1. (a) The CO2 AAR for a source’s compliance account may request that specific CO2 allowances in the compliance account, identified by serial number, be deducted for emissions or excess CO2 emissions for a control period or an interim control period in accordance with Env-A 4605.05 or Env-A 4605.08. Such identification shall be made in the compliance certification report submitted in accordance with Env-A 4605.09.

2. (b) In the absence of an identification or in the case of a partial identification of available CO2 allowances by serial number under (a), above, the regional organization shall deduct CO2 allowances for a control period or an interim control period from the CO2 budget source’s compliance account in the following order:

   1. (1) First, CO2 offset allowances, subject to the relevant compliance deduction limitations under Env-A 4605.04(b) and Env-A 4605.08, as follows:

      1. a. CO2 offset allowances shall be deducted in chronological order, such that CO2 offset allowances from earlier allocation years shall be deducted before CO2 offset allowances from later allocation years; and
      2. b. In the event that some, but not all, CO2 offset allowances from a particular allocation year are to be deducted, CO2 offset allowances shall be deducted by serial number, with lower serial number allowances deducted before higher serial number allowances; and

   2. (2) Then, any CO2 allowances other than CO2 offset allowances that are available for deduction under the provisions of Env-A 4605.04(a), as follows:

      1. a. CO2 allowances shall be deducted in chronological order, such that CO2 allowances from earlier allocation years shall be deducted before CO2 allowances from later allocation years; and
      2. b. In the event that some, but not all, CO2 allowances from a particular allocation year are to be deducted, CO2 allowances shall be deducted by serial number, with lower serial number allowances deducted before higher serial number allowances.

Source. #9283, INTERIM, eff 10-1-08, EXPIRED: 3-30-09 New. #9444, eff 4-3-09; ss by #10468, eff 1-1-14; ss by #12967, eff 1-1-20; ss by #12967, eff 1-1-20