§ 123.118. Emission reduction credit provisions.
(a) NOx affected sources may create, transfer and use emission reduction credits in accordance with Chapter 127 (relating to construction, modification, reactivation and operation of sources) and this section. ERCs may not be used to satisfy NOx allowance requirements.
(b) Emission reductions made through overcontrol, curtailment or shutdown for which allowances are banked are not surplus and may not be used to create ERCs.
(c) A NOx affected source may transfer NOx ERCs to an NOx affected source if the new or modified NOx affected source’s ozone season (May 1—September 30) allowable emissions do not exceed the ozone season portion of the baseline emissions which were used to generate the NOx ERCs.
(d) A NOx affected source may transfer NOx ERCs to a non-NOx affected source under the following conditions:
(1) The non-NOx affected source’s ozone season (May 1—September 30) allowable emissions may not exceed the ozone season portion of the baseline emissions which were used to generate the NOx ERCs.
(2) The NATS account for NOx affected sources which generated ERCs transferred to non-NOx affected sources, including prior to the date of publication in the Pennsylvania Bulletin, shall have a corresponding number of allowances retired that reflect the transfer of emissions regulated under § § 123.101—123.117, 123.119—123.120 and this section (relating to NOx allowance requirements) to the NOx nonaffected sources. The amount of annual NOx allowances deducted shall be equivalent to that portion of the nonaffected source’s NOx control period allowable emissions which were provided for by the NOx ERCs from the affected source.
(3) Allocations for NOx allowance control periods following 2002 to the NOx ERC generating source may not include the allowances identified in paragraph (2).
Source The provisions of this § 123.118 adopted October 31, 1997, effective November 1, 1997, 27 Pa.B. 5683.
Cross References This section cited in 25 Pa. Code § 123.101 (relating to purpose); 25 Pa. Code § 123.103 (relating to general NOx allowance provisions); 25 Pa. Code § 123.108 (relating to source emissions monitoring requirements); 25 Pa. Code § 123.111 (relating to failure to meet source compliance requirements); 25 Pa. Code § 123.112 (relating to source operating permit provision requirements); 25 Pa. Code § 123.113 (relating to source recordkeeping requirements); 25 Pa. Code § 123.115 (relating to initial NOx allowance NOx allocations); 25 Pa. Code § 123.116 (relating to source opt-in provisions); 25 Pa. Code § 123.117 (relating to new NOx affected source provisions); 25 Pa. Code § 123.120 (relating to audit); 25 Pa. Code § 123.121 (relating to NOx Allowance Program transition); and 25 Pa. Code § 145.43 (relating to compliance supplement pool).
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