42 U.S.C. § 7671f — Exchange authority

Page 7456 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 7671e istrator shall also promulgate regulations to in- sure that the consumption of class II substances in the United States is phased out and termi- nated in accordance with the same schedule (subject to the same exceptions and other provi- sions) as is applicable to the phase-out and ter- mination of production of class II substances under this subchapter. (d) Exceptions (1) Medical devices (A) In general Notwithstanding the termination of pro- duction required under subsection (b)(2) and the restriction on use referred to in sub- section (a), the Administrator, after notice and opportunity for public comment, shall, to the extent such action is consistent with the Montreal Protocol, authorize the pro- duction and use of limited quantities of class II substances solely for purposes of use in medical devices if such authorization is de- termined by the Commissioner, in consulta- tion with the Administrator, to be necessary for use in medical devices. (B) Cap on exception Under no circumstances may the authority set forth in subparagraph (A) be applied to authorize any person to produce a class II substance in annual quantities greater than 10 percent of that produced by such person during the baseline year. (2) Developing countries (A) In general Notwithstanding the provisions of sub- section (a) or (b), the Administrator, after notice and opportunity for public comment, may authorize the production of limited quantities of a class II substance in excess of the quantities otherwise permitted under such provisions solely for export to and use in developing countries that are Parties to the Montreal Protocol, as determined by the Administrator. Any production authorized under this subsection shall be solely for pur- poses of satisfying the basic domestic needs of such countries. (B) Cap on exception (i) Under no circumstances may the au- thority set forth in subparagraph (A) be ap- plied to authorize any person to produce a class II substance in any year following the effective date of subsection (b)(1) and before the year 2030 in annual quantities greater than 110 percent of the quantity of such sub- stance produced by such person during the baseline year. (ii) Under no circumstances may the au- thority set forth in subparagraph (A) be ap- plied to authorize any person to produce a class II substance in the year 2030, or any year thereafter, in an annual quantity great- er than 15 percent of the quantity of such substance produced by such person during the baseline year. (iii) Each exception authorized under this paragraph shall terminate no later than Jan- uary 1, 2040. (July 14, 1955, ch. 360, title VI, § 605, as added Pub. L. 101–549, title VI, § 602(a), Nov. 15, 1990, 104 Stat. 2658; amended Pub. L. 112–81, div. A, title III, § 320, Dec. 31, 2011, 125 Stat. 1361.) Editorial Notes AMENDMENTS 2011—Subsec. (a)(4). Pub. L. 112–81 added par. (4). § 7671e. Accelerated schedule (a) In general The Administrator shall promulgate regula- tions, after notice and opportunity for public comment, which establish a schedule for phasing out the production and consumption of class I and class II substances (or use of class II sub- stances) that is more stringent than set forth in section 7671c or 7671d of this title, or both, if— (1) based on an assessment of credible cur- rent scientific information (including any as- sessment under the Montreal Protocol) regard- ing harmful effects on the stratospheric ozone layer associated with a class I or class II sub- stance, the Administrator determines that such more stringent schedule may be nec- essary to protect human health and the envi- ronment against such effects, (2) based on the availability of substitutes for listed substances, the Administrator deter- mines that such more stringent schedule is practicable, taking into account technological achievability, safety, and other relevant fac- tors, or (3) the Montreal Protocol is modified to in- clude a schedule to control or reduce produc- tion, consumption, or use of any substance more rapidly than the applicable schedule under this subchapter. In making any determination under paragraphs (1) and (2), the Administrator shall consider the status of the period remaining under the appli- cable schedule under this subchapter. (b) Petition Any person may petition the Administrator to promulgate regulations under this section. The Administrator shall grant or deny the petition within 180 days after receipt of any such peti- tion. If the Administrator denies the petition, the Administrator shall publish an explanation of why the petition was denied. If the Adminis- trator grants such petition, such final regula- tions shall be promulgated within 1 year. Any petition under this subsection shall include a showing by the petitioner that there are data adequate to support the petition. If the Admin- istrator determines that information is not suf- ficient to make a determination under this sub- section, the Administrator shall use any author- ity available to the Administrator, under any law administered by the Administrator, to ac- quire such information. (July 14, 1955, ch. 360, title VI, § 606, as added Pub. L. 101–549, title VI, § 602(a), Nov. 15, 1990, 104 Stat. 2660.) § 7671f. Exchange authority (a) Transfers The Administrator shall, within 10 months after November 15, 1990, promulgate rules under Page 7457 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 7671g this subchapter providing for the issuance of al- lowances for the production of class I and II sub- stances in accordance with the requirements of this subchapter and governing the transfer of such allowances. Such rules shall insure that the transactions under the authority of this sec- tion will result in greater total reductions in the production in each year of class I and class II substances than would occur in that year in the absence of such transactions. (b) Interpollutant transfers (1) The rules under this section shall permit a production allowance for a substance for any year to be transferred for a production allow- ance for another substance for the same year on an ozone depletion weighted basis. (2) Allowances for substances in each group of class I substances (as listed pursuant to section 7671a of this title) may only be transferred for allowances for other substances in the same Group. (3) The Administrator shall, as appropriate, establish groups of class II substances for trad- ing purposes and assign class II substances to such groups. In the case of class II substances, allowances may only be transferred for allow- ances for other class II substances that are in the same Group. (c) Trades with other persons The rules under this section shall permit 2 or more persons to transfer production allowances (including interpollutant transfers which meet the requirements of subsections (a) and (b)) if the transferor of such allowances will be sub- ject, under such rules, to an enforceable and quantifiable reduction in annual production which— (1) exceeds the reduction otherwise applica- ble to the transferor under this subchapter, (2) exceeds the production allowances trans- ferred to the transferee, and (3) would not have occurred in the absence of such transaction. (d) Consumption The rules under this section shall also provide for the issuance of consumption allowances in accordance with the requirements of this sub- chapter and for the trading of such allowances in the same manner as is applicable under this section to the trading of production allowances under this section. (July 14, 1955, ch. 360, title VI, § 607, as added Pub. L. 101–549, title VI, § 602(a), Nov. 15, 1990, 104 Stat. 2660.) § 7671g. National recycling and emission reduc- tion program (a) In general (1) The Administrator shall, by not later than January 1, 1992, promulgate regulations estab- lishing standards and requirements regarding the use and disposal of class I substances during the service, repair, or disposal of appliances and industrial process refrigeration. Such standards and requirements shall become effective not later than July 1, 1992. (2) The Administrator shall, within 4 years after November 15, 1990, promulgate regulations establishing standards and requirements regard- ing use and disposal of class I and II substances not covered by paragraph (1), including the use and disposal of class II substances during serv- ice, repair, or disposal of appliances and indus- trial process refrigeration. Such standards and requirements shall become effective not later than 12 months after promulgation of the regu- lations. (3) The regulations under this subsection shall include requirements that— (A) reduce the use and emission of such sub- stances to the lowest achievable level, and (B) maximize the recapture and recycling of such substances. Such regulations may include requirements to use alternative substances (including substances which are not class I or class II substances) or to minimize use of class I or class II substances, or to promote the use of safe alternatives pursuant to section 7671k of this title or any combination of the foregoing. (b) Safe disposal The regulations under subsection (a) shall es- tablish standards and requirements for the safe disposal of class I and II substances. Such regu- lations shall include each of the following— (1) Requirements that class I or class II sub- stances contained in bulk in appliances, ma- chines or other goods shall be removed from each such appliance, machine or other good prior to the disposal of such items or their de- livery for recycling. (2) Requirements that any appliance, ma- chine or other good containing a class I or class II substance in bulk shall not be manu- factured, sold, or distributed in interstate commerce or offered for sale or distribution in interstate commerce unless it is equipped with a servicing aperture or an equally effective de- sign feature which will facilitate the recapture of such substance during service and repair or disposal of such item. (3) Requirements that any product in which a class I or class II substance is incorporated so as to constitute an inherent element of such product shall be disposed of in a manner that reduces, to the maximum extent prac- ticable, the release of such substance into the environment. If the Administrator determines that the application of this paragraph to any product would result in producing only insig- nificant environmental benefits, the Adminis- trator shall include in such regulations an ex- ception for such product. (c) Prohibitions (1) Effective July 1, 1992, it shall be unlawful for any person, in the course of maintaining, servicing, repairing, or disposing of an appliance or industrial process refrigeration, to knowingly vent or otherwise knowingly release or dispose of any class I or class II substance used as a re- frigerant in such appliance (or industrial process refrigeration) in a manner which permits such substance to enter the environment. De minimis releases associated with good faith attempts to recapture and recycle or safely dispose of any such substance shall not be subject to the prohi- bition set forth in the preceding sentence.