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§ 143-215.107D. Emissions of oxides of nitrogen (NOx) and sulfur dioxide (SO2) from certain coal-fired generating units.

§ 143‑215.107D.  Emissions of oxides of nitrogen(NOx) and sulfur dioxide (SO2) from certain coal‑fired generating units.

(a)        As used in this section:

(1)        "Coal‑fired generating unit" means a coal‑firedgenerating unit, as defined by 40 Code of Federal Regulations § 96.2 (1 July2001 Edition), that is located in this State and has the capacity to generate25 or more megawatts of electricity.

(2)        "Investor‑owned public utility" means aninvestor‑owned public utility, as defined in G.S. 62‑3.

(b)        An investor‑owned public utility that owns or operatescoal‑fired generating units that collectively emitted more than 75,000tons of oxides of nitrogen (NOx) in calendar year 2000:

(1)        Shall not collectively emit from the coal‑firedgenerating units that it owns or operates more than 35,000 tons of oxides ofnitrogen (NOx) in any calendar year beginning 1 January 2007.

(2)        Shall not collectively emit from the coal‑firedgenerating units that it owns or operates more than 31,000 tons of oxides ofnitrogen (NOx) in any calendar year beginning 1 January 2009.

(c)        An investor‑owned public utility that owns or operatescoal‑fired generating units that collectively emitted 75,000 tons or lessof oxides of nitrogen (NOx) in calendar year 2000 shall not collectively emitfrom the coal‑fired generating units that it owns or operates more than25,000 tons of oxides of nitrogen (NOx) in any calendar year beginning 1January 2007.

(d)        An investor‑owned public utility that owns or operatescoal‑fired generating units that collectively emitted more than 225,000tons of sulfur dioxide (SO2) in calendar year 2000:

(1)        Shall not collectively emit from the coal‑firedgenerating units that it owns or operates more than 150,000 tons of sulfurdioxide (SO2) in any calendar year beginning 1 January 2009.

(2)        Shall not collectively emit from the coal‑firedgenerating units that it owns or operates more than 80,000 tons of sulfurdioxide (SO2) in any calendar year beginning 1 January 2013.

(e)        An investor‑owned public utility that owns or operatescoal‑fired generating units that collectively emitted 225,000 tons orless of sulfur dioxide (SO2) in calendar year 2000:

(1)        Shall not collectively emit from the coal‑firedgenerating units that it owns or operates more than 100,000 tons of sulfur dioxide(SO2) in any calendar year beginning 1 January 2009.

(2)        Shall not collectively emit from the coal‑firedgenerating units that it owns or operates more than 50,000 tons of sulfurdioxide (SO2) in any calendar year beginning 1 January 2013.

(f)         Each investor‑owned public utility to which thissection applies may determine how it will achieve the collective emissionslimitations imposed by this section. Compliance with the emissions limitationsset out in this section does not alter the obligation of any person to complywith any other federal or State law, regulation, or rule related to air qualityor visibility. This subsection shall not be construed to limit the authority ofthe Commission to impose specific limitations on the emission of oxides of nitrogen(NOx) and sulfur dioxide (SO2) from an individual coal‑fired generatingunit owned or operated by an investor‑owned public utility.

(g)        A coal‑fired generating unit that is subject to thecollective emissions limitations set out in this section on 1 July 2002 shallremain subject to the collective emissions limitations whether or not itthereafter continues to be owned or operated by an investor‑owned publicutility.

(h)        The Commission shall require that any permit or modifiedpermit issued for a coal‑fired generating unit that is subject to thissection include conditions that provide for testing, monitoring, recordkeeping, and reporting adequate to assure compliance with the requirements ofthis section.

(i)         The Governor may enter into an agreement with an investor‑ownedpublic utility under which the investor‑owned public utility voluntarilyagrees to transfer to the State any emissions allowances acquired or that maybe acquired by the investor‑owned public utility pursuant to 42 U.S.C. §§7651‑7651o, as implemented by 40 Code of Federal Regulations §§ 73.1through 73.90 (1 July 2001 Edition); 42 U.S.C. 7410(a)(2)(D)(i)(I), asimplemented by 40 Code of Federal Regulations § 51.121 (1 July 2001 Edition),related federal regulations, and the associated State Implementation Plan; 42U.S.C. § 7426, as implemented by 40 Code of Federal Regulations § 52.34 (1 July2001 Edition) and related federal regulations; or any similar programestablished under federal law that result from compliance with the emissionslimitations set out in this section. An agreement entered into pursuant to thissubsection shall be binding and shall be enforceable by specific performance.If the Governor enters into an agreement that provides for the transfer ofemissions allowances to the State, the Governor shall file verified copies ofthe agreement with the Attorney General, the Secretary of State, the StateTreasurer, the Secretary of Environment and Natural Resources, and theUtilities Commission. The State Treasurer shall hold all emissions allowancesthat are transferred to the State as provided in this subsection in trust forthe people of this State and shall sell, trade, transfer, or otherwise disposeof the emissions allowances only as the General Assembly shall provide by law.

(j)         An investor‑owned public utility that is subject tothe emissions limitations set out in this section shall submit to the UtilitiesCommission and to the Department on or before 1 April of each year a verifiedstatement pursuant to subsection (i) of G.S. 62‑133.6. (2002‑4, s. 1.)

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