Alcoa Power Generating Appeals Water Permit Revocation

Record Shows Full Disclosure; State Decision Based on Incomplete Facts 

Alcoa Power Generating Inc. (APGI) has appealed the North Carolina Division of Water Quality’s (DWQ) revocation of its water quality certification, stating that the agency was well informed about the functionality of the equipment in question and that the company did not withhold material information.

“In its revocation notice, the DWQ quotes selected portions of emails that do not provide the complete story and were taken out of context. If you read the entire email chains in context, and review the entire record, you find that no material information was withheld,” according to Rick Bowen, President, Alcoa Energy.  

A complete review of the emails cited by the DWQ shows that some of individuals who were working on the relicensing and authored these messages were confused at the time of the email exchange, and the points of confusion were cleared up in subsequent emails. For example, during one of the exchanges, a consultant concludes by saying, “This is news to me. Sorry for the confusion.” In another, a consultant states, “As I was looking over the materials again, I must confess I got confused.”

“We have the documentation to show that we were not withholding material information, and that we have publicly shared the operating conditions covered in these messages,” said Bowen.

The record shows that the DWQ was aware that operating conditions and generating levels could affect dissolved oxygen enhancement, participated in multiple discussions over a period of years on the same subject, and was in possession of detailed reports on the effects various operating scenarios had on dissolved oxygen levels,” Bowen said. 

The DWQ revoked APGI’s water quality certification on December 1, alleging that the company withheld information regarding the project’s ability to meet the state’s water quality standard for dissolved oxygen.  Alcoa Power Generating filed an appeal of that decision today. APGI is a subsidiary of Alcoa.

According to documents compiled by APGI, company officials and others discussed the system with the state during at least three Issue Advisory Group meetings attended by DWQ representatives on October 7, 2003, May 4, 2004 and April 6, 2005. The information was also included in APGI’s 2006 Federal Energy Regulatory Commission (FERC) license application, the Final Environmental Impact Statement for the Yadkin Project issued by FERC in 2008, and in multiple Yadkin Project Water Quality reports. 

Some examples include:

• Representatives of the DWQ participated in a Water Quality Issue Advisory Group meeting on May 4, 2004, where there was discussion of the anticipated structure of the dissolved oxygen enhancement and compliance provisions to be included in the 401 water quality certification. At this meeting, the typical operating scenarios at the Narrows development were discussed, as well as the process of how dissolved oxygen increases as the units are operated.
• The Final Environmental Impact Statement for the Yadkin Project issued by FERC in April 2008 reviews how operating conditions and generating levels affect dissolved oxygen enhancement. In it, FERC’s hydropower experts reviewed the results of the enhancement test and drew significant conclusions, such as “tests indicate that this aeration system [at Unit 4] increases DO concentrations by differing magnitudes, depending on the generation flows of each of the Narrows units and whether the two valves are open.”
• The 2005 Yadkin Water Quality Final Study prepared by Normandeau Associates discussed the effect of the operational conditions. The DWQ received and commented on the draft water quality report.

“We hope that our appeal will mean quick reinstatement of the water quality certification process so we can continue to work toward a new license, as well as a future with better water quality and more areas for Stanly County residents to enjoy with their families,” said Bowen.

Once APGI’s license is renewed, there will be many benefits to North Carolina, including improvements to water quality; increased water withdrawals; higher water levels during an extended recreation season; the creation of new parks, swim areas and other recreational opportunities; funding for recreational support; more flexibility for property owners; donations for habitat protection and water safety; and work with community partners for historical and cultural protection. In addition, APGI will sell or donate more than 6,000 acres for conservation, recreation or game lands. 

APGI is also implementing a plan to improve water quality that to date has resulted in significant improvements in dissolved oxygen levels. In a recent report filed with the DWQ, APGI documented that water leaving the Yadkin Project met state standards for dissolved oxygen 99.9 percent of the time.

High Rock board sides with Alcoa for relicense

The Lexington Dispatch has reported that the High Rock Lake Association Board of Directors “unanimously passed a resolution last week confirming the board’s support of a relicensing settlement agreement that would keep the company in control of the Yadkin River and its four hydroelectric dams.”

“We feel the Division of Water Quality withdrew that water quality certificate more out of frustration with the ongoing judicial hearing than because of any real reasons for lack of information,” Len Strong, vice president of the High Rock Lake Association, told the Dispatch. “The information that they’re (state) claiming wasn’t there in fact was there … two years ago. Alcoa made that information totally available to our board as well as to the general public. But the state is claiming, ‘oh we didn’t know.’ So our feeling is this was a political maneuver.”

Strong later added, “There is a gut issue here. More delays means that all of those agreements relative to shoreline management, relative to water levels and so on, are up in the air and not really enforceable. We feel the lack of having that relicensing agreement is depriving all of the property owners and stakeholders from those agreements they worked so hard to get.”

Click here to read the entire article.

Dissolved Oxygen Report Shows Continued Improvement at Alcoa Power Generating’s Yadkin Project

Water Leaving Yadkin Project Meets State Instantaneous Dissolved Oxygen Standard 99.9 Percent of the Time

Water leaving Alcoa Power Generating’s (APGI) Yadkin Project met a state standard for dissolved oxygen levels 99.9 percent of the time in 2010, according to a report submitted last week by APGI to the North Carolina Division of Water Quality (DWQ).

APGI’s Yadkin Project operates four dams along the Yadkin River. Water enters the project area at High Rock Dam, then flows through Tuckertown Dam, to Narrows Dam and exits the project at Falls Dam. The report demonstrates that water coming into the project at High Rock has relatively low levels of dissolved oxygen (DO). But there is a substantial improvement in DO at the Narrows Dam, where APGI installed new technology in 2008 and 2009 to enhance DO levels, and that improvement is maintained until the water exits the Yadkin Project at Falls dam.

The report on dissolved oxygen levels in the Yadkin Project tailwaters shows that discharges from the Falls Dam met the state instantaneous dissolved oxygen standard 99.9 percent of the time and daily average dissolved oxygen standard 97.4 percent of the time. Water coming into the project at High Rock, where a $40 million project to install DO enhancement technology awaits approval of APGI’s operating license by the Federal Energy Regulatory Commission (FERC), met the state instantaneous dissolved oxygen standard 65.1 percent of the time and daily average dissolved oxygen standard 43.1 percent of the time.

“This report shows continued improvement of dissolved oxygen levels in water below the Narrows Dam and demonstrates that new technology installed at Narrows is successfully increasing dissolved oxygen levels in downstream waters. This is true under the full range of unit operation, including ramp up, ramp down and other periods of relatively low operation,” said Kevin Anton, Chief Sustainability Officer for Alcoa. “These results provide reassurance that additional technology enhancements at Narrows and High Rock planned under a new federal license will further increase dissolved oxygen levels as part of our commitment to meet state DO standards.”

An adequate amount of oxygen in the water is necessary to support healthy aquatic life, and many states monitor DO levels as one way to help measure water quality in lakes and rivers.

Under state standards applicable to the Yadkin Project under a new federal license, DO concentrations must meet or exceed 4.0 mg/L when measured instantaneously, and DO concentrations must meet or exceed 5.0 mg/L when measured on a daily average basis.

APGI has developed a comprehensive plan for improving DO levels throughout the Yadkin Project that will cost up to $80 million, depending upon the final requirements. As part of its plan, APGI has been monitoring DO levels since 2007.

The DO report submitted to the Division of Water Quality summarizes the levels of dissolved oxygen measured in the Yadkin Project tailwaters since 2007. Data is recorded every 15 minutes, 7 days a week in the tailwaters of each dam between May 1 and November 30. The measurements are taken during this time period, when DO levels are typically at their lowest, at the state’s request.  Tailwaters are those waters immediately below the dams where dissolved oxygen levels would be influenced by water released through the dams. DO monitors are located in well-mixed areas that are representative of temperature and dissolved oxygen conditions throughout the tailwaters.  Normandeau Associates, a national firm specializing in environmental management and consulting, is responsible for quality assurance/quality control, calibration, maintenance and collection of data from the DO monitors. 

The report shows significant improvements since DO technology was installed at Narrows:

• For the third consecutive year, Falls tailwaters substantially met the state instantaneous DO standard: 99.9 percent in 2010, 99.7 percent in 2009, and 99.5 percent in 2008.

• Narrows tailwaters met the state instantaneous DO standard 93.4 percent of the time in 2010 — a 34 percent increase over 2007 levels (69.6 percent). Since 2007, APGI installed two draft tube air valves on Narrows Units 1 and 2 to improve DO levels. The same technology was installed on Unit 4 in 2001 and will be installed on Unit 3 once a new FERC license is issued.

• Dissolved oxygen levels are enhanced at Narrows even when generating units are operating as low as one megawatt, due to aeration from vacuum breaker valves. The vacuum breaker air valves open when the units are operating at lower settings and introduce air into the water.

• The High Rock and Tuckertown tailwaters met the state DO standard less frequently in 2010. High Rock met the state instantaneous DO standard 65.1 percent of the time, and Tuckertown met the state instantaneous DO standard 56.3 percent of the time.  This could be due annual variability in hydrologic and meteorological conditions or changes in the quality of the water entering High Rock.

The Yadkin Project’s Relicensing Settlement Agreement (RSA) outlines a schedule for installing “through-the-blade" aerating turbines for all three generating units at High Rock once a new FERC license is issued. The engineering, planning, and model testing of the new turbines has been completed and long lead-time items have been ordered. APGI has committed to install additional DO enhancement technology at Tuckertown and Falls if necessary to meet state DO standards.

“We have made great progress and have every reason to believe the technology enhancements will continue to increase dissolved oxygen levels and allow the Yadkin Project to meet the state DO standard,” Anton said. “Our commitment to reaching that goal has never been in question.”

Click here to read the full report.

Alcoa Announces Environmental Hotline

Alcoa today announced that the company is making available its telephone hotline system for area residents to report any suspected environmental issues related to operation of the former Badin Works aluminum smelter or the Yadkin Hydroelectric Project.

The hotline is managed by a third-party, EthicsPoint, and is available 24 hours a day by calling 1-800-346-7319. EthicsPoint will take information from callers, who may remain anonymous if they choose. EthicsPoint then submits a report to Alcoa for handling.  Callers may check back periodically with EthicsPoint to receive updates from Alcoa on the status of the report and answer potential requests for more information or clarification. 

The hotline is being made available to collect information about suspected environmental contamination that area residents believe has not been previously reported or investigated. 

“Alcoa has worked closely with state and federal officials for more than 20 years to properly address environmental issues on our property,” said Kevin Anton, Chief Sustainability Officer for Alcoa. “While we are confident we have conducted a full and thorough survey, this hotline will help us be sure by making it easier for people to bring concerns to our attention.”  

Alcoa has operated a hotline system for employees since 1993.

Uwharrie Commission holds first meeting

The Uwharrie Regional Resources Commission, established by the NC General Assembly last year to protect and promote the region's natural resources, held its first meeting last night in Stanly County. Karissa Minn with the Salisbury Post has a recap of the meeting.

One of the primary tasks involved selecting the commission's leadership. Tony Dennis, chairman of the Stanly County Board of Commissioners, was elected chairman. Max Walser, former chairman of the Davidson County Board of Commissioners, was elected vice chairman. Jason Walser, executive director of the Central Piedmont LandTrust, was elected secretary and treasurer.

Other members of the commission include Keith Crisco, Roger Dick, Dee Freeman, Martha Sue Hall, Zoe Hanes, David Jones, Bill Mullinix, Jim Nance and Becky Wallace.

The group's next meeting will be February 24. 

Alcoa to lower High Rock Lake for pier maintenance, excavation

Alcoa Power Generating Inc. (APGI) will lower High Rock Lake to 10 feet below full by February 1, a move that will allow lakefront property owners to perform pier maintenance and excavate reservoir sediments to maintain or create recreational boat access.  Water levels will remain 10 feet below full for three weeks, before APGI begins refilling the reservoir to normal levels.


"We have many property owners around the lake who have obtained excavation permits and are eager to improve access to their piers," said Marshall Olson, Environment and Natural Resources Manager for APGI’s Yadkin Project. "Water levels at High Rock have not dropped low enough to excavate in more than three years, so we are trying to accommodate those property owners who have requested a drawdown.


“This should also provide a boost in business during a relatively slow time of year for area contractors who provide excavation and pier maintenance services.”


High Rock Lake is a shallow reservoir that accumulates sediment that flows downstream from upper portions of the Yadkin River. Because piers require a minimum water depth of 8 feet, the Yadkin Shoreline Management Plan allows for excavation of sediments at High Rock Lake.


Homeowners who wish to excavate around their piers must receive prior written approval from the U.S. Army Corps of Engineers, the North Carolina Division of Water Quality, and the North Carolina Department of Cultural Resources (as necessary) and submit an application to APGI. For more information about excavation regulations, refer to the Shoreline Stewardship Policy of the Shoreline Management Plan at: www.alcoa.com/yadkin/en/info_page/stewardship_alteration.asp.


The exact drawdown schedule may be impacted by heavy rainfall or other unforeseen weather events. For updates about the drawdown, visit the APGI website at www.alcoa.com/yadkin.