Current through Register 1531, September 27, 2024
(1)
Scope and Purpose.
980 CMR 8.00 establishes the
procedures for the filing of Notices of Intention to Construct an Oil Facility
for certain facilities expected to be valued at more than $5,000,000 and the
requirements for the contents of such notices. The petitioner shall file an
initial petition with the Council not later than two years prior to
commencement of construction of a complex refinery, and not later than one year
prior to construction of any other type of oil facility.
(2)
Statutory
Authoritv.
980 CMR 8.00 is promulgated
pursuant to M.G.L. c. 164, §§ 69H - 69J.
(3)
Definitions, hi
980 CMR 8.00, the definitions
set forth in
980 CMR 2.03(3)
and 8.01(3) apply, unless the context or
subject matter requires a different interpretation.
Complex Refinery means a facility for
the refining of oil designed so that more than 35% of its output at normal
crude oil throughput rates could be gasoline or refined oil products lighter
than gasoline.
Petition means a Notice of Intention
to Construct an Oil Facility filed with the Council under the provisions of
M.G.L. c. 164, §§ 691 and 69 J.
Petitioner means a person or group of
persons proposing to construct a new oil facility.
Refining means the process of
manufacturing fix)m crude oil or refined oil products, such products as
gasoline, kerosene, naptha (including jet fiiel), middle distillate (including
No. 2 fuel oil and jet fuel), liquid petroleum gas, refined lubricating oils,
diesel fuel or residual fuel oils.
Transshipment means the transfer of
oil or refined oil products:
(a) From
one mode of transport (ship, truck, tank car, pipeline, etc.) to another mode
of transport;
(b) From any mode of
transport to storage from which the oil or refined oil products will be
eventually transferred to a mode of transport; and
(c) From storage to any mode of transport.
Transshipment shall not include transfer to storage facilities of ultimate
consumers of oil or refined oil products.
(4)
Application of
980 CMR 1.00 and
2.00. The Rules
set forth in
980 CMR 1.00 and
2.00 shall apply to
980 CMR 8.00 except to the
extent that
980 CMR 1.00,
980 CMR 2.00 and
980 CMR 8.00 are in conflict,
hi the event of a conflict,
980 CMR 1.00 shall prevail
over
980 CMR 2.00 and
980 CMR 8.00 shall prevail
over
980 CMR 1.00 and
2.00.
(5)
General Principles and
Practices.
(a) The Energy
Facilities Siting Council is responsible for implementing the energy policies
contained in M.G.L. c. 164, §§ 69H-S, to provide a necessary energy
supply for the Commonwealth with a minimum impact on the environment at the
lowest possible cost.
(b) In the
event that a proposed oil facility is intended to serve directly or indirectly
customers in any other state or country, the petitioner shall prepare two
separate market forecasts: one for Massachusetts only and the second for the
total marketing region likely to be served by the proposed oil
facility.
(c) In the case of an oil
facility proposed to be constructed by two or more oil companies, the companies
may file a joint initial petition. If a joint petition is filed, there shall be
a single filing fee and a combined hearing.
(d) Unless a petitioner is a public utility
or governmental body, the Council shall not, in reviewing an initial petition,
refuse to approve an initial petition because it believes that there are
sufficient existing oil facilities or because it believes that construction of
a new oil facility may have adverse effects upon competitors of the petitioner
proposing the new facility.
(e) The
following practices shall be followed when accurate historical data cannot be
provided:
1. Historical data which cannot be
provided shall be estimated.
2.
Notation shall be made indicating which data were estimated.
3. A brief description of the estimation
process used shall be included in the Notice of Intention.
(f) If a petitioner believes that
980 CMR 8.00 requires the
submission of information which is a trade secret and which would be damaging
if made public, the petitioner may seek a Council determination pursuant to the
provisions of
980 CMR 4.00 that the item is
exempt firom public access and entitled to Council protection. If the Council
determines pursuant to
980 CMR 4.00 that certain
information is not exempt from public access and if the petitioner withdraws
the information, the petitioner may withhold the information and state that the
information is confidential. In such event the petitioner shall provide as much
material as possible without jeopardizing the confidential information, and
shall state as fully as possible the reasons for withholding the information.
If information is withheld, the Council may take such action as it deems
appropriate, including approving the Notice of Intention, denjdng the Notice of
Intention by reason of petitioner's failure to submit complete information, and
approving the Notice of Intention subject to the condition that the information
be provided to the Council at a subsequent date.
(g) Petitioners are encouraged to make
informal contacts with the Council staff concerning proposed facilities prior
to the filing of an initial petition pursuant to
980 CMR
8.02(1).
(h) A petitioner which intends to use a site
for business purposes, which use does not require approval by the Covincil, and
intends at some later date to construct an oil facility on the said site is
encouraged but not required to file an initial petition with the Council
concerning the proposed oil facility at the earliest possible time.
(i) In cases where an oil facility requires
approval by the council as well as by other federal, state, or local agencies,
the Coiincil shall encourage and otherwise promote the holding of joint
hearings in order to facilitate governmental decision-making and to avoid
duplication of effort, hi addition, the Council may avail itself of the
particular expertise of other state agencies in technical or specialized areas
during the course of such joint hearings to further expedite the approval
process.
(6)
Exemption of Facilities under Construction.
(a) No oil facility which is under
construction prior to May 1, 1976, shall be subject to any requirement that a
Notice of Intention to Construct an Oil Facility be approved by the Council,
nor shall failure to file a Notice of hitention impair in any way the rights of
the company constructing the facility to file an application for a Certificate
with the Council in regard to the facility or to seek a license to construct,
operate or maintain the facility from any local or other state
agency.
(b) An oil facility shall
be considered to be under construction if the erection or installation of major
buildings or equipment has begun or if the sum of expenses already incurred for
preparation work at the site and irreversible contractual commitments of funds
for the purchase of equipment or construction supplies is valued in excess of
$5,000,000.
(7)
Filing Fees. Each petition shall be accompanied by
payment of a fee as herein provided.
(a) For
an oil refinery, the fee shall be $2.50 per rated barrel per day of throughput
capacity, but in no event more than $400,000.
(b) For an oil storage or transshipment
facility, the fee shall be $.025 per rated barrel of storage capacity, but in
no event more than $400,000.
(c)
For an oil terminal intended to handle water-borne shipments, the fee shall be
$.25 per rated barrel per day of throughput capacity, but in no event more than
$400,000.
(d) For an oil pipeline,
the fee shall be $.50 per cubic foot of volume contained for that part of the
line proposed for a new right of way, plus $.25 per cubic foot of volume
contained for that part of the line proposed for an established right of way,
but in no event more than $400,000.
