Bill Text: AZ HB2152 | 2017 | Fifty-third Legislature 1st Regular | Chaptered
Bill Title: Emissions credits; voluntary emissions bank
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2017-05-01 - Chapter 225 [HB2152 Detail]
Download: Arizona-2017-HB2152-Chaptered.html
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Senate Engrossed House Bill |
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State of Arizona House of Representatives Fifty-third Legislature First Regular Session 2017
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CHAPTER 225
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HOUSE BILL 2152 |
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AN ACT
amending section 49-410, Arizona Revised Statutes; relating to air quality.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 49-410, Arizona Revised Statutes, is amended to read:
49-410. Voluntary Arizona emissions bank; definitions
A. The
department of environmental quality shall
establish and administer an a voluntary Arizona
emissions bank for
registering the deposit, transfer and use of emission reduction credits. The
department shall make information on emission reduction credits deposited in the voluntary Arizona emissions
bank easily accessible to the Arizona commerce
authority and to the public.
B. After the effective date of rules adopted pursuant to
subsection D of this section, a permitted source that reduces emissions of
particulate matter, sulfur dioxide, carbon monoxide, nitrogen dioxide, or
volatile organic compounds by an amount greater than that required by
applicable law, rule, permit or order shall be granted credit in an amount to
be determined by the department of environmental quality. The credit shall be
deposited into the Arizona emissions bank. This state, any political
subdivision of this state and any person that reduces qualifying emissions may
apply to the department to certify emission reduction credits to be deposited
into the voluntary Arizona emissions bank. To be creditable eligible for certification
and deposit in the voluntary
Arizona emissions bank, the reduction in qualifying emissions shall be permanent, quantifiable, surplus, real and
otherwise enforceable and shall occur after August 6, 1999. This
section does not prohibit a source an activity from receiving
credit by means other than the voluntary
Arizona emissions bank for emissions reductions that
occurred before August 6, 1999.
C. The
department of environmental quality shall
register, certify or otherwise approve the amount of
the credit act on
an application submitted under subsection B of this section and certify the
amount of the emission reduction credits under rules adopted pursuant to
subsection D of this section before the credit
is banked credits
may be deposited and used to offset future increases in the emissions of air pollutants. The credit may be used, traded, sold or otherwise expended
within the same nonattainment area, maintenance area or modeling domain in
which the emissions reduction occurred, only if there will be no adverse impact
on air quality. Pursuant to title 41, chapter 6, article
8, the department may delegate certification of emissions
emission reduction
credits to a county or multi‑county air quality control region, but shall
retain authority to register the
deposit, transfer and use of emission reduction credits and administer
the voluntary Arizona
emissions bank.
D. On or before January 1, 2002, The department of environmental quality shall adopt rules for the
implementation and administration of the voluntary Arizona emissions bank, and establish the criteria
the department will use to determine the eligibility of reductions in qualifying emissions for emission
reduction credits and the amount of the emissions
credit credits. except to the extent otherwise
required by the Clean Air Act, the rules shall provide for the award of
emission reduction credits equal to the full amount of reductions in qualifying
emissions that are permanent, quantifiable, surplus, real and otherwise
enforceable. The department shall establish by rule a fee
system to administer cover the reasonable costs of
administering the voluntary
Arizona emissions bank. A county that has been delegated authority
to certify emissions emission reduction credits
pursuant to subsection C of this section shall
may establish a fee
system to cover the reasonable costs of certification in accordance with
section 49‑112, subsection B. In
setting the fee, the director and a county shall consider the likely economic
value of the credits and shall set a fee that does not discourage the banking
of emissions credit. In adopting rules pursuant to this
subsection, the department and a county shall consider and make reasonable
attempts to mitigate any adverse impact on the commercial trucking industry,
including any adverse economic impact and any impact on driver safety.
E. The program established by this section ends on July 1, 2019.
Except to the extent
otherwise required by the Clean Air Act, until used or voluntarily retired by
the owner, emission reduction credits deposited in the bank:
1. DO not expire.
2. Shall be identified and accounted for in the state implementation plan control strategy for the area in which the reduction in emissions occurred.
3. May not be reduced or withdrawn without permission of the owner.
F. Notwithstanding any other law, this section does not directly or indirectly authorize this state or any political subdivision of this state to establish new or more stringent emissions regulations than provided in existing law for stationary or mobile sources.
G. A fleet owner that applies for emission reduction credits pursuant to this subsection shall specify the composition of its proposed participating fleet.
H. For the purposes of this section, unless the context otherwise requires:
1. "Emission reduction credit" means a reduction in qualifying emissions that has been certified for potential use as an offsetting emission reduction in a permit issued under this chapter, including a permit required by section 173 of the Clean Air Act.
2. "Qualifying Emissions" means emissions of any conventional air pollutant, other than elemental lead, or any precursor of a conventional air pollutant from any activity. Qualifying emissions does not include emissions from a fleet of motor vehicles if the fleet operates outside of a nonattainment area.
APPROVED BY THE GOVERNOR MAY 1, 2017.
FILED IN THE OFFICE OF THE SECRETARY OF STATE MAY 1, 2017.
