&EPA
United States
Environmental Protection
Agency
EPA-430-R-04-002
LANDFILL METHANE
OUTREACH PROGRAM
Tennesseeo
State Primer
A Primer on
Developing
Tennessee's
Landfill Gas Energy
Potential
Printed on paper that contains at least
30 percent postconsumer fiber.
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Introduction
1. The Goals of This Primer 1
2. About the Landfill Methane Outreach Program 2
3. Tennessee LMOP Task Force 3
4. Landfill Gas Energy Projects in Tennessee 3
5. Where to Go for More Information 4
1:
1. Overview of Federal Regulations and Permits 6
1.1 Clean Air Act (CAA) 6
1.2 Resource Conservation and Recovery Act Subtitle D 10
1.3 National Pollutant Discharge Elimination System (NPDES) Permit 11
1.4 Clean Water Act, Section 401 12
1.5 Other Federal Permit Programs and Regulatory Requirements 12
2. Overview of State Regulations and Permits 13
2.1 Summary of Permits 13
2.2 Permitting Assistance 20
2.3 Tennessee Regulatory Authority (TRA) Jurisdiction 20
2.4 Tennessee Department of Transportation (TDOT) 21
3. Overview of Local Regulations and Permits 22
2:
1. Overview of Federal Incentive Programs 23
1.1 Renewable Energy Production Incentive (REPl) 23
1.2 Qualifying Facilities Certification 23
1.3 Section 29 Tax Credit 24
2. State Incentive Programs 24
2.1 Green Power Switch® 24
2.2 Renewable Portfolio Standard 25
3. Electricity Restructuring and Landfill Gas Energy 25
4. Voluntary Reporting of Greenhouse Gases Program 26
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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Tables
Table A Tennessee State LMOP Task Force Members 3
Table B Landfill Gas Energy Projects in Tennessee 4
Table C Candidate Landfills in Tennessee 5
Table 2.1 Summary Table of State Regulations/Permits 13
Table 2.2 Air Quality Construction Permit and Title V Operating Permits 14
Table 2.3 Solid Waste Management Permit 17
Table 2.4 NPDES Permit/Tennessee State Operating Permit 19
Landfill Gas Projects in Tennessee
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Introduction
of
Throughout the country, the number of landfill gas energy projects is growing. Recovering methane gas
at solid waste landfills provides significant environmental and economic benefits by eliminating methane
emissions while capturing the gas's energy value. The methane captured from landfills can be transformed
into a cost-effective fuel source for generating electricity and heat, firing boilers, or even powering vehicles.
Permits, incentive programs, and policies for landfill gas energy project development vary greatly from
state to state. To guide landfill gas energy project developers through the state permitting process and to
help them to take advantage of state incentive programs, the U.S. Environmental Protection Agency's
(EPA's) Landfill Methane Outreach Program (LMOP) has worked with agencies to develop individual
primers for states participating in the State Partner Program. By presenting the latest information on federal
and state regulations and incentives affecting landfill gas energy projects in this primer, LMOP and
Tennessee officials hope to facilitate development of many of the landfills listed in Table C on 5.
To develop this primer, the of Tennessee identified all the permits and funding programs that could
apply to landfill gas energy projects developed in Tennessee. It should be noted, however, that the regula-
tions, agencies, and policies described are subject to change. Changes are likely to occur whenever a
state legislature meets or when the federal government imposes new directions on and local govern-
ments. Landfill gas energy project developers should verify and continuously monitor the status of laws and
rules that might affect their plans or the operations of their projects.
This primer is designed to help realize the potential of landfill gas recovery in the state of Tennessee. It
provides information for developers of landfill gas energy projects, as well as all other participants in such
projects:
• Landfill owners/operators • Community officials
• Utility companies • State regulators
« Independent power producers « Engineers
« Utility regulators « Equipment vendors
If you are interested in taking advantage of the economic and environmental opportunities in landfill
gas energy recovery in Tennessee, you will need to know the regulatory requirements that apply.
You will also need to know what economic incentives are available to help make these projects more
economically viable.
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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To address these needs, this primer covers the following topics:
* Federal Regulations and Permits. This section provides information on federal regulations that
may pertain to landfill gas energy projects, including solid waste, air quality, and water quality
regulations.
• State Regulations and Permits. This section provides information on state permits that apply to
landfill gas recovery projects in Tennessee.
* Local Regulations and Permits. Local permit approval will often be needed for landfill gas
energy projects.
• Federal Incentive Programs. This section presents information on federal incentives that may
apply to landfill gas energy projects.
• State Incentive Programs. This section presents information about environmental infrastructure
financing opportunities in the of Tennessee.
* Electricity Restructuring. This section discusses how renewable energy provisions in
electricity restructuring regulations might apply to landfill gas energy projects.
• Voluntary Reporting of Greenhouse Gases. This section discusses a program allowing
organizations to gain recognition for environmental achievements related to greenhouse
gas emissions.
In order to promote the use of landfill gas as an energy source, EPA has established the Landfill Methane
Outreach Program (LMOP). The goals of LMOP are to reduce methane emissions from landfills by:
• Encouraging environmentally and economically beneficial landfill gas energy development
• Removing barriers to developing landfill gas energy projects
To achieve these goals, EPA establishes alliances with four key constituencies:
• State environmental and energy agencies
• Energy users/providers (including investor-owned, municipal, and other public power utilities;
cooperatives; direct end users; and power marketers)
• Industry (including developers, engineers, and equipment vendors)
• Community partners (municipal and small private landfill owners and operators; cities, counties,
and other local governments; and community groups)
EPA establishes these alliances through a Memorandum of Understanding (MOD). By signing the MOU,
each Partner acknowledges a shared commitment to promoting landfill gas energy recovery at solid waste
landfills, recognizes that the widespread use of landfill gas as an energy resource will reduce methane and
other air emissions, and commits to certain activities that enhance the development of this resource.
As of May 2003, more than 340 landfill methane recovery projects were operating in the United States.
EPA estimates that up to 500 landfills across the United States could install economically viable landfill gas
energy projects.
Landfill Gas Projects in Tennessee
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The Tennessee State LMOP task force has been formed to review state regulations and policies to explore
opportunities for overcoming barriers to landfill gas energy projects. The overall purpose of the state task
force is to encourage information sharing and increased coordination among interested parties on landfill
gas energy project development in Tennessee.
The Tennessee State LMOP task force is comprised of the following members:
Table A
LMOP
Name
W. Alan Ball
Jeff Norman
John Trimmer
Chris Garkovich
Organization
Tennessee Department of Environment and
Conservation (TDEC), Division of Community Assistance
TDEC, Division of Solid Waste Management
TDEC, Division of Air Pollution Control
University of Tennessee County
Technical Assistance Service (UT-CTAS)
Phone Number
(615)532-0090
(615)532-0876
(615)532-0552
(931)528-5518
Brian Hensley
Energy Division, Tennessee Department of
Economic and Community Development
(615)741-2994
Mike Allen Tennessee Chapter, Solid Waste Association of
North America
922-2845
Libby Hill Smith Southern Alliance for Clean Energy
637-6055
Daryl Williams
TVA Public Power Institute, Biomass & Renewable Energy,
Tennessee Valley Authority
(256) 386-2973
John Boynton Tennessee Department of Transportation, Right-of-Way Office (615) 741-3196
Mike Gaines
Tennessee Regulatory Authority (TRA)
(615)741-2904,ext.220
in
The Tennessee Department of Environment and Conservation (TDEC) is a Partner to EPA for man-
aging LMOP, which encourages cooperation between EPA and state energy and environmental agencies to
promote the development of landfill gas energy resources. This partnership focuses on developing consen-
sus among landfill owners/operators, utility companies, independent power producers, project developers,
utility regulators, and the state regulators so they can work together to promote new energy and environ-
mental opportunities from which all Tennessee residents will benefit.
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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The state of Tennessee currently has four landfill gas energy projects. Table B (below) lists these projects.
According to TDEC and EPA, numerous candidate landfills have the potential to support economically
viable gas energy projects. Table C (on page 5) identifies some of Tennessee's candidate landfills.
to Go for
W. Alan Ball
TDEC, Division of Community Assistance
401 Church Street, 8th Floor
Nashville, TN 37243-1533
Phone: (615)532-0090
Fax: (615)532-0199
e-mail: alan.ball@state.tn.us
www.tdec.net/dca
Chris Voell
U.S. Environmental Protection Agency
Landfill Methane Outreach Program (6202J)
1200 Pennsylvania Avenue, N.W.
Washington, DC 20460
Phone: (202)
Fax: (202) 565-2079
e-mail: voell.christopher@epa.gov
www.epa.gov/lmop
Table B
Landfill Name
in
Landfill Owner
County
Landfill Gas to
Energy Project
Chestnut Ridge Waste Management Anderson
Powering generator
since 1/1/92
CFM Tons/Day
Bordeaux
Metro Nashville
Davidson
Powering generator
since 4/1/00
1,500
Closed
1994
1,150 1,675
Middlepoint
BFI
Rutherford
Powering generator
since 5/1/02
960
3,251
Quail Hollow
Waste Management Bedford
Leachate evaporation
since 1/1/96 and
generating on-site power
860
Closed
Landfill Gas Projects in Tennessee
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Table C
in
(Criteria: At least 1 million tons of landfill waste in place, or design capacity greater than 2.75 million tons,
and not closed for more than 5 years)
Waste in
Landfill Name
Alcoa-Maryville-
Blount County
Bi-County
Bradley County
Carter Valley
Cedar Ridge
Iris Glen
Environmental Center
Jackson-Madison
County
Jefferson County
North Shelby
Northwest Tennessee
Disposal Corp.
Roane County
Shelby County
Penal Farm
South Shelby
Summit
Twin Oaks
West Camden
Landfill Owner
Alcoa-Maryville-
Blount County
Bi-County Solid
Waste Management
System
Bradley County
BFI
Waste Management
Waste Management
Jackson-Madison
County
Jefferson County
BFI
Northwest Tennessee
Disposal Corp.
Roane County
Shelby County
BFI
Chattanooga
BFI
Waste Management
County
Blount
Montgomery
Bradley
Hawkins
Marshall
Washington
Madison
Jefferson
Shelby
Obion
Roane
Shelby
Shelby
Hamilton
Knox
Benton
Tons/Day
320
456
360
2,000
1,150
1,500
450
85
1,625
1,175
Closed 1998
Closed 1989
3,625
Closed 1999
Closed 1993
1,800
Place (Tons)
2,000,000
1,000,000
1,600,000
3,400,000
2,500,000
2,000,000
1,700,000
1,000,000
5,500,000
2,000,000
1,600,000
2,300,000
13,300,000
7,300,000
1,670,000
1,200,000
CFM
NA
NA
NA
450
400
500
NA
NA
1,500
NA
NA
500
1,800
1,100
1,039
400
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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Part 1: Regulations and Permits
of
The following section discusses federal regulations that may pertain to landfill gas energy projects,
Landfill gas energy projects can be subject to solid waste, air quality, and water quality regulations. The
federal regulations are presented in general terms because individual state/local governments generally
develop their own regulations for carrying out the federal mandates. Specific requirements may therefore
differ among states. Project developers should contact relevant federal agencies and, in some cases,
state agencies for more detailed information and applications. The discussion of each key federal
regulation/permit contains three components:
• Importance of the regulation/permit to landfill gas energy project developers
• Applicability to landfill gas energy projects
• Description of each regulation/permit
1.1 Air Act
The Clean Air Act regulates emissions of pollutants to ensure that air quality meets specified health and
welfare standards. The CAA contains three provisions that may affect landfill gas energy projects: (1) New
Source Performance Standards (NSPS) and Emission Guidelines; (2) National Emission Standards for
Hazardous Air Pollutants (NESHAP); and (3) New Source Review (NSR). Project developers who are plan-
ning to construct a new landfill gas energy system or who plan to modify a landfill operation to incorporate
a landfill gas energy system must obtain a Permit to Construct (PTC) permit from the responsible regulato-
ry agency if emissions from the project the major facility emission thresholds. The PTC permit
specifies the NSPS and NSR requirements that the project must meet (Chapter 1200-3-9). Landfill energy
plants that are part of major sources must also obtain Title V Operating Permits that consolidate the vari-
ous air regulatory and reporting requirements into a single operating permit. The general requirements of
NSPS, NESHAP, NSR, and Title V for landfill gas energy projects are discussed below.
for
Importance Landfill gas energy projects can be part of a compliance strategy to meet EPA's new
emissions standards for landfill gas.
Applicability Landfills meeting certain design capacity, age, and emissions criteria are required to col-
lect landfill gas and to either flare it or use it for energy.
Description EPA final regulations under the CAA amendments require large landfills to collect and con-
trol landfill gas. Specifically, landfills that are designed to be at least 2.5 million
megagrams (Mg) and 2.5 million cubic meters in size and have estimated emissions of
non-methane organic compounds (NMOC) of at least 50 Mg/year must reduce their emis-
sions of landfill gas. The regulations identify NMOC as a surrogate for landfill gas.
Therefore, the emission reductions required in the rules are specified as reductions of
Landfill Gas Projects in Tennessee
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NMOC. Landfills can use flares or energy recovery projects to meet the emission reduc-
tion requirements,
Landfill gas emissions were targeted in these rules because of the potential negative
impact on human health and the environment from the volatile organic compounds
contained in the gas. In addition, the contribution of landfill gas to local smog formation,
local odors, and the potential for explosions or landfill fires were included in the
decision-making process.
For landfills that commenced construction before May 30, 1991, and received waste after
November 8, 1987 ("existing landfills"), the Emission Guidelines (40 CFR Part 60 Subpart
Cc) apply. For landfills that commenced construction, reconstruction, or modification on or
after May 30, 1991 ("new landfills"), the (40 CFR Part 60 Subpart WWW) apply.
The collection and control requirements of each of these standards are the same; only the
start of the compliance clock differs.
The final regulations were published in the Federal Register on March 12, 1996, but clari-
fying amendments have been made since. The regulations (as revised) can be found in
the Code of Federal Regulations at 40 CFR Part 60, Subparts Cc and WWW. Additional
amendments were proposed on May 23, 2002 (67 FR 36476), but were not final as of
December 2002.
Landfill gas collection systems and either gas treatment or control achieving 98 percent
NMOC destruction or 20 ppmv outlet NMOC concentration are required for existing and
new landfills that meet both of the following criteria:
(1) Capacity - maximum design capacity greater than or equal to 2.5 million Mg (about
2.75 million tons) and 2.5 million cubic meters.
(2) Emissions - annual NMOC emission rate is greater than 50 Mg (about 55 tons).
Landfills below the capacity and emissions thresholds have reporting requirements
to demonstrate their capacity and/or emission levels, but are not required to apply
controls.
for
Importance Landfill gas energy projects can be part of a compliance strategy to meet EPA's new
emissions standards for landfill gas.
Applicability Landfills meeting certain design capacity, age, and emissions criteria are required to
collect landfill gas and to either flare it or use it for energy.
Description The final municipal solid waste landfills NESHAP was published in the Federal Register
on January 16, 2003 (68 FR 2227). It affects the same landfills and has the same control
requirements as the NSPS and Emission Guidelines. As with the NSPS, the emission
reduction requirements of the rule are specified as NMOC. Landfills with design capacities
of at least 2.5 million Mg and 2.5 million cubic meters and that have estimated annual
NMOC emission rates of at least 50 Mg/year are required to collect and treat or control
landfill gas emissions. These control requirements are the same as the NSPS and
Emission Guidelines with one exception: large landfills (i.e., those that exceed the
2.5 million Mg and cubic meters threshold) that operate part or all of the landfill as a
bioreactor must install collection and control systems for the bioreactor earlier than would
be required by the NSPS, even if total estimated emissions do not yet exceed 50 Mg/year.
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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The control systems may also be removed earlier from bioreactors, Bioreactors generate
landfill gas more quickly than conventional landfills, but also generate the gas for a shorter
period of time.
The NESHAP also contains additional record keeping and reporting requirements com-
pared to the NSPS. Landfills that are required to collect and control landfill gas must
develop a start-up, shutdown, and malfunction (SSM) plan and report SSM events. The
NESHAP also requires semiannual compliance reporting, instead of the annual reporting
required by the NSPS. The NESHAP defines types of deviations from the standards that
must be reported in the semiannual reports, for example, periods when monitored control
device operating parameters are outside of specified ranges.
Importance New landfill gas projects may be required to obtain construction permits under New
Source Review (NSR). Depending on the in which the project is located, obtaining
these permits may be the most critical aspect of project approval.
Applicability The combustion of landfill gas results in emissions of carbon monoxide, oxides of nitro-
gen, and PM-10. Requirements vary for control of these emissions depending on local air
quality. The relevant standards for a particular area will be discussed in Section 2 of Part
1, Overview of State Regulations and Permits. Applicability of these standards to landfill
gas projects will depend on the level of emissions resulting from the technology used in
the project and the project's location (i.e., attainment or nonattainment area).
Description CAA regulations require new stationary sources and modifications to existing sources of
certain air emissions to undergo NSR before they begin construction. The purpose of
these regulations is to ensure that sources meet the applicable air quality standards for
the area in which they are located. Because these regulations are complex, a landfill
owner or operator may want to consult an attorney or expert familiar with NSR for more
information about permit requirements.
The existing CAA regulations for attainment and maintenance of ambient air quality
standards regulate six criteria pollutants: ozone, nitrogen dioxide (NO2), carbon monoxide
(CO), particulate matter (PM-10), sulfur dioxide (SO2), and lead. The CAA authorizes the
EPA to set both health and public welfare-based national ambient air quality standards
(NAAQS) for each criteria pollutant. Areas that meet the NAAQS for a particular air
pollutant are classified as being in "attainment" for that pollutant and those that do not are
in "nonattainment." Because each is required to develop an air quality implementa-
tion plan (called a Implementation Plan or SIP) to attain and maintain compliance
with the NAAQS in each Air Quality Control Region within the state, specific permit
requirements will vary by state. (See 40 CFR 51.160-51.166 for more information.)
The location and of the landfill gas energy project will dictate what kind of construc-
tion and operating permits are required. If the landfill is located in an that is in
attainment for a particular pollutant, the landfill gas energy project may have to undergo
Prevention of Significant Deterioration permitting. Nonattainment Area permitting is
required for those landfills that are located in that do not meet the NAAQS for a
particular air pollutant. Furthermore, the level of emissions from the project determines
whether the project must undergo major NSR or minor NSR. The requirements of major
Landfill Gas Projects in Tennessee
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NSR permitting are greater than those for minor NSR. The following provides more detail
on new source permits:
of
Prevention of Significant Deterioration (PSD) review is used in attainment areas to determine whether a
new or modified emissions source will cause significant deterioration of local air quality. Tennessee
Department of Air Pollution Control (APC) can assist landfill gas energy project developers in determining
whether a proposed project requires PSD approval. Applicants must determine PSD applicability for each
individual pollutant.
For each pollutant for which the new or modified source is considered major (i.e., exceeds specified
emission thresholds), the PSD major NSR permitting process requires that the applicants determine the
maximum degree of reduction achievable through the application of available control technologies.
Specifically, major sources may have to undergo any or all of the following four PSD steps:
* Best Available Control Technology (BACT) analysis
* Monitoring of local air quality
* Source impact analysis/modeling
* Additional impact analysis/modeling (i.e., impact on vegetation, visibility, and Class I areas)
(See 40 CFR Part 52.21 for more information on PSD.)
Minor sources and minor modifications are exempt from this process, but these sources must still obtain
construction and operating air permits. See Chapter 1200-3-9 for more information.
A source located in an area that has been designated nonattainment for one or more of the six criteria pol-
lutants may be subject to the nonattainment for such pollutant. Ozone is the most pervasive nonattainment
pollutant and the one most likely to affect landfill gas energy projects. Because NOx and VOC emissions
contribute to ozone formation, the emission thresholds that trigger major NSR and the control requirements
are more stringent in ozone nonattainment than in attainment areas. Therefore, NOx permitting has
been an issue for some landfill energy projects.
A proposed new emissions source or modification of an existing source located in a nonattainment
must undergo nonattainment major NSR if the new source or the modification is classified as major (i.e., if
the new or modified source exceeds specified emissions thresholds). To obtain a nonattainment NSR per-
mit for criteria pollutants, a project must meet two requirements:
• It must use technology that achieves the Lowest Achievable Emissions Rate (LAER) for the
nonattainment pollutant.
* It must arrange for an emissions reduction at an existing combustion source that offsets the
emissions from the new project at specific ratios.
Potential Exemptions
EPA furnished a guidance document to and regional permitting authorities that provides an exemption
from major NSR permitting requirements for landfill projects that qualify as "pollution control projects." An
existing landfill that plans to install a landfill gas energy recovery project may qualify as a pollution control
project as long as it reduces non-methane organic compounds (NMOC) at the site. Under the guidance,
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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the permitting authority may exempt the project from major NSR, provided it meets all other requirements
under the CAA and the state, including minor source requirements. In nonattainment areas, offsets will still
be required, but need not exceed a 1:1 ratio. States have discretion to exercise the increased flexibility
allowed by the guidance on a case-by-case basis.
If
Importance Many landfill gas energy projects must obtain operating permits that satisfy Title V of the
1990 CAA Amendments.
Applicability Any landfill or landfill gas energy plant that is a major source, as defined by the Title V
regulation (40 CFR Part 70), must obtain an operating permit.
Description Title V of the CAA requires that all major sources obtain new federally enforceable operat-
ing permits. The purpose of the permit is to consolidate all air emission limits, monitoring,
record keeping, and reporting requirements that apply to the source in a single permit.
Each major source must submit an application for an operating permit that meets guide-
lines spelled out in individual Title V programs. The operating permit describes the
emission limits and operating conditions that a facility must satisfy and specifies the
reporting requirements that a facility must meet to show compliance with the applicable air
pollution regulations (e.g., NSPS, NESHAP, NSR). A Title V operating permit must be
renewed every five years.
1.2 D
Importance Before a landfill gas energy project can be developed, all Resource Conservation and
Recovery Act (RCRA) Subtitle D requirements (i.e., requirements for non-hazardous
waste management) must be satisfied.
Applicability Methane is explosive in certain concentrations and poses a hazard if it migrates beyond
the landfill facility boundary. Landfill gas collection systems must meet RCRA Subtitle D
standards for gas control.
Description Since October 1979, federal regulations promulgated under Subtitle D of RCRA have
required controls on the migration of landfill gas. In 1991, EPA promulgated landfill design
and performance standards. The newer standards apply to municipal solid waste landfills
that were active on or after October 9, 1993. Specifically, the standards require monitoring
of landfill gas and establish performance standards for combustible gas migration control.
Monitoring requirements must be met at landfills not only during their operation, but also
for a period of 30 years after closure.
Landfills affected by RCRA Subtitle D are required to control gas by establishing a pro-
gram to periodically check for methane emissions and prevent offsite migration. Landfill
owners and operators must ensure that the concentration of methane gas does not
exceed:
Twenty-five percent of the lower explosive limit for methane in facilities' structures
The lower explosive limit for methane at the facility boundary
Permitted limits on methane levels reflect the fact that methane is explosive within the
range of 5 to 15 percent concentration in air. If methane emissions exceed permitted
limits, corrective action (i.e., installation of a landfill gas collection system) must be taken.
10
Landfill Gas Projects in Tennessee
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1.3
Subtitle D may provide an impetus for some landfills to install energy recovery projects in
where a gas collection system is required for compliance. (See 40 CFR Part 258
for more information.)
Importance Landfill gas energy projects may need to obtain NPDES permits for discharging waste-
water that is generated during the energy recovery process.
Applicability Landfill gas condensate forms when water and other vapors condense due to temperature
and pressure changes within the collection system. This wastewater must be removed
from the collection system. In addition, landfill gas energy projects may generate waste-
water from system maintenance and cooling tower blow down.
Description NPDES permits regulate discharges of pollutants to surface waters. The authority to issue
these permits is delegated to governments by EPA. The permits, which typically last
five years, limit the quantity and concentration of pollutants that may be discharged. To
ensure compliance with the limits, permits require wastewater treatment or impose other
operation conditions. The state water offices or EPA regional office can provide further
information on these permits.
The permits are required for three categories of sources and can be issued as individual
or general permits. A landfill gas energy project would be included in the "wastewater
discharges to surface water from industrial facilities" category and would require an
individual permit. An individual permit application for wastewater discharges typically
requires information on:
Water supply volumes
Storm water treatment
Water utilization
Plant operation
Wastewater flow
Materials and chemicals used
Characteristics and disposal methods
Production
Planned improvements
Other relevant information
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
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1.4
Importance Landfill gas energy projects may need Clean Water Act (CWA) Section 401 certification for
constructing pipelines that cross streams or wetlands.
Applicability Landfill gas recovery collection pipes or distribution pipes from the landfill to a nearby
gas user may cross streams or wetlands. When construction or operation of such pipes
causes any discharge of dredge into streams or wetlands, the project may require
Section 401 certification.
Description If the construction or operation of facilities results in any discharge into streams or wet-
lands, such construction is regulated under Section 401. This requirement may affect the
construction of landfill gas energy project facilities or pipelines to transport landfill gas.
The applicant must obtain a water quality certification from the state in which the dis-
charge will originate. The certification should then be sent to the U.S. Army Corps of
Engineers. The certification indicates that such discharge will comply with the applicable
provisions of Sections 301, 302, 303, 306, and 307 of the CWA.
1.5
The following are brief descriptions of how other federal permits could apply to landfill gas energy
project development:
• IRCRA Subtitle C could apply to a landfill gas energy project if it produces hazardous waste.
While some landfill gas energy projects can return condensate to the landfill, many dispose
of it through the public sewage system after some form of onsite treatment. In a few cases, the
condensate may contain high enough concentrations of heavy metals and organic chemicals
for it to be classified as a hazardous waste, thus triggering federal Subtitle C regulation.
* The Historic Preservation Act of 1966 or the Endangered Species Act could apply if power lines
or gas pipelines associated with a project infringe upon a historic site or an area that provides
habitat for endangered species.
• Requirements of the Uniform Relocation Assistance and Real Property Acquisitions Act of 1970,
as amended (Uniform Act), will apply to landfill gas energy projects, if federal funds are used for
any part of project design, right of way acquisition, or construction. The Federal Highway
Administration is the lead agency for issues concerning the Uniform Act.
1 2 Landfill Gas Projects in Tennessee
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of
This section provides information on permits required by the of Tennessee for the development of a
landfill gas energy project. For an overview of required permits, contact information, and length of the
review period, see Table 2.1. Tables 2.2 through 2.4 present more detailed information about the required
permits. Information provided on each permit includes:
• How the permit is applicable to landfill gas projects
• The appropriate agency contact
• A description of the permit
* The regulation
* Information required and suggestions for a successful application
* The application and review process
• The review/approval period
• Any fees required
2.1 Of
The principal permits for landfill gas energy projects in Tennessee are related to solid waste, air, and water
quality. These are regulated by the Tennessee Department of Environment and Conservation (TDEC).
Table 2.1
of
Type of Standard
Permit Agency/Contact
Re view/Appro val
Air Construction Permit Operation
John Trimmer/TDEC
2-12 months (minor)
5-12 months (major)
State Operating Permit
John Trimmer/TDEC
2-4 months
Title V Operating Permit
John Trimmer/TDEC
18 months
Solid Waste Landfills Solid
Waste Management Permit
Jeff Norman/TDEC
270 days
Water NPDES
Saya Qualls/TDEC
180 days (minor)
1 year (major)
Certificate of Convenience
And Necessity
Mike Gaines/TRA
no set time
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
13
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Table 2.2
Air Title ¥
Agency Contact
Regulation
John Trimmer
TDEC, Division of Air Pollution Control
401 Church Street, 9th Floor, L&C Annex
Nashville, TN 37243-1531
Phone: (615)532-0552
Fax: (615)532-0614
E-mail: John.Trimmer@state.tn.us
Description Any person wishing to construct an air contaminant source or to modify an existing
air contaminant source is required to obtain a construction permit from the
Tennessee Division of Air Pollution Control (TDAPC), A Title V Operating Permit is
required of companies that have operations involving a major air contaminant
source. A state operating permit is required for new construction permit applicants
who are non-Title V sources.
Chapter 1200-3-9
Construction and Operating Permits
Chapter 1200-3-3
Hazardous Air Pollutant Control Requirements\
Chapter 1200-3-16
New Source Performance Standards (NSPS)
Information
Required!
Suggestions
For all air contaminant sources located in Davidson, Hamilton, Knox, or
Shelby counties, the applicant must contact and obtain a permit from the
applicable county air permit agency. For all other counties, applications and
assistance can be obtained by contacting the TN Environmental Assistance Center
at (888) 891-8332.
Air Quality Construction Permit
• Permit Application Form (Form # CN-0730 - APC -20) requires the address of the
facility, principal contact, brief description of emission source, and the estimated
construction start and completion dates.
« Process or Fuel Burning Source Description Form (Form # CN-0741 -APC 21/24)
requires more detailed information about process and equipment specifications
and fuel type and usage.
« The emission point description form (Form # CN-0742 -APC -22) requires
information regarding the quantification of the pollutants emitted.
• See www.state.tn.us/environment/permits/airconst.htm.
Permit
• Persons planning to operate an air contaminant source require a State Operating
« Permit from the TDAPC. Facilities that emit more than 100 tons per year (tpy) of
an air pollutant, 10 tpy of a hazardous air pollutant, and /or 25 tpy of a
combination of hazardous air pollutants are not eligible for a State Operating
Permit but must obtain a Title V Operating Permit (see below).
14
Landfill Gas Projects in Tennessee
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• Permit Application Form (Form # CN-0730 -ARC 20) requires the address of the
facility, principal contact, and a brief description of emission source,
• Construction Permit applicants who are non-Title V sources are required to apply
for a State Operating Permit within 30 days of startup.
Title V Operating Permit
• Forms APCV. Index -V.31 series (Forms V, Index, V.1, V.2, V.3, V.4/V.5, V.10,
V.11, V.19, V.20 - V.27, V.28, V.29, V.30, and V.31)
• Facility identification information.
• Stack identification information.* Description of equipment and processes and products.
• Emissions of regulated air pollutants and emissions related information.
« Fuels, fuel use, raw materials, production rates, and operating schedules.
« Information on air pollution control systems.
* Statement of Completeness and Certification of Compliance with all applicable
regulations.
• Compliance methods for assurance of compliance with applicable requirements.
« See www.state.tn.us/environment/permits/title5.htm.
Application Review When construction permit or Title V permit applications are submitted, TDAPC
Process reviews them for completeness. TDAPC makes a completeness determination
within 60 days of the receipt of a Title V permit application and within 30 days of the
receipt of a construction permit application. The applicant is notified in writing of
adequacy or any deficiencies.
Air Quality Construction Permit
• Upon receipt of a construction permit application, a public notice is published in a
newspaper of local circulation in the proximity of the applicant. A construction
permit for a minor source must be issued within 115 days after receipt of a
complete application.
• Major source (PSD) draft construction permits go through a public review process
where the public, affected states, and EPA's comments are solicited. A public
hearing is held if significant interest is displayed. After considering public
comments and a final supervisory review, a final decision is made, and the permit
is issued or denied. For PSD major sources, the permit is to be issued within six
months after receipt of a complete application.
« Construction permits are issued for the period of time required to complete
construction and to meet any startup conditions identified in the permit, which is
approximately one year.
Operating Permit
• When the applications are submitted, TDAPC reviews them to determine adequacy.
Title V Operating Permit
• Upon receipt of a complete application, TDAPC prepares a draft permit. The draft
permit is then subject to review by the public, affected states, and EPA. A notice
giving general information about the permit will be published in a local newspaper.
This notice will afford the public an opportunity to: (a) comment on the proposed
permit; and (b) request a public hearing on the permit. The normal duration of a
Title V operating permit is three to five years.
A Primer on Developing Tennessee's Landfill Gas Utilization Potential 15
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Review/Approval Air Quality Construction Permit
Period • Generally, the entire permit process may two to four months for minor
sources and five to more than 12 months for major sources.
Operating Permit
• Generally, an operating permit is issued within two to four months. The normal
duration of a operating permit is nine to 10 years.
Title V Permit
• The entire permit process may take from six months to more than twelve
months. The normal duration of a Title V operating permit is three to five years.
Fees Air Quality Construction Permit
Application for the Air Quality Construction Permit are upon the emission
rate per year:
Anticipated Maximum (Filing/Processing)
Emission Rate Permit Fee
Less than 10 Tons/Year $100.00
10 to < 100 Tons/Year $500.00
100 to < 250 Tons/Year $1,000.00
250 to < 500 Tons/Year $2,000.00
500 to < 1,000 Tons/Year $3,000.00
1,000 to < 5,000 Tons/Year $4,000.00
5,000 to Greater Tons/Year $5,000.00
Operating Permit
Application Fees: There are no application at this time.
Annual Emission Fees (2002):
• Minor Sources (under 100 tons):
The rate is $12.50 per ton of allowable emissions. A source of less than 10 tpy
is exempt from minor source fees, provided that such source has not taken a
limitation on its permit that would render it a conditional major or synthetic minor
source. Minor source fees are based on the sum of the allowable and/or actual
emissions of all regulated pollutants at the source. An annual emission fee is
not charged for carbon monoxide. All annual emission fees are due by the first
day of the month in which the fee is due (based upon the county in which the
source is located).
Title V Permit
Application Fees: There are no application fees for the Title V permit.
Annual Emission Fees (2001-2002):
• Major Sources (Title V):
The is $21.70 per ton for actual emissions or $13.00 per ton for allowable
emissions. Title V fees were due by July 1, 2002, following the end of the annual
accounting period (June 30, 2002).
1 6 Landfill Gas Projects in Tennessee
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Table 2.3
Agency Contact
Information
Required/
Suggestions
Jeff Norman
TDEC, Division of Solid Waste Management
401 Church Street, 5th floor
Nashville, TN 37243-1533
Phone: (615)532-0876
Fax: (615)532-0886
e-mail: jeff.norman@state.tn.us
Regulation 1200-01-07
Solid Waste Management Permit and Terms of the Permit
Persons who wish to construct or operate a solid waste disposal facility must obtain
a landfill permit from the Tennessee Division of Solid and Hazardous Waste
Management. The following types of disposal facilities require permits:
• Class I disposal facility: Takes non-hazardous municipal solid wastes
(e.g., household wastes), approved special wastes, and commercial wastes.
• Class II disposal facility: Takes non-hazardous industrial wastes, commercial
wastes, and fill.
« Class III disposal facility: Takes Class IV wastes, plus landscaping, land clearing,
and farming wastes.
• Class IV disposal facility: Takes construction/demolition wastes, shredded tires,
and waste with similar characteristics.
Facilities covered by Permit-by-Rule, junkyards, and other exempted solid waste
disposal facilities or practices are not required to obtain a landfill permit.
The applicant must submit the following items to the Division of Solid and
Hazardous Waste Management staff at the appropriate Environmental
Assistance Center.
Part /:
•Acompleted application (Form CN-1036) that includes: the name, address, and
phone numbers of the owner(s); proposed activities to be conducted at the
facility; and a statement regarding whether the facility is subject to local
approval (TCA§ 68-211-701) and county approval, if necessary.
«A topographic map showing: the facility; property boundaries to 1/2 mile past the
boundaries; each waste processing or disposal unit; and wells, springs, and other
surface water bodies within 1/4 mile of the property boundaries.
«A disclosure statement containing information concerning past performance in
waste management fields of the applicant, as well as officers, directors, and/or
partners of the applicant's business.
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
17
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Part II:
• A hydrogeologic assessment of the potential site.
• Facility design plans and operations manual.
• Financial assurance demonstrating the financial responsibility for closure and
post-closure care.
« Other specific requirements for Class I, II, III, and IV disposal facilities.
A new facility cannot begin construction without submitting Parts I and II and
receiving an effective permit.
Application Permit applications are evaluated by inspecting the facility and checking its
Process consistency with Parts I and II to determine whether performance and design
standards have been met.
Review Process
Review!
Approval
Period
After the Part I application is received and reviewed for completeness, a preliminary
public notice is issued. The state archeologist reviews the site for the existence of
burial grounds. The Part II items then are submitted to the Division and are
reviewed by a committee. When all documents and approvals have been met, a
second public notice of intent to issue a permit is issued. Public response to this
second notice may generate another public notice to hold a public hearing. If
requested, the Division may give notice of a public hearing concurrently with the
second public notice of intent to issue a permit. After review of the public comments,
a final public notice with the permit decision is issued.
The application normally is processed in at least 270 days. The entire permit
process may take from 16 to 32 months, depending on the type of facility, public
interest, public hearings, revisions, appeals, and site preparation. Landfill permits
are valid for the life of the facility, as permitted, as long as it complies with
regulations and annual maintenance fees are paid.
Class I and Class II (Hydrogeologic plan)
Class I and Class II (Design and construction plans)
Class 111 and Class IV
Major Modifications
Annual maintenance
Class 1 (tons/year)
Class II (tons/year)
Class III and IV
fees;
Greater than 100,000
50,000 to 100,000
25,000 to 50,000
10,000 to 25,000
Less than 10,000
Greater than 1 ,000
Less than 1,000
$4,000
$6,000
$3,000
$2,000
$15,000
$10,000
$6,000
$2,000
$1,000
$5,000
$2,000
$2,000
Landfill Gas Projects in Tennessee
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Table 2.4
Agency Contact
Saya Quails
TDEC, Division of Water Pollution Control
401 Church Street
6th Floor, L&C Annex
Nashville, TN 37243-1534
Phone: (615)532-0652
Fax: (615)532-0503
e-mail: saya,qualls@state,tn.us
Information • General Information: EPA Application Form 1
Required/ • Wastewater Discharge Information: EPA Application Form 2C
Suggestions • New Sources and New Dischargers: Application for Permit to Discharge Process
Wastewater: EPA Application Form 2D
* Facilities Which Do Not Discharge Process Wastewater: EPA Application Form 2E
• Application for Permit to Discharge Storm Water Associated With Industrial Activity:
EPA Application Form 2F
« Form CN-1090 is required to identify the parties responsible for different aspects
of the permit.
In most cases, topographic maps, process flow line diagrams, and extensive
sampling are required with the applications. A preliminary engineering
report and treatability analysis also may be required where unusual or complex
wastewater treatment systems may be needed.
Application Process Applications and assistance can be obtained from the Division of Water
Pollution Control.
Review Process A public hearing is held if significant interest is displayed. After considering public
comments, the appropriate revisions are made, and the final permit is issued.
A permit may be to the Water Quality Control Board up to 30 days after
the final permit is received.
The Division must make permit decisions within one year of receipt of a complete
application for major facilities and within 180 days of receipt of a complete
application for minor facilities. The permit process can take from six to 12 months.
Normally, the permit is issued for a term of five years. Under the current
development phase of the WPC Watershed Initiative, however, permits may be
issued for less than five years to synchronize the permit. If approved, a draft permit
is prepared, and a public notice is issued. The applicant is given 25 days and EPA
is given 60 days to review and comment on the draft permit. EPA does not review
all draft permits.
Plan review fees vary from $250 to $1,500, depending on the design flow capacity
of the facility and the size of a mining site in acres. These are due with the
application.
Annual maintenance vary from $500 to $7,500, depending on the volume of
discharge or the size of disturbance in on a mining site and the Standard
Industrial Classification (SIC) code of the facility.
Review/Approval
Period
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
19
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The staff of TDEC is available to provide assistance during the permitting process. The Environmental
Assistance Center (EAC) can be reached at (888) 891-8332.
(TRA)
The mission of the TRA is to promote the public interest by balancing the interests of utility consumers and
providers while facilitating the transition to a more competitive environment.
Established in 1996, TRA was created to meet the challenge of the changing telecommunications and
utility environment. TRA is charged with the responsibility of setting the and service standards of
privately owned telephone, natural gas, electric, and water utilities.
Depending on the use of the final product, it may be necessary for the project developer to obtain
a Certificate of Convenience and Necessity (CCN) from the TRA. Certain other gas pipeline safety
regulations may also apply. Therefore, it is recommended that the project developer contact the TRA
before a methane gas operation is instituted to determine if a CCN is necessary. If necessary, a CCN
application is made by filing a Petition with the TRA and paying a $25 fee.
The TRA will make a review of the CCN Petition and may require additional information from the project
developer as well as a public hearing. A formal decision on the CCN application will be reached in a public
meeting of the TRA Directors.
There is no set rule, regulation, or statute concerning the length of the review period for an energy-related
CCN. However, the TRA strives to process such applications in an expeditious manner.
Fees
Annual inspection and supervision fees are required from all utilities under the jurisdiction of the TRA. The
minimum fee is $100.
Mike Gaines, Chief of Energy and Water Division
Phone: (615) 741-2904, ext. 220
e-mail: Mike.Gaines@state.tn.us
Glynn Blanton, Chief of Gas Pipeline Safety Division
Phone: (615) 741-2904, ext. 185
e-mail: Glynn.Blanton@state.tn.us
Richard Collier, General Counsel
Phone: (615) 741-2904, ext. 170
e-mail: Richar.Collier@state.tn.us
20 Landfill Gas Projects in Tennessee
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Tennessee Regulatory Authority (TRA)
460 James Robertson Parkway
Nashville, TN 37243-0505
Fax: (615)741-2336
of (TOOT)
If landfill gas energy projects are to impinge upon the of Tennessee right of way, a permit from TDOT
must be obtained. There are some restrictions as to where utilities can be located.
Central Right-of-Way Office
600 James K. Polk Building
505 Deaderick Street
Nashville, TN 37243-0337
Phone: (615)741-3196
Fax: (615)532-1548
Contacts: Jeff Hoge, Assistant Director
Joe Shaw, State Utilities Coordinator (e-mail: Joe.Shaw@state.tn.us )
1
7345 Region Lane
Knoxville, TN 37914
Phone: 594-2496
Fax: 594-2495
Contact: Jim Watson, Regional Utilities Coordinator (e-mail: Jim.Watson@state.tn.us )
Region 2 Right-of-Way Office
P.O. Box
4005 Cromwell Road
Chattanooga, TN 37422-2368
Phone: (423)510-1100
Fax: (423)510-1131
Contact: Steve Langford, Regional Utilities Coordinator (e-mail: Steve.Langford©state.tn.us )
3
6601 Centennial Blvd.
Nashville, TN 37243-0360
Phone: (615)350-4200
Fax: (615)350-4410
Contact: Jim Nikahd, Regional Utilities Coordinator (e-mail: Jim.Nikahd@state.tn.us )
Region 4 Right-of-Way Office
300 Benchmark Place
Jackson, TN 38301
Phone: (731)935-0134
Fax: (731)935-0208
Contact: Charles Green, Regional Utilities Coordinator (e-mail: Charles.Green@state.tn.us )
A Primer on Developing Tennessee's Landfill Gas Utilization Potential 21
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of
Within the framework of federal and state regulation, local governments may have some jurisdiction over
landfill gas energy development in certain cases. Typically, local permits address issues that affect the
surrounding community. These permits generally fall under the categories of construction, environment
and health, land use, and water quality/use. It should be noted, however, that some local standards and
regulations are stricter than state or federal regulations.
to of
The following six steps will assist landfill gas energy project developers to achieve successful local permits
approval:
Step 1. Determine which local authorities have jurisdiction over the project on the project site(s).
Step 2. Contact the local, city, and/or county planning and public works departments to obtain
information about applicable permits and to discuss your plans. Meeting with agency staff
to discuss the landfill gas energy project and required permits often helps to expedite the
permitting process.
Step 3. Obtain essential information regarding each permit, including:
• What information is required
• The permitting process that should be followed
• Timeframes (including submittal, hearing, and decision dates)
Step 4. Obtain copies of the regulations to compare and verify what is required in the permit
applications. If they differ, contact the appropriate permitting agency.
Step 5. Submit a complete application. Incomplete applications typically result in processing delays.
Step 6. Attend meetings or hearing(s) where the application will be discussed to respond to any
questions that are raised. Failure to do so could result in delays.
22 Landfill Gas Projects in Tennessee
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Part 2: Incentive Programs
of
There are three federal incentive programs that may apply to landfill gas energy projects: the Renewable
Energy Production Incentive (REPI), Qualifying Facilities (QF) certification, and Section 29 Tax Credit. Each
program is described below.
1.1
The Renewable Energy Production Incentive (REPI), mandated under the Energy Policy Act of 1992, may
provide a cash subsidy of up to 1.5 cents per kilowatt-hour to owners and operators of qualified renewable
energy sources, such as landfills, that began operation between October 1993 and September 2003.
Public sector entities may qualify to earn a cash subsidy based on a tier system. Tier 1 facilities (solar,
wind, geothermal, or closed-loop biomass) receive full payments or pro-rata payments if funds are too
minimal to match all requests. Any remaining funds fall to Tier 2, which includes landfill gas facilities.
If there are insufficient funds to cover Tier 2 applicants, a pro-rata system is implemented. The U.S.
Department of Energy (DOE) will make incentive payments for 10 fiscal years, beginning with the fiscal
year in which application for payment for electricity generated by the facility is first made and the facility
is determined by DOE to be eligible for receipt of an incentive payment. The period for payment under
this program ends in fiscal year 2013. REPI payments are subject to adjustment because Congress
appropriates REPI payments each year.
For further information, contact:
U.S. Department of Energy
National Renewable Energy Laboratory
Golden Field Office
Golden, CO 80403
Phone: (303) 275-4795
www.eren.doe.gov/power/repi.html
U.S. Department of Energy
Efficiency and Renewable Energy
Forrestal Building, Mail Station EE-10
1000 Independence Avenue, S.W.
Washington, DC 20585
Phone: (202)
1.2
Landfill gas energy projects that generate electricity will benefit from the Qualifying Facilities (QF)
certification, which is granted through the Federal Energy Regulatory Commission (FERC). The following
information describes the benefits of QF status and the steps for applying for such status.
The Public Utility Regulatory Policies Act (PURPA), one of five parts of the National Energy Act of 1978,
was designed to promote conservation of energy and energy security by removing barriers to the develop-
ment of cogeneration facilities and facilities that employ waste or renewable fuels. Such facilities are called
Qualifying Facilities or QFs. Under PURPA, utilities are required to purchase electricity from QFs at each
utility's avoided cost of generating power. PURPA provides that a small power production facility, such as a
landfill gas energy project that FERC standards, can become a QF.
In order to apply for QF status, applicants must prepare either: (1) a Notice of Self-Certification, which
asserts compliance with the FERC's technical and ownership criteria; or (2) an Application for Commission
Certification of Qualifying Status, which requires a draft Federal Register notice and provides actual FERC
approval of QF status. In either case, the applicant must also file Form 565, which is a list of questions
A Primer on Developing Tennessee's Landfill Gas Utilization Potential
23
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about the project, and must pay any filing fees associated with certifications, exemptions, and other activi-
ties. FERC will provide the QF "Info Packet," which describes the necessary steps, requirements, and
background information. After submittal of the initial application, further justifications and submittal of infor-
mation may be required.
For the QF Info Packet and applications, contact:
Federal Energy Regulatory Commission
Qualifying Facilities Division
825 North Capitol Street, N.E.
Washington, DC 20426
Phone: (202) 208-0577
www.ferc.fed.us
1.3 29
Developers of landfill gas energy projects who sell landfill gas to an unrelated third party may qualify for a
tax credit under Section 29 of the Internal Revenue Service (IRS) tax code. In order to take advantage of
the credits, project developers may bring in an outside party when developing power projects. The Section
29 tax credit was established in 1979 to encourage development of unconventional gas resources, such
as landfill gas. Section 29 tax credits are available through 2007 to landfill gas projects that had binding
contracts in place by December 31, 1996 and were placed in service by June 30, 1998. The credit has
been extended several times by the U.S. Congress. Currently, it is discontinued.
2.1
Tennessee Valley Authority (TVA) and local public power companies, working with input from the
environmental community, have created a program called Green Power Switch® to produce electricity
from cleaner, greener sources and incorporate the electricity into the Tennessee Valley's power mix. The
program was started for two main reasons:
1. TVA's mission to improve quality of life while minimizing the negative environmental impact
of business.
2. The customer wanted an environmental energy alternative.
Green Power Switch® began on Earth Day 2000 and is expanding to consumers throughout the Tennessee
Valley as more resources for generating renewable power become available.
In the start-up of Green Power Switch®, methane gas from landfills will provide the largest source
of cleaner energy. At present, TVA has two sources of methane gas: the Middle Point Landfill near
Murfreesboro, Tennessee, and the City of Memphis Wastewater Treatment Plant, which produces a
methane by-product that is co-fired at TVA's Allen Fossil Plant.
Contact Information:
Gary Harris
Manager of Green Power Switch®
Phone: (615)232-6124
e-mail: ghharris@tva.gov
24 Landfill Gas Projects in Tennessee
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The Renewable Portfolio Standard (RPS) is a plan to generate more clean power from sustainable and
secure energy sources. The of Tennessee does not presently have a state-implemented Renewable
Portfolio Standard (RPS). The has closely followed a national RPS that will require utility companies
to use alternative energy sources to generate electricity by setting a goal of at least 20 percent of the
overall power mix to come from clean and sustainable sources by 2020.
Contact Information:
Thomas W. Swanson
Manager Power Resources & Operations Planning
Phone: (423) 751-6741
e-mail: twswanson@tva.gov
Is
Electricity restructuring refers to the introduction of competition into both the wholesale and retail electricity
markets. Until now, electric utilities operated as monopolies authorized by federal and regulatory
authorities as the sole provider of electric service to consumers within a specific service territory. Under
restructuring, utilities will lose these monopolies, enabling other energy providers to compete for their
customers. With retail choice, independent power producers are allowed to sell energy directly to retail
customers utilizing both the transmission grid in the region and the distribution system of the local electric
utility. The desired result is more energy options for consumers, lower energy prices, and greater use of
renewable energy sources.
Efforts to restructure the electric utility industry began in 1978 with passage of the Public Utilities
Regulatory Policies Act (PURPA), which required utilities to buy a portion of their power from
unregulated power generators in an effort to encourage the development of smaller generating
facilities, new technologies, and renewable energy sources. The National Energy Policy Act of 1992
(EPACT) expanded on PURPA, allowing more types of unregulated companies to generate and sell
electricity, effectively creating a competitive wholesale market for electric power.
Restructuring at the retail level has been a hot issue in many states since the passage of EPACT, which
delegated to states the authority to introduce competition among electric utilities within their borders. As of
January 2002, 18 and the District of Columbia have either enacted enabling legislation or issued a
regulatory order to implement retail access. Retail in these jurisdictions is either currently available
to all or some customers or will soon be available. Six states have either passed legislation or issued
regulatory orders to delay implementing retail access. Twenty-six states, including Tennessee, have not
enacted enabling legislation to restructure the electric power industry or implement retail access. After
being first to enact retail choice, California has suspended direct retail access.
Gef the Latest Information on Electricity Restructuring in Your
For up-to-date information on electricity restructuring in Tennessee, visit the U.S. DOE Web site at
www.eia.doe.gov/cneaf/electricity/page/restructure.html and the National Conference of State Legislatures
Web site atwww.ncsl.org/programs/esnr/restru.htm.
A Primer on Developing Tennessee's Landfill Gas Utilization Potential 25
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of
The Voluntary Reporting of Greenhouse Gases Program, created by Congress under Section 1605(b) of
the Energy Policy Act of 1992, provides an opportunity for any company, organization, or individual to
establish a public record of their greenhouse gas emissions, reductions, or sequestration achievements in
a national database. The data submitted to the program is made publicly available via CD-ROM and the
Internet, Those who report to 1605(b) can gain recognition for environmental stewardship, demonstrate
support for voluntary approach toward achieving environmental policy goals, support information exchange,
and inform the public debate about greenhouse gas emissions.
Additional information about the program, as well as reporting forms and technical assistance, are available
through Energy Information Administration's (ElA's) Communications Center by calling (202) 586-0688 or
toll free at (800) 803-5182, via e-mail at infoghg@eia.doe.gov, and on the program's Web site at
www.eia.doe.gov/oiaf/1605/frntvrgg.html.
26 Landfill Gas Projects in Tennessee
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