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Facilities that have been determined by the District to have achieved an acceptable net emission decrease are eligible to apply for ERC's and if validated shall receive an ERC Certificate after the net emission decrease has been discounted.

Acceptable emission decreases may include emission reductions resulting from process changes, installation of air pollution control equipment, equipment modified or permanently taken out of service, or facility shutdown. Reductions in emissions due to changes in the hours of operation shall not qualify for an ERC.

The applicant must demonstrate to the District that all reductions are:
(A) real; (B) quantifiable; (C) permanent; (D) federally enforceable, and (E) not greater than the equipment would have achieved if operating with current Best Available Control Technology (BACT).

Emission reductions listed below are NOT eligible for ERC application:
- required by a Control Measure in the AQAP,
- required by a proposed District rule,
- required by an adopted federal, State, or District rule, regulation, or statute,
-or from a category or class of equipment included in a demonstration program required by a District rule or regulation.

Emission reduction credits may be used as offsets for emission increases at new or modified facilities according to District New Source Review rules and regulations.

ERCs may be used by the owner to offset emission increases due to new or modified sources of air pollution and to the extent allowed by federal law. An ERC shall qualify as an offset upon surrender of the Certificate to the District. Such ERC shall be used in a manner consistent with the Certificate record and in accordance with all other requirements of District regulation at the time of use, including the applicable offset ratio, determined pursuant to District rule.

Transfer of the whole or any portion of an interest in a registered ERC is allowed, provided it is in writing, accompanied by the sale price of such ERCs, in dollars per pound, signed by the transferor, and acknowledged in any form authorized by law. Upon filing such instrument with the District, the transfer shall be complete and the title so transferred shall vest in the transferee. A new Certificate, certifying the title to the estate or interest in the ERC, shall be issued and the last previous original Certificate shall be cancelled. Such cancellation shall be recorded in the ERC Register.

Additional Resources:

Air Board Creates Emission Credits Standards
New Source Review, Emission Offsets and other links associated with Emission Reduction Credits
District New Source Review/Prevention of Significant Deterioration (PSD)/ Banking And Offset Rules

For More Information Contact:
Engineering
Feather River Air Quality Management District
938 14TH Street, Marysville, CA 95901-4149
Tel: 530-634-7659 ext.208
FAX: 530-634-7660
Email: fraqmd@fraqmd.org