Guidance for Renewable Energy Development Projects on Preferred Sites in Vermont. Prepared by Vermont Department of Environmental Conservation

Transcription

1 Guidance for Renewable Energy Development Projects on Preferred Sites in Vermont Prepared by Vermont Department of Environmental Conservation

2 INTRODUCTION This guidance document was prepared by the Vermont Department of Environmental Conservation (VTDEC), Sites Management Section (SMS), to serve as a resource for the renewable energy development community when working on projects that will benefit from the preferred sites incentives outlined in the Vermont Public Service Board (PSB) Rule Effective January 1, This document is intended to provide an overview of the certification process and development procedures for proposed renewable energy projects located on a subset of the preferred sites categories as defined in Rule (see definition below). To supplement this guidance document the VTDEC is assembling a comprehensive handbook to assist developers, property owners and other stakeholders through the Brownfields redevelopment process

3 WHAT IS A PREFERRED SITE? According to the Vermont Public Service Board, the entity that governs the terms upon which any electric company offers net metering service within its service territory, a preferred site means one of the following: (1) A new or existing structure whose primary use is not the generation of electricity or providing support for the placement of equipment that generates electricity; (2) A parking lot canopy over a paved parking lot, provided that the location remains in use as a parking lot; (3) A tract previously developed for a use other than siting a plant on which a structure or impervious surface was lawfully in existence and use prior to July 1 of the year preceding the year in which an application for a certificate of public good under this Rule is filed. To qualify under this subdivision (3), the limits of disturbance of a proposed net metering system must include either the existing structure or impervious surface and may not include any headwaters, streams, shorelines, floodways, rare and irreplaceable natural areas, necessary wildlife habitat, wetlands, endangered species, productive forestlands, or primary agricultural soils, all of which are as defined in 10 V.S.A. chapter 151; (4) Land certified by the Secretary of Natural Resources to be a brownfield site as defined under 10 V.S.A. 6642; (5) A sanitary landfill as defined in 10 V.S.A. 6602, provided that the Secretary of Natural Resources certifies that the land constitutes such a landfill and is suitable for the development of the plant; (6) The disturbed portion of a gravel pit, quarry, or similar site for the extraction of a mineral resource that was in lawful operation on January 1, 2017, provided that all activities pertaining to site reclamation required by applicable law or permit condition are completed prior to the installation of the plant;

4 Preferred Site Definition, Continued (7) A specific location designated in a duly adopted municipal plan under 24 V.S.A. chapter 117 for the siting of a renewable energy plant or specific type or size of renewable energy plant, provided that the plant meets the siting criteria recommended in the plan for the location; or a specific location that is identified in a joint letter of support from the municipal legislative body and municipal and regional planning commissions in the community where the net metering system will be located. (8) A site listed on the National Priorities List (NPL) established under the Comprehensive Environmental Response, Compensation, and Liability Act, 42 U.S.C. chapter 103, if the U.S. Environmental Protection Agency or the Agency of Natural Resources confirms each of the following that the site is listed on the NPL; (9) On the same parcel as, or directly adjacent to, a customer that has been allocated more than 50 percent of the net metering system s electrical output. The allocation to the host customer may not be less than 50 percent during each of the first 10 years of the netmetering system s operation.

5 Why Focus Renewable Energy Development Projects on a Preferred Site? Protect/Conserve our Greenspace Lower development costs and work scope due to existing infrastructure Favorable zoning and land use provisions streamlined project schedule Support and assistance from ANR

6 General Comments Preferred Sites Preferred sites are not the clean portion of a site where there is no additional public benefit by redeveloping. There is an expectation that there will be increased environmental site work or development restrictions associated with the site to attain preferred status.

7 A Brownfield Site means real property, the expansion, redevelopment or reuse of which may be complicated be the release or threatened release of hazardous material Brownfields Common Brownfield Sites in Vermont: UST facilities Salvage Yards Town Dumps Active SMS Site Historic Manufacturing or Industrial Facilities Potential Impacts from Neighboring Properties

8 Hazardous Material Any substance listed in CERCLA 101(14) Any hazardous waste Petroleum Contaminants listed in the Vermont Water Quality Standards; Groundwater Protection Rule; Investigation and Remediation of Contaminated Properties Rule; and Public Drinking Water Supply Rule

9 Releases of Hazardous Materials Any intentional or unintentional action or omission resulting in the spilling, leaking, pumping, pouring, emitting, emptying, dumping, or disposing of hazardous materials into the surface or groundwaters, or onto the lands in the State, or into waters outside the jurisdiction of the State when damage may result to the public health, lands, waters, or natural resources within the jurisdiction of the State.

10 Liability for Releases of a Hazardous Material Current and Former Owners, including lessees Prior owners and operators Transporters Arrangers Construction activities that damage a remedial feature or cause additional exposure are new releases and the developer is liable for cleanup. Liability is strict liability and joint and several.

11 Brownfields Response and Environmental Liability Limitation Act (BRELLA) At Certificate of Completion A release that existed at the time of the COC that was not discoverable using standard methods or where not hazardous materials at the time of COC (emerging contaminants). More stringent standards for cleanup. Transferrable and runs with the property. At completion of Corrective Action Plan. If a number of criteria met (entry as prospective purchaser, site stable, land use restrictions, CAP approved) then non transferrable liability protection for investigated release.

12 Additional BRELLA benefits Funding opportunities. Priority and Coordination with other State Agencies (if enrolled in BERA)

13 National Priority List (NPL) aka Superfund Sites Established under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA) The list of hazardous waste sites that are eligible for long term mitigation, remediation and monitoring financed by EPA The NPL is intended primarily to guide the EPA in determining which sites warrant further investigation As of April 2017 there are 12 NPL sites located in Vermont several of which are in varying phases of renewable energy redevelopment.

14 General Expectations with Contaminated Sites Generally, there is an expectation to investigate known releases and remediate those releases. Stay around to this afternoon on the Investigation and Remediation of Contaminated Properties Rule.

15 Developing a Brownfield vs. Greenfield Cleanups are often risk based. This may require limits on future development at the Site. A developer should either own the brownfield in fee simple or whatever lease should clearly identify who is responsible for cleanup. Indemnities do not create a release from liability under 10 V.S.A It may allow a developer to recover from a responsible party.

16 Additional Thoughts and Considerations PLAN. These are not standard greenfield transitions and you need to account for the additional environmental field work. Hire a environmental consultant and listen to them. Let them take the lead on managing the site. You focus on the transaction. Understand the risk from the site and make sure your client is comfortable with that risk.

17 Sanitary Landfill A Sanitary Landfill means a land disposal site employing an engineered method of disposing of solid waste on land in a manner that minimizes environmental hazards by spreading the solid waste in thin layers, compacting the solid waste to the smallest practical volume, and applying and compacting cover material at the end of each operating day In Vermont there are more than 70 closed, administered solid waste landfills that meet this definition ANR published policy on Constructing Solar Photovoltaics on Closed Solid Waste Landfills February 3013 and Amended July 2014

18 Landfill vs. Greenfields Potential increased engineering requirements if on the cap of the landfill. Ongoing monitoring requirements for landfill constituents. Ongoing Operation and Maintenance requirements. (Making sure NO woody vegetation is established, mowing, access controls).

19 What are the Benefits of Preferred Sites Redevelopment? Access to grants & other funding sources Incentivized rates established in PSB Rule Limited Liability through BRELLA enrollment Community support through revitalization and economic benefits

20 The Process

21 Now You Have the Preferred Site Certification NEXT STEP! Considering the historic site information, if you decide to move forward with the redevelopment project ANR will require additional work to address the potential impacts to the site: If you are working on a Brownfields site you will need to conduct a Phase II ESA to further characterize RECs (Investigation should be conducted in accordance with provisions of the I Rule) Additionally, a Corrective Action Plan will be required. If you are working on a Sanitary Landfill site you will need to obtain an amended Custodial Care Certificate or apply for Certificate from the ANR Solid Waste Program For NPL site you should prepare development in consultation with EPA, ANR and RP This could be a lengthy process

22 FUNDING OPTIONS & ASSISTANCE VTDEC Brownfields Program (For site assessments and cleanup) EPA GRANTS FOR ASSESSMENT (See RPCs) EPA Grants for Cleanup for Non Profits only (annual EPA RFPs posted on EPA Website) Revolving Loan Fund Through RPCs (SWCRPC, WPC, and NWRPC only) or ACCD grants for non profit for cleanup only. Low interest loans for anyone.

23 HOW DO I FIND A PREFERED SITE? ANR ATLAS (Lists all Brownfields, Hazardous Sites, Landfills, Gravel Pits) Regional Planning Commissions (RPCs) Regional Development Corps (RDCs) Agency of Commerce Site Locator Municipal Officials (First hand knowledge of properties that would be good candidates)