Wash. Admin. Code § 173-446-240 - Distribution of allowances to natural gas utilities
(1)
Allocation baselines for natural gas utilities. Ecology will use
the following data sources and methods to facilitate the allocation of no cost
allowances to natural gas utilities.
(a)
Ecology will assign an allocation baseline to each natural gas utility using
the methods for subtotal baselines established in WAC
173-446-200(2)(c)
for emissions years 2015 through 2019. Allowance allocation is based on the
allocation baseline for the natural gas utility.
(b) A natural gas utility that is a covered
entity under WAC
173-446-030(1)
must submit a complete GHG report as specified in WAC
173-441-122(4)
for each emissions year 2015 through 2021 by March 31, 2022, in order to
qualify for no cost allowances. A natural gas utility that becomes a covered
entity under WAC
173-446-030(1)
or 173-446-060 after 2023 must
submit a complete GHG report as specified in WAC
173-441-122(4)
for each emissions year 2015 through the current reporting year by the
reporting deadline in WAC 173-441-050 for the year it becomes a covered entity
in order to qualify for no cost allowances.
(c) Prior to the beginning of a new
compliance period, ecology may make an upward or downward adjustment in the
allocation baseline for a natural gas utility effective starting in the next
compliance period. Any adjustment must be based on significant changes to
emissions from:
(i) Revised reports under WAC
173-441-050(7)
for emissions years used in determination of the allocation baseline;
(ii) A new assigned emissions level under WAC
173-441-086 for emissions years used in determination of the allocation
baseline; or
(iii) A change in
reporting method as described in WAC
173-441-050(4)
relative to the method used for reports from emissions years used in
determination of the allocation baseline.
(2)
Total no cost allowances allocated
to natural gas utilities. The following method establishes the total no
cost allowances allocated to a given natural gas utility for a given emissions
year.
(a) Emissions years 2023 through 2030.
(i) The total number of no cost allowances
distributed to a natural gas utility for emissions year 2023 is equal to 93
percent of the utility's allocation baseline.
(ii) The total number of no cost allowances
for 2024 through 2030 distributed to a natural gas utility decreases annually
relative to the previous year by an additional seven percent of the utility's
allocation baseline.
(b)
Emissions years 2031 through 2042.
(i) The
total number of no cost allowances distributed to a natural gas utility for
emissions year 2031 is equal to their 2030 allowance budget reduced by an
additional one and eight tenths percent of their allocation baseline.
(ii) The total number of no cost allowances
distributed to a natural gas utility for 2032 through 2042 decreases annually
relative to the previous year by an additional one and eight tenths percent of
the utility's allocation baseline.
(c) Emissions years 2043 through 2049.
(i) The total number of no cost allowances
distributed to a natural gas utility for emissions year 2043 is equal to their
2042 allowance budget reduced by an additional two and six tenths percent of
their allocation baseline.
(ii) The
total number of no cost allowances distributed to a natural gas utility for
2044 through 2049 decreases annually relative to the previous year by an
additional two and six tenths percent of the utility's allocation
baseline.
(d) A natural
gas utility must continue to be in compliance with chapter 173-441 WAC and this
chapter to continue receiving no cost allowances. No cost allowances are not
provided during periods of closure or curtailment.
(3) No cost allowances allocated to natural
gas utilities may be consigned to auction for the benefit of ratepayers,
deposited for compliance, or a combination of both. No cost allowances
allocated to natural gas utilities may not be traded, transferred, or sold. The
utilities and transportation commission retains jurisdiction over the use of
the revenues collected by investor-owned utilities from allowances consigned
for the benefit of ratepayers.
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.