Subject of Possible Rule Making: This rule making proposes to adopt an emissions performance standard (EPS) for greenhouse gases (GHGs) for baseload electric generation under the energy facility site evaluation council (EFSEC) jurisdiction for which electric utilities enter into long-term financial commitments on or after July 1, 2008. This rule making will add a new chapter to TITLE 463 WAC.

     Statutes Authorizing the Agency to Adopt Rules on this Subject: ESSB 6001, Climate change -- Mitigating impacts, adopted 2007 legislative session.

     Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: Emissions of CO₂ and other GHGs are a major contributor to global warming and climate change. The proposed rules to implement an EPS for baseload power plants in ESSB 6001 will begin to address the impacts of climate change in Washington. Reducing GHG emissions from power plants supports the goals of Executive Order 7-02 [07-02] to reduce GHG emissions within Washington over the next several decades. These goals were also adopted within ESSB 6001.

     ESSB 6001 sets a deadline of June 30, 2008, to adopt a GHG EPS by rule for all baseload electric generation for which electric utilities enter into long-term financial commitments on or after July 1, 2008. At a minimum, this rule must:

•	Implement and enforce the EPS,

•	Establish criteria for evaluating carbon sequestration plans, and

•	Establish an output-based methodology for calculating emissions of GHGs for a cogeneration facility.

     Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: The EFSEC and the department of ecology's air quality and water quality programs will work closely together throughout the process to coordinate the development and adoption of rules by both agencies.

     Process for Developing New Rule: The proposed rule will be drafted and reviewed by a stakeholder group and internally by staff. The public will have the opportunity to comment on the proposed rule. At least one public hearing will be held and the proposed rule will be posted on the agency web site and provided to interested parties.

     Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Allen Fiksdal, EFSEC, P.O. Box 4317200, Olympia, WA 98504-3172, phone (360) 956-2151, fax (360) 956-2158, allenf@cted.wa.gov; or by accessing the EFSEC web site at http://efsec.wa.gov/.

July 20, 2007

Allen J. Fiksdal

Manager

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