# Presentation: 028990

## Methyl Bromide Critical Use Exemption Program

- Marta Montoro, US EPA/Office of Atmospheric Programs
- USDA/ARS NP 308 Methyl Bromide Assessment & Customer Workshop
- February 28, 2006
- Monterey, CA

## Overview of Presentation

- Methyl Bromide (MeBr) Critical Use Exemption (CUE) Background
- CUE Program Implementation
- CUE Regulatory Process
- Conclusions

## Background:  CUE and MeBr Phaseout

- 1990 Clean Air Act (CAA) required MeBr phaseout in 2001, no exemptions
- U.S. pushed for schedule to match Montreal Protocol (2005)
- 1998 CAA Amendment aligned U.S., Protocol
- 25% in 1999
- 50% in 2001
- 75% in 2003
- 100% in 2005 (with allowable exemptions such as CUEs, Quarantine & Preshipment)
- 2015 phaseout date for developing countries (some countries have accelerated the phaseout)

## Steps in Implementing CUE Process

- EPA solicits CUE applications from MeBr users through a _Federal Register_ notice
- EPA conducts technical & economic review of applications
- U.S. govt. develops Critical Use Nomination (CUN)
- State Dept. submits CUN to Ozone Secretariat
- Forwarded to Technology and Economic Assessment Panel (TEAP) & subsidiary body, Methyl Bromide Technical Options Committee (MBTOC)
- MBTOC reviews CUNs (2nd technical review, after EPA), provides recommendations to Parties
- Parties authorize exemptions in consensus-based fashion
- EPA conducts allocation Notice and Comment Rulemaking

## CUE Implementation:  Cont’d.

- All applications are carefully reviewed and assessed by EPA experts
- Technical analysis (pest pressure, effective alternatives, etc.)
- Economic analysis (yield losses, operating costs, etc.)
- The annual CUN is calculated on behalf of all U.S. critical users
- MBTOC now requires specific information on certain sectors during their review process in order to make recommendations

## CUE Requests Granted

## Regulatory Process

- EPA regulations typically require 12-18 months to become effective
- Sample Notice of Proposed Rulemaking (NPRM) Process:
- EPA Inter-Office Work Group concurrence required for significant actions
- Inter-Agency agreement required for MeBr rules, to ensure USDA, Dept. of State collaboration
- Office of Management & Budget (OMB) review--up to 90 days
- Package routed for signature & publication
- Public Comment period (30-60 days)
- Process repeated for Final Rules (except Public Comment)
- MeBr CUE regulations have all required expedited scheduling

## CUE Allocation

- Amount of overall total quantity allocation authorized by EPA mirrors Decisions taken by Parties
- The Parties authorize most of the CUE from new production, with the difference taken from pre-phaseout existing inventory
- Critical Use Allowances (CUAs)
- Critical Stock Allowances (CSAs)
- More flexible option (universal cap) preferred during Allocation Framework NPRM comment period (as opposed to sector-specific allocation)
- Pre-plant cap (CUAs)
- Post-harvest cap (CUAs)
- CSAs are unrestricted

## Regulatory Process: cont’d.

| ACTION | AUTHORIZATION BY PARTIES | DATE FINAL PUBLICATION |
| --- | --- | --- |
| Allocation Framework/
2005 CUEs | 1st Ex-MOP [Mar. 2004] | Dec. 23, 2004 |
| 2005 Supplemental | 16th MOP [Nov. 2004] | Dec. 13, 2005 (Direct Final pub. Aug. 30) |
| 2006 CUEs | 16th MOP [Nov. 2004];
2nd Ex-MOP [July 2005] | Feb. 6, 2006 |
| 2007 CUEs | 17th MOP [Dec. 2005] | TBD (no delays expected) |

## Conclusions

- U.S. CUE process very successful thus far; 90% of all U.S. requests granted for 2005-07 calendar years
- Future CUE authorizations from the Parties will continue to depend on robust nominations, research, and transition plans for alternatives
- EPA does not expect any delays in promulgating the 2007 CUE rule because all authorizations were granted 1 full year in advance
- Thank you to USDA and CUE applicants for your continued support and hard work!