The ongoing tussle between the Federal Energy Regulatory Commission (FERC) and the Minerals Management Service (MMS), each of which claims to have the ability to approve new wave and tidal energy projects along the outer continental shelf, has been highlighted by The Washington Times.
The publication reported that both the agencies say they have the sole authority to issue permits and licences, which in hindsight “is holding up one of the Obama administration’s top goals in renewable energy”.
Commenting on the same, Sean O’Neill, president of the Ocean Renewable Energy Coalition - which represents companies hoping to tap tide, wave and underwater current energy - said the delay is hurting the investment climate for all kinds of offshore energy projects. “It has a very chilling effect. We need regulatory certainty, and right now, we have terrible uncertainty,” he said.
Over the years, this tussle has only resulted in dilemna for the developers. Even in the past it has been acknowledged that in order to obtain sufficient property rights to site a wave or tidal project on the OCS, a developer must obtain a lease from MMS. FERC acknowledges MMS’ power, but has maintained that tiny wave and tidal developers can simply comply with both regimes: first, obtain a lease from MMS and subsequently a licence from FERC.
Related links: for more on FERC
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