[Federal Register Volume 64, Number 138 (Tuesday, July 20, 1999)]
[Notices]
[Pages 38932-38934]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-18452]


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TENNESSEE VALLEY AUTHORITY


Peaking Capacity Additions

AGENCY: Tennessee Valley Authority (TVA).

ACTION: Issuance of Record of Decision.

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SUMMARY: This notice is provided in accordance with the Council on 
Environmental Quality's regulations (40 CFR parts 1500 to 1508) and 
TVA's procedures implementing the National Environmental Policy Act. 
TVA has decided to adopt the preferred alternative identified in its 
Final Environmental Impact Statement for Peaking Capacity Additions. 
The Final Environmental Impact Statement (EIS) was made available to 
the public on May 13, 1999. A Notice of Availability (NOA) of the Final 
EIS was published by the Environmental Protection Agency in the Federal 
Register on May 21, 1999. Under the preferred alternative, TVA will 
construct additional peaking capacity at two TVA fossil plants: 340 
megawatts (MW) at Johnsonville Fossil Plant, in Humphreys County, 
Tennessee and 340 MW at Gallatin Fossil Plant in Sumner County, 
Tennessee. The additions will be gas fired simple cycle combustion 
turbines.

FOR FURTHER INFORMATION CONTACT: Richard B. Armstrong Jr., NEPA 
Specialist, Environmental Management, Tennessee Valley Authority, 400 
West Summit Hill Drive, mail stop WT 8C, Knoxville, Tennessee 37902-
1499; telephone (423) 632-8059 or e-mail [email protected].

SUPPLEMENTARY INFORMATION: In December 1995, TVA issued its final 
Energy 2020 Integrated Resource Plan and Programmatic Environmental 
Impact Statement. This document projected demands for electricity in 
the TVA power service area through the year 2020 and evaluated 
different ways of meeting these projected increases. Under the forecast 
adopted by TVA, the demand for electricity was projected to exceed 
TVA's 1996 generating capacity of 28,000 (MW) by approximately 6,250 MW 
in the year 2005. TVA decided to meet this demand through a combination 
of supply-side options and customer service options.
    One of the supply-side options was to construct additional peaking 
capacity within the TVA power system. Tiering

[[Page 38933]]

from the Energy Vision 2020 EIS, this Peaking Addition EIS evaluates 
the decision of adding up to 1,530 MW capacity among three existing TVA 
fossil plants; Colbert Fossil Plant, Colbert County, Alabama; Gallatin 
Fossil Plant, Sumner County and Johnsonville Fossil Plant, Humphreys 
County, Tennessee. The evaluation considered the following: the No 
Action Alternative, and seven Action Alternatives based on all 
combinations of the use of one, two or three candidate sites. Other 
options evaluated included generation technology, transmission 
connectivity and distribution, and fuel supply. The three candidate 
sites were selected based on the following criteria: location in the 
TVA service area, sites currently owned by TVA, and use of TVA fossil 
plants that now operate combustion turbines. Operating nuclear plant 
sites were not considered. The alternative selected was based on both 
economic and environmental considerations. The preferred alternative 
locates the capacity additions at Gallatin and Johnsonville Fossil 
Plants, Tennessee.
    On August 12, 1998, TVA issued a Notice of Intent (NOI) to prepare 
an EIS on its proposed construction of additional peaking capacity at 
TVA existing sites. Press announcements were sent to TVA region news 
media on July 22, 1998, which generally described TVA's plans to add 
new peaking capacity by June 2000. On August 24, 1998, TVA issued a 
press release which contained specific information about TVA's intent 
to hold public scoping meetings concerning the peaking additions. Also, 
newspaper notices were published for the meetings. These meetings were 
held at the following locations: Gallatin, Sumner County, Tennessee; 
Waverly, Humphreys County, Tennessee and Cherokee, Colbert County, 
Alabama. Public comments were considered in preparing the draft EIS. A 
NOA of the draft EIS was published by the Environmental Protection 
Agency (EPA) in the Federal Register on January 29, 1999. Three public 
information and comment meetings were held on February 16, 18, and 22, 
1999 at Waverly, Tennessee; Cherokee, Alabama; and Gallatin, Tennessee 
respectively. Comments were received from three federal and three state 
agencies, two corporations, and eight individuals. After considering 
all comments, TVA revised the EIS appropriately. The Final EIS was 
distributed to commenting agencies and the public on May 13, 1999. A 
NOA of the final EIS was published by EPA in the Federal Register on 
May 21, 1999.

Alternatives Considered

    Alternative methods of meeting TVA's future electrical generation 
capacity requirements were evaluated in Energy Vision 2020. One of the 
selected methods was to construct additional electric generation 
capacity within the TVA system. Tiering from Energy Vision 2020, to 
address the peaking capacity additions, two alternatives were 
evaluated: a No Action Alternative and an Action Alternative.
    Under the No Action Alternative, TVA would not construct additional 
peaking generation capacity and would not construct or upgrade 
transmission lines or natural gas lines connecting to the new 
facilities to the TVA transmission system and fuel supplies. Instead, 
TVA would select another fossil alternative evaluated in Energy Vision 
2020, such as an option purchase agreement or spot market purchases. 
This would not necessarily preclude development and construction of 
additional generating capacity in the future by TVA or suppliers of 
power to TVA. However, this would be uncertain at this time.
    Under the Preferred Alternative, TVA would construct peaking 
capacity additions of 340 MW at both Gallatin and Johnsonville Fossil 
Plant sites, increasing the total peaking capacity of the TVA system by 
680 MW. Each site would receive four simple-cycle combustion turbines 
(CT) with a per unit capacity of 85 MW. These CTs are designed to 
operate with dual fuel capacity firing either natural gas or low sulfur 
distillate fuel oil to maximize fuel flexibility and lower operational 
cost. The CTs at both sites would be equipped with dry low nitrogen 
oxides (NOX) burners for natural gas firing and would use 
water injection for NOX control when firing No. 2 distillate 
oil. The peaking capacity additions are proposed to be completed and 
operational by June 2000. In addition to the peaking capacity 
additions, associated transmission lines serving as a connection to 
TVA's power distribution system would be constructed and or upgraded.

Decision

    TVA has decided to implement the Preferred Alternative at Gallatin 
and Johnsonville fossil plant sites, because it would add a total 
capacity of 680 MW to the TVA power system with minimal environmental 
impacts and would be more cost effective than constructing additional 
capacity at the Colbert Fossil Plant in Colbert County, Alabama. TVA 
will also build and upgrade the associated transmission lines serving 
as a connection to the TVA power distribution system. This will help 
TVA meet the projected demand for electricity in its service area as 
well as maintain reliable service to TVA customers.

Environmentally Preferred Alternative

    TVA has concluded that the Preferred Alternative is the 
environmentally preferred alternative. Alternatives that included the 
Colbert Fossil plant required the construction of new or upgraded 
natural gas pipelines which had additional potential impacts. There is 
no clear basis for identifying either the No Action or the Preferred 
Alternative as environmentally preferable to the other. Selection of 
the No Action Alternative would eliminate potential adverse impacts 
from TVA's construction and operation of new generation peaking 
capacity. However, there is no assurance that power purchased by TVA 
under the No Action Alternative would be produced by existing 
facilities or by facilities with less environmental impacts than the 
facilities contemplated by the Preferred Alternative. To the contrary, 
given the current and projected needs for new power generation, it may 
be more reasonable to assume the purchased power would be produced by 
new generating units with unknown environmental cost. Also, by 
selecting the Preferred Alternative and constructing its own generation 
units, TVA can better assure that appropriate mitigation measures are 
employed and that the construction and operation of the new units will 
comply with all environmental regulations and policies. In addition, 
the Preferred Alternative may better assure the reliability necessary 
to meet customer demand.

Environmental Consequences and Commitments

    Standard construction and best management practices would be 
followed in all aspects of the project construction and operation to 
avoid or minimize adverse environmental impacts. In addition, TVA has 
adopted the following mitigation measures pertaining to the 
construction and operation of the peaking capacity additions at 
Gallatin and Johnsonville:
     Air quality impacts of construction dust will be mitigated 
by sprinkling water on open construction areas and roads to reduce 
fugitive dust emissions.
     Air emission during operation will comply with limits set 
in the PSD permit to be issued by Tennessee Department of Environment 
and Conservation (TDEC).

[[Page 38934]]

     TVA will use natural gas and low sulfur distillate oil 
(maximum sulfur content of 0.05%) as fuels.
     TVA will install post-combustion emission controls on all 
CTs.
     Best Management Practices will be used at all stream and 
river crossings by natural gas pipelines and transmission line 
resagging, reconductoring, and new construction activities.
     All wetlands will be avoided by vans, trucks, bulldozers 
and other equipment used to access points along transmission ROW where 
resagging and reconductoring activities are required. In no case will 
equipment pass through wetlands.
     Discharges to surface waters will comply with limits set 
in NPDES permits issued by Tennessee Department of Environment and 
Conservation.
     Stormwater will be managed in accordance with Storm Water 
Pollution Prevention Control and Countermeasure plans.
     A TVA botanist will delineate a 50 feet buffer around each 
population of bladderpod (Lesquerella perforata) plant in the Spring 
Creek bottom area along the Gallatin to Lebanon Industrial Park ROW. No 
construction related traffic, vehicular or pedestrian, will be allowed 
within the delineated buffer area. Botanists from TVA and TDEC will 
meet on site with the transmission line reconductoring project engineer 
or project manager to emphasize the significance of the bladderpod 
populations and the importance of enforcing the restrictions of 
maintaining the non-intrusive 50 feet buffer zone. If any activities 
relating to the reconductoring of the transmission line through the 
Spring Creek bottom area are modified to the extent that these 
activities may directly or indirectly impact this species, TVA, U.S. 
Fish and Wildlife Service, and TDEC would meet to establish a strategy 
to protect the species.
     TVA will use BMP techniques in accordance with TVA 
guidelines for environmental protection (Muncey 1992) during the 
construction of transmission lines.
     Transmission line and natural gas pipeline ROW will be 
revegetated where natural vegetation is removed.
     TVA will avoid the removal of unique vegetation.
     Construction delivery trucks will not be loaded beyond 
legal limits and will meet all safety standards. Hauling will comply 
with all state, federal, and local ordinances.
     Impacts on cultural resources will be mitigated in 
accordance with the Memorandum of Agreement (MOA) between TVA and the 
Tennessee State Historical Preservation Officer and with Section 106 of 
the National Historical Preservation Act (NHPA). All proposed 
transmission line ROWs that require reconductoring, resagging or new 
construction will be surveyed for cultural, archaeological and historic 
resources.

    Dated: June 28, 1999.
Joseph R. Bynum,
Executive Vice President, Fossil Power Group.
[FR Doc. 99-18452 Filed 7-19-99; 8:45 am]
BILLING CODE 8120-08-P