CALIFORNIA AIR RESOURCES BOARD

APCD/AQMD RULE EVALUATION FORM

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I. GENERAL INFORMATION

District: South Coast Air Quality Management District

Rule No(s): Regulation XX Date adopted/Amended/Rescin ded: November 5, 2010 Amended

Rule Title(s): Regional Clean Air Incentives Market

Date Submitted to ARB: December 2 3 , 2010

If an Amended Rule, Date Last Amended (or Adopted): January 7, 2005

Is the Rule Intended to be s ent to the U.S. EPA as a SIP R evision? Yes No (If No, do not complete remainder

of form)

District Contact: Minh Pham, P.E. Phone Number: (909) 396

- 2613 E

- mail: mpham@aqmd.gov

Narrative Summary of New Rule or Rule Changes: New Rule Amended Rule

Regulation XX

- RECLAIM was amended to achieve additional SOx reductions pursuant to the 2007

AQMP Control Measure #2007CMB

- 02 and to address requirements for demonstrating Best Available

Retrofit Control Technology (BARCT) equivalency in accordance with California Health and Safety

Code §40440. The net RTC reductions from the amendment

, total 5.7 tons per day SOx by 2019

, surpass t he commitment made in the 2007 AQMP of 2.9 tons per day by 2015 by more than 95%

.

Pollutant(s) Regulated by the Rule (Check): ROG (NOx) SO2

(CO) PM TAC (name): Selenium

II. EFFECT ON EMISSIONS

Complete this section ONLY for rules that, when implemented, will result in quantifiable changes in emissions. Attach refere nce(s) for emission

factor(s) and other information. Attach calculation sheet showing how the emission information provided below was determined.

Net Effect on Emissions: Increase Decrease N/A

Emission Reduction Commitment in SIP for this Source Category : 2.9 tons per day S Ox

Inventory Year Used to Calculate Change s in Emissions: 1997 Area Affected: SCAQMD

Future Year Control Profile Estimate (Provide information on as many years as possible) : 4.0 tons per day r eductions achieved by compliance year 201 4 , which ends June 30, 201 5; and 5.7 tons

per day reducti ons achieved by compliance year 2019, which ends June 30, 2020.CALIFORNIA AIR RESOURCES BOARD

APCD/AQMD RULE EVALUATION FORM

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Baseline Inv entory in the SIP for the Control Measure: 11.7 tons per day S Ox

Emissions Reduction Commitment in the SIP for the Control Measure: 2.9 tons per day S Ox by

compliance year 2010, which ends June 30, 2011

Revised Baseline Inventory (if any): N/A

Revis ed Emission Reduction Estimate (if developed): Total of 5.7 tons per day S Ox by compliance year

201 9 , which ends June 30, 20 20 achieved in four phases:

Compliance Year Reductions (tons per day)

Phase 1 2013, which ends in June 30, 2014 3.0

Phase 2 201 4 which ends in June 30, 2015 4.0

Phase 3 2017 which ends in June 30, 2018 5.0

Phase 4 2019 and after which ends in June 30, 2020 5.7

As stated in subparagraph (f)(1)(P) of Rule 2002, the 1.7 tons per day reductions for years 2017

through 2019 will not be submitted to the SIP until the reductions have been effect for one full

compliance year. In the event if any of the 1.7 tons per day reductions do not occur in 2017

- 2019 as a result of RTC prices exceeding $50,000 per ton as stated in subparagraph ( f)(1)(Q), the AQMD will

achieve this portion of emission reductions by implementing other rules /regulations

.

III. SOURCES/ATTAINMENT STATUS

District is: Attainment for SOx Nonattainment for PM2.5/PM10 Split

Approximate Total Number of Small (<100 TPY) Sources Affected by this Amendment: 22 facilities as

shown in Table 5 of Rule 2002

Number of Large ( > 100 TPY) Sources Controlled: 11 facilities Percent in Nonattainment Area: 100 %

Name(s) and Location(s) (city and county) of Large ( > 100 TPY) Sources Controlled by Rule:

Facility Name City County

Chevron El Segundo Los Angeles

ExxonMobil Torrance Los Angeles

BP Carson Los Angeles

BP Wilmington Los Angeles

Tesoro Wilmington Los Angeles

Con ocoPhillips Wilmington Los Angeles

ConocoPhillips Carson Los Angeles

Ultramar Long Beach Los Angeles

Owens

- Brockway Vernon Los Angeles

Rhodia Carson Los Angeles

California Portland Cement Company Colton San BernadinoCALIFORNIA AIR RESOURCES BOARD

APCD/AQMD RULE EVALUATION FORM

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IV. EMISSION REDUCTION TECHNOLOGY

Does the Rule Include Emission Limits that are Continuous? Yes No (see explanation below)

If Yes, Those Limits are in Section(s)

Explanation : Rule 2002 specifies annual adjustment factors for compliance years 2 013

– 2019 and

thereafter applicable to RTC holdings as of the date of rule amen dment. The adjustment factors were

derived based on a program

- wide evaluation of BARCT for all source categories covered under the

program and distributed on a percentage basis across the 11 major facilities, investors, and 3 facilities

that had RTC holdi ngs higher than initial allocations as of August 29, 2009

. Fac ilities subject to RTC

reductions are expected to meet the declined facility caps via installing retrofit control technologies or purchasing RTC credits. If the facilities elect to install ret rofit control technologies, they are required

to measure their emissions with C ontinuous E missions M onitoring S ystem , and thus emission

reductions can be verified on a continuous basis.

V. OTHER REQUIREMENTS

The Rule Contains:

Emission Limits in Section( s): N/A

Work Practice Standards in Section(s): N/A

Recordkeeping Requirements in Section(s): N/A

Reporting Requirements in Section(s): N/A

VI. IMPACT ON AIR QUALITY PLAN

No Impact Impacts RFP Impacts attainment

Discussion: Implementation of amended Rule 2002 will reduce SOx emissions by approximately 4 tons

per day by 2014 which ends by June 30, 2015 ; and 5.7 tons per day by 2019 which ends by June 30,

2020