Clean Air Act; Acid Rain Provisions

摘要

Pursuant to Title IV of the Clean Air Act and 40 CFR Part 73, the EPA is responsible for implementing a program to reduce emissions of sulfur dioxide (SO 2), a precursor of acid rain. The centerpiece of the SO 2 control program is the allocation of transferable allowances, or authorizations to emit SO 2, which are distributed in limited quantities for existing utility units and which eventually must be held by virtually all utility units to cover their SO 2 emissions. These allowances may be transferred among polluting sources and others, so that market forces may govern their ultimate use and distribution, resulting in the most cost-effective sharing of the emissions control burden. In addition, EPA is directed under Section 416 of the Act to conduct annual sales and auctions of a small portion of allowances (2.8%) withheld from the total allowances allocated to utilities each year. Sales and auctions are expected to stimulate and support such a market in allowances and to provide a public source of allowances, particularly to new units for which no allowances are allocated. Today, the Acid Rain Division is giving notice of the second annual SO 2 allowance auctions. The regulation