Notice2023-18214
Availability of Data on Allocations of Cross-State Air Pollution Rule Allowances to Existing Electricity Generating Units
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
August 24, 2023
Issuing agencies
Environmental Protection Agency
Abstract
Under the Cross-State Air Pollution Rule (CSAPR) trading program regulations, EPA allocates emission allowances to existing electricity generating units (EGUs) as provided in notices of data availability (NODAs). Through this NODA, EPA is providing notice of the availability of data on new or revised default allocations of CSAPR NO<INF>X</INF> Ozone Season Group 3 allowances to existing units for the 2023-2025 control periods, as well as the data upon which the allocations are based.
Full Text
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<title>Federal Register, Volume 88 Issue 163 (Thursday, August 24, 2023)</title>
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[Federal Register Volume 88, Number 163 (Thursday, August 24, 2023)]
[Notices]
[Pages 57952-57953]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-18214]
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ENVIRONMENTAL PROTECTION AGENCY
[FRL-11350-01-OAR]
Availability of Data on Allocations of Cross-State Air Pollution
Rule Allowances to Existing Electricity Generating Units
AGENCY: Environmental Protection Agency (EPA).
ACTION: Notice of data availability.
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SUMMARY: Under the Cross-State Air Pollution Rule (CSAPR) trading
program regulations, EPA allocates emission allowances to existing
electricity generating units (EGUs) as provided in notices of data
availability (NODAs). Through this NODA, EPA is providing notice of the
availability of data on new or revised default allocations of CSAPR
NO<INF>X</INF> Ozone Season Group 3 allowances to existing units for
the 2023-2025 control periods, as well as the data upon which the
allocations are based.
DATES: August 24, 2023.
FOR FURTHER INFORMATION CONTACT: Garrett Powers, Clean Air Markets
Division, Office of Atmospheric Protection, Office of Air and
Radiation, U.S. Environmental Protection Agency, Mail Code 6204A, 1200
Pennsylvania Avenue NW, Washington, DC 20460; telephone: 202-564-2300;
email: <a href="/cdn-cgi/l/email-protection#4c3c233b293e3f62262d21293f2b0c293c2d622b233a"><span class="__cf_email__" data-cfemail="35455a425047461b5f5458504652755045541b525a43">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: In the Good Neighbor Plan,\1\ EPA expanded
the CSAPR NO<INF>X</INF> Ozone Season Group 3 Trading Program \2\ to
include EGUs in 10 additional states and updated the program's
provisions to achieve further emissions reductions.\3\ The rule's
required emissions control stringencies are reflected in new or revised
state emissions budgets which in turn necessitate new or revised unit-
level allowance allocations. Beginning with the 2024 control period,
each covered state has the option to determine how the CSAPR
NO<INF>X</INF> Ozone Season Group 3 allowances in its state emissions
budget should be allocated among the state's units through a state
implementation plan (SIP) revision.\4\ However, for the 2023 control
period, and by default for subsequent control periods for which a state
has not provided EPA with the state's own allocations pursuant to an
approved SIP revision, the unit-level allocations are determined by
EPA.
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\1\ Federal ``Good Neighbor Plan'' for the 2015 Ozone National
Ambient Air Quality Standards, 88 FR 36654 (June 5, 2023).
\2\ The CSAPR NO<INF>X</INF> Ozone Season Group 3 Trading
Program was originally established in the Revised CSAPR Update (86
FR 23054, April 30, 2021) as a mechanism for EGUs in 12 states to
reduce ozone season emissions of nitrogen oxides (NO<INF>X</INF>)
starting in 2021.
\3\ Some courts have issued preliminary orders partially staying
the effectiveness of a separate EPA action (88 FR 9336, February 13,
2023) which disapproves state implementation plans addressing good
neighbor obligations for several states, and EPA is taking measures
to comply with those orders. The description of the Good Neighbor
Plan in this NODA reflects the rule as published, without regard to
the stay orders and the measures EPA is taking to comply with them.
However, EPA will not record allocations of CSAPR NO<INF>X</INF>
Ozone Season Group 3 allowances to any EGUs that are not currently
participating in the CSAPR NO<INF>X</INF> Ozone Season Group 3
Trading Program because of the measures EPA is taking to comply with
the stay orders. Consequently, the spreadsheet referenced in this
NODA has been edited to remove information on unit-level allocations
of CSAPR NO<INF>X</INF> Ozone Season Group 3 allowances to units in
any state covered by a stay order when the NODA was signed.
\4\ See 40 CFR 52.38(b)(10) through (12).
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Under EPA's default unit-level allocation methodology for the Good
Neighbor Plan, most EGUs within a covered state's borders are treated
as ``existing'' units and receive allocations of allowances for a given
control period in advance of the control period.\5\ If any of the
existing units are located in areas of Indian country within the
state's borders that are not subject to the state's SIP authority, the
default allocations to those existing units are made through an
``Indian country existing unit set-aside'' in parallel with the default
allocations to the other existing units.\6\ The EGUs that EPA
identified in the rulemaking as eligible to receive default allocations
as existing units for the 2023-2025 control periods in the states
covered by this NODA are listed in the spreadsheet referenced later in
this notice. EGUs located anywhere within a state's borders that do not
receive allocations of CSAPR NO<INF>X</INF> Ozone Season Group 3
allowances as ``existing'' units and that report emissions subject to
allowance holding requirements for a given control period are eligible
to receive allowance allocations as ``new'' units from the state's new
unit set-aside for that control period.\7\
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\5\ See 40 CFR 97.1011.
\6\ See 40 CFR 97.1010(b).
\7\ See 40 CFR 97.1010(c) and 97.1012. Allocations from a
state's new unit set-aside for a given control period are made after
the respective control period and are not addressed in this notice.
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EPA determined new and revised state emissions budgets for the
2023-2025 control periods on a full-season basis in the Good Neighbor
Plan rulemaking. However, because the Agency anticipated that the
rule's effective date could fall after the start of the 2023 ozone
season, the final regulations include a procedure for prorating the
2023 state emissions budgets to ensure that the enhanced control
stringency reflected in the Good Neighbor Plan's full-season 2023 state
emissions budgets will apply only after the rule's effective date.\8\
The Good Neighbor Plan provided that the 2023 unit-level allocations
would be computed by applying the rule's unit-level allocation
methodology to the 2023 state emissions budgets determined through the
prorating procedure.\9\
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\8\ See 40 CFR 97.1010(a)(1)(ii).
\9\ See 88 FR 36811-13.
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Through this NODA, EPA is providing notice of the availability of
data concerning the default unit-level allocations of CSAPR
NO<INF>X</INF> Ozone Season Group 3 allowances to existing units for
the 2023, 2024, and 2025 control periods. The allocations are shown in
an Excel spreadsheet entitled ``Unit-level Allocations and Underlying
Data for the Final Rule'' posted on
[[Page 57953]]
EPA's website at <a href="http://www.epa.gov/csapr/good-neighbor-plan-2015-ozone-naaqs">www.epa.gov/csapr/good-neighbor-plan-2015-ozone-naaqs</a>.
The spreadsheet also contains the data upon which the allocations are
based, including the 2023 state emissions budgets that EPA has computed
according to the prorating procedure in the regulations. The
spreadsheet is an update of an earlier version included in the docket
for the final Good Neighbor Plan which showed the allocations for the
2024 and 2025 control periods as well as illustrative allocations for
the 2023 control period. All allocations have been determined according
to the allocation methodology finalized in the Good Neighbor Plan
rulemaking.\10\ EPA is not requesting comment on the allocations, the
underlying data, or the allocation methodology.
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\10\ See Allowance Allocation under the Final Rule TSD, EPA-HQ-
OAR-2021-0668-1079, available at <a href="http://www.regulations.gov">www.regulations.gov</a> and
<a href="http://www.epa.gov/csapr/good-neighbor-plan-2015-ozone-naaqs">www.epa.gov/csapr/good-neighbor-plan-2015-ozone-naaqs</a>; see also 88
FR 36805-07.
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In accordance with the deadlines set forth in the regulations, EPA
will record allocations of CSAPR NO<INF>X</INF> Ozone Season Group 3
allowances to existing units for the 2023 control period by September
5, 2023.\11\ EPA will also record allocations to existing units for the
2024 control period by that same date except in instances where a state
has provided EPA with timely notice of the state's intent to submit a
SIP revision with state-determined allowance allocations replacing
EPA's default allocations for the 2024 control period.\12\ However, in
the case of any source that has not yet fully complied with the Good
Neighbor Plan's requirements concerning the recall of CSAPR
NO<INF>X</INF> Ozone Season Group 2 allowances allocated for control
periods after 2022, recordation of CSAPR NO<INF>X</INF> Ozone Season
Group 3 allowances will be deferred until the source has fully complied
with the recall requirements.\13\ EPA will record allocations of CSAPR
NO<INF>X</INF> Ozone Season Group 3 allowances to existing units for
the 2025 control period by July 1, 2024.\14\
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\11\ See 40 CFR 97.1021(d) and (g).
\12\ See 40 CFR 97.1021(e).
\13\ See 40 CFR 97.1021(m); see also 40 CFR 97.811(e).
\14\ See 40 CFR 97.1021(f) and (h).
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EPA notes that an allocation or lack of allocation of emission
allowances to a given unit under a CSAPR trading program does not
constitute a determination that the trading program does or does not
apply to the unit.\15\ EPA also notes that allocations are subject to
potential correction or termination under the regulations.\16\
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\15\ See 40 CFR 97.1011(a)(3).
\16\ See 40 CFR 97.1011(c).
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Authority: 40 CFR 97.1011(a)(1) and (2).
Rona Birnbaum,
Director, Clean Air Markets Division, Office of Atmospheric Protection,
Office of Air and Radiation.
[FR Doc. 2023-18214 Filed 8-23-23; 8:45 am]
BILLING CODE 6560-50-P
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