Notice of Rule Proposal CO2 Budget Trading Program Rules N.J.A.C. 7:27C


NJ DEPARTMENT of ENVIRONMENTAL PROTECTION

AIR QUALITY, ENERGY, AND SUSTAINABILITY

DIVISION OF AIR QUALITY

PUBLIC NOTICE

Take notice that the New Jersey Department of Environmental Protection (Department) is proposing amendments to N.J.A.C. 7:27-22 (Operating Permits) and N.J.A.C. 7:27A-3 (Civil Administrative Penalties and Requests for Adjudicatory Hearings) and new rules at N.J.A.C. 7:27C-1 through 11. A statement of the substance of the proposal follows:

In his Executive Order No. 7 (2018), Governor Phil Murphy directed the Commissioner of the Department and the President of the New Jersey Board of Public Utilities to take all necessary measures to return the State to full participation in the Regional Greenhouse Gas Initiative (RGGI), a regional, cooperative program to cap and reduce carbon dioxide (CO2) emissions from power plants in the participating states to address the significant challenge of climate change. The proposed new rules and amendments establish the New Jersey CO2 Budget Trading Program, a cap-and-trade program employing a market-based approach to controlling pollution, which is designed to reduce anthropogenic emissions of CO2, a greenhouse gas, from large fossil fuel-fired electricity generating units, referred to as CO2 budget units, in New Jersey. Adoption of the CO2 Budget Trading Program is New Jersey's commitment to participate in RGGI.

In a simultaneous separate rulemaking, the De