Attachment 1

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### South Carolina Certification Clean Air Act Section 110(a)(1) and (2) PM2.5 Requirements

Each of the basic or infrastructure require ments enumerated in the October 2, 2007, guidance memo is listed below along with the correspo nding State statute granti ng the Department the necessary authority to implement each St ate Implementation Plan (SIP) element.

Emission limits and other control measures: Section 110(a)(2)(A) of the Clean Air Act (CAA) requires SIPs to include enforceable emission limits and other control measures, means or techniques, schedules for complia nce and other related matters. South Carolina Air Pollution Control Regulation 61-62.5, Standard No. 2, Ambient Air Quality Standards serves to establish emission limits for particulate matter (PM), while Regulation 61-62.1, Definitions and General Requirements addresses required control measures, mean s, and techniques. Section 48-1-50(23) of the 1976 South Carolina Code of Laws, as ame nded (hereinafter referre d to as S.C. Code Ann.) provides the Department with the statut ory authority to, “Adopt emission and effluent control regulations standards and limitations that are applicable to the en tire State, that are applicable only within specified areas or zones of the State, or that are applicable only when a specified class of po llutant is present.”

Ambient air quality monitoring/data system: Section 110(a)(2)(B) of the CAA requires SIPs to include provisions to provide for establishment and operation of ambient air quality monitors, collecting and analyzing ambient ai r quality data, and presentation of these data available to EPA upon request. Regulation 61.62.5, Standard No. 7, Prevention of Significant Deterioration , along

with the South Carolina Network Description and Ambient Air Network Monitoring Plan (conditionally approved by EPA in November 2007), provide for an ambient air quality monitoring system in the State. S.C. Code A nn. § 48-1-50(14) provides the Department with the necessary statutory authority to “Collect and disseminate inform ation on air and water control.”

Program for enforcement of control measures: Section 110(a)(2)(C) of the CAA requires States to include a program that provides for en forcement of all SIP measures and the regulation

of construction of new or modi fied stationary sources to m eet prevention of significant deterioration (PSD) and nonattainment new sour ce review (NSR) requirements. Regulation 61- 62.5, Standard No. 7, Prevention of Significant Deterioration , and Regulation 61-62.5, Standard 7.1, Nonattainment New Source Review , apply to the construction of any new major stationary source or any project at an existi ng major stationary sour ce in an area designate d as attainment or unclassifiable. On July 1, 2005, the Department submitted its PSD/NSR SIP revision to EPA for approval. In August 2007, the EPA sent to the State a draft conditional approval letter that

indicated modifications to the State PSD and NSR rules were necessary. On November 20, 2007, the Department sent to the EPA a written response outlining its commitment to making those modifications. Upon publication of the EPA’s final notice of conditi onal approval of these State rules in the Federal Register, the Depa rtment will thereafter commence with necessary changes to the regulations. S.C. Code Ann. § 48-1-50(10) provides the Department with the statutory authority to, “Require to be submitted to it and consider for approval plans for disposal system or source or any parts thereof and insp ect the construction thereof for compliance withAttachment 1

2 the approved plans.” Further, S.C. Code Ann. § 48-1-50(11) provides the Department with the statutory authority to “Administer penalties as ot herwise provided herein for violations of this chapter, including any order, perm it, regulation or standards.”

Interstate transport: Section 110(a)(2)(D) of the CAA requires SIPs to include provisions prohibiting any source or other type of emissions activity in one State from contributing significantly to nonattainm ent of the NAAQS in another State. States are required to submit 110(a)(2)(D)(i) plans to demonstr ate compliance with these provi sions. On June 25, 2007, South Carolina submitted its 110(a)(2)(D)(i) plan to EPA. In this submittal, South Carolina made a

demonstration that it met the re quired four-pronged se t of criteria as outlined below.

State SIPs must contain ade quate provisions prohibiting an y source or other type of emissions activity within the State from emitti ng any air pollutants in amounts that will:

1. Contribute significantly to nonatt ainment of NAQQS for areas in another state. (Prong 1)

South Carolina’s Clean Air Interstate Rule (C AIR) became state-effective on June 22, 2007. On December 10, 2007, EPA’s approval of South Carolina’s CAIR as a direct final rule became effective. South Carolina’s par ticipation in the CAIR trading program will satisfy this criterion.

2. Interfere with maintenance of NA AQS by any other State. (Prong 2)

Again South Carolina’s implementation of CAIR and participation in the trading program will satisfy this criterion.

3. Interfere with measures required to meet the implementation plan for any other State related to Prevention of Significant Deterioration (PSD). (Prong 3)

South Carolina’s participation in the CA IR trading program; implementation of Regulation 61-62.5, Standard No. 7, and Regula tion 61-62.5, Standard No. 7.1 (both of which provide for a preconstruction review and permitting program for major sources of air pollutants) collectively satisfy this criterion.

4. Interfere with measures required to meet the implementation plan for any other State related to Regional Haze a nd Visibility. (Prong 4)

South Carolina has satisfied this criterion through its Regional Haze Implementation Plan (submitted to EPA on December 21, 2007). The Regional Haze Implementation Plan was developed in consultation with other state, Federal Land Managers (FLMs), and regional planning organizations.

Adequate resources: Section 110(a)(2)(E) of the CAA requi res states to provide for adequate personnel, funding and legal author ity under State Law to carry out its SIP and related issues. The Department is provided its legal authority to establish a SIP and implement related plans, in general, under S.C. Code Ann. Section 48, Title 1. Specifically, S.C. Code Ann. § 48-1-50(12)Attachment 1

3 grants the Department the statutory authority to, “Accept, receive and administer grants or other funds or gifts for the purpose of carrying out any of the purposes of this ch apter; accept, receive and receipt for Federal money given by the Fe deral government under any Federal law to the

State of South Carolina for air or water control ac tivities, surveys or progr ams.” S.C. Code Ann. Section 48, Title 2 grants the Department st atutory authority to establish environmental protection funds. Additi onally, Regulation 61-30, Environmental Protection Fees , provides the Department with the ability to assess fees for environmental permitting programs. The Department implements the SIP in accordance w ith the provisions on S.C. Code Ann. § 1-23-40 and S.C. Code Ann. Section 48, Title 1.

Stationary source monitoring system: Section 110(a)(2 )(F) of the CAA re quires States to establish a system to monitor emissions from sta tionary sources and to submit periodic emissions reports. Regulation 61-62.1, Definitions and General Requirements , provides for an emission inventory plan that establishes reporting requirements, while S. C. Code Ann. § 48-1-22 provides the Department with the necessary statutory aut hority to “Require the owner of operator of any source or disposal system to establish and main tain such operation al r ecords; make reports; install, use and maintain monitoring equipment or methods; samples and analyze emissions or discharges in accordance with prescribed methods, at locations, intervals, and procedures as the Department shall prescribe; and provide such other information as the Department reasonably may require.”

Emergency power: Section 110(a)(2)(G) of the CAA requi res state to provide for authority to address activities causing imminent and substan tial endangerment to p ublic health, including contingency plans to implement the emergency ep isode provisions in their SIPs. Regulation 61- 62.3, Air Pollution Episodes requires that the Department provide for contingency measures when air pollution episode or exceedance that may lead to substantial threat to the health or persons in the State or region. S.C. Code Ann. § 48-1-290 grants the De partment the statutory authority as follows: “Whenever the Departme nt fins that an emergency exists requiring immediate action to protect the public health or property, the Department, with concurrent notice to the Governor, may without notice or hearing i ssue an order reciting the existence of such an emergency and requiring that such action be take n as the Department deems necessary to meet the emergency. Such order shall be effective i mmediately. Any person to whom such order is directed shall comply therewith immediately, but an application to the Department or by

direction of the Governor shall be afforded a hearing within fo rty-eight hours. On the basis of such hearing the Department shall continue su ch order in effect, revoke it or modify it. Regardless of whether a hearing is held, the De partment shall revoke all emergency orders as soon as conditions or operations change to the extent that an emergency no longer exists.” S.C. Code Ann. § 1-23-130 provides the Department with the statutory authority to establish emergency regulations.

Future SIP revisions: Section 110(a)(2)(H) of the CAA requ ires States to have the authority to revise their SIPs in response to changes in the NAAQS, availa bility of improved methods for attaining the NAAQS, or in response to an EPA fi nding that the SIP is subs tantially inadequate. S.C. Code Ann. Section 48, Title 1 provides the De partment the necessary statutory authority to

revise the SIP to accommodate changes in the NAAQS.Attachment 1

4 Consultation with government officials: Section 110(a)(2)(J) of the CAA requires States to provide a process for consultation with lo cal governments and FLMs carrying out NAAQS implementation requirements pursuant to sectio n 121 relating to consultation. Regulation 61- 62.5, Standard No. 7, Prevention of Significant Deterioration as well as provisions in separate implementation plans (such as the five-year review process under the Regional Haze Implementation Plan, which allows for consultation between appropriate stat e, local, and tribal air pollution control agencies as well as the corresponding FLMs) provide for continued consultation with government officials. Add itionally, S.C. Code § 48-1-50(8) provides the Department with the necessary statutory author ity to “Cooperate with the governments of the United States or other states or State agencies or organizations, officials, or unofficial, in respect to pollution control matters or for the formulation of interstate pollution control compacts or agreements.”

Public notification: Section 110(a)(2)(J) of the CAA further requires St ates to notify the public in NAAQS are exceeded in an area and to enhance public awarenes s of measures that can be taken to prevent exceedances. The Department ha s several public notice m echanisms in place to notify the public of PM and other pollutant foreca sting and has an extensive outreach program to educate the public and promote voluntary emi ssion reduction measures. Regulation 61-62.3, Air Pollution Episodes requires that the Department notify the public of any air pollution episode or exceedance. S.C. Code Ann. § 48-1-60 establishe d that, “Classification a nd standards of quality and purity of the environment [are] au thorized after notice and hearing.”

PSD and visibility protection: Section 110(a)(2)(J) of the CAA also requires State to meet applicable requirements of Part C related to PSD and visibility protection. Regulation 61.62.5, Standard No. 7, Prevention of Significant Deterioration, as well as the Regional Haze SIP together address visibility protection.

Air quality modeling/data: Section 110(a)(2)(K) of the CAA requires th at SIPs provide for performing air quality modeling so that effect s on air quality of emissions from NAAQS pollutants can be predicted and submission of su ch data to EPA can be made. Regulations 61- 62.5, Standards No. 2, Ambient Air Quality Standards and R. 61-62.5, Standard No. 7, Prevention of Significant Deterioration (as adopted in the SIP) re quire that air modeling be conducted to determine permit applicability.

Permitting fees : Section 110(a)(2)(L) of the CAA requires SIPs to require each major stationary source to pay permitting fees to cover the costs of reviewing, approving, implementing, and enforcing a permit. Pursua nt to S.C. Code Ann. § 48-2-50 (1993), the Department shall charge fees for environmenta l programs it administers pursuant to federal and state law and regulati ons. Regulation 61-30, Environmental Protection Fees , prescribes fees applicable to applicants and holders of perm its, licenses, certificates, certifications, and registrations as well as establishes procedur es for the payment of fees, provides for the assessment of penalties for nonpayment, and establ ishes an appeals process for refuting fees.

Consultation/participation by affected local entities: Section 110(a)(2)(M) of the CAA requires States to provide for consultation and pa rticipation in SIP development by local political subdivision affected by the SIP. Regulation 61-62.5, Standard No. 7, Prevention of SignificantAttachment 1

5 Deterioration (as adopted by the SIP) requires that th e Department notify the public of the application, preliminary determ ination, degree of incremental c onsumption, and the opportunity for comment prior to making a final permitting d ecision. Likewise, S.C. Code Ann. § 48-1-50(8) allows the Department to “Cooperate with the governments of the Un ited States or other states or State agencies or organizations, officials, or uno fficial, in respect to pollution control matters or for the formulation of interstate pollution cont rol compacts or agreements.” Other provisions regarding public hearings and the regulation de velopment process are included in S.C. Code Ann. Section 48, Title 1 in gene ral, and S.C. Code Ann. § 1-23-40 (the Administrative Procedures Act). The Department has worked closely with local polit ical subdivisions in developing the Transportation Conformity SIP, the Regional Haze Implementation Plan, the Early Action Compacts, and the 8-hour Ozone Attainment Demons tration for the York, County, South Carolina, portion of the Metrolina nonattainment area.

Other Notes: In September 2007, the Department also submitted its 8-hour Ozone attainment demonstration for the York County portion of the Metrolina Nonattainment Area. This document was developed in consultation with many interagency (both Federal and State) partners. In June 2007, the Department submitted its 110(a)(2)(D)(i) plan as final. In October 2007, the Department submitted a 110(a)(1) 8-hour ozone maintenance plan for Cherokee County, SC (which had previously been subject to a one-hour ozone maintenance plan). On December 13, 2007, the Department submitted a letter certifying that the infrastructure elements

associated with the 8-hour ozone st andard have been addressed.

Together these submissions, along with S outh Carolina's existing Air Quality State Implementation Plan, address the ne cessary elements of section 110(a)(1) and (2) of the CAA.