Revision to the 

## New Hampshire State Implementation Plan

For the 

## Certification of Reasonably Available Control Technology

For the 8-hour Ozone National Ambient Air Quality Standard



## January 2008

Prepared by 

## The New

Hampshire Department of Environmental Services

~ NEW

HAMPSHIRE DEPARTMENT OF 

# Environmental Services

### Table of Contents 1 .0 Summary . . . . . . . .. . . . . . . . . . .. . . . . . .. . . . . . .. . . . . . . . .. . . . . . . .. . . . . . . . .. . . . . . . .. .. . . . . . . .. . . . . . . . . .. . . . . . . . .. . . . . .. . . . . . . .. . .1 2.0 Background. . . .. . . . . . . . .. . . . . . . . .. . . . . . .. . . . . . . . .. . . . . . . .. . . . . . . .. .. . . . . . . . .. . . . . . . .. . . . . . . . . .. . . . . . . . .. . . . . .. . . . . . . .. . . 1 3.0 8-hour Ozone RACT SIP Determination .. . . . . . . .. . . . . . . . .. . . . . . . . . .. . . . . . . . . .. . . . . . . . .. . . . . .. . . . . . . .. . . 3 3.1 . Source Categories .. . . .. .. . . .. . . .. .. . . . . . ... . . . .. .. .. .. . . .. .. .. . . . .. . .. . . . .. .. .. . . . . .. . . .. . . . . . ... . . . .. .. . . .. ... . 4 3.2. Affected Sources.. . . . . .. .. .. . . . .. . .. . . . .. .. . . . . .. . . .. . . . . .. .. . . . . . ... . . . . . .. .. .. . . . . .. . . .. . . . .. .. . . . .. .. . . . .. .. . . 4 3.3. Negative Declaration . . .. . . . . ... .. . . . ... . . . . . .. . .. . . . . .. . .. . . . .. . .. . . . . . .. .. . . . . . .. . . . .. . . . ... . . . .. .. . . . . .. .. . . 6 3.4. Certification . . . .. . . .. . . . . .. . .. . . . .. .. . . . . .. .. . . . . . .. . . .. . . . .. . .. . . . .. . .. . . . . .. . .. . . . . .. .. .. .. . . . ... . . . .. .. . . . . .. .. . . 7 3.5. Compliance and Enforcement Strategies . . .. .. . . . .. ... . . . . . . .. . .. . . . . .. .. . . . . . . .. .. . . . . .. .. . . . .. .. .. 8 4.0 Additional Control Measures . .. . . . ... . . . . . . . .. .. . . . . .. . .. . . . . ... .. . . . .. .. .. . . . . .. . . .. . . . ... .. . . . .. .. . . . . .. .. . . 8 5.0 Administrative Materials . . . .. . . .. . . . ... . . . . . .. .. .. . . .. ... . . . . . . ... .. . . .. . .. .. . . .. . . .. . . . . . ... .. . . . .. .. . . . . .. .. . . 9 

### Appendix A List ofSource Categories Appendix B List of RACT Orders Appendix C List of Affected NOx and VOC Sources and Associated Emissions 

### Appendix D Public Notice for SIP Revision Appendix E Evidence of Legal Authority Appendix F Certification of Public Hearing Appendix G Public Comments and NH DES ResponseRACT SIP Revision Page 1 NHDES January 2008 

### 1 .0 Summary The New

Hampshire Department of Environmental Services (NH DES) is submitting this state implementation plan (SIP) revision to meet the requirements of the CleanAir Act (CAA) Section 172(c)(1), CAASection 182(b)(2), CAASection 184(b)(1)(B) and 40 CFR51 .912 to certify reasonably available control technology (RACT) requirements. NH DES submits this in accordance with these requirements, the general SIP submittal requirements of 40 CFRPart 51 Appendix V, and guidance provided by the U .S. Environmental Protection Agency (US EPA) .' In this submittal, NH DES certifies that the RACT regulations originally submitted under the provisions for the 1-hour ozone National AmbientAir Quality Standard (NAAQS) with a few

minor revisions over the years and all RACT Orders that have been issued by NHDES are considered to be RACT under the new 8-hour ozone NAAQS. Note that in 2002, NH DES updated the nitrogen oxide (NOx) RACT requirements for gas-fired turbines constructed after May 27, 1999, because NH DES found that facilities with new turbines were obtaining manufacturer guarantees with NOx emission limitations lower than the current RACT limits. The new emission limitation is only applicable to new turbines, because currently it is not economically feasible for existing turbines to meet this more stringent limit. Therefore, NHDES considers this new regulation for turbines as RACT. In addition, NHDES submitted revised portions of Env-A 1204 and Env-A 1211 to EPA for SIP approval on July 9, 2007. Note that Env-A 1205, VOC : Gasoline Dispensing Facilities and Cargo Trucks, was approved by EPA in 1998. Subsequently, this rule was superseded by Env-Wm1404 in 2004. However, DES is again considering further revision of this rule in accordance with the discussions of the Northeast States for Coordinated Air Use Management (NESCAUM) Stage II workgroup addressing widespread use of Onboard Refueling Vapor Recovery (ORVR) and the potential elimination of Stage II in New Hampshire. Therefore, NHDES is withdrawing the 2004 version of this rule and plans to submit a revision addressing widespread use later this year. On September 15, 2006, NH DES published in a statewide newspaper a public notice soliciting comment and announcing a public hearing for this SIPRevision. The public hearing was held on October 20, 2006 at the NHDES offices at 29 Hazen Drive. NH DES has documented and reviewed the comments received and provided a response in Appendix G

. NHDES amends the proposed SIPRevision submitted in September 2006 and resubmits it, with the additional documentation required to certify the SIP submittal . 

### 2.0 Background On July 18, 1997, the US EPAadopted a new 8-hour ozone NAAQS. The new 8-hour ozone NAAQS is 0

.08parts per million (ppm) based on the 3-year average of the annual fourth-highest daily maximum8-hour average ozone concentrations measured at each ' Memorandum

fromWilliamHarnett, Director, AirQuality Policy Division, EPAto Regional AirQuality Directors, US EPAdated May 18, 2006.RACT SIP Revision Page 2 NH DES January 2008 monitor. One of the strategies NHDES has used to attain and maintain the ozone NAAQS is to require stationary sources ofair pollution to reduce volatile organic compound (VOC) and nitrogen oxide (NOx) emissions. Ozone is not typically emitted directly into the atmosphere; instead NOx and VOCemissions chemically react to form ground-level ozone. In the past 3 years (2003 - 2005), New Hampshire did not exceed the new 8-hour ozone NAAQS. Based on this monitored data, NH DES does not need to require additional emission reductions in order to attain and maintain the new 8-hour ozone NAAQS. According to the "Final Rule to implement the 8-hour Ozone National Ambient Air Quality Standard" (70 FR 71612, November 29, 2006), states must develop and submit the following SIP revisions related to the new 8-hour ozone NAAQS: " Attainment demonstration " RACT determination. With the new

8-hour ozone NAAQS, the US EPAclassified the nonattainment areas based on measured design values and then further divided the areas into two subclassifications based on the 1-hour ozone design value (the fourth highest daily maximum ozone level (in ppm) monitored over the 3 year period (2001-2003)) as listed below : " Subpart 1 for areas where the 1-hour ozone design value is less than 0 .121 ppm ; and " Subpart 2for areas where the 1-hour ozone design value is greater than 0 .121 ppm . The 1-hour ozone design value for 2001 to 2003 for the Boston-Manchester-Portsmouth, NHarea is 0.124 ppm . This area includes portions of Hillsborough, Merrimack, Rockingham, and Strafford Counties . On April 30, 2004 (69 FR 23951), the US EPA designated these counties as a moderate nonattainment area for the 8-hour ozone NAAQS, even though no New Hampshire monitor had an 8-hour ozone design value equal to or greater than 0.092 ppm . NHDES agreed to the higher classification for regional consistency. The 1990 Clean Air Act Amendments (CAAA) under Section 184 created the Ozone Transport Region (OTR) consisting of Connecticut, Delaware, District of Columbia, Maine, Maryland, Massachusetts, New Hampshire, New

Jersey, New

York, northern Virginia, Pennsylvania, Rhode Island, and Vermont . The OTRis required to meet certain requirements, including additional control measures, more stringent major source emission thresholds, and the implementation of RACT throughout the region. According to the "Final Rule to Implement the 8-hour Ozone National Ambient Air Quality Standard" (70 FR 71612, November 29, 2006), Subpart 2 moderate and above areas and areas within the OTRare required to submit a RACT SIP. The State's SIP must assure that RACT is met through certification that previously required RACTRACT SIPRevision Page 3 NHDES January 2008 controls represent RACT for 8-hour ozone NAAQS implementation purposes or through a newRACT determination. The federal provisions require the application of RACT to major NOx and VOCsources and VOCsources for which a Control Technique Guideline (CTG) or Achievable Control Technology (ACT) document is published. The major source emission threshold is dependent upon the attainment/nonattainment classification and location in the OTR. The federal requirement for the emission threshold for major NOx sources in New Hampshire under the 8-hour ozone NAAQS is 100tons per year (tpy) statewide because the minimumfederal emission threshold in the OTRis 100tpy and also is 100 tpy in a moderate 8-hour ozone nonattainment area. The federal emission threshold for major VOC sources under the 8-hour ozone NAAQS is 50tpy statewide because the minimum federal emission threshold in the OTR is 50tpy even though the federal emission threshold for moderate 8-hour ozone nonattainment areas is 100tpy. For RACT applicability purposes, NHDES is currently more stringent than the federal emission threshold requirements under the 8-hour ozone NAAQS because NHDES currently uses the emission thresholds that NHDES adopted for the 1-hour ozone NAAQS, which were more stringent than required at that time as well . NH DES imposes RACT requirements on NOx sources with potential emissions equal to or greater than 50 tpy and on VOC sources with potential emissions equal to or greater than 10-50tpy depending upon the source category. RACT is defined as the application of a control technology that is reasonably available and economically and technically feasible. As recommended by the US EPA, NHDES used the 1-hour ozone RACT regulations and RACT Orders as the basis for conducting the 8-hour ozone SIPdetermination. 

### 3.0 8-hour Ozone RACT SIP Determination On May 18, 2006, the US EPA issued guidance on RACT in the formof a questions and answers document . States must certify RACT by reviewing all source categories for which either a Control Technique Guideline (CTG) or an Alternative Control Technique (ACT) document have been published, and for all major non-CTGsources. States must reviewthe CTGand ACT documents as well as other available guidance to determine whether current levels ofcontrols are RACT. To certify RACT, NHDES followed the general approach outlined below :

.

. Develop a list of source categories based on the ACT/CTG documents; Develop a list of source-specific RACT Orders for miscellaneous or multicategory source or sources seeking alternative RACT limits; Develop a list of affected VOC and NOx sources and emissions over time; Make a negative declaration for any source categories not present in New Hampshire; Certify RACT; and Indicate compliance and enforcement strategies.RACT SIP Revision Page 4 NH DES January 2008 

### 3.1 . Source Categories To certify RACT. NHDES first developed a list of source categories based on the ACT and CTGdocuments and determined which state regulation was adopted for each source category as shown in Appendix A . Note that NHDES originally adopted these regulations for the applicable source categories to meet RACT for the 1-hour ozone NAAQS. In 2002, NHDES readopted these regulations and updated the NOx regulation with respect to new

turbines. On July 9, 2007, NHDES submitted revised portions of Env-A 1204 and Env-A 1211 to EPAfor approval . NH DES also developed sourcespecific RACT Orders as summarized in Appendix B. All of the sources for which RACT orders were developed or to which a specific RACT regulation is applicable are included in Appendix C. Env-A 1204.05 includes provisions for sources to obtain a VOC RACT Order if the facility wants to seek alternative VOC RACT emission limitations or control technology requirements, or the VOC source is a multi-category source or in the miscellaneous category. Similarly for NOx sources, a facility may obtain a NOx RACT Order pursuant to Env-A 1211 .18 if the source falls under the miscellaneous source category pursuant to Env-A 1211 .14 or seeks alternative RACT emission limitations pursuant to Env-A 1211 .15. 

### 3.2. Affected Sources NH DES developed a list as shown in Appendix Cof VOC and NOx sources for which RACT is applicable, that is, those sources with potential emissions exceeding 50tons of NOx per year or, depending upon the source category, 10-50 tons of VOCper year. These lists also show the actual NOx emissions for these NOx sources and the actual VOC emissions for the VOC sources. Figures 1 and 2 show the NOx and VOC emissions fromthese RACT sources for 1990, 1996, 1999, and 2002. Emission data for 2005 have not been finalized yet and thus was not included in this SIP revision. As shown, the NOx and VOC emissions have decreased over time, either as a result of the application ofRACT, the installation of controls to meet other emission reduction requirements, or facility shutdowns. Actual VOC emissions fromthese RACT sources have decreased from2,805 tpy in 1990 to 1,153 tpy in 2002. Similarly, actual NOx emissions fromthese sources have decreased from41,300 tpy in 1990to 9,450 tpy in 2002.RACT SIP Revision Page 5 NHDES January 2008 Figure 1 . New

Hampshire NOx RACT Source Emissions 1990-2002 45,000 40,000 35,000 30,000 a 25,000 c 0 h w 20, 000 15,000 10,000 5,000

1990 1996 1999 2002 Year

Figure 2. New

HampshireVOCRACT Source Emissions 1990 - 2002 3,000

2,500

2,000 31 a 0 1,500 _N E © 1,000

500

1990 1996 1999 2002 YearRACT SIP Revision Page 6 NHDES January 2008 3.3. Negative Declaration NHDES did not adopt a RACT regulation for the following source categories and hereby declares that no such major sources or sources for which RACT is applicable are present in New Hampshire. This declaration is based on periodic field inspections, a comprehensive air permitting program, and a search, by SIC code of data bases maintained both by NHDES and by the New Hampshire Manufacturers' Association. NHDES conducted inspections at specific facilities that potentially matched the applicable SIC codes, but NHDESfound that RACT is not applicable.

.

.

.

.

.

.

.

.

.

. Refinery VacuumProducing Systems, Wastewater Separators, and Process Unit Turnarounds Surface Coating of LargeAppliances Factory Surface Coating of Flat Wood Paneling Volatile Organic Compound Leaks fromPetroleumRefinery Equipment Manufacture of Synthesized Pharmaceutical Products Manufacture of Pneumatic Rubber Tires Large PetroleumDry Cleaners Manufacture of High-Density Polyethylene, Polypropylene, and Polystyrene Resins Volatile Organic Compound Equipment Leaks fromNatural Gas/Gasoline Processing Plants Volatile Organic Compound Fugitive Emissions fromSynthetic Organic Chemical Polymer and Resin Manufacturing Equipment Volatile Organic Compound Emissions from Air Oxidation Processes in Synthetic Organic Chemical Manufacturing Industry (SOCMI) SOCMI Distillation and Reactor Processes Shipbuilding and Ship Repair Operations (Surface Coating) Aerospace Coatings Plywood Veneer Dryers Halogenated Solvent Cleaners Organic Waste Process Vents Polystyrene FoamManufacturing Bakery Ovens Industrial Wastewater Application ofAgricultural Pesticides Batch Processes Nitric and Adipic Acid Manufacturing Plants Process Heaters Cement Manufacturing Glass Manufacturing Iron and Steel ManufacturingRACT SIPRevision Page 7 NHDES January 2008 

### 3.4. Certification As discussed in Section 2.0, New Hampshire is now

monitoring attainment for the 8-hour ozone NAAQSstatewide based on data for 2003 through 2005. As such, these monitoring data indicate that NH DES does not currently need additional NOx and VOC emission reductions since the 8-hour ozone NAAQS has been met. Over time, however, New Hampshire may need additional reductions to maintain this standard, and NH DES will address such reductions in the attainment plan or other SIPrevisions, if necessary. NHDEScertifies that the current VOCand NOx RACT regulations are RACT under the 8-hour ozone NAAQS. This RACT certification is based on the fact that additional controls are not economically feasible at this time. In addition, current ozone monitoring data show

that New

Hampshire does notcurrently need additional emission reductions. NH DES also certifies that the current RACT regulations are RACT because NH DES developed regulations for each applicable source category listed in the CTGand ACT documents for which New Hampshire has a major source. The current RACT regulations are either as stringent as or more stringent than the requirements in the CTGand ACT documents issued as of September 2006. In 2002, NHDES readopted all of the VOCand NOx regulations. In 2002, NHDES also updated the state NOx RACT requirements for gas-fired turbines constructed after May 27, 1999, because NHDES found that facilities with new

turbines were obtaining manufacturer guarantees with NOx emission limitations lowerthan the current RACT. The new emission limitation is only applicable to new turbines, because currently, it is not economically feasible for existing turbines. Therefore, NHDEScertifies that this updated regulation for turbines is RACT. In July 2007, NHDES submitted the most recent version ofthe VOCand NOx regulations to the US EPAfor approval . Note that Env-A 1205, YOC : Gasoline Dispensing Facilities and Cargo Trucks, was approved by EPA in 1998. Subsequently, this rule was superseded by Env-Wm1404 in 2004. However, DES is again considering further revision of this rule in accordance with the discussions of the Northeast States for Coordinated Air Use Management (NESCAUM) Stage II workgroup addressing widespread use of Onboard Refueling Vapor Recovery (ORVR) and the potential elimination of Stage II in New Hampshire. Therefore, NH DES is withdrawing the 2004version of this rule and plans to submit a revision addressing widespread use later this year. NHDES regulations also allow the use ofsource-specific RACT Orders to meet RACT requirements. RACT Orders are for miscellaneous VOCand NOx source categories or VOCand NOx multi-category sources wishing to meet the RACT Order compliance option. RACT Orders are also for sources seeking alternative emission limits. For the alternative emission limits, the sources achieve the same amount of reductions as would be required underthe RACT regulation. The minimumVOC RACT requirements for miscellaneous or multi-category sources is an 81 % reduction in actual VOCemissions, a 20% reduction from1990emission levels, a 3.5 Ib VOC/gallon excluding water and exempt compound coating limit, or the source category specific RACT. ANOx source seeking an alternative emission limit must evaluate the economic and technical feasibilityRACT SIP Revision Page 8 NH DES January 2008 ofvarious NOx control options. To comply with either VOCor NOx RACT, sources may alternatively achieve the reduction by obtaining emission credits. For the miscellaneous source category and multi-category source, NHDES reviews the RACT/BACT/LAER clearinghouse and other state regulations to determine reasonably achievable emission limitations that are economically and technically feasible. In summary, NHDES certifies that its current RACT regulations are RACT under the new 8-hour ozone NAAQS. To make this determination, NH DES is not required to and did not need to rely upon air quality dispersion modeling. 

### 3.5. Compliance and Enforcement Strategies NH DES requires facilities to determine compliance with the RACT requirements. EnvA 1200describes the specific testing and monitoring requirements for each source category. In general, facilities using VOC add-on control technologies must followthe procedures of Env-A 800 for testing capture and control efficiency. Env-A 800 also requires sources to conduct NOx testing every three years to determine compliance with the NOx RACT requirements, unless the facility employs a certified continuous emissions monitor . Any testing conducted at the facilities must be witnessed by NH DES and follow

an approved protocol . Facilities complying with RACT also must meet the recordkeeping and reporting requirements pursuant to Env-A 900, including the submittal of annual emission inventories. On July 9, 2007, NHDES submitted revisions to Env-A 800and Env-A 900to the US EPAfor SIP approval . NHDES also monitors compliance with RACT requirements through permit deviation reports, Title V operating permit annual compliance certification reports, and periodic facility inspections. 

### 4.0 Additional Control Measures The Ozone Transport Commission is evaluating additional controls that the region and/or states may pursue for additional emission reductions. These measures may be more stringent than the basic RACT requirement or in addition to the RACT requirements . If NH DES chooses to adopt any of these requirements, they will be included in future SIP revisions. NH DES is also considering adopting regulations for flares, especially landfill gas flares, so that NHDESwill not have to develop a RACT Order and submit a SIPrevision for each new

flare.RACT SIPRevision Page 9 NH DES January 2008 

### 5.0 Administrative Materials This SIP submittal references the regulations that were adopted to meet RACT. Revisions to these regulations were most recently submitted to EPA for approval on July 9, 2007. These regulations became effective on the dates indicated in the summary table in Appendix A

. The evidence of the rule adoption for each regulation was included in the original SIP submittal for the regulations. Refer to the SIP submittal dates in Appendix A . Appendix D includes a copy of the public notice of the comment period and public hearing for this SIP revision. This public notice appeared in the Union Leader, a statewide newspaper, on September 15, 2006. NHDES has the legal authority to develop and adopt these regulations pursuant to RSA 125 C :4. Refer to Appendix E for a copy of this state law

. The Governor has designated the Director of the Air Resources Division as his designee per a copy of the letter included in Appendix E. Appendices F and G contain the certification of the public hearing and the comments received on this SIP revision and NHDES' responses.