Fiscal Year 2025 CPI Adjustments to Air Emission and Permit Fees


The New Jersey Department of Environmental Protection (Department) is providing advance notification to affected facilities regarding the upcoming changes to the major facility annual emission fees, fee schedules for air permit applications, and the reconstruction threshold amount for fiscal year (FY) 2025. The Department is publishing a notice of these changes in the November 4, 2024 New Jersey Register. For details, please refer to Air Program’s Program Update page at https://njdepwptest.net/boss/program-updates/.

 

CPI Percentage Increase for Annual Emission Fee

An annual emission fee must be paid by each major facility subject to N.J.A.C. 7:27-22. The annual emission fee is calculated each year according to N.J.A.C. 7:27-22.31(b), which applies the CPI adjustment to the base amount per ton of emissions. Applying the CPI adjustment since 1989 to the base amount of $60.00 per ton results in an annual emission fee for FY 2025 of $152.74. Therefore, a facility subject to this fee must multiply 152.74 times the quantity of regulated air contaminant emissions emitted in tons during calendar year 2023. The result is the fee the facility must submit to the Department by January 31, 2025. Invoices will be mailed to major facilities based on emissions reported in the Emission Statement submitted for calendar year 2023. Even if a major facility has not submitted an Emission Statement or received an invoice, it is obligated to pay emission fees by the due date.

 

CPI Adjusted Fees for Preconstruction Permits and Certificates, Operating Permit Significant Modifications, General Permits, and General Operating Permits

The Department charges base and applicable supplementary fees for preconstruction permits, and a registration fee for general permits, as set forth in N.J.A.C. 7:27-8.6(l). Similarly, the Department charges base and applicable supplementary fees for significant modifications to an operating permit, as set forth in N.J.A.C. 7:27-22.31(y) and (z), and a general operating permit fee as set forth in N.J.A.C. 7:27-22.31(aa). The fees are calculated every five-years according to N.J.A.C. 7:27-8.6(l) and N.J.A.C. 7:27-22.31(u), which apply an inflation factor based on the percent change over the preceding five-year period for the CPI-U. Following the procedures at N.J.A.C. 7:27-8.6(l) and N.J.A.C. 7:27-22.31(u), the CPI percentage increase is calculated as 22.7%. The new fees will be effective for the next five-year period, January 1, 2025 through December 31, 2029.

 

CPI Percentage Increase for Threshold Dollar Amount for Reconstruction

The CPI percentage increase for reconstruction of a significant source operation is calculated each year consistent with N.J.A.C. 7:27-8.23(a)2. Applying the CPI adjustment of 105.83%, relative to the 1995 CPI, to the base amount of $80,000 results in the threshold dollar amount of $164,664 for FY 2025, effective November 4, 2024, a facility must use this dollar amount when calculating reconstruction thresholds relative to fixed capital cost.