Notice2026-04125
Allocations of Cross-State Air Pollution Rule Allowances From New Unit Set-Asides for 2025 Control Periods
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
March 2, 2026
Issuing agencies
Environmental Protection Agency
Abstract
The Environmental Protection Agency (EPA) is providing notice of the availability of data on emission allowance allocations to certain units under the Cross-State Air Pollution Rule (CSAPR) trading programs. The EPA has completed preliminary calculations for the allocations of allowances from the new unit set-asides (NUSAs) for the 2025 control periods and posted spreadsheets with these calculations on the Agency's website. The EPA will consider timely objections to the preliminary calculations--including objections regarding the identification of units eligible for allocations--before determining the final allocation amounts.
Full Text
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<title>Federal Register, Volume 91 Issue 40 (Monday, March 2, 2026)</title>
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[Federal Register Volume 91, Number 40 (Monday, March 2, 2026)]
[Notices]
[Pages 10090-10091]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-04125]
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ENVIRONMENTAL PROTECTION AGENCY
[FRL-13238-01-OAR]
Allocations of Cross-State Air Pollution Rule Allowances From New
Unit Set-Asides for 2025 Control Periods
AGENCY: Environmental Protection Agency (EPA).
ACTION: Notice of data availability.
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SUMMARY: The Environmental Protection Agency (EPA) is providing notice
of the availability of data on emission allowance allocations to
certain units under the Cross-State Air Pollution Rule (CSAPR) trading
programs. The EPA has completed preliminary calculations for the
allocations of allowances from the new unit set-asides (NUSAs) for the
2025 control periods and posted spreadsheets with these calculations on
the Agency's website. The EPA will consider timely objections to the
preliminary calculations--including objections regarding the
identification of units eligible for allocations--before determining
the final allocation amounts.
DATES: Submit objections to the information referenced in this notice
concerning NUSA allocations on or before April 1, 2026.
ADDRESSES: Submit your objections via email to <a href="/cdn-cgi/l/email-protection#084b5b49585a486d7869266f677e"><span class="__cf_email__" data-cfemail="b5f6e6f4e5e7f5d0c5d49bd2dac3">[email protected]</span></a>. Include
``2025 NUSA Allocations'' in the email subject line and include your
name, title, affiliation, address, phone number, and email address in
the body of the email.
FOR FURTHER INFORMATION CONTACT: For information about this notice,
contact Morgan Riedel at (202) 564-0421 or <a href="/cdn-cgi/l/email-protection#32405b5756575e1c5f5d4055535c725742531c555d44"><span class="__cf_email__" data-cfemail="76041f1312131a581b19041117183613061758111900">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: Preamble acronyms and abbreviations.
Throughout this document the use of ``we,'' ``us,'' or ``our'' refers
to the EPA. We use multiple acronyms and terms in this preamble. While
this list may not be exhaustive, to ease the reading of this preamble
and for reference purposes, the EPA defines the following terms and
acronyms here:
CFR Code of Federal Regulation
CSAPR Cross-State Air Pollution Rule
EPA Environmental Protection Agency
FR Federal Register
NO<INF>X</INF> nitrogen oxides
NUSA new unit set-asides
SO<INF>2</INF> sulfur dioxide
Background and Rationale. When the EPA is responsible for
determining emission allowance allocations in a CSAPR trading program,
a NUSA reserves a portion of each state's emissions budget, during each
control period of the program, for allocation to certain units that
would not otherwise receive allowance allocations. In addition, under
most of the trading programs, there is a separate Indian country NUSA
for states containing Indian country within their borders. The CSAPR
trading program regulations set forth procedures for identifying
eligible units during each control period and for allocating allowances
from the NUSAs and Indian country NUSAs to these units.<SUP>1 2</SUP>
Each NUSA allowance allocation process involves allocations to eligible
units, termed ``new'' units, followed by allocations to ``existing''
units of any remaining allowances.
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\1\ See 40 CFR 97.411(b) and 97.412 (Nitrogen Oxide
(NO<INF>X</INF>) Annual), 97.511(b) and 97.512 (NO<INF>X</INF> Ozone
Season Group 1), 97.611(b) and 97.612 (Sulfur Dioxide
(SO<INF>2</INF>) Group 1), 97.711(b) and 97.712 (SO<INF>2</INF>
Group 2), and 97.811(b) and 97.812 (NO<INF>X</INF> Ozone Season
Group 2, including units using Original Group 2 allowances and units
using Expanded Group 2 allowances).
\2\ The EPA has no current plans to determine NUSA allowance
allocations for the 2025 control period under the CSAPR
NO<INF>X</INF> Ozone Season Group 3 Trading Program regulations at
40 CFR 97.1012. In response to judicial stay orders, the EPA has
administratively stayed the implementation of that program for all
sources for the 2024 control period. This program implementation
will remain stayed for future control periods unless and until
provided otherwise in a future rulemaking. See 88 Federal Register
(FR) 49295 (July 31, 2023); 88 FR 67102 (September 29, 2023); 89 FR
87960 (November 6, 2024).
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This notice concerns the EPA's preliminary calculations for the
NUSA allowance allocations for the 2025 control periods. Generally,
under the allocation procedures, each eligible new unit receives a 2025
NUSA allocation equal to its 2025 control period emissions as reported
under 40 CFR part 75. If the total of such allocations to all such
eligible units exceeds the amount of allowances in the NUSA, the EPA
reduces the allocations on a pro-rata basis. The EPA does not consider
a unit's emissions that occur before its monitor certification deadline
as occurring during a control period and thus does not include these
emissions for determining NUSA allocations.\3\ After allocating
allowances to eligible new units, the EPA allocates any remaining
allowances to the state's existing units in proportion to those units'
previous allocations from the portion of the state's emissions budget
for the control period that was not reserved in a NUSA (or Indian
country NUSA).
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\3\ See 40 CFR 97.406(c)(3), 97.506(c)(3), 97.606(c)(3),
97.706(c)(3), and 97.806(c)(3).
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The EPA sets forth detailed, unit-by-unit data and preliminary
allowance allocation calculations for new units in Excel spreadsheets
titled ``CSAPR_NUSA_2025_NOx_Annual_Prelim_Data_New_Units,''
``CSAPR_NUSA_2025_NOx_OS_Prelim_Data_New_Units,'' and
``CSAPR_NUSA_2025_SO2_Prelim_Data_New_Units,'' which are available
online at <a href="https://www.epa.gov/csapr/csapr-allowance-allocations#nusa">https://www.epa.gov/csapr/csapr-allowance-allocations#nusa</a>.
Each spreadsheet contains a separate worksheet for every state covered
by that program and shows, for each unit identified as eligible for a
NUSA allocation, (1) the unit's emissions in the 2025 control period
(annual or ozone season, as applicable), (2) the maximum 2025 NUSA
allowance allocation for the unit (typically the unit's emissions in
the 2025 control period), (3) various adjustments to the unit's maximum
allocation if the NUSA pool is oversubscribed, and (4) the preliminary
calculation of the unit's 2025 NUSA allowance allocation.
Each state worksheet for new units also contains a summary showing
(1) the quantity of allowances initially available in that state's 2025
NUSA, (2) the sum of the 2025 NUSA allowance allocations to new units
in that state, assuming that there are no corrections to the data, and
(3) the quantity of allowances that would remain in the 2025 NUSA for
allocation to existing units, assuming that there are no corrections to
the data.
The EPA sets forth preliminary calculations of allocations of the
remaining unallocated allowances to existing units in Excel
spreadsheets titled
``CSAPR_NUSA_2025_NOx_Annual_Prelim_Data_Existing_Units,''
``CSAPR_NUSA_2025_NOx_OS_Prelim_Data_Existing_Units,'' and
``CSAPR_NUSA_2025_SO2_Prelim_Data_Existing_Units,'' which are available
at the same online location.
Objections should be strictly limited to the data and calculations
upon which the EPA has based the NUSA allowance allocations and sent
via email to the address identified in the ADDRESSES section of this
preamble. Objections must include: (1) precise identification of the
specific data and/or calculations the commenter believes are
inaccurate, (2) new proposed data and/or calculations upon which the
commenter believes the EPA should rely instead to
[[Page 10091]]
determine allowance allocations, and (3) the reasons why the Agency
should rely on the commenter's proposed data and/or calculations and
not the data referenced in this notice.
The EPA notes that an allocated allowance, or lack thereof, to a
given unit under a CSAPR trading program does not constitute a
determination that the trading program does or does not apply to the
unit. The EPA also notes that, under 40 CFR 97.411(c), 97.511(c),
97.611(c), 97.711(c), and 97.811(c), allocations are subject to
potential correction if a unit with allocated allowances for a given
control period is not an affected unit as of the start of that control
period.
Authority: 40 CFR 97.411(b), 97.511(b), 97.611(b), 97.711(b), and
97.811(b).
David Cozzie,
Acting Director, Industrial Processing and Power Division, Office of
Clean Air Programs, Office of Air and Radiation.
[FR Doc. 2026-04125 Filed 2-27-26; 8:45 am]
BILLING CODE 6560-50-P
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