DNR Proposes NOx Allowance Allocations from CAIR Compliance Supplement Pool

The Iowa Department of Natural Resources (DNR) is providing notice and opportunity for public comment on its proposal to allocate allowances for nitrogen oxide (NOx) under the Clean Air Interstate Rule (CAIR) Compliance Supplement Pool (CSP), as provided for under 567 Iowa Administrative Code 34.205(3).

The CSP is a provision of the CAIR cap-and-trade program under 40 Code of Federal Regulations 96.143 that provides a pool of additional, one-time NOx allowances to CAIR states. States that choose to participate in CSP may distribute NOx allowances provided to the state by EPA to eligible electrical generating units (EGUs) that have achieved actual NOx emissions reductions in calendar years 2007 and 2008. The CSP allocations are a one-time only allocation provided in emission year 2009. The EPA provided Iowa with a total CSP NOx allowance allocation of 6978 allowances.

Six CAIR-affected facilities submitted timely applications to the DNR for allowances from the CSP. One facility subsequently withdrew its application. The DNR reviewed the applications according to the CSP criteria and determined that the five remaining applications qualified to receive CSP allowances. The DNR’s allowance allocations are as follows:

A summary of the DNR’s review criteria, a spreadsheet showing the proposed CSP allocations, and other background materials are available on the DNR Air Quality Bureau Public Input website at:

http://www.iowadnr.gov/air/input/input.html

Anyone may make written suggestions or comments on the proposed allocations on or before August 3, 2009. Written comments should be directed to Christine Paulson, Department of Natural Resources, Air Quality Bureau, 7900 Hickman Road, Suite 1, Windsor Heights, Iowa 50324, fax (515) 242–5094, or by electronic mail to christine.paulson@dnr.iowa.gov.

A public hearing will be held Thursday, July 30, 2009 at 2 p.m. in the conference rooms at the DNR Air Quality Bureau office located at 7900 Hickman Road in Windsor Heights. At the public hearing, comments on the proposed allocations may be submitted orally or in writing. All comments must be received no later than Monday, August 3, 2009.

Copies of the public notice and the CSP allocation materials are available at:

http://www.iowadnr.gov/air/input/input.html

Copies are also available for review until August 3, 2009 at the DNR’s Air Quality Bureau Records Center, Monday-Friday, 8:00 a.m.-4:30 p.m. at the address noted above.

Any person who intends to attend the public hearing and has special requirements such as those related to hearing or mobility impairments, should contact Christine Paulson at (515) 242–5154 to advise her of specific needs.