Federal officials have concluded a liquid natural gas facility proposed at the Sparrows Point shipyard will have a “mostly limited adverse environmental impact” with mitigation and could issue construction permits as soon as next month.
The Federal Energy Regulatory Commission on Friday released its final environmental report on the $400 million plant and 88-mile pipeline proposed by Virginia-based AES Corp. The commission will use the report to make a final decision on the plant, which has already received a recommendation for approval by FERC staff and U.S. Commerce Secretary Carlos Gutierrez.
AES celebrated the report as the final step before FERC issues a construction permit.
“Today, federal regulators have acknowledged that AES stands ready and able to meet the highest environmental standards,” said company spokesman Kent Morton. “We are committed to providing the resources necessary to operate the Sparrows Point terminal as a clean, safe facility.”
But the report sparked a flurry of statements from elected officials at virtually every level who have opposed the project, citing the potential for terrorist attacks and the environmental risks of dredging to accommodate massive LNG tankers.
Baltimore County Executive Jim Smith said he is considering contacting President-elect Barack Obama and his Secretary of Commerce nominee, New Mexico Governor Bill Richardson, to ask that they review the Sparrows Point and other proposed LNG facilities.
U.S. Rep. Dutch Ruppersberger complained that AES expects Maryland to foot the bill for security measures.
U.S. Sen. Barbara Mikulski said the report identified 179 “mitigation measures” that must be met, about 20 more than a draft report released in April.
“For over two years, I have repeatedly raised my safety, security and environmental concerns about this LNG facility and pipeline,” Mikulski said in a statement. “I am deeply disappointed that FERC continues to rubber stamp a project that our state is adamantly opposed to.”
In September, the U.S. Supreme Court declined to hear an appeal filed by Baltimore County to stop the terminal, after a local zoning law banning LNG facilities from environmentally sensitive areas was overturned.
AES officials hope to import, store, vaporize and transport 1.5 billion cubic feet of liquid natural gas each day. They plan to build two ship berths, three storage tanks, a vaporization system, as well as administration and security offices.
The pipeline will connect the former Bethlehem Steel mill to Eagle, Pa., slicing through Harford County.
Community leaders in Dundalk are asking FERC to extend a 30-day public comment period on the lengthy report. Russell Donnelly, chair of the LNG Opposition Team, said the commission could issue a conditional construction permit by Jan. 15.
“The environmental impact is massive,” Donnelly said. “There will be multiple, acute and long-term impacts from this project that are not being addressed.”
