is the output of primary refinery products, in barrels, from the “Ot-2” refining sector in year t-2 discounted by the percentage of the refinery sector’s electricity purchases in year that are from “t-2” owned utilities. Like the product and allocations, the refinery allocation will be granted in advance of costs being incurred. Allocation to Facilities Without EII Values (Simple Refineries) Refineries without an EII value are granted allowance revenue based on the following simple barrel benchmark approach, which is equivalent to the product-based allocation methodology, limited to be no greater than a refinery’s historical emissions. Equation 13. Revenue Allocation to Individual Refineries without EII Values (Simple Refineries) Where: is the allocation of revenue in dollars to an individual refinery “ARX,t” for budget year “X” “t.” is the allocation of allowances to an individual refinery for “AX,t” “X” budget year as calculated by either Equation 14 or Equation 15 below. “t” is the dollar conversion factor calculated based on the average of “Dt” CAISO’s daily Greenhouse Gas Allowance Index Price for the year It “t.” is possible to use year rather than year since these refinery “t” “t-1”
“Ot-2” is the output of primary refinery products, in barrels, from the refining sector in year t-2 discounted by the percentage of the refinery sector’s electricity purchases in year “t-2” that are from utilities. Like the product and allocations, the refinery allocation will be granted in advance of costs being incurred. Allocation to Facilities Without EII Values (Simple Refineries) Refineries without an EII value are granted allowance revenue based on the following simple barrel benchmark approach, which is equivalent to the product-based allocation methodology, limited to be no greater than a refinery’s historical emissions. Equation 13. Revenue Allocation to Individual Refineries without EII Values (Simple Refineries) Where: “ARX,t” is the allocation of revenue in dollars to an individual refinery “X” for budget year “t.” “AX,t” is the allocation of allowances to an individual refinery “X” for budget year “t” as calculated by either Equation 14 or Equation 15 below. “Dt” is the dollar conversion factor calculated based on the average of CAISO’s daily Greenhouse Gas Allowance Index Price for the year “t.” It is possible to use year “t” rather than year “t-1” since these refinery owned
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