Air Quality Alert: Understanding Erc Pollutants

Emission Reduction Credits (ERCs) are credits earned by companies that reduce air emissions beyond what is required by permits and rules. ERCs were initially established as part of the 1977 Clean Air Act Amendments and are granted to permitted sources for voluntary emissions reductions. Companies that own ERC certificates may use them to meet New Source Review requirements or sell them to other companies that need them. ERCs are available for five different pollutants: reactive organic gases (ROG), oxides of nitrogen (NOx), particulate matter (PM10), oxides of sulfur (SOx), and carbon monoxide (CO).

Emission Reduction Credits (ERCs) are granted to companies that reduce air emissions beyond what is required

Emission Reduction Credits (ERCs) are incentives for companies to reduce air emissions beyond what is required by permits and rules. ERCs were initially established as part of the 1977 Clean Air Act Amendments and were greatly expanded in 1990. They are available for five different pollutants: reactive organic gases (ROG), oxides of nitrogen (NOx), particulate matter (PM, including PM10), carbon monoxide (CO), and oxides of sulfur (SOx).

Companies that earn ERCs gain goodwill in their communities, as these credits represent a tangible commitment to reducing pollution. The process of earning ERCs involves reducing emissions of the pollutants mentioned above beyond what is required by District permits and rules. This can be achieved by implementing additional emission controls, replacing equipment with low-emission models, or closing a facility.

ERCs are issued by District Boards and are generally restricted to the Air District they are generated in. However, ERCs can be transferred between Air Districts within the same Air Basin with the approval of both District Boards. The approval process for ERCs is rigorous and involves a thorough review by the District to confirm compliance with criteria defined by District Rules.

Once earned, ERC certificates become a valuable asset for companies. They can be used by the company that earned them or sold to other companies that need emission offsets. The value of an ERC fluctuates depending on District rules at the time of use. ERCs can be traded in units of tons per year, and there is no minimum or maximum limit on the amount of reductions eligible for ERC certificates.

ERCs are a powerful tool for improving air quality and incentivizing companies to go beyond regulatory requirements in reducing their emissions. They provide flexibility for companies while also ensuring accountability and compliance with air pollution control programs.

ERCs are available for five pollutants: ROG, NOx, PM10, SOx, and CO

Emission Reduction Credits (ERCs) are granted to permitted sources that voluntarily control their emissions to levels beyond current or future regulatory requirements. ERCs are available for five pollutants: ROG (Reactive Organic Gases), NOx (Oxides of Nitrogen), PM10 (Particulate Matter), SOx (Oxides of Sulphur), and CO (Carbon Monoxide).

ROG, or reactive organic gases, are volatile organic compounds that can react with other pollutants to form ground-level ozone, a major component of smog. Sources of ROG include vehicles, industrial processes, and household equipment like portable air cleaners.

NOx refers to oxides of nitrogen, specifically nitrogen dioxide (NO2), a reddish-brown gas that is soluble in water and a strong oxidant. High-temperature combustion of fuels, such as those used for heating, transportation, industry, and power generation, are common sources of NOx. Household sources include furnaces, fireplaces, and gas stoves.

PM10, or particulate matter with an aerodynamic diameter of 10 microns or less, is composed of inhalable particles such as sulphate, nitrates, ammonia, sodium chloride, black carbon, mineral dust, or water. Sources of PM10 include industrial activities, power plants, construction sites, waste burning, and traffic and transportation. Health risks associated with exposure to PM10 include cardiovascular and respiratory diseases, adverse perinatal outcomes, and lung cancer.

SOx stands for oxides of sulphur, specifically SO2, sulphur dioxide. SO2 is generated by the combustion of fuels that contain sulphur compounds, as well as certain raw materials used in industrial processes.

Finally, CO, or carbon monoxide, is a colourless and odourless gas produced by the incomplete combustion of carbon-containing fuels, such as wood, petrol, coal, natural gas, and kerosene. Motor vehicles are the predominant source of ambient CO, but it is also emitted by vehicles, industry, and household equipment. Exposure to carbon monoxide can lead to serious health issues, as it interferes with the blood's ability to carry oxygen.

While ERCs are available for all five pollutants, only ROG, NOx, and PM10 currently have value in credit programs. Companies that earn ERCs can use them to meet New Source Review requirements or sell them to other companies needing emission offsets.

ERC certificates can be sold to companies that need emission offsets

Emission Reduction Credits (ERCs) are credits earned by companies when they reduce air emissions beyond what is required by permits and rules. ERCs were initially established as part of the 1977 Clean Air Act Amendments. They are available for five different pollutants: ROG (Reactive Organic Gases), NOx (Oxides of Nitrogen), PM10 (Particulate Matter), SOx (Oxides of Sulfur), and CO (Carbon Monoxide).

Companies that earn ERCs can use them to meet New Source Review requirements or sell them to other companies that need emission offsets. ERCs have a market value and can be bought, sold, or traded between companies. Non-regulated businesses can also earn ERCs by replacing equipment with low-emission models or powering equipment with electricity or solar panels. These companies enter into a contract with the District that allows inspections and may include other specifications for the facility or equipment.

The actual value of an ERC will fluctuate depending on District rules at the time of use. ERCs are issued and traded in units of tons per year, so if a company reduces emissions by a certain amount, they receive an ERC certificate for that amount. For example, if a company reduces ROC emissions by 20 tons per year, they receive an ERC certificate for 20 tons.

Companies that need to increase emissions due to expansion can use ERCs to offset the emissions increase. This is known as an emission offset, where a company compensates for an increase in emissions in one area by decreasing emissions in another area. Offset requirements include a trade-off ratio that ensures a net air quality benefit. For instance, if a new facility will emit 80 tons of ROC per year, the company must redeem credits for 104 tons of emissions to offset this increase. Once the ERC certificates are redeemed, they are retired and cannot be used again.

ERCs are only issued for reductions that are quantifiable, enforceable, permanent, and surplus

Emission Reduction Credits (ERCs) are granted to companies that reduce their air emissions beyond what is required by permits and rules. ERCs are only issued for quantifiable, enforceable, permanent, and surplus reductions of actual emissions. This means that the emission reductions must be measurable and subject to enforcement, and they must exceed the required reductions, creating a surplus.

For example, a company that reduces its emissions of ROC, NOx, PM (including PM10), CO, or SOx beyond the levels specified in District permits and rules may earn ERCs. These reductions must be quantifiable, meaning that the amount of emissions reduced can be measured and verified.

The enforceability criterion ensures that the emission reductions are legally binding and can be enforced by regulatory authorities. This helps to maintain the integrity of the ERC system and ensures that companies are held accountable for their commitments.

The permanence of the emission reductions is also crucial. This means that the reductions must be sustained over the long term and cannot be temporary or short-lived. This ensures that the environmental benefits of the ERCs are lasting and not just temporary solutions.

Finally, the surplus criterion requires that the emission reductions exceed the required levels. This surplus creates a net air quality benefit, as the company has reduced emissions beyond what is necessary. This surplus can then be traded or sold to other companies, providing them with the flexibility to offset their own emissions.

It is important to note that ERCs are not a substitute for meeting air pollution control requirements. They are designed to incentivize and reward companies that go beyond compliance, encouraging them to implement additional emission reduction measures. By ensuring that ERCs are only issued for quantifiable, enforceable, permanent, and surplus reductions, the program promotes real and lasting improvements in air quality.

ERCs are traded in units of tons per year

Emission Reduction Credits (ERCs) are granted to permitted sources for voluntary emissions reductions. They are earned when companies reduce air emissions beyond what is required by permits and rules. Companies can earn ERCs by adding emission controls to a process, replacing equipment with low-emission models, or closing a facility. ERCs are only issued for reductions of actual emissions that are quantifiable, enforceable, permanent, and surplus.

ERCs are issued and traded in units of tons per year. For example, if a company reduces their emissions by 20 tons per year, they receive an ERC certificate for that amount. There is no minimum or maximum limit on the amount of reductions that may be eligible for ERC certificates. A credit can be earned for reducing as little as one ton of emissions.

Companies that own ERC certificates may use them at any time, in whole or in part, to meet New Source Review requirements. They may also sell the credits to other companies that need them. The actual value of an ERC will fluctuate depending on District rules at the time of use. ERCs are generally restricted to the Air District they are generated, but they can be transferred between Air Districts in the same Air Basin with the approval of both District Boards.

ERCs are available for five different pollutants: reactive organic gases (ROG), oxides of nitrogen (NOx), particulate matter (PM, including PM10), carbon monoxide (CO), and oxides of sulfur (SOx). Only the first three (ROG, NOx, and PM10) currently have any value for credit programs.

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