STATE OF CALIFORNIA

State Energy Resources
Conservation and Development Commission

On January 11, 2002, the La Paloma Generating Company, LLC, submitted a Petition to revise air quality Condition of Certification AQ-15, and add AQ-79 and AQ-80 to allow for a possible reduction of PM10 emission limits, and to permit emission variability during the initial commissioning phases.

The Commission approves the La Paloma Generating Company's proposed amendment and the proposed modified and new conditions in accordance with Title 20, section 1769(a)(3) of the California Code of Regulations.

COMMISSION FINDINGS

Based on staff's analysis, the Energy Commission concludes that the proposed changes will not result in any significant impact to public health and safety, or the environment. The Energy Commission finds that:

1. There will be no new or additional unmitigated significant environmental impacts associated with the proposed changes.


2. The facility will remain in compliance with all applicable laws, ordinances, regulations, and standards, subject to the provisions of Public Resources code section 25525.


3. The change will be beneficial to the public, applicant, or intervenors. In this case, the amendment will be of benefit to the project owner to allow flexibility to reduce the amount of emission reduction credits tendered and to allow for commissioning period variability.


4. The proposed amendment is based on post-certification information not known during the siting phase.

CONCLUSION AND ORDER

The California Energy Commission hereby adopts the following changes to the La Paloma Generating Project Decision (added text is underlined, deleted text is shown in strikethrough.)

NEW AND REVISIONS TO EXISTING CONDITIONS OF CERTIFICATION

AQ-15   Upon initial operation of  Prior to commencement of operation of the equipment covered by SJVAPCD Permit Nos. S-3412-1 through '6 and  '12  '13, emission offsets certificates shall be provided tendered (per AQ-79) for all calendar quarters in the following amounts at the offset ratio specified in Rule 2201 (6/15/95 version)
Table 1:

	Quarter 1	Quarter 2	Quarter 3	Quarter 4
PM10	142,479 lb	144,062 lb	145,646 lb	145,646 lb
SOx (as SO2)	30,099 lb	30,443 lb	30,768 lb	30,768 lb
NOx (as NO2)	139,270 lb	140,818 lb	142,365 lb	142,365 lb
VOC	19,963 lb	20,185 lb	20,407 lb	20,407 lb

Verification: The project owner shall provide copies of all the necessary ERC certificates to the CPM prior to the commencement of construction.

AQ-79  Permittee may lower hourly, daily and rolling twelve-month PM10 emission limits in Conditions AQ-12, AQ-13 and/or AQ-14, and thereby reduce PM10 offset requirements set forth in AQ-15, based on actual PM10 emissions demonstrated during initial source tests. The District will reflect revised limits in the permit to operate for the subject equipment. Any emission reduction credit certificates, or portions thereof, that were tendered to the District but are not needed to meet reduced PM10 offset requirements will be returned to the permittee at full value. The permittee shall indicate which emission reduction credit certificates are to be retired.

Verification: The project owner shall notify the CPM of any proposed changes in the PM10 emission limits, indicate which ERC certificates are to be retired and if necessary submit a Request to Amend conditions AQ-12 through AQ-15 within 60 days after the last unit is initially source tested.

AQ-80 Relief granted by the San Joaquin Valley Air Pollution Control District Hearing Board on November 14, 2001 in Regular Variance Docket Nos. S-01-33R, S-01-34R, S-01-35R and S-01-36R shall apply to Conditions of Certification AQ-5, AQ-8 through AQ-14 and AQ-37. The owner/operator shall comply with all requirements incorporated in the 15 conditions of these regular variances.

Verification: The owner/operator shall submit copies of all reports required under condition 12 of each Regular Variance to the CPM.

IT IS SO ORDERED.