Orange County NC Website
Carolina Environmental Policy Act (NCEPA) - which provides a process for environmental review of projects <br />in which the state is involved.21 An environmental review under NCEPA, however, would not always be <br />triggered by development of a wind facility. NCEPA environmental review is required for projects that meet <br />three criteria: (1) where there is an expenditure of public monies or use of public land (including submerged <br />lands), and (2) a state action (such as a permit), and (3) a potential environmental effect "upon either natural <br />resources, public health and safety, natural beauty, or historical or cultural elements of the state's common <br />inheritance. "22 Tax incentives that are available after a facility is operating do not trigger NCEPA.23 The <br />state Renewable Energy Tax Credits and the Federal Production Tax Credit for Wind would, therefore, not <br />trigger NCEPA, but it is possible that the State Renewable Energy Grant program would.24 Under the North <br />Carolina Coastal Area Management Act (CAMA), the primary permitting program for coastal development, <br />which is discussed in more detail below, most activities requiring a CAMA permit are explicitly exempt from <br />NCEPA review unless they meet certain criteria established by the Department of Environment and Natural <br />Resources (DENR).25 For projects requiring a CAMA major permit or Dredge and Fill permit, DENR <br />has established minimum criteria that must be met in order to trigger NCEPA; projects that do not meet <br />this minimum threshold are exempt from NCEPA even if they otherwise would be subject to NCEPA.26 <br />One criterion may be applicable to wind farms: excavation of materials from aquatic environments for <br />non - navigational projects does trigger NCEPA.27 Installation of wind turbines in state waters, either the sound <br />or up to 3 miles offshore, would involve excavation, and thus, would meet the minimum criteria. Since <br />projects in state waters would meet the excavation criteria, and would meet the three basic triggers of NCEPA <br />review — public funds or land (including submerged land), permits, and potential environmental impact - <br />wind energy projects in state waters would be subject to NCEPA. <br />Projects that require a CAMA permit but are located on land, however, would be exempt from a NCEPA <br />review Another provision in the rules allows an agency Secretary, in this case the NC Department of <br />Environment and Natural Resources (DENR), to require an environmental document when the proposed <br />activity does not meet the agency's minimum criteria but may have potential for significant adverse effects.za <br />It is not clear whether this provision only applies to projects that fall under the scope of NCEPA in the first <br />place — i.e., involve public money or land, require a permit, and have potential environmental impacts, so it is <br />unclear whether the Secretary's discretion to require an environmental review for CAMA- permitted projects <br />would apply to wind farms on private land. General permits, which are granted for routine projects with little <br />or no environmental impact, under the Coastal Area Management Act (CAMA), as well as under air pollution <br />and water discharge laws, are exempt from NCEPA.29 Also noteworthy is an exemption in the rules from <br />NCEPA for sampling and research activities, which could include the installation of an anemometer to gather <br />wind speed data.30 <br />D. Coastal Area Management Act <br />As authorized by the federal Coastal Zone Management Act, the state developed its own Coastal Management <br />Program, which was federally approved in 1978. As part of this program, the state adopted the Coastal Area <br />Management Act (CAMA).31 CAMA established the Coastal Resources Commission (CRC), required local <br />land use planning in the 20 coastal counties and created a program for regulating development through a <br />permitting process.32 The statute authorizes the CRC to establish rules for protection and conservation of <br />natural resources (including scenic vistas), economic development, recreation; preservation of cultural aspects, <br />and protection of public rights.33 In terms of regulating development, the CRC has the authority to issue <br />permits for development inside "areas of environmental concern" (AEC), which the CRC is authorized to <br />define.34 Within the CAMA counties, AECs encompass most navigable waters of the state but only three <br />percent of the land area.35 The CRC has established rules to define four categories of AECs and has established <br />general and specific use standards in each AEC.36 Permits are required only if a project falls within or affects an <br />AEC and does not meet one of the exemptions. <br />/. When a C 4MA permit is reg wired. <br />There are two types of permits, "major permits" and "minor permits." A "major permit" is required if the <br />project (1) falls under the definition of "development ", and (2) is in an AEC, and (3) meets one of the <br />186 Appendix C <br />