| (D) The application must include, but is not limited
to, the following information for each use:
(i) the applicable state and federal requirements that
the discrete emission credits will be used to comply with and the
intended use period;
(ii) the amount of discrete emission credits needed;
(iii) the baseline emission rate, activity level, and
total emissions for the applicable facility or mobile source;
(iv) the actual emission rate, activity level, and
total emissions for the applicable facility or mobile source;
(v) the most stringent emission rate and the most stringent
emission level for the applicable facility or mobile source, considering
all applicable local, state, and federal requirements;
(vi) a complete description of the protocol, as submitted
by the executive director to the EPA for approval, used to calculate
the amount of discrete emission credits needed;
(vii) the actual calculations performed by the user
to determine the amount of discrete emission credits needed;
(viii) the date that the discrete emission credits
were acquired;
(ix) the discrete emission credit generator and the
original certificate number of the discrete emission credits acquired;
(x) the price of the discrete emission credits acquired,
except for transfers between sites under common ownership or control;
(xi) a statement that due diligence was taken to verify
that the discrete emission credits were not previously used, the discrete
emission credits were not generated as a result of actions prohibited
under this regulation, and the discrete emission credits will not
be used in a manner prohibited under this regulation; and
(xii) a certification of use, that must contain certification
under penalty of law by a responsible official of the user of truth,
accuracy, and completeness. This certification must state that based
on information and belief formed after reasonable inquiry, the statements
and information in the document are true, accurate, and complete.
(2) Discrete emission credit use calculation.
(A) To calculate the amount of discrete emission credits
necessary to comply with §§117.123, 117.320, 117.323, 117.423,
117.1020, 117.1220, or 117.3020 of this title (relating to Source
Cap; and System Cap), a user may use the equations listed in those
sections, or the following equations.
(i) For the rolling average cap:
Attached Graphic
(ii) For maximum daily cap:
Attached Graphic
(B) The amount of discrete emission credits needed
to demonstrate compliance or meet a regulatory requirement is calculated
as follows.
Attached Graphic
(C) The amount of discrete emission credits needed
to exceed an allowable emissions level is calculated as follows.
Attached Graphic
(D) The user shall retire 10% more discrete emission
credits than are needed, as calculated in this paragraph, to ensure
that the facility or mobile source environmental contribution retirement
obligation will be met.
(E) If the amount of discrete emission credits needed
to meet a regulatory requirement or to demonstrate compliance is greater
than 10 tons, an additional 5.0% of the discrete emission credits
needed, as calculated in this paragraph, must be acquired to ensure
that sufficient discrete emission credits are available to the user
with an adequate compliance margin.
(3) A user may submit a late application in the case
of an emergency, or other exigent circumstances, but the notice must
be submitted before the discrete emission credits can be used. The
user shall include a complete description of the situation in the
notice of intent to use. All other notices submitted less than 45
days prior to use, or 90 days prior to use for a mobile source, will
be considered late and in violation.
(4) The user is responsible for determining the credits
it will purchase and notifying the executive director of the selected
generating facility or mobile source in the application. If the generator's
credits are rejected or the application is incomplete, the use of
discrete emission credits by the user may be delayed by the executive
director. The user cannot use any discrete emission credits that have
not been certified by the executive director. The executive director
may reject the use of discrete emission credits by a facility or mobile
source if the credit and use cannot be demonstrated to meet the requirements
of this section.
(5) If the facility is in an area with an ozone season
less than 12 months, the user shall calculate the amount of discrete
emission credits needed for the ozone season separately from the non-ozone
season.
(e) Notice of use.
(1) The user shall calculate:
(A) the amount of discrete emission credits used, including
the amount of discrete emission credits retired to cover the environmental
contribution, as described in subsection (d)(2)(D) of this section,
associated with actual use; and
(B) the amount of discrete emission credits not used,
including the amount of excess discrete emission credits that were
purchased to cover the environmental contribution, as described in
subsection (d)(2)(D) of this section, but not associated with the
actual use, and available for future use.
(2) Discrete emission credit use is calculated by the
following equations.
(A) The amount of discrete emission credits used to
demonstrate compliance or meet a regulatory requirement is calculated
as follows.
Attached Graphic
(B) The amount of discrete emission credits used to
comply with permit allowables is calculated as follows.
Attached Graphic
(3) A form specified by the executive director for
using credits must be submitted to the executive director in accordance
with the following requirements.
(A) The notice must be submitted within 90 days after
the end of the use period. Each use period must not exceed 12 months.
(B) The notice is to be used as the mechanism to update
or amend the notice of intent to use and must include any information
different from that reported in the notice of intent to use, including,
but not limited to, the following items:
(i) purchase price of the discrete emission credits
obtained prior to the current use period, except for transfers between
sites under common ownership or control;
(ii) the actual amount of discrete emission credits
possessed during the use period;
(iii) the actual emissions during the use period for
volatile organic compounds and NOX ;
(iv) the actual amount of discrete emission credits
used;
(v) the actual environmental contribution; and
(vi) the amount of discrete emission credits available
for future use.
(4) Discrete emission credits that are not used during
the use period are surplus and remain available for transfer or use
by the holder. In addition, any portion of the calculated environmental
contribution not attributed to actual use is also available.
(5) The user is in violation of this section if the
user submits the report of use later than the allowed 90 days following
the conclusion of the use period.
(f) DERC use in Collin, Dallas, Denton, Ellis, Johnson,
Kaufman, Parker, Rockwall, and Tarrant Counties.
(1) For the 2015 calendar year, the use of NOX DERCs in Collin, Dallas, Denton, Ellis, Johnson,
Kaufman, Parker, Rockwall, and Tarrant Counties may not exceed 42.8
tons per day.
(2) Beginning in the 2016 calendar year, the use of
NOX DERCs in Collin, Dallas, Denton,
Ellis, Johnson, Kaufman, Parker, Rockwall, and Tarrant Counties may
not exceed 17.0 tons per day.
(3) If the total number of DERCs submitted for the
upcoming calendar year in all applications received by the August
1 deadline in subsection (d)(1)(B)(i) of this section is greater than
the applicable limit in paragraph (1) or (2) of this subsection, the
executive director shall apportion the number of DERCs for use.
(A) In determining the amount of DERC use to approve
for each application, the executive director may take into consideration:
(i) the total number of DERCs existing in the nonattainment
area bank;
(ii) the total number of DERCs submitted for use in
the upcoming control period;
(iii) the proportion of DERCs requested for use to
the total amount requested;
(iv) the amount of DERCs required by the applicant
for compliance;
Cont'd... |
