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OAR Box 1840 

Prepped by Ollie Stewart 

Document Number: 

2DIV-H-39 

Docket Number: 

A-90-37 

Printed 11/14/2008 1:02:58 PM Sheet 21 of 23 
• 

To: Amy_L._Farrell@omb.eop.gov 

cc: 

Subject: another draft on clean unit 

, „ „ 

A-90-37 

IV-H-39 

Bill Wehrum 

10/04/2002 09:13 AM 

Amy - Here's the current Clean Unit draft. Remeber, it's still a work in progress. \JU., i.Tcr-ccis-curreru 

thinking on some of the issues we discussed yesterday. 

—- Forwarded by Bill Wehrum/DC/USEPA/US on 10/04/2002 09:11 AM — 

"1 

Lynn Hutchinson 

10/02/2002 03:14 PM 

To: Bill Wehrum/DC/USEPA/US@EPA 

cc: Juan Santiago/RTP/USEPA/US@EPA 

Subject: another draft on clean unit 

Here is a revised draft on the new clean unit section. I added another paragraph (c) in how the emission 

increase is determined for netting because it occurred to me that we might have new units (existing but 

less than two years of emissions data) that would be again modified. 

you were going to talk to Bruce about the paragraph on complying with the provisions for maintain the 

clean unit designation/status 

>*\ 

Cleanunit10-1edits.wp 
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(c) Clean Unit Test for emissions units that have gone' 

through conventional major NSR permitting pursuant to 

paragraph (a) of this section. The plan shall provide an owner 

or operator of a major stationary source the option of using the 

Clean Unit Test to determine whether a project at a Clean Unit is 

a major modification according to the provisions in paragraphs 

(c)(1) through (11) of this section. 

(1) Applicability. The provisions of this paragraph apply 

to any emissions unit for which the reviewing authority has 

issued a permit under its conventional requirements of the 

nonattainment major NSR program within the past 10 years. 

(2) Major modification provisions for Clean Unit - The 

Clean Unit Test. The provisions below in paragraphs (c)(2)(i) 

through (iv) of this section apply to determine whether a project 

at a Clean Unit is a major modification. Any activity at an 

emissions unit for which the owner or operator begins actual 

construction after the effective date of the Clean unit status 

(as determined in accordance with paragraph (c)(4) of this 

section) and before the expiration date (as determined in 

accordance with paragraph (c)(5) of this section) will be 

considered to have occurred while the emissions unit was a Clean 

Unit. 

(i) The definition of major modification at 

paragraph (a)(1)(v) of this section does not apply to Clean 

Units. 
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(ii) At a Clean Unit, a major modification means any project 

at the Clean Unit that meets both the criteria of the two-step 

evaluation process below: 

(A) Would the project cause the emissions unit to exceed 

the emission limit(s) contained in its permit issued under the 

conventional requirements of the major NSR program for one or 

more of the Clean Unit pollutants, or otherwise cause the unit to 

fail to maintain Clean Unit status as described below in 

paragraph (c)(7) of this section? If not, the change does not 

constitute a major modification and no action is required. If 

so, go on to paragraph (c)(2)(ii)(B) below. 

(B) Would the project result in a significant net emissions 

increase [as defined in paragraphs (a)(1)(vi) and (x) of this 

section] of one or more of the Clean Unit pollutants? If so, the 

change constitutes a major modification and is subject to review 

and permitting under the conventional requirements of the 

applicable major NSR program. If not, the emissions unit may not 

increase emissions unless the owner or operator obtains a permit 

under a SIP-approved permitting program that allows the emissions 

unit to increase emissions. 

(iii) For purposes of determining whether there will be a 

significant net emissions increase from the project as required 

under paragraph (c)(2)(ii)(B) above, the amount of emissions 

increase from the Clean Unit shall be computed as follows: 

(A) For an existing electric utility steam generating unit, 
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the increase is equal to the difference between the 

representative actual annual emissions (as defined in paragraph 

(a)(1)(xxi) of this section) and the baseline actual emissions 

(as defined in paragraph (a)(1)(xxxv) of this section) for the 

unit. 

(B) For an existing emissions unit (other than an electric 

utility steam generating unit), the increase is equal to the 

difference between the future annual emissions (as defined in 

paragraph (a)(1)(xxviii) of this section) and the baseline actual 

emissions (as defined in paragraph (a)(1)(xxxv) of this section) 

for the unit. 

(C) For a new emissions unit, the increase is equal to the 

difference between the unit's potential to emit and the baseline 

actual emissions (as defined in paragraph (a)(1)(xxxv) of this 

section) for the unit. 

(iv) If a project at a Clean Unit meets the criteria above 

in paragraph (c)(2)(ii)(A), then, following such change, the 

emissions unit no longer qualifies as a Clean Unit (regardless of 

whether the project also results in a significant net emissions 

increase), and the owner or operator may no longer use the Clean 

Unit Test to determine whether a project at the emissions unit is 

a major modification. 

(3) Qualifying or Re-Qualifying to use the Clean Unit 

Applicability Test. In order to use the provisions contained in 

paragraph (c)(2) of this section to determine whether a project 
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at an emissions unit is a major modification, the emissions unit 

must be a Clean Unit. An emissions unit automatically qualifies 

as a Clean Unit when the unit meets the criteria below in 

paragraphs (c)(3)(i) through (iii) of this section. After, the 

original clean unit status expires in accordance with paragraph 

(c)(5) of this section, such emissions unit may re-qualify as a 

Clean Unit under either paragraph (c)(3)(iv) below, or under the 

Clean Unit provisions in paragraph (d) of this section. To requalify as a Clean Unit under paragraph (c)(3)(iv), the emissions 

unit must obtain a new major NSR permit issued through the 

conventional requirements of the nonattainment major NSR program 

and meet all the criteria below in paragraphs (c)(3)(iv). Clean 

Unit status is determined individually for each pollutant emitted 

by the emissions unit. 

(i) Permitting requirement. The emissions unit must have 

been issued a major NSR permit under the conventional 

requirements of the nonattainment major NSR program within the 

past 10 years. If it is not clear from the face of the permit 

whether such permit carries out these requirements, then the 

owner or operator must be able to maintain and provide 

information that would demonstrate that this permitting 

requirement is met. . 

(ii) Qualifying air pollution control measures. Air 

pollutant emissions from the emissions unit must be reduced 

through the use of air pollution control technology (which 
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I 

includes pollution prevention) that meet both the following 

requirements: 

(A) The control technology achieves the lowest achievable 

emission rate (LAER) level of emissions reductions as determined 

through the conventional requirements of the nonattainment major 

NSR program within the past 10 years. However, the emissions 

unit is not eligible for Clean Unit status if the LAER 

determination resulted in no requirement to reduce emissions 

below the level of a standard, uncontrolled, new emissions unit 

of the same type. 

(B) The owner or operator incurred a capital expenditure to 

install the control measures. For the purpose of this 

determination, a capital expenditure includes expenses to 

research the application of a pollution prevention technique to. 

the emissions unit or expenses to apply a pollution prevention 

technique to an emissions unit. 

(iii) Date of operation of air pollution control measures. 

The emissions unit's control measures must have gone into service 

after November 15, 1990. 

(iv) Re-qualifying for Clean Unit Status. The emissions unit 

must obtain a new major NSR permit that requires compliance with 

the current-day lowest achievable emission rate (LAER)as 

determined under the conventional requirements of the 

nonattainment major NSR program, and the emissions unit must meet 

the requirements in paragraphs (c)(2)(ii)(A) and (c)(2)(iii) 
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above. 

(4) Effective date of Clean Unit status. The effective 

date of an emissions unit's Clean Unit status [that is, the date 

on which the owner or operator may use the Clean Unit Test to 

determine whether a project at the emissions unit is a major 

modification] is determined according to the applicable paragraph 

(c) (4) (i) or (c) (4) (ii) below. 

(i) Original Clean Unit Status, and Emission Units that requalify as Clean Units by implementing a new control technology 

to meet current-day LAER. The effective date is the date the 

emissions unit's air pollution control technology is placed into 

service, or three years after the issuance date of a permit 

issued under the conventional requirements of the nonattainment 

major NSR program, whichever is earlier, but no sooner than the 

date that provisions for the Clean Unit applicability test are 

approved by the Administrator into the State Implementation Plan 

and become effective for the State in which the unit is located. 

(ii) Emission Units that Re-qualify for as Clean Units 

Status using an existing control technology. The effective date 

is the date the new, major NSR permit is issued. 

(5) Clean Unit expiration. An emissions unit's Clean Unit 

status expires [that is, the date on which the owner or operator 

may no longer use the Clean Unit Test to determine whether at the 

emissions unit is a major modification] according to the 

applicable paragraph (c)(5)(i) or (ii) below. 
i 9_ 

(i)Original Clean Unit Status, and Emission Units that requalify by implementing new control technology to meeting current 

day LAER. For any emissions unit that automatically qualifies as 

a Clean Unit under paragraphs (c)(3)(i) through (iii) of this 

section, the Clean Unit status expires 10 years after the 

effective date, or the date the equipment went into service, 

whichever is earlier; or, it expires at any time the owner and 

operator fails to comply with the provisions for maintaining 

Clean Unit status in paragraph (c)(7) of this section. 

(ii)Emission Units that Re-qualify for Clean Unit Status 

using an existing control technology. For any emissions unit that 

re-qualifies as a Clean Unit under paragraphs (c)(3)(iv) of this 

section, the clean unit status expires 10 years after the 

effective date; or, it expires any time the owner or operator 

fails to comply with the provisions for maintaining the Clean 

Unit Status in paragraph (c)(7) of this section. 

(6) Required title V permit content for a Clean Unit. 

After the effective date of the Clean Unit Status, and in 

accordance with the provisions of the applicable Title V permit 

program under Part 70 or Part 71 of this chapter, but no later 

than when the Title V permit is renewed, the Title V permit for 

the major stationary source must include the following terms and 

conditions related to the Clean Unit: 

(i) A statement indicating that the emissions unit qualifies 

as a Clean Unit and identifying the pollutants for which this 
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designation applies; and, 

(ii) The effective date of Clean Unit status. If this date 

is not known when the Clean Unit status is initially recorded in 

the Title V permit (e.g., because the air pollution control 

technology is not yet in service), the permit must describe the 

event that will determine the effective date (e.g., the date the 

control technology is placed into service). Once the effective 

date is determined, the owner or operator must notify the 

reviewing authority of the exact date. This specific effective 

date must be added to the source's title V permit at the first 

opportunity, such as a modification, revision, reopening, or 

renewal of the title V permit for any reason, whichever comes 

first, but in no case later than the next renewal; and 

(iii) The expiration date of the Clean Unit designation. 

If this date is not known when the Clean Unit status is initially 

recorded into the Title V permit (e.g., because the air pollution 

control techonology is not yet in service), then the permit must 

describe the event that will determine the expiration date (e.g., 

the date the control technology is placed into service). Once 

the expiration date is determined, the owner or operator must 

notify the reviewing authority of the exact date. The expiration 

date must be added to the source's title V permit at the first 

opportunity, such as a modification, revision, reopening, or 

renewal of the title V permit for any reason, whichever comes 

first, but in no case later than the next renewal; and, 
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(iv) All emission limitations and work practice requirements 

adopted in conjunction with the lowest achievable emissions rate 

(LAER), and any physical or operational characteristics upon 

which the reviewing authority relied in making the LAER 

determination (e.g. the emission unit's capacity or throughput); 

(v) Monitoring, record keeping, and reporting requirements 

as necessary to demonstrate that the emissions unit continues to 

to meet the criteria for maintaining Clean Unit status. [See 

paragraph (c)(7) of this section, below]. 

(vi) Terms reflecting the owner or operator's duties to 

maintain the Clean Unit designation and the consequences of 

failing to do so, as presented below in paragraph (c)(7) of this 

section. 

(7) Maintaining Clean Unit status. To maintain Clean Unit 

status, the owner or operator must conform to all the 

restrictions listed below in paragraphs (c)(7)(i) through (iv) of 

this section. This paragraph (c)(7) applies independently to 

each pollutant for which the emissions unit has Clean Unit 

status. That is, failing to conform to the restrictions for one 

pollutant affects Clean Unit status only for that pollutant. 

(i) The Clean Unit must comply with the emission 

limitation(s) and/or work practice requirements adopted in 

conjunction with the lowest achievable emission rate that are 

recorded in the major NSR permit, and subsequently reflected in 

the Title V permit. 
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(A) The owner or operator may not make a physical change in 

or change in the method of operation of the Clean Unit that 

causes the emissions unit to function in a manner that is 

inconsistent with the physical or operational characteristics 

upon which the permitting authority relied in making the LAER 

determination (e.g. emissions units capacity or throughput). 

(B) The Clean Unit may not emit above a level that has been 

offset. 

(iii) The Clean Unit must comply with any terms and 

conditions in the title V permit related to the unit's Clean Unit 

status. 

(iv) The Clean Unit must continue to control emissions 

using the specific air pollution control technology that was the 

basis for its Clean Unit status. If the emissions unit or 

control technology is replaced than the Clean Unit status ends. 

(8) Credit for Emission Reductions at Clean Units. 

Emissions changes that occur at a Clean Unit must not be included 

in calculating a significant net emissions increase (that is, 

must not be used in a "netting analysis"), or be used for 

generating offsets unless the change occurs before the effective 

date of Clean Unit status; or, the change occurs after the Clean 

Unit status expires; or, the emissions unit reduces emissions 

below the level that qualified the unit as a Clean Unit. If the 

Clean Unit reduces emissions below the level that qualified the 

unit as a Clean Unit, then, the owner or operator may generate a 
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credit for the difference between LAER and the emission unit's 

baseline actual emissions if such reductions are surplus, 

quantifiable, permanent and federally enforceable. 

(9) Effect of redesignation on Clean Unit status. The 

Clean Unit status of an emissions unit is not affected by redesignation of the attainment status of the area in which it is 

located. That is, if a Clean Unit is located in an attainment 

area and the area is re-designated to nonattainment, its Clean 

Unit status is not affected. Similarly, redesignation from 

nonattainment to attainment does not affect Clean Unit status. 

However, if an existing Clean Unit status expires, it must requalify under the requirements that are currently applicable in 

the area.