[Federal Register Volume 77, Number 187 (Wednesday, September 26, 2012)]
[Notices]
[Pages 59166-59167]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-23603]
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DEPARTMENT OF AGRICULTURE
Rural Utilities Service
South Mississippi Electric Cooperative: Plant Ratcliffe, Kemper
County Integrated Gasification Combined-Cycle (IGCC) Project
AGENCY: Rural Utilities Service, USDA.
ACTION: Notice of Availability of a Record of Decision.
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SUMMARY: The Rural Utilities Service (RUS) has issued a Record of
Decision (ROD) for the adoption of the Final Environmental Impact
Statement (EIS) for the proposed participation of South Mississippi
Electric Power Association (SMEPA) in Plant Ratcliffe, an Integrated
Gasification Combined-Cycle Facility located in Kemper County,
Mississippi (the Project). The Acting Administrator of RUS has signed
the ROD, which is effective on the publication of this notice. The U.S.
Department of Energy (DOE) prepared an Environmental Impact Statement
(EIS) for the Project in cooperation with the U.S. Army Corps of
Engineers (USACE). The purpose of the EIS was to evaluate the potential
environmental impacts of the Project so that the DOE could assess
potential cost-shared financing under the Clean Coal Power Initiative
(CCPI) and issuance of a loan guarantee under the Energy Policy Act of
2005 (EPAct05), and the USACE could consider potential issuance of
permits under Section 404 of the Clean Water Act.
The DOE/USACE Final EIS was issued in May 2010, and DOE issued
their Record of Decision (ROD) in August 2010. RUS is considering
providing a $480 million loan guarantee to SMEPA that would provide for
the acquisition of a 15% undivided ownership interest in the Project.
RUS adopted the Final EIS pursuant to the National Environmental Policy
Act of 1969 (NEPA) (U.S.C. 4231 et seq.), and in accordance with the
Council on Environmental Quality's (CEQ) regulations for implementing
the procedural provisions of NEPA (40 CFR Parts 1500-1508) and RUS's
Environmental Policies and Procedures (7 CFR Part 1794). RUS determined
that the actions covered by the DOE/USACE Final EIS and RUS's proposed
action were substantially the same, given that no new infrastructure
would be required for SMEPA's participation (40 CFR 1506.3(b)). RUS
conducted an independent evaluation of the DOE/USACE Final EIS, the
associated Mitigation Action Plan (MAP) and Record of Decision (ROD),
determined the documentation met the standards of an adequate statement
(40 CFR 1506.3(a)), and adopted the documentation (Subpart H, 7 CFR
Part 1794).
ADDRESSES: To obtain copies of the ROD, or for further information,
please contact Ms. Emily Orler, Environmental Protection Specialist, at
USDA, Rural Utilities Service, 1400 Independence
[[Page 59167]]
Avenue SW., Stop 1571, Washington DC 20250-1571, (202) 720-1414, or
[email protected]. The ROD is available on the RUS Web site,
http://www.rurdev.usda.gov/UWP-eis4.htm.
SUPPLEMENTARY INFORMATION: SMEPA has requested financing from RUS to
acquire a 15% undivided ownership interest in the Project. The Project
was developed under DOE's Clean Coal Power Initiative (CCPI) by
Mississippi Power Company (MPCo), and will demonstrate the feasibility
of the Integrated Gasification Combined-Cycle (IGCC) technology for
commercial operation. The Project has an expected net generation
capacity of 573 MW, and has been designed to capture approximately 67%
of the carbon dioxide (CO2) that enters the facility as
fuel. MPCo, a private utility that provides approximately a third of
SMEPA's load through a power purchase agreement (PPA) at cost-based
wholesale rates, approached SMEPA in 2009 with the opportunity to
participate in the Project. Due to the existing PPA with MPCo, SMEPA
rates will be affected regardless of their participation in the
Project. Participation in the Project will allow SMEPA to meet
projected future power demand and will provide potential cost savings
through the wholesale rate reductions.
RUS circulated a Notice of Adoption and the Executive Summary of
the DOE/USACE Final EIS, in accordance with 40 CFR 1502.19, and made
the document available on the RUS Web site (http://www.rurdev.usda.gov/UWP-eis4.htm). RUS published a Notice of Adoption in the Federal
Register on June 20, 2012 (77 FR 36996), and the U.S. Environmental
Protection Agency acknowledged its receipt of the DOE/USACE Final EIS
and RUS's intent to adopt the document in the Federal Register on June
29, 2012 (77 FR 38801), which began the 30-day public review period.
The comment period concluded on July 31, 2012; RUS received three (3)
comments, which are responded to in the ROD.
In accordance with NEPA, the CEQ regulations for implementing the
procedural provisions of NEPA, and RUS's Environmental Policies and
Procedures, RUS has determined that the environmental impacts of the
Project have been adequately addressed. While acknowledging that SMEPA
lacks sufficient control and responsibility over the Project, RUS
determined that financing SMEPA's participation in the Project would be
subject to NEPA and conducted an independent evaluation of the DOE/
USACE Final EIS and associated documents. RUS also reviewed the
engineering studies submitted by SMEPA that further assessed the
purpose and need and alternatives of SMEPA's involvement in the
Project. RUS has determined that its independent evaluation and
adoption of the DOE/USACE FEIS fulfills its obligations under the above
cited statute and regulations for its action related to the Project.
Final loan approval for the Project is dependent on the conclusion of
the financial and engineering reviews. Additional detail regarding
RUS's regulatory authority, the rationale for the decision, and
compliance with applicable regulation are included in the ROD.
Approval
This Record of Decision is effective on signature.
Dated: September 19, 2012.
John Charles Padalino,
Acting Administrator, Rural Utilities Service.
[FR Doc. 2012-23603 Filed 9-25-12; 8:45 am]
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