§96.41. Timing requirements for NO X allowance allocations. — Inbound Citations

(b) For each control period under § 96.41, the permitting authority will allocate to all NOX Budget units under § 96.4(a)(1) in the State that commenced operation before May 1 of the period used to calculate heat input under paragraph (a)(1) of this section, a total number of NOX allowances equal to 95 percent in 2003, 2004, and 2005, or 98 percent thereafter, of the tons of NOX emissions in the State trading program budget apportioned to electric generating units under § 96.40 in accordance with the following procedures:

(1) The permitting authority will allocate NOX allowances to each NOX Budget unit under § 96.4(a)(1) in an amount equaling 0.15 lb/mmBtu multiplied by the heat input determined under paragraph (a) of this section, rounded to the nearest whole NOX allowance as appropriate.

(2) If the initial total number of NOX allowances allocated to all NOX Budget units under § 96.4(a)(1) in the State for a control period under paragraph (b)(1) of this section does not equal 95 percent in 2003, 2004, and 2005, or 98 percent thereafter, of the number of tons of NOX emissions in the State trading program budget apportioned to electric generating units, the permitting authority will adjust the total number of NOX allowances allocated to all such NOX Budget units for the control period under paragraph (b)(1) of this section so that the total number of NOX allowances allocated equals 95 percent in 2003, 2004, and 2005, or 98 percent thereafter, of the number of tons of NOX emissions in the State trading program budget apportioned to electric generating units. This adjustment will be made by: multiplying each unit's allocation by 95 percent in 2003, 2004, and 2005, or 98 percent thereafter, of the number of tons of NOX emissions in the State trading program budget apportioned to electric generating units divided by the total number of NOX allowances allocated under paragraph (b)(1) of this section, and rounding to the nearest whole NOX allowance as appropriate.

(i) For a NOX allowance allocation under § 96.41(a), the average of the two highest amounts of the unit's heat input for the control periods in 1995, 1996, and 1997 if the unit is under § 96.4(a)(1) or the control period in 1995 if the unit is under § 96.4(a)(2); and

(ii) For a NOX allowance allocation under § 96.41(b), the unit's heat input for the control period in the year that is four years before the year for which the NOX allocation is being calculated.