§ 86.004-15 NOX plus NMHC and particulate averaging, trading, and banking for heavy-duty engines.
(a) Overview. (1) Heavy-duty engines eligible for NOX plus NMHC and particulate averaging, trading and banking programs are described in the applicable emission standards sections in this subpart. For manufacturers not selecting Options 1 or 2 contained in § 86.005-10(f), the ABT program requirements contained in § 86.000-15 apply for 2004 model year Otto-cycle engines, rather than the provisions contained in this section. Participation in these programs is voluntary.
(2)
(i) Engine families with FELs exceeding the applicable standard shall obtain emission credits in a mass amount sufficient to address the shortfall. Credits may be obtained from averaging, trading, or banking, within the averaging set restrictions described in this section.
(ii) Engine families with FELs below the applicable standard will have emission credits available to average, trade, bank or a combination thereof. Credits may not be used for averaging or trading to offset emissions that exceed an FEL. Credits may not be used to remedy an in-use nonconformity determined by a Selective Enforcement Audit or by recall testing. However, credits may be used to allow subsequent production of engines for the family in question if the manufacturer elects to recertify to a higher FEL.
(b) Participation in the NOX plus NMHC and/or particulate averaging, trading, and banking programs shall be done as follows:
(1) During certification, the manufacturer shall:
(i) Declare its intent to include specific engine families in the averaging, trading and/or banking programs. Separate declarations are required for each program and for each pollutant (i.e., NOX plus NMHC, and particulate).
(ii) Declare an FEL for each engine family participating in one or more of these two programs.
(A) The FEL must be to the same level of significant digits as the emission standard (one-tenth of a gram per brake horsepower-hour for NOX plus NMHC emissions and one-hundredth of a gram per brake horsepower-hour for particulate emissions).
(B) In no case may the FEL exceed the upper limit prescribed in the section concerning the applicable heavy-duty engine NOX plus NMHC and particulate emission standards.
(iii) Calculate the projected emission credits (positive or negative) based on quarterly production projections for each participating family and for each pollutant, using the applicable equation in paragraph (c) of this section and the applicable factors for the specific engine family.
(iv)
(A) Determine and state the source of the needed credits according to quarterly projected production for engine families requiring credits for certification.
(B) State where the quarterly projected credits will be applied for engine families generating credits.
(C) Credits may be obtained from or applied to only engine families within the same averaging set as described in paragraph (d) or (e) of this section. Credits available for averaging, trading, or banking as defined in § 86.090-2, may be applied exclusively to a given engine family, or reserved as defined in § 86.091-2.
(2) Based on this information each manufacturer's certification application must demonstrate:
(i) That at the end of model year production, each engine family has a net emissions credit balance of zero or more using the methodology in paragraph (c) of this section with any credits obtained from averaging, trading or banking.
(ii) The source of the credits to be used to comply with the emission standard if the FEL exceeds the standard, or where credits will be applied if the FEL is less than the emission standard. In cases where credits are being obtained, each engine family involved must state specifically the source (manufacturer/engine family) of the credits being used. In cases where credits are being generated/supplied, each engine family involved must state specifically the designated use (manufacturer/engine family or reserved) of the credits involved. All such reports shall include all credits involved in averaging, trading or banking.