[Federal Register Volume 67, Number 231 (Monday, December 2, 2002)]
[Notices]
[Pages 71540-71542]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-30406]



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DEPARTMENT OF ENERGY

National Energy Technology Laboratory


Notice of Availability of a Financial Assistance Solicitation

AGENCY: National Energy Technology Laboratory (NETL), Department of 
Energy (DOE).

ACTION: Notice of availability of a Financial Assistance Solicitation.

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SUMMARY: Notice is hereby given of the intent to issue Financial 
Assistance Solicitation No. DE-PS26-03NT41713 entitled ``Regional 
Carbon Sequestration Partnerships''. This solicitation will support the 
Department of Energy's Carbon Sequestration Program by promoting the 
development of a framework and infrastructure necessary for the 
validation, demonstration and wide-scale deployment of carbon 
sequestration technologies. This initiative directly supports the 
President's Global Climate Change Initiative (GCCI) goal of reducing 
greenhouse gas intensity by 18% by 2012 and to ensure that a suite of 
commercially-ready sequestration technologies are available for the 
2012 technology assessment mandated by the GCCI. The DOE will call for 
applications and select multiple Regional Partnerships to receive 
financial assistance awards that would be chartered to evaluate options 
and potential opportunities for regional CO2 storage and 
capture, CO2 transport, regulatory permitting, communication 
and outreach, public acceptance, monitoring and verification 
requirements, and environmental efficacy of sequestration in their 
multi-state region(s). The DOE plans to fund 4-10 partnerships for a 
period of up to 24 months. Total Federal funding for this initiative 
will be $8-$10 million dollars with a non-Federal cost share of at 
least 20%.

DATES: The solicitation will be available on the DOE/NETL's Internet 
address at http://www.netl.doe.gov/business and on the ``Industry 
Interactive Procurement System'' (IIPS) webpage located at http://e-
center.doe.gov on or about December 16, 2002.

FOR FURTHER INFORMATION CONTACT: Martin J. Byrnes, U.S. Department of 
Energy, National Energy Technology Laboratory, P.O. Box 10940, MS 921-
107, Pittsburgh, PA 15236. E-mail Address: [email protected]. 
Telephone Number: 412-386-4486.

SUPPLEMENTARY INFORMATION: This notice is to inform an array of 
organizations including private landowners, mining and power generation 
industry, oil and gas industry, forest product industry, other 
commercial businesses, climate change and environmental special 
interest groups, academicians, community leaders, county/city planners, 
commissioners, engineers, and the general public of the availability of 
the Regional Carbon Sequestration Partnerships Solicitation so that 
these groups can begin collaboration.

1. Background Information

A. Introduction

    This initiative directly supports the President's Global Climate 
Change Initiative (GCCI) goal of reducing greenhouse gas intensity by 
18% by 2012 and will help ensure that a suite of commercially-ready 
sequestration technologies are available for the 2012 technology 
assessment mandated by the GCCI. The establishment of several Regional 
Carbon Sequestration Partnerships will promote the implementation of 
the current RD&D technology for the capture, transport, and storage of 
anthropogenic fossil fuel CO2 emissions across the United 
States by developing regional solutions.
    For sequestration to be economically acceptable, the cost and 
energy penalty associated with CO2 capture must be reduced, 
the long-term environmental efficacy and safety of CO2 
storage must be verified, and an infrastructure amenable to 
sequestration must be developed. The geographical differences in fossil 
fuel use and sequestration sinks across the United States dictates that 
regional approaches will be required to address the sequestration of 
CO2. Each partnership will be chartered to develop 
permitting requirements, initiate public acceptance, develop protocols 
for the application of the latest advancements in technology from the 
DOE Carbon Sequestration Program and other RD&D efforts, evaluate these 
emerging technologies on capture and storage of CO2, and 
establish the monitoring, verification and accounting protocols 
required in the event that wide-scale deployment of sequestration 
technologies becomes necessary.
    Regionally oriented partnerships represent an important step 
towards meeting these objectives. The regional diversity of 
CO2 sources and storage options calls for a diverse 
portfolio of strategies for carbon management. Multi-partner 
collaborations are encouraged. A Regional Partnership may consist of 
academia, national laboratories, energy producers and users, non-profit 
organizations, and state agencies and local agencies indigenous to a 
specific region. The multi-state region should be based upon 
commonality of interests and contributions to the Partnership including 
the similarity of CO2 sources and storage options. States in 
the multi-state region need not be contiguous.

B. The Regional Carbon Sequestration Partnerships Initiative

    A two-phased approach is being pursued for this Partnership 
initiative. This Phase I solicitation will result in a detailed 
framework, conceptual design and cost information for follow-on 
activities in Phase II, ``Implementation and Technology Validation''. 
Phase II is anticipated to be a separate, open competitive solicitation 
as a follow-on to Phase I.
    In Phase I the Regional Partnership shall as a minimum:
    (1) Define the Geographical Boundaries of the Region. There will be 
several approaches for the capture, storage, and sequestration of 
CO2 that will be required for the United States. For 
example, two sinks in the U.S. may have similar geologic 
characteristics but one of the two may not be suitable for 
sequestration because of regional conditions (e.g., land use change 
patterns, seismic considerations, use as a drinking water aquifer). In 
addition, a region may have a concentration of unique CO2 
sources. These sources could use the same capture technologies and 
yield a significant reduction of the CO2 emitted from a 
region. Regions should be defined based on similarities of 
CO2 sources, sinks, permitting considerations, partners and 
other analogous features.
    (2) Characterize the Region. Characterize the region relative to 
sources, sinks, transport, sequestration options, and existing and 
future infrastructure requirements. For direct sequestration approaches 
(i.e., capture and injection of CO2 into geologic 
reservoirs), partnerships are required to address all of these issues. 
For indirect sequestration approaches (e.g., reforestation, agriculture 
practices), partnerships are required to identify the natural sinks and 
regional sources of CO2 emissions. Information gathered 
during the characterization phase should be archived in a relational 
database and geographic information system (GIS). The GIS is essential 
to analyzing the costs of transport, concentration of sources, capacity 
of sinks, and the creation of regional carbon accounting methods/
protocols.
    (a) Sources identified within a region must be of collective size 
that CO2 capture would significantly reduce the total 
emissions within the region.

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Information presented should include, but are not limited to, annual 
emissions of CO2, emissions of other green house gases 
(GHGs), and locations of large individual sources. Sources of 
CO2 can include, but are not limited to, fossil fuel 
combustion power plants, metals manufacturing facilities, chemical 
processing plants, ethanol production, natural gas production and 
fossil fuel energy facilities.
    (b) Storage options (i.e., sinks) must include the predominant 
geologic and terrestrial sinks of the defined region. Storage options 
could include, but are not limited to, geologic reservoirs such as 
depleted oil/gas reservoirs; unmineable coal seams; saline formations; 
terrestrial sequestration options such as reforestation of abandoned 
mine lands; enhancement of unproductive lands; and modifying land 
management practices on lands with existing carbon stock to increase 
carbon content. Value-added storage options such as enhanced oil 
recovery, natural gas production, or growth of timber or agricultural 
products should be considered.
    (c) Matching sources/sinks with CO2 transportation 
issues must be addressed. Transport of the captured CO2 from 
the source to the sink may be a significant consideration in regional 
greenhouse gas mitigation strategies. The Partnerships must analyze 
options/issues related to transport of CO2 between sources/
sinks (e.g., via pipeline, tanker, etc.) within the region. Transport 
options/issues are obviously not applicable to indirect sequestration 
approaches such as reforestation and agricultural practices.
    (3) Identify the Most Promising Capture, Sequestration and 
Transport Options. Analyze results from Paragraphs 1 & 2 above to 
identify the most promising regional opportunities for CO2 
capture, transport, storage and sequestration (direct or indirect) from 
the perspective of technical feasibility, safety, estimated cost, 
perceived public acceptability, CO2 reduction potential, and 
environmental efficacy. Technologies assessed for direct capture of 
CO2 are likely to come from the most promising options 
emerging from the DOE Carbon Sequestration Program or other related R&D 
initiatives conducted by academia and industry. This Regional 
Partnership initiative is not intended to be a ``technology 
development'' initiative. This initiative should, where possible, 
assess and validate the most promising emerging technology developments 
and if necessary, identify minor modifications required to fit the 
technology(s) to the regional applications. Near the conclusion of 
Phase I Partnership activities, these results shall be used to identify 
and plan small scale, regional technology validation field tests to be 
conducted if the Partnerships desire to participate and are selected 
for follow on activity in Phase II Regional Partnership Solicitation. 
The results from both Phase I and Phase II activities will ultimately 
provide prime candidate regional options for future large scale 
( 1 million tonnes per year CO2 sequestered) 
demonstration and deployment opportunities, unrelated to these Regional 
Partnership solicitations.
    (4) Identify and Address Barrier Issues for Wide-Scale Deployment. 
Conduct a preliminary assessment of safety, regulatory and permitting 
requirements, public perception, ecosystem impacts, and other potential 
challenges associated with wide scale deployment of promising regional 
opportunities selected for CO2 capture, transport, and 
storage (direct and/or indirect approaches). The technology(ies) to be 
evaluated will be those chosen as the most promising opportunities from 
Paragraph 3. Develop actions plans to overcome these challenges and 
begin implementing these plans where possible.
    (5) Develop Public Involvement and Education Mechanisms. Develop 
public involvement and education action plans that would be applicable 
in overcoming the potential challenges identified in Paragraph 4 above. 
For example, a public involvement plan may consist of, but not limited 
to, public education in the form of mailing lists, public meetings, 
media advertising, local interviews and education programs available at 
libraries, schools, and local businesses.
    (6) Prepare Action Plans for Implementation and Technology 
Validation Activity. Follow on action plans should be prepared related 
to implementation of the framework developed leading to small scale 
regional technology validation field tests identified in Paragraph 3 
above. Relative to direct capture options from energy facilities, 
Partnerships are encouraged to consider cost-effective approaches that 
provide flexibility for assessing multiple candidate technology 
options, if appropriate, such as a small slip stream from existing 
facility. Action plans for implementing Paragraphs 4 & 5 above should 
address the Partnerships plans forward related to public acceptance, 
public involvement and education, regulatory, permitting and accounting 
frameworks necessary for demonstration and wide-scale deployment of the 
most promising greenhouse gas mitigation strategies identified from 
this solicitation.
    DOE anticipates requiring the following information as part of the 
application for financial assistance:
    (1) A list of participating public and private organizations, 
descriptions of the roles and responsibilities, and letters of intent 
for each partner. Regional partnerships can include industry, state and 
regional governments, non-profit organizations, academia, and national 
laboratories that collectively possess all relevant expertise and 
capabilities. Letters of commitment from all members of the partnership 
will be required with each application. Those members offering to 
provide cost-share are also required to provide details of that 
commitment.
    (2) A description of the geographic region as defined by the 
Partnership including reasons that it should be considered (e.g., 
concentration of particular type sources or sinks), and factors that 
make the proposed Partnership necessary for consideration over areas 
with similar sources or sinks.
    (3) A description of the particular region's CO2 sources 
and potential storage sites including a plan to provide detailed 
characterization of these sources and potential storage sites.
    (4) A description of the potential aggregate amounts of greenhouse 
gas storage and value-added benefits (such as enhanced oil recovery, 
enhanced gas recovery, improved forestry/agriculture practices) that 
could result from the Regional Partnerships.
    (5) Identification of environmental efficacy, permitting, and 
regulatory issues associated with carbon sequestration and any approach 
for resolving these challenges.
    (6) An approach to developing an outreach plan to inform the public 
of the capabilities and economic benefits of the partnership activities 
and engage the public in decision-making when appropriate.
    (7) A method for conducting technology transfer and information 
sharing on the results of the project.
    Eligibility for participation in this Program Solicitation is 
considered to be full and open. All interested parties may apply. The 
solicitation will contain a complete description of the technical and 
organizational evaluation factors and the relative importance of each 
factor. Applications submitted by or on behalf of (1) another Federal 
agency; (2) a Federally Funded Research and Development Center 
sponsored by another Federal agency; or (3) a Department of Energy 
(DOE) Management Operating (M&O) contractor will not be eligible for 
award

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under this solicitation. However, these organizations may be proposed 
as partnership members subject to the guidelines provided in the 
solicitation.
    Once released, the solicitation will be available for downloading 
from the IIPS Internet page. At this Internet site you will also be 
able to register with IIPS, enabling you to submit an application. If 
you need technical assistance in registering or for any other IIPS 
function, call the IIPS Help Desk at (800) 683-0751 or E-mail the Help 
Desk personnel at center.doe.gov">IIPS_HelpDesk@e-center.doe.gov. The solicitation 
will only be made available in IIPS, no hard (paper) copies of the 
solicitation and related documents will be made available.
    Prospective applicants who would like to be notified as soon as the 
solicitation is available should subscribe to the Business Alert 
Mailing List at http://www.netl.doe.gov/business. Once you subscribe, 
you will receive an announcement by E-mail that the solicitation has 
been released to the public. Telephone requests, written requests, E-
mail requests, or facsimile requests for a copy of the solicitation 
package will not be accepted and/or honored. Applications must be 
prepared and submitted in accordance with the instructions and forms 
contained in the solicitation. The actual solicitation document will 
allow for requests for explanation and/or interpretation.

    Issued in Pittsburgh, PA, November 25, 2002.
Dale A. Siciliano,
Director, Acquisition and Assistance Division.
[FR Doc. 02-30406 Filed 11-29-02; 8:45 am]
BILLING CODE 6450-01-P