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California Air Pollution Control Laws


Division 26 Air Resources

Part 4 Nonvehicular Air Pollution Control

Chapter 4 Enforcement

§ 42314. Projects which do not require emission offsets

(a) Notwithstanding any other provision of any district permit system, and except as provided in this section, no district shall require emissions offsets for any cogeneration technology project or resource recovery project that satisfies all of the following requirements:

(1) The project satisfies one of the following size criteria:

(A) The project produces 50 megawatts or less of electricity. In the case of a combined cycle project, the electrical capacity of the steam turbine may be excluded from the total electrical capacity of the project for purposes of this paragraph if no supplemental firing is used for the steam portion and the combustion turbine has a minimum efficiency of 25 percent.

(B) The project processes municipal wastes and produces more than 50 megawatts, but less than 80 megawatts, of electricity.

(2) The project will use the appropriate degree of pollution control technology (BACT or LAER) as defined and to the extent required by the district permit system.

(3) Existing permits for any item of equipment to be replaced by the project, whether the equipment is owned by the applicant or a thermal beneficiary of the project, are surrendered to the district or modified to prohibit operation simultaneously with the project to the extent necessary to satisfy district offset requirements. The emissions reductions associated with the shutdown of existing equipment shall be credited to the project as emissions offsets in accordance with district rules.

(4) The applicant has provided offsets to the extent they are reasonably available from facilities it owns or operates in the air basin and that mitigate the remaining impacts of the project.

(5) For new projects that burn municipal waste, landfill gas, or digester gas, the applicant has, in the judgment of the district, made a good faith effort to secure all reasonably available emissions offsets to mitigate the remaining impact of the project, and has secured all reasonably available offsets.

(b) This section applies to any project for which an application for an authority to construct is deemed complete by the district after January 1, 1986, only if the project's net emissions, combined with the net emissions from projects previously permitted under this section, are less than the amount provided for in the applicable growth allowance established by the district pursuant to Section 41600. If a district has not yet provided a growth allowance pursuant to Section 41600, the growth allowance is zero. For purposes of this subdivision, “net emissions” means the project's emissions, less any offsets provided by the applicant and less utility displacement credits granted pursuant to Section 41605.

(c) This section does not relieve a project from satisfying all applicable requirements of Part C (Prevention of Significant Deterioration) of the Clean Air Act, as amended in 1977 (42 U.S.C. Sec. 7401 et seq.), or any rules or regulations adopted pursuant to Part C.

Added Stats 1985 ch 978 § 5. Amended Stats 2000 ch 890 § 41 (AB 2939).

Former Sections: Former § 42314, similar to present § 42314.1, was added by Stats 1979 ch 922 § 6, amended by Stats 1981 ch 952 § 4, Stats 1983 ch 357 § 1, Stats 1984 ch 743 § 1, and repealed by Stats 1985 ch 978 § 4.


2000 Amendment: (1) Substituted “that satisfies” for “which satisfies” in the introductory paragraph of subd (a); (2) substituted “that mitigate” for “which mitigate” in subd (a)(4); (3) substituted “that burn” for “which burn” in subd (a)(5); and (4) substituted “Section 41600” for “41604” in the first and second sentences of subd (b).

Law Revision Commission Comments:


Section 42314 is amended to correct erroneous references to former Section 41604, which was renumbered as Section 41600. See 1998 Cal. Stat. ch. 1568, § 25.

Attorney General's Opinions: When it is impossible for air pollution control district to provide emissions reductions from other sources to offset adverse air quality impacts of congeneration technology and resource recovery projects of less than 50 megawatts of generating capacity as mitigation required by Health and Safety Code Section 41604, district is not required to issue permits for such projects pursuant to Health and Safety Code Section 42314; when mitigation required by Section 41604 is available, air pollution control district must grant permits for cogeneration technology and resource recovery projects and must provide required mitigation in such manner that emissions reductions from other sources will be in place before operation of such projects. (1985) 68 Ops. Cal. Atty. Gen. 296.

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