[Code of Federal Regulations]
[Title 40, Volume 18]
[Revised as of July 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 40CFR94.304]
[Page 631-632]
TITLE 40--PROTECTION OF ENVIRONMENT
CHAPTER I--ENVIRONMENTAL PROTECTION AGENCY (CONTINUED)
PART 94--CONTROL OF EMISSIONS FROM MARINE COMPRESSION-IGNITION ENGINES--
Table of Contents
Subpart D Certification Averaging, Banking, and Trading Provisions
Sec. 94.304 Compliance requirements.
(a) Manufacturers wishing to participate in certification averaging,
banking and trading programs shall select a FEL for each engine family
they wish to include. The level of the FEL shall be selected by the
manufacturer, subject to the upper limits described in paragraph (m) of
this section. An engine family certified to an FEL is subject to all
provisions specified in this part, except that the applicable FEL
replaces the applicable THC+NOX and PM emission standard for
the family participating in the averaging, banking, and trading program.
(b) A manufacturer may certify one or more engine families at FELs
above or below the applicable emission standard, provided the summation
of the manufacturer's projected balance of all credit transactions in a
given calendar year is greater than or equal to zero, as calculated for
each family under Sec. 94.305 and reported under Sec. 94.309.
(c) Manufacturers certifying engine families with FELs exceeding the
applicable emission standard shall obtain emission credits in amounts
sufficient to address the shortfall. Credits may be obtained from
averaging, banking, or trading, subject to the restrictions described in
this subpart.
(d) Manufacturers certifying engine families with FELs below the
applicable emission standard may generate emission credits to average,
bank, or trade, or a combination thereof.
(e) An engine family may not generate credits for one pollutant
while also using credits for another pollutant in the same model year.
(f) Credits may only be used for certification; they may not be used
to remedy a violation of the FEL determined by production line or in-use
testing. Credits may be used to allow subsequent production of engines
for an engine family failing production line testing if the manufacturer
elects to recertify to a higher FEL.
(g) [Reserved].
(h) If an FEL is changed after initial certification in any given
model year, the manufacturer must conduct production line testing to
verify that the emission levels are achieved, with one exception: when
an FEL is changed immediately after (and because of) a production line
testing failure, additional verification testing is not required.
(i) Manufacturers participating in the averaging, banking and
trading program must demonstrate compliance with the applicable emission
standards
[[Page 632]]
at the end of the model year. Manufacturers that have certified engine
families to FELs above the applicable emission standards and do not have
sufficient emission credits to offset the difference between the
emission standard and the FEL for such engine families will be in
violation of the conditions of the certificate of conformity for such
engine families. The certificates of conformity may be voided ab initio
for those engine families.
(j) In the event of a negative credit balance resulting from a
credit trade, both the buyer(s) and the seller(s) are liable, except in
cases involving fraud. Certificates of all engine families participating
in a negative trade may be voided ab initio.
(1) Where a buyer of credits is not responsible for causing the
negative credit balance, the buyer is only liable to supply additional
credits equivalent to any amount of invalid credits that the buyer used
for its engine family(ies).
(2) Credit holders responsible for the credit shortfall may be
subject to the requirements of Sec. 94.309(g)(3).
(k) The following provisions limit credit exchanges between
different types of engines:
(1) Credits generated by Category 1 engine families may be used for
compliance by Category 1 or Category 2 engine families. Credits
generated from Category 1 engine families for use by Category 2 engine
families must be discounted by 25 percent.
(2) Credits generated by Category 2 engine families may be used for
compliance only by Category 2 engine families.
(3) Credits may not be exchanged between recreational and commercial
engines.
(l) Credit life shall be unlimited.
(m) Upper limits. The FELs for THC+NOX and PM for new
engines certified for participation in this averaging, banking and
trading program may not exceed the following values:
(1) For Category 1 engines, the FEL may not exceed the levels
contained in Table D-1, which follows:
Table D-1--Category 1 Upper Limits for Tier 2 Family Emission Limits
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Model year THC+NOX FEL PM FEL g/
Subcategory liters/cylinder \1\ g/kW-hr kW-hr
----------------------------------------------------------------------------------------------------------------
Power [ge] 37 kW disp. < 0.9............................................. 2005 11.5 1.2
0.9 [le] disp. < 1.2..................................................... 2004 11.5 1.2
1.2 [le] disp. < 2.5..................................................... 2004 10.5 0.54
2.5 [le] disp. < 5.0..................................................... 2007 10.5 0.54
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\1\ The model years listed indicate the model years for which the specified standards start.
(2) For Category 2 engines, the FEL may not exceed the applicable
standard by more than 25 percent.
[64 FR 73331, Dec. 29, 1999, as amended at 67 FR 68346, Nov. 8, 2002]