Current through Register Vol. 56, No. 24, December 18, 2024
(a) The project sponsor shall establish a
general account under N.J.A.C. 7:27C-6.2(b).
(b) All submissions to the Department
required for the award of CO[2] offset allowances under this subchapter shall
be from the CO[2] authorized account representative for the general account of
the relevant project sponsor.
(c) A
consistency application for an offset project shall be submitted, in a format
prescribed by the Department, and consistent with the requirements of this
section, by the following deadlines:
1. For a
forest offset project, by the date that is one year after the offset project is
commenced, except as described in N.J.A.C. 7:27C-10.6(o); and
2. For an offset project other than a forest
offset project, by the date that is six months after the offset project is
commenced.
(d) The
Department will deny any consistency application that fails to meet the
deadlines of (c) above.
(e) A
consistency application for an offset project shall include:
1. The project sponsor's name, address,
e-mail address, telephone number, facsimile transmission number, and account
number;
2. The offset project
description, as required by the relevant provisions of N.J.A.C. 7:27C-10.5,
10.6, and 10.7;
3. A demonstration
that the offset project meets all applicable requirements of this subchapter
or, in the case of an offset project located in a state or United States
jurisdiction that is not a participating state, a demonstration that the offset
project meets all applicable requirements of the cooperating regulatory agency
in the state or United States jurisdiction where the offset project is
located;
4. The emissions baseline
determination as required by the relevant provisions of N.J.A.C. 7:27C-10.5,
10.6, and 10.7;
5. An explanation
of how the projected reduction or avoidance of atmospheric loading of CO[2] or
CO[2] equivalent or the sequestration of carbon is to be quantified, monitored,
and verified as required by the relevant provisions of N.J.A.C. 7:27C-10.5,
10.6, and 10.7;
6. A completed
consistency application agreement signed by the project sponsor that reads as
follows: "I, the undersigned project sponsor (name) recognize and accept that
the application for, and the receipt of, CO[2] offset allowances under the
CO[2] Budget Trading Program is predicated on the project sponsor following all
the requirements of N.J.A.C. 7:27C-10. I, the undersigned project sponsor,
hereby certify that I hold the legal rights to the offset project or have 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 CO[2] offset
allowances under N.J.A.C. 7:27C-10is contingent on meeting the requirements of
N.J.A.C. 7:27C-10. I authorize the Department 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 includes the right to enter the physical
location of the offset project. With regard to any legal dispute under this
subchapter, I submit to the jurisdiction of the State of New Jersey and all
such disputes will be subject to applicable New Jersey law.";
7. A statement and certification report
signed by the project sponsor certifying that all offset projects for which the
sponsor has received COoffset allowances under this subchapter (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 that
controls, is controlled by, or has common control with the sponsor) are in
compliance with all applicable requirements of the CO[2] Budget Trading Program
in all participating states;
8. A
verification report and certification signed by an accredited independent
verifier indicating that he or she has reviewed the entire application and
evaluated the following in relation to the applicable requirements of this
subchapter and any applicable guidance issued by the Department:
i. The adequacy and validity of information
supplied by the project sponsor to demonstrate that the offset project meets
the applicable requirements of N.J.A.C. 7:27C-10.3, 10.5, 10.6, and
10.7;
ii. The adequacy and validity
of information supplied by the project sponsor to demonstrate baseline
emissions pursuant to the applicable requirements at N.J.A.C. 7:27C-10.5, 10.6,
and 10.7;
iii. The adequacy of the
monitoring and verification plan submitted pursuant to the applicable
requirements at N.J.A.C. 7:27C-10.5, 10.6, and 10.7; and
iv. Such other evaluations and statements as
the Department may require in order to fully review whether the offset project
meets the applicable requirements of N.J.A.C. 7:27C-10; and
9. Disclosure of any voluntary or
mandatory programs, other than the COBudget Trading Program, pursuant to which
greenhouse gas emissions data related to the offset project has been or will be
reported.
(f) The
Department will not accept as submitted, a consistency application for an
offset project if a consistency application has already been submitted for the
same project, or any portion of the same project, in another participating
state, unless the consistency application was rejected by the participating
state solely because more of the CO[2] equivalent emissions reduction or carbon
sequestration resulting from the offset project is projected to occur in New
Jersey than in any other participating state.
(g) Within 30 days following the receipt of
the consistency application, the Department will notify the project sponsor
whether the consistency application is complete. A complete consistency
application is one that is in a form prescribed by the Department and is
determined by the Department to contain all applicable information and
documentation required by this subchapter. In NO[x] event will a completeness
determination prevent the Department from requesting additional information in
order to enable the Department to make a consistency determination under (h)
below.
(h) Within 90 days of making
the completeness determination under (g) above, the Department will issue a
determination as to whether the offset project is consistent with the
requirements of N.J.A.C. 7:27C-10.3 and this section and the requirements of
the applicable offset project standards of N.J.A.C. 7:27C-10.5, 10.6, and 10.7.
For any offset project found to be consistent with these requirements, the
Department will issue a consistency determination to the project sponsor. For
any offset project found to lack consistency with these requirements, the
Department will inform the project sponsor of the offset project's
deficiencies.
