## UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION II AIR PROGRAMS BRANCH
Technical Support Document
EPA’s Notice of Proposed Rulemaking

For New Jersey Department of Environmental Protection’s State Implementation Plan Revision:

Sub chapte r 4: “ Control and Prohibition of Particles from Combustion of Fuel” Subchapter 8: “Permits and Certificates for Minor Facilities (and Major Facilities Without an Operating Permit)” Subchapter 10: “Sulfur in Solid Fuels” Subchapter 16: “Control and Pr ohibition of Air Pollution by Volatile Organic Compounds” Subchapter 19: “Control and Prohibition of Air Pollution from Oxides of Nitrogen”

Subchapter 21: “ Emission Statements”



### April 20102 Technical Support Document SIP Revisio n - State of New Jersey - Adopted March 20, 2009 I. IN TRODUCTION.................................................................................... 4 II. CL EAN AIR ACT REQUIREMENTS FOR OZONE ATTAINMENT, RACT AND NEW JERSEY’S RACT REGULATIONS........................................................ ............4 A. Ozone Attainment Requirements......... ............................................... ...........4 B. RACT Requirements.................................................................... ..........5 C. New Jersey ’s RACTRegulations Addressing the 8
- Hour Ozone Standard ................5 III. EPA’S ANALYSI S OF STATE SUBMITTAL........................................... .........6 A. Procedural Background............................................................ ........... ....6 B. The Purpose of New Jersey ’s SIP Revision .................................................. .7 C. Subchapter 19: “Control and Prohibition of Air Pollution from Oxides of Nitrogen”.. .8 NEW RUL ES 1. N.J.A.C. 7:27 - 19.12 Municipal solid waste (MSW) incinerators.................. ......8 2. N.J.A.C. 7 :27 - 19.28 Sewage sludge incinerators.................................... .....10 3. N.J.A.C. 7:27 - 19.29 2009 HEDD Emission Reduction Compliance Demonstration Protocol........................................................................................... 12 4. N.J.A.C. 7:27 - 19.30 2009 HEDD Emission L imit Achievement Plan................ 15 AMEND MENTS 5. N.J.A.C. 7:27 - 19.1: Definitions........................................................... 16 6. N.J.A.C. 7:27 - 19.2: Purpose, scope and applicability ................................... 17 7. N.J.A.C. 7:27 - 19.3: General Provisions................................................... 19 8. N.J.A.C. 7:27 - 19.4: Boilers serving electric gener ating units.......................... 20 9. N.J.A.C. 7:27 - 19.5: Stationary combustion turbines.................................... 2 2 10. N.J.A.C. 7:27 - 19.6: Emissions averaging.............................................. .26 11. N.J.A.C. 7:27 - 19.7: Industrial/commercial/institutional boilers and other indirect heat exc hangers.................................................................................. 26 12. N.J.A.C. 7:27 - 19.8: Stationary reciprocating engines............................ ......29 13. N.J.A.C. 7:27 - 19.9: Asphalt plants................................................. ......29 14. N.J.A.C. 7:27 - 19.10: Glass manufacturing plants...................................... 31 15. N.J.A.C . 7:27 - 19.11: Emergency generators

– recordkeeping........................ 32 16. N.J.A.C. 7:27 - 1912: (see NEW RULES above)................................. .......3 2 17. N.J.A.C. 7:27 - 19.13: Facilit y - specific NO x emission limits.......................... 32 18. N.J.A.C. 7:27 - 19.14: Procedures for obtaining a pproval under this subchapter... 34 19. N.J.A.C. 7:27 - 19.15: Procedures and deadlines for demonstrating compliance.... 34 20. N.J.A.C. 7:27 - 19.16: Adjusting combustion processes............................... .353 21. N.J.A.C. 7:27 - 19.17: Source emission testing.......................................... 3 5 22. N.J.A.C. 7:27 - 19.18: Continuous emission monitoring................................ 35 23. N.J.A.C. 7:27 - 19.19: Recordkeeping and recording................................... 35 24. N.J.A.C. 7:27 - 19.20: Fuel switching..................................................... 35 25. N.J.A.C. 7:27 - 19.21: Phased compliance

– repo wering........................... ...3 5 26. N.J.A.C. 7:27 - 19.22: Phased compliance

– impracticalit y of full compliance b y May 19, 2009.................................................................................... .37 27. N.J.A.C. 7:27 - 19.23: Phased compliance

– use of innovative control technology 3 8 28. N.J.A.C. 7:27 - 19.24 : MEG alerts...................................................... ...39 29. N.J.A.C. 7:27 - 19.25: Exemption for emergency use of fuel oil.................... ..39 30. N.J.A.C. 7:27 - 19.26: Penalties.......................................................... ..39 31. N.J.A.C. 7:27 - 19.27: (Reserved) ........................................................39 32. N.J.A.C. 7:27 - 19. 28 (see NEW RULES above)................................. ......40 33. N.J.A.C. 7:27 - 19.29 (see NEW RULES above)................................. ......40 34. N.J.A.C. 7:27 - 19.29 (see NEW RULES above).................................... ...40 35. Compliance dates........................................................................ ...40 D. Subchapter 4: “Control and Prohibition of P articles from Combustion of Fuel”... ....41 AMENDMENTS 1. N.J.A.C. 7:27 - 4.1: Definitions.......................................................... ...41 2. N.J.A.C. 7:27 - 4.2: Standards for the emission of particles............................ .42 E. Subchapter 8: “Permits and Certificates for Minor Facilities (and Ma jor Facilities Without an Operating Permit)”...................................................... ......43 F. Subchapter 10: “Sulfur in Solid Fuels”............................................. ..........4 3 AMENDMENTS 1. N.J.A.C. 7:27 - 10.1: Definitions................................................... ............43 2. N.J.A.C. 7:27 - 10.2: Sulfur content standards........................ .....................44 3. N.J.A.C. 7:27 - 10.5 SO2 emission rate determinations.................. ................45 G. Subchapter 16: “Control and Prohibition of Air Pollution by Volatile Organic Compounds”............................................................................... ...45 H. Subchapter 21: “ Emission Statements”........................ ............................... .51 I. Other Comments.............................................................................. ...52 J. Generic RACT provisions at Subchapters 16 and 19 .........................................53 IV . NOx RACT ............................................................................................5 6 V. CONCLUSION.................................................................................... ...5 64

I. INTRODUCTION Inthis technical support document, EPA provides detailed information concerning our proposed findings of the ozone State Implementation Plan (SIP) for the State of New Jersey , submitted by

the New Jersey

Department of Environmenta l Protection (NJDEP) on April 21, 2009. This SIP addresses federal Clean Air Act requirements for the State of New Jersey which is classified as “moderate” nonattainment for the 1997 8
- hour ozone national ambient air qualit y standard (NAAQS or standard). It also addresses the fine particle NAAQS and Regional Haze. In this technical support document, EPA:

- documents our completeness determination;

- summarizes the statutory and policy requirements for moderate ozone 8
- hour nonattainment area SIPs that address VOC and NOx requirements for Reasonably Available Control Technology (RACT) and for particulates;

- describes our detailed analy sis of the SIP, including the control measures and provisions relied on to demonstrate compliance with the CAA requirement s for RACT; and

- summarizes our conclusions on the SIP’s approvability with respect to those requirements. II. CLEAN AIR ACT REQUIREMENTS FOR OZONE ATTAINMENT, RACT AND NEW JERSEY’S RACT REGULATION A. Ozone Attainment Requirements In 1997, EPA revised the health
- based NAAQS for ozone, setting it at 0.08 parts per million (ppm) averaged over an 8
- hour time frame. EPA set the 8
- hour ozone standard based on scientific evidence demonstrating that ozone causes adverse health effects at lower ozone concentrations and over longer periods of time than was understood when the pre
- existing 1
- hour ozone standard was set. On April 30, 2004 (69 Fe d. Reg. 23951), EPA finalized its attainment/nonattainment designations for areas across the country with respect to the 8
- hour ozone standard. These actions became effective on June 15, 2004. The entire state of New Jersey is located in two multi
- state 8 - hour ozone moderate nonattainment areas, the New York
- Northern New Jersey
- Long Island, NY
NJ - CT nonattainment area, and the Philadelphia
- Wilmington
- Atlantic City, PA
- NJ - MD - DE nonattainment area. These designations triggered the Act’s requirements und er section 182(b) for moderate nonattainment areas, including a requirement to submit an attainment demonstration. EPA’s Phase 1 8
- hour ozone implementation rule, published on April 30, 2004 (69 Fed. Reg. 23951) (Phase 1 Rule) specifies that states must s ubmit attainment demonstrations for their nonattainment areas to the EPA b y no later than three years from the effective date of designation, that is, b y5

June 15, 2007. On November 29, 2005, EPA published Phase 2 of the 8
- hour ozone implementation rule (70 Fed. Reg. 71612) (Phase 2 Rule) in which it addresses the control obligations that apply to areas designated nonattainment for the 8
- hour ozone NAAQS. Among other things, the Phase 1 and 2 Rules outline the SIP requirements and deadlines for various i n areas designated as moderate nonattainment. For such areas, RACT plans were due b y September 2006 (40 CFR 51.912(a)(2)). B. RACT Requirements Sections 172(c)(1), 182(b)(2) and 182(f) of the Act require nonattainment areas that are designated as m oderate or above to adopt RACT . All of New Jersey is subject to this requirement since all counties in the State are located in either of two nonattainment areas that are classified as moderate ozone nonattainment areas for the 8
- hour ozone standard (40 C FR 81.331). In accordance with section 182(b), New Jersey must, at a minimum, adopt RACTlevel controls for sources covered b y a Control Te chniques Guidelines (CTG) document and for any major non
CTG sources. Section IV

.G of EP A’ s Phase 2 rule discuss es the RACTrequirements for the 1997 8
- hour ozone standard. It states, in part, that where a RACTSIP is required, SIPs implementing the 8
- hour ozone standard generall y must assure that RACTis met, either through a certification that previously

required RACTcontrols represent RACTfor 8
- hour ozone implementation purposes or, where necessary

, through a new RACTdetermination. The majority of counties in New Jersey were previousl y classified under the 1
- hour ozone standard as severe, while the remaining counties were subject to RACTas part of the Ozone T ransport Region. New Jersey chose a uniform applicability

level for RACTbased on the severe classification which resulted in a statewide requirement for major sources of NOx and VOC to be defined as tho se having emissions of 25 tons per year or more of both VOC and/or NOx. Under the 8
- hour standard, in areas classified as moderate, the definition for major sources is 50 tons per year for VOC and 100 tons per y ear for NOx. However, New Jersey ’s choice to retain the original 1
- hour ozone limits statewide in New Jersey

for purposes of the RACTanal ys is resulted in a more stringent evaluation of RACT . New Jersey ’s use of 25 tons per y ear for RACTis consistent with the anti
backsliding provisions of the Act . See Clean Air Act Sections 1 10(l) and 193; and South Coast Air Quality Management Dist (SCAQMD) v . EP A , 472 F .3d 882 (D.C. Cir. 2006). C. New Jersey ’s RACTRegulations Addressing the 8
- Hour Ozone Standard Requirements New Jersey

submitted a RACT assessment in an August 1, 2007 submission which was supplemented on December 14, 2007. The RACT submission from the State of New Jersey consisted of: (1) a certification that previousl y adopted RACT controls in New Jersey’s SIP for 101 source categories that were approved by EPA under the 1
- hour ozone standard are based on the currently

available technicall y and economically feasible controls, and that they continue to represent RACT for 8
- hour ozone implementation purposes; (2) a commitment to adopt new or6

more stringent regulations that represent RACT control levels for both specific source categories and specific sources; and (3) a negative declaration that for certain Control Techniques Guidelines and/or Alternative Control Techniques (ACTs) documents there are no sources within New Jersey or that there are no sources above the applicable thresholds. EPA reviewed the State’s RACT analy sis and agreed with the State’s conclusions. On May 15, 2009 (74 FR 22837) EPA conditionally approved New Jersey ’s RACT SIP for the 8
- hour ozone standard conditioned on the State’s meeting its commitment to submit adopted RACT rules for 13 source categories by April 1, 2009. To address this commitment, on March 20, 2009, New Jersey

adopted the RACT rules for the follow ing 12 source categories: alternative and facility
- specific VOC and NOx emission limits; emulsified and cutback asphalt used for paving; asphalt pavement production plants; CTGs published in 2006: flat wood paneling, flexible packaging printing materials, and offset lithographic printing and letterpress printing; coal
- fired boilers serving electric generating units (EGUs); oil and gas
- fired boilers serving EGUs; High Electric Demand Day

(HEDD) EGUs; industrial/commercial/institutional boilers and other indi rect heat exchangers; municipal solid waste incinerators; glass manufacturing furnaces; sewage sludge incinerators; and VOC stationary storage tanks. The industrial adhesives and sealants source category

(13 th ) was adopted on October 30, 2008 and submitte d as a SIP revision on April 9, 2009. EPA will propose action on the adhesives and sealant rule in a separate action. This TSD provides EPA’s analy sis and approvability determination of amendments to New Jersey ’s SIP: (1) for ozone, Subchapter 19, “Contr ol and Prohibition of Air Pollution from Oxides of Nitrogen,” and Subchapter 16, “Control and Prohibition of Air Pollution by Volatile Organic Compounds” and related amendments to Subchapter 21, Emission Statements; and (2) for PM2.5, Subchapter 4, “Contr ol and Prohibition of Particles from Combustion of Fuel,” and Subchapter 10, “Sulfur in Solid Fuels.” III. EPA’S ANALYSIS OF STATE SUBMITTAL A. Procedural Background On August 4, 2008 , NJDEP proposed four new rules and amendments to Subchapt er 19, and other amendments to Subchapter 4 (“Control and Prohibition of Particles from Combustion of Fuel”), Subchapter 10 (“Sulfur in Solid Fuels”), Subchapter 16 (“Control and Prohibition of Air Pollution by

Volatile Organic Compounds”), Subchapter 21 ( “Emission Statements”) and N.J.A.C. 7 - 27A - 3 (“Civil Administrative Penalties and Requests for Adjudicatory Hearings”). 40 N.J.R. 4390 (Aug. 4, 2008). NJDEP held a public hearing on the proposed amendments on Friday , September 26, 2008, and accepted writt en comments until October 3, 2008. In an October 3, 2008 letter to NJDEP, EPA submitted comments on the proposed amendments to Subchapters 4, 16 and 19. EPA did not provide comments on the amendments to Subchapter 10, or 21.7

On March 20, 2009 , NJDEP adopted the new rules 1 and amendments to Subchapter 19 and amendments to Subchapters 4, 8, 10, 16, and 21. The new rules and amendments became operative on May

19, 2009. On April 21, 2009, NJDEP submitted the new rules and amendments as a SIP revision fo r EPA approval. NJDEP’s SIP revision consists of the following documents:  Letter of transmittal dated April 21, 2009 from Mark N. Mauriello, NJDEP Commissioner to George Pavlou, EPA Region 2 Acting Regional Administrator.  Attachment 1
- Documentation of Compliance with Public Notice Requirements.  Attachment 2
- Copies of the newspaper legal advertisement and affidavits of publication.  Attachment 3
- Copy

of the New Jersey

Register Notice of the Proposal.  Attachment 4
- Copy

of the Adoption, as publ ished in the New Jersey Register on April 20, 2009. 41 N.J.R. 1752 (Apr. 20, 2009). The document includes NJDEP’s responses to public comments. EPA reviewed the SIP revision and on June 4, 2009, determined it to be administratively and technically

comp lete in accordance with the completeness criteria set out at 40 CFR Part 51, Appendix V. This TSD is the next step in EPA’s rulemaking. EPA will take action on Subchapter 8 in a separate Federal Register Notice. B. Purpose of New Jersey ’s SIP Re vision New Jersey ’s adopted new rules and amendments will help the State meet the 1997 and 2008 8 - hour ozone standard by reducing emissions of VOC and NOx. As stated on the first page of the adoption notice of the New Jersey Register (41 N.J.R. 1752; Apr. 20, 2009), the adopted new rules and amendments will also reduce sulfur dioxide (SO2) emissions, which will help the State meet the 1997 annual NAAQS for particulate matter of 2.5 microns or less (PM2.5). To achieve these emission reduction goals, th e adopted new rules and amendments will impact the following 14 source categories of emissions:

- sources subject to alternative or facility
- specific NOx emission limits;

- asphalt used for paving; asphalt pavement production plants;

- boilers serving electric generating units;

- sources subject to control technique guidelines (CTGs) for flat wood
1 Although New Jersey refers to the term “ne w rules” EPA regards them as new provisions to an existing rule, ie., Subchapter 19.8

paneling coatings, flexible packaging printing materials and offset lithographic printing and letterpress printing;

- glass manufacturing furnaces;

- boile rs and stationary

combustion turbines serving electric generating units that operate on high electric demand day s (HEDD);

- industrial/commercial/institutional (I CI ) boilers and other indirect heat exchangers;

- municipal solid waste (MSW) incinerators;

- sewage sludge incinerators; and

- VOC stationary

storage tanks. As further stated b y NJDEP on the first page of the adoption notice of the N.J.R, the State anticipates that when the rules are fully implemented, they

will achieve reductions of VOCs o f more than 10 tons per day (TPD) during the ozone season and more than 2600 TPY. The adopted rules for VOCs will be fully implemented in 2020. NJDEP anticipates reductions of SO2 of more than 2500 TPY. NJDEP anticipates that NOx emissions should be red uced by more than 9 TPD during the ozone season and more than 3100 TPY. NJDEP anticipates additional NOx reductions of more than 63 tons on each high electric demand day . The NOx and SO2 rules will be fully implemented in 2015 and 2013, respectivel y . C. Subchapter 19: “Control and Prohibition of Air Pollution from Oxides of Nitrogen” The following is a description of the adopted new rules and amendments to Subchapter 19 for major stationary

sources of NOx. Each description is followed by EPA’s anal ys is and a recommendation of either approval, conditional approval, or disapproval. The descriptions are categorized below into two section: New Rules and Amendments. NEW RULES 1. N.J.A.C. 7:27 - 19.12: Municipal solid waste (MSW) incinerators Th e new rule at N.J.A.C. 7:27 - 19.12 establishes a NOx emission limit and compliance monitoring requirements for MSW incinerators. The new provision at N .J.A.C. 7:27 - 19.12(a) requires owners/operators of any size MSW incinerator to restrict emissions of N Ox to a maximum allowable emission concentration of 150 parts per million measured on a dry volume basis (ppmvd) at 7.0% oxygen, averaged over a calendar day . N.J.A.C. 7:27 - 19.12(a)(1) requires compliance b y July 18, 2009 if compliance is achieved b y op timizing the existing NOx air pollution control sy stem without modifying the MSW incinerator; whereas N.J.A.C. 7:27
- 19.12(a)(2) allows for a compliance date of May 1, 2011 if compliance is achieved by installation of a new NOx air pollution control sy stem or b y phy sicall y modifying an existing MSW incinerator. If the NOx emission limit of 150 ppmvd cannot be achieved, N.J.A.C. 7:27
- 19.12(b) allows owners/operators of the affected MSW incinerator to compl y b y obtaining an alternative9

maximum allowable N Ox emission rate approved by NJDEP pursuant to N.J.A.C. 7:27 - 19.13. N.J.A.C. 7:27 - 19.12(c) requires owners/operators to install and to demonstrate compliance with the NOx emission limit using a continuous emission monitoring sy stem (CEMS) pursuant to N. J.A.C. 7:27 - 19.18. According to NJDEP’s preamble section to the proposed requirements for MSW incinerators (see 40 N.J.R. 4390, 4400, August 4, 2008), there are 10 MSW incinerators at four facilities within the State that already use selective non
- c atal yt ic reduction (SNCR) control technology

but may need to optimize the control sy stems to meet the new emission limit. There is only one other facilit y (with three MSW incinerators) in the State that would need to install SNCR to meet the new NOx emiss ion limit. In addition, it should be noted that EPA’s Maximum Achievable Control Technology (MACT) Federal plan for existing large (> 250 TPD municipal waste) MWCs (40 CFR 62, Subpart FFF) establishes NOx emission limits in the range of 180 to 250 ppmvd at 7% O2 depending upon the ty pe of incinerator (Note: mass burn refractory combustors have no NOx emission limit). EPA’s MACT Federal plan for small (35
- 250 TPD municipal waste) MWCs (40 CFR 62, Subpart JJJ) establishes NOx emission limits for Class I units 2 in the range of 170 to 380 ppmvd at 7% O2 depending upon the t ype of incinerator. EPA’s emission limit and NJDEP’s adopted allowable emission limit are both based upon a daily 24 - hour average. Therefore, New Jersey ’s new control rules are consist ent with EPA’s MACT Federal plans for MWCs and provide for additional NOx emission reductions. It should also be noted that owners/operators of MSW incinerators previously submitted a RACT determination for NJDEP approval, in accordance with the requir ements of the current SIP approved (72 Fed. Reg. 41626, July 31, 2007) N.J.A.C. 7:27
- 19.13, to establish a facility specific NOx emission limit. The State approved NOx RACT limits were then submitted by NJDEP to EPA as a SIP revision for approval. EPA ap proved SIP revisions for large and small MWCs at the following facilities: Union County Resource Recovery

Facility (large MWCs), Essex County Resource Recovery

Facility (large MWCs), and the Warren Count y Resource Recovery Facilit y (small MWCs). The SIP a pproved NOx emission limits for each are as follows: Union County RRF (225 ppmv, 3
- hr average), Essex County RRF (155 ppmv, 24
- hr average), Warren County RRF (300 ppmvd, 3
- hr average). The new rule at N.J.A.C. 7:27
- 19.12 will result in additional red uctions in NOx emissions, will help New Jersey

meet the 1997 and 2008 3 8 - hour ozone standards, provides clarit y for owners/operators of affected sources in meeting the requirements for achieving compliance, and
2 Class I units mean small MWCs units subject to Subpart JJJ that are located at MWC plants with an aggregate plant combustion capacity gre ater than 250 TPD of municipal solid w aste. The two MWCs at the Warren County Resource Recovery Facility in NJ are each Class I units. 3 EPA had issued the 2008 ozone standard on March 12, 2008 and set the standard at a level of 0.075 ppm. On Septembe r 16, 2009, EPA announced it would reconsider the 2008 ozone standard. EPA is expected to issue a final rule in August 2010.10

is consistent with EPA’s enforceability guid ance document4 for clarity and, therefore, is acceptable to EPA . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.12 2. N.J.A.C. 7:27 - 19.28: Sewage sludge incinerators The new rule at N.J.A.C. 7:27
- 19.28 establishes a NOx emission l imit and compliance requirements for sewage sludge incinerators. The new provision at N.J.A.C. 7:27 - 19.28(a) requires owners/operators of a sewage sludge incinerator to restrict emissions of NOx to a maximum allowable emission rate of 7.0 pounds per t on of dry

sewage sludge for Multiple Hearth t ype incinerators and 2.5 pounds per ton of dry sewage sludge for Fluidized Bed t ype incinerators, in accordance with Table 13 of Subchapter 19. Alternatively , owners/operators may meet alternative compliance re quirements at N.J.A.C. 7:27 - 19.3(f). Pursuant to section 19.3(f) of Subchapter 19, owners or operators of sewage sludge incinerators may

comply by meeting the new presumptive NO x emission limits by one of the following existing options or combination of (1) and (3): (1) an emissions averaging plan pursuant to sections 19.6 and 19.14 of Subchapter 19; (2) an alternative maximum allowable emission limit pursuant to section 19.13; (3) a plan for seasonal fuel switching pursuant to sections 19.14 and 19.2 0; (4) a plan for phased compliance through the use of repowering pursuant to section 19.21 or a plan for phased compliance through the use of innovative control technology

pursuant to section 19.23. In accordance with the phased compliance plan opt ions, owners or operators planning to comply with a phased compliance plan must fully implement the plan by

November 7, 2009 and have begun to compl y with interim control measures and other requirements by March 7, 2007. Pursuant to sections 19.21 and 19 .23 of Subchapter 19, New Jersey must approve of an y phased compliance plan. Applications to implement the phased compliance plans were due to New Jersey by February 7, 2006. Each of the compliance options listed above is addressed below. First, a ny emissions averaging plan or fuel switching plan must be approved by New Jersey , however EPA approval is not required since the emissions averaging procedures of section 19.6 and the fuel switching procedures of section 19.20 have already been approved by EPA into the New Jersey SIP. Second, an y alternative maximum allowable emission limit must be approved by New Jersey and submitted for EPA approval as a SIP revision as provided in section 19.13.

4 “Review of State Implementation Plans and Revisions for Enforceability and Legal Sufficiency,” September 23, 1987; memorandum f

rom J.Craig Potter, Thomas L. Adams Jr., and Francis S. Blake addressed to EPA Regional Ad ministrators, Regional Counsels and Regional Air Division Directors.11

Finally , the phased compliance plan options in sect ions 19.21 and 19.23 would allow sources to compl y with the NO x RACT requirements by November 7, 2009 which is beyond the November 15, 2007 attainment deadline for the New York
- Northern New Jersey
- Long Island 1
- hour ozone NAA. Since New Jersey did not rev ise the March 7, 2006 due date for sources to apply for phased compliance plan options in sections 19.21 and 19.23, EPA concludes that New Jersey did not mean for these two compliance options to be available to owners/operators of affected sources. When Subchapter 19 was last approved, EP A stated that it takes no action to either approve or disapprove the existing provisions for phased compliance using repowering or innovative control technology at sections 19.21 and 19.23, respectivel y, because they contain a compliance date of November 7, 2009, which was beyond the 1
- hour ozone attainment date deadline. See 72 FR 41626, July 31, 2007. EP

A continues to take no action on the phased compliance provisions at sections 19.21 and 19.23, which are no longe r viable control options, and requests New Jersey

to delete this date which has now passed the next time Subchapter 19 is revised. If the NOx emission limit in Table 13 cannot be achieved, N.J.A.C. 7:27 - 19.28(b) allows owners/operators of the affected se wage sludge incinerator to comply with the alternative compliance options in section 19.3(f) or b y obtaining an alternative maximum allowable NOx emission rate approved b y NJDEP pursuant to N.J.A.C. 7:27 - 19.13. N.J.A.C. 7:27 - 19.28(c) requires owners/op erators to demonstrate compliance with the NOx emission limit using either CEMS or stack emission testing pursuant with the requirements at N.J.A.C. 7:27 - 19.15(a)2. It should also be noted that owners/operators of sewage sludge incinerators previously submitted a RACT determination for NJDEP approval, in accordance with the requirements of the current SIP approved (72 Fed. Reg. 41626, July 31, 2007) N.J.A.C. 7:27
- 19.13, to establish a facility specific NOx emission limit. The State approved NOx RACT limi ts were then submitted by NJDEP to EPA as a SIP revision for approval. EPA approved SIP revisions for sewage sludge incinerators at three facilities in New Jersey : Parsippany
- Tro y Hills Township Sewer Authorit y, Stony Brook Regional Sewerage Authorit y, and the Township of Way ne. Each of the SIP approved NOx emission limits are for multiple hearth ty pe incinerators and EPA has calculated the equivalent emission limits to be in the range of 8.75 to 12.0 lb NOx/ton of dry sewage sludge. In accordance with EPA’s SIP approval for these three facilities, New Jersey may have lowered the NOx RACT limits based upon results of compliance stack emission testing. As indicated above, the new presumptive RACT emission limit for a multiple hearth t yp e incinerator is 7.0 lbs NOx/ton dry

sewage sludge. The new rule at N.J.A.C. 7:27 - 19.28 will result in reductions in NOx emissions, help New Jersey meet the 1997 and 2008 8
- hour ozone standard, provide clarit y for owners/operators of affected sources in meeting the r equirements for achieving compliance, and is consistent with EPA’s enforceability

guidance document for clarity and, therefore, is acceptable to EPA.12

Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.28 3. N.J.A.C. 7:27 - 19.29: 2009 HEDD Emis sion Compliance Demonstration Protocol This new rule at N.J.A.C. 7:27 - 19.29 addresses NOx emission reduction and compliance time requirements for owners/operators of high electric demand day (HEDD) units. Section 19.1 of Subchapter 19 defines an HEDD unit as an electric generating unit, capable of generating 15 megawatts or more, that commenced operation prior to May 1, 2005, and that operated less than or equal to an average of 50% of the time during the ozone seasons of 2005 through 2007. Section 19 .29 contains the short term strategy is to achieve NOx reductions from HEDD units, on each HEDD, starting on May 19, 2009 through September 30, 2014 thereby allowing owners/operators of affected units time to develop and implement the long term strategy at N.J.A.C. 7:27 - 19.30 which requires more stringent NOx emission reductions at the amended N.J.A.C. 7:27 - 19.4 [boilers serving electric generating units] and N.J.A.C. 7:27
- 19.5 [stationary combustion turbines]. New Jersey ’s short term strategy is accomplis hed b y owners/operators developing an approvable “2009 HEDD Emission Compliance Demonstration Protocol” (2009 Protocol) as outlined at N.J.A.C. 7:27
- 19.29. The short term strategy

is based a Memorandum of Understanding (MOA) 5 signed on March 2, 2007 b y New Jersey and the member states of the Ozone Transport Commission. This MOA requires New Jersey to reduce NOx emissions by 19.8 tons per day

(TPD) on high electric demand day s. The required reductions are based upon NOx emissions from operating HEDD uni ts that occurred in the OTC states on July 26, 2005, which is the date chosen by the OTC as representative of a high electric demand day . Subpart 19.1 of Subchapter 19 defines an “HEDD” as “the day

following a day

in which the next day

forecast load is es timated to have a peak value of 52,000 megawatts or higher as predicted b y the PJM Interconnection 0815 update to its Mid Atlantic Region Hour Ending Integrated Forecast Load, available from PJM Interconnection at http://oasis.pjm.com/doc/projload.txt .” The applicability

criteria for affected sources is established at N.J.A.C. 7:27 - 19.29(a). Section 19.29 of Subchapter 19 applies to owners/operators of HEDD units, or their successors or assi gns, that operated on July 26, 2005 and that meet the following: (1) an HEDD combustion turbine that was not controlled by water injection or selective catal yt ic reduction (SCR), or a HEDD boiler that was not controlled by SCR or SNCR; and (2) the NOx emis sion rate of the HEDD unit was 0.15 pounds per million BTU heat input (lb/MM BTU) or greater. The NOx emission rate for the HEDD unit for July 26, 2005 can be found at the EPA Clean Air Market Division’s (CAMD) website. N.J.A.C. 7:27 - 19.29(b) establi shes that affected owners/operators of HEDD units must comply with the following: (1) prepare a 2009 Protocol in accordance with section 19.29(d) of

5 “Memorandum of Understanding Among the States of the Ozone Transport Commission Concerning th e Incorporation of High Electric Demand Day Emission Reduction Strategies into Ozone Attainment State Im plem entation Planning”13

Subchapter 19 and include in the 2009 Protocol all control measures needed to achieve NOx emission reduct ions; (2) submit the 2009 Protocol to New Jersey by June 18, 2009; (3) obtain the NOx reductions determined by Equation 1 at section 19.29(c) of Subchapter 19 using one or more of the control measures that meet the requirements at section 19.29(d) of Subch apter 19 and that are listed in the 2009 Protocol, on each HEDD starting on May 19, 2009 [the operative date of Subchapter 19] through September 30, 2014, unless New Jersey has approved, pursuant to N.J.A.C. 7:27 - 19.22, a phased compliance plan with an ini tial compliance date that is after May 19, 2009; (4) demonstrate that all NOx reductions required by section 19.29(b)(3) of Subchapter 19 were obtained and include the demonstration in an annual report required at section 19.29(k) of Subchapter 19. The d emonstration should use (i) calculations that demonstrate that the NOx reductions at section 19.29(b)(3) were achieved and (ii) the New Jersey approved method of demonstrating in the 2009 Protocol that implementation of the 2009 Protocol on each HEDD that occurred starting January 1, 2005 through December 31, 2007 would have resulted in at least as many tons of NOx emissions as would have been required by the equation in section 19.29(c) of Subchapter 19. The owner/operator shall demonstrate that the 20 09 Protocol, or a modified protocol approved by New Jersey pursuant to section 19.29(h) , was implemented by

them on each HEDD during the calendar y ear of the applicable annual report; and (5) submit the annual report to NJDEP at the address indicated. As indicated in the paragraph above, N.J.A.C. 7:27 - 19.29(b)(3) requires owners/operators of HEDD units to obtain the NOx reductions determined by Equation 1 at section 19.29(c) starting on May 19, 2009 unless New Jersey has approved, pursuant to N.J.A.C. 7 :27 - 19.22, a phased compliance plan that would allow an additional year, i.e. until May 19, 2010, for compliance. For additional details, the reader is referred to the final paragraph in section III. C.26 [ N.J.A.C. 7:27 - 19.22: Phased compliance

– impractic alit y of full compliance b y Ma y 19, 2009] of this TSD. N.J.A.C. 7:27 - 19.29(c) requires that owners/operators obtain the NOx emission reductions determined b y Equation 1 on each HEDD pursuant to section 19.29(b)(3) of Subchapter 19. Section 19.29(c) in cludes Equation 1 and the definition of terms used in the equation. N.J.A.C. 7:27 - 19.29(d) establishes the requirements of the 2009 Protocol that owners/operators of HEDD units must comply with. Owner/operator requirements include the following: (1) the Equation 1 calculations performed; (2) the list of control measures used to obtain reductions. New Jersey provides a list of control measures that may be considered to achieve the required NOx reductions. The required NOx reductions may also be obt ained from non - HEDD units 6 ; and (3) a list of required information to be included for each control measure. N.J.A.C. 7:27 - 19.29(e) establishes a list of records to be maintained pursuant to the requirements of N.J.A.C. 7:27
- 19.19 [recordkeeping and reporting]. The records maintained should be sufficient to document that the emission reductions determined b y Equation 1 are achieved.

6 Section 19.1 of Subchapter 19 defines a “non
- HEDD unit” as “an electric generating unit capable of generating 15 MW or more, th at commenced operation prior to May 1, 2005, and that operated more than an average of 50 percent of the time during the ozone seasons of 2005 through 2007.”14

N.J.A.C. 7:27 - 19.29(f), (g), (h), and (i) establish the following: (1) approval, revision and approval, or disappr oval actions to be taken b y New Jersey of owners/operators’ submittal of the 2009 Protocol and the requirements and procedures for owners/operators for resubmittal of a revised 2009 Protocol if New Jersey determines the original submittal to be inadequate ; (2) requirements for revising, at an y time, a previously approved 2009 Protocol; and (3) requirements for the original owner/operator in revising an approved 2009 Protocol when there are new owners/operators of an HEDD unit. Section 19.29(g)(3) indicat es that owners/operators will not be in compliance with the NOx reduction requirements of section 19.29(b)(3) if the owners/operators implement a proposed 2009 Protocol that was disapproved by New Jersey . N.J.A.C. 7:27 - 19.29(j) establishes that owners/operators may implement any

emission reduction measure that meets the requirements of N.J.A.C. 7:27
- 19.29(d) provided the following requirements are met b y owners/operators: (1) obtain all necessary permit modifications pursuant to Subchapters 8 and 22; (2) submit a revised 2009 Protocol to New Jersey within 30 day s of implementing the measure; and (3) maintain compliance with all applicable provisions of N.J.A.C 7:27. N.J.A.C. 7:27 - 19.29(k) establishes owner/operator requirements for submitt al of an annual report for each control measure and each HEDD. This provision includes a detailed list of required information to be submitted with the annual report. N.J.A.C. 7:27 - 19.29 is a new rule that will result in additional reductions in NOx emissions during high electric demand day s and helps NJDEP meet the 1997 and 2008 8
- hour ozone standard. N.J.A.C. 7:27
- 19.29 provides owners/operators with sufficient details concerning compliance, reporting, recordkeeping and implementation of New Jerse y’s requirements for a 2009 Protocol. N.J.A.C. 7:27
- 19.29 provides sufficient level of detail of the 2009 Protocol requirements and New Jersey ’s process for approval such that it is unnecessary for New Jersey

to submit them to EPA for approval as SIP revi sions. In addition, EPA supports New Jersey ’s NOx reduction criteria in subpart 19.29(d)(2) of Subchapter 19 that requires that any control measures used to meet the NOx emissions reduction requirements of Equation 1 must result in emission reductions th at are real, quantifiable, enforceable, surplus, and are not required to comply with any State or Federal permit, regulation, enforceable agreement, or HEDD emission reduction program. The new rule at N.J.A.C. 7:27 - 19.29 will result in reductions in NO x emissions during high electric demand days, may help New Jersey

meet the 1997 and 2008 8
- hour ozone standard, provides clarit y for owners/operators of affected sources in meeting the requirements for achieving compliance, and is consistent with EPA’s enforceability guidance document for clarity and, therefore, is acceptable to EPA. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.2915

4. N.J.A.C. 7:27 - 19.30: 2015 HEDD Emission Limit Achievement Plan This new rule at N.J.A.C. 7:27 - 19.30 addresses requirements for owners/operators of HEDD units in meeting new NOx emission limits starting in 2015 and beyond. As stated above, the new more stringent NOx emission limits apply to units under the new amendments at N.J.A.C. 7:27 - 19.4 [boil ers serving electric generating units] and N.J.A.C. 7:27
- 19.5 [stationary combustion turbines]. Owners/operators of HEDD units will be required to submit to New Jersey a “2015 HEDD Emission L imit Achievement Plan” (2015 Plan) by May 1, 2010. The purpose of the 2015 Plan is to document how the owner/operator intends to comply with the 2015 HEDD emission limits and to provide a schedule b y which the new emission limits will be achieved for each HEDD unit. Owners/operators of HEDD units are required to subm it to New Jersey an annual update on the progress of the 2015 Plan for each calendar ye ar from 2010 through 2014. The annual progress plan requires owners/operators of HEDD units to indicate an y obstacles that might impede progress in achieving complianc e with the applicable 2015 NOx emission limit and any steps needed to overcome these obstacles. The following provides additional details on the new rule at N.J.A.C. 7:27
- 19.30. N.J.A.C. 7:27 - 19.30(a) requires owners/operators of HEDD units to submit the 2015 Plan to New Jersey

by May 1, 2010. N.J.A.C. 7:27 - 19.30(b ) provides that the purpose of a 2015 Plan is for owners/operators to describe how they

intend to comply

with the 2015 HEDD maximum allowable NOx emission rates for each HEDD unit. Thi s provision establishes the required detailed information that owners/operators need to include in the 2015 Plan for the following cases: (1) identification and detailed information for HEDD units that will be taken out of service b y May 1, 2015 in lieu of complying with the applicable NOx emission rate (section 19.30(b)(1)); (2) identification and detailed information for any HEDD unit that will be complying with the applicable NOx emission rate b y installing a control apparatus or operating differentl y (s ection 19.30(b)(2)); and (3) identification and detailed information for an y HEDD unit that has alread y demonstrated compliance, in accordance with section 19.15 of Subchapter 19 [Procedures and deadlines for demonstrating compliance], with the applicable NOx emission rate. N.J.A.C. 7:27 - 19.30(c) requires owners/operators of HEDD units to prepare an update on progress in compl yi ng with the 2015 Plan. The owners/operators’ update needs to include the following information: (1) an update for the ye ars 201 0 through 2014, if on January 1 of that calendar year, an HEDD unit (i) did not comply with the applicable NOx emission rates required for 2015 and (ii) was not taken out of service; (2) an update on progress in complying with the 2015 Plan must be submitted to New Jersey by January 30 after the calendar y ear of the update; (3) an update must be submitted to the address provided by New Jersey ; (4) an update must include the detailed information required b y New Jersey for the HEDD units identified at sectio n 19.30(c)(1)(i)
- (iii ). It should be noted that EPA believes that the reference in the previous sentence to section 19.30(c)(1)(i)
- (iii) is a ty pographical error and should instead reference to section 19.30(c)(1)(i)
- (ii). This ty pographical error has be en reported to and should be corrected by New Jersey . The detailed information includes (i) detailed facility and HEDD unit identification; (ii) progress on achieving the schedule for permitting, installation and operation of16

a control device or operation change; (iii) an explanation of an y obstacles encountered or are anticipated and how they will be overcome; and (iv) an explanation of any revisions to the 2015 Plan. The new rule at N.J.A.C. 7:27 - 19.30 provides sufficient details for owners/operator s to develop plans for each of its HEDD units to meet more stringent NOx emission rates at sections 19.4 and 19.5 starting on May 1, 2015. N.J.A.C. 7:27 - 19.30 will result in reductions in NOx emissions each day , including high electric demand day s, starti ng in May 2015, help New Jersey meet the 2008 8
- hour ozone standard, and provides clarit y for owners/operators of affected sources to compl y with the requirements, is consistent with EPA’s enforceability guidance document for clarity

and, therefore, is ac ceptable to EPA. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.30 AMENDMENTS 5. N.J.A.C. 7:27 - 19.1: Definitions NJDEP added the following twent y - seven new terms or definitions to N.J.A.C. 7:27 - 19.1 : “asphalt pavement production p lant,” “blown glass,” “CFR,” “Class I renewable energy ,” “Class II renewable energy ,” “clean distributed generation,” “demand response,” “dual fuel,” “energy efficiency measure,” “fiberglass,” “flat glass,” “glass removed,” “heavier than No. 2 fuel oil,” “High electric demand day or HEDD,” “High electric demand day unit or HEDD unit,” “MWh,” “Non
- high electric demand day unit or non
- HEDD unit,” “No. 2 and lighter fuel oil,” “on - specification used oil,” “petroleum refinery ,” pounds/MWh ,” “pressed glass,” “renewable energy ,” “shed load,” “shift load,” “SSU viscosity ,” “used oil,” and “viscosity .” NJDEP added these new terms and definitions to address new rules, amended provisions or to further clarify existing provisions. NJDEP revised the following four definitions to N.J.A.C. 7:27
- 19.1: “Clean Air Act or CAA,” “electric generating unit or EGU,” “interim period,” and “Volatile organic compound.” The revisions are primarily word changes or clarifications to the definitions. The revised definition of “Volatile organic compound” incorporates b y reference the definition of the term defined b y EPA at 40 CFR 51.100(s). It should be noted that there is a t ypographical error in the definition of “interim period” as it refers to s ection 19.22: “Phased compliance

– impracticability of full compliance b y May 19, 2009.” As discussed in more detail in section III.C.26 of this TSD, EPA has discussed this with New Jersey and the state has agreed to make the necessary revision to section 19.1 in future amendments. The required revision is that the interim period is to be not more than one ye ar from the operative date, i.e. May 19, 2009, of Subchapter 19. NJDEP deleted the following term from N.J.A.C. 7:27
- 19.1: “former DER credit use r.” NJDEP deleted this term in response to EPA’s formal comment to NJDEP during the public17

comment period [see comment number 11 on p 1754 of 41 N.J.R. 1752, April 20, 2009] for the currentl y adopted Subchapter 19. NJDEP’s amendments to the definitio ns in N.J.A.C. 7:27
- 19.1 clarify the terms in Subchapter 19 and, therefore, EPA proposes to approve the amendments to N.J.A.C. 7:27
- 19.1. Recommended Action: Proposed Approval of N.J.A.C. 7:27 - 19.1 . 6. N.J.A.C. 7:27 - 19.2: Purpose, scope and applicability The amendments at N.J.A.C. 7:27 - 19.2(b) adds either clarifying wording or expands the applicability

to Subchapter 19. There are no other amendments to N.J.A.C. 7:27
- 19.2. N.J.A.C. 7:27 - 19.2(b)(5) amends and provides clarifying wording b y revising the term “an y rotary

dry er located at an asphalt plant” to “any rotary dry er located at an asphalt pavement production plant.” N.J.A.C. 7:27 - 19.2(b)(9) expands the applicability for glass manufacturing furnaces at N.J.A.C. 7:27 - 19.2(b)(8) to include an y glass manufacturing furnace producing blown glass, fiberglass, flat glass, or pressed glass having the potential to emit more than 10 tons of NOx per ye ar. N.J.A.C. 7:27 - 19.2(b)(10) expands the applicability of Subchapter 19 to include an y municipal so lid waste incinerator. The new rule at N.J.A.C. 7:27
- 19.12 regulates NOx emission limits from municipal solid waste incinerators. N.J.A.C. 7:27 - 19.2(b)(11) expands the applicability of Subchapter 19 to include an y sewage sludge incinerator. The new rule at N.J.A.C. 7:27
- 19.28 requires owners/operators of sewage sludge incinerators to meet NOx emission limits. The following discussion, while not directly relevant to this SIP revision, is being reiterated here for the record as a placeholder for future rulemaking . Although NJDEP did not include an y further amendments to N.J.A.C. 7:27
- 19.2, it should be noted that EPA submitted a formal comment to NJDEP during the public comment period [see comment number 12 on p 1754 of 41 N.J.R. 1752, April 20 , 2009] for the currentl y adopted Subchapter 19 concerning section 19.2(d) of Subchapter 19 that provides the compliance requirements for emergency generators. EPA’s formal comment, submitted to NJDEP on October 3, 2008, is as follows: “The potential t o emit (PTE) requirements for emergency generators need to be included in NJDEP’s permitting rules, Subchapters 8 and 22. Those subchapters should include the provisions that NJDEP deleted from the current SIP approved Subchapter 19: (1) the 500 hour annu al operational restriction, or some other appropriate period that comports with EPA’s 1995 guidance and (2) the exemption for sources with PTE less than 25 tons per day (TPD) NOx. Also, for18

rule consistency

purposes, EPA expects that NJDEP will include an hourly emergency operation limit, not to exceed 500 hours, in the future amendments to Subchapter 19.” EPA also made a similar comment in the final rule [72 Fed. Reg. 41626, July 31, 2007] when Subchapter 19 was last approved b y EPA as a SIP revision. Inthe July 31, 2007 final rule that approved Subchapter 19, EPA said, in part, “Specificall y, as noted in EPA’s proposed rule, potential to emit (PTE) requirements for emergency generators should be included in the provisions of New Jersey ’s permittin g regulations that identify which sources must obtain a permit, i.e., Subchapters 8 and 22. For purposes of rule consistency , EPA believes it appropriate, although not required, that New Jersey revise the current state - adopted Subchapter 19 to include the emergency generator restrictions (e.g., 500 hour annual operating restriction, and (2) the 25 tons per year (tp y) PTE source exemption).” In NJDEP’s response to EPA’s October 3, 2008 comment on emergency generators, NJDEP makes three points. First, NJDEP indicates that the State’s proposed amendments to Subchapters 8, 19 and 22 did not include revisions that would affect emergency generators and hence, the comment by EPA is beyond the scope of this rulemaking. While this rulemaking does not concern emergency generators, during the comment period EPA reiterated comments concerning emergency generators that were provided to New Jersey

during its July

31, 2007 Subchapter 19 rulemaking. Since NJDEP did not make the revisions to Subchapters 8, 19, and 22 that EPA had requested, EPA repeated the comment to remind NJDEP to make EPA’s recommended revisions, regarding the 500 hour PTE requirement, to Subchapters 8 and 22 and, for purposes of rule consistency , make the same revisions to Subchapter 19 that NJDE P deleted from a previously SIP approved Subchapter 19. Second, NJDEP, as it did for the July 2007 SIP approved version of Subchapter 19, responded to EPA’s comment that a 500 hour operating limit for emergency generators may be too restrictive and the calculation of PTE is based upon non
- emergency use such as for testing and maintenance. In response, EPA repeats what it stated in the July 31, 2007 final rule approving Subchapter 19, i.e., for purposes of calculating PTE for emergency

generators, Subchapters 8 and 22 should be revised to include 500 hours operating period. In addition, EPA reminds NJDEP once again, that EPA’s September 1995 guidance memo 7 states, “500 hours is an appropriate default assumption for estimating the number of hours that an emergency generator could be expected to operate under worst
- case conditions. Alternative estimates can be made on a case
- by
- case basis where justified b y the source owner or permitting authority (for example, if historical data or local power outages indicate that a larger or smaller number would be appropriate).”

7 September 6, 1995 EPA guidance memo entitled, “Calculating Potential to Emit (PTE) for Emergenc y Generators,” from Mr. John S. Seitz, Director of Office of Air Quality Planning and Standards, to the Regional Office Air Directors19

Third, NJDEP disagrees that an exemption to its emergency generator requirements is appropriate for facilities that emit less than 25 tons of NOx per y ear. NJDEP is concerned that an exemption for emergency generators could lead to high NOx emissions if the units were used as peaking units on HEDD. Such a situation could lead to reduced air qualit y in the State. The use of emergency generators as peaking units on HEDD is a new concern expressed by

NJDEP and EPA agrees that such a use may result in reduced air quality . NJDEP’s amendments to the purpose, scope and applicability requirements in N.J.A.C. 7:27 - 19.2 clarify

what additional source categories are applicable to Sub chapter 19 and, therefore, EPA proposes to approve the amendments to N.J.A.C. 7:27
- 19.2. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.2 7. N.J.A.C. 7:27 - 19.3: General provisions There are no new amendments to N.J.A.C. 7:27
- 19.3(a), (b), ( c), and (d) . N.J.A.C. 7:27 - 19.3(e) is amended to allow a 90
- day non - renewable extension of a deadline set forth at N.J.A.C. 7:27
- 19.13(b)(5) which requires owners/operators of sources that were issued either a facility
- specific or an alternative emiss ion limit prior to May 1, 2005 to submit a new request to NJDEP for a new facility
- specific or alternative emission limit by August 17, 2009. In addition, N.J.A.C. 7:27 - 19.3(e) is amended b y deleting an outdated requirement that, notwithstanding the requ est for the extension, owners/operators certify that the facility complies with applicable emission limits in Subchapter 19 by the May 31, 1995 deadline. NJDEP amended N.J.A.C. 7:27 - 19.3( f) to allow for alternative compliance options for owners or op erators of sewage sludge incinerator facilities which are now regulated under N.J.A.C. 7:27 - 19.28. In addition, N.J.A.C. 7:27
- 19.3(f) allows for alternative compliance options for an y owner/operator of equipment or source operations listed in N.J.A.C. 7:2 7 - 19.2(b). Therefore, since N.J.A.C. 7:27
- 19.2(b) was amended to include municipal solid waste incinerators, now regulated under N.J.A.C. 7:27
- 19.12, and additional glass manufacturing facilities, regulated under N.J.A.C. 7:27
- 19.10, these facilities are also allowed to consider alternative compliance options under N.J.A.C. 7:27
- 19.3(f). However, on and after May 1, 2015, N.J.A.C. 7:27 - 19.3(f) excludes owners/operators of an y HEDD unit in using the alternative compliance options of subsection 19.3(f) to comply with the NOx emission limits at subsections 19.4 or 19.5. The alternative compliance options at subsection 19.3(f) include the following: (1) an averaging plan pursuant to N.J.A.C. 7:27
- 19.6 and 19.14; (2) an alternative maximum allowable emi ssion rate pursuant to N.J.A.C. 7:27
- 19.13; and (3) a phased compliance plan for either repowering or innovative control technology pursuant to N.J.A.C. 7:27 - 19.21 and 19.23, respectivel y. For a full discussion of the four compliance options at subsection 19.3(f), see section III.C.2.of this TSD which discusses the options in the context of sewage sludge incinerators. As discussed in section III.C.2., New Jersey did not revise the March 7, 2006 due date for sources to appl y for phased compliance plan opt ions in sections 19.21 and 19.23 and20

therefore, EPA concludes that New Jersey did not mean for these two compliance options to be available to sources. NJDEP deleted the provisions at N.J.A.C. 19.3(g) and (h) which are provisions related to the State’s terminated Open Market Trading (OMET) Program. NJDEP deleted these provisions in response to EPA’s formal comment to NJDEP during the public comment period [see comment number 11 on p 1754 of 41 N.J.R. 1752, April 20, 2009] for the currently adopted Subc hapter 19. These rule deletions are acceptable to EPA . The amendments to the general provisions requirements at N.J.A.C. 7:27 - 19.3 are consistent with EPA’s enforceability guidance document for clarit y and, therefore, are acceptable to EPA. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.3 8. N.J.A.C. 7:27 - 19.4: Boilers serving electric generating units NJDEP amended N.J.A.C. 7:27 - 19.4(a) to clarify the following: (1) that owners/operators of boilers serving an electric gene rating unit (EGU) must comply with the NOx emission rates in Tables 1, 2 and 3 unless the owner/operator is complying with subsection 19.3(f) [alternative compliance options] or as specified in an enforceable agreement with NJDEP; (2) that applicable ope rative times for complying with NOx emission limits for Tables 1, 2 and 3; (3) that coal
- fired EGUs may be eligible for a 1
- year extension of the December 15, 2012 Table 1 compliance date pursuant to subsection 19.4(f); and (4) that an EGU is also subj ect to NJDEP’s state - of
- the
- art (SOTA) requirements of Subchapters 8 and 22, lowest achievable emission rate (LAER) requirements at Subchapter 18, and best available control technology (BACT) requirements at 40 CFR 52.21, incorporated b y reference into Sub chapter 19, as applicable. N.J.A.C. 7:27 - 19.4(a) includes the NOx emission rates and operative times for EGUs in Tables 1, 2 and 3. Table 1 is operative through December 14, 2012 and includes NOx emission rates expressed as pound NOx per million BTU (lb NOx/MM BTU). The NOx emission rate for a particular EGU depends upon the boiler ty pe and the fuel ty

pe combusted. The NOx emission rates at Table 1 are unchanged from the emission rates in the current SIP approved Subchapter 19. The NOx emission rates in Table 2 are expressed as pounds per megawatt hour (lb NOx/MWh) and are operative from December 15, 2012 through April 30, 2015. For comparative purposes, the conversion of emission rates from lb/MM BTU to lb/MWh is comp uted using the21

boiler heat rate conversion factor of 10,000 BTU per kilowatt hour [see NJDEP response to EPA comment number 39 on p 1760 of 41 N.J.R. 1752, April 20, 2009]. The NOx emission rates in Table 2 for coal
- fired boilers are reduced by 75% - 85%, d epending upon boiler ty pe, compared to the emission rates in Table 1 [equivalent to 6 to 10 lb NOx/MWh]. For “oil and/or gas” and “gas only” fired boilers, the NOx emission rates in Table 2 are not reduced. The NOx emission rates in Table 3 are also expre ssed as lb NOx/MWh and are operative on and after May 1, 2015. The NOx emission rates in Table 3 for coal
- fired boilers are not lowered compared to the emission rates in Table 2. However, the NOx emission rates in Table 3 for boilers firing oil are redu ced in the range of 28.6% to 76.7%, depending upon the ty pe of fuel oil fired and boiler ty pe; and for boilers firing “gas onl y” the NOx emission rates are reduced in the range of 50% to 76.7% depending upon the boiler ty pe. There are no new amendments to N.J.A.C. 7:27 - 19.4(b) and (c) . NJDEP amended N.J.A.C. 7:27 - 19.4(d)(1) and (2) requiring owners/operators of EGUs to demonstrate compliance with the new NOx emission limits in Tables 2 and 3 as follows: (1) using the methods at subsection 19.15(a), coal
- fired boilers subject to the NOx emission rates in Table 2 must demonstrate compliance b y June 15, 2013 or, in case of an alteration to the boiler or control apparatus, b y the date determined b y subsection 19.15(c), whichever date is earlier, except if a 1
- ye ar extension is granted pursuant to subsection 19.4(f); and for owners/operators of EGUs that fire fuel other than coal and are subject to the NOx emission rates in Table 3 must demonstrate compliance b y November 1, 2015 or, in case of an alter ation to the boiler or control apparatus, by the date determined b y s ubsection 19.15(c), whichever date is earlier. NJDEP amended N.J.A.C. 7:27 - 19.4(e) to allow owners/operators of coal
- fired EGUs to be exempt from including NOx emission rates during pe riods of startup and shutdown for purposes of calculating the 24
- hour NOx emission rate. As explained in NJDEP’s response to comment [see 41 N.J.R. 1752; 1758, number 26, April 20, 2009], this exclusion is granted based upon a 2002 Administrative Consent Decree (ACD) between NJDEP and PSE&G because SCR controls are not full y effective until the SCR reaches operating design temperatures which occurs during normal boiler operating load instead of during startup and shutdown situations. EPA agrees with NJDEP that low temperature operations during periods of startup and shutdown do not allow SCR technology to effectively

control NOx emissions 8 When calculating a 24 - hour NOx emission rate for a coal boiler, section 19.4 allows owners/operators to exclude emis sions during startup and shutdown under the following restricted conditions: (1) during startup, for a period not to exceed 8 hours, when the unit is not combusting fossil fuel (coal), from initial combustion until the unit combusts coal and is sy nchronize d with a utility

electric distribution sy stem; and (2) during shutdown, when the unit is no longer combusting coal and no longer s yn chronized with a utility electric distribution sy stem. New Jersey provided for this exemption because of the following technological limitations: selective cataly tic reduction (SCR)

8 . In an email dated December 11, 2009, New Jersey confirmed to EPA that (1) of the 10 operating coal fired boilers (serving electric generating units), by 2012, 9 coal
- fired boilers would be operating with SCR controls and one would be shut down; and (2) currently there are 5 coal fired boilers operating with SCR controls, 3 operating with selective non catalytic reduction (SNCR) controls and 2 not operating with either SCR or SNCR controls.22

and selective non
- catal yt ic reduction (SNCR) control technologies do not control NOx emissions eff ectivel y at lower than optimum temperatures which can occur during startup and shutdown periods. E PA

is in agreement with New Jersey ’s exemption because it is consistent with the primary aspects of EP

A’ s guidance 9 for SIPs containing startup and shutdown provisions. New Jersey ’s startup and shutdown provision at section 19.4 meets the primary aspects of EP

A’ s guidance for the following reasons: (1) the impact on ambient air quality is minimized by

New Jersey ’s narrowl y defined startup and shutdown requirements; (2) the exemption only applies during startup and shutdown periods when coal is not combust ed; (3) the NOx control devices have technological limitations during startup and shutdown periods; and (4) New Jersey requires compliance with oil/gas NOx emission limits during this startup/shutdown period. NJDEP amended N.J.A.C. 7:27 - 19.4(f) to allow a 1 - ye ar extension to owners/operators of coal
- fired EGUs required to meet the Table 2 compliance deadline of December 15, 2012 and the June 15, 2013 compliance demonstration deadline. NJDEP provides details of the administrative and procedural requireme nts needed b y owners/operators to appl y for the 1
- ye ar extension and the conditions under which NJDEP will approve an application. NJDEP amended N.J.A.C. 7:27 - 19.4(g) to require owners/operators of HEDD units to submit the 2009 Protocol and annual reports pursuant to subsection 19.29. NJDEP amended N.J.A.C. 7:27 - 19.4(h) to require owners/operators of HEDD units to submit the 2015 HEDD Emission L imit Achievement Plan and annual progress updates, as applicable, pursuant to subsection 19.30. The amendments at N.J.A.C. 7:27 - 19.4 will result in additional reductions in NOx emissions, however will not help New Jersey meet the attainment date for the 1997 8
- hour ozone standard but will help New Jersey meet the 2008 8
- hour ozone standard, provides clari ty for owners/operators of affected sources in meeting the requirements for achieving compliance, and is consistent with EPA’s enforceability guidance document for clarity and, therefore, is acceptable to EPA . Recommended Action : Proposed Approval of N. J.A.C. 7:27 - 19.4 9. N.J.A.C. 7:27 - 19.5: Stationary combustion turbines The amendments to N.J.A.C. 7:27 - 19.5(a)(1)
- (3) , for any simple cycle turbine, clarify that the NO x emission limits in Table 4 are applicable, unless the source is complying with the N.J .A.C. 7:27 - 19.3(f) compliance alternatives. The Table 4 emission rates, expressed as lb/MM BTU, are unchanged from the previous SIP approved version of Subchapter 19 (72 Fed. Reg. 41525, July

31, 2007) and are applicable as follows:

9 Memorandum dated September 20, 1999 entitled “State Implementation Plans: Policy Regarding Excess Emissions During Malfunctions, Startup, and Shutdown,” from Steven A. Herman, Assist ant Administrator for Enforcement and Com pliance Assurance and Robert Perciasepe, Assistant Administrator for Air and Radiation addressed to Regional Ad ministrators, Regions I
- X.23

(1) until March 6, 2 007, any simple cycle turbine with a maximum gross heat input rate of at least 30 MM BTU/hr; (2) March 7, 2007 through May 19, 2009 [operative date of Subchapter 19], Table 4 is applicable onl y to a simple cycle turbine with a maximum gross heat input rate of at least 25 MM BTU/hr that is a NO x Budget source, i.e., sources regulated under Subchapter 30, NJDEP’s CAIR NOx Trading Program; and (3) from May

20, 2009 through April 30, 2015, any simple cycle turbine that is an HEDD unit, NOx emission rates s hall be no greater than the lesser of the emission rates in Table 4 or the maximum allowable NOx emission rate contained in its preconstruction or operating permit. The amendments to N.J.A.C. 7:27 - 19.5(b)(1)
- (3) , for any combined cycle turbine or regen erative cycle turbine, clarify that the NO x emission limits in Table 5 are applicable, unless the source is compl yi ng with the N.J.A.C. 7:27
- 19.3(f) compliance alternatives. The Table 5 emission rates, expressed as lb/MM BTU, are unchanged from the previo us SIP approved version of Subchapter 19 and are applicable as follows: (1) until March 6, 2007, Table 5 is applicable only to a combined cy cle turbine or regenerative cycle turbine with a maximum gross heat input rate of at least 30 MM BTU/hr; (2) Mar ch 7, 2007 through May 19, 2009, Table 5 is applicable only to a combined cycle turbine or regenerative cycle turbine with a maximum gross heat input rate of at least 25 MM BTU/hr that is a NO x Budget source, i.e., sources regulated under Subchapter 30, NJ DEP’s CAIR NOx Trading Program; and (3) from May

20, 2009 through April 30, 2015, any combined cycle turbine or regenerative cycle turbine that is an HEDD unit, NOx emission rates shall be no greater than the lesser the emission rates in Table 5 or the maximum allowable NOx emission rate contained in its preconstruction or operating permit. There are no new amendments to N.J.A.C. 7:27 - 19.5(c) . The amendments to N.J.A.C. 7:27 - 19.5(d)(1)
- (2) , for any stationary

combustion turbine (combined cycle, re generative cycle or simple cycle), clarify that the NO x emission limits in Table 6 are applicable. The Table 6 emission rates, expressed as lb NOx/MWh, are unchanged from the previous SIP approved version of Subchapter 19 and are applicable as follows: (1) March 7, 2007 through May 19, 2009, Table 6 is applicable to a stationary combustion turbine with a maximum gross heat input rate of at least 25 MM BTU/hr that is not a NO x Budget source, unless the source is compl yi ng with either the N.J.A.C. 7:27
- 19. 3(f)24

compliance alternatives or the N.J.A.C. 7:27
- 19.5(c)(1)
- (5) exemption; and (2) May 20, 2009 and thereafter, Table 6 is applicable to any combustion turbine that is a non - HEDD unit. As stated in section III.C.2 [sewage sludge incinerators], the references above at N.J.A.C. 7:27 - 19.5(a), (b) and (d) to the compliance alternatives at N.J.A.C. 7:27
- 19.3(f) for the phased compliance plan options in sections 19.21 and 19.23 would allow sources to comply with the NO x RACT requirements b y November 7, 2 009 . Since New Jersey did not revise the March 7, 2006 due date for sources to apply for phased compliance plan options in sections 19.21 and 19.23, EPA concludes that New Jersey did not mean for these two compliance options to be available to owners/oper ators of affected sources. There are no new amendments to N.J.A.C. 7:27 - 19.5(e) . The amendment to N.J.A.C. 7:27 - 19.5(f ) is grammatical in nature (pounds/MWh replaces lbs/MWh) and is considered a minor administrative change and therefore provide s additional clarity to this provision and is acceptable to EPA. The amendments to N.J.A.C. 7:27 - 19.5(g) , for a stationary combustion turbine that is a HEDD unit or a stationary combustion turbine that is capable of generating 15 MW or more and that c ommenced operation on or after May 1, 2005, clarify

that the NO x emission limits in Table 7 are applicable. The Table 7 emission rates, expressed as lb NOx/MWh, are more stringent than the Table 6 emission limits and are applicable as follows: (1) On and after May

1, 2015, the Table 7 emission limits are applicable to owners/operators of the indicated source category ; and (2) for such applicable units that are permitted to combust either liquid fuel oil or gaseous fuel, NOx emissions are not to excee d the Table 7 emission rate for gaseous fuels during operation on HEDDs, regardless of the fuel combusted, unless combusting gaseous fuel is not possible due to gas curtailment. The amendments to N.J.A.C. 7:27 - 19.5(g) and Table 7 are acceptable to EPA because additional reductions in NO x emissions from stationary combustion turbines will be achieved by the more stringent NO x emission rates for HEDD units and stationary combustion turbines that operate capable of generating 15 MW or more and that commen ced operation on or after May 1, 2005.25

To clarify the applicability

schedule of Tables 4 through 7 at N.J.A.C. 7:27
- 19.5 , EPA has prepared the following summary table.
N.J.A.C. 7:27 - 19.5 Through March 6, 2007 March 7, 2007

through May 19, 2009 Ma y 20, 2009

through April 30, 2015 On and after

May 1, 2015 Table 4 All Simple Cycle

Turb ines ( ≥30 MM BTU/hr) NOx Budget Source

Simple Cycle Turbines ( ≥25 MM BTU/hr) HEDD Unit Simple

Cycle Turbines N/A

Table 5 All Combined Cycle

or Regenerative Cycle Turbines ( ≥30 MM BTU/hr) NOx Budget Source

Com bined Cycle or Regenerative Cycle Turbines ( ≥25 MM BTU/hr) HEDD Unit

Com bined Cycle or Regenerative Cycle Turbines N/A

Table 6 N/A All Non
- Budget Source Combustion Turbines ( ≥25 MM BTU/hr) All Non
- HEDD Unit

Com bustion Turbines All Non
- HEDD Unit

Com bustion Turbines Table 7 N/A N/A N/A All HEDD Unit Co mb ustion Turbines or a Com bustion Turbine capable of generating ≥ 15 MW and commenced operation ≥ May 1, 2005 The new provision at N.J.A.C. 7:27 - 19.5(h) clarifies that an y combustion turbine that is constructed, installed, reconstructed or modified is also subject to state
- of
- the
- art requirements at N.J.A.C. 7:27 - 8.12 and 22.35, lowest achievable emission rate (LAER) requirements at 7:27
- 18 , and best available control technology (BACT) requirements at 40 CFR 52.21, incorporated by reference into Sub chapter 19, as applicable. This new provision repeats existing regulatory requirements for owners/operators of new and modified sources and therefore is acceptable to EPA. The new provision at N.J.A.C. 7:27 - 19.5(i) provides clarification to owners/op erators concerning the date for demonstrating compliance for non
- HEDD turbines required to meet the NOx emission rates in Table 6 and for HEDD turbines required to meet NOx emission rates in Table 7. This new provision provides clarit y to owner/operators as to when demonstration of compliance is required and therefore is acceptable to EPA. The new provisions at N.J.A.C. 7:27 - 19.5(j) repeats the requirement at N.J.A.C. 7:27
- 19.29 that applicable owners/operators of HEDD units are to submit to NJDEP the 2009 Protocol and annual reports.26

The new provisions at N.J.A.C. 7:27 - 19.5(k) repeats the requirement at N.J.A.C. 7:27
- 19.30 that applicable owners/operators of HEDD units are to submit to NJDEP the 2015 Plan and annual reports. The amendments at N.J.A.C. 7:27 - 19.5 will result in additional reductions in NOx emissions, provides clarity for owners/operators of affected sources in meeting the requirements for achieving compliance, and is consistent with EPA’s enforceability guidance document for clarity and, therefore, is acceptable to EPA. The amendments at N.J.A.C. 7:27
- 19.5 will help the State meet the 1997 and 2008 8
- hour ozone standards and, therefore, are acceptable to EPA. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.5 . 10. N.J .A.C. 7:27 - 19.6: Emissions averaging The only amendment to N.J.A.C. 7:27
- 19.6 is to section 19.6(j) . In response to a public comment (see response to comment number 53 on p 1764 of 41 N.J.R. 1752, April 20, 2009) NJDEP clarified that a Generator Forced /Unplanned Outage, as defined b y PJM Interconnection LLC, is a reasonabl y unforeseeable circumstance. The amendment at N.J.A.C. 7:27 - 19.6 provides clarity for owners/operators of affected sources in meeting the requirements for determining averagi ng of NOx emissions, and is consistent with EPA’s enforceability guidance document for clarit y and, therefore, is acceptable to EPA. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.6 . 11. N.J.A.C. 7:27 - 19.7: Industrial/commercial/institutional boilers and other indirect heat exchangers The primary

amendments to N.J.A.C. 7:27 - 19.7 for industrial/commercial/institutional (I CI ) boilers and other indirect heat exchangers (IHEs) are summarized as follows: (1) the NOx emission limits are lowered fr om the current SIP approved limits, depending upon the fuel ty pe, as summarized in Table 9; (2) the applicability threshold for sources affected by the new emission limits at Table 9 is lowered from 50 MM BTU/hr (maximum gross heat input rate) to sources having a heat input rate of 25 MM BTU/hr; (3) the new limits at Table 9 are effective on May 1, 2011 for sources that comply by not phy sically

modifying the unit and one y ear later for sources requiring ph ys ical modifications; and (4) the new emission limi ts are not applicable to owners/operators of ICIs and IHEs located at petroleum refineries

– these sources continue to be regulated under the Table 8 emission limits. In NJDEP’s proposal to amend Subchapter 19 (see 40 N.J.R. 4390, 4399
- 4400 August 4, 2008), the State estimates that an additional 200 units will be subject to maximum allowable NOx emission rates and that the amendments to section 19.7 will result in emission reductions of approximately 1.7 to 2.9 tons NOx per ozone season day .27

The amendments to N.J.A.C. 7:27 - 19.7(a)
- (f) are summarized as follows: (1) section 19.7(a) was applicable until March 7, 2007 and this subsection is now reserved. The owners/operators of applicable sources ( ≥ 20<50 MM BTU/hr) now need to annuall y adjust the combustion process in accordance with N.J.A.C. 7:27
- 19.7(g) instead of complying with either (i) annual adjustment of the combustion process or (ii) meet a spec ific now obsolete presumptive emission rate in section 19.7(b); (2) the previous Table 5 and 6 presumptive NOx emission rates at sections 19.7(b) and (c) are now included in new Table 8 . Sections 19.7(b) and (c) are now reserved; (3) a grammatical rev ision is made to section 19.7(d); (4) section 19.7(e) was applicable until March 7, 2007 and this subsection is now reserved. The owners/operators of applicable sources ( ≥ 50<250 MM BTU/hr) now need to compl y with a new presumptive emission rate and annually adjust the combustion process i n accordance with section 19.7(g) instead of complyingwith a now obsolete presumptive emission rate and complyingwith either (i) annual adjustment of the combustion process or (ii) establish compliance by using CEMS pursuant to meeting a now obsolete pre sumptive emission rate in section 19.7(b); (5) section 19.7(f) allows complying with the N.J.A.C. 7:27
- 19.3(f) compliance alternatives instead of specific presumptive emission rates

– this section is now reserved but the section 19.3(f) compliance altern atives are now included as an alternative to the presumptive emission rates at 19.7(h) and (i). For a further discussion concerning section 19.3(f), see section III.C.2 of this TSD that discusses the options in the conte x t of sewage sludge incinerators. The amendments at N.J.A.C. 7:27 - 19.7(a)
- (f) provide clarit y for owners/operators of affected sources in meeting compliance and is consistent with EPA’s enforceability guidance document for clarity

and, therefore, is acceptable to EPA. There are n o new amendments to N.J.A.C. 7:27 - 19.7(g) . The amendments to N.J.A.C. 7:27 - 19.7(h) clarify the final dates when owners/operators of affected ICI boilers or IHE must remain in compliance with the NOx emission rates summarized in Table 8 . The maximum al lowable NOx emission rates in Table 8 became effective on and after March 7, 2007, are unchanged from the NOx emission rates in the current SIP approved Subchapter 19, and are applicable to sources located at a major NOx facility . Owners/operators of affe cted sources must be in compliance with the NOx emission rates in Table 8 unless the owner/operator is complyingwith the N.J.A.C. 7:27
- 19.3(f) compliance alternatives. The required final compliance dates are summarized as follows:28

(1) for sources not located at a petroleum refinery , owners/operators of affected sources must meet the applicable NOx emission rates in Table 8 as follows: (i) through April 30, 2010 if compliance is achieved without phy sically modifying the boiler or IHE and (ii) through Ap ril 30, 2011 if compliance is achieved by phy sically

modifying the boiler or IH E; and (2) for sources located at a petroleum refinery , the aforementioned final compliance dates do not apply . Owners/operators of boilers and IHE were to be in compliance w ith the Table 8 NOx emission rates by the March 7, 2007 effective date, and thereafter. N.J.A.C. 7:27 - 19.7(i) is a new provision that requires owners/operators of ICIboilers and IH Es with a maximum gross heat input rate of at least 25 MM BTU/hr, whether or not it is located at a major NO x facility , to meet the NO x emission rates in the new Table 9 . The new NOx emission rates do not apply to owners/operators of I CIboilers and IHEs located at a petroleum refinery which will continue to be regul ated at N.J.A.C. 7:27 - 19.7(h) at Table 8. Owners/operators of the applicable sources shall be in compliance with the applicable NOx emission rates in Table 9, unless the owner/operator is complying with the N.J.A.C. 7:27
- 19.3(f) compliance alternatives, i n accordance with the following schedule: (1) for the applicable sources with a maximum gross heat input rate of ≥ 25<50 MM BTU/hr: (i) on and after May 1, 2011, if compliance is achieved without phy sicall y modifying the boiler or IHE and (ii) on and aft er May 1, 2012, if compliance is achieved by phy sically

modifying the boiler or IHE; and (2) for the applicable sources with a maximum gross heat input rate of ≥50 MM BTU/hr: (i) on and after May

1, 2010, if compliance is achieved without phy sically modi fying the boiler or IHE and (ii) on and after May 1, 2011, if compliance is achieved by phy sicall y modifying the boiler or IHE. In general, NOx emission rates in Table 9 are either the same or more stringent than NOx emission rates in the current SIP approved Subchapter 19. In addition, new fuel ty pe categories have been added to Table 9 as follows: (1) for the applicable sources with a maximum gross heat input rate of ≥ 25<100 MM BTU/hr, “dual fuel using fuel oil and/or natural gas” and (2) for the applicable sources with a maximum gross heat input rate of ≥100 MM BTU/hr, (i) “No. 2 fuel oil” and “other liquid fuels.” Although the current SIP approved version of Subchapter 19 includes NOx emission rates for “coal
- fired” ty pe boilers, NJDEP has delete d these emission rates in Table 9. The latter NOx emission rates have been deleted from Table 9 because there are no longer an y coal
- fired ICI boilers in New Jersey (see NJDEP’s proposal to amend Subchapter 19 (pp 4399
- 4400 @40 N.J.R. 4390, August 4, 2008 )). Therefore, removal of coal fired boiler emission limits from the current SIP is acceptable to EPA. In the same previously mentioned reference, NJDEP has indicated that in the establishment of new emission rates at Table 9, NJDEP reviewed (i) stack te st data from ICI boilers within the State and (ii) the technical anal ys is/recommendations as summarized in the OTC’s report entitled “Identification and Evaluation of Candidate Measures

– Final Technical Support Document,” February 28, 2007.29

NJDEP’s NOx e mission rates in Table 9 for ICI boilers are either the same or more stringent than the OTC’s recommended emission rates (the OTC report does not provide recommended emission rates for the following category of fuels: “other gaseous fuels” and “dual fuel u sing fuel oil and/or natural gas.”) As stated in section III.C.2 [sewage sludge incinerators], the references above at N.J.A.C. 7:27 - 19.7(h) and (i) to the compliance alternatives at N.J.A.C. 7:27
- 19.3(f) for the phased compliance plan options in se ctions 19.21 and 19.23 would allow sources to comply with the NO x RACT requirements b y November 7, 2009 . Since New Jersey did not revise the March 7, 2006 due date for sources to apply for phased compliance plan options in sections 19.21 and 19.23, EPA c oncludes that New Jersey did not mean for these two compliance options to be available to owners/operators of affected sources. The amendments to N.J.A.C. 7:27 - 19.7 are acceptable to EPA for the reasons stated above. Additional reductions in NO x emis sions from I CIboilers and IHE will be achieved b y more stringent NO x emission limits for some source categories and by requiring smaller sources ( ≥ 25<50 MM BTU/hr) to start implementing control measures to reduce NOx emissions. Furthermore, the new NO x emission limits are either the same or more stringent than the limits EPA approved into the current SIP (72 Fed. Reg. 41626, July 31, 2007), and ar e either more stringent than or identical to the OTC’s recommendations for additional NO x control measures for IC I boilers. In addition, the amendments to N.J.A.C. 7:27
- 19.7 are consistent with NJDEP’s commitment to EPA to further reduce NO x emissions. T he amendments at N.J.A.C. 7:27
- 19.7 will help the State meet the 1997 and 2008 8
- hour ozone standards and, therefore, is acceptable to EPA . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.7 12. N.J.A.C. 7:27 - 19.8: Stationary reciproca ting engines The only amendments to N.J.A.C. 7:27 - 19.8 are in section 19.8(e) whereby a Table number is revised and a website reference is corrected. These revisions are administrative in nature and therefore acceptable to EPA. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.8 . 13. N.J.A.C. 7:27 - 19.9: Asphalt pavement production plants The primary

amendments to N.J.A.C. 7:27 - 19.9 are summarized as follows: (1) the NOx emission concentration limits are now more stringent suc h that an additional 37% to 62% reductions in NOx emissions are expected depending upon the type of fuel combusted in the dry er; and (2) requirements are included to perform best management practices and to keep records. In NJDEP’s proposal to amend Subc hapter 19 (see pp 4393 @40 N.J.R. 4390, August 4, 2008), the State estimates that the amendments to section 19.9 will result in NOx emission reductions of up to 0.21 TPD during the 2009 ozone season, up to 0.42 TPD during the 2010 ozone season, and up to 0.64 TPD during the 2011 ozone season.30

Throughout the amendments to section 19.9, NJDEP now refers to sources as “asphalt pavement production plants” instead of “asphalt plants” or “batch type or drum mix asphalt plants.” In NJDEP’s preamble section of the proposal to Subchapter 19, NJDEP’s analy sis of actual stack test data indicated no emission difference between drum or batch dryer t yp e, but did indicate differences based upon fuel ty pe and hence, NJDEP set new emission limits based on fuel ty pe r ather than dry er ty

pe. Hence, NJDEP deleted from section 19.9 references to “batch ty pe or drum mix asphalt plants.” The amendments to N.J.A.C. 7:27 - 19.9(a) revises the NOx emission limit from 200 ppmvd at 7.0 % ox ygen to more stringent emission limits depending upon fuel type. The new NOx emission limits expressed as ppmvd at 7.0 % oxygen are as follows: (1) 75 ppmvd for natural gas; (2) 100 ppmvd for No. 2 fuel oil; and (3) 125 ppmvd for No. 4 fuel oil, heavier fuel oil or on
- specification used oil o r an y mixture of the three oils. There are no substantive amendments to N.J.A.C. 7:27 - 19.9(b). As with the current SIP approved version of Subchapter 19, N.J.A.C. 7:27 - 19.9(c) allows owners/operators of applicable sources to comply with the compliance alternatives at N.J.A.C. 7:27 - 19.3(f) instead of the new presumptive emission concentration limits. For a further discussion concerning section 19.3(f), see section III.C.2 of this TSD that refers to sewage sludge incinerators. N.J.A.C. 7:27 - 19.9(d) is a new provision requiring owners/operators to perform best management practices as follows: (1) reduce aggregate moisture content; (2) conduct monthly inspections of the flights in the dry er and the need for replacement; and (3) annually inspect the air sy stem and repair air sy stem leaks to minimize excess air. N.J.A.C. 7:27 - 19.9(e) is a new provision requiring owners/operators to record and maintain onsite logs of the implementation of best management practices detailed in section 19.9(d). N. J.A.C. 7:27 - 19.9(f

) is a new provision that requires owners/operators of an asphalt pavement production plant dry er to meet the following compliance dates: (1) for sources with a maximum gross heat input rate of < 100 MM BTU/hr, comply by May 1, 2011, if c ompliance is achieved without phy sically modifying the dry er; (2) for sources with a maximum gr oss heat input rate of ≥ 100 MM BTU/hr, comply by May 1, 2010, if compliance is achieved without phy sicall y modifying the dry er. For each size dryer, an extra y ear is allowed if compliance is achieved b y ph ys ically

modifying the boiler. The amendments at N.J.A.C. 7:27 - 19.9 will result in additional reductions in NOx emissions (the new NOx emission limits are more stringent than the current SIP approved emission limits ), provides clarity for owners/operators of affected sources in meeting the requirements for achieving compliance, and is consistent with EPA’s31

enforceability

guidance document for clarity and, therefore, is acceptable to EPA. The amendments at N.J.A.C. 7:27 - 19.9 will result in additional reductions in NOx emissions and therefore will h elp the State to achieve the 1997 and 2008 ozone standards. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.9 . 14. N.J.A.C. 7:27 - 19.10: glass manufacturing furnaces The primary

amendments to N.J.A.C. 7:27 - 19.10 are summarized as follows: (1) the NOx emission rates are now more stringent for commercial container glass, specialty container glass and borosilicate recipe glass manufacturing furnaces; and (2) NOx emission limits have been established for pressed glass, blown glass, fiberglass and flat glass manufacturing furnaces. The current SIP approved Subchapter 19 establishes NOx emission limits for glass manufacturing furnaces producing commercial container glass, specialty container glass and borosilicate recipe glass, each of which, ac cording to NJDEP (see NJDEP’s proposal to amend Subchapter 19 (see pp 4395 - 6 @40 N.J.R. 4390, August 4, 2008)), is a category of container glass. In addition, as stated in the preamble to NJDEP’s proposal, the State indicates that it was proposing (now ad opted) a NOx emission limit for fiberglass manufacturing furnaces, in the event that the State’s only such plant converts from electric furnaces (already in compliance with the new limit) to fossil fuel
- fired furnaces. The new limit for fiberglass manufac turing furnaces is 4.0 lbs NOx/ton glass removed. The amendments to N.J.A.C. 7:27 - 19.10(a) and (b) revise the NOx emission limit for commercial container glass, specialty container glass and borosilicate recipe glass manufacturing furnaces from 5.5 lbs NOx/ton glass removed, 11 lbs NOx/ton glass removed, and 30% reduction from 1994 baseline respectively to a presumptive emissions limit of 4.0 lbs NOx/ton glass removed for each ty

pe furnace. Section 19.10(a) also establishes a NOx emission limit of 4. 0 lbs NOx/ton glass removed for pressed glass, blown glass, and fiberglass manufacturing furnaces. The amendment to N.J.A.C. 7:27 - 19.10(b) requires owners/operators of flat glass manufacturing furnaces to limit NOx emissions from the furnace to 9.2 lb s NOx/ton of glass removed. In NJDEP’s proposal to amend Subchapter 19 (see p 4396 @40 N.J.R. 4390, August 4, 2008), the State explains that this new limit is established for this new source category in the event that such a furnace is constructed in th e future. N.J.A.C. 7:27 - 19.10(c) is now reserved for an y future amendments. The amendments to N.J.A.C. 7:27 - 19.10(d) require owners/operators of glass manufacturing furnaces to comply with the applicable NOx emission limits in sections 19.10(a) an d (b) beginning on and after May 1, 2010 on the first day

of startup after which rebricking of the furnace is completed. The current SIP approved Subchapter 19 requires owners/operators to comply with either the same currently adopted rebricking approach or b y a set date, whichever is sooner. In the preamble to NJDEP’s proposed rule to amend Subchapter 19, the State indicated that it was attempting to make compliance with the new rule economically feasible by

requiring compliance at the time of rebrickin g, among other requirements. EPA agrees with NJDEP that it32

is more economicall y feasible to allow sources to comply at the time when rebricking becomes necessary rather than to require the source to rebrick earlier than necessary . Since economic feasibil ity is a RACT requirement, NJDEP’s revised compliance approach is acceptable to EPA. There are no new amendments to N.J.A.C. 7:27 - 19.10(e) . The current SIP approved version of N.J.A.C. 7:27 - 19.10(f) allows owners/operators of applicable glass manufa cturing furnaces to comply with the N.J.A.C. 7:27
- 19.3(f) compliance alternatives instead of the presumptive NOx emission limits. The amendments to N.J.A.C. 7:27
- 19.10(f) deletes the compliance alternative that allows phased compliance for the furnace pursuant to N.J.A.C. 7:27 - 19.21, 19.22 or 19.23. As stated above in III.C.2. [sewage sludge incinerators] of this TSD, phased compliance under sections 19.21 and 23 should not be an alternative compliance option. In addition, the phased compliance option under section 19.22 is not applicable to owners/operators of glass manufacturing furnaces since NJDEP amended section 19.22 to be applicable only to HEDD sources pursuant to section 19.29. For these reasons, the amended section 19.10(f) is acceptable to E PA. The amendments at N.J.A.C. 7:27 - 19.10 will result in additional reductions in NOx emissions ( the new NOx emission limits are more stringent than the current SIP approved emission limits ), provides clarity for owners/operators of affected sources in meeting the requirements for achieving compliance, and is consistent with EPA’s enforceabilit y guidance document for clarity

and, therefore, is acceptable to EPA. The amendments at N.J.A.C. 7:27
- 19.10 will result in additional reductions in NOx emissi ons and therefore will help the State to achieve the 1997 and 2008 ozone standards. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.10 . 15. N.J.A.C. 7:27 - 19.11: Emergency generators
– recordkeeping N.J.A.C. 7:27 - 19.11 has not been amended . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.11 . 16. N.J.A.C. 7:27 - 19.12: Municipal solid waste (MSW) incinerators This section is a new rule and is discussed in section III.C.1. of this TSD 17 . N.J.A.C. 7:27 - 19.13: Alternative and facility - specific NO x emission limits The primary

amendments to N.J.A.C. 7:27 - 19.13 are summarized as follows: (1) NJDEP defines a facility
- specific NOx emission limit (FSEL ) to include a maximum allowable emission rate, maximum allowable emi ssion concentration, or other NOx regulatory parameter [see N.J.A.C. 7:27 - 19.13(a)(1) ];33

(2) NJDEP defines an alternative emission limit (AEL) to include an alternative maximum allowable emission rate, alternative maximum allowable emission concentratio n, or other regulatory

parameter [see N.J.A.C. 7:27 - 19.13(a)(2) ]; (3) NJDEP requires owners/operators of each facility with an FSEL or AEL that was issued before May

1, 2005 to submit a new request for an FSEL or AEL [see N.J.A.C. 7:27 - 19.13(a)(3) ] by

August 17, 2009 unless a 90
- day extension is requested pursuant to section 19.3(e) [see N.J.A.C. 7:27 - 19.13(b)(5) ]; (4) the existing FSEL or AELwill terminate on August 17, 2009 unless a new request for an FSEL or AE L is received by NJDEP by August 17, 2009 [see N.J.A.C. 7:27 - 19.13(b)(5)(iii) ]; (5) an y FSELapproved by NJDEP after May

19, 2009 [Subchapter 19 operative date] shall not have an expiration date, except in accordance with subsections 19.13(b)(6) or 19.13(j) which relates to a modificatio n, alteration or reconstruction of the source which may , if applicable, require NJDEP approval of a new FSEL and permit or certificate [see N.J.A.C. 7:27 - 19.13(b)(1) ]; (6) an y AEL approved by NJDEP after May 19, 2009 shall have a term limit of 10 y ear s, unless the source with the AEL is modified, altered, or reconstructed during the term of the plan, in which case subsections 19.13(b)(6) or 19.13(k), if applicable, require NJDEP approval of a new AEL and permit or certificate [see N.J.A.C. 7:27 - 19.13(b )(2) ]; and (7) amendments to the remainder of section 19.13, i.e., sections 19.3(c)
- (p), provide corrections, clarifications or no changes at all. It should be noted that EPA has received copies of thirty
- four letters, dated June 25, 2009, ma iled by NJDEP to owners/operators of affected facilities reminding them that they may be subject to more stringent emission limits, including an FSEL or AEL, pursuant to N.J.A.C. 7:27
- 19.13 or N.J.A.C. 7:27 - 16.17 [VOC RACT], and if so, to submit the revis ed application by August 16, 2009. The amendments to N.J.A.C. 7:27
- 19.13 provide clarity for owners/operators of affected sources to submit and comply with NO x control plans for an FSELor requests for an alternative maximum allowable emission limit and are consistent with EPA’s enforceability guidance document for clarity . All FSEL s and AELs are still required by N.J.A.C. 7:27 - 19.13(h) to be submitted to EPA as a SIP revision. If EP A denies the approval of the proposed NOx plan as a revision to th e SIP, section 19.13(l) provides that New Jersey will revoke its approval of the plan. The amendments at N.J.A.C. 7:27 - 19.13 may result in additional reductions in NOx emissions and therefore may help the State to achieve the 1997 and 2008 ozone standards . Therefore, the amendments to N.J.A.C. 7:27 - 19.13 are acceptable to EPA. For further discussion concerning the approvability of the NOx and VOC RACT provisions at sections 19.13 and 16.17, respectivel y, as related to EPA guidance for generic RACT rules , see34

section III.J. of this TSD. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.13 . 18. N. J.A.C. 7:27 - 19.14: Procedures for obtaining approvals under this subchapter There are no new amendments to N.J.A.C. 7:27 - 19.14 . Recommended Act ion : Proposed Approval of N.J.A.C. 7:27 - 19.14 . 19. N.J.A.C. 7:27 - 19.15: Procedures and deadlines for demonstrating compliance The primary

amendments to N.J.A.C. 7:27 - 19.15 describe, at sections 19.15(d) and (e), when and how owners/operators of asph alt pavement production plants and glass manufacturing furnaces, respectivel y, must demonstrate compliance with Subchapter 19. The amendments to N.J.A.C. 7:27 - 19.15(a), (b), (c) and (f) provide minor clarifications. The amendments at N.J.A.C. 7:27 - 19 .15(d) require owners/operators of asphalt pavement production plants to demonstrate compliance with Subchapter 19, particularly the NOx emission limit at N.J.A.C. 7:27
- 19.9(a), in accordance with subsection 19.15(a)(2) [stack tests], within 365 day s from the date at sections 19.9(f)1 or 2 and thereafter at the frequency set forth in the permit for such equipment or source operation. In a response to a comment when Subchapter 19 was proposed [see cmt # 20 on p 1756 @ 41 N.J.R. 1752, April 20, 2009], NJDEP provided 365 day s from the compliance due dates for demonstrating compliance instead of the proposed 180 day s. NJDEP allowed the additional time “because the asphalt industry currentl y does not have extensive experience with NOx emissions control techno logy and there is some uncertaint y based on currentl y available information about the relationship between NOx and products of incomplete combustion, including HAP [Hazardous Air Pollutant] emissions.” The amendments at N.J.A.C. 7:27 - 19.15(e) requir e owners/operators of a glass manufacturing plant to demonstrate compliance by meeting the NOx emission limit at N.J.A.C. 7:27 - 19.10(a), (b) or (f)(2) [an AEL ], as applicable, as follows: (1) within 180 day s after the first date after May

19, 2009 [operati ve date of Subchapter 19] on which rebricking of the furnace is completed, and thereafter in accordance with the permit and in accordance with the following for determining the NOx rate limit expressed as lb NOx/ton of glass removed from the furnace, whic hever is applicable: (2) see subsection 19.15(e)(2) [if CEMS is not installed
- stack tests to be used]; (3) see subsection 19.15(e)(3) [if CEMS is installed]. The amendments to N.J.A.C. 7:27 - 19.15 provide clarity for owners/operators of affected sour ces at asphalt pavement production plants and glass manufacturing plants to meet the procedures and deadlines for meeting compliance, are consistent with EPA’s enforceability guidance document for clarity , and, therefore, are acceptable to EPA. Reco mmended Action : Proposed Approval of N.J.A.C. 7:27 - 19.15 .35

20. N.J.A.C. 7:27 - 19.16: Adjusting combustion process There are no new amendments to N.J.A.C. 7:27 - 19.16 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.16. 21. N.J.A.C. 7:27 - 1 9.17: Source emission testing There are no new amendments to N.J.A.C. 7:27 - 19.17 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.17. 22. N.J.A.C. 7:27 - 19.18: Continuous emission monitoring There are no new amendments to N.J.A.C. 7:27 - 1 9.18 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.18 . 23. N.J.A.C. 7:27 - 19.19: Recordkeeping and recording There are no new amendments to N.J.A.C. 7:27 - 19.19 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.19 . 24. N.J .A.C. 7:27 - 19.20: Fuel switching There are no new amendments to N.J.A.C. 7:27 - 19.20 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.20 . 25. N.J.A.C. 7:27 - 19.21: Phased compliance
– repowering The only amendment to N.J.A.C. 7:27
- 19.21 i s that Table 8 is renumbered to Table 11. The following discussion, while not directly relevant to this SIP action, is being reiterated here for the record as a placeholder for future rulemaking. When the currentl y adopted Subchapter 19 was propos ed, EPA commented [see cmt # 9 on p 1754 @ 41 N.J.R. 1752, April 20, 2009] that NJDEP did not amend N.J.A.C. 7:27
- 19.21 as EPA requested when EPA approved the previously adopted Subchapter 19 in July 2005 (72 Fed. Reg. 41626, July 31, 2007). In a letter d ated October 3, 2008, EPA made the following comment to NJDEP during the public comment period for the currentl y adopted Subchapter 19:36 “ Phased compliance
- repowering : EPA is not taking action on the new amendments to the repowering provision at 19.21 because EPA is not approving an y dates that allow for NOx RACT compliance beyond May 31, 1995, in general, and beyond May 1, 1999 for completion of repowering for sources that should have complied b y the date required in the March 29, 1999 EPA approved SIP . The amended repowering provision at 19.21 is not acceptable to EPA because the provision allows for NOx reductions b y a compliance date of November 7, 2009 which is beyond the November 15, 2007 1
- hour ozone attainment deadline for the New York
- Northern New Jersey - Long Island area. NJDEP has advised EPA that no sources have applied to repower b y NJDEP's deadline of February 7, 2006 deadline [EPA recommends deleting the revised compliance dates in 19.21].” In its response to EPA’s comment, NJDEP indicated that no sources had applied by the February 7, 2006 deadline for the phased compliance option, and therefore there are no sources with phased compliance plans and EPA’s concern about the November 7, 2009 compliance date is moot. NJDEP further indicate d that it may remove the November 7, 2009 compliance date in a future rule revision as a matter of rule cleanup, but changing the rule at this time is unnecessary . In the currently

adopted Subchapter 19, the application date for phased compliance by rep owering is still February 7, 2006 and therefore sources are unable to apply for this compliance option. In addition, it should be noted that EPA made the following comment in the TSD when approving the previousl y adopted Subchapter 19 in July 2007: “EP A is not approving the phased compliance plans for repowering and innovative control technology

because they

allow source NO x reductions to be achieved beyond the November 15, 2007 1
- hour ozone attainment deadline for the New York
- Northern New Jersey - Long Island area. In addition, as noted above, EPA is not approving dates that allow for NO x RACT compliance beyond May 31 1995, in general, and beyond May 1, 1999 for completion of repowering...” Therefore, although the administrative changes to N.J.A.C. 7:27 - 19.21 are acceptable to EPA, for the reasons explained in the previous paragraphs, EPA takes no further action to either approve or disapprove the existing provisions which still incorporate the November 7, 2009 compliance date. EPA recommends NJDEP remove the compliance date of November 7, 2009 from N.J.A.C. 7:27
- 19.21 in future amendments. Recommended Action : Proposed Approval of N.J.A.C. 7:27
- 19.21 ex cept as noted above with reference to the November 7, 2009 compliance date.37

26. N.J.A.C . 7:27 - 19.22: Phased compliance
– im practicability of full compliance by May 19, 2009 NJDEP amended N.J.A.C. 7:27 - 19.22 to remove provisions that are no longer applicable, such as the compliance date of May 31, 1995, and to allow phased compliance f or owners/operators of HEDD units that are required to achieve the NOx emission reductions required b y Equation 1 at N.J.A.C. 7:27
- 19.29(c). N.J.A.C. 7:27
- 19.29(c) requires compliance on each HEDD following May 19, 2009 [operative date of Subchapter 19]. This phased compliance provision is only

applicable to owners/operators of HEDD units, identified at N.J.A.C. 7:27
- 19.29(a), and no other source category . Owners/operators of HEDD units that are unable to comply with the NOx reduction requirements in Equ ation 1 at N.J.A.C. 7:27
- 19.29(c) b y M ay 19, 2009 can appl y for phased compliance which is limited to a 12 month interim period, if approved by NJDEP. NOx emission reductions are applicable during high electric demand day s. N.J.A.C. 7:27 - 19.22 (a) is amended b y limiting phased compliance, due to impracticability of full compliance b y May 19, 2009, to owners/operators of HEDD sources, identified at N.J.A.C. 7:27 - 19.29 (a), who have submitted phased compliance plans. A phased compliance plan approve d by

NJDEP is in lieu of achieving by May 19, 2009 the NOx emission reductions required b y Equation 1 at N.J.A.C. 7:27
- 19.29(c). N.J.A.C. 7:27 - 19.22 (b) is amended to require owners/operators of applicable HEDD sources that want to have phased compliance to submit an application for approval of the phased compliance plan to NJDEP by June 9, 2009. This subsection requires compliance plans to address the following: (1) the required compliance plan elements in subsection (c) for each control measure; (2) the steps the owner/operator has taken to compl y with the NOx reduction requirements at N.J.A.C. 7:27
- 19.29; and (3) a detailed explanation of why implementation of each control measure b y May 19, 2009 is impracticable. N.J.A.C. 7:27 - 19.22 (c) is ame nded to require owners/operators of HEDD units to include the required specific information in the phased compliance plan for each proposed control measure, including the following: (1) a description of each proposed control measure; (2) how each proposed control measure is expected to reduce NOx emissions; (3) an implementation schedule; and (4) an y other information requested by NJDEP for purposes of evaluating whether each proposed control measure will achieve the Equation 1 NOx reductions. N.J.A.C. 7:27 - 19.22 (d) is amended to include the criteria that NJDEP will use for determining the approvability of phased compliance plans submitted by owners/operators of HEDD units. This subsection also removes the May 31, 1995 compliance date which is no lon ger applicable and to update references to N.J.A.C. 7:27
- 19.22 (b). Subsection 19.22(d)(4), requiring the interim period to be less than 12 months, is unchanged. It should be noted however, that at section 19.1, the definition of the term “interim period ” allows two years instead of one ye ar from the May 19, 2009 operative date of Subchapter 19. As discussed with the state, this is a ty pographical error and New Jersey should revise section 19.1 to make it consistent with section 19.22 (d).38

N.J.A.C. 7: 27 - 19.22 (e) is amended b y revising the compliance date from May 31, 1995 to May 19, 2009 and to clarify

the criteria that NJDEP will use to determine whether compliance with the NOx reductions by Equation 1 at N.J.A.C. 7:27
- 19.29 (c) b y Ma y 19, 2009 is i mpracticable. Except for the change in compliance date, the criteria at subsections 19.22(e)(1)
- (4) is unchanged. N.J.A.C. 7:27 - 19.22 (f) is amended to state that the phased compliance plan expires when full compliance is achieved with the emission reduction determined b y Equation 1. This subsection clarifies that upon expiration of NJDEP’s approval of the phased compliance plan, owners/operators become subject to the applicable requirements at N.J.A.C. 7:27
- 19.29. N.J.A.C. 7:27 - 19.22 (g) requires a ll combustion sources affected by a phased compliance plan be operated in a manner that complies with the plan and with all conditions of NJDEP’s approval. Subsection 19.22(g)(4)(ii) is amended by deleting SNCR as possible consideration of a control meas ure to be used during the interim period. The other possible control measures to be used to control NOx emissions during the interim period, as indicated at subsection 19.22(g)(4), remain unchanged, as follows: (1) adjustment to the combustion process pur suant to N.J.A.C. 7:27 - 19.16 (see subsection 19.22(g)(4)(i)); and (2) seasonal fuel switching to natural gas pursuant to N.J.A.C. 7:27 - 19.20, or implementing other control measures approved by NJDEP until full compliance is achieved in meeting the NOx redu ctions at Equation 1 (see subsection 19.22(g)(4)(ii)). New Jersey ’s phased compliance plan at section 19.22 allows owners/operators to appl y to New Jersey

for additional time for compliance with section 19.29 while limiting the interim period to n ot more than one y ear from the May 19, 2009 operative date and requiring NOx control measures during the one y ear interim period as detailed at subsection 19.22(g)(4). EPA recognizes that there may be cases when owners/operators of HEDD units subject to s ection 19.29 will need additional time beyond the May 19, 2009 operative date to comply with the required NOx reductions determined by Equation 1 due to impracticability . New Jersey ’s phased compliance plan at section 19.22 provides the necessary procedural requirements for approval of applications and the necessary NOx control requirements during the one ye ar interim period and therefore EPA is proposing to approve New Jersey ’s phased compliance plan at section 19.22. In addition, it should be noted that in a recent verbal communication with New Jersey staff, the State has indicated that only one facilit y requested phased compliance and, as of October 2009, the source was in compliance with section 19.29 and no longer needed phased compliance. Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 19.22 27. N.J.A.C. 7:27 - 19.23: Phased compliance
– use of innovative control technology There are no new amendments to N.J.A.C. 7:27
- 19.23. EPA has the same comment as described above in se ction III.C. 25 of this TSD for the39

phased compliance

– repowering provision pursuant to N.J.A. C. 7:27 - 19.21. Please see section III.C.25 above for details. When the currentl y adopted Subchapter 19 was proposed, EPA comme nted [see cmt # 9 on p 1754 @ 41 N.J.R. 1752, April 20, 2009] that NJDEP did not amend N.J.A.C. 7:27 - 19.23 as EPA requested when EPA approved the previously adopted Subchapter 19 in July 2007 (72 Fed. Reg. 41626, July 31, 2007). In a letter dated October 3, 2008, EPA recommended deleting the revised compliance dates in 19.23 for the same reasons stated b y EPA for deleting the revised compliance date in 19.21. Therefore, for the reasons explained in the previous paragraph, EPA takes no further action to either approve or disapprove the existing provisions which still incorporate the November 7, 2009 compliance date. EPA recommends NJDEP remove the compliance date of November 7, 2009 from N.J.A.C. 7:27
- 19.23 in future amendments. . Recommended Actio n : none . 28. N.J.A.C. 7:27 - 19.24: MEG alerts There are no new amendments to N.J.A.C. 7:27 - 19.24 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.24 . 29. N.J.A.C. 7:27 - 19.25: Exemption for emergency use of fuel oil There are no new amendments to N.J.A.C. 7:27 - 19.25. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.25 . 30. N.J.A.C. 7:27 - 19.26: Penalties There are no amendments to N.J.A.C. 7:27 - 19.26 . Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19 .26 . 31. N.J.A.C. 7:27 - 19.27: Use of NOx budget allowances by a former DER credit user NJDEP amended N.J.A.C. 7:27
- 19.27 by deleting the entire provision . When the currentl y adopted Subchapter 19 was proposed, EPA commented [see cmts # 9 and #11 on p 1754 @ 41 N.J.R. 1752, April 20, 2009] that, since the OMET program at Subchapter 30 has now been repealed since February

2004, NJDEP should delete all provisions related to the now defunct OMET program. In response to this EPA comment, NJDEP deleted N.J .A.C. 7:27 - 19.27 along with the associated Appendix. N.J.A.C. 7:27
- 19.27 is now a reserved section within Subchapter 19. Recommended Action : Proposed Approval of N.J.A.C. 7:27 - 19.2740

32. N.J.A.C. 7:27 - 19.28: Sewage sludge incinerators This section is a new rule and is discussed in section III.C.2. of this TSD 33. N.J.A.C. 7:27 - 19.29 2009 HEDD Emission Reduction Compliance Demonstration Protocol This section is a new rule and is discussed in section III.C.3. of this TSD 34. N.J.A.C. 7:27 - 19.3 0 2009 HEDD Emission Limit Achievement Plan This section is a new rule and is discussed in section III.C.4. of this TSD 35. Compliance dates New Jersey

amended Subchapter 19 b y including new provisions and amendments to previously

approved SIP

provisions that result in more stringent NOx emission limitations that will lead to additional reductions in NOx emissions from the affected major stationary combustion sources. New Jersey

uses the emission benefits from the new provisions and amendments to Subcha pter 19 in a variety

of way s in the SIP. Some are used to meet reasonable further progress goals, others as a contingency measure should an area fail to attain the 1997 ozone standard, some to support the “weight of evidence” arguments concerning attainme nt of the 1997 ozone standard, and others that will be used to help to attain the new 2008 ozone standard (currentl y under reconsideration) that New Jersey anticipates will replace the 1997 ozone standard. In addition, New Jersey

was seeking to fulfill th e section 182(b)(2) and section 172(c)(1) requirements for RACTas applied to both the 1997 and 2008 ozone standards in setting the emission standards and compliance due dates. Emission reductions required by sections 182(b)(2) and 172(c)(1) of the Act, u sed to fulfill in the 1997 ozone SIP, are required to be achieved by May 2009. Sources with compliance periods that go beyond May 2009 are used as contingency measures or towards meeting RACT for the 2008 ozone standard. In determining a compliance date for a level of control that can be considered RACT, the time necessary to make the required modifications and the cost of modifications were taken into consideration. For example, rebricking of a glass manufacturing furnace, which usually

accompanies new emission controls, is a significant factor in evaluating both time and expenses necessary for the project. Requiring a “rebricking” of a furnace before it is phy sicall y necessary would constitute a significant additional cost that could result in the new emission controls being considered economicall y unreasonable. The compliance dates included in Subchapter 19’ s provisions are as expeditious as practical considering the level of the required new controls. Consistent with the Phase 2 Rule, any emission r eduction used in the 1997 ozone SIP is required to occur no later than the start of41

the 2009 ozone season, which is the time by which a state must demonstrate that it achieved the necessary emission reductions to meet the June 15, 2010 attainment date for areas that are classified as a moderate nonattainment area for the 8
- hour ozone standard. Based on preliminary

air quality

data monitored for the 3
- ye ar period from 2007
- 2009, the Philadelphia
- Wi lmington
- Atlantic City , P A - NJ - MD - DE nonattainment area is el igible for a one ye ar extension of its attainment date to June 15, 201 1 because of the clean air quality data monitored for 2009. Similarly , the New Yo rk
- N.New Jersey - Long Island, NY
- NJ - CT nonattainment area is eligible for a clean data determination base d on three y ears of clean data. In addition, consistent with EP A’ s last approval of Subchapter 19 (see 72 FR 41626, July 31, 2007), EP

A continues to take no further action to approve or disapprove the existing provisions for phased compliance b y repowering and innovative control technology at sections 19.21 and 19.23. These provisions still include the compliance date of November 7, 2009, which is beyond the November 15, 2007 attainment deadline for the NY
- NJ - CT1 - hour ozone standard. For this reason , as indicated in EP A’ s July 2007 approval of Subchapter 19, New Jersey should delete the reference to the November 7, 2009 compliance date for these two phased compliance plans. D. Subchapter 4: “Control and Prohibition of Particles from Combustion of Fuel ” AMENDMENTS 1. N.J.A.C. 7:27 - 4.1: Definitions NJDEP added the following four definitions to N.J.A.C. 7:27
- 4.1: “construct,” “construction,” “install,” and “installation.” The terms are needed to differentiate the more stringent emission limit of a coal
- fired boiler that serves an electric generating unit, if the combustion source or the associated particle control apparatus is newly constructed, installed, reconstructed, or modified, from the less stringent limit for an existing coal
- fired boil er that is not reconstructed or modified. The definitions are identical to the existing definitions for these terms in 7:27
- 8.1, and 7:27
- 22.1, with one exception as described below. 7:27 - 22.1 informs the reader that an operating permit can be modified with a significant modification, minor modification, or seven day notice change. NJDEP did not include this information in their definition in 7:27
- 4.1 in response to EPA’s formal comment to NJDEP during the public comment period [see comment number 38 on p 1760 of 41 N.J.R. 1752, April 20, 2009] for the currently

adopted Subchapter 4. NJDEP agreed that this information was not relevant to subchapter 4.42

NJDEP’s amendments to the definitions in N.J.A.C. 7:27
- 4.1 clarify the terms in Subchapter 4 and, therefore, EPA proposes to approve the amendments to N.J.A.C. 7:27
- 4.1. Recommended Action: Proposed Approval of N.J.A.C. 7:27 - 4.1 . 2 . N.J.A.C. 7:27 - 4.2: Standards for the emissions of particles NJDEP amended 7:27 - 4.2(a) to clarify the following: (1) that for coal
- fired boilers regulated by 7:27 - 4.2(b) the maximum emission rates listed in the 7:27 - 4.2(a) table would no longer appl y after May 19,2009; (2) ) that for coal
- fired boilers regulated b y 7:27 - 4.2(c) the maximum emission rates listed in th e 7:27 - 4.2(a) table would no longer appl y after December 15, 2012; 7:27 - 4.2(b) was established to provide for a particle emission rate for coal
- fired boilers that have a particle control apparatus that is newly constructed, installed, reconstructed, or m odified. The maximum emission rate is 0.0150 pounds particles per million BTU (lb particles/MMBTU). NJDEP included the following additional provisions in 7:27 - 4.2(b): (1) that the 0.0150 lb particles/MMBTU emission rate may be superseded by

an enfor ceable agreement with NJDEP; (2) that the owner or operator shall demonstrate compliance based on the average of three stack tests that have been approved by NJDEP; (3) that the coal
- fired boiler or particle control apparatus is also subject to state
- of
- the art requirements at NJAC 7:27
- 8.12 and 22.35, lowest achievable emission rate requirements at NJAC 7:27 - 18, and best available control technology requirements at 40 CFR 51.21, as applicable. 7:27 - 4.2(c) was established to provide for a particle emiss ion rate for coal
- fired boilers in operation prior to May

19, 2009. Unless otherwise specified in an enforceable agreement with NJDEP, the maximum emission rate is 0.0300 pounds particles per million BTU (lb particles/MMBTU), or the permitted emission rate, whichever is lower as of May 19, 2009. NJDEP included the following additional provisions in 7:27 - 4.2(c): (1) that the owner or operator shall demonstrate compliance b y June 15, 2013, in accordance with the owner or operator’s approved permit for the coal
- fired boiler; (2) that the owner or operator shall demonstrate compliance based on the average of three stack tests that have been approved by NJDEP.43

The amendments to N.J.A.C. 7:27
- 4.2 will result in additional reductions of particulate matter and will help New Jersey

meet the attainment date for the 1997 and 2006 fine particle (PM2.5) standards. The amendments provide clarit y for owners/ operators of affected sources in meeting the requirements for achieving compliance, and is consistent with EPA’s enforceability guidance for clarit y and, therefore is acceptable to EPA. Recommended Action: Proposed Approval of N.J.A.C. 7:27 - 4.1 . E. Subchapter 8: “Permits and Certificates for Minor Facilities (and Major Facilities Without an Operating Per

mit)” NJDEP amended N.J.A.C. 7:27
- 8 by deleting references to the State’s former OMET program. When the currently adopted Subchapter 8 was proposed, EPA commented [see cmts # 9 and #11 on p 1754 @ 41 N.J.R. 1752, April 20, 2009] that, since the OMET pro gram at Subchapter 30 has now been repealed since February 2004, NJDEP should delete all provisions related to the now defunct OMET program. In response to this EPA comment, NJDEP deleted all the subsections to related to the former OMET program including : (1) the definition of “Former DER credit user” at subsection 8.1; (2) subsection 8.3(o) in its entirety ; and (3) subsection 8.20(b)(3) in its entiret y. The aforementioned deletions to Subchapter 8 conform to EPA’s comment and therefore is acceptable to EPA. EPA is currentl y reviewing other amendments to Subchapter 8 adopted in past years. Therefore, EPA will address all Subchapter 8 amendments at the same time in a future rulemaking.
F. Subchapter 10: “Sulfur in Solid Fuels” AMENDMENTS 1. N .J.A.C. 7:27 - 10.1: Definitions NJDEP added the following four definitions to N.J.A.C. 7:27
- 10.1: “calendar day,” “one
hour block,” “30
- calendar
- day rolling average emission rate,” and “24
- hour emission rate.” The terms are needed to provide definiti ons necessary for the SO2 emission rates that are used in other sections. NJDEP’s amendments to the definitions in N.J.A.C. 7:27
- 10.1 clarify the terms in Subchapter 10 and, therefore, EPA proposes to approve the amendments to N.J.A.C. 7:27
- 10.1. Reco mmended Action: Proposed Approval of N.J.A.C. 7:27 - 10.1 .44

2 . N.J.A.C. 7:27 - 10.2: Sulfur content standards NJDEP amended 7:27 - 10.2(a) to clarify that the subsection, which regulates the sulfur content of fuel oil stored, offered for sale, sold, deliver ed or exchanged in trade, for use in New Jersey , will no longer appl y to an y source after December 14, 2012. NJDEP amended 7:27 - 10.2(b) to clarify that the subsection, which regulates the sulfur content of solid fuel burned for use in New Jersey , will n o longer appl y to an y source after December 14, 2012. 7:27 - 10.2(d), 7:27
- 10.2(e), and 7:27
- 10.2(f) regulate SO2 emissions based on the sulfur content of fuel. 7:27
- 10.2(g) applies to authorizations granted pursuant to 7:27
- 10.2(f). NJDEP amended these subsections to indicate that these subsections would be operative only through December 14, 2012. The new provision at 7:27 - 10.2(h) requires that on and after December 15, 2012, all sources that combust solid fuel must comply with the maximum SO2 emissio n rates of 0.250 pounds/MMBTU gross heat input based on a 24
- hour emission rate and 0.150 pounds/MMBTU gross heat input based on a 30
- calendar
- day rolling average emission rate, unless otherwise specified in an enforceable agreement with NJDEP. The new pr ovision at 7:27 - 10.2(i) requires that all sources that combust solid fuel, and that are constructed, installed, reconstructed or modified, to comply with all applicable state
- of
- the
- art (SOTA) at 7:27
- 8.12 and 22.35, lowest achievable emission rate (LAER) at 7:27 - 18, and the best available control technology (BACT) requirements at 40CFR 52.21. SOTA, LAER, and BACT may require more stringent maximum allowable emission rates. The new provision at 7:27 - 10.2(j) was added b y NJDEP to allow for an extension of the December 15, 2012 compliance deadline for compliance with the more stringent emission standards in 7:27
- 10.2(h). The subsection provides the necessary administrative and procedural requirements for the extension request. NJDEP will approve an extens ion request only if compliance b y December 15, 2012 is not possible due to reasonable unforeseen circumstances such as the unavailability of control apparatus needed to comply The amendments to N.J.A.C. 7:27
- 10.2 will result in additional reductions of pa rticulate matter and S02 and will help New Jersey meet the attainment date for the 2006 fine particle (PM2.5) standard. The amendments provide clarit y for owners/ operators of affected sources in meeting the requirements for achieving compliance, and is c onsistent with EPA’s enforceability guidance for clarit y and, therefore is acceptable to EPA. Recommended Action: Proposed Approval of N.J.A.C. 7:27 - 10.2.45

3 . N.J.A.C. 7:27 - 10.5: SO2 emission rate determinations The new provisions at 7:27 - 10.5 est ablish how to calculate a “24
- hour emission rate” and a “30
- calendar
- day

rolling average emission rate” to compare a sources actual emission rates with NJDEP emission rates at 7:27
- 10.2(h). Under 7:27 - 10.5(a), a 24
- hour emission rate shall be calculated by measuring the quantity

of SO2 emitted for each one
- hour block time period in one calendar day using certified SO2 and oxygen continuous emission monitoring s ys tem (CEMS), and EPA Method 19. An alternative method to EPA Method 19 may

be used upon submis sion of a written application to NJDEP, and subsequent approval of the method. Under 7:27 - 10.5(b ), a 30
- calendar
- day rolling average emission rate is determined by averaging the 24
- hour emission rates for 30 consecutive calendar day s. Each day begins a new 30 - day calendar day

rolling average. Any

calendar day

during which no combustion of solid fuel occurred shall not be included in the 30
- calendar
- day rolling average. New Jersey

provided for an exemption to exclude SO2 emissions from periods when a b oiler is combusting fuel other than solid fuels, such as fuel oil or natural gas, which can be burned during the start
- up of coal fired boilers. NJDEP provided for this exemption in response to a comment when Subchapter 10 was proposed [see comment 31 on p 1759@41 N.J.R. 1759, April 20, 2009]. 7:27 - 10.5(c) allows owners or operators to exclude emissions when the units are not combusting solid fuel as follows: (1) in calculating a 30 day
- calendar
- day rolling average SO2 emission rate for a unit that ha s ceased firing fossil fuel, for a period of time not to exceed two hours, from the restart of the unit to the time that the unit is fired with coal; and (2) in calculating a 24
- hour SO2 emission rate for a unit, the period of time in which the unit is no t fired with coal. 7:27 - 10.5(d) informs the owners or operator of the mailing address for submitting the written application pursuant to (a)(1). The amendments to N.J.A.C. 7:27
- 10.5 provide clarity for owners/operators of affected sources that are subjec t to SO2 performance standards. The amendments are consistent with EPA’s enforceability

guidance document for clarity , and therefore are acceptable to EPA. Recommended Action: Proposed Approval of N.J.A.C. 7:27 - 10.5. G. Subchapter 16: “Control and Proh ibition of Air Pollution by Volatile Organic Compounds” 7:27 - 16.1 Definitions N.J.A.C. 7:27 - 16.1 has been revised to add words and terms used in other sections and provide a definition for how they

are to be used in compl yi ng with the control requirement s. See New46

Jersey Register, August 4, 2008, CI TE 40 N.J.R. 4441 - 4443. Definitions are consistent with EPA policy and guidance. Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 16.1 changes. 7:27 - 16.2 VOC stationary storage tanks Deck fittings and seals: Evaporative losses may

occur through roof penetrations, such as those for deck fittings such as slotted guidepoles, access hatches (manway s), and adjustable roof legs. Also, evaporative losses may occur along the rim seals, where the floatin g roof contacts the tank wall. Therefore, the NJDEP adopted provisions applicable to external floating roof tanks in Range III for deck fittings and seals and are based primarily on SCAQMD’s regulation Rule 1178 “Further Reductions of VOC Emission from St orage Tanks at Petroleum Facilities, Adopted December 21, 2001, amended April 7, 2006.” Also, the NJDEP removed an exemption for some tanks constructed or installed prior to December 17, 1979 from the requirement to install a double seal floating roof or other control apparatus. N.J.A.C. 7:27 - 16.2(l)1.
- requires external floating roof tanks in Range III to meet provisions which will minimize emissions through roof penetrations by installing gaskets, seals and covers. N.J.A.C. 7:27 - 16.2(l)3.
- requires external floating roof tanks in Range III to be equipped with a rim seal sy stem meeting the specified requirements. The Department anticipates 187 tpy or 0.51 tons per ozone season day of VOC emission reductions starting in 2010 as a result of retrofitti ng slotted guide poles, and anticipates additional emission reductions for upgrading other deck fittings and seals. Domes: A stationary

storage tank may

be constructed with a floating roof or without a floating roof. Most of these tanks store gasoline . When the liquid, such as gasoline, is removed from a tank without a floating roof, a large vapor space is created between the stationary roof and the liquid surface. VOC vapors accumulate in, and then escape to the atmosphere from this vapor space. A floating roof eliminates this vapor space b y floating on the liquid surface, thus eliminating VOC losses to the atmosphere. There are several ty pes of floating roof tanks, including an internal floating roof tank, where the internal floating roof is cover ed by a fixed roof; an external floating roof tank, where the floating roof is not covered b y a fixed roof, thereb y exposing the external floating roof to the weather; or a domed external floating roof tank, where an external floating roof tank has been re trofitted with a dome to protect it from the weather. Wind blowing across external floating roof tanks causes evaporative losses, because the external floating roof is directly exposed to the wind.47

N.J.A.C. 7:27 - 16.2(l) 4
- 6, require external floating roof tanks in Range III to be retrofitted with a dome by the first time the tank is degassed after May 19, 2009 but no later than May 1, 2020 if the stored liquid has a high vapor pressure (greater than 3 psia). The tank must also be equipped with a rim seal sy stem. Although industry has alread y fitted man y external floating roof tanks with domes in New Jersey, the new provisions are intended to assure that the remaining tanks are fitted with domes. By May 1, 2020 the Department expects to yield an em ission reduction of about 130 tpy of VOC from the New Jersey

tank universe beyond the reductions achieved by upgrading deck fittings and seals. Roof landings: A “roof landing” refers to situation when the liquid in a storage tank is removed and the floating roof is no longer in contact with the liquid being stored. A vapor space is created between the floating roof and the liquid surface, which enables vapors from the VOC remaining in the tank to accumulate. These vapors can escape from the vapor space as the tank is sitting idle and when they are displaced during refilling. This three step process
- roof landing, idling, and refilling
- is a roof landing cycle. N.J.A.C. 7:27 - 16.2(n), (o), and (p) establishes requirements for landing a floating roof (when the roof rests on its legs or suspended b y cables or hangers and the floating roof is no longer in contact with the liquid VOC as the remaining liquid is removed) and a facility
- wide tank VOC control plan. Section 16.2(n) requires for external float ing roof tanks, that when a roof is landed, the legs are set to a minimum height to minimize the vapor space and that the operation of emptying, filling shall be performed as rapidl y as possible. Section 16.2(o) applies to internal floating roof tanks that when a roof is landed, the legs are set to a minimum height to minimize the vapor space and that the operation of emptying, filling shall be performed as rapidl y as possible. Section 16.2(p) requires the owner or operator of an y floating roof tank to su bmit a facility
- wide tank VOC control plan to reduce the emissions during roof landing cycles. This includes routing all vapors to a control device that is at least 95 percent efficient until a floating roof is within 10 percent of being refloated. Purs uant to 16.2(p)(2)(ii), schedules for implementation of emission controls by May 19, 2019 are to be consistent with the facility ’s schedule for tank removal from service for normal inspection and maintenance and with the facility ’s schedule for the install ation of any new tanks. As an alternative to the implementation schedule of emission controls, storage tanks in Range III that store gasoline may submit an emissions averaging plan pursuant to 16.2(p)2.iii. The NJDEP estimates that in 2019 the new pr ovisions will achieve VOC emission reductions of over 2,000 tons per ye ar and over six and one
- half tons per ozone season day . Degassing and cleaning: VOC stationary

storage tanks must be cleaned periodically . Before a tank is cleaned, it must be degas sed (the removal of gases, such as gasoline vapor) so personnel can safely enter to clean the48

tank and remove accumulated sludge. The sludge removed from the tank can contain residual VOC liquid that may

evaporate when exposed to the atmosphere. N.J.A.C. 7:27 - 16.2(q) establishes requirements for degassing and cleaning storage tanks from May 1 through September 30 that previously stored VOC with a vapor pressure equal to or greater than 0.5 psia. The provisions require owners or operators to minimize the r elease of VOC vapors b y exhausting or displacing vapors to control equipment that reduces emissions by 95 percent, clean tank surfaces with cleaning agents that minimize VOC emissions, and control emissions from the sludge removed in the cleaning process. The provisions become applicable on and after May

1, 2010 with some exceptions. The Department estimates these new requirements will reduce VOC emissions during the ozone season b y approximately 265 tons each ye ar. Inspection and maintenance: An insp ection and maintenance program can reduce VOC emissions by assuring that tank components are in good condition and operating properl y. The NJDEP modeled its tank inspection and maintenance provisions on SCAQMD’s rules and the Federal New Source Performanc e Standards, 40 CFR Part 60 Subpart Kb. N.J.A.C. 7:27 - 16.2(r) establishes a tank inspection and maintenance program. The provisions require owners or operators to inspect deck fittings and seals on external floating roof tanks every ye ar and each time th e tank is emptied and degassed (but no less than once every 10 y ears after degassing); to inspect deck fittings and seals on internal floating roof tanks each time the tank is emptied and degassed; and to annually make sure the covers to an y hatches or oth er openings on fixed
- roof tanks over 40,000 gallons storing VOC are leak
- free. Any defects are required to be repaired b y a specified schedule. Inspections must be performed b y authorized inspector, requires the inspection results to be recorded on the Inspection Form located in Appendix II of Subchapter 16. The inspections and maintenance provisions will insure that the other control requirement provisions are complied with and that the emission reductions projected for those provisions are achieved. R ecommended Action: Proposed Approval of N.J.A.C. 7:27
- 16.2 changes and additions. 7:27 - 16.7 Surface coating and graphic arts operations Offset lithographic printing and letterpress printing N.J.A.C. 7:27 - 16.7(r) and (s) have been added and require more stringent emission controls. Where more resource intensive emission controls are necessary or involves modifying the equipment, compliance is required b y Ma y 1, 2010. The VOC solvent content of fountain49

solutions are limited depending on the t yp e of equi pment and must be complied with by May 19, 2009. Cleaning materials are restricted to a composite vapor pressure less than 10 mm Hg or VOC content of less than 70 percent b y weight with some exceptions after May 19, 2009. N.J.A.C. 7:27 - 16.7(t) requires b est management practices, such as, keeping VOC and VOC containing materials in closed containers, mixing vessels must have covers and kept closed when not adding or removing materials, VOC containing shop towels must be kept in closed containers, and reco rdkeeping are required after May 19, 2009. The Department estimates that implementing these measures will achieve VOC emission reductions in 2009 of 0.43 tpd during the ozone season, 104.6 tons in 2009 (May 1 through December 31) and 157 tpy in subsequent ye ars (January 1 through December 31). Implementing best management practices (BMP) will result in additional emission reductions. The above changes are consistent with the CTG recommendations issued on 10/5/06. Recommended Action: Proposed Approval o f N.J.A.C. 7:27
- 16 changes. Flexible package printing N.J.A.C. 7:27 - 16.7(h)(3) has been added and requires more stringent emission controls for rotogravure, sheet
- fed gravure, or flexographic printing operations installed or modified on or after May 19, 2010. N.J.A.C. 7:27 - 16.7, Table 7D

–Part B contains new maximum allowable VOC content of surface coating formulations (minus water) limits. N.J.A.C. 7:27 - 16.7(t) requires best management practices (see above description). The Department estimates that i mplementing these measures will achieve VOC emission reductions in 2009 of 0.08 tpd during the ozone season, 19 tons in 2009 (May 1 through December 31) and 35.3 tpy in subsequent ye ars (January 1 through December 31). Implementing BMP will result in addit ional emission reductions. The above changes are consistent with the CTG recommendations issued on 10/5/06. Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 16 changes. Flat wood paneling and printed hardwood coatings N.J.A.C. 7:27 - 16.7, Table 7B contains new maximum allowable VOC content per volume of coating (minus water) limits for flat wood paneling and printed hardwood coatings of 2.1 pounds per gallon with a compliance date of May 19, 2009. N.J.A.C. 7:27 - 16.7(t) requires best management pra ctices (see above description).50

The Department does not anticipate emission reductions in 2009 as a result of these proposed amendments, because the State has no facility with this source operation. The above changes are consistent with the CTG recommend ations issued on 10/5/06. Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 16 changes. 7:27 - 16.11 Asphalt pavement production plants Section 16.11 has been revised to clarify that its requirements appl y to plants where asphalt pavement is produce d. There were no changes to requirements. Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 16.11. 7:27 - 16.17 A lternative and facility - specific VOC control requirements. N.J.A.C. 7:27 - 16.17 has been revised to limit the duration of an approved VO C alternate control plan to ten y ears. Sources could reapply a y ear before the old one expires. Sources with VOC control plans issued prior to May 19, 2009 must reapply

and demonstrate continued justification or comply

with the specific Subchapter 16 re quirements for that source. If the source does not submit a proposed plan by August 17, 2009, the existing plan terminates on August 17, 2009 and the source must be in compliance with all provisions of Subchapter 16. Recommended Action: Proposed Appro val of N.J.A.C. 7:27
- 16.17.
7:27 - 16.19 Application of cutback and emulsified asphalts N.J.A.C. 7:27 - 16.19 has been revised to further reduce the amount of VOC in cutback asphalt or emulsified asphalt used between April 16 through October 14 to no great er than 0.1 percent VOC by weight or no greater than 6.0 milliliters of oil distillate, in accordance with ASTM Method D244. In addition, cutback asphalt or emulsified asphalt must be stored in sealed containers from April 16 through October 14. Both the se requirements are applicable as of April 16, 2009. The Department estimates that implementing the proposed measures will achieve VOC emission reductions in 2009 of 3.6 tons per day (tpd) during the ozone season (May 1 through Sept 30) and 420 tons per y ear (tpy), as a result of reductions from April 16 through October 14. Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 16.19 changes.51

H. Subchapter 21: ”Emission Statements” 1. N.J.A.C. 7:27 - 21.2 Applicability Subchapter 21
- Emission State ments, is a rule that requires industrial facilities to report annually detailed VOC and NOx, air pollutant emissions and process
- related data to NJDEP, if the facility

emits or has the potential emit air pollutants above a specified emissions threshold. The reporting thresholds in Table 1 below have not changed. It applies to a facility if the facility emits or has the potential to emit, directly or indirectly

to the outdoor atmosphere, an y air contaminant listed in Table 1 below at a rate greater than o r equal to the applicable reporting threshold given in Table 1. TABLE 1

AIR CONTAMINANT REPORTI NG THRESHOLDS Air Contaminant Reporting Threshold (Tons per Year) VOC 10 NO x 25 CO 100 SO 2 100 TSP 100 PM 2.5 100 PM 10 100 NH 3 100 Pb 5 N.J.A.C. 7:27 - 21.1 and 21.5 was amended as part of this SIP revision to require owners/operators of VOC stationary

storage tanks with floating roofs to provide additional emission information concerning roof landings. Recommended Action: Propos ed Approval of N.J.A.C. 7:27
- 21.1 and 21.5. 2. N.J.A.C. 7:27 - 21.1 Subchapter 21 was also revised in an earlier adoption dated October 30, 2008 which was52

also submitted as a SIP revision. The earlier revision incorporated changes to the definition of v olatile organic compounds (VOC). The changes exclude tertiary but yl acetate or t - but yl acetate (TBAC) from VOC emissions limitations or VOC content requirements, but require that TBAC be considered a VOC for purposes of recordkeeping, emissions reporting, photochemical dispersion modeling and inventory requirements. EPA has evaluated New Jersey 's revised VOC definition for consistency with the Act, EPA regulations, and EPA policy . The revised definition of VOC as used in the above rules is consistent with EPA’s definition in 40 CFR 51.100(s). Recommended Action: Proposed Approval of N.J.A.C. 7:27
- 21.1. I. Other Comments It should be noted that, since the September 8, 2005 adoption of Subchapter 19 that EPA approved on July

31, 2007 (72 FR 41626), NJ DEP adopted amendments to Subchapters 8, 16, 19 and 21 on two occasions and one Administrative Correction without submitting the revised regulations to EPA for approval as SIP revisions. The two additional amendments and Administrative Correction include the following: November 21, 2005 (see 36 N.J.R. 4607(a) [Proposal], 37 N.J.R. 4415(a) [Adoption]; Administrative Correction: 38 N.J.R. 5155(b) [Adoption]; December 1, 2008 (see 39 N.J.R. 4492(a) [Proposal], 40 N.J.R. 6769(a) [Adoption]). This TSD addresse s these two additional amendments and Administrative Correction because they are included in the codified version of this SIP revision. The amendments are summarized as follows:

- November 21, 2005, 37 N.J.R. 4415(a) [Adoption] : This adoption affects S ubchapters 8, 16 and 19 as well as other subchapters that are not part of NJDEP’s April 2009 SIP revision. The adopted amendments concern “reclassification of CO2 as an air contaminant.” At this time, EPA is taking action on Subchapter 8 and therefore EPA is not providing a discussion of the amendment to this subchapter. Subchapter 16 is amended at section 16.1 [Definitions] by deletion of the term “and carbon dioxide (CO2)” from the definition of “Distillates of air.” Subchapter 19 is amended at secti on 19.1 [Definitions] by including the same definition of “Distillates of air” as in Subchapter 16, however, except for some minor grammatical revisions, this definition at section 19.1 is unchanged from the definition that EPA approved in July 2007 when N JDEP last submitted Subchapter 19 as a SIP revision for EPA approval. It is recommended that EPA propose to approve the amendments at sections 16.1 and 19.1 since the definition of “Distillates of air” has no regulatory impact on the control of VOC and NO x emissions from stationary sources.

- Administrative Correction: 38 N.J.R. 5155(b) [Adoption and published in the New Jersey Register on December 4, 2006]: This adoption affects Subchapters 8, 16, and 19 as well as other subchapters that are not part of NJDEP’s April 2009 SIP revision. The adopted amendments concern administrative corrections which are grammatical in nature and, therefore, EPA is recommending proposed approval of these amendments to Subchapters 16 and 19.53

- December 1, 2008, 40 N.J.R. 6769(a) [Adoption]: This adoption affects Subchapters 8, 16, 19 and 21 as well as other subchapters that are not part of NJDEP’s April 2009 SI P revision. The adopted amendments primarily concern control of VOC emissions at the following regulations : “Prevention of Air Pollution from Consumer Products,” TBAC Emissions Reporting,” and “Prevention of Air Pollution from Adhesives and Sealants.” These latter three adopted rules have been submitted to EPA for approval in a separate SIP revision and, the refore, are not discussed in this TSD. The other adopted amendments concern Subchapters 8, 16, 19, and 21 as well as other subchapters that are not part of NJDEP’s April 2009 SIP revision. The amendments to Subchapters 8, 16, 19 and 21 concern the revisi on to the definition of “Volatile organic compound” or “VOC.” The revised definition of VOC is identical in each of the subchapters and it incorporates b y reference the definition of the term defined by EPA at 40 CFR 51.100(s). This revision to the defin ition of VOC at Subchapters 16, 19 and 21 are the same as defined b y EPA and, therefore, EPA proposes to approve these amendments. J. Generic RACT provisions at Subchapters 16 and 19 The Agency

also anal yz ed New Jersey ’s regulations at sections 16.17 and 19.3 for case
by
- case determinations in accordance with EPA policy developed for generic VOC and NOx RACT rules. This policy is detailed in a memorandum, dated November 7, 1996 from Sally Shaver, Director Air Quality Strategies & Standards Division to EP A’s Regional Air Directors, entitled “Approval options for Generic RACT Rules Submitted to Meet the non
- CTG VOC RACT Requirement and Certain NOx RACT Requirements.” A discussion of the generic RACT policy as applied to New Jersey ’s VOC and NOx RACT determ inations for source specific emissions follows below. Generic RACT Policy In the Generic RACT memo, EPA allows for EPA approval of RACT regulations where future State submissions of RACT requirements represents sources with emissions, in the aggregate, that are determined to be de minimis. The guidance in the Generic RACT memo is to be applied to a submittal that establishes presumptive RACT for a majority of sources and provides that the remainder are subject to a generic RACT provision, that is case
- b y - case evaluations. (see Generic RACT memo at footnote 5). An approval, in accordance with the Generic RACT policy , defers the State’s obligation to have submitted, and EPA to have approved, rules with emission limitations for a de minimis set of emissio ns. While specific limitations and requirements for such a de minimis number of emissions would not be contained in the SI P, the sources of such emissions are still obliged to meet RACT pursuant to the SIP which contains enforceable requirements that the sources submit RACT limits. EPA’s de minimis deferral requires determining the amount of NOx and VOC emissions to be insignificant for purposes of approval of a generic RACT regulation or provision, but provides for the eventual determination and approval of such case
- by
- case determinations by EPA. In order for a de minimis determination to be made, the emissions in the aggregate for which submissions have not y et been made must be compared against a baseline. In the case of54

NOx, the Generic RACT policy establishes that the baseline is the 1990 stationary source NOx inventory , excluding utility boilers. In the case of non
- CTG VOC sources, the baseline is the 1990 inventory

of VOC emissions from those major stationary sources that were not covered by a C TG at the time of the State submittal of the generic RACT regulation. However, for this current de minimis determination, EPA used the most recent stationary source inventory

which is the 2002 baseline of NOx and VOC emissions. This comparison must be ma de on an area
- specific basis. Where the emissions for which submissions have not yet been made represent less than 5% of baseline, the guidance allows for full approval of the generic RACT regulation prior to the approval of those remaining case
- by
- case RACT determinations. De Minimis Determination of Section 19.3 for NOx Emissions As previously

stated in this TSD, and pursuant to section 19.3, owners/operators of facilities with either an AELor FSEL issued by New Jersey

prior to May

1, 2005 were requ ired to submit a new NOx control plan by August 17, 2009 unless a 90
- day extension is requested and approved b y the State. Pursuant to section 19.13(b)(5)(iii), an y plans not submitted to the State by the August 2009 date, or a later date approved by the State, the existing AELor FSEL emission limit terminates on August 17, 2009. On June 25, 2009 New Jersey sent letters to remind the applicable owners/operators of the new requirements. In emails dated 2/25/2010 and 3/11/1010, the State provided to EPA a list of five case
- by
case NOx determinations submitted by the owners/operators of facilities by the State’s August 2009 deadline or shortl y thereafter. In the 2/25/2010 email, the State indicated they have extension requests from 3 or 4 sources with AEL limits. The statewide summary includes the NOx emissions from all statewide case
- by
- case determinations. EPA has reviewed the State’s summary of NOx emissions and, compared to the corrected 2002 baseline, EPA has determined that these emissions are de mi nimis. The determination of the actual de minimis value for NOx emissions is further detailed below. EPA has reviewed the information in the two emails mentioned above in the previous paragraph and has determined that the total NOx emissions from the fi ve sources amounts to 555 tons per y ear (tpy). EPA used the information from New Jersey ’s 2002 statewide annual emission inventory to determine the corrected baseline of NOx emissions from stationary sources, as follows: 52,121 tons for point sources, 26 ,742 tons for area sources for a total of 78,863 tpy for all stationary

sources; and 32,697 tpy

for EGUs. Based on this information, the corrected NOx baseline is as follows: 78,863 tpy from all stationary

sources minus 32,697 tpy for EGUs which equals 46 ,166 tpy

as the corrected baseline. Therefore, based upon information received from New Jersey

concerning NOx emissions from the five sources and EPA’s determination of the corrected stationary

source 2002 baseline, EPA has determined that the actual de m inimis value is 1.20 percent [(555 tp y/46,166 tpy)x100 = 1.20%]. De Minimis Determination of Section 16.17 for VOC Emissions55

Similar to the requirements at Subchapter 19, the New Jersey amendments to Section 16.17 limit the duration of an approved VOC alternative control plan to ten y ears. Section 16.17(c)(5) provides that, for control plans issued after May 19, 2009, sources can reapply for a new plan the ye ar before the existing alternate control plan expires. Sources with VOC control plans issued p rior to May 19, 2009 must reapply and demonstrate continued justification or comply with the specific Subchapter 16 requirements for that source. If the source does not submit a proposed plan by August 17, 2009, the existing plan terminates on August 17, 2009 and the source must comply with all applicable provisions of Subchapter 16. As indicated above, on June 25, 2009 New Jersey sent letters to remind the applicable owners/operators of the new requirements. In response to these letters, New Jersey r eceived a VOC Control Plan in August 2009 from the Anheuser
- Busch, Inc brewery in the city

of Newark. New Jersey

has not indicated to EPA that they received any

VOC Control Plans other than the one from Anheuser
- Busch. EPA has reviewed the State’s summary of VOC emissions and, compared to the corrected 2002 baseline, EPA has determined that these emissions are de minimis. The determination of the actual de minimis value for VOC emissions is further detailed below. EPA has reviewed the information from New Jersey mentioned above in the previous paragraph and has determined that the total VOC emissions from this source in 2008 was 28.18 tpy or 0.306 ton per ozone season day assuming the y earl y emissions were released during the ozone season. In addition , EPA used the information from New Jersey ’s 2002 statewide annual emission inventory

to determine the corrected baseline of VOC emissions from stationary sources, as follows: 113.13 tons for point sources, 369.83 tons for area sources for a total of 482. 98 tpd for all stationary sources; Normall y the tons from CTG sources would be excluded from this analy sis, but in this situation with only one source and the number of SI C codes for the CTG categories which would need to be determined and excluded, would represent a significant effort. Instead, a comparison will be made with the total stationary source emissions and a small percent of the total stationary sources, 5 percent. Based on the total of 482.98 tpd, this one source represents 0.06 percent of the total area source inventory

and based on 5 percent of the total or 24.15 tpd this one source represent 1.27 percent. Therefore, based upon information received from New Jersey concerning VOC emissions and EPA’s calculations using the stationary source 2002 baseline, EPA has determined a de minimis value between 0.06 and 1.27 percent, well below the 5 percent guideline. Conclusion In summary , EPA used the NOx and VOC emissions information from New Jersey that included facilities throughout the State to determine the de minimis value. Should further information be developed by New Jersey

after EPA proposes action on the State’s April 2009 SIP revision, EPA will determine a new de minimis value. EPA has determined that New Jersey ’s generic RACT provisio ns conform to EPA’s generic RACT policy detailed in Sally

Shaver’s November 7, 1996 memorandum. Therefore, for this reason, EPA proposes approval of the generic RACT provisions at sections 16.17 and 19.13 proposed in this SIP revision.56

IV . NOx RACT E PA originally

approved Subchapter 19 into the SIPon May 31, 1972. 37 FR 10842, 10880 and 40 CFR 52.1576. This rule was adopted because the Clean Air Act requires states to submit to EP

A a plan that provides for implementation, maintenance and enforcement of a degree of nitrogen oxide reduction that is necessary to achieve attainment with the NAAQS. New Jersey developed, adopted and submitted to EP A, for approval into the SIP, Subchapter 19, a plan for the application of reasonabl y available control techn ology to reduce nitrogen oxide emissions from stationary sources. Pursuant to 40 CFR 81.331, New Jersey - NO2 table, all areas in New Jersey are classified as “Cannot be classified or better than national standards.” New Jersey

submitted previous version s of Subchapter 19 as SIP revisions which EP

A approved as SIP

revisions on January

27, 1997 (62 FR 3804), March 29, 1999 (64 FR 14832) and July 31, 2007 (72 FR 41626). New Jersey also developed, adopted and submitted to EP A a NOx Budget T rading Program an d a Clean Air Interstate Rule (CAIR) program which EP A approved as SIP revisions on May

22, 2001 (66 FR 28063) and October 1, 2007 (72 FR 55666), respectively . The current submission provides new provisions and amendments that establish more stringent RAC T limits for stationary sources that emit NOx. Given the previousl y approved versions of Subchapter 19 and the most recent version of Subchapter 19 that EP

A is proposing to approve in this action, EP A has determined that New Jersey has met the requirement to adopt NOx RACT . Therefore, the 40 CFR 52.1576 finding relating to the New Jersey SIP not providing for NOx RACThas been satisfied and this finding should be removed. V. CONCLUSION Both Subchapters 16 and 19 contain provisions which require case
- by
- case RACT determinations to be submitted as SIP revisions. These case
- by
- case RACT determinations are needed to fulfill the RACT requirement of section 182 of the Act. The State is in the process of evaluating these determinations for approval and theref ore has not y et submitted them as SIP revisions. EPA would normally propose to conditionally

approve this SIP revision as meeting the RACT requirement pending New Jersey ’s submission and EPA’s approval of the case
- by
- case RACT determinations. However, ba sed on information provided by New Jersey , the quantity of NOx and VOC emissions relevant to these determinations is below 5 percent of the stationary source baseline of emissions which is what EPA considers to be de minimis. Therefore, pursuant57

to EPA gu idance 10 , EPA is proposing to approve Subchapters 16 and 19. The remaining element needed to fulfill the VOC RACT requirement is New Jersey ’s Subchapter 26, which New Jersey submitted to EPA on April 9, 2009, as a SIP revision and which EPA is currently reviewing. Theref ore, EP A evaluated New Jersey ’s submittal for consistency with the Act, EP

A regulations and policy

. The proposed new control measures will strengthen the SIP by providing additional NOx, SO2, fine particulate, and VOC emission reductions. Accordingly , EP A is proposing to approve the revisions to Subchapters 4, 10, 16, 19 and related revisions to Subchapter 21, as adopted on March 20, 2009, except that EP A is continuing to not act, for the reasons explained above in this rulemaking, on the phased complianc e plans by repowering and innovative control technology in sections 19.21 and 19.23, respectivel y. In addition, EP A is proposing to delete 40 CFR 52.1576, relating to a prior finding that NOx RACT was not included in the New Jersey

SIP.

10 “ Approval Options for Generic RACT Rules Submitted to Meet the non
- CTG V OC RACT Requirement and Certain NOx RACT Requirements,” November 7, 1996.