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- See PDF for diagram PDF Equation 5
where:
Xi is the allocation of remaining CAIR NOx new unit set-aside annual allowances for unit i rounded to the nearest whole ton, adjusted by the department as needed to ensure that the sum of the allowances to all units does not exceed the amount of U
U is the amount of unallocated CAIR NOx new unit set-aside allowances in tons
Ai is the annual allocation of CAIR NOx allowances for unit i calculated using equation 3
MAP is the main allocation pool of CAIR NOx allowances in tons which is the trading budget for Wisconsin in 40 CFR 97.140 minus the new unit set-aside established in sub. (3)
NR 432.03(5) (5) CAIR NOx allocations for 2009 to 2014. The CAIR NOx allocations for 2009 to 2014 for individual CAIR NOx units are listed in Table 1. - See PDF for table PDF
NR 432.03 History History: CR 06-104: cr. Register July 2007 No. 619, eff. 8-1-07.
NR 432.04 NR 432.04  Compliance supplement pool. In addition to the CAIR NOx allowances allocated under s. NR 432.03, the department may allocate for calendar year 2009 only, additional allowances from the compliance supplement pool up to the amount designated by the EPA in 40 CFR 97.143 for Wisconsin for the purposes identified in this section.
NR 432.04(1) (1) Early reduction credits.
NR 432.04(1)(a)(a) The department may allocate CAIR NOx allowances from the compliance supplement pool to a CAIR NOx unit if the unit's CAIR designated representative demonstrates that it achieved early reductions of NOx emissions. To be eligible for early reduction credits, the unit's CAIR designated representative shall demonstrate all of the following:
NR 432.04(1)(a)1. 1. The CAIR NO x unit's average annual NOx emission rate for 2007 or 2008 is less than 0.25 lb/mmBtu based on heat input.
NR 432.04(1)(a)2. 2. If the unit is included in a NOx averaging plan under s. NR 409.065 (7) for 2007 or 2008, the NOx averaging plan has an actual weighted average NOx emission rate for 2007 or 2008 equal to or less than the actual weighted average NOx emission rate for preceding year.
NR 432.04(1)(a)3. 3. Compared to the preceding year, the CAIR NOx unit achieves NOx emission reductions in both 2007 and 2008.
NR 432.04(1)(b) (b) The CAIR designated representative of the unit may request early reduction credits, and allocation of CAIR NOx allowances from the compliance supplement pool for early reduction credits, in accordance with the following:
NR 432.04(1)(b)1. 1. The CAIR designated representative shall monitor and report the NOx emissions rate and the heat input of the unit based on monitoring data required in accordance with 40 CFR part 97, Subpart HH in each calendar year for which early reduction credits are requested.
NR 432.04(1)(b)2. 2. The CAIR designated representative of a CAIR NOx unit shall submit to the department by July 31, 2009 a request for allocation of an amount of CAIR NOx allowances from the compliance supplement pool. The request may not exceed the value determined using equation 6:
- See PDF for diagram PDF
Equation 6
where:
ER is the amount of CAIR NOx allowances a CAIR designated representative may request based on early emission reductions in 2007 and 2008 rounded to the nearest ton
HI2007 is the total heat input to the unit for the calendar year 2007 in mmBtu
HI2008 is the total heat input to the unit for the calendar year 2008 in mmBtu
2000 is a conversion factor in lb/ton
DEM2007 and DEM 2008 are the differences between the actual emission rates for 2007 and 2008 respectively and the target emission rate for early reductions in lbs NOx/mmBtu. If the unit's actual average emission rate for the calendar year is greater than 0.25, DEMyear is equal to 0. If the unit's actual average emission rate for the calendar year is equal to or less than 0.25, then DEMyear is calculated using equation 7
- See PDF for diagram PDF Equation 7
where:
Actualyear is the unit's actual average emission rate for calendar year for 2007 or 2008 in lbs NOx/mmBtu determined in accordance with 40 CFR part 97, Subpart HH
0.25 is the target emission rate for early reductions in lbs NOx/mmBtu
NR 432.04(2) (2) Electric reliability. The department may allocate CAIR NOx allowances from the compliance supplement pool to any CAIR NOx unit for which the unit's CAIR designated representative demonstrates that compliance with the CAIR NOx allocation under s. NR 432.03, Table 1 for calendar year 2009 would create an undue risk to the reliability of electricity supply during 2009. The CAIR designated representative of the unit may request the allocation of CAIR NOx allowances from the compliance supplement pool in order to avoid an undue risk to the reliability of electricity supply during 2009 in accordance with the following requirements:
NR 432.04(2)(a) (a) The CAIR designated representative of the CAIR NOx unit shall submit to the department by July 31, 2009 a request for allocation of an amount of CAIR NOx allowances from the compliance supplement pool not exceeding the minimum amount of CAIR NOx allowances necessary to remove the undue risk to the reliability of electricity supply.
NR 432.04(2)(b) (b) In the request under par. (a), the CAIR designated representative of the CAIR NOx unit shall demonstrate that, in the absence of an allocation to the unit in the amount of CAIR NOx allowances requested, the unit's compliance with CAIR NOx allocation under s. NR 432.03, Table 1 for calendar year 2009 would create an undue risk to the reliability of electricity supply during that year. This demonstration shall include a showing by the unit's CAIR designated representative that it would not be feasible to do both of the following:
NR 432.04(2)(b)1. 1. Obtain a sufficient amount of electricity from other electricity generation facilities for compliance with the CAIR NOx allocations under s. NR 432.03, Table 1 to prevent the undue risk.
NR 432.04(2)(b)2. 2. Obtain under subs. (1) and (3), or otherwise obtain, a sufficient amount of CAIR NOx allowances to prevent the undue risk.
NR 432.04(3) (3) Allocation procedure. The department shall review each request submitted under subs. (1) and (2) and shall allocate CAIR NOx allowances for calendar year 2009 to CAIR NOx units covered by the requests as follows:
NR 432.04(3)(a) (a) Upon receipt of each request, the department shall determine whether the amount of the CAIR NOx allowances requested from the compliance supplement pool meets the requirements of sub. (1) or (2).
NR 432.04(3)(b) (b) If the amount of CAIR NOx allowances in the compliance supplement pool is greater than or equal to the total amount of CAIR NOx allowances in all requests submitted under subs. (1) and (2), the department shall allocate to each CAIR NOx unit covered by the requests the amount of CAIR NOx allowances requested, and determined eligible for under par. (a).
NR 432.04(3)(c) (c) If the state's compliance supplement pool has a smaller amount of CAIR NOx allowances than the total amount of CAIR NOx allowances in all requests submitted under subs. (1) and (2), as adjusted under par. (a), the department shall allocate CAIR NOx allowances to each CAIR NOx unit covered by the requests according to equation 8:
- See PDF for diagram PDF Equation 8
where:
Zi is the amount of CAIR NOx allowances allocated to unit i from the state's compliance supplement pool rounded to the nearest whole ton, adjusted by the department as needed to ensure that the sum of the allowances to all units does not exceed the CSP
Yi is the amount of CAIR NOx allowances requested for unit i under subs. (1) and (2), as determined eligible under par. (a)
CSP is the amount of CAIR NOx allowances in the state's compliance supplement pool as provided in 40 CFR 97.143
k is the number of units which the department deemed eligible for requests made under subs. (1) and (2)
NR 432.04(3)(d) (d) By November 15, 2009, the department shall determine the allocations under par. (b) or (c), as applicable. The department shall make available to the public each determination of CAIR NOx allowances under par. (c) and shall provide an opportunity for submission of objections to the determination. Objections shall be limited to addressing whether the determination is in accordance with sub. (1) or (2) and par. (b) or (c) and data correction. Based on any objections, the department may adjust each determination to the extent necessary to ensure that it is in accordance with sub. (1) or (2) and par. (b) or (c) and the data is correct.
NR 432.04(3)(e) (e) By December 15, 2009, the department shall notify the administrator of the allocations made under par. (d).
NR 432.04 History History: CR 06-104: cr. Register July 2007 No. 619, eff. 8-1-07.
NR 432.05 NR 432.05  CAIR NOx ozone season allowance allocation. The department shall use the procedures in this section for calculating and allocating CAIR NOx ozone season allowances for CAIR NOx units and CAIR renewable units.
NR 432.05(1) (1) Unit baselines.
NR 432.05(1)(a)(a) Calculating baseline energy output. The department shall calculate the baseline energy output of each CAIR NOx unit and each CAIR renewable unit, in MWh according to the following equations as appropriate:
NR 432.05(1)(a)1. 1. For a CAIR NOx unit that is a cogeneration unit and that has operated for 5 or more consecutive calendar years, by using one of the following equations:
NR 432.05(1)(a)1.a. 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 9a is available for all units:
- See PDF for diagram PDF Equation 9a
where:
B is the unit baseline energy output made available by the cogeneration unit in MWh
GEavg is the average of the 3 highest annual amounts of the unit's ozone season gross electric output in MWh over the 5-year period identified in par. (b)
TEavg is the average of the 3 highest annual amounts of the unit's ozone season useful thermal energy in mmBtu over the 5-year period identified in par. (b)
3.4 is a conversion factor in mmBtu/MWh
NR 432.05(1)(a)1.b. b. Use equation 9b if more than one unit serves the same generator and unit-level data for equation 9a is not available for all units:
- See PDF for diagram PDF Equation 9b
where:
Bi is the baseline energy output made available by cogeneration unit i in MWh
GEGen is the average of the 3 highest annual amounts of the ozone season gross electric output in MWh for the generator served over the 5-year period identified in par. (b)
TET is the average of the 3 highest annual amounts of ozone season useful thermal energy in mmBtu for the generator served over the 5-year period defined in par. (b)
3.4 is a conversion factor in mmBtu/MWh
NCi is the nameplate capacity of unit i
n is the number of units serving the same generator
NR 432.05(1)(a)2. 2. For a CAIR NOx 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:
NR 432.05(1)(a)2.a. a. Use equation 10a 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 10a is available for all units:
- See PDF for diagram PDF Equation 10a
where:
B is the unit baseline energy output made available by the CAIR NOx unit or the CAIR renewable unit in MWh
GEavg is the average of the 3 highest annual amounts of the unit's ozone season gross electric output in MWh over the 5-year period identified in par. (b)
NR 432.05(1)(a)2.b. b. Use equation 10b if more than one unit serves the same generator and unit-level data for equation 10a is not available for all units:
- See PDF for diagram PDF Equation 10b
where:
Bi is the baseline energy output made available by CAIR NOx unit i or CAIR renewable unit i in MWh
GEGen is the average of the 3 highest annual amounts of the ozone season gross electric output in MWh for the generator served over the 5-year period identified in par. (b)
NCi is the nameplate capacity of unit i
n is the number of units serving the same generator
NR 432.05(1)(b) (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 NOx unit or CAIR renewable unit which has more than 5 years of operating data.
NR 432.05(1)(b)1. 1. In 2007, the department shall calculate the baseline energy output for each CAIR NOx unit for 2009 to 2014 allowances using data for the ozone seasons 2000 to 2004.
NR 432.05(1)(b)2. 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 NOx unit and each CAIR renewable unit for the next 5-year allocation period using data from the 5 ozone season period beginning 9 years before the first year of the allocation period and ending 5 years before the first year of the allocation period.
NR 432.05 Note Note: For example in 2021, unit baseline energy output for the calculation of allocation for 2025 to 2029 allowances will be calculated using ozone season data from the years 2016 to 2020. In 2026, unit baseline energy output for the calculation of the allocation for 2030 to 2034 will be calculated using ozone season data from 2021 to 2025.
NR 432.05(1)(c) (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 NOx unit or CAIR renewable unit which have only 5 years of operating data.
NR 432.05(1)(c)1. 1. On or before May 1, 2011, the department shall calculate the baseline energy output for each CAIR NOx 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 ozone seasons 2006 to 2010.
NR 432.05(1)(c)2. 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 NOx unit and each CAIR renewable unit that has been operating for its first 5 consecutive years, using the first 5 ozone seasons of operating data. Once the unit's baseline energy output has been established, the CAIR NOx unit or CAIR renewable unit's baseline energy output shall be updated according to par. (b).
NR 432.05 Note Note: Starting in 2011, and every year thereafter, new units that commence operation on or after January 1, 2001 will have their unit baseline energy output calculated once the unit has 5 consecutive years of operating data. The 5 years of data do not have to be full years of data. Once the unit has 5 or more years of operating data, this unit is then incorporated into the state baselines calculated in s. NR 432.03 (1m) and receives allocations from the main allocation pool under s. NR 432.03 (2). These new units are incorporated into the main allocation pool on a yearly basis.
NR 432.05(1)(d) (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.
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Published under s. 35.93, Stats. Updated on the first day of each month. Entire code is always current. The Register date on each page is the date the chapter was last published.