[Federal Register Volume 88, Number 169 (Friday, September 1, 2023)]
[Notices]
[Pages 60527-60529]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-18756]


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TENNESSEE VALLEY AUTHORITY


Sugar Camp Energy LLC Mine No. 1 Significant Boundary Revision 8 
Environmental Impact Statement

AGENCY: Tennessee Valley Authority.

ACTION: Notice of intent.

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SUMMARY: The Tennessee Valley Authority (TVA) intends to prepare an 
Environmental Impact Statement evaluating the proposed expansion of 
mining operations (proposed mine expansion) by Sugar Camp Energy, LLC 
(Sugar Camp) to extract TVA-owned coal reserves in Franklin, Hamilton, 
and Jefferson counties, Illinois. The proposed 22,414-acre expansion 
area contains 21,868 acres of coal reserves owned by TVA that are under 
a coal lease agreement with Sugar Camp. TVA will consider whether to 
approve Sugar Camp's application to mine TVA-owned coal reserves within 
the project area. Additionally, TVA will evaluate the divestiture of 
TVA's mineral rights and associated land rights in Franklin, Hamilton 
and Jefferson counties, Illinois.

DATES: To ensure considerations, comments on the scope, alternatives 
being considered, and environmental issues must be received or 
postmarked, emailed, or submitted online no later than October 2, 2023.

ADDRESSES: Written comments should be sent to Elizabeth Smith, NEPA 
Specialist, TVA, 400 W. Summit Hill Drive #WT11B, Knoxville, Tennessee 
37902. Comments may be sent submitted online at https://www.tva.gov/NEPA or by email at [email protected].

FOR FURTHER INFORMATION CONTACT: Elizabeth Smith by phone at 865-632-
3053, by email at [email protected], or by mail at the address above.

SUPPLEMENTARY INFORMATION: This notice is provided in accordance with 
the Council on Environmental Quality regulations (40 CFR parts 1500 to 
1508) and TVA procedures for implementing the National Environmental 
Policy Act (NEPA). TVA is a federal corporation and instrumentality of 
the United States government, created in 1933 by an act of Congress to 
foster the social and economic well-being of the residents of the 
Tennessee Valley region. As part of its diversified energy strategy, 
TVA completed a series of land and coal mineral acquisitions from the 
1960s through the mid-1980s that resulted in the ownership of 
approximately 65,000 acres of coal reserves. These reserves consist of 
approximately 1.35 billion tons of Illinois coal, including portions of 
the Springfield (also known as Number [No.] 5) and Herrin (also known 
as No. 6) coal seams. TVA executed a coal lease agreement with Sugar 
Camp in July 2002 to mine portions of the TVA Illinois coal reserves in 
an environmentally sound manner, as subject to environmental reviews in 
accordance with NEPA and other applicable laws and regulations. Based 
in part on TVA's evolving electricity generation priorities, and TVA's 
diminishing need for coal to supply TVA's electricity generating 
portfolio, TVA is considering divesting itself of these same land and 
mineral acquisitions.

Background

    On January 4, 2023, Sugar Camp submitted Permit 382 Significant 
Boundary Revision (SBR) 8 application to Illinois Department of Natural 
Resources (IDNR) proposing to expand its underground longwall mining 
operations at its Sugar Camp Mine No. 1 in Franklin, Hamilton, and 
Jefferson counties, Illinois, by approximately

[[Page 60528]]

22,414 acres (the project area). TVA-owned coal reserves underlie 
approximately 21,868 acres of the project area. Under the proposal, 
Sugar Camp would extract approximately 122 million raw tons of TVA-
owned coal over a 25-year period (this excludes 45M tons currently 
permitted). Underground mining would be performed using room and pillar 
and continuous mining techniques during a development period, followed 
by longwall mining and associated planned subsidence (controlled 
settlement of the ground surface). Planned subsidence would occur 
within the project area once the coal has been removed through longwall 
mining methods. Sugar Camp would utilize its existing Sugar Camp Mine 
No. 1 facilities to process and ship the extracted coal, and expansion 
of these facilities is not needed to support the proposed mine 
expansion. Sugar Camp would also construct approximately six bleeder 
ventilation shafts (bleeder shafts, which ventilate the underground 
mine area) and install associated utilities needed to operate the 
bleeder shafts within the project area.
    Under the terms of the lease agreement, Sugar Camp cannot commence 
mining of TVA-owned coal reserves until completion of all environmental 
reviews required under applicable laws and regulations have been 
finalized. TVA intends to prepare an Environmental Impact Statement 
(EIS) to consider whether to approve Sugar Camp's application to mine 
the TVA-owned coal reserves underlying the project area and/or divest 
all remaining TVA-owned mineral reserves in Illinois.
    The EIS initiated by TVA will assess the environmental impact of 
approving the mining of TVA-owned coal under the mine plan and/or 
divesting all TVA-owned mineral reserves in IL. In doing so, TVA will 
address the cumulative impacts from other coal mining activities and 
identified federal and private actions. The cumulative impacts 
considered will include approved or completed activities associated 
with Sugar Camp Mine No. 1.
    The operations of Sugar Camp Mine No. 1 have previously been 
subject to TVA review and approval. In 2008, Sugar Camp obtained 
Underground Coal Mine (UCM) Permit No. 382 from IDNR for underground 
longwall mining operations within approximately 12,103 acres in 
Franklin and Hamilton counties; the original permit did not include 
TVA-owned coal reserves. In 2010, Sugar Camp applied to IDNR for an 
expansion associated with UCM Permit No. 382 to mine TVA-owned coal 
under an additional 817-acre area. The permit was issued in May 2010. 
In 2011, TVA prepared an Environmental Assessment (EA) to document the 
potential effects of Sugar Camp's proposed mining of TVA-owned coal 
underlying a 2,600-acre area.
    In November 2017, Sugar Camp obtained approval from IDNR to expand 
Sugar Camp Mine No. 1 by 37,972 acres. This proposal included the 
expansion of operations along the northern perimeter of the original 
mine perimeter, into a 2,250-acre area referred to as Viking District 
No. 2. In November 2018, TVA completed an EA that addressed expansion 
of mining operations into Viking District No. 2. In May 2019, TVA 
supplemented this EA to consider Sugar Camp's proposal to expand its 
mining into a 155-acre area within the Viking District No. 3, adjacent 
to Viking District No. 2.
    In August 2019, TVA issued a Notice of Intent in the Federal 
Register to complete an EIS for the mining of approximately 12,125 
acres of TVA-owned coal reserves associated with SBR No. 6 of UCM 
Permit No. 382. In October 2020, TVA issued the Final EIS outlining the 
analysis of alternatives associated with this additional mining of TVA 
coal reserves. In November 2020, TVA published a Record of Decision and 
approved Sugar Camp's application to mine the additional TVA-owned coal 
reserves under the IDNR-approved SBR No. 6.

Alternatives

    TVA has initially identified four alternatives for evaluation in 
the EIS associated with the proposed purpose and need. These include a 
No Action Alternative and three Action Alternatives. Under the No 
Action Alternative, TVA would not approve the requested expansion to 
mine TVA-owned coal within the project area. Under Action Alternative 
A, TVA would implement the terms of the existing coal lease agreement, 
evaluate, and potentially approve the plan to mine 21,868 acres of TVA-
owned coal as submitted by Sugar Camp in the current SBR of UCM Permit 
No. 382. Under Action Alternative B, TVA would implement the terms of 
the existing coal lease agreement, evaluate, and potentially allow 
mining of the 21,868 acres of TVA-owned coal, and consider divesting 
the remaining TVA-owned mineral rights/reserves including coal, oil, 
and gas in IL, and all associated surface rights. Under Action 
Alternative C, TVA considers divesting all remaining TVA-owned mineral 
rights/reserves including coal, oil, and gas in IL, and all associated 
surface rights, and would not approve Sugar Camp's expansion request as 
detailed under UCM Permit No. 382.
    The EIS will evaluate ways to mitigate impacts that cannot be 
avoided. The description and analysis of these alternatives in the EIS 
will inform decision makers, other agencies, and the public about the 
potential for environmental impacts associated with the proposed mine 
expansion and/or divesting TVA-owned mineral rights. TVA solicits 
comment on whether there are other alternatives that should be assessed 
in the EIS. TVA also requests information and analyses that may be 
relevant to the project.

Resource Areas and Issues To Be Considered

    Public scoping is integral to the process for implementing NEPA and 
ensures that (1) issues are identified early and properly studied, (2) 
issues of little significance do not consume substantial time and 
effort, and (3) the analysis of identified issues is thorough and 
balanced. This EIS will identify the purpose and need of the Action 
Alternatives and will contain descriptions of the existing 
environmental and socioeconomic resources within the area that could be 
affected by the proposed mine expansion. Evaluation of potential 
environmental impacts to these resources will include, but not be 
limited to, air quality and greenhouse gas emissions, surface water, 
groundwater, wetlands, floodplains, vegetation, wildlife, threatened 
and endangered species, land use, natural areas and parks and 
recreation, geology, soils, prime farmland, visual resources, noise, 
cultural resources, socioeconomics and environmental justice, solid and 
hazardous waste, public and occupational health and safety, utilities, 
and transportation. The EIS will analyze measures that would avoid, 
minimize, or mitigate environmental effects.
    The final range of issues to be addressed in the environmental 
review will be determined, in part, from scoping comments received. TVA 
is particularly interested in public input on the scope of the EIS, 
alternatives being considered, and environmental issues that should be 
addressed as part of this EIS. The preliminary identification of 
reasonable alternatives and environmental issues in this notice is not 
meant to be exhaustive or final.

Public Participation

    The public is invited to submit comments on the scope of the EIS no 
later than the date identified in the

[[Page 60529]]

DATES section of this notice. Federal, state, and local agencies and 
Native American Tribes are also invited to provide comments. 
Information about this project is available on the TVA web page at 
www.tva.gov/nepa, including a link to an online public comment page. 
Any comments received, including names and addresses, will become part 
of the administrative record and will be available for public 
inspection.
    After consideration of comments received during the scoping period, 
TVA will develop a scoping document that will summarize public and 
agency comments that were received and identify the schedule for 
completing the EIS process. Following analysis of the resources and 
issues, TVA will prepare a draft EIS for public review and comment 
tentatively scheduled for fall 2024; the final EIS and decision is 
tentatively scheduled for completion in early 2025. In finalizing the 
EIS and in making its final decision, TVA will consider the comments 
that it receives on the draft EIS.
    Authority: 40 CFR 1501.9.

Rebecca Tolene,
Vice President, Environment and Sustainability.
[FR Doc. 2023-18756 Filed 8-31-23; 8:45 am]
BILLING CODE 8120-08-P