Tennessee Department of Environment and Conservation’s Division of Air Pollution Control will conduct a public hearing on behalf of the Air Pollution Control Board on December 10, 2012 to consider comments on proposed amendments to Rule 1200-3-26-.01(9), which sets annual fees for air pollution emissions. The fees proposed by the Division are based on the Title V Workload Analysis for the coming fiscal year which will also be available for public hearing.

The proposed amendments increase the major source (i.e., Title V) annual emission fee rate charged to major sources. The proposed rate at which major source actual-based emissions are assessed would increase $1.00 to $40.00 per ton. The rate at which major source allowable-based annual emission fees are assessed would also increase by $1.00 to $29.50 per ton.

The Division is also including in their proposal a higher fee targeted at certain electric generating units (EGUs). As in TVA primarily, if not exclusively. Specifically, the EGUs subject to this higher fee would be any steam electric generating unit or stationary combustion turbine that is constructed for the purpose of supplying more than one-third of its potential electric output capacity and more than 35 MW net-electrical output to any utility power distribution system for sale. Major source actual-based emissions fees for these sources will be $56 per ton and allowable-based emission fees will be $45.50 per ton. The proposed amendment contains a more detailed description of the EGU sources that would be required to pay these fees.

Finally, the proposed rule amendments would remove the requirement for annual consideration of rate changes, and provides that the new proposed fees rates would remain in effect until the effective date of any a rule amendment changing the fees.

Written comments on the amendments will be accepted if received by 4:30 p.m. on December 10, 2012.