Emissions Reduction Credit Program

The Emissions Reduction Credit (ERC) program is a voluntary program designed to support economic growth in areas that do not meet one or more National Ambient Air Quality Standards (NAAQS). The program helps new or expanding major stationary sources meet offset requirements while also improving air quality in the region.

How the ERC program works

In a nonattainment area, facilities may earn ERCs when they reduce emissions through:

• Operational changes
• Equipment reconfiguration
• Partial or full shutdown of processes

If the reductions meet regulatory requirements, a portion of the emission reductions may be banked for future use or transferred (sold) to another facility.

ERCs may be created, banked, transferred, and used only when emission reductions are:

• Surplus
• Permanent
• Quantifiable
• Federally enforceable

These requirements ensure that air quality benefits are real and meaningful.

When ERCs are used

ERCs can be used to meet offset requirements when:

• A new major stationary source wants to locate in a nonattainment area
• An existing facility plans a major modification

Using ERCs ensures the project does not worsen local air quality and, in many cases, results in an overall improvement.

More information

For questions about the ERC program, contact:

Bureau of Air Pollution Control
Phone: (775) 687‑9349