On November 28, 2011, Secretary of the Interior Ken Salazar and Assistant Secretary for Indian Affairs Larry Echo Hawk announced the beginning of a major reform of federal surface leasing regulations for American Indian Lands.  The Department of the Interior, as trustee responsible for managing approximately 56 million surface acres in Indian Country, currently processes requests for land leases and subleases without a defined process or deadline for review.  Attempts to engage in lease or mortgage transactions can languish for years.

On February 7, 2011, the Department of Energy (“DOE”) and Department of the Interior (“Interior”) announced a joint strategic plan entitled the National Offshore Wind Strategy: Creating an Offshore Wind Industry in the United States in order to accelerate the deployment of offshore wind and decrease cost.

On October 6, 2010, Secretary Salazar and Cape Wind Associates, LLC signed the first lease for commercial wind energy development on the Outer Continental Shelf (“OCS”), the Cape Wind Project.  The Cape Wind Project has 130 planned wind turbines which could then create up to 468 megawatts, with an average output of 182 megawatts.  The Cape Wind Project could power over 200,000 homes in Massachusetts, roughly 75 percent of electricity demand in Cape Cod, Martha’s Vineyard, and Nantucket Island.  The lease for the Cape Wind Project is for 28 years and will cost Cape Wind Associates a 2 to 7 percent operating fee while in production which equals $88,278 a year.

March 29, 2010

The U.S. Department of Energy (DOE), Department of the Interior (DOI) through the Bureau of Reclamation (Reclamation), and Department of the Army (DOA) through the U.S. Army Corps of Engineers (USACE), announced on March 24, 2010 the signing of a Memorandum of Understanding (MOU) between the federal agencies to promote the development of hydropower.  Pursuant to the MOU, studies will be conducted over the next few years that may help industry determine which Federal dams and reservoirs would be best suited for non-Federal hydropower development.  The process will hopefully determine which sites will have the fewest roadblocks from stakeholders, including the federal dam owners themselves.  These studies may also lead to a determination of which projects can be most efficiently integrated into the grid.