---
kind: "section"
citation: "40 C.F.R. § 96.88"
title: "40"
number: "96.88"
heading: "NO X allowance allocations to opt-in units."
url: "https://uscodex.org/cfr/40/96.88"
---

# §96.88. NO X allowance allocations to opt-in units.

- (a) **NO—** X allowance allocation. (1) By December 31 immediately before the first control period for which the NOX Budget opt-in permit is effective, the permitting authority will allocate NOX allowances to the NOX Budget opt-in source and submit to the Administrator the allocation for the control period in accordance with [paragraph (b)](#b) of this section.
  - (2) By no later than December 31, after the first control period for which the NOX Budget opt-in permit is in effect, and December 31 of each year thereafter, the permitting authority will allocate NOX allowances to the NOX Budget opt-in source, and submit to the Administrator allocations for the next control period, in accordance with [paragraph (b)](#b) of this section.
- (b) For each control period for which the NOX Budget opt-in source has an approved NOX Budget opt-in permit, the NOX Budget opt-in source will be allocated NOX allowances in accordance with the following procedures:
  - (1) The heat input (in mmBtu) used for calculating NOX allowance allocations will be the lesser of:
    - (i) The NOX Budget opt-in source's baseline heat input determined pursuant to [§ 96.84(c)](/cfr/40/96.84.md?p=c); or
    - (ii) The NOX Budget opt-in source's heat input, as determined in accordance with subpart H of this part, for the control period in the year prior to the year of the control period for which the NOX allocations are being calculated.
  - (2) The permitting authority will allocate NOX allowances to the NOX Budget opt-in source in an amount equaling the heat input (in mmBtu) determined under [paragraph (b)(1)](#b-1) of this section multiplied by the lesser of:
    - (i) The NOX Budget opt-in source's baseline NOX emissions rate (in lb/mmBtu) determined pursuant to [§ 96.84(c)](/cfr/40/96.84.md?p=c); or
    - (ii) The most stringent State or Federal NOX emissions limitation applicable to the NOX Budget opt-in source during the control period.

## Notes

### Authority

Authority: 42 U.S.C. 7401, 7403, 7410, 7601, and 7651, et seq.

### Source

Source: 63 FR 57514, Oct. 27, 1998, unless otherwise noted.