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the provisions  of this subsection,  no new  unit (1) designated  as a

replacement for  an existing unit,  (2) qualifying  for the  extension

under subsection  (b), and (3)  located at a  different site  than the

existing unit shall receive an exemption from the requirements imposed

under section 111.

   "(e)  Expedited  Permitting.-State  permitting  authorities   and,

where applicable, the Administrator,  are encouraged to give expedited

consideration to permit applications under parts C and D of title I of

this  Act  for  any source  qualifying  for  an  extension under  this


   "(f) Prohibition.-It  shall be unlawful for  the owner or operator

of a repowered source to  fail to comply with the requirement  of this

section,  or any regulations of  permit requirements to implement this

section, including the prohibition  against emitting sulfur dioxide in

excess of allowances held.


   (a) Applicability.-The owner  or operator of any unit that is not,

nor will become, an affected unit  under section 403(e), 404, or  405,

or that  is a process source  under subsection (d), that  emits sulfur

dioxide,  may  elect to  designate that  unit or  source to  become an

affected  unit and to receive allowances under this title. An election

shall be submitted  to the  Administrator for approval,  along with  a

permit  application and  proposed compliance  plan in  accordance with

section 408. The Administrator shall  approve a designation that meets

the requirements of this section, and such designated unit, or source,

shall be allocated allowances, and be an affected unit for purposes of

this title.

   "(b)  Establishment   of   Baseline.-The  baseline   for  a   unit

designated   under  this   section   shall  be   established  by   the

Administrator by  regulation, based on fuel  consumption and operating

data for the unit for calendar years 1985, 1986, and  1987, or if such

data is  not available,  the Administrator  may  prescribe a  baseline

based on alternative representative data.

   "(c)   Emission  Limitations.-Annual   emissions  limitations  for

sulfur  dioxide  shall  be  equal  to  the  product  of  the  baseline

multiplied  by the  lesser  of the  unit's  1985 actual  or  allowable

emission  rate in lbs/mmBtu, or, if the  unit did not operate in 1985,

by the  lesser of the unit's  actual or allowable emission  rate for a

calendar year after 1985 (as determined by the Administrator), divided

by 2,000.

   "(d) Process Sources.-Not later  than 18 months after enactment of

the  Clean  Air  Act  Amendments  of  1990,  the  Administrator  shall

establish a  program under which  the owner or  operator of  a process

source that emits sulfur dioxide may elect to designate that source as

an  affected unit for the  purpose of receiving  allowances under this

title. The Administrator shall, by regulation, define the sources that

may  be  designated; specify  the  emissions  limitation; specify  the

operating, emission baseline, and  other data requirements;  prescribe

CEMS   or  other  monitoring   requirements;  and  promulgate  permit,

reporting, and  any other requirements  necessary to implement  such a


   "(e)  Allowances  and  Permits.-The   Administrator  shall   issue

allowances to an affected  unit under this section in an  amount equal

to the emissions limitation calculated under subsection (c) or (d), in

accordance  with section 403. Such allowance may be used in accordance

with, and shall be subject to, the provisions of section 403. Affected

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