[Code of Federal Regulations]
[Title 40, Volume 14]
[Revised as of July 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 40CFR77.5]

[Page 468]
 
                   TITLE 40--PROTECTION OF ENVIRONMENT
 
         CHAPTER I--ENVIRONMENTAL PROTECTION AGENCY (CONTINUED)
 
PART 77--EXCESS EMISSIONS--Table of Contents
 
Sec. 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 Sec. 77.4(b) 
(1) or (k) or in accordance with Sec. 72.91(b) of this chapter.
    (b) The designated representative shall hold enough allowances in 
the appropriate compliance subaccount to cover the deductions to be made 
in accordance with paragraph (a) or paragraph (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 Sec. 77.4 (c) or (k), the Administrator will 
immediately deduct allowances, from the unit's compliance subaccount on 
a first-in, first-out basis in accordance with Sec. 73.35(c)(2) of this 
chapter, equal to the amount of the unit's excess emissions of sulfur 
dioxide.
    (d) If a compliance subaccount does not contain adequate allowances 
to offset the excess emissions, the Administrator will deduct the 
required allowances whenever allowances are recorded to that account.