Department of Energy Program Review October 21, 2004 Roger Fragua, Deputy Director Council of Energy Resource Tribes
Presentation Overview • Introduction to CERT, Members, Mission & Services, National Tribal Energy Vision 19971999, Inter-Tribal Energy Network, Indian Energy Opportunities & Challenges, Tribal Energy Development, Strategic Planning & Utility Formation, Partnerships, Environmental Stewardship, Indian Energy Policy, Tribal Opportunities, Cooperative Agreement • Q&A
CERT Beginning • 1975 Energy Crisis, increasing Domestic Resources • By Tribes for Tribes, a “true” Inter-Tribal organization • 25 energy-owning Tribes • Dynamically changing and challenging the Federal-Indian relationship
CERT Mission
“To support member Tribes as they develop their management capabilities and use their energy resources as the foundation for building stable, diversified self-governing economies (according to each Tribe’s own values and priorities)
CERT Members
Acoma, Blackfeet, Cherokee, Cheyenne Arapaho, Cheyenne River Sioux Tribe, Chippewa CreeTribe, Colville, Crow, Eastern Shoshone, Fort Belknap, Fort Hall, Fort Mojave, Fort Peck, Hopi, Hualapai, Iowa, Jemez, Jicarilla, Kashia Pomo, Kaibab, Lummi, Muckleshoot, Morongo, Navajo, Nez Perce, Northern Cheyenne, Northern Ute, Fort Sill Apache, Oglala, Osage, Pauma, Pawnee, Penobscot, Picuris, Ponca, Laguna, Rosebud, Round Valley, Saginaw, St. Regis, Salish and Kootenai, San Juan, Santa Ana, Southern Ute, Standing Rock, Three Affiliated, Tule River, Turtle Mountain, Umatilla, Ute Mountain, Walker River, Yakama, Zia, Ermineskin, Louis Bull, Montana, and Samson Cree
CERT Services • Policy Advocacy • Technical Assistance • Education and Capacity Building • Partnerships
National Tribal Energy Vision
“By the year 2010 each Sovereign Indian Tribe will have a sufficient and reliable supply of electricity at reasonable costs to support its social and economic well-being.”
Four Components of Vision • Accessing Federally discounted and Tribally preference allocations from Federal Power Marketing Administrations. • Increased power generation for local use including renewable energy generation and distributed generation. • Energy efficiency and conservation programs on Tribal lands. • Full access to existing and new transmission systems.
Implementing the Vision
• More than 50% of eligible Tribes contracted for 20 yr WAPA Contracts • Energy Efficiency Programs • New Generation • Renewable Development
ITEN
• Affiliated Tribes of Northwest Indians • Columbia River Inter-Tribal Fish Commission • Southern California Tribal Chairmen's’ Association • Inter Tribal Council of Arizona • Inter-Tribal Council of Nevada • All Indian Pueblo Council • Montana-Wyoming Tribal Leaders Council • Mni-Sose Inter-Tribal Water Rights Coalition • Mid-West Alliance of Sovereign Tribes • Oklahoma Tribes
Components of the Electrical System Fuel
Generation
Transmission
Distribution
NON-RENEWABLE
WHOLESALE TRANSACTIONS
RETAIL TRANSACTIONS RESIDENTIAL
COAL
SUBSTATION NATURAL GAS
NUCLEAR
RENEWABLE
Customers
INDUSTRIAL
POWER PLANTS
TRANSMISSION LINES 69 kV (kilovolt) TO 765 kV
COMMERCIAL
HYDRO COMMERCIAL
SOLAR
GOVERNMENT WIND
Energy Regulation by Federal Government (FERC: Federal Energy Regulatory Commission) INTERSTATE
Energy Regulation by State Public Utility Commissions INTRASTATE
The New Deal
• Tribal “ownership” • Tax & Regulatory Advantages • Tribal Participation in ROW • Leverage and Share Success • Indian Energy & Indian Gaming
Fossil Fuels
Major Natural Gas Deposits
Major Secondary
American Indian Lands hold an estimated 5% of onshore Oil And 20 percent of known onshore natural gas
U.S. Gas Use for Electric Generation Nearly Doubles by 2012 1 2 .0 NE SE MW W ECC ERCOT
1 0 .0
Tcf
8 .0
6 .0
4 .0
2 .0
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Coal American Indian Lands comprise about 5% of U.S. Land •Hold and estimated 10 percent of all energy reserves in the U.S •And 30% of known Coal Deposits in the West
Renewable Energy:
Why is it important? • A clean source of energy/technologies that are low impact environmentally • A BIG part of the energy future, Re-newable, next wave of power generation, sun setting fossil fuel resources • Increases domestic supply and job creation, right fit for Indian Country • Energy Security, lower our national dependency on foreign oil supply
Renewable Energy Development
Turtle Mountain
American Indian Lands are host to an enumerated amount of Renewable Energy Resources, including Biomass, Solar Geothermal and Wind
Rosebud
Transmission Constraints • What does it mean to you? C H A 3 1 5 5 5
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B L C H X 1 7 6
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H O O K S 1 M 8 L 7 P N - 1 3 0 B E L L - 1 2 9 C A R B W 1 8 7 C A R G R 1 C 8 A 4 R G R 1 8 3 S 1 2 9 - 3 9 N F W W P 1 8 7 U D G - 1 8 H 4 A R P R 1 8 L 3 O N G T A P S 1 2 9 - 3 8 N I A C L 1 A 8 D 3 A M S 1 8 7 S U N Y - 8 0
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R D
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S A L I S B R Y
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G O L A H 1 1 5
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N EWT N SS R ES IST CE
N WG TN 345
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V . R D . T A P
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I N G M S - C D
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1 1 5
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4
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N I A G 1 1 5 E
P A C K A R D 2
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A / B _ L Y S 9 C R S
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P T S F D - 2 4
EB AT -1 07
S N B R N 1 0 2 N I A G A R 2 E N I A G A R 2 W
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M T N S - 1 2 0
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9 0 8
M OR TI MER
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V A L L E Y
H
A N H B S - 1 3
C L E A R W T R
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FR PR T- LI S 2 0 4
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S O U R - 1 1 4 T E L R D T P 1
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1 1 5
9 0 1
S H E L - 1 1 3
L O C K P O R T
S HA W-1 03
C A S C A D 8 5
S 4 2
S 3 3
9
H O O K N R T H
H O O K N R T H
1 1 5
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S W D N - 1 1 1
T E L R D T P 1
H I N M N 1 1 5 N I A G .
HO OK RN 85
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S O U R - 1 1 1
K E L S E Y S P E C M E T L
G I N N A 1 1 5
S 2 3 - 9 0 1
9 1 7 S 4 8 - 1 1 1 5
A . L U D
S2 16
S 2 0 4 - 9 0 9
S 2 0 4 9 1 1 S T A 2 3 1
R O B I N 1 1 5 M I L T O N
G - 3
S W A N Z E Y W E S T P O R T C H S N T
V T
V A I L
D E E R F D - I M A R C Y
R O M E
P I N
B NN IN GTN
H OO SI CK
M A R C Y 7 6 5
M L
CLA Y
M O N A D T A P
K E E N E
E . W I N C T P
M UL BR1 15
T
O S W E G O
C U R T I S
R IM MON M A M T H
E . W I N C H
B RO OK W
SW AGR T E
M ECO 1 15 MA DIS ON
N E S T L E
W H I T A K E R
J ACK MA N
BA TK ILL
B R O O K 2
R E V E R E
M AL LO RY
V OL NEY
H L
P A L O M A T P
S
ST A 424
E R
E BE V1 92
P IN E HIL
N. SA L1 15
IN DE CK -C
S M I T H B R 2
3 & 4
K I N T I 3 4 5
M I D D 8 0 8 6
E
S MI TH BR1 BR OO K1
O S W
C O R I N
W E I B E L 2
W EI BE L1
I N D E P N D C
O S W E G O
C L A I R V I L
BOL T HL
S CHI LL ER
O C E A N
S C O B I E 1 H U S E R D
M OH IC AN
S PI ER
U H
K NG ST NTP
B E L L O W S
E DDY
B O O N V L E
O C E A N K I N G S T O N
ME RM K23 0
D U N B A R T N
S T I T T V L L E E S C H L J A F I T Z P
C H E R R Y W D
3 R IV ER S
CH EST ER
M ER RM ACK
QBU RY
B O O N V L
E S S A
B
C R Y S T 1 1 4
Strategic Planning • Create a Comprehensive Tribal Energy Vision, Strategic and Implementation Plan • Cast a broad net of inclusion from the Tribal community and administration • Look creatively at potential partnerships with, between and amongst Tribes, government and industry • Resource Assessments, Feasibility Studies and Business Planning
Utility Formation
•
Paper Utility vs. Wired Utility
•
Profit vs. Not for Profit
•
Increased Tribal Control and Responsibility
•
Expand and Enhance Tribal Economic Development
•
A balanced mix of conventional and renewable resources
Benefits for Forming a Tribal Utility •Tribal Control of Utility •Access to cost-based power from Federal PMA •Additional voice in regional, state and Federal discussions pertaining to energy •Expanded economic development •Attracting other industry •Develop renewable resources – wind, solar, and bio-mass •Exercising Tribal sovereignty through business development
Business Development & Partnerships • Tribe to Tribe • Regional Multi-Tribal Aggregation • Tribe-Industry • Tribe-Existing or Incumbent Utility
Policy • Creation of an Office of Indian Energy Policy and Programs at the Department of Energy (OIEPP). • The establishment of an energy block grant program that would allow the OIEPP to provide grants to tribes for capacity building, for planning and development of Tribal energy policies and regulations, for renewable-alternative energy resource assessments, for the planning and development of renewable energy and dispersed power generation projects, for creating tribal utilities or other administrative capacities to manage Tribal energy use, to strengthen tribal transmission and distribution systems, to provide training and education for Tribal members in the necessary management and technical skills for Tribal energy self-sufficiency.
Policy • The establishment of a low interest loan program administered in the Department of Energy to provide financing for Tribal energy projects that support Tribal energy self-sufficiency. • Enhanced Tax credits for investors in Tribal energy projects • Re-authorization of the accelerated depreciation provisions for investors in Tribal economic development and the Indian Job Creation Tax Credit and the Renewable Energy Tax Credit available to all renewable energy developers
Policy • Increased delegation of authority from the Secretary of Interior to Tribes for developing all forms of energy development projects under Tribal ordinance and regulation including renewable and conventional energy development, siting of power generation projects on Indian lands and for the rights-of-ways for transmission and natural gas pipelines.
CERT Board of Directors • Lobbied and received a DOE earmark for $980,000 • CERT earmark is a Cooperative Agreement with DOE • CERT Earmark benefits all of Indian Country • CERT Earmark is broad in scope • CERT earmark is working in concert with ITEN and nonmember Tribes • CERT earmark is one of three
DOE Cooperative Agreement •
Grant# DE-FG36-03Go13039
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CERT will facilitate technical expertise and training of Native Americans in Renewable energy resource development for electrical generation facilities, and distributed generation options contributing to feasibility studies, strategic planning and visioning. CERT will also provide information to Tribes on energy efficiency and energy management techniques.
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Intent: to build capacity within Tribes to manage these important resources.
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Project Strategies: 1) Case Studies 2) Training 3) Technical Assistance 4) Information Dissemination
Case Studies • Scope of Work: Conduct Interviews, Surveys and Questionnaires, and Regional Meeting Feedback • Deliverables:3 Energy Audit Case Studies, 6 Technical Case Studies, 6 Institutional Case Studies and a Opportunities and Barriers Report
Training • Scope of Work: Build capacity through training, communication, shared experiences and networking. • Deliverables: 2 National Forums on EE, Utility Formation and Financing, Regional Conferences, represent Tribal interests in utility restructuring, methods of ROW, Interconnect, T & D, Federal Power Allocations, Strategic Planning and Weatherization Programs.
Technical Assistance • Scope of Work: Respond to Tribal inquiries for technical assistance. • Deliverables: Provide one-on-one assistance to Tribes on Utility Formation, Energy Planning, and ROW on a first come first serve basis.
Information Dissemination • Scope of Work: To build capacity and information sharing through various media to include the CertRedEarth web-site. • Deliverables: Develop a Data Base, Listserv, and promotional materials.
Next Steps • Job Opportunities • Upcoming events and Meetings • Lobby! Lobby! Lobby! For Appropriations and Legislation
Q&A
Contact Information Roger Fragua Deputy Director www.certredearth.com
[email protected] 303-282-7576 695 South Colorado Blvd., Suite 10 Denver, CO 80246