Notice2021-21012
Emergency Order Issued to the California Independent System Operator Corporation (CAISO) To Operate Power Generating Facilities Under Limited Circumstances in California as a Result of Extreme Weather
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
September 28, 2021
Issuing agencies
Energy Department
Abstract
The U.S. Department of Energy (DOE or Department) is issuing this Notice to document emergency actions that it has taken pursuant to the Federal Power Act (FPA).
Full Text
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<title>Federal Register, Volume 86 Issue 185 (Tuesday, September 28, 2021)</title>
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[Federal Register Volume 86, Number 185 (Tuesday, September 28, 2021)]
[Notices]
[Pages 53647-53648]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-21012]
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DEPARTMENT OF ENERGY
[DOE Docket No. 202-21-2]
Emergency Order Issued to the California Independent System
Operator Corporation (CAISO) To Operate Power Generating Facilities
Under Limited Circumstances in California as a Result of Extreme
Weather
AGENCY: Office of Electricity, Department of Energy.
ACTION: Notice of emergency action.
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SUMMARY: The U.S. Department of Energy (DOE or Department) is issuing
this Notice to document emergency actions that it has taken pursuant to
the Federal Power Act (FPA).
ADDRESSES: Requests for more information should be addressed by
electronic mail to <a href="/cdn-cgi/l/email-protection#bdded8ced8cffdd5cc93d9d2d893dad2cb"><span class="__cf_email__" data-cfemail="2d4e485e485f6d455c03494248034a425b">[email protected]</span></a>.
FOR FURTHER INFORMATION CONTACT: For further information on this
Notice, or for information on the emergency activities related to the
Order, contact Kenneth Buell, 202-586-3362, <a href="/cdn-cgi/l/email-protection#a9c2ccc7c7ccddc187cbdcccc5c5e9c1d887cdc6cc87cec6df"><span class="__cf_email__" data-cfemail="d8b3bdb6b6bdacb0f6baadbdb4b498b0a9f6bcb7bdf6bfb7ae">[email protected]</span></a>,
or by mail to the attention of Kenneth Buell, CR-20, 1000 Independence
Ave. SW, Washington, DC 20585. Due to limited access to DOE facilities
because of current COVID-19 restrictions, contact via phone or email is
preferred.
The Order and all related information are available here: <a href="https://www.energy.gov/oe/federal-power-act-section-202c-caiso-september-2021">https://www.energy.gov/oe/federal-power-act-section-202c-caiso-september-2021</a>.
SUPPLEMENTARY INFORMATION: Pursuant to 10 CFR 1021.343(a), the
Department is issuing this Notice to document emergency actions taken.
Under FPA section 202(c), ``[d]uring the continuance of a war in which
the United States is engaged, or whenever the [Secretary of Energy]
determines that an emergency exists by reason of a sudden increase in
the demand for electric energy, or a shortage of electric energy or of
facilities for the generation or transmission of electric energy, or of
fuel or water for generating facilities, or other causes, the
[Secretary of Energy] shall have authority . . . to require by order
such temporary connections of facilities and generation, delivery,
interchange, or transmission of electric energy as in [the Secretary's]
judgment will best meet the emergency and serve the public interest.''
16 U.S.C. 824a(c)(1). The authority to issue such orders, which was
originally vested in the defunct Federal Power Commission, was
transferred to and vested in the Secretary of Energy by section 301(b)
of the Department of Energy Organization Act, 42 U.S.C. 7151(b), and is
non-exclusively delegated to the Deputy Secretary of Energy (Deputy
Secretary) by paragraph 1.12(A) of Delegation Order No. 00-001.00H
(Oct. 2, 2020).
On September 7, 2021, the CAISO filed a Request for Emergency Order
Pursuant to section 202(c) of the Federal Power Act (Application) with
the Department ``to preserve the reliability of [the] bulk electric
power system in California.'' In its Application, the CAISO cited
``extremely challenging conditions including extreme heat waves,
multiple fires, high winds, and various grid issues'' that could lead
to electric demand outpacing available generation. The CAISO requested
authority to dispatch several natural gas-fueled generation resources
(``Covered Resources''). The CAISO stated that certain of the Covered
Resources ``will not have completed federal environmental permitting
requirements'' by the date it requested issuance of an emergency order,
``and [cannot] operate unless they are subject to a DOE emergency
order.'' The CAISO also noted that other units included in the Covered
Resources are subject to permit limitations preventing them from
operating at their full capacity. Because ``[t]he emergency for which
the CAISO seeks relief is ongoing and could have serious consequences
regarding the CAISO's ability to serve load in California and meet its
reserve obligations,'' the CAISO requested that the Department issue an
order, effective no later than September 10, 2021, and for a period of
60 days, authorizing ``the generating units identified . . . that are
subject to permit limits (or have yet to obtain permits) to operate at
their maximum levels,'' along with authorization for ``testing of
Covered Resources as necessary to ensure they can operate reliably and,
in the case of new units, synchronize to the electric grid.'' The CAISO
contended that the requested relief would ``help . . . meet the
existing emergency and serve the public interest by preventing or
mitigating power disruptions and the potential curtailment of
electricity load within the CAISO balancing authority area.''
After review of the facts and CAISO policy and procedure, the
Deputy Secretary issued Order No. 202-21-2 (the Order) on September 10,
2021, for a period of 60 days, directing the CAISO to dispatch the
necessary electric generation units from the Covered Resources and to
order their operation only as needed during (1) the issuance and
continuation of an Energy Emergency Alert Level 2 condition or greater
between the hours of 14:00 Pacific Daylight Time and 22:00 Pacific
[[Page 53648]]
Daylight Time after exhausting all reasonably and practically available
resources; (2) a Transmission Emergency that requires operation of a
Covered Resource to prevent or mitigate load curtailment during any
operating hour; or (3) limited testing directed by the CAISO or
synchronization of Midway Sunset Unit C, Greenleaf Unit 1, and
Roseville Energy Park during periods of lowest electric demand for
natural gas resources, as determined by the CAISO. For purposes of the
Order, ``Energy Emergency Alert Level 2'' has the meaning set forth in
section 3.6.4 of the CAISO System Emergency Operating Procedure Version
13.1 (Aug. 20, 2021) (CAISO Emergency Operating Procedure). Also for
purposes of the Order, ``Transmission Emergency'' has the meaning set
forth in section 3.5 of the CAISO Emergency Operating Procedure.
The Department has required the CAISO to report, by December 1,
2021, ``source specific data for all dates between September 10 and
November 9, 2021, on which the Covered Resources were operated. The
report must include, ``for each unit, (1) the hours of operation, as
well as the hours in which any permit limit was exceeded and (2) a
preliminary description of each permit term that was exceeded and the
manner in which such exceedance occurred.'' The Department also
required the CAISO to ``submit a final report by January 7, 2022, with
any revisions to the information reported on December 1, 2021.'' After
receiving the final data report from the CAISO, DOE will prepare a
special environmental analysis of the potential impacts resulting from
issuance of the Order, including impacts on air quality and
environmental justice. The CAISO will be responsible for the reasonable
third-party costs of the special environmental analysis.
Procedural Background: The Covered Resources to which this Order
pertains were identified in the Order and can be found on the website
identified above. Given the emergency nature of the expected load
stress, the responsibility of the CAISO to ensure maximum reliability
on its system, and the ability of the CAISO to identify and dispatch
generation necessary to meet the additional load, the Deputy Secretary
determined that additional dispatch of the Covered Resources would be
necessary to best meet the emergency and serve the public interest for
purposes of FPA section 202(c). Because the additional generation may
result in a conflict with environmental standards and requirements, the
Deputy Secretary authorized only the necessary additional generation,
with reporting requirements as described below.
FPA section 202(c)(2) requires the Secretary of Energy to ensure
that any FPA section 202(c) order that may result in a conflict with a
requirement of any environmental law be limited to the ``hours
necessary to meet the emergency and serve the public interest, and, to
the maximum extent practicable,'' be consistent with any applicable
environmental law and minimize any adverse environmental impacts. To
minimize adverse environmental impacts, the Order ``limits operation of
dispatched units to the times and within the parameters determined by
the CAISO for reliability purposes.''
The Deputy Secretary conditioned the Order by requiring the CAISO
to report on actions taken pursuant to the Order regarding the
environmental impacts of the Order and its compliance with the
conditions of the Order. As noted previously, the CAISO must submit a
final report by January 7, 2022, with any revisions to the information
reported through that time. The environmental data the CAISO submits
must include (1) Emissions data in pounds per hour for each Covered
Resource unit, for each hour of the operational scenario, for carbon
monoxide, nitrous oxides, particulate matter (PM) 2.5, PM<INF>10</INF>,
volatile organic compounds, and sulfur dioxide, with details on the
actual emissions in pounds per hour, permitted operating/emission
limits, and the actual incremental emissions above the permit limits
(except that for emissions units not equipped with continuous emission
monitoring systems, actual emissions must be calculated using source
test data); (2) stack parameters for each Covered Resource unit,
including stack height, exit diameter, exit gas temperature, and exit
velocity (or volumetric flow rate) (temperature and velocity must be
the values applicable to the operations above permit limits); (3) the
actual hours that each Covered Resource unit operated in excess of
permit limits or operated without otherwise-required permits; (4)
information provided to the California Air Resources Board (CARB) in
response to the CARB's development and implementation of the plan to
mitigate the effects of additional emissions authorized by Governor
Newsom's July 30, 2021 emergency proclamation. The Department also
noted that it may request additional information as it performs its
special environmental analysis relating to the issuance of the Order.
The reports will be available on the DOE website for this docket
here: <a href="https://www.energy.gov/oe/federal-power-act-section-202c-caiso-september-2021">https://www.energy.gov/oe/federal-power-act-section-202c-caiso-september-2021</a>.
Signing Authority
This document of the Department of Energy was signed on September
22, 2021 by Patricia A. Hoffman, Acting Assistant Secretary for the
Office of Electricity and for the Office of Cybersecurity, Energy
Security, and Emergency Response, pursuant to delegated authority from
the Secretary of Energy. That document with the original signature and
date is maintained by DOE. For administrative purposes only, and in
compliance with requirements of the Office of the Federal Register, the
undersigned DOE Federal Register Liaison Officer has been authorized to
sign and submit the document in electronic format for publication, as
an official document of the Department of Energy. This administrative
process in no way alters the legal effect of this document upon
publication in the Federal Register.
Signed in Washington, DC, on September 23, 2021.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2021-21012 Filed 9-27-21; 8:45 am]
BILLING CODE 6450-01-P
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