[Federal Register Volume 59, Number 218 (Monday, November 14, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-28042]
[[Page Unknown]]
[Federal Register: November 14, 1994]
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DEPARTMENT OF ENERGY
Record of Decision; Pinon Pine Power Project; Tracy Station,
Nevada
AGENCY: Department of Energy.
ACTION: Record of Decision; Pinon Pine Power Project of the Clean Coal
Technology Demonstration Program at Tracy Power Station, Reno, Nevada.
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SUMMARY: The Department of Energy (Department) has decided to provide
approximately $135 million in cost-shared Federal funding as part of
the Clean Coal Technology Demonstration Program for the design,
construction, and operation of the Pinon Pine Power Project. It would
demonstrate integrated gasification combined-cycle technology with hot
gas clean-up at the Sierra Pacific Power Company's (Sierra Pacific)
Tracy Power Station near Reno, Nevada. A Mitigation Action Plan will be
prepared before initiation of any actions for which mitigation measures
have been committed. With the exception of the dry cooling option, all
practicable means of avoiding or minimizing environmental harm from the
preferred alternative have been adopted.
The Department prepared an Environmental Impact Statement (DOE/EIS-
0215) to assess the environmental impacts associated with the Pinon
Pine Power Project, a 104 megawatt gross generation demonstration
project at the Tracy Power Station, 17 miles east of Reno, Nevada. The
Department's participation in this project is to provide cost-shared
financial assistance under its Clean Coal Technology Demonstration
Program to Sierra Pacific for the development of an air-blown,
fluidized bed, integrated gasification combined-cycle demonstration
facility. Specifically, the Pinon Pine Power Project will receive cost-
shared (50 percent) financial assistance in the amount of $135 million
under the terms of the Clean Coal Technology Demonstration Program.
The Department has considered the proposal to provide cost-shared
financial assistance for the design, construction, and operation of
this integrated gasification combined-cycle demonstration project to be
a major Federal action subject to the provisions of the National
Environmental Policy Act and corresponding Department regulations (10
CFR Part 1021) and has determined that the appropriate level of
National Environmental Policy Act review was an Environmental Impact
Statement.
Following careful evaluation of the potential environmental
impacts, consideration of Clean Coal Technology Demonstration Program
goals and objectives, review and analysis of public comments, and
consultation with Federal and state agencies and Indian tribal
representatives, the Department issued the Final Environmental Impact
Statement for the Pinon Pine Power Project. A Notice of Availability
for the Final Environmental Impact Statement for the Pinon Pine Power
Project was published in the Federal Register (59 FR 49926) on
September 30, 1994.
The Department has determined that the congressionally-mandated
goals and objectives of demonstrating clean coal technologies would be
achieved through the construction and operation of this project, which
will demonstrate the integrated performance of coal gasification and
combined-cycle technologies. The Pinon Pine Power Project, successfully
demonstrated, will provide a promising technology ready for
commercialization in the 1990s. The project is expected to generate
sufficient data from design, construction, and operation to allow
private industry to further assess the potential for commercial
application of this technology to new or existing generating
facilities. No unacceptable adverse impacts are expected from the
construction or operation of the Pinon Pine Power Project.
Comments Received: The Department received three comments on the
Final Environmental Impact Statement. One commenter expressed support
for the project but noted concerns regarding the handling of coal with
a high sulfur content, the loss of the safety factor provided by the
two silo system of coal storage, water sources and usages, air
emissions, and the revised mitigation section. The Department believes
that these issues were adequately addressed in the Final Environmental
Impact Statement.
The Nevada Department of Transportation recommended that Sierra
Pacific provide active fog warning signs as a mitigation measure
because of the potential for increased fog occurrences. In addition,
they requested that Sierra Pacific install a fog and ice detection
system. The Department of Energy agrees with these recommendations and
has incorporated the suggested mitigation measures (installation of a
system that includes fog and ice detection and active warning
capabilities) into this Record of Decision.
FOR FURTHER INFORMATION:
For further information on the Department's activities related to this
project, please contact Dr. Suellen A. Van Octeghem, Environmental
Project Manager, Morgantown Energy Technology Center, 3610 Collins
Ferry Road, Morgantown, WV 26507-0880 or call at (304) 285-5443.
For further information on the Department's National Environmental
Policy Act process, please contact Carol M. Borgstrom, Director, Office
of NEPA Oversight [EH-25], Office of Environment, Safety and Health,
U.S. Department of Energy, 1000 Independence Avenue, S.W., Washington,
D.C. 20585, or call at either (202) 586-4600 or (800) 472-2756.
Background
The Department has prepared this Record of Decision pursuant to
Council on Environmental Quality regulations for implementing the
provisions of the National Environmental Policy Act (40 CFR Parts 1500-
1508) and Department regulations (10 CFR part 1021). This Record of
Decision is based on the Department's Final Environmental Impact
Statement for the Pinon Pine Power Project (DOE/EIS-0215).
An overall National Environmental Policy Act compliance strategy
was developed for the Clean Coal Technology Demonstration Program that
includes consideration of both programmatic and project-specific
environmental impacts during and after the process of selecting a
project. This strategy is called tiering (40 CFR 1508.28), and refers
to the coverage of general matters in a broader Environmental Impact
Statement (e.g., the Programmatic Environmental Impact Statement for
the Clean Coal Technology Demonstration Program), with subsequent
narrower statements or environmental analyses incorporating by
reference those general discussions found in the broader programmatic
document. A project-specific document, therefore, concentrates solely
on the issues specific to that particular project being considered.
The Department strategry has three principal elements. The first
element involved preparation of a comprehensive Programmatic
Environmental Impact Statement for the Clean Coal Technology
Demonstration Program (DOE/EIS-0146, November 1989) to address the
potential environmental consequences of widespread commercialization of
up to 22 successfully demonstrated clean coal technologies by the year
2010. The Programmatic Environmental Impact Statement evaluated (1) a
no-action alternative, that assumed the Clean Coal Technology
Demonstration Program was not continued and that conventional coal-
fired technologies with flue gas desulfurization controls would be used
for new plants or as replacements for existing plants that are retired
or refurbished, and (2) a proposed action, that assumed that Clean Coal
Technology Demonstration Program projects would be selected for funding
and that successfully demonstrated technologies would undergo
widespread commercialization by 2010.
The second element involved preparation of a preselection
environmental review of project-specific environmental data and
analyses that the Clean Coal Technology Demonstration Program offerors
were required to supply to the Department as part of their Clean Coal
Technology Demonstration Program proposal.
The third element consists of preparing site-specific National
Environmental Policy Act documents for each selected project. As part
of this overall strategy, the Pinon Pine Power Project's Environmental
Impact Statement draws upon the Programmatic Environmental Impact
Statement and preselection environmental reviews that analyzed various
alternatives and scenarios (e.g., alternative technologies and sites).
Project Description
Sierra Pacific plans to expand its electric generating capacity by
constructing the Pinon Pine Power Project, an air-blown, fluidized bed,
integrated gasification combined-cycle facility with hot gas cleanup.
This project was selected under the Department's Clean Coal Technology
Demonstration Program to demonstrate the commercial application of
integrated gasification combined-cycle technology. When compared to
conventional coal burning techniques, the Pinon Pine Power Project will
provide several unique features that are designed to increase coal
utilization efficiency while significantly reducing potential
environmental releases.
In the facility, coal, mixed with limestone (for in-bed sulfur
control), will be partially burned in a gasifier to produce fuel gas.
The fuel gas will be subsequently cleaned by cyclones and then by hot
gas cleanup barrier filters to remove particulates and by external-bed
sorbents to remove residual sulfur, prior to being used in a combined-
cycle combustion turbine to produce electricity. Gasification
technology can utilize a variety of coals; thus, it allows greater fuel
flexibility to produce fuel gas. The airblown coal gasification process
will also allow higher thermal efficiency (comparied with oxygen-blown
gasification systems) because less auxiliary power consumption is
associated with an air-blown gasification process. The gasification
portion of the project will be based on technology developed by KRW
Energy Systems Inc. and provided by The M.W. Kellogg Company. Hot gas
cleanup will reduce environmental emissions, while increasing
efficiency because thermal losses associated with conventional cold gas
cleanup technologies (such as wet scrubbers) will not occur. The hot
gas cleanup portion of this project will also be based largely on
technology provided by KRW Energy Systems Inc. The integrated
gasification combined-cycle process is at least 10 to 12 percent more
efficient than a conventional coal-fire power plant.
Integrated gasification combined-cycle facilities offer several
additional advantages over conventional coal-based power generation
technology, including (1) major reductions in sulfur dioxide, oxides of
nitrogen, carbon dioxide, and dust emissions; (2) decreased coal
consumption associated with increased generating efficiency; (3)
modular construction which allows economic increments of capacity to
match load growth; (4) greater fuel flexibility; (5) reduced land area
and cooling water requirements; and (6) the potential for design
standardization due to modular construction, which should reduce
required engineering effort, construction time, and potential
permitting complications for construction of future plants.
The combined-cycle design consists of a combustion turbine/
generator, a heat recovery steam generator, and a steam turbine/
generator. Combined-cycle technology is currently the most efficient
commercially available method of producing electricity because
combined-cycle generation reuses the exhaust heat from the combustion
turbine to produce additional electricity. The combined-cycle portion
of this project will be an industrial frame-type combustion turbine to
produce additional electricity. The combined-cycle portion of this
project will be an industrial frame-type combustion turbine, with a
technologically advanced firing temperature and cooling system supplied
by General Electric. The associated steam turbine and generator to be
used in the Pinon Pine Power Project will be of conventional design.
Combining these technologies as part of the project will allow the
Sierra Pacific to couple the high thermal efficiency of air-blown
integrated gasification combined-cycle design with the low cost of coal
as a fuel, and will also allow assessment of the long-term
compatibility, reliability, availability, and maintainability of the
various technology components. Environmental emissions from the Pinon
Pine Power Project will be further reduced when compared to
conventional power plants because the design coal to be used in this
facility is a low-sulfur western bituminous coal.
Project Status
Project activities to date include applications for permits and
approvals necessary to construct and operate the Pinon Pine Power Plant
at Tracy Station; preparation of designs and specifications necessary
to apply for these permits and approvals; and preparation, publication,
and distribution of the Draft and Final Environmental Impact
Statements.
In 1991, Sierra Pacific proposed the Pinon Pine Power Project to
the Public Service Commission of Nevada as part of Sierra Pacific's
Electric Resource Plan, to meet anticipated load growth. Following
public hearings, on November 8, 1993, the Commission issued an
``Interim Order'' granting resource planning approval for the Pinon
Pine Power Project citing the advantages of flexibility, diversity,
displacement of fuel, and reliability. Sierra Pacific is currently in
the process of obtaining other permits and approvals required to
support this project.
Alternatives
Congress directed the Department to pursue the goals of the Clean
Coal Technology Demonstration Program by means of partial funding of
projects owned and controlled by nonfederal-government sponsors. This
statutory requirement places the Department in a more limited role than
if the Federal government were the owner and operator of the project.
In the latter situation, the Department would be responsible for a
comprehensive review of reasonable alternatives for the project.
However, when the Department signs a Cooperative Agreement with an
industrial partner, the scope of alternatives is necessarily more
restricted because the Department must focus on alternative ways that
not only accomplish its purpose but also reflect the industrial
partner's needs and the functions it plays in the decision making
process. It is, therefore, appropriate for the Department to give
substantial weight to the industrial partner's needs in establishing a
project's reasonable alternatives.
Based on the foregoing principles, the reasonable alternative to
the preferred alternative is the no-action alternative (including
scenarios reasonably foreseeable as a consequence of the no-action
alternative). The alternatives available to the Department for this
decision, therefore, are either to provide cost-shared financial
assistance for the project or to deny financial assistance. After
reviewing all potential environmental effects, the Department has
determined that its preferred alternative is to provide cost-shared
financial assistance for the Pinon Pine Power Project.
Preferred Alternative
The preferred alternative is the provision of approximately $135
million in cost-shared Federal funding support for the design,
construction, and operation of a nominal 800-ton-per-day (approximately
104 megawatt gross generation) coal-fired power generating facility
that integrates coal gasification and combined-cycle technologies to
develop a highly efficient new technology for removing sulfur and
particles from fuel gas prior to combustion. A combustion turbine unit
will be integrated with heat recovery steam generator and steam turbine
generator facilities to form a combined-cycle generating unit with coal
gasification facilities to complete the 104-megawatt Pinon Pine Power
Project at Tracy Power Station.
A KRW Energy Systems Inc. air-blown fluidized-bed gasifier will be
used to produce a fuel gas. Crushed coal and limestone will be fed to
the pressurized gasifier bed. The gasifier bed will be maintained in a
``fluidized'' form by injecting controlled amounts of steam, recycle
gas, and air through special nozzles into the combustion zone. Heat
from the combustion zone will cause the coal to gasify (creating fuel
gas). A portion of the sulfur gasses generated will be removed from the
fuel gas by reacting with the limestone in the fluidized bed. Fuel gas
leaving the gasifier will spin through a cyclone unit to remove nearly
all of the particulate matter. The particles removed in the cyclone
will be returned to the fludized-bed, while the partially-cleaned fuel
gas will enter a hot gas cleanup section. The hot gas cleanup devices
(employing barrier filters to remove remaining particles and zinc-based
sorbents to remove hydrogen sulfide) will complete the cleaning of the
fuel gas prior to its entrance into the combustion turbine. Because
desulfurization and particulate removal will be carried out at an
elevated temperature, the inefficiencies (and higher capital costs) of
cooling and cleaning the fuel gas at a low temperature will be avoided.
Cleaned fuel gas will be routed to a combined-cycle system for
electric power generation. The General Electric combustion turbine will
covert fuel gas into approximately 61 megawatts (gross) of electricity
and produce exhaust gases that will be used to superheat high pressure
steam. The high pressure steam will then be used to produce an
additional 43 megawatts (gross) of electricity using a conventional
steam turbine generator.
No Action
Under the no-action alternative, the Department would not provide
cost-shared Federal funding support for the Pinon Pine Power Project,
and the advanced KRW gasification technology with hot gas cleanup would
be demonstrated in Reno, Nevada, or elsewhere because there are not
similar proposals in the Clean Coal Technology Demonstration Program.
Sierra Pacific has stated that without cost-shared funding support
from the Department, it will not construct the project as proposed.
However, Sierra Pacific still must find a cost-effective means of
meeting the projected energy demand of its customers. This increased
demand requires the addition of generating capacity by the company.
Should the Department not fund the Pinon Pine Power Project, the ``most
reasonable'' course of action of Sierra Pacific to pursue is currently
the construction of essentially the same project without the capability
of using coal fuel; the use of natural gas with distillate oil as a
secondary fuel source is most likely. A final determination, however,
would be made in compliance with the resource planning process required
by the state of Nevada. Sierra Pacific would analyze all possibilities
and present their most preferred (least-cost) option of the Public
Service Commission of Nevada; Sierra Pacific would proceed only after
receiving Commission approval.
The configuration of a natural gas and distillate oil combined-
cycle power plant would include the same General Electric combustion
turbine and auxiliary equipment selection as described for the Pinon
Pine Power Project. A slightly smaller size steam turbine might be
utilized. If the proposed Tuscarora pipeline is constructed, natural
gas potentially could be used exclusively. The pipeline would end at
the property line of the Tracy Power Station and Sierra Pacific would
be responsible for extending it approximately 50 feet. The Federal
Energy Regulatory Commission is in the process of preparing an
Environmental Impact Statement for this proposed pipeline; a decision
to proceed is independent of decisions pertaining to the Tracy Power
Station.
Alternative Sites
The Department is not the owner-operator of the Pinon Pine Power
Project under consideration. Therefore, the Department's evaluation of
the project's reasonable site alternatives is focused on a review of
the site selection study and criteria prepared by the industrial
partner. Sierra Pacific conducted a preliminary site selection study
before submitting its proposal to the Department. Following a screening
analysis of the potential candidate sites, four potential locations for
the integrated gasification combined cycle project were considered: (1)
Fort Churchill Power Plant; (2) North Valmy Power Plant; (3) Tracy
Power Station; and (4) Carlin, Nevada.
Because there are no existing generating facilities nor gas
pipeline capacity in the Carlin area, a specific site was not pursued
and no further analysis of the area was conducted. (Use of an existing
generating station reduces the construction costs of common facilities
such as warehouses, substations, parking lots, and office buildings,
and requires fewer additional employees.) The environmental evaluation
of the remaining three candidate sites considered the potential for
regulatory compliance and potential environmental impacts. All of the
sites are judged by Sierra Pacific to be acceptable from an
environmental perspective. Sierra Pacific also subjectively ranked
economic and reliability data for each site, and the Tracy site scored
highest overall.
On the basis of its review of the site analysis conducted by Sierra
Pacific, the Department has determined that the Tracy Station site is
the only site that meets Sierra Pacific's goals and objectives.
Environmentally Preferred Alternative
Fewer impacts would result from the no-action alternative if Sierra
Pacific built the same plant without the capability of using coal.
Under the no-action alternative, it is reasonably foreseeable that
Sierra Pacific would construct essentially the same project at the same
site, but with natural gas as its primary fuel source. However, Sierra
Pacific's actual course of action without Department funding is as yet
undetermined because the financial determination would depend on the
decision of the Public Service Commission of Nevada. In any event,
because the no-action alternative would not further the goals of the
Clean Coal Technology Demonstration Program, the no-action alternative
is not the preferred alternative.
Potential Environmental Impacts and Mitigation Measures
In compliance with the National Environmental Policy Act, the
Department analyzed the environmental impacts and mitigation
alternatives associated with the construction and operation of the
Pinon Pine Power Project and of the no-action alternative.
Construction Impacts and Mitigation Measures
Site preparation and plant construction are expected to have a
negligible impact on current land use. The Pinon Pine Power Project
will be in conformance with zoning for Storey County, and a Special Use
Permit will be obtained. To reduce visual impacts, trees, such as
cottonwoods, poplars, and alders, will be planted along the south bank
of the Truckee River to screen portions of the proposed facility. Pinon
Pine Power Project facilities that lend themselves to painting will be
painted in earth-tones. Steel will be painted a silver/grey color to
blend in with existing Tracy Power Station structures. Fugitive dust
emissions will be minimized by water application, as necessary.
Approximately 120,000 cubic yards of soil will be disturbed during
construction but erosion will be controlled through the use of best
management practices. Because there is a slight possibility that
liquefiable zones would exist within the new facility's footprint, a
design-level subsurface investigation program will be initiated and if
liquefiable material is found, appropriate mitigation measures (such as
excavating and removing loose to medium density materials) will be
implemented. Although near-surface site soils appear to have a moderate
potential for collapse, the practices of over-excavating, saturating
the soil, and then compacting it prior to construction have proven
successful and may be employed. Because a site-specific resistivity
survey showed moderate corrosion potential to steel, a soil resistivity
test program also will be implemented and used in the design of
underground features. Soil excavations will follow current Occupational
Health and Safety Administration (OSHA) regulations.
During the 26-month construction phase, projected water usage is
not expected to differ from current consumption rate; consumption would
average 1,972 acre-feet per year (1,221 gpm, 2.8 cfs), which is
comparable to recent annual withdrawals at the Tracy Station site. Best
management practices will be implemented to control nonpoint source
pollution discharges to surface waters to alleviate sedimentation and
siltation during construction. The groundwater withdrawal rate is not
expected to increase. The only potentially significant influence on
groundwater flows would be the dewatering that might be required during
excavation of the coal unloading facility; however, groundwater
modeling results indicate that this would involve only slight changes
in surface or groundwater flows for a short time period. No permanent
adverse impacts to groundwater quality are expected because best
management practices will be followed. Construction of the new
switchyard in the Federal Emergency Management Agency-designated 100-
year floodplain also would require the use of best management practices
to minimize runoff and sedimentation. Because the proposed switchyard
is relatively small in size, minimal impacts are anticipated.
Construction of the Pinon Pine Power Project is not expected to impact
wetlands; however, a temporary fence adjacent to wetlands areas will be
erected, if necessary, to ensure that all activities occur outside the
wetlands.
Short-term impacts to aquatic ecosystems may include dust
contamination from the windblown, dry, and unstabilized area; truck
traffic; and other activities. Aquatic resources of the Truckee River
also could be impacted if increased soil erosion leads to increased
fine sediment loads in the river, but this would be unlikely because
construction zones will be located away from the river or other
drainages and a soil erosion control plan will be implemented.
Potential impacts on aquatic resources also would be avoided through
implementation of the hazardous spill control plan.
Construction impacts to vegetation would be minimal because a
majority of the project site is barren. There would, however, be
permanent displacement of some wildlife species that now utilize the
site. Mule deer that regularly use the power plant property to access
the river would be displaced and would need to find a new river access
location site; this will be facilitated by planting food source plants
such as rose and currant in an appropriate area to act as an
attractant.
Impacts on sensitive or threatened species from construction
activities are expected to be minor. The Cui-ui and Lahontan cutthroat
trout are not present in the immediate area and bald eagle wintering
habitat requirements, such as perching and roosting trees and foraging
areas, would not be affected.
The temporary (1- to 2-week period) and short-duration (about 2\1/
2\ minutes each) steam blowing activity will produce audible levels of
noise. Prior to the initiation of steam blowing, letters of explanation
will be sent to the nine residences in the area. Sierra Pacific also
will offer to temporarily relocate affected residents to a hotel in the
Reno/Sparks area.
No adverse impacts from construction are expected to occur to any
cultural resources. To ensure protection of identified sites, 6-foot
chain-link fences will be constructed. If construction activities
encounter buried deposits, construction will cease until a professional
archaeologist, in consultation with the State Historic Preservation
Officer, evaluates the resource. It is not expected that any Native
American cultural resources or historic resources would be impacted.
The currently available construction labor resources in the
affected area are sufficient to satisfy projected labor needs. An
average labor rate of $36.00 per hour and the estimated total
construction period of 1,147,900 person-hours is expected to yield a
construction-phase payroll of approximately $41.3 million dollars, with
a total income of approximately $59.0 million. Total sales tax revenue
accruing during the construction phase would be approximately $9.0
million, based on a sales tax rate of 6.75 percent.
Construction of the new facility would not have disproportionately
high and adverse human health or environmental effects on low-income,
minority, or Native American communities. All direct impacts are
expected to occur on site, with little effect on surrounding areas of
Storey or Washoe counties.
Appropriate health and safety measures will be implemented for all
identified and anticipated hazards to worker health and safety. During
construction, portions of the interior fences will be removed, however,
the perimeter fence will remain intact to deter intrusion by
unauthorized persons. Additional fences will be constructed to secure
new facilities (and to prevent encroachment on existing resources).
Sierra Pacific is responsible for storage and disposal of all
hazardous and solid wastes generated during construction; stipulations
for the handling and transportation of solid wastes are included in
special use permits. Only small quantities of hazardous wastes will be
generated and no impacts from hazardous or toxic materials are
anticipated.
Operations Impacts and Mitigation Measures
No impacts to land use are expected to result from the operation of
the Pinon Pine Power Project; the special use permits for construction
will also apply to operations. The project will not create significant
visual impacts because the new facilities will blend with existing
power plant structure.
Air emissions expected during operation of the facility include 225
tons per year of sulfur dioxide, 123 tons per year of particulate
matter, 575 tons per year of oxides of nitrogen, and 304 tons per year
of carbon monoxide. Modeling results based on these emissions loadings
and consideration of surrounding topography and meteorology indicate
that pollutant emission levels would be in compliance with National
Ambient Air Quality Standards and would not have a significant impact
on nonattainment areas in the Truckee Meadows and Washoe County. Both
the Class I and Class II Prevention of Significant Deterioration
increment analyses indicate that the Pinon Pine Power Project would not
result in significant degradation of air quality in the project area.
The Class I PSD increment analysis showed that operation of the Pinon
Pine Power Project would result in the consumption of no more than 3/5
of 1 percent of a PSD Class I increment. The results of the Class II
PSD increment analysis indicated that the Pinon Pine Power Project's
contribution to the consumption of the annual increment would be
between 10 and 11 percent for sulfur dioxide and 12 percent for
particulate matter. In addition, site-specific analyses for Nixon and
Wadsworth areas show that no adverse air quality impacts would occur on
tribal lands.
Visibility impact analyses performed for the area surrounding the
proposed facility indicate that the Pinon Pine Power Project emissions
of oxides of nitrogen and particulate matter will not result in a plume
detectable against the background sky beyond 3.1 miles; visual impact
analysis performed for the nearest Class I Area (Desolation Wilderness)
indicate that emissions from existing and proposed facilities would be
below the screening criteria for all impact categories; and there would
be no significant visual impacts in the Desolation Wilderness or other
scenic areas (e.g., Lassen Volcanic National Park, Yosemite National
Park, Grand Canyon National Park) located further away. At the request
of the U.S. Forest Service, the Class I visibility analysis was re-
evaluated using a value for background visual range that was actually
measured in the Desolation Wilderness Area. The visual impacts analysis
still indicated that sources from existing and proposed facilities
would be below the screening criteria for all impact categories.
As a result of the Pinon Pine Power Project, there may be some
occasional increase in the production of fog in the canyon during cold
weather. The Nevada Department of Transportation, in cooperation with
Sierra Pacific, already has posted warning signs in the canyon in order
to mitigate any potential problems generated by natural sources.
Results of a modeling analysis indicate that the addition of the Pinon
Pine Power Project could result in an incremental increase in annual
fog hours of 3 percent. Sierra Pacific will provide a system that
includes fog and ice detection with active warning capabilities, which
will be installed by the Nevada Department of Transportation. Sierra
Pacific will also continue to work with the Nevada Department of
Transportation to minimize any adverse impacts from fog.
Because of the design features to be implemented (Uniform Building
Code, Seismic Zone 4), if an earthquake occurs, external structures and
internal features of the Pinon Pine Power Project are expected to
withstand the potential force. If a breach in containment of hazardous
materials occurs, Chemical Emergency Response Plan and Spill Prevention
Control and Countermeasures Plan procedures would reduce or eliminate
the extent of the potential impact. No activity associated with
operation of the facility is expected to impact soil erosion or soil
quality. However, procedures are in place for the response to and
remediation of a spill that could potentially contaminate the soil.
River water quality is not expected to be impacted by plant
operations because the plant will continue as a ``zero discharge''
system. Discharges from the project will be directed to a new, double-
lined evaporation pond. This pond will be regulated by the Nevada
Division of Environmental Protection under Nevada Revised Statutes,
Chapter 445. Stormwater from the Pinon Pine Power Project will be
routed to the cooling pond and could result in some siltation. However,
it is unlikely that a storm event would result in significant runoff.
Routing of the stormwater runoff to the cooling pond should prevent
discharge of suspended material to the Truckee River. In addition, best
management practices will be incorporated into the containment of
hazardous materials and coal to prevent them from entering the Truckee
River and potentially harming fish or other wildlife.
Protection of groundwater quality will be accomplished by storing
coal, coke, and limestone in concrete or steel enclosures and using
protective double liners for liquid waste impoundments. Coal will be
delivered via a covered handling system equipped with a sump to reclaim
and recycle any water used for dust suppression. Chemical and petroleum
product and hazardous waste storage facilities and handling procedures
will be designed to prevent or contain accidental spills. The impact of
increased groundwater withdrawal on adjacent will owners also was
evaluated. Results from the simulation show that the area affected by
additional drawdowns would be quite small. The level of impact to
groundwater flow are not expected to change as a result of the Pinon
Pine Power Project.
Because of the limited size and open structure of the switchyard,
potential impacts to the floodplain are expected to be minimal. The
site is largely devoid of vegetation, is not an ecologically sensitive
area, and contains no wetlands. Therefore, potential indirect impacts
to habitat, resulting from flood storage and impediments to flow
conveyance, are not expected.
During the early design phases of the project, Sierra Pacific
incorporated several measures to reduce water consumption. These water-
conserving measures are currently part of the proposed facility. The
increase in water consumption, compared to present operations, would be
relatively small. Projected water usage during the 26-month
construction phase would not differ from current consumption.
Consumption would average 1,972 acre-feet per year (1,221 gpm, 2.8
cfs), which is comparable to recent annual withdrawals at the Tracy
Station site. Consequently, construction would be unlikely to affect
water availability. The average water consumption for the Tracy Station
site for cooling after the start-up of the Pinon Pine Power Project is
estimated to be 2,806 acre-feet/year (or 3.9 cfs), averaged over the
operation years 1997 through 2011 and excluding the construction years
prior to 1997. Of this amount, downstream users are expected to
experience a water loss of 1,004 acre-feet/year (1.4 cfs; 630 gpm),
which would be attributed to the Pinon Pine Power Project. This amount
is typically less than one percent of current normal Truckee River
flows. No change would be anticipated in water use during drought
conditions.
The Final EIS also presented alternative cooling methods, which
were investigated in an effort to find ways to conserve water. In
addition to the option incorporated into the preferred alternative (use
of wet cooling in the form of a cooling tower), other options of air
condensers (dry cooling), a wet-dry cooling tower (hybrid cooling), a
spray pond, a cooling pond with cooling tower, and a cooling tower were
analyzed. Only the use of air condensers (dry cooling option) was shown
to substantially reduce water consumption when compared to the other
options. Although there were environmental advantages associated with
the dry cooling option when compared to the wet cooling tower in the
preferred alternative (a 1.3 cfs [941 acre-fee/year] reduction of water
consumption, elimination of fogging, icing, and plume visibility
potential, elimination of requirements for chemical treatment of
cooling water and disposal of blowdown), it was dropped from further
consideration due to its economic and environmental disadvantages. The
cost of air condensers was $7.8M more than the wet cooling tower (which
could potentially be reflected in an increase in rates). In addition,
the inclusion of air condensers would require more coal use (in order
to generate the same gross electrical output) due to parasitic power
requirements of the air condenser fans and to compensate for the higher
backpressures resulting from the air condenser system. This increase
coal usage potentially translates into increased air emissions (12 tons
per year of sulfur dioxide; 32 tons per year of oxides of nitrogen; 7
tons per year of particulate matter, and 17 tons per year of carbon
monoxide). Other characteristics associated with air condensers
compared to wet cooling systems at Tracy Station include more noise,
risk of freezing, more noticeable structures, and higher degree of
technical risk. In addition, the unused water (1.3 cfs) resulting from
the use of air-cooled condensers would probably be consumed as a
resource for current or future operations at Tracy Station and/or
another Sierra Pacific location, rather than augmenting downstream flow
from the Tracy Station site. Thus, the most probable end effect of
conserving water through the use of air condensers would be a
redistribution of projects and/or locations that would use existing
water rights (including the 1.3 cfs) held by Sierra Pacific. However,
in any event, the Pyramid Lake Pauite Indian Tribe holds the most
senior water rights, and would not be affected by this additional
withdrawal.
No significant impacts on Truckee River aquatic habitat are
expected. Two wire mesh plate screens at the intake facility at the
Tracy Power Station currently prevent entrainment of fish from the
Truckee River and can accommodate any additional diversion volume. The
anticipated consumption of additional water is within Sierra Pacific's
existing water rights and full use of these water rights has been
assumed as part of the hydrological foundation of the Cui-ui Recovery
Plan. A Biological Assessment was formally submitted to the U.S. Fish
and Wildlife Service in February 1994. The Service concurred with the
conclusion that the Pinon Pine Power Project would result in ``no
effect'' on the Cui-ui sucker, the efforts of the Cui-ui Recovery Plan,
the Lahontan cutthroat trout, and the bald eagle.
The cooling pond at the Tracy Power Station currently supports a
number of warmwater fish species. The Pinon Pine Power Project will
result in changes to the pond's inflow and outflow (because utilization
of existing Tracy Station units will change), but there should be no
significant variations in water level. Although evaporative water loss
from the cooling pond could slightly increase total dissolved solids
over time, no significant alterations in the existing ionic
concentration are expected. Anticipated temperature fluctuations in the
pond resulting from divergent ambient air temperatures and varying
utilization are expected to remain within the current range.
Wastewater in the evaporation ponds is not anticipated to result in
any adverse effect on wildlife. Sierra Pacific will periodically test
the evaporation ponds and compare the results with the standards of
section 445 of the Clean Water Act for wildlife propagation. If water
quality is found to be out of compliance with these standards, Sierra
Pacific will either neutralize the pond's contents or work with the
Nevada Division of Wildlife to develop necessary exclusion measures.
Loss or modification of habitat and noise disturbance within the
operation area may affect wildlife, but any impact is expected to be
minor. The habitat types that will be impacted (i.e., natural and
disturbed big sage desert shrub communities) are common habitat types
in the area and some natural revegetation likely would occur in areas
such as evaporation pond tailings, and along the new railroad spur. In
addition, wildlife species using the project area appear to be
accustomed to the noise from the Tracy Power Station, traffic along I-
80, the Southern Pacific Railroad, and surrounding mining operations.
No significant impact to the birds in the area is anticipated. Although
an increase in collision potential may occur during foggy conditions,
this has not been a major concern with current structures, and such an
increase would be slight.
Railroad access to the site is provided by the Southern Pacific
Railroad Company. Because a new railroad spur will be constructed as
part of this facility, minimal impact to the right-of-way utilized by
existing train traffic is expected. Coal will be delivered by rail in
railcars of approximately 100-110 ton capacity, resulting in a small
increase in rail traffic along the main route. Train cars will be
pulled off the main track during the coal off-loading process. No
adverse impact to the Truckee River is expected from coal
transportation. If a spill occurs during transport, Southern Pacific
Railroad will be responsible for cleanup. The railroad company has a
contingency plan on file and is required to notify Washoe County Health
Department, Nevada Health Department, Nevada Division of Environmental
Protection, Pyramid Lake Paiute Indian Tribe, Nevada Department of
Wildlife, the U.S. Fish and Wildlife Service, and the Truckee-Carson
Irrigation District. The Tracy Bridge, which links the access road over
the Truckee River to the Pinon Pine Power Project site, will be
maintained as necessary to safely accommodate the current maximum load
rating of 52 tons; no increase in load bearing capacity is needed.
Potential noise impacts have been assessed for the nearest
residence at a distance of 1 mile and for the residences in the
community of Patrick about 3 miles from the site. The addition to the
Pinon Pine Power Project is expected to increase the noise level by 1
to 2 dBA for the nearest residences and by 1 dBA for the community of
Patrick. In addition, the Storey County noise ordinance limit of 84 dBA
at the property line in the frequency range of 500 to 1,800 Hz would
not be exceeded.
The permanent chain-link fence constructed to protect
archaeological sites will remain in place during operation; no adverse
impacts are expected. No Indian sacred sites of religious worship have
been identified on the project property or within the affected property
area. Consultations with Native American Tribes have not indicated any
religious practices associated with the facility or site. No
infringement of the American Indian Religious Freedom Act of 1978 and
no impacts on Native American cultural resources would occur as a
result of project operation. The Nevada State Historic Preservation
Officer and the Advisory Council on Historic Preservation concurred
with the determination that operation of the Pinon Pine Project would
not adversely impact historic resources on, or adjacent to, the Tracy
Power Station site.
No significant adverse socioeconomic impacts are anticipated with
operation of the Pinon Pine Project. Adequate labor force, housing,
schools, police protection, fire protection, and medical services are
available. A beneficial impact of increased tax revenue is expected.
Based upon an average hourly labor rate for public utility workers of
$16.14, the annual wages for a total of 25 permanent workers would be
approximately $850,000. The Pinon Pine Project is expected to yield a
total annual income of approximately $1.165 million during the
operations phase. The project also is expected to generate
approximately $1 million annually in state and local property taxes.
Operation of the Pinon Pine Project is not expected to result in a
disproportionately high and adverse human health or environmental
effects on low-income, minority, or Native American communities.
Coordination with the Pyramid Lake Paiute Indian Tribe, initiated
before this project was proposed, will continue during project
operation and beyond.
The greatest potential health and safety concern is the accidental
or emergency release of fugitive coal dust. The facility provides
engineering controls to minimize fugitive dust, such as the use of
bottom dump railcars in a negative pressure building. A dust filtration
system also will be included in the design to minimize airborne dusts.
Dusts generated from coal crushing and screening will be collected in
negative pressure hoods that will be vented through a pulse jet or
similar baghouse to adequately control emissions and manage the
potential impacts to workers in the area. Coal fines will be collected
and consumed as fuel in the gasifier and, therefore, are not expected
to present a disposal problem. Although there is some potential for
fire or ignitability from the coal storage or coal dust build-up in the
coal crushing and handling systems, workers will be trained on proper
management. A fire suppression system, to be designed, will comply with
applicable fire and safety specifications and regulations.
Lime (calcium oxide) in LASH reacts with water to form hydrated
lime (calcium hydroxide) and generates a considerable amount of heat.
Chronic exposure to LASH dusts could potentially result in
carcinogenicity. A material safety data sheet (MSDS) will be available
to all workers. If required to handle LASH, workers will be trained in
the proper handling of the material and appropriate protective
equipment will be provided.
Up to a maximum of 134 tons/day of cooled LASH will exit the
fluidized-bed sulfation combustor and be conveyed continuously to the
solid waste storage silo using a covered belt conveyor system. The
storage silo, with a 5-day storage capacity, is designed to prevent
rainwater runoff from contacting the LASH and wind from dispersing LASH
particles into the environment.
Washoe County requires that the LASH pass the Toxic Characteristic
Leaching Procedure test associated with the Resource Conservation and
Recovery Act requirements before the material can be landfilled.
Although it is expected that the LASH will be able to pass this test,
improved means of disposal are being investigated. Various uses for the
LASH and resulting environmental impacts are also being evaluated. The
results of these evaluations will be used to determine the most cost-
effective residuals management solution. Until a final decision on
reuse is reached, however, the planned procedure for LASH disposal is
to transport it daily to a nearby landfill by truck. The LASH storage
silo will be equipped with a rotary underloader equipped with discharge
valve and a telescope loading chute to minimize dusting during the
truck loading operation. Transportation will be performed in accordance
with all Federal, state, and local regulations. The most likely
location for LASH disposal is the Lockwood landfill, which has a life
expectancy of 122 years based on the assumption that 8,000 tons of
solid waste is received daily.
Other solid wastes to be generated by the facility include barrier
filters and spent sorbent from the external hot gas desulfurization
vessels. Barrier filters could capture some of the trace metals from
the coal; therefore, analytical testing will be performed to determine
if the filters contain any hazardous constituents and to ensure that
they are disposed properly. Wastewater and wastewater sediments will be
reclaimed, thus minimizing wastes and the potential for adverse impacts
to workers.
Safety considerations for high-pressure systems will be implemented
to minimize potential impacts from the accidental release of pressure
during normal operations. Leak detection (area monitors) will be
required at all flanges located in enclosed areas. In addition, hand-
held leak detectors will be used by operators during leak detection and
repair programs. The design for desulfurization and sulfation also
takes into account control measures to minimize the potential release
of toxic gases, thereby minimizing potential impacts to the worker
population.
Near-field or in-plant noise levels will be controlled by a
specific requirement that equipment cannot produce a noise level that
exceeds 85 dBA (at 3 feet). This will permit compliance with noise
exposure regulations (29 CFR 1910.95) without hearing protection.
However, hearing protection will be required in each area posted as a
high noise level area. The existing Tracy Power Station hearing
conservation program will be extended to include the Pinon Pine Power
Project.
An in-place site program is in full compliance with the Hazard
Communication/Right-To-Know Program (29 CFR 1910.1200). All aspects of
health and safety compliance monitoring are implemented and conform to
Federal and state requirements. To ensure that employee exposures to
hazardous substances do not exceed the standards allowed by the
Occupational Health and Safety Administration or the National Institute
of Occupational Safety and Health, the Sierra Pacific Industrial
Hygienist will determine requirements for personal protective
equipment, modified work practices, engineering controls, and/or
administrative controls. Until instructed otherwise, all employees in
affected work areas will wear prescribed personal protective equipment.
The chemical analyses of the existing evaporation pond were
reviewed to determine potential health impacts to workers and
individuals in the vicinity of the proposed new evaporation pond from
water sprayed by the floating spray units. An assessment also was
conducted to determine the impacts to workers from breathing vapors
from the pond spray. All chemicals of concern were determined to be
below the threshold limit values.
Appropriate containment structures will be constructed around
chemical or petrochemical storage tanks to avoid entraining spillage of
those compounds in surface runoff. Surface runoff draining from areas
of industrial activity will be directed through a filter or separator
treatment device capable of removing entrained pollutants. Solid and
liquid wastes retained by treatment devices will be disposed of
periodically, as required. Either a hazardous waste disposal contractor
or used-oil recycler contractor will remove the waste material for
disposal in compliance with the appropriate Federal, state, and local
environmental regulations. The discharge of nonstormwater (process
water or water from floor drains) from the new facility will be
directed to the double-lined evaporation pond to prevent co-mingling
with stormwater.
The Pinon Pine Power Project will use small quantities of hazardous
chemicals during routine operations, which are not expected to pose any
threat to public health and safety. However, if a spill or other
accidental release of these materials occurs, use of secondary
containment, containment piping, leak detection, and other techniques
to contain a release would minimize the potential impact.
The Pinon Pine Power Project probably will use sealed low-level
radiation sources in process control sensors for coal, limestone, and
LASH handling. While the accumulated dose from these sources is not
expected to exceed the federally mandated whole-body dose, radiation
safety surveys will be required in the areas where employees may be
working with these materials. Until the results of these surveys are
known, all employees working with these sources will be required to
wear personal dosimeters and to adhere strictly to the procedures
established for working with these materials.
Existing Tracy Power Station pollution prevention measures will
continue to be implemented. Attempts currently are being made to
replace hazardous materials with non-hazardous materials and prevent
resulting pollution. For example, Tracy Power Station is using non-
hydrazine containing oxygen scavenger chemicals for steam cycle
corrosion control.
No impact to the general public's health and safety is expected
from operation of the facility. Unauthorized personnel will continue to
be prevented from entering the site by a perimeter fence surrounding
the property. For added security and safety, additional fences will
surround specific facilities, as necessary. In addition, in the
unlikely event of an accident, the implementation of the Chemical
Emergency Response Plan would ensure that proper notification and
evacuation procedures are followed. This plan will be modified to
incorporate the new facilities and processes of the project.
In sum, with the exception of the dry cooling option, all
practicable means of avoiding or minimizing environmental harm from the
preferred alternative have been adopted. The reasons for not selecting
the dry cooling option have been presented earlier in this section.
No-action Alternative
For most resources, impacts from the no-action alternative would be
similar to those for the Department's preferred alternative. However,
air emissions from the no-action alternative would be less than for the
preferred alternative because the anticipated use of natural gas under
the no-action alternative would result in lower emissions of sulfur
dioxide, particulate matter, oxides of nitrogen, and carbon monoxide.
In addition, total water (surface and groundwater) consumption for the
no-action alternative would be approximately 1.098 cfs compared to
1.646 for the preferred alternative. Because the most likely project
that would result under the no-action alternative would be non-coal-
burning, no LASH would be generated and thus the anticipated two year
reduction in the 122-year lifespan of the Lockwood disposal facility
would not result. The beneficial impact of increased tax revenue would
be less with the no-action alternative because fewer construction
workers and employees would be required. However, the no-action
alternative would not further the goals of the Clean Coal Technology
Demonstration Program. Demonstration of the coal-based power generating
technology, with the KRW gasifier, in-bed desulfurization, external
regenerable sulfur removal, and fine particulate filters would not
occur.
Mitigation Action Plan
Section 1021.331(a) of the Department of Energy regulations
implementing the National Environmental Policy Act (10 CFR Part 1021)
states that the Department must prepare a Mitigation Action Plan that
addresses mitigation commitments expressed in the Record of Decision.
Most of the mitigation measures associated with the construction of the
Pinon Pine Power Project have already been incorporated into the design
and include sound engineering and proper construction practices. Many
of the mitigation measures associated with operation of the Pinon Pine
Power Project are part of existing Sierra Pacific operating procedures.
The Department has identified a number of additional mitigation
measures that Sierra Pacific will implement as appropriate. These
measures include planting trees on the south bank of the Truckee River
to screen portions of the facility; painting portions of the Pinon Pine
Power Project structures, where possible, in earth-tones; painting
structural steel silver/grey in color to blend with existing
facilities; minimizing fugitive dust emissions during construction by
water application, as necessary; providing a system with fog and ice
detection coupled active warning capabilities (to be installed by the
Nevada Department of Transportation) and continuing to work with the
Nevada Department of Transportation to improve travel safety during fog
events; preparing a geotechnical report and implementing mitigating
measures if soils are found liquefiable or collapsible, or if
settlements are found to exceed tolerable settlement values;
implementing a soil resistivity program and using it in the design of
underground features; periodically testing the evaporation pond and
either neutralizing the pond's contents or working with the Nevada
Division of Wildlife to develop necessary exclusion measures if water
if found to be hazardous to wildlife; providing habitat enhancement for
Mule deer by planting food source plants to act as an attractant;
protecting archaeological sites by permanent and temporary 6-foot
chain-link fences; and prior to the initiation of steam blowing,
sending letters of explanation to the nine residences in the area and
temporarily relocating, on a voluntary basis, affected residents to a
hotel in the Reno/Sparks area.
A Mitigation Action Plan for the Pinon Pine Power Project is being
developed that identifies how the Department will ensure that Sierra
Pacific implements all mitigation commitments. Copies of the Mitigation
Action Plan may be obtained from Dr. Suellen A. Van Ooteghem,
Environmental Project Manager, Morgantown Energy Technology Center,
3610 Collins Ferry Road, Morgantown, WV 26507-0880. Telephone: (304)
285-5443.
Conclusion
The Department has weighed the costs, benefits, and environmental
impacts in its decision to provide co-funding support for the design,
construction, and operation of the Pinon Pine Power Project at the
Tracy Power Station, near, Reno, Nevada. The Department will provide
$135 million in financial assistance under the terms of the Clean Coal
Technology Demonstration Program's Cooperative Agreement with Sierra
Pacific Power Company to construct and operate this project.
Issued in Washington, D.C., on November 8, 1994.
Patricia Fry Godley,
Assistant Secretary for Fossil Energy.
[FR Doc. 94-28042 Filed 11-10-94; 8:45 am]
BILLING CODE 6450-01-P-M