[Federal Register Volume 67, Number 48 (Tuesday, March 12, 2002)]
[Notices]
[Pages 11109-11110]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-5718]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket Nos. CP02-90-000, CP02-91-000, CP02-92-000, and CP02-93-000]


AES Ocean Express LLC; Notice of Application for Certificates of 
Public Convenience and Necessity, and for Section 3 Authorization and a 
Presidential Permit

March 5, 2002.
    Take notice that on February 21, 2002, AES Ocean Express LLC (Ocean 
Express), Two Alhambra Plaza, Suite 1104, Coral Gables, Florida, 33134, 
filed applications pursuant to Sections 3 and 7(c) of the Natural Gas 
Act (NGA). Ocean Express is a limited liability company organized under 
the laws of the State of Delaware. Ocean Express is an indirect, 
wholly-owned subsidiary of The AES Corporation.
    In Docket No. CP02-90-000, Ocean Express seeks a certificate of 
public convenience and necessity authorizing Ocean Express to 
construct, own, and operate a new natural gas pipeline under Part 157, 
Subpart A of the Commission's Regulations. In Docket No. CP02-91-000, 
Ocean Express seeks a blanket certificate for certain blanket 
construction and operation authorization under Part 157, Subpart F of 
the Commission's Regulations. In Docket No. CP02-92-000, Ocean Express 
seeks a blanket certificate under Part 284, Subpart G of the 
Commission's Regulations for self-implementing transportation 
authority. In Docket No. CP02-93-000, Ocean Express seeks a 
Presidential Permit and Section 3 authorization pursuant to Part 153 of 
the Commission's Regulations.
    The Applications are on file with the Commission and open to public 
inspection. The filings may be viewed on the web at http://www.ferc.gov 
using the ``RIMS'' link, selecting ``Docket #'' and following the 
instructions (please call (202) 208-2222 for assistance). Any questions 
regarding the application may be directed to Kimberly Hall, AES Ocean 
Express LLC, Two Alhambra Plaza, Suite 1104, Coral Gables, FL 33134, 
(305) 444-4002.
    In Docket No. CP02-90-000, Ocean Express requests authorization to 
construct, own, and operate a new 24-inch diameter, approximately 52.4-
mile interstate natural gas pipeline, consisting of a 46.1 mile 
offshore segment and a 6.3-mile onshore segment.
    The offshore pipeline will extend from Exclusive Economic Zone 
(EEZ) boundary between the United States and The Bahamas in the 
Atlantic Ocean, off the southeast Florida coastline\1\ to the Dania 
Beach Boulevard traffic circle in Broward County, Florida. After making 
landfall at the Dania Beach Boulevard traffic circle, the proposed 
pipeline will continue onshore, in a westward direction, to two 
delivery points: (i) an interconnection with the Florida Gas 
Transmission (FGT) system at the Florida Power & Light (FPL) Fort 
Lauderdale Power Plant, and (ii) an interconnection with the FPL gas 
line servicing the FPL Fort Lauderdale Power Plant. Ocean Express' 
proposed pipeline is designed to transport up to 824,000 Dth/day.
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    \1\ The EEZ is defined in the 1995 Department of State Public 
Notice 2237--Exclusive Economic Zone and Maritime Boundaries; Notice 
of Limits U.S. Atlantic Coast and Gulf of Mexico. See 60 Fed. Reg. 
para. 43,825 (1995).
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    Ocean Express states that it will receive, at the EEZ boundary, 
natural gas transported by an approximately 40.4-mile nonjurisdictional 
pipeline beginning at a liquefied natural gas (LNG) receiving, storage 
and regasification facility in Ocean Cay, The

[[Page 11110]]

Bahamas. Ocean Express states that the nonjurisdictional, foreign 
pipeline and LNG facility will be constructed, owned and operated by 
its Bahamian affiliate, AES Ocean LNG, Ltd.
    Ocean Express estimates that the total capital cost of constructing 
the United States part of the pipeline and appurtenant facilities in 
the United States will be about $93 million. Ocean Express also filed a 
pro forma FERC Gas Tariff showing the initial rate for firm 
transportation service of a $0.0456/Dth reservation charge. The rate 
for interruptible service is the 100% load factor equivalent of the 
firm service rate. The pro forma tariff also contains the terms and 
conditions of the transportation services proposed to be offered by 
Ocean Express.
    Ocean Express says it conducted an open season from September 18, 
2001 through October 18, 2001 to receive requests and obtain binding 
commitments for transportation capacity. As a result, Ocean Express 
received six requests for additional information on the project, and 
two bids for capacity. Ocean Express says that only AES LNG Marketing, 
L.L.C. submitted a conforming bid, resulting in an executed precedent 
agreement for 800,000 Dth/day.
    Ocean Express says that it has consulted with numerous interested 
stakeholders through the course of developing its project in order to 
avoid or minimize negative impacts to surrounding communities. Ocean 
Express has identified a total of fifteen landowners and governmental 
agencies that could be directly affected by the proposed pipeline. 
Ocean Express states it will maintain contact with these landowners 
throughout the course of its project. Ocean Express also states that it 
will employ construction techniques that minimize environmental 
impacts. Ocean Express states that it intends to utilize horizontal 
directional drilling (HDD) technology to construct the approximately 
7880 feet of offshore pipeline closest to shore, and explains that use 
of the HDD technology will avoid or minimize construction-related 
impact to reef structures near the shore. Ocean Express states it is 
also using HDD technology for various portions of its onshore route to 
minimize impacts.
    Ocean Express also seeks NGA Section 3 authority and a Presidential 
Permit to construct, own, operate, and maintain a 24-inch pipeline at 
the U.S.-Bahamian boundary. Ocean Express states that it will connect 
with AES Ocean LNG, Ltd., its Bahamian affiliate, at the EEZ boundary 
between the U.S. and The Bahamas, and that any facilities considered to 
be ``border facilities'' will be a segment of 24-inch diameter at that 
location on the EEZ boundary.
    Ocean Express requests that the Commission issue a preliminary 
determination on non-environmental issues by July 2002, and a final 
certificate authorization by March 2003. Ocean Express says that this 
will allow construction to be completed by a proposed in-service date 
of November 1, 2004. This proposed in-service date depends on the 
timing of financing commitments. If financing commitments cannot be 
secured on the basis of a preliminary determination issued by the 
Commission, then Ocean Express proposes an alternative in-service date 
of March 1, 2005 because of such commercial considerations.
    There are two ways to become involved in the Commission's review of 
this project. First, any person wishing to obtain legal status by 
becoming a party to the proceedings for this project should, on or 
before March 26, 2002, file with the Federal Energy Regulatory 
Commission, 888 First Street, NE., Washington, DC, 20426, a motion to 
intervene in accordance with the requirements of the Commission's Rules 
of Practice and Procedure (18 CFR 385.214 or 385.211) and the 
Regulations under the NGA (18 CFR 157.10). A person obtaining party 
status will be placed on the service list maintained by the Secretary 
of the Commission and will receive copies of all documents filed by the 
applicant and by all other parties. A party must submit 14 copies of 
filings made with the Commission and must mail a copy to the applicant 
and to every other party in the proceeding. Only parties to the 
proceeding can ask for court review of Commission orders in the 
proceeding.
    However, a person does not have to intervene in order to have 
comments considered. The second way to participate is by filing with 
the Secretary of the Commission, as soon as possible, an original and 
two copies of comments in support of or in opposition to this project. 
The Commission will consider these comments in determining the 
appropriate action to take, but the filing of a comment alone will not 
serve to make the filer a party to the proceeding. The Commission's 
rules require that persons filing comments in opposition to the project 
provide copies of their protests only to the party or parties directly 
involved in the protest.
    Persons who wish to comment only on the environmental review of 
this project should submit an original and two copies of their comments 
to the Secretary of the Commission. Environmental commenters will be 
placed on the Commission's environmental mailing list, will receive 
copies of the environmental documents, and will be notified of meetings 
associated with the Commission's environmental review process. 
Environmental commenters will not be required to serve copies of filed 
documents on all other parties. However, the non-party commenters will 
not receive copies of all documents filed by other parties or issued by 
the Commission (except for the mailing of environmental documents 
issued by the Commission) and will not have the right to seek court 
review of the Commission's final order.
    The Commission may issue a preliminary determination on non-
environmental issues prior to the completion of its review of the 
environmental aspects of the project. This preliminary determination 
typically considers such issues as the need for the project and its 
economic effect on existing customers of the applicant, on other 
pipelines in the area, and on landowners and communities. For example, 
the Commission considers the extent to which the applicant may need to 
exercise eminent domain to obtain rights-of-way for the proposed 
project and balances that against the non-environmental benefits to be 
provided by the project. Therefore, if a person has comments on 
community and landowner impacts from this proposal, it is important 
either to file comments or to intervene as early in the process as 
possible.
    Comments, protests, and interventions may be filed electronically 
via the internet in lieu of paper. See, 18 CFR 385.2001(a)(1)(iii) and 
the instructions on the Commission's web site under the ``e-Filing'' 
link.
    If the Commission decides to set the application for a formal 
hearing before an Administrative Law Judge, the Commission will issue 
another notice describing that process. At the end of the Commission's 
review process, a final Commission order approving or denying a 
certificate will be issued.

Magalie R. Salas,
Secretary.
[FR Doc. 02-5718 Filed 3-11-02; 8:45 am]
BILLING CODE 6717-01-P