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2006 SESSION

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HB 1055 Air emissions control; Department of Environment Quality shall promulgate regulations.

Introduced by: John S. Reid | all patrons    ...    notes | add to my profiles

SUMMARY AS PASSED: (all summaries)

Air emission controls. Establishes a phased schedule for electric generating units in Virginia to reduce their emissions of sulfur dioxide, nitrogen oxide, and mercury. The Air Pollution Control Board is charged with promulgating the regulations that require specific numerical reductions in each pollutant. The bill allows regulated facilities to participate in the EPA-administered cap and trade system; however, the Board can prohibit facilities in nonattainment areas from purchasing allowances in order to meet their NOx and SO2 obligations. The bill also requires the Board to adopt the federal Clean Air Mercury Rule as well as adopt a state-specific rule for mercury. Under the state-specific rule, smaller electric generating units would be able to participate in the trading program. The medium size systems (American Electric Power) would not be able to demonstrate compliance under the state-specific rule by purchasing credits, but would be (i) allowed to obtain credits from facilities within their system and within 200 km of the Virginia border and (ii) able to sell excess credits. Although large systems (Dominion Resources) would not be able to demonstrate compliance under the state-specific rule by purchasing credits, they would be able to sell excess credits and would be able to use credits from Virginia facilities within their system to demonstrate compliance. Dominion Resources would be required to demonstrate early reductions in NOx during 2007 and 2008, and these reductions can be banked or sold and used to demonstrate compliance in 2009. The Board is prohibited from imposing anything more stringent than the federal Maximum Achievable Control Technology rule for coke ovens for air toxics and steel smelters that accept scrap metal from automobile recycling subject to the mercury switch recycling program. Under the bill, the Department of Environmental Quality is required to conduct a detailed assessment of mercury deposition in Virginia to determine whether there is justification to undertake additional measures to control mercury emissions in Virginia. The Department's findings and recommendations are to be reported to the committees of oversight no later than October 15, 2008. This bill is identical to SB 651.


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