Section

[Code of Federal Regulations]

[Title 40, Volume 31]

[Revised as of July 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 40CFR1039.627]

[Page 523-524]

TITLE 40--PROTECTION OF ENVIRONMENT

CHAPTER I--ENVIRONMENTAL PROTECTION AGENCY (CONTINUED)

PART 1039_CONTROL OF EMISSIONS FROM NEW AND IN-USE NONROAD

COMPRESSION-IGNITION ENGINES--Table of Contents

Subpart G_Special Compliance Provisions

Sec. 1039.627 What are the incentives for equipment manufacturers to

use cleaner engines?

This section allows equipment manufacturers to generate additional

allowances under the provisions of Sec. 1039.625 by producing equipment

using engines at or above 19 kW certified to specified levels earlier

than otherwise required.

(a) For early-compliant engines to generate offsets for use under

this section, the following general provisions apply:

(1) The engine manufacturer must comply with the provisions of Sec.

1039.104(a)(1) for the offset-generating engines.

(2) Engines you install in your equipment after December 31 of the

years specified in Sec. 1039.104(a)(1) do not generate allowances under

this section, even if the engine manufacturer generated offsets for that

engine under Sec. 1039.104(a).

(3) Offset-generating engines must be certified to the following

standards under this part 1039:

----------------------------------------------------------------------------------------------------------------

You may reduce

the number of

Certified early engines in the

If the engine's maximum And you install . . . to the . . . same power In later model

power is . . . category that years by . . .

are required to

meet the . . .

----------------------------------------------------------------------------------------------------------------

(i) kW = 19..... One engine................. Emissions Standards in One engine.

standards in Tables 2

Sec. through 7 of

1039.101. Sec.

1039.102 or in

Sec.

1039.101.

(ii) 56 <= kW < 130........ Two engines................ NOX standards Standards in One engine.

in Sec. Tables 2

1039.102[fxsp0 through 7 of

](d)(1), and Sec.

NMHC standard 1039.102 or in

of 0.19 g/kW- Sec.

hr, a PM 1039.101.

standard of

0.02 g/kW-hr,

and a CO

standard of

5.0 g/kW-hr.

(iii) 130 <= kW < 560...... Two engines................ NOX standards Standards in One engine.

in Sec. Tables 2

1039.102[fxsp0 through 7 of

](d)(2), an Sec.

NMHC standard 1039.102 or in

of 0.19 g/kW- Sec.

hr, a PM 1039.101.

standard of

0.02 g/kW-hr,

and a CO

standard of

3.5 g/kW-hr.

----------------------------------------------------------------------------------------------------------------

(b) Using engine offsets. (1) You may use engine offsets generated

under paragraph (a) of this section to generate additional allowances

under Sec. 1039.625, as follows:

(i) For each engine offset, you may increase the number of available

allowances under Sec. 1039.625(b) for that power category by one engine

for the years indicated.

(ii) For engines in 56-560 kW power categories, you may transfer

engine offsets across power categories within this power range.

Calculate the number of additional allowances by scaling the

[[Page 524]]

number of generated engine offsets according to the ratio of engine

power for offset and allowance engines. Make this calculation for all

your offset engines for which you will transfer offsets under this

paragraph (b)(1)(ii), then round the result to determine the total

number of available power-weighted allowances. For example, if you

generate engine offsets for 75 500-kW engines, you may generate up to

37,500 kW-engines of power-weighted allowances. You may apply this to

375 100-kW engines or any other combination that totals 37,500 kW-

engines.

(2) You may decline to use the offsets. If you decline, the engine

manufacturer may use the provisions of Sec. 1039.104(a)(1).

above 560 kW, you must track how many engines you install in generator

sets and how many you install in other applications under the provisions

of this section. Offsets from generator-set engines may be used only for

generator-set engines. Offsets from engines for other applications may

be used only for other applications besides generator sets.

(d) Reporting. When you submit your first annual report under Sec.

1039.625(g), include the following additional information related to the

engines you use to generate offsets under this section:

(1) The name of each engine family involved.

(2) The number of engines from each power category.

(3) The maximum engine power of each engine.

(4) For engines above 560 kW, whether you use engines certified to

the standards for generator-set engines.

(e) In-use fuel. If the engine manufacturer certifies using ultra

low-sulfur diesel fuel, you must take steps to ensure that the in-use

engines in the family will use diesel fuel with a sulfur concentration

no greater than 15 ppm. For example, selling equipment only into

applications where the operator commits to a central-fueling facility

with ultra low-sulfur diesel fuel throughout its lifetime would meet

this requirement.