Department of Energy September 22, 2008 – Federal Register Recent Federal Regulation Documents

The U.S. Department of Energy (DOE) announces its intent to prepare an Environmental Impact Statement (EIS) pursuant to the National Environmental Policy Act (NEPA) of 1969, as amended (42 U.S.C. 4321 et seq.), the Council on Environmental Quality NEPA regulations (40 CFR Parts 1500-1508), and the DOE NEPA regulations (10 CFR Part 1021), to assess the potential environmental impacts associated with the construction and operation of a project proposed by Southern Company, through its affiliate Mississippi Power Company (Mississippi Power), which has been selected by DOE for consideration for cost- shared funding under the Clean Coal Power Initiative (CCPI) program. In addition, the U.S. Army Corps of Engineers will be a cooperating agency in the preparation of the EIS, and the U.S. Environmental Protection Agency Region IV has expressed an interest in also participating in the preparation of the EIS as a cooperating agency. The proposed project would demonstrate Integrated Gasification Combined Cycle (IGCC) technology using lignite coal as a feedstock for a new electrical generating plant at a site in Kemper County, Mississippi. The facilities would convert lignite coal into synthesis gas for generating electricity while minimizing sulfur dioxide, oxides of nitrogen, mercury, and particulate emissions as compared to conventional lignite-fired power plants. The EIS will help DOE decide whether to provide a total of $294 million in cost-shared funding (15% or less of the total project cost, which is currently projected to be greater than $2 billion) for the proposed project under the CCPI program. In addition, the EIS would help DOE decide, pending receipt of an application from Mississippi Power, whether to provide a loan guarantee pursuant to the Energy Policy Act of 2005. Accordingly, the EIS will evaluate the potential impacts of the proposed project, connected actions, and reasonable alternatives. The purpose of this Notice of Intent is to inform the public about the proposed project; invite public participation in the EIS process; announce the plans for a public scoping meeting; solicit public comments for consideration in establishing the scope and content of the EIS; and provide notice of proposed floodplain and wetlands involvement.

The Deputy Secretary of Energy confirmed and approved Rate Order No. WAPA-138 and Rate Schedules PD-F7, PD-FT7, PD-FCT7, and PD- NFT7 placing firm electric and transmission service formula rates for the Parker-Davis Project (P-DP) of the Western Area Power Administration (Western) into effect on an interim basis. The provisional rates will be in effect until the Federal Energy Regulatory Commission (FERC) confirms, approves, and places them into effect on a final basis or until they are replaced by other rates. The provisional formula rates will provide sufficient revenue to pay all annual costs, including interest expense, and repayment of investment, within the allowable periods.