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Highly-Reactive Volatile Organic Compound Emissions Cap and Trade (HECT) Program

Mandatory program for facilities that (a) are in the Houston-Galveston-Brazoria ozone nonattainment area, (b) have the potential to emit more than 10 tons of highly reactive volatile organic compounds (HRVOC) per year, and (c) are subject to the HRVOC control requirements of 30 Texas Administrative Code (TAC) Chapter 115, Subchapter H, Division 1, Vent Gas Control, or Division 2, Cooling Tower Heat Exchange Systems.

The Highly Reactive Volatile Organic Compound Emissions Cap and Trade (HECT) program was adopted on December 1, 2004. The HECT program establishes a mandatory annual cap for emissions of HRVOCs on all sites located in the Houston-Galveston-Brazoria ozone nonattainment area that have the potential to emit more than 10 tons per year of HRVOC and that are subject to the HRVOC control requirements of 30 TAC Chapter 115, Subchapter H, Division 1, Vent Gas Control Exit the TCEQ or Division 2, Cooling Tower Heat Exchange Systems Exit the TCEQ.

Original HRVOC level of activity certifications were required from applicable sites that produce or use HRVOCs no later than April 30, 2005, and from applicable sites that solely store, load, and/or unload HRVOC no later than January 30, 2005. The HECT program began on January 1, 2007. The cap and trade program is currently only active in Harris County.

HECT Annual Program Reports

2011 HECT Program Allowance Reallocation

Starting January 1, 2011, all participating Harris County sites will receive a revised allocation based on uncontrolled emissions as specified under 30 TAC Chapter 101, Subchapter H, Division 6 adopted by the commission on March 10, 2010, and effective April 1, 2010.  In order to provide participating sites time to prepare for the revised allocation, the new 2011 allocations are posted below.

The revised allocations will be deposited into each participating site’s HECT portfolio on January 1, 2011. Letters confirming the revised allocations and the executive director's decisions on requests for alternative provisions will be sent to each participating site.

These allocations were calculated according to the rule specifications under 30 TAC §101.394 using the HRVOC emissions and control efficiency data provided by participating sites through submittal of the ECT-6H form. Only sites applicable to the HECT program on the December 24, 2005, effective date and that have received allocations under the old allocation methodology are eligible to receive a revised allocation. Annual and stream trades using allocations derived from the original methodology will not be honored after January 1, 2011. Vintage 2010 allowances will be acceptable for compliance with the 2011 calendar-year control period. Trades in annual, vintage, or streams of HRVOC allowances calculated using the revised methodology will be conducted normally beginning January 1, 2011.

Harris County 25% Available HRVOC Cap Reduction

Beginning on January 1, 2014, the available Harris County HRVOC cap will be reduced by 10%, and all site allocations will be re-calculated accordingly.   Beginning in 2015, 5% stepdowns in the available cap will be made annually on January 1st of 2015, 2016, and 2017 for a total 25% reduction from the initial available 2011 cap by 2018.

Links to the instructions, guidance, forms, and submitted data used for the new allocation methodology are below:

Below is a link to the submitted HECT ECT-6H Baseline Emissions Certification Forms
(This data is as provided by participating companies. The data is not final and has not been verified by TCEQ. No supporting or confidential information is posted.)

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