E D D I E T E R R I L L

A I R Q U A L I T Y D I V I S I O N

D E P T . O F E N V I R O N M E N T A L Q U A L I T Y

A U G U S T 2 1 , 2 0 1 4

EPA’s 111(d) Clean Power P

Rule: A DEQ Perspective
4 General Criteria for EGU 111(d) P

 Enforceable measures that reduce CO2 emissi

affected EGUs

Measures must be projected to achieve emission 

performance equivalent to or better than statCO2 goal on a timeline equivalent to that in the emguidelines.

 Quantifiable and verifiable EGU CO2 emissio

performance.

 Process for state reporting of plan implementation

emission performance, and, if necessary, implemecorrective measures
Oklahoma’s EGU 111(d) Pla

- The long road ahead 

Questions?????? 

What can we do 

now to prepare?

What approach 

is best for Oklahoma?

Are statute 

changes needed?

Will DEQ need 

to adopt new rules?
DEQ Permanent Rulemaking Proc

Typically, it takes at least 18 months to promulgate a permanent air quality rule.  Rule development with stakeholder input Oklahoma APA filings and publication requiremen Public comments Air Quality Advisory Council Hearing DEQ Environmental Quality Board Hearing Legislative Approval Gubernatorial Approval Publication of Final Rule
If new DEQ rules needed ?
Fast Track to DEQ Rule Effective 2

 June 30, 2015 – EPA promulgates final rule  October 2015 – Presentation on Key Concep

DEQ Rule Proposal during Council meeting

 Week of Thanksgiving 2015 – Proposed rule 

Notice of Rulemaking Intent to Governor & Oklahoma Secretary of Energy and Environm

 December 15, 2015 – Proposed rule available 

public comment; 30-day public comment pe

begins
DEQ Rule Effective 2016 (cont.

 January 2016 – Air Quality Advisory Counci

Hearing

 March 2016 – Environmental Quality Board  July 2016 – Permanent rule effective 
Oklahoma 111(d) Plan 

 June 30, 2016 – Deadline for submitting Sta

Plan or request for extension to EPA 

Extension state plan – June 30, 2017 deadlineExtension regional plan – June 30, 2018 deadline

 Publish proposed 111(d) Plan & 30-day publi

comment period prior to hearing

 Response to Comments part of Final 111(d) P

Allow at least 45 days to prepare and finalize
To Think About

 Rule effective after June 30, 2016 deadline fo

Plan submittal 

 Only one public comment period & Council m January Council meetings affected by winter  If EPA final rule delayed, may be impossible 

promulgate rule in 2016.

 Additional time may be needed if EPA final r

substantially different than as proposed.

 Plan to request extension? 
Extension Request

If a state seeks an extension, must submit an iplan with the following content by June 30, 20 Description of plan approach and progress m

developing a complete plan

 Initial quantification of the level of emission 

performance that will be achieved through th

 Commitment to maintain existing measures 

limit or avoid CO2 emission (e.g., RPS, unit-limits on operation or fuel utilization), at leathe complete plan is approved.
Extension Request (cont.)

 Comprehensive roadmap for complete the pl

including process, analytical methods, and s(including milestones) specifying when all nplan components will be complete (e.g., projemission performance; implementing legislaregulations and agreements; necessary appro

 Identification of existing programs state inte

rely on to meet its goal 

 Executed agreements (s) with other states (e

MOU), if regional approach is being pursued
Extension Request (cont.)

 Commitment to submit a complete plan by t

applicable required date and actions the stattake to show progress in addressing incomplcomponents

 Description of steps already taken toward de

complete plan

 Evidence of opportunity for public comment 

initial plan
Oklahoma 111(d) Plan Preparatio

 Unlike other 111(d) plans and routine 

implementation plans done in past

 Not a true State Implementation Plan Suggested Role of Secretary of Energy and 

Environment (SOEE)

 Suggested Role of Corporation Commission

Energy Efficiency, Demand Side Management, RenewaEnergy and Renewable Energy Credits, Southwest Pow

 Role of Department of Environmental Qualit
Oklahoma Workgroup Structur

 Technical Workgroup led by Air Quality Divi

DEQ

Those companies with units affected by the rule

 Broader stakeholder process led by the Secre

Energy and Environment

Includes all other interested parties

 Suggestions for better structure?
Suggested Oklahoma Pathway

 Currently working on comments to proposal for su

by October 16

 SOEE’s office scheduling broader stakeholder mee

September

 Continue working with Corporation Commission a

affected/interested parties

 Meet with smaller technical workgroup between n

time rule becomes final

 Conduct broader stakeholder meetings in conjunc

SOEE as necessary

 Develop realistic timeline after rule goes final and 

challenges appear to be resolved
Cases Challenging GHG 

Regulation Under 111(d)

 Murray Energy Corp. v. EPA (N.D.W.V. 2014 Murray Energy Corp. v. EPA (D.C. Cir. 2014)  State of West Virginia, et al. v. EPA (D.C. Cir
Obstacles

 Opposition to any plan from legislature, gen

public or as part of stakeholder process

Cap and Trade PossibilityPlan will have to span presidential administrationpossible Congressional changes 

 Consequences unclear

Oklahoma’s 

Clean Power PageProposed StandardsTimelinesState & Industry RolesPresentations to DateEPA’s Comment Proced

www.deq.state.ok.us/aqdnew/