FERC approves Bradwood LNG plant
Thursday, September 18, 2008 11:30 PM PDT
By Tony Lystra
The Federal Energy Regulatory Commission on Thursday approved NorthernStar Natural Gas Inc.’s plan to build a liquefied natural gas terminal on the Columbia River and to string a pipeline across Clatsop, Columbia and Cowlitz counties.
The five-member, presidentially appointed panel agreed to license the Bradwood, Ore., terminal in a 4-1 vote. The decision, which comes three-and-a-half years after NorthernStar initially filed its application with the agency, is the first approval for an LNG terminal on the West Coast.
The terminal’s opponents, who say moving and storing so much fuel on the river poses environmental and safety risks, vowed to appeal.
Oregon Gov. Ted Kulongoski, who has criticized FERC’s process as sloppy, called on the agency to reconsider its decision and suggested he would sue if federal officials continue to ignore him.
“If legal action is necessary to compel FERC to do this right, I am prepared to exercise that option,” Kulongoski said in a statement.
FERC said it approved the terminal partly because the Northwest needs new sources of natural gas. Conservation and renewable energy sources would not provide as much energy as the Bradwood terminal, FERC said.
In a dissenting opinion, Commissioner Jon Wellinghoff, the only member of the panel to vote against the project, said he was not convinced that NorthernStar’s terminal was the best way to meet those energy requirements and that environmental concerns had not been “fully or fairly evaluated.”
NorthernStar said its terminal, known as Bradwood Landing, will help lower natural gas costs after Northwest wholesale prices increased 300 percent in the last eight years.
The company plans to build the $600 million terminal on an old mill site 20 miles east of Astoria, across the river from Wahkiakum County. NorthernStar would bring LNG tankers 38 miles up the river, unload the supercooled liquid gas into two large tanks, then warm the fuel back to its gaseous state and send it to market through two new pipelines, one of which would be operated by NorthernStar, the other by Northwest Natural Gas Co.
NorthernStar’s pipeline would cross the Columbia River, entering Cowlitz County at Mill Creek and connect with the Williams Northwest pipeline north of Kelso near Interstate 5.
FERC said NorthernStar must comply with 109 measures aimed at ensuring the terminal will be safe and won’t significantly harm the environment. One of the requirements involves screening LNG carriers’ ballast and cooling water intakes to prevent juvenile fish from being sucked up, a key concern among environmental groups.
NorthernStar, of Houston, still must secure nearly two-dozen approvals from state and federal agencies, most notably clean air and clean water permits, as well as a Coastal Zone Management Act certificate. Those three permits would be issued by the state of Oregon.
Joe Desmond, a NorthernStar spokesman, said Thursday that the company hopes to break ground on the terminal by the end of next year. He said the facility could be operating as soon as 2012.
FERC’s decision came as little surprise. The agency determined earlier this summer that the terminal and pipeline posed “limited” environmental impacts. And the project’s critics have been protesting for months that the agency was marching toward approval, running roughshod over their worries about safety, the environment and whether LNG is the best way to meet the Northwest’s energy needs.
Columbia Riverkeeper, which has led a coalition of environmental and property rights groups against the project, issued a statement shortly after the decision saying it would file an appeal with FERC.
The group also called on the state of Oregon to kill the terminal by denying permits needed for it to go forward.
“The project is only alive as long as the state entertains the idea of granting permits,” Riverkeeper executive director Brent Foster said. “We need the governor and our state agencies to step up and deny permits for the project.”
Kulongoski has been pressing FERC to issue a supplemental environmental document for the project because, he says, the proposal has changed since it was first proposed. FERC said Thursday that it was denying Kulongoski’s request.
A short time after FERC announced its decision, Kulongoski’s office issued a statement saying the governor will “request a rehearing” of the Bradwood Landing issue.
“Today’s decision by the federal government lacks accountability to the environment and the people of Oregon,” Kulongoski said. “Moving forward with this project as is -- which is incomplete -- disregards states’ rights in this process.”
NorthernStar said FERC’s approval process was thorough, lasting a year longer than any previous LNG project. The record, the company pointed out, included more than 50,000 pages of material, and FERC considered more than 1,827 comments from the public.
Washington Gov. Chris Gregoire, who faces a tight re-election campaign this fall and has only recently been publicly questioning the thoroughness of FERC’s review, called Thursday’s decision “premature and troubling.”
The Washington Department of Ecology, she said, would join Cowlitz County officials in ensuring the Washington portion of the NorthernStar pipeline complies with the state’s environmental standards. Cowlitz County was tapped early on in the process as the lead agency to review the NorthernStar proposal, frustrating local officials who said the county’s planners, even as NorthernStar paid for a consultant to assist them, would be buried in paperwork. The Department of Ecology offered to help the county only last month as it ramped up its pressure on FERC to conduct a more thorough review.
Gregoire also said she’d sent NorthernStar a letter urging it to “work more closely with local communities” when it comes to questions about the pipeline.
FERC’s decision allows NorthernStar to use eminent domain to force the purchase of private property to accommodate the pipeline. In a press conference Thursday, FERC chairman Joseph Kelliher said eminent domain is rarely deployed during these projects. Kelliher referred to the Rockies Express East project, which FERC approved in May and will include 639 miles of natural gas pipeline between Missouri and Ohio. That project, he said, involves 1,700 plots of land between Missouri and Ohio, 18 of which were acquired using eminent domain.
But Gayle Kiser said she and a coalition of Cowlitz County property owners fighting the pipeline have been trying to alert FERC to their plight for months. Thursday’s decision, Kiser said, has left her wondering, “What do we have to say to be heard?”
Kiser said FERC’s ruling clearly gives NorthernStar the authority to move against her land. “That’s the part that I fear the most,” she said. “It’s going to cut them loose ... to get their easement for this pipeline.”
NorthernStar released a letter Thursday -- which it sent to Cowlitz County’s commissioners earlier this month -- saying the company would negotiate with the county’s landowners “in good faith” and that it would use eminent domain as a last resort.
“It is NorthernStar’s policy to not use the power of eminent domain unless there is no other reasonable alternative and then, only after exhausting all possible efforts to negotiate a satisfactory solution with the affected landowner,” the letter said.
Desmond, the NorthernStar spokesman, said Thursday that NorthernStar won’t begin building its pipeline for two years and that it is not in a hurry to open negotiations with Cowlitz County landowners.
“We’re not going to be in there tomorrow doing this,” he said.
gimpy wrote on Sep 19, 2008 5:20 AM:
grams wrote on Sep 19, 2008 6:52 AM:
Mr. Bastinado wrote on Sep 19, 2008 7:45 AM:
Can you say, "Political Payoffs". "
gimpy wrote on Sep 19, 2008 9:44 AM:
TDN Bad boy wrote on Sep 19, 2008 9:59 AM:
slanteyes wrote on Sep 19, 2008 10:08 AM:
IMHO2 wrote on Sep 19, 2008 10:24 AM:
We have valuable resources to protect here. We need to pay attention and not just roll over for these guys. "
Viewpoint wrote on Sep 19, 2008 10:50 AM:
Kalama Dude wrote on Sep 19, 2008 11:45 AM:
TDN Bad Boy wrote on Sep 19, 2008 1:41 PM:
Billy Hill wrote on Sep 19, 2008 2:02 PM:
DUH wrote on Sep 19, 2008 2:04 PM:
FERCed wrote on Sep 19, 2008 2:21 PM:
And about the "hundreds" of jobs, Is it right to create these jobs on the backs of the farmers and other landowners who will lose their livelyhoods because of the pipeline(s)? "
TDN Bad Boy wrote on Sep 19, 2008 2:53 PM:
bmoc wrote on Sep 19, 2008 2:56 PM:
grams wrote on Sep 19, 2008 3:01 PM:
TDN Bad Boy wrote on Sep 19, 2008 3:25 PM:
trapper wrote on Sep 19, 2008 3:37 PM:
gimpy wrote on Sep 19, 2008 7:39 PM:
grams wrote on Sep 19, 2008 10:35 PM:
Argoman wrote on Sep 20, 2008 8:02 AM:
DW wrote on Sep 20, 2008 8:53 AM:
TDN Bad Boy wrote on Sep 20, 2008 10:14 AM:
Large&InCharge wrote on Sep 20, 2008 2:12 PM:
gimpy wrote on Sep 20, 2008 2:31 PM:
TDN Bad Boy wrote on Sep 20, 2008 8:48 PM:
TDN Bad Dork wrote on Sep 24, 2008 10:46 AM:







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