[Federal Register Volume 76, Number 17 (Wednesday, January 26, 2011)]
[Notices]
[Pages 4716-4719]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-1594]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF THE INTERIOR

Bureau of Ocean Energy Management, Regulation and Enforcement

[Docket No. BOEM-2010-0075]


Commercial Leasing for Wind Power on the Outer Continental Shelf 
(OCS) Off Delaware, Notice of Proposed Lease Area and Request for 
Competitive Interest

AGENCY: Bureau of Ocean Energy Management, Regulation and Enforcement 
(BOEMRE), Interior.

ACTION: Request for Competitive Interest (RFCI) in Proposed Lease Area 
off Delaware.

-----------------------------------------------------------------------

SUMMARY: BOEMRE provides public notice of a proposed lease area for 
commercial wind development on the OCS off Delaware and requests 
submission of indications of competitive interest. The proposed lease 
area was identified through the issuance of a Request for Interest 
(RFI) published in the Federal Register on April 26, 2010 (75 FR 
21653). In response to that notice, BOEMRE received two nominations of 
proposed lease areas: One from Bluewater Wind Delaware LLC (Bluewater) 
and another from Occidental Development & Equities, LLC (Occidental). 
Subsequently, BOEMRE determined that Bluewater is qualified to hold an 
OCS commercial wind lease in accordance with the regulatory 
requirements at 30 CFR 285.106 and .107, and that Occidental did not 
provide the necessary documentation demonstrating that it was qualified 
to hold an OCS commercial lease at the time. As a result, Occidental's 
lease nomination was nullified and Bluewater's nomination remained as 
the only eligible expression of interest upon which to base the 
proposed lease area. In accordance with 30 CFR 285.232, by letter dated 
November 8, 2010, BOEMRE informed Bluewater that there appeared to be 
no competitive interest in the proposed lease area and requested that 
Bluewater inform BOEMRE if it wished to proceed with acquiring a lease. 
By correspondence dated December 3 and December 9, 2010, Bluewater Wind 
stated its intention to acquire a lease for the proposed lease area and 
provided documentation that it had submitted the required acquisition 
fee.
    This RFCI is published pursuant to subsection 8(p)(3) of the OCS 
Lands Act, as amended by section 388 of the Energy Policy Act of 2005 
(EPAct) (43 U.S.C. 1337(p)(3)), and the implementing regulations at 30 
CFR Part 285. Subsection 8(p)(3) of the OCS Lands Act requires that OCS 
renewable energy leases, easements, and rights-of-way be issued ``on a 
competitive basis unless the Secretary determines after public notice 
of a proposed lease, easement, or right-of-way that there is no 
competitive interest.'' This RFCI provides such public notice for the 
proposed lease area. Also, with this announcement BOEMRE invites all 
interested and affected parties to comment and provide information--
including information on existing uses and environmental issues and 
concerns--that will be useful in the environmental analysis of 
potential wind development activities in the proposed lease area. A 
detailed description of the proposed lease area is presented below.

DATES: BOEMRE must receive your indication of competitive interest for 
this entire proposed lease area no later than February 10, 2011 for 
your submission to be considered. BOEMRE requests comments or other 
submissions of information by this same date. We will consider only 
valid submissions that meet the criteria set forth in 30 CFR Part 285 
received by the due date above.

SUBMISSION PROCEDURES: You may submit your indication of competitive 
interest by one of two methods:
    1. Electronically: http://www.regulations.gov. In the entry titled 
``Enter Keyword or ID,'' enter BOEM-2010-0075, and then click 
``search''. Follow the instructions to submit public comments and view 
supporting and related materials available for this notice. BOEMRE will 
post all comments.
    2. By mail, sending your indication of interest, comments, and 
information to the following address: Bureau of Ocean Energy 
Management, Regulation and Enforcement, Office of Offshore

[[Page 4717]]

Alternative Energy Programs, 381 Elden Street, Mail Stop 4090, Herndon, 
Virginia 20170-4817.

FOR FURTHER INFORMATION CONTACT: Erin C. Trager, Projects and 
Coordination Branch, BOEMRE, Office of Offshore Alternative Energy 
Programs, 381 Elden Street, Mail Stop 4090, Herndon, Virginia 20170-
4817; telephone (703) 787-1713.

SUPPLEMENTARY INFORMATION:

Purpose of This RFCI

    This RFCI gives parties the opportunity to express interest in 
competing for the acquisition of an OCS commercial wind lease for the 
proposed lease area. If BOEMRE receives valid indications of 
competitive interest in response to this notice, it may implement the 
competitive lease process outlined at 30 CFR 285.210-.225. If BOEMRE 
receives no valid indications of competitive interest and determines 
that there is no competitive interest, it may implement the 
noncompetitive lease process outlined at 30 CFR 285.232. Both the 
competitive and noncompetitive processes and related environmental 
review processes were described in the RFI dated April 26, 2010.
    Parties other than those interested in obtaining a commercial lease 
are welcome to submit comments in response to this RFCI. Additionally, 
BOEMRE has formed a Delaware OCS Renewable Energy Task Force for 
coordination with affected Federal agencies and state, local, and 
tribal governments throughout the leasing process. Task Force members 
and meeting materials are available on the BOEMRE Web site at: http://www.boemre.gov/offshore/RenewableEnergy/stateactivities.3htm#Delaware.

Description of the Proposed Lease Area

    The proposed lease area consists of 10 OCS lease full blocks, 116 
OCS lease sub-blocks, and 18 OCS lease partial sub-blocks. A sub-block 
for the purposes of this RFCI is 1/16 of an OCS lease full block. 
Following are the OCS lease full blocks: Salisbury NJ18-05 Blocks 6325, 
6326, 6327, 6375, 6376, 6377, 6426, 6427, 6477, and 6527. In addition, 
the table below describes the OCS lease sub-blocks included within the 
area of interest. Note that the most western areas within the western 
column of sub-blocks in Salisbury NJ18-05 Blocks 6274 and 6324 will be 
stipulated to prohibit any development activities where the sub-block 
overlaps with the charted ``Danger Area,'' an explosives dumping 
ground. The sub-blocks that will be stipulated based on this known 
Explosives Dumping Ground are noted below with an asterisk (*).

----------------------------------------------------------------------------------------------------------------
                                                  Protraction
               Protraction name                       No.          Block No.                Sub-block
----------------------------------------------------------------------------------------------------------------
Salisbury.....................................         NJ18-05            6274  M*,N,O,P.
Salisbury.....................................         NJ18-05            6275  M,N,O,P.
Salisbury.....................................         NJ18-05            6276  M,N,O,P.
Salisbury.....................................         NJ18-05            6277  M,N,O,P.
Salisbury.....................................         NJ18-05            6278  M,N.
Salisbury.....................................         NJ18-05            6324  A*,B,C,D,E*,F,G,H,I*,J,K,L,M*,N,
                                                                                 O,P.
Salisbury.....................................         NJ18-05            6328  A,B,E,F,I,J,M,N.
Salisbury.....................................         NJ18-05            6374  A,B,C,D,E,F,G,H,J,K,L,O,P.
Salisbury.....................................         NJ18-05            6378  A,B,E,F,I,J,M,N.
Salisbury.....................................         NJ18-05            6424  D.
Salisbury.....................................         NJ18-05            6425  A,B,C,D,E,F,G,H,I,J,K,L,N,O,P.
Salisbury.....................................         NJ18-05            6428  A,B,E,F,I,J,M.
Salisbury.....................................         NJ18-05            6475  C,D,H.
Salisbury.....................................         NJ18-05            6476  A,B,C,D,E,F,G,H,I,J,K,L,N,O,P.
Salisbury.....................................         NJ18-05            6478  A,E,I,M.
Salisbury.....................................         NJ18-05            6526  B,C,D,G,H,L.
Salisbury.....................................         NJ18-05            6577  B,C.
----------------------------------------------------------------------------------------------------------------

    In addition, the table below describes the partial sub-blocks 
included in the area of interest: The partial sub-blocks are bounded by 
the coordinates provided below the table as referenced in the column 
Boundary edge. Coordinates are provided in X, Y (eastings, northings) 
UTM Zone 18N, NAD 83 and geographic (longitude, latitude), NAD83.

----------------------------------------------------------------------------------------------------------------
                                      Protraction
         Protraction name                 No.          Block No.      Partial sub-block        Boundary edge
----------------------------------------------------------------------------------------------------------------
Salisbury.........................         NJ18-05            6274  J,K,L................  Northern**.
Salisbury.........................         NJ18-05            6275  I,J,K,L..............  Northern**.
Salisbury.........................         NJ18-05            6276  I,J..................  Northern**.
Salisbury.........................         NJ18-05            6374  I,N..................  Southwestern***.
Salisbury.........................         NJ18-05            6424  C,H,L................  Southwestern***.
Salisbury.........................         NJ18-05            6425  M....................  Southwestern***.
Salisbury.........................         NJ18-05            6475  B,G,L................  Southwestern***.
----------------------------------------------------------------------------------------------------------------

    ** Northern boundary:

----------------------------------------------------------------------------------------------------------------
               Point  No.                   X  (easting)      Y  (northing)       Longitude         Latitude
----------------------------------------------------------------------------------------------------------------
1.......................................     505537.918949    4289342.054910        -74.936267         38.752755
2.......................................     537257.896672    4287622.083370        -74.571316         38.736486
----------------------------------------------------------------------------------------------------------------


[[Page 4718]]

    *** Southwestern boundary:

----------------------------------------------------------------------------------------------------------------
               Point  No.                   X  (easting)      Y  (northing)       Longitude         Latitude
----------------------------------------------------------------------------------------------------------------
1.......................................     505537.918949    4289342.054910        -74.936267         38.752755
2.......................................     530399.822669    4259687.322270        -74.651442         38.485007
----------------------------------------------------------------------------------------------------------------

Map of Proposed Lease Area

    A map of the proposed lease area is available at the following URL: 
http://www.boemre.gov/offshore/RenewableEnergy/stateactivities.htm#Delaware.
    A large-scale map of the proposed lease area showing its boundaries 
and numbered blocks is available from BOEMRE at the following address: 
Bureau of Ocean Energy Management, Regulation and Enforcement, Office 
of Offshore Alternative Energy Programs, 381 Elden Street, Mail Stop 
4090, Herndon, Virginia 20170-4817, Phone: (703) 787-1300, Fax: (703) 
787-1708.

Highlighted Portions of the Proposed Lease Area

    The proposed lease area includes portions that BOEMRE wishes to 
highlight as areas of special interest or concern based on available 
information. These include the obstruction area consisting of a fish 
haven/artificial reef site identified on National Oceanic and 
Atmospheric Administration (NOAA) nautical charts, which was described 
in the April 26, 2010 notice (coordinates listed below):

----------------------------------------------------------------------------------------------------------------
               Point  No.                   X  (easting)      Y  (northing)       Longitude         Latitude
----------------------------------------------------------------------------------------------------------------
1.......................................     523043.216256    4281282.246340        -74.735077         38.679839
2.......................................     525024.306894    4281183.549880        -74.712304         38.678896
3.......................................     524708.429395    4279986.367770        -74.715978         38.668116
4.......................................     524599.514352    4279572.346900        -74.717245         38.664388
5.......................................     524255.539477    4279604.189130        -74.721198         38.664684
6.......................................     522091.708618    4279798.266490        -74.746063         38.666490
7.......................................     522393.836728    4281025.207860        -74.742551         38.677539
8.......................................     522464.137335    4281311.495710        -74.741733         38.680118
1.......................................     523043.216256    4281282.246340        -74.735077         38.679839
----------------------------------------------------------------------------------------------------------------

     Additional highlighted areas include those identified by comments 
submitted in response to the April 26, 2010 notice or through 
deliberations of the BOEMRE--Delaware OCS Renewable Energy Task Force 
as described below:
    Potential U.S. Coast Guard (USCG) Anchorage Area--The USCG 
anticipates establishing through rulemaking an anchorage ground within 
the proposed lease area, east of the Delaware to Cape Henlopen Traffic 
Lane, defined by the area enclosed by the following points: 38-40.9N 
74-52.0W, 38-40.9N 74-48.8W, 38-37.6N 74-48.5W. Authority to create 
such an anchorage ground beyond 3 NM is included in The Coast Guard 
Authorization Act of 2010 [Pub. L. 111-281].
    Recreational Fishing Grounds--NOAA, National Marine Fisheries 
Service (NMFS), identified five recreational fishing areas that reside 
partially or wholly within the proposed lease area in consultation with 
the Mid-Atlantic Fishery Management Council, including Old Grounds, 
Mussel Bed, Inside Mud Hole, Middle Mud Hole, and Outer Mud Hole.

Summary of Comments Received in Response to the April 26, 2010, RFI

    On June 25, 2010, the comment period closed for the Delaware RFI 
(75 FR 21653). BOEMRE received eight responses during the public 
comment period, including two commercial expressions of interest and 
comments from three government agencies, one marine waterway operator, 
one trade association, and a non-governmental organization. Comments 
received in response to the RFI are available at the following URL: 
http://www.boemre.gov/offshore/RenewableEnergy/stateactivities.htm#Delaware.
    BOEMRE convened a task force meeting on July 15, 2010, to inform 
the task force members of the RFI responses and discuss next steps. The 
task force meeting also gave representatives from the Federal agencies 
that submitted comments an opportunity to present and discuss those 
comments with the rest of the task force.
    Some of the comments requested a change to the RFI area considered 
for leasing and included suggestions such as identifying areas for 
exclusion, mitigation, or further study. Specific areas identified for 
exclusion or mitigation include the area charted as Explosives Dumping 
Ground in the westernmost part of the area of interest, an area that 
could potentially be designated as a vessel anchorage ground, and five 
recreational fishing areas, as depicted on the map of the proposed 
lease area. In addition, the USCG suggested--pending further study of 
traffic patterns--that a 0.5 NM (925 meters) buffer may be needed 
between the Traffic Separation Scheme (TSS) and the area identified for 
leasing, instead of the 500 meter buffer proposed in the RFI. Other 
comments expressed concern with navigational safety in the RFI area as 
a result of development in that area of interest.
    Given existing defense activities in the area of interest, the 
Department of Defense (DoD) informed BOEMRE of its assessment that wind 
energy infrastructure may be feasible in this area if the 
infrastructure is subject to DoD site specific conditions and 
stipulations. Stipulations could include: A hold and save harmless 
agreement between the developer and DoD; mandatory coordination with 
DoD on specified activities; restrictions on electromagnetic emissions; 
and a requirement for wind energy industry personnel to evacuate the 
area for safety reasons when notified by DoD. In addition, other 
comments suggested areas where further environmental data may be 
warranted, and provided environmental data that may further inform 
future environmental review.
    Given concerns about the safety of development in the charted 
Explosives Dumping Ground, BOEMRE has decided to exclude this area from 
potential development, which is reflected in the

[[Page 4719]]

map of the proposed lease area. The easternmost edge of the Explosives 
Dumping Ground will be stipulated as a ``no build'' area where it 
overlaps with the proposed lease area in OCS lease blocks NJ18-05 6274 
and 6324.
    BOEMRE has decided to retain within its proposed lease area the 
area designated as a potential USCG vessel anchorage area, given that 
this potential anchorage ground is subject to a yet-to-be-made 
rulemaking decision. In the event that the designated area becomes a 
USCG vessel anchorage area, BOEMRE may consider applying mitigation 
measures such as designating the area as a ``no build'' zone.
    Further, BOEMRE will examine vessel traffic data for vessels 
equipped with automatic identification system (AIS) transponders before 
requiring a larger buffer between the edge of the TSS and the proposed 
lease area or applying other mitigation measures within the proposed 
lease area. BOEMRE, in consultation with the USCG, will conduct further 
study on traffic patterns and traffic density in the area of interest 
before modifying the proposed TSS buffer, which is currently set at 500 
meters. If data suggests that heavy traffic transits within 0.5 NM of 
the edge of the TSS, BOEMRE has the discretion to require a larger 
buffer.
    For the purposes of the RFCI, the recreational fishing areas 
identified by NOAA NMFS and the Mid-Atlantic Fishery Management 
Council, including Old Grounds, Mussel Bed, Inside Mud Hole, Middle Mud 
Hole, and Outer Mud Hole, will be retained in the proposed lease area 
rather than excluded at this time. Because little information is known 
about the potential impact of development on these sites, BOEMRE will 
consider available information during the NEPA process that will be 
undertaken in advance of commercial development.

Required Indication of Interest Information

    If you intend to express competitive interest in acquiring an OCS 
commercial wind lease for the proposed lease area, you must submit the 
following (note: Bluewater is not required to re-submit its expression 
of interest):
    (1) A statement that you wish to acquire a commercial wind lease 
for the proposed lease area (i.e., the entire area as described above). 
BOEMRE will not consider nominations valid if they cover less than the 
entire proposed lease area or describe any areas outside of the 
proposed lease area in this process. Any request for a commercial wind 
lease located outside of the proposed lease area should be submitted 
separately pursuant to 30 CFR 285.230;
    (2) A description of your objectives and the facilities that you 
would use to achieve those objectives;
    (3) A schedule of proposed activities, including those leading to 
commercial operations;
    (4) Available and pertinent data and information concerning 
renewable energy and environmental conditions in the area of interest, 
including energy and resource data and information used to evaluate the 
area of interest;
    (5) Documentation demonstrating that you are qualified to hold a 
lease as set forth in 30 CFR 285.107, including documentation 
demonstrating that you are technically and financially capable of 
constructing, operating, maintaining, and decommissioning the 
facilities described in (2) above.
    It is critical that your submission of an indication of competitive 
interest is complete so that BOEMRE may proceed in a timely manner with 
the commercial wind leasing process for the lease area on the OCS off 
Delaware. If BOEMRE reviews your indication of competitive interest and 
determines that it is incomplete, BOEMRE will inform you of this 
determination in writing. This letter will describe the information 
BOEMRE determined to be missing and that you must submit in order for 
BOEMRE to deem your submission complete. You will be given 15 business 
days from the date of the letter to submit the information that BOEMRE 
has determined to be missing from your original submission. If you do 
not meet this deadline, or if BOEMRE determines that the additional 
information that you provided in response to its initial determination 
fails to complete your submission, then BOEMRE may deem your indication 
of competitive interest incomplete and may not consider it a valid 
submission.

Privileged or Confidential Information

    BOEMRE will protect privileged or confidential information that you 
submit as required by the Freedom of Information Act (FOIA). Exemption 
4 of FOIA applies to trade secrets and commercial or financial 
information that you submit that is privileged or confidential. If you 
wish to protect the confidentiality of such information, clearly mark 
it and request that BOEMRE treat it as confidential. BOEMRE will not 
disclose such information, qualifying for withholding under the terms 
of FOIA. Please label privileged or confidential information ``Contains 
Confidential Information'' and consider submitting such information as 
a separate attachment.
    However, BOEMRE will not treat as confidential any aggregate 
summaries of such information or comments not containing such 
information. Also, BOEMRE will not treat as confidential (1) the legal 
title of the nominating entity (for example, the name of your company), 
or (2) the list of whole or partial blocks that you are nominating.

    Dated: January 14, 2011.
Michael R. Bromwich,
Director, Bureau of Ocean Energy Management, Regulation and 
Enforcement.
[FR Doc. 2011-1594 Filed 1-24-11; 11:15 am]
BILLING CODE 4310-MR-P