5 Colo. Code Regs. § 1001-24-D-V

Current through Register Vol. 47, No. 24, December 25, 2024

Section 5 CCR 1001-24-D-V - ZEV Credit Bank and Reporting Requirements

V.A. ZEV Credit Bank through model year 2025

V.A.1 Beginning no later than model year 2023, each manufacturer of ZEVs and TZEVs may open an account in the ZEV Credit System for banking credits in Colorado.

V.A.2.Proportional Starting ZEV Credit Balance. A manufacturer may deposit into its account in the ZEV Credit Bank a number of credits equal to its starting 2023 model year California credit balance multiplied by the California credit ratio. The deposit may be made only after all credit obligations for model years 2022 and earlier have been satisfied in California. While manufacturers may trade or sell these credits to any other manufacturer, use of these credits is restricted through 2025 model year in accordance with Part D, Section V.C.

V.A.3. Each manufacturer must choose one of the following two options for the 2023 through 2025 model years. A manufacturer that chooses Option 2 must notify the Executive Officer no later than January 1, 2021, or must comply with Option 1.

V.A.3.a. Option 1: A manufacturer may meet no more than 36 percent of its combined 2023-2025 model year ZEV credit obligation using credits per Part D, Section V.B.

V.A.3.b. Option 2:

V.A.3.b.1. A manufacturer may meet no more than 23 percent of its combined 2023-2025 model year ZEV credit obligation using credits per Part D, Section V.B.

V.A.3.b.2.Early ZEV Credits. A manufacturer may earn credits for 2021 and 2022 model year TZEVs and ZEVs, including BEVxs, produced and delivered for sale in Colorado.

V.B. ZEV Credit Bank for 2027 through 2032 model year

V.B.1.Calculating ZEV Requirement Performance for the Model Year. Each manufacturer shall calculate its ZEV requirement performance at the end of each model year in accordance with California Code of Regulations Title 13 Section 1962.4(f).

V.B.2Limitations on fulfilling a ZEV requirement shortfall. A manufacturer who has a shortfall in a given model year, calculated according to CCR Title 13 Section 1962.4(f)(2), may use any combination of excess ZEV, PHEV, or environmental justice vehicle values, early compliance vehicle values, converted ZEV and PHEV values, pooled ZEV and PHEV values, or proportional FCEV values, to fulfill its shortfall, within the following limitations on usage per California Code of Regulations Title 13 Section 1962.4(g)(1).

V.B.3.Calculating Converted ZEV and PHEV Values and Allowance. At the conclusion of model year 2025, a manufacturer's PHEV and ZEV credit account balances, earned according to California Code of Regulations, Title 13, section 1962.2, will undergo a one-time conversion according to the equations in California Code of Regulations Title 13 Section 1962.4(g)(2). The Converted ZEV and PHEV Values shall be used in accordance to California Code of Regulations Title 13 1962.4(g)(2).

V.B.4.Pooled ZEV and PHEV Values. Manufacturers may transfer excess 2027 through 2030 model year ZEV and PHEV values earned in Colorado, California or a Section 177 ZEV state to satisfy shortfalls or deficits in 2027 through 2030 model years earned in Colorado, California or a Section 177 ZEV state. A manufacturer may not transfer more excess ZEV or PHEV values than are necessary to fulfill a shortfall within a given year or a deficit carried forward from a previous model year.

V.B.5. Calculation of Proportional FCEV Allowance and Earning of Proportional FCEV Values shall be earned and used according to California Code of Regulations Title 13 Section 1962.4(g)(4),

V.B.6 Excess vehicle values may be banked and carried over for use in future model years according to California Code of Regulations Title 13 Section 1962.4(f)(3),

V.B.7. A manufacturer may only trade excess ZEV, excess PHEV, excess environmental justice, early compliance, or converted ZEV and PHEV vehicle values and only if the conditions in California Code of Regulations Title 13 Section 1962.4(f)(4) are met,

V.C.ZEV Reporting Requirements.

V.C.1. In order to verify the status of each manufacturer's compliance with the ZEV requirements through 2025 model year, each manufacturer shall submit a report to the Executive Officer at least annually, by August 31 of the calendar year following the close of the model year, that identifies the necessary delivery and placement data of all vehicles generating ZEV credits or allowances, and all transfers and acquisitions of ZEV credits pursuant to California Code of Regulations, Title 13, Section 1962.2.

V.C.2. In order to verify the status of each manufacturer's compliance with the ZEV requirements for 2027 through 2032 model year, each manufacturer shall submit a report to the Executive Officer at least annually, prior to May 1 of the calendar year following the close of the model year, that identifies the necessary delivery and placement data of all vehicles generating ZEV vehicle values or deficits, and all transfers and acquisitions of ZEV values pursuant to California Code of Regulations, Title 13, Section 1962.4.

V.C.3 Projected Sales of ZEVs and PHEVs for Future Model Years. Each manufacturer subject to the Annual ZEV Requirements of the California Code of Regulations, Title 13, Section 1962.4(c) shall submit a projected ZEV and PHEV sales report by April 1 of each calendar year beginning with the 2027 calendar year. The report shall include the manufacturer's projected number of ZEVs and PHEVs to be produced and delivered for sale in Colorado for the next model year not yet currently being produced and delivered for sale in Colorado, plus each of the subsequent four model years pursuant to California Code of Regulations, Title 13, Section 1962.4(j).

V.D. The report to the Executive Officer by each manufacturer shall be in the same format as the report submitted to CARB.

5 CCR 1001-24-D-V

46 CR 10, May 25, 2023, effective 6/14/2023

46 CR 21, November 10, 2023, effective 12/15/2023