Regional Response Team III Meeting Offshore Energy Overview and Oil Spill Response

1. Regional Response Team III MeetingOffshore Energy Overview and Oil Spill Response Jully McQuilliams Bureau of Ocean Energy Management, Regulation, and Enforcement (BOEMRE) January 26, 2011

2. Outline • BOEMRE overview and process • BOEMRE role during response • Current and future oil and gas activities along the mid-Atlantic • Current and future renewable energy activities along the mid-Atlantic • Coastal and Marine Spatial Planning

3. BOEMRE Background • Responsible for 1.7 billion OCS acres • Lease issuance to decommission • Day-to-Day • ~8,000 leases • ~43 million acres leased • ~27% of oil;~15% natural gas • ~4,000 production platforms • ~33,000 miles of pipeline • ~42,000 OCS personnel • ~125 operating companies

4. From Outer Continental Shelf Lands Act, as Amended • "It is hereby declared to be the policy of the United States that . . . the Outer Continental Shelf is a vital national resource held by the Federal Government for the public, which should be made available for expeditious and orderly development, subject to environmental safeguards, in a manner which is consistent with the maintenance of competition and other national needs . . . . "

5. OCS Leasing, Exploration and Development

6. BOEMRE Funded Research $800 million in environmental studies $100 million on technical research Environmental Studies Technology Assessment & Research Leasing Exploration Production Decommissioning Pollutant Transport (air & water) Biological Resource Characterization (habitat & behavior) Marine Environmental Monitoring Fates and Effects Socioeconomic Effects Biotechnology Invasive Species Reduce Emissions Blowout Prevention Structural Removal Corrosion Prevention Oil Spill Response Leak Detection Marine Risers Composite Materials

7. Multiple Agencies Involved • U.S. Coast Guard • Oil-spill response, port and vessel security and inspections (MOA) • Environmental Protection Agency • Air and water quality (MOU) • National Oceanic and Atmospheric Administration • Coastal programs • Marine mammals/endangered species • Fish and Wildlife Service • Marine mammals/endangered species

8. State and Local Involvement • Coastal Commissions • Departments of Fish & Wildlife • Air Resource Boards • Departments of Water Resources • Departments of Conservation & Natural Resources • Departments of Environmental Regulations • Departments of Culture, Recreation, & Tourism

9. BOEMRE and USCG Roles During Oil Spill Response • Memorandum of Agreement (MOA) between USCG and BOEMRE (then MMS) defining roles – September 30, 2004 • BOEMRE responsible for offshore oil & gas facilities and MODUs operating on the OCS regarding industrial “drilling and production” activities and equipment, (i.e. deepwater operating plan, risers, moorings, drilling, completion, workovers, etc). • USCG responsible for “workplace safety & health” as well as “marine systems” (i.e. lifesaving, firefighting, marine crew requirements, crew accommodations, etc.;) and for floating facilities USCG are also responsible for the hull structure, stability and the ballast system. • Joint investigation for DWH in progress.

10. DOI Presence on the National Incident Commander’s (NIC) Inter-Agency Solutions Group (IASG) Role in Deepwater Horizon Response Staff the DOI desks at the NIC’s IASG in Washington DC Maintain situational awareness within Agency Liaison to NIC regarding DOI efforts Provide DOI-specific information management and coordination of taskers with Ops Center Respond to dynamic requests from NIC staff, and IASG Agencies within “war room” Participate in daily interagency calls and react to RFIs in real time Topics include – Engineering (well control, BOP, relief wells); Economic (drilling moratoria); environmental (weathered oil, turtles impact) Impact on Bureaus/Offices from Deepwater Horizon Response Staff were deployed from OEPC, USGS, FWS, and BOEMRE from their routine assignments to work within National Incident Command Structure. Operations were moved to the Region in Fall of 2010 10

12. Mid and South Atlantic Oil and Gas • No current leases in the Atlantic. • No lease sales will be scheduled in the Atlantic in the 2007-2012 program or in the 2012-2017 program. • Lease Sale 220, offshore Virginia, was originially scheduled for 2011 but was cancelled on May 27, 2010. - Revised OCS Leasing Program, announced on December 1, 2010, states the Mid and South Atlantic planning areas are no longer under consideration for potential development through 2017.

13. Mid and South Atlantic Oil and Gas(Continued) • BOEMRE Begins Work on First Geological and Geophysical Programmatic Environmental Impact Statement (EIS) for the Mid and South Atlantic. • Programmatic EIS will evaluate potential environmental effects of multiple G&G activities, such as seismic surveys, that will be conducted to inform future decisions regarding oil, natural gas and renewable energy development on the (OCS) in the mid- and south Atlantic planning areas. • Programmatic EIS will comply with applicable laws, such as the Endangered Species Act, Marine Mammal Protection Act, National Historic Preservation Act, and the Coastal Zone Management Act. • The draft Programmatic EIS will be made available for public comment in 2011. • The final Programmatic EIS is expected to be completed in late 2012.

14. Renewables in the Atlantic • “Smart from the Start” Program – Nov 2010 • Offshore wind energy initiative for Atlantic OCS. • Facilitate siting, leasing and construction of new projects. • Identify priority Wind Energy Areas (WEAs) for potential wind development, improve our coordination with local, state, and federal partners, and accelerate the leasing process. • Via regulatory change; Enabling leases to be issued in 2011 and 2012 • For RRTIII – Delaware, Maryland, and Virginia are of interest.

15. Delaware • BOEMRE issued one interim policy limited lease to Bluewater Wind Delaware LLC in November 2009 for the installation of a meteorological tower. • The Delaware Request for Interest (RFI) was published in the Federal Register on April 26, 2010. • The comment period for the Delaware RFI closed on June 25, 2010. Comments received include the following: U.S. Coast Guard Fifth District, NOAA National Marine Fisheries Service, The American Waterways Operators, Dann Marine Towing, LC, The Nature Conservancy in Delaware, Habitat Conservation Division. • The first Delaware Fed-State Task Force meeting was held on October 29, 2009. The second Delaware task force meeting was held on July 15, 2010. Attendees included NOAA, USCG, US ACOE and State of DE officials. The goal of the task force is to facilitate intergovernmental communications regarding OCS renewable energy activities.

16. Maryland • The Maryland RFI was published in the Federal Register on November 9, 2010. • The BOEMRE held its first Task Force meeting on April 14, 2010 with the federal, state, local and tribal governments. • The second Maryland task force meeting was held on July 14, 2010. • Attendees included USCG, DOD, DOE, NOAA, State of MD officials. • The goal of the task force is to facilitate intergovernmental communications regarding OCS renewable energy activities.

17. Virginia • BOEMRE has received two unsolicited applications for projects offshore Virginia. • First Virginia Task Force meeting was held on December 8, 2009. Second BOEMRE Virginia State Task Force Meeting was held in Williamsburg, VA on April 27, 2010. • Attendees included DOD, USCG, NOAA, USACOE and VA officials. • The goal of the task force is to facilitate intergovernmental communications regarding OCS renewable energy activities. • BOEMRE convened a Virginia Offshore Renewable Energy Task Force Teleconference on Monday December 6th, 2010.

18. Coastal and Marine Spatial Planning (CMSP) • DOI actively involved in the National Ocean Policy and CEQ led inter-agency CMSP efforts. • DOI Coordinating with NOAA, USCG, DOD, EPA, DOE, and others for planning the national workshop.