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# OAR Box 1781 Prepped by Ollie Stewart



### Document

Number: 

# 133 ) IV-C-4

7 Docket Number: 

# A-90-3 7

Printed 10/29/2008 10:46:24

AM Sheet 133 of 142;il ./uj . r m xo.ti rA A 20 2 56 4 155 4 

## /"•* S * * UNITE D STATE S ENVIRONMENTA L PROTECTIO N AGENC Y ' " WASHINGTON , D.C . 2046 0 ©oo :



### JA N I 9 

### 200 1 OFFIC E O F AI R AN D RADIATIO N MEMORANDU M SUBJECT : Statu s o f

th e Ne w Sourc e Revie w Improvemen t Rulemakin g TO : .. . FROM : Ne w Sourc e Revie w Stakeholder s

>er t Perciasep e / l J

j ' g/\A/*-&*^/^ istan t Administrate^ /

I Rober t Assistan t Ove r th e las t tw o year s w e hav e al l worke dhardto develo p improvement s t o th e Ne w Sourc e Revie w (NSR ) program . A s I hav e discusse dwit h you , I believ e i t

i s essential tha

t thi s progra mhav e greater

incentive s fo

r companie s t o emplo y th e mos t effectiv e emissio n reductio n technique s voluntaril y an d giv e greate r flexibilit y when companie s tak e thes e voluntar y actions . I a mwritin g t o share wit

h you wher

e w e are o n th e NS RImprovemen t effor t a s I leav e thi s office . We have come alon g wa y togethe r i n developin g th e conceptua l framewor

k fo r ho w EP A ca n improv e th e NS Rprogramb y providin g greater certaint y an dflexibility for

industr y without sacrificing th e leve l o f

environmenta

l benefit provide db y th e current

programo r

meaningful publi c participation . Du e t o th e arra y o f polic y andlega

l issue s tha

t aros e o n th e vas t

number of area s w e attempte d t o tackl e i n on e ver y larg e rulemaking , w e wer e no t abl e to complete th e regulator y package s i n thi s Administration . Th e concept s tha t w e develope dmake bot

h economi c an d environmenta l sens e becaus e i n retur

n fo r environmenta

l performance , industr

y will receiv e greater

flexibilit y andmor e certaint y fo r busines s investment

decisions . Th e concept s woul d no t

undercut th e basi c goal s o f

th e NS Rprogram . Th e concept s that

w e develope dan dwhich I suppor t are liste dbelow . I believ e man y o f thes e co t I d b e take n a s fina

l action s becaus e o f

th e hardwor

k w e hav e don e together . • Voluntar

y Alternativ e NS RProgra

mfo r th e Electri c Power

Generatin g Industry - Thi s voluntar y progra mwoul dallo w owner s o f

power plant s t o commi t

t o specific , verifiabl e e j tiission s reduction s acros s al l thei r electri c generatin g unit s over adefine dperio d o f tun e an d i n mos t

instance s wouldavoi dth e nee dt o ge t a n NS Rpermi t

when makin g change s a t thei r facilities .

Interne t Addres s (URL ) • http.7Avww.epa.go v Recycled/Recyclabl e • Printe d wit h Vegetabl e Oi ) Basa d Ink s o n Recycle d Pape r (Minimu m 30 % Postcon3umer )Plantwide Applicabilit y Limit s fPALsV- Sourc e owner s woul db e abl e t o mak e change s i o thei r facilitie s withou t

obtainin g amajo

r NS Rpermit , provide dthei r emission s d o no t excee d th e plantwid e cap . Also , facilit y owner s tha

t us e PAL s mus t

commi t t o instal l l>es t control s ove r

tim e to gai n thi s flexibility andcertainty . PAL s woul db e especiall y attractiv e t o thos e industrie s (e.g. , pharmaceutical s an d electronics ) wh o nee d t o make change s quickl y t o respon dt o marke t demand s i n orde

r t o stay competitiv e i n agloba l marketplace . Clarification s o f

Roles . Responsibilitie s andTim e Frame s fo r

Clas s I Are aReviews - '*he proces s fo

r revie w o f permi t application s b y Federa

l Lan dManager s (FLMs ) woul d b e clarifie d t o delineate th e role s o f th e sourc e owner , th e permittin g authorit y an d th e 1LM , i n conductin g permi t review s for

source s potentially affectin g ai r qualit y nea r .rationa l wildernes s area s an dpark s (Federa l Clas s I areas) . Thes e change s woul d reduc e <:elays an d dispute s associate dwit h permittin g application s fo r source s nea

r Federal Clas s I area s becaus e the y wouldprovid e atim e frame fo r th e FL M t o identif

y any concern s an d analyse s neede d fo r

th e permi t

applications . Also , i t

woul dclarif

y that th e FL M doe s no t hav e th e authority t o veto permits , an densure tha t th e FL M obtain s th e necessar

y informatio n t o conduc t

thei r permi t review s in atimel

y manner . Clea n Uni t Exemption - Thi s exemptio n woul dprovid e a n incentiv e fo r

sourc e owner s to instal l th e bes t

emissio n control s o n ne w o r modifiedemissio n unit s an dprovid e flexibilit y an d certaint

y s o tha t mos t futur e change s a

t such unit s woul dno t

trigger NSR . An owner o f a n emission s uni t

that meet s certai n minimu

mcriteri at o b e considere d "clean " coul d make mos t

change s t o thes e unit s withou t triggerin g NS Rfor

aspecifie d perio d o f time , suc h a s te n years . Innovativ e Contro l Technolog y Waiver - Thi s waive r woul dprovid e mor e flexibility fo r owner s o f source s wh o risk

tryin g innovativ e technologie s that hav e no t ye t bee n prove n effective . Shoul d th e innovativ e technologie s no t perfor mu p t o expectations , w e woul d provid e th e owner s wit

h tim e either

t o correc t th e deficiencie s o r

alternativel y apply a more standard contro l technology . Pollutio n Contro l Projec t

Exclusion - Thi s woul dcodif y ou r existin g polic y dia

t owner s o f facilitie s makin g change s t o thei r plant s tha t primaril y reduc e on e o r

mor e targete dai r pollutant s (bu t

whic h collaterally increas e other pollutants ) are exclude dfromNS R piovide d certai n condition s are met . W e woul dprovid e alis t o f environmentall y beneficia l technologie s that , absen

t othe r informatio n that

woul dindicat e tha

t th e project s w jul d no t b e environmentally beneficial , woul db e presumptively eligibl e fo r th e e > elusion . Contro l Technolog y Revie w Requirements - Becaus e dispute s aris e ove r wha t contro l technologie s are considere davailable , th e permi t revie w proces s ca

n becom e lengthy . T o iniprov e th e proces s fo

r obtainin g apermit , w e would(1 ) addadefinitio n o f19/0 1 FF I 15:2 2 FA X 20 2 56 4 155 4 P. 4 ©DO -

' S 'demonstrate d i n pxactice,"(2 ) provid e a"cu t off ' date for consideratio n o f

additional ijontrol technologies , (3 ) addprovision s tha t specif y whe n application s are deeme d "complete, " an d (4 ) requir

e that contro l technolog y determination s b e entere d int o a clearinghous e befor

e permit s can become effective . Nearly al l partie s i n ou r

discussion s identifie dth e nee dt o hav e al l o f th e dat ao n th e lates t contro l technology determination s made b y permittin g authoritie s i n th e EP A clearinghouse . Improving th e availabilit

y o f thi s informatio n t o everyon e wil l greatly assis t th e permittin g process . T o thi s end , I hav e committe dsignificant resource s t o gather

al l o f th e existin g data, , inpu t i t nto the database , and redesig n th e systemt o mak e i t easier fo r al l partie s t o pu t

i n new . dat ato kee p it up-to-date .

. . .On e o f the lesson s tha

t w e hav e learne dthroug h ou r ongoin g efforts i s that

it woul d b e difficult , i f no t impossible , t o improv e NS Ri n on e larg e rulemaking . Instead , I believ e i t i s bes t t o mak e incrementa

l change s tha

t wil l provid e flexibilit

y an dcertaint

y withou t sacrificin g th e benefit s o f th e current

program . I hop e th e ne w Administratio n wil l consider finalizing th e concept s describe d abov e tha t provid e flexibilit

y andcertaint

y withou t compromisin g environ ) nenta l protectio n t o mak

e nea r termprogress . I realiz e ther e are other issues , suc h a s applicabilit

y fo r th e bas e program , tha

t als o nee dresolution . Fo r

thes e remainin g issues , continue d discussion s i n th e contex t o f th e overal l progra

mar e needed . I appreciat e and thank

you fo r th e time , effor

t andinpu t tha t yo u hav e provide d over

th e pas t years , an d I believ e that

bot h industr y andth e environmen

t wil l benefi

t fro mth e approache s describe d above . •