The New Jersey Department of Environmental Protection (NJDEP) finalized its carbon dioxide (CO2) budget trading program, effective June 17, 2019 under N.J.A.C. 7:27C. The rule re-enters New Jersey in the Regional Greenhouse Gas Initiative (RGGI) and effectively mirrors the former DEP RGGI rule. Compliance with RGGI is based on a three-year control period with CO2 emissions reconciliation and annual output reporting occurring each year on March 1 (for the previous year).
Currently, the RGGI program is in the middle of its fourth control period (Jan 1, 2018 through Dec 31, 2020). Existing NJ budget sources (i.e facilities containing a fossil fuel-fired unit that, at any time on or after January 1, 2005, served or serves an electricity generator with a nameplate capacity equal to or greater than 25 MWe) must submit an application to NJDEP prior to January 1, 2020. The application is to add the RGGI requirements onto the sources' permit and prepare to participate in the RGGI allowance auction process by setting up a trading account. For sources that already have a CAMD business system account, their existing DR/ADR information will be transferred to the RGGI COATS System, and they will receive instructions from COATS to complete the registration process.
NJDEP is preparing a plan (to be released shortly) to assist companies with the RGGI monitoring submittal requirements. EDR forms will likely be sufficient for compliance on a state level, however, NJDEP may also require sources to submit the forms directly to them.
Following are a few upcoming important compliance dates:
- January 1, 2020 - begin tracking CO2 emissions
- March 1, 2021 - reconcile interim CO2 emissions from 2020. Ensure facility compliance account contains allowances to cover 100% of the 2020 annual CO2 emissions. Submit annual output report
- March 1, 2022 - reconcile interim CO2 emissions from 2021. Ensure facility compliance account contains allowances to cover at least 50% of the annual emissions. Submit annual output report
- March 1, 2023 - reconcile final CO2 emissions from 2022 and ensure the facility compliance account contains allowances totaling 100% of 2022 emissions, plus the remaining 50% of emissions from 2022. Submit annual output report
Additional information regarding New Jersey RGGI program can be found here or contact Trinity's New Jersey office at (609) 318-5500.