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International Visitor Leadership Program
Austin Texas
Oct. 11, 2022
Presentation by Bill Gibbs, M.A.
Executive Director, Clean Air Force of Central Texas
My strange dream: A 100-voice choir presenting a
concert on Air Pollution Control and Emissions
Reduction Credits
AGENDA
TODAY ๏‚ก About the Clean Air Force of Central Texas
๏‚ก Definition of Terms & NAAQS Overview
๏‚ก Current Air Quality Status in Central Texas
๏‚ก Renewable Energy in Central Texas from a
Consumerโ€™s Point of View
๏‚ก Emission Reduction Credit Program
www.cleanairforce.org
ONE VISION, ONE GOAL:
CLEAN AIR FOR ALL!
WHO ARE WE?
๏‚ก Founded almost 30 years ago in response to rising
air pollution levels in our region
๏‚ก Dynamic partnership of 28 Central Texas
corporations, government entities, universities, &
non-profits
๏‚ก Work to reduce air polluting emissions, increase
awareness of air quality issues, educate the public,
and keep our region in compliance with strict EPA
air quality standards
๏‚ก Weโ€™ll work with employers from San Antonio to
Waco, but focus on Austin and surrounding
counties
The Clean Air Force of Central Texas is a 501(c)(3) non-
profit organization.
www.cleanairforce.org
WHO ARE WE
NOT!
๏‚ก Despite our name, we are not a military organization or
have any connection to the U.S. Air Force!
๏‚ก We use the words โ€œAir Forceโ€ in the sense that we are
group of people energetically working to solve air
pollution problems in the regionโ€ฆand a force for good air.
๏‚ก We have no official connection to the government except
that we are an official non-profit organization in the State
of Texas and authorized by the Internal Revenue Service of
the Federal Government to accept tax-deductible gifts. We
do receive support and grants from public entities.
๏‚ก PLUS, โ€œClean Air Forceโ€ is an easy name to help people
recognize and remember us!
www.cleanairforce.org
LEADERSHIP
www.cleanairforce.org
Executive Director and Executive Committee (l. to r.)
Bill Gibbs, Executive Director
Zoe Trieff, Secretary (POWER Engineers)
Melissa Reynolds, Vice-Chair (Emerson Automation Solutions)
Brett Davis, PE, Technical Consultant (non-voting)
Rick Perkins, Treasurer (Chemlogic)
Dr. Elena Craft, Chair (Environmental Defense Fund)
Adele Noel, Member-at-Large (Travis County)
Each of our partner
organizations has a
seat on the Board of
Directors. We have 28
people on our Board.
AWARD-
WINNING
PROGRAMS
www.cleanairforce.org
The Clean Air Force of Central Texas is
recognized at the national, state and local
levels for its programs
๏‚ง U.S. Environmental Protection Agency (EPA) Clean Air Excellence
Award
๏‚ง TCEQ Texas Environmental
Excellence Award
๏‚ง Texas Nonprofit Excellence
Award for Best Collaboration
๏‚ง Commute Solutions Innovative
Award
๏‚ง Austin Business Journal
Going Green Award
๏‚ง โ€ฆand many others
Board member Rick Perkins
accepting the EPA Clean Air
Excellence Award
PROGRAMS
OVERVIEW
Approach 1: Air Quality Practitioners Professional
Development
1. Clean Air Partners Program
2. Air Quality Professionals Forum
3. Annual Partner Emissions Survey
4. Partner Recognition for Outstanding Effort
5. Partner Advising and Consulting
Approach 2: Public Outreach and Awareness
6. Ozone Action Day Notifications
7. Annual Meteorologists Lunch
8. Web, Social Media, TV/Radio/Newspaper Coverage
Approach 3: Air Quality Education
9. Be Air Smart School Sensor Program
Approach 4. Input and Involvement
10. Work with public agencies on air quality projects
www.cleanairforce.org
APPROACH 1
๏‚ง Clean Air Partners are major employers who
voluntarily work to reduce harmful
emissions
๏‚ง Pledge to actively reduce ozone precursor
and Particulate Matter (PM2.5) emissions
๏‚ง Report accomplishments annually and pay
partnership dues based on company size
www.cleanairforce.org
OUR 28 CLEAN AIR
PARTNERS
๏‚ง Part of the Clean Air Partners Program
๏‚ง Brings together Air Quality practitioners from
our partner employers for professional
development
๏‚ง Quarterly lunch meetings with technical
presentations by air quality experts
๏‚ง Informal and formal interaction with other Air
Quality Professionals from a variety of
Air Quality
Professionals Forum
www.cleanairforce.org
PROGRAMS ๏‚ง Help partners develop effective emissions control
strategies
๏‚ง Want partners to avoid costly regulation,
permitting, & oversight that comes with non-
attainment
๏‚ง Recognize and celebrate successful reductions
๏‚ง Help create community goodwill for partners
๏‚ง Partners become part of award-winning team
๏‚ง Networking and information sharing
Other Clean Air Partner Benefits
www.cleanairforce.org
๏‚ง Air Quality Professionals Forum
๏‚ง Access/Networking with other professionals
๏‚ง Annual Partner Emissions Survey
๏‚ง Emissions Policy Resource Center
(coming soon)
How We Promote Professional Development
www.cleanairforce.org
The Clean Air Force is the only organization in Central
Texas that provides AQ-specific training/information for
Air Quality Professionals and that promotes
networking/information sharing
especially focused on Air Quality issues.
PUBLIC
AWARENESS
โ€ข Informs about Air Quality and thanks
Meteorologists for helping publicize Ozone Action
Days
Yearly Meteorologists Luncheon
www.cleanairforce.org
Email alerts to 1,000+ subscribers
with tips and pointers to reduce
emissions during Ozone Action
Days
Ozone Action Day Notifications
www.cleanairforce.org
๏‚ง Social Media and
Website
๏‚ง Media Interviews,
Appearances
๏‚ง Ozone Action Season
Kickoff Event
๏‚ง Collaborative awareness
efforts with Councils of
Governments, cities,
counties and TCEQ
Outreach and Awareness
www.cleanairforce.org
We place PurpleAir Particulate Matter
Sensors at local schools and provide
educational material to support their use
Be Air Smart PM Sensor School Program
www.cleanairforce.org
DOES IT
MATTER?
YES!
๏‚ง The Austin/Central Texas metro area
remains the ONLY large city in America
that has never gone out of EPA Air
Quality Attainment
๏‚ง Our residents breathe easierโ€”in a very
literal senseโ€”because of the quality of
the air we have in Central Texas
www.cleanairforce.org
THE ECONOMIC
COST OF
NONATTAINMEN
T
Nonattainment could cost the
companies in the region between $900
million and $1.4 billion* each year
โ€ข More extensive permitting
โ€ข Required purchase of emission control equipment
โ€ข Higher scrutiny by state and federal agencies
โ€ข Enforced regulation vs. voluntary management
โ€ข Must purchase Emission Credits to expand
And lost opportunitiesโ€ฆ
Major projects such as Samsungโ€™s expansion
and Teslaโ€™s new factory may not have
occurred had the region been in
nonattainment
*Capitol Area Council of Governments estimate
www.cleanairforce.org
THE
ENVIRONMENTA
L COST OF
NONATTAINMEN
T
Nonattainment also means that our neighbors and our
Central Texas environment are adversely affected.
Air Pollution is a major health hazard, especially for the
very young, the elderly, and those who already have
respiratory problems, It increases the risk of infection,
heart disease and lung cancer.
Air Pollution impacts plants, birds, and animals as well,
lowering their resistance to diseases and inhibiting
their ability to thrive.
Letโ€™s keep Central
Texas skies
blue and unpolluted!
www.cleanairforce.org
DOES IT
MATTER?
โ€œPreventing air pollution
offers important economic
benefits, as air pollution
never created avoids the
need for expensive
investments. Air pollution
prevention has the exciting
potential of both protecting
the environment and
strengthening economic
growth.โ€
--Adapted from a statement by Carol
www.cleanairforce.org
ONE VISION
ONE GOAL
CLEAN AIR
FOR ALL!
โ€œClean air is important to us
all. We believe that
everyone has a role to play
in helping to protect it. We
value our Clean Air
as we work together to
keep the air in Central Texas
clean and in compliance
with EPA standardsโ€
--Dr. Elena Craft, Chair
www.cleanairforce.org
Definition of Terms &
NAAQS Overview
AQI Air Quality Index
EPA Environmental Protection Agency (U.S. Agency)
TCEQ Texas Commission on Environmental Quality (State Agency)
Attainment/Non-Attainment Compliance with Standards
NAAQS National Ambient Air Quality Standards
1. Ground-level Ozone (O3)
2. Carbon Monoxide (CO)
3. Lead (Pb),
4. Nitrogen Dioxide NO2)
5. Particulate Matter (PM)
6. Sulfur Dioxide (SO2).
OZAD Ozone Action Day
Design The level of pollutants allowed by the EPA and
Value the actual regional value.
National
Ambient
Air
Quality
Standards
(NAAQS)
These are
current
standards and
are under review
by the EPA. We
expect even
tougher
standards
starting in 2023
Current Status of Air Quality
In Central Texas
This is from California, but our region
would have similar percentages. Not
that transportation typically is the
largest source of pollution, followed by
industry.
Source: Center for Climate and Energy Solutions
Air Pollution Sources
Traditionally, over the past 20+ years Central Texas AQ has been outstanding
2022 has been an unusually poor year for Air Quality in Texas
25 Ozone Action Days in 2022 compared to 3.3 over the past 10 years!
2013-22 Ozone Action Days (OZAD) in Austin-Round Rock
2022 Yearly # Year Total OZADs
7-Oct 25 2021 4
6-Oct 24 2020 2
4-Oct 23 2019 4
3-Oct 22 2018 8
2-Oct 21 2017 3
1-Oct 20 2016 2
30-Sep 19 2015 1
29-Sep 18 2014 1
28-Sep 17 2013 5
27-Sep 16 Total 30
23-Sep 15 Average 3.34
22-Sep 14
15-Sep 13 This year: 25
14-Sep 12
10-Sep 11
9-Sep 10
12-Aug 9
13-Jul 8
10-Jul 7
28-May 6
27-May 5
26-May 4
3-Apr 3
25-Mar 2
19-Mar 1
DFW, Houston, San Antonio and
Austin have all had excessively high
ozone multiple days this year.
In Austin we have surpassed 70ppb O3 8-
hour levels (EPA Design Value) at official
monitoring stations and at non-
regulatory monitors for the first time in
many years.
Doing this in 2023 and 2024 could cause
us to go out of attainment. (3 year
average)
What is causing the bad AQ?
1. Weather: Unusually hot (even for Texas), no rain, low winds
All summer long we have experienced ideal ozone formation conditions
2. Growth in population and traffic congestion (116 people move to Austin every day)
Photo: โ€œSunshineโ€ (2007 film)
Broad community
involvement doing the
โ€œTexas Top Tenโ€
(cleanairforce.org/texas-top-
10/)
Clean Air Partners:
Continue to add major
employers each
pledging to reduce
emissions. This reduces
both point source
emissions and
commuting emissions.
Pray for rain!
(We need it for lots of
reasons!)
What is the solution?
Renewable Energy In Central
Texas from a Consumerโ€™s Point of
View
As a homeowner myself, I appreciate renewable energy incentives. We have net-metering, which means
our electrical provider commits to purchase our excess generation.
1. Austin has 300 days of sunshine every year.
2. Federal tax rebate of 26% for my solar panels.
36 solar panels that generate 21 MW/yr.
saving $3,177 @ $.149 KW.
3. Saving $100+ monthly, including solar loan and usage
4. With the tax rebate and production, estimate full amortization in 10 years. Panels should last 25 years.
5. During months with little AC (Nov-April) we have no
electric bill except a small service charge.
6. We also have a plug-in hybrid car,
averaging about 85 miles/gallon (2.8L/100KM).
Most in-town trips take no gasoline at all.
Austin Energy has 1,000 charging stations @$4.17 month
Emission Reduction Credit
Program (ERC)
Disclaimer
Because Austin is not out
of EPA attainment,
companies in our region
do not need to generate
credit.
Consequently, I am not an
expert on Emissions
Reduction Credit (ERC),
but do have a working
familiarity.
Material in this
presentation is based on
my understanding of 30
TRAC Chapter 101,
Subchapter H, Division 1
in the Texas Law Code,
the TCEQ and other
sources, not first-hand
experience.
Emissions Reduction Credit Definition and Process
What is the ERC?
A method to generate credit by creating permanent emission reductions in
nonattainment areas throughout Texas. Currently 3 regions in Texas are in non-
attainment and qualify for ERCs: Beaumont/Port Arthur, Houston (Houston,
Galveston Brazoriaโ€”HGB), and Dallas-Fort Worth.
How are Credits generated?
Participants create permanent emissions reductions from stationary, area, and
mobile sources.
Stationary and area source reductions are ERCs. Mobile source reductions are
MERCs (Mobile ERCs). Electrical Generation Facility reductions are EGFs.
Companies must apply to the TCEQ via the State of Texas Environmental
Reporting System (STEERS), giving intent to generate credits and to trade those
What are ERCs?
(Information from Jacob Morrison, Air Permits Division, TECQ)
โ€ข Voluntary Reductions of criteria
pollutants (excluding lead) or
precursors criteria pollutants
โ€ข Permanent, enforceable, real,
quantifiable, and surplus
โ€ข Generated and used in
nonattainment areas
โ€ข Expire after 60 months
โ€ข Applications due after reduction
date
As part of the application, the company will need to include this
information:
a. General details about the project
b. Facility Identification Number
c. Supporting documents
d. Types of state permits and permit numbers
e. Applicable regulation for each facility
f. Acceptable types of VOC speciation sources for each facility
g. Site analysis
Credits can be issued for:
โ€ข On-Road NOx (Nitrogen Dioxide)
โ€ข On-Road VOC (Volatile Organic Compounds)
โ€ข Non-Road NOx
โ€ข Non-Road VOC
โ€ข Area Source NOx
According to the TECQ website,
only a few companies actually
have completed all paperwork
and secured credits.
In the entire state only about
25 companies have current
secured credits Many of these,
however, have secured them for
multiple facilities. As an
example, the Magellan
Terminals Holding Company
has two facilities, with a total of
38.9 credits, according to the
TCEQ. At market prices these
credits could be worth between
$5.8 to $11.6 million (USD).
Cap and Trade
In non-attainment counties the amount of
pollution is capped. A new or greatly modified
facility will not be allowed to if it creates new
sources of pollution. However, if previous
reductions can offset the new emissions, &
keep the area under the cap, then the new
facility could be permitted to be built.
This can be done by purchasing ERCs and
redeeming them.
Allowing companies to buy, sell and trade ERCs is a very helpful system to the environment, as it attaches
economic values to air pollution. If you cut your pollution, you gain credits which can be sold or traded to
enhance the bottom line.
And the credits do not need to be sold or traded, either. If a company is seeking to expand, it can use credits
created by reductions to have enough to cover expansion. (
AERCOs: A Public-Private Collaboration
The Houston-Galveston region is in non-attainment
with the EPA under the Clean Air Act (CAA). There
can be NO NET increases in air emissions for the
eight counties that make up that region.
The Texas legislature set up โ€œArea Emissions
Reduction Credit Organizations (AERCOs) for the
trading of emission credits, including one in
Houston. AERCOs are non-profits, regulated by the
state, and operate like a โ€œbank.โ€ They allow
companies to buy, sell, trade, or donate credits.
Donating credits provides a tax deduction to the
company.
Under the Clean Air Act rules, emission reductions
offset new emissions by a 1.3 to 1 ratio. This way
the region is continually reducing overall emissions,
even as new facilities are built.
ERCs are set by market demand. In
Houston VOC credits ranged from
$150,000 to $300,000 in recent years.
(data from Emissions Advisors)
Carbon Credits
This presentation does not have time to cover carbon credits and carbon offsets. For a good overview,
visit
Carboncredits.com and search for this guide:
SUMMARY
Air Pollution knows no boundaries. It crosses city,
country, state and national borders.
But it can be managed.
๏‚ก Voluntary reductions are best
๏‚ก Companies doing the right things need to be celebrated
๏‚ก The best pollution control is pollution never created in
the first place
๏‚ก There is a strong role for government to play in air
pollution control both at the local and national level
๏‚ก Individuals and companies work best when incentivized
www.cleanairforce.org
www.cleanairforce.org
bgibbs@cleanairforce.org
979-777-0171
CLEAN AIR FOR ALL!

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Clean Air Force Overview Oct 11 2022 .pptx

  • 1. International Visitor Leadership Program Austin Texas Oct. 11, 2022 Presentation by Bill Gibbs, M.A. Executive Director, Clean Air Force of Central Texas
  • 2. My strange dream: A 100-voice choir presenting a concert on Air Pollution Control and Emissions Reduction Credits
  • 3. AGENDA TODAY ๏‚ก About the Clean Air Force of Central Texas ๏‚ก Definition of Terms & NAAQS Overview ๏‚ก Current Air Quality Status in Central Texas ๏‚ก Renewable Energy in Central Texas from a Consumerโ€™s Point of View ๏‚ก Emission Reduction Credit Program www.cleanairforce.org
  • 4. ONE VISION, ONE GOAL: CLEAN AIR FOR ALL!
  • 5. WHO ARE WE? ๏‚ก Founded almost 30 years ago in response to rising air pollution levels in our region ๏‚ก Dynamic partnership of 28 Central Texas corporations, government entities, universities, & non-profits ๏‚ก Work to reduce air polluting emissions, increase awareness of air quality issues, educate the public, and keep our region in compliance with strict EPA air quality standards ๏‚ก Weโ€™ll work with employers from San Antonio to Waco, but focus on Austin and surrounding counties The Clean Air Force of Central Texas is a 501(c)(3) non- profit organization. www.cleanairforce.org
  • 6. WHO ARE WE NOT! ๏‚ก Despite our name, we are not a military organization or have any connection to the U.S. Air Force! ๏‚ก We use the words โ€œAir Forceโ€ in the sense that we are group of people energetically working to solve air pollution problems in the regionโ€ฆand a force for good air. ๏‚ก We have no official connection to the government except that we are an official non-profit organization in the State of Texas and authorized by the Internal Revenue Service of the Federal Government to accept tax-deductible gifts. We do receive support and grants from public entities. ๏‚ก PLUS, โ€œClean Air Forceโ€ is an easy name to help people recognize and remember us! www.cleanairforce.org
  • 7. LEADERSHIP www.cleanairforce.org Executive Director and Executive Committee (l. to r.) Bill Gibbs, Executive Director Zoe Trieff, Secretary (POWER Engineers) Melissa Reynolds, Vice-Chair (Emerson Automation Solutions) Brett Davis, PE, Technical Consultant (non-voting) Rick Perkins, Treasurer (Chemlogic) Dr. Elena Craft, Chair (Environmental Defense Fund) Adele Noel, Member-at-Large (Travis County) Each of our partner organizations has a seat on the Board of Directors. We have 28 people on our Board.
  • 8. AWARD- WINNING PROGRAMS www.cleanairforce.org The Clean Air Force of Central Texas is recognized at the national, state and local levels for its programs ๏‚ง U.S. Environmental Protection Agency (EPA) Clean Air Excellence Award ๏‚ง TCEQ Texas Environmental Excellence Award ๏‚ง Texas Nonprofit Excellence Award for Best Collaboration ๏‚ง Commute Solutions Innovative Award ๏‚ง Austin Business Journal Going Green Award ๏‚ง โ€ฆand many others Board member Rick Perkins accepting the EPA Clean Air Excellence Award
  • 9. PROGRAMS OVERVIEW Approach 1: Air Quality Practitioners Professional Development 1. Clean Air Partners Program 2. Air Quality Professionals Forum 3. Annual Partner Emissions Survey 4. Partner Recognition for Outstanding Effort 5. Partner Advising and Consulting Approach 2: Public Outreach and Awareness 6. Ozone Action Day Notifications 7. Annual Meteorologists Lunch 8. Web, Social Media, TV/Radio/Newspaper Coverage Approach 3: Air Quality Education 9. Be Air Smart School Sensor Program Approach 4. Input and Involvement 10. Work with public agencies on air quality projects www.cleanairforce.org
  • 10. APPROACH 1 ๏‚ง Clean Air Partners are major employers who voluntarily work to reduce harmful emissions ๏‚ง Pledge to actively reduce ozone precursor and Particulate Matter (PM2.5) emissions ๏‚ง Report accomplishments annually and pay partnership dues based on company size www.cleanairforce.org
  • 11. OUR 28 CLEAN AIR PARTNERS
  • 12. ๏‚ง Part of the Clean Air Partners Program ๏‚ง Brings together Air Quality practitioners from our partner employers for professional development ๏‚ง Quarterly lunch meetings with technical presentations by air quality experts ๏‚ง Informal and formal interaction with other Air Quality Professionals from a variety of Air Quality Professionals Forum www.cleanairforce.org
  • 13. PROGRAMS ๏‚ง Help partners develop effective emissions control strategies ๏‚ง Want partners to avoid costly regulation, permitting, & oversight that comes with non- attainment ๏‚ง Recognize and celebrate successful reductions ๏‚ง Help create community goodwill for partners ๏‚ง Partners become part of award-winning team ๏‚ง Networking and information sharing Other Clean Air Partner Benefits www.cleanairforce.org
  • 14. ๏‚ง Air Quality Professionals Forum ๏‚ง Access/Networking with other professionals ๏‚ง Annual Partner Emissions Survey ๏‚ง Emissions Policy Resource Center (coming soon) How We Promote Professional Development www.cleanairforce.org The Clean Air Force is the only organization in Central Texas that provides AQ-specific training/information for Air Quality Professionals and that promotes networking/information sharing especially focused on Air Quality issues.
  • 15. PUBLIC AWARENESS โ€ข Informs about Air Quality and thanks Meteorologists for helping publicize Ozone Action Days Yearly Meteorologists Luncheon www.cleanairforce.org
  • 16. Email alerts to 1,000+ subscribers with tips and pointers to reduce emissions during Ozone Action Days Ozone Action Day Notifications www.cleanairforce.org
  • 17. ๏‚ง Social Media and Website ๏‚ง Media Interviews, Appearances ๏‚ง Ozone Action Season Kickoff Event ๏‚ง Collaborative awareness efforts with Councils of Governments, cities, counties and TCEQ Outreach and Awareness www.cleanairforce.org
  • 18. We place PurpleAir Particulate Matter Sensors at local schools and provide educational material to support their use Be Air Smart PM Sensor School Program www.cleanairforce.org
  • 19. DOES IT MATTER? YES! ๏‚ง The Austin/Central Texas metro area remains the ONLY large city in America that has never gone out of EPA Air Quality Attainment ๏‚ง Our residents breathe easierโ€”in a very literal senseโ€”because of the quality of the air we have in Central Texas www.cleanairforce.org
  • 20. THE ECONOMIC COST OF NONATTAINMEN T Nonattainment could cost the companies in the region between $900 million and $1.4 billion* each year โ€ข More extensive permitting โ€ข Required purchase of emission control equipment โ€ข Higher scrutiny by state and federal agencies โ€ข Enforced regulation vs. voluntary management โ€ข Must purchase Emission Credits to expand And lost opportunitiesโ€ฆ Major projects such as Samsungโ€™s expansion and Teslaโ€™s new factory may not have occurred had the region been in nonattainment *Capitol Area Council of Governments estimate www.cleanairforce.org
  • 21. THE ENVIRONMENTA L COST OF NONATTAINMEN T Nonattainment also means that our neighbors and our Central Texas environment are adversely affected. Air Pollution is a major health hazard, especially for the very young, the elderly, and those who already have respiratory problems, It increases the risk of infection, heart disease and lung cancer. Air Pollution impacts plants, birds, and animals as well, lowering their resistance to diseases and inhibiting their ability to thrive. Letโ€™s keep Central Texas skies blue and unpolluted! www.cleanairforce.org
  • 22. DOES IT MATTER? โ€œPreventing air pollution offers important economic benefits, as air pollution never created avoids the need for expensive investments. Air pollution prevention has the exciting potential of both protecting the environment and strengthening economic growth.โ€ --Adapted from a statement by Carol www.cleanairforce.org
  • 23. ONE VISION ONE GOAL CLEAN AIR FOR ALL! โ€œClean air is important to us all. We believe that everyone has a role to play in helping to protect it. We value our Clean Air as we work together to keep the air in Central Texas clean and in compliance with EPA standardsโ€ --Dr. Elena Craft, Chair www.cleanairforce.org
  • 24. Definition of Terms & NAAQS Overview
  • 25. AQI Air Quality Index EPA Environmental Protection Agency (U.S. Agency) TCEQ Texas Commission on Environmental Quality (State Agency) Attainment/Non-Attainment Compliance with Standards NAAQS National Ambient Air Quality Standards 1. Ground-level Ozone (O3) 2. Carbon Monoxide (CO) 3. Lead (Pb), 4. Nitrogen Dioxide NO2) 5. Particulate Matter (PM) 6. Sulfur Dioxide (SO2). OZAD Ozone Action Day Design The level of pollutants allowed by the EPA and Value the actual regional value.
  • 26. National Ambient Air Quality Standards (NAAQS) These are current standards and are under review by the EPA. We expect even tougher standards starting in 2023
  • 27. Current Status of Air Quality In Central Texas
  • 28. This is from California, but our region would have similar percentages. Not that transportation typically is the largest source of pollution, followed by industry. Source: Center for Climate and Energy Solutions Air Pollution Sources
  • 29. Traditionally, over the past 20+ years Central Texas AQ has been outstanding
  • 30.
  • 31. 2022 has been an unusually poor year for Air Quality in Texas 25 Ozone Action Days in 2022 compared to 3.3 over the past 10 years! 2013-22 Ozone Action Days (OZAD) in Austin-Round Rock 2022 Yearly # Year Total OZADs 7-Oct 25 2021 4 6-Oct 24 2020 2 4-Oct 23 2019 4 3-Oct 22 2018 8 2-Oct 21 2017 3 1-Oct 20 2016 2 30-Sep 19 2015 1 29-Sep 18 2014 1 28-Sep 17 2013 5 27-Sep 16 Total 30 23-Sep 15 Average 3.34 22-Sep 14 15-Sep 13 This year: 25 14-Sep 12 10-Sep 11 9-Sep 10 12-Aug 9 13-Jul 8 10-Jul 7 28-May 6 27-May 5 26-May 4 3-Apr 3 25-Mar 2 19-Mar 1
  • 32. DFW, Houston, San Antonio and Austin have all had excessively high ozone multiple days this year. In Austin we have surpassed 70ppb O3 8- hour levels (EPA Design Value) at official monitoring stations and at non- regulatory monitors for the first time in many years. Doing this in 2023 and 2024 could cause us to go out of attainment. (3 year average)
  • 33. What is causing the bad AQ? 1. Weather: Unusually hot (even for Texas), no rain, low winds All summer long we have experienced ideal ozone formation conditions 2. Growth in population and traffic congestion (116 people move to Austin every day) Photo: โ€œSunshineโ€ (2007 film)
  • 34. Broad community involvement doing the โ€œTexas Top Tenโ€ (cleanairforce.org/texas-top- 10/) Clean Air Partners: Continue to add major employers each pledging to reduce emissions. This reduces both point source emissions and commuting emissions. Pray for rain! (We need it for lots of reasons!) What is the solution?
  • 35. Renewable Energy In Central Texas from a Consumerโ€™s Point of View
  • 36. As a homeowner myself, I appreciate renewable energy incentives. We have net-metering, which means our electrical provider commits to purchase our excess generation. 1. Austin has 300 days of sunshine every year. 2. Federal tax rebate of 26% for my solar panels. 36 solar panels that generate 21 MW/yr. saving $3,177 @ $.149 KW. 3. Saving $100+ monthly, including solar loan and usage 4. With the tax rebate and production, estimate full amortization in 10 years. Panels should last 25 years. 5. During months with little AC (Nov-April) we have no electric bill except a small service charge. 6. We also have a plug-in hybrid car, averaging about 85 miles/gallon (2.8L/100KM). Most in-town trips take no gasoline at all. Austin Energy has 1,000 charging stations @$4.17 month
  • 38. Disclaimer Because Austin is not out of EPA attainment, companies in our region do not need to generate credit. Consequently, I am not an expert on Emissions Reduction Credit (ERC), but do have a working familiarity. Material in this presentation is based on my understanding of 30 TRAC Chapter 101, Subchapter H, Division 1 in the Texas Law Code, the TCEQ and other sources, not first-hand experience.
  • 39. Emissions Reduction Credit Definition and Process What is the ERC? A method to generate credit by creating permanent emission reductions in nonattainment areas throughout Texas. Currently 3 regions in Texas are in non- attainment and qualify for ERCs: Beaumont/Port Arthur, Houston (Houston, Galveston Brazoriaโ€”HGB), and Dallas-Fort Worth. How are Credits generated? Participants create permanent emissions reductions from stationary, area, and mobile sources. Stationary and area source reductions are ERCs. Mobile source reductions are MERCs (Mobile ERCs). Electrical Generation Facility reductions are EGFs. Companies must apply to the TCEQ via the State of Texas Environmental Reporting System (STEERS), giving intent to generate credits and to trade those
  • 40. What are ERCs? (Information from Jacob Morrison, Air Permits Division, TECQ) โ€ข Voluntary Reductions of criteria pollutants (excluding lead) or precursors criteria pollutants โ€ข Permanent, enforceable, real, quantifiable, and surplus โ€ข Generated and used in nonattainment areas โ€ข Expire after 60 months โ€ข Applications due after reduction date
  • 41. As part of the application, the company will need to include this information: a. General details about the project b. Facility Identification Number c. Supporting documents d. Types of state permits and permit numbers e. Applicable regulation for each facility f. Acceptable types of VOC speciation sources for each facility g. Site analysis Credits can be issued for: โ€ข On-Road NOx (Nitrogen Dioxide) โ€ข On-Road VOC (Volatile Organic Compounds) โ€ข Non-Road NOx โ€ข Non-Road VOC โ€ข Area Source NOx According to the TECQ website, only a few companies actually have completed all paperwork and secured credits. In the entire state only about 25 companies have current secured credits Many of these, however, have secured them for multiple facilities. As an example, the Magellan Terminals Holding Company has two facilities, with a total of 38.9 credits, according to the TCEQ. At market prices these credits could be worth between $5.8 to $11.6 million (USD).
  • 42. Cap and Trade In non-attainment counties the amount of pollution is capped. A new or greatly modified facility will not be allowed to if it creates new sources of pollution. However, if previous reductions can offset the new emissions, & keep the area under the cap, then the new facility could be permitted to be built. This can be done by purchasing ERCs and redeeming them. Allowing companies to buy, sell and trade ERCs is a very helpful system to the environment, as it attaches economic values to air pollution. If you cut your pollution, you gain credits which can be sold or traded to enhance the bottom line. And the credits do not need to be sold or traded, either. If a company is seeking to expand, it can use credits created by reductions to have enough to cover expansion. (
  • 43. AERCOs: A Public-Private Collaboration The Houston-Galveston region is in non-attainment with the EPA under the Clean Air Act (CAA). There can be NO NET increases in air emissions for the eight counties that make up that region. The Texas legislature set up โ€œArea Emissions Reduction Credit Organizations (AERCOs) for the trading of emission credits, including one in Houston. AERCOs are non-profits, regulated by the state, and operate like a โ€œbank.โ€ They allow companies to buy, sell, trade, or donate credits. Donating credits provides a tax deduction to the company. Under the Clean Air Act rules, emission reductions offset new emissions by a 1.3 to 1 ratio. This way the region is continually reducing overall emissions, even as new facilities are built. ERCs are set by market demand. In Houston VOC credits ranged from $150,000 to $300,000 in recent years. (data from Emissions Advisors)
  • 44. Carbon Credits This presentation does not have time to cover carbon credits and carbon offsets. For a good overview, visit Carboncredits.com and search for this guide:
  • 45. SUMMARY Air Pollution knows no boundaries. It crosses city, country, state and national borders. But it can be managed. ๏‚ก Voluntary reductions are best ๏‚ก Companies doing the right things need to be celebrated ๏‚ก The best pollution control is pollution never created in the first place ๏‚ก There is a strong role for government to play in air pollution control both at the local and national level ๏‚ก Individuals and companies work best when incentivized www.cleanairforce.org