|(a) Allowances are valid only for the purposes of meeting the
requirements of this division and for meeting the requirements of Chapter
116, Subchapter I of this title (relating to Electric Generating Facility
Permits), and cannot be used to meet or exceed the limitations of any annual
emission limitation authorized under Chapter 116, Subchapter B of this title
(relating to New Source Review Permits) or any applicable rule or law.
(b) On June 1 after every control period, a grandfathered or
electing electric generating facility (EGF) shall hold a quantity of allowances
in its compliance account that is equal to or greater than the total emissions
of that air contaminant emitted during the prior control period. Compliance
with the allowance system will begin with the control period beginning May
(c) Emission reductions used to satisfy the requirements of
the Emissions Banking and Trading of Allowances (EBTA) program cannot be used
to generate emission reduction credits or discrete emission reduction credits.
(d) Allowances cannot be used for netting requirements to avoid
the applicability of federal and state new source review (NSR) requirements.
(e) Allowances cannot be used to satisfy offset requirements
for new or modified sources subject to federal nonattainment NSR requirements.
(f) An allowance does not constitute a security or a property
(g) All allowances will be allocated, transferred, or used
as whole allowances. To determine the number of whole allowances, the number
of allowances will be rounded down for decimals less than 0.50 and rounded
up for decimals of 0.50 or greater.
(h) One compliance account shall be used for multiple EGFs
permitted under Chapter 116, Subchapter I of this title located at the same
property and under common ownership or control.