nationwide permit status - 2012 - mcwrsmcwrs.org/conferences/2017/umble_nitrogentrading_ppt.pdf ·...
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Nationwide Permit Status - 2012
~14,500 municipal
Will change significantly in next few years!
Art K. Umble PhD, PE, BCEEGlobal Wastewater Practice Leader
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States with Active Trading Programs
2
Statewide in place
Statewide in development
Watershed-specific
No program in place
Point - Point
Point – Nonpoint
Nonpoint – Nonpoint
Source: USEPA 2014
WI
MO
~80% of all tradeshave been in theLong Island Sound
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Watersheds with Active Trading Credit Programs Funded by USEPA
3
Source: USEPA 2014
Currently 49trading programsin US active, and/ordeveloping
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Facility Size Matters
Wisconsin DNR, 2015
Wisconsin
Small plants needWQT opportunities
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Most Viable Trade Situations
• Best Trading Opportunities• Smaller facilities have the largest
demand for credits
• Substantial upstream agricultural watershed
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• WQ Modeling: major source of uncertainty in TMDL process• Affects trade outcomes
• No evidence that outcome of trades between WWTPs significantly increase uncertainty in attainment of environmental objectives, as compared with command and control regulation (e.g., NPDES permits)
6
What About the Uncertainty?
Kardos, Josef S. and Christopher C. Obropta, 2011. Water Quality Model Uncertainty Analysis of a Point-PointSource Phosphorus Trading Program. Journal of the American Water Resources Association (JAWRA) 47(6):1317–1337
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7
What About the Uncertainty?
Kardos, Josef S. and Christopher C. Obropta, 2011. Water Quality Model Uncertainty Analysis of a Point-PointSource Phosphorus Trading Program. Journal of the American Water Resources Association (JAWRA) 47(6):1317–1337
Baseline Scenario =no trading
Modeling of non-tidalPassaic River Valleyresulted in parity fromimprovements, with nohot spots for worst casescenario
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Other State Programs
• Maryland• Phase I: Point-to-Point – 2008• Phase II: Point-to-Nonpoint - 2008• Pilot trading – 2009• Web-based trading tool – 2009
• Missouri• Watershed Permitting Initiative
promoted in 2011• WQT proposed as tool• South Fork River Basin: Point-to-
Nonpoint• Spring River Basin: Point-to-Nonpoint
• Pennsylvania• Initial the Watershed Implementation
Plan (WIP) program – 2005• One of the first in country to include
nonpoint source loads from agriculture
• One of the first to issue RFPs to agriculturalists for conservation measures
• EPA objected to DEP’s NPDES permits in 2014 due to arguments over agricultural load allocations for the Chesapeake Bay TMDL
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Wabash River Basin Case Study:Water Quality Trading Program
• Establish the Unit Costs for Reduction Credits
9
TP Annual Cost Cost/lbs TP
Fermenter with Alum & Filters 0.1 mg/L 504,632$ 8.50$
Mult Point Alum & Filters 0.1 mg/L 653,054$ 11.00$
EBPR + Multi Point Alum & Filters 0.1 mg/L 1,721,904$ 29.01$
Upgraded Process
TN Annual Cost Cost/lbs TN
MLE Retrofit 3 mg/L 554,106$ 1.65$
Step Feed Retrofit 3 mg/L 554,106$ 1.65$
Denitrification Filters 3 mg/L 1,048,844$ 3.13$
Upgraded Process
*Costs projected for 5 MGD
Pollution ReductionCredit Market Value
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Wabash River Basin Case Study:Water Quality Trading ProgramDetermine Reduction Potential of Conservation Practices
• Sets the CREDIT SUPPLY from producers
• Best Management Practices most commonly applied
10
Photo credits: Ohio NRCS;Dan Brisebios (2012)
No-till Farming
Grass Filter StripsCover Crop Farming
TN & TP Removal efficiencies range from 10% - 25%
Typical Loads from row agriculture:TN ~ 30 lbs/ac; TP ~ 3 lbs/ac
Basis for negotiation ofexchange agreement