Tex. Health & Safety Code Section 386.056
Availability of Emissions Reductions in Certain Nonattainment Areas

(a)

An owner or operator of a site located in the Houston-Galveston or Dallas-Fort Worth nonattainment area may use emissions reductions generated by a program established under this chapter to offset the requirements of commission rules relating to control of air pollution from oxides of nitrogen if:

(1)

the owner or operator of the site contributes to the fund $75,000 for each ton of emissions that is used, not to exceed 25 tons annually and not to exceed one-half ton per day;

(2)

the owner or operator of the site demonstrates to the commission’s satisfaction that the site will be in full compliance with the commission’s emissions reduction rules not later than the fifth anniversary of the date on which the emissions reductions would otherwise be required;

(3)

emissions from the site are reduced by at least 80 percent from the established baseline; and

(4)

the commission approves a petition by the owner or operator that demonstrates that it is technically infeasible to comply with the commission’s emissions reduction requirements above 80 percent.

(b)

Funds collected under this section shall be used to generate emissions reductions needed to meet the commission’s attainment demonstration.

(c)

The commission shall verify that emissions reductions generated from funds collected under this section occur in the same nonattainment area in which the site that purchased the emissions reductions is located.

(d)

The commission shall assure that the emissions reductions funded under the programs authorized by this subchapter used to offset commission requirements under this section benefit the community in which the site using the emissions reductions is located. If there are no eligible emissions reduction projects within the community, the commission may authorize projects in an adjacent community. In this subsection, “community” means a justice of the peace precinct.

(e)

The commission shall assure that emission reduction credits may be received in the Houston-Galveston nonattainment area for energy efficiency and urban heat island programs in connection with the State Implementation Plan for the eight-hour ozone standard.
Added by Acts 2001, 77th Leg., ch. 967, Sec. 1(b), eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 1095 (H.B. 2129), Sec. 2, eff. September 1, 2005.

Source: Section 386.056 — Availability of Emissions Reductions in Certain Nonattainment Areas, (accessed Feb. 26, 2025).

382
Clean Air Act 383
Clean Air Financing Act 384
Area Emission Reduction Credit Organizations 386.001
Definitions 386.002
Expiration 386.051
Texas Emissions Reduction Plan 386.052
Commission Duties 386.053
Guidelines and Criteria 386.054
Monitoring Procedures 386.055
Availability of Emissions Reduction Credits Generally 386.056
Availability of Emissions Reductions in Certain Nonattainment Areas 386.057
Review and Reporting Requirements 386.101
Definitions 386.102
Program 386.103
Application for Grant 386.104
Eligibility Requirements 386.105
Calculation of Cost-effectiveness 386.106
Cost-effectiveness Criteria 386.107
Adjustment to Maximum Cost-effectiveness Amount and Award Amount 386.108
Infrastructure Projects 386.109
Eligible Infrastructure Projects 386.110
Application Package for Infrastructure Projects 386.111
Application Review Procedures 386.112
On-road Diesel Purchase or Lease Incentive 386.113
On-road Diesel Purchase or Lease Incentive Schedule 386.114
Modification of Incentive Emissions Standards 386.115
Modification of Vehicle Eligibility 386.116
Small Business Incentives 386.117
Rebate Grants 386.151
Definitions 386.152
Applicability 386.153
Commission Duties Regarding Light-duty Motor Vehicle Purchase or Lease Incentive Program 386.154
Light-duty Motor Vehicle Purchase or Lease Incentive Requirements 386.155
Manufacturer’s Report 386.156
List of Eligible Motor Vehicles 386.157
Light-duty Motor Vehicle Purchase or Lease Incentive 386.158
Commission to Account for Motor Vehicle Purchase or Lease Incentives 386.159
Purchase or Lease Incentives Information 386.160
Reservation of Incentives 386.181
Definitions 386.182
Commission Duties 386.183
Drayage Truck and Cargo Handling Equipment Purchase Incentive 386.205
Evaluation of Utility Commission Energy Efficiency Programs 386.250
Texas Emissions Reduction Plan Fund 386.251
Texas Emissions Reduction Plan Account 386.252
Use of Fund and Account 386.301
Definitions 386.302
Program 386.303
Application Package 386.304
Application Review Procedures 386.0515
Agricultural Product Transportation Projects 387
Air Quality Research Support Program 388
Texas Building Energy Performance Standards 389
Emissions Reduction Recognition Efforts 390.001
Definitions 390.002
Program 390.003
Application for Grant 390.004
Eligibility of Projects for Grants 390.005
Restriction on Use of Grant 390.006
Expiration 391.001
Definitions 391.002
Grant Program 391.003
Guidelines and Criteria 391.004
Availability of Emissions Reduction Credits in Certain Nonattainment Areas 391.101
Application for Grant 391.102
Grant Application Review Procedures 391.103
Evidence of Emissions Reduction Potential Required 391.104
Reporting Requirements 391.201
Eligibility of Projects for Grants 391.202
Evaluating Cost-effectiveness 391.203
Determination of Grant Amount 391.204
Cost Sharing 391.205
Preferences 391.301
Restriction on Use of Grant 391.302
Comptroller Review of Use of Grant Funds 391.303
Time of Use of Grant Funding 391.304
Expiration 392.001
Definitions 392.002
Program 392.003
Qualifying Vehicles 392.004
Application for Grant 392.005
Eligibility of Projects for Grants 392.006
Restriction on Use of Grant 392.007
Amount of Grant 392.008
Expiration 393.001
Definitions 393.002
Program 393.003
Application for Grant 393.004
Eligibility of Facilities for Grants 393.005
Restriction on Use of Grant 393.006
Amount of Grant 393.007
Expiration 394.001
Definitions 394.002
Program 394.003
Qualifying Vehicles 394.004
Application for Grant 394.005
Eligibility for Grants 394.006
Restriction on Use of Grant 394.007
Amount of Grant 394.008
Grant Procedures 394.012
Expiration 395.001
Definitions 395.002
Program 395.003
Eligible Applicants 395.004
Motor Vehicle Requirements 395.005
Refueling Infrastructure, Equipment, and Services 395.006
Eligible Costs 395.007
Grant Amounts 395.008
Availability of Emissions Reduction Credits 395.009
Use of Grant Money 395.010
Grant Procedures and Criteria 395.011
Funding 395.012
Administrative Costs 395.013
Rules 395.014
Report Required 395.015
Expiration
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Accessed:
Feb. 26, 2025

§ 386.056’s source at texas​.gov