United States Environmental Protection Agency, Region IX, Air Division

Technical Support Document

for EPA's Proposed Rulemaking

on revisions to the

California State Implementation Plan (SIP)

r egarding

San Joaquin Valley Unified Air Pollution Control District

Rule 4695 Brandy Aging and Wine Aging Operations

April 2011

Prepared by Christine Vineyard2

Agency: San Joaquin Valley Unified Air Pollution Control District (SJVUAPCD)

.

Rule 4695 : Brandy Aging and Wine Aging Operations

.

SJVUAPCD Adoption : September 17, 2009

.

California Air Resources Board ( CARB ) Submittal : M ay 17, 2010

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EPA Completeness Finding : June 8, 2010

.

This is the first version of this rule adopted by SJVUAPCD and submitted to EPA by CARB for

inclusion into the SIP.

B ACKGROUND

SJVUAPCD has primary responsibil it y for regulating air pollution in the San Joaquin Valley,

which is classified as an extreme nonattainment area for the federal eight

- hour ozone standard (40 CFR 81.305) . Therefore, as required by section 182(b )( 2) of the Clean Air Act (CAA), SJVUAPCD must implement Reasonably Available Control Technology (RACT) for al l stationary sources with a potential to emit more than 10 tons per year (t/y) of volatile organic

compoun ds (VOC)

. SJVUAPCD’s staff repo rt for Rule 4695 identifies five brandy aging operations that emit above 10 t/y of VOC. 1 Therefore, Rule 4695 must impl ement RACT for at

least these facilities.

O n December 20, 2005 , prior to adoption of Rule 4695, SJVUAPCD adopted local Rule 4694, Wine Fermentation and Storage Tanks. While not specifically required by 4694, co ntrols were

installed on four of the ma jor source brandy aging operations in response to an alternative compliance option in Rule 4694. 2 Regardless of why these controls were initially installed, SJVUAPCD estimates that controls needed to comply with 4695 result in 4.5 t on per day (t/d)

VOC reductions from the four facilities and will reduce an additional 0.12 t/d from the fifth . The 2007 Ozone Plan estimates a 2012 brandy aging and wine aging VOC emission baseline of 2.30 tons per day. 3

R ULE SUMMARY

Rule 4695 limits VOC emissions from large brandy aging and wine aging operations.

 The major rule requirements vary based on throughput and associated VOC emissions from brandy and wine aging operations as summarized in the table below :

1 Final Staff Report, Rule 4695 (Brandy Aging and Wine Aging Operations), SJVUAPCD, September 17, 2009, p

. 11.

2 Id. at p

. 4.

3 Id. at Appendix B, p

. B

- 3

.3

Product Type Total Annual

Aging Inventory (gal/yr) Uncontrolled Aging

Emissions (lbs/yr) Requirements

Brandy < 40,000 < 8,000 Records and work p ractices

> 40,000 > 8,000 Records, work p ractices and

PTE vented to a control

device

Wine < 590,000 < 16,000 Records and work p ractices

> 590,000 > 16,000 Records, work p ractices and

temperature c ontrol

 For sources needing an emission control device, s ection 5.5 requires that all brandy aging operations be conducted i n a warehouse that is certified and maintained as a Permanent Total Enclosure (PTE) pursuant to EPA Method 204.

 40 CFR 51, Appendix M, Method 204, s ection 6 requires PTEs to meet the following criteria:

1. Any natural draft opening (NDO) shall be at least four equivalent opening diameters from each VOC emitting point.

2. The total area of all NDO's shall not exceed 5 % of the surface area of the enclosure's walls, floor and ceiling. 3. The average facial velocity (FV) of air through all NDOs shall be at least 3,600 m eters per hour into the enclosure.

4. All access doors and windows not included in the 5 % and FV calculation s shall be closed during routine operation

. 5. All VOC emissions must be captured and contained in a control device.

 Rule 4695 s ection 5.5.2 additionally requires continuous monitoring of the negative gauge pressure at the fan inlet pressure point “to qualif y the warehouse as a PTE pursuant to EPA

Method 204.” However, n egative pressure at the fan inlet pressure control point is not a n indicator of the PTE described in 40 CFR 51 , Appendix M

.

 Section 5.8 requires that w ine a ging in a non

- porous tank at an affected facility must be equipped and operated with a pressure

- vacuum relief value

, and the temperature of the aging

wine must be ma intained at or below 75 degrees.

EVALUATION CRITERIA

EPA is primarily using the following three criteria to evaluate Rule 4695:

1. Enforceability

– The Bluebook ( Issues Relating to VOC Regulation Cutpoints, Deficiencies,

and Deviations , EPA, May 25, 1988) and the Little Bluebook ( Guidance Document for Correcting Common VOC & Other Rule Deficiencies, EPA Region 9, August 21, 2001) were used to help evaluate compliance with the CAA § 110(a)(2)(A) requirement for enforceability

.4

2. Anti

- b acksliding

- CAA §110(l) states that “the Administrator shall not approve a revision of a plan if the revision would interfere with any applicable requirement concerning attainment and reasonable further progress, or any other applicable requirement of this chapter.”

3. RACT

– CAA Section 182(b)(2) directs nonattainment areas like SJV U APCD to adopt and submit SIP provisions implementing RACT for all ma jor stationary sources of VOC. CAA Section 182(b)(2) states that “ R ACT is “the lowest emission limitation that a par ticular source can meet using control technology that is reasonably available, considering technological and economic feasibility. ”

EPA Evaluation

1. Enforceability

– The rule requirements are clear, and the PTE certification, monitoring and recordkeeping requirements generally ensure that the submitted rule can be enforced.

2. Anti

- backsliding

– Since there is no SIP

- approved version of Rule 4695, this rule strengthen s the SIP by requiring controls on sources previously uncontrolled.

3. R ACT

– SJVUAPCD claims that Rule 4695 is the first prohibitory rule of its kind anywhere that requires control of VOC emissions from brandy and wine aging operations. Id., p. 4. We are similarly not aware of any other existing federal, state or local regu lation or guidance to help define RACT for brandy and wine aging operations. SJVUAPCD analyzed possible controls for brandy and wine aging and projected that requirements of Rule 4695 will cost approximately $26,700/ton for wine aging operations and $24,6 00 per ton for brandy aging operations of VOC

reduced. Id., p. Appendix C, p. 2. Approximately 98% of the brandy aging emissions in SJVUAPCD are already controlled in accordance with the requirements of the rule. Implementation of this rule is expected t o require emission controls on one additional brandy aging facility, resulting in the additional annual emission reduction of 0.12 tons per day attributable to the brandy aging rule. For reasons summarized above, we concur with

SJVUAPCD's conclusion that Rule 4695 meets or exceeds CAA RACT requirements for brandy aging operations. Wine aging emission reductions are currently achieved in practice and are

considered RACT. SJVUAPCD has not claimed credit for emission reductions from wine aging

for Rule 4695. Id., p. 20.

EPA Recommendations

The following recommendations do not justify rule disapproval at this time, but are suggested for

the next rule revision.

1. In various places including paragraphs 3.11, 3.15, 5.5.2 and 5.7.2, Rule 4695 refers to monitoring of the negative gauge pressure at the fan inlet pressure control point in reference to demonstrating continued compliance with Method 204. This language is not in strict

conf ormance with Method 204 and could be read to suggest that fan inlet pressure is an acceptable alternative for Method 204 in various applications, and should be removed or modified the next time the District amends Rule 4695. For example, we recommend revi sing paragraph 3.11 as follows:5

3.11 Fan Inlet Pressure Control Point: the pressure monitor for controlling the indu ced

draft fan for purposes of maintaining negative pressure on the warehouse adequate to

ensure the warehouse meets the criteria of a Permanent Total Enclosure (PTE) pursuant

to EPA Method 204: Criteria for and Verification of a Permanent or Temporary Total

Enclosure

.

2. We recommend removing mention of RACT and BARCT in paragraphs 5.2 and 5.3, particularly since both RACT and BARCT can change over time.

EPA ACTION

The submitted revisions to Rule 4695 strengthen the SIP. The rule satisfies the relevant CAA §110 and part D requirements including RACT and enforceability . EPA staff recommends approval of Rule 4695 pursuant to CAA §110(k ) ( 3) and §301(a).

Attachments

1. SJVUAPCD Rule 4695, Brandy Aging and Wine Aging Operations, adopted September 17,

2009.

2. “Final Staff Report, Rule 4695 (Brandy Aging and Wine Aging Operations),” SJVUAPCD, September 17, 2009.

3. “Reasonably Available Control Technology (RACT) Demonstration for Ozone State Implementation Plans (SIP)” SJVAPCD, April 16, 2009. (cover only)

Other References

1. “Issues Relating to VOC Regulation Cutpoints, Defici encies, and Deviations,” (Bluebook) EPA OAQPS, May 25, 1988.

2. “Guidance Document for Correcting Common VOC & Other Rule Deficiencies,” (Little Bluebook), EPA Region 9, August 21, 2001.

3. Portions of the proposed post

- 1987 ozone and carbon monoxide policy that conc ern RACT, 52 FR 45044, November 24, 1987.

4. “State Implementation Plans, General Preamble for the Implementation of Title I of the Clean Air Amendments of 1990,” 57 FR 13498, April 16, 1992.

5. “Preamble, Final Rule to Implement the 8

- hour Ozone National Ambient Air Quality Standard,” 70 FR 71612; November 29, 2005.6