---
kind: "section"
citation: "40 C.F.R. § 1090.725"
title: "40"
number: "1090.725"
heading: "Credit generation."
url: "https://uscodex.org/cfr/40/1090.725"
---

# §1090.725. Credit generation.

- (a) **Parties that may generate credits.**
  - (1) No person other than a gasoline manufacturer may generate credits for use towards an average standard specified in subpart C of this part.
  - (2) No credits may be generated for gasoline produced by any of the following activities:
    - (i) **Transmix processing.**
    - (ii) **Transmix blending.**
    - (iii) **Oxygenate blending.**
    - (iv) **Certified butane blending.**
    - (v) **Certified pentane blending.**
    - (vi) Importation of gasoline by rail or truck using the alternative sampling and testing requirements in [§ 1090.1610](/cfr/40/1090.1610.md).
  - (3) No sulfur credits may be generated at a facility if that facility used sulfur credits in that same compliance period.
  - (4) No benzene credits may be generated at a facility if that facility used benzene credits in that same compliance period.
- (b) **Credit year.** Credits generated under this section must be identified by the compliance period of generation. For example, credits generated on gasoline produced in 2021 must be identified as 2021 credits.
- (c) **Sulfur credit generation.**
  - (1) **The number of sulfur credits generated is determined as follows—**
  - (2) The value of CS,y must be positive to generate credits.
  - (3) Sulfur credits calculated under [paragraph (c)(1)](#c-1) of this section must be expressed to the nearest ppm-gallon. Fractional values must be rounded in accordance with [§ 1090.50](/cfr/40/1090.50.md).
- (d) **Benzene credit generation.**
  - (1) **The number of benzene credits generated is determined as follows—**
  - (2) The value of CBz,y must be positive to generate credits.
  - (3) Benzene credits calculated under [paragraph (d)(1)](#d-1) of this section must be expressed to the nearest benzene gallon. Fractional values must be rounded in accordance with [§ 1090.50](/cfr/40/1090.50.md).
- (e) **Credit generation limitation.** A gasoline manufacturer may only generate credits after they have finished producing or importing gasoline for the compliance period.
- (f) **Credit generation reporting.** A gasoline manufacturer that generates credits under this section must submit reports to EPA that contain all information regarding credit generation as specified in [§ 1090.905](/cfr/40/1090.905.md) using forms and procedures specified by EPA.

## Notes

### Amendments

[85 FR 78469, Dec. 4, 2020, as amended at 90 FR 4351, Jan. 15, 2025]

### Authority

Authority: 42 U.S.C. 7414, 7521, 7522-7525, 7541, 7542, 7543, 7545, 7547, 7550, and 7601.

### Source

Source: 85 FR 78469, Dec. 4, 2020, unless otherwise noted.

### Amendments

[85 FR 78469, Dec. 4, 2020, as amended at 90 FR 4351, Jan. 15, 2025]