Algonquin LNG, Inc., Notice of Intent To Prepare an Environmental Assessment for the Proposed ALNG Plant Modifications Project and Request for Comments on Environmental Issues

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. CP99-113-000]

Algonquin LNG, Inc., Notice of Intent To Prepare an Environmental

Assessment for the Proposed ALNG Plant Modifications Project and

Request for Comments on Environmental Issues

January 5, 1999.

The staff of the Federal Energy Regulatory Commission (FERC or

Commission) will prepare an environmental assessment (EA) that will

discuss the environmental impacts of the construction and operation of

the facilities proposed in the ALNG Plant Modifications Project.\1\

This EA will be used by the Commission in its decision-making process

to determine whether an environmental impact statement (EIS) is

necessary and whether to approve the project. The application and other

supplemental filings in this docket are available for viewing on the

FERC Internet website (www.ferc.fed.us). Click on the ``RIMS'' link,

select ``Docket #'' from the RIMS Menu, and follow the instructions.

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\1\ Algonquin LNG, Inc's application was filed with the

Commission under Section 7 of the Natural Gas Act and Parts 157 and

284 of the Commission's regulations.

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Summary of the Proposed Project

In a previous application filed on May 13, 1996, in Docket No.

CP96-517-000, Algonquin LNG, Inc. (ALNG) requested authorization to

modify its Providence, Rhode Island liquefied natural gas (LNG)

facility, to add pipeline facilities to connect the ALNG Plant directly

to Algonquin Gas Transmission Company (AGT), and to add liquefaction

facilities at the ALNG Plant. Specifically, ALNG proposed the

construction of a liquefaction facility, LNG pumps and vaporizers,

boil-off gas compressors, 1.05 miles of 20-inch-diameter pipeline, 0.25

mile of 10.75-inch-diameter pipeline, metering facilities, and

miscellaneous facilities including a water/glycol system, feed gas

compressors, odorant injection, control systems, and fire protection

system additions. ALNG also proposed to inspect the existing 600,000-

barrel LNG storage tank and to install new instrumentation; to acquire

two existing 0.45-mile-long, 10.75-inch-diameter pipeline crossings of

the Providence River; and to abandon three existing vaporizers and

related facilities.

The Commission issued an Order Authorizing Certificates on May 6,

1997, and on May 5, 1998, issued an Order on Rehearing. During the

processing of Docket No. CP96-517, market conditions changed so

significantly that ALNG was unable to accept the authorization.

ALNG now proposes a scaled-back, lower-cost version of that

project. The facility changes proposed herein would occur completely

within the existing ALNG Plant site and would require no offsite

construction as in the previously proposed project.

ALNG seeks Commission authorization to modernize its existing LNG

facility in Providence, Rhode Island. The proposed modifications would

include:

Abandoning the three existing direct-fired LNG vaporizers,

and installing three new horizontal indirect-fired 150 million standard

cubic feet per day (MMscfd) LNG vaporizers;

Increasing the capacity of the existing LNG pumps from 100

MMscfd to 150 MMscfd;

Installing two new 600 horsepower boiloff gas compressors

consisting of flooded screw type compressors driven by fixed speed

electric motors;

Installing additional emergency power generation

equipment, control systems, and safety systems; and

Modifying metering facilities for the delivery of

vaporized LNG and boiloff gas.

The proposed facilities would allow ALNG to continue to provide LNG

storage, LNG truck loading and unloading, and LNG vaporization services

on a firm and interruptible non-discriminatory open access basis.

A location map of the proposed ALNG Plant Modifications Project is

shown in appendix 1.\2\

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\2\ The appendices referenced in this notice are not being

printed in the Federal Register. Copies are available from the

Commission's Public Reference and Files Maintenance Branch, 888

First Street, NE, Washington, DC 20426, or call (202) 208-1371.

Copies of the appendices were sent to all those receiving this

notice in the mail.

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Existing Facilities

ALNG owns and operates a 600,000-barrel LNG storage facility on the

west side of the Providence River. The facility has been in operation

for over 20 years, and is exclusively supplied with LNG delivered by

truck. Upon demand, LNG is either redelivered in liquid form into

trucks supplied by its customers, or vaporized into Providence Gas

Company's (PGC) distribution system.

Land Requirements for Construction

The proposed ALNG Plant Modifications Project would be contained

within the existing 16.5-acre ALNG site. No facilities would be

constructed along the waterfront or within 400 feet of the Providence

River. The majority of the ground disturbance would be related to

foundation construction for the proposed facilities.

The EA Process

The National Environmental Policy Act (NEPA) requires the

Commission to take into account the environmental impacts that could

result from an action whenever it considers the issuance of a

Certificate of Public Convenience and Necessity. NEPA also requires us

to discover and address concerns the public may have about proposals.

We call this ``scoping''. The main goal of the scoping process is to

focus the analysis in the EA on the important environmental issues. By

this Notice of Intent, the Commission requests public comments on the

scope of the issues it will address in the EA and whether an EIS is

necessary. All comments received are considered during the preparation

of the EA. State and local government representatives are encouraged to

notify their constituents of this proposed action and encourage them to

comment on their areas of concern.

[[Page 1614]]

The EA will discuss impacts that could occur as a result of the

construction and operation of the proposed project under these general

headings:

Geology and soils.

Water resources, fisheries, and wetlands.

Vegetation and wildlife.

Land use.

Cultural resources.

Air quality and noise.

Endangered and threatened species.

Public safety.

Hazardous waste.

We will also evaluate possible alternatives to the proposed project

or portions of the project, and make recommendations on how to lessen

or avoid impacts on the various resource areas.

Our independent analysis of the issues will be in the EA. Depending

on the comments received during the scoping process, the EA may be

published and mailed to Federal, state, and local agencies, public

interest groups, interested individuals, affected landowners,

newspapers, libraries, and the Commission's official service list for

this proceeding. A comment period will be allotted for review if the EA

is published. We will consider all comments on the EA before we

recommend that the Commission approve or not approve the project.

To ensure your comments are considered, please carefully follow the

instructions in the public participation section on page 5 of this

notice.

Currently Identified Environmental Issues

We have already identified several issues that we think deserve

attention based on a preliminary review of the proposed facilities and

the environmental information provided by ALNG. This preliminary list

of issues may be changed based on your comments and our analysis.

Air quality may be affected by the replacement of the

vaporizers and the addition of a second emergency generator.

Noise quality may be affected by the replacement of the

vaporizers and addition of the new emergency generator and boiloff

compressors.

Soils (possibly contaminated) may be affected by minor

ground disturbance from foundation construction. The site owner, PGC,

is currently conducting soil remediation on this site.

In order to address public safety, proposed facility

modifications will be analyzed to ensure compliance with the U.S.

Department of Transportation's ``Liquefied Natural Gas Facilities:

Federal Safety Standards'' (40 CFR 193).

Public Participation

You can make a difference by providing us with your specific

comments or concerns about the project. By becoming a commentor, your

concerns will be addressed in the EA and considered by the Commission.

You should focus on the potential environmental effects of the proposal

and measures to avoid or lessen environmental impact. The more specific

your comments, the more useful they will be. Please carefully follow

these instructions to ensure that your comments are received in time

and properly recorded:

Send two copies of your letter to: David P. Boergers,

Secretary, Federal Energy Regulatory Commission, 888 First St., NE.,

Room 1A, Washington, DC 20426.

Label one copy of the comments for the attention of the

Environmental Review and Compliance Branch, PR-11.1.

Reference Docket No. CP99-113-000.

Mail your comments so that they will be received in

Washington, DC on or before February 4, 1999.

Becoming an Intervenor

In addition to involvement in the EA scoping process, you may want

to become an official party to the proceeding known as an

``intervenor''. Intervenors play a more formal role in the process.

Among other things, intervenors have the right to receive copies of

case-related Commission documents and filings by other intervenors.

Likewise, each intervenor must provide 14 copies of its filings to the

Secretary of the Commission and must send a copy of its filings to all

other parties on the Commission's service list for this proceeding. If

you want to become an intervenor you must file a motion to intervene

according to Rule 214 of the Commission's Rules of Practice and

Procedure (18 CFR 385.214) (see appendix 2). Only intervenors have the

right to seek rehearing of the Commission's decision.

You do not need intervenor status to have your environmental

comments considered. Additional information about the proposed project

is available from Mr. Paul McKee of the Commission's Office of External

Affairs at (202) 208-1088 or on the FERC website (www.ferc.fed.us)

using the ``RIMS'' link to information in this docket number. For

assistance with access to RIMS, the RIMS helpline can be reached at

(202) 208-2222. Access to the texts of formal documents issued by the

Commission with regard to this docket, such as orders and notices, is

also available on the FERC website using the ``CIPS'' link. For

assistance with access to CIPS, the CIPS helpline can be reached at

(202) 208-2474.

Linwood A. Watson, Jr.,

Acting Secretary.

[FR Doc. 99-463 Filed 1-8-99; 8:45 am]

BILLING CODE 6717-01-M