AUTHORITY TO CONSTRUCT
ISSUED PURSUANT TO PREVENTION OF SIGNIFICANT DETERIORATION (PSD) REQUIREMENTS AT 40 CFR 52.21

PSD PERMIT NUMBER: SE 07-02 U.S. EVIRONMENTAL PROTECTION AGENCY, REGION IX

PERMITTEE: City of Victorville

F ACILITY LOCATION: Victorville, San Bernardino County, CA

This Permit is issued pursuant to the Prevention of Significant Deterioration (PSD) requirements of
the Clean Air Act, as amended, 42 U.S.c. §§ 7401

- 7671, et seq. City of Victorville is granted approval to construct the hybrid solar and combined cycle natural gas-fired power plant, as described herein, in accordance with the permit application (and plans submitted with the permit application), federal regulations governing the Prevention of Significant Deterioration of air quality (40 CFR § 52.21), and other terms and conditions set forth in this PSD Permit.

Failure to comply with any condition or term set forth in this PSD Permit is subject to enforcement action pursuant to Section 113 of the Clean Air Act.

This PSD Permit does not relieve the Permittee from the responsibility to comply with any other applicable provisions of the Clean Air Act (including 40 CFR Parts 51, 52, 60, 61, 63, and 72 through 75), other federal, or Mojave Desert Air Quality Management District requirements.

This PSD Permit becomes effective immediately on the date of issuance pursuant to 40 CFR § 124.15(b)(3).

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Vic/orville 2 (SE 07-02) Final PSD Permit March 2UIU2

Victorville 2 (SE 07-02) Final PSD Permit March 2010 VICTORVILLE 2 HYBRID POWER PROJECT (SE 07-02)

PREVENTION OF SIGNIFICANT DETERIORATION PERMIT

FINAL PERMIT CONDITIONS

PROJECT DESCRIPTION

The proposed facility is a combined-cycle power pla nt capable of generating up to 563 megawatts (MW, nominal) of net power. Electrical power will b e generated from the combustion of natural gas in two 154 MW combustion turbine generators (CTG). Exhaust from each gas turbine will flow through a dedicated Heat Recovery Steam Generator ( HRSG) to produce steam to power a shared 267 MW Steam Turbine Generator (STG). Each HRSG wil l be equipped with natural gas-fired duct burners to augment steam production during peaking operation. The facility will include a field of parabolic trough solar collectors to produce additi onal high pressure steam for the HRSG. Solar thermal energy can displace up to 50 MW of duct bur ning, with the same total overall capacity.

The facility is subject to the Prevention of Signif icant Deterioration (PSD) Program for emissions of Carbon Monoxide (CO), Nitrogen Dioxide (NO 2 ), Particulate Matter (PM), and Particulate Matter under 2.5 micrometers ( μ m) in diameter (PM 2.5 ).

The following devices are subject to this PSD permi t:

Device ID Description

D1 • 154 MW Combustion Turbine Generator (CTG)

• Natural gas-fired GE 7FA Rapid Start Process

• Vented to a dedicated Heat Recovery Steam Generator (HRSG) and a 267 MW Steam Turbine Generator (STG) shared with D2

• Emissions of NO 2 and CO controlled by Selective Catalytic Reduction (SCR) and an Oxidation Catalyst (Ox-Cat)

D2 • 154 MW Combustion Turbine Generator (CTG)

• Natural gas-fired GE 7FA Rapid Start Process

• Vented to a dedicated HRSG and a 267 MW STG shared with D1

• Emissions of NO 2 and CO controlled by SCR and an Ox-Cat

D3 • 424.3 MMBtu/hr (HHV) Duct Burner for D1, fired on n atural gas

D4 • 424.3 MMBtu/hr (HHV) Duct Burner for D2, fired on n atural gas

D5 • 40 MMBtu/hr (HHV) Auxiliary Heater with ultra low-N O x burner

D6 • 35 MMBtu/hr (HHV) Auxiliary Boiler with ultra low-N O x burner

D7 • 2000 KW (2,683 hp) Internal Combustion (IC) Diesel- fired Emergency Engine

D8 • 135 KW (182 hp) IC Diesel-fired Emergency Firewater Pump Engine

D9 • 130,000 gallons per minute (maximum circulation rat e) Cooling Tower3

Victorville 2 (SE 07-02) Final PSD Permit March 2010 I. PERMIT EXPIRATION

As provided in 40 CFR 52.21(r), this PSD Permit sha ll become invalid if construction:

A. is not commenced (as defined in 40 CFR 52.21(b)( 9)) within 18 months after the approval takes effect; or

B. is discontinued for a period of 18 months or mor e; or

C. is not completed within a reasonable time.

II. PERMIT NOTIFICATION REQUIREMENTS

Permittee shall notify EPA Region 9 in writing or b y electronic mail of the:

A. date construction is commenced, postmarked withi n 30 days of such date.

B. actual date of initial startup, as defined in 40 CFR 60.2, postmarked within 15 days of such date.

C. date upon which initial performance tests will c ommence, in accordance with the provisions of Condition IX.H, postmarked not less t han 30 days prior to such date. Notification may be provided with the submittal of the performance test protocol required pursuant to Condition IX.H.

D. date upon which initial performance evaluation o f the CEMS will commence in accordance with 40 CFR 60.13(c), postmarked not les s than 30 days prior to such date. Notification may be provided with the submit tal of the CEMS performance test protocol required pursuant to Condition IX.G

III. FACILITY OPERATION

At all times, including periods of startup, shutdow n, shakedown, and malfunction, Permittee shall, to the extent practicable, maintai n and operate the facility including associated air pollution control equipment in a man ner consistent with good air pollution control practice for minimizing emissions. Determi nation of whether acceptable operating and maintenance procedures are being used will be based on information available to the EPA which may include, but is not limited to, monitoring results, opacity observations, review of operating maintenance proce dures and inspection of the source.4

Victorville 2 (SE 07-02) Final PSD Permit March 2010 IV. MALFUNCTION REPORTING

A. Permittee shall notify EPA at R9.AEO@epa.gov within two (2) working days following the discovery of any failure of air pollu tion control equipment, process equipment, or of a process to operate in a normal m anner, which results in an increase in emissions above the allowable emission limits stated in Section IX of this permit.

B. In addition, Permittee shall provide an addition al notification to EPA in writing or electronic mail within fifteen (15) days of any suc h failure described under Condition IV.A. This notification shall include a description of the malfunctioning equipment or abnormal operation, the date of the initial malfunction, the period of time over which emission s were increased due to the failure, the cause of the failure, the estimated re sultant emissions in excess of those allowed in Section IX, and the methods utiliz ed to mitigate emissions and restore normal operations.

C. Compliance with this malfunction notification pr ovision shall not excuse or otherwise constitute a defense to any violation of this permit or any law or regulation such malfunction may cause.

V. RIGHT OF ENTRY

The EPA Regional Administrator, and/or an authorize d representative, upon the presentation of credentials, shall be permitted:

A. to enter the premises where the source is locate d or where any records are required to be kept under the terms and conditions of this P SD Permit;

B. during normal business hours, to have access to and to copy any records required to be kept under the terms and conditions of this P SD Permit;

C. to inspect any equipment, operation, or method s ubject to requirements in this PSD Permit; and

D. to sample materials and emissions from the sourc e(s).

VI. TRANSFER OF OWNERSHIP

In the event of any changes in control or ownership of the facilities to be constructed, this PSD Permit shall be binding on all subsequent owner s and operators. Permittee shall notify the succeeding owner and operator of the exi stence of this PSD Permit and its5

Victorville 2 (SE 07-02) Final PSD Permit March 2010 conditions by letter, a copy of which shall be forw arded to EPA Region IX.

VII. SEVERABILITY

The provisions of this PSD Permit are severable, an d, if any provision of the PSD Permit is held invalid, the remainder of this PSD Permit s hall not be affected.

VIII. ADHERENCE TO APPLICATION AND COMPLIANCE WITH OTHER ENVIRONMENTAL LAWS

Permittee shall construct this project in complianc e with this PSD permit, the application on which this permit is based, the Terms and Condit ions of the final Biological Opinion issued on January 23, 2008 pursuant to the Section 7 Consultation with the U.S. Fish and Wildlife Service, and all other applicable federal, state, and local air quality regulations, including, but not limited to, the Standards of Per formance for New Stationary Sources (40 CFR Part 60) Subparts A, Dc, KKKK, and IIII of this regulation. This PSD permit does not release the Permittee from any liability f or compliance with other applicable federal, state and local environmental laws and reg ulations, including the Clean Air Act.



### IX. SPECIAL CONDITIONS

A. Annual Facility Emission Limits

Annual emissions, in tons per year (tpy) on a 12-mo nth rolling average basis, shall not exceed the following:

NO x CO PM PM 2.5
Total Facility 108.4 tpy 254.2 tpy 124.5 tpy 120.9 tpy

B. Air Pollution Control Equipment and Operation

On or before the date of initial start-up of the po wer plant (as defined in 40 C.F.R. 60.2), and thereafter, except as noted below in sec tion IX.D., the Permittee shall install, continuously operate, and maintain Selecti ve Catalytic Reduction (SCR) systems for control of NO
x and oxidation catalysts for control of CO for Unit s D1 and D2. Permittee shall also perform any necessary operations to minimize6

Victorville 2 (SE 07-02) Final PSD Permit March 2010 emissions so that emissions are at or below the emi ssion limits specified in this

permit.

C. Combustion Turbine Generator Emission Limits

1. Except as noted below under Condition IX.D, on and after the date of initial start-up, Permittee shall not discharge or cause th e discharge of emissions from each combustion turbine generator (CTG) unit ( D1 and D2) into the atmosphere in excess of the following:

Emission Limit (per CTG) (no duct burning) Emission Limit (per CTG) (with duct burning)

NO 2 • 11.55 lb/hr

• 1-hr average

• 2.0 ppmvd @ 15% O 2 • 14.6 lb/hr

• 1-hr average

• 2.0 ppmvd @ 15% O 2

CO • 7.65 lb/hr

• 1-hr average

• 2.0 ppmvd @ 15% O 2 • 13.35 lb/hr

• 1-hr average

• 3.0 ppmvd @ 15% O 2

PM and PM 2.5 • 12.0 lb/hr

• 12-month rolling average

• PUC-quality natural gas

• Sulfur content of no greater than 0.2 grains per 100 dscf • 18.0 lb/hr

• 12-month rolling average

• PUC-quality natural gas

• Sulfur content of no greater than 0.2 grains per 100 dscf

2. Combined hours of operation for both duct burners ( D3 and D4) shall not exceed 2000 hours per 12-month rolling average. The Permittee shall ensure that the duct burners are not operated unless the a ssociated turbine units are in operation.

D. Requirements during Gas Turbine (D1 and D2) Sta rtup and Shutdown

1. Startup is defined as the period beginning with ignition and lasting until either the equipment complies with all operating permit li mits for two consecutive 15-minute averaging periods or the maximum time all owed for the event after ignition, whichever occurs first.

a. A cold startup means a startup when the CTG has not been in operation7

Victorville 2 (SE 07-02) Final PSD Permit March 2010 during the preceding 48 hours.

b. Warm and hot start-ups include all startups that ar e not a cold startup.

c. Shutdown is defined as the period beginning with th e lowering of equipment from normal operating load and lasting un til fuel flow is completely off and combustion has ceased.

2. During startup and shutdown periods emissions from each CTG and associated HRSG unit, verified by the Continuous Em issions Monitoring System (CEMS), shall not exceed the following:

NO x CO Duration Annual Event Limit

Cold Startup 52.4 lb/hr

96 lb/event 224 lb/hr

410 lb/event 1.8 hr/event 50 events/yr

Warm and Hot Startup 30 lb/hr

40 lb/event 247 lb/hr

329 lb/event 1.3 hr/event 260 events/yr

Shutdown 114 lb/hr

57 lb/event 674 lb/hr

337 lb/event 0.5 hr/event 310 events/yr

3. The Permittee must operate the CEMS during startups and shutdowns.

4. The Permittee must record the time, date, and durat ion of each startup and shutdown event. The records must include calculati ons of NO
x and CO emissions during each event based on the CEMS data. These records must be kept for five years following the date of such even t.

5. The SCR system, including ammonia injection, shall be operated as soon as the SCR reaches an operating temperature of 550 deg rees Fahrenheit.

E. Auxiliary Combustion Equipment Emission Limits

At all times, including equipment startup and shutd own, Permittee shall not discharge or cause the discharge of emissions from each unit into the atmosphere
in excess of the following :8

Victorville 2 (SE 07-02) Final PSD Permit March 2010 NO x CO PM and PM 2.5 Restrictions on Usage

Unit D5 40 MMBtu/hr (HHV) Heater • 9 ppmvd @

3% O 2

• 1-hr average • 50 ppmvd @

3% O 2

• 1-hr average • 0.2 grains per 100

dscf

• PUC-quality natural gas • 1000 hr/yr

Unit D6 35 MMBtu /hr (HHV) Boiler • 500 hr/yr

Unit D7 2000 KW (2,683 hp) engine • 6.0 g/KW-hr,

(4.5 g/hp-hr) 1 • 3.5 g/KW-hr,

(2.6 g/hp-hr) • 0.20 g/KW-hr,

(0.15 g/hp-hr )

• Use of ultra-low sulfur fuel, not to exceed 15 ppmvd fuel sulfur • 50 hr/yr

Unit D8 135 KW (182 hp) firewater pump • 3.8 g/KW-hr,

(2.8 g/hp-hr) 2 • As required for fire safety testing

• Not to exceed 50 hr/yr
Unit D9 130,000 gpm Cooling Tower n/a n/a • 1.6 lb/hr (as total PM)

• < 0.0005% drift

• < 5000 ppm total dissolved solids n/a

F. Cooling Tower Emission Limits

1. The cooling tower drift rate shall not exceed 0.000 5% with a maximum circulation rate of 130,000 gallons per minute (gpm ). The maximum total dissolved solids (TDS) shall not exceed 5000 ppm.

2. The maximum hourly total PM emission rate from the cooling tower and the evaporative condenser combined shall not exceed 1.6 lb/hr.

G. Continuous Emissions Monitoring System (CEMS) f or Units D1 and D2

1 Emission standards for NO
x in the New Source Performance Standard for station ary compression ignition internal combustion engines (40 CFR Part 60 Subpart IIII) an d the California Tier Emission Standards are based on the sum of NO
x and non-methane hydrocarbons (NMHC). For the NO
x emission limits, the applicant assumes NMHC + NO
x emissions from the engine are 95% NO
x .9

Victorville 2 (SE 07-02) Final PSD Permit March 2010 1. At the earliest feasible opportunity before beginni ng commercial operation, in

accordance with the recommendations of the equipmen t manufacturer and the construction contractor, Permittee shall install, a nd thereafter operate, maintain, certify, and quality-assure a continuous emission monitoring system (CEMS) for each combustion turbine generator that m easures stack gas NO
x , CO, and O 2 concentrations in ppmv. The concentrations shall be corrected to 15% O 2 on a dry basis.

2. The NO
x and O 2 CEMS shall meet the applicable requirements of 40 CFR Part 60 Appendix B, Performance Specifications 2 and 3, and 40 CFR Part 60 Appendix F, Procedure 1. Alternatively, the NO
x CEMS shall meet the installation and certification requirements of 40 C FR Part 75.

3. The CO CEMS shall meet the applicable requirements of 40 CFR Part 60 Appendix B, Performance Specification 4, and 40 CFR Part 60 Appendix F, Procedure 1, except the relative accuracy specified in section 13.2 of 40 CFR Part 60 Appendix B, Performance Specification 4 sha ll not exceed 20 percent.

4. Each CEMS shall complete a minimum of one cycle of operation (sampling, analyzing, and data recording) for each successive 15-minute clock-hour period.

5. The CEMS shall be certified and tested in accordanc e with Condition IX.G.7.

6. The performance evaluation of the CEMS may either b e conducted separately, as specified in 40 CFR 60.334(b)(1), or as part of the initial performance test of each emission unit. CEMS must undergo and pass i nitial performance specification testing on or before the date of the initial performance test.

7. CEMS shall meet the requirements of 40 CFR 60.13. Data sampling, analyzing, and recording shall also be adequate to demonstrate compliance with emission limits during startup and shutdown.

8. Not less than 90 days prior to the date of initial startup of the Facility, the Permittee shall submit to the EPA a quality assuran ce project plan for the certification and operation of the continuous emiss ion monitors. Such a plan shall conform to EPA requirements contained in 40 C FR 60, Appendix F for CO, NO x , and O 2 , and 40 CFR 75 Appendix B for stack flow. The plan shall be updated and resubmitted upon request by EPA. The protocol shall specify how emissions during startups and shutdowns will be determined and calculated, including quantifying flow accurately i f calculations are used.10

Victorville 2 (SE 07-02) Final PSD Permit March 2010 9. The gas turbine CEMS shall be tested annually and q uarterly in accordance

with the requirements of 40 CFR Part 60 Appendix F, Procedure 1. Permittee shall perform a full stack traverse during initial run of annual RATA testing of the CEMS, with testing points selected according to 40 CFR Part 60 Appendix A, Method 1.

10. Permittee shall submit a CEMS performance test prot ocol to the EPA no later than 30 days prior to the test date to allow review of the test plan and to arrange for an observer to be present at the test. The performance test shall be conducted in accordance with the submitted protocol , and any changes required by EPA.

11. Permittee shall furnish the EPA a written report of the results of performance tests within 60 days of completion.

12. The stack gas volumetric flow rates shall be calcul ated in accordance with the fuel flowmeter requirements of 40 CFR Part 75 Appen dix D in combination with the appropriate parts of EPA Method 19.

13. Prior to the date of initial start-up Permittee sha ll install, and thereafter maintain and operate, continuous monitoring and rec ording systems to measure and record the following operational parame ters:

a. The ammonia injection rate of the ammonia injection system of the SCR system.

b. Exhaust gas temperature at the inlet to the SCR rea ctor

H. Performance Tests

1. Stack Tests

a. Within 60 days after achieving normal operation, bu t not later than 180 days after the initial start-up of equipment, and a nnually thereafter (within 30 days of the initial performance test anniversary ), Permittee shall conduct performance tests (as described in 40 CFR 6 0.8) as follows:

i. NO x , CO, PM, and PM 2.5 emissions from each gas turbine (Units D1/D3 and D2/D4),11

Victorville 2 (SE 07-02) Final PSD Permit March 2010 ii. NO x , CO, PM, and PM 2.5 emissions the 40 MMBtu/hr heater (D5), the 35 MMBtu/hr boiler (D6),

iii. NO x , CO, PM, and PM 2.5 emissions from the 2000 KW (2,683 hp) internal combustion engine (D7).

iv. NO x , CO, PM, and PM 2.5 emissions from the 135 KW/hr firewater pump (D8) upon notification by EPA

v. PM emissions from the cooling tower (D9).

b. The annual performance tests shall be conducted in accordance with the requirements of 40 CFR Part 60, Appendix F, Procedu re 1, Section 5.11.

c. Permittee shall submit a performance test protocol to EPA no later than 30 days prior to the test to allow review of the test plan and to arrange for an observer to be present at the test. The performanc e test shall be conducted in accordance with the submitted protocol, and any changes required by
EPA.

d. Performance tests shall be conducted in accordance with the test methods set forth in 40 CFR 60.8 and 40 CFR Appendix A, as modified below. In lieu of the specified test methods, equivalent meth ods may be used with prior written approval from EPA:

i. EPA Methods 1-4 and 7E for NO
x emissions measured in ppmvd,

ii. EPA Methods 1-4, 7E, and 19 for NO
x emissions measured on a heat input basis,

iii. EPA Methods 1-4 and 10 for CO emissions,

iv. EPA Methods 5 and 202 for both PM and PM 2.5 , in accordance with the test methods set forth in 40 CFR § 60.8 and 40 CFR Part 60, Appendix A. In lieu of Method 202, the Permittee ma y use EPA Conditional Test Methods for particulate matter: CT M-039 or CTM040. If Method 202 is used, the test methodology mu st include:
a. one hour nitrogen purge b. the alternative procedure described in section 8.1 to neutralize the sulfuric acid c. evaporation of the last 1 ml of the inorganic f raction by air drying following evaporation of the bulk of the impinger w ater in a 105 oC12

Victorville 2 (SE 07-02) Final PSD Permit March 2010 oven as described in the first sentence of section 5.3.2.3.

v. Modified Method 306 or the Cooling Tower Institute’ s heated bead test method for PM emissions from the cooling tower , and

vi. the provisions of 40 CFR Part 60.8 (f).

e. The initial performance test conducted after initia l startup shall use the test procedures for a ‘high NO 2 emission site,’ as specified in San Diego Test Method 100, to measure NO 2 emissions. The source shall be classified as either a 'low' or 'high' NO 2 emission site based on these test results. If the emission source is classified as a:
i. ‘high NO 2 emission site,’ then each subsequent performance t est shall use the test procedures for a ‘high NO 2 emission site,’ as specified in San Diego Test Method 100.

ii. ‘low NO 2 emission site,’ then the test procedures for a ‘hi gh NO 2 emission site,’ as specified in San Diego Test Meth od 100, shall be performed once every five years to verify the sourc e's classification as a 'low NO 2 emission site.'

f. The performance test methods specified in Condition X.F.3., may be modified as follows:

i. Perform a minimum of 9 reference method runs, with a minimum time per run of 21 minutes, at a single load level, betw een 90 and 100 percent of peak (or the highest physically achievab le) load.

ii. Use the test data both to demonstrate compliance wi th the applicable NO x emission limit and to provide the required referen ce method data for the RATA of the CEMS.

g. Upon written request and adequate justification fro m the Permittee, EPA may waive a specific annual test and/or allow for t esting to be done at less than maximum operating capacity.

h. For performance test purposes, sampling ports, plat forms, and access shall be provided on the emission unit exhaust system in accordance with the requirements of 40 CFR 60.8(e).13

Victorville 2 (SE 07-02) Final PSD Permit March 2010 i. Permittee shall furnish the EPA a written report of the results of performance tests within 60 days of completion.

2. Cooling Tower Total Dissolved Solids Testing

a. Permittee shall perform weekly tests of the blow-do wn water quality using a EPA approved method. The operator shall maintain a log that contains the date and result of each blow-down water quality test, and the resulting mass emission rate. This log shall be maintained on site for a minimum of five years and shall be provided to EPA and Distric t personnel on request.

b. Permittee shall calculate PM and PM 2.5 emission rate using an EPAapproved calculation based on the TDS and water cir culation rate.

c. The operator shall conduct all required cooling tow er water quality tests in accordance with an EPA-approved test and emissions calculation protocol. Thirty (30) days prior to the first such test the o perator shall provide a written test and emissions calculation protocol for EPA review and approval, with a copy to the District as specified in Condition XI below.

d. A maintenance procedure shall be established that s tates how often and what procedures will be used to ensure the integrit y of the drift eliminators, to ensure that the TDS limits are not exceeded, and to ensure compliance with recirculation rates. This procedure is to be kept onsite and available to EPA and District personnel on request. The permittee shall promptly report any deviations from this procedure.

3. Fuel Testing

a. Permittee shall take monthly samples of the natural gas combusted. The samples shall be analyzed for sulfur content using an ASTM method. The sulfur content test results shall be retained on si te pursuant to Special Conditions IX.C and IX.E for Units D1 – D6.

I. Monitoring for Auxiliary Combustion Equipment

1. Permittee shall install and maintain an operational non-resettable totalizing mass or volumetric flow meter in each fuel line for the 40 MMBtu/hr heater (Unit D5) and the 35 MMBtu /hr boiler (Unit D6).

2. Permittee shall install and maintain an operational non-resettable elapsed time meter for the 40 MMBtu/hr heater (Unit D5), the 35 MMBtu /hr boiler (Unit D6), the 2000 KW emergency use engine (Unit D7) and the 135 KW14

Victorville 2 (SE 07-02) Final PSD Permit March 2010 emergency-use firewater pump (Unit D8).

J. Recordkeeping and Reporting

1. Permittee shall maintain a file of all records, data, measurements, reports, and documents related to the operation of the Facility, including, but not limited to, the following: all records or reports pertainin g to adjustments and/or maintenance performed on any system or device at th e Facility; all records relating to performance tests and monitoring of aux iliary combustion equipment; for each diesel fuel oil delivery, docum ents from the fuel supplier certifying compliance with the fuel sulfur content limit of Special Condition IX.E for Units D7 and D8; and all other information required by this permit recorded in a permanent form suitable for inspectio n. The file must be retained for not less than five years following the date of such measurements, maintenance, reports, and/or records.

2. Permittee shall maintain CEMS records that cont ain the following: the occurrence and duration of any startup, shutdown, s hakedown, or malfunction, performance testing, evaluations, calibrations, che cks, adjustments, maintenance, duration of any periods during which a continuous monitoring system or monitoring device is inoperative, and cor responding emission

measurements.

3. Permittee shall maintain records of all source tests and monitoring and compliance information required by this permit.

4. Permittee shall maintain records and submit a w ritten report of all excess emissions to EPA semi-annually. The report is due on the 30 th day following the end of the calendar quarter and shall include t he following:
a. Time intervals, data and magnitude of the exces s emissions, the nature and cause (if known), corrective actions taken and preventive measures adopted;
b. Applicable time and date of each period during which the CEMS was inoperative (monitor down-time), except for zero an d span checks, and the nature of CEMS repairs or adjustments; and
c. A negative declaration when no excess emissions occurred or when the CEMS has not been inoperative, repaired, or adjuste d.15

Victorville 2 (SE 07-02) Final PSD Permit March 2010 d. Any failure to conduct any required sources test ing, monitoring, or other compliance activities.
e. Any violation of limitations on operation, inclu ding but not limited to restrictions on hours of operation.

5. Excess emissions shall be defined as any period in which the facility emissions exceed the maximum emission limits set fo rth in this permit.

6. A period of monitor down-time shall be any unit operating clock hour in which sufficient data are not obtained to validate the hour for NO
x , CO or O 2
.

7. Excess emissions indicated by the CEM system, so urce testing, or compliance monitoring shall be considered violations of the ap plicable emission limit for the purpose of this permit.

8. All records required by this PSD Permit shall be retained for not less than five years following the date of such measurements, main tenance, and reports.

K. Shakedown Periods

The combustion turbine emission limits and requirem ents in Sections IX.C, IX.D, and IX.E shall not apply during combustion shakedow n periods. Shakedown is defined as the period beginning with initial startu p and ending no later than initial performance testing, during which the Permittee con ducts operational and contractual testing and tuning to ensure the safe, efficient and reliable operation of the plant. The requirement of section III of this permit shall apply at all times.16

Victorville 2 (SE 07-02) Final PSD Permit March 2010 X. ACROYNMS AND ABBREVIATIONS

APCD Air Pollution Control District ASTM American Society for Testing and Materials BTU British Thermal Unit CEMS Continuous Emissions Monitoring System CFR Code of Federal Regulations CO Carbon Monoxide CTG Combustion Turbine Generator CTM Conditional Test Method District Mojave Desert Air Pollution Control Distri ct (d)scf (dry) Standard Cubic Feet EPA Environmental Protection Agency

g grams gr grains HHV Higher Heating Value HRSG Heat Recovery Steam Generator hp Horsepower hr Hour KW Kilowatt lbs Pounds MMBtu Million British Thermal Units MW Megawatt NO 2 Nitrogen Dioxide NO x Oxides of Nitrogen NSPS New Source Performance Standards O 2 Oxygen PM Total Particulate Matter
PM 2.5 Particulate Matter with aerodynamic diameter less than 2.5 micrometers
PM 10 Particulate Matter with aerodynamic diameter less than 10 micrometers ppmvd Parts Per Million by Volume, Dry basis ppmv Parts Per Million by Volume PSD Prevention of Significant Deterioration PUC Public Utilities Commission RATA Relative Accuracy Test Audit SCR Selective Catalytic Reduction SO 2 Sulfur Dioxide SO x Oxides of Sulfur STG Steam Turbine Generator TDS Total Dissolved Solids tpy Tons Per Year yr Year17

Victorville 2 (SE 07-02) Final PSD Permit March 2010 XI. AGENCY NOTIFICATIONS

All correspondence as required by this Approval to Construct must be forwarded to:

A. Director, Air Division (Attn: AIR-5) EPA Region IX 75 Hawthorne Street San Francisco, CA 94105-3901

Email: R9.AEO@epa.gov Fax: (415) 947-3579

B. Air Pollution Control Officer Mojave Desert Air Quality Management District 14306 Park Avenue Victorville, CA 92392-2310