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[Federal Register Volume 76, Number 62 (Thursday, March 31, 2011)]
[Notices]
[Pages 17844-17846]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-7583]

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DEPARTMENT OF ENERGY

Notice of Availability of the Draft Environmental Impact 
Statement and Public Hearing for a Proposed Federal Loan Guarantee To 
Support Construction and Start-Up of the Topaz Solar Farm, San Luis 
Obispo County, CA

AGENCY: U.S. Department of Energy.

ACTION: Notice of Availability of the Draft Environmental Impact 
Statement and Public Hearing.

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SUMMARY: The U.S. Department of Energy (DOE) announces the availability 
of the Draft Environmental Impact Statement for the DOE Loan Guarantee 
to Royal Bank of Scotland for Construction and Startup of the Topaz 
Solar Farm, San Luis Obispo County, California (DOE/EIS-0458D) (Draft 
EIS) for public review and comment, as well as the date, location and 
time for a public hearing. The Draft EIS analyzes the potential 
environmental impacts of the DOE's proposed action of issuing a Federal 
loan guarantee to support construction and startup of the Topaz Solar 
Farm Project located in San Luis Obispo County, California (Proposed 
Project). The Royal Bank of Scotland plc, as Lender-Applicant, with 
Topaz Solar Farms, LLC (Topaz) as the borrower, submitted an 
application to DOE under the Federal loan guarantee program pursuant to 
the Energy Policy Act of 2005 (EPAct 2005). Topaz is a limited 
liability company that is owned by First Solar, Inc. The loan guarantee 
would support the financing arranged by the Royal Bank of Scotland for 
the construction and start up of the Proposed Project.
    Topaz proposes to develop the Project on up to 4,100 acres of land. 
As proposed, the nominal 550-megawatt electric generation project would 
include the installation of about nine million photovoltaic (PV) solar 
modules within approximately 437 arrays and associated electric 
equipment. Generated electricity would be sold to Pacific Gas and 
Electric (PG&E) under a long-term power purchase agreement. The Project 
would be interconnected into PG&E's existing Morro Bay-Midway 230-
kilovolt (kV) transmission line, which runs in an east-to-west 
direction through the site and portions of Kern County.

DATES: DOE invites the public to submit comments on the Draft EIS 
during the public comment period, which began on March 25, 2011 and 
ends on May 9, 2011. DOE will consider all comments postmarked or 
received during the comment period in preparing the Final EIS. Comments 
received or postmarked after May 9, 2011, will be considered to the 
extent practicable. In addition to receiving comments in writing and by 
e-mail [See ADDRESSES], DOE will convene a public hearing at which 
government agencies, private-sector organizations, Native American 
Tribes and individuals are invited to present oral and written comments 
on the Draft EIS. The public hearing will be held on April 13, 2011 at 
the Carrisa Plains Heritage Association Community Center, 10750 Carrisa 
Highway (Highway 58), Santa Margarita, California, 93458; located 
approximately one mile east of Soda Lake Road. Oral comments will be 
heard during the formal portion of the public hearing beginning at 6:30 
pm. The public is also invited to an informal Question & Answer Open 
House beginning at 5:30 pm at the location above, during which DOE and 
Topaz personnel will be available for individual discussions with 
attendees to answer questions about the project and DOE's Proposed 
Action. Displays and other forms of information about the proposed 
agency action, the EIS process, and Topaz's Proposed Project will also 
be available for review.
    DOE requests that anyone who wishes to present oral comments at the 
public hearing contact Ms. Colamaria by phone or e-mail [see 
ADDRESSES]. Individuals who do not make advance arrangements to speak 
may register at the meeting. Speakers who need more than five minutes 
should indicate the length of time desired in their request. DOE may 
need to limit speakers to five minutes initially, but will provide 
additional opportunities as time permits. Written comments on the Draft 
EIS can also be submitted to DOE officials at the public hearing.
    The public hearing and Question & Answer Open House will be 
accessible to people with disabilities. In addition, any individual 
needing specific assistance, such as a sign language interpreter or 
translator, should contact Ms. Colamaria [see ADDRESSES] at least 48 
hours in advance of the hearing so that arrangements can be made.

ADDRESSES: Public comments can be submitted electronically or by U.S. 
Mail. Written comments on the proposed EIS scope should be signed and 
addressed to the NEPA Document Manager for this project: Ms. Angela 
Colamaria, Loan Guarantee Program (LP-10), U.S. Department of Energy, 
1000 Independence Avenue, SW., Washington, DC 20585. Electronic 
submission of comments is encouraged due to processing time required 
for regular mail. Comments can be submitted electronically by sending 
an e-mail to: [email protected]. All electronic and written comments 
should reference the following document number: DOE/EIS-0458.

FOR FURTHER INFORMATION CONTACT: To obtain additional information about 
this EIS, the public hearing, or to receive a copy of the Draft EIS, 
contact Angela Colamaria by telephone: 202-287-5387; toll-free number: 
800-832-0885 ext. 75387; or electronic mail: 
[email protected]. For general information on the DOE NEPA 
process, please contact: Ms. Carol M. Borgstrom, Director, Office of 
NEPA Policy and Compliance (GC-54), U.S. Department of Energy, 1000 
Independence Avenue, SW., Washington, DC 20585; telephone: 202-586-
4600; facsimile: 202-586-7031; electronic mail: [email protected];

[[Page 17845]]

or leave a toll-free message at 800-472-2756.

SUPPLEMENTARY INFORMATION: Title XVII of EPAct 2005 established a 
Federal loan guarantee program for eligible energy projects, and was 
amended by the American Recovery and Reinvestment Act of 2009 to create 
Section 1705 of Title XVII (42 U.S.C. 16516), authorizing a new program 
for rapid deployment of renewable energy projects and related 
manufacturing facilities, electric power transmission projects, and 
leading edge biofuels projects. The Section 1705 Program is designed to 
address the current economic conditions of the nation, in part, through 
financing such projects.
    The Royal Bank of Scotland plc, as Lender-Applicant, with Topaz as 
the borrower, applied to DOE for a federal loan guarantee under the 
Solicitation entitled, ``Federal Loan Guarantees for Commercial 
Technology Renewable Energy Generation Projects under the Financial 
Institution Partnership Program'' (Solicitation No. DE-FOA-0000166), 
issued on October 7, 2009.
    The purpose and need for action by DOE is to comply with its 
mandate under EPAct 2005 by selecting eligible projects that meet the 
goals of Section 1705 Program, as summarized above. The EIS will inform 
DOE's decision on whether to issue a loan guarantee to Topaz to support 
the Proposed Project. DOE's proposed action is to issue a loan 
guarantee to Topaz to support construction and start-up of the Topaz 
Solar Farm. The Proposed Project would be located in an unincorporated 
portion of eastern San Luis Obispo County, California, adjacent to 
Highway 58 and east of Bitterwater Road. Topaz has options to purchase 
approximately 10,000 acres of land in the Project area. The Proposed 
Project would be developed on up to 4,100 acres of land within one of 
two overlapping study areas.
    The Proposed Project would consist of: a solar field of 
approximately nine million ground-mounted PV modules that collect solar 
radiation to produce electricity; an electrical collection system that 
converts generated power from direct current (DC) to alternating 
current (AC) and delivers it to a new Project substation which collects 
and converts the generated power from 34.5 kV to 230 kV for delivery 
via a new PG&E switching station to PG&E's existing Morro Bay-Midway 
230-kV transmission line; and the aforementioned PG&E switching station 
that interconnects the Proposed Project to PG&E's existing transmission 
line. After construction, PG&E would own and operate the switching 
station. As part of the Proposed Project, Topaz would also construct 
and operate a Monitoring and Maintenance Facility and a Solar Energy 
Learning Center within the Proposed Project's site boundary. The 
Proposed Project would also include up to 22 miles of on-site access 
roads as well as leach field and septic systems for the two facilities 
listed above.
    Topaz has interconnection agreements in place for the first 400 MW 
of Project capacity. The California Independent System Operator has 
determined that network upgrades would be required to accommodate the 
Proposed Project's remaining 150 MW, as well as other generation 
projects in the region. Network upgrades could include the 
reconductoring of 35 miles of the 230-kV transmission lines between the 
new PG&E switching station and the Midway Substation. Such upgrades 
would extend the height of every other existing tower by 20 feet, but 
would not introduce a new structure.

Alternatives

    In determining the range of reasonable alternatives to be 
considered in the EIS for the Proposed Project, DOE identified the 
reasonable alternatives that would satisfy the underlying purpose and 
need for agency action. Rather than being directly responsible for the 
siting, construction, and operation of respective projects selected in 
response to solicitations under EPAct 2005, DOE's actions are limited 
to guaranteeing the debt obligation for the project. Therefore, DOE's 
overall decision will be to either provide a loan guarantee for the 
Proposed Project or to decline to provide a loan guarantee (i.e., the 
No Action alternative, as discussed below). The potential environmental 
impacts of a No Action alternative, as well as two Project-Specific 
alternatives, are analyzed in the EIS.
    The Project-Specific alternatives include alternate configurations 
for the solar arrays. Within the Proposed Project site, Topaz 
identified two Study Areas (Study Area A and Study Area B) that would 
be suitable for the Proposed Project, although construction of the 
Proposed Project would take place on only one Study Area if the 
Proposed Project is approved. DOE analyzed both Study Areas available 
to Topaz as project-specific alternatives (Project-Specific Alternative 
A and Project-Specific Alternative B).
    Under the No Action alternative, DOE would not provide the loan 
guarantee to Topaz. In this case, Topaz may have greater difficulty 
obtaining financing for the Project, which may result in a delay in the 
start of construction, construction in smaller phases over a longer 
time period, potentially increased project cost, or could possibly 
result in the Proposed Project not being built. Although Topaz may 
still pursue the Project without the loan guarantee, as defined above, 
for purposes of the Draft EIS analysis, it is assumed that the No 
Action alternative would result in no Project or in a no build 
scenario. DOE does not have a preferred alternative at this time, and 
will identify its preferred alternative in the Final EIS.

Floodplain Assessment

    In the October 22, 2010 Notice of Intent to Prepare an 
Environmental Impact Statement (75 FR 65306), DOE provided notice of a 
proposed DOE action in a floodplain pursuant to DOE Floodplain and 
Wetland Environmental Review Requirements (10 CFR Part 1022). Overhead 
electrical lines would need to cross 100-year floodplains (unnamed 
drainages within the Carrizo Plain, northwest of Soda Lake). Since some 
of the floodplains on the project site are greater than 200 feet wide 
and posts are needed every 200 feet to support overhead lines, the 
installation of posts within the floodplain is anticipated. DOE has 
prepared a floodplain assessment as required by DOE regulations. 
Interested parties may comment on the floodplain assessment, which has 
been incorporated into the Draft EIS.

Scope of Draft EIS and Environmental Review Process

    The DOE prepared this Draft EIS pursuant to the National 
Environmental Policy Act of 1969, as amended (NEPA), the Council on 
Environmental Quality (CEQ) NEPA regulations, and the DOE NEPA 
implementing procedures. The Draft EIS analyzes the environmental 
consequences that may result from the Proposed Action, including the 
alternative layout options, and the No Action Alternative. Potential 
impacts identified during the scoping process and analyzed in the Draft 
EIS related to the following: Air quality; greenhouse gas emissions and 
climate change; energy use and production; water resources, including 
groundwater and surface waters; wetlands and floodplains; geological 
resources; ecological resources, including species of special concern 
and threatened and endangered species such as the San Joaquin kit fox, 
longhorn fairy shrimp and vernal pool fairy shrimp; cultural resources, 
including historic structures and properties, sites of religious and 
cultural significance to Tribes, and archaeological resources; land 
use;

[[Page 17846]]

visual resources and aesthetics; transportation and traffic; noise and 
vibration; hazardous materials and solid waste management; human health 
and safety; accidents and terrorism; socioeconomics, including impacts 
to community services; environmental justice; and cumulative impacts. 
Because the Proposed Project may affect listed species under the 
Endangered Species Act (ESA), DOE has also initiated consultation 
regarding the project with the U.S. Department of the Interior's Fish 
and Wildlife Service under Section 7 of the ESA.
    The Topaz Proposed Project site is expected to impact waters 
subject to the jurisdiction of the U.S. Army Corps of Engineers 
(USACE); therefore the Proposed Project will require a Clean Water Act 
(CWA) Section 404 Permit. As a result, USACE has participated as a 
cooperating agency in the preparation of this Draft EIS and will use 
this EIS (in part) to determine whether to issue a Section 404 permit. 
USACE will issue a separate decision document on the CWA Section 404 
permit for the Proposed Project that will incorporate the environmental 
analyses from this EIS.
    The DOE will use and coordinate the NEPA public comment process to 
satisfy the public involvement requirements of Section 106 of the 
National Historic Preservation Act (16 U.S.C. 470f) as provided for in 
36 CFR 800.2(d)(3). DOE has invited Federally-recognized American 
Indian Tribes that have historic interests in the area to also 
participate in government-to-government consultation regarding the 
Proposed Project. In addition to these Federally-recognized tribes, the 
California Native American Heritage Commission provided DOE with a 
Native American contacts list in the project area. DOE contacted 
parties on the list to solicit concerns or comments on the Proposed 
Project.

Availability of the Draft EIS

    Copies of the Draft EIS have been distributed to: Members of 
Congress; Native American Tribal governments, Federal, State, and local 
officials; and agencies, organizations and individuals who may be 
interested or affected. The Draft EIS is on the Department of Energy's 
NEPA Web site at http://www.nepa.energy.gov under ``DOE NEPA 
Documents'' and on the Loan Program Office's Web site at http://www.lgprogram.energy.gov/NEPA_EIS.html.
    Copies of the Draft EIS are also available for review at the 
Simmler Public Library/California Valley Community Service District; 
13080 Soda Lake Road; California Valley, CA 93453 and the San Luis 
Obispo County Department of Planning and Building; 976 Osos St. Room 
300; San Luis Obispo, CA 93408.

    Issued in Washington, DC, on March 25, 2011.
Jonathan M. Silver,
Executive Director, Loan Programs Office.
[FR Doc. 2011-7583 Filed 3-30-11; 8:45 am]
BILLING CODE 6450-01-P
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