Arizona's Maricopa County has first-in-nation emissions rule approved by EPA

A new rule approved by the U.S. Environmental Protection Agency could help get high-polluting vehicles off the road and replaced with cleaner alternatives in Arizona's Maricopa County.

That’s because the EPA greenlit the municipality's Rule 205, a first-in-the-nation program allowing fleet owners and operators in the state's most populous county to generate Emission Reduction Credits by upgrading their vehicles with cleaner technologies.

Those credits can, in turn, be purchased by factory owners or others that are considered “stationary emissions sources” to offset any potential emission increases that come from expanded operations.

The newest rule is the brainchild of the Phoenix-based Maricopa County Air Quality Department, which reports to the county’s Board of Supervisors.

Board Chair Kate Brophy McGee told The Center Square on Thursday that the county’s newest emissions rule will allow business to expand in the region, without harming air quality.

She also noted no taxpayer dollars would be spent as part of the implementation of Rule 205, as was the case with Rule 204, a similar policy that concerned non-road vehicles such as locomotives and construction equipment.

“Maricopa County has an incredible air quality division, and they are they're basically Department of Super Nerds,” Brophy McGee told The Center Square. "And we have been working on this as a county because we've been hovering on the edge of non-attainment for a long time, and a large part of it, I will tell you, is due to factors outside our control.”

What Rule 205 entails

When Brophy McGee talks of the county’s nonattainment status, she’s referencing stipulations put in place on municipalities by the Clean Air and Water Act.

Those regulations state areas that fail to meet certain air quality metrics must go through extra steps to approve permits for higher-emission projects, such as factories and data centers.

Maricopa County is ranked as a moderate nonattainment zone for ground-level ozone, which Brophy McGee attributes to Phoenix’s place at the bottom of the greater Salt River Valley.

“We’re in a bowl,” Brophy McGee said. “The particulates and things settle in the bowl, and then the sun comes along and heats it up. And that creates the ozone.

“But what (Rule 205) does is say, ‘Hey, the stuff that we're actually doing, the pollution that we're actually generating, let's cut back on that. And here's an incentive to do that’,” she added.

What it means for Arizona

Mike Marucci, the EPA Pacific Southwest regional administrator, told The Center Square that the county’s newest air pollution rule has the potential to pay huge dividends for the quality of life for residents.

Marucci said anyone looking for a permit for a certain number of emissions per year would have to purchase that amount plus 15% more from those fleet operators. He said that would provide the operators with the money needed to overhaul their fleets and introduce more efficient vehicles that cut down on emissions in the long run.

He said credits are paid out to fleet operators depending on how much of an emissions upgrade they make. Those who exchange older diesel-powered trucks with newer versions are considered to be on one level for credits. But bus operators that go from diesel to compressed natural gas or electric-powered vehicles can reap greater benefits.

“At its core is a science-backed approach to make sure that we're maintaining that 115%,” Marucci told The Center Square.

Opening new opportunities

Brophy McGee said Rule 205 has the potential to open new doors for manufacturers that are butting up against environmental emissions regulations, fueling the county’s economic aspirations, both in the short and long term.

“We have businesses who want to come here and build,” Brophy McGee said. “A high-profile example would be the Taiwan Semiconductor Co., and in order to do that, they need air quality credits.”

The Arizona native cited the example of a beat-up tractor trailer that you’d see chugging along the interstate as a reason why Rule 205 is important. The rule is designed to incentivize fleet operators to get those trucks off the road and replaced by ones that operate more efficiently.

“They need [air quality credits], and we need to continue to meet the federal standards for clean air,” she said. “And so, businesses are incentivized to clean [their fleets] up and to get newer technologies to replace those old, on-road motor vehicles.”

Danny Seiden, president and CEO of the Arizona Chamber of Commerce and Industry, seconded Brophy McGee’s comments.

Seiden commended the EPA for finding a solution to the region’s environmental problems that doesn’t kneecap business development along the way, providing positive results for all involved.

“This is a big win for Arizona’s economy and another important step toward addressing the air quality challenges that have made it increasingly difficult for businesses to build and expand in Maricopa County,” Seiden told The Center Square. “For too long, the shortage of available emission reduction credits has been a major obstacle to new investment, even for companies committed to meeting stringent environmental standards.

“Rule 205 offers a practical, market-driven solution that helps remove that barrier while encouraging cleaner air,” he said.