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ERC Terms

Emission Reductions Credits (ERCs)

ERC: Emissions Reductions Credits, or ERCs are used to construct new facilities in non-attainment regions. They are generated through the reduction of emission from an existing facility, through either shutting down, permanent limitation of capacity, or the installation of new technology to clean up emissions. ERCs are available for a variety of environmental pollutants.
Non-Attainment Region: Non-attainment regions are regions that do not meet the EPA’s standards for ambient air quality. They are subject to special regulations as a result of this, and ERCs are required to build any new polluting facility within them.