[Federal Register Volume 86, Number 208 (Monday, November 1, 2021)]
[Notices]
[Pages 60283-60287]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-23800]


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DEPARTMENT OF THE INTERIOR

Bureau of Ocean Energy Management

[Docket No. BOEM-2021-0077]


Call for Information and Nominations--Commercial Leasing for Wind 
Power Development on the Outer Continental Shelf in the Gulf of Mexico

AGENCY: Bureau of Ocean Energy Management, Interior.

ACTION: Call for information and nominations; request for comments.

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SUMMARY: In June 2021, the Bureau of Ocean Energy Management (BOEM) 
issued a request for interest (RFI) to gauge specific interest in 
obtaining commercial wind energy leases in an area on the Outer 
Continental Shelf (OCS) in the Gulf of Mexico (GOM). Based on the 
expressions of interest received in response to the RFI, BOEM has 
determined that competitive interest exists in the area identified. 
This call for information and nominations (``Call'' or ``notice'') 
initiates the competitive leasing process on the GOM OCS for the area 
identified herein. The publication of this Call does not mean that BOEM 
will ultimately grant a lease to any particular party in the area 
identified in the GOM OCS. Rather, the publication of this Call 
indicates that the area described (``Call Area'') may be subject to 
future leasing.

DATES: Submissions indicating your nomination or interest in or 
providing comments on commercial leasing within the Call Area must be 
received no later than December 16, 2021. Late submissions may not be 
considered.

ADDRESSES: Please submit nomination or interest information as 
discussed under the Supplementary Information heading in the section 
entitled ``Required Nomination Information'' via U.S. Postal Service, 
Fedex, UPS, or any other mail carrier to: Bureau of Ocean Energy 
Management, Office of Emerging Programs, 1201 Elmwood Park Boulevard, 
New Orleans, Louisiana 70123. In addition to a paper copy, please 
include an electronic copy on any digital data storage device. Do not 
submit nominations via the Federal eRulemaking Portal.
    Please submit comments and other information as discussed in the 
section entitled ``Requested Information from Interested or Affected 
Parties'' under Supplementary Information by either of the following 
two methods:
    1. Federal eRulemaking Portal: http://www.regulations.gov. In the 
search box at the top of the web page, enter BOEM-2021-0077 and then 
click ``search.'' Follow the instructions to submit public comments and 
view supporting and related materials.
    2. U.S. Postal Service or other mail delivery service. Send your 
comments and other information to the following address: Bureau of 
Ocean Energy Management, Office of Emerging Programs, 1201 Elmwood Park 
Boulevard, New Orleans, Louisiana 70123.
    For information about submitting public comments, please see the 
section under Supplementary Information entitled ``Protection of 
Privileged, Personal, or Confidential Information.''

FOR FURTHER INFORMATION CONTACT: Tershara Matthews, Chief, Office of 
Emerging Programs, 1201 Elmwood Park Boulevard, New Orleans, Louisiana 
70123, (504) 736-2676 or [email protected].

SUPPLEMENTARY INFORMATION:

1. Authority

    43 U.S.C. 1337(p)(3); 30 CFR 585.210 and 585.211.

2. Purpose

    BOEM is using this notice both to solicit lease nominations beyond 
those identified in response to the earlier RFI and to request comments 
from interested and affected parties regarding site conditions, 
resources, and uses of the identified area that would be relevant to 
BOEM's potential leasing and development authorization process. Those 
interested in leasing within the Call Area for a commercial wind energy 
project should provide detailed and specific information described in 
the section 5 of this Call entitled ``Required Nomination 
Information.'' Those interested in providing public comments and 
information regarding site conditions, resources, and multiple uses in 
close proximity to, or within, the Call Area should provide information 
requested in the section 4 of this Call entitled ``Requested 
Information from Interested or Affected Parties.'' Any nominations, 
expressions of interest, or any other information and comments that 
were previously submitted in response to the RFI do not need to be 
resubmitted. BOEM will consider previously submitted nominations, 
expressions of interest, and any other information and comments along 
with any information received in response to this notice
    BOEM is also preparing an environmental assessment, which will 
analyze leasing and reasonably foreseeable site assessment activities. 
Additional opportunities will be provided for public involvement during

[[Page 60284]]

the environmental assessment process. See the section of this Call 
entitled ``BOEM's Environmental Review Process.''
    The Call Area was established in consultation with BOEM's GOM 
Intergovernmental Renewable Energy Task Force. Comments received in 
response to the RFI also were considered when delineating the Call 
Area. A detailed description of the Call Area is found in section 3 
below.
    The OCS Lands Act requires BOEM to award leases competitively, 
unless BOEM determines that there is no competitive interest (43 U.S.C. 
1337(p)(3)). BOEM has determined that competitive interest exists in 
the identified Call area. BOEM now solicits nominations for any 
additional areas not previously identified as being of interest for 
obtaining a lease in the Call Area and requests information from 
interested and affected parties on issues relevant to BOEM's review of 
nominations for potential leases.
    The responses to this Call could lead BOEM to proceed with the 
competitive leasing process in some parts of the Call Area (i.e., where 
competition exists) and a noncompetitive process in other parts of the 
Call Area (i.e., where no competitive interest exists). The leasing 
process is described more thoroughly under the ``Determination of 
Competitive Interest'' and ``Noncompetitive Leasing Process'' sections 
of this Call. In any parts of the Call Area where an entity has 
nominated or identified an area of interest for a possible lease and 
where no competing submissions exist, BOEM may proceed with the 
noncompetitive lease process pursuant to BOEM's regulations at 30 CFR 
585.232. If BOEM determines that competitive interest exists in some or 
all of the Call Area, then BOEM may proceed with area identification 
under 30 CFR 585.211(b) and the competitive leasing process under 30 
CFR 585.211 through 585.225.
    Whether issued through a competitive or noncompetitive process, a 
lease does not grant the lessee the right to construct any facilities 
on the OCS. The lease only grants the lessee the exclusive right to 
submit site assessment and development plans to BOEM. BOEM must approve 
these plans before the lessee may proceed to the next stages of lease 
development (30 CFR 585.600 and 585.601).
    Whether competitive or noncompetitive, the leasing process will 
include subsequent opportunities for public input and review of any 
proposed actions for potential environmental impacts and multiple use 
conflicts. BOEM has not yet determined which areas may be offered for 
lease, if any. Further, BOEM may include less than the total footprint 
of the Call Area in any leasing decision or may offer no areas for 
leasing at all.

3. Description of Call Area

    The Call Area comprises the area located seaward of the Gulf of 
Mexico Submerged Lands Act boundary, bounded on the east by the north-
south line located at 89.858[deg] W longitude, and bounded on the south 
by the 400-meter bathymetry contour and the United States-Mexico 
maritime boundary established by the Treaty between the Government of 
the United States of America and the Government of the United Mexican 
States on the Delimitation of the Continental Shelf in the Western Gulf 
of Mexico beyond 200 Nautical Miles, which took effect in January 2001. 
The area for potential wind energy leasing consists of approximately 
29,901,285 acres. BOEM may issue an additional Call for areas in water 
depths between 400 meters and 1,300 meters when a better understanding 
exists of the competitive interest for floating wind energy development 
in the GOM.

4. Requested Information From Interested or Affected Parties

    On June 11, 2021, BOEM published in the Federal Register the 
``Request for Interest in Commercial Leasing for Wind Power Development 
on the Gulf of Mexico Outer Continental Shelf (OCS)'' (86 FR 31339). 
Any information that was previously submitted in response to the 
section of that RFI entitled ``Requested Information from Interested or 
Affected Parties'' does not need to be resubmitted; BOEM will consider 
it along with any information received in response to this notice.
    BOEM requests specific and detailed comments from the public and 
other interested or affected parties regarding the following features, 
activities, mitigations, or concerns within or around the Call Area:
    a. Geological, geophysical, and biological bathymetric conditions 
(including bottom and shallow hazards and live bottom).
    b. Known archaeological and cultural resource sites on the seabed.
    c. Information regarding the identification of historic properties 
or potential effects to historic properties from leasing, site 
assessment activities (including the construction of meteorological 
towers or the installation of meteorological buoys), or commercial wind 
energy development in the areas identified in the Call Area. This 
includes potential offshore archaeological sites or other historic 
properties within the areas described in this notice and also onshore 
historic properties that could potentially be affected by renewable 
energy activities within the Call Areas. This information will inform 
BOEM's review of future undertakings under section 106 of the National 
Historic Preservation Act (NHPA) and under the National Environmental 
Policy Act (NEPA).
    d. Information about potentially conflicting uses of the Call Area, 
including navigation (in particular, commercial and recreational vessel 
use), recreation, and fisheries (commercial and recreational). 
Additional information regarding recreational and commercial fisheries 
including, but not limited to, the use of the areas, the types of 
fishing gear used, seasonal use, and recommendations for reducing use 
conflicts.
    e. Information regarding the identification of protected species, 
federally designated (or proposed) critical habitat, essential fish 
habitat, or areas that are environmentally sensitive or crucial to 
marine productivity and are State or federally managed for their 
conservation value.
    f. Available and pertinent data and information concerning 
renewable energy resources and environmental conditions. Where 
applicable, spatial information should be submitted in a format 
compatible with ArcGIS 10.8.1 in a geographic coordinate system (NAD 
27).
    g. Information relating to visual resources and aesthetics, the 
potential impacts of wind turbines and associated infrastructure on 
those resources, and potential strategies to help mitigate or minimize 
any visual effects.
    h. Other relevant socioeconomic, cultural, biological, and 
environmental information.
    i. Any other relevant information BOEM should consider during its 
planning and decision-making process for the purpose of issuing leases 
in the Call Area.
    j. BOEM is interested in understanding potential opportunities for 
all types of renewable energy development in the GOM. Please provide 
information to develop an understanding of the potential opportunities 
or interest in developing clean energy in the area. BOEM would like 
information on the economic viability of offshore renewable energy in 
the GOM, the potential insurance support, private equity investment, 
capacity of grid expansion, transmission concerns, and any positive net 
value analysis for industry support. Specifically,

[[Page 60285]]

     Is development and production of offshore wind energy 
feasible when compared to the cost of electricity in GOM coastal 
States?
     What impetus is necessary for utility companies located 
along the GOM to purchase offshore wind energy?
     What could make offshore wind energy development in the 
GOM more attractive to investors?
     What could make offshore wind energy development in the 
GOM more attractive to consumers?
     What is the viability, economic or otherwise, of using 
offshore wind to power green hydrogen production in the GOM?
     What is the economic viability of offshore wind energy in 
the GOM considering turbine size, hurricane class turbines, fixed 
charge rates, and insurance costs?
     What are the most viable locations for offshore wind 
energy projects in the GOM based on water depth, wind resources, 
turbine size, distance to port, and interconnection?
     What are the transmission constraints, known or 
anticipated, and advantages, including but not limited to points of 
interconnection, load, etc., in the GOM?

5. Required Nomination Information

    If you wish to nominate one or more areas for a commercial wind 
energy lease within the Call Area, you must provide the following 
information for each nomination. Any nominations or information 
submitted in response to the RFI section entitled ``Required Indication 
of Interest Information,'' does not need to be resubmitted; BOEM will 
consider it along with any information received in response to this 
notice.
    a. The BOEM leasing map name and number, or official protraction 
diagram number, and the specific whole or partial OCS blocks within the 
Call Area that you are interested in leasing. This information should 
be submitted as a spatial file compatible with ArcGIS 10.8.1 in a 
geographic coordinate system (NAD 27) in addition to your hard copy 
submittal. If your nomination includes one or more partial blocks, 
please describe those partial blocks in terms of a sixteenth (i.e., 
sub-block) of an OCS block.
    b. A description of your objectives and the facilities that you 
would use to achieve those objectives.
    c. A preliminary schedule of proposed activities, including those 
leading to commercial operations.
    d. Available and pertinent data and information concerning 
renewable energy resources and environmental conditions in each area 
that you wish to lease, including energy and resource data and 
information used to evaluate the area. Where applicable, spatial 
information should be submitted in a format compatible with ArcGIS 
10.8.1 in a geographic coordinate system (NAD 27).
    e. Documentation demonstrating that you are legally qualified to 
hold a lease in accordance with the requirements in 30 CFR 585.106 and 
585.107(c). Examples of the documentation appropriate for demonstrating 
your legal qualifications and related guidance can be found in BOEM's 
``Qualification Guidelines to Acquire and Hold Renewable Energy Leases 
and Grants and Alternate Use Grants on the U.S. Outer Continental 
Shelf,'' available at http://www.boem.gov/Renewable-Energy-Program/Regulatory-Information/QualificationGuidelines-pdf.aspx. Legal 
qualification documents that you provide to BOEM may be made available 
for public review. If you wish that any part of your legal 
qualification documentation be kept confidential, clearly identify what 
should be kept confidential and submit it under separate cover (see 
section 6 of this Call entitled ``Protection of Privileged, Personal, 
or Confidential Information Section,'' below).
    f. Documentation demonstrating that you are technically and 
financially capable of constructing, operating, maintaining, and 
decommissioning the commercial wind energy facility described in your 
submission in accordance with 30 CFR 585.107(a). Guidance regarding the 
documentation to demonstrate your technical and financial 
qualifications can be found in ``Qualification Guidelines to Acquire 
and Hold Renewable Energy Leases and Grants and Alternate Use Grants on 
the U.S. Outer Continental Shelf,'' available at: http://www.boem.gov/Renewable-Energy-Program/Regulatory-Information/QualificationGuidelines-pdf.aspx. Any documentation you submit to 
demonstrate your legal, technical, and financial qualifications must be 
provided to BOEM in both paper and electronic formats. BOEM considers 
an Adobe PDF file on a media storage device to be an acceptable format 
for an electronic copy.

6. Protection of Privileged, Personal, or Confidential Information

a. Freedom of Information Act

    BOEM will protect your privileged or confidential information in 
accordance with the Freedom of Information Act (FOIA). Exemption 4 of 
FOIA applies to trade secrets and commercial or financial information 
that is privileged or confidential. If you wish to protect the 
confidentiality of such information, clearly label it and request that 
BOEM treat it as confidential. BOEM will not disclose such information 
if BOEM determines under 30 CFR 585.113(b) that it qualifies for 
exemption from disclosure under FOIA. Please label privileged or 
confidential information with the words ``Contains Confidential 
Information'' and consider submitting such information as a separate 
attachment.
    BOEM will not treat as confidential any aggregate summaries of such 
information or comments not containing such privileged or confidential 
information. Additionally, BOEM 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. Information that is not labeled as privileged or 
confidential may be regarded by BOEM as suitable for public release.

b. Personally Identifiable Information

    BOEM does not consider anonymous comments; please include your name 
and address as part of your comment. You should be aware that your 
entire comment, including your name, address, and any personally 
identifiable information (PII) included in your comment may be made 
publicly available. All submissions from identified individuals, 
businesses, and organizations will be available for public viewing on 
regulations.gov. For BOEM to withhold your PII from disclosure, you 
must identify any information contained in your comments that, if 
released, would constitute a clearly unwarranted invasion of your 
personal privacy. You must also briefly describe any possible harmful 
consequences of the disclosure of information, such as embarrassment, 
injury, or other harm.

c. Section 304 of NHPA (54 U.S.C. 307103(a))

    After consultation with the Secretary of the Interior, BOEM is 
required to withhold the location, character, or ownership of historic 
resources if it determines that disclosure may, among other things, 
risk harm to the historic resources or impede the use of a traditional 
religious site by practitioners. Tribal entities should designate in 
their submissions information that falls under section 304 of NHPA as 
confidential.

[[Page 60286]]

7. BOEM's Environmental Review Process

    Before deciding whether and where leases may be issued, BOEM will 
prepare an environmental assessment (EA) under the NEPA process, 
including a public scoping period to determine the scope of the EA and 
a public review and comment period on the draft EA. The EA will 
consider the reasonably foreseeable environmental consequences 
associated with leasing, such as site characterization activities 
(including geophysical, geotechnical, archaeological, and biological 
surveys) and site assessment activities (including installation of a 
meteorological tower or meteorological buoy). BOEM also will conduct 
consultations to consider the environmental consequences associated 
with issuing commercial wind energy leases within the Call Area. These 
consultations include, but are not limited to, those required by the 
Coastal Zone Management Act, the Endangered Species Act, the Magnuson-
Stevens Fishery Conservation and Management Act, section 106 of NHPA, 
and Executive Order 13175--``Consultation and Coordination with Indian 
Tribal Governments.'' Through the NEPA and consultation process, BOEM 
may evaluate mitigation measures to minimize possible impacts resulting 
from potential project activities to resources, such as migratory 
birds, marine mammals, and sea turtles.
    Before BOEM allows a lessee to begin construction of a wind energy 
project on a lease issued within the Call Area, BOEM will consider the 
potential environmental effects of the construction and operation of 
any wind energy facility under a separate, project-specific NEPA 
process. This separate NEPA process will include additional 
opportunities for public involvement and likely will result in the 
publication of an environmental impact statement.

8. BOEM's Planning and Leasing Process

    1. Determination of Competitive Interest: Subsection 8(p)(3) of the 
OCS Lands Act (43 U.S.C. 1337(p)(3)) states that ``the Secretary shall 
issue a lease, easement, or right-of-way . . . 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.'' Accordingly, BOEM must first determine whether competitive 
interest exists in acquiring a lease within the Call Area to develop 
offshore wind energy. At the conclusion of the comment period for this 
Call, BOEM will review the Call and RFI nominations received and 
determine if competitive interest exists in any part area of the Call 
Area.
    For areas with two or more valid nominations, BOEM may consider 
proceeding with competitive leasing as described in section 8.2 of this 
Call entitled ``Competitive Leasing Process.'' For areas where BOEM 
determines that there is only one interested entity, BOEM may consider 
proceeding with noncompetitive leasing, as described in section 8.3 
entitled ``Noncompetitive Leasing Process.''
    If BOEM determines that competitive interest exists and that those 
areas are appropriate to lease, BOEM may hold one or more competitive 
lease sales for those areas. In the event BOEM holds a lease sale, all 
qualified bidders, including bidders that did not submit a nomination 
in response to this Call or the RFI, will be able to participate in the 
lease sale.
    BOEM reserves the right to not lease nominated areas or to modify 
nominated areas before offering them for lease.
    2. Competitive Leasing Process: BOEM will follow these steps 
required by 30 CFR 585.211 through 585.225 if it decides to proceed 
with the competitive leasing process:
    (a) Area Identification: Based on the information received in 
response to this Call and the RFI, BOEM will determine the level of 
commercial interest and will identify the areas that would be 
appropriate to analyze for potential leasing. The areas identified will 
constitute wind energy areas (WEA) and will be subject to an EA as 
described in section 7 above, in consultation with appropriate Federal 
agencies, federally recognized Tribes, State and local governments, and 
other interested parties.
    (b) Proposed Sale Notice (PSN): If BOEM decides to proceed with a 
competitive lease sale within the WEA after completion of its EA and 
consultations, BOEM will publish a PSN in the Federal Register with a 
comment period of 60 days. The PSN will describe the areas BOEM intends 
to offer for leasing and the proposed conditions of sale, auction 
format, and lease instrument, including lease addenda. Additionally, 
the PSN will describe the criteria and process for evaluating bids in 
the auction.
    (c) Final Sale Notice (FSN): After considering the comments on the 
PSN, if BOEM decides to proceed with a competitive lease sale, it will 
publish a FSN in the Federal Register at least 30 days before the date 
of the lease sale.
    (d) Bid Submission and Evaluation: Following publication of the FSN 
in the Federal Register, BOEM will offer the lease areas through a 
competitive sale process, using procedures specified in the FSN. 
Afterwards, BOEM will review the sale, including bids and bid deposits, 
for technical and legal adequacy. BOEM will ensure that bidders have 
complied with the FSN and all applicable regulations. BOEM reserves the 
rights to reject any or all bids and to withdraw its offer to lease an 
area, even after bids have been submitted.
    (e) Issuance of a Lease: Following identification of the winning 
bid on a lease area, BOEM will notify the successful bidder and will 
provide lease documents for signature. BOEM requires a successful 
bidder to sign and return the lease documents, pay the remainder of the 
bonus bid, if applicable, and file the required financial assurance 
within 10-business days of receiving the lease documents. Upon receipt 
of the required payments, financial assurance, and properly signed 
lease documents, BOEM may execute a lease with the successful bidder.
    3. Noncompetitive Leasing Process: BOEM will follow these steps if 
it decides to proceed with a noncompetitive leasing process:
    (a) Determination of No Competitive Interest: If, after evaluating 
all relevant information, including responses to this Call and the RFI, 
BOEM determines competitive interest does not exist in all or a portion 
of the Call Area, it may proceed with noncompetitive leasing under 30 
CFR 585.231 and 585.232. BOEM will seek to determine if the sole 
respondent who nominated a particular area intends to proceed with 
acquiring the lease. If so, the respondent must submit an acquisition 
fee as specified in 30 CFR 585.502(a). After the acquisition fee is 
paid, BOEM will follow the process outlined in 30 CFR 585.231(d) 
through (i), which includes the publication of a determination of no 
competitive interest in the Federal Register.
    (b) Review of Lease Request: BOEM will complete an EA and required 
consultations as discussed in section 7 before issuing a lease 
noncompetitively. Specifically, BOEM will coordinate and consult, as 
appropriate, with relevant Federal agencies, federally recognized 
Tribes, affected State and local governments, and other affected or 
interested parties in formulating lease terms, conditions, and 
stipulations.
    (c) Lease Issuance: After completing its review of the lease 
request, BOEM may offer a noncompetitive lease. Within 10-business days 
of receiving the lease documents, the respondent must sign them and 
provide a $100,000 lease-

[[Page 60287]]

specific bond, under 30 CFR 585.515, to guarantee compliance with all 
terms and conditions of the lease. Within 45 days of receiving the 
lease documents, the respondent must pay the first 12 months' rent 
pursuant to 30 CFR 585.231(g)(2).

Amanda Lefton,
Director, Bureau of Ocean Energy Management.
[FR Doc. 2021-23800 Filed 10-29-21; 8:45 am]
BILLING CODE 4310-MR-P