Federal Agencies Ramp up US Hydropower Initiatives

Federal agencies are ramping up efforts to increase hydropower production in the US.

The Department of the Interior released the results of an internal study that shows it could generate up to one million megawatt hours of electricity annually and create renewable energy jobs by adding hydropower capacity at 70 existing facilities.

The report, Hydropower Resource Assessment at Existing Reclamation Facilities, estimates the additional hydropower capabilities could create enough energy to annually power more than 85,000 households. Based on industry estimates for job potential associated with the kind of hydropower additions identified in this report, approximately 1,200 hydropower jobs could be created, including jobs in administration, manufacturing, construction, engineering, operations and maintenance.

"Adding hydropower capability at existing Reclamation facilities is a cost-effective and environmentally sustainable way to build our clean energy economy," said Assistant Secretary for Water and Science Anne Castle. "We can increase our renewable hydropower output without building new dams. This report highlights the exciting potential for substantial hydropower development and related jobs at existing facilities throughout the western United States."

The report dovetails the 2010 Federal Memorandum of Understanding for Hydropower between the U.S. Department of the Interior, U.S. Department of Energy, and the U.S. Army Corps of Engineers. This Memorandum of Understanding was established to help meet the nation’s needs for environmentally sustainable hydropower by building a long-term working relationship, establishing goals and priorities, and aligning ongoing and future renewable energy development efforts.

FERC and U.S. Army Corps of Engineers Aign Agreement

The Federal Energy Regulatory Commission (FERC) and the U.S. Army Corps of Engineers (USACE) signed an updated agreement on March 30 to coordinate their efforts associated with evaluating proposals to construct and operate non-federal hydropower projects at USACE-owned facilities.

The Memorandum of Understanding (MOU) establishes a framework for early coordination and participation between FERC and USACE to ensure timely review of proposed non-federal hydropower development applications.

"The intensified interest in developing renewable energy in this country has made hydropower an increasingly important player in the game," FERC Chairman Jon Wellinghoff said. "Small hydropower development has become a highly desirable option, and today’s MOU goes a long way to moving these resources forward."

The revised MOU provides for early involvement of FERC and USACE staff during the pre-filing stage of licensing and the environmental review process so issues are identified early and sufficient information is gathered to inform both agencies’ decisions.

It also establishes FERC as the lead federal agency for preparation of the environmental document, with USACE participating as a cooperating agency as needed.

Under the Federal Power Act, FERC issues preliminary permits and licenses for the development of non-federal hydropower projects, including proposals for construction of hydropower projects on or near federal dams or facilities operated by the USACE.

DOE, DOI Announce $26.6 Million in Funding

The Departments of Energy and the Interior announced $26.6 million in funding for research and development projects to advance hydropower technology, including pumped storage hydropower.

The funding is focused on development of innovative technologies that can produce power more efficiently, reduce costs and increase sustainable hydropower generation at sites not previously considered practical.

"By improving hydropower technology, we can maximize America’s biggest source of renewable energy in an environmentally responsible way," said Secretary Chu. "Deploying advanced hydropower, including using water to store energy, will help meet peak electricity demands and provide additional clean energy sources for America’s future."

The funding announcement seeks "environmentally responsible" projects that increase the generation of reliable hydropower for the nation’s electricity supply. Projects will be selected in four areas:

  • Sustainable Small Hydropower ($10.5 million awarded over 3 years): These projects will research, develop, and test low head small hydropower technologies that can be quickly and efficiently deployed in existing or constructed waterways. DOE will fund system or component model development, as well as the testing of these systems.
  • Environmental Mitigation Technologies for Conventional Hydropower ($2.25 million awarded over 3 years): These projects will develop innovative conventional hydropower technologies that feature enhanced environmental performance designs to increase electricity generation while mitigating fish and habitat impacts and enhancing downstream water quality. As an example, concepts that demonstrate turbine efficiencies greater than 90% and fish passage survival greater than 96% will be sought.
  • Sustainable Pumped Storage Hydropower ($11.875 million awarded over 4 years): DOE intends to provide technical and financial assistance to accelerate pumped storage hydropower projects already in the pipeline. Projects that begin construction by 2014 and integrate wind and/or solar will be preferred. DOE will also support analyses that calculate the economic value of pumped storage hydropower in dynamically responding to the grid and in providing other ancillary services.
  • Advanced Conventional Hydropower System Testing at a Bureau of Reclamation Facility ($2.0 million awarded over 3 years): These projects will support system tests of innovative, low-head hydropower technologies at non-powered hydro facilities and sites owned by the U.S. Department of the Interior’s Bureau of Reclamation. The deliverable includes testing to demonstrate energy cost reductions that could be replicated at other Bureau of Reclamation sites. Both the Bureau and Department of Energy are sponsoring this work.

Mandatory letters of intent are due May 5, 2011, and completed applications are due June 6, 2011. For more details on this opportunity, see the Funding Opportunity Announcement at the link below.

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