## Indiana Department of E nvironmental Management

Michael R. Pence

Gove rno r



### Mr. Robert Kaplan

Acting Regional Administrator We Prot e ct Hoosiers and Our Environm e nt.

100 N. Senate A v enue • Indianapolis, IN 46204

(800) 451

- 6027 • (317) 232-8603 • www

. idem.IN

. gov



### March 21,2016 Carol S. Comer

Co m mis s im 1 e 1

·



### U.S. Environmental Protection Agency

Region 5

77 West Jackson Boulevard

Chicago, IL 60604-3950

Dear Mr. Kaplan: Re: State Implementation Plan Submittal for

Indiana Regarding 1-Hour S02 Attainment

Clifty Creek Generating Station in

Jefferson County, Indiana

(Commissioner's Order #2016-02)

Addendum Documentation of the Public

Participation Process

Pursuant to Section 110 of the Clean Air Act (CAA) and Title 13 of the Indiana Code

(IC), the Indiana Department of Environmental Management (IDEM) submits an

amendment to the Indiana state implementation plan (SIP) for the Clifty Creek

Generating Station (Clifty Creek) accomplished by Commissioner's Order #2016-02.

IDEM submitted a request for parallel processing of the amendment to Indiana's SIP on

February 5, 2016. IDEM scheduled a public hearing concerning the proposed SIP

revision on March 10, 2016, and the public comment period concluded on March 17,

2016

. No comments were received during the public comment period. Additionally,

there was no request for a public hearing during the comment period, thus a hearing

was not held.

The attached enclosure consists of the following:

• Commissioner's Order #2016-02 issued on February 1, 2016, that establishes

permanent and enforceable sulfur dioxide (S0 2 ) emission limits for Clifty Creek,

located in Jefferson County, Indiana, in order to ensure continued attainment of

the 2010 primary 1-hour S02 standard in the area surrounding the facility. The

Commissioner's Ord e r contains a facility-wide maximum 720 operating hour S0 2

rolling average mass emission rate applicable to Units 1 through 6 combined, as

well as reporting and recordkeeping requirements and method for compliance.

The effective date for the emission limitations in the Commissioner's Order is

April19, 2016. It contains and meets the requirements set forth in 42 U.S.C. 

### §

A n Eq u a l O p port un i t y Emp l oye r 

# 0

Pl ease R e du ce, Re u se , R ecyc l e

A S tate**that ~** 

### Mr. Robett Kaplan

Pa ge 2 of2

7407(d)(3)(E)(iii) and the conditions will become applicable requirements as

defined in 326 Indiana Administrative Code (lAC) 2-7-1

.

• Administrative checklist

, modeling summary and documentation of the public

participation process.

This submittal consists of one (1) hard copy of the required documentation

. An

electronic version of the submittal in PDF format that is identical to the hard copy has

been sent to Doug Aburano

, Chief of U

. S. EPA Region 5's Attainment Planning and

Maintenance Section and Chris Panos of U.S. EPA Region 5.

IDEM requests that U.S. EPA proceed with review and approval of this amendment

to Indiana's SIP

. If you have any questions or need additional information

, please

contact Brian Callahan, Chief, Air Quality Standards and Implementation Section

, Office

of Air Quality at (317) 232-8244 or bca ll a h a@ i de m

. IN .gov

.

KB/sd/mad/bec/gf

Attachments : Supporting Documents Sincerely

,

# ~6~

Keith Baugues

Assistant Commissioner

Office of Air Qua l ity

cc: Doug Aburano, U.S. EPA Region 5 (no enclosures)

John Mooney

, U.S. EPA Region 5 (no enclosures)

Steve Rosenthal, U.S. EPA Region 5 (no enclosures)

Pamela Blakley, U.S

. EPA Region 5 (no enclosures)

John Summerhays, U.S

. EPA Region 5 (no enclosures)

Chris Panos, U.S. EPA Region 5 (no enclosures)

Jennifer Liljegren, U

. S

. EPA Region 5 (no enclosures)

Keith Baugues, IDEM-OAQ (no enclosures)

Scott Deloney, IDEM

- OAQ (no enclosures)

Mark Derf, IDEM-OAQ (no enclosures)

Brian Callahan, IDEM

- OAQ (no enclosures)

Mike Mosier

, IDEM

- OAQ (no enclosure)

Christine Pedersen, IDEM-OAQ (no enclosures)

Jessica Reiss, IDEM-OAQ (no enclosures)

File Copy

### Supporting Documents

Attachment 

### A: Administrative Checklist (40 CFR 51, Appendix V)

Attachment B: Commissioner's Order #2016-02

Attachment C: Legal Notice of Public Hearing and Certificates of Web Publication

Attachment D: Modeling Summary

Data, calculations and methodology for determining a facility-wide maximum 720

operating hour rolling average S02 mass emission rate based on Clifty Creek's

continuous emission monitoring data (available upon request).

# Attachment A

Administrative Checklist

### ADMINISTRATIVE CHECKLIST (40 CFR 51, Appendix V)

1. The submittal is accompanied by a formal letter of submittal

from the governor or his designee.



### 2. Evidence that the State has adopted the plan in the State code

or body of regulations; or issued the permit, order, consent

agreement ("document"); in final form.

a. Date of adoption or final issuance:

b. The effective date of the plan, if different

from the adoption/issuance date.



### 3. Evidence that the State has the necessmy legal authority

under state law to adopt and implement the plan.

4. A copy of the actual regulation or document submitted for

approval and incorporation by reference into the plan,

including the following:

a. Indication of the changes made to the existing

approved plan, where applicable.

b. The submittal shall be a copy of the official State

regulation or document signed, stamped, dated by

the appropriate state official indicating that it is fully

enforceable by the State. Effective date shall be stated

in the document itself.

5. Evidence that the State followed all of the procedural

requirements of the State's laws and constitution in

conducting and completing the adoption/issuance of the plan.

6. Evidence that public notice was given, including date of

proof of publication.

7. Certification that public hearings were held in accordance

with information provided in public hearing notice.

8. Compilation of public comments and State's response.

9. Technical Suppoti Document (if source specific change). Enclosed

Attachment 

### B

February 1, 2016

Aprill9, 2016

IC 13-14-1-9

IC 13-14-2-1

Attachment B

Attachment B

Attachment C

Attachment C

Attachment C

Attachment D

# Attachment B

Commissioner's Order for Clifty Creek

Generating Station addressing the 1-hour S0 2 

# NAAQS

Jefferson CountyD DE M INDIANA DEPARTMENT OF ENVIRONMENTAL MANAGEMENT

We Protect Hoosiers and Our Environment.

Michael R. Pence

GU\ ' t!l ' llnt' 100 N. Senate Avenue • Indianapolis, IN 46204

(800) 451-6027 • (317) 232

- 8603 • www.ldem

. IN.gov

Carol S. Comer

Cmmul.ulmwr



### STATE OF INDIANA

COUNTY OF MARION 

### )

) SS:

) 

### BEFORE THE INDIANA DEPARTMENT

OF ENVIRONMENTAL MANAGEMENT

IN THE MA ITER OF: )

ORDER OF THE COMMISSIONER )

PURSUANT TO IC 13-14-2-1 )

FOR CLIFTY CREEK GENERATING STATION )



### OF INDIANA )

)



### NOTICE AND ORDER OF THE

COMMISSIONER OF THE

DEPARTMENT OF ENVIRONMENTAL MANAGEMENT

This Notice and Order of the Commissioner of the Department of Environmental

Management ("Order") is issued pursuant to Indiana Code ("IC") 13-14

- 1-9, IC 13-14-2-1, and

IC 13-14-2-7. During the Commissioner ' s review, it was determined that the Petition should be

granted according to the terms specified below:

PETITION

Petitioner is the Indiana Kentucky Electric Corporation's, Clifty Creek Generating Station

("Petitioner"), a station a ry electric power plant with Source I.D. Number 077-00001, located at

1335 Clifty Hollow Road in Madison, Jeffer s on County, Indiana, and permitted under the Part 70

air operating permit program.

On March 2, 2015, the U.S. Di s trict Court for the Northern District of California accepted

a Consent Decree between the U.S. Environmental Protection Agency ("U.S. EPA"), the Siena

Club, and the Natural Resources Defense Council to resolve litigation concerning deadlines for

completing one (1) hour sulfur dioxide ("S0 2 ") National Ambient Air Quality Standard

("NAAQS") designations

. Under the Consent Decree, U.S. EPA must designate certain areas as

nonattainment, attaimnent, or uncla s sifiable in tluee phases.

The first Consent Decree phase requires U.S. EPA to designate areas that contain

stationary sources that had not been announced for retirement a s of March 2, 2015 and either

emitted more than 16,000 tons ofS0 2 in 2012 or emitted more than 2,600 tons ofS02 and had an

ammal average emission rate of more than 0.45 pound s of S0 2 per one million British thermal

units ("lb/MMBtu") in 2012, according to U.S. EPA's Air Quality Markets Database.

An Equal Opp o rtunity E llltll o y c r 

# 0

· (i} 1/ ecyd e d P aper A S t a t e th a t W o l'k s



# -Commissioner's Order No 2016-02

Page 2 of4



### On March 20, 2015, U.S. EPA identified five (5) sources in Indiana that met the criteria

for the first phase of the Consent Decree designations. U.S. EPA's list included the Petitioner,

Clifty Creek Generating Station.

On September 16, 2015, the Indiana Department of Enviromnental Management

("IDEM") recommended designation of the area surrounding Clifty Creek Generating Station as

attainment. The recommendation was based on modeling that included operation of a flue gas

desulfurization system that became operational in July 2013.

On January 22,2016, the Petitioner submitted a request to the Commissioner to impose a

permanent and enforceable S0 2 

### mass emission rate on the Petitioner in order to ensure continued

attaimnent of the S02 NAAQS in the area surrounding Clifty Creek Generating Station. The

Petitioner proposed a facility-wide 

### SOz mass emission rate of 2,624.5 

### SOz pounds per hour

("lb/hr"), 720 operating hour rolling average, applicable to Unit No. I through Unit No. 6,

combined.

FINDINGS

Pursuant to IC 13-14-2-1 (b) and lC 13-14-2-7(1 ), the Commissioner may issue Orders to

secure compliance with Indiana's environmental statutes and rules, including the ambient air

quality standard for S0 2 

### at 326 Indiana Administrative Code ("lAC") l-3-4(b)(l)(A).

Based on the foregoing information, IDEM finds the following:

I. A permanent and enforceable S0 2 

### mass emission rate for Clifty Creek Generating Station

is required in order to model continued attahm1ent of the one (I) hour 

### SOz NAAQS in the area

surrounding the Petitioner.

2. Issuance of a Commissioner's Order will ensure the S0 2 mass emission rate remains

permanent and enforceable, as required by 42 U.S.C. 

### § 7407(d)(3)(E)(iii). Whereas revising a

Part 70 Operating Penn it would not create an adequately "permanent" requirement.

3. Approval by U.S. EPA of the Commissioner's Order as part of the Indiana State

Implementation Plan ("SIP") will make the Order requirements federally enforceable. Upon

approval as part of the Indiana SIP, the Order requirements become applicable requirements as

defined in 326 lAC 2-7-1(6).

·

4. Based on modeling conducted by IDEM, the S02 mass emission rate proposed by the

Petitioner is adequate to assure continued attai11111ent of the S02 NAAQS.

ORDER



### I. This Order approves the Petition submitted by the Petitioner according to the terms

specified below. This Order imposes on the Petitioner the S0 2 

### mass emission rate described

below.

2. When any of Unit No. l through Unit No. 6, or any combination thereof, is operating, the

combined S0 2 

### mass emission rate shall not exceed 2,624.5 lb/lu, as a 720 operating hour rolling

average.Commissionel''s Ol'det· No 2016-02

Page 3 of4



### 3. The Petitioner shall comply with the 720 operating hour rolling average S02 mass

emission rate beginning Aprill9, 2016.

4. As required by 326 lAC 2-7-2(d)(l) and 326 lAC 2-7-5, the Petitioner shall apply to

incorporate these Order requirements, including reporting and recordlceeping requirements and

methods to determine compliance, into its Part 70 Operating Permit within ninety (90) days of

U.S. EPA's approval of the Commissioner's Order as part of the Indiana SIP.

5. From April 19, 2016 until IDEM issues a Permit incorporating these Order requirements,

the Petitioner shall comply with the reporting and recordkeeping requirements and methods to

determine compliance specified in this paragraph.

a. Repmiing: The Petitioner shall submit to IDEM, on a quarterly basis, a report of

the facility-wide maximum 720 operating hour S02 rolling average mass emission rate

for each day that any of Unit No. I through Unit No. 6, or any combination thereof,

operates, begilllling the second quarter reporting period, which is July 2016.

b. Recordkeeping: The Petitioner shall maintain records adequate to document

compliance with the 720 operating hour rolling average S0 2 mass emission rate.

c. Method to determine compliance: Compliance shall be determined by a

continuous emission monitoring system (CEMS) in accordance with 326 lAC 3-5; except

that data substituted in accordance with 40 Code of Federal Regulations ("CFR") Part 75

will not be considered in this evaluation. The Petitioner may use the existing cetiified

CEMS to meet this requirement.

6. This Order shall apply to and be binding upon the Petitioner, its successors and assigns.

No change in ownership, cm'jloTate, or partnership status of the Petitioner shall in any way alter

its status or responsibilities under this Order.

7. The requirements of this Order supersede any Jess stringent requirements applicable to

the Petitioner.



### EFFECTIVE DATE OF ORDER

Pursuant to IC 13-14-2-l(d), IC 4-21.5-3-1, IC 4-21.5-3-5(a)(6), and 40 CFR 51.102,

IDEM will give notice of this Order to each entity to whom the Order is directed and affected

neighbors by mailing and to the general public by web publication.

Pursuant to IC 4-21.5-3-7(a)(3), IC 4-21.5-3-2(e), and IC 4-21.5-3-5, this Order may be

appealed by filing a Petition for review within eighteen (18) days after the date affected persons

were given notice of the Order by U.S. mail. Information on petitions for review of this Order

can be found at IC 4-21.5-3-7.

Pursuant to IC 4-21.5-3-5(1) and IC 4-21.5-3-2(e), the Order is effective eighteen (18)

days from mailing of notice unless a Petition for review has been filed before or on the

eighteenth (18 111 ) 

### day. However, the compliance date for the S0 2 mass emission rate in this Order

is Aprill9, 2016.

Pursuant to 40 CFR 51.103, IDEM will submit this Order to U.S. El' A as a revision to the

Indiana SIP. Upon approval by the U.S. EPA, this Order will be part of the Indiana SIP.Commissioncl''s Ot

· dcl' No 2016-02

Page4 of4

Persons seekingjudicial review of this Order may do so in accordance with IC 4-21.5-5.

If you have procedural or scheduling questions regarding yom request for review, you

may contact the Office of Envirom11ental Adjudication at (317) 232-8591. 

### If you have questions

regarding this Order, please contact Mark Derf, Office of Air Quality, by telephone at (317) 233-

5682 or email at MDERF@idem.IN.gov.

Dated at Indianapolis, Indiana this 

## I \,.- day

# of**~** 2016.



## zcarotS:COl11ef

Commissioner

Indiana Department of Environmental Management

# Attachment C

Public Notice and Certificate of Publication for

the Commissioner's Order for Clifty Creek

Generating Station addressing the 1-hour S0 2 

# NAAQS

· Jefferson CountyINDIANA DEPARTMENT OF ENVIRONMENTAL MANAGEMENT

W

e Protect Ho o si e r s and Our Environm e nt

.

Mic ha el R. Pence

Gove n wr 100 N. Senate Avenue • Indianapolis, IN 46204

(800) 451-6027 • (317) 232

- 8603 • www. id em.IN.gov

Caro l S. Comer

C

o m

m

issi011e r



### Legal Notice- Public Comment Period and Opportunity for Public Hearing

State Implementation Plan (SIP) Submittal

Clifty Creek Generating Station in Jefferson County

Commissioner's Order No 2016

- 0 2

Notice i s her e by given under 40 CFR 51.102 that the Indiana Department of Environmental

Management ( " IDEM " ) is acceptin g written comm e nts and providing an opp01tunity for a public

hearing regarding a revision to the Indiana state implementation plan (SIP) for Indiana Kentucky

Electric Corporat i on, Clifty Creek Generating Station, Source I.D. Number 077-00001, located at

1335 C li fty Hollow Road in Madi s on

, Jefferson County, Indiana. All interested per s ons are

invited and will be given rea s on a ble opportunity to e x pr ess their view s conc e rning the propo s ed

revision to the SIP.

·

The pmpose o f this notice is to solicit public comment on a proposed revi s ion to the SIP that i s

accompli s hed by Commissioner' s Order No. 2016-02 for Clifty Creek Generating Station. The

Commissioner's Order impo s es a sulfur dioxide emission limit upon Clifty Cre e k Generating

Station. Thi s Commi s sioner ' s Ord e r will be submitted to the United Stat es Environmenta l

Protection Agency ("U.S. EPA") for approval as a revi s ion to the Indiana SIP

.

Any person may s ubmit written comments on the proposed SIP revi s ion

. Written comments mu s t

be postmarked or delivered in person on or before March 17, 2016

.

Any per s on may request a public hearing on the proposed SIP revision. Request s for a public

hearing mu s t be submitted on or before March 4, 2016. A hearing has been s cheduled for Ma r ch

10,2016 at 6:00p.m. ea s tern time. The hearing will occur at Hanover Colle g e Science Center,

607 Ball Driv e, Hanover, Indi a na, Building SCC, Room 136

. If no timely request for a public

hearing is received by March 4, 2016, the hearing will be cancelled. Intere s ted parties can check

the on l ine IDEM cal e ndar at http://www

. in.gov/a c t i veca l e n da r /EventList.aspx or contact Mark

Derf at the contact information listed below to see if the hearing has been cancelled. Interested

parties may pre s ent ora l or written comments at the public hearing, if held

.

Comment s and s upporting document a tion

, or a reque s t for a public hearing mu s t be sent in

writing to Mark Derfvia the information provided below

. Plea s e refer to Commissioner's Order

2016-02 in all correspondence.

MarkDerf

Indiana Department of Environmental Management

Office of Air Quality

100 North Senate A venue

Mail Code 61-50 IGCN 1003

Indianapolis, Indiana 46204

A n E qu a l O p portunity E mpl o y e r A State**that~** G} R ecyc l e d Pap e r

### Phone: (317) 233-5682

Fax: (317) 233-2342

E-rnail: MDERF@idem.IN.gov.

A copy of the Commissioner's Order i s avajlable to any person upon request and is

· available for public inspection at the following location s:

Indiana Department of Environmental Management

Office of Air Quality

Indiana Government Center-No rth

100 North Senate Avenue

lOth Floor

Indianapolis, Indiana 46204.

and

Indiana Department of Environmental Management

Southeast Regional Office

820 Sweet Street

Brownstown, Indiana 47220

and

Madison J efferson County Public Library

420 West Main Street

Madison, Indiana 47250-3796

T he 

### Conunissioner's Order is also available on the IDEM w e

b s ite at:

http : //\vww

. i n

. gov/i d e m /4686

. htm

.

For**addltion<~l** 

### information, please contact Mark Derf at the con t act information provided

above.

### IDEM INDI ANA DEPARTMENT OF ENVIRONMENTAL MANAGEMENT

We Protect Hoosiers and Our Environment

. Mitchell E. Daniels Jr. 100 North Senate Avenue

Governor Indianapolis, Indiana 46204

(317) 232-8603

Thomas W Easterly Toll Free (800) 451-6027

Commissioner www .i dem.IN.gov



### February 3> 2016



### CERTIFICATE OF PUBLICATION

This is to certify that the Indiana Department ofEnviromnental Management (IDEM) Notice of

the oppmiunity for a Public Hearing regarding the following:

o 

### Commissioner's Order # 2 016-0 2 for Clifty Creek Generating Station of In diana

was published on IDEM's web site on February 3> 2016

. 

### It is expected that it will remain posted

on the site until a t lea st March 4, 2016.

The notice in full was availab l e online at the following web add r ess, under "Sout h eastern".

htt p:/ /www.in

. gov / id e m /5 4 7 

### 4

. h tm

The notice wa s a l s o available the sa me date at the following web address.

h t t p : //www. i n. gov/ i de m /4 6 86. h t m

Web publication of the notice w as at the requ est of Scott Deloney, Branch Chi e f, Programs

Branch, Office of Air Quality, IDEM.

Attachments:

Copy of we b page as published.

Re cycled Pap e r 

## ® By:

Mike Finklestein

IDEM Webmaster

An E qu a l Op p o rtuni ty Emp l oyer Plea se Recycl e 

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# Attachment D

Clifty Creek Generating Station:

Modeling Summary

Jefferson County

### Indiana-Kentucky Electric Corporation- Clifty Creek Generating Station

Commissioner's Order Modeling Summary

Background

Initial modeling, using Clifty Creek's hourly Continuous Emissions Monitoring (CEM) data from 2012-

2014, showed higher modeled S0 2 concentrations that exceeded the 1-hour S0 2 National Ambient Air

Quality Standards (NAAQS). This modeling included emissions before and after Clifty Creek had installed

their Fluidized Gas Desulfurization {FGD) system. After consultation with U.S. EPA, Indiana remodeled

the S0 2 emissions from Clifty Creek after the FGD system became operational to determine the

attainment designation for the area since emission controls have to be in place by the final S0 2 area

designation date of July 2, 2016. The FGD system became fully operational in July 2013. The modeling

period was set for one and half years from July 2013 through December 2014. This modeling showed

attainment of the 1-hour S0

2 standard. Following the submittal of Indiana's recommendations

addressing the Round 2 consent decree in September of 2015, U.S. EPA pointed out a full three years of

modeling would be required to make a characterization of air quality in the area and emission limits

would have to be established that would be federally enforceable and permanent. Since this was the

case, discussions with Clifty Creek resulted in their request for new S0 2 emission limits to be established,

based on three years of meteorological data, per a Commissioner's Order. These limits would be

federally enforceable and permanent and incorporated into their permit at a later date.

Modeled Emission Limits and Results

The FGD system controls S0

2 emissions from flue gases for all six generating units at Clifty Creek. Units

1, 2, and 3 are vented into Stack CS013. Units 3, 4, and 5 are vented into Stack CS046. The two stacks

are contained within one stack shell. Base elevations at Clifty were reevaluated based on construction

drawings for the facility. These new base elevations were used in this modeling analysis. All other

modeling parameters were maintained and can be found in Enclosure 3, page 15 of Indiana's Round 2

Consent Decree modeling submittal, dated September 16, 2015.

Three S0 2 emission scenarios were modeled: Scenario 1 was all emissions emitted from Stack CS013,

Scenario 2 was all emissions emitted from Stack CS046, and Scenario 3 divided the emissions equally

between Stack CS013 and Stack CS046. The worst case modeling scenario was Scenario 1, represented

by all S0 2 emissions being emitted from Stack CS013. Based on this worst case modeling scenario, the

emission limit was determined to be any of the Units 1 through 6 or any combination can never exceed

4,670 lbs/hr for the 1-hour S0

2 averaging period. A summary of the three modeling scenarios S0

2

emission and modeling results can be seen below in Table 1.

1Table 1: Clifty Creel< 1-hour S0 2 Modeling Scenario Summary and Results

Modeled

Emission Rate Concentration Concentration Concentration

Scenario Group ID lb/hr llg/m' llg/m' 11g/m'

Scenario 1 CS013 4,670 195.98

Scenario 2 CS046 4,670 187.93

Scenario 3 SPLT 2,335.2 192.11

Determination of Longer Time-Averaged Limits

Clifty Creek requested a 720 operating hour rolling average emission limit that would demonstrate

compliance among multiple units and model attainment of the 1-hour S0 2 standard. The reduction ratio

used in order to demonstrate an equivalent 720 operating hour rolling average S0 2 mass emission limit

based on the modeled 1-hour emission limit is discussed in Clifty Creek's Commissioner Order request

and the assessment process for developing a longer term averaging period limit, dated January 22, 2016.

The equivalent 720 operating hour site rolling average S0

2 emission limit calculated from the 4,670 lb/hr

1-hour modeled emission limit was determined to be 2,624.Sibs of S0 2 /hr.

2