Section 096-382-7 - Decommissioning An applicant must demonstrate adequate financial capacity to decommission the proposed wind energy development if required at any time during construction or operation of the development, or upon termination of development operations. This must include a demonstration that this financial capacity will be unaffected by any future changes in the applicant's financial condition. The obligation to decommission the development must be transferred to any future owner of the development in the event of a transfer of title. The financial capacity demonstrated must be sufficient to fully fund any necessary decommissioning costs commensurate with the wind energy development's scale, location and other relevant considerations, including but not limited to those associated with site restoration and turbine removal ( P.L. 2007, Ch. 661, §B-13(6)).
A.Decommissioning plan. The applicant must provide a plan for decommissioning which describes how one or more of the proposed turbines and other components of the proposed development would be dismantled and removed from the site when one or more individual turbines or the generating facility as a whole ceases to generate electricity. Subsurface components must be removed to a minimum of 24 inches below grade, generating facilities must be removed and disturbed areas must be revegetated. Before decommissioning commences, the licensee must submit a plan for the continued beneficial use of any component(s) of the wind energy development proposed to be left on-site to the Department for review and approval.B.Trigger for decommissioning. Decommissioning of one or more individual non-generating turbines in a wind energy development is required if no electricity is generated from such a turbine or turbines for a continuous period of 12 months. Decommissioning of the development as a whole is required if no electricity is generated by the development for a continuous period of 12 months. The licensee may obtain an extension of this period by providing evidence showing that although one or more turbines have not generated electricity for a continuous period of 12 months, the development or turbine(s) has not been abandoned and the decommissioning requirement should not be triggered. The requirement to decommission the wind energy development will be triggered by the expiration of the design life of the development, unless the licensee of the development submits evidence to the Department demonstrating that continued operation of the development will not result in any changes that would increase environmental impacts or other risks associated with the development. When the decommissioning requirement is triggered, the decommissioning of the development, or of any turbines which are no longer generating electricity, must be completed within twelve months. If the licensee fails to decommission the non-generating turbine(s) or the development as required within twelve months of triggering the decommissioning requirement, the state may enter the property and decommission the non-generating turbine(s) or the development, as appropriate, using the funds set aside for that purpose as described below.C.Financial assurance. The applicant shall submit documentation of financial assurance to the Department demonstrating that the decommissioning costs will be fully funded prior to the start of construction. The applicant must establish financial assurance for the decommissioning costs in the form of a performance bond, surety bond, irrevocable letter of credit, or other form of financial assurance acceptable to the Department for the total cost of decommissioning. The financial assurance must be established prior to initiation of construction of the wind energy development. The projected cost of decommissioning the project must be determined by an independent third-party consultant, and may not include salvage value of project components. The licensee must re-evaluate the decommissioning costs at least once every two years throughout the life of the development to account for price fluctuations. The cost estimate for decommissioning the entire development shall also be reevaluated after any decommissioning of one or more individual turbines occurs. The requirements to establish specific costs and to re-evaluate costs may be waived in instances where an acceptable performance bond is submitted.D.Notification of turbine failure. The licensee must notify the Department in writing within two business days of any turbine failure or other incident that the licensee anticipates will result in a turbine being off-line for a period greater than six months.E.Extension for turbine repair or replacement. If one or more turbines are rendered inoperable by unanticipated mechanical or structural failures, or by fire, earthquake, flood, tornado, or other natural disaster; or war, civil strife or other similar violence, and if it will take more than twelve months to repair or replace the inoperable turbine(s), the licensee may request an additional twelve months to accomplish the repair or replacement without triggering the decommissioning requirement. The licensee must request this extension within six months of the event which renders the turbine(s) inoperable. The licensee must submit to the Department, for review and approval, a plan establishing a reasonable assurance that the turbine(s) will be brought back into operation within twenty-four months of the event. If the request is denied, the decommissioning of the inoperable turbine(s) must be initiated within eighteen months of the event.06- 096 C.M.R. ch. 382, § 7