Clean Water Advocacy - Newsroom - AMSA in the News
EPA's proposed water pollution trading program eyed
WATER POLLUTION
Daily
06/10/2002
The House Transportation and Infrastructure water resources subcommittee will
hold a hearing on Thursday to look into the Environmental Protection Agency's
new proposal for a water pollution credit trading policy, which is currently
being tried through several pilot programs around the country.
The policy proposal, released May 15, aims to reduce the cost of water quality
regulations by allowing companies, municipal agencies and other entities to
trade water pollution credits within local watersheds. "This policy will lead to
greater efficiency and better results, while being responsive, as we meet our
clean water goals," EPA Administrator Christie Whitman said when the policy was
released. The proposal is currently undergoing a 45-day public comment period
and is expected to be released in its final form this summer.
In order to create the pollution reduction credits that would then be traded to
other entities, a pollution source must first reduce pollution loads beyond the
level created by the most stringent technology requirements, according to EPA's
office of water. For instance, the policy could help farmers to implement EPA's
new Total Maximum Daily Load rule, which targets non-point source pollution. A
farmer could create pollution credits by changing cropping practices or planting
trees near a stream. The credits could then be sold to another landowner in the
same watershed.
"Our Water Quality Trading Policy keeps existing controls and safeguards in
place, but offers greater flexibility and incentives to states, tribes and
companies to comply with the Clean Water Act," Whitman said. "Trading provides
incentives for voluntary reductions from all sources to improve and maintain the
quality of the nation's waters."
The proposed policy would allow trading to maintain water quality in unimpaired
waters, trading in impaired waters prior to the development of TMDL requirements
and trading to meet TMDL requirements. Although the policy focuses on nutrients
and sediment, the policy addresses the potential to trade pollution reduction
credits for other pollutants.
Steve Via of the American Waterworks Association said that in a "holistic
watershed context" the idea makes sense, but certain aspects could be difficult
to implement without seeing a degradation of water quality.
Greg Schaner, director of government affairs with the Association of
Metropolitan Sewerage Agencies, said he felt the policy proposal was "balanced,
had some positive provisions, and could provide some cost savings to the
watersheds that would be affected."
"Our big issue with the policy is that we want to make sure the TMDL process is
still able to generate fair and equitable allocations between the different
sources as far as how much impact they're having," he said. "In watersheds that
are impaired, you should still go through the process to find out what is coming
from where, so that you can trade based on that.
"Another thing we care about is that if you are an entity in a watershed that
trades a credit, the liability for the amount of pollution you're trading away
should be shifted," he said. "In other words, you're not held responsible in
your permit for the amount you've traded in terms of monitoring and reporting --
all the other responsibilities that go along with the permit."
Schedule: The hearing is scheduled for 10 a.m., Thursday, June 13, in 2167
Rayburn.
Witnesses: Although a witness list had not been finalized by press time,
representatives from the Environmental Protection Agency, Agriculture
Department, Connecticut Department of Environmental Protection, Montgomery
(Ala.) Water Works and Sanitary Sewer Board, Wildlife Habitat Council and Center
for Progressive Regulation are expected to testify.
-- Damon Franz