Code of Maine Rules
06 - DEPARTMENT OF ENVIRONMENTAL PROTECTION
096 - DEPARTMENT OF ENVIRONMENTAL PROTECTION - GENERAL
Chapter 156 - CO[2] BUDGET TRADING PROGRAM
Section 096-156-9 - CO[2] Emissions Offset Projects

(i) Landfill methane (CH4) capture and destruction;

(ii) Sequestration of carbon due to reforestation, improved forest management or avoided conversion;

(iii) Avoided methane emissions from agricultural manure management operations.

(i) in any participating state; and

(ii) in any state or other United States jurisdiction in which a cooperating regulatory agency has entered into a memorandum of understanding with the Department to carry out certain obligations relative to CO2 emissions offset projects in that state or U.S. jurisdiction, including but not limited to the obligation to perform audits of offset project sites, and report violations of this section.

(i) The project's sponsor's name, address, e-mail address, telephone number, and account number.

(ii) The offset project description as required by the relevant provisions of subsection 9(D) of this Chapter.

(iii) A demonstration that the offset project meets all applicable requirements set forth in this section.

(iv) The emissions baseline determination as required by the relevant provisions of subsection 9(D) of this Chapter.

(v) An explanation of how the projected reduction or avoidance of atmospheric loading of CO2 or CO2 equivalent or the sequestration of carbon is to be quantified, monitored, and verified as required by the relevant provisions of subsection 9(D) of this Chapter.

(vi) A completed consistency application agreement that reads as follows: "The undersigned project sponsor recognizes and accepts that the application for, and the receipt of, CO2 offset allowances under the CO2Budget Trading Program is predicated on the project sponsor following all the requirements of section 9 of the Department's Rules, 06-096, Chapter 156, "CO2 Budget Trading Program". The undersigned project sponsor holds the legal rights to the offset project, or has been granted the right to act on behalf of a party that holds the legal rights to the offset project. I understand that eligibility for the award of CO2 offset allowances under the CO2 Budget Trading Program of Chapter 156 is contingent on meeting the requirements of section 9 of Chapter 156. I authorize the Department or its agent to audit this offset project for purposes of verifying that the offset project, including the monitoring and verification plan, has been implemented as described in this application. I understand that this right to audit shall include the right to enter the physical location of the offset project. I submit to the legal jurisdiction of the State of Maine."

(vii) A statement and certification report signed by the offset project sponsor certifying that all offset projects for which the sponsor has received CO2 offset allowances under this section (or similar provisions in the rules of other participating states), under the sponsor's ownership or control (or under the ownership or control of any entity which controls, is controlled by, or has common control with the sponsor) are in compliance with all applicable requirements of the CO2 Budget Trading Program in all participating states.

(viii) A verification report and certification statement signed by an independent verifier accredited pursuant to subsection 9(E) of this Chapter that expresses that the independent verifier has reviewed the entire application and evaluated the following in relation to the applicable requirements of subsections 9(B) and 9(D) of this Chapter, and any applicable guidance issued by the Department.

(ix) Disclosure of any voluntary or mandatory programs, other than the CO2 Budget Trading Program, to which greenhouse gas emissions data related to the offset project has been or will be reported.

(x) For offset projects located in a state or United States jurisdiction that is not a participating state, a demonstration that the project sponsor has complied with all requirements of the cooperating Department in the state or United States jurisdiction where the offset project is located.

(i) Owner and operator of the offset project;

(ii) Location and specifications of the landfill where the offset project will occur, including waste in place;

(iii) Owner and operator of the landfill where the offset project will occur; and

(iv) Specifications of the equipment to be installed and a technical schematic of the offset project.

(i) The project sponsor shall submit a monitoring and verification plan as part of the consistency application that includes a quality assurance and quality control program associated with equipment used to determine landfill gas volumetric flow rate and CH4 composition. The monitoring and verification plan shall also include provisions for ensuring that measuring and monitoring equipment is maintained, operated, and calibrated based on manufacturer recommendations, as well as provisions for the retention of maintenance records for audit purposes. The monitoring and verification plan shall be certified by an independent verifier accredited pursuant to subsection 9(E) of this Chapter.

(ii) The project sponsor shall annually verify landfill gas CH4 composition through landfill gas sampling and independent laboratory analysis using applicable U.S. Environmental Protection Agency laboratory test methods.

(i) Monitoring and verification reports shall include all forest offset data reports submitted to the Department, including any additional data required by section 9.2.2 of the forest offset protocol.

(ii) The consistency application shall include a monitoring and verification plan certified by an independent verifier accredited pursuant to subsection 9(E) of this Chapter. The monitoring and verification plan shall consist of a forest carbon inventory program, as required by section 8.1 of the forest offset protocol.

(iii) Monitoring and verification shall be submitted not less than every six years, except that the first monitoring and verification report for reforestation projects must be submitted within twelve years of project commencement.

(i) Unintentional reversals. Requirements for unintentional reversals are as follows:

(ii) Intentional reversals. Requirements for intentional reversals are as follows:

(iii) Disposition of forest sequestration projects after a reversal. If a reversal lowers the forest offset project's actual standing live carbon stocks below its project baseline standing live carbon stocks, the forest offset project will be terminated by the Department.

(i) The project satisfies all other general requirements of section 9 of this Chapter, including all specific requirements of subsection 9(D)(2), for all reporting periods for which the project has been awarded credits under a voluntary greenhouse gas program and also intends to be awarded CO2 offset allowances pursuant to subsection 9(F) of this Chapter.

(ii) At the time of submittal of the consistency application for the project, the project submits forest offset data reports and a monitoring and verification report covering all reporting periods for which the project has been awarded credits under a voluntary greenhouse gas program and also intends to be awarded CO2 offset allowances pursuant subsection 9(F) of this Chapter. Forest offset data reports and monitoring and verification reports must meet all requirements of subsection 9(D)(2)(f) of this Chapter.

(iii) The consistency application includes information sufficient to allow the Department to make the following determinations, and the voluntary greenhouse gas program has published information on its website to allow the Department to verify the information included in the consistency application.

(i) CO2 offset allowances may be awarded for the destruction of that portion of methane generated by the anaerobic digester that would have been generated in the absence of the offset project through the uncontrolled anaerobic storage of manure, or organic food wastes.

(ii) Eligible offset projects shall employ only manure-based anaerobic digester systems using livestock manure as the majority of digester feedstock, defined as more than 50% of the mass input into the digester on an annual basis. Organic food wastes used by an anaerobic digester shall only be that which would have been stored in anaerobic conditions in the absence of the offset project.

(iii) The provisions of subsections 9(B)(3)(b) and (c) of this Chapter shall not apply to agricultural manure methane offset projects provided either of the following requirements are met:

(i) Owner and operator of the offset project;

(ii) Location and specifications of the facility where the offset project will occur;

(iii) Owner and operator of the facility where the offset project will occur;

(iv) Specifications of the equipment to be installed and a technical schematic of the offset project; and

(v) Location and specifications of the facilities from which anaerobic digester influent will be received, if different from the facility where the offset project will occur.

(i) Baseline CH4 emissions shall be calculated as follows:

Eb(tons) = (Vm x M)/2000 x GWP where:

Eb= Potential CO2e emissions due to calculated CH4 production under site-specific anaerobic storage and weather conditions(tons);

Vm = Volume of CH4 produced each month from decomposition of volatile solids in a baseline uncontrolled anaerobic storage scenario under site-specific storage and GWP(ft3); and M = Mass of CH4 per cubic foot (0.04246 lb/ft³ default value at one atmosphere and 20°C) GWP = Global warming potential of CH4 (28)

(ii) The estimated amount of volatile solids (kg) decomposed each month under the uncontrolled anaerobic storage baseline scenario shall be calculated as follows:

VSdec= VSavail * f

where:

VSdec = volatile solids decomposed monthly (kg)

VSavail = volatile solids available for decomposition in manure storage each month as determined from the equation:

VSavail = (Mp + 1/2 Min - Mout) x TS% x VS%

where:

Mp = manure or organic food waste storage present at the beginning of a month (left over from the previous month) (kg);

Min = manure or organic food waste added to storage during the course of the month (kg). This number is multiplied by a factor of 1/2 to represent the average mass of manure or organic food waste available for decomposition for the duration of the entire month; and

Mout = manure or organic food waste removed from storage for land application or export (assumed value based on standard farm practice)

TS% = concentration (percent) of total solids in manure as determined through EPA 160.3 testing method (U.S. EPA Method Number 160.3, Methods for the Chemical Analysis of Water and Wastes (MCAWW) (EPA/600/4-79/020)); and VS% = concentration (percent) of volatile solids in total solids as determined through EPA 160.4 testing method (U.S. EPA Method Number 160.4, Methods for the Chemical Analysis of Water and Wastes (MCAWW) (EPA/600/4-79/020))

and

f = van't Hoff-Arrhenius factor for the specific month as determined using the equation below if the reported temperature used to determine T2 below is above 5°C; if the reported temperature is below 5°C, then f = 0.104. Using a base temperature of 30°C, the equation is as follows:

f = exp[E * (T2 - T1)/(GC * T1 * T2)]

where:

f = conversion efficiency of VS to CH4 per month

E = activation energy constant (15,175 cal/mol)

T2 = average monthly ambient temperature for the facility where manure or organic waste is generated (converted from ° Celsius to° Kelvin) as determined from the nearest National Weather Service certified weather station;

T1 = 303.15 (30° C converted to ° K)

GC = ideal gas constant (1.987 cal/K mol)

(iii) The volume of CH4 produced (ft3) from degradation of volatile solids shall be calculated as follows:

Vm = (VSdecx Bo) x 35.3147

where:

Vm = volume of CH4 (ft3);

VSdeg = volatile solids decomposed (kg); and Bo = manure type-specific maximum methane (CH4) generation constant (m3) CH4/kg VS decomposed). For dairy cow manure, Bo = 0.24 m3 CH4/kg VS decomposed. The methane generation constant for other types of manure shall be those cited in U.S. EPA, Inventory of U.S. Greenhouse Gas Emissions and Sinks: 1990-2010, Annex 3 Table A180 (U.S. EPA, February, 2017), unless the project sponsor proposes an alternate methane generation constant and that alternate is approved by the Department. If the project sponsor proposes to use a methane generation constant other than the one found in the above-cited reference, the project sponsor must provide justification and documentation to the Department.

(i) Documentation of transport fuel use for all shipments of manure and organic food wastes from off-site to the anaerobic digester during each reporting year and a log of transport miles for each shipment. Off-site is defined as a location that is not contiguous with the property where the anaerobic digester is located. CO2 emissions shall be determined through the application of an emissions factor for the fuel type used. If this option is chosen, the following emission factors shall be applied as appropriate:

(ii) Documentation of total tons of manure transported from off-site for input into the anaerobic digester during each reporting year, as monitored pursuant to subsection 9(D)(3)(e)(i) of this Chapter, and a log of transport miles and fuel type used for each shipment. CO2 emissions shall be determined through the application of a ton-mile transport emission factor for the fuel type used. If this option is chosen, the following emission factors shall be applied as appropriate for each ton of manure delivered, and multiplied by the number of miles transported:

(i) If the offset project is a regional-type an aerobicdigester, manure and organic food waste from each distinct source supplying to the anaerobic digester shall be sampled monthly to determine the amount of volatile solids present. Any emissions reduction will be calculated according to mass of manure and organic food waste (kg) being digested and percentage of volatile solids present before digestion, consistent with the requirements of subsections 9(D)(3)(c) and 9(D)(3)(e) (iii) of this Chapter, and apportioned accordingly among sources. The project sponsor shall provide supporting material and receipts tracking the monthly receipt of manure and organic food waste (kg) used to supply the anaerobic digester from each supplier.

(ii) If the offset project includes the digestion of organic food wastes eligible pursuant to subsection 9(D)(3)(a) (ii) of this Chapter, organic food wastes shall be sampled monthly to determine the amount of volatile solids present before digestion, consistent with the requirements of subsections 9(D)(3)(c) and 9(D)(3)(e) (iii) of this Chapter, and apportioned accordingly.

(iii) The project sponsor shall submit a monitoring and verification plan as part of the consistency application that includes a quality assurance and quality control program associated with equipment used to determine biogas volumetric flow rate and CH4 composition. The monitoring and verification plan shall be specified in accordance with the applicable monitoring requirements listed in Table 1 below. The monitoring and verification plan shall also include provisions for ensuring that measuring and monitoring equipment is maintained, operated, and calibrated based on manufacturer's recommendations, as well as provisions for the retention of maintenance records for audit purposes. The monitoring and verification plan shall be certified by an independent verifier accredited pursuant to subsection 9(E) of this Chapter.

Table 1

Monitoring Requirements

(i) utilizing engineering principles;

(ii) quantifying greenhouse gas emissions;

(iii) developing and evaluating air emissions inventories:

(iv) auditing and accounting principles;

(v) knowledge of information management systems;

(vi) knowledge of the requirements of this section and other applicable requirements of this Chapter; and

(vii) such other qualifications as may be required by the Department to provide competent verification services as required for individual offset categories specified in subsection 9(D) of this Chapter.

(i) verifiers shall have no direct or indirect financial relationship, beyond a contract for provision of verification services, with any offset project developer or project sponsor;

(ii) verifiers shall employ staff with professional licenses, knowledge, and experience appropriate to the specific category(ies) of offset projects under subsection 9(D) of this Chapter for which they seek accreditation;

(iii) verifiers shall hold a minimum of one million U.S. dollars of professional liability insurance. If the insurance is in the name of a related entity, the verifier shall disclose the financial relationship between the verifier and the related entity, and provide documentation supporting the description of the relationship; and

(iv) verifiers shall demonstrate that they have implemented an adequate management protocol to identify potential conflicts of interest with regard to an offset project, offset project developer, or offset project sponsor, or any other party with a direct or indirect financial interest in an offset project that is seeking or has been granted approval of a consistency application pursuant to subsection 9(C)(5) of this Chapter, and remedy any such conflicts of interest prior to providing verification services.

(i) failure to fully disclose any issues that may lead to a conflict of interest situation with respect to an offset project, offset project developer, or offset project sponsor;

(ii) the verifier is no longer qualified due to changes in staffing or other criteria;

(iii) negligence or neglect of responsibilities pursuant to the requirements of this section; or

(iv) intentional misrepresentation of data or other intentional fraud.

(i) The adequacy and validity of information supplied by the project sponsor to determine CO2 emissions reductions or CO2 sequestration pursuant to the applicable requirements of subsection 9(D) of this Chapter.

(ii) The adequacy and consistency of methods used to quantify, monitor, and verify CO2 emissions reductions and CO2 sequestration in accordance with the applicable requirements of subsection 9(D) of this Chapter and as outlined in the consistency application approved pursuant to subsection 9(C)(5)(b) of this Chapter.

(iii) Such other evaluations and verification reviews as may be required by the Department.