CAIR NO x allowance allocation

CAIR NO x allowance allocation. CAIR NO x allowance allocation. The department shall use the procedures in this section for calculating and allocating CAIR NO x allowances for CAIR NO x units and CAIR renewable units. (1) Unit baselines. (a) Calculating baseline energy output. The department shall calculate the baseline energy output of each CAIR NO x unit and each CAIR renewable unit, in MWh according to the following equations as appropriate: 1. For a CAIR NO x unit that is a cogeneration unit and that has operated for 5 or more consecutive calendar years, by using one of the following equations: a. Use equation 1a if the unit is the only unit serving a generator or, if more than one unit serves the same generator and unit-level data for equation 1a is available for all units: b. Use equation 1b if more than one unit serves the same generator and unit-level data for equation 1a is not available for all units: 2. For a CAIR NO x unit that is not a cogeneration unit and that has operated for 5 or more consecutive calendar years and for a CAIR renewable unit that has operated for 5 or more consecutive calendar years, by using one of the following equations as appropriate: a. Use equation 2a if the unit is the only unit serving a generator or, if more than one unit serves the same generator and unit-level data for equation 2a is available for all units: b. Use equation 2b if more than one unit serves the same generator and unit-level data for equation 2a is not available for all units: (b) Periodic updates of baseline energy output for units with more than 5 years operating data. The department shall use the procedures in this paragraph for calculating the unit baseline energy output for each CAIR NO x unit or CAIR renewable unit which has more than 5 years of operating data. 1. In 2007, the department shall calculate the baseline energy output for each CAIR NO x unit for 2009 to 2014 allowances using data for the years 2000 to 2004. 2. On or before May 1, 2011, and on or before May 1 of every fifth year thereafter, the department shall calculate the baseline energy output for each CAIR NO x unit and each CAIR renewable unit for the next 5 year allocation period using data from the 5 calendar year period beginning 9 years before the first year of the allocation period and ending 5 years before the first year of the allocation period. (c) Baseline energy output for new units and units achieving 5 years of operating data for the first time. The department shall use the procedures in this paragraph for calculating the unit baseline energy output for each CAIR NO x unit or CAIR renewable unit which have only 5 years of operating data. 1. On or before May 1, 2011, the department shall calculate the baseline energy output for each CAIR NO x unit and each CAIR renewable unit that commences operation on or after January 1, 2001 and that has operating data for the years 2006 to 2010 for 2015 to 2019 allowances using data for years 2006 to 2010. 2. On or before May 1, 2012, and on or before May 1 of every year thereafter, the department shall calculate the unit baseline energy output for each CAIR NO x unit and each CAIR renewable unit that has been operating for its first 5 consecutive years, using the first 5 years of operating data. Once the unit’s baseline energy output has been established, the CAIR NO x unit or CAIR renewable unit’s baseline energy output shall be updated according to par. (b) . (d) Baseline energy output for retired units. If a unit is retired in any year, the department shall calculate the baseline energy output according to par. (b) . If a unit only operates a portion of the year, the data for that portion shall constitute the unit’s data for that year. (e) Data used for energy generation baselines. In performing the unit energy output baseline calculations under pars. (a) to (d) , the department shall use data reported by the CAIR designated representative to EPA under 40 CFR part 97 , Subpart HH and available from the EPA and data reported by the CAIR renewable representative to the department under s. NR 432.07 . If the required data is unavailable from the EPA, the department shall request the required data directly from the unit’s CAIR designated representative. If the representative does not provide data within 30 days of the department’s request, the department shall estimate the unit’s baseline energy output using best available data. (1m) State baseline. (a) Prior to 2011, the department shall establish the state baseline by summing the unit baselines calculated according to sub. (1) for all CAIR NO x units listed in Table 1. (b) In 2011 and annually thereafter, the department shall calculate an annual state baseline by summing the unit baselines calculated according to sub. (1) for all CAIR NO x units and all CAIR renewable units. (2) Allowance allocation for units with 5 or more years of operation data. (a) In 2007, and in 2011 and annually thereafter, the department shall allocate to all CAIR NO x units and CAIR renewable units for which a unit baseline has been calculated under sub. (1) , a total amount of CAIR NO x allowances equal to 93% of the tons of NO x emissions in the trading budget for Wisconsin in 40 CFR 97.140 . (b) The department shall allocate CAIR NO x allowances to each unit in an amount determined by equation 3: (3) Allocations for units with less than 5 years of operating data. In 2009 and annually thereafter, the department shall allocate CAIR NO x allowances to CAIR NO x units for which a request is received under par. (b) and that commenced operation on or after January 1, 2001 and for which a baseline energy output cannot be determined under sub. (1) , in accordance with the following procedures: (a) For 2009 and each year thereafter, the department shall establish a new unit set-aside consisting of all CAIR NO x allowances available for new units in that year. The new unit set-aside in each year shall be equal to 7% of the amount of tons of NO x emissions in the trading budget under 40 CFR 97.140 for Wisconsin. (b) The CAIR designated representative of a CAIR NO x unit that commenced operation on or after January 1, 2001, may submit to the department a request to be allocated CAIR NO x allowances under this subsection, starting with 2009 or the first calendar year after the calendar year in which the CAIR NO x unit commences commercial operation, whichever is later, and until the first calendar year for which the unit is eligible for and is allocated CAIR NO x allowances under sub. (2) . The CAIR NO x allocation request shall be submitted on or before May 1 of the calendar year for which the CAIR NO x allowances are requested and after the date on which the CAIR NO x unit commences commercial operation.