WSP03239

• File Number: 8040.100
• Description: Section D General Studies - Power
• State: CO
• Basin: Statewide
• Date: 10/8/1979
• Author: Colorado DNR
• Title: Preliminary Projections of Colorado Energy Resource Development and Associated Impacts
• Water Supply Pro - Doc Type: Report/Study

aOJ302

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DEPARTMENT OF NATURAL RESOURCES SUGGESTIONS
FOR POSSIBLE TOOLS AND INITIATIVES

Energy Production Policy Review--The Energy Policy Council should assign
responsibility to review and refine policy statements which currently exist
concerning energy production and supply issues. This should be done to
assure that policy statements support state goais for orderly growth of energy
production and mitigation of associated impacts. The set of policy statements
as they exist currently do not in all cases formulate a comprehensive policy
set and need to be refined accordingly_

Synthetic Fuels Monitoring and Planning Effort--This should be a
continuation of the cooperative work started between state agencies for
drafting of the October 13th, 1979, Energy Management Plan for the Governor.
The focus should be on northwest Colorado and its capability of absorbing
energy development. The agenda should include identification of monitoring
and planning tools needed by state agencies, coordination of funding requests
to develop these capacitiesj. integration of information gathered through
monitoring, and the careful coordination of this geographically focused
monitoring effort with existing monitoring and planning efforts and capabilities
in Colorado.

Preferred Energy Production Level Identification--The Department of
Natural Resources should make a preliminary identification of a preferred level
of energy production in the northwest area of COlorado, relating this preferred
level to the constraints and problems identified by the various agencies in
this planning effort for the Governor. The preliminary preferred level
should then be reviewed by the Energy Policy cabinet and the involved agencies,
with the further refinement of the preferred level after review by each agency.
This review and refinement process should continue until the Energy Policy
cabinet approves of the delineation of a preferred level of energy production
and its relationship to th~ associated impact and problems of northwest Colorado.

Implementation and Integration of the Joint Review Process--Consideration ~?
should be given to the implementation of the Joint Review Process. This ./ '
might be done through an executive order, after a review to determine the
need and purpose of such formal support. There also should be a study of
the need to enact state legiSlation reforming the regulatory process and
the wisdom of this approach versus what could be accomplished through
administrative procedures. At the Federal level there is an immediate need
for the articulation of a state position supporting the procedural reform
of Federal laws and ongoing state participation in Federal regulatory
processes. This should be coordinated with the Joint Review Process and
existing and planned regulatory processes in Colorado. This position
should reflect the fact that the Federal agencies create significant
delays and increased costs in the review process.

Coal Transportation Initiatives--Colorado should review coal slurry
pipelines from the perspective of improving the transportation problem.
although it would have to be tempered by the perspective of water
availability and the trade-off with alternative coal transportation modes.
Drastic increases in the railroad rate structure are forcing some existing
2nd.I:otential customers. to-=0l1sider fo:r:e~gn coal transported by sea. /
If w~stern coal. is priced out of the m~rket.b~cause of the _ra~lroad
.-transportation component, this will have a significant impact on energy
production in northwest Colorado and the level of economic actiVity: