1 

TECHNICAL SUPPORT DOCUMENT 

30 TAC, Chapter 117 Control of Air Pollution from Nitrogen Compounds 

Revisions to Chapter 117 Due to Repeal of Chapter 101 System Cap Trading Program 

Rules 

Rule Project No. 2011-018-117-EN 

EPA-R06-OAR-2012-0364 

30 TAC, Chapter 117 Control of Air Pollution from Nitrogen Compounds 

Chapter 117 Stationary Diesel Engine Petition - Halliburton 

Rule Project No. 2012-031-117-AI 

EPA-R06-OAR-2013-0400 

30 TAC, Chapter 117 Control of Air Pollution from Nitrogen Compounds 

Definition Update - ERCOT 

Rule Project No. 2012-025-117-AI 

EPA-R06-OAR-2013-0400 

 
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This Technical Support Document (TSD) is comprised of 3 separate sections 1, 2 and 3. 

Section 1 concerns our evaluation of Texas’ final rule adopted on April 13, 2012 as a revision to 

the Texas State Implementation Plan (SIP) concerning 30 TAC, Chapter 117 Control of Air 

Pollution from Nitrogen Compounds, Rule Project No. 2011-018-117-EN. 

Section 2 of the TSD concerns the our evaluation of Texas’ final rule adopted on May 8, 2013 as 

a revision to the Texas State Implementation Plan (SIP) 30 TAC, Chapter 117 Control of Air 

Pollution from Nitrogen Compounds, Rule Project No. 2012-031-117-AI. 

Section 3 of the TSD concerns the our evaluation of Texas’ final rule adopted on May 14, 2013 

as a revision to the Texas State Implementation Plan (SIP) 30 TAC, Chapter 117 Control of Air 

Pollution from Nitrogen Compounds, Rule Project No. 2012-025-117-AI . 

No material in any of these 3 SIP submittals was designated as Confidential Business 

Information. 
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Section 1 - Revisions to Chapter 117 Due to Repeal of Chapter 101 System Cap Trading Program Rules. 

What is the System Cap Trading (SCT) Program? 

The SCT Program was designed by the TCEQ to provide additional compliance flexibility to 

source owners and operators subject to the system caps established in 30 TAC Chapter 117. 

Under this program, sources under common ownership or control may be voluntarily grouped 

together in a system with a system cap on total emissions from the sources in the system. The 

Chapter 117 system caps establish daily, rolling 30-day average, and annual average emission 

caps depending upon the source’s location. The Chapter 117 system caps enable participating 

sources to transfer emission allowables (the amount greater than zero that a source owner or 

operator’s allowable emissions exceed the actual emissions over the applicable averaging time 

period) from source to source within the same system, provided the overall cap is not exceeded. 

This particular revision was prompted, in part, by the October 25, 2010 letter from EPA to 

TCEQ requesting that TCEQ withdraw and revise its SCT rules under 30 TAC Chapter 101 from 

SIP consideration. Later, EPA proposed disapproval of TCEQ’s SCT program on November 18, 

2010 (75 FR 70654), because EPA considered the SCT program lacked several necessary 

components for emissions trading programs as outlined in EPA’s Economic Incentive Program 

Guidance. However, the review of the repeal/removal of the SCT rules under 30 TAC Chapter 

101 is not subject of this TSD. Our review here, in section1 of this document, concerns only 

revisions to the 30 TAC Chapter 117 rules. 

We received this SIP submittal package, with a letter dated April 13, 2012, from TCEQ 

requesting approval of a revision to 30 TAC, Chapter 117, §§117.1020, 117.1120, 117.1220, 

117.3020, 117.9800. The system cap emission limits in Chapter 117 set daily, 30-day rolling 

average, or annual emission caps on total NOx emissions from EGFs that are: subject to the 

Chapter 117 emission specifications for attainment demonstration (ESAD); under common 

ownership or control; and grouped together in an electric power generating system, as defined in 

§117.10(14). For example, if company A has three sites, X, Y, and Z with 3, 4, and 5 EGFs, 

respectively, that are subject to the Chapter 117 ESADs and are part of an electric power 

generating system, Chapter 117 sets a daily, 30-day rolling average, or annual emission caps on 

the total emissions from the affected EGFs. 
4 

This particular rule identifier information is: 

Rule Project No. 2011-018-117-EN 

Repeal of Chapter 101 System Cap Trading Program Rules and Revisions to Chapter 117 

Amendments to: §§117.1020, 117.1120, 117.1220, 117.3020, 117.9800 

Date Adopted: March 28, 2012 

Date Filed with the Secretary of State: March 30, 2012 

Date Published in the Texas Register: April 13, 2012 

Date Effective: April 19, 2012 

On May 23, 2007, the commission adopted reformatted and renumbered Chapter 117 rules. EPA 

approved those revisions on December 3, 2008 at 73 FR 73562. The SCT program has had 

minimal participation from affected sources over time, and on February 23, 2011, State withdrew 

the Chapter 101 SCT program rules from consideration by the EPA as a revision to the SIP. 

Removing the references to the SCT program in Chapter 117 will avoid confusion among 

regulated entities that are subject to the Chapter 117 system cap emission limits and will address 

any potential concerns regarding the use of a compliance option that is not federally enforceable 

to meet a federally enforceable rule. Removing the references to the SCT program in Chapter 

117, published in Texas Register of April 13, 2012, will provide for consistency among Chapter 

101 rules and Chapter 117 rules. 

The affected provisions in 30 TAC Chapter 117 are: Subchapter C, Divisions 1 - 3; Subchapter 

E, Division 1; and Subchapter H, Division 2. These revisions amend §§117.1020, 117.1120, 

117.1220, 117.3020, and 117.9800 by removing references to Chapter 101 SCT program rules. 

These changes are adopted by TCEQ concurrently with the removal/repeal of sections pertaining 

to the SCT program from Chapter 101. The repeal of sections pertaining to the SCT program 

from Chapter 101 was published, separately, in the April 13, 2012, issue of Texas Register at 37 

TexReg 2656. The evaluation of revisions to 30 TAC Chapter 101 is not subject of this TSD. 

The adopted revisions to §§117.1020(l), 117.1120(l), 117.1220(l), and 117.3020(l) remove all 

references to Chapter 101, Subchapter H, Division 5, SCT program. The adopted revisions to 

§117.9800(b) remove references to the SCT program requirements in Chapter 101, Subchapter 

H, Division 5. 
5 

As result, the text of section 117.1020(l) will be revised: 

The text of section 117.1120(l) will be revised: 

The text of section 117.1220(l) will be revised: 

The text of section 117.1320(l) will be revised: 

The text of section 117.9800(b) will be revised: 

TCEQ adopted and published revisions to 30 TAC Chapter 117 in the April 13, 2012 issue of the 

Texas Register at 37 TexReg 2658. For Chapter 117 review purposes the revisions are 

administrative in nature. 
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Section 2 – Revisions to 30 TAC Chapter 117, Stationary Diesel Engine Petition - Haliburton 

Section 2 of the TSD concerns our evaluation of Texas’ final rule adopted on May 8, 2013 as a 

revision to the Texas State Implementation Plan (SIP) concerning 30 TAC, Chapter 117 Control 

of Air Pollution from Nitrogen Compounds, Rule Project No Rule Project No 2012-031-117-AI. 

We received this SIP submittal package, with a letter dated May 8, 2013, from TCEQ requesting 

approval of a revision to 30 TAC, Chapter 117, sections 117.2103, 117.2130, 117.2135, and 

117.2145. 

This particular rule identifiers information is as follows: 

Rule Project No. 2012-031-117-AI 

Chapter 117 Stationary Diesel Engine Petition 

Amendments to: §§117.2103, 117.2130, 117.2135, 117.2145 

Date Adopted: April 10, 2013 

Date Filed with the Secretary of State: April 12, 2013 

Date Published in the Texas Register: April 26, 2013 

Date Effective: May 2, 2013 

TCEQ proposed this rule change following a petition from Halliburton Energy Services, 

Incorporated (Halliburton) on April 5, 2012 requesting a partial exemption from the rules in 30 

TAC Chapter 117, Subchapter D, Division 2 that limits NOx emissions from minor sources in 

the Dallas-Fort Worth (DFW) 1997 eight-hour ozone nonattainment area. See TCEQ Project 

No. 2012-029-PET-NR for more information on the petition. TCEQ approved the petition for 

rulemaking on May 30, 2012, and the Commission issued an order to examine the subject 

petition and initiate a rulemaking. See the rule identifiers information above. 

What makes the Halliburton drawworks engine unique? 

According to the petition filed on behalf of Halliburton, the unique service of the Halliburton 

drawworks engine makes ongoing testing to demonstrate compliance with the Chapter 117 NOx 

emission limits impractical and comparatively more expensive than the stationary engine testing 

envisioned during the adoption of the Chapter 117 rules in 2007. 

To comply with the Chapter 117 testing requirements, Halliburton must arrange for both 

emissions testing equipment (a normal and expected expense) and for the rental, transport, and 

use of a dynamometer, which is typically used by engine manufacturers for testing purposes. 
7 

Preparing the engine for installation of the dynamometer and returning the engine to operational 

status subsequent to the emissions testing presents significant safety hazards associated with the 

removal of the drive train and transmission, removal of the torque converter, and the placement 

and use of non-dedicated hoisting equipment on the rig floor. 

Performing a compliant emissions test of the drawworks engine takes three to four days to 

complete, whereas compliant emissions testing on a typical stationary engine only requires 

approximately half a day (three one-hour tests). Additionally, engines used to raise and lower 

down-hole equipment in actual oil and gas operations in the field, which the drawworks engine is 

designed to simulate, are typically not subject to similar Chapter 117 testing requirements 

because they are not installed at one location long enough to trigger the definition of a stationary 

internal combustion engine in §117.10. For a section by section review of this rule revision, see 

below. 

Section 117.2103, Exemptions 

The revision to §117.2103(10) will exempt stationary diesel engines that are used exclusively for 

product testing and personnel training, operate less than 1,000 hours per year on a rolling 12-

month basis, and meet applicable EPA’s Tier emission standards for non-road engines listed in 

40 CFR §89.112(a), Table 1 (October 23, 1998) in effect at the time of installation, modification, 

reconstruction, or relocation. See Appendix B. 

Section 117.2130, Operating Requirements 

To be exempted under the 117.2130(10) the engine will need to be 40 CFR §89.112(a) compliant 

(a federally enforceable requirement); therefore, the revision is approvable. 

Section 117.2135, Monitoring, Notification, and Testing Requirements 

The revision to §117.2135(e) references the adopted exemption in §117.2103(10). The revised 

§117.2135(e) requires sources claiming the adopted exemption in §117.2103(10) to monitor the 

operating time with a non-resettable elapsed run time meter in order to demonstrate compliance 

with the operating restrictions in §117.2103(10). To conform to Texas Register formatting 

standards, TCEQ also amended subsection (e) by adding a reference to the title of §117.2103. 
8 

The revision in Section 117.2135 addresses the cross referencing of affected sections, and 

provides for continuity of the operation of the meter by requiring it to be of a non-resettable type, 

thus one would be able to verify the integrity of parameter used for compliance determination; 

therefore, the revision is approvable. 

Section 117.2145, Recordkeeping and Reporting Requirements 

The revision to §117.2145(b) reformats the existing provision and adding new recordkeeping 

requirements associated with the adopted exemption in §117.2103(10). The adopted amendment 

does not alter the intent of the existing recordkeeping requirements for sources currently 

complying with §117.2145(b) or impose any new requirements on engines claimed exempt. 

The revision to §117.2145(b) reformats the record retention requirement in existing 

§117.2145(b) to require the records specified in paragraphs (1)- (3) to be maintained for at least 

five years and must be made available upon request to representatives of the executive director, 

EPA, or any local air pollution control agency having jurisdiction. The adopted 117.2145(b)(2) 

includes the existing requirements in §117.2145(b) for the owner or operator of each engine 

claimed exempt under §117.2103(5) to maintain written records of the purpose of engine 

operation and, if operation was for an emergency situation, identification of the type of 

emergency situation and the start and end times and date(s) of the emergency situation. 

The adopted §117.2145(b)(3) requires the owner or operator of each engine claimed exempt 

under §117.2103(10) to maintain records of manufacturer's specifications or test data sufficient 

to demonstrate compliance with the corresponding emission standard for non-road engines listed 

in 40 CFR §89.112(a), Table 1 (October 23, 1998) as specified in §117.2103(10)(C). 

The revision identifies the recordkeeping and monitoring requirements that will assist 

compliance facilitation; therefore, the revision is approvable. 

For section 110(l) analysis (anti-backsliding) see below. 

Section 110(l) analysis: 

In the April 26, 2013 issue of Texas Register at 38 TexReg 2634 TCEQ provided the following 

information to demonstrate why the adopted new exemption in §117.2103 will not negatively 

impact the status of the state's progress towards attainment with the 1997 eight-hour ozone 
9 

NAAQS, will not interfere with control measures, and will not prevent reasonable further 

progress toward attainment of the ozone NAAQS. TCEQ states that, 

“On May 23, 2007, as part of the DFW 1997 eight-hour ozone attainment demonstration 

SIP revision, the commission adopted new emission control requirements for stationary 

reciprocating internal combustion engines located at minor industrial, commercial, and 

institutional sources of NOx in the DFW area. The NOx emission reductions were 

necessary for the DFW area to attain the 1997 eight-hour ozone NAAQS. Similar to the 

HGB rulemaking, the DFW rulemaking also adopted exemptions for engines used for 

specific purposes, such as those used in research and testing and those used for the 

purposes of performance verification testing. The adopted partial exemption is narrowly 

tailored and will not adversely impact the DFW area's progress in attaining the 1997 

eight-hour ozone NAAQS. During the 2000 and 2007 rulemakings, no stationary engines 

similar in function to the Halliburton Drawworks Engine were identified in the emissions 

inventory in the counties impacted by the rulemakings, and no such engines were relied 

upon for creditable reductions for the SIP revision. Therefore, the adopted rulemaking 

will not result in a loss of any SIP creditable reductions for the DFW 1997 eight-hour 

ozone nonattainment area. Additionally, based on February 2012 emissions test results 

and a limit of no more than 1,000 hours of run time per year, the Drawworks Engine has 

maximum potential annual NOx emissions of 0.87 tons per year and is well below the 

emission standards established in the Chapter 117 minor source NOx rules. The adopted 

exemption criteria require compliance with the federal standards in 40 CFR Part 89 to 

ensure that the adopted exemption will not result in backsliding. Based on the test results, 

the Drawworks Engine at the Halliburton Carrollton Plant meets Tier 3 emission 

standards for non-road engines listed in 40 CFR §89.112(a), Table 1 (October 23, 1998). 

Therefore, the Drawworks Engine will be required to and does meet the applicable 

federal emission standards in 40 CFR §89.112(a), Table 1 (October 23, 1998) for the 

engine's size and installation date. The NOx emission limits for stationary diesel engines 

in §117.2110 were derived from the Tier standards in 40 CFR Part 89. Therefore, the 

adopted exemption will not result in additional NOx emissions in the DFW area.” 

And based on the above factors TCEQ determined that the adopted rule change will not 

negatively impact the status of the state's attainment demonstration for the 1997 eight-hour ozone 

NAAQS, will not interfere with control measures, and will not prevent reasonable further 

progress toward attainment of the ozone NAAQS. 

What are the factors considered in explaining the 110(l) analysis? 

In sum, the factors pertaining to the 110(l), and triggering the petition request are: 
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 Actual testing has shown that the affected unit will emit a maximum of 0.87 tons per year 

which is below the minor source threshold limit for the DFW area. 

 The affected unit complies with the emission standards of 40 CFR §89.112(a), Table 1 

(October 23, 1998). 

 The affected unit operated less than 1000 hours per year. 

 The affected unit is used exclusively for product testing and personnel training, and 

limited service 

 No such engines were relied upon for creditable reductions for the SIP revision. 

Therefore, the adopted rulemaking will not result in a loss of any SIP creditable 

reductions for the DFW 1997 eight-hour ozone nonattainment area. 

 Safety concerns due to installation of the dynamometer and returning the engine to 

operational status subsequent to the emissions testing presents significant safety hazards 

associated with the removal of the drive train and transmission, removal of the torque 

converter, and the placement and use of non-dedicated hoisting equipment on the rig 

floor. 

For a comparison of the NOx emissions associated with the drawworks engine versus the DFW 

area major NOx source threshold limit see the chart below. 

0.87

50

0

10

20

30

40

50

60

Drawworks Engine DFW Threshold

Tons Per Year

NOx Emissions of Drawworks Engine vs. DFW Major Source 

Threshold Limit
11 

We have reviewed TCEQ explanation and reasons as to why expansion of this partial exemption 

does not adversely impact the status of the Texas’ progress towards attainment of the 1997 eighthour ozone NAAQS, will not interfere with control measures, and will not prevent reasonable 

further progress toward attainment of the ozone NAAQS. We agree with their 

reasoning/rationale, and consider their 110(l) analysis adequate for the purposes of evaluation of 

the proposed revisions to 30 TAC Chapter 117. Therefore, State’s submittal meets the applicable 

requirements of the CAA and EPA air quality regulations. 

TCEQ adopted the revisions to 30 TAC Chapter 117. See the April 26, 2013 issue of Texas 

Register at 38 TexReg 2634. Also, see Appendix A of this document. 
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Section 3 – Revisions to 30 TAC Chapter 117, Definition of Emergency – ERCOT 

As stated earlier, section 3 of the TSD concerns our evaluation of Texas’ final rule adopted on 

May 14, 2013 as a revision to the Texas State Implementation Plan (SIP) concerning 30 TAC, 

Chapter 117 Control of Air Pollution from Nitrogen Compounds, Rule Project No. 2012-025-

117-AI. We received this SIP submittal package, with a letter dated May 14, 2013, from TCEQ 

requesting approval of a revision to 30 TAC, Chapter 117, Subchapter A, Definitions, Section 

117.10. 

This particular rule identifiers information is as follows: 

Rule Project No. 2012-025-117-AI 

Chapter 117 Definition Update and Revisions to Chapter 101 

Amendment to: §117.10 

Date Adopted: April 10, 2013 

Date Filed with the Secretary of State: April 12, 2013 

Date Published in the Texas Register: April 26, 2013 

Date Effective: May 2, 2013 

TCEQ adopted revision to 117.10(15)(A)(ii) to reference the version of ERCOT Protocols of 

June 1, 2012. This revision will make the definition of emergency in 30 TAC Chapter 117.10(15) 

consistent with the ERCOT Nodal Protocols, Section 2: Definitions and Acronyms, and Section 

6: Adjustment Period and Real Time Operations. 

TCEQ adopted revisions to 117.10(15)(A)(vii) to include operation of an emergency generator as 

a part of ERCOT’s Emergency Response Service (ERS) program when the operation is in direct 

response to an instruction by ERCOT during the period of an ERCOT’s energy emergency alert. 

TCEQ adopted revisions to 117.10(15)(B)(ii) to limit the circumstances under which an 

emergency generator can provide power to the electric grid to only those operations that are part 

of ERCOT’s dispatch instruction during and energy emergency alert. 

These provisions will provide for consistency among 30 TAC Chapter 117.10(15) definition of 

emergency, and ERCOT’s Nodal Protocols program. They also promote reliability during energy 

emergencies by allowing operation of generators for the purpose of selling power to the electric 

grid under limited circumstances. For a zonal map of ERCOT see Appendix C of this document. 

The text of adopted revisions to 117.10(15) read: 

(15) Emergency situation -As follows. 

(A) An emergency situation is any of the following: 
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(i) an unforeseen electrical power failure from the serving electric power generating system; 

(ii) the period of time that an Electric Reliability Council of Texas, Inc. (ERCOT)-issued 

emergency notice or energy emergency alert (EEA) (as defined in ERCOT Nodal Protocols, 

Section2: Definitions and Acronyms (June 1, 2012) and issued as specified in ERCOT Nodal 

Protocols, Section 6: Adjustment Period and Real-Time Operations (June 1, 2012)) is 

applicable to the serving electric power generating system. The emergency situation is 

considered to end upon expiration of the emergency notice or EEA issued by ERCOT; 

(iii) an unforeseen failure of on-site electrical transmission equipment (e.g., a transformer); 

(iv) an unforeseen failure of natural gas service; 

(v) an unforeseen flood or fire, or a life-threatening situation; 

(vi) operation of emergency generators for Federal Aviation Administration licensed airports, 

military airports, or manned space flight control centers for the purposes of providing power in 

anticipation of a power failure due to severe storm activity; or 

(vii) operation of an emergency generator as part of ERCOT's emergency response service (as 

defined in ERCOT Nodal Protocols, Section 2: Definitions and Acronyms (June 1,2012) if the 

operation is in direct response to an instruction by ERCOT during the period of an ERCOT 

EEA as specified in clause (ii) of this subparagraph. 

(B) An emergency situation does not include: 

(i) operation for training purposes or other foreseeable events; or 

(ii) operation for purposes of supplying power for distribution to the electric grid, except as 

specified in subparagraph (A)(vii) of this paragraph. 

See the April 26, 2013 issue of Texas Register at 38 TexReg 2631. 

Section 110(l) analysis: 

In the April 26, 2013 issue of Texas register at 38 TexReg 2624 TCEQ provided the following 

information to demonstrate why the adopted changes in 117.10(15) will not negatively impact 

the status of the state's progress towards attainment with the 1997 eight-hour ozone NAAQS, 

will not interfere with control measures, and will not prevent reasonable further progress toward 

attainment of the ozone NAAQS. 

“Under the existing Chapter 117 rules, the period of time during an ERCOT-declared 

emergency is considered an emergency situation. The commission has interpreted this to 

mean that when demonstrating compliance with the Chapter 117 exemption criteria, 

participants in ERCOT's former EILS program were not required to include the hours of 

operation for generators operated during an ERCOT-declared emergency as nonemergency operation.” 

 

TCEQ further stated that, 

“the adopted rulemaking prevents ERS program participants from potentially 

losing exemption status under Chapter 117 if they provide power to the electrical 
14 

grid during an ERCOT-declared emergency. The adopted rulemaking ensures that 

the changes made to ERCOT's new ERS program do not narrow the scope of 

what the commission currently considers an emergency situation. The period of 

time during an ERCOT-declared emergency is currently considered an emergency 

situation under the existing Chapter 117 rules. The adopted revisions to the 

definition of emergency situation limit the circumstances under which a generator 

could provide power for distribution to the electrical grid to only those operations 

that are part of ERCOT's ERS program and in direct response to an instruction by 

ERCOT during the period of an ERCOT energy emergency alert (EEA). 

Therefore, the adopted amendment does not increase the number of sources that 

could qualify for exemption under the Chapter 117 rules or increase the frequency 

or duration of the operation during an emergency situation. For these reasons, the 

commission determined that the adopted rulemaking will not negatively impact 

the status of the state's attainment with the 1997 eight-hour ozone NAAQS and 

should not be considered as backsliding under the Federal Clean Air Act 

(FCAA).” 

We have reviewed TCEQ explanation and reason as to why revision to 117.10 (15) does not 

adversely impact the status of the Texas’ progress towards attainment of the 1997 eight-hour 

ozone NAAQS, will not interfere with control measures, and will not prevent reasonable further 

progress toward attainment of the ozone NAAQS. We agree with their reasoning/rationale, and 

consider their 110(l) analysis adequate for the purposes of evaluation of the proposed revisions to 

30 TAC Chapter 117. Therefore, State’s submittal meets the applicable requirements of the CAA 

and EPA air quality regulations. 

 
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Appendix A 

This appendix shows the change to text of the affected emergency engines provisions of 

Chapter 117 (before and after the revision) as a result of adoption of the partial exemption of 

the Halliburton petition by TCEQ. The appendix is generated by Alan Shar as a part of the 

TSD development. 

§117.2103. Exemptions. 

This division (relating to Dallas-Fort Worth Eight-Hour Ozone Nonattainment Area Minor 

Sources) does not apply to the following stationary engines, except as specified in §§117.2130(c), 

117.2135(e), and 117.2145(b) and (c) of this title (relating to Operating Requirements; Monitoring, 

Notification, and Testing Requirements; and Recordkeeping and Reporting Requirements): 

(1) engines with a horsepower (hp) rating of less than 50 hp; 

(2) engines used in research and testing; 

(3) engines used for purposes of performance verification and testing; 

(4) engines used solely to power other engines or gas turbines during startups; 

(5) engines operated exclusively in emergency situations, except that operation for 

testing or maintenance purposes is allowed for up to 100 hours per year, based on a rolling 12-month 

average. Any new, modified, reconstructed, or relocated stationary diesel engine placed into service 

on or after June 1, 2007, is ineligible for this exemption. For the purposes of this subparagraph, the 

terms “modification”"modification'' and “reconstruction”"reconstruction'' have the meanings defined 

in §116.10 of this title (relating to General Definitions) and 40 Code of Federal Regulations (CFR) 

§60.15 (December 16, 1975), respectively, and the term “relocated”"relocated'' means to newly 

install at an account, as defined in §101.1 of this title (relating to Definitions), a used engine from 

anywhere outside that account; (6) engines used in response to and during the existence of any 

officially declared disaster or state of emergency; 

(7) engines used directly and exclusively by the owner or operator for agricultural 

operations necessary for the growing of crops or raising of fowl or animals; 

(8) diesel engines placed into service before June 1, 2007, that: 

(A) operate less than 100 hours per year, based on a rolling 12-month 

average; and 

(B) have not been modified, reconstructed, or relocated on or after June 1, 

2007. For the purposes of this clause, the terms “modification”"modification'' and 

“reconstruction”"reconstruction'' have the meanings defined in §116.10 of this title and 40 CFR 

§60.15 (December 16, 1975), respectively, and the term “relocated”"relocated'' means to newly 

install at an account, as defined in §101.1 of this title, a used engine from anywhere outside that 

account; and 

(9) new, modified, reconstructed, or relocated stationary diesel engines placed into 

service on or after June 1, 2007, that: 

(A) operate less than 100 hours per year, based on a rolling 12-month 

average, in other than emergency situations; and 

(B) meet the corresponding emission standard for non-road engines listed in 

40 CFR §89.112(a), Table 1 (October 23, 1998) and in effect at the time of installation, modification, 

reconstruction, or relocation. For the purposes of this subparagraph, the terms 

“modification”"modification'' and “reconstruction”"reconstruction'' have the meanings defined in 

§116.10 of this title and 40 CFR §60.15 (December 16, 1975), respectively, and the term 
16 

“relocated”"relocated'' means to newly install at an account, as defined in §101.1 of this title, a used 

engine from anywhere outside that account.; and 

(10) new, modified, reconstructed, or relocated stationary diesel engines placed into 

service on or after June 1, 2007, that: 

(A) are used solely for product testing and personnel training; 

(B) operate less than 1,000 hours per year, on a rolling 12-month basis; and

(C) meet the corresponding emission standard for non-road engines listed in 40 CFR 

§89.112(a), Table 1 (October 23, 1998) and in effect at the time of installation, modification, 

reconstruction, or relocation. For the purposes of this subparagraph, the terms "modification" and 

"reconstruction" have the meanings defined in §116.10 of this title and 40 CFR §60.15 (December 

16, 1975), respectively, and the term "relocated" means to newly install at an account, as defined in 

§101.1 of this title, a used engine from anywhere outside that account.

§117.2130. Operating Requirements. 

(a) The owner or operator shall operate any unit subject to the emission specifications of 

§117.2110 of this title (relating to Emission Specifications for Eight-Hour Attainment 

Demonstration) in compliance with those specifications. 

(b) All units subject to §117.2110 of this title must be operated so as to minimize nitrogen 

oxides (NOX

) emissions, consistent with the emission control techniques selected, over the unit's 

operating or load range during normal operations. Such operational requirements include the 

following. 

(1) Each unit controlled with post-combustion control techniques must be operated 

such that the reducing agent injection rate is maintained to limit NOX 

concentrations to less than or 

equal to the NOX 

concentrations achieved at maximum rated capacity. 

(2) Each stationary internal combustion engine controlled with nonselective catalytic reduction must 

be equipped with an automatic air-fuel ratio (AFR) controller that operates on exhaust O2 or CO 

control and maintains AFR in the range required to meet the engine's applicable emission 

specifications. 

(3) Each stationary internal combustion engine must be checked for proper operation according 

to §117.8140(b) of the title (relating to Emission Monitoring for Engines). 

(c) No person shall start or operate any stationary diesel or dual-fuel engine for testing or 

maintenance of the engine between the hours of 6:00 a.m. and noon, except:

(1) for specific manufacturer's recommended testing requiring a run of over 18 consecutive 

hours; 

(2) to verify reliability of emergency equipment (e.g., emergency generators or pumps) 

immediately after unforeseen repairs. Routine maintenance such as an oil change is not 

considered to be an unforeseen repair; or 

(3) firewater pumps for emergency response training conducted in the months of April through 

October. 

§117.2135. Monitoring, Notification, and Testing Requirements. 

(a) Oxygen (O2

) monitors. If the owner or operator installs an O2 monitor, the criteria in 

§117.8100(a) of this title (relating to Emission Monitoring System Requirements for Industrial, 

Commercial, and Institutional Sources) should be considered the appropriate guidance for the 

location and calibration of the monitor. 
17 

(b) Nitrogen oxides (NOX) monitors. If the owner or operator installs a continuous emissions 

monitoring system (CEMS) or predictive emissions monitoring system (PEMS), the CEMS or PEMS 

must meet the requirements of §117.8100(a) or (b) of this title. If a PEMS is used, the PEMS must 

predict the pollution emissions in the units of the applicable emission limitations of this division. 

(c) Monitor installation schedule. Installation of monitors must be performed in accordance 

with the schedule specified in §117.9210 of this title (relating to Compliance Schedule for DallasFort Worth Eight-Hour Ozone Nonattainment Area Minor Sources). 

(d) Testing requirements. The owner or operator of any unit subject to §117.2110 of this title 

(relating to Emission Specifications for Eight-Hour Attainment Demonstration) shall comply with the 

following testing requirements. 

(1) Each unit must be tested for NOX

, carbon monoxide (CO), and O2 emissions. 

(2) One of the ammonia monitoring procedures specified in §117.8130 of this title 

(relating to Ammonia Monitoring) must be used to demonstrate compliance with the ammonia 

emission specification of §117.2110(h)(2) of this title for units that inject urea or ammonia into the 

exhaust stream for NOX 

control. 

(3) For units not equipped with CEMS or PEMS, all testing must be conducted 

according to §117.8000 of this title (relating to Stack Testing Requirements). In lieu of the test 

methods specified in §117.8000 of this title, the owner or operator may use American Society for 

Testing and Materials (ASTM) D6522-00 to perform the NOX

, CO, and O2 testing required by this 

subsection on natural gas-fired reciprocating engines. If the owner or operator elects to use ASTM 

D6522-00 for the testing requirements, the report must contain the information specified in 

§117.8010 of this title (relating to Compliance Stack Test Reports). 

(4) Test results must be reported in the units of the applicable emission specifications 

and averaging periods. If compliance testing is based on 40 Code of Federal Regulations Part 60, 

Appendix A reference methods, the report must contain the information specified in §117.8010 of 

this title. 

(5) For units equipped with CEMS or PEMS, the CEMS or PEMS must be installed 

and operational before testing under this subsection. Verification of operational status must, at a 

minimum, include completion of the initial monitor certification and the manufacturer's written 

requirements or recommendations for installation, operation, and calibration of the device. 

(6) Initial compliance with the emission specifications of §117.2110 of this title for 

units operating with CEMS or PEMS must be demonstrated after monitor certification testing using 

the NOX 

CEMS or PEMS. 

(7) For units not operating with CEMS or PEMS, the following apply. 

(A) Retesting as specified in paragraphs (1) - (4) of this subsection is required 

within 60 days after any modification that could reasonably be expected to increase the NOX 

emission 

rate. 

(B) Retesting as specified in paragraphs (1) - (4) of this subsection may be 

conducted at the discretion of the owner or operator after any modification that could reasonably be 

expected to decrease the NOX 

emission rate, including, but not limited to, installation of postcombustion controls, low-NOX 

burners, low excess air operation, staged combustion (for example, 

overfire air), flue gas recirculation, and fuel-lean and conventional (fuel-rich) reburn. 

(C) Stationary, reciprocating internal combustion engines not equipped with 

CEMS or PEMS must be periodically tested for NOX 

and CO emissions as specified in §117.8140(a) 

of this title (relating to Emission Monitoring for Engines). 
18 

(8) Testing must be performed in accordance with the schedule specified in 

§117.9210 of this title. 

(9) All test reports must be submitted to the executive director for review and 

approval within 60 days after completion of the testing. 

(10) The owner or operator of an affected unit in the Dallas-Fort Worth eight-hour 

ozone nonattainment area must submit written notification of any CEMS or PEMS relative accuracy 

test audit (RATA) or testing required under this section to the appropriate regional office and any 

local air pollution control agency having jurisdiction at least 15 days in advance of the date of RATA 

or testing. 

(e) Run time meters. The owner or operator of any stationary diesel engine claimed exempt using the 

exemption of §117.2103(5), (8), (9), or (910) of this title (relating to Exemptions) shall record the 

operating time with a non-resettable elapsed run time meter. 

§117.2145. Recordkeeping and Reporting Requirements. 

(a) Recordkeeping. The owner or operator of a unit subject to §117.2110 of this title (relating 

to Emission Specifications for Eight-Hour Attainment Demonstration) shall maintain written or 

electronic records of the data specified in this subsection. Such records must be kept for a period of at 

least five years and must be made available upon request by authorized representatives of the 

executive director, the United States Environmental Protection Agency, or local air pollution control 

agencies having jurisdiction. The records must include: 

(1) for each unit using a continuous emission monitoring system (CEMS) or 

predictive emission monitoring system (PEMS) in accordance with §117.2135(b) of this title 

(relating to Monitoring, Notification, and Testing Requirements) monitoring records of: 

(A) hourly emissions for units complying with an emission specification 

enforced on a block one-hour average; and (B) daily emissions for units complying with an emission 

specification enforced on a rolling 30-day average. Emissions must be recorded in units of: 

(i) pounds per million British thermal units (MMBtu) heat input; and 

(ii) pounds or tons per day; 

(2) for each stationary internal combustion engine subject to §117.2110 of this title, 

records of: 

(A) emissions measurements required by §117.2130(b)(3) of this title 

(relating to Operating Requirements); and 

(B) catalytic converter, air-fuel ratio controller, or other emissions-related 

control system maintenance, including the date and nature of corrective actions taken; 

(3) records of carbon monoxide (CO) measurements specified in §117.2130(b)(3) of 

this title; 

(4) records of the results of initial certification testing, evaluations, calibrations, 

checks, adjustments, and maintenance of CEMS, PEMS, or steam-to-fuel or water-to-fuel ratio 

monitoring systems; and 

(5) records of the results of performance testing, including the testing conducted in 

accordance with §117.2135(d) of this title. 

(b) Records for exempt engines. The following records must be maintained for at least five 

years and must be made available upon request to representatives of the executive director, the 

United States Environmental Protection Agency, or any local air pollution control agency having 

jurisdiction. 
19 

(1) Written records of the number of hours of operation for each day's operation must 

be mademaintained for each engine claimed exempt under §117.2103(5), (8), (9), or (910) of this title 

(relating to Exemptions) or §117.2130(b)(3) of this title. In addition, for 

(2) For each engine claimed exempt under §117.2103(5) of this title, written records must be 

maintained of the purpose of engine operation and, if operation was for an emergency situation, 

identification of the type of emergency situation and the start and end times and date(s) of the 

emergency situation. The records must be maintained for at least five years and must be made 

available upon request to representatives of the executive director, the United States Environmental 

Protection Agency, or any local air pollution control agency having jurisdiction. 

 (3) For each engine claimed exempt under §117.2103(10) of this title, records must 

be maintained of manufacturer's specifications or test data sufficient to demonstrate compliance with 

the emission standard specified in §117.2103(10)(C) of this title. 

(c) Records of operation for testing and maintenance. The owner or operator of each 

stationary diesel or dual-fuel engine shall maintain the following records for at least five years and 

make them available upon request by authorized representatives of the executive director, the United 

States Environmental Protection Agency, or local air pollution control agencies having jurisdiction: 

(1) date(s) of operation; 

(2) start and end times of operation; 

(3) identification of the engine; and 

(4) total hours of operation for each month and for the most recent 12 consecutive months. 

 
20 

Appendix B 

40 CFR § 89.112 Oxides of nitrogen, carbon monoxide, hydrocarbon, and particulate matter 

exhaust emission standards. 

(a) Exhaust emission from nonroad engines to which this subpart is applicable shall not 

exceed the applicable exhaust emission standards contained in Table 1, as follows: 

Source: http://www.ecfr.gov/cgibin/retrieveECFR?gp=&SID=50d37219466b902c5befd379cfd0a192&n=40y21.0.1.1.3&r=PART&ty

=HTML#40:21.0.1.1.3.2.1.12 (URL dating June 13, 2013) 

 
21 

Appendix C 

ERCOT Zonal Map showing the areas under ERCOT’s jurisdiction in State of Texas. 

Source: http://www.ercot.com/news/mediakit/maps/ (URL dating June 5, 2013) 

 
22 

INDEX 

110(l) analysis .................................. 8, 11, 13, 14 

117.10 .......................................... 3, 7, 12, 13, 14 

117.1020 .................................................... 3, 4, 5 

117.1120 .................................................... 3, 4, 5 

117.1220 .................................................... 3, 4, 5 

117.2103 .................................. 6, 7, 8, 15, 18, 19 

117.2130 ................................ 6, 7, 15, 16, 18, 19 

117.2135 .................................. 6, 7, 8, 15, 16, 18 

117.2145 ............................................ 6, 8, 15, 18 

117.3020 ........................................................ 3, 4 

117.9800 .................................................... 3, 4, 5 

30 TAC Chapter ................... 3, 4, 5, 6, 11, 12, 14 

40 CFR §89.112(a) ................... 7, 8, 9, 10, 15, 16 

Alan Shar ......................................................... 15 

Appendix A .......................................... 11, 15, 17 

Appendix B ...................................... 7, 12, 20, 21 

Appendix C ................................................ 12, 21 

chart ................................................................. 10 

Control of Air Pollution from Nitrogen 

Compounds ...................................... 1, 2, 6, 12 

Definition ..................................................... 1, 12 

Diesel ............................................................. 1, 6 

Drawworks ................................................. 6, 7, 9 

Emergency ....................................................... 12 

Engine .................................................... 1, 6, 7, 9 

EPA ...................................... 1, 4, 7, 8, 11, 14, 15 

ERCOT ...................................... 1, 12, 13, 14, 21 

exempt ............................................... 7, 8, 18, 19 

Halliburton ........................................... 1, 6, 9, 15 

NAAQS ........................................... 9, 11, 13, 14 

NOx ................................................................. 10 

Petition ........................................................... 1, 6 

remove ............................................................... 4 

Rule Project No ............................... 1, 2, 4, 6, 12 

SCT ................................................................ 3, 4 

Section 1 ........................................................ 2, 3 

Section 2 ............................................ 2, 6, 12, 13 

Section 3 ...................................................... 2, 12 

SIP ..................................................................... 2 

State Implementation Plan ....................... 2, 6, 12 

System Cap Trading .................................. 1, 3, 4 

TCEQ ........... 3, 4, 5, 6, 7, 8, 9, 11, 12, 13, 14, 15 

Texas Register ..................... 4, 5, 6, 7, 11, 12, 13 

threshold limit .................................................. 10 

TSD ................................................ 2, 4, 6, 12, 15