Constantin Sava Title - CCS Regulatory Toolkit in Romania - Presentation at the Global CCS Institute Members’ Meeting: 2011

GLOBAL CCS INSTITUTE

OVERVIEW OF CCS LAW AND REGULATIONGlobal CCS Institute Members’ Meeting, Wednesday 5 October 2011

CCS Regulatory Test Toolkit in Romania

Author: Cristiana ION*, presenter: Constantin Stefan SAVA**

* Ministry of Economy, Trade and Business Environment - METBE

** National Institute of Marine Geology and Geoecology - GeoEcoMar


• Developed by the Institute based on an exercise testing the existing regulatory and consenting framework for CCS in Scotland

• Enables the evaluation of the adequacy of pre-existing regulatory practices to regulate the entire CCS chain

CARBON CAPTURE AND STORAGE REGULATORY TEST TOOLKIT

regulate the entire CCS chain

• Assistance to regulators to address gaps and obstacles to the deployment of the technology

• Takes a CCS project application through the approval process in a regulatory test exercise

• Suitable for national and regional governments

• Published in February 20111


CCS REGULATORY TEST EXERCISE OVERVIEW

1. PLANNING AND PREPARATORY PHASE

2. ‘PROJECT SIMULATION EXERCISE’ THROUGH A DEDICATED WORKSHOP

3. ANALYSIS OF THE PROCESS AND DEVELOPMENT OF AN ACTION PLAN

Resources and

Governance

Stakeholder

EngagementEvent Preparation Workshop Event

Operate Revised

Steering Group

Regulatory

Analysis

Spread the

word

Resources and Governance

Stakeholder Engagement

Regulatory Analysis

Workshop


ROMANIAN EXPERIENCE

• Managerial level of support required from Government - Ministry of Economy, Trade and Business Environment

• Steering committee was created:

– Held four (4) meetings prior to CCS Workshop;

– Included external presentations by the EC, IEA and Scottish Government.

• Timeframe - six (6) months for completion of Toolkit:

– Three (3) weeks for preparing first draft of Matrix;

– Six (6) weeks for running the draft Matrix by steering committees;

– Four (4) weeks for organizing the CCS Workshop;

– Eight (8) weeks for drafting the workshop report.

• Consultant contracted on behalf of Government

• Used Romania’s Getica CCS Application for NER300

• Two (2) day CCS Workshop


MAPPING INTERESTS AND STAKEHOLDERS

SafetyEnvironmental

impact assessments

Compression plant Chemicals

StorageExploration

Pipes

Safety

Environmental impact

assessments

Containment

Closure

License

Injection

LeasePermitting

Pipes Injection

National geological

survey

Regional planning

authorities

Energy ministryHealth and safety

regulatorEnvironment agency

Pipeline operators

Oil and gas operators

NGOs

Engineering firms

Local publics

Government planning

departments


MATRIX (I)

• The structure of the matrix addresses the three components of the CCS chain: capture, transport and storage

• Each of the components is then divided into four phases: planning & construction, operation, decommissioning, post-decommissioning

• For each phase, the matrix lists the relevant e.g.,• For each phase, the matrix lists the relevant e.g.,

building/environmental/health & safety permits/licenses

• For each permit/license, the matrix lists the relevant applicable legal provisions, identifies authorities in charge, timeframe for obtaining the permits and comprises a section presenting implications of country specifics on the permitting process

• Next slide shows a sample of the Romanian matrix


Place in CCS

Chain

Permit Area Covered Legal provisions Competent

Authority

Timing Work needed to complete

submission

Legislative

amendments

Comments

CAPTURE /

Operation

CAPTURE /

Decommissioning

Decommissioning

Permit

Decommissioning/Constr

uction&Planning

Law no. 50/1991;

Order 839/2009;

Local (Turceni) City

Hall

30 days Complete technical

documentation must be

submitted.

Same conditions as for

building permit.

TRANSPORT /

Design &

Construction

TRANSPORT /

Operation

TRANSPORT /

Decommissioning

Presentation memorandum,

notification for hazardous

substances, safety report.

In practice, timing may

exceed 4 (four) - 5 (five)

months.

Environmental

agreement

Decommissioning/Environ

ment&Water

Order no. 135/2010;

GD no. 445/2009;

EO no. 195/2005;

Regional authority

for environmental

protection

30 days All documents requested by

urbanism certificate.

One building permit per

section of the pipeline per

county.

[Maximum 60 days.] ANRE should develop

corresponding legislation.

Issued upon

completion EIA

Building Permit Design&Construction/Con

struction&Planning

Law no. 50/1991;

Order 839/2009; Law

no. 350/2001; Law

10/1995.

County Councils

Regional authority

for environmental

protection

6 (six) months Location report, safety report.

CAPTURE /

Design &

Construction

In practice, timing may

exceed 4 (four) - 5 (five)

months.

GD no. 445/2009

should be amended

to cover CO2

capture, transport

and storage.

Presentation memorandum,

notification for hazardous

substances, safety report.

Issued upon

completion of the

EIA

Order no. 135/2010;

GD no. 445/2009;

EO no. 195/2005;

Regional authority

for environmental

protection

Transport license Operation/Energy &

Infrastructure

EGO no. 64/2011 ANRE

EO no. 152/2005;

Order no. 818/2003;

Order no. 36/2004

Design&Construction/Envi

ronment&Water;

Construction&Planning

Environmental

agreement

IPPC permit Operation/Environment &

Water

MATRIX (II)

Exploration permit Design&Construction/App

raisal/Construction&Plann

ing

EGO no. 64/2011 ANRM [90 days from

submitting the final

exploration report.]

[ANRM should

develop

corresponding

legislation.]

The exploration permit should

include any requirements for

workover approvals.

STORAGE/

Operation/Injecti

on

STORAGE/Decom

missioning

Opinion of the EC

on operator's

report for approval

of the transfer

Post-

decommissioning/[xxx]

European

Commission

Transfer of liability

to ANRM

Post-

decommissioning/[xxx]

[xxx] ANRM Approval of transfer report. [ANRM should

develop

corresponding

legislation.]

The issue of the financial

security should be

addressed.

The environmental approval for

decommissioning is required.

Maximum 90 days

as of submission of

complete file

Layout, location plan, minutes

ascertaining compliance with

obligations in the

environmental agreement.

It may include a conformity

programme.

Environmental

permit

Operation/Environment&

Water

Order no. 1798/2007 Regional authority

for environmental

protection

substances, safety report. months.

Storage Permit [xxx]Design&Construction/Inje

ction/Construction&Planni

ng; Energy &

Infrastructure

EGO no. 64/2011 ANRM

EO no. 195/2005; protection

Decommissioning

clearance

Decommissioning/Energy

& Infrastructure

[xxx] ANRM

Appraisal

Injection

STORAGE /

Design &

Construction /

Appraisal

STORAGE /

Design &

Construction /

Injection


CCS WORKSHOP - OVERVIEW OF THE TWO DAYS (I)

• Eighty (80) people attended:

– Managerial level of public authorities representatives

– Delegates from the EC, IEA, GCCSI, UCL

– Schlumberger and Alstom (members of the technical consortium for Romania’s Getica CCS Application) gave presentations on capture technology and site characterization

• The event was held in Romanian; English translation was provided

• Main facilitator: Mr. Nicolae Anastasiu, PhD, geology high profile academic

• Associated facilitator: Mrs. Cristiana Ion, representative of the Ministry of Economy, Trade and Business Environment


CCS WORKSHOP - OVERVIEW OF THE TWO DAYS (II)

• The workshop was held outside of Bucharest to make sure all attendees stayed for the two days

• Used Romania’s Getica CCS Application for NER300 - different from Scottish test - all the project proponents attended and gave presentations

• The workshop was structured into four (4) working sessions:

– Capture

– Transport

– Storage

– Final remarks

• Summary remarks after each session


CAPTURE (I)

• Presentation by CEN Turceni (major power producer) on permits, and by ISPE and ALSTOM on technology

• Competent authority: environmental authorities

• Discussion centered around • Discussion centered around the environmental impact assessment: integrated or divided approach

• Lack of understanding of the technology by many of the authorities


CAPTURE (II): SUMMARY

• Following discussions, the following points emerged as requiring further consideration:

– One environmental impact assessment for the entire CCS chain or one environmental impact assessment per each component of the CCS chain

– Water management approval

– Greenhouse gas permit

– Level of impurities

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TRANSPORT (I)

• Presentation by Transgaz (gas national transport company) on permits, and by ISPE on technology

• Competent authorities: local public authorities, public authorities, environmental authorities and water authorities

• Discussion centered around land use and urbanism considerations as the project is of national interest

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TRANSPORT (II): SUMMARY


– Zonal Regional Spatial Plan

– Law no. 255/2010 on expropriation for public utility purposes should be amended to declare CCS projects as projects of public utility which would reduce the bureaucratic burden of the terms and procedures for obtaining required permits/approvals/authorizations

– Coordination between local public authorities

12


STORAGE (I)

• Presentation by Romgaz (gas exploitation and storage national company) on permits, and by Schlumberger and GeoEcoMar on storage site characterization

• Competent authorities: National Agency for Mineral Resources Agency for Mineral Resources (NAMR), environmental authorities and water authorities

• NAMR is confronted with a need of increasing institutional capacity

• The crucial role that the drafting of the secondary legislation will play

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STORAGE (II): SUMMARY


– Improvement of access to data on existing wells

– NAMR will draft secondary legislation for the issuance of the storage permit and management of relationship with the operatoroperator

– Hydro-geological studies should be drafted

– Jiu River Management Plan should be consulted

– Collaboration Methodology: NAMR and national agency for environmental protection have to determine the methodology for their collaboration on GHG monitoring plans

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KEY LEARNINGS

• The workshop debates led to the following five (5) key learnings:

– Institutional capacity: has to be increased to improve the permitting process; authorities need a better understanding of the CCS technology

– Public engagement: the engagement of the local communities in the area of the project is crucial

– Environmental Impact Assessment: divided or integrated – Environmental Impact Assessment: divided or integrated approach of the three (3) CCS components

– Co-operation and joint working across Governmentdepartments and regulators will be essential

– Early stakeholder engagement is key to streamlining the regulatory process and improving design

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ACTIONS

• The following actions were identified:

– Targeted briefings on the technology to the different agencies by technology providers

– Increased engagement with the Project Company (3 stakeholders) and the regulators(3 stakeholders) and the regulators

– Follow-up event on a specific topic (rather than another workshop with all) e.g.,: developing secondary legislation

– Public information campaigns in the local areas that will be affected by Romania’s Getica CCS Project

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NEXT STEPS

• The following next steps were decided upon:

– Continued activities of the inter-ministerial working group on CCS

– The development of action plans assigning responsibilities at – The development of action plans assigning responsibilities at ministerial level

– Creation of small inter-ministerial working group on regulatory issues

– Improvement of existing CCS specific legislation

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THANK YOU!

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THANK YOU!

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