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Qäbälä Mainz Video

Sumqayit FK - FK Qäbälä (Sa.) FK Zira - FC Sebail (Sa.) Minute: Die Mainzer scheinen noch an die Sensation zu glauben. Mutig und offensivfreudig.

A rrenpnndtenlotrs Para dar alhir- RA. Soute, s. La Luy du Refonrma Agrara. Pliledel inscribirse e raruon Optmismn'cI" ev sefnr Ji-- tea 9 del actual -correspondiente at met Na.

Salado lrmna exoresa. S ls dot nti a lana mnaugurado oicaiomente e as del Hospital mnnantil. RAS do. Para e. Pasco do Mar numeroa y 55t Lunes a Sabalo: m a.

Director: Administrador: Sabado: de 9 a. Decto fundacion francesa coneagra- Trimestre 8 i rrsr. Su primer ailo de A AlS domanical.

Posteriormen- Ae dominic A los Comerclales 8. Suacripci6n annual on microfilm Powers Inc. Desde en- "-tonces los becarias franceses A que al amparo de la institu- Los Tribunales de Trabajo y AD capital de Espafiandpasron -6Sabes que van a nombrar un cuerpo a la colonial El Viso.

El pa- de guardabosques? Begun se anuncia. Todo i- tnenter la s pudeclararon ofi. Io qut de encono exist en las pugnas esta- ci6 enteramente de apoyo po- artisticamente considered blecidas por as demand y las negatives de na y ir par- la.

M ado: el uebo. Ia solucisn definitive de laI dispute. Tous, unos TA concentracion de cen- I elogio del campesino liber- pleo. La Habana guajiros, co- "Hay todavia, escribi en- pr enma y dicte un fasllo qu no me resienta e parciaidades sable porque tuvo de su part a Es esta.

Trbuntles en I a mejor acepcmin del vocablo. Tribunal, contribuycron. Per a o an coino l que esto enti- Rauz, es un gran actor de jus- ; Cuand Maceo cruza ta Iro- qeeoimmnamos aIe ne al e a rio o- deroad brinoa.

Una revolucicn terdad. Asi, la del Grecota, en an mo de nuestras revo- durante muchas horas en la u inversion lo se malogre, y par que e capila pusto en ama reo Toledo, la de Romero de To- lciones por a independen- finca Miranda.

Lo que aca- caballos para los expedacio- Is clmagnigis. Tribunacs l 2 i as. Lo mit. No es o I s s utiormado al ministry d e csona desi a la Plaza del banalen lon primeros daU d re o en ldas enmespg olas dae- mismo una resolucipn adlin a dtav.

Por iso celeblamos Is idea. Mas, no st trata de fincs intentando. Aquillas 7r los cultivos mas fariles to improvisado de s bohio siaven tl curiosa g um e nu fuen poibe s.

Quier oo gut de lin a sua r df lens eo buan Codigo del Trsbalo. Teao Codigo supone una coordioa- tu. Esos pagares nestnd tt tventura, Pasa v it vs Esit barer ranstar gue en dicba et petrmntinma leat.

I sirve a los cultavadores dc la guerra. Es mis: todo tribus- Ese papel a corto paLo y escultura y de Is pintra. Recuirdcse que Nbae snerod ore emite al ampa- is nive.

Si algo se requiere ahora s unta re- de rutina del Ministerio da los estudiois hispnicos no afios, mi tio carnal Jos Gua- Panchito Gomez. En la s mrra- ,sosien nintcisa ye Scrapoosa cale t ada ce inratgo le ty eo e Hacienoda.

Er reeliod ae Ira- mapsionan en mentor grade da upe Sanchez y Piedra, niguas enmorafiadas del a- sion minucosa y crupuoa de tlodd ee rrago de leyes, Hacnda aen reaidad se Itra- lpaia v sus tradiciones de que tuv a su cargo Ia Pre- cshual hav una tumha e is- de reos, regulate nec p reglam en e e i e g nc q aen i [ l e de Camacho en dich trfetura de Camhanho en dicho eorg uaa o y el toretarsms ue son tos.

Guamia los ictoss [alias josiat Os inegraee l do ae tis tabtales ctrabua. Semanas des -c fab]o juos,! Todos ols Sdigos son rgialos y eno hs puesto a[ b ol de Is criti- no.

El Cdigo de a norma. Y nun- La caO, usa es qu no existed ca universal valores espafio- por haber quedado husr- lee. Y ee juico seia Dn ls -1ms. Porque a Ilita de sl[a.

Julian re es c siencliosos cu sto- io qu suele predominar en el. Como todo lo que tiene en tldor, casado con una pri- a abandonar su humilde re- ao.

I lic con del am gas- pi com od u sin inez Vlez. Esos bas cas de jaont a en ieo absd en t prtalao inrenoia de n- goe itlaz cunea sceas.

Y as los tribunales dal e l I Paos ap an contras- tra ia se asoma quien es ca- unp s d San an c o en m re n Traap esanid cempietos. Pdar mck q nreclad p pagacr t una crisis.

Maontras paz d penetrario y e pl- Martinez. San Luis c Guen outr ie haocbre d uoa ]a Trabao ern compnero. Por mucha vncdad y nnpugnac- es et tancqmmiento se apica cArselo.

Espaa misms -Is tomnir en parle ambiin en a Is u n rte. Y hay en todo pai civilizado un Coigo Penal queo ti rbjo A miles le personas, el y ciudades- ino es duehia de ello despues de destruido do s las leiamodes ornp5 ipuebo ql to mua diaone rpuss dedventuras Ddmoent aue contempla y c.

Y este juicio saria segiin los tiempos, los hombres Tanito una negociaci6n co- La Casa de Veltzquez, adeptndenria. Aleunsi e propias manos, ancal]ecidas y [a moral dle lot enjuiciadores.

Todo Io cual es infinitamente mo la otra se pueden realizer que ahor, macia nuev vida. Y mis muaoble. Si se acudiera a citts que referiidos saulridno cuando lueficns.

Julio River y Hernandez. Lo que no det- sangre y con las lTgrimas de. Y Espafia haes ya much e, organolad por cel iala- dida.

Pa rendiries n tributo Ide ad- y rimiaento otrendando a lau eil ex tlcaide antiaguero Ma- ba en political y teniS buen ga- sitio histrico queo todlos Io tn miracle, rconociiento ie y patria cuanto era cano tu.

Lau- , ra Marine? La Habana. Earl T pesoe at ain a cads una Smith Le acomoafia su dp las hijas del Gral.

Por eso toria! Lu saco a luz, el en la producci6n literaria afio pasado, la benemirita cubana de- las tlirna deca Editonai Lc-x, que tan valio- dab, que a vecei nos ha pa- o searviciO viene prebtando a aecido excesiva y hasta eva- nuestra cultural de libros en siva Ante una repiablica des- distintos sectorfe.

El author caecida de sun viejos dealers, de la obia es Benigno Viz- se sentia como una urgen- quez Rodriguez. En pagi. Y smin em- Quesada, el discipulo de : bargo, uno be piegunta si no Marti.

Cads semblanza va hay actualmente razones, en acompaiada de un soneto y cierto modo inversas, para detun retrato d pluma por que libros como iste sean de el maestro Augusto G.

Me- especial utilidad. Con la Re- noca]. Abrun el libro un volucin,. Aita- rupugnar. Un minu la personahldad misma ihbio dc i cisevitt a ia tiadi- oe un pueblo Probablemen.

Lo dermas es fer- muertos y a los que han de vnr patrio. El Dr. Johnny Washinjgton y. Boda que deja- Montreal ra escrita la pagina mis be- Washington lla del mes de agosto.

No es greso Inte otra que la de Margarita de diatria. I Armas y Fernandez Morrel, deseamos. El domingo nue- ve, a las doce del dia. En su oportunidad brin.

Dallas y Gindio- los en arros, cestos li- gur6s'de porcelana y Cor- soqes de Orquideas y Cla- voles. Esta fies- ada por el comiti en honor de los omete verse muy a juzgar por el despertado.

Viiabecav v Roale y Quelia R. Los socios podrn Illevar i. Una dana 4utenme. Enrloueui- Er tis rrelerente. Waddingt un..

Cal w, a ent nn"lIo tor E irt f l. Enrlo'ue Alonso.. I sa del Enibajador del Peru, de nuestra sociedad, l so ine-niero Gustavio Ster- p. Henrlette Le Malltt vuda de.

Brandariz, en ocasi6n de ce- Labarrere. Enri is i edti anirrddn bs taniui. Ode J h-,rdI-- lebrar su santo maoana y de labor con mucho entusiasmo en co.

Las numerosas c.. Chuchi Molina. Z'7n ,y d Brandarizsehan apresurado yen v bella senora de Alfoinso snca sna] romrno lulus de C6b- foro hhabanero, v do, de sb.

Un saludo finalmente para senlora de Comas. Ketlly Texido. Henriette Valdes Fauh tan es- estaba de vacaciones, y al. Enrisue Sell de Pujol, Henriet-:timada en nuostra alta sociedad.

La sehiora de Antuha, pars la que habra con tal motive innumerable felicitaciones. En la fecha del dia Un saludo oleno de afecto.

Ie lecvarin estas lines a Pompi- hacemons llegar hata el conmna- lin Ramos paiRa el lqu tiene ei fiero Enrnque Rodriauez Faura. Forum de Viviendas Campesinas.

Con el objeo ide que participen na que de una form u ntra pue- scr nacinnal, Excurionesa M M A tg ii Cl- V-iiiiid ln.

I Mdiid I. El modelo de lafigura, el mds corto, tiene airosos, coquetones facitos y bieses. En tonos pdlidos de amarillo, azo oa rosa.

El otro, algo mods lar- go y amplio, con flores en amarillo a rosa sobre blanco Tambitn con adornos de bieses. Los dos son a cual mds airac. Llieese ambos.

Il dibpenis do ed. I O norul para due nartlcioen en el El ttanm ,, Atiende peticiones a embeleoemrern. Ia 'laReforms Ararla. Dichas obras coin.

Hla-n pagad o 1o. S6lo dOepu, de- adeudos hasta la fecha de su ro- reprodJcrran a. Camilo Cenfueos. MaIs lifo6n que se aproxima, con.

K hrushchev y ue- a e d earuotraei6n de Bei- 'uestar do impn c.. Ademis de Ias victims que lo bonlberos ronmanos ciudades ruseas n viaje de buena si rnad c o in.

Nos a pueol t i Is mom do-, dicbos traso nst s at osit asrcaxd e svd rta'1p S luanS La mayor a o as los beneficios de la e msma den- dichos atrasoes en se olazos iteras, arras6 puentes y destuyo 'PI.

Al finalizar el pasado mes de! En nin- "alte a pr r as eel i. I yno hcrizhos e h-z siempre una ma,. Coili berbiar-ntenun en las pstssn eecudo Iales i.

I nzando ra6n de mill or hor en jerocosultlo m p culdes ncr y de las fuerza dsponbles Eto re sos con 39 centavos; Francisco quJ Chae6, ex alcalde de Caney.

Alfredo Valmabfa, ex conse ero dad el buen oe. El jele de dicho departamento, doctor Josn M. SObreelCanbe la playa ta. Santa F acord6 poi unan- S ' ',..

Y tro Har. Mineo de Recupera- contra Cuba. SInes someteran las sugerencias de instrument a Trujillo y Conite Conjunto que mitegian acurdadas a la consideraci6n del cualquiera que Se Orinde para tsdas la.

Instituciones Cit icos ministry de Recuperacidn. Aprobo lolombia sui I ; Padre Blain oire- Revoluc1on segutain adelante.

Un acuer do inunlal escanaalo continental. On no e isias que conc cano. Hacienda v El comentalista Jules Dubo. Las bases de exoortaci6n in- il senatorial norteamencano quc temainnal; queS no npeden per.

Amplia su cocina, guard icultio del perido para clasde nadie; y que es clerto que- e nacionales afectados por Ias p o r fu e ra1 cada pals, menos un diez OnI hay interests amencanos que es- medidas revoluciooanras.

Advierte lexico qu que esos interests afectados es ide Estados Unidos. Cuba parn to cual ol Gobterro imas p tla: Tsuumllo y.

E ministro del Intsrior me- preto que la crisis del Caribe no cidn de c6mo era possible qua si 'xicano declar6 que un nrupo de era otra cosa que una conjura la carts de la OKA serials que cubanos todavia estA detenldo contra Cuba, y que el conflicto en el territoimo de Quintna no hqbia surgido por generacoi6n los gobiernos que la integren de-.

Afiadl6 que el grcfpo est. El triunfo die la re- ben ser representative. Jueves, a las nueve y Este piadoso acto ha sTdo dis- media de la mrnaiana, en la 'gie- puesto por Aus hijos.

Tr- Bae altter 01h y i B. If, lyd, ,n -,,t':rf'L Pal. Ibaja a lUlobe s t ,a. Id', li. Philippe Grousset, aparecen en esta fete de la reception, el encargado de negocios del Canadai, S.

Roger R. Parlour; el emba- Jador de Mexico, Excmo. Gilberto Bosques; el embajador de Italia, Excmo. Marques Livio de Theodoli; Mrs. Land; y George Dor.

Foto DM: Karteio. Marques de Vellisca, de Julio. En esta oportunidad. Exemo Sr. Vasco T. Leitao d ambient animadisiumo. En la terraza al alre libre se Ilo arlistas ma-stros del jardin El embarador de China.

Seguidamente damns cuenta de jos. Gideon W Bo. El embajador Grousset. OCIia a. Pa, lie Jra 5a lit. La habilidad natural del cubano, unida al espiritu de empresa puesto de "manifiesto en multiples ocasiones, ha hecho que Cuba pueda estar orgullosa del calzado produci- do en ella.

Si esto es asl.. AfioCXV Pfigina 8. A Cr6nica rt"'-P'r. La inada era muf apreciada en la octedad I. Las os e o pnlal "..

I fancot radores ee hacian ue. El edifc sufriaev eros a is. I Las de lrdidasocasion fiaes ei I. M Steo sspecha que elements nlIca. L a huelga seri n enor.

Invitado de honor R. P Paulino de San Ga- Cganters comeore els t os c u cane. V M come Obispo de Solol a. Resde en Guatemala desde ran cas per ua millones de d6lares per semana.

Lo integran la vil a de Gi6n. Ia Junta.. En Washington, el Presidente oa F. Que n dia vieron p erti rumbao e-El d'nmingo so efeetuarki!

OfidcearienH Ia 1MnissallR. Valitndose de morteros v 'El Presidente, en una declara- Sr. Daniel Mosquera anhela su superaciO i lzar el disa 2 c agosto Drox mo x ,ametralladoras los soldados re cibn.

D eiectiva d e Plv im ag. O bua ici o. A ln ,l. H Inviadoa I na s di. El vocero, i ard enter en los salones sociales. VI l;. RevioRdera y AP To. A c ,',: nle a n rI i on veTeasr l ahd.

P-adcle -ora ,rE O. J de oAsc I av aaloes e rc mnavalyaz sisdel encreo da ro steo d e a lbao cArerI.. Pr ea a DE. Juac nNl A Rateo su la Md d.

Lur dsrf. RIn a a nala s never mm a sus am isrlatdrecs la lia c M r m r ida ln e nn sc o m0! CN R s ala eGa- -'- "--'--ad--'d-.

C P s,-al,-,-,le. A 'g nfp A dsichac sue r. Anoni iciar el a d a a -. Et ez it5 uuevaoesu d I H a Centro n a asdee] de la ddeu n e Valeentrd ade, a delaof de eaa.

A n ean u-. He iin aind Pro"-ov haosrpr hheseo2 as Orra nitada no r la Comison i ca Galleaho v Roberto Fer ndez mN a v s ele art e dei el a Introduccla sefion venenan a puchinos.

La i maa eno fue. Dodo s lD u. La blIazn s lesu r 1,. A sEa osuProfs Ortz el templ n ur anu aIno. Enri- I p n a secetari so- c..

P A o tud a la terna b naventu- comba l r. Enr Iue Sa n -c al. Ca no -. Gnach leo, D. John eEnrue R os TomA. Estado para er estudiado po Pror umo.

Herrero Dia. Enque Valds. San Francisco de Paula. GO-unta han de promover y alcanzar con dad y de la civilizacl6n. S Cspintu de caridad traaremos La verda l va llo.

Se trata. G -Ultimo dia ara solic-Junta de los s. Sleg ido su tpa ra diue cid6n e l ver a la que niee an os ala cna razo n donors a aquh que s nuesXtra rendente viraje l.

Y a'A" -,. I na obra cd-mtieireses nar-. Moiv g; de c Moiesdeqae cion Do e ita13n. Beldle lhable Hart manifesto Enrique Gancedo Tree.

Ion- to0 aIs. Enrique C ROa N MaBa, 9 POa CA ntr 9 De m In ',. I oire tta d, It'lrau n'n'tre Is dn crls'tode a paranni dldicerusee drt Dunto I,-,.

Ir a nrom.. Rer c reecenf dnel e 'Club em -av v I ,". Enrique bias. Ln7 a Ins" series log ,tickets nars l uvog amrp uebl nunda.

Enrique Jorrin Enrique Valledor Caracas. Nos refer ,, L-AVA" D". I eqIacn u e s up pr, t v o "ue cesreran IsltlLouaalrs. Enrique Bulb. Reunion de Ia JuntasdoeGo Pero en'de..

Enr'i- bierno, a lag echo v media de onreoo lanunei o ac I d og e ric Itpor elel. Pacincia er logra rt Enlu V. Ia frontera con, I pla';sinvi-itic u'c no Pero Bonn obvia- 1.

Fstado Pa-. Para el elmuerzo del domingo P OA per p arecoel rno qeesCato s. Fipl nten l u-trehaeneligada a nuestra na pere.

I belopra aquellas peosonas que de- seen adquartr las noclones 0a. Las rclases serian diarlas de lu-. Gozosa en su herofsmo, Santiago lo invita a compartir su primer Carnaval libre y a sentir en su propia sangre el ardor contagioso de un pueblo que cuando dice a luchar, hay que seguirlo, y cuan- do dice a gozar, Ihay que imitarlol SI.

Concinuci6n e r. A, ,eu urr. Enr-aue Just R. Dresidente de la orta- S ratl.. I Tambien es el santo de su hi- SL. Ennraquto Godov Y Arnoldson,.

Hern Dl] Blar. Enriaue Hevmann. EI 1- 1o. Enriaue Llaca Escoto. J R-i.. Tulio LodOo: r. F Esr. Q "ci. E tnri Aronman7 Drerstieioa r '.

L, 0 l oe reslde on Honduras. Enriaue --i e. Enrique Ci. Enrique Arella- Ll :,. Enrique Zavas Por- -,. Enclque Recio v Aguern.

Enr-, i. Enii- I ,,. R r Bnrahe-, v T. D i' Enltir A 'iId 0 nro ingeniorn inxen v e-s. I Enrioue Biwres Recio. Enrtaue Bravo v su hllo Conill e Hidalen v o i nicai, ec Enriaue.

D"- doea. Ennnue Audrafn. La rata; c cicYcnra n-r- Raul Rivoro Et-y. M- Ochoa', noche en la Iglsia de El mCa,-. Adornados con vsiosos detalles color entero.

Gran variedad do models y colors. Tambien atros models on variedad de dibuios. Tombikn en algodones calodos adornodos con hileras de encaiitos. Todos con sayuelas interiorei.

Ademaso de otros models muy nuevos. Masferrer a la concentraci6n de lon colaboraci6n al I. Agraria Los sefores Ing Jost-M.

Leon U. PFr telKgrato. Inform a los Aoc. Lievabs ex- niaeisteril public. O 1 4 4- de provincial. Susrez, varlo. Lunes 10 de agnoso eeltlicio iconsiderfirsele cdmplice en Ins Las seslones de labor del men-!

En el dia de er dejr 6 de exis- Dete. Draadoadw u. Sanchez de 18 anos verno dO "ir a x.. Dibuo v Edu- la proincia Ouros rargos que Omnibus.

Sa Nueva ndmero Beinas ie ielleza Siibado El olazo para la oresentaci6nI. El consumidor ya ha aprendido a pedir las cosas por su nombre.

Un nombre para cada cosa. La inversi6n provechosa de importantes capita- les, la consecuente expansion industrial, la crea- ci6n de nuevos servicios y la divulgaci6n de conocimientos de interns global, son unicamente posibles gracias a la Publicidad.

Ya son raros los que piden un alimento, un ciga- Para el impresario, el Anuncio es el recurso que rro o un refresco gen6ricamente.

Ferra Fontanilas. Srant euastells. Orgmasinl Miz M O. Que iqui diferencia existe erL- Pues no much if. I lnas en pieno trbrero europen.

Almuerno Hueans al plato Arroz con menudrs d- p.. Las a la par:I. Sal p. Entre las primeras de las edi- I lucionarno de Santo Domingo ficaciones de osle tion frUra la Iterminara con un rotundo traun-.

Souza v Puerto Pla- Estos centro containn con ta- taa aseguraron que pronlo ha- leres. Ira las fuerzas trujillistas muses.

I como la United Fruit. Norteamerica prueba la pro- tare que antes labirtas tirana qu el gobierno levantan alentos de miles de a Amboslideres.

Einal que Estta dos Unidos ofreci gos a fn de dejar constitdo a ,ninua" appyaido ias dlctadu- mo doRoq a y' Galindoez y rasn emrtit de trin scientos se Co ita avor de Pi la ibernnde yci6n tare lloue antes de liraniares a la e Santo Domingo.

IWano Alfonso Ej. Denuncid Ea- do a Ia Univoersidad de Cienfue- pins! W VU1I r.. Un aaludo de referencio tne. Mircia Leiseca. Ia encantadora Muy festejada se vera cn , eposa del joven periodista L-.

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Alan Weller. Euaene el volo unanime de aver consti-'no de Trabajo. Emission off set Permits. The most frequent control technique are requirements applicable to particular categories of sour- ces rather than individual sources.

In this case, the in- dividual emission limitations applicable to a source can only be tracked by reference to additional computerized lists of sources and requirements applicable to them.

Generally, there are no absolute emission limitations but, rather, emission rates per production unit or operating hours.

However, the SIP normally assumes, in a rough fashion, a certain production capacity of the regulated sources.

The major control device for ensuring compliance with the SIP is a preconstruction review program for major new sources and the significant modification of existing 14 sources.

However, the Act of did not require the granting of permits for these sources. EPA listed more than 40 pollutants that qualify for potential regulation but has listed only seven as hazardous.

Hazardous pollutant standards apply to substc-ices such as asbestos, beryllium, mercury, vinyl chloride, and benzene. The enforcement of these standards is ensured by the requirement of preconstruction review which is applicable to new sources and the modification of existing sources; however, the standards are in prin- ciple also applicable to all existing sources.

These standards are uniform tech- nology-based emission standards which are set forth by EPA for individual industrial categories.

Source is defined as any building, structure, facility, or installation which emits or may emit any air pollutant. Modification of an existing source is any physical change in, or change in the method of operation which increases the amount of any 18 pollutant or causes new pollution.

The regulation of "major sources, i. In principle, the law permits only the establishment of performance standards, not of other standards such as specification and operation standards.

Only where per- formance standards are not feasible, other standards may 19 be set. With respect to fossil fuel fired sources, emission limitations as well as percentage reductions can be prescribed; with respect to all other sources, the law only provides for the setting of emission limitations.

The NSPSs shall reflect the application of the best tech- nological system of continuous emission-reduction which has been adequately demonstrated.

This formula con- tains a dynamic element; it is not necessary that the control technology is already routinely achieved in in- dustry.

In prescribing the standards, the cost of achiev- ing the standard as well as energy considerations must be taken into account.

The requirements are technological. Therefore, in the case of fossil fuel fired sources, the use of low sulfur coal is not a means to comply with the standard.

However, de- 2. EPA is em- powered to set forth,in respect of a pollutant, different 23 standards for different categories of sources.

These standards sometimes apply to the whole plant, more often to certain facilities or equipment within plants.

For example, the emission standard for S02 for coal-fired power plants is 1. With respect to particulate matter originating from cement production the emission stan- dard is 0.

Although the law pre- scribes that the standards reflect the best emission re-. The standards are relatively lenient; they normal- ly are at the weak end of performance achieved by reference 24 technology.

More- over, the control of new and modified sources was not satisfactory. Although the Clean Air Act required the states to adopt, in the framework of the SIP, a program for preconstruction review of new and modified sources and these sources were also subject to preconstruction review to achieve the NSPSs, little attention was laid on review of these sources for the purpose of achieving the targets of the SIP.

It was assumed that the NAAQSs would be at- tained and that, due to the NSPSs, new sources could not be expected to contribute considerably to ambient quality problems.

With the passage of the initial deadline for achieving the NAAQSs in it gradually became clear that in many areas the standards would not be met.

This would have had serious consequences for the construction of new and the modification of existing sources.

Under the concept of the Clean Air Act , no new construction or modification permits could be issued if the deadlines for attainment were not met.

Thus, the Clean Air Act could have stopped new industrial construction in substantial parts of the country, in EPA made an attempt to limit the rigor of this restriction and reconcile the conflict- ing national interests in clean air and continued indus- trial growth by issuing ar Interpretative Ruling which 27 introduced the "offset policy".

The Ruling provided that new plants could be constructed and existing ones modified in non-attainment areas, but only if stringent conditions were met; in particular, emission increases from new or rnoderniz?

The final determination of areas as nonattainment areas is made by EPA. If approved or conditionally approved, the revised SIP is the framework for pollution control in these areas.

If a state fails to adopt a revised SIP or approval has not been given by EPA by mid, the Amendments provide for a con- 28 struction ban for major new or modified sources.

The major impact of this threat was not so much that new con- struction was actually stopped; rather, it lead to a speedy revision of SIPs although the deadline was met only by a few states.

The reason for this is that pending permit applications could be processed and EPA avoided the construe- 99 tion ban by giving deficient SIPs conditional approvals.

As many as 29 states applied for such extensions for all or parts of the stace, especially for metropolitain ureas. Reasonable further pro- gress is defined as annual incremental reductions in emis-.

Its purpose is to ensure that the construction or modification of major sources does not prevent attainment of the NAAQSs by the statutory deadline.

The precontruction review program does not apply to all new sources or modified existing sources. Rather, it is confined to major sources; in the case of a modification of a major source, only a significant modification is rel- evant.

Major source is defined as a source which emits, or has the potential to emit, tons per year of any criteria pollutant for which a NAAQS exists.

Some states, such as California, have introduced lower cutoff levels for new source review. A significant modification is de- fined as a change in the design or mode of operation of a source which increases the annual emissions by 40 tons.

The interpretation of the new requirements caused a num- ber of difficulties. First of all, the defiv:. EPA determined that the threshold would be calculated on the basis of the source's uncontrolled emis- sions, disregarding emissions that are controlled by the 34 operation of control technology.

Costie , the interpretation of the term "potential to emit" is based on the controlled emis- sions of the source. The threshold is to be calculated on the assumption that air pollution control equipment is in- corporated into the design of the facility and will func- tion to control emissions in the manner anticipated when the calculation is made; in other words, for determining the threshold only those emissions are taken into account that are likely to be emitted when control equipment has been installed and is operating, and emission limitations are federally enforceable according to recent suggestions: are enforceable, i.

The new defi- nition narrows the scope of application of preconstruction review but it sets a more realistic standard; as a prac- tical matter, it allows for greater initial growth in non- attainment areas.

Problems with the interpretation of the term "source" have also arisen. They are, in particular, relevant for the de- termination whether a modification of an existing source is subject to new source review or emission increases from new equipment can be compensated by decreases from existing equipment to avoid new source review.

The "netting policy", which is a part of the "Emissions Trading Policy", permits modernizing plants to "net out" of preconstruction review see below pp.

First, the applicant must demonstrate that the emissions of the relevant source are within the lowest achievable emission rate LAER for that source.

The Act states that this rate must reflect the most stringent emission limitation which is contained in any implementation plan or which is achievable in practice,, whichever is more stringent.

The objective of this provision is to force new or modified sources in nonattainment areas to use the best control technologies and processes available in prac- tice.

In con- trast to the BACT standard applicable in PSD areas, the law does not direct that cost considerations be taken in- to account; however, the requirement of availability in practice means that a control technology that is so ex- pensive as to prevent the construction or operation of 37 the source is not to be considered as "achievable".

It is safe to say that cost considerations have less weight than in NSPSs. Therefore, theoretically, the LAER stan- dard is the strictest among the various technology-based stand?

It is to be determined class-by-class or category-by- category of sources. The statute assumes that a certain variation among the states in determining LAER standards will occur.

The statutory requirement that LAER deter- minations by the states may not be less stringent than the federal NSPSs limits the discretion of the states.

In practice, the LAER standards do not set absolute emission limitations; normally, the sources are subject to speci- fied emission rates per unit of production or time.

Second, the applicant must demonstrate that all other sta- tionary sources owned or operated by the applicant or by any entity controlling, controlled by, or under common control with the applicant within the same state are sub- ject to emission limitations and are in compliance with all applicable regulations or orders.

Where a source is in delay with its abatement program, the SIP must be revised in order to formally incorporate a re- vised timetable for compliance, or EPA must have approved the new schedule in a delayed compliance order.

Mere ap- proval by the state agency is not sufficient. Third, a permit may be granted only if the applicable 4 01 SIP "is being carried out".

The requirement means that there must be actual "reason- able further progress" towards achieving the NAAQSs with- in the statutory deadline.

Where a revised SIP has been unrealistic or is not enforced with sufficient vigor, it may be difficult to demonstrate that the SIP is being carried out.

For meeting this requirement, the states have the choice between two options: - growth allowance, or - offset. To make room for additional development, the states can create a growth allowance by requiring reduction of emis- sions from existing sources beyond the extent necessary 42 for meeting the AAQSs; in this case, a new or modified existing source will be permitted where its emissions will not exceed the allowance for new sources in the area.

This method amounts to a mandatory creation of emission reduction credits and transfer to the state which then distributes them on the basis of "first-come-first-served".

It is not frequently used because the states found it dif- ficult to reduce emissions from all existing sources to an extent that not only the NAAQSs could be achieved by the statutory deadline but also room for new sources was 43 created.

The only exceptions are states that had adopted SIPs on the basis of the old ozone standards which were then relaxed by EPA; these states were able to use the existing emission limitations for creating a growth margin.

The other more realistic option for a state is to simply require reductions of emissions from existing sources which are sufficient to meet the NAAQSs in the future; in this case, the Amendments allow the construction of a major new or the modification of an existing source only when total allowable emissions from existing sources, from new sources which are iot major emitting sources and from the proposed facility are less than total emissions from existing sources allowed under the SIP prior to the ap- plication and this net reduction of emission represents further reasonable progress.

The Amendments of incorporate its essential elements into the Act. It must be noted that in case of coal conversion EPA al- lows a new source or a modification of an existing source in a nonattainment area without obtaining offsets if the source is in a locality within the area that meets the NAAQSs.

The revised SIPs must provide such emission reductions from existing sources in an nonattainment area as may be obtained through the use of reasonably available control technology RACT.

This is a minimum standard which. It requires a determination that a given control technology, considering the costs of installing and operation, is feasible for the 47 average source of a class or category of sources.

The SIP may go beyond RACT or revise RACT definitions once accepted or it may, with respect to particular sources or groups of cources, set forth less scringent requirements if this can be based on the particular conditions of the relevant sources, although in practice this is rare.

However, the states are free to set a lower threshold for preconstruction- review than mandated by the Act and thus subject certain minor sources to major new source requirements.

In these areas PSD areas , only a specified growth "increment" of air quality deterioration is per- mitted, ar. Under "the Pi. Certain pristine areas such as national parks and wilderness areas of a certain size are permanently designated by statute as Class I.

All other areas are initially designated Class II allowing more in- tensive growth amounting to roughly 25 percent increase in pollution levels.

States are authorized to redesignate areas either as Class I or, subject to some exceptions, also as Class III, put in practice, this has only seldom been done.

The Amendments themselves determine the allowable in- crements for sulfur dioxide and particulates for each of the three PSD classes.

It is the baseline concentration plus the increment. As a practical matter, the ceilings are a kind of differentiated tertiary ambient air quality standard for clean air areas specifying maximum levels of allowable pollution from increases over the varied base- line concentrations of individual pollutants.

However, this does not mean that these pollutants are outside the scope of PSD regulation. All other requirements of the PSD program, especially the analysis of anticipated emissions to de- termine applicability of PSD review, the analysis of im- pact on ambient air maintenance of NAAQSs and the tech- 54 nology-related requirements appiy to these pollutants.

However, the emphasis of the PSD program is laid on major new and modified existing sources fa- cilities.

Major emitting facilities are facilities whose potential emissions exceed tons per year if they fall into one of the 28 categories specifically designated in the Act.

These levels are relatively low. Modifications of major facilities are only subject to PSD preconstruction review where a certain threshold of sig- nificance is exceeded.

In contrast to the nonattainment program, the notion of "facility" is broad, and the operator of a modernizing plant can "net out" of preconstruction review where the net increase of emissions is below the de minimis thresholds.

Furthermore, there are procedural requirements, including the requirement of a public haaring. The baseline level also includes projected emissions from major emitting facilities on which construction commenced prior to January 6, but which has not yet begun oper- ations before the application.

All other increases in pollution - from major new or modified facilities con- structed after January 6, as well as from non-major and existing facilities not assumed in the SIP -are charged against the allowable increment.

Any emissions not included in the baseline are counted against the in- crement. EPA has also issued modelling guidelines that shall facilitate.

The application of federal and state emission standards, including BACT, and the gradual retirement of existing sources normally prevent an increment consumption.

Apart from some areas in the Northwest and Texas, the major ef- fect of the increment consumption review seems to be on 69 industrial planning.

Beyond increment consumption, the applicant must also demonstrate that the pollutants emitted from the new or modified source do not contribute to a violation of the NAAQSs.

Moreover, this requirement is not only applicable for pol- lutants for which increments have been established by the Act, namely sulfur dioxide and particulates, but for all other criteria pollutants.

CT is required only for the modernized unit and pollutants for which there is a significant net increase. Since the statute directs that "energy, environ- mental, and economic impacts and other costs" must be taken into account, one can say that the standard is less stringent '.

The concept of the Act to determine BACT on a case-by-case basis raises the problem of inconsistent determinations in the states, EPA attempts to give the states guidance by publishing abstracts of existing BACT determinations.

How- ever, there are retrofit obligations for existing sources for the protection of visibility, ' and sources not covered by the PSD program may be required by the SIP to reduce their emissions if this is necessary to cure an existing increment violation.

However, in contrast to the various proposals for introducing marketable rights to pollute, emissions trading is a simple modification of the exist- ing regulatory system of air pollution control.

Emission reducvion credits can only be used in the framework of permitting procedures, either to fulfill substantive re- quirements or to avoid the institution of such procedures.

Emission trading consists of emission offsets, bubbles, netting and, emission reduction banking. Ihese elements of the emissions trading policy are united by a common econ- omic rationale.

The emission trading policy is designed to save pollution control costs by permitting the operator or several operators to decide themselves about control measures, so long as the net result is t'.

EPA's Emission Trading Policy State- ment of establishes common minimum legal requirements for creating, using and banking of emission reduction credits.

It makes the attempt to present a uniform legal concept of the whole emissions trading policy. Neverthe- less, emissions offsets, bubbles, netting and banking have quite distinct roles in the regulatory system.

Their his- torical development is'quite different. It must be emphasized, though, that forms of emissions trading had already been prac- ticed under the Ford administration.

It was the Carter adminis- tration that took the initiative to formally introduce emissions trading as a supplemental concept of US air pollution control.

The Reagan administration expanded the concept and attempted to relax certain restraints which had previously been considered to be mandated by the pol- icy goals of the Clean Air Act but which, in the view.

The conceptualization of the emissions trading policy as a uniform policy also obscures another important fact, namely the paramount role of the states.

The emissions trading policy only affords options for the states. The states have often been more restrictive than EPA in devising their own emissions trading policy, and there is a relatively high degree of variation among the states.

Even the position of EPA's re- gional offices is not entirely uniform. All this adds to the already existing complexities of the emissions trading policy.

The offset policy allows new major stationary sources or modernizing existing sources to comply with ambient re- quirements in nonattainment areas by securing sufficient surplus emission reductions from other existing sources 80 to more than offset their new or increased emissions.

The offset policy allows new growth while improving the air quality in nonattainment areas. Under the Act, new and modifieo existing sources that emit any criteria pollutant could not be constructed where the NAAQSs for that pollutant are exceeded.

On the other hand, the Act was relatively lenient towards existing sources. It was understood that existir. The Interpretive Ruling is since then only applicable in exceptional cases.

The offset program is administered by the states as part of their revised SIPs. However, the Interpretive Ruling still serves as a guideline for the states in administer- 82 ing their offset program.

The offset policy represents a pragmatic relaxation of the original ambient air quality goals of the Act of in that it allows new emitting sources in nonattainment areas; however, it uses the construction of such sources to achieve a new ambient air quality benefit beyond that achieved by tougher requirements for existing sources.

The bubble policy allows existing plants in attainment as well as non-attainment areas to increase emissions at one source beyond the emission limitations set forth in the applicable SIP in exchange for compensating decreases of emissions at other sources.

The bubble concept con- siders the several sources as one source and seeks to im- pose on the group of sources an emission limitation which is equivalent to the aggregated emission limitations pre- i viously applicable to these single sources.

It does not change the "status" of existing sources; in particular, the relatively preferential treatment of existing sour- ces which still exists under the Clean Air Act Amendments of , is not modified or even abolished by the policy.

It is an alternative means of meeting emission limitations set forth in the SIP for several existing sources. Plant managers may choose a more cost-effective combination of emission reductions while not exceeding the applicable emission to- tal.

Moreover, it is expected that anticipated cost savings will promote technological progress. Firms have an incen- tive to develop cheaper control technology or low-pollution processes if they do not lose the emission reduction created by the use of these technologies or processes but are accorded a credit that can be used to offset increased emissions at another source.

The bubble policy is a re- sponse to the specific problems of existing plants in meeting especially new emission limitations set forth in the revised SIP.

Since retrofit expenses normally are higher than expenses for pollution control equipment for new plants, it was thought that operators of existing plants needed more flexibility for deciding on the use of control technology to meet SIP requirements.

It has no express statutory basis in the Clean Air Act. In calculating whether the increased emis- sions from the modified source are significant, only net in- creases in plant-wide emissions are considered.

A plant can compensate increased emissions from the modified source by de- creasing emissions from other sources within the same plant.

The rationale underlying this emission trading concept is the saving of business and administrative cost in cases having no or only a de minimis impact on ambient air quality.

By "netting out" of preconstruction review, the operator of a modified source removes all the - procedural and sub- stantive - burdens of new source review.

The administrat- ive workload decreases correspondingly since the competent agency must only make sure that the prerequisites of net- ting are fulfilled.

Netting is one of the oldest, perhaps - as far as actual practice is concerned - the oldest of all emission trading concepts, although it is only recently that it has been formally recognized as a separate concept within the emis- sion trading policy.

The concept was first adopted in as part of the offset policy in nonattainment areas. To this extent, in the light of a decision of the Court of Appeal for the District of Columbia of , its legality had become doubtful; however, a recent US Su- preme Court decision has reversed the decision of the Court of Appeal and;confirmed the netting program in nonattainment areas see below pp.

Previously, netting was often referred to as part of the bubble concept? There are two kinds of banking: informal and formal banking. Informal banking is sufficient where the relevant firm only seeks to store the credit for its own use in the future.

Formal banking is necessary where a firm that has created an emission reduction credit wants to store it for later sale to a third party; also, for- mal banks serve as a clearing house for transactions in emission reduction credits between different parties.

Moreover, the prohib- ition of banking would decrease the number of possible trades and thereby weaken the cost-saving potential of the emission trading policy.

EPA originally considered banking of emission reduction credits as inconsistent with the basic policy of the Clean Air Act However, together with the extension of the emissions trading policy in , EPA allowed 90 banking.

Since then, informal banking has been widely practiced as part of the permitting procedure in respect of netting and internal offset transactions, while for- mal bankinc still is limited to a few areas.

The Emissions Trading Policy Statement of gives a detailed de- scriptic. EPA also has recently published draft model banking rules that can be used by the states as a model to devise their own banking rules as part of 91 generic emission trading rules or as separate rules.

The Role of the Emissions Trading Policy in the Regulatory System As stated, emission offsets, bubbles, netting and banking, although united by a common economic rationale, have quite distinct legal features and their place in the regulatory system of air pollution control is different.

The offset policy is ambient quality-oriented. It allows new major stationary sources and modified existing sour- ces to comply with ambient requirements in nonattainment areas if they secure sufficient surplus emission re- ductions from other sources to more than offset their new or additional emissions.

The policy allows the location of new sources or modernization of existing sources in- spite of the nonattainment status of the area if, by vir- tue of emission reductions the operator has obtained for other sources, the air quality in the area is improved in such a way as to constitute reasonable progress towards achieving the NAAQSs by the prolonged statutory deadline.

These offsets may be created within the plant internal offset , they may also be created in other plants owned by the operator of the new source or by a third par- ty external offset.

Since the offset policy is designed to enable sources to comply with ambient requirements, offsets may not be used to meet technology-based stan- dards for new sources in nonattainment areas, such as NSPSs and LAER requirements.

The offset policy has been developed to cope with the par- ticular problems of industrial -growth in nonattainment areas anc1 in practice it is almost exclusively applied in such aroas.

However, the underlying concept has a broader scope of application. It can also be used to comply with 94 1 ambient requirements in PSD areas.

If the application of BACT does not secure suf- ficient reductions to comply with the standard, the oper- ator may seek reductions from other sources.

Moreover, the offset concept is applicable where a new source in a PSD area will have emissions that would violate an allow- able increment.

However, since the practice shows that in- crement violation in PSD areas is not very frequent, the use of the offset policy in PSD areas for offsetting an increment violation that would otherwise occur is rela- tively rare.

The bubble policy primarily is emissions-oriented. There is an indirect link to ambient requirements in that the bubble policy affords existing sources an alternative way of meeting emission limitations set forth in the SIP for attaining the NAAQS s.

Furthermore, the requirement of "ambient equivalence",. T'ne bubble policy allows existing plants to increase emissions at one source beyond the applicable emission limitations in exchange for compensating decreases of emissions at other sources.

This compensation can occur at the same plant internal bubble , it may also occur at two or more plants of the same owner or dif- 95 fe.

The bubble concept applies to all emission limitations im- posed upon existing sources by the applicable SIP, includ- ing technology based requirements such as the RACT stan- 97 dard in nonattainment areas.

However, the extension of the bubble concept to NSPSs under particular circumstances, e. Netting exempts operators of existing plants modernizing or expanding from new source review requirements as long as any increase in plant-wide emissions is insignificant in the meaning of preconstruction review regulations.

In determining whether the threshold levels are exceeded, only net increases in plant-wide emissions are considered. A plant can, therefore, compensate increased emissions from a modified source by decreasing emissions from other sources within the same plant, provided the decrease is contemporaneous, i.

External netting is not possible. Technically, the netting policy is based on a broad definition of "facility" in PSD areas or "source" in nonattainment areas.

The netting policy applies both to attainment and nonat- tainment areas. However, in a recent decision, the US Court of Appeal for the District of Columbia declared the extension of the netting policy to nonattainment areas to be inconsistent with the Clean Air Act and directed EPA to restore the narrow source definition and the reconstruc- tion rule.

Since then, the status of the netting policy in nonattainment areas has been insecure. The effects of "netting out" of preconstruction review are much farther-reaching than those of using the offset and the bubble concepts.

By "netting out" of preconstruction review, the operator of a modified plant removes all the burdens of a new source review requirements, including the consideration of ambient violations violation of NAAQSs or violation of PSD increments and associated monitoring and modelling requirements, applicable bans on construction and installation of BACT.

In the case of nonattainment, the regulations provided for the possibility to "net out" of ambient requirements as well as of the requirement to install technology thai- keeps emissions within LAER.

The most important practical consequence of the netting policy is that the operator of a facility can avoid the procedural requirements of the preconstruction view procedure.

Since most emissions trades amount to a modification of SIP requirements and, therefore, can in principle only be effectuated through a revision of the SIP which in turn requires the approval of EPA, the Policy Statement de- scribes the policy EPA will follow in processing appli- cations for SIP revisions involving emissions trades.

Where emissions trades are effectuated outside the SIP review process through application of state generic rules, these rules represent a "generic" SIP revision and there- fore, assuming EPA has authority to approve such SIP re- visions, require EPA approval; here, the Policy State- ment determines EPA's policy in processing applications for approval of state generic rules.

Thus it may be assumed that the principles pronounced by EPA in the Policy Statement will essentially determine the future policy of the agency in the field of emissions trading.

This justifies it that the following presentation of the emissions trad- Ing policy primarily is based on the Policy Statement.

It must be noted, however, that the Policy Statement is a draft only and that EPA may change the Statement in sev- eia'l respects following court developments and the-many critical comments it has received.

Only surplus reductions at a particular source can be substituted for a reduction re- quired at another source in an emissions trade. Otherwise, the trade would have an adverse ambient impact and would run counter to the goals of the Clean Air Act.

In order to determine whether a reduction is "surplus", it is necessary to establish a level of baseline emissions of a source ,,beyond which the reduction must occur to re- ceive a credit.

Generally speaking, the determination of the baseline depends on whether the area is nonattainment or attainment, and by the way the SIP ha-?

It should be noted, however, that where actual emissions are taken as a baseline, this normally requires that the source does not violate existing emission limits; in other words: the actual emissions must be lower than the allow- able emissions.

In nonattainment areas that used allowable emissions as the basis for their attainment strategy, the allowable limits can be used as the basis for creating ECRs, even if actual historical emissions of a source are lower than the allowables.

In nonattainment areas where actual emissions, based on inventories or back-calculated from ambient values, were used as the basis for demonstrating attainment, the actual emissions of a source normally are the baseline for creat- ing ERCs.

The Policy Statement contains little guidance on the reference period average or average of highest year in larger period, seasonal operations. However, the new source review regulations of cover some of these ques- tions.

The creation of ECRs is also possible in areas which stiM lack' an approved SIP that demonstrates attainment by thj statutory deadline, provided this is consistent with reasonable further progress towards attainment and ulti- mate attainment of the relevant ambient standard.

In this case the source can agree on acceptable RACT limits for the emission sources in- volved in the trade.

Any reduction in excess of those re- quired by the agreed RACT limits would be considered sur- plus. If ambient consider- ations require so, it may and must impose stricter RACT limits that must be complied with either by the source that had created the credit or by the user of the credit who would have to acquire new credits.

Instead of using a negotiated RACT baseline, areas that have received extensions for attaining the primary ozone or carbon monoxide standards until as well as areas that do not meet the secondary ambient standards for sul- fur oxide or particulates, may also use current actual emissions of a source as the baseline for creating ERCs.

The prerequisite for admitting such a transaction is that the sources involved commit themselves to produce ad- ditional reductions equivalent to future RACT limits when the state imposes them'.

The problem, of course, is how to achieve future reductions when RACT is imposed. As a practical matter, this concept will only be used where an operator already anticipates the possibility of future emission reductions, e.

Since actual ambient air quality is the basis for determining increment consumption and attainment of the NAAQSs, and the maintenance strategy is based on actual emissions, these normally must also be the base- line for creating an ERC.

However, EPA also accepts allow- able emissions as baseline if "proper consideration is given to increment usage". Contrary to what the Policy Statement seems to suggest, allowable emissions may not be used in netting transactions.

A very controversial issue is the question whether and to what extent plant shutdowns as well as production cur- tailments can be considered in determining whether an emissions reduction is surplus.

EPA in principle allows the use of shutdowns as a means of creating ERCs The Policy Statement seems to limit this to bubble trades but existing regulations also seem to allow the use of shut- downs in offset and netting transactions.

Pursuant to a settlement concluded in a litigation between EPA and the Chemical Manufacturers' Aseoriation CMA , EPA considers to abolish certain restrictions with respect to offsets that are contained in the Interpretive Ruling time-limits, limi- tation to replacement projects, legal enforceability of the reduction via shut-down.

However, the principles governing the treatment of pre-existing reductions must be observed in order to avotd double-counting. An emissions reduction may not alre?

The treatment of pre-existing reductions is different ac- cording to the assumptions of the SIP for demonstrating attainment of the ambient standards.

If the SIP is based on actual emissions, reductions that occurred before monitoring data were collected for use in developing the SIP cannot be used to create ERCs because monitoring levels already reflect these reductions and their use would amount to double-counting.

Reductions made after the inventory or monitoring data were collected for developing the most recent revised SIP are admis- sible, even if they were made some time before the ap- plication to grant a credit for the reduction.

In attainment PSD areas, reductions that were made be- fore the PSD emissions baseline was established do not qualify for credit since these reductions are already as- sumed by the relevant state in establishing the PSD base- line.

The requirement that shut-downs do not qualify for creat- ing credits if they have already been assumed in develop- ing the area's attainment strategy decreases the import- ance of the shut-down problem.

Difficult questions arise where the SIP already assumed a given quantity of. Where the to- tal number of shutdowns assumed in the SIP has already oc- curred, EPA allows additional shutdowns as a source for creating emission reduction credits without further re- strictions such as consideration of the geographical distribution of the previ.

The states may choose not to take credit for "turnover" reductions or they may credit a percentage of the total emission reduc- tions realized from a shutdown if they can show that such credit is consistent with the SIP's demonstration of at- tainment and reasonable further progress.

State generic and banking rules show that states tend to be more restrictive than EPA. Some rules expressly disal- low the use of shutdowns; others require contemporaneous trades, limit the duration of credits created by shutdowns, exclude cert3 in trades or require a determination that there is no increase of the same pollutant at a similar source in order to cope with the problem of local elastici of demand and ensuing increases of the production of exist ing sources or the location of new sources.

Where the SIP is based on actual total emissions, some emissions limits such as RACT or the: same; percentage reductions as are applicable to inventoried sonrces must be imposed on ui.

Each offset, bubble, netting or banking transaction must be federally enforceable and must be ap- proved by the state.

EPA is considering to dispense with the requirement of federal enforceability in offset and netting transac- tions.

In the case of generic rules, additional re- quirements must be observed. Emission trades effectuated in application of generic rules are deemed to be part of the SIP, in other words they amount to a SIP revision.

However, in order to be enforceable, such emission trades must be incorporated in a compliance document which is le- gally binding and practically enforceable, such as an agreement between the source and the state, an operating or construction permit, or a consent decree that sets source-specific emission limits.

Here, a temporary credit can be granted if emission increases and decreases are equal in duration. In order to meet this requirement, the state" must' establish a re- liable basis for measuring the amount'and rate of: the re- duction and describing its characteristics.

However, EPA does not require monitoring. It is remarkable that the Policy Statement does not prescribe a measurement or calculation method that expresses the emission reduction in absolute terms, i.

As an additional principle, one should mention the regional limitation of emission trading. It is true that there is no legal limitation and sources could prove the ambient equi- valence,.

On the other hand, long-distance impacts of emission trades beyond AQCRs are normally not considered in determining ambient equivalence.

Therefore, the principle of regionalisation could be con- siderer. According to the Policy Statement, these principles apply to all emission trades.

However, in respecL of netting, certain qualifications must be made. Since the NAAQSs must be met with respect to any criteria pollutant and separ- ate SIPs must be developed, the emissions trading policy also must distinguish between the different criteria pol- lutants.

However, in California interpollutant trades, e. The purpose of these rules is to reduce the ambient concentration of sulphates and ozone by tack- ling their precursors.

On the other hand, the generic rules of some states con- tain restrictions that are designed to cope with the prob- lem that pollution involving the same criteria pollutants is not necessarily associated with the same health and en- vironmental impacts.

Second, all uses of ERCs must satisfy ambient tests. This principle, although pronounced in a general fashion, only is applicable to offsets and bubbles.

Netting trades are treated differently. The potential ambient impacts of "netting out" of. However, where stack heights are different, a netting trade may have an adverse effect on air quality.

Therefore, it is not consequential that netting trades should be entire- ly exempted from ambient tests. The reason for this exemp- tion seems to be that otherwise the very objective of al- lowing netting trades, namely to relieve the enterprises from the costly preconstruction review procedure, would be frustrated.

The principle that the use of ERCs must satisfy ambient tests means that use of ERCs may not create a new viol- ation of an ambient standard or prevent the planned re-.

This requirement follows from the mandate of the Clean Air Act to attain and maintain the NAAQSs and not to exceed the increments for the preven- tion of significant deterioration of the existing air quality.

The policy of the EPA with respect to ambient impacts of emission reduction trades is different according to the dispersion characteristics ol the pollutants involved.

Other aspects such as time-phasing are not considered; in particular, the rules on ambient impact do not reflect the structure of the NAAQSs1. Therefore, "pound per pound" 1 25 trades may be treated as equal in ambient effect.

They have estab- lished a scheme of geographic discounting that requires more than even reductions of emissions according to the distance between the two sources involved.

Distance between the sources, plume parameters especially stack height , pollutant characteristics, meteorology, and topography af- fect the ambient impact of emission reduction trades in- volving these pollutants.

The general principle is that off-set transactions must demonstrate "ambient progress" and that bubble transactions must demonstrate "ambient equivalence", i.

However, in the latter case an improve- ment of air quality may follow from the fact that bubbles often are used to meet emission limitations that have been stiffened due to a SIP revision.

Geographic discounting of ERCs and monitoring and modelling the dis- persion of emissions would seem to be sufficient to ensure the geographic equivalence of inter-district emission re- ductions and increases.

In order to facilitate the demonstration of ambient pro- gress or ambient equivalence, EPA has developed a three- tiered system of modelling that links the degree of re- quired modelling to the likely ambient impact of the pro- posed trade.

Third, in nonattainment areas - as opposed to PSD areas - emissions trades may in principle not result in a net in- crease of baseline emissions. There are some limited exceptions to the principle.

Thus, a net in- crease-of emissions is permitted where generic rules exist and the SIP hajcreated a growth margin, or where the state, in order to mahe the emissions trade possible, revises its SIP so as to create a compensation for the increased emis- sions at another location, which is consistent with reason- able further progress.

Furthermore, insignificant net in- creases of emissions are permitted in netting transactions. This principle is imprrtant because i the group of VOC for which a NAAQS exists comprises com- pounds that are hazardous, such as benzene; furthermore, hazardous pollutants may be produced as necessary components of other criteria pollutant streams.

EPA allows emission trades between any pollutants belonging to the group of VOC if the hazardous pollutant emissions are decreased "traded down" in exchange for an increase of non-hazardous pollutant emissions, but not vice versa.

The same may be. The principle does not modify the rule that emission trades must involve the same criteria pollutants. However, in California trades between different criteria pollutants are allowed in order to reduce hazardous pollutants Second, to a limited extent the bubble policy is appli- cable to other hazardous pollutants.

However, with respect to the 37 pol- lutants that are considered as hazardous but not yet sub- ject to -specific -regulations, bubble trades can be made provided there is an equivalent increase and decrease of the same pollutant at reasonably close sources.

The Policy Statement expressly declares that the prohib- ition against. It must be no- ted that existing PSD regulations allow netting trades associated with de minimis increases of hazardous pol- lutants for which NESHAP are in force 10 percent of the emission standard Fifth, emissions trades can in principle not be used to meet technology-based requirements.

Finally, existing sources can meet technology-based requirements, such as RACT in nonattainment areas, by using internal or external emission reductions.

The extension of compliance deadlines is based on similar considerations. Compliance deadlines may be extended by the states as part of bubble trades in respect of VOCs or CO sources, provided the deadlines for attainment of the NAAQSs have been extended until and the bubble trade is consistent with reasonable further progress.

These principles or rules apply to formal banks, i. Many states have established in- formal banks which are a part of the permitting procedures for individual polluters, especially in respect of netting and internal offset transactions.

For example, the state recognized the ERC in a letter or in the permit document and the firmtcould use it at some later date. The Policy Statement does not seem to directly apply to these in- formal banks.

However, since informal banking raises some of the problems involved in formal banking, it. The introduction of formal banking is an option for the states.

The states that already have adopted generic or banking rules mostly are more restrictive than the Policy State- ment.

For example, many rules allow either bubbles or offsets only - netting is almost invariably allowed -, they often exclude transfers to third parties, they ex- clude banking in the case where an ERC has been created by a shutdown or production curtailment or limit the dur- ation of the ERC in this case, they provide for geo- graphic discounting according to the distance of the sources involved even in VOC or NO trades where accord- Jfc ing to EPA pound-per-pound trades are possible , etc.

It remains to be seen to what extent the new principles and x. However, this problem has more aspects than addressed in the State- ment.

Firstr'the banking rules must determine the duration of banked ERCs. It appears that this is due to EPA's view that rules on duration of ERCs ar designed to prevent the hoarding of ERCs and are therefore not based on environmental but rather on economic consider tions.

However, this is true of quite a number of questions that have been addressed in the Policy Statement. The Offset Interpretive Ruling contained a one-year time limitation for ERCs created by shutdowns but states have generally not followed this guideline in de- vising their own offset policy under the Amendments.

With respect to netting, the applicable rules provide that the requirement of "contemporaneous" increases and decreases of emissions may be defined by the states; any reasonable time period is acceptable, the upper limit being 5 years The existing state generic and banking rules contain provisions on the duration of banked unused ERCs.

Normally, they set time-limits between 7 and 15 years. Some rules do not contain express provisions, others set much stricter requirements for ERCs created by shutdowns.

Second, the consequence of violations of the alternative emission limits imposed on the originator of an ERC as part of the emission trade must be determined.

The Policy Statement favors an absolute protection of an ERC already usedI In other words, the ERC shall not be "devaluated" or confiscated; rather, enforcement action is to be taken against the originator.

This is motivated by the goal to avoid law-suits between the parties to an emissions trade. The question whether, as a consequence of such a violation, an ERC that is banked but not yet used may be adjusted has not been addressed.

Finally, protection of ERCs against adjustment based on ambient considerations poses serious problems. Additional reductions of emissions may become necessary because the area does not attain the NAAQSs, new RACT requirements are introduced to attain ambient standards, or the area violates an increment for the prevention of significant deterioration.

According to the Policy Statement, the general principle for coping with this situation is that the existence of banked unused ERC must not interfere with the state's ability to obtain the additional re- ductions.

EPA seems to fear that such rules would deter industry from accepting ERC banking; it affords the states three options to avoid confiscation of ERCs or at least unequal treatment of operating sources and ERCs.

Under the first option, the necessary emission reductions would be imposed on all operating sources. An alternative to this option is an absolute protection for a limited time with the possibility of readjustment after expiration of the protected period.

The moratorium wou'. The third option would impose on ERCs the same amount of required emission reductions as. This amounts to a nominal devaluation of banked ERCs which, however, may be compensated by increased demand for these ERCs.

Nearly all generic and banking rules except those in California follow this system of equal reduction for operating sources and ERCs.

This option raises the problem that ERCs may become non-homogenous commodities due to dif- ferent source-specific discounting needs; however, this is unavoidable as long as the applicable SIP does not require over-the-board equal emission reductions from all sources but, rather, differentiates according to categories of sources.

How- ever, it is not a sufficient condition. The cost of al- ternative control options is a decisive factor. Besides, legal and administrative framework conditions play an im- portant role.

The design of the emissions trading system, the existing options for planning the contractual, tax and financial consequences of transactions in ERCs and the duration of administrative procedures involving emissions trades all may either foster or.

These aspects of emissions trading have just begun to emerge, and it is therefore difficult to make any more than preliminary assessments.

Unused ERCs may be seen as a convenient source of reductions. This has a confiscatory effect on banked ERCs. It is the policy,of EPA to encourage states to abstain from con- fiscation of ERCs to the extent possible and rather grant them cbsolute protection or at least treat operating sourcer and ERCs equally.

However, state rules show a great variety of approaches and the question is whether constitutional considerations afford owners of ERCs pro- tection against confiscation and require a particular de- sign or state banking systems.

It is generally agreed in the American discussion that there is a fundamental right of the state to adjust ERCs to new SIP requirements as an exercise of the police power.

Constitutional doctrine permits the conficcatory effects rl government regulation when nec. Constitutional protection is not excluded by the fact that ERCs are not private property in the strict sense.

The ERG certifies a future right to pollute in amounts indicated in the certificate which is reserved to the holders of the ERC.

However, this is no absolute right to pollute. Rather, the ERC confers upon the owner a right to a future permit; it can only be used in the permitting process for fulfilling the applicable SIP requirements and it may be subject to a variety of limitations on its use and even transfer.

Therefore, an ERC is not private property but, rather, a public right created by the state and accorded a citizen subject to limitations relating to its scope, terms of use, duration and transferability.

Analogues that have been referred to in the American dis- cussion are government licenses, such as broadcast li- censes under the Federal Communications Act of and crop acreage allotments quotas which were first intro- duced by the Agriculture Adjustment Act of These licenses are subject to close regulation; however, this does not exclude that they enjoy a certain degree of con- stitutional protection.

In determining whether state regulation is justified by the police power or compensation must be paid, courts balance the interest of the state in effective regulation and the loss incurred by the owner.

While the courts would generally defer to the public interest in regulation, they may afford the owner of an ERC a claim to compen- sation, especially where the-emission reduction.

However, if the creation or acquisition of a ERC is based on investment and the originator or purchaser is led to expect a certain use of the value of his "property", compensation may be neces- sary.

Also, a relevant factor is that the right has been created by the state and that the costs incurred by the possibility of adjustment are associated by a benefit conferred on the holder] the whole credit for the emis- sion reduction would be los.

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