The Environmental Quality Board published regulations in May 2007 that included a one-year amnesty period for the submission of emission reduction credit applications for emission reductions generated from stationary or mobile air contamination sources between January 1, 2002, and May 19, 2007.

This amnesty period will end on May 19.

A facility owner or operator that missed the deadline to submit an ERC Registry Application to generate emission reduction credits for criteria pollutants or their precursors, such as nitrogen oxides and volatile organic compounds, may submit a complete ERC Registry Application to the DEP by May 19.

Eligible actual emission reduction techniques include the shutdown of stationary sources or facilities, permanent curtailment of production or hours of operation at a facility or the installation of new technology, materials or process equipment that is not required by the Clean Air Act, the Air Pollution Control Act or regulations adopted under the acts.

Emission reduction credits, expressed in tons per year, may be created by a facility owner or operator if emission reductions for criteria pollutants including carbon monoxide, sulfur oxides, particulate matter (PM10 or PM2.5) and the ozone precursors, volatile organic compounds and nitrogen oxides, are permanently reduced to a level below that required to comply with regulatory requirements.

The emission reduction credits would be certified and registered to offset emission increases from proposed major new or modified stationary sources that are subject to new source review permitting regulations.

For credible emissions reductions generated after May 19, 2007, an ERC Registry Application must be submitted to the department’s regional office where the emission reduction credit-generating source is located within two years of the initiation of an emissions reduction technique.

For deactivated sources or facilities, the owner or operator of an emission reduction credit-generating source or facility must submit to the department either a maintenance plan in accordance with 25 Pa. Code Section 127.11a (relating to reactivation of sources) or a written request within one year of deactivation of the source or facility to request preservation of the emissions in the inventory.

If the owner or operator of a deactivated source decides not to submit either a maintenance plan or request to preserve emissions in the inventory, the owner or operator of the emission reduction credit-generating source must submit an ERC registry application within one year of the initiation of an emissions reduction used to generate emission reduction credits.

Since 1994, the owners and operators of more than 201 facilities have submitted ERC Registry Applications. DEP has certified a total of 27,658.7 tpy of NOx, 13,079.1 tpy of VOCs, 1195 tpy of PM10 and 43,025 tpy of SOx credits.

The department has approved 161 separate requests for trading of a total 9,244.53 tpy of NOx credits and 5,470.04 tpy of VOC credits, which have been used to meet offset requirements for new source growth.

Currently, there are 4,865 tpy of NOx ERCs, 6206.76 tpy of VOC ERCs, 28,314 tpy of SOx ERCs and 778 tpy of PM10 ERCs available in the registry for use as emission offsets or for “netting” at an existing facility. Certified emission reduction credits may also be traded for emission offset purposes.

For more information, visit DEP’s emission reduction credits webpage.

2/29/2008