Stephen:
"Working within the system existing governmental standards" cannot be compared to attacks and with intent to dismantle existing laws, such as NEPA and the ESA, that present obstacles to capitalist wind developers.
Dennis Duffy attacked NEPA at hearing on May 25, 2005, held by the Senate Environment and Public Works Committee. Testifying on behalf of the National Resource Defense Council, Sharon Buccino urged Congress to "enhance the public's voice, not silence it" as legislation to streamline energy permitting was being considered. She said laws should uphold the National Environmental Policy Act (NEPA), which is the foundation of the regulatory process.
"Working within the system existing governmental standards" cannot be compared to attacks and with intent to dismantle existing laws, such as NEPA and the ESA, that present obstacles to capitalist wind developers.
Dennis Duffy attacked NEPA at hearing on May 25, 2005, held by the Senate Environment and Public Works Committee. Testifying on behalf of the National Resource Defense Council, Sharon Buccino urged Congress to "enhance the public's voice, not silence it" as legislation to streamline energy permitting was being considered. She said laws should uphold the National Environmental Policy Act (NEPA), which is the foundation of the regulatory process.
No one likes a: SMART ASS [Visitor] writes:
Like I said Barbara... Back up the "attacks".
You quite conveniently quote Buccino but do not offer the testimony of Duffy.
Regardless, the end result was the recomendation to exempt projects already in the review process... Based on current regulations and law... From reapplying and starting the process all over again...
To me... This sounds like a fair and reasonable way to conduct business and enact new legislation designed to better regulate this emergeing industry...
But what do I know?... I should write childrens books...
Come to think of it... They do understand reasoned thought after it is explained to them a few times.
You quite conveniently quote Buccino but do not offer the testimony of Duffy.
Regardless, the end result was the recomendation to exempt projects already in the review process... Based on current regulations and law... From reapplying and starting the process all over again...
To me... This sounds like a fair and reasonable way to conduct business and enact new legislation designed to better regulate this emergeing industry...
But what do I know?... I should write childrens books...
Come to think of it... They do understand reasoned thought after it is explained to them a few times.
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