---
kind: "section"
citation: "40 C.F.R. § 77.5"
title: "40"
number: "77.5"
heading: "Deduction of allowances to offset excess emissions of sulfur dioxide."
url: "https://uscodex.org/cfr/40/77.5"
---

# §77.5. Deduction of allowances to offset excess emissions of sulfur dioxide.

- (a) The Administrator will deduct allowances to offset excess emissions in accordance with the offset plan approved under [§ 77.4(b)](/cfr/40/77.4.md?p=b) (1) or (k) or in accordance with [§ 72.91(b)](/cfr/40/72.91.md?p=b) of this chapter.
- (b) The designated representative shall hold enough allowances in the appropriate compliance account to cover the deductions to be made in accordance with [paragraph (a)](#a) or [paragraph (c)](#c) of this section.
- (c) If the designated representative does not submit a timely and complete proposed offset plan, or if the Administrator disapproves a proposed offset plan under § [77.4 (c)](/cfr/40/77.4.md?p=c) or [(k)](/cfr/40/77.4.md?p=k), the Administrator will immediately deduct allowances allocated for the year after the year in which the source has excess emissions, from the source's compliance account on a first-in, first-out basis in accordance with [§ 73.35(c)(2)](/cfr/40/73.35.md?p=c-2) of this chapter, equal to the amount of the source's excess emissions of sulfur dioxide.

## Notes

### Amendments

[58 FR 3757, Jan. 11, 1993, as amended at 70 FR 25337, May 12, 2005]

### Authority

Authority: 42 U.S.C. 7601 and 7651, et seq.

### Source

Source: 58 FR 3757, Jan. 11, 1993, unless otherwise noted.

### Amendments

[58 FR 3757, Jan. 11, 1993, as amended at 70 FR 25337, May 12, 2005]