[Federal Register Volume 62, Number 215 (Thursday, November 6, 1997)]
[Rules and Regulations]
[Pages 60132-60136]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-29385]



[[Page 60131]]

_______________________________________________________________________

Part III





Environmental Protection Agency





_______________________________________________________________________



40 CFR Part 80



Fuels and Fuel Additives; Elimination of Oxygenated Fuels Program 
Reformulated Gasoline (OPRG) Category From the Reformulated Gasoline 
Regulations; Final Rule

Federal Register / Vol. 62, No. 215 / Thursday, November 6, 1997 / 
Rules and Regulations

[[Page 60132]]



ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 80

[FRL-5917-7]
RIN 2060-AH43


Fuels and Fuel Additives; Elimination of Oxygenated Fuels Program 
Reformulated Gasoline (OPRG) Category From the Reformulated Gasoline 
Regulations

AGENCY: Environmental Protection Agency.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: In this action, the reformulated gasoline (RFG) regulations 
are amended to eliminate the separate treatment for a category of 
gasoline used in oxygen averaging. This category, oxygenated fuels 
program reformulated gasoline (OPRG), includes reformulated gasoline 
intended for use in a state oxygenated fuels program during the winter 
time. Under the current RFG regulations, a refiner must meet the oxygen 
content standards on average for the entire pool of gasoline they 
produce, and for the pool of gasoline they produce that is non-OPRG. 
EPA is taking this action because it no longer believes a distinction 
between OPRG and RFG that is not intended for oxygenated fuels program 
areas (i.e., non-OPRG) is necessary and because removal of the OPRG 
category would add flexibility and reduce compliance costs for 
regulated parties, without producing a negative environmental impact. 
Today's rule also removes a prohibition on adding oxygen to finished 
RFG, which will provide parties in RFG/oxygenated fuels program overlap 
areas with added flexibility in meeting both programs' standards.

EFFECTIVE DATE: November 3, 1997.

FOR FURTHER INFORMATION CONTACT: Anne-Marie C. Pastorkovich at (202) 
233-9013.

SUPPLEMENTARY INFORMATION:

I. Regulatory Entities

    Regulatory categories and entities potentially affected by this 
action include:

------------------------------------------------------------------------
                                                Examples of regulated   
                 Category                             entities          
------------------------------------------------------------------------
Industry..................................  Refiners, importers,        
                                             oxygenate blenders of      
                                             reformulated gasoline.     
------------------------------------------------------------------------

    This table is not intended to be exhaustive, but rather provides a 
guide for readers regarding entities likely to be regulated by this 
action. This table lists the types of entities that EPA is now aware 
could be potentially regulated by this action. Other types of entities 
not listed in the table could also be regulated. To determine whether 
your entity is regulated by this action, you should carefully examine 
the existing provisions at 40 CFR 80.2, 80.65, 80.67, 80.69, 80.75, 
80.77, 80.78, and 80.128, dealing specifically with OPRG. If you have 
questions regarding the applicability of this action to a particular 
entity, consult the person listed in the preceding FOR FURTHER 
INFORMATION CONTACT section.

II. Background

    On March 17, 1997, EPA proposed amendments to the reformulated 
gasoline (RFG) regulations that would eliminate the oxygenate program 
reformulated gasoline (OPRG) category.<SUP>1</SUP> As explained in that 
notice, EPA issued the proposed rule for several reasons. First, 
between 1993, when the final RFG rule was issued, and 1995, when the 
RFG program was implemented, the number of overlapping oxygenated fuels 
program and RFG areas significantly decreased. Although EPA is 
concerned that the statutory mandate for 2.0 weight percent oxygen for 
RFG is met,<SUP>2</SUP> the Agency feels that the specific risk of 
uneven RFG quality due to overlapping oxygenated fuels/RFG program 
areas is significantly less than was expected when the RFG regulations 
were promulgated. There is still some risk that an area might receive 
relatively low oxygen RFG because of averaging, but the risk is no 
longer as likely to be specifically caused by program overlap as in 
1993 and 1994.
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    \1\ 62 FR 12586 (March 17, 1997).
    \2\ In oxygenated fuels program areas implemented by states as 
required by section 211(m) of the Act, the minimum oxygen content 
during the winter control period is 2.7 weight % oxygen. This 
minimum for oxygenated fuels control periods is unaffected by 
today's rule and remains in force. Nothing in today's rule changes 
the applicable oxygen standards under the Federal RFG or state 
oxygenated fuels programs.
---------------------------------------------------------------------------

    Second, based upon EPA estimates made prior to the beginning of the 
first year of the RFG program, approximately one-third (33%) of all 
gasoline nationwide was predicted to be RFG. Oxygenated fuels program 
overlap areas outside of California accounted for approximately one-
third (33%) of the total RFG pool, with approximately 19% going to the 
New York CMSA.<SUP>3</SUP> EPA believes that any risk that an area 
might receive low oxygen RFG is significantly less than it appeared in 
1993 and 1994. As discussed in great detail in the proposed 
rule,<SUP>4</SUP> in 1994, roughly one-third of RFG was expected to be 
destined for several oxygenated fuels overlap cities outside of 
California. Today, the New York City CMSA is the only remaining overlap 
area outside California, although the Phoenix, Arizona moderate ozone 
nonattainment area opted into the RFG program <SUP>5</SUP> and is also 
an oxygenated fuels area. EPA continues to believe that the risk that 
an area might receive low oxygen RFG can be adequately addressed 
through another existing compliance mechanism--the RFG surveys required 
by 40 CFR 80.68.
---------------------------------------------------------------------------

    \3\ It should be noted that, since these estimates were made in 
1994, some areas have opted out of the RFG program and Sacramento, 
California joined the program as a required covered area, and 
comparative volume totals will have changed somewhat as a result. 
These estimates are not based upon the comparative volume of OPRG to 
RFG. Rather, they are ``straight'' estimates of a program area's 
share of the total RFG ``pool'' and are not broken down into 
compliance categories. The reader should be aware that OPRG gasoline 
likely represents a smaller, subset of the total volume represented 
for each area. The untitled document from which the volume estimates 
were taken has been placed in the public docket, docket # A-97-01, 
Category II(B). The docket is located at the Air Docket Section, 401 
M Street, SW, Room M-1500 Washington, DC and is open Monday through 
Friday from 8:00 a.m. to 5:30 p.m.
    \4\ 62 FR 12596, 12588.
    \5\ ``Regulation of Fuels and Fuel Additives: Extension of the 
Reformulated Gasoline Program to the Phoenix, Arizona Moderate Ozone 
Nonattainment Area,'' 62 FR 30260 (June 3, 1997). The Arizona opt-in 
became effective on July 3, 1997 for all persons other than 
retailers and wholesale purchaser-consumers and August 4, 1997 for 
retailers and wholesale purchaser-consumers.
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III. Response to Comments

    Effective Date: Three commenters wanted the rule to go into effect 
by the November 1, 1997, the start date for the 1997-1998 winter 
oxygenated fuels program. A fourth commenter wanted the rule to go into 
effect ``as expeditiously as due process considerations allow.'' The 
rationale for the earliest effective date is to allow regulated parties 
to take advantage of maximum flexibility.
    However, another commenter urged EPA to implement the change 
effective January 1, 1998, in order to alleviate financial burdens on 
certain regulated parties. Specifically, companies may have entered 
into contracts under which they have already paid for credits needed 
this year. An implementation date earlier than January 1, 1998 would, 
according to the commenter, devalue those purchased credits without the 
possibility of a refund to the purchaser.
    EPA believes that the rule should go into effect by November 1, 
1997, concurrent with the start of the oxygenated fuels program, in 
order to

[[Page 60133]]

allow regulated parties maximum flexibility. A January 1, 1998 start 
date falling in the middle of the state oxygenated fuels programs, 
would likely add unnecessary confusion. Delaying the start date until 
after the 1997-1998 oxygenated fuels season, e.g. until March 1, 1998 
or later, would impose an unnecessary burden on the majority of 
parties. Today's rule removes burdens associated with the maintenance 
of separate recordkeeping, reporting, and product transfer 
documentation for OPRG and non-OPRG categories, resulting in a general 
reduction in compliance costs. A greater cost benefit would be realized 
by the vast majority of parties if the rule is effective on November 1, 
1997, the start date of the oxygenated fuels program. Today's rule 
eliminates the prohibition on adding oxygen to finished RFG, which 
provides regulated parties in overlap areas with added flexibility in 
meeting both RFG and oxygenated fuels program standards.
    Although there may be an adverse effect on a few parties, the vast 
majority will benefit from the earliest implementation of today's rule.
    EPA has provided guidance on submitting 1997 RFG reports elsewhere 
in this notice.

Effects on Compliance Burdens and Recordkeeping

    Five commenters agreed that the rule to do away with the 
distinction between OPRG/non-OPRG will help add flexibility and reduce 
compliance burdens. Three of these five also agreed that this will also 
reduce compliance costs. EPA concurs with these statements. A sixth 
commenter was concerned that this rule will increase refiner's 
compliance burdens, but did not elaborate on how these burdens will 
increase. EPA believes that the reduction of the recordkeeping and 
reporting burdens associated with the OPRG category results in a 
positive impact in terms of cost, burden, and time for the vast 
majority of regulated parties.

Reporting

    Some commenters who were supportive of the proposal also noted that 
they might not have sufficient lead time to redesign their accounting 
methods and reporting software. These commenters asked for flexibility 
in reporting. One commenter asked that reporting parties should be 
given the option of reporting the OPRG/non-OPRG categories for reports 
covering calendar year 1997.
    EPA understands that this change may require alterations to some 
parties' accounting methods and software. For annual reports covering 
calendar year 1997 and for batch reports after November 1, 1997, a 
reporting party may choose to report using the OPRG/non-OPRG categories 
(i.e., to report ``as usual'') or to report all OPRG in the appropriate 
non-OPRG categories.
    For 1997 and subsequent years, EPA will look to the refiner's 
entire RFG production in order to determine compliance with the annual 
average for oxygen and will no longer recognize any distinction between 
OPRG and non-OPRG. The same approach will apply for compliance with the 
oxygen average for VOC-controlled RFG under the simple model.
    EPA plans to amend its reporting forms as soon as practicable in 
order to reflect the elimination of the OPRG/non-OPRG distinction.
    The RFG reports affected by this rule are: ``Reformulated Gasoline 
Program Oxygen Content Averaging Report'' (Simple Model & Complex 
Model), ``Reformulated Gasoline Program Credit Transfer Summary 
Report,'' and the ``Reformulated Gasoline and Anti-Dumping Batch 
Reports.''

Product Transfer Documentation

    Some commenters have asked whether they must eliminate the OPRG/
non-OPRG distinction on their product transfer documentation. 
Redesigned documentation and forms may not be ready by the effective 
date.
    Today's action removes all OPRG/non-OPRG distinctions in the 
regulations as of the November 1, 1997 effective date. Although parties 
may continue to use product transfer documentation differentiating OPRG 
from non-OPRG, such distinction is not required by EPA because it no 
longer holds any importance. However, regulated parties may wish to 
phase-out their use of OPRG category reporting, in order to reduce 
confusion.

Effects on Oxygenate Use/Toxic Increase

    One commenter stated that removal of the OPRG category will cause 
refiners to use less oxygenate and more aromatics in their gasoline. 
The addition of aromatics would substitute for lost octane. This effect 
was not quantified by the commenter, who stated that today's rule will 
cause the gasoline to emit more toxics.
    It is important to remember that EPA has not altered the standards 
applicable to refiners for oxygen content and toxics under either the 
reformulated gasoline or oxygenated fuels programs. Furthermore, the 
gasoline quality survey program for oxygenates and toxics, and other 
enforcement mechanisms still exist to ensure that the full 
environmental benefits of the oxygenate content and toxics standards 
are realized.
    It is possible that elimination of the OPRG/non-OPRG distinction 
may result in some decrease in the use of oxygenates, since credits 
generated in RFG areas that are also oxygenated fuels program areas 
(i.e. areas requiring a relatively high oxygen content of least 2.7 
weight % oxygen during the winter months) may be used in RFG areas that 
are not oxygenated fuels program areas (i.e. areas requiring at least 
2.0 weight % oxygen all year round). If oxygenate use decreases in some 
RFG/non-oxygenated fuels program areas, it is possible that toxics may 
increase in those areas. Nevertheless, EPA believes that the survey 
mechanism (discussed in greater detail for the following comment) is 
adequately designed to ensure the gasoline quality in each covered area 
will meet the standards on average for toxics.

Effects on Oxygenate Use/Survey Failures

    EPA received comments pertaining to the oxygenate use and survey 
failures. The commenters all agreed that EPA's enforcement mechanisms, 
including gasoline quality surveys, provide a means to ensure 
compliance with RFG program requirements. Two commenters thought that 
there may be a marginal increase in risk, but this would be discovered 
through the surveys and corrected.
    One commenter was concerned that blenders will take advantage of 
the elimination of the OPRG/non-OPRG distinction to minimize oxygenate 
use and this will cause areas to fail the surveys. A commenter felt 
that survey failures result from ``refiners [who] are learning to use 
the [credit trading] program.'' <SUP>6</SUP>
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    \6\ The commenter also urged EPA to ratchet the minimum oxygen 
standard from 1.5 weight % to 1.6 weight % for areas that failed the 
oxygen survey series in 1996. On July 31, 1997, EPA published a 
notice in the Federal Register announcing a ratchet for several 
covered areas. Please refer to ``Change in Minimum Oxygen Content 
for Reformulated Gasoline--Notice,'' 62 FR 41047 (July 31, 1997) for 
further information.
---------------------------------------------------------------------------

    EPA agrees that the risk of survey failures may increase in the 
absence of the OPRG/non-OPRG distinction, because more credits from RFG 
areas with wintertime oxygenated fuels program may be used by refiners 
to show compliance with the annual oxygen average applicable to the 
refiner, with less reliance on use of oxygen in RFG destined for RFG 
areas that are not

[[Page 60134]]

wintertime oxygenated fuels program areas. (See the preceding comment.)
    The existence of the credit trading program was required by section 
211(k)(7) of the Clean Air Act as amended in 1990, 42 U.S.C. Sec. 7545. 
Compliance with the RFG oxygen standards is shown over the course of a 
calendar year averaging period. Credits may be traded within and 
between all covered areas. A general risk always exists, even in the 
absence of the OPRG/non-OPRG distinction, that one area may receive RFG 
with a slightly higher oxygen content than another area. The compliance 
survey provisions, with ratchets upon survey failures, were adopted by 
the Agency to address this risk. In 1993 and 1994, the specific risk of 
uneven RFG quality due to overlapping RFG and oxygenated fuels program 
areas was significantly greater than it is today. Since 1993 and 1994, 
many areas have redesignated to attainment for carbon monoxide (CO) and 
were able to drop the oxygenated fuels program. The specific risk that 
an area might receive relatively low oxygen RFG because of program 
overlap has lessened, and EPA believes that the existing survey and 
enforcement mechanisms are adequate to address any additional risks 
there might be from eliminating the OPRG/non-OPRG category.

Phoenix, AZ

    Phoenix, AZ recently opted in to the Federal RFG program. One 
commenter stated that this should not affect the decision to remove the 
OPRG reporting category. EPA agrees with this comment. Overall, the 
number of non-California RFG/oxygenated fuels program overlap areas has 
decreased significantly since the RFG program regulations were 
finalized in 1993. EPA does not believe that the addition of Phoenix to 
the program warrants the burden and expense associated with retention 
of the OPRG category.

Economic Impact

    EPA received one comment from a party who claimed that today's rule 
might have an unspecified negative economic impact on one sector of the 
oxygenate industry (i.e., the sector that deals with oxygen credit 
contracts). Another commenter stated that the effort of eliminating the 
OPRG/non-OPRG distinction may be a great one compared to the benefit 
received. All other commenters endorsed the proposed changes as 
economically beneficial.
    EPA believes that the vast majority of regulated entities, 
including small businesses, are reasonably expected to experience 
significant cost savings as a result of today's regulation. EPA does 
not believe that today's action will, in and of itself, have any 
significant impact on oxygenate markets.
    EPA disagrees with the characterization that the elimination of 
removing the OPRG/non-OPRG distinction would require great effort. The 
Agency has designed the regulatory changes to permit great flexibility 
for all affected parties. For example, EPA has permitted flexibility in 
reporting for all RFG and anti-dumping reports covering calendar year 
1997 and due to be submitted on or after November 1, 1997.

III. Today's Rule

    EPA is amending the Federal RFG regulations to remove the use of a 
separate OPRG category and to eliminate the distinction between OPRG 
and non-OPRG. The following sections would be affected by today's 
proposal. In most cases, the changes are minor and would remove 
references to, and distinctions between, the eliminated OPRG category 
and RFG which is non-OPRG.

------------------------------------------------------------------------
        40 CFR Part 80, Section               Description of change     
------------------------------------------------------------------------
Section 80.2--Definitions. 80.2(nn)....  Definition of ``Oxygenated     
                                          fuels program reformulated    
                                          gasoline,'' or ``OPRG'' is    
                                          deleted.                      
Section 80.65--General requirements for  Requirements for designation of
 refiners, importers, and oxygenate       gasoline as OPRG or non-OPRG  
 blenders. 80.65(d)(2)(iii) (A) and (B).  are deleted.                  
Section 80.67--Compliance on average.    Deletes requirements to meet   
 80.67(f)(2)(ii), 80.67(h)(1)(v) (A)      oxygen average separately and 
 and (B).                                 to segregate credits for non- 
                                          OPRG, since the OPRG versus   
                                          non-OPRG distinction is       
                                          eliminated.                   
Section 80.69--Requirements for          These sections are deleted, to 
 downstream oxygen blending. 80.69(f)     reflect that there would no   
 (1) and (2).                             longer be a category known as 
                                          ``OPRG.'' \7\                 
Section 80.75--Reporting requirements.   For 80.75(f)(2)(ii)(A) (1)     
 80.75(f)(2)(ii)(A) (1) through (4) and   through (4), the OPRG and non-
 (B) (1) and (2); 80.75(f)(2)(iii)(B);    OPRG distinction is           
 80.75(h)(2) (i) and (ii) 80.75(p).       eliminated. Thus, the only    
                                          categories remaining are VOC- 
                                          controlled (divided into      
                                          subcategories 1 and 2) and non-
                                          VOC-controlled RFG. Section   
                                          80.75(f)(2)(ii)(B) (1) and (2)
                                          is deleted in order to        
                                          eliminate to OPRG and non-OPRG
                                          distinction. Section          
                                          80.75(f)(2)(iii)(B), which    
                                          refers to gasoline designated 
                                          as non-OPRG, is deleted.      
Section 80.77--Product transfer          Requirement to identify        
 documentation. 80.77(g)(1)(ii).          gasoline as OPRG or non-OPRG  
                                          is deleted.                   
Section 80.78--Controls and              Before today's rule, this      
 prohibitions on reformulated gasoline.   section prohibits addition of 
 80.78(a)(6).                             oxygen to finished RFG, unless
                                          such RFG is designated as OPRG
                                          used in an oxygenated fuels   
                                          control area during the       
                                          oxygenated fuels control      
                                          period. This OPRG             
                                          ``exception'' is amended to   
                                          allow for elimination of the  
                                          OPRG/non-OPRG categories.     
                                          Specifically, the amended     
                                          section allows for addition of
                                          oxygenate to RFG intended for 
                                          and used in an oxygenate      
                                          gasoline program area.        
Sections 80.128 and 80.129--Agreed upon  Requirement to compare PTD     
 procedures for refiners and importers    designation consistency for   
 and Agreed upon procedures for           OPRG versus non-OPRG is       
 oxygenate blenders. 80.128(d)(2) and     removed. Similar requirement  
 80.129(d)(3)(iv).                        for downstream oxygenate      
                                          blenders is removed.          
------------------------------------------------------------------------
\7\ Note the change to section 80.78(a)(6).                             

IV. Statutory Authority

    Sections 114, 211, and 301(a) of the Clean Air Act as amended (42 
U.S.C. 7414, 7545, and 7601(a)).

V. Environmental Impact

    This rule is expected to have no environmental impact. The original 
reason for the OPRG category was concern that RFG quality might suffer 
in areas that were not both oxygenated fuels program and RFG areas. 
There were several such areas when the RFG rules were promulgated. 
However, there are now only two areas, the New York/New Jersey/
Connecticut CMSA and

[[Page 60135]]

Phoenix, Arizona, which currently have overlapping programs during the 
winter months. EPA is aware of no data indicating that today's 
regulation will encourage the use of lower oxygen content RFG. The 
oxygenated fuels program and RFG program oxygen standards remain in 
place. The RFG standards are Federally enforced through a variety of 
enforcement mechanisms, including the oxygen survey program, which is 
specifically designed to ensure that oxygen standards are met on 
average in all RFG cities.

VI. Economic Impact and Impact on Small Entities

    EPA has determined that this final rule will not have a significant 
impact on a substantial number of small entities. Small entities 
include small businesses, small not-for-profit enterprises, and small 
governmental jurisdictions. Today's regulation would have a positive 
economic impact on the great majority of entities regulated by the RFG 
regulation, including small businesses. The elimination of the OPRG/
non-OPRG distinction would result in increased flexibility for 
regulated parties, including refiners, importers, and blenders. 
Specifically, elimination of this distinction from the RFG regulations 
alleviates the burden and cost associated with maintenance of separate 
recordkeeping, reporting, and product transfer documentation category 
for OPRG and non-OPRG gasoline. Elimination of the OPRG/non-OPRG 
distinction should also result in a general reduction of compliance 
costs associated with the need to meet the oxygen average separately 
for two classes of RFG. A regulatory flexibility analysis has therefore 
not been prepared.

VII. Paperwork Reduction Act

    Per the Paperwork Reduction Act, 44 U.S.C. 3501 et seq., and 
implementing regulations, 5 CFR Part 1320, this action does not involve 
the addition of any collection of information as defined therein.

VIII. Executive Order 12866

    Under Executive Order 12866,<SUP>8</SUP> the Agency must determine 
whether a regulation is ``significant'' and therefore subject to 
interagency review under the Executive Order. The Order defines 
``significant regulatory action'' as one that is likely to result in a 
rule that may:
---------------------------------------------------------------------------

    \8\ 58 FR 51735 (October 4, 1993).
---------------------------------------------------------------------------

    (1) Have an annual effect on the economy of $100 million or more, 
or adversely affect in a material way the economy, a sector of the 
economy, productivity, competition, jobs, the environment, public 
health or safety, or State, local or tribal governments of communities;
    (2) Create a serious inconsistency or otherwise interfere with an 
action taken or planned by another agency;
    (3) Materially alter the budgetary impact of entitlements, grants, 
user fees, or loan programs or the rights and obligations of recipients 
thereof, or
    (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
this Executive Order.<SUP>9</SUP>
---------------------------------------------------------------------------

    \9\ Id. at section 3(f)(1)-(4).
---------------------------------------------------------------------------

    It has been determined that this rule is not a ``significant 
regulatory action'' under the terms of Executive Order 12866 and is 
therefore not subject to interagency review under the Order.

IX. Unfunded Mandates

    Under Section 202 of the Unfunded Mandates Reform Act of 1995 
(``UMRA''), Pub. L. 104-4, EPA must prepare a budgetary impact 
statement to accompany any general notice of proposed rulemaking or 
final rule that includes a Federal mandate which may result in 
estimated costs to State, local, or tribal governments in the 
aggregate, or to the private sector, of $100 million or more. Under 
Section 205, for any rule subject to Section 202 EPA generally must 
select the least costly, most cost-effective, or least burdensome 
alternative that achieves the objectives of the rule and is consistent 
with statutory requirements. Under Section 203, before establishing any 
regulatory requirements that may significantly or uniquely affect small 
governments, EPA must take steps to inform and advise small governments 
of the requirements and enable them to provide input.
    EPA has determined that this rule does not include a federal 
mandate as defined in UMRA. The rule does not include a Federal mandate 
that may result in estimated annual costs to State, local or tribal 
governments in the aggregate, or to the private sector, of $100 million 
or more, and it does not establish regulatory requirements that may 
significantly or uniquely affect small governments.

X. Submission to Congress and the General Accounting Office

    Under 5 U.S.C. 801(a)(1)(A) of the Regulatory Flexibility Act as 
added by the Small Business Regulatory Enforcement Fairness Act of 
1996, EPA submitted a report containing this rule to the U.S. Senate, 
the U.S. House of Representatives and the Comptroller General of the 
General Accounting Office prior to publication of the rule in today's 
Federal Register. This rule is not a ``major rule'' as defined by 5 
U.S.C. 804(2).

List of Subjects in 40 CFR Part 80

    Environmental protection, Air pollution control, Gasoline, 
Reformulated gasoline, Motor vehicle pollution.

    Dated: October 31, 1997.
Carol M. Browner,
Administrator.

    40 CFR part 80 is amended as follows:

PART 80--REGULATION OF FUELS AND FUEL ADDITIVES

    1. The authority citation for part 80 continues to read as follows:

    Authority: Secs. 114, 211, and 301(a) of the Clean Air Act as 
amended (42 U.S.C. 7414, 7545, and 7601(a)).


Sec. 80.2  [Amended]

    2. Section 80.2 is amended by removing and reserving paragraph 
(nn).


Sec. 80.65  [Amended]

    3. Section 80.65 is amended by removing and reserving paragraph 
(d)(2)(iii).
    4. Section 80.67 is amended by removing and reserving paragraph 
(f)(2)(ii) and by revising paragraphs (h)(1)(v)(A)(1) and 
(h)(1)(v)(A)(2) and by removing and reserving paragraph (h)(1)(v)(B) 
and by removing paragraphs (h)(1)(v)(A)(3) and (h)(1)(v)(A)(4) to read 
as follows:


Sec. 80.67  Compliance on average.

* * * * *
    (h) * * *
    (1) * * *
    (v) * * *
    (A) * * *
    (1) VOC controlled; and
    (2) Non-VOC controlled.
    (B) [Reserved]
* * * * *


Sec. 80.69  [Amended]

    5. Section 80.69 is amended by removing paragraph (f).
    6. Section 80.75 is amended by revising paragraphs 
(f)(2)(ii)(A)(1), (f)(2)(ii)(A)(2), (h)(2)(i)(A) and (h)(2)(i)(B) and 
by removing paragraphs (f)(2)(ii)(A)(3), (f)(2)(ii)(A)(4), 
(h)(2)(i)(C), (h)(2)(i)(D) and by removing and reserving (h)(2)(ii) to 
read as follows:


Sec. 80.75  Reporting requirements.

* * * * *
    (f) * * *
    (2) * * *
    (ii) * * *

[[Page 60136]]

    (A) * * *
    (1) Gasoline designated as VOC-controlled; and
    (2) Gasoline designated as non-VOC-controlled.
* * * * *
    (h) * * *
    (2) * * *
    (i) * * *
    (A) VOC-controlled; and
    (B) Non-VOC-controlled.
* * * * *
    7. Section 80.77 is amended by removing and reserving paragraph 
(g)(1)(ii).
    8. Section 80.78 is amended by revising paragraph (a)(6) to read as 
follows:


Sec. 80.78  Controls and prohibitions on reformulated gasoline.

    (a) * * *
    (6) No person may add any oxygenate to reformulated gasoline, 
except that such oxygenate may be added to reformulated gasoline 
provided that such gasoline is used in an oxygenated fuels program 
control area during an oxygenated fuels control period.
* * * * *
    9. Section 80.128 is amended by revising paragraph (d)(2) to read 
as follows:


Sec. 80.128  Agreed upon procedures for refiners and importers.

* * * * *
    (d) * * *
    (2) Compare the product transfer documents designation for 
consistency with the time and place, and compliance model designations 
for the tender (VOC-controlled or non-VOC-controlled, VOC region for 
VOC-controlled, summer or winter gasoline, and simple or complex model 
certified); and
* * * * *
    10. Section 80.129 is amended by revising paragraph (d)(3)(v) to 
read as follows:


Sec. 80.129  Agreed upon procedures for downstream oxygenate blenders.

* * * * *
    (d) * * *
    (3) * * *
    (v) Review the time and place designations in the product transfer 
documents prepared for the batch by the blender, for consistency with 
the time and place designations in the product transfer documents for 
the RBOB (e.g. VOC-controlled or non-VOC-controlled, VOC region for 
VOC-controlled, and simple or complex model).
* * * * *
[FR Doc. 97-29385 Filed 11-5-97; 8:45 am]
BILLING CODE 6560-50-P