Renewable Energy: Agencies Have Taken Steps Aimed at Improving the Permitting Process for Development on Federal Lands
Released: 2013-03-13T00:00:00


Highlights: section_title: Why GAO Did This Study
paragraphs: Concerns over reliance on imported oil and greenhouse gas emissions from fossil fuel use have led to increased interest in producing electricity from renewable sources, including wind, solar, and geothermal energy. Because federal lands, including those managed by the Departments of Agriculture and the Interior, encompass areas with high renewable energy potential, interest has increased in permitting such activity on those lands. EPAct 2005 includes several provisions intended to increase renewable energy development on federal lands, including goals for approving renewable energy projects. GAO was asked to look at (1) the status of renewable energy permitting on federal land, including time frames for processing permits applied for since EPAct 2005; (2) actions federal land management agencies have taken to facilitate renewable energy development on federal land, particularly since the passage of EPAct 2005; and (3) factors affecting renewable energy development on federal land. To conduct this work, GAO reviewed laws, regulations, and policies; interviewed agency and industry officials; and surveyed BLM staff responsible for processing applications for renewable energy permits on federal lands.

GAO is not making any recommendations in this report. In commenting on a draft of this report, the Department of Agriculture concurred with its findings, while the Departments of Energy and the Interior had no comments.

section_title: What GAO Found
paragraphs: Since passage of the Energy Policy Act of 2005 (EPAct 2005), federal land management agencies--primarily the Department of the Interior's Bureau of Land Management (BLM)--have received hundreds of applications for utilityscale renewable energy projects and authorized 25 projects: 7 wind, 10 solar, and 8 geothermal projects. Applications for the majority of projects were withdrawn by the applicants or denied by BLM because of insufficient information. Applications for about one-fourth of the projects are still pending with the agencies. Time frames for permitting wind and solar projects ranged from 1.5 to 4 years from receipt of the initial application to approval of the project, with time frames decreasing for applications submitted in later years. For geothermal projects, permitting time frames ranged from 1 to 4 years from receipt of the initial application to approval for construction. In all, for projects applied for since EPAct 2005, BLM has authorized projects with the capacity to generate a total of about 5,450 megawatts of electricity, contributing to the act's goal of approving projects capable of generating 10,000 megawatts of electricity on public lands by 2015.

Federal land management agencies have taken several steps to foster renewable energy development on federal lands since EPAct 2005. Specifically, these agencies have developed or revised policies aimed at, among other things, improving the renewable energy permitting process, formalized coordination within and across agencies and with state and local governments, and devoted increased resources to processing applications for renewable energy permits. One of BLM's most comprehensive actions was the completion of programmatic environmental impact statements for renewable energy development, intended to streamline the permitting process. The agencies also took steps to improve coordination through regularly established meetings and development of memorandums of understanding between federal and state agencies. They also added staff and increased funding for this development. For example, BLM tripled its staff devoted to processing wind and solar energy applications. To help ensure that its actions are achieving their intended purposes, BLM issued an instruction memorandum in December 2012 aimed at increasing the efficiency and effectiveness of its renewable energy permitting process.

According to BLM respondents to a GAO questionnaire, industry representatives, and others GAO interviewed, many factors affect the pace of renewable energy development on federal lands. Some of these factors are specifically tied to the agencies' permitting processes, primarily BLM's. For example, respondents cited effective coordination among the involved parties and the amount of resources the agency can devote to permitting as factors that facilitated the permitting process. On the other hand, they often cited problems with the quality of applications received as a factor that may hinder or slow the permitting process. Respondents also cited a number of factors outside of permitting agencies' control that can affect the pace of renewable energy development, such as access to transmission lines (which are often scarce in areas where renewable energy is abundant) and competition from electricity generated using conventional energy sources, such as natural gas.

section_title: Letter
paragraphs: American families and businesses depend on electricity to power their  lives, businesses, and the economy. Concerns over reliance on imported  oil and greenhouse gas emissions from burning fossil fuels to generate  power have increased interest in producing electricity from renewable  sources, including wind, solar, and geothermal energy. In the coming  decades, the Energy Information Administration in the Department of  Energy projects the strongest growth in the domestic energy sector will  come from renewable energy. The federal government is uniquely  positioned to affect the development of renewable energy sources, in part  through its land management activities. For example, the Department of  the Interior’s Bureau of Land Management (BLM) manages approximately  248 million surface acres, or about one-eighth of all lands in the United  States, and estimates that 20.6 million acres have commercial wind  energy generation potential and more than 20 million acres have  commercial solar energy generation potential.

About 95 percent of federal land is managed by four land management  agencies—BLM, the Fish and Wildlife Service, and the National Park  Service in the Department of the Interior and the Forest Service in the  Department of Agriculture. The agencies manage this land for various  purposes. BLM and the Forest Service manage land for multiple uses,  such as recreation, timber, and fish and wildlife, and have much of the  responsibility for permitting renewable energy development on federal  lands. In contrast, the Fish and Wildlife Service and the National Park  Service manage land primarily to conserve fish and wildlife and their  habitats and park resources, respectively.

Because areas of federal land have a high potential for producing  renewable energy, interest has increased in permitting such production  on those lands over the past decade. For example, through the Energy  Policy Act of 2005 (EPAct 2005), Congress directed the Secretary of the  Interior to “seek to have approved non-hydropower renewable energy  projects located on public lands with a generation capacity of at least  10,000 megawatts of electricity” by 2015. In 2009 the Secretary issued  an order establishing renewable energy as a priority for the department  and also establishing a task force to, among other tasks, develop a  strategy to increase the development and transmission of renewable  energy from appropriate areas on public lands.

Although renewable energy is generally cleaner to produce than energy  from conventional sources, such as coal- or gas-fired power plants,  renewable energy projects can have significant environmental impacts.  Developing renewable energy projects on a scale large enough to  generate substantial electric power (i.e., on a utility scale) can affect the  environment across hundreds, even thousands, of acres of federal land  and, depending on the energy source, may preclude uses of those acres  for other purposes. In addition, these projects, like other development  projects, can affect the surrounding environment: for example, water used  in some solar technologies may diminish scarce groundwater in the arid  Southwest, or the turning rotors of a wind turbine may kill birds and bats.  Accordingly, part of the federal permitting process for renewable energy  development on BLM- and Forest Service-managed lands involves not  only those agencies but also the Fish and Wildlife Service and National  Park Service in assessing potential environmental effects.

In light of interest in renewable energy development on federal land, you  asked us to review federal agencies’ processes and time frames for  permitting renewable energy projects. Our objectives were to examine  (1) the status of renewable energy permitting on federal land, including  time frames for processing permits applied for since EPAct 2005;  (2) actions the agencies have taken to facilitate renewable energy  development on federal land, particularly since the passage of EPAct  2005; and (3) factors affecting renewable energy development on federal  land.

To determine the status of renewable energy permitting, we administered  a questionnaire to BLM officials nationwide, covering all permit  applications for onshore wind, solar, and geothermal energy projects  submitted to BLM—the agency responsible for permitting almost all  applications submitted for renewable energy development on federal  lands—from enactment of EPAct 2005 (August 8, 2005) through May  2012. We analyzed information obtained through the questionnaire  regarding the status and time frames associated with each application  and the factors affecting its processing. We received a 100 percent  response rate to this questionnaire. In addition, we conducted  semistructured interviews with officials in the nine Forest Service regional  offices to determine the status and time frames of renewable energy  permitting on Forest Service-managed lands. To determine actions taken  to facilitate renewable energy development, we reviewed relevant laws,  regulations, and agency policies and guidance. We interviewed  headquarters officials from the Department of the Interior and its four land  management agencies—BLM, the Bureau of Indian Affairs, the Fish and  Wildlife Service, and the National Park Service—as well as from the  Department of Agriculture’s Forest Service. We also interviewed BLM  officials from four state offices; Fish and Wildlife Service and National  Park Service officials from selected regions and field units; officials from  all nine Forest Service regions; and officials in the wind, solar, and  geothermal research programs at the Department of Energy’s National  Renewable Energy Laboratory in Golden, Colorado. We obtained BLM  funding and staffing data from the agency’s database, and we assessed  the reliability of these data by reviewing the agencies’ internal controls of  their data systems and interviewing agency officials; we found these data  to be sufficiently reliable for the purposes of this report. To determine  factors affecting renewable energy development, we used the results of  our questionnaire and also interviewed representatives from industry and  environmental groups to obtain their perspectives on the time frames and  factors associated with the permitting process, and renewable energy  development in general. Appendix I provides a more detailed description  of our scope and methodology.

We conducted this performance audit from January 2012 to January 2013  in accordance with generally accepted government auditing standards.  Those standards require that we plan and perform the audit to obtain  sufficient, appropriate evidence to provide a reasonable basis for our  findings and conclusions based on our audit objectives. We believe that  the evidence obtained provides a reasonable basis for our findings and  conclusions based on our audit objectives.
subsections: section_title: Background
paragraphs: Renewable energy technologies generate electricity, fuels, or heat  through the use of resources that are continually replenished, such as  wind, sunlight, and naturally occurring underground steam and heat.  Development of utility-scale renewable energy projects on federal land  occurs primarily on lands managed by BLM and, to a lesser extent, on  those managed by the Forest Service. Nearly all of the approximately  248 million surface acres of federal land managed by BLM are located in  11 western states and Alaska. BLM is also responsible for managing  resources (e.g., geothermal, oil, and gas resources) lying on or beneath  federal lands and beneath private lands for which the federal government  retains mineral rights—amounting to approximately 700 million  subsurface acres altogether. The Forest Service is responsible for  managing 193 million acres of forests and grasslands, primarily in the  western states but also throughout the country. The Fish and Wildlife  Service and National Park Service manage about 90 million and  80 million acres, respectively, but under legislation that generally  precludes the development of large-scale renewable energy projects.  Another Interior agency, the Bureau of Indian Affairs, works with Indian  tribes to develop renewable energy on tribal lands.

Renewable energy projects on federal lands date back decades; for  example, utility-scale geothermal projects have operated on both BLM-  and Forest Service-managed lands since the 1970s, and several utility- scale wind projects have been operating on BLM-managed lands,  primarily in California, since the early 1980s. In May 2012, the first utility- scale solar power plant began operating on federal lands, specifically on  BLM-managed land. No utility-scale wind or solar development is  operating at present on Forest Service-managed lands. In general, over  half the nation’s electricity generated from geothermal resources comes  from resources on federal lands, and about 1 percent of the nation’s  electricity generated from wind and solar energy comes from resources  on federal lands.
subsections: section_title: Types of Renewable Energy and Technologies Used for Development
paragraphs: Electricity generation using wind, solar, and geothermal energy can range  from small-scale production—for example, rooftop solar panels on a  home or geothermal resources heating a greenhouse—to utility-scale  production of hundreds of megawatts of electricity. Figure 1 shows  examples of utility-scale facilities representing each of these three energy  types.

The most common technologies for utility-scale wind, solar, and  geothermal development include the following:

Wind energy. Wind farms comprise a number of turbines built close  together to produce utility-scale wind power. Horizontal-axis turbines,  the most common, constitute nearly all utility-scale turbines in the  United States. To generate electricity, horizontal-axis turbines  capture the wind’s energy with two or three propellerlike blades  mounted on a rotor sitting atop a tower. A smaller utility-scale wind  farm may have 6 turbines on 100 acres and generate about  3 megawatts, and a larger wind farm may have over 100 turbines on  about 10,000 acres and generate over 300 megawatts. Siting wind  farms in appropriate locations is important because they can fragment  wildlife habitat and plant communities, and the turbines and blades  themselves may kill birds and bats, make noise, and mar views.

Solar energy. Multiple technologies exist for utility-scale solar power.  Solar photovoltaic technologies convert energy from sunlight directly  into electricity, using arrays of solar panels. Concentrating solar power  technologies use mirrors to focus the sun’s energy to heat water or  other fluids; these fluids in turn create steam that powers a  conventional turbine generator to produce electricity. An average solar  plant, whether photovoltaic or concentrating, requires about 3 to  8 acres for every megawatt of generating capacity. For example, a  small utility-scale solar plant occupying about 400 acres may generate  45 megawatts, and a large facility occupying over 7,000 acres may  generate 1,000 megawatts. Selecting appropriate areas for the  development of solar projects is essential given that such  development generally precludes other uses of the same land  because the surface area is graded before installation, and  components are installed relatively close to one another. In the  southwestern United States, where the potential for solar energy  development is greatest, solar installations can affect habitat needed  by various species, including those listed as threatened or  endangered under the Endangered Species Act, such as the desert  tortoise. In addition, some solar technologies use large amounts of  water, which can be problematic in desert environments.

Geothermal energy. Geothermal power plants extract geothermal  fluids—hot water, brines, and steam—from the earth by drilling wells  to depths of up to 10,000 feet. These fluids are then used to create a  vapor that can power a turbine generator to produce electricity, with  only the highest-temperature geothermal resources—generally above  200 degrees Fahrenheit—suitable for electricity generation.  Geothermal power plants typically generate from 30 to  120 megawatts, and an individual power plant often uses resources  brought to the surface through multiple wells. Mitigating for harmful  effects is important in geothermal planning because geothermal  operations can emit dangerous gases, and geothermal drilling  operations may contaminate groundwater.

However it is generated, electricity from utility-scale renewable energy  development is sold to utilities and—like electricity generated by more  conventional sources such as coal- or gas-fired power plants—is  conveyed to consumers through transmission lines. Some of the best  locations for wind and solar development, however, are in remote areas  far from consumers, and transmission lines to carry the power are not  always readily available in these remote areas. In addition, electricity  generated from wind and solar development differs from geothermal and  conventional sources because it is available intermittently, rather than  continuously.

section_title: Agency Permitting Processes for Renewable Energy Development
paragraphs: In managing their lands, BLM and the Forest Service are required by the  Federal Land Policy and Management Act of 1976 and the National  Forest Management Act, respectively, to develop or revise land use plans  for the areas they manage, providing for multiple uses, such as  recreation, timber, and fish and wildlife, and natural scenic, scientific, and  historical values. All land management actions, including renewable  energy development, must conform to the approved land use plan  governing the land management unit—such as a national forest—where  the action is to take place. Consequently, renewable energy development  can occur only where it is consistent with the applicable land use plan,  which in some cases may require changing the plan. Plan revisions  undergo extensive environmental analysis before being finalized.

Wind and solar energy projects on federal land require permits from the  relevant land management agency through the issuance of rights-of- way. A right-of-way is an authorization to a qualified individual,  business, or government entity to use a specific area of federal land for a  specific amount of time for a certain purpose and with certain restrictions.  Geothermal activities are administered by BLM for all federal lands  (regardless of whether the surface land is managed by BLM or another  agency) through the issuance first of leases and then of subsequent  permits for drilling operations and other activities—similar to the process  used for oil and natural gas.

The Federal Land Policy and Management Act of 1976 authorizes BLM  and the Forest Service to issue rights-of-way over federal lands for a  variety of purposes, including systems for generating, transmitting, and  distributing electric energy. For new projects that may have a significant  impact on the environment, the act requires applicants to submit a plan of  construction, operation, and rehabilitation for the right-of-way that  complies with applicable laws and regulations. An agency may issue a  right-of-way only after the applicant has demonstrated that it has the  technical and financial capability to construct the project for which the  right-of-way is requested. Each right-of-way must include terms and  conditions that, among others, protect the environment, federal property  and economic interests, and the public interest. The holder of a right-of- way must generally pay its fair market value annually in advance and  must provide a bond ensuring that the holder can perform the  obligations—such as reclamation—required by the terms of the right-of- way.

BLM’s permitting process for wind or solar energy projects comprises  several steps prior to right-of-way issuance, as follows:

A potential project developer contacts the BLM office responsible for  land where a right-of-way is sought and obtains a standard application  form.

Preapplication meetings take place between the potential applicant  and appropriate BLM field office staff to discuss the application form  and its requirements, the general project proposal, land use planning  in the area, and potential land use constraints.

Once an application has been submitted, BLM reviews it to determine  whether it is complete. A complete application must include a  statement of technical and financial capability to construct, operate,  maintain, and terminate the system for which the right-of-way is being  requested, along with a project description—called a plan of  development—sufficiently detailed for BLM to evaluate the proposed  project’s appropriateness and feasibility.

BLM checks to ensure that the proposed use conforms with BLM land  use plans and that no apparent conflicts exist, such as other valid  rights for the same lands requested in the application.

BLM establishes a cost-recovery fee based on the amount of time  BLM estimates it will take to process the application and issue a  decision and collects this fee from the applicant.

BLM begins processing and evaluating the application, including  associated environmental reviews under the National Environmental  Policy Act (NEPA), Endangered Species Act, and others.

An approved application generally results in an authorized right-of-way,  although BLM generally issues a notice to proceed before the holder of  the right-of-way can begin construction. On the other hand, BLM is  authorized to deny applications for various reasons—for example, if the  project is not consistent with the relevant land use plan or if applicants do  not provide BLM with sufficient information. At any point in the process,  an applicant may choose to withdraw the application.

The Forest Service issues permits for wind and solar energy development  under its “special use” permit process. A potential project developer files  a project proposal, which must contain information such as a project  description and evidence of the applicant’s technical and financial  capability to carry out the project. Proposals are initially screened to  ensure in part that the proposed project is consistent with applicable laws,  regulations, and relevant land use plans. A second screening then  examines whether the applicant has demonstrated sufficient technological  and financial capability. If these conditions are met, the potential project  developer may submit the proposal as a formal application, which is then  analyzed under NEPA. If the project is approved, a special use permit is  awarded to the applicant. Special use permits must include terms and  conditions that protect the environment and require compliance with  federal and state air and water quality laws, as well as with any state  environmental and facility siting standards that are more stringent than  federal standards. Like BLM, the Forest Service can deny applications for  various reasons, including if the proposed project is inconsistent with the  relevant land use plan or if the applicant fails to demonstrate sufficient  technical or financial capability.

Geothermal activities are authorized through the issuance of leases and  several subsequent permits and approvals to drill fluid minerals under the  Geothermal Steam Act of 1970, as amended. To explore and develop  geothermal resources on federal lands, developers generally must first  obtain a federal lease from BLM. Once a lease is obtained, a potential  developer undergoes three primary phases seeking approval of plans and  permits to explore and then develop geothermal resources and,  ultimately, to construct a geothermal power plant. These plans and  permits include the following: (1) an exploration plan, which describes the  overall process for drilling and testing for geothermal resources; (2) one  or more geothermal drilling permits, which allow an applicant to drill wells  to confirm and produce geothermal resources at a given location; and  (3) a utilization plan, which describes the proposed power plant and  infrastructure needed to generate electricity from geothermal resources  and provides much of the information needed to permit the power plant  itself. A construction permit and site license must also be obtained before  geothermal plant construction may begin. These three phases of  geothermal permitting can be set in motion concurrently, but generally the  environmental approval for the exploration phase is completed before  applicants apply for geothermal drilling permits and subsequent  construction permits. Applications for geothermal drilling permits can also  be submitted after construction of a plant is completed if the developer  determines that a geothermal field may benefit from additional wells.

As with many other land management activities, the agencies must  comply with key environmental laws—including, among others, NEPA,  the Endangered Species Act, and the National Historic Preservation  Act—when amending land use plans and approving permits for  renewable energy development. Compliance with these laws can involve  considerable time spent by agencies and project developers on  environmental analysis and consultation with multiple agencies.

National Environmental Policy Act of 1969. Enacted in 1970, NEPA  has as its purpose, among others, to promote efforts to prevent or  eliminate damage to the environment. NEPA requires an agency to  prepare a detailed statement on the environmental impacts of any  “major federal action” significantly affecting the environment.  Regulations promulgated by the Council on Environmental Quality  implementing NEPA generally require an agency to prepare either an  environmental assessment or an environmental impact statement.  Agencies may prepare an environmental assessment to determine  whether there is a significant potential impact on the environment,  which would necessitate the preparation of an environmental impact  statement. If the agency determines in its environmental assessment  that no significant environmental impacts will occur from the proposed  action, then it prepares a finding of no significant impact. If the agency  issues an environmental impact statement, it must also issue a record  of decision describing the agency’s decision; identifying all  alternatives the agency considered; and stating whether all  practicable means to avoid or minimize environmental harm from the  alternative selected have been adopted and, if not, why not.  Environmental impact statements can be developed at either a  programmatic level—where larger-scale, combined and cumulative  effects can be evaluated and where overall management objectives,  such as road access and use, are defined—or a project level, where  the effects are evaluated of a particular project in a specific place at a  particular time. Programmatic environmental impact statements can  reduce the environmental analysis needed for individual projects  proposed in the area covered by a programmatic statement. In  addition, land use plan revisions typically involve the preparation of an  environmental impact statement, and programmatic statements have  also enabled agencies to amend multiple land use plans at the same  time (e.g., land use plans for areas served by multiple BLM field  offices), thereby reducing the NEPA review typically required when  unit-specific land use plans are amended.

Endangered Species Act of 1973. The purpose of the Endangered  Species Act is to conserve threatened and endangered species and  the ecosystems upon which they depend. Under section 7 of the act,  federal agencies must ensure that any action they authorize, fund, or  carry out is not likely to jeopardize the continued existence of a  species protected under the act. To fulfill this responsibility, the  agencies must, under some circumstances, formally consult with the  Fish and Wildlife Service when their actions may affect listed species  or habitat identified as critical to the species’ survival. The  consultation usually ends with the issuance of a biological opinion by  the Fish and Wildlife Service; this opinion may specify protective  measures intended to minimize the project’s impact on the species.  For example, on the basis of a biological opinion, BLM may require a  wind project to incorporate techniques reducing the turbines’ potential  to harm species protected under the act.

National Historic Preservation Act of 1966. The National Historic  Preservation Act provides for the protection of historic properties. For  all projects receiving federal funds or a federal permit, section 106 of  the act requires federal agencies to take into account a project’s effect  on any historic property, including, for example, areas of traditional  religious and cultural importance to an Indian tribe. In accordance  with regulations implementing the act, agencies must consult with  relevant federal, state, and tribal officials to determine whether a  project or activity has the potential to affect historic properties.

Other key federal laws affecting the permitting of renewable energy  projects in particular include the Migratory Bird Treaty Act and the Bald  and Golden Eagle Protection Act. Each act generally makes it unlawful  to “take” (defined to include, among other actions, hunting, trapping, or  killing) a bird, its nest, or eggs covered by the act unless a permit has  been issued under specific circumstances.

In addition to federal land management agency requirements, project  applications are also subject to relevant state and local requirements,  which vary from state to state. For example, in California, utility-scale  solar projects are also subject to the California Environmental Quality Act.  The California act requires a state agency to prepare an environmental  impact report on any project it proposes to carry out or approve that may  have a significant effect on the environment. The act generally prohibits  the agency from approving a project unless it is modified to mitigate or  avoid significant effects on the environment.

section_title: BLM Has Received Hundreds of Permit Applications since EPAct 2005 and Authorized 25 Projects
paragraphs: Since 2005, BLM has received hundreds of permit applications for utility- scale renewable energy projects. For wind and solar projects, 17 projects  have been authorized, with permit-processing time frames decreasing  over time—from about 4 years to about 1.5 years. For geothermal  projects, 29 applications were submitted, and construction was approved  for 8 projects, with the permit-processing time frames ranging from 1 to  4 years. In all, since EPAct 2005, BLM has authorized projects sited on  federal lands with the capacity to generate a total of about  5,450 megawatts of electricity, a substantial increase over the number of  megawatts the agencies had authorized before passage of the act,  contributing to the act’s goal of approving 10,000 megawatts of renewable  energy on federal lands by 2015.
subsections: section_title: Since 2005, BLM Received 416 Wind and Solar Permit Applications and Authorized 17 Projects, and Permitting Time Frames Have Decreased
paragraphs: According to agency officials and responses to our questionnaire, from  passage of EPAct 2005 through May 2012, BLM received 416 permit  applications for utility-scale wind and solar projects. Over 350 of the  applications were for solar energy projects, almost all of which were  submitted for development on BLM-managed lands in Arizona, California,  and Nevada. Sixty-five applications were submitted to BLM for wind  energy projects. One application was submitted for a wind energy project  on Forest Service-managed land. Of the 416 applications submitted to  BLM, rights-of-way were issued for 20 applications covering 17 projects  (7 wind and 10 solar). About 60 percent of the applications were  ultimately withdrawn by the applicant or denied by BLM. Table 1 depicts  the status of all 416 wind and solar applications. (See also app. I for more  information about our methodology for determining how many  applications each agency received.)

Of the 17 wind and solar projects that had been granted a right-of-way, 7  were in operation and 3 were under construction as of the time of this  report. The remainder were delayed for various reasons—such as  bankruptcy or changes in the type of technology applicants plan to  install—or had been terminated. (See app. II for the status and details of  authorized projects for all types of renewable energy.)

Of the 109 wind and solar energy applications that were identified as  pending, 2 had been approved through a signed decision at completion of  environmental analysis but were not considered authorized because a  right-of-way had not been issued, and 20 applications had entered the  environmental analysis process as of the time of our review. The  remaining applications were in earlier stages of the review process.  According to BLM officials, some of these applications are not likely to be  considered or approved because of where they stand in the queue of  applications for that parcel of land. For example, for some especially  desirable parcels, two or more applications may be in the queue for a  right-of-way. Applications are processed in the order received, and  applications that are further down the queue for the same parcel of land  will be considered only if the first application for that parcel is withdrawn  or denied. In other cases, BLM officials told us, applicants were no longer  actively pursuing their applications but had not yet formally withdrawn  them.

Applications were withdrawn or denied for various reasons. According to  BLM officials, some applicants withdrew because of concerns regarding  the financial market and concerns over the presence of cultural and  natural resources located in the project area. Regarding applications that  were denied by the agency, BLM officials told us that a majority were  denied because applicants did not provide sufficient information—such as  technical details associated with their projects—for BLM to process the  applications. The next most frequently identified reason for denial was  that developers could not demonstrate the technical or financial capability  to carry out their projects.

Permitting for the 17 authorized wind and solar projects with applications  submitted after EPAct 2005 took from less than half a year to almost 5  years from initial application submission to right-of-way authorization,  according to our questionnaire results. Average permitting time frames  differed depending on the type of project application; it took about 3.5  years to complete the permitting process for solar projects and about 2.5  years for wind projects. Some of this difference stems from the fact that  most wind applications were processed using environmental  assessments rather than environmental impact statements, whereas all  authorized solar applications were processed using environmental impact  statements—and processing applications using environmental  assessments took roughly two-thirds as long, on average, as processing  applications using environmental impact statements.

In addition, for those wind and solar applications processed using  environmental impact statements, the time necessary to complete the  application represented about one-third of total processing time. For wind  applications processed using environmental assessments, the time to  complete the application represented a smaller portion of the total  processing time—about 9 percent. Most of the remainder was spent  preparing for or conducting the environmental analysis (see fig. 2).

BLM officials also reported substantially shorter processing times for wind  and solar applications received in more recent years. Specifically,  authorized wind and solar project applications submitted in 2006 took an  average of about 4 years to process, whereas those applications  submitted in 2009 averaged about 1.5 years (see fig. 3). According to  BLM officials, these time frames may have decreased because BLM field  office staff have gained experience in processing renewable energy  applications.

From EPAct 2005 through May 2012, BLM received applications for 29  new utility-scale geothermal projects, most of which were submitted from  2007 through 2009 for development in Nevada. Each component of the  application process for developing utility-scale geothermal projects— exploration plans, geothermal drilling permits for individual wells, and  utilization plans for constructing and maintaining the geothermal power  plant—requires environmental analysis and agency approval. As of the  time of this report, of these 29 proposed projects:

BLM approved 25 exploration plans, with the remaining 4 projects  suspended by the applicants.

Associated with the 25 projects approved for exploration, BLM  approved 168 geothermal drilling permits to drill individual wells for  developing these projects.

BLM subsequently approved 8 of the 25 projects for construction and  maintenance; 3 of these projects were operational, and another was  under construction.

Some of the 25 applications for which geothermal exploration plans had  been approved did not progress to approval of construction because,  during the exploration phase, applicants did not find sufficient geothermal  resources to justify constructing a plant. In other cases, according to  agency officials, financial difficulties constrained applicants’ ability to drill  wells and construct power plants. A few other projects were early in the  exploration process and had not yet moved to the construction phase,  according to BLM officials.

Time frames for obtaining the multiple approvals and permits necessary  for utility-scale geothermal power plants ranged from 1 to 4 years, in part  because of the time needed to explore and find adequate geothermal  resources and also because of the time needed to process applications at  each approval stage. On average, it took about 1.3 years for approval of  exploration plans, about 124 days for approval of drilling permits, and  about 1.3 years for approval of construction plans.

section_title: Wind, Solar, and Geothermal Projects Applied for and Authorized since EPAct 2005 Total 5,450 Megawatts of Generating Capacity
paragraphs: BLM-authorized renewable energy projects sited on federal lands and  applied for since EPAct 2005 have a total electricity-generating capacity  of about 5,450 megawatts—a substantial increase over the capacity for  renewable energy generation approved before EPAct 2005, which was  about 1,360 megawatts. Of this 5,450-megawatt capacity, authorized  wind projects contributed about 800 megawatts, solar projects about  4,200 megawatts, and geothermal projects about 450 megawatts.

As previously noted, EPAct 2005 established a goal that the Secretary of  the Interior “seek to have approved non-hydropower renewable energy  projects located on public lands with a generation capacity of at least  10,000 megawatts of electricity” by 2015. The 5,450 megawatts for  authorized projects discussed above contribute to this goal, as do  megawatts for projects that have been approved but for which an  authorization has not been issued. Other megawatts that contribute to  this goal include those from renewable energy projects on non-Interior  lands that rely on BLM rights-of-way for “connected actions” essential to  the project, such as transmission corridors. BLM officials also told us that  the megawatts associated with projects approved before EPAct 2005  contribute toward meeting the goal. In October 2012, with the approval of  a large wind energy project, Interior officials announced that the  department had surpassed the 10,000-megawatt goal.

section_title: Agencies Have Taken Several Steps to Foster Renewable Energy Development on Federal Lands since EPAct 2005
paragraphs: Since EPAct 2005, the federal land management agencies—primarily  BLM but also other Interior agencies and the Forest Service—have  developed and revised policies to address renewable energy  development on federal lands, formalized collaboration within and across  their respective agencies and with state and local governments, and  devoted increased resources to process renewable energy permit  applications. In addition, BLM—partly in response to our review—has  drafted a policy to help guide and assess these efforts to help ensure they  are achieving their intended purposes.
subsections: section_title: Agencies Have Created Policies Aimed at Improving Renewable Energy Development
paragraphs: Since 2005, BLM has developed and revised policies aimed at improving  renewable energy permitting and development on its lands through  various means. Other agencies—including the Fish and Wildlife Service  and the Forest Service—have also developed renewable energy policies.  Although some of these steps began before EPAct 2005, BLM officials  said they saw the need for continual improvements and changes, given  the sharp increase in applications for renewable energy permits since  EPAct 2005.

BLM has developed and revised policies intended for improving  renewable energy development on its lands by means of programmatic  environmental impact statements, designation of priority projects,  instruction memorandums, and rulemaking.

One of BLM’s most comprehensive actions taken with respect to  renewable energy was the completion of programmatic environmental  impact statements for wind, geothermal, and solar energy development,  made final in 2005, 2008, and 2012, respectively (see fig. 4). These  statements enabled BLM to amend multiple land use plans  simultaneously to provide for renewable energy development on BLM- managed lands; in some cases, the statements also established new  policies and identified best management practices for energy  development. According to BLM officials, the statements were intended to  streamline the permitting process for renewable energy development by  shortening the amount of time needed for project-by-project  environmental impact analyses. The solar statement differed from those  for wind and geothermal energy in that it identified specific areas of  federal lands most suitable for development—known as solar energy  zones—and created incentives, including economic incentives and more  streamlined permitting, for development to occur in those locations.

Programmatic environmental impact statements can be particularly useful  with regard to renewable energy development because many of BLM’s  land use plans did not address such development at the utility scale and  amending them through a programmatic review was more efficient than  doing so one by one. For example, relying on the analysis in the wind  statement, BLM amended 52 land use plans, in some cases incorporating  wind energy development into land use plans where that energy type had  not previously been addressed but where proponents had shown an  interest and in other cases restricting wind energy development from  wildlife habitat where the agency believed adverse effects could not be  mitigated. Without the programmatic statement on wind energy, these  land use plans would have had to be amended individually, each with its  own associated environmental review.

Moreover, in using such programmatic statements, BLM helped address  concerns that NEPA’s requirements for environmental analysis can be  overly time-consuming. According to BLM officials, the geothermal  programmatic environmental impact statement approach has shortened  the time it has taken BLM staff to ensure the accuracy of NEPA  documentation for site-specific activities such as drilling, in part because it  supplied a template for environmental assessments. Additionally, BLM  officials anticipate that environmental analysis for applications in the new  solar energy zones will be streamlined because BLM can tier these  analyses to the relevant programmatic analysis.

In 2009, according to Interior officials, BLM began selecting projects to be  given higher priority in application processing so as to focus agency  efforts and limited resources on those projects it believed had a greater  likelihood of being approved. Recognizing the need for explicit criteria,  BLM in 2011 established criteria for prioritizing wind and solar energy  projects. These criteria took into consideration natural and cultural  resource values—seeking to direct development away from sensitive  areas. According to officials, BLM expected that projects on less sensitive  lands would take less time to process because these projects would  require less consultation, environmental analysis, and mitigation. In  addition, BLM also considered those projects for which the application  process had progressed far enough to start formal environmental review.  Initially, BLM selected priority projects on its own but—recognizing that  other agencies are integral to the permitting process or may be affected  by project development on BLM-managed lands—it has since  coordinated on project selection with other agencies, including the Fish  and Wildlife Service, National Park Service, Bureau of Indian Affairs, and  Department of Defense.

Some BLM officials told us that additional agency attention paid to priority  projects has facilitated processing and streamlined the approval process.  For example, the record of decision for all priority projects is now signed  by the Secretary of the Interior, which means that the decisions, if  challenged, cannot be appealed to the Interior Board of Land Appeals.  This board’s review can lengthen approval time frames, according to BLM  officials.

Since 2005, BLM has issued multiple instruction memorandums to its field  offices containing new policies aimed primarily at development of wind  and solar energy. A significant increase in wind and solar permit  applications beginning in 2007—many of which BLM officials said were  speculative in nature or not detailed enough for consideration—coupled  with BLM’s relative inexperience in processing such applications made  managing the applications a challenge. Several of the memorandums  stemmed from a lessons-learned workshop on renewable energy held in  January 2011, where officials from several Interior agencies, as well as  industry groups, identified challenges and developed suggestions for  improvement. The following month, on February 7, 2011, BLM issued  three instruction memorandums specifically targeted at clarifying NEPA  documentation, facilitating the application review and approval process,  and improving the quality of project applications. The instruction  memorandums are as follows:

A memorandum aimed at clarifying BLM’s policy under NEPA as it  relates to analyzing applications for utility-scale renewable energy  projects. This memorandum provided guidance to BLM staff on  developing and presenting certain information required for  environmental impact statements related to renewable energy  projects. For example, as part of the NEPA process, BLM is to  analyze reasonable alternatives for development. Given the various  technologies available for renewable energy development, some  alternatives may be proposed that are not technically or economically  feasible. This memorandum states that reasonable alternatives  include “those that are practical or feasible from the technical and  economic standpoint and using common sense, rather than simply  desirable from the standpoint of the applicant.” It also notes that  information about the applicant’s interest and objectives, including any  constraints or flexibility in a proposal, is needed to help BLM  determine which alternatives to analyze in detail under NEPA and,  conversely, which alternatives to eliminate from detailed analysis.

A memorandum providing updated guidance to facilitate the  application review and approval process by directing early  coordination between BLM and other stakeholders. This  memorandum requires that all prospective applicants participate in at  least two preapplication meetings with BLM before the agency can  accept an application for solar or wind projects. The first such  meeting, between an applicant and BLM, helps ensure that the  applicant is familiar with BLM’s right-of-way process and allows  discussion of issues such as the applicant’s proposal for the project,  any land use and siting constraints, potential environmental issues,  and potential alternative site locations. The second meeting is to  initiate coordination with other federal agencies, such as the Fish and  Wildlife Service, as well as with tribal, state, and local government  agencies; to provide an additional opportunity to discuss potential  environmental and siting constraints; and to modify the proposed  project, if necessary, before an application is submitted.

A memorandum aimed at improving the quality of project applications,  thereby enabling BLM officials to better identify applicants with a  serious interest in project development.  This memorandum sought  to enable BLM to distinguish between applicants that are serious  about developing a renewable energy project and those considered to  be land speculators. To enable these distinctions, BLM clarified the  expectation that wind and solar project applications are to include  detailed project descriptions before BLM can begin further processing  and that the agency will not accept plans that are still in the  conceptual phase. Because right-of-way permit applications are  processed in the order in which they are received, identifying serious  applicants early in the process can help ensure that BLM’s time is  spent reviewing and processing projects likely to come to fruition.

BLM in 2011 undertook two rulemaking actions to facilitate the  development of utility-scale wind and solar power on federal lands. First,  in April 2011, BLM issued a temporary rule to immediately prevent the  filing of mining claims in areas contemplated for wind or solar energy  development, plus a related rule that would make permanent the  temporary ban on mining claims. According to agency statements in the  temporary rule, over the previous 2 years, hundreds of new mining claims  were filed for areas where wind and solar right-of-way energy applications  had been submitted. Also, according to these agency statements, many  of these claims were likely to be speculative. Specifically, the temporary  rule stated that these claims were filed not for true mining purposes but  rather for the mining claimant to try to compel some kind of payment from  the renewable energy applicant before relinquishing the mining claim.  BLM officials told us that the agency expected to publish the final rule in  January 2013. Second, in December 2011, BLM solicited public  comments to be used in preparing a proposed rule to establish a  competitive process for leasing federal lands for solar and wind energy  development. According to agency statements in the proposed rule, a  competitive process—rather than the first-come, first-served process  currently in use—would enhance the agency’s ability to capture fair  market value and ensure fair access to leasing opportunities. The  rulemaking would establish competitive bidding procedures for lands  within designated solar and wind leasing areas, define qualifications for  potential bidders, and structure the financial arrangements necessary for  the process. The agency expects to issue a proposed rule in January  2013.

In 2007, BLM issued a rule revising the agency’s geothermal resources  leasing regulations to implement EPAct 2005. This rule established,  among other things, a new process for competitive leasing, under which  BLM is generally to issue a lease to the highest bidder.

In addition to new policies created by BLM, the Fish and Wildlife Service  in March 2012 issued wind energy guidelines aimed at improving utility- scale wind energy development to reduce potential impacts to species of  concern—including migratory birds, bats, bald and golden eagles, and  sage grouse—regardless of whether projects are proposed for federal or  private lands. Among other aims, these guidelines are intended to  promote compliance with wildlife laws and regulations, encourage  scientifically rigorous assessments proportionate to risks facing species of  concern, and mitigate potential adverse effects on species of concern and  their habitats. The guidelines assist developers in identifying species of  concern that their proposed projects may affect and also discuss risks to  those species. Adherence to these guidelines is voluntary. Regarding  Forest Service-managed lands, in August 2011, the Forest Service  amended its special use directives to add provisions specific to wind  energy projects. Previously, agencywide policy was to deny wind energy  development proposals if the proposed development could reasonably be  accommodated on lands not managed by the Forest Service. Now,  however, this policy is to be considered in conjunction with the agency’s  encouragement of wind energy facilities on Forest Service-managed  lands to help meet the nation’s energy needs. No such directives exist for  solar projects, although agency officials told us they are drafting such  provisions and expect to complete them in 2013. In general, officials with  the Forest Service told us that interest in utility-scale wind and solar  development on their lands is considerably less than for BLM-managed  lands and that, as a result, the Forest Service has relied primarily on BLM  guidance when considering proposals for development.

section_title: Agencies Have Taken Steps Intended to Improve Coordination Within and Across Agencies
paragraphs: Since EPAct 2005, the federal land management agencies have taken  steps intended to improve coordination as a way to streamline the  permitting process and promote renewable energy development on  federal lands in general. Specifically, coordination has been formalized  through regularly established meetings and memorandums of  understanding across Interior agencies, as well as with other federal  agencies and state and local governments.

To facilitate coordination on renewable energy activities among its  component agencies, Interior instituted weekly meetings among its  component agency officials at the national level to discuss issues  concerning individual renewable energy applications and projects,  particularly those identified as priority projects. These “strike team”  meetings were intended to formalize coordination to ensure that officials  across component agencies are aware of concerns that could affect the  development of projects—including critical habitat, cultural or tribal  issues, conflicts with national park boundaries or interests, and other  environmental issues—and have a recurring forum where such concerns  may be aired and resolved. BLM’s national and state renewable energy  coordination offices also hold weekly meetings to discuss the status of  projects and other issues as they come up.

In several cases, coordination between Interior agencies within certain  regions has been formalized through a memorandum of understanding. In  January 2008, for example, in recognition of the increase in renewable  energy permit applications for projects in Southern California, BLM’s  California Desert District and the Fish and Wildlife Service’s Ventura and  Carlsbad offices signed a memorandum of understanding to help ensure  efficient completion of required consultation under the Endangered  Species Act. This memorandum defines the process, products, actions,  time frames, and expectations needed to complete the process. In  addition, in June 2011, a memorandum of understanding was signed  between BLM’s California state office and the National Park Service’s  Pacific West Region. The memorandum generally documents  coordination procedures the two agencies are to follow in instances  where proposed renewable energy projects in the region may affect lands  under the jurisdiction of the National Park Service. According to Park  Service officials, a similar memorandum is being explored between the  National Park Service’s Pacific West Region and BLM’s Nevada state  office. Interior officials told us that, given the success of the California  effort, the agency is discussing potential amendments to agency manuals  to ensure that closer coordination occurs between each BLM state office  and relevant National Park Service regional offices. Before putting such  amendments in place, however, the agency wants to evaluate different  tools to encourage and reward staff for engaging in coordination.

BLM has also formalized its coordination on renewable energy with other  federal agencies, as well as with state and local entities. For example, in  2006 BLM and the Forest Service signed a memorandum of  understanding to implement certain geothermal leasing and permitting  provisions of EPAct 2005, in part to reduce the backlog of geothermal  leasing applications. In addition, over the past decade, BLM and the  Department of Energy’s National Renewable Energy Laboratory have  maintained a relationship whereby the laboratory has provided expertise  to BLM in support of BLM’s management of renewable energy  development. According to laboratory officials, the relationship has  evolved so that the laboratory provides BLM with assistance on a  systematic rather than task-by-task basis. For example, in 2011 BLM and  the laboratory signed an interagency agreement for the laboratory to  provide technical assistance and training for fiscal years 2011 through  2013. Given the laboratory’s expertise, laboratory officials have in some  cases assisted BLM offices with individual renewable energy applications  by evaluating the technical feasibility of certain proposals. In addition,  BLM state offices are working in partnership with state and local  agencies. In California, multiple federal land management agencies are  working with the California Energy Commission and the California  Department of Fish and Game in a collaborative effort to develop the  Desert Renewable Energy Conservation Plan for 22.5 million acres of  public and private land in Southern California. This effort, initiated under a  2008 memorandum of understanding, is intended to develop a  conservation strategy to provide for protection and conservation of the  natural resources within the Mojave and Colorado Desert Regions while  allowing solar and other renewable energy development in a manner that  avoids or minimizes environmental impacts. According to Interior officials,  other BLM efforts to coordinate with states have occurred in Wyoming  and, to a lesser degree, in Arizona, Nevada, and New Mexico. Officials  told us that success in developing renewable energy projects depends on  collaboration with states, making such partnerships important.

section_title: Agencies Have Devoted Additional Resources to Renewable Energy Development
paragraphs: From fiscal year 2010 to fiscal year 2012, BLM reported more than  doubling the program funding devoted to wind and solar energy activities,  from about $8 million to about $16.5 million. During that time, BLM  added 64 full-time-equivalent staff—tripling its staff from 32 in fiscal year  2010 to 96 in fiscal year 2012. In addition to these funds, BLM uses cost- recovery fees, which it is authorized to recover from applicants to pay for  processing applications for wind and solar energy development. From  fiscal year 2009 to fiscal year 2012, BLM reported collecting about  $16 million through these fees; BLM officials estimated that cost- recovery fees represent about half of the total funds received by BLM field  offices.

In contrast, funding and staffing for geothermal energy leasing and  permitting declined in recent years after the expiration of temporary  funding authority created by EPAct 2005. Specifically, the act established  the Geothermal Steam Act Implementation Fund to be used to expedite  the development of geothermal energy. The act required that certain  rents and royalties paid as part of geothermal leases go into the fund until  the end of fiscal year 2010. BLM used these funds for coordinating and  processing geothermal, permits, among other uses. Authorization for this  fund has expired, and after expiration, BLM’s geothermal-related  obligations declined from about $7.9 million to about $2.7 million from  fiscal year 2010 to fiscal year 2012, and the number of full-time- equivalent staff was reduced from 45 to 35 during that time.

The funding and staffing increases for wind and solar energy  development were in large part used by BLM to establish renewable  energy coordination offices at the national and state levels to, among  other duties, help process wind and solar right-of-way permit applications  in the four western states with significant renewable energy activity:  Arizona, California, Nevada, and Wyoming. BLM also established similar  but less well-developed entities, known as renewable energy teams, in  several of the other western states with less-significant renewable energy  activity.

Interior agencies besides BLM have also recently devoted additional  resources toward renewable energy efforts. To accommodate the  workload associated with increased interest in renewable energy  development, the National Park Service in 2010 hired a permanent, full- time national external renewable energy coordinator and six full-time- equivalent staff focused on coordination for renewable energy permitting.  According to agency officials, these positions are supported by using  funds from the agency’s existing programs. Other National Park Service  staff also contribute time to renewable energy efforts on BLM-managed  lands as a collateral duty. For example, agency officials told us that  several agency staff representing national parks in Southern California  have spent time working with BLM and project applicants on renewable  energy proposals near national parks in the region; these officials told us  they work with BLM and applicants to minimize potential negative effects  on park resources, such as impaired views, increased noise and light  pollution, and disruption to area wildlife.

The Fish and Wildlife Service also reported receiving more appropriated  funds for engagement in renewable energy permitting. Specifically, in  fiscal year 2010, the agency’s Conservation Planning Assistance  Program received a $1.5 million increase for technical assistance on  renewable energy projects. In fiscal year 2011, this program received an  additional $2 million for these activities, for a total increase of $3.5 million.  This $3.5 million increase continued for fiscal year 2012. The program’s  funding covered not only time spent contributing assistance to projects  proposed on federal lands but also to those proposed on private lands.  Some of this funding helped address region-specific increases in  workloads. For example, according to agency officials, in fiscal years  2011 and 2012, the Fish and Wildlife Service’s Pacific Southwest  Regional Office was able to add two to three full-time-equivalent staff  positions at the state level and to conduct consultation and project  planning at five offices working on renewable energy in the region.  Nonetheless, several Fish and Wildlife Service officials told us that they  completed their increased federal lands renewable energy-related work  as a collateral duty done in conjunction with other work responsibilities.

Interior has taken steps to address its component agencies’ concerns  over the amount of time and funding they commit to the renewable energy  permitting process, according to agency officials. For example, Interior  has prepared a draft secretarial order delegating authority for cost  recovery to the Bureau of Indian Affairs, Fish and Wildlife Service,  National Park Service, and others to allow these agencies to collect cost- recovery fees to help pay for their activities as part of the permitting  process. A final order is expected to be issued in 2013.

According to Forest Service officials, interest and activity in developing  wind and solar energy projects on Forest Service-managed lands have  been at a relatively low level, and no specific Forest Service increases in  funding or staff comparable to BLM’s have been dedicated to renewable  energy development. Forest Service officials told us that funding is  received through recovery of costs from applicants when needed for  specific renewable energy activities. The agency maintains two expert  advisors on technical and legal issues related to geothermal leasing, as  well as other personnel who work on renewable energy projects and  policy as collateral duties. Nevertheless, the Forest Service does not  dedicate specific funding to wind, solar, or geothermal energy  development; rather, funding for such development is included in agency  budget line items covering broader activities. According to Forest Service  officials, they do not track the amount the agency spends on renewable  energy permitting activities.

section_title: BLM Plans to Review Its Renewable Energy Activities
paragraphs: To help ensure the efficiency and effectiveness of its renewable energy  activities, BLM issued a new instruction memorandum in December 2012  aimed at providing BLM offices involved in renewable energy activities  with a better understanding of renewable energy policies and regulations  and to provide clarity and consistency in the goals of the agency’s  renewable energy activities. The memorandum—developed partly in  response to our review—directs the national renewable energy  coordination office to establish an Oversight and Implementation Plan.  This plan is to establish an internal review to be performed annually by  the national renewable energy coordination office, beginning in fiscal year  2013. The review is intended to ensure BLM compliance with renewable  energy regulations and policies and to ensure that guidance is applied  appropriately and consistently throughout BLM. In addition, the plan is to  call for collaboration among the various offices in the development of  future renewable energy policies.

During our review, some agency officials and stakeholders acknowledged  the importance of greater resources and coordination in facilitating the  permitting process but also informed us of areas for improvement— thereby indicating the importance of assessing the permitting process.  For example, one agency official and some stakeholders told us that BLM  field offices were not always consistent in their approach to renewable  energy permitting or in their willingness to coordinate on renewable  energy projects; they said that BLM could do more to help ensure  consistency in coordination. An ongoing oversight and improvement plan  can assist BLM in identifying needed improvements to its renewable  energy permitting process.

section_title: Factors Related to Permitting, as Well as Market and Other Forces, Affect the Pace of Renewable Energy Development on Federal Lands
paragraphs: According to BLM officials’ responses to our questionnaire and interviews  we conducted with others, including industry representatives, many  factors can affect the pace of renewable energy development on federal  lands. Some of these factors relate to the land management agencies’  approval and permitting processes, primarily BLM’s, with BLM  respondents and others identifying some factors that facilitate and others  that hinder the permitting process. Other factors identified as important  include some related to broader market forces, which operate outside of  the permitting process and therefore beyond the agencies’ direct control.
subsections: section_title: Agency Officials and Others Identified a Number of Factors Related to Permitting That Can Facilitate or Hinder the Process
paragraphs: Agency officials, industry representatives, and other stakeholders we  spoke with identified several key factors affecting the processing of  renewable energy applications. Factors facilitating the permitting process  include coordination among the involved parties and resources the  agency can devote to permitting; factors that may hinder or slow  permitting include the quality of submitted applications and managing for  the presence of natural and cultural resources on proposed development  locations.

Factors identified as facilitating the permitting process are generally  related to coordination among the parties involved in permitting and the  availability of BLM resources.

BLM respondents identified the quality of coordination between parties  involved in permitting individual projects as among the top factors that  facilitated the permitting process for each of the three energy types we  reviewed. Such coordination occurs throughout the application process,  including the initial request for an application; when key portions of the  application, such as the plan of development, are made final; when  environmental analyses are conducted and NEPA documentation is  prepared; and the issuance of the right-of-way. It also happens among  several parties—between the applicant and BLM staff, among staff within  BLM, and between BLM staff and staff from other federal and nonfederal  agencies.

BLM respondents identified one forum for coordination as particularly  helpful in facilitating the permitting process: participation in preapplication  meetings, where coordination occurs among multiple parties. These  meetings, which take place before an applicant submits an initial  application to BLM, are meant to provide opportunities for applicants,  BLM officials, and other stakeholders to discuss the permitting process,  early concerns about project proposals, and other issues. According to  some respondents to our questionnaire, applicants who spent time  coordinating with stakeholders early could generally move through the  permitting process more easily than those who had not. Several  respondents acknowledged that preapplication meetings could be time- consuming, but these respondents also said that such meetings could  help ensure that applicants understand BLM’s permitting process and  required documentation, select appropriate locations to site projects (e.g.,  to avoid areas with environmental or other constraints), and submit an  adequate application. Concerning one application, a respondent  explained that frequent and early coordination between BLM and the  applicant clarified expectations for both parties as to what information the  applicant needed to provide to BLM, thus preventing delays associated  with unanticipated surveys or studies that might otherwise have been  required.

Such coordination often involved other federal agencies, which BLM  respondents and others identified as important. Some Fish and Wildlife  Service officials told us that meeting with applicants at the preapplication  stage can help ensure that potential harm to species and ways to mitigate  that harm are identified and addressed in the application. For example,  particularly with wind energy projects, officials said they work with  applicants to mitigate not only harm to threatened and endangered  species and their habitats under the Endangered Species Act but also  harm to other species protected under laws such as the Migratory Bird  Treaty Act and Bald and Golden Eagle Protection Act. Fish and Wildlife  Service officials also said that they work with applicants at the  preapplication stage to prepare species conservation plans and issue  species-specific Fish and Wildlife Service permits. These officials said  that these early meetings and documentation from applicants provide  both the applicant and the agencies greater certainty that the applicant  can comply with relevant species protection laws. Similarly, a respondent  told us that for one approved project, early coordination between the  applicant and officials from a nearby Air Force base helped the applicant  select a site that was less likely to interfere with the base’s training needs,  thereby limiting the potential for conflict as the application progressed  through the permitting process. BLM respondents also identified  coordination with state, local, and tribal governments as facilitative,  although to a lesser degree than coordination with federal agencies.

Most representatives of industry and environmental groups we spoke with  commended BLM’s efforts to enhance coordination, but they suggested  that improvements could still be made. For example, one industry  representative suggested that preapplication meetings could be more  beneficial if BLM designated one staff member as coordination leader for  a particular project. This individual could then be responsible for setting  deadlines and holding the various other participants accountable for  completing their respective tasks in a timely manner.

BLM respondents frequently cited the availability of resources as an  important factor in the permitting process. They identified the importance  of (1) cost-recovery funds provided by applicants to cover agency  permitting costs for wind and solar energy projects and (2) internal BLM  resources used to support activities such as administration and policy  development.

The cost-recovery funds that BLM requires applicants to submit before it  processes wind or solar applications pay for agency permitting expenses,  such as reviewing applicant-provided information and studies, preparing  environmental analyses, and recording information in agencywide  databases. According to BLM officials, BLM’s expenses are generally  substantial given the scale of most renewable energy projects and  required reviews, ranging from $50,000 to almost $400,000. Without  receiving at least a portion of its expenses in the form of cost-recovery  funds, BLM does not begin processing an application; any delay in receipt  of these funds can cause additional delays throughout the permitting  process. Several respondents noted that in certain cases the applicants  never provided cost-recovery funds, even after multiple BLM requests.

In addition to cost-recovery funds, BLM provides internal resources to  support administrative activities not specific to individual applications, as  well as to maintain adequate staffing with sufficient expertise to process  renewable energy applications. BLM officials and industry representatives  told us that when BLM first began receiving applications for utility-scale  solar development, it did not have expertise in either solar energy  development or in processing permits for this type of right-of-way. Over  the last few years, however, BLM has increased the number of its staff  and the amount of funding dedicated to renewable energy development  and has provided training opportunities to its staff who process  applications; agency officials and industry representatives also told us  that staff have become more knowledgeable through experience.

Representatives from industry and environmental groups and officials  from agencies other than BLM concurred that BLM staff have in more  recent years become more knowledgeable about renewable energy in  general and the permitting process specifically. Several commented that  the pace at which an application was processed depended on the abilities  of the assigned project manager and the emphasis placed on renewable  energy by the field office processing the application.

BLM respondents to our questionnaire commonly identified two other  factors as facilitating the permitting process, although these factors were  cited less frequently than those related to coordination or resources. One  of these other factors was agency policy and guidance related to energy  development. Specific policies identified by respondents as particularly  helpful for wind and solar applications included programmatic  environmental impact statements; instruction memorandums from BLM,  including the memorandum addressing NEPA compliance for utility-scale  renewable energy development; and a 2003 memorandum containing  interim guidance from the Fish and Wildlife Service on avoiding and  minimizing wildlife impacts from wind turbines. In addition, one industry  representative told us that BLM’s solar programmatic environmental  impact statement is effective in screening lands for the presence of  cultural and biological resources. Another industry representative called  the Fish and Wildlife Service’s 2012 wind energy guidelines an effective  tool that clearly describes agency expectations.

Another facilitating factor identified was the selection of applications as  priority projects. Several respondents and industry representatives told us  that a priority designation helped because the various stakeholders  involved in the permitting process dedicated their attention to reviewing  priority projects. Others, however, were less certain of benefits. A few  industry representatives told us they did not observe a reduction in  application processing times. Also, one BLM respondent told us that,  although the designation of a solar application as a priority project  facilitated the permitting process for this project, it also encouraged  officials to process the application faster than was appropriate, given that  the necessary biological and cultural surveys had not been completed.

section_title: Hindering Factors
paragraphs: BLM respondents to our questionnaire and other agency and industry  representatives we spoke with identified several key factors that could  delay the processing of renewable energy applications, such as  application quality and other applicant-related factors, as well as factors  related to managing for natural and cultural resources.

Respondents identified the quality of a renewable energy application,  including key components such as the plan of development for wind or  solar projects, as among the top factors hindering the permitting process.  The plan of development for wind and solar projects is to include  information on structures and facilities associated with the proposed  project, engineering specifications, maps, and other items. Similarly,  applications for geothermal power plants are to include a detailed  utilization plan, completed and signed facility construction permit, and  completed and signed site license. According to BLM officials, this  information allows them to determine the scale and scope of the  proposed development and begin analyses to determine project  feasibility. The agency does not begin processing applications until the  information is complete. Since many applications require more  information than is initially submitted, this step may delay processing,  depending on how much additional information is requested by BLM and  the applicant’s ability to respond. For example, one respondent to our  questionnaire said that in addition to poorly defining the project, an  applicant continually altered key application components—including  project scope, design, and technology—which made it difficult for BLM  officials to analyze impacts on natural and cultural resources and process  the application in a timely fashion. BLM officials also told us that some  applicants did not include detailed information necessary to begin review,  such as technical plans for engineering and hydrological design or  stormwater management, which delayed processing of the applications.  When critical components like these are missing from an application,  delays result. BLM questionnaire respondents reported that in some  instances applicants did not respond to the agency’s requests for  additional information or responded with incomplete information, leading  to denial of their applications. As noted, our analysis showed that the  most prevalent reason for denial was that an applicant did not provide  information BLM requested that was needed to process the application.

On the other hand, several industry representatives told us that the  amount of documentation necessary to develop a project on federal land  is, in their view, at times excessive. Some representatives told us that  additional information and studies requested by the agency can be time- consuming and expensive to provide, thereby delaying projects, and, in  their opinion, are not always necessary. For example, one applicant for a  wind energy project wanted to incorporate into the application studies on  golden eagles, a protected species, that had recently been completed for  areas close to the proposed project site. The Fish and Wildlife Service,  however, requested site-specific studies, which could take 3 to 5 years.

Similarly, several questionnaire respondents identified applicants’  requests for BLM to delay the processing of their applications as  hindering the permitting process. The respondents noted several reasons  that applicants might make such requests, including the need for more  time to respond to BLM’s requests for additional information and changes  to agency policies or fees. For example, applicants might have requested  a delay because they wanted to wait until the effects of BLM’s recently  issued programmatic environmental impact statement for solar energy  development could be determined. In other cases, costs associated with  development—such as BLM rental fees paid by the applicant for siting a  project on federal land or the costs required for mitigation efforts  necessary at the project site—can cause an applicant to request a  processing delay. One questionnaire respondent reported that an  applicant for a solar energy project requested a BLM delay when BLM  quoted rental rates higher than the applicant expected.

BLM questionnaire respondents identified several other factors that, to a  lesser degree, hindered the processing of applications, including  managing for the presence of threatened or endangered species, or other  species of concern, and managing for the presence of tribal, cultural, or  historic resources. For example, for one pending solar application in  Nevada, BLM officials noted that the applicant is performing additional  wildlife and environmental analyses and consultation with the Fish and  Wildlife Service to avoid impacts to the desert tortoise. For other projects,  managing for the presence of tribal, cultural, or historical resources can  contribute to the time it takes to process an application. In some areas, a  burial site or a place of sacred significance may require extensive tribal  consultation. For one project, an industry representative told us that  extensive tribal consultations led to the applicant’s changing the project’s  design about 15 times. Ultimately, according to this representative, the  applicant spent thousands of hours on archaeological reviews and moved  the project to prevent any degradation of culturally sensitive areas. This  representative told us that the lack of specificity in the regulation guiding  tribal consultation makes it difficult to ascertain whether an applicant’s  proposed mitigations for sensitive resources are likely to be adequate. As  a result, according to this representative, lawsuits may still ensue, further  delaying development even after a project has been approved.

BLM questionnaire respondents also identified requirements for state or  local laws as factors that can hinder the permitting process. Specifically,  several respondents told us that compliance with the California  Environmental Quality Act can add procedural layers to processing  applications in California.

section_title: Market and Other Forces Outside the Permitting Process Also Play a Role
paragraphs: BLM questionnaire respondents, other BLM and federal agency officials,  and industry representatives we spoke with also identified as important  some factors outside of the permitting process and beyond agency  control. Specifically, market forces and other factors influence whether  renewable energy projects on federal lands are proposed, funded, and  completed. Some of these factors relate to demand for renewable energy,  including competition from electricity generated through other sources,  and others relate to supply, including the availability of electrical  transmission lines. Such forces can play a key role for any utility-scale  renewable energy project by setting the financial backdrop for the project,  according to industry representatives. For an applicant to secure  financing for renewable energy projects on federal lands, investors  generally require some assurance that the costs to construct the project  and produce the energy will not exceed revenues from selling that  energy. For example, BLM officials we spoke with told us that one reason  that some renewable energy projects were withdrawn was that financing  was not available because of concerns about whether the project could  repay its investment costs. These officials said that financing for  permitting, construction, and other aspects of development is more likely  to be available to applicants who demonstrate that demand is sufficient  and that the cost of supplying power allows for profitability.

According to agency officials and industry representatives, demand for  electricity from renewable sources can be influenced by such factors as  competition from other sources of energy and the presence of renewable  portfolio standards. As natural gas prices have decreased in recent  years, renewable energy sources may have become less attractive to  electricity purchasers and investors. Because wind and solar energy  development provides an intermittent supply of electricity, purchasers and  investors may find other, more steady supplies of electricity more  attractive. In addition, demand for renewable energy may be affected by  the presence of renewable energy portfolio standards; at least 29 states  have such standards in place, under which utilities are required to derive  a minimum percentage of total electricity they sell from renewable energy  sources. Such standards may increase demand for renewable energy  overall, but because an increasing number of these state standards have  been or are nearly met, the utilities required to comply with these  standards may no longer be interested in purchasing additional  renewable energy within the next several years, according to industry  representatives. BLM respondents noted that applicants sometimes  struggled to find buyers for their electricity and, consequently, had  difficulty pursuing their projects. Industry representatives told us that  establishing power purchase agreements—contracts between energy  producers and energy purchasers—was a key part of the success of their  renewable projects, and several questionnaire respondents noted that  some wind and solar projects could not move forward because the  applicants were unable to secure such agreements. In one case, a BLM  official noted that the inability of a solar project to secure a power  purchase agreement contributed to the cancellation of a 700-megawatt  project after BLM had authorized the project’s right-of-way permit.

Officials we spoke with also identified factors influencing the cost of  supplying renewable energy—most notably the accessibility of  transmission lines and the availability of government incentives—as  having a role in the pace of energy development on federal land.  According to agency officials and industry representatives, the availability  of nearby power transmission and distribution lines and access to these  lines are critical to the economic viability of a renewable energy project,  regardless of whether the project is located on federal or nonfederal  lands. Often, however, renewable energy sources are abundant in areas  where transmission lines are scarce—increasing the overall difficulty and  cost of supplying renewable energy. Moreover, the construction of new  transmission lines can be costly and can face its own regulatory and  environmental challenges, including separate environmental analyses.  For example, several BLM officials in Wyoming told us that not having a  sufficient transmission infrastructure has been a deciding factor in some  companies’ decision to suspend or halt their renewable energy projects.  In addition, we were told that the availability of government incentives can  affect the cost of producing electricity from renewable resources. For  example, the federal tax code includes special tax incentives for solar  energy development, which can help increase the potential profitability of  planned solar projects. Such tax credits can be useful, although less so if  available financing is limited, because without financing for an initial  investment, projects that might benefit from tax credits would not be built  in the first place. As part of a federal response to the 2008 recession, the  American Recovery and Reinvestment Act of 2009 expanded a number of  existing tax incentives, including ones for renewable energy development.  Several industry and government officials we spoke with cited the Energy  Production Credit (also known as the Production Tax Credit) for wind  facilities in particular as an important incentive for encouraging the  development of several new wind projects. However, this tax credit was  scheduled to expire at the end of calendar year 2012, which, according  to some industry representatives, likely contributed to a reduction in the  number of proposed wind projects. According to a respondent to our  questionnaire, this uncertainty hampered one applicant’s ability to attract  investors, and the applicant ultimately found the project no longer  economically viable.

section_title: Agency Comments and Our Evaluation
paragraphs: We provided a draft of this report for review and comment to the  Departments of Agriculture, Energy, and the Interior. In written comments  (reproduced in app. III), the Department of Agriculture concurred with our  findings, while the Departments of Energy and the Interior had no  comments.

As agreed with your office, unless you publicly announce the contents of  this report earlier, we plan no further distribution until 30 days from the  report date. At that time, we will send copies to the Secretaries of  Agriculture, Energy, and the Interior; appropriate congressional  committees; and other interested parties. In addition, the report will be  available at no charge on the GAO website at http://www.gao.gov.

If you or your staff members have any questions regarding this report,  please contact me at (202) 512-3841 or fennella@gao.gov. Contact  points for our Offices of Congressional Relations and Public Affairs may  be found on the last page of this report. Key contributors to the report are  listed in appendix IV.

section_title: Appendix I: Objectives, Scope, and Methodology
paragraphs: This report examines (1) the status of renewable energy permitting on  federal land, including time frames for processing permits applied for  since the Energy Policy Act of 2005 (EPAct 2005); (2) actions the  agencies have taken to facilitate renewable energy development on  federal lands, particularly since the passage of EPAct 2005; and  (3) factors affecting renewable energy development on federal land.

To address our first objective, we identified applications for utility-scale  onshore wind and solar projects submitted to the Bureau of Land  Management (BLM) after enactment of EPAct on August 8, 2005, through  May 31, 2012, by asking the BLM renewable energy coordination office to  query the BLM database designed to track such applications. We also  identified geothermal drilling permit applications and associated utility- scale geothermal project applications submitted to BLM during the same  time period by asking BLM to query the agency database designed to  track geothermal permits. We contacted BLM because it is the agency  responsible for permitting almost all applications submitted for renewable  energy development on federal lands. We used the results of this query to  group the permits according to the utility-scale projects of which they  were a part. After reviewing the lists of applications and correcting for any  obvious duplication and other errors, we sent each BLM state office a list  of applications for projects located in that state and asked officials to  verify our lists’ accuracy. In some instances, we deleted some  applications because BLM officials informed us that certain applications  were submitted to BLM before enactment of EPAct or were submitted for  resource exploration or testing without being part of utility-scale  development. BLM officials also identified applications that met our  criteria but did not appear in their database; we added those applications  to our analysis. We identified a total of 65 permit applications for wind  projects, 351 for solar projects, and 29 for geothermal power plants, as  well as 405 applications submitted for geothermal drilling permits from  August 8, 2005 through May 31, 2012.

We distributed an electronic questionnaire to BLM officials for all projects  meeting our criteria. We developed questionnaires for each energy type.  For each application, we asked respondents to identify the dates of  certain milestones (e.g., the date the application was received or the date  it was considered complete) and the factors that facilitated or hindered  processing of that particular application. Although the databases  contained some of the milestone information we collected through our  questionnaires, they did not include information for each of the dates  needed for purposes of our analysis. To encourage questionnaire  recipients to respond, we held meetings with national and state BLM  officials to explain the questionnaire’s purpose, followed up by telephone  and e-mail, and obtained a 100 percent response rate for projects  meeting our criteria.

We sent the completed questionnaires to a third-party contractor to  compile the results, checked the compiled results to ensure their  accuracy and reliability, and followed up as needed to clarify incomplete  or ambiguous responses. In some cases, we eliminated certain  responses from our analysis because we could not obtain sufficiently  complete information from the respondent. Because our questionnaire did  not sample from a population, no sampling errors occurred. Nevertheless,  the results of any questionnaire may be subject to errors, commonly  referred to as nonsampling errors. For example, differences in how a  particular question is interpreted, in the sources of information available to  different respondents, or in how data are entered into a database or  analyzed can introduce unwanted variability into questionnaire results.  We took steps in questionnaire development, data collection, and data  analysis to minimize these nonsampling errors. For example, before  developing the questionnaires, we met with BLM officials at headquarters,  state, and field offices to discuss the permitting process. We also  reviewed current policies and legislation relevant to our questions and the  analysis of the responses. The questionnaire was designed by GAO  questionnaire specialists in conjunction with staff having subject-matter  expertise. We pretested a draft of the questionnaire with officials from five  BLM state offices—Arizona, California, Nevada, Utah, and Wyoming, the  states that received the greatest number of applications—to ensure that  the questions were relevant, clearly stated, and easy to understand.

We also conducted semistructured interviews with the special-use  coordinators in each of the nine regional offices of the Forest Service.  During these interviews, we requested information on the number of  applications received and time frames for processing applications, as well  as on factors facilitating and hindering the permitting process.

To address our second objective, we reviewed relevant laws, regulations,  and agency policies and guidance. We also interviewed officials from the  Department of the Interior and its four land management agencies—BLM,  the Bureau of Indian Affairs, the Fish and Wildlife Service, and the  National Park Service—as well as from the Department of Agriculture’s  Forest Service. In addition to officials in these agencies’ headquarters, we  interviewed BLM officials from California, Colorado, Nevada, and  Wyoming. We selected California, Nevada, and Wyoming primarily  because they represent areas where substantial renewable energy  development on federal lands is taking place, and substantial agency  resources are devoted to processing renewable energy applications. We  selected Colorado primarily to obtain the perspective about the program  from a state with less activity and fewer resources. We interviewed Fish  and Wildlife Service officials from the agency’s Mountain-Prairie and  Pacific Southwest Regions, both selected because of substantial  renewable energy development occurring in the regions, and from one  state office within each of these regions. We interviewed a National Park  Service official from a national park in California because of his  experience with renewable energy development near the park. In  addition, we interviewed Forest Service officials from all nine Forest  Service regions and officials in the wind, solar, and geothermal research  programs at the Department of Energy’s National Renewable Energy  Laboratory in Golden, Colorado. We reviewed strategic plans, agency  reports, and reviews of renewable energy development on federal lands;  memorandums of understanding between agencies; and programmatic  environmental impact statements for wind, solar, and geothermal energy.  We also obtained funding and staffing data for BLM from the Department  of the Interior’s Financial and Business Management System. We  assessed the reliability of the data we used in our report by reviewing the  methods of data collection and data entry into this system, as well as  various agency planning documents, and determined that the data were  sufficiently reliable to use in this report.

To address our third objective, we reviewed the results of our  questionnaire and semistructured interviews regarding both factors that  facilitate and hinder renewable energy development. We also interviewed  BLM and other agency officials, as well as representatives from seven  industry and two environmental groups, to obtain their perspectives on  the permitting process, the time frames and factors associated with  processing permit applications, and renewable energy development in  general.

We conducted this performance audit from January 2012 to January 2013  in accordance with generally accepted government auditing standards.  Those standards require that we plan and perform the audit to obtain  sufficient, appropriate evidence to provide a reasonable basis for our  findings and conclusions based on our audit objectives. We believe that  the evidence obtained provides a reasonable basis for our findings and  conclusions based on our audit objectives.

section_title: Appendix II: Authorized Renewable Energy Projects for Which Applications Were Submitted after the Energy Policy Act of 2005
paragraphs: Of the 445 applications BLM received for utility-scale wind, solar, and  geothermal projects since enactment of EPAct 2005 through May 2012,  BLM authorized 25 projects—7 wind, 10 solar, and 8 geothermal (see  table 2). These projects were authorized with the potential to generate  about 5,450 megawatts: 800 megawatts from wind, about 4,200  megawatts from solar, and about 450 megawatts from geothermal  energy.

section_title: Appendix III: Comments from the Department of Agriculture

section_title: Appendix IV: GAO Contact and Staff Acknowledgments
subsections: section_title: GAO Contact

section_title: Staff Acknowledgments
paragraphs: In addition to the individual named above, Steve Gaty (Assistant  Director), Ulana Bihun, Catherine Bombico, Lee Carroll, Ellen W. Chu,  Richard P. Johnson, and Kelly Rubin made key contributions to this  report. Important contributions were also made by Catherine M. Hurley,  Armetha Liles, Dan Royer, and Kiki Theodoropoulos.


Question-summary annotations: questions: question: How has BLM responded to the Energy Policy Act of 2005?
answer: Since passage of the Energy Policy Act of 2005 (EPAct 2005), federal land management agencies--primarily the Department of the Interior's Bureau of Land Management (BLM)--have received hundreds of applications for utilityscale renewable energy projects and authorized 25 projects: 7 wind, 10 solar, and 8 geothermal projects.
child_questions: question: What was the fate of these authorized projects?
answer: Applications for the majority of projects were withdrawn by the applicants or denied by BLM because of insufficient information. Applications for about one-fourth of the projects are still pending with the agencies.

question: What is the average time frame from submitting an application to approval of the project?
answer: Time frames for permitting wind and solar projects ranged from 1.5 to 4 years from receipt of the initial application to approval of the project, with time frames decreasing for applications submitted in later years. For geothermal projects, permitting time frames ranged from 1 to 4 years from receipt of the initial application to approval for construction.

question: What is the energy implication of the authorized projects?
answer: In all, for projects applied for since EPAct 2005, BLM has authorized projects with the capacity to generate a total of about 5,450 megawatts of electricity, contributing to the act's goal of approving projects capable of generating 10,000 megawatts of electricity on public lands by 2015.

questions: question: What have federal land management agencies done in light of the EPAct 2005?
answer: Federal land management agencies have taken several steps to foster renewable energy development on federal lands since EPAct 2005. Specifically, these agencies have developed or revised policies aimed at, among other things, improving the renewable energy permitting process, formalized coordination within and across agencies and with state and local governments, and devoted increased resources to processing applications for renewable energy permits.
child_questions: question: What action did BLM take?
answer: One of BLM's most comprehensive actions was the completion of programmatic environmental impact statements for renewable energy development, intended to streamline the permitting process.  For example, BLM tripled its staff devoted to processing wind and solar energy applications. To help ensure that its actions are achieving their intended purposes, BLM issued an instruction memorandum in December 2012 aimed at increasing the efficiency and effectiveness of its renewable energy permitting process.

question: What other actions did the agencies take?
answer: The agencies also took steps to improve coordination through regularly established meetings and development of memorandums of understanding between federal and state agencies. They also added staff and increased funding for this development.

questions: question: What did stakeholders reveal about renewable energy development?
answer: According to BLM respondents to a GAO questionnaire, industry representatives, and others GAO interviewed, many factors affect the pace of renewable energy development on federal lands.
child_questions: question: How are permitting processes especially relevant to the pace of renewable energy development?
answer: Some of these factors are specifically tied to the agencies' permitting processes, primarily BLM's. For example, respondents cited effective coordination among the involved parties and the amount of resources the agency can devote to permitting as factors that facilitated the permitting process.

question: What other factors influence the pace of energy development?
answer: On the other hand, they often cited problems with the quality of applications received as a factor that may hinder or slow the permitting process.

question: What factors beyond the agencies' control may affect the process?
answer: Respondents also cited a number of factors outside of permitting agencies' control that can affect the pace of renewable energy development, such as access to transmission lines (which are often scarce in areas where renewable energy is abundant) and competition from electricity generated using conventional energy sources, such as natural gas.