Permitting Program Updates 1 C A P C O A E N G I N E E R I N G S Y M P O S I U M J U N E 4 , 2 0 1 3
Summary of Topics 2 Resent Final Rulemaking Actions GHG Rulemaking and Permitting Court Decisions Guidance
Final Rulemaking Actions 3 PM2.5 NAAQS Revised – New annual standard is 12 µg/m 3 [78 FR 3086, January 15, 2013] Fact Sheet: http://www.epa.gov/airquality/particlepollution/2012/decfsoverview.pdf Condensable PM Rule – revises how condensable PM is treated under the definition of regulated NSR pollutant. [77 FR 65107, October 25, 2012] Fact Sheet: http://www.epa.gov/nsr/documents/20121012fs.pdf 1997 8-hr Ozone, Anti-backsliding Provisions – finalized revisions to the first phase of implementation requirements for states/tribes/local permitting authorities [77 FR 28424, May 14, 2012] Fact Sheet: http://www.epa.gov/airquality/ozonepollution/pdfs/20120427fs.pdf Biomass Deferral – defers until July 21, 2014, greenhouse gas (GHG) permitting requirements for carbon dioxide (CO 2 ) emissions from biomass-fired and other biogenic sources. [76 FR 43490, July 20, 2011] Fact Sheet: http://www.epa.gov/nsr/documents/Biogenic_Fact_Sheet_June_2011.pdf
Final Rulemaking Actions – Cont’d 4 Fugitive Emissions Rule – Stayed indefinitely, regulatory text was amended to reflect the stay of this rule. [76 FR 17548, March 30, 2011] Fact Sheet: http://www.epa.gov/nsr/documents/20110308fefactsheet.pdf Repealed the PM2.5 Grandfathering Provisions - EPA issues a final rule to repeal the grandfather provision for PM2.5 contained in the federal PSD permit program. [76 FR 28646, May 18, 2011] Fact Sheet: http://www.epa.gov/nsr/documents/20110512grandfatherfs.pdf PSD/NSR Project Aggregation – Final rule revisions are delayed indefinitely. [75 FR 27643 May, 18, 2010] Fact Sheet: http://www.epa.gov/nsr/documents/20100506fs.pdf
GHG Rulemaking and Permitting 5 Step 3 of GHG Tailoring Rule – EPA retained the GHG permitting thresholds established in Steps 1 and 2 of the Tailoring Rule. Rulemaking also allows PALs to be issued on a CO2e basis. [77 FR 41051, July 12, 2012] Fact Sheet: http://www.epa.gov/nsr/documents/20120702fs.pdf Step 4 of GHG Tailoring Rule - EPA committed to complete a study of the administrative burdens by April 30, 2015, and to complete Step 4 by April 30, 2016. In this step EPA will revisit whether the GHG permitting thresholds need to be revised.
GHG PSD Program Approval Activity 30 25 20 15 10 5 0 R1 R2 R3 R4 R5 R6 R7 R8 R9 R10 Progress by Region
GHG Permit Issuance Data 7 Total number of applications under review has increased since the end of FY 2012. While local permitting agencies have most of the GHG permitting workload, Region 6 has the bulk of EPA’s GHG permitting workload. GHG Permit Status GHG Workload 200 200 183 172 180 180 160 160 139 140 140 111 120 120 100 100 FY2012 80 80 67 Mid FY2013 50 60 60 End of 33 37 40 40 FY2012 21 19 Mid FY2013 20 20 0 0 Current Applications Final Permits Issued EPA, except Region 6 States/locals Under Review Region 6
GHG Permitting Progress 8 GHG Permitting continues to be dominated by the energy, oil and gas, and chemical sectors. BACT has resulted in the application of energy efficiency standards for most sources. Add-on controls are increasing, but are still only applied to a relatively small number of sources. Permit Applications by Final GHG Permit Control Industry EGU (including CHP) 1% 3% 2% 1% 2% Oil and Gas Energy efficiency 6% 4% (Design/Work Chemicals Practice) 9% Minerals/Metals Add on controls - CO2 Pulp, Paper and Wood 46% Products 16% Cement Add-on controls - non-CO2 Ethanol 92% MWC 18% Universities
Recent Court Decisions 9 Fine PM Implementation Rule (Subpart 4) - January 4, 2013 DC Circuit held that the EPA should have issued its rules implementing the PM2.5 NAAQS according to the CAA requirements for PM10 nonattainment areas (Title I, Part D, subpart 4), not the general requirements for nonattainment areas (Title I, Part D, subpart 1). EPA’s summary: http://www.epa.gov/pm/2013/20130104dcdecision.pdf SILs and SMCs – January 23, 2013 This decision vacated the PM2.5 SILs and SMCs in the PSD permitting regulations. EPA’s summary: http://www.epa.gov/nsr/documents/summ_court_020613.pdf Q and A document: http://www.epa.gov/nsr/documents/20130304qa.pdf Source Aggregation (Summit Decision) – August 7, 2012 Sixth Circuit rejected EPA’s consideration of “functional interrelatedness”. EPA Memo: http://www.epa.gov/nsr/documents/SummitDecision.pdf GHG Regulations – June 26, 2012 The U.S. Court of Appeals for the D.C. Circuit upheld four of EPA’s greenhouse gas (GHG) rulemakings. This included EPA’s Endangerment Finding and the Tailpipe Rule on the merits and dismissed the petitions for review of the Timing Rule and the Tailoring Rule on standing grounds. [No. 09-1322 (D.C. Cir. June 26, 2012] Decision: http://www.epa.gov/climatechange/Downloads/endangerment/09-1322-1380690.pdf
Guidance/Other 10 EPA PSD Processing Guidance – October 15, 2012 Applies to EPA-issued permits, including delegated PSD programs. Does NOT apply to SIP-approved PSD programs, though it does provide useful guidance for SIP programs. http://www.epa.gov/region07/air/nsr/nsrmemos/timely.pdf Draft PM2.5 Modeling Guidance (comments were due by May 31, 2013) Includes how to use PM2.5 SILs, in light of court decision http://www.epa.gov/ttn/scram/guidance/guide/Draft_Guidance_for_PM25_Permit_Modeling.pdf Revised Policy for Interpollutant Trading Provision for PM2.5 – July 21, 2011 Districts can no longer rely on EPA’s default interpollutant trade ratios. Basin specific trade ratios must be established and approved by EPA in either SIP NSR rule or attainment plan. Case by case demonstrations are not permissible to PM2.5 trades. http://www.epa.gov/nsr/documents/20110721PM25InterpollutantTradingPolicy.pdf Other permit-related modeling guidance http://www.epa.gov/ttn/scram/guidance_permit.htm
Permitting Program Updates 11 For updates on rulemakings please visit: http://www.epa.gov/nsr.
For further questions contact… 12 Laura Yannayon: (415) 972-3534 Or Yannayon.Laura@epa.gov Or Lisa Beckham: (415) 972-3811 or Beckham.Lisa@epa.gov
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