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CAIR Allocations (Allowances)

Annual Allocations

DHEC, in cooperation with the Clean Air Markets Division of the EPA, administers the CAIR NOX Trading Program.

DHEC determines the allocations, also known as allowances or NOX credits for each facility subject to the CAIR in South Carolina. DHEC makes this determination according a regulatory formula that uses heat input data and considers the type of fuel burned (coal or natural gas in most cases).

The Annual Allocations are for the January to April and October to December NOX Trading Program.

On September 20, 2007, DHEC submitted the following allocations to EPA: SC CAIR EGU Annual Allocations for 2009-2012 (xls).

Timing

By October 31 of every 4th year, DHEC will submit allowance allocations to the EPA for the control periods in the 4th, 5th, 6th, and 7th years. So on October 31, 2013, for example, the 2017-2020 allocations were due.

By December 1 of every 4th year, the EPA will record allowances allocated for the control period in the sixth year after the year of the applicable deadline. So on December 1, 2013, allocations for 2019 will be recorded.

Ozone Season NOX Trading Budget for Allowances

Electricity-Generating Units

The South Carolina trading budget for Ozone Season allocations of CAIR NOX allowances for the 2009-2014 control periods is 15,249 tons, and in 2015 and thereafter is 12,707 tons.
DHEC will allocate 97% of these allowances to CAIR NOX units, which is 14,792 tons in 2009-2014, and 12,326 tons in 2015 and thereafter.

DHEC will reserve the other 3% for New Units in the New Unit Set-aside process, which is 457 tons in 2009 through 2014 and 381 tons in 2015 and thereafter.

Non-Electricity-Generating Units

The South Carolina trading budget for Ozone Season allocations of CAIR NOX allowances for the control periods in 2009 and thereafter is 3,479 tons.

DHEC will allocate 97% of these allowances to CAIR NOX units, which is 3,375 tons in 2009 and thereafter.

DHEC will reserve the other 3%, or 104 tons in 2009 and thereafter, for New Units in the New Unit Set-aside process.

For more information, contact Maeve Mason, Regulation and SIP Management Section, Air Quality, at (803) 898-2230.