p.1 

OAR Box 1796 

Prepped by Keeia Richards 

Document Number: 

20) IV-H-43 

Docket Number: 

A-90-37 

Printed 10/31/2008 4:20:37 PM Sheet 20 of 107 
P.2 

<V 

Bill Wehrum 

10/18/2002 07:31 PM 

To: Arthur_G._Fraas@omD.eop.gov, rau _^._i<tvcvyi«iiia,.a.vaK.!-,w 

Amy L. Farrell@omb.eop.gov f ' ^ i 7 

cc: A-90-37 

Subject: Revised Rule pink lined , rV-fj-43 

Clean Unit modification provisions have been revised, but are still a work in progress. All other parts of 

the rule should be up to date. • . 

----- Forwarded by Bill Wehrum/DC/USEPA/US on 10/18/2002 07:29 PM 

Bill Harnett 

10/18/2002 07:12 PM 

165 rule10-18withpinkbh.wf 

To: Bill Wehrum/DC/USEPA/US@EPA 

cc: 

Subject: Revised Rule pink lined 

& 2 2002 

EPA AIR DOCKET 
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51.165 Amendatory Language 10/18/02 

For the reasons set out in the preamble, title 40, chapter 1 

of the Code of Federal Regulations is proposed to be amended 

as follows: 

PART 51 - TAmendedl 

1. The authority citation for part 51 continues to 

read as follows: 

Authority: 42 U.S.C. 7401, et seq. 

Subpart I - f.Amendedl 

2. In 40 CFR 51.165(a)(1)(i), remove the words "any 

air pollutant subject to regulation under the Act," and add, 

in their place, the words "regulated NSR pollutant." 

3. In addition to the amendments set forth above, in 

4 0 CFR 51.165, remove the words "pollutant subject to 

regulation under the Act" and add, in their place, the words 

"regulated NSR pollutant" in the following places: 

a. (a) (1) (iv) (A) (1); 

b. (a) (1) (v) (A) ,- and 

c. (a)(1)(vii). 

4. In addition to the amendments set forth above, 

Section 51.165 is amended: 

a. By revising paragraphs (a)(1)(v)(A) and (B). 

b. By revising paragraph (a) (1) (v) (C) (8.) . 

c. By adding paragraphs (a)(1)(v)(D) and (E). 

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51.165 Amendatory Language 10/18/02 

d. By revising paragraph (a)(1)(vi)(A). 

e. By revising paragraph (a)(1)(vi)(C). 

f. By revising paragraph (a) (1) (vi) (E) (2.) . 

g. By revising paragraph (a) (1) (vi) (E) (4.) . 

h. By adding paragraph (a)(1)(vi)(E)(5). 

i. By revising paragraph (a)(1)(vii) 

j. By revising paragraph (a)(1)(xii) 

k. By revising paragraph (a)(1)(xviii) 

1. By revising paragraph (a)(1)(xxi) 

m. By revising paragraph (a)(1)(xxv) 

n. By adding paragraphs (a)(1)(xxvi) through (xxxx). 

o. By revising paragraph (a)(2). 

p. By adding paragraphs (a)(3)(ii)(H) through (J). 

q. By adding paragraphs (a)(5)(iii) through (v). 

r. By adding paragraphs (c) through (f). 

The revisions and additions read as follows: 

§51.165 Permit requirements, 

(a) * * * 

M ) * * * 

(v) * * * 

(A) Major modification means any physical change in or 

change in the method of operation of a major stationary 

source (project) that would result in: (1) a significant 
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51.165 Amendatory Language 10/18/02 

emissions increase of a regulated NSR pollutant (as defined 

in paragraph (a)(1)(xxxvii) of this section) following the 

physical or operational change; and (2) a significant net 

emissions increase of that pollutant from the major 

stationary source. 

(B) Any significant emissions increase (as defined in 

paragraph (a)(1)(xxvii) of this section) from any emissions 

units or net emissions increase (as defined in paragraph 

(a)(1)(vi) of this section) that is significant for volatile 

organic compounds shall be considered significant for ozone. 

**** * 

(C) * * * 

(8.) The addition, replacement, or use of a PCP, as 

defined in paragraph (a)(1)(xxv) of this section, at an 

existing emissions unit meeting the requirements of 

paragraph (e) of this section. A replacement control 

technology must provide a more effective emissions control 

than that of the replaced control technology to qualify for 

this exclusion. 

**** * 

(D) This definition shall not apply with respect to a 

particular regulated NSR pollutant when the major stationary 

source is complying with the requirements under paragraph 
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51.165 Amendatory Language 10/18/02 

(f) of this section for plantwide applicability limits for 

that pollutant. Instead, the definition at paragraph 

(f)(2)(viii) of this section shall apply. 

(E) This definition shall not apply to that portion 

any part of a project that can be constructed and operated 

at involves a Clean Unit without causing the emissions unit 

to lose its Clean Unit status in accordance with paragraphs 

(c) (2) or (d) (2) of this section.—Instead,—the definition 

at paragraphs—(c) (2)—or—(d) (2)—of this section shall apply 

to that part of the project. 

(vi)(A) Net emissions increase means, with respect.to 

any regulated NSR pollutant emitted by a major stationary 

source, the amount by which the sum of the following exceeds 

zero: 

(1) The increase in emissions from a particular 

physical change or change in the method of operation at a 

stationary source; and 

(2.) Any other increases and decreases in actual 

emissions at the major stationary source that are 

contemporaneous with the particular change and are otherwise 

creditable. 

**** * 

(C) An increase or decrease in actual emissions is 
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51.165 Amendatory Language 10/18/02 

creditable only if: 

(I) It occurs within a reasonable period to be 

specified by the reviewing authority; and 

(2.) The reviewing authority has not relied on it in 

issuing a permit for the source under regulations approved 

pursuant to this section, which permit is in effect when the 

increase in actual emissions from the particular change 

occurs; and 

(3.) The increase or decrease in emissions did not 

occur at a Clean Unit, except as provided at paragraphs 

.(c) (8) and (d) (10) of this section. •_£•£—an emissions 

iixiease causes a Clean Unit—bo exceed its emission limit(s) 

eci.1 otherwise fail—to maintain Clean Unit:—status as described 

ir:. paragraph—(c) (2) (ii) (A)—or—(d) (2) (ii) (A)—of this section, 

that emissions—increase and all—subsequent emissions changes 

at—the emissions unit shall be creditable. 

**** * 

(E) * * * 

(2.) It is enforceable at and after the time that 

actual construction on the particular change begins; 

**** * 

(4.) It has approximately the same qualitative 

significance for public health and welfare as that 
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51.165 Amendatory Language 10/18/02 

attributed to the increase from the particular change; and 

(5_) The decrease in actual emissions did not result 

from the installation of add-on control technology or 

application of pollution prevention practices that were 

relied on in designating an emissions unit as a Clean Unit 

under paragraph (y) of §52.21 or under regulations approved 

pursuant to paragraph (d) of this section or paragraph (u) 

of §51.166. That is, once an emissions unit has been 

designated as a Clean Unit, the owner or operator cannot 

later use the emissions reduction from the air pollution 

control measures that the designation is based on in 

calculating the net emissions increase for another emissions 

unit (i.e., must not use the reduction in a "netting 

analysis" for another emissions unit). However, any new 

emissions reductions that were not relied upon in a PCP 

excluded pursuant to paragraph (e) of this section or for a 

Clean Unit designation are creditable to the extent they 

meet the requirements in paragraphs (e)(6)(iv) for the PCP 

and paragraphs (c)(8) or (d)(10) for a Clean Unit. 

**** * 

(vii) Emissions unit means any part of a stationary 

source that emits or would have the potential to emit any 

regulated NSR pollutant and includes an electric steam 
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51.165 Amendatory Language 10/18/02 

generating unit as defined in paragraph (a)(1)(xx) of this 

section. For purposes of this section, there are two types 

of emissions unit as described in paragraphs (a)(1)(vii)(A) 

and (€B) of this section. 

(A) A new emissions unit is any emissions unit which 

is (or will be) newly constructed and which has existed for 

less than 2 years from the date such emissions unit first 

operated. 

(B) An existing emissions unit is any emissions unit 

that does not meet the requirements in paragraph 

(a)(1)(vii)(A) of this section. 

**** * 

(xii)(A) Actual emissions means the actual rate of 

emissions of a regulated NSR pollutant from an emissions 

unit, as determined in accordance with paragraphs 

(a)(1)(xii)(B) through (D) of this section, except that this 

definition shall not apply for calculating whether a project 

is a major modification, or for establishing a plantwide 

applicability limit under paragraph (f) of this section. 

Instead, paragraphs (a)(1)(xxviii) and (xxxv) of this 

section shall apply for those purposes. 

(B) In general, actual emissions as of. a particular 

date shall equal the average rate, in tons per year, at 
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51.165 Amendatory Language 10/18/02 

which the unit actually emitted the pollutant during a 2-

year period which precedes the particular date and which is 

representative of normal source operation. The reviewing 

authority shall allow the use of a different time period 

upon a determination that it is more representative of 

normal source operation. Actual emissions shall be 

calculated using the unit's actual operating hours, 

production rates, and types of materials processed, stored, 

or combusted during the selected time period. 

(C) The reviewing authority may presume that sourcespecific allowable emissions for the unit are equivalent to 

the actual emissions of the unit. 

(D) For any emissions unit that has not begun normal 

operations on the particular date, actual emissions shall 

equal the potential to emit of the unit on that date. 

k k k k "k 

(xviii) Construction means any physical change or 

change in the method of operation (including fabrication, 

erection, installation, demolition, or modification of an 

emissions unit) that would result in a change in emissions. 

**** * 

(xxi) [Reserved] 

**** * 
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51.165 Amendatory Language 10/18/02 

(xxv) Pollution Control Project, or "PCP", means any 

activity or project (including pollution prevention as 

defined under paragraph (a)(1)(xxvi) of this section, or 

work practices) undertaken at an existing emissions unit 

that reduces emissions of air pollutants from such unit, as 

long as any significant emissions increase of a regulated 

NSR pollutant is offset with acceptable emissions 

reductions. Such qualifying activities or projects can 

include the replacement or upgrade of an existing emissions 

control technology with a more effective unit. Other 

changes that may occur at the source are not considered part 

of the PCP if they are not necessary to reduce emissions 

through the PCP. Such qualifying activities or projects can 

include the replacement or upgrade of an existing emissions 

control—technology with a more effective unit. Projects 

listed in paragraphs (a)(1)(xxv)(A) through (F) of this 

section are presumed to be environmentally beneficial 

pursuant to paragraph (e)(2) (i) of this section. Projects 

not listed in. rhese paragraphs may qualify for a casespecific PCP exclusion pursuant to the requirements of 

paragraph (e) fi;(ii) of this section. 

(A) Conventional or advanced flue gas desulfurization 

or sorbent injection for control of S02. 
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51.165 Amendatory Language 10/18/02 

(B) Electrostatic precipitators, baghouses, high 

efficiency multiclones, or scrubbers for control of 

particulate matter or other pollutants. 

(C) Flue gas recirculation, low-NOx burners or 

combustors, selective non-catalytic reduction, selective 

catalytic reduction, low emission combustion (for IC 

engines), and oxidation/absorption catalyst for control of 

NOx. 

(D) Regenerative thermal oxidizers, catalytic 

oxidizers, condensers, thermal incinerators, hydrocarbon 

flares (maximum sulfur content of 1.0 percent), 

biofiltration, absorbers and adsorbers, and floating roofs 

for storage vessels for control of volatile organic 

compounds or hazardous air pollutants. 

(E) Activities or projects undertaken to accommodate 

switching (or partially switching) to an inherently less 

polluting fuel, to be limited to the following fuel 

switches: 

(JL) Switching from a heavier grade of fuel oil to a 

lighter fuel oil, or any grade of oil to 0.05 percent sulfur 

diesel (i.e., from a higher sulfur content #2 fuel or from 

#6 fuel, to CA 0.05 percent sulfur #2 diesel); 

(2.) Switching from coal, oil, or any solid fuel to 

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51.165 Amendatory Language 10/18/02 

natural gas, propane, or gasified coal; 

(3.) Switching from coal to wood, excluding 

construction or demolition waste, chemical or pesticide 

i 

treated wood, and other forms of "unclean" wood; 

(4.) Switching from coal to #2 fuel oil (0.5 percent 

maximum sulfur content); and 

(5.) Switching from high sulfur coal to low sulfur coal 

(maximum 1.2 percent sulfur content), with the exception of 

switching from Eastern Bituminous—coal—to Powdeu—River Dasin 

coal. 

(F) Activities or projects undertaken to accommodate 

switching from the use of one ozone depleting substance 

(ODS) to the use of a substance with a lower ozone depletion 

potential (ODP), or to use of a non-ozone depleting 

substance, including changes to equipment needed to 

accommodate the activity or project, that meet the 

requirements of paragraphs (a) (1) (xxv) (F) (JL) and (2.) of this 

section. 

(JL) The productive capacity of the equipment is not 

increased as a result of the activity or project; and 

(2.) The projected usage of the new substance is lower, 

on an ODP-weighted basis, than the baseline usage of the 

replaced ODS. To make this determination, follow the 

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51.165 Amendatory Language 10/18/02 

procedure in paragraphs (a) (1) (xxv) (F) (2.) (i) through (iv) of 

this section. 

(i) Determine the ODP of the substances by consulting 

40 CFR Part 82, Subpart A, Appendices A and B. 

(ii) Calculate the replaced ODP-weighted amount by 

multiplying the baseline actual usage (using the annualized 

average of any 24 consecutive months of usage within the 

past 10 years) by the ODP of the replaced ODS. 

(iii) Calculate the projected* ODP-weighted amount by 

multiplying the projected future annual usage of the new 

substance by its ODP. 

(iv) If the value calculated in paragraph 

(a) (1) (xxv) (F) (2.) (ii) of this section is more than the value 

calculated in paragraph (a) (1) (xxv) (F) (2.) (iii) of this 

section, then the projected use of the new substance is 

lower, on an ODP-weighted basis, than the baseline usage of 

the replaced ODS. 

(xxvi) Pollution prevention means any activity that 

through process changes, product reformulation or redesign, 

or substitution of less polluting raw materials, eliminates 

or reduces the release of air pollutants (including fugitive 

emissions) and other pollutants to the environment prior to 

recycling, treatment, or disposal; it does not mean 

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51.165 Amendatory Language 10/18/02 

recycling (other than certain "in-process recycling" 

practices), energy recovery, treatment, or disposal. 

(xxvii) Significant emissions increase means, for a 

regulated NSR pollutant, an increase in emissions that is 

significant (as defined in paragraph (a)(1)(x) of this 

section) for that pollutant. The procedure for calculating 

an increase in emissions is contained in paragraph 

(a)(2)(vi) of this section. 

(xxviii)(A) Future annual emissions means, the maximum 

annual rate, in tons per year, at which an existing 

emissions unit is projected to emit a regulated NSR 

pollutant in any one of the 5 calendar years following the 

date the unit resumes regular operation after the project, 

or in any one of the 10 calendar years following that date 

such, if the project involves increasing the emissions 

unit's design capacity or its potential to emit of that 

regulated NSR pollutant, and full utilization of the unit 

would result in a significant emissions increase, or a 

significant net emissions increase at the major stationary 

source. 

(B) In determining the future annual emissions 

STRIKEOUT projecting the metxri-mum annual rate required in 

paragraph (a)(1)(xxviii)(A) of this section (before 

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51.165 Amendatory Language 10/18/02 

beginning actual construction as required under paragraph 

(a)(2)(vi) of this section), the owner or operator (or 

reviewing authority, if applicable) of the major stationary 

source shall: 

(JL) Consider all relevant information, including but 

not limited to, historical operational data, the company's 

own representations, the company's highest projections of 

business activity, filings with the State or Federal 

regulatory authorities, and compliance plans under the 

approved State Implementation Plan; and 

(2.) Include fugitive emissions to the extent 

quantifiable, and emissions associated with startups, 

shutdowns, and malfunctions; and 

(3.) Exclude, in calculating any increase in emissions 

that results from the particular construetion project, that 

portion of the unit's emissions following the project change 

that an existing unit could have accommodated during the 

consecutive 24-month period used to establish the baseline 

actual emissions under paragraph (a)(1)(xxxv) of this 

section and which Lhat are also unrelated to the particular 

project change, including any increased utilization due to' 

product demand growth; or, 

(4.) In lieu of complying with using the method set out 

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51.165 Amendatory Language 10/18/02 

in the above paragraphs (a)(1)(xxviii)(B)(1) through (3), 

use the emissions unit's potential to emit, in tons per 

year, as defined under paragraph (a) (1) (iii) of this 

section. 

(xxix) Clean Unit means any emissions unit that has 

been issued a major NSR permit that requires compliance with 

BACT or LAER, that is complying with such BACT/LAER 

requirements, and qualifies as a Clean Unit pursuant to 

regulations approved by the Administrator in accordance with 

paragraph (c) of this section; or any emissions unit that 

has been designated by a reviewing authority as a Clean 

Unit, based on the criteria in paragraphs (d)(3)(i) through 

(iv) of this section, using a State Implementation Planapproved permitting process. 

(xxx) Nonattainment major NSR program means a major 

source preconstruction permit program that has been approved 

by the Administrator and incorporated into the State's 

Implementation Plan (the plan) to implement the requirements 

of this section, or a program that implements Part 51, 

Appendix S, Sections I through VI of this chapter. Any 

permit issued under such a program is a major NSR permit. 

(xxxi) Continuous emissions monitoring system (CEMS) 

means all of the equipment that may be required to meet the 

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51.165 Amendatory Language 10/18/02 

data acquisition and availability requirements of this 

section, to sample, condition (if applicable), analyze, and 

provide a record of emissions on a continuous basis. 

(xxxii) Predictive emissions monitoring system (PEMS) 

means all of the equipment necessary to monitor process and 

control device operational parameters (for example, control 

device secondary voltages and electric currents) and other 

information (for example, gas flow rate, 02 or C02 

concentrations), and calculate and record the mass emissions 

rate (for example, lb/hr) on a continuous basis. 

(xxxiii) Continuous parameter monitoring system (CPMS) 

means all of the equipment necessary to meet the data 

acquisition and availability requirements of this section, 

to monitor process and control device operational parameters 

(for example, control device secondary voltages and electric 

currents) and other information (for example, gas flow rate, 

02 or C02 concentrations), and to record average operational 

parameter value(s) on a continuous basis. 

(xxxiv) Continuous emissions rate monitoring system 

(CERMS) means the total equipment required for the 

determination and recording of the pollutant mass emission 

rate (in terms of mass per unit of time). 

(xxxv) Baseline actual emissions means the rate of 

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51.165 Amendatory Language 10/18/02 

emissions, in tons per year, of a regulated NSR pollutant, 

as determined in accordance with paragraphs (a)(1)(xxxv)(A) 

through (C) of this section. 

(A) For any existing electric utility steam generating 

unit, baseline actual emissions means the average rate, in 

tons per year, at which the unit actually emitted the 

pollutant during any 2-year period selected by the owner or 

operator within the 5-year period immediately preceding when 

the owner or operator begins actual construction of the 

project at that emissions unit. The reviewing authority 

shall allow the use of a different time period upon a 

determination that it is more representative of normal 

source operation. 

(1) The average rate shall include fugitive emissions 

to the extent quantifiable, and emissions associated with 

startups, shutdowns, and malfunctions. 

(2.) The average rate shall be adjusted downward to 

exclude any non-compliant emissions that occurred while the 

source was operating above any emission limitation that was 

enforceable during the 2-year period. 

(3.) When a project involves physical changes to or 

changes in the method of operation of multiple emission 

units, only one 2-year period may be used to determine the 

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51.165 Amendatory Language 10/18/02 

baseline actual emissions for all such emissions units. 

(4.) The average rate shall not be based on any 

consecutive 2-year period for which there is inadequate 

information for determining annual emissions, in tons per 

year, and for adjusting this amount if required by paragraph 

(a) (1) (xxxv) (A) (2.) of this section. 

(B) For an existing emissions unit (other than an 

electric utility steam generating unit), baseline actual 

emissions must be determined according to paragraphs 

(a) (1) (xxxv) (B) (JL) through (6.) of this section. 

(JL) Baseline actual emissions means the average rate, 

in tons per year, at which the emissions unit actually 

emitted the pollutant during any consecutive 24-month period 

selected by the owner or operator within the 10-year period 

immediately preceding either the date the owner or operator 

begins actual construction of the project, or the date a 

complete permit application is received by the reviewing 

authority for a permit required either under this section or 

under a State Implementation Plan approved by the 

Administrator, whichever is earlier, except that the 10-year 

period shall not include any period earlier than November 

15, 1990. 

(2.) The average rate shall include fugitive emissions 

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51.165 Amendatory Language 10/18/02 

to the extent quantifiable, and emissions associated with 

startups, shutdowns, and malfunctions. 

(J3) The average rate shall be adjusted downward to 

exclude any non-compliant emissions that occurred while the 

source was operating above an operational restriction or 

emission limitation that was enforceable during the 

consecutive 24-month period. 

(4.) The average rate shall be adjusted downward to 

exclude any emissions that would have exceeded an 

operational or emissions- limitations- (that are enforcea-b-Jre-)-

with which the major stationary source must currently 

comply, had such major stationary source been required to 

comply with such limitations during the consecutive 24-month 

period. However, if an operational restriction or emission 

limitation is part of a maximum achievable control 

technology standard that the Administrator proposed or 

promulgated under part 63 of this chapter, the baseline 

actual emissions need only be adjusted if the State has 

taken credit for such emissions reductions in an attainment 

demonstration or maintenance plan consistent with the 

requirements of paragraph (a)(3)(ii)(G) of this section. 

(5_) When a project involves physical changes to or. 

changes in the method of operation of multiple emission 

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51.165 Amendatory Language 10/18/02 

units, only one consecutive 24-month period may be used to 

determine the baseline actual emissions for all such 

emissions units. 

(6.) The average rate shall not be based on any 

consecutive 24-month period for which there is inadequate 

information for determining annual emissions, in tons per 

year, and for adjusting this amount if required by 

paragraphs (a) (1) (xxxv) (B) (3.) and (4.) of this section. 

(C) For a new emissions unit, the baseline actual 

emissions for purposes of determining the emissions increase 

that will result from the initial construction and operation 

of such unit shall equal zero; and thereafter, for all other 

purposes, shall equal the unit's potential to emit. 

(D) For a plantwide applicability limit for a 

stationary source, the baseline actual emissions shall be 

calculated for existing electric utility steam generating 

units in accordance with the procedures contained in 

paragraph (a)(1)(xxxv)(A) of this section, for other 

existing emissions units in accordance with the procedures 

contained in paragraph (a)(1)(xxxv)(B) of this section, and 

for a new emissions unit in accordance with the procedures 

contained in paragraph (a)(1)(xxxv)(C). 

(xxxvi) [Reserved] 

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51.165 Amendatory Language 10/18/02 

(xxxvii) Regulated NSR pollutant, for purposes of this 

section, means the following: 

(A) Nitrogen oxides or any volatile organic compounds; 

(B) Any pollutant for which a national ambient air 

quality standard has been promulgated; or 

(C) Any pollutant that is a constituent or precursor 

of a general pollutant listed under paragraphs 

(a)(1)(xxxvii)(A) or (B) of this section, provided that a 

constituent or precursor pollutant may only be regulated 

under NSR through regulation of the general pollutant. 

(xxxviii) Reviewing authority means the State air 

pollution control agency, local agency, other State agency, 

or other agency authorized by the Administrator to carry out 

a permit program under this section and §51.166, or the 

Administrator in the case of EPA-implemented permit programs 

under §52.21. 

(xxxix) Project means a physical change in, or change 

in the method of operation of, an existing major stationary 

source. 

(xxxx) Best available control technology (BACT) means 

an emissions limitation(including a visible emissions 

standard) based on the maximum degree of reduction for each 

regulated NSR pollutant which would be emitted from any 

proposed major stationary source or major modification which 

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51.165 Amendatory Language 10/18/02 

the reviewing authority, on a case-by-case basis, taking 

into account energy, environmental, and economic impacts and 

other costs, determines is achievable for such source or 

modification through application of production processes or 

available methods, systems, and techniques, including fuel 

cleaning or treatment or innovative fuel combustion 

techniques for control of such pollutant. In no event shall 

application of best available technology result in emissions 

of any pollutant which would exceed the emissions allowed by 

any applicable standard under 40 CFR Part 60 or 61. If the 

reviewing authority determines that technological or 

economic limitations on the application of measurement 

methodology to a particular emissions unit would make the 

imposition of an emissions standard infeasible, a design, 

equipment, work practice, operational standard, or 

combination thereof, may be prescribed instead to satisfy 

the requirement for the application of best available 

control technology. Such standard shall, to the degree 

possible, set forth the emissions reduction achievable by 

implementation of such design, equipment, work practice or 

operation, and shall provide for compliance by means which 

achieve equivalent results. 

(2) Applicability Procedures. Each plan shall contain 

provisions that require use of the procedures set out in 

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51.165 Amendatory Language 10/18/02 

paragraphs (a)(2)(i) through (ix) of this section. The 

Administrator will approve deviations from these 

requirements only if the State specifically demonstrates 

that the submitted requirement is more stringent, or at 

least as stringent, in all respects as the corresponding 

requirement below. 

(i) Each plan shall adopt a preconstruction review 

program to satisfy the requirements of sections 172(b)(6) 

and 1.73 of the Act for any area designated nonattainment for 

any national ambient air quality standard under 40 CFR 

.81.300 et seq. Such a program shall apply to any new major 

stationary source or major modification that is major for 

the pollutant for which the area is designated nonattainment 

under section 107(d)(1)(A)(i) of the Act, if the stationary 

source or modification would locate anywhere in the 

designated nonattainment area. 

(ii) The requirements of paragraph (a)(5)(iii) of this 

section apply to any electric utility steam generating unit 

when it is reasonably expected (using best engineering 

judgment) that such unit's future annual emissions will be 

greater than its baseline actual emissions as a result of a 

project, and such emission increases are part of a 

modification to the major stationary source (but not a major 

modification). 

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51.165 Amendatory Language 10/18/02 

(iii) The requirements of paragraph (a)(5)(iv) of this 

section apply to any existing emissions unit (other than an 

electric utility steam generating unit) when it is 

reasonably expected (using best engineering judgment) that 

such unit's future annual emissions will be greater than its 

baseline actual emissions as a result of a project, and such 

emission increases are part of a modification to the major 

stationary source (but not a major modification). 

(iv) Except as otherwise provided in paragraphs 

(a)(2)(v) and (vi) of this section, and consistent with the 

definition of major modification contained in paragraph 

(a)(1)(v)(A) of this section, a project is a major 

modification for a regulated NSR pollutant if it causes two 

types of emissions increases - a significant emissions 

increase (as defined in paragraph (a)(1)(xxvii) of this 

section), and a significant net emissions increase (as 

defined in paragraphs (a)(1)(vi) and (x) of this section). 

The project is not a major modification if it does not cause 

a significant emissions increase. If the project, causes a 

significant emissions increase, then the project is a major 

modification only if it also results in a significant net 

emissions increase. The procedure for calculating whether a 

significant emissions increase (i.e., the first step of the 

process) will occur depends upon the type of emissions units 

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51.165 Amendatory Language 10/18/02 

being modified, according to paragraphs (a)(2)(vi)(A) 

through (D) of this section. The procedure for calculating 

whether a significant net emissions increase will occur at 

the major stationary source (i.e., the second step of the 

process) is contained in the definition in paragraph 

(a) (1) (vi) of this section. Before beginning—atrfc-a-a-3: 

construetion of a project,—the owner or operator ' (or 

reviewing authority,—if applicable)—shall make a projection 

of—the—future annual emissions for—any existing emissions 

unit.—for which there—is a reasonable expectation—(using best 

engineering judgment)—that—future annual emissions will be 

greater than the baseline actual emissions as a result of 

the construction project,—and of the potential—to emit—for 

.new emissions units. This projection(s)—will be used in 

calculating whether a significant emissions increase or 

significant net emissions—increase could result—.from the 

construction project—(and thus whether—a permit—rs—required 

under paragraph—(a) (2) (iii)—of this section) . As provided 

by paragraph (a) (1) (xxviii)—of—this—section,—the potential—to 

emit—of—ariy emissions—unit,—in tpy,—may be—used—instead of 

project!ng t hat—unit' s—future annual—emissions . Regardless 

of—t lie—uie t hod—for—making—emissions—proj ect IOUS—before 

b e g i nn i rig a c t u a 1—cons true tion,—any construction, proj ect—rs? 

subject to the requirements of this section as a major 

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51.165 Amendatory Language 10/18/02 

modification,—ff-7—the future annual emissions—[the amount 

actually emitted by the modified emissions units as defined 

by paragraph1 (a) (1) (xxviii)] ,—in tons per year,—results in 

both a significant emissions—increase and a significant net 

emissions—increase as determined under this section. 

(A) Actual-to-future-annual emissions test for 

projects at an existing emissions units. For a given 

project, a significant emissions increase of a regulated NSR 

pollutant is projected to occur if the sum of the difference 

between the future annual emissions (as defined in paragraph 

(a)(1)(xxviii) of this section) and the baseline actual 

emissions (as defined in paragraphs (a)(1)(xxxv)(A) and (B) 

of this section, as applicable), for each existing emissions 

unit, equals or exceeds the significant amount for that 

pollutant (as defined in paragraph (a)(1)(x) of this 

section). 

(B) Actual-to-future-actual-annual test for projects 

that only involve existing emissions units (other than 

electric utility steam generating units). For a given The 

project, wi11—result—fn a significant emissions increase of 

a regul-.r <••'. NSR pollutant occurs if the sum of the 

differen- • between the future annual emissions (as defined 

in paragraph (a)(1(xxviii)) of this section) and the 

baseline actual emissions (as defined in paragraph 

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51.165 Amendatory Language 10/18/02 

(a)(1)(xxxv)(B) of this section), for each of the existing 

emissions units-;—wiiose emissions are affected by the project 

equals or exceeds the significant amount for that pollutant 

(as defined in paragraph (a)(1)(x) of this section). 

(€B) Actual-to-potential test for projects that only 

involve construction of a new emissions unit(s). For a 

given project, a significant emissions increase of a 

regulated NSR pollutant is projected to occur if the sum of 

the difference between the potential to emit (as defined in 

paragraph (a)(1)(iii) of this section) from each new 

emissions unit following completion of the project and the 

baseline actual emissions (as defined in paragraph 

(a)(1)(xxxv)(C) of this section) of these units before the 

.project equals or exceeds the significant amount for that 

pollutant (as defined in paragraph (a)(1)(x) of this 

section). 

(BC) The hybrid test for projects that involve 

multiple types of emissions units. For a given project, a 

significant emissions increase of a regulated NSR pollutant 

will occur if the sum of the emissions increases in 

paragraphs (a)(2)(vi)(D)(i) through (A) of this section 

equals or exceeds the significant amount for that pollutant 

(as defined in paragraph (a)(1)(x) of this section). 

(1) The difference between the future annual emissions 

27 
P.30 

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51.165 Amendatory Language 10/18/02 

(as defined in paragraph (a)(1)(xxviii) of this section) and 

the baseline actual emissions (as defined in paragraphs 

(a)(1)(xxxv)(A) and (B) of this section, as applicable) for 

any existing electric utility steam generating emissions 

units; 

(2.) The difference between the future annual emissions 

(as defined in paragraph—(a) (1) (xxviii)—of this section)—and 

the baseline actual emissions—(as defined in paragraph 

(a) (1) (xxxv) (B)—of this section)—for any existing emissions 

units—(other—than electric utility steam generating units) 

whose emissions are affected by the project; 

(3-2) The difference between the potential to emit (as 

defined in paragraph (a)(1)(iii) of this section) and the 

baseline actual emissions of any new emissions units; and 

(4-3) No emissions increase will be associated with 

projects at a Clean Unit. 

(viii) Any project that can be constructed and 

operated at a Clean Unit (as defined in paragraph 

(a)(1)(xxix) of this section) without causing the emissions 

unit to lose its Clean Unit status is not considered a major 

modification. Any project that would cause an emissions 

unit to lose its Clean Unit status is subject to paragraph 

(a) (2) (vi) of this section, for determining whether the 

project is a major modification. See paragraphs (c)(2) and 

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51.165 Amendatory Language 10/18/02 

(d)(2) of this section for more on determining whether a 

project would cause an emissions unit to lose its Clean Unit 

status.—If a construction project involves For any physical 

change in or change in the method of operation to a Clean 

Unit—(as defined in paragraph—(a) (1) (xxix)—of this section) , 

the major stationary source shall be subject—to the 

requirements—under—paragraphs—(tr)—and—(-dr)—of—this—section .— 

(ix) PCPs (as defined in paragraph (a)(1)(xxv) of this 

section) shall comply with the requirements under paragraph 

(e) of this section. 

any major stationary—source with respect—to each hazardous 

air pollutant listed pursuant to section 112 of—the Act, 

except as provided in.the definition of regulated N3R 

pollutant at paragraph—(a) (1) (xxxvii)—of this section. 

( 3 ) * * * • 

(ii) * * * 

(H) Decreases in actual emissions resulting from the 

installation of add-on control technology or application of 

pollution prevention measures that were relied on in 

designating an emissions unit as a Clean Unit cannot be used 

as offsets. 

(I) Decreases in actual emissions occurring at a Clean 

Unit cannot be used as offsets, except as provided at 

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51.165 Amendatory Language 10/18/02 

paragraphs (c)(8) and (d)(10) of this section. 

(J) The total tonnage of increased emissions, in tons 

per year, resulting from a major modification that must be 

offset in accordance with section 173 of the Act shall be 

determined by summing the difference between the allowable 

emissions after the modification (as defined by paragraph 

(a)(1)(xi) of this section) and the actual emissions before 

the modification (as defined in paragraph (a)(1)(xii) of 

this section) for each emissions unit. 

**** * 

(5) * * * 

(iii) Electric utility steam generating units. The 

requirements of this paragraph apply to any electric utility 

steam generating unit when it is reasonably expected (using 

best engineering judgment) that such unit's future annual 

emissions will be greater than its baseline actual emissions 

as a x~esult of a project, and such emission increases are 

part of a modification to the major stationary source (but 

not a major modification) . 

(A) Before beginning actual construction, the major 

stationary source snail provide notice to the reviewing . 

authority. Notice to the reviewing authority shall include 

the following: that—begins actual construction of a physical 

change—in or—the—change—in method of—operation of—art 

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51.165 Amendatory Language 10/18/02 

existing electric utility steam generating unit—that—is not 

part of a major modificationmaintain. and submit—to the 

reviewing authority,—on an annual basis for a period of 5 

years from the date the unit—resumes regular operation, 

information demonstrating that—the physical or operational 

change did not result in an emissions increase. A longer 

period,—not—to exceed 10 years,—may be—required by—thereviewing authority if it determines such a period to be 

more representative of normal—source post"change operation. 

(J_) A description of the project, including 

identification of a emission units that could be affected by 

the project; -

(2.) Identification of the baseline actual emissions 

for each electric utility steam generating unit whose 

emissions could increase as a result of the project-;—and any 

data supporting the determination of baseline actual 

emissions; 

(J_) The projections of the future annual emissions for 

any electric utility steam generating unit whose emissions 

could increase as a result of the project, the amount of 

emissions excluded xander paragraph (a) (1) ;xxviii) (B) (3_) of 

this section and an explanation for why such amount was 

excluded; and 

(4) The net emissions increase calculation, if 

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51.165 Amendatory Language 10/18/02 

applicable. 

(B) Notwithstanding the provisions in paragraph 

(a) (5) (iii) (A) above, the reviewing ciuthority may elect to 

conduct an additional review of the emissions changes 

related to the project. 

(JL) The reviewing authority shall notify the owner or 

operator of such election within a reasonable period after 

receipt of the notice required in paragraph (a)(5)(iii)(A) 

above. 

(2.) If the owner or operator receives a notice of such 

election from the reviewing authority, then the owner or 

operator shall suspend construction until further notice 

from the reviewing authority. 

-fC-) Recordkeeping. The-owrreir—or operator shall 

maintain and submit—to the reviewing authority,—on an annual 

basis—for a period of—5 years—from the date—the unit—resumes 

regular operation,—information demonstrating that—the 

physical or operational change did not—result—in an 

emissions—increase . A longer—peiiod,—not—to—exceed—3r6-

years,—may be required by—the—reviewing authority if—rtde t e m n ne s sttcn <% period co be mo re i e p r e s e r 11 a 11 v e of normal 

source post-cnange operation. Tne owner or operator snail 

also maintain a copy of—the notice—(required by paragraph 

(a) ( J) (iii)—and any data—that—supports—the—information 

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51.165 Amendatory Language 10/18/02 

submitted in such notice. 

(iv) Existing emissions units. Each plan shall provide 

that the following requirements apply to projects at an 

existing emissions units at a major stationary source in 

circumstances where there is a reasonable possibility that a 

project may result in an emissions increase and who elect to 

use the method set out in paragraphs (a)(1)(xxviii)(B)(1)-

(3) for calculating future annual emissions shall comply 

with paragraphs (a)(5)(iv)(A) through (C) of this section. 

(A) Before beginning actual construction of the 

project, the owner/operator shall document and maintain a 

record of the following information: 

(JL) A brief description of the project; 

(2.) Identification of the emissions unit(s) whose 

emissions of a regulated NSR pollutant could be affected by 

the project; and 

(3.) A description of the applicability test used to 

determine that the project is not a major modification for 

any regulated NSR pollutant, including the baseline actual 

emissions, the future annual emissions, the amount of 

emissions excluded under paragraph (a) (1) (xxviii) (B) (3.) of 

this section and an explanation for why such amount was 

excluded, and any netting calculations, if applicable. 

(B) If the emissions unit is an existing electric 

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51.165 Amendatory Language 10/18/02 

utility steam generating unit, before beginning actual 

construction, the owner/operator shall provide a copy of the 

information set out in paragraph (a)(5) (iii)(A) to the 

reviewing authority. Nothing in this paragraph shall be -

construed to require the owner or operator of such a unit to 

obtain any determination from the reviewing authority before 

beginning actual construction. 

(BC) The owner/operator shall monitor the emissions of 

any regulated NSR pollutant that could increase emissions as 

a result of the project and that are emitted by any 

emissions units identified in paragraph (a) (5) (iv) (A) (2.) of 

this section; and calculate and maintain a record of the 

annual emissions, in tons per year on a calendar year basis, 

for a period of 5 years following operation of the change; 

or, for a period of 10 years following operation of the 

change, if the project increases the design capacity of or 

potential to emit of that regulated NSR pollutant at such 

emissions unit. 

(D) If the unit is an existing electric utility steam 

generating unit, submit a report to the reviewing authority 

within 6 0 days of the end of each calendar year during which 

records must be maintained under paragraph (a) (5) (iii) (C) of 

this section setting out the unit's annual emissions during 

the calendar year that preceded submission of the report. 

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51.165 Amendatory Language 10/18/02 

(€E) If the unit is an existing unit other than an 

electric utility steam generating unit, submit a report to 

the reviewing authority if the annual emissions, in tons per 

year, from the project identified in paragraph (a)(5)(iv)(A) 

CHANGE CITE of this section, exceed the baseline actual 

emissions (as documented and maintained pursuant to 

paragraph (a)(5)(iv)(A) of this section) by a significant 

amount (as defined in paragraph (a)(1)(x) of this section) 

for that regulated NSR pollutant, and if such emissions 

differ from the preconstruction projection as documented and 

maintained pursuant to paragraph (a)(5)(iv) of this section. 

Such report shall be submitted to the reviewing authority 

within 60 days after the end of such calendar year. The 

report shall contain the following: 

(JL) The name, address and telephone number of the 

major stationary source; 

(2.) The annual emissions as calculated pursuant to 

paragraph (a)(5)(iv)(B) of this section; and 

(3.) Any other information that the owner or operator 

wishes to include in the report (e.g., an explanation as to 

why the emissions differ from the preconstruction 

projection). 

(v) The owner or operator of the source shall make the 

information required to be documented and maintained 

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P.38 

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51.165 Amendatory Language 10/18/02 

pursuant to paragraph (a)(5)(iv)(B) of this section 

available for review upon a request for inspection by the 

reviewing authority or the general public pursuant to the 

requirements contained in §70.4(b)(3)(viii) of this chapter. 

**** * 

(c) Clean Unit Test for emissions units that are 

subject to LAER. The plan shall provide an owner or 

operator of a major stationary source the option of using 

the Clean Unit Test to determine whether emissions increases 

at a Clean Unit are part of a project that is a major 

modification according to the provisions in paragraphs 

(c)(1) through (9) of this section. 

(1) Applicability. The provisions of this paragraph 

apply to any emissions unit for which the reviewing 

authority has issued a major NSR permit within the past 10 

years. and for which such permit requires—the unit to comply 

with LAER. 

(2) Major modification provisions for Clean Unit - The 

Clean Unit Test. The provisions below in paragraphs 

(c)(2)(i) through (iv) of this section apply to determine 

whether a project at a Clean Unit is a major modification. 

emissions—increases—a-t—a—Clean Unit—(designated under—this 

paragraph—(-oH—are part of a construction project—that—is a 

maj or modification. apply to determine whether a 

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51.165 Amendatory Language 10/18/02 

construction project that increases emissions at a Clean 

Unit is,—or is part of,—a major modification. Any project 

for which the owner or operator begins actual construction 

after the effective date of the Clean Unit status (as 

determined in accordance with paragraph (c)(4) of this 

section) and before the expiration date (as determined in 

accordance with paragraph (c)(5) of this section) will be 

considered to have occurred while the emissions unit was a 

Clean Unit. 

(i) The definition of major modification at 

paragraph (a)(1)(v) of this section does not apply to Clean 

Units. 

(ii) If a project at a Clean Unit would not cause the 

need for a. change in the emissions limitations or work 

practice requirements in the permit for the unit adopted in 

conjunction with LAER and would not alter any physical, or 

operational characteristics that formed the basis for the 

LAER determination, the emissions unit remains a Clean Unit, 

and the project is not a major modification. 

(iii) If a project would cause, the need for a change 

in the emissions limitations or work practice requirements 

in the permit for the unit adopted in conjunction with LAER 

or would alter any physical or operational characteristics 

that formed the basis for the LAER determination, then, 

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51.165 Amendatory Language 10/18/02 

after the owner or operator applies for the necessary permit 

revisions, the emissions unit loses its status as a Clean 

Unit. If the owner or operator begins actual construction 

on the project without first applying to revise his or her 

permit, the Clean Unit status ends when actual construction 

begins. 

(iv) A project that would cause an emissions unit to 

lose its status as a Clean Unit is subject to the definition 

of major modification at paragraph (a)(1)(v) of this section 

and the applicability requirements of paragraph (a)(2)(vi) 

of this section as if the emissions unit were never a Clean 

Unit. 

(ii)—At a Clean Unit,—a major modification means any 

construction project that affects emissions at a Clean Unit, 

meets both the criteria of—the two-step evaluation process 

below. 

(AT Would the project cause the emissions unit—to 

exceed the emission limit(s)—contained in its permit issued 

under—the—coaventional—requirement s—of—the—ma j or—NSR program 

for one or more pollutants for which the unit—is a Clean 

Unit,—ot—otherwise—cause—the unit—to fail—to maintairi C1 ean 

Unit—sta( us—as—described below—in paragraph—(c) (7)—of—this 

section? If not,—the change does not—constitute a major 

modification.—and no action is required. rf—so-;—go on to 

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51.165 Amendatory Language 10/18/02 

paragraph—(c) (2) (ii) (D)—below. 

(-B-) Would the project—result—in a significant net 

emissions increase—[as defined in paragraphs—(a) (1) (vi)—and 

-be)—of this section]—of one or more of the Clean Unit 

pollutants? If so,—the change constitutes a major 

modification and is subject—to review and permitting under 

the conventional—requirements of—the applicable major—N3R 

program. If not,—the emissions unit may not—increase 

emissions unless the owner or operator obtains a permit 

under a SIP"approved permitting program that allows the 

emissions unit—to increase emissions beyond the existing 

major NSR permitted levels. 

(iii) For purposes of determining whether—there will 

be a significant net emissions increase from the project as 

required under paragraph—(c) (2) (ii) (B)—above,—the amount of 

emissions—increase—from the Clean Unit—shall—be computed as 

follows: 

(-A-) For an existing electric utility steam generating 

unit,—the increase is equal—to the difference between the 

representative actual—annual—emissions—(as defined in 

paragraph—(a) (1) (xxxviii)—of this section)—and the base1ine 

actual emissions—(as defined in paragraph—(a) (1) (xxxv)—ofthis section)—for—the unit . 

(-B-) For an existing emissions unit—(other—than an 

39 
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51.165 Amendatory Language 10/18/02 

electric utility steam generating unit) ,—the increase is 

equal to the difference between the future annual emissions 

(as defined in paragraph—(a) (1) (xxviii)—of this section)—and: 

the baseline actual emissions—(as defined in paragraph 

(a) (1) (xxxv)—of this section)—for the unit. 

t&j For a new emissions unit,—the increase is equal—to 

the difference between the unit's potential "to emit and the 

baseline actual emissions—(as defined in paragraph 

(a) (1) (xxxv)—of this section)—for the unit. 

(-rsr)—If a construction project at a Clean Unit meets 

would cause the criteria above in paragraph—(c) (2) (ii) (A) , 

then,—following such change,—the emissions unit no longer 

qualifies as a Clean Unit—(regardless of whether—the project 

also results in a significant net emissions increase) ,—and 

the owner or operator may no longer use the Clean Unit Test 

to determine whether a project at—the emissions unit—rsaemissions unit—to exceed the emission limitations contained 

in its major modification.N3R permit,—or otherwise cause the 

unit—to—fail—to—maintain—the—Clean Unit—status—as—described 

below in p a r a g r aph—(c) (7)—of—this section,—then,—af ter 

beginning actual—cons true t ion,—the emissions unit—no longer 

qualifies as a Clean Unit—(regardless of whether—the—project 

also results—in a significant net—emissions—increase) ,—arid 

the owner 01—operator may no longer use the Clean Unit Test 

40 
P.43 

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51.165 Amendatory Language 10/18/02 

to determine whether a subsequent project at—the emissions 

unit is a major modification. 

(3) Qualifying or Re-Qqualifving to use the Clean Unit 

Applicability Test. An emissions unit automatically 

qualifies as a Clean Unit when the unit meets the criteria 

below in paragraphs (c)(3)(i) through (ii) of this section. 

After— the original Clean Unit status expires in accordance 

with paragraph (c)(5) of this section, such emissions unit 

may re-qualify as a Clean Unit under either paragraph 

(c) (3) (iii) below, or under the Clean Unit provisions in 

-paragraph (d) of this section. To re-qualify as a Clean 

Unit under paragraph (c)(3)(iii), the emissions unit must 

obtain a new major NSR permit issued through the applicable 

nonattainment major NSR program and meet all the criteria 

below in paragraphs (c) (3) (iii) . Clean Unit status applies 

individually for each pollutant emitted by the emissions 

unit. 

(i) Permitting requirement. The emissions unit must 

have received a major NSR permit within the past 10 years 

and such permit must require the emissions unit to comply 

with LAER. The owner or operator must be—a-bie—to maintain 

and be able to provide information that would demonstrate 

that this permitting requirement is met. 

(ii) Qualifying air pollution control measures. Air 

41 
P.44 

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51.165 Amendatory Language 10/18/02 

pollutant emissions from the emissions unit must be reduced 

through the use of air pollution control technology [which 

includes pollution prevention as defined under paragraph 

(a)(1)(xxvi)] that meets both the following requirements: 

(A) The control technology achieves the lowest 

achievable emission rate (LAER) level of emissions 

reductions as determined through issuance of a major NSR 

permit within the past 10 years. However, the emissions 

unit is not eligible for Clean Unit status if the LAER 

determination resulted in no requirement to reduce emissions 

below the level of a standard, uncontrolled, new emissions 

unit of the same type. 

(B) The owner or operator made an investment to 

install the control technology. For the purpose of this 

determination, an investment includes expenses to research 

the application of a pollution prevention technique to the 

emissions unit or expenses to apply a pollution prevention 

technique to an emissions unit. 

(iii) Re-qualifying for Clean Unit Status. The 

emissions unit must obtain a new major NSR permit that 

requires compliance with the current-day lowest achievable 

emission rate (LAER), and the emissions unit must meet the 

requirements in paragraphs (c)(3)(i) and (c)(3)(ii) above. 

(4) Effective date of Clean Unit status. The 

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51.165 Amendatory Language 10/18/02 

effective date of an emissions unit's Clean Unit status 

[that is, the date on which the owner or operator may begin 

to use the Clean Unit Test to determine whether a project at 

the emissions unit is a major modification] is determined 

according to the applicable paragraph (c)(4)(i) or 

(c)(4)(ii) below. 

(i) Original Clean Unit Status, and Emissions Units 

that re-qualify as Clean Units by implementing a new control 

technology to meet current-day LAER. The effective date is 

the date the emissions unit's air pollution control 

technology is placed into service, or three years after the 

issuance date of the major NSR permit, whichever is earlier, 

but no sooner than the date that provisions for the Clean 

Unit applicability test are approved by the Administrator 

for incorporation into the State Implementation Plan and 

become effective for the State in which the unit is located. 

(ii) Emission Units that Re-qualify for Clean Unit 

Status using an existing control technology. The effective 

date is the date the new, major NSR permit is issued. 

(5) Clean Unit expiration. An emissions unit's Clean 

Unit status expires [that is, the date on which the owner or 

operator may no longer use the Clean Unit Test to determine 

whether a project affecting the emissions unit is, or is 

part of, a major modification] according to the applicable 

43 
P.46 

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51.165 Amendatory Language 10/18/02 

paragraph (c)(5)(i) or (ii) below. 

(i) Original Clean Unit Status, and Emission Units 

that re-qualify by implementing new control technology to 

meeting current day LAER. For any emissions unit that 

automatically qualifies as a Clean Unit under paragraphs 

(c)(3)(i) through (iii) of this section, the Clean Unit 

status expires 10 years after the effective date, or the 

date the equipment went into.service, whichever is earlier; 

or, it expires at any time the owner and operator fails to 

comply with the provisions for maintaining Clean Unit status 

in paragraph (c)(7) of this section. 

(ii) Emission Units that Re-qualify for Clean Unit 

Status using an existing control technology. For any 

emissions unit that re-qualifies as a Clean Unit under 

paragraphs (c)(3)(iv) of this section, the Clean Unit status 

expires 10 years after the effective date; or, it expires 

any time the owner or operator fails to comply with the 

provisions for maintaining the Clean Unit Status in 

paragraph (c)(7) of this section. 

(6) Required title V permit content for a Clean Unit. 

After the effective date of the Clean Unit status, and in 

accordance with the provisions of the applicable Title V 

permit program under Part 70 or Part 71 of this chapter, but 

no later than when the Title V permit is renewed, the Title 

44 
P.47 

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51.165 Amendatory Language 10/18/02 

V permit for the major stationary source must include the 

following terms and conditions related to the Clean Unit: 

(i) A statement indicating that the emissions unit 

qualifies as a Clean Unit and identifying the pollutant(s) 

for which this designation applies; 

(ii) The effective date of Clean Unit status. If this 

date is not known when the Clean Unit status is initially 

recorded in the Title V permit (e.g., because the air 

pollution control technology is not yet in service), the 

permit must describe the event that will determine the 

effective date (e.g., the date the control technology is 

placed into service). Once the effective date is 

determined, the owner or operator must notify the reviewing 

authority of the exact date. This specific effective date 

must be added to the source's title V permit at the first 

opportunity, such as a modification, revision, reopening, or 

renewal of the title V permit for any reason, whichever 

comes first, but in no case later than the next renewal; 

(iii) The expiration date of the Clean Unit 

designation. If this date is not known when the Clean Unit 

status is initially recorded into the Title V permit (e.g., 

because the air pollution control technology is not yet in 

service), then the permit must describe the event that will 

determine the expiration date (e.g., the date the control 

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technology is placed into service). Once the expiration 

date is determined, the owner or operator must notify the 

reviewing authority of the exact date. The expiration date 

must be added to the source's title V permit at the first 

opportunity, such as a modification, revision, reopening, or 

renewal of the title V permit for any reason, whichever 

comes first, but in no case later than the next renewal; 

(iv) All emission limitations and work practice 

requirements adopted in conjunction with the lowest 

achievable emissions rate (LAER), and any physical or 

operational characteristics upon which the reviewing 

authority relied in making formed the basis for the LAER 

determination (e.g., possibly the emission unit's capacity 

or throughput); and 

(v) Monitoring, recordkeeping, and reporting 

requirements as necessary to demonstrate that the emissions 

unit continues to to meet the criteria for maintaining Clean 

Unit status. [See paragraph (c)(7) of this section, below]. 

(vi) Terms reflecting the owner or operator's duties 

to maintain the Clean Unit designation and the consequences 

of failing to do so, as presented below in paragraph (c)(7) 

of this section. 

(7) Maintaining Clean Unit status. To maintain Clean 

Unit status, the owner or operator must conform to all the 

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restrictions listed below in paragraphs (c)(7)(i) through 

(iii) of this section. This paragraph (c)(7) applies 

independently to each pollutant for which the emissions unit 

has Clean Unit status. That is, failing to conform to the 

restrictions for one pollutant affects Clean Unit status 

only for that pollutant. 

(i) The Clean Unit must comply with the emission 

limitation(s) and/or work practice requirements adopted in 

conjunction with the lowest achievable emission rate that 

are recorded in the major NSR permit, and subsequently 

reflected in the Title V permit. 

(A) The owner or operator may not make a physical 

change in or change in the method of operation of the Clean 

Unit that causes the emissions unit to function in a manner 

that is inconsistent with the physical or operational 

making that formed the basis for the LAER determination 

(e.g., possibly emissions unit's capacity or throughput). 

(B) The Clean Unit may not emit above a level that has 

been offset. 

(ii) The Clean Unit must comply with any terms and 

conditions in the title V permit related to the unit's Clean 

Unit status. 

(iii) The Clean Unit must continue to control 

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emissions using the specific air pollution control 

technology that was the basis for its Clean Unit status. If 

the emissions unit or control technology is replaced, then 

the Clean Unit status ends. 

(8) Credit for Emission—Reductions Offsets and Netting 

at Clean Units. Emissions changes that occur at a Clean 

Unit must not be included in calculating a significant net 

emissions increase (that is, must not be used in a "netting 

analysis"), or be used for generating offsets unless such 

use occurs before the effective date of Clean Unit status, 

or after the Clean Unit status expires; or, unless the 

emissions unit reduces emissions below the level that 

qualified the unit as a Clean Unit. If the Clean Unit 

reduces emissions below the level that qualified the unit as 

a Clean Unit, then, the owner or operator may generate a 

credit for the difference between LAER and the emission 

unit's baseline actual emissions the level that represents 

LAER and the new emissions limit if such reductions are 

surplus, quantifiable, permanent and federally enforceable. 

(9) Effect of redesignation on Clean Unit status. The 

Clean Unit status of an emissions unit is not affected by 

redesignation of the attainment status of the area in which 

it is located. That is, if a Clean Unit is located in an 

attainment area and the area is redesignated to 

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nonattainment, its Clean Unit status is not affected. 

Similarly, redesignation from nonattainment to attainment 

does not affect Clean Unit status. However, if an existing 

Clean Unit status expires, it must re-qualify under the 

requirements that are currently applicable in the area. 

(d) Clean Unit provisions for emissions units that 

achieve an emissions limitation comparable to LAER. The 

plan shall provide an owner or operator of a major 

stationary source the option of using the Clean Unit Test to 

determine whether emissions increases at a Clean Unit are 

part of a project that is a major modification according to 

the provisions in paragraphs (d)(1) through (11) of this 

section. 

(1) Applicability. The provisions of this paragraph 

apply to emissions units which do not qualify as Clean Units 

under paragraph (c) of this section, but which are achieving 

a level of emissions control comparable to LAER, as 

determined by the reviewing authority in accordance with 

this paragraph (d). 

(2) Major modification provisions for Clean Units. 

The provisions below in paragraphs (d)(2)(i) through (iv) of 

this section apply to determine whether emissions increases 

at a Clean Unit (designated under this paragraph (d)) are 

part of a project that is a major modification. Any project 

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for which the owner or operator begins actual construction 

after the effective date of the Clean Unit designation (as 

determined in accordance with paragraph (d)(5) of this 

section) and before the expiration date (as determined in 

accordance with paragraph (d)(6) of this section) will be 

considered to have occurred while the emissions unit was a 

Clean Unit. 

(i) The definition of major modification at 

paragraph (a)(1)(v) of this section does not apply to Clean 

Units. 

(ii) If a project at a Clean Unit would not cause the 

need for a change in the emissions limitations or work 

practice requirements in the permit for the unit that have 

been determined (pursuant to paragraph (d)(4) of this 

section) to be comparable to LAER, and would not alter any 

physical or operational characteristics that formed the 

basis for determining that the emissions unit's control 

technology achieves a level of emissions control comparable 

to LAER, the emissions unit remains a Clean Unit, and the 

project is not a major modification. 

(iii) If a project would cause the the need for a 

change in the emissions limitati-dns or work practice 

requirements in the permit for the unit that have been 

determined (pursuant to paragraph (d)(4) of this section) to 

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be comparable to LAER, or would alter any physical or 

operational characteristics that formed the basis for 

determining that the emissions unit's control technology 

achieves a level of emissions control comparable to LAER, 

then, after the owner or operator applies for the necessary 

revisions to the permit that designated the unit as a Clean 

Unit (see paragraphs (d)(7) and (8) of this section), the 

emissions unit loses its status as a Clean Unit. If the 

owner or operator begins actual construction on the project 

without first applying to revise his or her permit, the 

Clean Unit status ends when actual construction begins. 

(iv) A project that would cause an emissions unit to 

lose its status as a Clean Unit is subject to the definition 

of major modification at paragraph (a)(1)(v) of this section 

and the applicability requirements of paragraph (a)(2)(vi) 

of this section as if the emissions unit were never a Clean 

Unit. 

(-rr) At a Clean Unit,—major modification means any 

project that affects emissions at—a Clean Unit,—and that 

meets the criteria of—the—two-step evaluation process in 

paragraphs—(d) (2 ) (ii) (A)—and—(B) . 

t$r) Would the project cause the emissions unit—to 

exceed the emission limitation(s)—contained in its permit 

[received pursuant—to requirements in paragraphs—(d) (7)—and 

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-frH—of this section,—below]—for one or more of the Clean 

Unit pollutants,—or otherwise cause the unit to fail to 

maintain its Clean Unit designation as described below in 

paragraph—(d) (9)—of this section? If not,—the project does 

not constitute a major modification and no action is 

required. If so,—go on to paragraph—(d) (2) (ii) (B)—below. 

(•&) Would the project result—in a significant net 

emissions increase—[as defined in paragraphs—(a) (1) (vi)—and 

-fx-)—of this section]—of one or more of the Clean Unit 

pollutants? If so,—the project constitutes a major* 

modification and is subject to review and permitting under 

the applicable major NSR program. If not,—the emissions 

unit may not—increase emissions unless the owner or operator 

obtains a permit under a 31P"approved permitting program 

that allows the emissions unit to increase emissions beyond 

the permitted levels. 

(iii) For purposes of determining whether there is a 

significant net—emissions—increase—from the project—asrequired—under paragrapii—(d) (2 ) (ii ) (B)—above ,—tlie—amount—crfr 

emissions—increase—from the Clean Unit—shall be—computed 

according—to paragraphs—(d) (2) (iii) (A)—through—(C) . 

(Ar) For an existing electric utility steam generating 

unit,—tne—increase—is equal—to—the difference between the 

future annual emissions—(as defined in paragraph 

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(a) (1) (xxviii)—of this section)—and the baseline actual 

emissions—(as defined in paragraph—(a) (1) (xxxv) (A)—of this 

section)—for the unit. 

(*) For an existing emissions unit—(other—than an 

electric utility steam generating unit) ,—the increase is 

equal—to the difference between the future annual emissions 

(as defined in paragraph—(a) (1) (xxviii)—of—this—section)—and 

the baseline actual emissions—(as defined in paragraph 

(a) (1) (xxxv) (B)—of this section)—for the unit. 

— (-C-) For, a new emissions unit,—the increase is equal—to 

•the difference between the unit's potential—to emit and the 

baseline actual—emissions—(as defined in paragraph 

(a) (1) (xxxv) (C)—of—this—section.)—for—the unit . 

(iv) If a project causes the Clean Unit—to exceed the 

emission limitations contained in its permit—(received 

pursuant to the requirements in paragraphs—(d) (7)—and—(-6-)—ofthis section) ,—or otherwise causes the unit—to fail—to 

maintain the Clean Unit designation as described below in 

paragraph—(d) (9)—of this section,—then,—after beginning 

actual—construction,- the emissions unit no longer—qualifies 

cts—a Clean Unit—(regardless of whether the project—also 

results—in a significant—net—emissions—increase) ,—and the 

owner or operator may no longer use the Clean Unit Test—to 

determine-whether a subsequent project involving the 

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emissions unit is a major modification. 

(3) Qualifying or re-qualifying to use the Clean Unit 

applicability test. An emissions unit qualifies as a Clean 

Unit when the unit meets the criteria below in 

paragraphs (d)(3)(i) through (iii) of this section. After 

the original Clean Unit designation expires in accordance 

with paragraph (d)(6) of this section, such emissions unit 

may re-qualify as a Clean Unit .under either paragraph 

(d)(3)(iv) below, or under the Clean Unit provisions in 

paragraph (c) of this section. To re-qualify as a Clean 

Unit under paragraph (d)(3)(iv), the emissions unit must 

obtain a new permit issued pursuant to the requirements in 

paragraphs (d)(7) and (8) and meet all the criteria below in 

paragraphs (d)(3)(iv). The reviewing authority will make a 

separate Clean Unit designation for each pollutant emitted 

by the emissions unit for which the emissions unit qualifies 

as a Clean Unit. 

(i) Qualifying air pollution control technologies. 

Air pollutant emissions from the emissions unit must be 

reduced through the use of an air pollution control 

technology that meets both the following requirements: 

(A) The owner or operator has demonstrated that the 

emissions unit's control technology is comparable to LAER 

according to the requirements of paragraph (d)(4) of this 

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section. However, the emissions unit is not eligible for a 

Clean Unit designation if its emissions are not reduced 

below the level of a standard, uncontrolled emissions unit 

of the same type (e.g., if the LAER determinations to which 

it is compared have resulted in a determination that no 

control measures are required). 

(B) The owner or operator made an investment to 

install the control technology. For the purpose of this 

determination, an investment includes expenses to research 

the application of a pollution prevention technique to the 

emissions unit or to retool the unit to apply a pollution 

prevention technique. 

(ii) Impact of emissions from the unit. The reviewing 

authority must determine that the allowable emissions from 

the emissions unit will not cause or contribute to a 

violation of any national ambient air quality standard or 

PSD increment, or adversely impact an air quality related 

value (such as visibility) that has been identified for a 

Federal Class I area by a Federal Land Manager and for which 

information is available to the general public. 

(iii) Date of installation. An emissions unit may 

qualify as a Clean Unit even if the control technology, on 

which the Clean Unit designation is based, was installed 

before the effective date of plan requirements to implement 

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the requirements of this paragraph. However, for such 

emissions units, the owner/operator must apply for Clean 

Unit status within 2 years after the plan requirements 

become effective. For technologies installed after the plan 

requirements become effective, the owner/operator must apply 

for the Clean Unit designation at the time the control 

technology is installed. 

(iv) Re-qualifying as a Clean Unit. The emissions 

unit must obtain a new permit (pursuant to requirements in 

paragraphs (d)(7) and (8) of this section) that demonstrates 

that the emissions unit's control technology is achieving a 

level of emission control comparable to current-day LAER, 

and the emissions unit must meet the requirements in 

paragraphs (d)(3)(i)(A) and (d)(3)(ii) above. 

(4) Demonstrating control effectiveness comparable to 

LAER. The owner or operator may demonstrate that the 

emissions unit's control technology is comparable to LAER 

for purposes of paragraph (d)(3)(i) of this section 

according to either paragraph (d)(4)(i) or (ii) below. 

Paragraph (d)(4)(iii) specifies the time for making this 

comparison. 

(i) Comparison to previous LAER determinations. The 

Administrator maintains an on-line data base of previous 

determinations of reasonably available control technology 

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(RACT), best available control technology (BACT), and LAER 

in the RACT/BACT/LAER Clearinghouse (RBLC). The emission 

unit's control technology is presumed to be comparable to 

LAER if it achieves an emissions limitation that is at least 

as stringent as any one of the five best-performing similar 

sources for which a LAER determinations has been made within 

the preceding 5 years, and for which information has been 

entered into the RBLC. The reviewing authority may shall 

also compare this presumption to any additional LAER 

determinations of which it is aware, and shall consider any 

information on achieved-in-practice pollution control 

technologies provided during the public comment period, to 

determine whether any presumptive determination that the 

control technology is comparable to LAER is correct. 

(ii) The substantially-as-effective test. If an owner 

or operator can not demonstrate that the emission unit's air 

pollution control technology is comparable to LAER using the 

procedures above in paragraph—(d) (4) (i)—of this section—(for 

instance if each LAER determination is given in terms of a 

percent reduction efficiency and the facility has 

demonstrated an equivalent—level of control—through 

pollution prevention,—or because the data in the RDLC are 

inadequate to determine whether the control measures are 

comparable to LAER) ,—then The owner or operator may 

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demonstrate that the emission unit's control technology is 

substantially as effective as LAER. In addition, any other 

person may present evidence related to whether the control 

technology is substantially as effective as LAER during the 

public participation process required below under paragraph 

(d)(7) of this section. The reviewing authority shall 

consider such evidence on a case-by-case basis and determine 

whether the emissions unit's air pollution control 

technology is substantially as effective as LAER. 

(iii) Time of Comparison 

(A) Emissions units with control technologies that are 

installed before the effective date of plan requirements 

implementing this paragraph. The owner or operator of an 

emissions unit whose control technology is installed before 

the effective date of plan requirements implementing this 

paragraph (d) may, at its option, either demonstrate that 

the emission limitation achieved by the emissions unit's 

control technology is comparable to the LAER requirements 

that applied at the time the control technology was 

installed, or demonstrate that the emission limitation 

achieved by the emissions unit's control technology is 

comparable to current-day LAER requirements. The expiration 

date of the Clean Unit designation will depend on which 

option the owner or operator uses, as specified in paragraph 

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(d)(6) of this section. 

(B) Emissions units with control technologies that are 

installed after the effective date of plan requirements 

implementing this paragraph. The owner or operator must 

demonstrate that the emission limitation achieved by the 

emissions unit's control technology is comparable to 

current-day LAER requirements. 

(5) Effective date of Clean Unit designation. The 

effective date of an emissions unit's Clean Unit designation 

[that is, the date on which the owner or operator may use 

the Clean Unit Test to determine whether a project involving 

the emissions unit is a major modification] is the date that 

the permit required by paragraph (d)(7) of this section is 

issued or the date that the emissions unit's air pollution 

control technology is placed into service, whichever is 

later. 

(6) Clean Unit expiration. If the owner or operator 

demonstrates that the emission limitation achieved by the 

emissions unit's control technology is comparable to the 

LAER requirements that applied at the time the control 

technology was installed, then the Clean Unit designation 

expires 10 years from the date that the control technology 

was installed. For all other emissions units, the Clean 

Unit designation expires 10 years from the effective date of 

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the Clean Unit designation, as determined according to 

paragraph (d)(5) of this section. In addition, for all 

emissions units, the Clean Unit designation expires any time 

the owner or operator fails to comply with the provisions 

for maintaining the Clean Unit designation in paragraph 

(d)(9) of this section. 

(7) Procedures for designating emissions units as 

Clean Units. The reviewing authority shall designate an 

emissions unit a Clean Unit only by issuing a permit through 

a permitting program that has been approved by the 

Administrator and that conforms with the requirements of 

§§51.160 through 51.164 of this chapter including 

requirements for public notice of the proposed Clean Unit 

designation and opportunity for public comment. Such permit 

must also meet the requirements in paragraph (d)(8). 

(8) Required permit content. The permit required by 

paragraph (d)(7) of this section shall include the following 

terms and conditions in paragraphs (d)(8)(i) through (vi). 

Such terms and conditions shall be incorporated into the 

major stationary source's Title V permit in accordance with 

the provisions of the applicable Title V permit program 

under Part 70 or Part 71 of this chapter, but no later than 

when the Title V permit is renewed. 

(i) A statement indicating that the emissions unit 

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qualifies as a Clean Unit and identifying the pollutant(s) 

for which this designation applies. 

(ii) The effective date of the Clean Unit designation. 

If this date is not known when the reviewing authority 

issues the permit (e.g., because the air pollution control 

technology is not yet in service), then the permit must 

describe the event that will determine the effective date 

(e.g., the date the control technology is placed into 

service). Once the effective date is known, then the owner 

or operator must notify the reviewing authority of the exact 

date. This specific effective date must be added to the 

source's title V permit at the first opportunity, such as a 

modification, revision, reopening, or renewal of the title V 

permit for any reason, whichever comes first, but in no case 

later than the next renewal. 

(iii) The expiration date of the Clean Unit 

designation. If this date is not known when the reviewing 

authority issues the permit (e.g., because the air pollution 

control technology is not yet in service), then the permit 

must describe the event that will determine the expiration 

date (e.g., the date the control technology is placed into 

service). Once the expiration date is known, then the owner 

or operator must notify the reviewing authority of the exact 

date. The expiration date must be added to the source's 

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title V permit at the first opportunity, such as a 

modification, revision, reopening, or renewal of the title V 

permit for any reason, whichever comes first, but in no case 

later than the next renewal. 

(iv) All emission limitations and work practice 

requirements adopted in conjunction with emission 

limitations necessary to assure that the control technology 

continues to achieve an emission limitation comparable to 

LAER, and any physical or operational characteristics that 

formed the basis for determining that the emission unit's 

control technology achieves a level of emissions control 

comparable to LAER (e.g., possibly the emissions unit's 

capacity or throughput). 

(v) Monitoring, recordkeeping, and reporting 

requirements as necessary to demonstrate that the emissions 

unit continues to meet the criteria for maintaining its 

Clean Unit designation. [See paragraph (d)(9) of this 

section, below.] 

(vi) Terms reflecting the owner or operator's duties 

to maintain the Clean Unit designation and the consequences 

of failing to do so, as presented below in paragraph (d)(9) 

of this section. 

(9) Maintaining a Clean Unit designation. To maintain 

Clean Unit status, the owner or operator must conform to all 

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the restrictions listed below in paragraphs (d)(9)(i) 

through (v) of this section. This paragraph (d)(9) applies 

independently to each pollutant for which the reviewing 

authority has designated the emissions unit a Clean Unit. 

That is, failing to conform to the restrictions for one 

pollutant affects the Clean Unit designation only for that 

pollutant. 

(i) The Clean Unit must comply with the emission 

limitation(s) and/or work practice requirements adopted to 

ensure that the control technology continues to achieve 

emission control comparable to LAER. 

(ii) The owner or operator may not make a physical 

change in or change in the method of operation of the Clean 

Unit that causes the emissions unit to function in a manner 

that is inconsistent with the physical or operational 

characteristics that formed the basis for the determination 

that the control technology is achieving a level of emission 

control that is comparable to LAER (e.g., possibly emissions 

unit's capacity or throughput). 

(iii) The Clean Unit may not emit above a level that 

has been offset. 

(iv) The Clean Unit must comply with any terms and 

conditions in the title V permit related to the unit's Clean 

Unit status. 

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(v) The Clean Unit must continue to control emissions 

using the specific air pollution control technology that was 

the basis for its Clean Unit status. If the emissions unit 

or control technology is replaced, then the Clean Unit 

designation ends. 

(10) Credit for emission reductions at Clean Units. 

Emissions changes that occur at a Clean Unit must not be 

included in calculating a significant net emissions increase 

(that is, must not be used in a "netting analysis"), or be 

used for generating offsets unless such use occurs before 

the effective date of plan requirements adopted to implement 

this paragraph (d) or after the Clean Unit designation 

expires; or, unless the emissions unit reduces emissions 

below the level that qualified the unit as a Clean Unit. If 

the Clean Unit reduces emissions below the level that 

qualified the unit as a Clean Unit, then the owner or 

operator may generate a credit for the difference between 

LAER and the emission unit's baseline actual emissions if 

such reductions are surplus, quantifiable, permanent and 

federally enforceable. 

(11) Effect of redesignation on a Clean Unit 

designation. The Clean Unit designation of an emissions 

unit is not affected by redesignation of the area in which 

it is located. That is, if a Clean Unit is located in an 

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attainment area and the area is redesignated to 

nonattainment, its Clean Unit designation is not affected. 

Similarly, redesignation from nonattainment to attainment 

does not affect the Clean Unit designation. However, a 

Clean Unit must re-qualify as a Clean Unit according to the 

requirements that apply in the area at the time it requalifies . 

(e) PCP (PCP) Exclusion procedural requirements. The 

plan shall provide for PCPs according to the provisions in 

paragraphs (e)(1) through (6) of this section. 

(1) Before an owner/operator begins actual 

construction of a PCP (PCP), they must either submit a 

notice to the reviewing authority if the project is listed 

in paragraphs (a)(1)(xxv)(A) through (F) of this section, or 

if the project is not listed in paragraphs (a)(1)(xxv)(A) 

through (F) of this section, then the owner or operator must 

submit a permit application and obtain approval to use the 

PCP exclusion from the reviewing authority consistent with 

the requirements in paragraph (e)(5) below. Regardless of 

whether the owner or operator submits a notice or a permit 

application, the project must meet the requirements in 

paragraph (e)(2) of this section, and the notice or permit 

application must contain the information required in 

paragraph (e)(3) of this section. 

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(2) Any project that relies on the PCP exclusion must 

meet the requirements in paragraphs (e)(2)(i) through (ii) 

of this section. 

(i) Environmentally beneficial analysis. The 

environmental benefit from the emission reductions of 

pollutants regulated under the Act must outweigh the 

environmental detriment of emissions increases in pollutants 

regulated under the Clean Air Act. A statement that a 

technology from paragraphs (a)(1)(xxv)(A) through (F) of 

this section is being used shall be presumed to1 satisfy this 

requirement. 

(ii) Air quality analysis. The emissions increases 

from the project will not cause or contribute to a violation 

of any national ambient air quality standard or PSD 

increment, or adversely impact an air quality related value 

(such as visibility) that has been identified for a Federal 

Class I area by a Federal Land Manager and for which 

information is available to the general public. 

(3) Content of notice or permit application. In the 

notice or permit application sent to the reviewing 

authority, the owner or operator must include, at a minimum, 

the information listed in paragraphs (e)(3)(i) through (v) 

of this section. 

(i) A description of the project. 

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(ii) The potential emissions increases and decreases, 

of any pollutant regulated under the Clean Air Act and the 

projected emissions increases and decreases using the 

methodology in paragraph (a)(2)(vi) of this section, that 

will result from the project, and a copy of the 

environmentally beneficial analysis required by paragraph 

(e)(2)(i) of this section. 

(iii) Description of monitoring and recordkeeping, and 

all other methods, to be used on an ongoing basis to 

demonstrate that the project is environmentally beneficial. 

Methods should be sufficient to meet the requirements in 

Part 70 and Part 71. 

(iv) A certification that the project will be designed 

and operated in a manner that is consistent with proper 

industry and engineering practices, in a manner that is 

consistent with the environmentally beneficial analysis and 

air quality analysis required by paragraphs (e)(2)(i) and 

(ii) of this section, with information submitted in the 

notice or permit application, and in such a way as to 

minimize, within the physical configuration and operational 

standards usually associated with the emissions control 

device or strategy, emissions of collateral pollutants. 

(v) Demonstration that the PCP will not have an 

adverse air quality impact (e.g., modeling, screening level 

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modeling results, or a statement that the collateral 

emissions increase is included within the parameters used in 

the most recent modeling exercise) as required by paragraph 

(e)(2)(ii) of this section. An air quality impact analysis 

is not required for any pollutant which will not experience 

a significant emissions increase as a result of the project. 

(4) Notice process for listed projects. For projects 

listed in paragraphs (a)(1)(xxv)(A) through (F) of this 

section, the owner or operator may begin actual construction 

of the project immediately after notice is sent to the 

reviewing authority (unless otherwise prohibited under 

requirements of the applicable State Implementation Plan). 

The owner or operator shall respond to any requests by its 

reviewing authority for additional information that the 

reviewing authority determines is necessary to evaluate the 

suitability of the project for the PCP exclusion. 

(5) Permit process for unlisted projects. Before an 

owner or operator may begin actual construction of a PCP 

project that is not listed in paragraphs (a)(1)(xxv)(A) 

through (F) of this section, the project must be approved by 

the reviewing authority and recorded in a SIP-approved 

permit or title V permit using procedures that are 

consistent with §§51.160 and 51.161 of this chapter. This 

includes the requirement that the reviewing authority 

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provide the public with notice of the proposed approval, 

with access to the environmentally beneficial analysis and 

the air quality analysis, and provide at least a 30-day 

period for the public and the Administrator to submit 

comments. The reviewing authority must address all material 

comments received by the end of the comment period before 

taking final action on the permit. 

(6) Operational requirements. Upon installation of 

the PCP, the owner or operator must comply with the 

requirements of paragraphs (e)(6)(i) through (iii) of this 

section. 

(i) General duty. The owner or operator must operate 

the PCP in a manner consistent with proper industry and 

engineering practices, in a manner that is consistent with 

the environmentally beneficial analysis and air quality 

analysis required by paragraphs (e)(2)(i) and (ii) of this 

section, with information submitted in the notice or permit 

application required by paragraph (e)(3), and in such a way 

as to minimize, within the physical configuration and 

operational standards usually associated with the emissions 

control device or strategy, emissions of collateral 

pollutants. 

(ii) Recordkeeping. The owner or operator must 

maintain copies on site of the environmentally beneficial 

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analysis, the air quality impacts analysis, and monitoring 

and other emission records to prove that the PCP operated 

consistent with the general duty requirements in paragraph 

(e) (6) (i) . 

(iii) Permit requirements. The owner or operator must 

comply with any provisions in the SIP-approved permit or 

title V permit related to use and approval of the PCP 

exclusion. 

(iv) Generation of Emission Reduction Credits. 

Emission reductions created by a PCP shall not be included 

in calculating a significant net emissions increase, or be 

used for generating offsets, unless the emissions unit 

further reduces emissions after qualifying for the PCP 

Exclusion (e.g., taking an operational restriction on the 

hours of operation). The owner or operator may generate a 

credit for the difference between the level of reduction 

which was used to qualify for the PCP exclusion and the new 

emissions limit if such reductions are surplus, 

quantifiable, permanent, and federally enforceable. 

(f) Actuals plantwide applicability limitations. The 

plan shall provide for PALs according to the provisions in 

paragraphs (f)(1) through (15) of this section. 

(1) Applicability. 

(i) The reviewing authority may approve the use of an 

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actuals plantwide applicability limitation (PAL) for any 

existing major stationary source (except as provided in 

paragraph (f)(1)(ii) of this section) if the PAL meets the 

requirements in paragraphs (f)(1) through (15) of this 

section. The term "PAL" shall mean "actuals PAL" throughout 

paragraph (f) of this section. 

(ii) The reviewing authority shall not allow an 

actuals PAL for any major stationary source located in an 

extreme ozone nonattainment area. 

(iii) Any physical change in or change in the method 

of operation of a major stationary source that maintains its 

total source wide emissions below the PAL level, meets the 

requirements in paragraphs (f)(1) through (15) of this 

section, and complies with the PAL permit: 

(A) Is not a major modification for the PAL pollutant; 

(B) Does not have to be approved through the plan's 

nonattainment major NSR program; and 

(C) Is not subject to the provisions in paragraph 

(a)(5)(ii) of this section (restrictions on relaxing 

enforceable emissions limitations that the major stationary 

source used to avoid applicability of the nonattainment 

major NSR program). 

(iv) Except as provided under paragraph (f) (1) (iii) (C) 

of this section, a major stationary source shall continue to 

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comply with all applicable Federal or State requirements, 

emissions limitations, and work practice requirements that 

were established prior to the effective date of the PAL. 

(2) Definitions. The plan shall use the definitions 

in paragraphs (f)(2)(i) through (xi) of this section for the 

purpose of developing and implementing regulations that 

authorize the use of actuals PALs consistent with paragraphs 

(f)(1) through (15) of this section. When a term is not 

defined in these paragraphs, it shall have the meaning given 

in paragraph (a)(1) of this section or in the Act. 

(i) Actuals PAL for a major stationary source means a 

PAL based on the baseline actual emissions (as defined in 

paragraph (a)(1)(xxxv) of this section) of all emissions 

units (as defined in paragraph (a)(1)(vii) of this section) 

at the source, that emit or have the potential to emit the 

PAL pollutant. 

(ii) Allowable emissions means "allowable emissions" 

as defined in paragraph (a)(1)(xi) of this section, except 

as this definition is modified according to paragraphs 

(f)(2)(ii)(A) through (B) of this section. 

(A) The allowable emissions for any emissions unit 

shall be calculated considering any emissions limitations 

that is enforceable as a practical matter on the emissions 

unit's potential to emit. 

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(B) An emissions unit's potential to emit shall be 

determined using the definition in paragraph (a) (1) (iii) of 

this section, except that the words "or enforceable as a 

practical matter" should be added after "federally 

enforceable." 

(iii) Small emissions unit means an emissions unit 

that emits or has the potential to emit the PAL pollutant in 

an amount less than the significant level for that PAL 

pollutant, as defined in paragraph (a)(1)(x) of this section 

or in the Clean Air Act, whichever is lower. 

(iv) Major emissions unit means: 

(A) Any emissions unit that emits or has the potential 

to emit 100 tons per year or more of the PAL pollutant in an 

attainment area; or 

(B) Any emissions unit that emits or has the potential 

to emit the PAL pollutant in an amount that is equal to or 

greater than the major source threshold for the PAL 

pollutant as defined by the Act for nonattainment areas. 

For example, in accordance with the definition of major 

stationary source in section 182(c) of the Act, an emissions 

unit would be a major emissions unit for VOC if the 

emissions unit is located in a serious ozone nonattainment 

area and it emits or has the potential to emit 50 or more 

tons of VOC per year. 

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(v) Plantwide applicability limitation (PAL) means an 

emissions limitation expressed in tons per year, for a 

pollutant at a major stationary source, that is enforceable 

as a practical matter and established source wide in 

accordance with paragraphs (f)(1) to (15) of this section. 

(vi) PAL effective date generally means the date of 

issuance of the PAL permit. However, the PAL effective date 

for an increased PAL is the date any emissions unit which is 

part of the PAL major modification becomes operational and 

begins to emit the PAL pollutant. 

(vii) PAL effective period means the period beginning 

with the PAL effective date and ending 10 years later. 

(viii) PAL major modification means, notwithstanding 

paragraphs (a)(1)(v) and (vi) of this section (the 

definitions for major modification and net emissions 

increases), any physical change in or change in the method 

of operation of the PAL source that causes it to emit the 

PAL pollutant at a level equal to or greater than the PAL. 

(ix) PAL permit means the major NSR permit, the minor 

NSR permit, or the State operating permit under a program 

that is approved into the State Implementation Plan, or the 

title V permit issued by the reviewing authority that 

establishes a PAL for a major stationary source. 

(x) PAL pollutant means the pollutant for which a PAL 

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is established at a major stationary source. 

(xi) Significant emissions unit means an emissions 

unit that emits or has the potential to emit a PAL pollutant 

in an amount that is equal to or greater than the 

significant level (as defined in paragraph (a)(1)(x) of this 

section or in the Clean Air Act, whichever is lower) for 

that PAL pollutant, but less than the amount that would 

qualify the unit as a major emissions unit as defined in 

paragraph (f)(2)(iv) of this section. 

(3) Permit application requirements. As part of a 

permit application requesting a PAL, the owner or operator 

of a major stationary source shall submit the following 

information to the reviewing authority for approval: 

(i) A list of all emissions units at the source 

designated as nonsignificant, significant or major based on 

their potential to emit. In addition, the owner or operator 

of the source shall indicate which, if any, Federal or State 

applicable requirements, emissions limits or work practices 

apply to each unit. 

(ii) Calculations of the baseline actual emissions 

(with supporting documentation). Baseline actual emissions 

are to include emissions associated not only with operation 

of the unit, but also emissions associated with startup, 

shutdown and malfunction. 

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(4) General requirements for establishing PALs. 

(i) The plan—may allows the reviewing authority to 

establish a PAL at a major stationary source, provided that 

at a minimum, the requirements in paragraphs (f)(4)(i)(A) 

through (G) of this section are met. 

(A) The PAL shall impose an annual emissions 

limitation expressed in tons per year that is enforceable as 

a practical matter, for the entire major stationary source. 

For each month during the PAL effective period after the 

first 12 months of establishing a PAL, the major stationary 

source owner or operator shall show that the sum of the 

monthly emissions from each emissions unit under the PAL for 

the previous 12 consecutive months is less than the PAL (a 

12-month average, rolled monthly). For each month during 

the first 11 months from the PAL effective date, the major 

stationary source owner or operator shall show that the sum 

of the preceding monthly emissions from the PAL effective 

date for each emissions unit under the PAL is less than the 

PAL. 

(B) The PAL shall be established in a PAL permit that 

meets the public participation requirements in paragraph 

(f)(5) of this section. 

(C) The PAL permit shall contain all the requirements 

of paragraph (f)(7) of this section. 

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(D) The PAL shall include fugitive emissions, to the 

extent quantifiable, from all emissions units that emit or 

have the potential to emit the PAL pollutant at the major 

stationary source. 

(E) Each PAL shall regulate emissions of only one 

pollutant. 

(F) Each PAL shall have a PAL effective period of 10 

years. 

(G) The owner or operator of the major stationary 

source with a PAL shall comply with the monitoring, 

recordkeeping, and reporting requirements provided in 

paragraphs (f)(12) through (14) of this section for each 

emissions unit under the PAL through the PAL effective 

period. 

(ii) At no time (during or after the PAL effective 

period) are emissions reductions of a PAL pollutant, which 

occur during the PAL effective period, creditable as 

decreases for purposes of offsets under paragraph (a)(3)(ii) 

of this section unless the level of the PAL is reduced by 

the amount of such emissions reductions and such reductions 

would be creditable in the absence of the PAL. 

(5) Public participation requirement for PALs. PALs 

for existing major stationary sources shall be established, 

renewed, or increased through a procedure that is consistent 

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with §§51.160 and 51.161 of this chapter. This includes the 

requirement that the reviewing authority provide the public 

with notice of the proposed approval of a PAL permit and at 

least a 30:rday period for submittal of public comment. The 

reviewing authority must address all material comments 

before taking final action on the permit. 

(6) Setting the 10-year actuals PAL level. The plan 

shall provide that the actuals PAL level for a major 

stationary source shall be established as the sum of the 

baseline actual emissions (as defined in paragraph 

(a)(1)(xxxv) of this section) of the PAL pollutant for each 

emissions unit at the source; plus an amount equal to the 

applicable significant level for the PAL pollutant under 

paragraph (a)(1)(x) of this section or under the Clean Air 

Act, whichever is lower. The reviewing authority shall 

specify a reduced PAL level(s) (in tons/yr) in the PAL 

permit to become effective on the future compliance date(s) 

of any applicable Federal or State regulatory requirement(s) 

that the reviewing authority is aware of prior to issuance 

of the PAL permit. For instance, if the source owner or 

operator will be required to reduce emissions from 

industrial boilers in half from baseline emissions of 60 ppm 

NOx to a new rule limit of 3 0ppm, then the permit shall 

contain a future effective PAL level that is equal to the 

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current PAL level reduced by half of the original baseline 

emissions of such unit(s). 

(7) Contents of the PAL permit. The plan shall 

require that the PAL permit contain, at a minimum, the 

information in paragraphs (f)(7)(i) through (xi) of this 

section. 

(i) The PAL pollutant and the applicable source wide 

emissions limitation in tons per year. 

(ii) The PAL permit effective date and the expiration 

termination date of the PAL (PAL effective period). 

(iii) Specification in the PAL permit that if a major 

stationary source owner or operator applies to renew a PAL 

in accordance with paragraph (f)(10) of this section before 

the end of the PAL effective period, then the PAL shall not 

expire at the end of the PAL effective period. It shall 

remain in effect until a revised PAL permit is issued by the 

reviewing authority. 

(iv) A requirement that emission calculations for 

compliance purposes include emissions from startups, 

shutdowns and malfunctions. 

(v) A requirement that, once the PAL expires, the 

major stationary source is subject to the requirements of 

paragraph (f)(9)(i) of this section. 

(vi) The emissions—equation (s-r calculation procedures 

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that the major stationary source owner or operator shall use 

to convert the monitoring system data to monthly emissions 

and annual emissions rolled on a monthly basis as required 

by paragraph (f) (12) (iii) of this section. 

(vii) A requirement that the major stationary source 

owner or operator monitor all emissions units in accordance 

with the approved monitorrag—plan and the provisions and 

prohibitions under paragraph (f)(12) of this section. 

(viii) A requirement to retain the records required 

under paragraph (f)(13) of this section on site. Such 

records may be retained in an electronic format. 

(ix) A requirement to submit the reports required 

under paragraph (f)(14) of this section by the required 

deadlines. 

(x) Any other requirements that the reviewing 

authority deems necessary to implement and enforce the PAL. 

(8) PAL effective period and reopening of the PAL 

permit. The plan shall require the information in 

paragraphs (f)(8)(i) and (ii) of this section. 

(i) PAL effective period. The reviewing authority 

shall specify a PAL effective period of 10 years. 

(ii) Reopening of the PAL permit. 

(A) During the PAL effective period, the plan shall 

require the reviewing authority to reopen the PAL permit to: 

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(1.) Correct typographical/calculation errors made in 

setting the PAL or reflect a more accurate determination of 

emissions used to establish the PAL. 

(2.) Reduce the PAL if the owner or operator of the 

major stationary source creates creditable emissions 

reductions for use as offsets under paragraph (a)(3)(ii) of 

this section. 

(3.) Revise a PAL to reflect an increase in the PAL as 

provided under paragraph (f)(11) of this section. 

(B) The plan shall provide the reviewing authority 

discretion to reopen the PAL permit for the following: 

(JL) Reduce the PAL to reflect newly applicable Federal 

requirements (for example, NSPS) with compliance dates after 

the PAL effective date. 

(2.) Reduce the PAL consistent with, any other 

requirement, that is enforceable as a practical matter, and 

that the State may impose on the major stationary source 

under the SIP. 

(3.) Reduce the PAL to avoid causing or contributing to 

a NAAQS or PSD increment violation, or to an adverse impact 

on an AQRV in a Federal Class I area. 

(C) Except for the permit reopening in paragraph 

(f) (8) (ii) (A) (JL) of this section for the correction of 

typographical/calculation errors that do not increase the 

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PAL level, all other reopenings shall be carried out in 

accordance with the public participation requirements of 

paragraph (f)(5) of this section. 

(9) Expiration of a PAL. 

(i) Expiration. Any PAL which is not renewed in 

accordance with the procedures in paragraph (f)(10) of this 

section shall expire at the end of the PAL effective period, 

and the requirements in paragraphs (f)(9)(i)(A) through (E) 

of this section shall apply. 

(A) Each emissions unit (or each group of emissions 

units) that existed under the PAL shall comply with an 

allowable emissions limitation under a revised permit 

established according to the procedures in paragraphs 

(f) (9) (i) (A) (1) through (2) . 

(JL) Within the time frame specified for PAL renewals 

in paragraph (f)(10)(ii) of this section, the major 

stationary source shall submit a proposed allowable 

emissions limitation for each emissions unit (or each group 

of emissions units, if such a distribution is more 

appropriate as decided by the reviewing authority) by 

distributing the PAL allowable emissions for the major 

stationary source among each of the emissions units that 

existed under the PAL. If the PAL had not yet been adjusted 

for an applicable requirement that became effective during 

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the PAL effective period, as required under paragraph 

(f)(10)(v) of this section, such distribution shall be made 

as if the PAL had been adjusted. 

(J2) The reviewing authority shall decide whether and 

how the PAL allowable emissions will be distributed and 

issue a revised permit incorporating allowable limits for 

each emissions unit, or each group of emissions units, as 

the reviewing authority determines is appropriate. 

(B) Each emissions unit(s) shall comply with the 

allowable emissions limitation on a 12-month rolling basis. 

The reviewing authority may approve the use of monitoring 

systems (source testing, emissions factors, etc.) other than 

CEMS, CERMS, PEMS or CPMS to demonstrate compliance with the 

allowable emissions limitation. 

(C) Until the reviewing authority issues the revised 

permit incorporating allowable limits for each emissions 

unit, or each group of emissions units, as required under 

paragraph (f) (9) (i) (A) (JL) of this section, the source shall 

continue to comply with a source wide, multi-unit emissions 

cap on all the emissions units. 

(D) Any physical change or change in the method of 

operation at the major stationary source will be subject to 

the nonattainment major NSR requirements if such change 

meets the definition of major modification in paragraph 

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(a)(1)(v) of this section or in paragraphs (c)(2)(ii) or 

(d)(2)(ii) for a Clean Unit. 

(E) The major stationary source owner or operator 

shall continue to comply with any State or Federal 

applicable requirements (BACT, RACT, NSPS, etc.) that may 

have applied either during the PAL effective period or prior 

to the PAL effective period except for those emissions 

limitations that had been established pursuant to paragraph 

(a)(5)(ii) of this section, but were superseded by the PAL 

in accordance with the provisions in paragraph 

(f)(1)(iii)(C) of this section. 

(10) Renewal of a PAL. 

(i) The reviewing authority shall follow the 

procedures specified in paragraph (f)(5) of this section in 

approving any request to renew a PAL for a major stationary 

source, and shall provide both the proposed PAL level and a 

written rationale for the proposed PAL level to the public 

for review and comment. During such public review, any 

person may propose a PAL level for the source for 

consideration by the reviewing authority. 

(ii) Application deadline. The plan shall require 

that a major stationary source owner or operator shall 

submit a timely application to the reviewing authority to 

request renewal of a PAL. A timely application is one that 

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is submitted at least 6 months prior to, but not earlier 

than 18 months from, the date of permit expiration. This 

deadline for application submittal is to ensure that the 

permit will not expire before the permit is renewed. If the 

owner or operator of a major stationary source submits a 

complete application to renew the PAL within this time 

period, then the PAL shall continue to be effective until 

the revised permit with the renewed PAL is issued. 

(iii) Application requirements. The application to 

renew a PAL permit shall contain the information required in 

paragraphs (f) (10) (iii) (A) through (D) below: 

(A) The information required in paragraphs (f)(3)(i) 

through (iii) of this section; 

(B) A proposed PAL level; 

(C) The sum of the potential to emit of all emissions 

units under the PAL (with supporting documentation); and 

(D) Any other information the owner or operator wishes 

the reviewing authority to consider in determining the 

appropriate level for renewing the PAL. 

(iv) PAL adjustment. In determining whether and how 

to adjust the PAL, the reviewing authority shall consider 

the options outlined in paragraphs (f)(10)(iv)(A) through 

(BC) of this section. However, in no case may any such 

adjustment fail to comply with paragraph (f)(10)(iv)(EC) of 

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this section. 

(A) If the emissions level calculated in accordance 

with paragraph (f)(6) of this section is equal to or greater 

than 80 percent of the PAL level, the reviewing authority 

may renew the PAL at the same level without considering the 

factors set forth in paragraph (f)(10)(iv)(B) of this 

section, is not required to adjust the PAL;—or 

(B) If the emissions level calculated in accordance 

with paragraph—(f) (6)—of this section is less than 0 0 

percent of the PAL level,—then the reviewing authority shall 

adjust—the PAL to either a value equal—to this emissions 

level,—or to a value equal to this emissions level minus the 

significant level for the PAL pollutant plus an amount equal 

to 2 0 percent of—the current PAL,—whichever one of tiiese. 

values is greater. 

(-€-) In calculating the emissions level in paragraphs 

(f) (10) (iv) (A)—or—(B}—of this section or the potential—to 

emit of the source in paragraph—(f) (10) (iv) (E) (JL)—of this 

section,—the—reviewing authority may include—the allowable 

emissions of—the new projects under binding contract. 

(fr) Notwithstanding paragraphs—(f) (10) (iv) (A)—or—rBr 

of this section,—the The reviewing authority may set atrj-trs-t 

the PAL at a to any level If the reviewing authority— that 

it determines that levei: to be more representative of the 

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source's baseline actual emissions, or if the—revi-ewrrig 

authority that it determines to be that another—ire ve 1 is 

more appropriate considering air quality needs, advances in 

control technology, anticipated economic growth in the area, 

desire to reward or encourage the source's voluntary 

emissions reductions, or other factors as specifically 

identified by the reviewing authority in its written 

rationale. 

(EC) Notwithstanding paragraphs (f)(10)(iv)(A) and 

through (DB) of this section, 

(1) If the potential to emit of the major stationary 

source is less than the PAL, the reviewing authority shall 

adjust the PAL to a level no greater than the potential to 

emit of the source; and 

(2.) The reviewing authority shall not approve a 

renewed PAL level higher than the current PAL, unless the 

major stationary source has complied with the provisions of 

paragraph (f)(11) of this section (increasing a PAL). 

(v) If the compliance date for a State or Federal 

requirement that applies to the PAL source occurs during the 

PAL effective period, and if the reviewing authority has not 

already adjusted for such requirement, the PAL shall be 

adjusted at the time of PAL permit renewal or title V permit 

renewal, whichever occurs first. 

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(11) Increasing a PAL during the PAL effective period. 

(i) The plan shall require that the reviewing 

authority may increase a PAL emissions limitation only if 

the major stationary source complies with the provisions in 

paragraphs (f)(11)(i)(A) through (D) of this section. 

(A) The owner or operator of the major stationary 

source shall submit a complete application to request an 

increase in the PAL limit for a PAL major modification. 

Such application shall identify the emissions unit(s) 

contributing to the increase in emissions so as to cause the 

major stationary source's emissions to equal or exceed its 

PAL. 

(B) As part of this application, the major stationary 

source owner or operator shall demonstrate that the sum of 

the baseline actual emissions of the nonsignificant small 

emissions units, plus the sum of the baseline actual 

emissions of the significant and major emissions units 

assuming application of BACT equivalent controls, plus the 

sum of the allowable emissions of the new or modified 

emissions unit(s) exceeds the PAL. The level of control 

that would result from BACT equivalent controls on each 

emissions unit shall be determined by conducting a new BACT 

analysis at the time the application is submitted, unless 

the emissions unit is currently required to comply with a 

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BACT or LAER requirement that was established within the 

preceding 10 years. In such a case, the BACT control level 

for that emissions unit shall be equal to the level of BACT 

or LAER with which that emissions unit must currently 

comply. 

(C) The owner or operator obtains a major NSR permit 

for all emissions unit(s) identified in paragraph 

(f)(11)(i)(A) of this section, regardless of the magnitude 

of the emissions increase resulting from them (that is, no 

significant levels apply). These emissions unit(s) shall 

comply with any emissions requirements resulting from the 

nonattainment major NSR program process (for example, LAER), 

even though they have also become subject to the PAL or 

continue to be subject to the PAL. 

(D) The PAL permit shall require that the increased 

PAL level shall be effective on the day any emissions unit 

that is part of the PAL major modification becomes 

operational and begins to emit the PAL pollutant. 

(ii) The reviewing authority shall calculate the new 

PAL as the sum of the allowable emissions for each modified 

or new emissions unit, plus the sum of the baseline actual 

emissions of the significant and major emissions units 

assuming application of BACT equivalent controls, as 

determined in accordance with paragraph (f)(11)(i)(B), plus 

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the sum of the baseline actual emissions of the small 

emissions units. 

(iii) The PAL permit shall be revised to reflect the 

increased PAL level pursuant to the public notice 

requirements of paragraph (f)(5) of this section. 

(12) Minimum Monitoring Requirements for PALs. 

(i) General Requirements. 

(A) Each PAL permit must contain,enforceable 

requirements for the monitoring system that accurately 

determines plantwide emissions of the PAL pollutant in terms 

of mass per unit time on an ongoing basis. Any monitoring 

system authorized for use in the PAL permit must be based on 

sound science and meet generally acceptable scientific 

procedures for data quality and manipulation. Additionally, 

the information generated by such system must meet minimum 

legal requirements for admissibility in a judicial 

proceeding to enforce the PAL permit. 

(B) The PAL monitoring system must employ one or more 

of the four general monitoring approaches meeting the 

minimum requirements set forth below and must be approved by 

the reviewing authority. 

(C) Notwithstanding paragraph (f)(12)(i)(B), you may 

also employ an alternative monitoring approach that meets 

paragraph (f)(12)(i)(A) above if approved by the reviewing 

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authority Adntrrrrs-t-rator. ??? 

(D) Failure to use a monitoring system that meets the 

requirements of this section renders the PAL invalid. 

(ii) Minimum Performance Requirements for Approved 

Monitoring Approaches. The following are acceptable general 

monitoring approaches when conducted in accordance with the 

minimum requirements in paragraphs (f)(12)(iii) through 

(ix) : 

(A) Mass balance calculations for activities using 

coatings or solvents; 

(B) Continuous Emissions Monitoring Systems (CEMS); 

(C) Continuous Parameter Monitoring Systems (CPMS) or 

Predictive Emissions Monitoring Systems (PEMS) with e-BRM-Sand ADHS,—as needed; and 

(D) Emission Factors. 

(iii) Mass Balance Calculations. An owner or operator 

using mass balance calculations to monitor PAL pollutant 

emissions from activities using coating or solvents shall 

meet the following requirements: 

(A) Provide a demonstrated means of validating the 

published content of the PAL pollutant that is contained in 

or created by all materials used in or at the emissions 

unit ; 

(B) Assume that the emissions unit emits all of the 

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51.165 Amendatory Language 10/18/02 

PAL pollutant that is contained in or created by any raw 

material or fuel used in or at the emissions unit, if it 

cannot otherwise be accounted for in the process; and 

(C) Where the vendor of a material or fuel, which is 

used in or at the emissions unit, publishes a range of 

pollutant content from such material, the owner or operator 

must use the highest value of the range to calculate the PAL 

pollutant emissions unless the Reviewing Authority 

determines there is site-specific data or a site-specific 

monitoring program to support another content within the 

range. 

(iv) CEMS. An owner or operator using CEMS to monitor 

PAL pollutant emissions shall meet the following 

requirements: 

(A) CEMS must comply with applicable Performance 

Specifications found in 4 0 C—F—R— 60, Appendix B; and 

(B) CEMS must sample, analyze and record data at least 

every 15 minutes while the emissions unit is operating. 

(v) CPMS or PEMS. An Owner or Operator using CPMS or 

PEMS to monitor PAL pollutant emissions shall meet the 

following requirements: 

(A) The CPMS or the PEMS must be based on current 

site-specific data demonstrating a correlation between the 

monitored parameter(s) and the PAL pollutant emissions 

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across the range of operation of the emissions unit; and 

(B) Each CPMS or PEMS must sample, analyze, and record 

data at least every 15 minutes, or at another interval 

approved by the reviewing authority, while the emissions 

unit is operating. 

(vi) Emission Factors. An owner or operator using 

emissions factors to monitor PAL pollutant emissions shall 

meet the following requirements: 

(A) All emission factors shall be adjusted, if 

appropriate, to account for the degree of uncertainty or 

limitations in the factors' development; 

(B) The emissions unit shall operate within the 

designated range of use for the emission factor, if 

applicable; and 

(C) If technically feasible, the owner or operator of 

a significant emissions unit that relies on an emission 

factor to calculate PAL pollutant emissions shall conduct 

validation testing to determine a site-specific emission 

factor within 6 months of PAL permit issuance, unless the 

reviewing authority determines that testing is not required. 

use. of the emission factor precludes the need for such 

testing. 

(vii) A source owner or operator must record and 

report maximum potential emissions without considering 

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enforceable emissions limitations or operational 

restrictions for an emissions unit during any period of time 

that there is no monitoring data, unless another method for 

determining emissions during such periods is specified in 

the PAL permit. 

(viii) Notwithstanding the requirements in paragraphs 

(f) (12) (iii) through (vii), where an owner or operator of an 

emissions unit cannot demonstrate a correlation between the 

monitored parameter(s) and the PAL pollutant emission rate 

at all operating points of the emissions unit, the reviewing 

authority shall, at the time of permit issuance: 

(A) Establish default value(s) for determining 

compliance with the PAL based on the highest potential 

emissions reasonably estimated at such operating point(s); 

or 

(B) Determine that operation of the emissions unit 

during operating conditions when there is no correlation 

between monitored parameter(s) and the PAL pollutant 

emissions is a violation of the PAL. 

(ix) Re-validation. All data used to establish the 

PAL pollutant must be re-validated through performance 

testing or other scientifically valid means approved by the 

reviewing authority. Such testing must occur at least once 

every five years after issuance of the PAL. 

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(13) Recordkeeping Requirements. 

(i) The PAL permit shall require an owner or operator 

to retain a copy of all records necessary to determine 

compliance with any requirement of paragraph (f) of this 

section and the PAL, including a determination of each 

emissions unit's 12-month rolling total emissions, for 5 

years from the date of such record. 

(ii) The PAL permit shall require an owner or operator 

to retain a copy of records-;—including the following 

recordsr for the duration of the PAL effective period plus 5 

years: 

(A) A copy of the PAL permit application and any 

applications for revisions to the PAL; and 

(B) Each annual certification of compliance pursuant 

to title V and the data relied on in certifying the 

compliance. 

(14) Reporting and notification requirements. The 

owner or operator shall submit semi-annual monitoring 

reports and prompt deviation reports to the reviewing 

authority in accordance with the applicable title V 

operating permit program. The reports shall meet the 

requirements in paragraphs (f)(14)(i) through (iii). 

(i) Semi-Annual Report. The semi-annual report shall 

be submitted to the reviewing authority within 3 0 days of 

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the end of each reportin g period . This report shal l contai n 

the information require d in paragraphs (f)(14)(i)(A) through 

(GH) of this section . 

• 

(A) The identification of owner and operator and the 

permit number. 

(B) Total annual emissions (tons/year) based on a 12-

month rolling total of the monthly emissions recorded 

pursuant to paragraph (f)(13)(i) of this section. 

(C) The computations for the monthly emissions for 

each of the 12 months before submission of the semi"annual 

report—(or for all prior months if the PAL has not been 

effective for one year) .— 

{&) All data relied upon, including, but not limited 

to, any Quality Assurance or Quality Control data, in 

calculating the monthly and annual PAL pollutant emissions. 

(ED) A list of any emissions units modified or added 

to the major stationary source during the preceding 6-month 

period. 

(FE) The number, duration, and cause of any deviations 

or monitoring malfunctions (other than the time associated 

with zero and span calibration checks), and any corrective 

action taken. 

(SF) A notification of a shutdown of any monitoring 

system, whether the shutdown was permanent or temporary, the 

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reason for the shutdown, the anticipated date that the 

monitoring system will be fully operational or replaced with 

another monitoring system, and whether the emissions unit 

monitored by the monitoring system continued to operate, and 

the calculation of the maximum potential to emit of the 

pollutant, as provided by (f)(12)(vii). 

(HG) A signed statement by the responsible official 

(as defined by the applicable title V operating permit 

program) certifying the truth, accuracy, and completeness of 

the information provided in the report. 

(ii) Deviation Report. The major stationary source 

owner or operator shall promptly submit reports of any 

deviations or exceedance of the PAL requirements, including 

periods where no monitoring is available. A report 

submitted pursuant to §70.6(a) (3) (iii) (B) of this chapter 

shall satisfy this reporting requirement. The deviation 

reports shall be submitted in accordance within the time 

limits prescribed by the applicable program implementing 

§70.6(a) (3) (iii) (B) of this chapter.—rn no event sha-ri—the 

source—submit—these—reports—latex—than one week after—the 

deviation(s). The reports shall contain the following 

information: 

(A) The identification of owner and operator and the 

permit number; 

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(B) The PAL requirement that experienced the deviation 

or that was exceeded; 

(C) Emissions resulting from the deviation or the 

exceedance; and 

(D) A signed statement by the responsible official (as 

defined by the applicable title V operating permit program) 

certifying the truth, accuracy, and completeness of the 

information provided in the report. 

(iii) Re-vValidation Results. The owner or operator 

shall submit to the reviewing authority the results of any 

re-validation test or method within three months after 

completion of such test or method. 

(15) Transition requirements. 

(i) No reviewing authority may issue a PAL that does 

not comply with the requirements in paragraphs (f)(1) 

through (15) of this section after the Administrator has 

approved regulations incorporating these requirements into a 

plan. 

(ii) The reviewing authority may supersede any PAL 

which was established prior to the date of approval of the 

plan by the Administrator with a PAL that complies with the 

requirements of paragraphs (f)(1) through (15) of this 

section. 

98