Indiana Administrative Code
Title 326 - AIR POLLUTION CONTROL DIVISION
Article 19 - MOBILE SOURCE RULES
Rule 3 - Clean Fuel Fleet Vehicles
Section 3-4 - Banking and trading of credits
Universal Citation: 326 IN Admin Code 3-4
Current through March 20, 2024
Authority: IC 13-14-8-7; IC 13-17-3-4; IC 13-17-3-14; IC 13-17-5-1
Affected: IC 13-12-3-1
Sec. 4.
(a) This section establishes the requirements of a credit program to enable fleet owners to meet the requirements of this rule both by purchasing clean fuel vehicles directly and by trading or banking credits for vehicle purchases. General provisions for the credit program are as follows:
(1) Credits shall be generated only if a
fleet operator obtains clean fuel vehicles in excess of the required number or
type of vehicle required in section 3(a) of this rule or earlier than required
by that section.
(2) Credits may be
used to meet the purchase requirements of section 3 of this rule.
(3) Converted clean fuel vehicles shall earn
credits in the same manner as other purchased clean fuel vehicles.
(4) All clean fuel vehicles used to generate
credits must:
(A) meet the applicable emission
standards;
(B) be operated in Lake
or Porter County; and
(C) meet all
other standards under this rule.
(5) A partially covered or covered fleet
operator, who purchases or leases clean fuel fleet vehicles only to generate
credits, shall be subject to all the requirements of this rule.
(6) A noncovered fleet owner who purchases or
leases a clean fuel vehicle only to generate clean vehicle credit shall be
subject to all the requirements of this rule except the purchase requirements
of section 3 of this rule.
(7)
Fleet operators who purchase or lease flexible fuel or dual fuel vehicles for
the purpose of generating credit may receive credits based on the emissions of
the cleanest fuel. Fleet operators who have received credits for flexible fuel
or dual fuel vehicles shall operate those vehicles only on the fuel that each
vehicle is certified on as an LEV, a ULEV, or a ZEV while operated in the
Chicago severe nonattainment area.
(8) Credit may only be sold to or used in the
Chicago severe nonattainment area by operators whose fleets operate in that
area.
(9) Credit trading is allowed
between all subclasses of LDVs and LDTs, but trading is not allowed between
light-duty and heavy-duty classes.
(10) Credit trading is allowed between
heavy-duty subclasses only if the credits to be traded are for the same
subclass or a lighter heavy-duty subclass.
(11) Clean fuel vehicles used to meet
purchase requirements or to generate purchase credits shall not be allowed to
be sold or traded to satisfy additional purchase requirements or generate
additional purchase credits for any other fleet operator.
(12) Converted clean fuel vehicles used to
meet purchase requirements or to generate credits shall be removed from the
fleet if the conversion hardware is reused to convert another vehicle for the
purpose of satisfying the purchase requirements or to generate purchase
credits.
(13) Only fleet operators
who operate in the Chicago severe nonattainment area can generate
credits.
(b) Conditions for credit generating in the credit program are as follows:
(1) A fleet owner or operator shall receive
credits from the department for any of the following qualifying purchases:
(A) Purchase of clean fuel vehicles before
the required acquisition date.
(B)
Purchase of clean fuel vehicles before the approval of this rule if the
purchase meets all other requirements of this rule and the vehicle can be shown
to have operated in the Chicago severe nonattainment area exclusively on the
clean alternate fuel on which it was certified as a clean fuel vehicle in the
case of dual fuel or flexible fueled vehicles.
(C) Purchase of clean fuel vehicles in excess
of the required percent of new covered vehicles.
(D) Purchase of clean fuel vehicles that meet
more stringent standards than required in this rule.
(E) Purchase of clean fuel vehicles in an
exempt vehicle category by the owner or operator of a covered or partially
covered fleet.
(F) Purchase of
clean fuel vehicles by a noncovered fleet operator that operates within the
Chicago severe nonattainment area.
Purchase of exempt vehicles that are combination HDVs greater than twenty-six thousand (26,000) pounds GVWR may not generate credits if all or a portion of its fuel taxes are paid, as evidenced by fuel tax stickers on the combination HDV, to a state that is not part of the Chicago severe nonattainment area.
(2) Credit values shall be calculated to two
(2) decimal places.
(3) Credits
generated by the purchase of a qualifying clean fuel LDV or LDT shall be
designated at the time of issuance as light-duty clean fuel fleet vehicle
credits.
(4) Credits generated by
the purchase of a qualifying clean fuel fleet HDV shall be designated at the
time of issuance as heavy-duty clean fuel vehicle credits.
(5) Credits generated by the purchase of a
light heavy-duty or a medium heavy-duty qualifying clean fuel fleet vehicle
shall be designated at the time of issuance as light heavy-duty or medium
heavy-duty credits, respectively.
(c) The exact amount of credit for each clean fuel vehicle that satisfies one (1) of the conditions listed in subsection (a) shall be governed by the values listed in the tables in subsection (e).
(d) All credits generated in accordance with this section may be freely traded, sold, or banked for later use, without discount or depreciation, subject to the following:
(1) A covered fleet operator shall inform the
department in the annual report required in section 5 of this rule of the
number of credits sold, traded, or purchased during the previous year and the
number of credits proposed to be used by the operator to satisfy its purchase
requirements for that year.
(2)
Credits earned within the boundaries of the Chicago severe nonattainment area
may be traded or sold only within the boundaries of that area.
(3) Credits purchased by owners or operators
within the Chicago severe nonattainment area must have been generated by owners
or operators within the Chicago severe nonattainment area.
(4) Credits may be used to satisfy purchase
requirements in the following ways:
(A)
Credits generated by the purchase of LDVs and LDTs may be used to demonstrate
compliance with purchase requirements applicable to LDVs and LDTs.
(B) Credits generated by the purchase of
vehicles of more than eight thousand five hundred (8,500) pounds GVWR may not
be used to demonstrate compliance with requirements for vehicles weighing eight
thousand five hundred (8,500) pounds or less.
(C) Credits generated by the purchase of
vehicles of eight thousand five hundred (8,500) pounds GVWR or less may not be
used to demonstrate compliance with requirements for vehicles of more than
eight thousand five hundred (8,500) pounds GVWR.
(D) Credits generated by the purchase of an
HDV of a particular weight subclass may be used to demonstrate compliance with
required heavy-duty vehicles purchased for the same or lighter weight
subclasses. Such credits may not be used to demonstrate compliance with HDV
purchase requirements for vehicles of heavier weight subclasses than the weight
subclass of the vehicle that generated the credits.
(E) Credits generated by the purchase of a
new HDV weighing in excess of twenty-six thousand (26,000) pounds may be used
to demonstrate compliance for HDVs of any subclass.
(e) Credits generated by purchase of clean fuel vehicles in excess of the requirements of this rule are shown in the following tables:
(1) Credits generated by
purchase of clean vehicles are shown as follows:
CREDIT GENERATION: PURCHASING MORE CLEAN FUEL VEHICLES THAN REQUIRED BY THE MANDATE
| LDV, LDT | LDT | LDT | LDT | LDT | |
| <=6,000 GVWR <=3,750 LVW | <=6,000 GVWR, >3,750 LVW <=5,750 LVW | >6,000 GVWR, <=3,750 ALVW | >6,000 GVWR, >3,750 ALVW <=5,750 ALVW | >6,000 GVWR, >5,750 ALVW | |
| LEV . . . | 1.00 | 1.26 | 0.71 | 0.91 | 1.11 |
| ULEV . . | 1.20 | 1.54 | 1.00 | 1.29 | 1.47 |
| ZEV . . . | 1.43 | 1.83 | 1.43 | 1.83 | 2.23 |
(2)
Credits generated by purchase of a ULEV or a ZEV are shown as follows:
CREDIT GENERATION: PURCHASING A ULEV OR ZEV TO MEET THE MANDATE
| LDV,LDT | LDT | LDT | LDT | LDT | |
| <=6,000 GVWR <=3,750 LVW | <=6,000 GVWR, >3,750 LVW <=5,750 LVW | >6,000 GVWR, <=3,750 ALVW | >6,000 GVWR, >3,750 ALVW <=5,750 ALVW | >6,000 GVWR, >5,750 ALVW | |
| LEV . . . | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| ULEV . . | 0.20 | 0.29 | 0.29 | 0.34 | 0.45 |
| ZEV . . . | 0.43 | 0.57 | 0.71 | 0.91 | 1.11 |
(3)
Credits needed to satisfy the purchase requirements of section 3 of this rule
are shown in the following table:
CREDIT NEEDED IN LIEU OF PURCHASING AN LEV TO MEET THE MANDATE
| LDV,LDT | LDT | LDT | LDT | LDT | |
| <=6,000 GVWR <=3,750 LVW | <=6,000 GVWR, >3,750 LVW <=,5750 LVW | >6,000 GVWR, <=3,750 ALVW | >6,000 GVWR, >3,750 ALVW <=5,750 ALVW | >6,000 GVWR, >5,750 ALVW | |
| LEV .... | 1.00 | 1.26 | 0.71 | 0.91 | 1.11 |
(4)
Credits generated by purchase of clean fuel vehicles in excess of the
requirements of this rule for HDVs are shown in the following tables:
CREDIT GENERATION: PURCHASING MORE CLEAN FUEL VEHICLES THAN REQUIRED BY THE MANDATE FOR HEAVY-DUTY VEHICLES
| Light HDV | Medium HDV | High HDV | |
| 8501-19500 GVWR | 19501-26000 GVWR | >26000 GVWR | |
| LEV ...... | 1.00 | 1.00 | 1.00 |
| ULEV ..... | 1.87 | 1.87 | 1.87 |
| ZEV ...... | 3.53 | 3.53 | 3.53 |
CREDIT GENERATION: PURCHASING A ULEV OR
ZEV TO MEET THE MANDATE FOR HEAVY-DUTY
VEHICLES
| Light HDV | Medium HDV | High HDV |
| LEV ........ 0.00 | 0.00 | 0.00 |
| ULEV ....... 0.87 | 0.87 | 0.87 |
| ZEV ........ 2.53 | 2.53 | 2.53 |
(5)
Credit needed to satisfy the purchase requirements of section 3 of this rule
for HDVs are shown in the following table:
CREDIT NEEDED IN LIEU OF PURCHASING AN LEV TO MEET THE MANDATE FOR HEAVY-DUTY VEHICLES
| Light HDV | Medium HDV |
| LEV ........ 1.00 | 1.00 |
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