r'

TITLE 35: ENVIRONMENTAL PROTECTION

SUBTITLE B: AIR POLLUTION

CHAPTER I: POLLUTION CONTROL BOARD

SUBCHAPTER C: EMISSION STANDARDS AND LIMITATIONS FOR STATIONARY

SOURCES

PART 217

NITROGEN OXIDES EMISSIONS

SUBPART A: GENERAL PROVISIONS

Section

217.100

217.101

217.102

217.103

217.104

Section

217.121

Section

217.141

Section

217.301

Section

217.381

Section

217.400

217.402

217.404

217.406

217.408

217.410

Section

Scope and Organization

Measurement Methods

Abbreviations and Units

Definitions

Incorporations by Reference

SUBPART B: NEW FUEL COMBUSTION EMISSION SOURCES

New Emission Sources

SUBPART C: EXISTING FUEL COMBUSTION EMISSION SOURCES

Existing Emission Sources in Major Metropolitan Areas

SUBPART K: PROCESS EMISSION SOURCES

Industrial Processes

SUBPART 0: CHEMICAL MANUFACTURE

Nitric Acid Manufacturing Processes

SUBPART T: CEMENT KILNS

Applicability

Control Requirements

Testing

Monitoring

Reporting

Recordkeeping

SUBPART U: NOx CONTROL AND TRADING PROGRAM FOR

SPECIFIED NOx GENERATING UNITS
217.450

217.452

217.454

217.456

217.458

217.460

217.462

217.464

217.466

217.468

217.470

217.472

217.474

217.476

217.478

217.480

217.482

Section

217.521

217.700

217.702

217.704

217.706

217.708

217.710

217.712

Section

217.750

217.752

217.754

217.756

217.758

217.760

217.762

217.764

217.768

217.770

Purpose

Severability

Applicability

Compliance ReqUirements

Permitting Requirements

Subpart U NOx Trading Budget

Methodology for Obtaining NOx Allocations

Methodology for Determining NOx Allowances from the New Source Set-Aside

NOx Allocations Procedure for Subpart U Budget Units

New Source Set-Asides for "New" Budget Units

Early Reduction Credits (ERCs) for Budget Units

Low-Emitter ReqUirements

Opt-In Units

Opt-In Process

Opt-In Budget Units: Withdrawal from NOx Trading Program

Opt-In Units: Change in Regulatory Status

Allowance Allocations to Opt-In Budget Units

SUBPART V: ELECTRIC POWER GENERATION

Lake of Egypt Power Plant

Purpose

Severability

Applicability

Emission Limitations

NOx Averaging

Monitoring

Reporting and Recordkeeping

SUBPART W: NOx TRADING PROGRAM FOR ELECTRICAL

GENERATING UNITS

Purpose

Severability

Applicability

Compliance Requirements

Permitting ReqUirements

NOx Trading Budget

Methodology for Calculating NOx Allocations for Budget Electrical

Generating Units (EGUs)

NOx Allocations for Budget EGUs

New Source Set-Asides for "New" Budget EGUs

Early Reduction Credits for Budget EGUs
217.774

217.776

217.778

217.780

217.782

Opt-In Units

Opt-In Process

Budget Opt-In Units: Withdrawal from NOx Trading Program

Opt-In Units: Change in Regulatory Status

Allowance Allocations to Budget Opt-In Units

SUBPART X: VOLUNTARY NOx EMISSIONS REDUCTION PROGRAM

Section

217.800

217.805

217.810

217.815

217.820

217 825

217.830

217.835

217.840

217.845

217.850

217.855

217.860

217.865

Appendix A

Appendix B

Appendix C

Appendix D

Appendix E

Appendix F

Purpose

Emission Unit Eligibility

Participation Requirements

NOx Emission Reductions and the Subpart X NOx Trading Budget

Baseline Emissions Determination

Calculation of Creditable NOx Emission Reductions

Limitations on NOx Emission Reductions

NOx Emission Reduction Proposal

Agency Action

Emissions Determination Methods

Emissions Monitoring

Reporting

Recordkeeping

Enforcement

Rule into Section Table

Section into Rule Table

Compliance Dates

Non-Electrical Generating Units

Large Non-Electrical Generating Units

Allowances for Electrical Generating Units

Authority: Implementing Sections 9.9 and 10 and authorized by Sections 27 and 28.5 of the

Environmental Protection Act [415 ILCS 5/9.9, 10, 27 and 28.5].

Source: Adopted as Chapter 2: Air Pollution, Rule 207: Nitrogen Oxides Emissions, R71-23,

4 PCB 191, April 13, 1972, filed and effective April 14, 1972; amended at 2 Ill. Reg. 17, p.

101, effective April 13, 1978; codified at 7 Ill. Reg. 13609; amended in ROl-9 at 25 Ill. Reg.

128, effective December 26, 2000; amended in R01-11 at 25 Ill. Reg. 4597, effective March

15, 2001; amended in RO1-16 and RO1-17 at 25 Ill. Reg. 5914, effective April 17, 2001.

Section 217.100

SUBPART A: GENERAL PROVISIONS

Scope and Organization

a) This Part sets standards and limitations for emission of oxides of nitrogen from

stationary sources.
b) Permits for sources subject to this Part may be required pursuant to 35 Ill. Adm.

Code 201.

c) Notwithstanding the provisions of this Part the air quality standards contained in

35 Ill. Adm. Code 243 may not be violated.

d) These rules have been grouped for convenience of the public; the scope of each

is determined by its language and history.

(Source: Amended at 25 Ill. Reg. 108, effective December 26, 2000)

Section 217.10 1 Measurement Methods

Measurement of nitrogen oxides shall be according to~

a) The phenol disulfonic acid method, 40 CFR 60, Appendix A, Method 7 (1999);

b) Continuous emissions monitoring pursuant to 40 CFR 75 (1999); and

c) Determination of Nitrogen Oxides Emissions from Stationary Sources

(Instrumental Analyzer Procedure), 40 CFR 60, Appendix A, Method 7E

(1999) .

(Source: Amended at 25 Ill. Reg. 108, effective December 26, 2000)

Section 217.102 Abbreviations and Units

a) The following abbreviations are used in this Part:

btu

EGU

kg

kg/MW-hr

lb

NO*

lbs/mmbtu

Mg

mmbtu

mmbtu/hr

MWe

MW

MW-hr

peoc

British thermal unit (60°F)

Electrical Generating Unit

kilogram

kilograms per megawatt-hour, usually used as an hourly emission

rate

pound

Nitrogen Oxides

pounds per million btu, usually used as an hourly emission rate

megagram or metric tonne

million British thermal units

million British thermal units per hour

megawatt of electricity

megawatt; one million watts

megawatt-hour

potential electrical output capacity
ppm parts per million

ppmv parts per million by volume

T English ton

b) The following conversion factors have been used in this Part:

English

2.205 lb

1 T

11b/T

Mmbtu/hr

1lb/mmbtu

Metric

1 kg

0.907 Mg

0.500 kg/Mg

0.293 MW

1.548 kg/MW-hr

(Source: Amended at 25 Ill. Reg. 108, effective December 26, 2000)

Section 217.103 Definitions

The definitions contained in 35 Ill. Adm. Code 201 and 211 apply to this Part.

Section 217. 104 Incorporations by Reference

The following materials are incorporated by reference. These incorporations do not include

any later amendments or editions.

a) The phenol disulfonic acid method, as published in 40 CFR 60, Appendix A,

Method 7 (1999);

b) 40 CFR 96, subparts B, D, G, and H (1999);

c) 40 CFR 96.1 through 96.3,96.5 through 96.7,96.50 through 96.54,96.55 (a)

& (b), 96.56 and 96.57 (1999);

d) 40 CFR 72, 75 & 76 (1999);

e) Alternative Control Techniques Document---- NOx Emissions from Cement

Manufacturing, EPA-453/R-94-004, U. S. Environmental Protection AgencyOffice of Air Quality Planning and Standards, Research Triangle Park, N. C.

27711, March 1994;

f) Section 11.6, Portland Cement Manufacturing, AP-42 Compilation of Air

Emission Factors, Volume 1: Stationary Point and Area Sources, U.S.

Environmental Protection Agency-Office of Air Quality Planning and Standards,

Research Triangle Park, N. C. 27711, revised January 1995;

g) 40 CFR 60.13 (1999); and
h) 40 CFR 60, Appendix A, Methods 7, 7A, 7C, 7D, and 7E (1999).

(Source: Amended at 25 Ill. Reg. 4597, effective March 15,2001)

SUBPART B: NEW FUEL COMBUSTION EMISSION SOURCES

Section 217.121 New Emission Sources

No person shall cause or allow the emission of nitrogen oxides (NOx) into the atmosphere in

anyone hour period from any new fuel combustion emission source with an actual heat input

equal to or greater than 73.2 MW (250 mmbtu/hr) to exceed the following standards and

limitations:

a) For gaseous fossil fuel firing, 0.310 kg/MW-hr (0.20 lbs/mmbtu) of actual heat

input;

b) For liquid fossil fuel firing, 0.464 kg/MW-hr (0.30 lbs/mmbtu) of actual heat

input;

c) For dual gaseous and liquid fossil fuel firing, 0.464 kg/MW-hr (0.30 lbs/mmbtu)

of actual heat input;

d) For solid fossil fuel firing, 1.08 kg/MW-hr (0.7 lbs./mmbtu) of actual heat input;

e) For fuel combustion emission sources burning simultaneously any combination of

solid, liquid and gaseous fossil fuels, an allowable emission rate shall be

determined by the following equation:

E = (AG + BL + CS) Q

Where:

E = Allowable nitrogen oxides emissions rate

Q = Actual heat input derived from all fossil fuels

G = Percent of actual heat input derived from gaseous fossil fuel

L = Percent of actual heat input derived from liquid fossil fuel

S = Percent of actual heat input derived from solid fossil fuel

G + L + S = 100.0

and, where A, B, C and appropriate metric and English units are determined

from the following table:

E

Q

Metric

kg/hr

MW

English

lbs/hr

mmbtu/hr
A

B

C

0.023

0.023

0.053

0.003

0.003

0.007

SUBPART C: EXISTING FUEL COMBUSTION EMISSION SOURCES

Section 217.141 Existing Emission Sources in Major Metropolitan Areas

No person shall cause or allow the emission of nitrogen oxides into the atmosphere in anyone

hour period from any existing fuel combustion emission source with an actual heat input equal

to or greater than 73.2 MW (250 mmbtu/hr), located in the Chicago or St. Louis (Illinois)

major metropolitan areas to exceed the following limitations:

a) For gaseous and/or liquid fossil fuel firing, 0.46 kg/MW-hr (0.3 lbs/mmbtu) of

actual heat input;

b) For solid fossil fuel firing, 1.39 kg/MW-hr (0.9 lbs/mmbtu) of actual heat input;

c) For fuel combustion emission sources burning simultaneously any combination of

solid, liquid and gaseous fuel, the allowable emission rate shall be determined by

the following equation:

E = (AG + BL + CS) Q

Where:

E = allowable nitrogen oxides emissions

Q = actual heat input

G = percent of actual heat input derived from gaseous fossil fuel

L = percent of actual heat input derived from liquid fossil fuel

S = percent of actual heat input derived from solid fossil fuel

G + L + S = 100.0

and, where A, B, C and appropriate metric and English units are determined

from the following table:

E

Q

A

B

C

Metric

kg/hr

MW

0.023

0.023

0.068

English

lbs/hr

mmbtu/hr

0.003

0.003

0.009
d) Exceptions: This rule shall not apply to existing fuel combustion sources which

are either cyclone fired boilers burning solid or liquid fuel, or horizontally

opposed fired boilers burning solid fuel.

SUBPART K: PROCESS EMISSION SOURCES

Section 217.301 Industrial Processes

a) New Industrial Processes. No person shall cause or allow the emission of

nitrogen oxides into the atmosphere from any new process producing products of

organic nitrations and/or oxidations using nitric acid to exceed the following

standards and limitations:

1) 2.5 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of nitric acid (loa percent acid basis) used in such new process

(5 .albs/T).

2) Visible emissions in excess of 5 percent opacity.

b) Existing Industrial Processes. No person shall cause or allow the emission of

nitrogen oxides into the atmosphere from any existing process producing

products of organic nitrations and/or oxidations using nitric acid to exceed 5.0 kg

of nitrogen oxides (expressed as nitrogen dioxide) per metric tonne of nitric acid

(loa percent acid basis) used in such process (10.0 lbs/T).

c) Exemption. Subsections (a) and (b) of this rule shall not apply to any industrial

process using less than 90.7 metric tonnes (100 tons) of nitric acid (loa percent

acid basis) annually or which produces less than 907 kg (l ton) of nitrogen

oxides (expressed as nitrogen dioxide) per year.

SUBPART 0: CHEMICAL MANUFACTURE

Section 217.381 Nitric Acid Manufacturing Processes

a) New Weak Nitric Acid Processes. No person shall cause or allow the emission

of nitrogen oxides into the atmosphere from any new weak nitric acid

manufacturing process to exceed the following standards and limitations:

1) 1.5 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of acid produced (100 percent acid basis) (3.0 lbs/T);

2) Visible emissions in excess of 5 percent opacity;
3) 0.05 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of acid produced (100 percent acid basis) from any acid storage

tank vents (0.1 lbslT).

b) Existing Weak Nitric Acid Processes. No person shall cause or allow the

emission of nitrogen oxides into the atmosphere from any existing weak nitric

acid manufacturing process to exceed the following standards and limitations:

1) 2.75 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of acid produced (l00 percent acid basis) (5.5 lbslT);

2) Visible emissions in excess of 5 percent opacity;

3) 0.1 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of acid produced (l00 percent acid basis) from any acid storage

tank vents (0.2 lbs/T).

c) Concentrated Nitric Acid Processes. No person shall cause or allow the

emission of nitrogen oxides into the atmosphere from any concentrated nitric acid

manufacturing process to exceed the following standards and limitations:

1) 1.5 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of acid produced (l00 percent acid basis)(3.0 lbs/T);

2) 225 ppm of nitrogen oxides (expressed as nitrogen dioxide) in any

effluent gas stream emitted into the atmosphere;

3) Visible emisisons in excess of 5 percent opacity.

d) Nitric Acid Concentrating Processes. No person shall cause or allow the

emission of nitrogen oxides into the atmosphere from any nitric acid

concentrating process to exceed the following limitations:

1) 1.5 kg of nitrogen oxides (expressed as nitrogen dioxide) per metric

tonne of acid produced (l00 percent acid basis) (3.0 lbs/T);

2) Visible emisisons in excess of 5 percent opacity.

SUBPART T: CEMENT KILNS

Section 217.400 Applicability

The requirements of this Subpart shall apply to the types of cement kilns listed below with

process rates in tons per hour (TPH) of clinker produced that are greater than or equal to the

following:
a) Long dry kilns -- 12 TPH;

b) Long wet kilns -- 10 TPH;

c) Preheater kilns -- 16 TPH; and

d) Preheater/precalciner kilns -- 22 TPH.

(Source: Added at 25 Ill. Reg. 4597, effective March 15, 2001.)

Section 217.402 Control ReqUirements

a) After May 30, 2004, an owner or operator of any cement kiln subject to the

requirements of this Subpart shall not operate the kiln during the initial control

period or any subsequent control period, unless the owner or operator complies

with subsection (a) (1), (a) (2), (a) (3), (a) (5) or (a) (6) of this Section for kilns that

commenced operation prior to January 1, 1996, or subsection (a)(4) or (a)(6) of

this Section for kilns that commenced operation on or after January 1, 1996.

1) The kiln is operated with a low-NOx burner or a mid-kiln firing system;

2) The kiln shall not exceed the applicable NOx emission limitation in

pounds per ton of clinker (lb/T) , expressed in the rates listed below:

A) Long dry kilns -- 5.11b NOxiT of clinker;

B) Long wet kilns -- 6.0 lb NOx/T of clinker;

C) Preheater kilns -- 3.8 lb NOxiT of clinker; or

D) Preheaterlprecalciner kilns -- 2.8 lb NOxiT of clinker.

3) The kiln achieves a 30 percent or greater reduction from its uncontrolled

baseline, established as set forth in this subsection (a) (3), and complies

with the following:

A) Uncontrolled baseline emissions shall be determined using the

following equation:

UBE =

Where:

rEF x SPR]

2000 lbs NOx IT
UBE Uncontrolled Baseline NOx emissions expressed in

tons of NOx per control period;

EF Emissions factor, expressed in lbs of NOx per ton

of clinker produced per control period, based on

one of the methods in subsection (a) (3) (B) of this

Section; and

SPR Seasonal production rate, expressed in tons of

clinker produced per control period, using the

average of the two highest control period operating

rates from the previous three-year period at the

time the application for the permit with federally

enforceable conditions is submitted to the Agency

pursuant to subsection (a) (3) (C) of this Section.

B) Emissions factors shall be determined using one of the folloWing

methods:

i) The average of the emission factors for the type of kiln

from the Compilation of Air Pollutant Emission Factors

(AP-42) and the Alternative Control Techniques Document

-- NOx Emissions from Cement Manufacturing, as

incorporated by reference in Section 217.104 of this Part;

ii) The site-specific emission factor developed from

representative emissions testing, pursuant to 40 CFR 60,

Appendix A, Method 7, 7A, 7C, 7D, or 7E, incorporated

by reference in Section 217.104 of this Part, based on a

range of typical operating conditions. The owner or

operator must establish that these operating conditions are

representative, subject to approval by the Agency, and

must certify that the emissions testing is being conducted

under representative conditions; or

iii) An alternate method for establishing the emissions factors,

when submitted with supporting data to substantiate such

emissions factors and approved by the Agency as set forth

in subsection (a) (3) (C) of this Section.

C) The owner or operator must submit an emission reduction plan to

the Agency and obtain approval of that plan by the Agency. Such

plan shall be effective only when contained as federally

enforceable conditions in a permit. Such plan shall include any

alternate procedures for monitoring, testing, reporting, or
recordkeeping approved by the Agency, or other provisions as

appropriate.

4) Any kiln subject to this Subpart that commenced operation on or after

January 1, 1996, must meet the more stringent of the requirements of this

Subpart or other CAA requirements, or rules promulgated thereunder,

applicable to kilns. If a kiln is required to comply with a more stringent

requirement pursuant to the CAA, and chooses to do so in lieu of

complying with this Subpart, the owner or operator must submit an

emissions reduction plan that demonstrates that compliance with the CAA

requirement results in emissions reductions that are equal to or exceed the

requirements of this Section and obtain a permit containing federally

enforceable conditions addressing such CAA requirement.

5) The owner or operator obtains an alternate emissions standard for

operating the kiln pursuant to Section 28.1 of the Act [415 ILCS 5/28.1],

and in accordance with 35 Ill. Adm. Code 104, Subpart D, provisions

for adjusted standards. An adjusted standard or alternate emissions

standard with an alternate compliance schedule shall be granted by the

Board to the extent consistent with federal law. Such alternate shall be

effective only when included as a federally enforceable condition in a

permit approved by USEPA or approved as a SIP revision. The adjusted

standard shall include any alternate procedures for control, compliance,

monitoring, operation, testing, reporting, or recordkeeping that are

appropriate. In addition, the owner or operator must demonstrate, as

justification for the adjusted standard, that the control requirements

contained in this Subpart, as they apply to cement kilns, meet one or

more of the following criteria:

A) Unreasonable cost of control resulting from plant, age, location or

basic process design;

B) Physical impossibility of installing necessary control equipment; or

C) Other factors specific to the cement kiln that support an alternate

emissions standard.

6) The owner or operator obtains approval by the Agency and USEPA to

allow the kiln to participate in the federal NOx Trading Program. Such

participation will be effective upon issuance of a permit containing all

necessary federally enforceable permit conditions addressing the kilnIs

participation in the federal NOx Trading Program pursuant to 40 CFR 96

and the Illinois NOx Trading Program regulations at 35 Ill. Adm. Code

Part 217. The owner or operator is not subject to the requirements of

this Subpart for the duration of its participation in the NOx Trading
Program, except for the requirement to submit the initial compliance

report pursuant to Section 217.408(a) of this Subpart.

b) Notwithstanding any other provisions of this Subpart, a source and units at the

source subject to the provisions of subsection (a) of this Section will become

subject to this Subpart on the first day of the control season subsequent to the

calendar year in which all of the other states subject to the provisions of the NOx

SIP Call (63 Fed. Reg. 57,355 (October 27, 1998)) that are located in USEPA

Region V or that are contiguous to Illinois have adopted regulations to implement

NOx trading programs and other required reductions ofNOx emissions pursuant

to the NOx SIP Call, and such regulations have received final approval by

USEPA as part of the respective states' SIPS for ozone, or a final FIP for ozone

promulgated by USEPA is effective for such other states. [415 ILCS 5/9.9(£1]

(Source: Added at 25 Ill. Reg. 4597, effective March 15, 2001.)

Section 217.404 Testing

a) Any owner or operator of a kiln that commenced operation prior to May 1,

2003, and using a 10w-NOx burner or mid-kiln firing system to demonstrate

compliance pursuant to Section 217.402 (a)(l) of this Subpart must maintain and

operate the device according to the manufacturerIs specifications as approved by

the Agency.

b) Any owner or operator of a kiln that commenced operation prior to May 1,

2003, and demonstrating compliance pursuant to Section 217.402 (a) (2) ,

(a) (3) (C), or (a) (5) of this Subpart must complete an initial performance test

between May 1, 2003, and May 30, 2004, and subsequent annual testing during

each control period in which the kiln is operated. This testing must be consistent

with the requirements of 40 CFR 60, Appendix A, Method 7, 7A, 7C, 7D, or

7E, incorporated by reference in Section 217.104 of this Part, or such alternate

test method that has been approved by the Agency pursuant to Section 217.402

(a) (3) (C) of this Subpart or the Board pursuant to Section 217.402 (a) (5) of this

Subpart.

c) The owner or operator of a kiln that commences operation on or after May 1,

2003, must complete, as appropriate, an initial performance test within one year

after initial startup and subsequent annual testing during each control period in

which the kiln is operated. This testing must be consistent with the test methods

listed in subsection (b) of this Section.

(Source: Added at 25 Ill. Reg. 4597, effective March 15, 2001.)

Section 217.406 Monitoring
a) The owner or operator of a kiln subject to this Subpart must submit a complete

monitoring plan addressing the applicable requirements of subsection (b) of this

Section to the Agency and obtain approval of such plan by the Agency. The

monitoring plan shall identify the operating conditions to be monitored and the

records to be maintained under Section 217.410 of this Subpart. For any kiln

that commences operation on or before August 31, 2003, such plan shall be

submitted on or before August 31, 2003. For any other kiln subject to this

Subpart, such plan shall be submitted with the construction permit application for

such kiln. Such plan will be effective only when included as federally

enforceable conditions in a permit issued by the Agency.

b) The plan must:

1) Identify the specific operating conditions to be monitored and the

correlation between the operating conditions and NOx emission rates;

2) Include the data and information that the owner or operator used to

identify the correlation between NOx emission rates and these operating

conditions;

3) Identify how the owner or operator will monitor these operating

conditions on an hourly or other basis, as approved by the Agency, the

quality assurance procedures or practices that will be employed to ensure

that the data generated by monitoring these operating conditions will be

representative and accurate, and the type and format of the records of

these operating conditions that will be maintained by the owner or

operator under Section 217.410 of this Subpart;

4) If operating a 10w-NOx burner or mid-kiln firing system, the plan must

include only monitoring the parameters indicated in the manufacturer's

specifications and recommendations for the 10w-NOx burner or mid-kiln

firing system as approved by the Agency; and

5) Notwithstanding the requirements of subsections (b) (1) and (b) (2) of this

Section requiring the monitoring of operating parameters, if the owner or

operator elects to monitor NOx emissions using a continuous emissions

monitoring system (CEMS), the owner or operator must submit a

monitoring plan subject to approval by the Agency that contains the

applicable provisions of 40 CFR 60.13 and of Method 7E in Appendix A

contained in 40 CFR 60, as incorporated by reference in Section 217.104

of this Part, and additional provisions regarding accuracy, data capture,

and monitoring frequency.
c) The owner or operator must monitor the operating parameters of the emission

unit and predict NOx emission rates in accordance with the plan specified in the

applicable operating permit.

(Source: Added at 25 Ill. Reg. 4597, effective March 15, 2001.)

Section 217.408 Reporting

a) By May 31, 2004, or within one year after initial startup, whichever occurs

later, the owner or operator of a kiln subject to the requirements of this Subpart

must submit to the Agency an initial compliance certification for each kiln subject

to the requirements of Section 217.402 of this Subpart. This certification must

contain the following information as applicable:

1) The identity and type of each kiln subject to this Subpart, the name and

address of the plant where the kiln is located, and the name and telephone

number of the person responsible for demonstrating compliance with this

Subpart;

2) A demonstration that each kiln is in compliance with Section 217.402 of

this Subpart, identifying the provision with which it is complying and is

accompanied by a summary of the approved compliance method, e.g.,

performance test for the kiln and other supporting data being relied upon

by the owner or operator;

3) If demonstrating compliance by use of a 10w-NOx burner or mid-kiln

firing system pursuant to Section 217.402 (a)(l) of this Subpart, a copy of

the manufacturer's recommended maintenance and schedule for

maintenance as approved by the Agency;

4) If demonstrating compliance pursuant to Section 217.402(a)(3)(C) or

(a) (5) of this Subpart, the date on which the permit containing the

emission reduction plan or SIP revision was received as federally

enforceable conditions; and

5) If demonstrating compliance pursuant to Section 217.402 (a)(6) of this

Subpart, the date of issuance and the identification of the permit

authorizing, through federally enforceable conditions, participation in the

federal NOx Trading Program.

b) Beginning in 2004, by December 31 of each year, owners and operators

complying with this Subpart pursuant to Section 217.402 (a)(1) , (a)(2) , (a)(3),

(a) (4), or (a) (5) must, as a seasonal component of its annual emission report

pursuant to 35 Ill. Adm. Code 254, report the total NOx emissions ofeach
subject kiln during the control period of each year to the Agency, if the kiln

operated during this period.

(Source: Added at 25 Ill. Reg. 4597, effective March 15, 2001.)

Section 217.410 Recordkeeping

a) Any owner or operator of a cement kiln subject to this Subpart must produce

and maintain records that include, but are not limited to:

1) Emissions in pounds of NOx per ton of clinker produced from each kiln

subject to the requirements of Section 217.402(a)(2), (a)(3)(C) or (a)(5) of

this Subpart;

2) The date, time, and duration of any startup, shutdown, or malfunction in

the operation of any cement kiln subject to this Subpart or any emissions

monitoring equipment. The records shall include a description of the

malfunction and maintenance activity;

3) If operating a 10w-NOx burner or mid-kiln firing system: the date, time

and duration of any regularly scheduled maintenance, with a description

of the activity, and tons of clinker produced from each kiln;

4) The results of any required performance testing;

5) Daily cement kiln clinker production in tons per day; and

6) The records of monitoring required by Section 217.406 of this Subpart.

b) All records required to be produced or maintained shall be retained on site for a

minimum of three years and be made available to the Agency upon request.

(Source: Added at 25 Ill. Reg. 4597, effective March 15, 2001.)

SUBPART U: NOx CONTROL AND TRADING PROGRAM FOR

SPECIFIED NOx GENERATING UNITS

Section 217.450 Purpose

The purpose of this Subpart is to cap the emissions of nitrogen oxides (NOJ during the ozone

control period from units subject to the provisions of this Subpart (budget units) by determining

source allocations and by implementing the federal NOx Trading Program, 40 CFR 96,

consistent with the provisions of this Subpart.
(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.452 Severability

If any Section, subsection or clause of this Subpart is found invalid, such finding shall not affect

the validity of this Subpart as a whole or any Section, sentence or clause not found invalid.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.454 Applicability

a) This Subpart applies to any fossil fuel-fired stationary boiler, combustion turbine,

or combined cycle system, with a maximum design heat input greater than 250

mmbtu/hr and that is:

1) A unit listed in Appendix E of this Subpart, irrespective of any

subsequent changes in ownership, unit designation, or name of the unit;

or

2) A unit not listed in Appendix E of this Subpart that:

A) At no time serves a generator producing electricity for sale;

B) At any time serves a generator producing electricity for sale, if

such generator has a nameplate capacity of 25 MWe or less and

has the potential to use no more than 50% of the potential

electrical output capacity of the unit. Fifty percent of a unit's

potential electrical output capacity shall be determined by

multiplying the unit's maximum design heat input by 0.0488

MWe/mmbtu. If the size of the generator is smaller than this

calculated number, the unit is subject to the provisions of this

Subpart, but if the size of the generator is greater than this

calculated number, the unit is subject to the provisions of Subpart

W of this Part;

C) Is part of any source, as that term is defined in 35 Ill. Adm. Code

Section 211. 6130, listed in Appendix E of this Part; or

D) Is a unit subject to Subpart W of this Part (excluding any unit

listed in Appendix F of this Part, regardless of any change in

ownership or any change of operator), and the owner or operator

makes a permanent election, at the time of applying for a budget

permit pursuant to this Part, to subject the unit to the requirements

of this Subpart rather than Subpart W of this Part. Any unit for
which such an election is made will not receive an allocation from

the Subpart U or Subpart W NOx Trading Budget.

b) Those units that meet the above criteria and are subject to the NOx Trading

Program emissions limitations contained in this Subpart are budget units.

c) Low-emitter status: Notwithstanding subsection (a) of this Section, the owner or

operator of a budget unit subject to the requirements of subsection (a) of this

Section may elect low-emitter status by obtaining a permit with federally

enforceable conditions that meet the requirements of Section 217 .472 (a) .

Starting with the effective date of such permit, the unit shall be subject only to

the requirements of Section 217.472.

d) The owner or operator of any budget unit not listed in Appendix E of this Part

but subject to this Subpart shall not receive an allocation of NOx allowances from

the Subpart U or Subpart W NOx Trading Budget, except for any allowance

from the new source set-aside in accordance with Section 217.468 of this

Subpart. Such unit must acquire NOx allowances in an amount not less than the

NOx emissions from such budget unit during the control period (rounded to the

nearest whole ton) in accordance with the federal NOx Trading Program,

Subpart X of this Part or pursuant to a permanent transfer of NOx allocations

pursuant to Section 217.462 (b) of this Subpart.

e) Notwithstanding any other provisions of this Subpart, a source and units at the

source subject to the provisions of subsection (a) of this Section will become

subject to this Subpart on the first day of the control season subsequent to the

calendar year in which all of the other states subject to the provisions of the NOx

SIP Call (63 Fed. Reg. 57355 (October 27, 1998)) that are located in USEPA

Region V or are that contiguous to Illinois have adopted regulations to implement

NOx trading programs and other required reductions ofNOx emissions pursuant

to the NOx SIP Call, and such regulations have received final approval by

USEPA as part of the respective states' SIPs for ozone, or a final FIP for ozone

promulgated by USEPA is effective. [415 ILCS 5/9.9(0]

(Source: Added at 25 Ill. Reg. 5914, effective April 17, 2001)

Section 217.456 Compliance Requirements

All budget units subject to the requirements of this Subpart must comply with the following:

a) The requirements of this Subpart and 40 CFR 96, excluding 40 CFR 96.4(b),

96.55(c) and subparts C, E, and I, as incorporated by reference in Section

217.104 of this Part. To the extent that this Subpart contains provisions which
are inconsistent with any provisions of 40 CFR 96, the owner or operator of

budget units subject to this Subpart shall comply with the provisions of this

Subpart in lieu of those provisions which were incorporated by reference.

b) Budget permit requirements:

1) The owner or operator of each source with one or more budget units at

the source subject to this Subpart must submit a complete permit

application for a budget permit in accordance with the provisions of

Section 217.458(a)(4), (a)(5) or (a)(6), as applicable, to be issued by the

Agency with federally enforceable conditions covering the NOx Trading

Program (budget permit), and that complies with the requirements of

Section 217.458 of this Subpart.

2) The owner or operator of one or more budget units subject to this

Subpart must operate each such budget unit in compliance with such

budget permit or complete budget permit application, as applicable.

3) The owner or operator of one or more budget units subject to this

Subpart, at the time of filing an application for a permit under this

Section, must submit a complete application for either a permit

incorporating a source-wide overdraft account (as such term is defined in

40 CFR 96.2), or a permit incorporating unit specific compliance

accounts for each budget unit at the source subject to this Subpart. Such

election shall be at the sole discretion of the owner or operator of the

source and the Agency shall incorporate such election into a permit issued

to the source pursuant to this Subpart.

c) Monitoring requirements:

1) For budget units subject to the requirements of this Subpart, and which

commence operation on and after January 1, 2000, the owner or operator

of each such budget unit at the source must comply with the monitoring

requirements of 40 CFR 96, subpart H. The account representative of

each such budget unit at the source shall comply with those sections of

the monitoring requirements of 40 CFR 96, subpart H, applicable to an

account representative.

2) The compliance of each budget unit subject to the requirements of

subsection (c) (1) or subsection (c) (3) (A) of this Section with the control

period NOx emissions limitation under subsection (d) of this Section shall

be determined by the emissions measurements recorded and reported in

accordance with 40 CFR 96, subpart H.

3) For budget units which commenced operation prior to January 1, 2000:
A) The owner or operator of each such budget unit at the source

must comply with the requirements of 40 CFR 96, subpart H; or

B) If the monitoring requirements of 40 CFR 96, subpart H, are

demonstrated by the source to be technically infeasible as applied

to a budget unit subject to the requirements of this Subpart, the

owner or operator of such budget unit may monitor by an

alternative monitoring procedure for the budget unit approved by

the Agency and the Administrator of USEPA pursuant to the

provisions of 40 CFR 75, subpart E. Such alternative monitoring

procedures must be contained as federally enforceable conditions

in the unit's permit.

4) The compliance of each budget unit subject to the requirements of

subsection (c) (3) (B) of this Section shall be determined by the emissions

measurements recorded and reported in accordance with the federally

enforceable conditions in the budget unit's permit addressingmonitoring

as required by subsection (c) (3) (B) of this Section.

d) Allowance requirements:

1) As of November 30 of each year, the allowance transfer deadline, the

account representative of each source subject to the requirements of this

Subpart must hold allowances available for compliance deductions under

40 CFR 96.54 for each budget unit at the source subject to this Subpart

in the budget unit's compliance accounts, or the source's overdraft

account. The number of allowances held in these accounts shall not be

less than the total NOx emissions for the control period (rounded to the

nearest whole ton), as determined in accordance with subsection (c) of

this Section, plus any number of allowances necessary to account for

actual utilization (e.g., for testing, start-up, malfunction, and shut down)

under 40 CFR 96.42(e) for all budget units at the source subject to this

Subpart. Compliance with this provision shall be demonstrated if, as of

the allowance transfer deadline, the sum of the allowances available for

compliance deductions for all budget units at the source subject to this

Subpart is equal to or greater than the total NOx emissions (rounded to

the nearest whole ton) from all budget units at the source subject to this

Subpart.

2) Allowances shall be held in, deducted from, or transferred among

allowance accounts in accordance with this Subpart and 40 CFR 96,

subparts F and G.
3) Each ton of NOx emitted by a source with one or more budget units

subject to this Subpart in any control period in excess of the NOx

allowances held by the owner or operator for each budget unit at the

source subject to this Subpart for each control period shall constitute a

separate violation of this Subpart and the Act.

4) In order to comply with the requirements of subsection (d) (1) of this

Section, an allowance may not be utilized for a control period in a year

prior to the year for which the allowance was allocated.

5) An allowance allocated by the Agency or USEPA under the NOx

Trading Program is a limited authorization to emit one ton of NOx ' No

provision of the NOx Trading Program, any permit issued or permit

application submitted pursuant to this Subpart, or an exemption under 40

CFR 96.5 and no provision of law shall be construed to limit the

authority of the United States or the State to terminate or limit this

authorization.

6) An allowance allocated by the Agency or USEPA under the NOx

Trading Program or pursuant to this Subpart does not constitute a

property right.

7) Upon recordation by USEPA under 40 CFR 96, subpart F or G, every

allocation, transfer, or deduction of an allowance to or from a budget

unit's compliance account or to or from the source's general or overdraft

account where the budget unit is located is deemed to amend

automatically and become a part of any budget permit of the budget unit.

This automatic amendment of the budget permit shall occur by operation

of law and will not require any further review.

e) Recordkeeping and reporting requirements:

1) Unless otherwise provided, the owner or operator of a source subject to

the requirements of this Subpart must keep at the source each of the

documents listed in subsections (e)(l)(A) through (e)(l)(D) of this Section

for a period of 5 years from the date the document is created. This

period may be extended for cause at any time prior to the end of 5 years

in writing by the Agency or USEPA.

A) The account certificate of representation for the account

representative for the source and each budget unit at the source

subject to the requirements of this Subpart and all documents that

demonstrate the truth of the statements in the account certificate of

representation, in accordance with 40 CFR 96.13, proVided that

the certificate and such supporting documents must be retained on
site at the source beyond such five-year period until such

documents are superseded because of the submission of a new

account certificate of representation changing the account

representative.

B) All emissions monitoring information, in accordance with

subsection (c) of this Section, provided that to the extent that 40

CFR 96, subpart H, provides for a three-year period for

recordkeeping, the three-year period shall apply.

C) Copies of all reports, compliance certifications, and other

submissions and all records made or reqUired under this Subpart

or the NOx Trading Program or documents necessary to

demonstrate compliance with the requirements of this Subpart or

the NOx Trading Program.

D) Copies of all documents used to complete a budget permit

application and any other submission under this Subpart or under

the NOx Trading Program.

2) The account representative of a source and each budget unit at the source

subject to the requirements of this Subpart must submit to the Agency and

USEPA the reports and compliance certifications required under this

Subpart and the NOx Trading Program, including those under 40 CFR

96, subparts D and H.

f) Liability:

1) No revision of a budget permit shall excuse any violation of the

requirements of the NOx Trading Program or this Subpart that occurs

prior to the date that the revision under such budget permit takes effect.

2) Each budget source and each budget unit at the source shall meet the

requirements of the NOx Trading Program.

3) Any provision of this Subpart or the NOx Trading Program that applies

to a source subject to the requirements of this Subpart (including a

provision applicable to the account representative of the source) shall also

apply to the owner and operator of such source and to the owner and

operator of the budget units subject to the requirements of this Subpart at

the source.

4) Any provision of this Subpart or the NOx Trading Program that applies

to a budget unit subject to the requirements of this Subpart (including a
provision applicable to the account representative of such budget unit)

shall also apply to the owner and operator of such budget unit. Except

with regard to the requirements applicable to budget units with a common

stack under 40 CFR 96, subpart H, the owner and operator and the

account representative of one budget unit shall not be liable for any

violation by any other budget unit of which they are not an owner or

operator or the account representative and that is located at a source of

which they are not an owner or operator or the account representative.

5) Excess emissions requirements: The account representative of a source

that has excess emissions in any control period shall surrender the

allowances as required for deduction under 40 CFR 96.54(d) (1).

6) The owner or operator of a budget EGU that has excess emissions in any

control period shall pay any fine, penalty, or assessment or comply with

any other remedy imposed under 40 CFR 96.54(d)(3) and the Act.

g) Effect on other authorities: No provision of this Subpart, the NOx Trading

Program, a budget permit application, a budget permit, or a retired budget unit

exemption under 40 CFR 96.5 shall be construed as exempting or excluding the

owner or operator and, to the extent applicable, the account representative of a

source or budget unit from compliance with any other regulations promulgated

under the CAA, the Act, an approved State implementation plan, or a federally

enforceable permit.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.458 Permitting Requirements

a) Budget permit requirements:

1) The owner or operator of each source with one or more budget units

subject to this Subpart is required to timely submit, in accordance with

subsection (a) (4), (a) (5), or (a) (6) of this Section, as applicable, a

complete permit application addressing all requirements of this Subpart

applicable to such budget units.

2) Each budget permit (including a draft or proposed budget permit, if

applicable) shall contain federally enforceable conditions addressing all

applicable requirements of the NOx Trading Program and requirements of

this Subpart and shall be a complete and segregable portion of the

source's entire permit.

3) No budget permit will be issued, and no NOx allowance account will be

established for any budget unit subject to this Subpart, until the Agency
and USEPA have received a complete account certificate of

representation under 40 CFR 96, subpart B, for an account representative

of the source and each budget unit at the source subject to this Subpart.

4) For any budget unit subject to this Subpart that commenced operation

before November 1, 2003, and for which a CAAPP permit is not

required pursuant to Section 39.5 of the Act, the owner or operator of

such budget unit must submit a budget permit application meeting the

requirements of this Subpart on or before November 1, 2003.

5) For any budget unit subject to this Subpart that commenced operation

before August 1, 2003, and for which a CAAPP permit is required

pursuant to Section 39.5 of the Act, the owner or operator of such

budget unit must submit a budget permit application meeting the

requirements of this Subpart on or before August 1, 2003.

6) For any budget unit subject to this Subpart that is subject to Section 39.5

of the Act and that commences operation on or after August 1, 2003, and

for any budget unit subject to this Subpart and not subject to Section 39.5

of the Act that commences operation on or after November 1, 2003, the

owner or operator of such budget units must submit applications for

construction and operating permits pursuant to the requirements of

Sections 39 and 39.5 of the Act and 35 Ill. Adm. Code 201 and such

applications must specify that they are applying for budget permits, and

must address the budget permit application requirements of this Subpart.

b) Budget permit applications:

1) Duty to apply: The owner or operator of any source with one or more

budget units subject to this Subpart must submit to the Agency one or

more complete budget permit applications under subsection (b) (2) of this

Section for such budget units by the applicable deadline in subsection

(a) (4), (a) (5), or (a) (6) of this Section. The owner or operator of any

source with such budget units must reapply for a budget permit as

required by this Subpart, and 35 Ill. Adm. Code 201 and Sections 39 and

39.5 of the Act.

2) Information requirements for budget permit applications: A complete

budget permit application must include the following elements concerning

the budget units for which the application is submitted:

A) Identification of the source, including plant name. The ORIS

(Office of Regulatory Information Systems) or facility code

assigned to the source by the Energy Information Administration

must also be included, if applicable;
B) Identification of each fossil fuel-fired combustion turbine,

stationary boiler or combined cycle system budget unit at the

source;

C) An explanation why each budget unit is subject to the

requirements of Section 217.454 of this Subpart; and

D) The compliance requirements of Section 217.456 of this Subpart.

3) Federally enforceable status of budget permit: An application for a

budget permit shall be treated as a modification of the sourceIs existing

federally enforceable permit, if such permit has been issued for the

source, and shall be subject to the same procedural requirements as the

original application. When the Agency issues a budget permit it shall be

incorporated into and become a segregable part of the source Is existing

federally enforceable permit.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.460 Subpart U NOx Trading Budget

a) The initial NOx allowances available for allocation for each control period (the

Subpart U NOx Trading Budget) for budget units subject to the provisions of this

Subpart shall be 4,882 tons per control period, subject to adjustment in

accordance with subsections (b), (c) and (d) of this Section, and subject to the

new source set-aside for budget units subject to this Subpart, as set forth in

Sections 217.462 and 217.464 of this Subpart. The Subpart U NOx Trading

Budget shall be initially allocated as set forth in Appendix E of this Part.

b) The Agency may adjust the Subpart U NOx Trading Budget available for

allocations in subsection (a) of this Section by adding allowances for budget units

subject to this Subpart opting to become subject to this Subpart pursuant to the

requirements for opt-in units in Sections 217.474 and 217.476 of this Subpart.

c) The Agency shall adjust the Subpart U NOx Trading Budget available for

allocations in subsection (a) of this Section to remove allowances from units

opting to become exempt pursuant to the requirements for low-emitters in

Sections 217.454(c) and 217.472 of this Subpart.

d) Except as set forth in subsection (e) of this Section, if USEPA adjusts the base

Subpart U NOx Trading Budget of 4,882 allowances, the Agency will adjust the

Subpart U NOx Trading Budget pro-rata.
e) If USEPA adjusts the Subpart U NOx Trading Budget as to any individual

budget unit, the Subpart U NOx Trading Budget shall not be adjusted pro-rata,

and only the allowance allocation for that budget unit will be adjusted.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.462 Methodology for Obtaining NOx Allocations

a) Appendix E of this Part identifies the sources with existing budget units subject

to this subpart and the number of NOx allowance allocations that each such

budget unit is eligible to receive each control period, subject to adjustment in

accordance with Section 217.460 of this subpart and for transfers made in

accordance with subsection (b) of this section. Each named budget unit's

allocation will be adjusted proportionally based on the adjusted Subpart U NOx

Trading Budget as provided by Section 217.460 of this Subpart.

b) The owner or operator of budget units subject to this Subpart may permanently

transfer all or part of their allocation of allowances pursuant to Column 5 of

Appendix E of this part, subject to adjustment in accordance with this Subpart, to

another budget unit subject to this Subpart, or to a budget unit subject to Subpart

W of this Part. Such transfer will be effective by submitting a written request to

the Agency that is signed by the account representative for the transferring

budget unit and containing the account number for the recipient budget unit. The

owner or operator of budget units subject to this Subpart may not permanently

transfer all or part of the new source set-aside indicated as the difference

between Column 4 and Column 5 of Appendix E of this Part.

c) Subject to adjustment in accordance with this Subpart, or revocation or revision

of the federal NOx Trading Program or this Subpart, allocations pursuant to

Appendix E ofthis Part exist for the life of the program, including all or a

portion of any allocation transferred to another budget unit pursuant to the

provisions of this Subpart.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.464 Methodology for Determining NOx Allowances from the New Source

Set-Aside

a) The methodology for calculating the allowances available to be allocated to new

budget units subject to this Subpart from the new source set-aside is based on the

more stringent emission rate of 0.15 lbs/mmbtu or the permitted NOx emission

rate, but not less than 0.055 lbs/mmbtu.

b) The general equation for determining allowances is:
A HI x ER

2000

Where HI = heat input (in mmbtulcontrol period) as determined in

accordance with subsection (c) of this Section.

Where ER = The NOx emission rate in lbs/mmbtu as determined in

accordance with subsection (a) of this Section.

Where A = allowances of NO/control period.

c) The projected heat input shall be determined as set forth below, divided by 2000

lbs/ton:

1) For "new" budget units subject to this Subpart that have seasonal heat

input from at least 3 control periods prior to the allocation year, the

average of the budget unit's 2 highest seasonal heat inputs from the

control periods 1 to 3 years prior to the allocation year;

2) For "new" budget units subject to this Subpart that have seasonal heat

input from only 2 control periods prior to the allocation year, the average

of the budget unit's seasonal heat inputs from the control periods 1 and 2

years prior to the allocation year;

3) For "new" budget units subject to this Subpart that have seasonal heat

input from only the control period prior to the allocation year, the heat

input from that control period; or

4) For "new" budget units subject to this Subpart that have not operated for

at least 77 days of the control period prior to the allocation year, the

budget unit's maximum design heat input for the control period as

designated in the construction permit.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.466 NOx Allocations Procedure for Subpart U Budget Units

For each control period, the Agency will allocate the total number of NOx allowances in the

Subpart U NOx Trading Budget apportioned to budget units under Section 217.460 of this

Subpart, subject to adjustment as provided in this Subpart. These allocations will be issued as

proVided in subsections (a) and (b) of this Section, as follows:
a) The Agency will allocate to each budget unit that is listed in Appendix E of this

Part the number of allowances listed in Column 5 of Appendix E of this Part for

that budget unit for each 3-year period of the program. The Agency will report

these allocations to USEPA by March 1 of 2004, and triennially thereafter.

b) The Agency will allocate allowances from the new source set-aside to "new"

budget units as set forth in Section 217.468 of this Subpart.

c) The Agency will report allocations from the new source set-aside to USEPA by

April 1 of each year for the following year.

d) To the extent that allowances remain in the new source set-aside after any

allocation pursuant to subsection (b) of this Section, the Agency shall allocate any

such remaining allowances pro-rata to the owner or operator of the budget units

listed in Appendix E of this Part to the extent a whole allowance may be

allocated to any such owner or operator. The Agency will make such allocation

by April 15 of each year. If there are insufficient allowances to allocate a whole

allowance to any such owner or operator of a budget unit listed in Appendix E

of this Part, such allowances shall be retained by the Agency in the new source

set-aside. Any such allowances retained in the new source set-aside shall be

accumulated in the new source set-aside and may either:

1) Be available for allocation to new budget units for future control periods,

subject to the provisions of Section 217.468 of this Subpart; or

2) If, after any annual allocation to new budget units, there are sufficient

allowances accumulated in the new source set-aside to allocate one or

more whole allowances to the owner or operator of existing budget units

listed in Appendix E of this Part on a pro-rata basis, such accumulated

whole allowances shall be allocated pro-rata to such owner or operators.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.468 New Source Set-Asides for "New" Budget Units

a) For the 2004, 2005 and 2006 control periods, a "new" budget unit is one that

commenced commercial operation on or after January 1, 2000. For the 2007

and later control periods, a "new" budget unit is one that commenced

commercial operation no more than 3 control periods prior to the year the

allocation is requested pursuant to this Section. Those units that commenced

commercial operation on or after January 1, 2000, but before May 31, 2004,

become "existing" budget units on October 1, 2004. Those units that

commenced commercial operation on or after May 31, 2004, become "existing"

budget units the end of the third control period after they commenced

commercial operation.
b) "New" budget units must have an allowance for every ton of NOx emitted

during the control period as provided in Section 217.456 (d) of this Subpart.

c) The Agency will establish a new source set-aside for each control period from

which "new" budget units may purchase NOx allowances. Each new source setaside will be allocated allowances equal to 3% of each source's initial total

Subpart U NOx Trading Budget allocation as reflected in Column 5 of Appendix

E of this Part, which is 146 allowances, for each control period. The allocation

for the new source set-aside from each source shall be based on 3% of the

source's initial allocation, without regard to subsequent adjustment to any such

source IS current allocation, including permanent transfer of allowances to another

source or revision of the Subpart U NOx Trading Budget by USEPA.

d) A "new" budget unit may request to purchase from the Agency a number of

allowances that is not more than the number of allowances for which it is

eligible, as determined in Section 217.464 of this Subpart, and subject to the

provisions of this Section.

e) The account representative of a "new" budget unit under subsection (a) of this

Section may purchase allowances from the new source set-aside by submitting to

the Agency a request, in writing or in a format specified by the Agency, to be

allocated allowances for the current control period from the new source setaside. The allocation request for each applicable control period must be

submitted after the date on which the Agency issues a construction permit to the

"new" budget unit and before February 1 of the control period for which the

allocation is requested.

f) The Agency will notify the account representative by March 1 of the applicable

year of the number of allowances that are eligible for purchase for the "new"

budget unit pursuant to the requirements of this Section. If the Agency does not

receive payment by March 15 of the applicable year, the account representative

will forfeit his/her eligibility to purchase the allowances offered. The Agency

will make available for purchase those forfeited allowances on a pro-rata basis to

"new" budget units requesting allocations pursuant to this Section, up to the

number of allowances requested by each account representative. Such additional

allocations are subject to the purchase requirements of subsection (g) of this

Section.

g) The price of allowances from the new source set-aside shall be:

1) For 2004 only, the price shall be the average price at which NOx

allowances were traded in 2003 in the Ozone Transport Region; and
2) For all years other than 2004, the average price at which NOx allowances

were traded in the interstate NOx Trading Program for the preceding

control period.

h) The fees collected by the Agency from the sale of allowances will be distributed

pro-rata to budget units receiving allowances pursuant to Appendix E of this Part

on the basis of allocated allowances, subject to Agency administrative costs

assessed pursuant to Section 9.9 of the Act.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.470 Early Reduction Credits (ERCs) for Budget Units

If a budget unit reduces its NOx emission rate as required by the applicable provisions of

subsection (c) of this Section in the 2001 or 2002 control period, or if approved by USEPA the

2003 control period, for use in 2004 control period, or later control periods authorized by

USEPA, the account representative may request early reduction credits (ERCs) for such

reductions, and the Agency will allocate ERCs to the budget unit in accordance with the

following:

a) Each budget unit for which the account representative requests any ERCs under

subsection (d) of this Section must monitor NOx emissions in accordance with 40

CFR 96, subpart H, as incorporated by reference in Section 217.104 of this

Part, starting with the control period prior to the control period for which ERCs

will first be requested and for each control period for which ERCs will be

requested. For example, if ERCs are requested for reductions made in the 2001

control period, the budget unit must have implemented the applicable monitoring

for the 2000 control period. The budget unit's monitoring system availability

must be at least 90% during the control period prior to the control period in

which the NOx emissions reduction is made and the budget unit must be in

compliance with any applicable State or federal emissions or emissions-related

requirements.

b) The NOx emission rate and heat input under subsections (c) through (e) of this

Section shall be determined in accordance with 40 CFR 96, subpart H.

c) Each budget unit for which ERCs are requested under subsection (d) of this

Section must have reduced its NOx emission rate for each control period for

which ERCs are requested by 30% or more below the actual NOx emissions rate

(lbs/mmbtu) for the first control period in which ERC's are requested.

d) The account representative of a budget unit that meets the requirements of

subsections (a) through (c) of this Section may submit to the Agency a request
for ERCs for the budget unit based on NOx emission rate reductions made by the

budget unit in control periods 2001, 2002 and 2003.

1) The number of ERCs that may be requested for any applicable control

period shall be an amount equal to the budget unit's heat input for such

control period multiplied by the difference between the budget unit's NOx

emission rate (meeting the requirements of subsection (c) of this Section

for the applicable control period) and the budget unit's actual NOx

emission rate for the applicable control period, divided by 2000 lbs/ton,

and rounded to the nearest ton;

2) Upon request of the account representative, the ERC allowance allocation

for a particular budget unit may be deposited in the source's overdraft

account rather than in the budget unit's compliance account; and

3) The early reduction request must be submitted by November 1 for

reductions made in the previous control period, in a format specified by

the Agency.

e) In the event that the May 31, 2004 date for implementing the NOx SIP Call is

delayed, the early reduction request must be submitted in accordance with any

rulemaking or guidance by USEPA on the distribution of the Compliance

Supplement Pool under the NOx SIP Call, 63 Fed. Reg.57356 (October 27,

1998).

f) The Agency will allocate ERCs to the budget units meeting the requirements of

subsections (a) through (c) of this Section and covered by ERC requests meeting

the requirements of subsection (d) of this Section in accordance with the

following procedures:

1) The Agency shall allocate no more than 2,427 ERCs over three years, as

follows:

A) Not more than one-half of the total ERC allowances for reductions

made in the control period in 2001;

B) Not less than one-half of the total ERC allowances for reductions

made in the control period in 2002; and

C) If approved by USEPA, any ERC allowances not allocated

pursuant to subsection (f) (1) (A) or (B) of this Section, for

reductions made in the control period in 2003.
2) If the number of ERC allowances requested for a reduction achieved in

any control period is less than or equal to the number of ERC allowances

designated for that control period in subsection (f) (1) of this Section, the

Agency will allocate one allowance for each accepted ERC request; and

3) If the number of ERC allowances requested for a reduction achieved in

any control period is greater than the number of ERC allowances

designated for that control period in subsection (f) (1) of this Section, the

Agency will allocate allowances for accepted requests on a pro-rata basis.

g) By April 1, the Agency will notify the account representative submitting an ERC

request for the subsequent control period of the number of ERC allowances that

will be allocated to each budget unit for that control period.

h) By May 1, 2004, the Agency will submit to USEPA the ERC allocations made

by the Agency under this Section. USEPA will record such allocations to the

extent that they are consistent with the requirements of this Section.

i) ERC allowances recorded under subsection (h) of this Section may be deducted

under 40 CFR 96.54, as incorporated by reference in Section 217.104 of this

Part, for the control period in 2004 or such control periods as may be specified

by USEPA. Notwithstanding 40 CFR 96.55(a), USEPA will deduct as retired

any ERC allowances that are not deducted for compliance in accordance with 40

CFR 96.54 for the control period in 2004 or such control periods as may be

specified by USEPA.

j) ERC allowances are treated as banked allowances in 2004 for the purposes of 40

CFR 96.55(a) and (b).

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.472 Low-Emitter Requirements

Starting with the effective date of the permit referred to in Section 217.454(c), the budget unit

electing low-emitter status shall be subject only to the requirements of this Section.

a) For each control period the owner or operator elects low-emitter status, the

federally enforceable permit conditions must:

1) Restrict the unit to burning only natural gas, fuel oil, or natural gas and

fuel oil;

2) Limit the unit's potential NOx mass emissions for the control period to 25

tons or less;
3) Restrict the unit's operating hours to the number calculated by dividing

25 tons of potential NOx mass emissions by the unit's maximum potential

hourly NOx mass emissions;

4) Require that the unit's potential NOx mass emissions shall be calculated

by using the monitoring provisions of 40 CFR 75, or if the unit does not

rely on these monitoring provisions, as follows:

A) Select the applicable default NOx emission rate:

0.7 lbs/mmbtu for combustion turbines burning natural gas

exclusively during the control period; 1.2 lbs/mmbtu for

combustion turbines burning any fuel oil during the control

period; 1.5 lbs/mmbtu for boilers burning natural gas exclusively

during the control period; or 2 lbs/mmbtu for boilers burning any

fuel oil during the control period.

B) Multiply the default NOx emission rate under subsection (a) (4) (A)

of this Section by the unit's maximum rated hourly heat input

which is the higher of the manufacturer's maximum rated hourly

heat input or the highest observed hourly heat input. The owner

or operator of the unit may request in the permit application

required by this subsection that the Agency use a lower value for

the unit's maximum rated hourly heat input. The Agency may

approve such lower value if the owner or operator demonstrates

that the maximum hourly heat input specified by the manufacturer

or the highest observed hourly heat input, or both, are not

representative. The owner or operator must demonstrate that such

lower value is representative of the unit's current capabilities

because modifications have been made to the unit that permanently

limit the unit's capacity;

5) Require that for 5 years at the source that includes the unit, records

demonstrating that the operating hours restriction, the fuel use restriction

and the other requirements of the permit related to these restrictions were

met; and

6) Require that the owner or operator of the unit report to the Agency for

each control period the unit's hours of operation (treating any partial hour

of operation as a whole hour of operation), heat input and fuel use by

type. This report shall be submitted by November 1 of each year the unit

elects low-emitter status.
b) The Agency will notify the USEPA in writing of each unit electing low-emitter

status pursuant to the requirements of subsection (a) of this.Section and when any

of the following occurs:

1) The permit with federally enforceable conditions that includes the

restrictions in subsection (a) of this Section is issued by the Agency;

2) Such permit is revised to remove any such restriction;

3) Such permit includes any such restriction that is no longer applicable; or

4) The unit does not comply with any such restriction.

c) The unit shall become subject to the requirements of this Subpart if, for any

control period under this Section, the fuel use restriction or the operating hours

restriction under subsection (a) of this Section is removed from the unit's permit

or otherwise is no longer applicable, or the unit does not comply with the fuel

use restriction or the operating hours restriction under subsection (a) of this

Section. Such unit shall be treated as commencing operation on September 30 of

the control period for which the fuel use restriction or the operating hours

restriction is no longer applicable or during which the unit does not comply with

the fuel use restriction or the operating hours restriction.

d) The owner or operator of a unit to which the Agency has ever allocated

allowances under Appendix E of this Part may elect low-emitter status. In that

case, the Agency will reduce the Subpart U NOx budget by the number of

allowances equal to the amount of NOx emissions the unit is permitted to emit

during the control period, pursuant to a federally enforceable condition in the

unit's permit. The owner or operator of a unit electing low-emitter status may

demonstrate that it holds sufficient allowances to cover the unit's NOx emissions

by offsetting the emissions from such unit, not to exceed its permitted emission

limit as included in its federally enforceable permit, with allowances issued for

voluntary NOx reductions meeting the requirements of Subpart X of this Part.

The Agency will not reduce the Subpart U NOx budget by the allowances issued

for NOx reductions obtained in accordance with Subpart X of this Part.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.474 Opt-In Units

a) Any operating fossil fuel-fired stationary boiler, combustion turbine, combined

cycle system, cement kiln or stationary internal combustion engine in the State

may qualify under this Subpart to become an opt-in budget unit if it:
1) Is not a budget EGU under Subpart W of this Part;

2) Vents all of its emissions to a stack;

3) Has documented heat input for more than 876 hours in the six months

immediately preceding the submission of an application for an initial

budget permit under subsection (d) of this Section;

4) Is not covered by a retired unit exemption under 40 CFR 96.5; and

5) Is not covered by the low-emitter exemption under Section 217.454(c) of

this Subpart.

b) Except as otherwise provided in this Subpart, an opt-in budget unit shall be

treated as a budget unit for purposes of applying this Subpart and 40 CFR 96.

c) Authorized Account Representative:

1) If an opt-in unit is located at the same source as one or more budget

units, it shall have the same account representative as those budget units.

2) If the opt-in unit is not located at the same source as one or more budget

units, the owner or operator of the opt-in unit shall submit a complete

account certificate of representation under 40 CFR 96.13.

d) To apply for a budget permit, the account representative of a unit meeting the

qualifications of subsection (a) of this Section must, except as provided under

Section 217.478(t) of this Subpart, submit to the Agency:

1) A budget permit application for the unit that:

A) Meets the requirements under Section 217.458 of this Subpart;

and

B)' Contains provisions for a change in the regulatory status of the

unit to an opt-in budget unit under Section 217.454 of this Subpart

pursuant to the provisions of Section 217.480(b) of this Subpart.

2) A monitoring plan for the unit in accordance with 40 CFR 96, subpart H.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.476 Opt-In Process
The Agency will issue or deny a budget permit for an opt-in unit in accordance with Section

217.458 of this Subpart and the following:

a) The Agency will determine, on an interim basis, the sufficiency of the

monitoring plan accompanying the initial application for a budget permit for an

opt-in unit. A monitoring plan is sufficient, for purposes of interim review, if

the plan contains information demonstrating that the NOx emission rate and heat

input of the unit are monitored and reported in accordance with 40 CFR 96,

subpart H. A determination of sufficiency shall not be construed as acceptance

or approval of that unit's monitoring plan.

b) If the Agency determines that the unit's monitoring plan is sufficient under

subsection (a) of this Section and after completion of the monitoring system

certification under 40 CFR 96, subpart H, the NOx emission rate and the heat

input of the unit shall be monitored and reported in accordance with 40 CFR 96,

subpart H, for one full control period during which the monitoring system

availability is not less than 90% and during which the unit is in full compliance

with any applicable State or federal emissions or emissions-related requirements.

c) Based on the information monitored and reported under subsection (b) of this

Section, the unit's baseline heat rate shall be calculated as the unit's total heat

input (in mmbtu) for the control period, and the unit's baseline NOx emission rate

shall be calculated as the unit's total NOx emissions (in lbs) for the control period

divided by the unit's baseline heat rate.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.478 Opt-In Budget Units: Withdrawal from the NOx Trading Program

a) Requesting withdrawal: To withdraw from the NOx Trading Program, the

account representative of an opt-in budget unit shall submit to the Agency a

request to withdraw from the NOx Trading Program and to withdraw the budget

permit effective as of a specified date between (and not including) September 30

and May 1. The submission shall be made no later than 90 days prior to the

requested effective date of withdrawal.

b) Conditions for withdrawal: Before an opt-in budget unit may withdraw from the

NOx Trading Program and the budget permit may be withdrawn under this

Section, the following conditions must be met:

1) For the control period immediately before the withdrawal is to be

effective, the account representative must submit to the Agency an annual

compliance certification report in accordance with 40 CFR 96.30.
2) If the opt-in budget unit has excess emissions for the control period

immediately before the withdrawal is to be effective, USEPA has

deducted from the opt-in budget unit's compliance account, or the

overdraft account of the NOx budget source where the opt-in budget unit

is located, the number of allowances required in accordance with 40 CFR

96.54(d) for the control period.

3) After the requirements for withdrawal under subsections (b) (1) and (2) of

this Section are met, USEPA will deduct from the opt-in unit's

compliance account, or the overdraft account of the budget source where

the opt-in budget unit is located, allowances equal in number to any

allowances allocated to that unit under Section 217.782 of this Subpart

for the control period for which the withdrawal is to be effective and

earlier control periods. USEPA will close the opt-in budget unit's

compliance account and will establish, and transfer any remaining

allowances to, a new general account for the owners and operators of the

opt-in unit. The account representative for the opt-in budget unit shall

become the account representative for the general account.

c) An opt-in budget unit that withdraws from the Subpart U NOx Trading Program

shall comply with all requirements under the NOx Trading Program concerning

all years for which such opt-in budget unit was an opt-in budget unit, even if

such requirements arise or must be complied with after the withdrawal takes

effect.

d) Notification:

1) After the requirements for withdrawal under subsections (a) and (b) of

this Section are met (including deduction of the full amount of allowances

required), the Agency will revise the budget permit indicating a specified

effective date for the withdrawal that is after the requirements in

subsections (a) and (b) of this Section have been met and that is prior to

May 1 or after September 30.

2) If the requirements for withdrawal under subsections (a) and (b) of this

Section are not met, the Agency will issue a notification to the owner or

operator and the account representative of the opt-in budget unit that the

opt-in unit's request to withdraw its budget permit is denied. If the opt-in

budget unit's request to withdraw is denied, the opt-in budget unit shall

remain subject to the requirements for an opt-in budget unit.

e) Reapplication upon failure to meet conditions of withdrawal: If the Agency

denies the opt-in budget unit's request to withdraw, the account representative of

the opt-in budget unit may submit another request to withdraw in accordance

with subsections (a) and (b) of this Section.
t) Ability to return to the NOx Trading Program: Once an opt-in unit withdraws

from the NOx Trading Program and its budget permit is withdrawn under this

Section, the account representative may not submit another application for a

budget permit under Section 217.474(d) of this Subpart for the unit prior to the

date that is four years after the date on which the budget permit with opt-in

conditions is withdrawn.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.480 Opt-In Units: Change in Regulatory Status

a) Notification: When an opt-in unit becomes an opt-in budget unit under Section

217.476 of this Subpart, the owner or operator shall notify the Agency and

USEPA in writing of such change in the opt-in unit's regulatory status within 30

days of such change.

b) Any permit application that provides for a change in the regulatory status of a

unit to an opt-in budget unit pursuant to Section 217.474(d)(1)(B) of this Subpart

and included in a budget permit, is effective on the date on which such opt-in

unit becomes an opt-in budget unit under Section 217.454 of this Subpart.

c) USEPAI S action:

1) USEPA will deduct from the compliance account for the opt-in budget

unit under this Section, or the overdraft account of the budget source

where the opt-in budget unit is located, allowances equal in number to

and allocated for the same or a prior control period as:

A) Any allowances allocated to the budget unit (as an opt-in unit)

under Section 217.482 of this Subpart for any control period after

the last control period during which the unitIs budget permit was

effective; and

B) If the effective date of any budget permit under subsection (b) of

this Section is during a control period, the allowances allocated to

the opt-in budget unit (as an opt-in unit) under Section 217.482 of

this Subpart for the control period multiplied by the ratio of the

number of days in the control period, starting with the effective

date of the budget permit under subsection (b) of this Section,

divided by the total number of days in the control period.

2) The account representative shall ensure that the compliance account of the

opt-in budget unit under subsection (b) of this Section, or the overdraft

account of the budget source where the opt-in budget unit is located,
contains the allowances necessary for completion of the deduction under

subsection (c) (1) of this Section. If the compliance account or overdraft

account does not contain sufficient allowances, USEPA will deduct the

required number of allowances, regardless of the control period for

which they were allocated, whenever allowances are recorded in either

account.

3) For every control period during which any budget permit under

subsection (b) of this Section is effective, the opt-in budget unit under

subsection (b) of this Section will be treated, solely for purposes of

allowance allocations under Section 217.466 or 217.468 of this Subpart,

as a unit that commenced operation on the effective date of the budget

permit under subsection (b) of this Section and will be allocated

allowances in accordance with Section 217.466 or 217.468 of this

Subpart.

4) Notwithstanding subsection (c) (2) of this Section, if the effective date of

any budget permit under subsection (b) of this Section is during a control

period, the following number of allowances will be allocated to the opt-in

budget unit for the control period: the number of allowances otherwise

allocated to the opt-in budget unit under Section 217.466 or 217.468 of

this Subpart for the control period multiplied by the ratio of the number

of days in the control period, starting with the effective date of the budget

permit under subsection (b) of this Section, divided by the total number of

days in the control period.

d) When the owner or operator of an opt-in unit does not renew the budget permit

for the opt-in budget unit issued pursuant to Section 217.474(d), USEPA will

deduct from the opt-in budget unit's compliance account, or the overdraft

account of the budget source where the opt-in budget unit is located, allowances

equal in number to and allocated for the same or a prior control period as any

allowances allocated to the opt-in budget unit under Section 217.482 of this

Subpart for any control period after the last control period for which the budget

permit is effective. The account representative shall ensure that the opt-in budget

unit's compliance account or the overdraft account of the budget source where

the opt-in budget unit is located contains the allowances necessary for completion

of such deduction. If the compliance account or overdraft account does not

contain sufficient allowances, USEPA will deduct the required number of

allowances, regardless of the control period for which they were allocated,

whenever allowances are recorded in either account.

e) After the deduction under subsection (d) of this Section is completed, USEPA

will close the opt-in unit's compliance account. If any allowances remain in the

compliance account after completion of such deduction and any deduction under

40 CFR 96.54, USEPA will close the opt-in unit's compliance account and will
establish, and transfer any remaining allowances to, a new general account for

the owner or operator of the opt-in unit. The account representative for the optin unit shall become the account representative for the general account.

(Source: Added at 25 Ill. Reg.5914, effective Apri117, 2001)

Section 217.482 Allowance Allocations to Opt-In Budget Units

a) Allowance allocations:

1) By the December 31 immediately before the first control period for which

the budget permit is effective, the Agency will allocate allowances to the

opt-in budget unit and submit to USEPA the allocation for the control

period in accordance with subsection (b) of this Section.

2) By no later than the December 31 after the first control period for which

the budget permit is in effect and December 31 of each year thereafter,

the Agency will allocate allowances to the opt-in budget unit and submit

to USEPA allocations for the next control period, in accordance with

subsection (b) of this Section.

b) For the first control period, and for each subsequent control period for which the

opt-in budget unit has a budget permit, the opt-in budget unit will be allocated

allowances in accordance with the following procedures:

1) The heat input (in mmbtu) used for calculating allowance allocations will

be the lesser of:

A) The opt-in unit's baseline heat input determined pursuant to

Section 217.476(c) of this Subpart; or

B) The opt-in unit's heat input, for the control period in the year

prior to the year of the first control period for which the

allocations are being calculated, as determined in accordance with

40 CFR 96, subpart H.

2) The Agency will allocate allowances to the opt-in budget unit in an

amount equaling the heat input (in mmbtu) determined under subsection

(b) (1) of this Section multiplied by the lesser of:

A) The unit's baseline NOx emission rate (in lbs/mmbtu) determined

pursuant to Section 217.476(c) of this Subpart; or

B) The lowest NOx emissions limitation (calculated in lbs/mmbtu)

under State or federal law that is applicable to the budget opt-in
unit for the year of the control period for which the allocations are

being calculated, regardless of the averaging period to which the

emissions limitation applies.

(Source: Added at 25 Ill. Reg.5914, effective Apri117, 2001)

SUBPART V: ELECTRIC POWER GENERATION

Section 217.521 Lake of Egypt Power Plant

a) The standard for nitrogen oxides of Section 217.121 (d) does not apply when

solid fossil fuel containing 25 percent by weight or more of coal refuse is burned

in Southern Illinois Power Cooperative's Unit No. 4 at its Lake of Egypt Power

Plant.

b) The standard for nitrogen oxides of Section 217.121 (e) does not apply when

solid fossil fuel containing 25 percent by weight or more of coal refuse is burned

in combination with gaseous, liquid or other solid fossil fuel in Southern Illinois

Power Cooperative's Unit No. 4 at its Lake of Egypt Power Plant.

(Source: Amended at 2 Ill. Reg. 17, p. 101, effective April 13, 1978)

Section 217.700 Purpose

The purpose of this Subpart is to control the emissions of nitrogen oxides (NO) from electrical

generating units (EGUs) during the ozone control period (for purposes of Subpart V, the ozone

control period is May 1 through September 30 of each year, beginning in 2003), by limiting the

emissions of NOx from EGUs to no more than 0.25 lbs/mmbtu of actual heat input during each

ozone control period.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.702 Severability

If any section, subsection or clause of this Subpart is found invalid, such finding shall not affect

the validity of this Subpart as a whole or any Section, subsection or clause not found invalid.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.704 Applicability

The following fossil fuel-fired stationary boilers, combustion turbines or combined cycle

systems are electrical generating units (EGUs) and shall be subject to this Subpart on and after

May 1, 2003:
a) Any unit serving a generator that has a nameplate capacity greater than 25 MWe

and produces electricity for sale, excluding those units listed in Appendix D of

this Part and any new unit at a source listed in Appendix D of this Part.

b) Any unit with a maximum design heat input that is greater than 250 mmbtu/hr

that commences operation on or after January 1, 1999, serving at any time a

generator that has a nameplate capacity of 25 MWe or less and has the potential

to use more than 50% of the potential electrical output capacity of the unit. Fifty

percent of a unit's potential electrical output capacity shall be determined by

multiplying the unit's maximum design heat input by 0.0488 MWe/mmbtu. If the

size of the generator is greater than this calculated number, the unit is an EGU

subject to the provisions of this Subpart.

(Source: Added at 25·Ill. Reg.5914, effective April 17, 2001)

Section 217.706 Emission Limitations

a) On or after May 1, 2003, no owner or operator subject to this Subpart shall

cause or allow the emissions of NOx into the atmosphere from any EGU to

exceed 0.25 lbs/mmbtu of actual heat input during each ozone control period,

based on a control period average for that unit.

b) Notwithstanding the emission limitation in subsection (a) of this Section, any

EGU subject to a more stringent NOx emission limitation pursuant to any State or

federal statute, including the Act, the Clean Air Act, or any regulations

promulgated thereunder, shall comply with both the requirements of this Subpart

and that more stringent emission limitation.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.708 NOx Averaging

a) Notwithstanding Section 217.706(a) of this Subpart, the owners or operators of

EGUs listed in Appendix F of this Part and the owner or operator of Soyland

Power may elect to demonstrate compliance with this Subpart by averaging for

the ozone control period the NOx emission rates with any EGU listed in

Appendix F or any EGU at Soyland Power's Alsey Illinois facility that

commenced commercial operation on or before January 1, 2000.

b) The average NOx emission rate for all EGUs being averaged pursuant to this

Section must not exceed 0.25 lbs/mmbtu and shall be determined as follows:

n

3 (H1 x ERi)
i=1

ERavg

n

3 HL

i=1

Where:

ERavg

n

average emission rate in lbs/mmbtu of all

EGUs in averaging demonstration

heat input for the ozone control period of

EGU i, in mmbtu, as specified in the NOx

averaging demonstration

actual NOx emission rate of EGU i, in

lbs/mmbtu, as specified in the NOx

averaging demonstration

number of EGUs that are averaging

c) Averaging under this Subpart must be authorized through federally enforceable

permit conditions for such EGU.

d) An EGU may be included in only one NOx averaging demonstration during an

ozone control period.

e) Compliance by averaging for each ozone control period must be demonstrated by

November 30 following each ozone control period.

f) If averaging is used to demonstrate compliance with this Subpart, the effect of a

failure to demonstrate such compliance shall be that the compliance status of each

EGU shall be determined pursuant to Section 217.706 (a) as if the NOx emission

rates of such EGUs were not averaged.

g) The owner or operator of any EGU that elects to participate in an averaging

demonstration to demonstrate compliance with this Subpart cannot average with

any other EGU for which the owner or operator of such EGU does not maintain

the required records, data, and reports, or does not submit copies of such

records, data, or reports to the Agency upon request.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.710 Monitoring
a) The owner or operator of an EGU subject to this Subpart shall install, calibrate,

maintain and operate continuous emissions monitoring systems (CEMS) for NOx

that meet the requirements of 40 CFR 75, subpart B.

b) Notwithstanding subsection (a), the owner or operator of a gas-fired peaking unit

or oil-fired peaking unit as defined in 40 CFR 72.2 may determine NOx

emissions in accordance with the emissions estimation protocol of 40 CFR 75,

subpart E.

c) Notwithstanding subsection (a), the owner of operator of a combustion turbine

that operates less than 350 hour per ozone control period may determine the heat

input and NOx emissions of the turbine as follows:

1) Heat input shall be determined from the metered fuel usage to the

turbine or the calculated heat input determined as the product of

the turbine's maximum hourly heat input and hours of operation

as recorded by operating instrumentation on the turbine;

2) NOx emissions shall be determined as the product of the heat

input, as determined above, and the appropriate default NOx

emission factors below:

0.7lbs/mmbtu - Natural gas

1.2 lbs/mmbtu - Fuel oil

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.712 Reporting and Recordkeeping

The owner or operator of an EGU subject to the requirements of this Subpart shall:

a) Comply with the recordkeeping and reporting requirements of 40 CFR 75

applicable to NOx emissions during the ozone control period, including, but not

limited to, 40 CFR 75.54(b) and (d), incorporated by reference in Section

217.104 of this Part.

b) Notwithstanding subsection (a), the owner or operator of a combustion turbine

for which heat input and NOx emissions are determined pursuant to subsection

217.71O(c) of this Subpart shall comply with the follOWing recordkeeping and

reporting requirements:

1) Maintain records of the heat input and NOx emissions of the turbine as

determined in accordance with Section 217.71O(c) of this Subpart, and
records of metered fuel use or operating hours used to determine heat

input; and

2) Annually report the heat input and NOx emissions of the turbine as

determined in accordance with Section 217.71O(c) of this Subpart, for

each ozone control period, by November 30 of each year.

c) Submit, with the report required under subsection (c) of this Section, the

following certification statement, to be signed by a responsible official:

"I certify under penalty of law that this report and all attachments were

prepared under my direction or supervision in accordance with a system

designed to assure that qualified personnel properly gather and evaluate

the information submitted. Based on my inquiry of the person or persons

directly responsible for gathering the information, the information is, to

the best of my knowledge and belief after due inquiry, true, accurate, and

complete. I am aware that there are significant penalties for submitting

false information, including the possibility of fine and imprisonment for

knowing violations. "

Signature

Name

Official Title

Telephone No.

Date Signed

d) If demonstrating compliance through Section 217. 706 (a) of this Subpart, by

November 30 of each year beginning in 2003, submit to the Agency a report that

demonstrates each EGU has not exceeded a NOx emission rate of 0.25

lbs/mmbtu during the ozone control period.

e) If demonstrating compliance through Section 217.708 of this Subpart, by

November 30 of each year beginning in 2003, submit to the Agency a report that

demonstrates the following:

1) For all EGUs participating in the averaging demonstration, the averaged

ozone control period NOx emission rate pursuant to the equation in

Section 217.708(b) of this Subpart;
2) The average ozone control period NOx emission rate of each EGU

participating in the averaging demonstration; and

3) The information required to determine the averaged NOx emission rate

pursuant to Section 217.708(b) of this Subpart.

f) Keep and maintain, for 5 years, all records and data necessary to demonstrate

compliance with the requirements of this Subpart, and upon request make such

records and data available to Agency and USEPA representatives for inspection

and copying during working hours.

g) Submit copies of any records and data required by this Section to the Agency

within 30 days after receipt of a written request by the Agency.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

SUBPART W: NOx TRADING PROGRAM FOR ELECTRICAL GENERATING

UNITS

Section 217.750 Purpose

The purpose of this Subpart is to control the emissions of nitrogen oxides (NOx) during the

ozone control period (May 1 through September 30 of each year, except that in 2004, "control

period" means May 31 through September 30) from electrical generating units (EGUs) by

determining source allocations and implementing the NOx Trading Program pursuant to 40 CFR

96, as authorized by Section 9.9 of the Act [415 ILCS 5/9.9].

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.752 Severability

If any Section, subsection or clause of this Subpart is found invalid, such finding shall not affect

the validity of this Subpart as a whole or any Section, sentence or clause not found invalid.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.754 Applicability

a) The follOWing fossil fuel-fired stationary boilers, combustion turbines or

combined cycle systems are electrical generating units (EGUs) and are subject to

this Subpart:

1) Any unit serving a generator that has a nameplate capacity greater than

25 MWe and produces electricity for sale, excluding those units listed in

AppendiX D of this Part.
2) Any unit with a maximum design heat input that is greater than 250

mmbtu/hr that commences operation on or after January 1, 1999, serving

at any time a generator that has a nameplate capacity of 25 MWe or less

and has the potential to use more than 50% of the potential electrical

output capacity of the unit. Fifty percent of a unit's potential electrical

output capacity shall be determined by multiplying the unit's maximum

design heat input by 0.0488 MWe/mmbtu. If the size of the generator is

greater than this calculated number, the unit is an EGU subject to the

provisions of this Subpart.

b) Those units that meet the above criteria and are subject to the NOx Trading

Program emissions limitations contained in this Subpart are budget EGUs.

c) Low-emitter status: Notwithstanding subsection (a) of this Section, the owner or

operator of a budget EGU under subsection (a) of this Section may elect lowemitter status by obtaining a permit with federally enforceable conditions meeting

the requirements of subsection (c) (1) of this Section. Starting with the effective

date of such permit, the EGU shall not be a budget EGU and shall be subject

only to the requirements of this subsection (c).

1) For each control period under this subsection (c), the federally

enforceable permit conditions must:

A) Restrict the EGU to burning only natural gas, fuel oil, or natural

gas and fuel oil;

B) Limit the EGU's potential NOx mass emissions for the control

period to 25 tons or less;

C) Restrict the EGU's operating hours during the control period to

the number calculated by dividing 25 tons of potential NOx mass

emissions by the EGU's maximum potential hourly NOx mass

emissions;

D) Require that the EGU's potential NOx mass emissions be

calculated by using the monitoring provisions of 40 CFR 75 or, if

the EGU does not rely on these monitoring provisions, by using

the applicable default rate, as follows:

i) Select the applicable default NOx emission rate from one of

the following:

0.7 lb/mmbtu for combustion turbines burning natural gas

exclusively during the control period;
1.2 lbs/mmbtu for combustion turbines burning any fuel oil

during the control period;

1.5 lbs/mmbtu for boilers burning natural gas exclusively

during the control period; or

2 lbs/mmbtu for boilers burning any fuel oil during the

control period.

ii) Multiply the default NOx emission rate under subsection

(c)(1)(D)(i) of this Section by the EGU's unit-specific

maximum rated heat input (mmbtu), which is the higher of

the manufacturer's maximum rated hourly heat input or the

highest observed hourly heat input. The owner or

operator of the EGU may request in the permit application

required by this subsection (c) that the Agency use a lower

value for the EGU's maximum rated hourly heat input.

The Agency may approve such lower value if the owner

or operator demonstrates that the maximum hourly heat

input specified by the manufacturer or the highest observed

hourly heat input, or both, are not representative. The

owner or operator must also demonstrate that such lower

value is representative of the EGU's current capabilities

because modifications have been made to the EGU that

permanently limit the EGU's capacity;

E) Require that the owner or operator of the EGU retain for five

years, .at the source that includes the EGU, records demonstrating

that the operating hours restriction, the fuel use restriction, and the

other requirements of the permit related to these restrictions were

met; and

F) Require that the owner or operator of the EGU report to the

Agency the EGU's hours of operation (treating any partial hour of

operation as a whole hour of operation), heat input, and fuel use

by type during each control period. This report shall be submitted

by November 1 of each year the EGU elects low-emitter status.

2) The Agency will notify USEPA in writing of each EGU electing lowemitter status pursuant to the requirements of subsection (c) (1) of this

Section and when any of the following occurs:
A) The permit with federally enforceable conditions that includes the

restrictions in subsection (c) (1) of this Section is issued by the

Agency;

B) Such permit is revised to remove any such restriction;

C) Such permit includes any such restriction that is no longer

applicable; or

D) The EGU does not comply with any such restriction.

3) The EGU shall become a budget EGU, subject to the requirements of this

Subpart if, for any control period under subsection (c) of this Section, the

fuel use restriction or the operating hours restriction under subsection

(c)(l) of this Section is removed from the EGU's permit or otherwise

becomes no longer applicable, or the EGU does not comply with the fuel

use restriction or the operating hours restriction under subsection (c) (1) of

this Section. Such EGU shall be treated as commencing operation and,

for a unit under subsection (a) (1) of this Section, commencing commercial

operation, on September 30 of the year prior to the control period for

which the fuel use restriction or the operating hours restriction is no

longer applicable or during which the EGU does not comply with the fuel

use restriction or the operating hours restriction.

4) The owner or operator of an EGU to which the Agency has ever

allocated allowances may elect low-emitter status. In that case, the

Agency will reduce the EGU trading budget by the number of allowances

corresponding to the amount of NOx emissions the EGU is permitted to

emit during the control period as set forth in the EGU's federally

enforceable state operating permit.

d) Notwithstanding the provisions in subsection (a) of this Section, sources may optin to the NOx Trading Program and will receive allowance allocations consistent

with applicable requirements, if they meet the requirements for a budget opt-in

unit pursuant to Sections 217.774 through 217.782 of this Part.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.756 Compliance ReqUirements

All EGUs subject to the requirements of this Subpart must comply with the following:

a) The requirements of this Subpart and 40 CFR 96 (excluding 40 CFR 96.4(b) and

96.55(c), and excluding 40 CFR 96, Subparts C, E, and 1) as incorporated by

reference in Section 217.104 of this Part.
b) Permit requirements:

1) The owner or operator of each source with one or more budget EGUs at

the source must apply for a permit issued by the Agency with federally

enforceable conditions covering the NOx Trading Program ("budget

permit") that complies with the requirements of Section 217.758 of this

Part.

2) The owner or operator of each budget source and each budget EGU at

the source must operate the budget EGU in compliance with such budget

permit.

c) Monitoring requirements:

1) The owner or operator of each budget source and each budget EGU at

the source must comply with the monitoring requirements of 40 CFR 96,

subpart H. The account representative of each budget source and each

budget EGU at the source must comply with those sections of the

monitoring requirements of 40 CFR 96, subpart H, applicable to an

account representative.

2) The compliance of each budget EGU with the budget emissions limitation

under subsection (d) of this Section shall be determined by the emissions

measurements recorded and reported in accordance with 40 CFR 96,

subpart H.

d) NOx requirements:

1) By November 30 of each year, the allowance transfer deadline, the

account representative of each budget source and each budget EGU at the

source shall hold allowances available for compliance deductions under

40 CFR 96.54 in the budget EGU's compliance account or the source's

overdraft account. The number of allowances held shall not be less than

the budget EGU's total tons of NOx emissions for the control period,

rounded to the nearest whole ton, as determined in accordance with 40

CFR 96, subpart H, plus any number necessary to account for actual

utilization (e.g., for testing, start-up, malfunction, and shut down) under

40 CFR 96.42(e) for the control period.

2) Each ton of NOx emitted in excess of the number of NOx allowances held

by the owner or operator for each budget EGU for each control period

shall constitute a separate violation of this Part and the Act.
3) A budget EGU shall be subject to the monitoring and NOx requirements

of subsections (c) (1) and (d) (1) of this Section starting on the later of May

31, 2004, the date on which the EGU commences OR THE FIRST DAY

OF THE CONTROL SEASON SUBSEQUENT TO THE CALENDAR

YEAR IN WHICH ALL OF THE OTHER STATES SUBJECT TO

THE PROVISIONS OF THE NOx SIP CALL (63 Fed. Reg. 57355

(October 27, 1998)) THAT ARE LOCATED IN USEPA REGION V

OR THAT ARE CONTIGUOUS TO ILLINOIS HAVE ADOPTED

REGULATIONS TO IMPLEMENT NOx TRADING PROGRAMS

AND OTHER REQUIRED REDUCTIONS OF NOx EMISSIONS

PURSUANT TO THE NOx SIP CALL, AND SUCH REGULATIONS

HAVE RECEIVED FINAL APPROVAL BY USEPA AS PART OF

THE RESPECTIVE STATES' SIPS FOR OZONE, OR A FINAL FIP

FOR OZONE PROMULGATED BY USEPA IS EFFECTIVE. [415

ILCS 5/9.9 (f)]

4) Allowances shall be held in, deducted from, or transferred among

allowance accounts in accordance with this Subpart and 40 CFR 96,

subparts F and G, and Sections 217.774 through 217.782 of this Part.

5) In order to comply with the requirements of subsection (d) (1) of this

Section, an allowance may not be utilized for a control period in a year

prior to the year for which the allowance is allocated.

6) An allowance allocated by the Agency or USEPA under the NOx

Trading Program is a limited authorization to emit one ton of NOx in

accordance with the NOx Trading Program. No provision of the NOx

Trading Program, the budget permit application, the budget permit, or a

retired unit exemption under 40 CFR 96.5, and no provision of law shall

be construed to limit the authority of the United States or the State to

terminate or limit this authorization.

\

7) An allowance allocated by the Agency or USEPA under the NOx

Trading Program does not constitute a property right.

8) Upon recordation by USEPA under 40 CFR 96, subpart F or G, or

Section 217.782 of this Part, every allocation, transfer, or deduction of

an allowance to or from a budget EGU's compliance account or to or

from the overdraft account of the budget source where the budget EGU

is located is deemed to amend automatically, and become a part of, any

budget permit of the budget EGU. This automatic amendment of the

budget permit shall be deemed an operation of law and will not require

any further review.

e) Recordkeeping and reporting requirements:
1) Unless otherwise provided, the owner or operator of the budget source

and each budget EGU at the source shall keep on site at the source each

of the documents listed in subsections (e) (1) (A) through (e) (1) (D) of this

Section for a period of five years from the date the document is created.

This period may be extended for cause, at any time prior to the end of

five years, in writing by the Agency or USEPA.

A) The account certificate of representation of the account

representative for the source and each budget EGU at the source,

all documents that demonstrate the truth of the statements in the

account certificate of representation, in accordance with 40 CFR

96.13, provided that the certificate and documents must be

retained on site at the source beyond such five-year period until

such documents are superseded because of the submission of a

new account certificate of representation changing the account

representative.

B) All emissions monitoring information, in accordance with 40 CFR

96, subpart H, provided that to the extent that 40 CFR 96, subpart

H proVides for a three-year period for recordkeeping, the threeyear period shall apply.

C) Copies of all reports, compliance certifications, and other

submissions and all records made or required under the NOx

Trading Program or documents necessary to demonstrate

compliance with the requirements of the NOx Trading Program or

with the requirements of this Subpart.

D) Copies of all documents used to complete a budget permit

application and any other submission under the NO; Trading

Program.

2) The account representative of a budget source and each budget EGU at

the source must submit to the Agency and USEPA the reports and

compliance certifications required under the NOx Trading Program,

including those under 40 CFR 96, subparts D and H, and Section

217.774 of this Part.

f) Liability:

1) No revision of a permit for a budget EGU shall excuse any violation of

the requirements of the NOx Trading Program that occurs prior to the

date that the revision to such budget permit takes effect.
2) Each budget source and each budget EGU shall meet the requirements of

the NOx Trading Program.

3) Any provision of the NOx Trading Program that applies to a budget

source (including any provision applicable to the account representative of

a budget source) shall also apply to the owner and operator of such

budget source and to the owner and operator of each budget EGU at the

source.

4) Any provision of the NOx Trading Program that applies to a budget EGU

(including any provision applicable to the account representative of a

budget EGU) shall also apply to the owner and operator of such budget

EGU. Except with regard to the requirements applicable to budget

EGUs with a common stack under 40 CFR 96, subpart H, the owner and

operator and the account representative of one budget EGU shall not be

liable for any violation by any other budget EGU of which they are not

an owner or operator or the account representative.

5) The account representative of a budget EGU that has excess emissions in

any control period shall surrender the allowances as required for

deduction under 40 CFR 96.54 (d)(1).

6) The owner or operator of a budget EGU that has excess emissions in any

control period shall pay any fine, penalty, or assessment or comply with

any other remedy imposed under 40 CFR 96.54(d)(3) and the Act.

g) Effect on other authorities. No provision of the NOx Trading Program, a budget

permit application, a budget permit, a low-emitter exemption under Section

217.754(c) of this Subpart, or a retired unit exemption under 40 CFR 96.5 shall

be construed as exempting or excluding the owner and operator and, to the

extent applicable, the account representative of a budget source or budget EGU,

from compliance with any other regulation promulgated under the CAA, the

Act, an approved State implementation plan, or a federally enforceable permit.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.758 Permitting Requirements

a) Budget permit requirements:

1) Each source with a budget EGU is reqUired to submit a complete permit

application addressing all applicable NOx Trading Program requirements

for a permit meeting the requirements of this Section, applicable to each

budget EGU at the source. Each budget permit (including any draft or

proposed budget permit, if applicable) will contain elements required for
a complete budget permit application under subsection (b) (2) of this

Section.

2) Each budget permit (including a draft or proposed budget permit, if

applicable) shall contain federally enforceable conditions addressing all

applicable NOx Trading Program requirements and shall be a complete

and segregable portion of the source's entire permit under subsection

(a) (1) of this Section.

3) No budget permit shall be issued, and no NOx allowance account shall be

established for a budget EGU at a source, until the Agency and USEPA

have received a complete account certificate of representation under 40

CFR 96, subpart B, for an account representative of the source and the

budget EGU at the source.

4) For budget EGUs that commenced operation before November 1, 2003,

and for which a CAAPP permit is not required pursuant to Section 39.5

of the Act, the owner or operator of such unit must submit a budget

permit application meeting the requirements of this Section on or before

November 1, 2003.

5) For budget EGUs that commenced operation before August 1, 2003, and

for which a CAAPP permit is required pursuant to Section 39.5 of the

Act, the owner or operator of such unit must submit a budget permit

application meeting the requirements of this Section on or before August

1, 2003.

6) For budget EGUs that are subject to Section 39.5 of the Act and that

commence operation on or after August 1, 2003, and for budget EGUs

not subject to Section 39.5 of the Act and that commence operation on or

after November 1, 2003, the owner or operator of such units must submit

applications for construction and operating permits pursuant toJhe

requirements of Sections 39 and 39.5 of the Act and 35 Ill.Adm.Code

201 and such applications must specify that they are applying for budget

permits, and must address the budget permit application requirements of

this Section.

b) Budget permit applications:

1) Duty to apply. The owner or operator of any source with one or more

budget EGUs shall submit to the Agency a complete budget permit

application for the source under subsection (b) (2) of this Section by the

applicable deadline in subsection (a)(4), (a)(5), or (a)(6) of this Section.

The owner or operator of any source with one or more budget EGUs
shall reapply for a budget permit for the source as required by this

Subpart, 35 Ill. Adm. Code 201, and Sections 39 and 39.5 of the Act.

2) Information requirements for budget permit applications. A complete

budget permit application shall include the following elements concerning

the source for which the application is submitted:

A) Identification of the source, including plant name. The ORIS

(Office of Regulatory Information Systems) or facility code

assigned to the source by the Energy Information Administration

shall also be included, if applicable;

B) Identification of each budget EGU at the source. An explanation

of whether each EGU is a budget EGU under Section 217.754 or

217.774 of this Part;

C) The compliance requirements of Section 217.756 of this Part; and

D) For each opt-in unit at the source the following certification

statements by the account representative:

i) "I certify that each unit for which this permit application is

submitted under Section 217.774 of this Part is not a

budget EGU under Section 217.754 of this Part and is not

covered by a retired unit exemption that is in effect under

40 CFR 96.5."

ii) If the application is for an initial budget permit, "I certify

that each unit for which this permit application is_submitted

under Section 217.774 of this Part, and has documented

heat input for more than 876 hours in the six months

immediately preceding the submission of an application for

an initial budget permit under Section 217.774(d) of this

Part. "

3) An application for a budget permit shall be treated as a modification of

the EGU's existing federally enforceable permit, if such a permit has

been issued for that EGU, and shall be subject to the same procedural

requirements. When the Agency issues a budget permit, it shall be

incorporated into and become part of that EGU's existing federally

enforceable permit.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)
Section 217.760 NOx Trading Budget

The NOx trading budget available for allowance allocations for each control period shall be

determined as follows:

a) The total base EGU trading budget is 30,701 tons per control period subject,

however, to the following:

1) In 2004 through 2006, 5% of this number shall be allocated to the new

source set-aside under Section 217.768 of this Part, resulting in an EGU

trading budget of 29,166 tons available for allocation per control period;

and

2) In 2007 and thereafter, 2% of this amount shall be allocated to the new

source set-aside, resulting in an EGU trading budget of 30,087 tons

available for allocation per control period.

b) The Agency must adjust the total base EGU trading budget available for

allocation in subsection (a) of this Section to remove allowances from budget

EGUs opting to become exempt pursuant to the requirements for low-emitters in

Section 217.754(c)(4) of this Part.

c) If USEPA adjusts the total base EGU trading budget for any reason, the Agency

will adjust the budget pro rata.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.762 Methodology for Calculating NOx Allocations for Budget Electrical

Generating Units (EGUs)

The methodology for calculating the allowances to be allocated to budget EGUs is based on the

following emission rates and heat inputs:

a) The applicable NOx emission rates are as follows:

1) For budget EGUs listed in Appendix F: 0.15 1b/mmbtu.

2) For budget EGUs not listed in Appendix F: The more stringent of 0.15

1b/mmbtu or the permitted NOx emission rate, but not less than 0.055

1b/mmbtu.

b) Heat input (HI) (in mmbtu/contro1 period) is determined as follows:
1) The budget EGU's two highest heat inputs from the control periods four

to six years prior to the year for which the allocation is being made are

averaged. However, for a budget EGU that did not commence

commercial operation at least six years prior to the control period for

which the allocation is being made, the heat inputs for the following

control periods shall be used:

A) If the budget EGU has heat input for the control period four years

prior to the year for which the NOx allocation is being made, but

not for the control periods five and six years prior, the heat input

for that control period four years prior shall be used; or

B) If the budget EGU has heat inputs for the control periods four and

five years prior to the year for which the NOx allocation is being

made, but not for the control period six years prior, the heat input

for the control periods four and five years prior shall be averaged.

2) The budget EGU's heat input in subsection (b)(1) of this Section for the

control period in each year will be determined in accordance with:

A) 40 CFR 75, as incorporated by reference in Section 217.104 of

this Part, if the budget EGU was otherwise subject to its

requirements for the year; or

B) The best available data reported to the Agency for the budget

EGU if the budget EGU was not subject to the requirements of 40

CFR 75, for the year.

c) The general equation for determining allowances is:

HI? ERI

A= 2000

Where:

HI = heat input (in mmbtu/control period) as determined in Section

217.762(b) of this Part.

ER = The NOx emission rate in lbs/mmbtu as determined in Section

217.762(a) of this Part.

A = allowances of NOxicontrol period.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)
Section 217.764 NOx Allocations for Budget EGUs

For each control period, the Agency will allocate the total number of NOx allowances in the

trading budget apportioned to budget EGUs under Section 217.760 of this Part. These

allocations will be issued as provided in subsections (a) through (f) of this Section and Section

217.768 for this Part of new sources. Specifically:

a) In 2004, 2005, and 2006 (or the first three years of the program):

1) The Agency will allocate to each budget EGU that is listed in Appendix F

of this Part the number of allowances listed in Column 7 of Appendix F

of this Part for that budget EGU, as well as any allowances that are not

allocated from the new source set-aside to budget EGUs in subsection

(a) (2) of this Section. Any such allowances from the new source setaside will be allocated to budget EGUs listed in Appendix F of this Part

pursuant to 217.768 G) of this Part.

2) The Agency will allocate allowances from the new source set-aside to

budget EGUs that commenced commercial operation on or after January

1, 1995, pursuant to Section 217.768 of this Part.

3) The Agency will report these allocations to USEPA at the time it submits

the SIP.

b) In 2007 (or the fourth year of the program):

1) The Agency will allocate to each budget EGU that is listed in Appendix F

of this Part the number of allowances listed in Column 8 of Appendix F

for that budget EGU, and any allowances that are not allocated to budget

EGUs under subsection (b) (2) of this Section will be allocated as

provided in subsection (b)(4) of this Section.

2) The Agency will apportion to each budget EGU that commenced

commercial operation on or after January 1, 1995, and before May 1,

2003, allowances as calculated in the following equation:

0.80 ? 1m ? ERI

A= 2000

Where:

HI = heat input (in mmbtu/control period) as determined

in Section 217.762(b) of this Part.
ER = the NOx emission rate in lbs/mmbtu, as determined

in Section 217.762 (a) (2) of this Part.

A = allowances of NOxicontrol period.

3) Notwithstanding subsection (b) (2) of this Section, if the total number of

allowances determined by subsection (b) (2) of this Section is more than

6,017, which is the number of allowances remaining in the trading budget

after allocations have been made to budget EGUs in subsection (b)(l) of

this Section, the Agency will prorate the number of NOx allowances

available to budget EGUs pursuant to the criteria in subsection (b) (2) of

this Section so that the total number of allowances allocated to these

budget EGUs does not exceed 6,017.

4) If the total number of allowances allocated pursuant to subsection (b) (2)

of this Section is less than 6,017, which is the number of allowances

remaining in the trading budget after allocations have been made to

budget EGUs in subsection (b) (1) of this Section, the Agency will allocate

the remaining allowances to budget EGUs as follows:

A) For budget EGUs in subsection (b)(1) of this Section, the pro-rata

allocation shall be determined by the heat input calculated pursuant

to Section 217.762 (b) of this Part, multiplied by the emission rate

in Section 217.762 (a)(1) of this Part.

B) For budget EGUs in subsection (b) (2) of this Section, the pro-rata.

allocation shall be determined by the heat input calculated pursuant

to Section 217.762(b) of this Part, multiplied by the emission rate

in Section 217.762(a)(2) of this Part.

5) The Agency will allocate allowances from the new source set-aside,

pursuant to Section 217.768 of this Part, to budget EGUs that

commenced commercial operation after May 1, 2003 and that have not

operated for the full 2003 control period.

6) The Agency will report these allocations to USEPA by April 1, 2004,

except for allocations from the new source set-aside, which the Agency

will report by May 1, 2007.

c) In 2008 (or the fifth year of the program):

1) The Agency will allocate to each budget EGU that is listed in Appendix F

of this Part the number of allowances listed in Column 8 of Appendix F

for that budget EGU, and any allowances that are not allocated to budget
EGUs under subsection (b) (2) of this Section will be allocated as

provided in subsection (b)(4) of this Section.

2) The Agency will apportion to each budget EGU that commenced

commercial operation on or after January 1, 1995, and before May 1,

2004, allowances as calculated in the following equation:

0.80? ?HI? ER?

A = 2000

Where:

HI = heat input (in mmbtu/control period) as determined

in Section 217.762(b) of this Part.

ER = the NOx emission rate in Ibs/mmbtu, as determined

in Section 217.762 (a) (2) of this Part.

A = allowances of NOxicontrol period.

3) Notwithstanding subsection (c) (2) of this Section, if the total number of

allowances determined by subsection (c) (2) of this Section is more than

6,017, which is the number of allowances remaining in the trading budget

after allocations have been made to budget EGUs in subsection (c) (1) of

this Section, the Agency will prorate the number of NOx allowances

available to budget EGUs pursuant to the criteria in subsection (c) (2) of

this Section so that the total number of allowances allocated to these

budget EGUs does not exceed 6,017.

4) If the total number of allowances allocated pursuant to subsection (c) (2) of

this Section is less than 6,017, which is the number of allowances

remaining in the trading budget after allocations have been made to

budget EGUs in subsection (c) (1) of this Section, the Agency will allocate

the remaining allowances to budget EGUs as follows:

A) For budget EGUs in subsection (c) (1) of this Section, the pro-rata

allocation shall be determined by the heat input calculated

pursuant to Section 217.762 (b) of this Part, multiplied by the

emission rate in Section 217.762 (a)(1) of this Part.

B) For budget EGUs in subsection (c)(2) of this Section, the pro-rata

allocation shall be determined by the heat input calculated pursuant

to Section 217.762 (b) of this Part, multiplied by the emission rate

in Section 217.762 (a)(2) of this Part.
5) The Agency will allocate allowances from the new source set-aside,

pursuant to Section 217.768 of this Part, to budget EGUs that

commenced commercial operation after May 1, 2004 and that have not

operated for the full 2004 control period.

6) The Agency will report these allocations to USEPA by April 1, 2005,

except for allocations from the new source set-aside, which the Agency

will report by May 1, 2008.

d) In 2009 (or the sixth year of the program):

1) The Agency will allocate to each budget EGU that is listed in Appendix F

of this Part the number of allowances listed in Column 9 of Appendix F

for that budget EGU and any allowances that are not allocated to budget

EGUs under subsection (d) (2) of this Section will be allocated as

provided in subsection (d)(4) of this Section.

2) The Agency will apportion to each budget EGU that commenced

commercial operation on or after January 1, 1995, and before May 1,

2005, allowances calculated in the following equation:

0.50? !HI? ER!

A = 2000

Where:

HI = heat input (in mmbtu/control period) as determined

in Section 217.762(b) of this Part.

ER = the NOx emission rate in lbs/mmbtu, as determined

in Section 217.762(a)(2) of this Part.

A = allowances of NOxicontrol period.

3) Notwithstanding subsection (d) (2) of this Section, if the total number of

allowances determined by subsection (d) (2) of this Section is more than

15,043, which is the number of allowances remaining in the trading

budget after allocations have been made to budget EGUs in subsection

(d) (1) of this Section, the Agency will prorate the total number of NOx

allowances available to budget EGUs that received allowances pursuant to

the criteria in subsection (d) (2) of this Section so that the total number of

allowances allocated to these budget EGUs does not exceed 15,043.

4) If the total number of allowances allocated pursuant to subsection (d) (2)

of this Section is less than 15,043, which is the number of allowances

remaining in the trading budget after allocations have been made to
budget EGDs in subsection (d) (1) of this Section, the Agency will allocate

the remaining allowances to budget EGDs as follows:

A) For budget EGDs in subsection (d) (1) of this Section, the pro-rata

allocation shall be determined by the heat input calculated pursuant

to Section 217.762 (b) of this Part, multiplied by the emission rate

in Section 217.762 (a)(1) of this Part.

B) For budget EGDs in subsection (d) (2) of this Section, the pro-rata

allocation shall be determined by the heat input calculated pursuant

to Section 217.762 (b) of this Part, multiplied by the emission rate

in Section 217.762(a)(2) of this Part.

5) The Agency will allocate allowances from the new source set-aside,

pursuant to Section 217.768 of this Part, to budget EGDs that

commenced commercial operation after May 1, 2005 and that have not

operated for the full 2005 control period.

6) As of April 30, 2009, if the number of allowances in the new source setaside exceeds 3% of the total number of tons of NOx emissions in the

trading budget apportioned to budget EGDs as determined pursuant to

Section 217.768(i) and G) of this Part, the number of allowances above

3% will be allocated to budget EGDs receiving allowances pursuant to

this subsection (d).

7) The Agency will report these allocations to DSEPA by April 1, 2006,

except for allocations from the new source set-aside, which the Agency

will report by May 1, 2009.

e) In 2010 (or the seventh year of the program):

1) The Agency will allocate to each budget EGD that is listed in Appendix F

of this Part the number of allowances listed in Column 9 of Appendix F

for that budget EGD and any allowances that are not allocated to budget

EGDs under subsection (e) (2) of this Section as provided in subsection

(e)(4) of this Section.

2) The Agency will assign to each budget EGD that commenced commercial

operation on or after January 1, 1995, and before May 1,2006,

allowances as calculated in the following equation:

A 0.50? !HI ? ER!

2000

Where:
HI = heat input (in mmbtu/control period) as determined

in Section 217.762(b) of this Part.

ER = the NOx emission rate in lbs/mmbtu, as determined

in Section 217. 762 (a)(2) of this Part.

A = allowances of NOxicontrol period.

3) Notwithstanding subsection (e) (2) of this Section, if the total number of

allowances determined by subsection (e) (2) of this Section is more than

15,043, which is the number of allowances remaining in the trading

budget after allocations have been made to budget EGUs in subsection

(e) (1) of this Section, the Agency will prorate the total number of NOx

allowances allocated to budget EGUs that received allowances pursuant to

the criteria in subsection (e) (2) of this Section so that the total number of

allowances allocated to these budget EGUs does not exceed 15,043.

4) If the total number of allowances allocated pursuant to subsection (e) (2) of

this Section is less than 15,043, which is the number of allowances

remaining in the trading budget after allocations have been made to

budget EGUs in subsection (e) (1) of this Section, the Agency will allocate

the remaining allowances to budget EGUs as follows:

A) For budget EGUs in subsection (e) (1) of this Section, the pro-rata

allocation shall be determined by the heat input calculated pursuant

to Section 217.762 (b) of this Part, multiplied by the emission rate

in Section 217.762(a)(1) of this Part.

B) For budget EGUs in subsection (e) (2) of this Section, the pro-rata

allocation shall be determined by the heat input calculated pursuant

to Section 217.762(b) of this Part, multiplied by the emission rate

in Section 217.762(a)(2) of this Part.

5) The Agency will allocate allowances from the new source set-aside,

pursuant to Section 217.768 of this Part, to budget EGUs that

commenced commercial operation after May 1, 2006 and that have not

operated for the full 2006 control period.

6) As of April 30, 2010, if the number of allowances in the new source setaside exceeds 3% of the total number of tons of NOx emissions in the

trading budget apportioned to budget EGUs as determined pursuant to

Section 217.768 (i) and G) of this Part, the number of allowances above

3% will be allocated to budget EGUs receiving allowances pursuant to

this subsection (e).
7) The Agency will report these allocations to USEPA by April 1, 2007,

except for allocations from the new source set-aside, which the Agency

will report by May 1, 2010.

f) In 2011 (or the eighth year) of the program and annually thereafter:

1) The Agency will apportion the available NOx allowances to each budget

EGU based on its heat input determined in Section 217.762 (b) of this

Part, multiplied by:

A) For budget EGUs that commenced commercial operation prior to

January 1, 1995, the NOx emission rate determined in Section

217.762 (a)(l) of this Part.

B) For budget EGUs that commenced commercial operation on or

after January 1, 1995, the NOx emission rate determined in

Section 217.762 (a)(2) of this Part.

2) The Agency will allocate allowances from the new source set-aside,

pursuant to Section 217.768 of this Part, to budget EGUs that

commenced commercial operation after the control period four years

prior to the year in which allocations are made and that have not operated

for the full control period four years prior to the year in which the

allocations are being made.

3) As of April 30, 2011, if the number of allowances in the new source setaside exceeds 3% of the total number of tons of NOx emissions in the

trading budget apportioned to budget EGUs as determined pursuant to

Section 217.768 (e) and (f) of this Part, the number of allowances above

3% will be allocated to budget EGUs receiving allowances pursuant to

this subsection (f).

4) The Agency will report these allocations to USEPA by April 1 of each

year that is three years prior to the year in which the allocations are being

made, except for allocations from the new source set-aside, which the

Agency will report by May 1 of each year in which the allocations are

being made.

BOARQ NOTE: Because of litigation involving the NOx SIP Call, Michigan v. EPA, No. 98-

1497,2000 WL 180650 (D.C. Cir. March 3,2000), the years defining the control periods may

change. Should this occur, the dates set forth under each year will be considered to adjust

correspondingly.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)
Section 217.768 New Source Set-Asides for "New" Budget EGUs

a) "New" budget EGUs

1) A "new" budget EGU is one that commenced commercial operation on

or after January 1, 1995, and does not receive allowances pursuant to

Section 217.764 of this Part.

2) "New" budget EGUs must have an allowance for every ton of NOx

emitted during the control period as provided in Section 217.756 (d) of

this Part.

3) A "new" budget EGU may request from the Agency a number of

allowances that is not more than the number of allowances for which it is

eligible, as determined in subsection (e) of this Section.

b) The Agency shall apportion allowances from the new source set-aside as follows:

1) For 2004, 2005, and 2006, to budget EGUs that commenced commercial

operation on or after January I, 1995; and

2) For 2007 and thereafter, to budget EGUs that have not operated the full

control period four years prior to the control period for which the

allocation is being made.

c) The Agency will establish a new source set-aside for each control period. Each

new source set-aside will be allocated allowances equal to:

1) 5% of the EGU trading budget in 2004, 2005, and 2006, which is 1,535

allowances, subject to adjustment to reflect additions or deletions to the

EGU trading budget;

2) 2% of the EGU of the trading budget in 2007 and thereafter, which is

614 allowances, subject to adjustment to reflect additions or deletions to

the EGU trading budget.

3) As of April 30 of the applicable year, beginning in 2009 and thereafter, if

the number of allowances in the new source set-aside is greater than or

equal to 3% of the total number of tons of NOx emissions in the trading

budget apportioned to budget EGUs, which is 921 allowances, subject to

adjustment to reflect additions or deletions to the EGU trading budget,

pursuant to subsections (i) and G) of this Section, the number of

allowances above 3% will be allocated to budget EGUs receiving
allowances pursuant to Section 217.764 of this Part. These allowances

shall be allocated on a pro-rata basis.

d) The account representative of a "new" budget EGU under subsection (a) of this

Section may obtain allowances from the new source set-aside by submitting to

the Agency a request, in writing or in a format specified by the Agency, to be

allocated allowances for the current control period from the new source setaside. The allocation request for each applicable control period must be

submitted after the date on which the Agency issues a construction permit to the

budget EGU and before March 1 of the control period for which the allocation is

requested.

e) In an allocation request under subsection (d) of this Section, the account

representative may request allowances for a control period in a number that does

not exceed the projected heat input in mmbtu during the applicable control period

multiplied by the more stringent of 0.15 lb/mmbtu or the permitted emission rate,

but no more stringent than 0.055 lb/mmbtu. The projected heat input shall be

determined as set forth below, divided by 2000 lbs/ton:

1) For "new" budget EGUs that have heat input from at least three control

periods prior to the allocation year, the average of the budget EGU's two

highest seasonal heat inputs from the control periods one to three years

prior to the allocation year;

2) For "new" budget EGUs that have heat input from only two control

periods prior to the allocation year, the average of the budget EGU's

seasonal heat inputs from the control periods one and two years prior to

the allocation year;

3) For "new" budget EGUs that have seasonal heat input from only the

control period prior to the allocation year, the heat input from that control

period; or

4) For "new" budget EGUs that have commenced commercial operation but

have not operated for at least 77 days of the control period prior to the

allocation year, the budget EGU's maximum design heat input for the

control period as designated in the construction permit.

f) Beginning in 2007, the Agency will review and allocate allowances pursuant to

each allocation request, contingent upon receiving payment pursuant to

subsection (k) of this Section, by April 15 of the applicable year, as follows:

1) Upon receipt of the allocation request, the Agency will determine

whether the request is consistent with the requirements of subsections (d)

and (e) of this Section and will make any necessary adjustments to the
request to ensure that the control period and the number of allowances

requested are consistent with those requirements of subsections (d) and (e)

of this Section.

2) If the new source set-aside for the control period for which allowances

are requested has a number of allowances greater than or equal to the

total number requested by all "new" budget EGUs, the Agency will

allocate the number of allowances requested to the "new" budget EGUs.

3) If the new source set-aside for the control period for which allowances

are requested has a number of allowances less than the total number of

allowances requested by all "new" budget EGUs, the Agency will

allocate the available allowances to the "new" budget EGUs on a pro-rata

basis, based on the number of allowances requested.

g) For "new" budget EGUs that commenced commercial operation on or after

January 1, 1995, but prior to January 1, 2004, the Agency will notify the

account representative of the number of allowances that have been allocated to

the "new" budget EGU by March 30 of the applicable year. There will be no

charge for allowances received under this subsection.

h) For "new" budget EGUs that commenced commercial operation on or after

January 1, 2004, the Agency will notify by March 30 of the applicable year the

account representative of the number of allowances that are eligible for purchase

for the "new" budget EGU pursuant to the requirements of subsection (k) of this

Section. If the Agency does not receive payment by April 15 of the applicable

year, the account representative will forfeit his/her eligibility to purchase the

allowances offered. The Agency will make available for purchase those forfeited

allowances on a pro-rata basis to "new" budget EGUs that received allocations

pursuant to subsection (f) (2) of this Section, up to the number of allowances

requested by each account representative. Such additional allocations are subject

to the purchase requirements of subsection (k) of this Section, to the extent

applicable.

i) For "new" budget EGUs that have commenced commercial operation but have

operated for 76 or fewer days of the control period in 2003, USEPA will deduct

allowances to account for the actual utilization of the EGU during the 2004

control period consistent with the provisions of 40 CFR 96.42(e). Any

allowances allocated by the Agency for such "new" budget EGUs that are not

used for compliance during the 2004 control period shall be returned to the

Agency's new source set-aside account.

j) For the years 2004, 2005, and 2006, any allowances that are not allocated

pursuant to subsections (g), (h) and (i) of this Section will be allocated on a pro-
rata basis to the budget EGUs listed in Appendix F of this Part. There will be

no charge for allowances received under this subsection.

k) Fees for new source set-aside allowances:

1) "New" budget EGUs that commence commercial operation on or after

January 1, 2004, that obtain allowances allocated from the new source

set-aside shall pay for such allocations pursuant to Section 9.9 of the Act.

2) The price of allowances from the new source set-aside shall be:

A) The average price at which NOx allowances are traded in the

interstate NOx Trading Program for the preceding control period;

and

B) For 2004 only, the price shall be the average price at which NOx

allowances were traded in 2003 in the Ozone Transport Region.

3) The fees collected by the Agency from the sale of allowances will be

distributed pro-rata to budget EGUs receiving allowances pursuant to

Section 217.764 of this Part on the basis of allocated allowances subject

to Agency administrative costs assessed pursuant to Section 9.9 of the

Act.

1) A "new" budget EGU will become an existing budget EGU and will receive

allowances pursuant to the requirements of Section 217.764 of this Part, as

follows:

1) For a budget EGU that commences commercial operation between and

including January 1, 1995, and April 30, 2003, the budget EGU will be

allocated allowances in 2004 for the 2007 control period and will become

an existing budget EGU on May 1, 2007.

2) For a budget EGU that commences commercial operation after April 30,

2003, the budget EGU will become an existing budget EGU in the

control period for which it receives an allocation pursuant to Section

217.764 of this Part. It will be considered a "new" budget EGU and will

receive its allowances from the new source set-aside in the intervening

years from start-up until it receives allocations pursuant to Section

217.764 of this Part.

BOARD NOTE: Because of litigation involving the NOx SIP Call, Michigan v. EPA, No. 98-

1497 2000 WL 180650 (D.C. Cir. March 3, 2000), the years defining the control periods may

change. Should this occur, other dates in this Section will be considered to adjust as necessary,
(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.770 Early Reduction Credits for Budget EGUs

If a budget EGU reduces its NOx emission rate as required by the applicable provisions of

subsection (c) of this Section in the 2001, 2002, or 2003 control period, for use in the 2004

control period, or later control periods authorized by USEPA, the account representative may

request early reduction credits (ERCs) for such reductions, and the Agency will allocate ERCs

to the budget EGU in accordance with the following:

a) Each budget EGU for which the account representative requests any ERCs

under subsection (d) of this Section shall monitor NOx emissions in accordance

with 40 CFR 96, subpart H, as incorporated by reference in Section 217.104 of

this Part, starting with the control period prior to the control period for which

ERCs will first be requested and for each control period for which ERCs will be

requested. For example, if ERCs are requested for reductions made in the 2001

control period, the budget EGU must have implemented the applicable

monitoring for the 2000 control period. The unit's monitoring system availability

shall be not less than 90% during the control period prior to the control period in

which the NOx emissions reduction is made and the unit must be in compliance

with any applicable State or federal emissions or emissions-related requirements.

b) The NOx emission rate and heat input under subsections (c) through (e) of this

Section shall be determined in accordance with 40 CFR 96, subpart H.

c) Each budget EGU for which ERCs are requested under subsection (d) of this

Section must have reduced its NOx emission rate for each control period for

which ERCs are requested, as follows:

1) For budget EGUs subject to the requirements of Title IV of the CAA and

not included in a NOx averaging plan pursuant to 40 CFR 72 and 76, as

incorporated by reference in Section 217.104 of this Part, at least 30%

less than the NOx emission rate specified in the applicable Title IV permit

or other applicable federally enforceable permit.

2) For budget EGUs subject to the requirements of Title IV of the CAA and

included in a NOx averaging plan pursuant to 40 CFR 72 and 76, at least

30% less than the annual emission rate reqUired in the NOx averaging

plan in the applicable Title IV permit or other applicable federally

enforceable permit.

3) For budget EGUs not subject to the requirements of Title IV of the CAA,

at least 30% less than the actual NOx emissions rate (lbs/mmbtu) for the

2000 control period.
d) The account representative of a budget EGU that meets the requirements of

subsections (a) through (c) of this Section may submit to the Agency a request

for ERCs for a EGU based on NOx emission rate reductions made by the EGU

in control periods 2001, 2002, and 2003, in accordance with subsection (c) of

this Section.

1) The number of ERCs for any applicable control period shall be an

amount equal to the unit's heat input for such control period multiplied

by the difference between the EGU's NOx emission rate (meeting the

requirements of subsection (c) of this Section for the applicable control

period) and the EGU's actual NOx emission rate for the applicable

control period, divided by 2000 lbs/ton, and rounded to the nearest ton.

2) Upon request of the account representative, the ERC allowance allocation

for a particular EGU may be deposited in the source's general account

rather than in the unit's compliance account.

3) The early reduction request must be submitted in a format specified by

the Agency by:

A) November I, 2001, for reductions made in the 2001 control

period;

B) November I, 2002, for reductions made in the 2002 control

period; and

C) November I, 2003, for reductions made in the 2003 control

period.

e) In the event that the date for implementing the NOx SIP Call, May 31, 2004, is

delayed, the early reduction request must be submitted in accordance with any

rulemaking or guidance by USEPA on the distribution of the Compliance

Supplement Pool under the NOx SIP Call (63 Fed. Reg. 57356).

f) The Agency will allocate ERCs to the budget EGUs meeting the requirements of

subsections (a) through (c) of this Section and covered by ERC requests meeting

the requiremeilts of subsection (d) of this Section in accordance with the

following procedures:

1) Upon receipt of each ERC request, the Agency will accept the request

only if the requirements of subsections (a) through (d) of this Section are

met and will make any necessary adjustment to the request to ensure that

the amount of the ERCs requested meets the requirements of subsections

(b) through (d) of this Section;
2) The Agency shall allocate at least 15,261 ERCs over three years, as

follows:

A) If USEPA has approved this Subpart as a SIP revision, not more

than one-half of the total ERC allowances for reductions made in

the control period in 2001;

B) Not more than one-half of the total ERC allowances for reductions

made in the control period in 2002; and

C) Any ERC allowances not allocated pursuant to subsection

(f) (2) (A) or (B) of this Section, for reductions made in the control

period in 2003.

3) If the number of ERC allowances requested for a reduction achieved in

the control period in 2003 is less than or equal to the number of ERC

allowances designated for that control period in subsection (f) (2) (A) of

this Section, the Agency will allocate to each budget EGU one allowance

for each accepted ERC request;

4) If the number of ERC allowances requested for a reduction achieved in

the control period in 2003 is greater than the number of ERC allowances

designated for that control period in subsection (f) (2) (A) of this Section,

the Agency will allocate to each budget EGU allowances for accepted

requests on a pro-rata basis.

g) The Agency will notify the account representative submitting an ERC request for

the subsequent control period of the number of ERC allowances that will be

allocated to each budget EGU for that control period as follows:

1) By March 1, 2002, for ERCs requested for and earned in the 2001

control period;

2) By March 1, 2003, for ERCs requested for and earned in the 2002

control period; and

3) By March 1, 2004, for ERCs requested for and earned in the 2003

control period.

h) By May 1, 2004, the Agency will submit to USEPA the ERC allocations made

by the Agency under this Section. USEPA will record such allocations to the

extent that they are consistent with the requirements of this Section.

i) ERC allowances recorded under subsection (h) of this Section may be deducted

for compliance under 40 CFR 96.54, as incorporated by reference in Section
217.104 of this Part, for the control period in 2004 or such additional control

periods as may be specified by USEPA. Notwithstanding 40 CFR 96.55(a),

USEPA will deduct as retired any ERC allowances that are not deducted for

compliance in accordance with 40 CFR 96.54 for the control period in 2004.

j) ERC allowances are treated as banked allowances in 2004 for the purposes of 40

CFR 96.55(a) and (b).

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.774 Opt-In Units

a) Any operating fossil fuel-fired stationary boiler, combustion turbine, combined

cycle system, cement kiln or stationary internal combustion engine in the State

may qualify under this Subpart to become a budget opt-in unit if it:

1) Is not a budget EGU under Section 217.754 of this Part;

2) Vents all of its emissions to a stack;

3) Has documented heat input for more than 876 hours in the six months

immediately preceding the submission of an application for an initial

budget permit under subsection (d) of this Section;

4) Is not covered by a retired unit exemption under 40 CFR 96.5;

5) Is not covered by the low-emitter exemption under Section 217.754(c) of

this Part; and

6) Is not located at a source listed in Appendix D of this Part.

b) Except as otherwise provided in this Part, a budget opt-in unit shall be treated as

a budget EGU for purposes of applying this Subpart and 40 CFR 96.

c) Authorized account representative:

1) If an opt-in unit is located at the same source as one or more budget

EGUs, it shall have the same account representative as those budget

EGUs.

2) If the opt-in unit is not located at the same source as one or more budget

EGUs, the owner or operator of the opt-in unit shall submit a complete

account certificate of representation under 40 CFR 96.13.
d) To apply for a budget permit, the account representative of a unit meeting the

qualifications of subsection (a) of this Section must, except as provided under

Section 217.778(f) of this Part, submit to the Agency:

1) A budget permit application for the unit that:

A) Meets the requirements under Section 217.758 of this Part; and

B) Contains provisions for a change in the regulatory status of the

unit to a budget opt-in unit under Section 217.754 of this Part

pursuant to the provisions of Section 217. 780 (b) of this Part.

2) A monitoring plan for the unit in accordance with 40 CFR 96, subpart H.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.776 Opt-In Process

The owner or operator of a unit meeting the qualifications of Section 217.774 (a) of this Part

may submit an application for a budget permit for a budget opt-in unit under Section 217.774(d)

of this Part. The Agency will issue or deny a budget permit for such opt-in unit in accordance

with Section 217.758 of this Part and the following:

a) The Agency will determine, on an interim basis, the sufficiency of the

monitoring plan accompanying the initial application for a budget permit for an

opt-in unit. A monitoring plan is sufficient, for purposes of interim review, if

the plan contains information demonstrating that the NOx emission rate and heat

input of the unit are monitored and reported in accordance with 40 CFR 96,

subpart H. A determination of sufficiency shall not be construed as acceptance

or approval of that unit's monitoring plan.

b) If the Agency determines that the unit's monitoring plan is sufficient under

subsection (a) of this Section and after completion of the monitoring system

certification under 40 CFR 96, subpart H, the NOx emission rate and the heat

input of the unit shall be monitored and reported in accordance with 40 CFR 96,

subpart H, for one full control period during which the monitoring system

availability is not less than 90% and during which the unit is in full compliance

with any applicable State or federal emissions or emissions-related requirements.

c) Based on the information monitored and reported under subsection (b) of this

Section, the unit's baseline heat rate shall be calculated as the unit's total heat

input (in mmbtu) for the control period and the unit's baseline NOx emission rate

shall be calculated as the unit's total NOx emissions (in lbs) for the control period

divided by the unit's baseline heat rate.
(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.778 Budget Opt-In Units: Withdrawal from NOx Trading Program

a) Requesting withdrawal. To withdraw from the NOx Trading Program, the

account representative of a budget opt-in unit shall submit to the Agency a

request to withdraw from the NOx Trading Program and to withdraw the budget

permit effective as of a specified date between (and not including) September 30

and May 1. The submission shall be made no later than 90 days prior to the

requested effective date of withdrawal.

b) Conditions for withdrawal.

1) Before a budget opt-in unit may withdraw from the NOx Trading

Program and the budget permit may be withdrawn under this Section, the

following conditions must be met:

A) For the control period immediately before the withdrawal is to be

effective, the account representative must submit to the Agency an

annual compliance certification report in accordance with 40 CFR

96.30.

B) If the budget opt-in unit has excess emissions for the control

period immediately before the withdrawal is to be effective,

USEPA has deducted from the budget opt-in unit's compliance

account, or the overdraft account of the NOx budget source where

the budget opt-in unit is located, the number of allowances

required in accordance with 40 CFR 96.54(d) for the control

period.

2) After the requirements for withdrawal under subsection (b) (1) of this

Section are met, USEPA will deduct from the opt-in unit's compliance

account, or the overdraft account of the budget source where the budget

opt-in unit is located, allowances equal in number to any allowances

allocated to that unit under Section 217.782 of this Part for the same or

earlier control period for which the withdrawal is to be effective.

USEPA will close the budget opt-in unit's compliance account and will

establish, and transfer any remaining allowances to, a new general

account for the owners and operators of the opt-in unit. The account

representative for the budget opt-in unit shall become the account

representative for the general account.

c) A budget opt-in unit that withdraws from the NOx Trading Program shall comply

with all requirements under the NOx Trading Program concerning all years for
which such budget opt-in unit was a budget opt-in unit, even if such

requirements arise or must be complied with after the withdrawal takes effect.

d) Notification.

1) After the requirements for withdrawal under subsections (a) and (b) of

this Section are met (including deduction of the full amount of allowances

required), the Agency will revise the budget permit indicating a specified

effective date for the withdrawal that is after the requirements in

subsections (a) and (b) of this Section have been met and that is prior to

May 1 or after September 30.

2) If the requirements for withdrawal under subsections (a) and (b) of this

Section are not met, the Agency will issue a notification to the owner or

operator and the account representative of the budget opt-in unit that the

opt-in unit's request to withdraw its budget permit is denied. If the

budget opt-in unit's request to withdraw is denied, the budget opt-in unit

shall remain subject to the requirements for a budget opt-in unit.

e) Reapplication upon failure to meet conditions of withdrawal. If the Agency

denies the budget opt-in unit's request to withdraw, the account representative of

the budget opt-in unit may submit another request to withdraw in accordance

with subsections (a) and (b) of this Section.

f) Ability to return to the NOx Trading Program. Once an opt-in unit withdraws

from the NOx Trading Program and its budget permit is withdrawn under this

Section, the account representative may not submit another application for a

budget permit under Section 217.774(d) of this Part for the unit prior to the date

that is four years after the date on which the budget permit with opt-in conditions

is withdrawn.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.780 Opt-In Units: Change in Regulatory Status

a) Notification. When an opt-in unit becomes a budget opt-in unit under Section

217.754(d) of this Part, the owner or operator shall notify the Agency and

USEPA in writing of such change in the opt-in unit's regulatory status within 30

days after such change.

b) Any permit application that provides for a change in the regulatory status of a

unit to a budget opt-in unit pursuant to Section 217.774(d)(1)(B) of this Part and

is included in a budget permit is effective on the date on which such opt-in unit

becomes a budget opt-in unit under Section 217.754 of this Part.
c) USEPA action.

1) USEPA will deduct from the compliance account for the budget opt-in

unit under this Section, or the overdraft account of the budget source

where the budget opt-in unit is located, allowances equal in number to

and allocated for the same or a prior control period as:

A) Any allowances allocated to the budget unit (as an opt-in unit)

under Section 217.782 of this Part for any control period after the

last control period during which the unitIs budget permit was

effective; and

B) If the effective date of any budget permit under subsection (b) of

this Section is during a control period, the allowances allocated to

the budget opt-in unit (as an opt-in unit) under Section 217.782 of

this Part for the control period multiplied by the ratio of the

number of days in the control period, starting with the effective

date of the budget permit under subsection (b) of this Section,

divided by the total number of days in the control period.

2) The account representative shall ensure that the compliance account of the

budget opt-in unit under subsection (b) of this Section, or the overdraft

account of the budget source where the budget opt-in unit is located,

contains the allowances necessary for completion of the deduction under

subsection (c) (1) of this Section. If the compliance account or overdraft

account does not contain sufficient allowances, USEPA will deduct the

required number of allowances, regardless of the control period for

which they were allocated, whenever allowances are recorded in either

account.

3) For every control period during which any budget permit under

subsection (b) of this Section is effective, the budget opt-in unit under

subsection (b) of this Section will be treated, solely for purposes of

allowance allocations under Section 217.764 or 217.768 of this Part, as a

unit that commenced operation on the effective date of the budget permit

under subsection (b) of this Section and will be allocated allowances in

accordance with Section 217.764 or 217.768 of this Part.

4) Notwithstanding subsection (c) (2) of this Section, if the effective date of

any budget permit under subsection (b) of this Section is during a control

period, the following number of allowances will be allocated to the

budget opt-in unit under subsection (b) of this Section or under Section

217.764 or 217.768 of this Part for the control period: the number of

allowances otherwise allocated to the budget opt-in unit under Section

217.764 or 217.768 of this Part for the control period multiplied by the
ratio of the number of days in the control period, starting with the

effective date of the budget permit under subsection (b) of this Section,

divided by the total number of days in the control period.

d) When the owner or operator of an opt-in unit does not renew the budget permit

for the budget opt-in unit issued pursuant to Section 217.774 (d), USEPA will

deduct from the budget opt-in unit's compliance account, or the overdraft

account of the budget source where the budget opt-in unit is located, allowances

equal in number to and allocated for the same or a prior control period as any

allowances allocated to the budget opt-in unit under Section 217.782 of this Part

for any control period after the last control period for which the budget permit is

effective. The account representative shall ensure that the budget opt-in unit's

compliance account or the overdraft account of the budget source where the

budget opt-in unit is located contains the allowances necessary for completion of

such deduction. If the compliance account or overdraft account does not contain

sufficient allowances, USEPA will deduct the required number of allowances,

regardless of the control period for which they were allocated, whenever

allowances are recorded in either account.

e) After the deduction under subsection (d) of this Section is completed, USEPA

will close the opt-in unit's compliance account. If any allowances remain in the

compliance account after completion of such deduction and any deduction under

40 CFR 96.54, USEPA will close the opt-in unit's compliance account and will

establish, and transfer any remaining allowances to, a new general account for

the owner or operator of the opt-in unit. The account representative for the optin unit shall become the account representative for the general account.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

Section 217.782 Allowance Allocations to Budget Opt-In Units

a) Allowance allocations:

1) By the December 31 immediately before the first control period for which

the budget permit is effective, the Agency will allocate allowances to the

budget opt-in unit and submit to USEPA the allocation for the control

period in accordance with subsection (b) of this Section.

2) By no later than the December 31 after the first control period for which

the budget permit is in effect and the December 31 of each year

thereafter, the Agency will allocate allowances to the budget opt-in unit

and submit to USEPA allocations for the next control period, in

accordance with subsection (b) of this Section.
b) For each control period for which the budget opt-in unit has a budget permit, the

budget opt-in unit will be allocated allowances in accordance with the following

procedures:

1) The heat input (in mmbtu) used for calculating allowance allocations will

be the lesser of:

A) The opt-in unit's baseline heat input determined pursuant to

Section 217. 776 (c) of this Part; or

B) The opt-in unit's heat input, for the control period in the year

prior to the year of the control period for which the allocations

are being calculated, as determined in accordance with 40 CFR

96, subpart H.

2) The Agency will allocate allowances to the budget opt-in unit in an

amount equaling the heat input (in mmbtu) determined under subsection

(b) (l) of this Section multiplied by the lesser of:

A) The unit's baseline NOx emission rate (in lbs/mmbtu) determined

pursuant to Section 217.776{c) of this Part; or

B) The lowest NOx emissions limitation (calculated in lbs/mmbtu)

under State or federal law that is applicable to the budget opt-in

unit for the year of the control period for which the allocations

are being calculated during the control period, regardless of the

averaging period to which the emissions limitation applies.

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

SUBPART X: VOLUNTARY NOx EMISSIONS REDUCTION PROGRAM

Section 217.800 Purpose

The purpose of this Subpart is to implement Section 9.9{d)(3) of the Act by providing a method

by which additional NOx allowances may be generated for use by emission units subject to the

requirements of Subparts U or W of this Part. [415 ILCS 5/9.9{d)(3)]

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.805 Emission Unit Eligibility

Any owner or operator of a stationary source may submit a proposal, as proVided in Section

217.835 of this Subpart, for voluntarily reducing NOx emissions during the control period, if
each emission unit from which NOx reductions at the source will be obtained meets the

following criteria:

a) Discharges through a stack;

b) Is fossil fuel-fired;

c) Is not subject to the requirements of Subparts T, U, V or W of this Part;

d) Is not a retired unit pursuant to 40 CFR 96.5;

e) Has not elected to become an opt-in unit pursuant to Section 217.754 or Section

217.774 of this Part; and

f) Is not a stationary internal combustion engine that emits more than one ton of

NOx per day during the ozone control period.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.810 Participation Requirements

a) Any owner or operator of a source (emission reduction source) with one or

more emission units meeting the requirements of Section 217.805 of this Subpart

and seeking to make quantifiable, verifiable and federally enforceable voluntary

reductions of NOx emissions during the control period from one or more

emission units (emission reduction units) must comply with the following

requirements:

1) Submit a NOx emission reduction proposal that meets the requirements of

Section 217.835 of this Subpart;

2) Request an emission cap on NOx emissions from all NOx emission units at

the emission reduction source that are not otherwise subject to Subparts U

or W of this Part, and that are the same type of emission unit as the

emission reduction unit (e.g., if the emission reduction unit is a boiler,

combined cycle system or turbine, then the emission cap must include all

boilers, combined cycle systems or turbines that are not otherwise subject.

to Subparts U or W of this Part, or if the emission unit is a cement kiln,

then the emission cap must include all cement kilns), provided, however,

the owner or operator of the source may submit a demonstration in

accordance with Section 217.835 of this Subpart that any like-kind

emission unit or units should not be included in the NOx emission cap;
3) Demonstrate how the NOx emission cap required by subsection (a) (2) of

this Section is to be determined, in accordance with Sections 217.820 and

217.845 of this Subpart, which cap reflects the NOx emission reduction

specified in the proposal;

4) Permit requirements:

A) Obtain a permit, or an amendment to an existing permit, for the

source, with federally enforceable conditions containing the

commitments in the NOx emission reduction proposal and the

emissions cap by the later of May 1, 2003, or the date on which

the reduction in NOx emissions will commence and operate the

source in compliance with such permit; or

B) For each emission unit that will be generating voluntary NOx

emissions by ceasing operation, withdrawing the applicable

permit, or requesting a revision to the permit to reflect the shut

down of the emission reduction unit, by the later of May 1, 2003,

or the date speCified in the NOx reduction proposal.

5) Submit an emissions baseline determination for each unit subject to the

NOx emission cap in accordance with the requirements of Section

217.820 of this Subpart.

6) Monitoring requirements:

A) To the extent applicable, each emission reduction unit at the

source shall comply with the monitoring requirements of Section

217.850 of this Subpart.

B) The emissions measurements recorded and reported in accordance

with Sections 217.850 and 217.855 of this Subpart shall be used

to determine compliance by the emission reduction unit with the

emissions limitation set forth in the NOx emission reduction

proposal and the federally enforceable permit conditions reqUired

pursuant to subsection (a) (4) of this Section.

C) The emissions measurements recorded and reported in accordance

with Sections 217.850 and 217.855 of this Subpart shall be used

to determine compliance by the emission reduction source with the

emissions cap set forth in the NOx emission reduction proposal

and the federally enforceable permit condition required pursuant

to subsection (a) (4) of this Section.
b) The owner or operator of the emission reduction source is required to submit an

annual certification to the Agency that the source has complied with the cap on

NOx emissions for the source and that the NOx emission reductions specified in

the approved proposal were made pursuant to the requirements of Section

217.850 of this Subpart.

(Source: Added at 25 Ill. Reg.5914, effective Apri117, 2001)

Section 217.815 NOx Emission Reductions and the Subpart X NOx Trading Budget

a) NOx emission reductions may be recognized under this Subpart if they are

quantifiable, verifiable, and federally enforceable, and meet one or more of the

following criteria:

1) Due to the use of any NOx emission reduction technology (e.g.,

combustion or post combustion control technology or fuel switching) at

the emission reduction unit pursuant to federally enforceable conditions in

the permit for the unit addressing such control technology or fuel

switching, NOx emissions from the emission reduction unit for any

control period beginning in 2003 are or will be lower than such unit's

emissions baseline. The amount of actual NOx emission reductions shall

be determined in accordance with Section 217.820 of this Subpart, and

the amount of creditable NOx emission reductions shall be determined in

accordance with Section 217.825 of this Subpart;

2) The emission reduction unit is permanently shut down after January 1,

1995, and the owner or operator requests a revision to the relevant

operating permit to reflect the shut down of the emission reduction unit.

The amount of actual NOx emission reductions shall be determined in

accordance with Section 217.820 of this Subpart, and the amount of

creditable NOx emission reductions shall be determined in accordance

with Section 217.825 of this Subpart;

3) During any control period beginning in 2003, the emission reduction

unit's control period NOx emission rate or hours of operation is reduced

pursuant to federally enforceable conditions in a permit for such unit,

resulting in an actual reduction in NOx emissions from such unit's

emissions baseline. The amount of actual NOx emission reductions shall

be determined in accordance with Section 217.820 of this Subpart, and

the amount of creditable NOx emission reductions shall be determined in

accordance with Section 217.825 of this Subpart.
b) USEPA shall adjust the State's trading portion of the statewide NOx budget, as

established in the NOx SIP Call, 63 Fed. Reg. 57356 (October 27, 1998), and

create allowances for the creditable portion, as set forth in Section 217.825 of

this Subpart, of verifiable, quantifiable, and federally enforceable NOx emission

reductions meeting the requirements of this Subpart (the Subpart X NOx Trading

Budget), and allowances from the Subpart X NOx Trading Budget shall be

allocated to recipient emission units in accordance with this Subpart.

c) The Agency shall submit an allocation to USEPA for the creditable portion of

verifiable, quantifiable, and federally enforceable NOx emission reductions

meeting the requirements of this Subpart, which allocation may be used for the

purposes of demonstrating compliance with the requirements of Subparts U and

W of this Part.

d) If USEPA adjusts or fails to adjust the Subpart X NOx Trading Budget as to any

individual emission reduction unit, the Subpart X NOx Trading Budget shall not

be adjusted pro-rata, and only the allowance allocation for that emission

reduction unit will be adjusted.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.820 Baseline Emissions Determination

a) An emission unit's emissions baseline shall be determined as follows:

1) By multiplying the unit's actual emissions during the 1995 calendar year,

as reported in the annual emission report submitted in accordance with 35

Ill. Adm. Code 254, by 5/12ths; or

2) If the NOx emissions from the unit were not included in the emission

reduction source Is 1995 annual emissions report submitted to the Agency

pursuant to 35 Ill. Adm. Code 254, by determining the base case amount

included for such unit in the NOx SIP Call inventory, as specified in the

"Technical Support Document for Illinois' Statewide NOx Budget"

(63 Fed. Reg. 17349 (Nov. 7, 1997)).

b) If the NOx baseline emissions for the 1995 control period cannot be determined

by the either of the methods listed in subsection (a) (1) or (2) of this Section, such

actual NOx baseline emissions shall be determined based on the average emission

rate multiplied by the average number of hours of operation from two of the

three control periods, as selected by the emission reduction source, prior to the

year the emission reduction proposal is effective. The unit's emission rate and

hours of operation will be determined based on the unit's reported NOx emission
rate and hours of operation in the most recent annual emission reports for such

unit submitted in accordance with 35 Ill. Adm. Code 254.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.825 Calculation of Creditable NOx Emission Reductions

For actual NOx emission reductions achieved pursuant to Section 217.815(a) of this Subpart, the

gross amount of control period actual NOx emission reductions shall be determined pursuant to

Section 217.820 of this Subpart. Eighty percent of the actual NOx emission reductions achieved

pursuant to Section 217.815 (a) shall be creditable. Twenty percent of the actual NOx emission

reductions shall be retired for the benefit of air quality.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.830 Limitations on NOx Emission Reductions

a) Each NOx allowance issued for NOx emission reductions meeting the

requirements of this Subpart is a limited authorization to emit one ton of NOx in

accordance with the federal NOx Trading Program as set forth in Subpart U or

W of this Part, as applicable. No provision of the federal NOx Trading

Program, the emission reduction proposal, the permit application, the permit, or

of law shall be construed to limit the authority of the United States or the State to

terminate or limit such authorization.

b) Any NOx allowance issued in accordance with this Subpart does not constitute a

property right.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.835 NOx Emission Reduction Proposal

a) A NOx emission reduction proposal shall include the following:

1) Information identifying each emission unit at the source that emits NOx '

whether the unit is subject to Subpart T, U, V ,W or X of this Part, and

the baseline emissions for each emission unit subject to the NOx emission

cap as determined in accordance with Section 217.820 of this Subpart;

2) Information identifying each emission reduction unit from which the NOx

emission reductions have been or will be achieved;
3) An explanation of the method used to achieve the NOx emission

reductions;

4) The amount of the NOx emission reductions, including supporting

calculations and documentation, such as fuel usage information;

5) The emission units subject to the NOx emission cap in accordance with

Section 217.810(a) of this Subpart, and if all like-kind or same-type

emission units are not proposed to be included within the NOx emission

cap, an explanation of how the owner or operator of the emission

reduction source will ensure that production shifting will not occur, such

that the emission reduction source will achieve real, verifiable, and

quantifiable NOx emission reductions;

6) The control period NOx emission cap to be achieved by the emission

reduction source, including both the baseline emissions for each recipient

unit subject to the NOx emission cap and the NOx emission reductions

from the emission reduction units included in the proposal;

7) The name and address of the owner or operator of each emission unit to

which the NOx allowances will be allocated, the Subpart of this Part (i.e,

Subpart U or W) to which each unit is subject, including the name,

telephone number, and account number of the account representative for

each such unit; and

8) Certification by the owner or operator of each unit that is the subject of

each proposed emission reduction proposal of his/her acceptance of the

terms of the proposal and certification that the emission reductions

specified in the proposal have been or will be achieved.

b) The owner or operator of a source submitting an emission reduction proposal

must notify the Agency in writing within 30 days of any event or circumstance

that makes the NOx emission reduction proposal incorrect or incomplete.

c) The owner or operator of a source with an approved emission reduction

proposal may request to withdraw its emission reduction proposal, and cease to

create NOx allowances under this Subpart, as follows:

1) Requesting withdrawal: To withdraw from participation under this

Subpart, the owner or operator of an emission reduction unit shall submit

to the Agency a written request to withdraw from participation and to

withdraw or revise the applicable permit effective as of a specified date

between (and not including) September 30 and May 1. Thesubmission
shall be made no later than 90 days prior to the requested effective date

of withdrawal.

2) Conditions for withdrawal: Before an emission reduction source may

withdraw its approved emission reduction proposal, and the federally

enforceable permit may be withdrawn under this Section, the owner or

operator must submit to the Agency an annual compliance certification

report in accordance with Section 217.855 of this Subpart for the control

period immediately before the withdrawal is to be effective.

3) An emission reduction source that withdraws from this Subpart shall

comply with all requirements under its approved emission reduction

proposal and federally enforceable permit conditions addressing such

proposal concerning all years for which the emission reduction source

was in the program, even if such requirements arise or must be complied

with after the withdrawal takes effect.

4) Notification:

A) After the requirements for withdrawal under subsections (a) and

(b) of this Section are met, the Agency will revise the permit

indicating a specified effective date for the withdrawal that is after

the requirements in subsections (a) and (b) of this Section have

been met and that is prior to May 1 or after September 30.

B) If the requirements for withdrawal under subsections (a) and (b)

of this Section are not met, the Agency will issue a notification to

the owner or operator of the emission reduction source that the

request to withdraw its permit is denied. If the request to

withdraw is denied, the source shall remain subject to the

requirements of its approved emission reduction proposal and

federally enforceable permit conditions addressing the proposal

and the requirements of this Subpart.

5) Reapplication upon failure to meet conditions of withdrawal: If the

Agency denies the request of the owner or operator of the emission

reduction source's request to withdraw, the owner or operator of the

source may submit another request to withdraw in accordance with

subsections (a) and (b) of this Section.

6) Upon successful withdrawal from the program, the emission reduction

source shall no longer be subject to the provisions of this Subpart.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)
Section 217.840 Agency Action

a) The Agency shall notify the owner or operator submitting a NOx emission

reduction proposal in writing of its decision with respect to the proposal within

90 days after receipt of such proposal and, if applicable, of NOx emissions data

to verify that the specified reductions have occurred. The owner or operator of

the emission reduction source may extend the deadline for Agency action in

writing. If the Agency disapproves or conditionally approves a proposal, this

written notice shall include a statement of the specific reasons for the disapproval

or conditional approval of the proposal. The following shall be considered a

final Agency action for the purposes of appeal: if the Agency fails to take action

within such 90 day period, subject to any extension, or if the Agency

disapproves a proposal. If the Agency conditionally approves a proposal, the

owner or operator of the emission reduction source has 30 days to submit a

modified proposal addressing the specific items listed by the Agency. If the

owner and operator of the emission reduction source does not submit a modified

emission reduction proposal within such 30 day period, the conditional approval

shall be deemed to be a disapproval, and shall be deemed to be a final action for

purposes of appeal.

b) The NOx emissions reduction proposal will not be effective until:

1) After the owner or operator of the emission reduction source has

obtained or modified a permit with federally enforceable conditions

addressing the requirements of this Subpart; or

2) If NOx emission reductions are being obtained by the shut down of an

emission reduction unit, the owner or operator of the emission reduction

unit has either:

A) Obtained or modified a permit with federally enforceable

conditions addressing the requirements of this Subpart; or

B) Withdrawn the applicable permit and the Agency has:

i) Provided USEPA with a copy of the proposal and notice

of the Agency's proposed approval of the emission

reduction proposal, and USEPA has not disapproved such

proposal;

ii) Published notice and offered an opportunity to comment,

pursuant to 35 Ill. Adm. Code 252, on such permit

withdrawal, its proposed approval of the emission reduction

proposal for the shut down of the emission reduction unit
and the creditable NOx emission reductions that will be

created by the shut down.

c) If the Agency approves the proposal, and subject to the provisions of subsection

(b) of this Section, the Agency shall submit an allocation to USEPA for the

creditable reductions created pursuant to the requirements of this Subpart subject

to the following:

1) Any allowances generated pursuant to this Subpart shall be issued to the

recipient emission unit identified in the proposal, for each control period

in which the NOx emissions reductions are verified, and the requirements

of this Subpart continue to be met;

2) The owner or operator of the emission reduction source has, by the

November 1 following the control period that the emission reduction unit

has reduced NOx emissions, verified the NOx emission reductions in

accordance with Section 217.845 of this Subpart, and obtained a permit

containing federally enforceable conditions addressing the requirements of

this Subpart;

3) The allowances shall be issued by May 1 after the control period in

which the reduction has occurred, for use in any future control period.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.845 Emissions Determination Methods

The owner or operator of an emission reduction source must demonstrate that it has obtained

the NOx emission reductions, and has not exceeded its NOx emission cap, as specified in its

approved NOx emission reduction proposal, as follows:

a) If the NOx emission reductions are generated pursuant to Section 217.815(a)(1)

of this Subpart, the NOx emission rate for each emission reduction unit shall be

determined as follows:

1) Through the use of continuous emissions monitoring in accordance with

Section 217.850 of this Subpart; or

2) Through the use of any test methods and procedures provided in 40 CFR

60 and approved by the Agency, or any other method approved by the

Agency when included as federally enforceable conditions in a permit

issued or revised pursuant to this Subpart.
b) If the NOx emission reductions are generated pursuant to Section 217.815(a)(3)

of this Subpart, submit an initial compliance demonstration plan to the Agency

120 days prior to the control period date that the emission reduction unit will

commence NOx emission reductions in compliance with an approved emissions

reduction proposal. Such demonstration shall be based on the actual NOx

emission rate measured in accordance with Section 217.850 of this Subpart.

c) If the emission reduction unit's compliance with the NOx emission reduction

proposal is determined in accordance with subsection (a) (2) of this Section,

conducting an initial test 90 days prior to the date the specified emission

reductions will be obtained, or within 45 days of the Agency's request for NOx

emission reductions already obtained, and notifying the Agency in writing of any

test performed to comply with the requirements of this Subpart at least 30 days

prior to the test. The Agency may at any time require annual control period

testing of any emission unit at the NOx emission reduction source, and may

require such testing as part of its approval of a NOx emission reduction proposal.

d) By the November 1 following each control period in which NOx emission

reductions are generated, the owner or operator of an emission reduction source

must:

1) Submit a compliance certification, including supporting data, that the NOx

emission cap, as specified in its approved NOx emission reduction

proposal, has not been exceeded; and

2) Monitor and report the NOx emissions during each control period from

all NOx emission units at the source subject to the NOx emission cap in

accordance with Sections 217.850 and 217.855 of this Subpart.

e) The owner or operator of an emission reduction source shall, 120 days prior to

the date that the emission reduction source will commence NOx emission

reductions in compliance with an approved emissions reduction proposal, submit

to the Agency a performance evaluation for each CEMS using the applicable

performance specifications in 40 CFR 60, Appendix B, as incorporated by

reference in Section 217.104 of this Part.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.850 Emissions Monitoring

a) The owner or operator of an emission reduction source shall install, calibrate,

maintain, and operate during the control period on each NOx emission unit at the

source subject to the NOx emission cap a continuous emission monitoring system
(CEMS), or an alternative approved by the Agency and included in a federally

enforceable permit condition, for measuring NOx emissions to the atmosphere.

b) The CEMS shall be operated and data recorded during all periods of operation

of the emission unit at the source during the control period, except for periods of

CEMS breakdowns and repairs as proVided in subsection (e) of this Section.

c) CEMS quality assurance data must be recorded during calibration checks and

zero and span adjustments.

d) The I-hour average NOx emissions measured by the CEMS shall be:

1) Expressed in lbs/hr or in lbs/mmbtu and heat input;

2) Calculated using the data points required under 40 CFR 60.13, as

incorporated by reference in Section 217.104 of this Subpart; and

3) Calculated using at least two data points separated by a minimum of 15

minutes (where the unit operates for more than one quarter of an hour) if

data are unavailable as a result of the performance of calibration, quality

assurance, or preventive maintenance activities.

e) The procedures under 40 CFR 60.13, as incorporated by reference in Section

217.104 of this Subpart, shall be followed for installation, evaluation, and

operation of each CEMS.

f) For monitoring systems measuring NOx in lbs/hr, if NOx emission data are not

obtained because of CEMS breakdown, repairs, calibration checks, or zero and

span adjustments, NOx emission data shall be obtained ~y using the data

substitution procedures contained in 40 CFR 75, subpart D, incorporated by

reference in Section 217. 104 of this Part.

g) For monitoring systems measuring NOx in lbs/mmbtu, if NOx emission data are

not obtained because of CEMS breakdown, repairs, calibration checks, or zero

and span adjustments, NOx emission data shall be obtained by using the rolling

hourly average of emission data recorded for the previous 30 day period of

operation if the data capture for such period is 95% or greater and the period of

missing data is equal to or less than 24 consecutive hours. If the data capture for

such previous 30 day period is less than 95% or the period of missing data is

greater than 24 consecutive hours, the data shall be obtained by using the highest

hourly average recorded during the previous 30 days of operation.
h) The CEMS shall be subject to the quality assurance procedures and requirements

of 40 CFR 60, Appendix F, incorporated by reference in Section 217.104 of this

Part.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.855 Reporting

a) By the November 1 of each year beginning in 2003, or the year of the first

control period for which NOx emission reductions were generated in accordance

with this Subpart, an owner or operator of an emission reduction source must, as

a seasonal component of the annual emission report for the source pursuant to 35

Ill. Adm. Code 254, report to the Agency the total control period NOx emissions

of each NOx emission unit at the source subject to the NOx emission cap.

b) Within 30 days after receipt of such data or evaluation, the owner or operator of

each emission reduction source shall submit to the Agency the performance test

data from the initial performance test for each emission reduction unit and the

performance evaluation for each CEMS using the applicable performance

specifications in 40 CFR 60, Appendix B, as incorporated by reference in

Section 217.104 of this Part.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.860 Recordkeeping

a) The owner or operator of an emission reduction source shall keep and maintain

the following records for each NOx emission unit at the source subject to the

NOx emission cap:

1) Daily, monthly, and control period operating hours;

2) Type and quantity of each fuel used daily during the control period;

3) Control period capacity factor of individual fuels fired and all fuels fired;

4) Monitoring records; and

5) To the extent applicable, the performance test data from the initial

performance test for each emission reduction unit and the performance

evaluation for each CEMS using the applicable performance specifications

in 40 CFR 60, Appendix B, as incorporated by reference in Section

217.104 of this Part.
b) The owner or operator of an emission reduction source shall maintain records of

the following information for each operating day for each NOx emission unit

subject to the NOx emission cap:

1) Calendar date;

2) The average hourly NOx mass emission rate expressed as lbs/hr;

3) The control period total NOx mass emissions to date;

4) Identification of times when emission data have been excluded

from the calculation of NOx mass emissions, the reasons for

excluding the data, and any corrective actions taken;

5) Identification of the times when the pollutant concentration

exceeded full span of the CEMS;

6) Description of any modifications to the CEMS that could affect the

ability of the CEMS to comply with the Performance

Specifications in 40 CFR 60, Appendix B; and

7) Results of daily CEMS drift tests and quarterly accuracy

assessments as required under 40 CFR 60, Appendix F.

c) The owner or operator of any NOx emission reduction source subject to the

continuous monitoring requirements for NOx under this Subpart, shall submit a

compliance certification containing the information recorded under subsection (b)

of this Section. All compliance certification reports shall be postmarked by

November 1 or the next business day if November 1 falls on a Saturday or

Sunday, of each control period in which NOx emission reductions are generated.

d) Maintenance of records: Unless otherwise provided, the owner or operator of a

NOx emission reduction source shall keep on site at the source, each of the

following documents for a period of 5 years from the date the document is

created. This period may be extended for cause, at any time prior to the end of

5 years, in writing by the Agency.

1) The emission reduction proposal and all documents that demonstrate the

accuracy of the statements in the proposal for each year the emission

reduction source generates NOx reductions under this Subpart and for 5

years thereafter.
2) All emissions monitoring information required pursuant to this Subpart;

provided that to the extent that 40 CFR 60 provides for a 3-year period

for recordkeeping, the 3-year period shall apply.

3) Copies of all reports, compliance certifications, and other submissions and

all records made or required under this Subpart.

4) Copies of all documents used to complete any permit application and

supporting documents and any other submission to demonstrate

compliance with the requirements of this Subpart.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.865 Enforcement

a) Excess emissions requirements: The owner or operator of an emission reduction

source for which NOx reductions have been recognized pursuant to this Section

and that has excess NOx emissions in any control period for which NOx

allowances have been issued must:

1) For the first control period during which the emission reduction source

has excess NOx emissions, purchase NOx allowances in an amount equal

to 2 times the excess NOx emissions in accordance with the federal NOx

Trading Program and surrender the allowances to the Agency by

December 31 following the control period in which the emission

reduction source had excess emissions;

2) For the second control period during which the emission reduction source

has excess NOx emissions, purchase allowances in an amount equal to 3

times the excess NOx emissions in accordance with the federal NOx

Trading Program and surrender the allowances to the Agency by

December 31 following the control period in which the emission

reduction source had excess emissions;

3) If the emission reduction source has excess NOx emissions for 3 control

periods, purchase allowances in an amount equal to 4 times the excess

NOx emissions pursuant to the federal NOx Trading Program and

surrender the allowances to the Agency by December 31 following the

control period in which the emission reduction source had excess

emissions, and the NOx emission reduction proposal shall be automatically

revoked. The emission reduction source will thereafter not be able to

generate NOx emission reductions for which NOx allowances may be

issued under this Subpart.
b) All allowances surrendered to the Agency pursuant to subsections (a) (1) through

(a) (3) of this Section shall be retired to benefit air quality.

c) Nothing in this Subpart limits the authority of the State or the federal government

to seek penalties and injunctive relief for any violation of this Subpart or any

permit condition. Nothing in this Subpart limits the right of the State or the

federal government or any person to directly enforce against actions or omissions

which constitute violations of permits required by the Act or regulations

promulgated thereunder or the CAA or applicable federal environmental laws

and regulations.

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.APPENDIX A Rule into Section Table

Rule

207 (a)(l)

207(a) (2)

207(a) (3)

207 (a)(4)

207 (a) (5) (A)

207 (a) (5) (B)

207(b)

207(c)

207(d)

207(e)

207(f)

207(g)

Section 217.APPENDIX B Section into Rule Table

Section

217.121(a)

217.121(b)

217.121(c)

217.121(d) and 217.521(a)

217.121(e)

217.521 (b)

217.141(a)-(c)

217.141 (d)

217.381

217.301

217.101

Appendix C

Section Rule

217.100

217.101 207(f)

217.102

217.103

217.104

217.121 207(a)(1)-(4) and

207 (a) (5) (A)

217.141 207(b) and 207(c)

217.301 207 (e)
217.381

217.521

Appendix C

Section 217.APPENDIX C Compliance Dates

207 (d)

207(a)(4) and 207(a)(5)(B)

207 (g)

Every owner or operator of a new emission source was required to comply with the standards

and limitations of this Part by April 14, 1972.

Except as otherwise provided in the next paragraph, every owner or operator of an existing

emission source was required to comply with the standards and limitations of this Part by

December 31, 1973.

Every owner or operator of an existing coal fired fuel combustion emission source was required

to comply with the applicable standards and limitations of this Part by May 30, 1975.

Section 217.Appendix D Non-Electrical Generating Units

COMPANY ID # / NAME UNIT DESIGNATION

1 2

A E STALEY MANUFACTURING CO

115015ABX 85070061299

115015ABX 85070061299

115015ABX 73020084129

ARCHER DANIELS MIDLAND CO EAST PLANT

115015AAE 85060030081

115015AAE 85060030081

115015AAE 85060030081

115015AAE 85060030082

115015AAE 85060030082

115015AAE 85060030082

115015AAE 85060030083

115015AAE 85060030083

UNIT DESCRIPTION

3

COAL-FIRED BOILER 1

COAL-FIRED BOILER 2

BOILER #25

COAL-FIRED BOILER 1

COAL-FIRED BOILER 2

COAL-FIRED BOILER 3

COAL-FIRED BOILER 4

COAL-FIRED BOILER 5

COAL-FIRED BOILER 6

GAS-FIRED BOILER 7

GAS-FIRED BOILER 8

CPC INTERNATIONAL INC.

031012ABI

031012ABI

031012ABI

031012ABI

031012ABI

031012ABI

91020069160

73020146041

73020146042

73020146043

73020147045

73020147046

COAL-FIRED BOILER 6

BOILER SERIAL 15813

BOILER SERIAL 15812

GAS FIRED BOILER NO 4

BOILER SERIAL 18345

GAS FIRED BOILER NO 5
GREAT LAKES NAVAL STATION

097811AAC 78080071011

097811AAC 78080071011

INDIAN REFINING LIMITED PARTNERSHIP

101805AAC 72110297015

101805AAC 72110297016

101805AAC 72110297017

JEFFERSON SMURFIT CORPQRATION

119010AAL 72120426001

BOILER # 5

BOILER # 6

BOILER 18601

BOILER 18602

BOILER 18603

BLR 7-COAL FIRED

MARATHON OIL CO ILLINOIS REFINING DIVISION

033808AAB 72111291055

033808AAB 72111291056

BOILER #3 OIL,REF GAS

FIRED

BOILER #4 REF GAS,OIL

FIRED

MOBIL JOLIET REFINING CORP

197800AAA 72110567002

197800AAA 86010009043

AUX BOILER-REFINERY

GAS FULL FIRE IF COGEN

DOWN

STATIONARY GAS

TURBINE

PEKIN ENERGY COMPANY

179060ACR

QUANTUM - USI DIVISION

063800AAC

063800AAC

063800AAC

063800AAC

063800AAC

QUANTUM - USI DIVISION

041804AAB

041804AAB

041804AAB

041804AAB

041804AAB

73020087019

72100016013

72100016013

72100016014

72100016016

72100016017

72121207108

72121207109

72121207110

72121207111

72121207112

BOILER # 1

BOILER # 2

#3 GAS FIRED BOILER

#5 GAS FIRED BOILER

#6 BOILER

BOILER NO 1

BOILER NO 2

BOILER NO 3

BOILER NO 4

BOILER NO 5

SHELL OIL CO WOOD RIVER MFG COMPLEX

119090AAA 72110633080

119090AAA 72110633081

BOILER NO 15

BOILER NO 16
119090AAA 72110633082 BOILER NO 17

U S STEEL - SOUTH WORKS

031600ALZ

031600ALZ

82010044013

82010044014

NO.6 BOILER,#5 POWER

STATION (FUEL-NAT. GAS)

NO 1 BLRNG

UNIV OF ILL - ABBOTT POWER PLANT

019010ADA 82090027006 BOILER #7 (265 MBTU)

UNO-YEN COMPANY

197090AAI 72110253037 . BOILER 43-B-1

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)

SecrIOn 217 .A,ppend'IX E Large Non-Elect'flea1Generarmg U't m s

COMPANY UNIT UNIT BUDGET BUDGET

ID # / DESIGNATION DESCRIPTION ALLOCAT ALLOCATION

NAME ION LESS 3%

NSSA

1 2 3 4 5

A. E. STALEY MANUFACTURING CO

115015ABX 85070061299 COAL-FIRED 176 171

BOILER 1

115015ABX 85070061299 COAL-FIRED 175 170

BOILER 2

115015ABX 73020084129 BOILER #25 125 121

A. E. STALEY MANUFACTURING CO (Total 476 462

Allocation)

ARCHER DANIELS MIDLAND CO EAST PLANT

115015AAE 85060030081 COAL-FIRED 238 231

BOILER 1

115015AAE 85060030081 COAL-FIRED 261 253

BOILER 2

115015AAE 85060030081 COAL-FIRED 267 259

BOILER 3

115015AAE 85060030082 COAL-FIRED 276 268

BOILER 4

115015AAE 85060030082 COAL-FIRED 275 267

BOILER 5

115015AAE 85060030082 COAL-FIRED 311 302
BOILER 6

115015AAE 85060030083 GAS-FIRED 19 18

BOILER 7

115015AAE 85060030083 GAS-FIRED 19 18

BOILER 8

ARCHER DANIELS MIDLAND CO EAST 1,666 1,616

PLANT (Total Allocation)

CORN PRODUCTS INTERNATIONAL INC

031012ABI 91020069160 GAS-FIRED 55 53

BOILER 6

031012ABI 73020146041 BOILER # 1 210 204

COAL-FIRED

031012ABI 73020146042 BOILER # 2 210 203

COAL-FIRED

031012ABI 73020146043 GAS FIRED 81 79

BOILER NO 4

WEST STACK

BLRS

031012ABI 73020147045 BOILER # 3 211 205

COAL-FIRED

031012ABI 73020147046 GAS FIRED 81 79

BOILER NO 5-

EAST STACK

BOILER

CORN PRODUCTS INTERNATIONAL INC 848 823

(Total Allocation)

GREAT LAKES NTC

097811AAC 78080071011 BOILER # 5 26 25

097811AAC 78080071011 BOILER # 6 26 25

GREAT LAKES NTC (Total Allocation) 52 50

JEFFERSON SMURFIT CORPORATION

119010AAL 72120426001 BLR 7-COAL 39 38

FIRED

JEFFERSON SMURFIT CORPORATION (Total 39 38

Allocation)

MARATHON OIL CO ILLINOIS REFINING DIV

033808AAB 72111291055 BOILER #3 53 51

OIL,REF GAS

FIRED
033808AAB 172111291056 IBOILER #4 REF 53 52

GAS,OIL FIRED

MARATHON OIL CO ILLINOIS REFINING 106 103

DIV (Total Allocation)

EXXON MOBIL

197800AAA 72110567002 AUX BOILER- 101 98

REFINERY GAS

197800AAA 86010009043 STATIONARY 85 82

GAS TURBINE

EXXON MOBIL (Total Allocation) 186 180

WILLIAMS

179060ACR 73020087019 BOILER C - 377 366

PULVERIZED

DRY BOTTOM

WILLIAMS (Total Allocation) 377 366

EQUISTAR

063800AAC 72100016013 BOILER # 1 40 39

063800AAC 72100016013 BOILER # 2 40 39

063800AAC 72100016014 #3 GAS FIRED 40 39

BOILER

063800AAC 72100016016 #5 GAS FIRED 40 39

BOILER

063800AAC 72100016017 #6 BOILER 40 38

EQUISTAR (Total Allocation) 200 194

EQUISTAR

041804AAB 72121207108 BOILER NO 1 121 118

041804AAB 72121207109 BOILER NO 2 121 118

041804AAB 72121207110 BOILER NO 3 121 117

041804AAB 72121207111 BOILER NO 4 120 116

041804AAB 72121207112 BOILER NO 5 0 0

EQUISTAR (Total Allocation) 483 469

TOSCO

119090AAA 72110633080 BOILER NO 15 40 38

119090AAA 72110633081 BOILER NO 16 40 39

119090AAA 72110633082 BOILER NO 17 80 78

TOSCO (Total Allocation) 160 155

U S STEEL - SOUTH WORKS
031600ALZ 82010044013 NO.6 BOILER,#5 90 88

POWER

STATION (FUELNAT.GAS)

031600ALZ 82010044014 NO 1 BLR NG 90 87

US STEEL - SOUTH WORKS (Total Allocation) 180 175

UNIV OF ILL - ABBOTT POWER PLANT

019010ADA 182090027006 /BOILER #7 86 83

UNIV OF ILL - ABBOTT POWER PLANT (Total 86 83

Allocation)

CITGO PETROLEUM CORPORATION

197090AAI 172110253037 IBOILER 43-B-1 23 22

CITGO PETROLEUM CORPORATION (Total 23 22

Allocation)

LTV STEEL COMPANY

301600AMC [UNIT BOILER NO 4B * * DESIGNATION]

LTV STEEL COMPANY (Total Allocation) * * * Pursuant to Section 217.460(f), Column 2, Column 4 and Column 5 will be adjusted

at such time as USEPA makes an allocation for LTV Steel's Boiler No. 4B.

IGRAND TOTAL 4,882 4,736

(Source: Added at 25 Ill. Reg.5914, effective April 17, 2001)

Section 217.Appendix F Allowances for Electrical Generating Units

Generating 80% of 50% of

Company Unit EGU NOx NOx NOx 2004,

Name/ ID Designation Designation Budget Budget Budget 2005, 2007, 2009,

# Allowa Allowa Allowa 2006 2008 2010

nces nces nces Allowa Allowa Allowa

nces nces nces

1 2 3 4 5 6 7 8 9

Company Totals No No No 5% 2% 2%

NSSA NSSA NSSA NSSA NSSA NSSA
Ameren Energy Generatmg Company

135803AA Coffeen 1 Coffeen 1 550 440 275 523 431 270

A

135803AA Coffeen 2 Coffeen 2 945 756 473 898 741 463

A

077806AA G. Tower Boiler 7 55 44 28 52 43 27

A 3

077806AA G. Tower Boiler 8 44 35 22 42 35 22

A 3

077806AA G. Tower Boiler 9 199 159 100 189 156 98

A 4

033801AA Hutsonville Boiler 5 161 129 81 153 126 79

A 3

033801AA Hutsonville Boiler 6 129 103 65 123 101 63

A 4

135805AA Meredosia Boiler 1 33 26 17 31 26 16

A 1

135805AA Meredosia Boiler 2 23 18 12 22 18 11

A 1

135805AA Meredosia Boiler 3 23 18 12 21 18 11

A 2

135805AA Meredosia Boiler 4 28 22 14 27 22 14

A 2

135805AA Meredosia Boiler 5 432 346 216 410 339 212

A 3

135805AA Meredosia Boiler 6 28 22 14 27 22 13

A 4

079808AA Newton 1 Newton 1 1,101 881 551 1,046 863 539

A

079808AA Newton 2 Newton 2 1,074 859 537 1,020 842 526

A

Ameren Eng. Gen. Co. Totals 4,825 3,860 2,413 4,584 3,783 2,364

AES

057801AA D. Creek D. Creek 914 731 457 868 717 448

A

143805AA Edwards 1 Edwards 1 251 201 126 239 197 123

G

143805AA Edwards 2 Edwards 2 368 294 184 350 288 180

G

143805AA Edwards 3 Edwards 3 655 524 328 622 513 321

G

AES Totals 2,188 1,750 1,094 2,079 1,715 1,072
CWLP

167120AA Dallman 1 Boiler 31 141 113 71 134 111 69

0

167120AA Dallman 2 Boiler 32 202 162 101 192 158 99

0

167120AA Dallman 3 Boiler 33 474 379 237 450 372 232

0

167120AG G. Turbine G. Turbine 91 73 46 86 71 45

Q #2 #2

167120AA Lakeside 7 Lakeside 7 47 38 24 45 37 23

0

167120AA Lakeside 8 Lakeside 8 42 34 21 40 33 21

0

CWLP Totals 997 798 499 947 782 489

Midwest Generation

063806AA Collins 1 Collins 1 302 242 151 287 237 148

F

063806AA Collins 2 Collins 2 305 244 153 290 239 150

F

063806AA Collins 3 Collins 3 469 375 235 446 368 230

F

063806AA Collins 4 Collins 4 290 232 145 275 227 142

F

063806AA Collins 5 Collins 5 458 366 229 435 359 224

F

031600AIN Crawford 7 Crawford 7 365 292 183 347 286 179

031600AIN Crawford 8 Crawford 8 463 370 232 440 363 227

031600AM Fisk 19 Fisk 19 523 418 262 497 410 256

I

031600AM Fisk Peaker GT 31-1 9 7 5 9 7 4

I

031600AM Fisk Peaker GT 31-2 9 7 5 9 7 4

I

031600AM Fisk Peaker GT 32-1 9 7 5 9 7 4

I

031600AM Fisk Peaker GT 32-2 9 7 5 9 7 4

I

031600AM Fisk Peaker GT 33-1 9 7 5 8 7 5

I

031600AM Fisk Peaker GT 33-2 9 7 5 8 7 5

I

031600AM Fisk Peaker GT 34-1 9 7 5 8 7 5

I
031600AM Fisk Peaker GT 34-2 9 7 5 8 7 5

I

197809AA Joliet 6 Boiler 5 119 95 60 113 93 58

0

197809AA Joliet 7 Boiler 71 455 364 228 432 357 223

0

197809AA Joliet 7 Boiler 72 709 567 355 673 556 347

0

197809AA Joliet 8 Boiler 81 748 598 374 711 587 367

0

197809AA Joliet 8 Boiler 82 497 398 249 472 390 244

0

179801AA Powerton 5 Boiler 52 739 591 370 702 579 362

A

179801AA Powerton5 Boiler 51 739 591 370 702 579 362

A

179801AA Powerton 6 Boiler 61 739 591 370 702 579 362

A

179801AA Powerton 6 Boiler 62 739 591 370 702 579 362

A

097190AA Waukegan Boiler 17 199 159 100 189 156 98

C 6

097190AA Waukegan Waukegan 376 301 188 357 295 184

C 7 7

097190AA Waukegan Waukegan 667 534 334 634 523 327

C 8 8

097190AA Peaker GT 31-1 5 4 3 4 4 2

C

097190AA Peaker GT 31-2 5 4 3 5 4 2

C

097190AA Peaker GT 32-1 5 4 3 5 4 3

C

097190AA Peaker GT 32-2 5 4 3 5 4 3

C

197810AA Will Will 364 291 182 346 285 178

K County 1 County 1

197810AA Will Will 354 283 177 336 278 173

K County 2 County 2

197810AA Will Will 449 359 225 427 352 220

K County 3 County 3

197810AA Will Will 766 613 383 728 601 375

K County 4 County 4

Midwest Generation Totals 11,926 9,541 5,963 11,330 9,350 5,844
D E am. ner~:y

021814AA Kincaid 1 Kincaid 1 792 634 396 752 621 388

B

021814AA Kincaid 2 Kincaid 2 873 698 437 829 684 428

B

Dam. Energy Totals 1,665 1,332 833 1,581 1,305 816

El E I nergy nco

127855AA Joppa 1 Joppa 1 481 385 241 457 377 236

C

127855AA Joppa 2 Joppa 2 515 412 258 489 404 252

C

127855AA Joppa 3 Joppa 3 513 410 257 487 402 251

C

127855AA Joppa 4 Joppa 4 384 307 192 365 301 188

C

127855AA Joppa 5 Joppa 5 463 370 232 440 363 227

C

127855AA Joppa 6 Joppa 6 524 419 262 498 411 257

C

El. Energy Inc. Totals 2,880 2,304 1,440 2,736 2,258 1,411

DMG

157851AA Baldwin 1 Baldwin 1 1,114 891 557 1,058 873 546

A

157851AA Baldwin 2 Baldwin 2 931 745 466 884 730 456

A

157851AA Baldwin 3 Baldwin 3 1,318 1,054 659 1,252 1,034 646

A

125804AA Havana 1-5 Boiler 1 a a a a a a

B

125804AA Havana 1-5 Boiler 2 a a a a a a

B

125804AA Havana 1-5 Boiler 3 a a a a a a

B

125804AA Havana 1-5 Boiler 4 a a a a a a

B

125804AA Havana 1-5 Boiler 5 a a a a a a

B

125804AA Havana 1-5 Boiler 6 a a a a a a

B

125804AA Havana 1-5 Boiler 7 a a a a a a

B
125804AA Havana 1-5 Boiler 8 0 0 0 0 0 0

B

125804AA Havana 6 Boiler 9 547 438 274 520 429 268

B

155010AA Hennepin 1 Hennepin 1 149 119 75 142 117 73

A

155010AA Hennepin 2 Hennepin 2 540 432 270 513 423 265

A

183814AA Vermilion Vermilion 17 14 9 16 13 8

A 1 1

183814AA Vermilion Vermilion 31 25 16 30 24 15

A 2 2

119020AA Wood Wood 0 0 0 0 0 0

E River 1 River 1

119020AA Wood Wood 0 0 0 0 0 0

E River 2 River 2

119020AA Wood Wood 0 0 0 0 0 0

E River 3 River 3

119020AA Wood Wood 219 175 110 208 172 107

E River 4 River 4

119020AA Wood Wood 714 571 357 678 560 350

E River 5 River 5

DMG Totals 5,580 4,464 2,790 5,301 4,375 2,734

SIPCO

199856AA Marion 1 Marion 1 14 11 7 13 11 7

C

199856AA Marion 2 Marion 2 10 8 5 10 8 5

C

199856AA Marion 3 Marion 3 30 24 15 29 23 15

C

199856AA Marion 4 Marion 4 511 409 256 485 401 250

C

SIPCO Totals 565 452 283 537 443 277

Union Electric

119105AA Turbine Turbine 4 3 2 4 3 2

A

119105AA Venice 1 Venice 1 10 8 5 9 8 5

A

119105AA Venice 2 Venice 2 13 10 7 12 10 6

A

119105AA Venice 3 Venice 3 6 5 3 6 5 3

A
119105AA Venice 4 Venice 4 7 6 4 7 5 4

A

119105AA Venice 5 Venice 5 15 12 8 14 12 7

A

119105AA Venice 6 Venice 6 16 13 8 15 13 8

A

119105AA Venice 7 Venice 7 2 2 1 2 1 1

A

119105AA Venice 8 Venice 8 2 2 1 2 2 1

A

Union Electric Totals 75 60 38 71 59 37

IL.....T_O_T_AL -'-I_30-,-,7_0_1I 24,561 I 15,351 I 29,166 I 24,070 I 15,044 I

(Source: Added at 25 Ill. Reg. 128, effective December 26, 2000)