New York Codes, Rules and Regulations
Title 21 - Miscellaneous
Chapter XI - New York State Energy Research And Development Authority
Part 507 - Co Allowance Auction Program
Section 507.6 - Commencement, Frequency and Quantity of CO2 Allowance Auctions
Current through Register Vol. 46, No. 12, March 20, 2024
(a) Commencement: Upon notification from the Department that it has allocated CO2 Allowances into the Account, the Authority shall participate in or conduct CO2 Allowance Auctions to sell such allowances pursuant to this Part.
(b) Frequency: CO2 Allowance Auctions will be held quarterly, or as often as practical and necessary to effectuate the objectives of the CO2 Budget Trading Program, in consultation with the Committee.
(c) Calendar: The Authority or its designee shall maintain a calendar of anticipated auction dates on the CO2 Allowance Auction Website. The calendar shall indicate the auction format and the number of allowances and allocation years of allowances to be auctioned at each auction. The Authority may periodically revise the calendar, provided that the information relevant to the next scheduled CO2 Allowance Auction shall be fixed no later than 45 calendar days prior to such auction. The calendar shall include the dates of at least the next four (4) CO2 Allowance Auctions and may also include the anticipated number of allowances to be auctioned at each Auction. The Authority may periodically modify the anticipated dates of Auctions listed on such calendar.
(d) Quantity: Prior to the end of each Control Period, CO2 Allowances in a quantity equal to the number of CO2 Allowances allocated to the Account for such Control Period will be made available for sale. CO2 Allowances will be made available for sale by allocation year. Specific quantities of CO2 Allowances that will be offered for sale will be included in each Notice of CO2 Allowance Auction.
(e) Lot Sizes: The Authority shall make CO2 Allowances available for sale in lot sizes of 1,000 allowances, except where available supply requires a smaller lot size.
(f) Reserve Price: In administering Auctions, the Authority or its agent shall employ the use of a Reserve Price in a manner and form as provided for in Part 242. The Authority shall publish or announce such reserve price prior to each CO2 Allowance Auction.
(g) CO2 Cost Containment Reserve (CCR): The Authority or its agent shall administer the rules for the sale of CO2 CCR allowances at Part 242-5.3(b).
(h) CO2 Emissions Containment Reserve (ECR): The Authority or its agent shall withdraw allowances from auctions in accordance with part 242-5.3(c).
(i) Unsold Allowances: Unsold CO2 Allowances may be retired or made available for sale in a form and manner provided under 6 NYCRR Part 242.
