![[logo] US EPA](https://webarchive.library.unt.edu/eot2008/20090510070506im_/http://www.epa.gov/epafiles/images/logo_epaseal.gif){kind=logo}
NOx Budget Trading Program/NOx SIP Call
You will need Adobe Acrobat Reader to view some of the files on this page. See EPA's About PDF page to learn more about PDF, and a link to the free Adobe Acrobat Reader.
In 2003, EPA began to administer the NOx Budget Trading Program under the “NOx SIP Call.” The NOx Budget Trading Program is a market-based cap and trade program created to reduce emissions of nitrogen oxides (NOx) from power plants and other large combustion sources in the eastern United States. NOx is a prime ingredient in the formation of ground-level ozone (smog), a pervasive air pollution problem in many areas of the eastern United States. The NOx Budget Trading Program was designed to reduce NOx emissions during the warm summer months, referred to as the ozone season, when ground-level ozone concentrations are highest.
Visit the Progress Reports page for an overview of the progress made, and compliance under, the NOx Budget Trading Program.
Progressive flow control will be in effect for annual reconciliation for the 2008 Ozone Season at a ratio of 0.22
Program Implementation—Guidance Documents
- NOx Budget Trading Program Progressive Flow Control, May 2005 (PDF) (1 pp., 27 K)
- Policy on Carbon Monoxide (CO) Boilers Combusting CO from the Fluid Catalytic Cracking Units (FCCUs) (PDF) (2 pp., 13 K)
- Monitor Certification Guidelines for the NOx SIP Call and Section 126 Trading Programs, October 2001 (PDF) (21 pp., 140 K)
- Certification Application Review Checklist for the NOx Budget Trading Program, October 2001 (PDF) (2 pp., 168 K)
- OTC Sources under the Federal NOx Budget Trading Program: Guidance on Changing Monitoring Methods and Upgrading Monitoring Plans to EDR v2.1, October 2001 (PDF) (106 pp., 366 K)
- Monitoring Plan Review Checklist for NOx Budget Trading Plan, October 2001 (PDF) (2 pp., 150 K)
Allowance Information
As part of its responsibility to administer the NOx Budget Trading Program under the SIP Call, EPA’s Clean Air Markets Division will record allowance allocations in the NOx Allowance Management System (NAMS) according to the specifications of each state. The requirements for recording allocations in NAMS are that the state has finalized its SIP including its trading rules, the SIP is approved by EPA, and that the state submits to the Clean Air Markets Division an electronic file including account-specific allocation amounts.
To find specific information on allowance accounts, visit Data and Maps.
The NOx SIP Call
In October, 1998, EPA finalized the "Finding of Significant Contribution and Rulemaking for Certain States in the Ozone Transport Assessment Group Region for Purposes of Reducing Regional Transport of Ozone”—commonly called the “NOx SIP Call.” The NOx SIP Call was designed to mitigate significant transport of NOx, one of the precursors of ozone. For those states opting to meet the obligations of the NOx SIP call through a cap and trade program, EPA included a model NOx Budget Trading Program rule (Part 96). This trading program was developed to facilitate cost effective emissions reductions of oxides of nitrogen (NOx) from large stationary sources. Part 96 provides sources with a complete trading program including provisions for applicability, allocations, monitoring, banking, penalties, trading protocols and program administration. States choosing to participate in the NOx Budget Trading Program have the flexibility to modify certain provisions within the model rule.
The entire rulemaking history of the NOx SIP Call can be found on the Regional Transport of Ozone (RTO) page of the Transfer Technology Network Web site, maintained by the Office of Air Quality Planning and Standards. Rulemaking documentation includes:
- the Notice of Proposed Rulemaking (November 1997);
- the Supplemental Notice of Proposed Rulemaking (May 1998);
- the Final Rule (October 1998); and
- the RIA to the Final NOx SIP Call (October 1998).
Guidance Documents, Analysis, and Support Information for the NOx SIP Call
- NOx SIP Call Monitoring and Reporting Workshop Materials (2004)
- Part 96: NOx Budget Trading Program for State Implementation Plans (2003)
- Small Entity Compliance Guide (2000) (PDF) (102 pp., 350 K)
Compliance assistance for sources affected by the Federal NOx Budget Trading Program under the Section 126 Final Rule.
- EPA's Analysis Using the Integrated Planning Model (IPM) for the Final Section 126 Rule (1999)
- Economic Analysis of Alternate Methods of Allocating NOx Emission Allowances (1999) (PDF) (55 pp., 167 K) and Appendix (PDF) (12 pp., 30 K)
- Guidance Development Workgroup (1998 – 1999) Includes meeting materials and final guidance document from the Guidance Development Workgroup.