(1) As used in this section: (a) "Alternative permit" means an amendment to a transition permit that allows for multiple operating scenarios, including: (i) the operating scenario set forth in the transition permit; and (ii) at least one alternative operating scenario that allows: (A) the operation of the new electrical generation facility at full capacity as contemplated by the transition permit; and (B) continued operation of one or more existing generating units at or below the capacity factor and in compliance with the other conditions specified in the application for the amendment to the transition permit. (b) "Division" means the Division of Air Quality created in Section 19-1-105. (c) "Existing generating unit" means an electric generating unit that is part of an existing electrical generation facility owned at any time by a project entity. (d) "New electrical generation facility" means an electrical generation facility powered by natural gas, hydrogen, or any combination of natural gas and hydrogen. (e) "Pre-existing permit" means the air quality permit held by the operator of an existing electrical generation facility prior to any amendments associated with transitioning to a new facility. (f) "Project entity" means the same as that term is defined in Section 11-13-103. (g) "Transition permit" means an amendment to the pre-existing permit, issued to the operator of an existing electrical generation facility for the purpose of transitioning to a new electrical generation facility, which authorizes construction of the new electrical generation facility but does not require closure of all existing generating units until after the new electrical generation facility commences operation. (2) The division shall accept an application for an alternative permit from a project entity that has previously obtained a transition permit. (3) If the application for an alternative permit meets the requirements established by the board: (a) the division shall issue an approval order for the alternative permit to the project entity; (b) if the division approves the alternative permit, the conditions of the transition permit, including those requiring an existing generating unit to cease operation and to be placed in maintenance status shall remain in effect until: (i) the project entity's sale of the existing generating units; or (ii) both the resolution of all administrative and judicial challenges to the alternative permit and the expiration of the applicable limitations period to file such challenges; and (c) the project entity shall submit all documentation required to modify any federal operating permit required to be maintained by the project entity, consistent with deadlines established by the division. (4) If an alternative permit is not approved under Subsection (3), the conditions of the transition permit shall remain effective. (5) The division shall evaluate an application for an alternative permit independently from any pre- existing permit or transition permit based on updated assumptions, modeling, and requirements established in rule by the division and may rely upon the reduction of capacity of the existing electrical generation facility only as necessary to ensure that emissions of the new electrical generation facility do not exceed thresholds established by federal law which would necessitate new source review as a major modification. (6) If an administrative or judicial challenge to the alternative permit succeeds in invalidating: (a) a portion of the alternative permit, the remaining conditions of the alternative permit shall remain valid and in force; or (b) the primary operating scenario of the alternative permit or the entire alternative permit, the transition permit shall remain in force with respect to the conditions governing the construction and operation of the new electrical generation facility.
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