Ridenbaugh Press/Water Rights

As aluminum manufacturer Alcoa struggles to keep its hydropower license on the Yadkin River, it is trying to reopen discussions, and start some new ones, with both friends and critics in North Carolina. So far, it may not be getting many takers.

The firm’s hydropower federal license, similar to those around the country which typically are renewed after an extensive process, is on the line. The Raleigh News & Observer summed up the recent problem: “The company recently suffered a setback on the way to a license renewal when it was revealed in a court hearing that company representatives discussed hiding from state regulators information about how water-improvement devices would work. When company e-mail exchanges surfaced, the state revoked a certification Alcoa needs to get the federal license.”

That is not necessarily the end of the story; administrative proceedings still lie ahead. But Alcoa is abruptly in need of more local friends, and it is offering benefits to the area.

The Charlotte Observer asked Governor Bev Perdue about the situation, and she replied (in a video recording), “You can tell them not to call me, and I would bet the Secretary of Commerce won’t be real eager to compromise. It’s beyond that.”

Legal spokesmen for the top state attorneys in North and South Carolina say they could be close to an agreement that would end the three-year battle over the Catawba River, which runs through both states.

Attorneys general in both states, who sometimes have been sharp-tongued on the issue, said that an agreement probably was no more than weeks away.

More than $1.6 million in state grants through the Water Resources Development Project Grant Program has been awarded to help finance 19 projects aimed at improving water resources in North Carolina communities.

The N.C. Division of Water Resources awarded $1,651,458 for its fall 2010 grant cycle. The projects in 13 counties include funding for a study of the Sanford Dam Spillway on Allen Creek in Brunswick County, to design a new spillway that will increase the reservoir’s flood storage capacity; the second phase of a Lake Junaluska sediment removal project that will remove 22,000 cubic yards of sediment from the Haywood County lake; and a Northampton County project to install a 512-foot piped drainage system at the Garysburg Town Park where an open ditch bisects the park. For more information on the grant program, or to see all the 2010 projects that received grants please visit: http://www.ncwater.org/Financial_Assistance/.

The water resources program provides cost-share grants and technical assistance on a competitive basis to local governments in North Carolina. Applications for grants are accepted for six purposes: general navigation, recreational navigation, water management, stream restoration, beach protection, land acquisition and facility development for water-based recreation.

There are typically two grant cycles per fiscal year. Units of local government and local political subdivisions are eligible to apply for these grants.

North Carolina is approaching creation of a regional resources commission that may have significant effect on the use of wster rights in some parts of the state.

A description of the measure, passed by the legislature and nearing expected signature by the governor, from the North Carolina Water Rights Committee.

The N.C. Water Rights Committee is praising the General Assembly for establishing the Uwharrie Regional Resources Commission.

The bill, sponsored by Senator Fletcher Hartsell and supported by Governor Perdue, passed after Senator Hartsell played legislators a rough cut of a UNC-TV documentary detailing Alcoa’s multiple cases of environmental neglect and contamination in Stanly County.

When Alcoa received its last 50-year license in 1958 it promised, in exchange for damming the Yadkin, it would provide 1,000

jobs at its aluminum smelter. The smelter is now closed and the jobs are gone and the new Commission will determine how Alcoa’s four remaining dams on the Yadkin River may best be used to serve the public interest by creating jobs in North Carolina.

The Uwharrie Regional Resources Commission is a unique creation that will be located within the N.C. Department of Commerce but operate independently; the bill passed the N.C. House of Representatives on a 77-21 vote, following a vote of 47-1 in favor in the N.C. Senate. Gov. Bev Perdue is expected to sign the legislation into law, as she has been an outspoken supporter of legislation.

Yet another lawsuit is putting stresses on North Carolina’s riparian water system: A string of seven small hydropower plants on the Deep River challenging a large hydropower impoundment by the Piedmont Triad Regional Water Authority.

The authority says it “has begun construction on Randleman Dam and Regional Reservoir in Randolph and Guilford Counties, North Carolina. The purpose of this project is to develop a safe and dependable water supply for North Carolina’s Piedmont Triad region that will satisfy the projected water demand for a period of 50 years. The project includes the establishment of a 3,000 +/- acres reservoir and the preservation of a 3,000 +/- acres buffer zone consisting of a strip approximately 200 feet wide around the reservoir.”

But the other hydropower users say that the state’s riparian law doesn’t allow for water to be bottled up in that fashion, and that other water users should be given a comparable crack at its use.

[see the Greensboro (NC) News-Record, March 1]

On January 20, the U.S. Supreme Court issued a decision allowing Duke Energy and Catawba River Water Supply Project, but not the city of Charlotte, to intervene in the case filed by South Carolina against North Carolina in the United States Supreme Court.

The opinion was written by Justice Alito and supported by Justices Stevens, Scalia, Kennedy and Breyer. Groups with bi-state interests (Duke Energy and the Catawba River Water Supply Project) were allowed to intervene. The City of Charlotte was not allowed to intervene because, the Court felt that Charlotte’s interests should be adequately represented by the State of North Carolina.

An opinion in partial support and partial dissent was delivered by Chief Justice Roberts and supported by Justices Thomas, Ginsburg, and Sotomayor. [from the Catawba Riverkeeper, January 20]

The court has yet to act on the substance of the case.

Concord and Kannapolis have backed off.

Those two North Carolina cities have sought to draw a massive amount of water from the Catawba and Yadkin rivers, and a state board in 2007 said they could divert as much as 10 million gallons daily. That prompted a massive dispute not only in the state, but also in South Carolina, into which the Catawba/Yadkin flows.

Now it has prompted a regional settlement on the withdrawal.

The cities still will draw from the river, but no more than six million gallons ordinarily, up to nine under specific circumstances. Officials around the area decided to take the deal. [see Charlotte (NC) Observer, January 20]

The Catawba Riverkeeper, a key participant in the activity around the withdrawal, had this statement:

The main points of the agreement hinged on Concord and Kannapolis modifying their ability, contained in their IBT certificate, to withdraw 10 million gallons of water per day (MGD) from the Catawba River at all times by significantly limiting withdrawals during times of drought. The agreement limits withdrawals to 6 MGD during times of most severe drought, or “exceptional” drought; 7 MGD during “extreme” drought; 8.5 MGD during “severe” drought; and 9 MGD during “moderate” drought. Further, the agreement restricts Concord and Kannapolis from withdrawing more than 3 MGD from the Catawba until July 1, 2015, and after they first are withdrawing 5 MGD from the Yadkin River.

“When we first started this process, we identified several objectives of our efforts to protect the Catawba River. With this agreement and some key legislation regarding water transfers that resulted from our efforts, we have accomplished most of our objectives,” said Hickory Mayor Rudy Wright, speaking for the Coalition. “We can now redirect our resources, time and money to economic development and other initiatives to improve the quality of life for our residents. We remain committed to protecting the Catawba River and have been pleased with the cooperation within this Basin. We have laid the groundwork for future actions to collectively promote the interests of Catawba Valley residents.”

To put the agreement’s drought restrictions into perspective, the Catawba River basin was in “extreme” drought conditions (also referred to as Stage 3) for approximately 500 days during the most recent drought. Had Concord and Kannapolis already begun withdrawing the 10 MGD during that time, no limitations would have been placed upon that withdrawal while basin residents were forced to restrict water usage. Now, under the terms of the settlement, that same withdrawal would have been limited to the transfer of 7 MGD for the 500 day period.

North Carolina Governor Bev Perdue has filed papers in opposition to re-licensed of Yadkin River dams which have been operated for the last half-century by ALCOA Power. The licensure is a key development in water rights arguments on the river.

From a September 21 statement from Stanly County, in support of the governor’s action:

The Stanly County Board of Commissioners (www.co.stanly.nc.us) is commending Gov. Bev Perdue for filing evidence on September 18, 2009 with the Federal Energy Regulatory Commission (FERC) in opposition to a 50-year licensing renewal request by Alcoa Power Generating, Inc. (“Alcoa”) for the Yadkin Hydroelectric Project. Gov. Perdue believes the multinational firm is failing to address the economic, recreational, water quality and other environmental needs of North Carolina’s citizens. Her filing is the latest action she has taken demonstrating how Alcoa has failed to show its concern for the health, safety and welfare of the general public as it attempts to maintain a monopoly on water rights and hydroelectric power generated by the Project, which includes dams and powerhouses along a 38-mile stretch of the Yadkin River at High Rock, Tuckertown, Narrows and Falls Reservoirs in Davidson, Rowan, Montgomery and Stanly counties. Continue Reading »

Henry McMaster

The South Carolina-North Carolina battle over the Catawba River continues – this time in the form of an opinion article from South’s attorney general.

SC Attorney General Henry McMaster had some sharp words for North Carolina, and a caution that a loss there could lead to problems defending water rights against another state – Georgia.

Here’s the text (from McMaster’s web site):

As recently reported, North Carolina is taking actions which could leave parts of South Carolina high and dry, and Charlotte-based Duke Energy is helping them.

Their actions would cut off a significant portion of South Carolina’s water supply and we are engaged in an unprecedented legal battle to stop them.

This fight is over our water, our jobs, and our economic future.

North Carolina’s actions, if unchecked, could cripple the economy of a large part of South Carolina and cause hardships for businesses and individuals throughout the region.

Further, their actions would give a green light to Atlanta and other Georgia cities to begin taking water from the Savannah River, from the upstate to the lowcountry, all to our detriment. Continue Reading »

New River, from a Boone brochure on the project

The western North Carolina town of Boone (named after the famous pioneer), located in the mountains and relatively high in elevation, has turned into the fulcrum of a strong local war over water supplies.

The town has been growing rapidly, and by some projections may double in size (its population now is about 13,000) by 2060. It is, however, looking toward obtaining water supplies for the future, and that has led it to pursue as much as four million gallons of water a day from the nearby New River.

That has in turn sparked a strong revolt elsewhere in the country. The New River Stewardship Committee has circulated a petition against the project, and argues, “The current flow of the South Fork of the New River cannot and will not sustain the proposed withdrawal of up to 4 million gallons of water per day. The water intake facility has serious potential to threaten the sustainable environmental recreation, the natural beauty and heritage tourism upon which the businesses of Todd depend. The quality and quantity of water discharge back into the New River will have an adverse effect on the fragile ecosystem. Of particular concern is the presence of pharmaceutical waste in the discharge. Boone has no plans to treat this waste.”

A public meeting on the matter is scheduled for June 30.

A presentation from the city argues that:

As a municipality, the town of Boone has a responsibility to provide clean water to its citizens. In 2004, a study revealed that Boone is rapidly approaching maximum capacity from its existing water sources. In 2005, the Town began a water conservation program, asking people to voluntarily conserve water. Some of the details of that effort follow.

When a water system reaches 80 percent of capacity, the N.C. Department of Environment & Natural Resources recommends a plan for expansion. When the system reaches 90 percent capacity, N.C. recommends the expansion be under construction. If not underway, the state could impose a moratorium on new water hookups.

Boone surpassed the 80 percent mark in 2006 and is projected to hit the 90 percent mark in 2009.

The town of Boone has a Tier 1 rating. That means N.C. says Boone has less than a 100 day supply of water.