1. The FERC Review Process and Interaction with State Authorities Council of State Governments July 27, 2005 Office of Energy Projects Federal Energy Regulatory Commission

2. FERC Office of Energy Projects 2 Who Gets Involved? Process is INCLUSIVE!! -- Federal, State, Local, Individuals Based on Due Process. Detailed Review Under NEPA and NGA. Encourage the Pre-Filing Process. Build Strong Partnerships With All Stakeholders/ Reach Out to Groups.

3. FERC 3 LNG Review Process Notice of Application Interventions/ Protests Notice of Intent Scoping Meeting / Site Visit Data Requests, Analysis & Agency Coordination Issue DEIS Public Meeting / Comments Issue FEIS Authorization / Denial Safety & Engineering Cryogenic Design & Safety Review Technical Conference Waterway Suitability Assessment Waterway Suitability Report USCG Letter of Recommendation (issued independently)

4. FERC 4 Pre-Filing Process – Increased Public Involvement More interactive NEPA/permitting process, no shortcuts Earlier, more direct interaction between FERC, other agencies, landowners Time savings realized only if we are working together with stakeholders FERC/Agency staff are advocates of the Process, not the Project! Goal of “no surprises”

5. FERC 5 Opportunities for Public Involvement The FERC Process: Issue Notice of the Application Project Sponsor Sends Landowner Notification Package Issue Notice of Intent to Prepare the NEPA Document (i.e., scoping) Hold Scoping Meetings Public Input: File an Intervention; register for e- subscription Contact the project sponsor w/questions, concerns; contact FERC Send letters expressing concerns about environmental impact Attend scoping meetings

6. FERC 6 Opportunities for Public Involvement The FERC Process: Issue Notice of Availability of the DEIS Hold Public Meetings on DEIS Issue a Commission Order Public Input: File comments on the adequacy of DEIS Attend public meetings to give comments on DEIS Interveners can file a request for Rehearing of a Commission Order

7. FERC 7 Safety?– How Important? Essential Cryogenic Design Review Interagency Cooperation Compliance –Design Standards & Review Inspection Monitor Operations

8. FERC 8 NEED? Over 90 percent of the 185 GW of new electric generation since June 2001 is natural gas Source: Derived from Platts POWERmap

9. FERC 9 Siting Issues Distributed Decision-making Unclear Agency Authority Balancing Local Interests & Public Need

10. FERC 10 Siting Solution(s) Efficiency of Process -Schedule Deadlines -Coordinated Review -Establishing Authorities

11. FERC 11 Infrastructure Siting Process Clear Jurisdiction One Federal Record Uniform Court Appeal

12. FERC 12 Contact info Richard R. Hoffmann, Director Division of Gas – Environment and Engineering Office of Energy Projects 888 1 st St., N.E. Washington, DC 20426 richard.hoffmann@ferc.gov 202-502-8066