South Dakota Administrative Rules › Title 74 - Department of Environment And Natural Resources › Article 74:36 - Air pollution control program › Chapter 74:36:10 - New source review › Section 74:36:10:07 - Determining credit for emission offsets

Current through Register Vol. 51, page 10, July 15, 2024
The baseline for determining credit for emission offsets is the
	 emission limit in effect at the time the application to construct is filed,
	 except that the offset baseline is the actual emission of the unit from which
	 offset credit is obtained if the demonstration of reasonable further progress
	 and attainment of ambient air quality standards is based upon the actual
	 emission of sources located within a designated nonattainment area; or if there
	 is no applicable emission limit.
In determining credit for emission offsets the following criteria shall
	 be met:
(1) All offsets must be for
  the same regulated NSR pollutant, result in a net positive air quality benefit
  in the affected area, and be approved by the department before issuance of the
  permit, even though they need not be in effect until the source commences
  operation. The offset ratio of total actual emissions reductions to the
  emissions increase shall be at least 1 to 1 unless an alternative ratio is
  provided in accordance with the offset requirements in
  40 C.F.R. §
										51.165(a)(9)(ii) through
  51.165(a)(9)(iv)
  (July 1, 2018);
(2) External
  offsets or those emission limitations from sources not owned, operated, or
  controlled by an applicant for a permit shall be made through a revision of the
  permit conditions of the participating source or sources. At no time may the
  baseline be exceeded;
(3) The
  permissible location of offsetting emissions shall be conducted in accordance
  with 40 C.F.R., Part 51, Appendix S, section IV.D (July 1, 2018);
(4) For an existing fuel combustion unit,
  credit shall be based on the emission limit for the type of fuel being burned
  at the time the application to construct is filed. If the existing source
  agrees to switch to a cleaner fuel at some future date, emission offset credits
  based on the allowable or actual emissions for the fuels involved may be
  allowed only if permit conditions specify an alternative control measure that
  would achieve the same degree of emission reduction if the source switched back
  to the dirtier fuel at some later date;
(5) Emission reductions achieved by shutting
  down an existing unit or curtailing production or operating hours below
  baseline levels may be credited if the reductions are permanent, quantifiable,
  federally enforceable, and the area has a federally-approved attainment plan.
  In addition, the shutdown or curtailed production must occur after August 7,
  1977, or less than one year before the date of submitting the permit
  application, whichever is earlier. Emission reductions may be credited in the
  absence of a federally-approved attainment plan if the shutdown or curtailment
  occurred on or after the date the application is filed for a new unit or if the
  applicant can establish that the proposed new unit is a replacement for the
  shutdown or curtailed unit, and the shutdown or curtailment occurred after
  August 7, 1977, or less than one year before the date of submitting the permit
  application, whichever is earlier;
(6) Except as set forth in
  40 C.F.R. §
										51.165(a)(3)(ii)(D) (July 1,
  2018), emission offset credit may not be allowed for replacing one hydrocarbon
  compound with another of lesser reactivity;
(7) Credit for emissions reduction may be
  claimed to the extent that the department has not relied on it in issuing a
  permit or in its demonstration of attainment or reasonable further
  progress;
(8) If the emissions
  limit allows greater emissions than the potential to emit of the unit, the
  emission offset credit is allowed only for the control below the potential to
  emit of the unit; and
(9) All
  emission reductions claimed as offset credit must be federally
  enforceable.
General Authority:
SDCL
		34A-1-6,
		34A-1-21.
Law Implemented:
SDCL
		34A-1-21,
		34A-1-22.