4-44 Air

Please explain the air pollutant trading allowance program generally. Explain the cost of allowances, amount paid by Invenergy and the amount of pollution being purchased above regulatory limits. Please explain this for each pollutant type. Please

RESPONSE 4-44:

 

Invenergy will be required to make a one-time purchase of Emission Reduction Credits (“ERCs”) to offset the CREC’s NOx and VOC emissions prior to receiving its final Major Source Air Permit.  Invenergy is also required to obtain allowances for its annual CO2 emissions throughout its operating life to comply with the RI CO2 Budget Trading Program and obtain allowances for its annual SO2 emissions to comply with the federal Acid Rain Program.  These programs are all market based so the cost of the allowances is determined by the market at the time of the purchase.  The cost of the allowances and the distribution of the funds by the state and federal government are beyond Invenergy’s control.   

 

RESPONDENT:

 

John Niland, Invenergy Thermal Development LLC

Mike Feinblatt, ESS Group, Inc.

 

DATE:

April 27, 2016