Sec. 168. "Potential emissions", for purposes of IC 13-17-7, means emissions calculated:
(1) before:
(A) the installation of air pollution control equipment; and
(B) the application of any applicable state or federal:
(i) rule;
(ii) regulation; or
(iii) statute;
that establishes emission limitations or standards; and
(2) after consideration of any physical or operational limitation on the capacity of a facility or source.