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[Federal Register Volume 78, Number 140 (Monday, July 22, 2013)]
[Notices]
[Pages 43870-43871]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-17507]

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DEPARTMENT OF ENERGY

Notice of Availability

Hydrogen Energy California's Integrated Gasification Combined 
Cycle Project; Preliminary Staff Assessment and Draft Environmental 
Impact Statement

AGENCY: Department of Energy.

ACTION: Notice of availability and public hearing.

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SUMMARY: The U.S. Department of Energy (DOE) announces the availability 
of the Hydrogen Energy California's Integrated Gasification Combined 
Cycle Project Preliminary Staff Assessment/Draft Environmental Impact 
Statement (PSA/DEIS) (DOE/EIS-0431D) for public review and comment. 
This document is the draft environmental impact statement for DOE's 
purpose of complying with the National Environmental Policy Act. This 
document is also the Preliminary Staff Assessment for the California 
Energy Commission's (CEC) purpose of complying with the California 
Environmental Quality Act (CEQA). This combined document is hereafter 
referred to as the Preliminary Staff Assessment/Draft Environmental 
Impact Statement (PSA/DEIS). The PSA/DEIS analyzes the potential 
environmental impacts associated with the Hydrogen Energy California's 
(HECA) Integrated Gasification Combined Cycle Project, which would be 
designed, constructed, and operated by HECA, LLC. HECA's proposal was 
selected by DOE for financial assistance under the Clean Coal Power 
Initiative (CCPI) Program.
    The PSA/DEIS was prepared in accordance with the National 
Environmental Policy Act of 1969 (NEPA) (42 U.S.C. 4321 et seq.), the 
Council on Environmental Quality (CEQ) regulations that implement the 
procedural provisions of NEPA (40 CFR Parts 1500-1508), DOE's 
procedures for compliance with floodplain and wetland review 
requirements (10 CFR Part 1022), and DOE's procedures implementing NEPA 
(10 CFR Part 1021). DOE's proposed action is subject to the Clean Air 
Act's General Conformity rule (GCR) set forth in section 176(c) of the 
Act and 40 CFR Part 93. DOE's Draft General Conformity Analysis is 
incorporated into the PSA/DEIS. DOE is coordinating its compliance with 
the GCR requirements for public participation in 40 CFR 93.156 with the 
public comment period for the PSA/DEIS.

DATES: DOE invites the public to comment on the PSA/DEIS during the 
public comment period, which ends September 3, 2013. DOE will consider 
all comments postmarked or received during the public comment period in 
preparing the final EIS and will consider late comments to the extent 
practicable.
    DOE and CEC will hold a public hearing(s) during the public comment 
period. The date(s), time(s), and location(s) of these public hearings 
will be published in The Bakersfield Californian at least 14 days prior 
to the hearing(s). This information will also be posted on CEC's Web 
site at http://www.energy.ca.gov/sitingcases/hydrogen_energy/.

ADDRESSES: Requests for a paper copy or information about this PSA/DEIS 
should be directed to: Mr. Fred Pozzuto, U.S. Department of Energy, 
National Energy Technology Laboratory, 3610 Collins Ferry Road, P.O. 
Box 880, Morgantown, WV 26507-0880. Additional information may also be 
requested by electronic mail: fred.pozzuto@netl.doe.gov or by telephone 
at (304) 285-5219, or toll-free at: 1-(800)-432-8330, extension 5219. 
The PSA/DEIS may be viewed at http://www.energy.gov/nepa. Copies of the 
PSA/DEIS are also available for review at the locations listed in the 
SUPPLEMENTARY INFORMATION section of this Notice.
    Written comments on the PSA/DEIS can be mailed or sent 
electronically to Mr. Pozzuto at the addresses noted above. Comments 
may also be submitted by fax to: (304) 285-4403. Oral comments on the 
PSA/DEIS will be accepted during the public hearing(s).

FOR FURTHER INFORMATION CONTACT: For further information on the 
proposed project, please contact Mr. Pozzuto (see ADDRESSES). For 
general information regarding 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 20585-0103; telephone: (202)-586-4600.

SUPPLEMENTARY INFORMATION: DOE proposes to provide limited financial 
assistance through a cooperative agreement to HECA, LLC. Approximately 
$275 million would be provided through the American Recovery and 
Reinvestment Act (ARRA) and $133 million through the Clean Coal Power 
Initiative (CCPI) program for a total Federal share of approximately 
$408 million. Total project cost is estimated to be over $4 billion.
    The HECA project would demonstrate integrated gasification combined 
cycle (IGCC) and carbon capture technology on a commercial-scale in a 
new power plant. The power plant would consist of a single gasifier 
with gas cleanup systems, a gas combustion turbine, a heat recovery 
steam generator, a steam turbine, and associated facilities.
    The IGCC technology would turn a fuel blend consisting of 75 
percent western sub-bituminous coal and 25 percent petroleum coke 
(petcoke) into a synthesis gas (syngas). The facility would gasify the 
fuel blend to produce hydrogen-rich syngas which would be used to 
generate electricity in a combined cycle power block; manufacture 
nitrogen-based products in an integrated fertilizer manufacturing 
complex; and capture and transport carbon dioxide (CO2) via pipeline to 
a neighboring oil field for enhanced oil recovery (EOR) and 
sequestration. At full capacity, the plant is expected to use about 
4,600 short tons of coal and about 1,140 short tons of petcoke per day.
    The combined power block consists of gas combustion and steam 
turbines that would have the capacity to generate 416-megawatts (gross) 
of low-carbon electricity. This combined-cycle approach of using gas 
and steam turbines in tandem increases the

[[Page 43871]]

amount of electricity that can be generated from the feedstock. Because 
of its multiple production capabilities, the plant is referred to as a 
poly-generation (or polygen) plant. The project could generate urea, 
ammonia, and perhaps other nitrogenous compounds for sale. The 
project's urea production unit would use pastillation technology, which 
converts urea melt into high-quality urea pellets.
    The polygen plant would be built on 453-acres of the 1,106-acre 
site in south-central California near the unincorporated community of 
Tupman, located approximately 17-miles west of the city of Bakersfield. 
The site and surrounding areas are currently used for agricultural 
purposes, including cultivation of cotton, alfalfa, and onions. HECA 
would design and construct the plant to capture approximately 90 
percent of the CO2, equivalent to approximately 3.4 million 
tons per year. During the demonstration phase of the plant's 
operations, the project would sequester about 2.6 million tons of 
CO2 per year in EOR operations. The compressed 
CO2 would be transported approximately 4-miles via a new 12-
inch diameter pipeline to the existing Elk Hills oil field for use in 
EOR operations by a third-party buyer. The oil field is majority owned 
and operated by Occidental of Elk Hills which would be responsible for 
the EOR operation. Approximately 0.4 million tons per year of 
CO2 would be utilized in fertilizer production. Following 
the demonstration phase, the polygen plant would continue commercial 
operation for 30 to 50 years and would continue to capture its 
CO2 for EOR.
    The PSA/DEIS evaluates the potential impacts of the proposed 
project, connected actions (EOR, utility, rail spur), and reasonable 
alternatives. The PSA/DEIS includes an assessment of impacts to 
wetlands in accordance with DOE regulations for Compliance with 
Floodplains and Wetlands Environmental Review Requirements (10 CFR Part 
1022) and the Draft General Conformity Analysis required under the 
Clean Air Act.
    DOE analyzed two alternatives in the draft PSA/DEIS: the Proposed 
Action and the No Action Alternative. Under the Proposed Action, DOE 
would provide approximately $408 million in cost-shared funding under 
the CCPI program to the proposed project. Under the No Action 
Alternative, DOE would not continue funding the proposed project. DOE 
assumes that the project would not proceed without DOE funding. This 
option would not contribute to the goal of the CCPI program, which is 
to accelerate commercial deployment of advanced coal technologies that 
provide the United States with clean, reliable, and affordable energy. 
As required by NEPA, DOE analyzes this option as the No Action 
Alternative in order to have a meaningful comparison between the 
impacts of DOE providing financial assistance and withholding that 
assistance. DOE recognizes that it is possible for the project to 
proceed without DOE funding. However, for purposes of this draft PSA/
DEIS, DOE assumes that the project would not be built under the No 
Action Alternative.
    The PSA/DEIS considers the environmental consequences that may 
result from the proposed project and describes additional mitigation 
that might be used to reduce various impacts.
    Availability of the PSA/DEIS: Copies of the PSA/DEIS have been 
distributed to Members of Congress; Native American tribal governments; 
federal, state, and local officials; and agencies, organizations, and 
individuals who previously requested a copy. The PSA/DEIS is available 
on the Internet at http://www.energy.gov/nepa or on the CEC electronic 
docket site at http://www.energy.ca.gov/sitingcases/hydrogen_energy/. 
Copies of the PSA/DEIS are available for public review at the following 
locations: Beale Memorial Library, 701 Truxtun Avenue, Bakersfield, CA 
93301; Holloway-Gonzales Branch Library, 506 E. Brundage Lane, 
Bakersfield, CA 93307; and Southwest Memorial Library, 8301 Ming 
Avenue, Bakersfield, CA 93301. Additional copies can also be requested 
(see ADDRESSES).
    Public Hearing: DOE and CEC will hold a public hearing(s) during 
the public comment period. The date(s), time(s), and location(s) of 
these public hearings will be published in The Bakersfield Californian 
at least 14 days prior to the hearings. This information will also be 
posted on CEC's Web site at http://www.energy.ca.gov/sitingcases/hydrogen_energy/.

    Dated: July 17, 2013.
Mark J. Matarrese,
Director, Office of Environment, Security, Safety & Health, Office of 
Fossil Energy.
[FR Doc. 2013-17507 Filed 7-19-13; 8:45 am]
BILLING CODE 6450-01-P
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