N.Y. Comp. Codes R. & Regs. tit. 21 § 507.2

Current through Register Vol. 46, No. 45, November 2, 2024

Section 507.2 - Definitions

Part 507 incorporates by reference the definitions established by the Department at 6 NYCRR Part 242. In addition, the following definitions apply:

(a) Ascending Price, Multiple Round Auction: A multiple round auction starting with an opening price with increases each round by predetermined increments. In each round, bidders offer the quantity they are willing to purchase at the posted price. Rounds continue so long as demand exceeds the quantity offered for sale. At the completion of the final round, allowances may be allocated, subject to Section 507.6:

(i) at the final price to remaining bidders and withhold unsold allowances for a future auction, or

(ii) at the penultimate price, first to final round bidders and then to bidders in the penultimate round in chronological order of bid during the penultimate round for all remaining allowances, or

(iii) according to an alternative mechanism designed to effectuate the objectives of this Part.

(b) Auction Advisory Committee: A committee comprised of the Commissioner of the Department, the President and Chief Executive Officer of the Authority, and the Chairperson of the New York State Public Service Commission, or their respective designees ("the Committee"). The Committee shall advise the Authority on procedures relevant to conducting the CO2 Allowance Auctions provided for in this Part.

(c) Authority: the New York State Energy Research and Development Authority.

(d) Authority Contact Person: An employee of the Authority designated to communicate with the public regarding CO2 Allowance Auctions, as identified on the CO2 Allowance Auction Website.

(e) CO2 Allowance Auction Website: The website containing information regarding the auctions to be conducted pursuant to this Part and 6 NYCRR Part 242. The website shall be available through a link from the Authority's main website at www.nyserda.ny.gov.

(f) CO₂ cost containment reserve allowance or CO₂ CCR allowance: A CO₂ allowance that is offered for sale at an auction by NYSERDA or its agent for the purpose of containing the cost of CO₂ Allowances. CO₂ CCR allowances offered for sale at an auction are separate from and additional to CO₂ allowances allocated from the CO₂ Budget Trading Program base and adjusted budgets. CO₂ CCR allowances are subject to all applicable limitations contained in this Part and in 6 NYCRR Part 242.

(g) CO₂ Cost containment reserve trigger price, or CCR trigger price: The CCR trigger price is the minimum price at which CO₂ CCR allowances are offered for sale by the Authority or its agent at an auction. The CCR trigger price shall be $10.00 per CO₂ allowance in calendar year 2017. Each calendar year thereafter through 2020, the CCR trigger price shall be 1.025 multiplied by the CCR trigger price from the previous calendar year, rounded to the nearest whole cent. The CCR trigger price in calendar year 2021 shall be $13.00. Each calendar year thereafter, the CCR trigger price shall be 1.07 multiplied by the CCR trigger price from the previous calendar year, rounded to the nearest whole cent, as shown in Table 1 below.

Table 1. CO2 CCR Trigger Price
2018	2019	2020	2021	2022	2023	2024	2025	2026	2027	20208	2029	2030
$10.25	$10.51	$10.77	$13.00	$13.91	$14.88	$15.92	$17.03	$18.22	$19.50	$20.87	$22.33	$23.89

(h) CO₂ emissions containment reserve allowance or CO2 ECR allowance: A CO2 allowance that is withheld from sale at an auction by the Authority or its agent for the purpose of additional emission reduction in the event of lower than anticipated emission reduction costs.

(i) CO₂ emissions containment reserve trigger price, or ECR trigger price: The ECR trigger price is the price below which CO₂ allowances will be withheld from sale by the Authority or its agent at an auction. The ECR trigger price in calendar year 2021 shall be $6.00. Each calendar year thereafter, the ECR trigger price shall be 1.07 multiplied by the ECR trigger price from the previous calendar year, rounded to the nearest whole cent, as shown in Table

Table 2. CO₂ ECR Trigger Price
2021	2022	2023	2024	2025	2026	2027	2028	2029	2030
$6.00	$6.42	$6.87	$7.35	$7.86	$8.41	$9.00	$9.63	$10.30	$11.02

(j) Control Period: The time periods established by the Department under 6 NYCRR Part 242.

(k) Department: The New York State Department of Environmental Conservation.

(l) Energy Efficiency and Clean Energy Technology Account: A general account to be established by the Authority, into which the Department shall allocate CO2 Allowances.

(m) Environmental Notice Bulletin: An official Department publication pursuant to Environmental Conservation Law Section 3-0306(4).

(n) Participating State: A state that has established a corresponding regulation or statute as part of the CO2 Budget Trading Program.

(o) Reserve Price. The minimum acceptable price for each CO₂ allowance in a specific auction. The reserve price at an auction is either the minimum reserve price or the CCR trigger price as specified in section 242-5.3(b) in 6 NYCRR Part 242.

(p) Single Round Sealed-Bid Uniform Price Auction: A single round sealed-bid uniform price auction format, under which bidders may submit multiple bids at different prices; the price paid by all awarded bidders will be uniform and equal to the highest rejected bid price.

N.Y. Comp. Codes R. & Regs. Tit. 21 § 507.2

Amended New York State Register December 30, 2020/Volume XLII, Issue 52, eff. 12/30/2020