ÿWPCý U$bÚ÷´—ßfpR+ÓÇ–"Ë>28¹Œ+ÛÝÃdJS$ŠÚ¼€–ß ú$BS'ølSý“&ŸIm%¥¡¥á.4_n2•0A÷@5èR€6áÏ~ˆæ[`¨Â®ëáæ9©4‡°óF˜»â÷ùŒEžè–8äG†?·[ǯ‘©Ü¬_5Áìï*ü?Ú"‚Ùþ}/‘Ÿ` Á9ï~1¤?GŽÉ~4°à”"¡ºbS}§Q¶›Ï+p§Ð_a¼Æ(,šù4z îƒYõ¸Ñ ðg–AöÊÛGÀ¿v æ×³g5žXè‘{u<¡Š¯Žu¤@M†¨n…@åúìN>áA™ÔmMÏk!÷)ôŒ\îž×ÿ˜((z§º ˜‚qÿŒ+ Ía@¶nèѺK®c{H멺VYéÅ÷åEe3˜aðl$,ùu2:¶›"±Håî;Ò1ô©eó /×YBŠªäYY0. Ѝü…Õ{0MÏÓ |§ç#¶­›¡Ñ­¿Bàã%Ù¥*©=‚@k$X€8憩Ƿ( æ¶×Çæ|áža*|Ÿ –K$àh„‡6j­š½ƒ÷×Ñ¿.€ÒkÌ謤êµô[ÔoøÓЬì ì†ìËíÓ=.㉶©÷#!îUN %] 0(cG‹^ Òw@Þ42A mCGZ 0D¡åNíbï˜\\UTSTATE\air-hp5siÆÜÜÎÎÜÆÜ0(ÖÃ9 Z‹6Times New Roman RegularX($¡¡ =Ý ƒ ¯'ÝÝ  ÝÔ_ÔDRAFT:€May€4,€2001壧*Æ E£[UDeUDE“h*X Çœ€WpWP3|xÿU‹ÿÀÀÀ =Ý ƒ ¯'ÝÝ  ÝÔ_ÔDRAFT:€May€4,€2001(3¯$§§Ý ƒ!ÝÝ  Ý Page ùÝ ƒ!ÝÝ  ÝÔ_ÔÔ‡ Åì!XXÔò òÓ  ÓññññÖ€ ÿÿÖññññññÖ€ÿÿÖññññÑ€ÑÑ8€DWXXdìXXdì8Ñññ2013€Checkpoint€„€Timing€and€Processó óÔ#†XDWX! Åì+#ÔÐ ° ÐññÌññññÓMÓññññññòòññññññÓMÓññññññÓ  ÓññMarket€Trading€Forum€Recommendation€to€the€WRAPññ€to€provide€clarification€of€the€AnnexÐ Ø( ÐProvisionsññññññññ.ññññññññ€„€May€4,€2001ññññóóññññÐ Ä ÐññññÓ=ÓññññÌSection€III.A.7€of€the€Annex€(page€60)€contains€the€following€description€of€the€review€that€willÏoccur€in€2013€to€determine€if€the€milestone€in€2018€will€be€met.ÌÌà8  à2013€SIP€review:€€The€program€will€include€five€year€State€Implementation€PlanÏ(SIP)€reviews,€with€an€option€for€a€2013€trigger€of€the€program.€€The€purpose€ofÏthe€optional€trigger€is€to€insure€that€regardless€of€whether€the€milestone€is€met€inÏ2013,€the€targeted€emission€reductions€actually€occur€by€the€2018€milestone€date,Ïas€agreed€to€in€this€program€and€as€required€by€the€regional€haze€regulations.€€ThisÏ2013€trigger€option€will€be€implemented€by€consensus€of€those€states€and€tribesÏthat€have€implementation€plans€under€Section€309.€€Implementation€of€the€earlyÏtrigger€will€be€based€on€a€demonstration€that€available€data€indicates€complianceÏwith€the€2018€milestone€will€not€be€achieved.€€Data€used€to€make€this€forecastÏincludes€projected€or€actual€emission€levels€for€2013,€and€projected€remainingÏemission€reductions€available€in€the€region€through€2018.€€Even€so,€there€areÏprovisions€for€individual€source€penalties€if€the€2018€milestone€is€eventuallyÏexceeded.Ð Ð Ð  ÐÌThe€purpose€of€this€paper€is€to€provide€further€definition€of€the€process€that€will€be€used€toÏevaluate€progress€and€to€determine€if€the€backstop€emission€trading€program€should€be€triggeredÏearly€to€ensure€that€the€2018€milestone€is€met.ÌÌò òGeneral€Principles€„€2013€Checkpointó óÐ 4„ ÐÌ1.€€The€2013€review€is€intended€to€ensure€that€the€2018€goal€is€met€as€part€of€the€overall€visibilityÏimprovement€strategy.€€The€regional€emission€reductions€are€weighted€towards€the€last€5€years€ofÏthe€planning€period€to€allow€up„front€flexibility€for€sources€in€the€region.€This€means€that€theÏtime€period€between€2013€and€2018€is€critical€to€achieve€the€goals€of€the€program.ÌÌ2.€€The€Grand€Canyon€Commission€chose€a€backstop€emission€trading€program€to€provideÏincentives€for€voluntary€emission€reductions,€and€to€provide€certainty€so€that€sources€can€plan€forÏcapital€expenditures€in€their€long„term€business€plans.€€The€2013€SIP€review€is€not€intended€toÏundermine€the€voluntary€nature€of€this€process.€€If€the€states€and€tribes€have€reason€to€believe€thatÏthe€prospect€of€significant€penalties€plus€the€implementation€of€a€new€regulatory€program€will€beÏsufficient€incentive€to€drive€voluntary€emission€reductions€between€2013€and€2018,€then€theÏprogram€will€not€be€triggered.ÌÌ3.€€If€emissions€in€the€region€are€significantly€above€the€milestone€in€2018,€sources€in€the€regionÏwill€be€subject€to€stiff€penalties€in€addition€to€the€trigger€of€the€backstop€regulatory€program.€ÏThis€result€would€be€a€failure€for€all€of€the€stakeholders€that€have€been€involved€in€theÏdevelopment€of€the€regional€milestones€and€the€backstop€emission€trading€program.€€The€2013Ïreview€will€allow€the€region€to€prepare€for€this€possibility,€and€implement€measures€to€ensureÐ ¸+'* Ðthat€the€region€meets€the€goals€of€the€Grand€Canyon€Commission€and€the€regional€hazeÏregulation.ÌÌò òTimingó óÐ tÄ ÐÌThe€Market€Trading€Forum€had€originally€discussed€including€the€evaluation€of€the€regionððsÏability€to€meet€the€2018€milestone€as€part€of€the€2013€SIP€review.€€This€is€the€recommendationÏthat€was€included€in€the€Annex€that€was€submitted€to€EPA€on€October€2,€2000.€€When€attemptingÏto€lay€out€a€schedule€for€this€review,€however,€the€MTF€discovered€some€problems€with€thisÏapproach.€€The€SIP€process€is€lengthy,€and€some€states€in€the€region€require€two€years€or€more€toÏcomplete€their€internal€regulatory€process.€€This€means€that€all€technical€work€and€regionalÏdecisions€would€need€to€be€completed€by€the€end€of€2011€to€allow€states€and€tribes€time€toÏincorporate€any€changes€into€their€SIPs€and€TIPs.€€Once€that€is€completed,€EPA€needs€to€evaluateÏthe€SIPs€and€TIPs€and€approve€them,€which€usually€takes€two€years€or€more.€€ÌÌThe€year€2013€was€chosen€by€the€Market€Trading€Forum€because€it€was€assumed€that€states€andÏtribes€would€be€in€pre„permitting€discussions€with€sources€by€that€date€in€regards€to€any€newÏemission€controls€or€process€changes€that€were€planned€within€the€next€5€years.€€In€addition,Ïsources€would€have€a€much€better€idea€of€planned€retirements,€or€voluntary€changes€that€were€inÏthe€works€that€would€help€the€region€attain€the€2018€milestone.€€If€the€SIP€process€was€followed,Ïstates€would€most€likely€be€reviewing€emission€projections€from€the€2008€or€2009€inventory,€andÏit€is€less€likely€that€they€would€have€information€regarding€new€projects€in€the€2013€„€2018€timeÏframe.ÌÌThe€Market€Trading€Forum€recommends€that€the€2013€checkpoint€be€a€separate€process€from€theÏ2013€SIP€review€to€allow€the€states€and€tribes€time€to€review€more€recent€emission€inventoriesÏand€emission€projections.€€The€following€approximate€schedule€would€be€followed:ÌÌà0  à2011€„€The€WRAP€will€provide€an€initial€projection€of€SOòò2óó€emissions€through€2018€to€beÐ €Ð Ðincluded€as€part€of€the€overall€progress€report€in€the€2013€SIP€reviews.€€The€states€andÏtribes€will€not€take€action€at€this€time,€but€will€provide€notice€in€their€SIPs€and€TIPsÏregarding€the€current€expectations€for€meeting€the€target€in€2018.€Ð (#(# ÐÌà0  àDecember,€2013€„€Tracking€System€Administrator€will€prepare€a€draft€report€of€regionalÏemissions€in€the€year€2012€(this€is€the€regular€schedule€for€preparing€this€report)€that€willÏbe€sent€out€for€public€comment.€€This€draft€report€will€include€a€projected€emissionÏinventory€through€the€year€2018,€using€the€projections€included€in€the€2013€SIP€as€theÏstarting€point€for€the€analysis.€€All€known€projects€that€will€occur€in€the€next€5€years€willÏbe€included€as€part€of€this€report.€€ññòòññThe€status€of€the€projects€will€be€described€(permitted,Ïpre„permit,€preliminary€planning,€etc.)€to€provide€a€better€understanding€of€the€degree€ofÏcertainty€that€individual€projects€will€be€completed€by€2018.ññóóññññÐ (#(# ÐññÌÐ h+¸&* Ðà0  àMarch,€2014€„€States€and€Tribes€will€meet€to€determine€whether€the€backstop€tradingÏprogram€should€be€triggered€.€€The€program€will€be€triggered€if€all€participating€states€andÏtribes€determine€by€consensus€that€an€early€trigger€of€the€emission€trading€program€isÏnecessary€to€meet€the€emission€reduction€goals€in€2018.ññññÐ (#(# ÐññññÐ (#(# ÐÌà0  à2015€„€[If€program€is€triggered]€Allocations€distributed€to€sources€in€the€region.€€OfficialÏtrading€may€begin€after€this€date€as€sources€prepare€to€show€compliance€at€the€end€ofÏ2018.Ð (#(# ÐÌà0  àJanuary€1,€2018€„€[If€program€is€triggered]€Beginning€of€the€first€compliance€period€forÏthe€backstop€trading€program.Ð (#(# ÐÌà0  àDecember€31,€2018€„€[If€program€is€triggered]€End€of€the€first€compliance€period€for€theÏbackstop€trading€program.€€All€sources€must€have€adequate€allowances€to€cover€theirÏemissions€in€the€year€2018.€€Ð (#(# ÐÌÌ