40 CFR § 74.26 - Allocation formula.

---
identifier: "/us/cfr/t40/s74.26"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "40 CFR § 74.26 - Allocation formula."
title_number: 40
title_name: "Protection of Environment"
section_number: "74.26"
section_name: "Allocation formula."
chapter_name: "ENVIRONMENTAL PROTECTION AGENCY"
subchapter_number: "C"
subchapter_name: "AIR PROGRAMS"
part_number: "74"
part_name: "SULFUR DIOXIDE OPT-INS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "42 U.S.C. 7601 and 7651"
regulatory_source: "60 FR 17115, Apr. 4, 1995, unless otherwise noted."
cfr_part: "74"
---


# 74.26 Allocation formula.

(a) The Administrator will calculate the annual allowance allocation for a combustion source based on the data, corrected as necessary, under § 74.20 through § 74.25 as follows:

(1) For combustion sources for which the current promulgated SO<sub>2</sub> emissions limit under § 74.25 is greater than or equal to the current allowable SO<sub>2</sub> emissions rate under § 74.24, the number of allowances allocated for each year equals:

(2) For combustion sources for which the current promulgated SO<sub>2</sub> emissions limit under § 74.25 is less than the current allowable SO<sub>2</sub> emissions rate under § 74.24.

(i) The number of allowances for each year ending prior to the effective date of the promulgated SO<sub>2</sub> emissions limit equals:

(ii) The number of allowances for the year that includes the effective date of the promulgated SO<sub>2</sub> emissions limit and for each year thereafter equals:

[60 FR 17115, Apr. 4, 1995, as amended at 63 FR 18841, Apr. 16, 1998]