SIP DESCRIPTION - PSEG Power Connecticut LLC-Trading Agreement and Order 0.8253 Modification 1 I. SIP

- DESCRIPTION OF DERC CREATION ANDIOR USE SIPSUMMARY TABLE Tradinl! Al!reement and Order No. 8253 Modilication 1 PSEG Power Connecticut LLC 1Atlantic Street Bridgeport

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### 1 Contact Mr. Robert Silvestri Tel: (203) 551-6032 Fax (203) 551-6053 Environmental Ooerations Leader Pollutant and Regulatory Standard: NOx Section 22a·174-22 ofthe Regulations of Connecticut State A2encies. Nonattainment Area Classification Severe Annual DERCs needed Estimated < 5tons Comnliance Time Period Until Anril30, 2007. Max. Emission Rate: full load emission rate (FLER) Use. (See Table I below):
Table 1 NOxEmission Rates and Allowable Limits Unit Fuel Maximum StackTest FLER Allowable Date of Next P/R number Capacity (ppmvd) IbsIMMBtu Rate Stack Stack 

## MW Ibs/MMBtu Test Test Due Unit 2 #6 oil 170 CEM CEM .25 NA NA P-015-0162 #2 oil .20 seasonalc .15 II. SPECIAL REOUIREMENTS
a. This Trading Agreement and OrderModification supersedes Trading Agreement and Order No. 8253 issued on July 23, 2003. b. Calculations ofcredits used shall be as specified in Trading Agreement and OrderNo. 8253.
c. Starting on October I, 2003 and until April 30, 2007 during the non·ozone season PSEG Power Connecticut LLC shall meet anon-ozone season emission limit of 0.15 IbsIMMBlU ofheat input when operating on all fuels.

# STATE OF CONNECTICUT DEPARTMENT OF ENVIRONMENTAL PROTECTION

STATE OF CONNECTICUT AND PSEG POWER CONNECTICUT LLC TRADlNG AGREEMENT AND ORDER NO. 8253 MODlFICAnON NO.1
TRADlNG AGREEMENT AND ORDER MODlFICAnON In 

### the matterofaTrading Agreement and Order between the CommissionerofEnvironmental Prmection ("Commissioner") and PSEG Power ConnecticutLLC ("PSEG"). WHEREAS, the Commissionerand PSEG, having agreed to the tenns and conditions set forth in Trading Agreement and OrderNo. 8253 issued on July23, 2003, do now, by murual 

### agreement, modify said Trading Agreement and Order as follows: 1. 

### Delete the date May 1.2005, and substitute therefor May I, 2007, in paragraphs A.4. and C.l.



## ,. \.) 2. 

### Delete paragraph C.2. and substitute the following therefor: DERC use. Before the first day ofeach non-ozone season, PSEG shall have in its possession sufficient approved DERCs for the boiler based on the following:
a. During the**non~ozone** 

### season: During the period from October 1through April 30, inclusive, each year until May 1, 2007, PSEG shall meet anon·ozone seasonal average emission limit of 0.15IbslMMBtu. Priorto October I, 2003, OClOber I, 2004, October I, 2005 and October I, 2006, PSEG shall estimate and acquire'the amount ofDERCs 

### or allowances required forsuch non-ozone season needed to comply with Section 22a-174-22(e)(3) ofthe Regulations as follows: Estimated DERCs (tons) 

### = [Estimated fuel use in MMBru from October 1 

### through April 30 x (estimated seasonal average NOx emission cate in IbsJ1v!MBtu during October I through April 30

- (0.95 x 0.15 IbslMMBtu»] + 2000 pounds/ton. No later than May 31, 2004, May 31, 2005, May 31, 2006, and May 31, 2007, 

### when the boilerhas anon-ozone seasonal average actual NOx emission rate exceeding 0.15IbstM:M:Btu, PSEG shall calculate and pennanent!y retire the amount ofDERCs used in the preceding non-ozone season as follows: (Printed on Recycled Paper) 79 Elm Street • Hutlord, CT 06106· Sl27 hitp:lldep.st.tle.el.UI A" Eq"tll Opport""iIY Employu

### PSEG Power Connecticut LLC 2 

### TradingAgreement and Order No. 8253 Modification No. I



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4. Actual DERCs (tons) 

### = [Actual fuel use in MMBtu from October I through 

### April 30 x (actual seasonal average NOx emission rate in IbsIMMBtu during October 1 through April 30 - (0.95 x 0.151bslMMBtu))J + 2000 pounds/ton. 

### b. When the non-ozone season CEM-recordedNOx emission rate is used to calculate OERCs used by the boiler, PSEG shall include missing data calculated in accordance with missing data substitution procedures under40 

### CFR Part 75. Delete paragraph C.7. and substitute the following therefor: DERC Shortfall. At a minimum, DERCs required shall be adjusted upwards by 100% ifDERCs are not in PSEG's possession for use prior to the fInt day ofeach 

### non-ozone season. However, nothing in this Trading Agreement and Ordershall affectthe Commissioner's authority to instirute any proceeding or take any other action to require additional upward adjustment, based on the gravity ofany alleged noncompliance or violation oflaw. PSEG shall permanently retire the quantity ofemissions caused by the exceedance plus a 100% premium within sixty (60) days ofPSEG's discovery ofthe DERC shortfall. PSEG shall certify 

### and reportany such DERC retirementto the Commissionerin accordance with paragraph C.26 ofthis Trading Agreement and Order. Delete paragraph C.9. and substitute the following therefor: Extension. No later than May I, 2007, with respect to the boiler, PSEG shall comply with the requirements ofSection 22a-174-22(d)(2) ofthe Regulations. 

### There is no assurance that afterfull program review ofthis and otherTrading Agreements and Orders that the Commissionerwill grant awritten extension of this TradingAgreementand Order. 5. Delete paragraph C.IO. and substitute the following therefor: Future Compliance Report. On orbefore September I, 2006, PSEG shall submit 

### areport in writing to the Commissoner, as directed in paragraph C.27. ofthis Trading Agreement and Order, indicating how the facility shall comply with Section 22a-174-22 ofthe Regulations with respect to 

### the boileron and afterMay 1,2007. All other tertes and conditions ofTrading Agreement and Order no. 8253 issued by the 

# C) Commissioner acting under Chapter446<, Sections 22a-6, 22a-171, 22a-174, 22a-176, and 22a

### 177 ofthe Connecticut General Statutes shall remain in effect.

### PSEG Power Connecticut LLC 3 

### Trading Agreement and Order No. 8253 Modification NO.1 

### PSEG hereby consents lO the entry ofthis modification [0 [he Trading Agreement and Order without furthernmice.

# PSEGPower~~ SIgnature: 

### Type Name: Type Title: Date: Robert T.....Parnell Dire dor of Asset Operations September 2. 2004



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# , U Entered as amodification ofan Orderofthe CommissionerofEnvironmental Protection numbered 8253 this 

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MAJI..ED CERTIFIED MAlL,



### RETURN RECEIPT REQUESTED CertifiedDocumentNo.

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