Rio Bravo Poso 

Proposed PSD Permit SJ 85-06/ March 2012 

PREVENTION OF SIGNIFICANT DETERIORATION PERMIT 

ISSUED PURSUANT TO THE 

REQUIREMENTS AT 40 CFR § 52.21 

U.S. ENVIRONMENTAL PROTECTION AGENCY, REGION IX 

PSD PERMIT NUMBER: SJ 85-06 

PERMITTEE: Rio Bravo Poso 

19100 Von Karman, Suite 570 

Irvine, CA 92612

FACILITY NAME: Rio Bravo Poso Cogeneration 

FACILITY LOCATION: 16608 Porterville Highway 

Bakersfield, California 93308 

Pursuant to the provisions of the Clean Air Act (CAA), Subchapter I, Part C (42 U.S.C. Section 

7470, et. seq.), and the Code of Federal Regulations (CFR) Title 40, Section 52.21, the United 

States Environmental Protection Agency Region 9 (EPA) is issuing a Prevention of Significant 

Deterioration (PSD) air quality permit to Rio Bravo Poso (RBP). This Permit applies to the 

modification and operation of a 36 megawatt (MW) solid-fuel power plant known as Rio Bravo 

Poso Cogeneration facility (Poso) in Bakersfield, California. 

RBP is authorized to construct and operate the Poso power plant as described herein, in 

accordance with the permit application (and plans submitted with the permit application), the 

federal PSD regulations at 40 CFR § 52.21, and other terms and conditions set forth in this PSD 

Permit. Failure to comply with any condition or term set forth in this PSD Permit may be subject 

to enforcement action pursuant to Section 113 of the Clean Air Act. This PSD Permit does not 

relieve RBP from the obligation to comply with applicable federal, state, and Shasta County Air 

Quality Management District (District) air pollution control rules and regulations. 

This PSD Permit becomes effective on the <date of issuance pursuant to 40 CFR '

124.15(b)(3)>.

 

Deborah Jordon Date 

Director, Air Division 

 
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Proposed PSD Permit SJ 85-06/ March 2012 1 of 7 

PSD PERMIT 

RIO BRAVO POSO COGENERATION FACILITY 

(NSR SJ 85-06) 

The October 22, 1986 Approval to Construct originally issued to Rio Bravo Refining Company 

(RB) for the construction of a coal-fired cogeneration facility near Bakersfield, California, was 

revised on July 23, 1993, June 9, 1995, October 6, 1998 and May 21, 2004. It was amended on 

December 13, 2010 and August 29, 2011 to allow for a trial test burn of biomass at the facility. 

This proposed permit revision permanently incorporates clean cellulosic biomass into the 

allowable fuel mixture for the facility. 

Permit Conditions 

I. Permit Expiration 

This Approval to Construct/Modify shall become invalid (1) if construction is not 

commenced (as defined in 40 CFR 52.21(b)(8)) within 18 months after the approval takes 

effect, (2) if construction is discontinued for a period of 18 months or more, or (3) if 

construction is not completed within a reasonable time. 

II. Notification of Commencement of Construction and Startup 

The Regional Administrator shall be notified in writing of the anticipated date of initial 

start-up (as defined in 40 CFR 60.2(o)) of each facility of the source not more than sixty 

(60) days nor less than thirty (30) days prior to such date and shall be notified in writing 

of the actual date of commencement of construction and start-up within fifteen (15) days 

after such date. 

III. Facilities Operation 

All equipment, facilities, and systems installed or used to achieve compliance with the 

terms and conditions of this Approval to Construct/Modify shall at all times be 

maintained in good working order and be operated as efficiently as possible so as to 

minimize air pollutant emissions. 

IV. Malfunction Reporting 

The Regional Administrator shall be notified by telephone or electronic mail within 48 

hours following any failure of air pollution control equipment, process equipment, or of a 

process to operate in a normal manner which results in an increase in emissions above 

any allowable emissions limit stated in Section IX of these conditions. In addition, the 

Regional Administrator shall be notified in writing or electronic mail within fifteen (15) 

days of any such failure. This notification shall include a description of the 
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Proposed PSD Permit SJ 85-06/ March 2012 2 of 7 

malfunctioning equipment or abnormal operation, the date of the initial failure, the period 

of time over which emissions were increased due to the failure, the cause of the failure, 

the estimated resultant emissions in excess of those allowed under Section IX of these 

conditions, and the methods utilized to restore normal operations. Compliance with this 

malfunction notification provision shall not excuse or otherwise constitute a defense to 

any violations of this permit or of any law or regulations which such malfunction may 

cause. 

V. Right to Entry 

The Regional Administrator, the head of the State Air Pollution Control Agency, the head 

of the responsible local air pollution control agency, and/or their authorized 

representatives, upon the presentation of credentials, shall be permitted: 

A. to enter upon the premises where the source is located or in which any records are 

required to be kept under the terms and conditions of this Approval to Construct/ 

Modify; and 

B. at reasonable times to have access to and copy any records required to be kept under 

the terms and conditions of this Approval to Construct/Modify; and 

C. to inspect any equipment, operation, or method required in this Approval to 

Construct/Modify, and 

D. to sample emissions from the source. 

VI. Transfer of Ownership 

In the event of any changes in control or ownership of facilities to be constructed or 

modified, this Approval to Construct/Modify shall be binding on all subsequent owners 

and operators. The applicant shall notify the succeeding owner and operator of the 

existence of this Approval to Construct/Modify and its conditions by letter, a copy of 

which shall be forwarded to the Regional Administrator and the State and local Air 

Pollution Control Agency. 

VII. Severability 

The provisions of this Approval to Construct/Modify are severable, and, if any provision 

of this Approval to Construct/Modify is held invalid, the remainder of this Approval to 

Construct/Modify shall not be affected thereby. 

VIII. Other Applicable Regulations 

The owner and operator of the proposed project shall construct and operate the proposed 

stationary source in compliance with all other applicable provisions of 40 CFR Parts 52, 

60 and 61 and all other applicable Federal, State and local air quality regulations. 
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Proposed PSD Permit SJ 85-06/ March 2012 3 of 7 

IX. Special Conditions 

A. Certification

RB shall notify the EPA (Attn; Air-3) in writing of compliance with Conditions IX.B. 

and IX.J. below, and shall make such notification within 15 days of such compliance. 

This letter must be signed by a responsible representative of RB. 

B. Pollution Control Equipment 

On and after the date of startup (as defined in 40 CFR Part 60) of the facility, RB shall 

install, continuously operate, and maintain limestone injection for control of SO2 

emissions and selective non-catalytic reduction for control of NOx emissions. 

Limestone at a minimum Ca/S molar ratio of 1.6:1 shall be injected directly into the 

combustion chambers. 

A selective non-catalytic reduction system utilizing ammonia injection shall be 

incorporated within the boiler at a point where a temperature range of 1500- 1700°F is 

achieved during the normal operations. The ammonia use rate shall be between 1.0 and 

2.0 NH3/NOx (molal basis). (Revised July 23, 1993)

C. Performance Tests

1. Within 60 days after achieving the maximum production rate of the proposed 

equipment, but not later than 180 days after initial startup as defined in 40 CFR 

60.2(o), and at such other times as specified by the EPA, RB shall conduct or cause to 

be conducted performance tests for sulfur dioxide (SO2) and nitrogen oxides (NOx), 

and furnish the San Joaquin Valley APCD, the California Air Resources Board, and 

the EPA (Attn: Air-3) a written report of such tests. The tests for SO2, NOx, CO and 

PM10 shall be conducted on an annual basis and at the maximum operating capacity 

of the facility being tested. Upon written request (Air-3) from RB, EPA may approve 

the conducting of performance tests at a lower specified production rate. Also, after 

the initial performance tests and upon written request from RB, EPA may approve the 

deletion of a specific annual test for the combustion unit. (Revised March 2, 2012) 

2. Performance tests for the emissions of SO2, CO , and NOx and shall be conducted and 

results reported in accordance with the test methods set forth in 40 CFR 60 Appendix 

A, and 40 CFR 60.8. The following test methods shall be used: 

a. Performance tests for the emissions of NOx shall be conducted using EPA method 

1-4 and 7. 

b. Performance tests for the emissions of CO shall be conducted using EPA methods 

1-4 and 10. 
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c. Performance tests for the emissions of SO2 shall be conducted using EPA 

methods 1-4 and 6. 

d. Performance tests for the emissions for PM10 shall be conducted using EPA 

Method 201A in combination with EPA Method 202. (Revised March 2, 2012)

The EPA (Attn:Air-3) shall be notified in writing at least 30 days prior to such tests to 

allow time for the development of an approvable performance test plan and to 

arrange for an observer to be present at the test. Such prior approval will minimize the 

possibility of EPA rejection of test results for procedural deficiencies. In lieu of the 

above mentioned test methods, equivalent methods may be used with prior written 

approval from the EPA. 

3. For performance test purposes, sampling ports, platforms , and access shall be 

provided by RB on the combustion exhaust system in accordance with 40 CFR 

60.8(e). 

D. Emission Limits for SO2

1. On and after the date of startup, RB shall not discharge or cause the discharge into the 

atmosphere SO2 in excess of the more stringent of 14.0 lbs/hr or 20 ppm at 3% O2 (3-

hour average) from the stack venting from the fluidized bed combustion unit except 

during periods of startup and shutdown. (Revised May 21, 2004)

2. During startups and shutdowns, RB shall not discharge or cause the discharge into the 

atmosphere SO2 in excess of 0.11 lbs/MMBtu averaged over a 24-hour period. 

(Revised May 21, 2004)

E. Emission Limits for NOx

1. On and after the date of startup, RB shall not discharge or cause the discharge into 

the atmosphere NOx (as NO2) in excess of the more stringent of 38.9 lbs/hr or 78 

ppm at 3% O2 (3-hour average) from the stack venting from the fluidized bed 

combustion unit except during periods of startup and shutdown. (Revised May 21, 2004)

2. During startups and shutdowns, RB shall not discharge or cause the discharge into 

the atmosphere NOx (as NO2) in excess of 0.20 lbs/MMBtu averaged over a 24-hour 

period. 

F. Emission Limits for CO

On or after the date of startup, RB shall not discharge or cause the discharge into the 

atmosphere CO in excess of 105.1 lbs/hr (3-hour average) from the stack venting from 

the combustion unit. (Revised June 9, 1995)

G. Emission Limits for PM
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On or after the date of startup, RB shall not discharge or cause the discharge into the 

atmosphere PM excess of either 0.14lb/MWh gross energy output, or 0.015lb/MMBtu 

heat input, based on a daily average of each boiler operating day. Boiler operating day 

shall have the meaning as defined in 40 CFR 61 Subpart D-a. (Revised March 2, 2012)

H. Emission Limits for PM10

On or after the date of startup, RB shall not discharge or cause the discharge into the 

atmosphere PM10 in excess of 4.31 lb/hr, 0.0111 lb/MMbtu and 0.007 grains/dscf, based 

on a daily average of each boiler operating day. Boiler operating day shall have the 

meaning as defined in 40 CFR 61 Subpart D-a. (Revised March 2, 2012) 

I. Startup and Shutdown 

1. Combustor startup shall be defined as any period, not exceeding 96 hours, during 

which the combustor is set in operation and heated from a lower temperature to a 

steady state operating temperature. (Revised May 21, 2004) 

2. Combustor shutdown shall be defined as any period, not exceeding 6 hours, during 

which the combustor is cooled from its steady state operating temperature to a lower 

temperature followed by cessation of operation within the 6 hour period. (Revised May 

21, 2004)

J. Continuous Monitoring

1. Prior to the date of startup and thereafter, RB shall install, maintain and operate the 

following continuous monitoring systems in the fluidized bed combustion exhaust 

stack: 

a. Continuous monitoring systems to measure stack gas NOx, and SO2

concentrations. The systems shall meet EPA monitoring performance 

specifications (40 CFR 60.13 and 40 CFR 60, Appendix B, Performance 

Specifications 2 and 3). 

 

b. A continuous monitoring system to measure stack gas volumetric flow rates. The 

system shall meet EPA monitoring performance specifications (40 CFR Part 52, 

Appendix E). 

2. RB shall notify EPA (Attn: Air-3) of the date upon which demonstration of the 

continuous monitoring system performance commences (40 CFR 60.13(c)). 

3. RB shall maintain a file of all measurements, including continuous monitoring system 

performance evaluations; all continuous monitoring system or monitoring device 

calibration checks; adjustments and maintenance performed on these systems or 

devices; and all other information required by 40 CFR Part 60 recorded in a 

permanent form suitable for inspection. The file shall be retained for at least two 

years following the date of such measurement, maintenance, reports and records. 
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4. RB shall submit a written report of all excess emissions to EPA (Attn: Air-3) for 

every calendar quarter. The report shall include the following: 

a. The magnitude of excess emissions computed in accordance with 40 CFR 

60.13(h), any conversion factor(s) used, and the date and time of commencement 

and completion of each time period of excess emissions. 

b. Specific identification of each period of excess emissions that occurs during 

startups, shutdowns, and malfunctions of the fluidized bed combustion unit. The 

nature and cause of any malfunction (if known) and the corrective action taken or 

preventative measures adopted shall also be reported. 

c. The date and time identifying each period during which the continuous 

monitoring system was inoperative except for zero and span checks and the nature 

of the system repairs or adjustments. 

d. When no excess emissions have occurred or the continuous monitoring system 

has not been inoperative, repaired, or adjusted, such information shall be stated in 

the report. 

e. Excess emissions shall be defined as any consecutive 3-hour period during which 

the average emissions of NOx and/or SO2, as measured by the continuous 

monitoring system, exceed NOx and SO2 maximum emission limits set forth for 

each of the pollutants in IX.D. and IX.E. above. 

f. Excess emissions indicated by the CEM system shall be considered violations of 

the applicable emission limit for the purposes of this permit. 

K. Fuel Use and Sulfur Content 

1. RB shall not consume more than 836,520 pounds (on a dry basis) per day of 

petroleum coke and/or coal, based on a 30-day rolling average. (Revised March 2, 2012)

2. Two pounds of clean cellulosic biomass may be substituted for one pound of 

petroleum coke and/ or coal. (Revised March 2, 2012)

3. All fuels shall have a maximum sulfur content of 4.0 percent by weight as measured 

by current ASTM methods. The sulfur content of the fuel shall be measured monthly 

or certified by the supplier for each shipment. (Revised October 6, 1998)

4. RB shall maintain records of the amount and type of fuel used in the cogeneration 

unit, and the sulfur content of that fuel, in a permanent form suitable for inspection by 

EPA and the San Joaquin Valley APCD. The record shall be maintained for at least 

three years following the date of its making. 
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5. Clean cellulosic biomass shall have the meaning as defined in 40 CFR 241.2. In 

particular, clean cellulosic means those residuals that are akin to traditional cellulosic 

biomass such as forest-derived biomass ( e.g., green wood, forest thinnings, clean and 

unadulterated bark, sawdust, trim, and tree harvesting residuals from logging and 

sawmill materials), corn stover and other biomass crops used specifically for energy 

production ( e.g., energy cane, other fast growing grasses), bagasse and other crop 

residues ( e.g., peanut shells), wood collected from forest fire clearance activities, 

trees and clean wood found in disaster debris, clean biomass from land clearing 

operations, and clean construction and demolition wood. These fuels are not 

secondary materials or solid wastes unless discarded. Clean biomass is biomass that 

does not contain contaminants at concentrations not normally associated with virgin 

biomass materials. (Revised March 2, 2012)

L. New Source Performance Standards

The proposed cogeneration unit is subject to the Federal regulations entitled Standards of 

Performance for New Stationary Sources (40 CFR Part 60). RB shall meet all applicable 

requirements of Subparts A and D-a of this regulation. 

X. Agency Notifications 

All correspondence as required by this Approval to Construct/Modify shall be forwarded to: 

A. Director, Air Division (Attn: Air-3) 

EPA Region 9 

75 Hawthorne Street 

San Francisco CA 94105 

B. Chief, Stationary Source Division 

California Air Resources Board 

PO Box 2815 

Sacramento, CA 95812 

C. San Joaquin Valley APCD 

Southern Office 

34946 Flyover Court 

Bakersfield, CA 93308