REGULATIONS AS EFFECTIVE ON 

FEBRUARY 5,2010 
COMMONWEALTH OF KENTUCKY 

ENVIRONMENTAL AND PUBLIC PROTECTION CABINET 

DEPARTMENT FOR ENVIRONMENTAL PROTECTION 

Division for Air Quality 

401 KAR 51:OOl. Definitions for 401 KAR Chapter 51. 

RELATES TO: KRS 48.01 0(15)(a), 224.01 -01 0, 224.20-1 00, 224.20-1 10, 224.20-1 20, 40 C.F.R. 

Chapter I, Part 50 Appendices A-R, 51 .I 00(s), 51.121, 51 .l65, 51 .l66, 51 Appendix S, 52.920, 53, 

60, 60 Appendices A, B, 61, 61 Appendix B, 63 Appendices A - Dl 70.2, 75, 82 , 96, 42 U.S.C. 

7401 -7671 6, EO 2009-538 

STATUTORY AUTHORITY: KRS 224.10-100(5), EO 2009-538 

NECESSITY, FUNCTION, AND CONFORMITY: KRS 224.10-100 requires the cabinet to 

promulgate administrative regulations for the prevention, abatement, and control of air pollution. EO 

2009-538, effective June 12, 2009, establishes the Energy and Environment Cabinet. This 

administrative regulation defines the terms used in 401 KAR Chapter 51. The definitions contained in 

this administrative regulation are neither more stringent nor otherwise different than the 

corresponding federal definitions. 

Section 1. Definitions. (1) "Acid rain emissions limitation" means a limitation on emissions of SO2 or 

NOx imposed by the Acid Rain Program under 42 U.S.C. 7651 to 

76510. 

(2) "Actual emissionsn means the actual rate of emissions of a regulated NSR pollutant from an 

emissions unit, as determined according to the following: 

(a) Actual emissions as of a particular date equals the average rate, in tons per year, at which 

the unit actually emitted the pollutant during a consecutive twenty-four (24) month period, that 

precedes that date and is representative of normal source operation. 

1. Use of a different time period is allowed if the cabinet determines that a different time period is 

more representative of normal source operation; and 

2. The unit's actual operating hours, production rates, and types of materials processed, stored, 

or combusted during the selected time period are used to calculate actual emissions. 

(b) Source-specific allowable emissions for the unit are equivalent to actual emissions of the unit 

if the cabinet has made an equivalency determination pursuant to 40 C.F.R. 51.166. 

(c) For an emissions unit, that has not begun normal operations on the particular date, actual 

emissions equals the potential to emit of the unit on that date. 

(d) This definition does not include: 

1. Calculating if a significant emissions increase has occurred; or 

2. Establishing a PAL under 401 KAR 51 :017, Section 20. 

(3) "Actuals PAL" or "PAL" means a plant-wide applicability limit established for a major 

stationary source based on the baseline actual emissions of all emissions units at the source that 

emit or have the potential to emit the PAL pollutant. 

(4) "Adverse impact on visibility" means visibility impairment that interferes with the 

management, protection, preservation, or enjoyment of the visitor's visual experience of the Class I 

area. This determination: 

(a) Is to be made on a case-by-case basis; 

(b) Considers the geographic extent, intensity, duration, frequency and time of visibility 

impairment, and how these factors correlate with the times of visitor use of the Class I area; and 

(c) Considers the frequency and timing of natural conditions that reduce visibility. 

(5) "Affected facility" means an apparatus, building, operation, road, or other entity or series of 

entities that emits or may emit an air contaminant into the outdoor atmosphere. 

(6) "Air contaminant" is defined by KRS 224.01 -01 O(1). 

(7) "Air pollutant" means air contaminant. 

(8) "Air pollution" is defined by KRS 224.01-01 O(3). 
401 KAR 51:OOl 

(9) "Air pollution control equipment" means a mechanism, device, or contrivance used to control 

or prevent air pollution, that is not, aside from air pollution control laws and administrative 

regulations, vital to production of the normal product of the source or to its normal operation. 

(10) "Allocate" or "allocation" means the determination by the cabinet of the number of NOx 

allowances to be credited to a NOx budget unit. 

(1 1 ) "Allocation periodn means each three (3) year period beginning May 1,2004. 

(1 2) "Allowable emissions" means: 

(a) The emissions rate of a stationary source calculated using the maximum rated capacity of the 

source, unless the source is subject to federally-enforceable limits that restrict the operating rate, or 

hours of operation, or both, and the most stringent of the following: 

1. The applicable standards codified in 40 C.F.R. Parts 60 and 61; 

2. The applicable SIP emissions limitations, including those with a future compliance date; or 

3. The emissions rates specified as a federally-enforceable permit condition, including those with 

a future compliance date; or 

(b) For an actuals PAL, the emissions rate of a stationary source calculated considering any 

emission limitations that are enforceable as a practical matter on the emissions unit's potential to 

emit, and the most stringent provision of paragraph (a)l to 3 of this subsection. 

(1 3) "Alteration" means: 

(a) The installation or replacement of air pollution control equipment at a source; or 

(b) A physical change in or change in the method of operation of an affected facility that 

increases the potential to emit a pollutant, to which a standard applies, emitted by the facility or that 

results in the emission of an air pollutant, to which a standard applies, not previously emitted. 

(14) "Alternative method" is defined by 40 C.F.R. 60.2. For purposes of this definition, 

"administrator" means both U.S. EPA and the cabinet. 

(15) "Ambient air" means that portion of the atmosphere, external to buildings, to which the 

general public has access. 

(16) "Ambient air quality standard" means a numerical expression of a specified concentration 

level for a particular air contaminant and the time averaging interval over which that concentration 

level is measured and is a goal to be achieved in a stated time through the application of appropriate 

preventive or control measures. 

(1 7) "ANSI" means American National Standards Institute. 

(18) "AOAC" means Association of Official Analytical Chemists. 

(1 9) "ASTM" means American Society for Testing and Materials. 

(20) "Baseline actual emissions" means the rate of emissions, in tons per year, of a regulated 

NSR pollutant, that: 

(a) For an existing electric utility steam generating unit (EUSGU), the unit actually emitted during 

any consecutive twenty-four (24) month period selected by the owner or operator within the five (5) 

year period immediately preceding the date the owner or operator begins actual construction of the 

project. 

1. The rate is an average that: 

a. Includes fugitive emissions, to the extent quantifiable, and emissions associated with startups, 

shutdowns, and malfunctions; 

b. Is adjusted downward to exclude any noncompliant emissions that occurred while the source 

was operating above an emission limitation that was legally enforceable during the consecutive 

twenty-four (24) month period; and 

c. Is based on any consecutive twenty-four (24) month period for which there is adequate 

information for determining annual emissions, in tons per year, and for adjusting this amount as 

necessary according to clause b of this subparagraph; 

2. Use of a cabinet-approved time period other than the twenty-four (24) month period is allowed, 

if a different time period is more representative of normal source operation; and 

3. If a project involves multiple emissions units, only one (1) consecutive twenty-four (24) month 

period is used to determine the baseline actual emissions for the emissions units being changed with 

a different consecutive twenty-four (24) month period allowed for each regulated NSR pollutant. 
(b) For an existing emissions unit that is not an EUSGU, the unit actually emitted during any 

consecutive twenty-four (24) month period selected by the owner or operator within the ten (10) year 

period beginning on or after November 15, 1990, and immediately preceding the earlier of the date 

the owner or operator begins actual construction of the project or the date a complete permit 

application is received by the cabinet for a permit required under 401 KAR 51 :017 or 51 :052. 

1. The rate is an average that: 

a. Includes fugitive emissions, to the extent quantifiable, and emissions associated with startups, 

shutdowns, and malfunctions; 

b. Is adjusted downward: 

(i) To exclude any noncompliant emissions that occurred while the source was operating above 

an emission limitation that was legally enforceable during the consecutive twenty-four (24) month 

period; 

(ii) To exclude any emissions that would have exceeded an emission limitation with which the 

major stationary source is required currently to comply, if the source had been required to comply 

with the limitations during the consecutive twenty-four (24) month period; and 

(iii) For an emission limitation that is part of a maximum achievable control technology standard 

proposed or promulgated under 40 C.F.R. Part 63, only if the Commonwealth of Kentucky has taken 

credit for the emissions reductions in an attainment demonstration or maintenance plan consistent 

with 40 C.F.R. 51.165(a)(3)(ii)(G); and 

c. Is based on any consecutive twenty-four (24) month period for which there is adequate 

information for determining annual emissions, in tons per year, and for adjusting this amount as 

necessary according to clause b of this subparagraph; and 

2. If a project involves multiple emissions units, only one (1) consecutive twenty-four (24) month 

period is used to determine the baseline actual emissions for the emissions units being changed with 

a different consecutive twenty-four (24) month period allowed for each regulated NSR pollutant. 

(c) For a new emissions unit, equals zero for determining the emissions increase that will result 

from the initial construction and operation of the new unit and thereafter, for all other purposes, 

equals the unit's potential to emit. 

(d) For a PAL for a stationary source, is determined as follows: 

1. For an existing EUSGU, in accordance with the procedures contained in paragraph (a) of this 

subsection; 

2. For other existing emissions units, in accordance with the procedures contained in paragraph 

(b) of this subsection; and 

3. For a new emissions unit, in accordance with the procedures contained in paragraph (c) of this 

subsection. 

(21) "Baseline area" means an intrastate area, and every part of that area, designated as 

attainment or unclassifiable pursuant to 42 U.S.C. 7407 (d)(l)(A)(ii) or (iii) in which the major source 

or major modification establishing the minor source baseline date would construct or would have an 

air quality impact equal to or greater than one (1) pgIm3 annual average of the pollutant for which 

the minor source baseline date is established. 

(a) Area redesignations under 42 U.S.C. 7407(d)(l)(A)(ii) or (iii) cannot intersect or be smaller 

than the area of impact of a major stationary source or major modification that: 

1. Establishes a minor source baseline date; or 

2. Is subject to 401 KAR 51 :017 and would be constructed in the Commonwealth of Kentucky. 

(b) A baseline area established originally for total suspended particulate (TSP) increments 

remains in effect to determine the amount of available PMIO increments, unless the cabinet rescinds 

the corresponding minor source baseline date. 

(22) "Baseline concentrationn means the ambient concentration level that exists in the baseline 

area on the date the applicable minor source baseline date is established. 

(a) A baseline concentration is determined for each pollutant for which a minor source baseline 

date is established and includes: 

1. The actual emissions representative of sources in existence on the applicable minor source 

baseline date, except as provided in paragraph (b) of this subsection; and 
401 KAR 51:OOl 

2. The allowable emissions of major stationary sources that commenced construction before the 

major source baseline date but were not in operation by the applicable minor source baseline date. 

(b) The following are not included in the baseline concentration and thus affect the maximum 

applicable allowable increase: 

1. Actual emissions at a major source, that result from construction commencing after the major 

source baseline date; and 

2. Actual emissions increases and decreases at a stationary source occurring after the minor 

source baseline date. 

(23) "Baseline date" means major source baseline date or minor source baseline date and is 

established for each pollutant for which increments or other equivalent measures have been 

established if the area in which the proposed source or modification would construct is designated 

as attainment or unclassifiable pursuant to 42 U.S.C. 7407(d)(l)(A)(ii) or (iii) for the pollutant on the 

date of the source's complete application; and 

(a) For a major stationary source, the pollutant would be emitted in significant amounts; or 

(b) For a major modification, there would be a significant net emissions increase of the pollutant. 

(24) "Begin actual construction" means: 

(a) Initiation of physical on-site construction activities on an emissions unit that are of a 

permanent nature and include installation of building supports and foundations, laying underground 

pipe work, and construction of permanent storage structures. 

(b) For a change in method of operations, those on-site activities, other than the preparatory 

activities, that mark the initiation of the change. 

(25) "Best available control technology" or "BACT" means an emissions limitation, including a 

visible emission standard, based on the maximum degree of reduction for each regulated NSR 

pollutant that will be emitted from a proposed major stationary source or major modification that: 

(a) Is determined by the cabinet on a case-by-case basis pursuant to 40 C.F.R. 51.166(b)(12) 

after taking into account energy, environmental, and economic impacts and other costs, to be 

achievable by the 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 that pollutant; 

(b) Does not result in emissions of a pollutant that would exceed the emissions allowed by an 

applicable standard codified in 40 C.F.R. Parts 60 and 61; and 

(c) Is satisfied by a design, equipment, work practice, or operational standard or combination of 

standards approved by the cabinet, if: 

1. The cabinet determines technological or economic limitations on the application of 

measurement methodology to a particular emissions unit would make the imposition of an emissions 

standard infeasible; 

2. The standard establishes the emissions reduction achievable by implementation of the design, 

equipment, work practice, or operation; and 

3. The standard provides for compliance by means that achieve equivalent results. 

(26) "BOD" means biochemical oxidant demand. 

(27) "Boiler" means an enclosed fossil or other fuel-fired combustion device used to produce 

heat and to transfer heat to recirculating water, steam, or other medium. 

(28) "BTU" means British thermal unit. 

(29) "Building, structure, facility, or installation" means all of the pollutant emitting activities that: 

(a) Belong to the same industrial grouping, or have the same two (2) digit major group code, as 

described in the Standard Industrial Classification Manual; 

(b) Are located on one (1) or more contiguous or adjacent properties; 

(c) Are under the control of the same person or persons under common control; and 

(d) Do not include the activities of a vessel. 

(30) ""C" means degree Celsius (centigrade). 

(31) "Cabinet" is defined by KRS 224.01-01 O(9). 

(32) "Cal" means calorie. 

(33) "Capital expenditure" is defined in 40 C.F.R. 60.2. 

(34) "dm" means cubic feet per minute. 
401 KAR 51:OOl 

(35) "CH4" means methane. 

(36) "Clean coal technology" means a technology, including technologies applied at the 

precombustion, combustion, or postcombustion stage, at a new or existing facility that will achieve 

significant reductions in air emissions of sulfur dioxide or oxides of nitrogen associated with the 

utilization of coal in the generation of electricity or process steam that was not in widespread use as 

of November 15,1990. 

(37) "Clean coal technology demonstration project" means a commercial demonstration of clean 

coal technology, with a federal contribution of at least twenty (20) percent of the total cost of the 

project and funding appropriated as follows: 

(a) Under the heading "Department of Energy-Clean Coal Technology," up to a total amount of 

$2,500,000,000; or 

(b) To the U.S. EPA for a similar project. 

(38) "Clinker" means the product of a portland cement kiln from which finished cement is 

manufactured by milling and grinding. 

(39) "CO" means carbon monoxide. 

(40) "C02" means carbon dioxide. 

(41) "COD" means chemical oxidant demand. 

(42) "Combined cycle system" means a system comprised of one (1) or more combustion 

turbines, heat recovery steam generators, or steam turbines configured to improve overall efficiency 

of electricity generation or steam production. 

(43) "Combustion turbine" means an enclosed fossil or other fuel-fired device that is comprised 

of a compressor, a combustor, and a turbine, and in which the flue gas resulting from the 

combustion of fuel in the combustor passes through the turbine, rotating the turbine. 

(44) "Commence" means that an owner or operator: 

(a) Has undertaken a continuous program of construction, modification, or reconstruction of an 

affected facility, or that an owner or operator has entered into a contractual obligation to undertake 

and complete, within a reasonable time, a continuous program of construction, modification, or 

reconstruction of an affected facility; or 

(b) For construction of a major stationary source or major modification in the PSD or NSR 

program, has all necessary preconstruction approvals or permits, and: 

1. Has begun, or caused to begin, a continuous program of actual on-site construction of the 

source, to be completed within a reasonable time; or 

2. Has entered into binding agreements or contractual obligations, that cannot be cancelled or 

modified without substantial loss to the owner or operator, to undertake a program of actual 

construction of the source to be completed within a reasonable time. 

(45) "Commence commercial operation" means to have begun to produce steam, gas, or other 

heated medium used to generate electricity for sale or use. Except as provided in 401 KAR 51:195 

or 40 C.F.R. 96.5: 

(a) For a unit that is a NOx budget unit under 40 C.F.R. 96.4, on the date the unit commences 

commercial operation, the date remains the unit's date of commencement of commercial operation 

even if the unit is subsequently modified, reconstructed, or repowered. 

(b) For a unit that is not a NOx budget unit under 40 C.F.R. 96.4, on the date the unit 

commences commercial operation, the date the unit becomes a NOx budget unit under 40 C.F.R. 

96.4 is the unit's date of commencement of commercial operation. 

(46) "Commence operation" means, for a NOx budget unit, to have begun a mechanical, 

chemical, or electronic process, including start-up of a unit's combustion chamber. Except as 

provided in 401 KAR 51:195 or 40 C.F.R. 96.5: 

(a) For a unit that is a NOx budget unit under 40 C.F.R. 96.4 on the date of commencement of 

operation, the date remains the unit's date of commencement of operation even if the unit is 

subsequently modified, reconstructed, or repowered. 

(b) For a unit that is not a NOx budget unit under 40 C.F.R. 96.4 on the date of commencement 

of operation, the date the unit becomes a NOx budget unit under 40 C.F.R. 96.4 is the unit's date of 

commencement of operation. 
(47) "Complete" means, in reference to an application for a major NSR permit, that the 

application contains information necessary for processing the application. Designating an application 

complete for permit processing does not preclude the cabinet from requesting or accepting 

additional information. 

(48) "Compliance schedule" means a time schedule of remedial measures including an 

enforceable sequence of actions or operations leading to compliance with a limitation or standard. 

(49) "Compliance supplement pool" means the quantity of NOx allowances provided to Kentucky 

by the U.S. EPA to be: 

(a) Allocated to NOx budget units that achieve early reduction; or 

(b) Used to assist NOx budget sources that are unable to meet the compliance deadline as 

provided in 401 KAR 51:180, Section 5. 

(50) "Construction" means: 

(a) Fabrication, erection, installation, or modification of an air contaminant source; or 

(b) For the NSR program, 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 at an air contaminant source. 

(51) "Continuous emissions monitoring system" or "CEMS" means all of the equipment that may 

be required to meet the data acquisition and availability requirements of 401 KAR 51:017 or 51:052 

to sample, condition (if applicable), analyze, and provide a record of emissions on a continuous 

basis. 

(52) "Continuous emissions monitoring system for NOx" or "CEMS for NOx" means the 

equipment required by 40 C.F.R. 96.70 to 96.76 to sample, analyze, measure, and provide, by 

readings taken at least once every fifteen (15) minutes of the measured parameters, a permanent 

record of NOx emissions, expressed in tons per hour for NOx. The following systems are necessary 

component parts, as required by 40 C.F.R. Part 75, included in a continuous emissions monitoring 

system: 

(a) Flow monitor; 

(b) NOx pollutant concentration monitor; 

(c) Diluent gas monitor (02 or Con) if required by 40 C.F.R. 96.70 to 96.76; 

(d) Continuous moisture monitor if required by 40 C.F.R. 96.70 to 96.76; and 

(e) Automated data acquisition and handling system. 

(53) "Continuous emissions rate monitoring system" or "CERMS" means the total equipment 

required for the determination and recording of the pollutant mass emissions rate in terms of mass 

per unit of time. 

(54) "Continuous monitoring system" means the total equipment, required under the applicable 

administrative regulations in 401 KAR Chapters 50 to 65, used to sample, to condition (if applicable), 

to analyze, and to provide a permanent record of emissions or process parameters. 

(55) "Continuous parameter monitoring system" or "CPMS" means all of the equipment 

necessary to meet the data acquisition and availability requirements of 401 KAR 51 :017 and 51 :052 

to: 

(a) Monitor process and control device operational parameters such as control device secondary 

voltages and electric currents; 

(b) Monitor other information such as gas flow rate and ozone or carbon dioxide concentrations; 

and 

(c) Record average operational parameter values on a continuous basis. 

(56) "Control period" means: 

(a) For the year 2004, the period beginning May 31, 2004, and ending September 30, 2004, 

inclusive; and 

(b) For all other years, the period beginning May 1 of a year and ending September 30 of the 

same year, inclusive. 

(57) "Director" means Director of the Division for Air Quality of the Energy and Environment 

Cabinet. 

(58) "District" is defined by KRS 224.01 -01 O(11). 

(59) "dscf" means dry cubic feet at standard conditions. 
(60) "dscm" means dry cubic meter at standard conditions. 

(61) "Electric generating unit" means, for 401 KAR 51 :I60 to 51:195, a fossil fuel-fired boiler, 

combustion turbine, or a combined cycle system used to generate twenty-five (25) megawatts or 

more of electricity, some of which is offered for sale. 

(62) "Electric utility steam generating unit" or "EUSGU" means, for the PSD and NSR programs: 

(a) A steam electric generating unit constructed for the purpose of supplying for sale: 

1. More than one-third (113) of its potential electric output capacity, and 

2. More than twenty-five (25) megawatt electrical output to a utility power distribution system for 

sale; and 

(b) Steam to a steam-electric generator that would produce electrical energy is also considered 

in determining the electrical energy output capacity of the affected facility. 

(63) "Emission standard" means that numerical limit that fixes the amount of an air contaminant 

or air contaminants that may be vented into the atmosphere from an affected facility or from air 

pollution control equipment installed in an affected facility. 

(64) "Emissions unit" means any part of a stationary source, including an EUSGU, that emits or 

has the potential to emit a regulated NSR pollutant. For 401 KAR 51 :017 and 51:052, there are two 

(2) types of emissions units: 

(a) A new emissions unit, which is any emissions unit that is or will be newly constructed and that 

has existed for less than two (2) years from the date the unit first operated; and 

(b) An existing emissions unit, which is any emissions unit that does not meet the requirements 

in paragraph (a) of this subsection or is a replacement unit. 

(65) "Enforceable as a practical matter" means that the emission or other standards contained in 

a permit or compliance schedule include: 

(a) Technically accurate emission standards and the portions of the source that are subject to 

the standards; 

(b) A time period adequate to demonstrate compliance with the standards; and 

(c) The method the source shall use to achieve and demonstrate compliance with the limitations 

and standards, including appropriate monitoring, recordkeeping, and reporting. 

(66) "Equivalent method" means a method of sampling and analyzing for an air pollutant that has 

been demonstrated to the cabinet's and the U.S. EPA's satisfaction pursuant to 40 C.F.R. 53.3 to 

have a consistent and quantitatively known relationship to the reference method, under specified 

conditions. 

(67) "Excess NOx emissions" means any tonnage of nitrogen oxides emitted by a NOx budget 

unit during a control period that exceeds the NOx budget emissions limitation for the unit. 

(68) "Exempt compound" or "exempt solvent" means an organic compound listed in the definition 

of volatile organic compound as not participating in atmospheric photochemical reactions. 

(69) "Existing source" mqans a source that is not a new source. 

(70) "Extreme nonattainment county" or "extreme nonattainment area" means a county or portion 

of a county designated extreme nonattainment for the one (1) hour national ambient air quality 

standard for ozone in 401 KAR 51 :010. 

(71) "OF" means degree Fahrenheit. 

(72) "Federal land manager" means, for any lands in the United States, the secretary of the 

department with authority over those lands. 

(73) "Federally enforceable" means all limitations and conditions that are enforceable by the U.S. 

EPA, including: 

(a) Requirements developed under 40 C.F.R. Parts 60 and 61 ; 

(b) Requirements in the Kentucky state implementation plan (SIP) approved by the U.S. €PA; 

and 

(c) Any permit requirements established under 40 C.F.R. 52.21 or under regulations approved 

under 40 C.F.R. Part 51, Subpart I, including operating permits issued under an EPA-approved 

program incorporated into the SIP, that expressly requires adherence to a permit issued under the 

program. 

(74) "Federally-enforceable permit" means a permit issued under 401 KAR 52:020 or 52:030, as 

appropriate. 
(75) "Fixed capital cost" means the capital needed to provide all the depreciable components. 

(76) "Fossil fuel" means natural gas; petroleum; coal; or a form of solid, liquid, or gaseous fuel 

derived from natural gas, petroleum, or coal. 

(77) "Fossil fuel fired" means, for a unit: 

(a) The combustion of fossil fuel, alone or in combination with another fuel, if the fossil fuel 

combusted comprises more than fifty (50) percent of the annual heat input on a BTU basis during a 

year starting in 1995 or, if a unit had no heat input starting in 1995, during the last year of operation 

of the unit prior to 1995; or 

(b) The combustion of fossil fuel, alone or in combination with another fuel, if the fossil fuel is 

projected to comprise more than fifty (50) percent of the annual heat input on a BTU basis during a 

year, and the unit is to be fossil fuel fired as of the date during the year the unit begins combusting 

fossil fuel. 

(78) "ft" means feet or foot. 

(79) "Fuel" means natural gas; petroleum; coal; wood; or a form of solid, liquid, or gaseous fuel 

derived from these materials for the purpose of creating useful heat. 

(80) "Fugitive emissions" means those emissions that could not reasonably pass through a 

stack, chimney, vent, or other functionally equivalent opening. 

(81) "g" means gram. 

(82) "gal" means gallon. 

(83) "General fund" is defined by KRS 48.01 0(15)(a). 

(84) "Generator" means a device that produces electricity. 

(85) "gr" means grain. 

(86) "HCI" means hydrochloric acid. 

(87) "Heat input" means the product, in MMBTU per unit of time, of the gross calorific value of 

the fuel, in BTU per Ib, and the fuel feed rate into a combustion device, in mass of fuel per unit of 

time, that: 

(a) Does not include the heat derived from preheated combustion air, recirculated flue gases, or 

exhaust from other sources; and 

(b) Is measured, recorded, and reported to the cabinet by the NOx authorized account 

representative in accordance with 40 C.F.R. 96.70 to 96.76. 

(88) "HF" means hydrogen fluoride. 

(89) "Hg" means mercury. 

(90) "High terrain" means an area having an elevation of 900 feet or more above the base of the 

stack of a source. 

(91) "hr" means hour. 

(92) "Hydrocarbon" means an organic compound consisting predominantly of carbon and 

hydrogen. 

(93) "Hydrocarbon combustion flare" means: 

(a) A flare used to comply with an applicable New Source Performance Standard (NSPS) or 

Maximum Achievable Control Technology (MACT) standard, including uses of flares during startup, 

shutdown, or malfunction permitted under the standard; or 

(b) A flare that serves to control emissions of waste streams comprised predominately of 

hydrocarbons and containing no more than 230 pgldscm hydrogen sulfide. 

(94) "H20" means water. 

(95) "H2SW means hydrogen sulfide. 

(96) "H2S0411 means sulfuric acid. 

(97) "in" means inch. 

(98) "Incineration" means the process of igniting and burning solid, semisolid, liquid, or gaseous 

combustible wastes. 

(99) "Industrial boiler or turbine" means a fossil fuel-fired boiler, combustion turbine, or a 

combined cycle system having a maximum design heat input of 250 MMBTU per hour or more that 

is not an electric generating unit. 

(100) "Innovative control technology" means a system of air pollution control that has not been 

adequately demonstrated in practice, but has a substantial likelihood of achieving: 
401 KAR 51:OOl 

(a) Greater continuous emissions reduction than any control system in current practice; or 

(b) At least comparable reductions at lower cost in terms of energy, economics, or non-air quality 

environmental impacts. 

(101) "Intermittent emissions" means emissions of particulate matter into the open air from a 

process that operates for less than any six (6) consecutive minutes. 

(1 02) "J" means joule. 

(1 03) "Kg" means kilogram. 

(1 04) "1" means liter. 

(1 05) "Ib" means pound. 

(106) "Legally enforceableu means the cabinet or the U.S. EPA has the authority to enforce a 

certain restriction. 

(107) "Long dry kiln" means a kiln that employs no preheating of the feed and has a dry inkt 

feed. 

(108) "Long wet kiln" means a kiln that employs no preheating of the feed and the inlet feed to 

the kiln is a slurry. 

(109) "Low terrain" means an area other than high terrain. 

(1 10) "Lowest achievable emissions rate" or "LAER" means, for any source, the more stringent 

rate of emissions based on: 

(a) The most stringent emissions limitation that is contained in the Kentucky SIP for the class or 

category of stationary source, unless the owner or operator of the proposed stationary source 

demonstrates that the limitations are not achievable; or 

(b) The most stringent emissions limitation that is achieved in practice by the class or category of 

stationary sources. 

1. If this limitation is applied to a modification, this is the lowest achievable emissions rate for the 

new or modified emissions units at the stationary source. 

2. The application of this term does not permit a proposed new or modified stationary source to 

emit any pollutant in excess of the amount allowable under an applicable new source standard of 

performance. 

(1 I I) "m" means meter. 

(1 12) "m3" means cubic meter. 

(1 13) "Major emissions unit" means: 

(a) Any emissions unit that emits or has the potential to emit 100 tons per year or more of a PAL 

pollutant in an attainment area; or 

(b) Any emissions unit that emits or has the potential to emit a PAL pollutant in an amount that is 

equal to or greater than the major source threshold for the PAL pollutant as defined by the Clean Air 

Act, 42 U.S.C. 7401-7671q, for nonattainment areas. 

(1 14) "Major modification" is defined by 40 C.F.R. 51.165(a)(l)(v) for 401 KAR 51:052 and by 40 

C.F.R. 51.166(b)(2) for 401 KAR 51:017. 

(1 15) "Major NSR permit" means a permit issued under Kentucky's PSD or NSR program. 

(1 16) "Major source" means a source with a potential emission rate equal to or greater than 100 

tons per year of any one (1) of the following pollutants: particulate matter, sulfur oxides, nitrogen 

oxides, volatile organic compounds, carbon monoxide, or ODs. 

(1 17) "Major source baseline date" means: 

(a) For particulate matter and sulfur dioxide, January 6, 1975; and 

(b) For nitrogen dioxide, February 8, 1988. 

(1 18)(a) "Major stationary sourceu means: 

1 .a. A stationary source of air pollutants that emits, or has the potential to emit, 100 tons per year 

or more of a regulated NSR pollutant, except that the following lower emissions thresholds apply: 

(i) For ozone nonattainment areas: one hundred (100) tons per year or more of volatile organic 

compounds or nitrogen oxides in a marginal or moderate ozone nonattainment area; fifty (50) tons 

per year or more of volatile organic compounds or nitrogen oxides in a serious ozone nonattainment 

area; twenty-five (25) tons per year or more of volatile organic compounds or nitrogen oxides in a 

severe ozone nonattainment area; or ten (10) tons per year or more of volatile organic compounds 

or nitrogen oxides in an extreme ozone nonattainment area; 
(ii) Fifty (50) tons per year or more of carbon monoxide in a serious carbon monoxide 

nonattainment area where stationary sources contribute significantly to carbon monoxide levels; and 

(iii) Seventy (70) tons per year or more of particulate matter (PMlo) in a serious PMlo 

nonattainment area; or 

b.(i) For the PSD program, any of the following stationary sources of air pollutants that emits, 

or has the potential to emit, 100 tons per year or more of a regulated NSR pollutant: fossil fuel-fired 

steam electric plants of more than 250 million BTU per hour heat input, coal cleaning plants with 

thermal dryers, kraft pulp mills, portland cement plants, primary zinc smelters, iron and steel mill 

plants, primary aluminum ore reduction plants, primary copper smelters, municipal incinerators 

capable of charging more than 250 tons of refuse per day, hydrofluoric, sulfuric, and nitric acid 

plants, petroleum refineries, lime plants, phosphate rock processing plants, coke oven batteries, 

sulfur recovery plants, carbon black plants (furnace process), primary lead smelters, fuel conversion 

plants, sintering plants, secondary metal production plants, chemical process plants, except ethanol 

production facilities producing ethanol by natural fermentation under the North American Industry 

Classification System (NAICS) codes 325193 or 312140, fossil fuel boilers, or combination of fossil 

fuel boilers, totaling more than 250 million BTU per hour heat input, petroleum storage and transfer 

units with a total storage capacity exceeding 300,000 barrels, taconite ore processing plants, glass 

fiber processing plants, and charcoal production plants; 

(ii) Regardless of the stationary source size specified in subparagraph 1 b(i) of this paragraph, a 

stationary source that emits, or has the potential to emit, 250 tons per year or more of a regulated 

NSR pollutant; or 

2. Any physical change that will occur at a stationary source not otherwise qualifying under this 

subsection as a major stationary source, if the change will constitute a major stationary source by 

itself. 

(b) A major stationary source that is major for volatile organic compounds or nitrogen oxides is 

considered major for ozone. 

(c) The fugitive emissions of a stationary source are not included in determining if the source is a 

major stationary source, unless the source belongs to one (1) of the following categories of 

stationary sources: 

1. Coal cleaning plants with thermal dryers; 

2. Kraft pulp mills; 

3. Portland cement plants; 

4. Primary zinc smelters; 

5. Iron and steel mills; 

6. Primary aluminum ore reduction plants; 

7. Primary copper smelters; 

8. Municipal incinerators capable of charging more than 250 tons of refuse per day; 

9. Hydrofluoric, sulfuric, or nitric acid plants; 

10. Petroleum refineries; 

1 1. Lime plants; 

12. Phosphate rock processing plants; 

13. Coke oven batteries; 

14. Sulfur recovery plants; 

15. Carbon black plants (furnace process); 

16. Primary lead smelters; 

17. Fuel conversion plants; 

18. Sintering plants; 

19. Secondary metal production plants; 

20. Chemical process plants, except ethanol production facilities producing ethanol by natural 

fermentation under NAICS codes 3251 93 or 31 2140; 

21. Fossil-fuel boilers, or combination of fossil-fuel boilers, totaling more than 250 million BTUs 

per hour heat input; 

22. Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels; 

23. Taconite ore processing plants; 
24. Glass fiber processing plants; 

25. Charcoal production plants; 

26. Fossil fuel-fired steam electric plants of more than 250 million BTUs per hour heat input; or 

27. Another stationary source category that, as of August 7, 1980, is being regulated under 42 

U.S.C. 741 1 or 7412. 

(1 19) "Malfunction" means a sudden and infrequent failure of air pollution control equipment, 

process equipment, or a process to operate in a normal or usual manner that is not caused entirely 

or in part by poor maintenance, careless operation, or other upset condition or equipment 

breakdown that is reasonably preventable. 

(120) "Mandatory Class I area" means an area identified in 40 C.F.R. Part 81, Subpart Dl if the 

administrator of the U.S. €PA, in consultation with the Secretary of the United States Department of 

Interior, has determined visibility to be an important value. 

(121) "Marginal nonattainment county" or "marginal nonattainment area" means a county or 

portion of a county designated marginal nonattainment for the one (1) hour national ambient air 

quality standard for ozone in 401 KAR 51:OlO. 

(122) "Maximum design heat input" means the ability of a unit to combust a stated maximum 

amount of fuel per hour on a steady state basis, as determined by the physical design and physical 

characteristics of the unit. 

(123) "Maximum potential hourly heat input" means an hourly heat input used for reporting 

purposes if a unit lacks certified monitors to report heat input and is: 

(a) A value calculated according to 40 C.F.R. Part 75 using the maximum fuel flow rate and the 

maximum gross calorific value, if the unit intends to use 40 C.F.R. Part 75, Appendix D to report heat 

input; or 

(b) A value reported according to 40 C.F.R. Part 75 using the maximum potential flow rate and 

either the maximum percent C02 concentration (in percent C02) or the minimum percent 02, if the 

unit intends to use a flow monitor and a diluent gas monitor. 

(124) "Maximum potential NOx emission ratew means the emission rate of NOx (in Ib per 

MMBTU) calculated according to 40 C.F.R. Part 75, Appendix F, Section 3, using the maximum 

potential NOx concentration as defined in 40 C.F.R. Part 75, Appendix A, Section 2, and the 

maximum percent 02 or the minimum percent C02 under all operating conditions of the unit except 

for unit startup, shutdown, and malfunction. 

(125) "Maximum rated hourly heat input" means a unit specific maximum hourly heat input 

(MMBTU) that is the higher of the manufacturer's maximum rated hourly heat input or the highest 

observed hourly heat input. 

(1 26) "vg" means microgram. 

(1 27) "mg" means milligram. 

(128) "Mid-kiln firing" means the secondary firing in kilns by injecting solid fuel at an intermediate 

point in the kiln using a specially designed feed injection mechanism for the purpose of decreasing 

NOx emissions through: 

(a) Burning part of the fuel at a lower temperature; and 

(b) Reducingconditions at the solid waste injection point that may destroy some of the NOx 

formed upstream in the kiln burning zone. 

(1 29) "min" means minute. 

(130)(a) "Minor source baseline datew means the earliest date after the trigger date on which a 

major stationary source or a major modification subject to 40 C.F.R. 52.21 or to administrative 

regulations approved under 40 C.F.R. 51 .I66 submits a complete application under the applicable 

administrative regulations. 

1. For particulate matter and sulfur dioxide, the trigger date is August 7, 1977; and 

2. For nitrogen dioxide, the trigger date is February 8, 1988. 

(b) A minor source baseline date established originally for the TSP increments remains in effect 

to determine the amount of available PMio increments, except that the cabinet may rescind the 

minor source baseline date pursuant to 40 C.F.R. 51.166(b)(14)(iv) if it is demonstrated to the 

satisfaction of the cabinet that the emissions increase from the major modification responsible for 

triggering that date did not result in a significant amount of PMlo emissions. 
401 KAR 51:OOl 

(c) The baseline date is established for each pollutant for which increments or other equivalent 

measures have been established if: 

1. The area in which the proposed source or modification will construct is designated as 

attainment or unclassifiable pursuant to 42 U.S.C. 7407 (d)(l)(A)(ii) or (iii) for the pollutant on the 

date of its complete application pursuant to 401 KAR Chapter 52; and 

2. For a major stationary source, the pollutant will be emitted in significant amounts or a 

significant net emissions increase of the pollutant will occur for a major modification. 

(1 31) "MJ" means megajoules. 

(1 32) "mm" means millimeter. 

(1 33) "MM" means million. 

(1 34) "mo" means month. 

(135) "Moderate nonattainment county" or "moderate nonattainment area" means a county or 

portion of a county designated moderate nonattainment for the one (1) hour national ambient air 

quality standard for ozone in 401 KAR 51 :010. 

(1 36) "Modification" means any physical change in, or a change in the method of operation of, an 

affected facility that: 

(a) Increases the amount of any air pollutant (to which a standard applies) emitted into the 

atmosphere by that facility or that results in the emission of any air pollutant (to which a standard 

applies) into the atmosphere not previously emitted; and 

(b) Is not solely: 

1. Maintenance, repair, and replacement that the cabinet determines to be routine for a source 

category; 

2. An increase in production rate of an affected facility, if that increase can be accomplished 

without a capital expenditure on that facility; 

3. An increase in the hours of operation; 

4. Use of an alternative fuel or raw material if, prior to the date a standard becomes applicable to 

that source type, the affected facility was designed to accommodate that alternative use. A facility is 

considered to be designed to accommodate an alternative fuel or raw material if that use could be 

accomplished under the facility's construction specifications as amended prior to the change; 

5. Conversion to coal required for energy considerations, as specified in 42 U.S.C. 741 1 (a)(8); 

6. The addition or use of a system or device the primary function of which is the reduction of air 

pollutants, unless an emission control system is removed or replaced by a system that the cabinet 

determines to be less environmentally beneficial; or 

7. The relocation or change in ownership of a source. 

(137) "Monitoring device" means the total equipment, required by an applicable administrative 

regulation in 401 KAR Chapters 50 to 65, used to measure and record, if applicable, process 

parameters. 

(1 38) "Monitoring system" means a monitoring system that meets the requirements of 40 C.F.R. 

Part 96. 

(1 39) "MWe" means megawatt electrical. 

(1 40) IN2" means nitrogen. 

(141) "Nameplate capacity" means the maximum electrical generating output (in MWe) that a 

generator can sustain over a specified period of time if not restricted by seasonal or other deratings 

as measured with United States Department of Energy standards pursuant to 40 C.F.R. 96.2. 

(142) "Natural conditions" means those naturally occurring phenomena that reduce visibility as 

measured in terms of visual range, contrast, or coloration. 

(143) "Necessary preconstruction approvals or permits" means those permits or approvals 

required under the administrative regulations approved to the Kentucky SIP pursuant to 40 C.F.R. 

52.920, and federal air quality control laws and regulations established pursuant to 42 U.S.C. 7401- 

7671q. 

(144)(a) "Net emissions increase" means, for any regulated NSR pollutant emitted by a major 

stationary source, the amount by which the sum of subparagraphs 1 and 2 of this paragraph 

exceeds zero: 
1. An increase in emissions from a particular physical change or change in method of operation 

at a stationary source as calculated pursuant to 401 KAR 51 :017, Section l(4) or 401 KAR 51 :052, 

Section l(2); 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. Baseline actual 

emissions for calculating increases and decreases under this paragraph are determined as defined 

in this section. 

(b) An increase or decrease in actual emissions is contemporaneous with the increase from the 

particular change only if: 

1. For construction that commences prior to January 6, 2002, the change occurs between the 

date ten (10) years before construction on the change commences, and the date that the increase 

from the change occurs; and 

2. For construction that commences on and after January 6, 2002, the change occurs between 

the date five (5) years before construction on the change commences, and the date that the increase 

from the change occurs. 

(c) An increase or decrease in actual emissions is creditable only if: 

1. The cabinet or the U.S. EPA has not relied on the change in issuing a permit for the source 

pursuant to 401 KAR 51:017, 51 :052, or 40 C.F.R. 52.21; and 

2. The permit is in effect at the time the increase or decrease in actual emissions from the 

particular change occurs. 

(d) An increase or decrease in actual emissions of sulfur dioxide, particulate matter, or nitrogen 

oxides that occurs before the applicable minor source baseline date is creditable only if it is required 

to be considered in calculating the amount of maximum allowable increases remaining available. For 

particulate matter, only PMlo emissions are used to evaluate the net emissions increase for PMlo. 

(e) An increase in actual emissions is creditable only to the extent that the new level of actual 

emissions exceeds the old level. 

(f) A decrease in actual emissions is creditable only to the extent that: 

1. The old level of actual emissions or the old level of allowable emissions, whichever is lower, 

exceeds the new level of actual emissions; 

2. The decrease is enforceable as a practical matter at and after the time that actual construction 

on the particular change begins; and 

3. The decrease has approximately the same qualitative significance for public health and 

welfare as that attributed to the increase from the particular change. 

(g) An increase that results from a physical change at a source occurs if the emissions unit on 

which construction occurred becomes operational and begins to emit a particular pollutant. A 

replacement unit that requires shakedown becomes operational only after a reasonable shakedown 

period, not to exceed I80 days. 

(h) The term, actual emissions, as defined in subsection (2) of this section does not apply in 

determining creditable increases and decreases. 

(145) "New source" means a source, the construction, reconstruction, or modification of which 

commenced on or after the classification date as defined in the applicable administrative regulation, 

irrespective of a change in emission rate. 

(146) "Nitrogen oxides" means all oxides of nitrogen except nitrous oxide, as measured by test 

methods specified by the cabinet. 

(147) "ng" means nanograms. 

(148) "NO" means nitric oxide. 

(149) "NO2" means nitrogen dioxide. 

(150) "Nonattainment major new source review program" or "NSR program" means a major 

source preconstruction permit program that has been approved by the U.S. EPA and incorporated 

into the Kentucky SIP to implement the requirements of 40 C.F.R. 51.165 and 40 C.F.R. Part 51, 

Appendix S. 

(1 51 ) "NOx" means nitrogen oxides. 

(152) "NOx allowance" means an authorization to emit one (1) ton of NOx during a control period 

under the NOx Budget Trading Program. 
401 KAR 51:OOl 

(153) "NOx Allowance Tracking System (NATS)" means the system by which the U.S. EPA 

records allocations, deductions, and transfers of NOx allowances under the NOx Budget Trading 

Program. 

(154) "NOx authorized account representative" means the person who is authorized by the 

owner or operator to: 

(a) Represent and legally bind the owner and operator in all matters pertaining to the NOx 

Budget Trading Program in accordance with 40 C.F.R. Part 96, Subpart B for a NOx budget source 

and all NOx budget units at the source; and 

(b) Transfer or otherwise dispose of NOx allowances held in the general account in accordance 

with 40 C.F.R. Part 96, Subpart F, for a general account. 

(1 55) "NOx budget emissions limitation" means, for a NOx budget unit, the tonnage equivalent of 

the NOx allowances available for compliance deduction for the unit and for a control period under 

401 KAR 51:160 adjusted by deductions of sufficient NOx allowances to account for: 

(a) Actual utilization under 40 C.F.R. 96.42(e) for the control period; 

(b) Excess NOx emissions for a prior control period under 40 C.F.R. 96.54(d); 

(c) Withdrawal from the NOx budget program under 40 C.F.R. 96.86; or 

(d) A change in regulatory status for a NOx budget opt-in source under 40 C.F.R. 96.87. 

(156) "NOx budget opt-in source" means an affected facility that has elected to become a NOx 

budget unit under the NOx Budget Trading Program and whose NOx budget opt-in permit has been 

issued and is in effect. 

(157) "NOx budget source" means a source that includes one (I) or more NOx budget units. 

(158) "NOx Budget Trading Program" means the multistate NOx air pollution control and 

emission reduction program established and administered by the U.S. EPA under 40 C.F.R. 51.121 

or 52.34, as a means of mitigating the interstate transport of 03, O3 precursors, and NOx. 

(159) "NOx budget unit" means a unit subject to the NOx Budget Trading Program emissions 

limitation under 401 KAR 51:160 or 40 C.F.R. 96.80. 

(160) "NOx budget unit operator" means a person who operates, controls, or supervises a NOx 

budget unit, a NOx budget source, or a unit for which an application for a NOx budget opt-in permit 

under 401 KAR 51:195 is submitted and not denied or withdrawn and includes a holding company, 

utility system, or plant manager of a NOx budget unit or source. 

(161) "NOx budget unit owner" means: 

(a) A holder of a portion of the legal or equitable title in a NOx budget unit or in a unit for which 

an application for a NOx budget opt-in permit under 401 KAR 51:195 is submitted and not denied or 

withdrawn; 

(b) A holder of a leasehold interest in a NOx budget unit or in a unit for which an application for a 

NOx budget opt-in permit under 401 KAR 51 :I95 is submitted and not denied or withdrawn; 

(c) A purchaser of power from a NOx budget unit or from a unit for which an application for a 

NOx budget opt-in permit under 401 KAR 51:195 is submitted and not denied or withdrawn under a 

life-of-the-unit, firm power contractual arrangement and unless expressly provided for in a leasehold 

agreement, does not include a passive lessor, or a person who has an equitable interest through the 

lessor, whose rental payments are not based, either directly or indirectly, upon the revenues or 

income from the NOx budget unit or the unit for which an application for a NOx budget opt-in permit 

under 401 KAR 51 :I 95 is submitted and not denied or withdrawn; or 

(d) For any general account, a person who has an ownership interest with respect to the NOx 

allowances held in the general account and who is subject to the binding agreement for the NOx 

authorized account representative to represent that person's ownership. 

(1 62) "02" means oxygen. 

(1 63) "03" means ozone. 

(164) "Opacity" means the degree to which emissions reduce the transmission of light and 

obscure the view of an object in the background. 

(165) "Operating" means, for a NOx budget unit, having documented heat input for more than 

876 hours in the six (6) months immediately preceding the submission of an application for an initial 

NOx budget permit. 
401 KAR 51:OOl 

(166) "Operator" means, for a NOx budget unit, any person who operates, controls, or 

supervises a NOx budget unit, a NOx budget source, or unit for which an application for a NOx 

budget opt-in permit is submitted and not denied or withdrawn, and includes any holding company, 

utility system, or plant manager of the unit or source. 

(167) "Opt-in" means to be elected to become a NOx budget unit under the NOx Budget Trading 

Program through a final NOx budget opt-in permit. 

(168) "Owner" means, for a NOx budget unit, the following persons: 

(a) A holder of any portion of the legal or equitable title in a NOx budget unit or in a unit for which 

an application for a NOx budget opt-in permit under 40 C.F.R. 96.83 is submitted and not denied or 

withdrawn; 

(b) A holder of a leasehold interest in a NOx budget unit or in a unit for which an application for a 

NOx budget opt-in permit under 40 C.F.R. Part 96.83 is submitted and not denied or withdrawn; 

(c) A purchaser of power from a NOx budget unit or from a unit for which an application for a 

NOx budget opt-in permit under 40 C.F.R. 96.83 is submitted and not denied or withdrawn under a 

life-of-the-unit, firm power contractual arrangement and unless expressly provided for in a leasehold 

agreement, does not include a passive lessor, or a person who has an equitable interest through the 

lessor, whose rental payments are not based upon the revenues or income from the NOx budget 

unit or the unit for which an application for a NOx budget opt-in permit under 40 C.F.R. 96.83 is 

submitted and not denied or withdrawn; or 

(d) With respect to a general account, a person who has an ownership interest with respect to 

NOx allowances held in the general account and who is subject to the binding agreement for the 

NOx authorized account representative to represent that person's ownership interest with respect to 

NOx allowances. 

(169) "Owner or operator" means a person who owns, leases, operates, controls, or supervises 

an affected facility or a source to which an affected facility is a part. 

(1 70) "OZ" means ounce. 

(171) "Ozone depleting potential" or "ODP", means pursuant to 40 C.F.R. Part 82, Subpart A, 

Appendices A and B, the ratio of the total amount of ozone destroyed by a fixed amount of an ozone 

depleting substance to the amount of ozone destroyed by the same mass of trichloroflouromethane 

(CFC-11) in which the ozone depleting potential of CFC-11 is equal to one and zero tenths (1.0). 

(172) "Ozone depleting substance" or "ODs" means any chemical compound regulated under 40 

C.F.R. Part 82 with decay products, after the photolysis of the ODs by short-wave ultraviolet light, 

that are able to catalyze the destruction of stratospheric ozone. 

(1 73) "PAL effective date" means: 

(a) The date of issuance of the PAL permit; or 

(b) For an increased PAL, the date any emissions unit that is part of the PAL major modification 

becomes operational and begins to emit the PAL pollutant. 

(174) "PAL effective period" means the period beginning with the PAL effective date and ending 

ten (1 0) years later. 

(175) "PAL major modification" means any physical change in or a 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. 

(176) "PAL permit" means the permit issued by the cabinet that establishes a PAL for a major 

stationary source. 

(177) "PAL pollutant" means the pollutant for which a PAL is established at a major stationary 

source. 

(178) "Particulate matter" means a material, except uncombined water that exists in a finely 

divided form as a liquid or a solid measured by an approved test method. 

(179) "Particulate matter emissions" means, except as used in 40 C.F.R. Part 60, all finely 

divided solid or liquid material, other than uncombined water, emitted to the ambient air as measured 

by applicable reference methods, or an equivalent or alternative method specified in 40 C.F.R. 

Chapter I, or by a test method specified in the Kentucky SIP. 

(180) "Peak load" means the maximum instantaneous operating load. 
(181) "Permitted capacity factor" means the annual permitted fuel use divided by the 

manufacturer's specified maximum fuel consumption multiplied by 8,760 hours per year. 

(1 82) "Person" is defined by KRS 224.01 -01 O(17). 

(183) "Plant-wide applicability limitation" or "PAL" means an emission limitation, expressed in 

tons per year, for a pollutant at a major stationary source, that is enforceable as a practical matter 

and is established source-wide in accordance with 401 KAR 51 :017 or 51 :052. 

(184) "PM2.jn means particulate matter with an aerodynamic diameter less than or equal to a 

nominal two and five-tenths (2.5) micrometers as measured by a reference method in 40 C.F.R. Part 

50, Appendix L, and designated in accordance with 40 C.F.R. Part 53, or by an equivalent method 

designated in accordance with 40 C.F.R. Part 53. 

(185) "PMqou means particulate matter with an aerodynamic diameter less than or equal to a 

nominal ten (10) micrometers as measured by a reference method in 40 C.F.R. Part 50, Appendix J 

and designated in accordance with 40 C.F.R. Part 53, or by an equivalent method designated in 

accordance with 40 C.F.R. Part 53. 

(186) "PMlo emissions" means finely divided solid or liquid material with an aerodynamic 

diameter less than or equal to a nominal ten (10) micrometers emitted to the ambient air as 

measured by an applicable reference method, or an equivalent or alternative method specified in 40 

C.F.R. Chapter I, or by a test method specified in the Kentucky SIP. 

(187) "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 to the environment, including fugitive emissions, prior to recycling, treatment, 

or disposal and does not include recycling, other than certain in-process recycling practices, energy 

recovery, treatment, or disposal. 

(188) "Portland cement" means a hydraulic cement produced by pulverizing clinker consisting 

essentially of hydraulic calcium silicates. 

(189) "Portland cement kiln" means a system, including solid, gaseous or liquid fuel combustion 

equipment, used to calcine and fuse raw materials, including limestone and clay, to produce 

Portland cement clinker. 

(190) "Potential to emit" or "PTE" means: 

(a) The maximum capacity of a stationary source to emit a pollutant under its physical and 

operational design, in which: 

1. A physical or operational limitation on the capacity of a source to emit an air pollutant, 

including air pollution control equipment and restrictions on hours of operation or on the type or 

amount of material combusted, stored, or processed, is treated as part of its design if the limitation is 

enforceable as a practical matter; and 

2. This definition does not alter or affect the use of this term for other purposes of the Clean Air 

Act, 42 U.S.C. 7401-7671q, or the term "capacity factor" as used in the Acid Rain Program. 

(b) For the PSD and NSR programs, the maximum capacity of a stationary source to emit a 

pollutant under its physical or operational design, in which: 

1. A physical or operational limitation on the capacity of the source to emit a pollutant, including 

air pollution control equipment and restrictions on hours of operation or on the type or amount of 

material combusted, stored, or processed, is treated as part of its design if the limitation or the effect 

it would have on emissions: 

a. Is federally enforceable; or 

b. For an actuals PAL, is federally enforceable or enforceable as a practical matter; and 

2. Secondary emissions are not counted. 

(191) "ppb" means parts per billion. 

(192) "ppm" means parts per million. 

(193) "ppm(w1w)" means parts per million (weight by weight). 

(194) "Precalciner kiln" means a kiln in which the feed to the kiln system is preheated in cyclone 

chambers and utilizes a second burner to calcine material in a separate vessel attached to the 

preheater prior to the final fusion in a kiln that forms clinker. 

(195) "Predictive emissions monitoring systemn or "PEMS" means all of the equipment 

necessary to monitor process parameters, such as control device secondary voltages and electric 
401 KAR 51:OOl 

currents, and to monitor control device operational parameters, such as gas flow rate, ozone 

concentrations, or carbon dioxide concentrations, and to calculate and record the mass emissions 

rate on a continuous basis. 

(196) "Preheater kiln" means a kiln in which the feed to the kiln system is preheated in cyclone 

chambers prior to the final fusion in a kiln that forms clinker. 

(1 97) "Prevention of Significant Deterioration Program" or "PSD Program" means a major source 

preconstruction program that has been approved by the U.S. EPA and incorporated into the 

Kentucky SIP to implement the requirements of 40 C.F.R. 51 .I66 or 52.21. 

(198) "Project" means a physical change in or change in method of operation of an existing 

major stationary source. 

(1 99) "Projected actual emissions" means: 

(a) 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 (1) of the five (5) years, in a twelve (12) month period, 

following the date the unit resumes regular operation after the project, or in any one (1) of the ten 

(1 0) years following that date, if: 

1. The project involves increasing the emissions unit's design capacity or its potential to emit the 

regulated NSR pollutant; and 

2. Full utilization of the unit would result in a significant emissions increase or a significant net 

emissions increase at the major stationary source. 

(b) To determine projected actual emissions, before beginning actual construction, the owner or 

operator of the major stationary source: 

I .a. Considers all relevant information, including historical operational data and the company's 

own representations of expected and highest projected business activity, filings with the cabinet and 

the U.S. EPA, and compliance plans under the Kentucky SIP; 

b. Includes fugitive emissions and emissions associated with startups, shutdowns, and 

malfunctions; and 

c. Excludes, in calculating any increase in emissions that results from a project, that portion of 

the unit's emissions following the project that an existing unit could have accommodated during the 

consecutive twenty-four (24) month period used to establish the baseline actual emissions and that 

are also unrelated to the project, including any increased utilization due to product demand growth; 

or 

2. Elects to use the emissions unit's potential to emit, in tons per year, instead of using 

subparagraph 1 of this paragraph to determine projected actual emissions. 

(200) "psia" means pounds per square inch absolute. 

(201) "psig" means pounds per square inch gage. 

(202) "RACTIBACTILAER Clearinghouse" or "RBLC" means the U.S. EPA's online collection of 

previous RACTIBACTILAER determinations. 

(203) "Reactivation of a very clean coal-fired EUSGU" means a physical change or change in the 

method of operation associated with the commencement of commercial operations by a coal-fired 

utility unit after a period of discontinued operation if the unit: 

(a) Has not been in operation for the two (2) year period between November 15, 1988, and 

November 15, 1990, and the emissions from that unit continue to be carried in the Kentucky 

emissions inventory after November 15,1990; 

(b) Was equipped prior to shutdown with a continuous system of emissions control achieving a 

removal efficiency for sulfur dioxide of no less than eighty-five (85) percent and a removal efficiency 

for particulates of no less than ninety-eight (98) percent; 

(c) Is equipped with low-NOx burners prior to the time of commencement of operations following 

reactivation; and 

(d) Is otherwise in compliance with the requirements of 42 U.S.C. 7401 to 7671q. 

(204) "Reasonable further progress" means annual incremental reductions in emissions of the 

relevant air pollutant as required by 42 U.S.C. 7501 to 7515 or may reasonably be required by the 

U.S. EPA for the purpose of ensuring the attainment of the applicable ambient air quality standard by 

the applicable date specified. 
401 KAR 51:OOl 

(205) "Reconstruction" means the replacement of components of an existing affected facility to 

the extent that: 

(a) The fixed capital cost of the new components exceeds fifty (50) percent of the fixed capital 

cost that would be required to construct a comparable entirely new affected facility; and 

(b) It is technologically and economically feasible to meet the applicable requirements of 401 

KAR Chapters 50 to 65. 

(206) "Reference method" means a method of sampling and analyzing for an air pollutant as 

published in 40 C.F.R. Part 50, Appendices A to N; 40 C.F.R. Part 53; 40 C.F.R. Part 60, 

Appendices A and B; 40 C.F.R. Part 61, Appendix B; or 40 C.F.R. Part 63, Appendices A to D. 

(207) "Regulated NSR pollutant" means the following: 

(a) A pollutant for which a national ambient air quality standard has been promulgated and any 

constituents or precursors for such pollutants identied by the U.S. EPA; 

(b) A pollutant subject to any standard promulgated under 42 U.S.C. 741 1; 

(c) A pollutant subject to a standard promulgated under or established by 42 U.S.C. 7671 to 

7671q; or 

(d) A pollutant that otherwise is subject to regulation under 42 U.S.C. 7401 to 7671q, except that 

any hazardous air pollutant (HAP) listed in 42 U.S.C. 7412 or added to the list pursuant to 42 U.S.C. 

7412(b)(2), that has not been delisted pursuant to 42 U.S.C. 7412(b)(3), is not a regulated NSR 

pollutant unless the listed HAP is also regulated as a constituent or precursor of a general pollutant 

listed under 42 U.S.C. 7408. 

(208) "Replacement unit" means an emissions unit that does not generate creditable emissions 

reductions by shutting down the existing emissions unit that is replaced, and that: 

(a)l. Is a reconstructed unit within the meaning of 40 C.F.R. 60.15(b)(l) or that completely takes 

the place of an existing emissions unit; 

2. Is identical to or functionally equivalent to the replaced emissions unit; and 

3. Does not alter the basic design parameters of the process unit. 

(b) Replaces a unit that: 

1. Is permanently removed from the major stationary source, is otherwise permanently 

disabled, or is prohibited from operating by a permit that is enforceable as a practical matter; and 

2. If brought back into operation, is considered a new emissions unit. 

(209) "Repowering" means: 

(a) Replacement of an existing coal-fired boiler with one (1) of the following clean coal 

technologies: 

1. Atmospheric or pressurized fluidized bed combustion; 

2. lntegrated gasification combined cycle; 

3. Magneto hydrodynamics; 

4. Direct and indirect coal-fired turbines; 

5. lntegrated gasification fuel cells; or 

6. Pursuant to 40 C.F.R. 51.166, as determined by the U.S. EPA in consultation with the 

Secretary of Energy: 

a. A derivative of one (1) or more of the technologies listed in subparagraphs 1 to 5 of this 

paragraph; or 

b. Another technology capable of controlling multiple combustion emissions simultaneously with 

improved boiler or generation efficiency and with significantly greater waste reduction relative to the 

performance of technology in widespread commercial use as of November 15,1990. 

(b) An oil or gas-fired unit that has been awarded clean coal technology demonstration funding 

as of January 1,1991 by the Department of Energy. 

(c) A permit application from a source pursuant to this subsection receives expedited 

consideration by the cabinet and is granted an extension under 42 U.S.C. 7651 h. 

(21 0) "Responsible official" means: 

(a) For a corporation: a president, secretary, treasurer, or vice-president of the corporation in 

charge of a principal business function, or other person who performs similar policy or decisionmaking functions for the corporation, or a duly-authorized representative of that person if the 
401 KAR 51:OOl 

representative is responsible for the overall operation of one (1) or more manufacturing, production, 

or operating facilities applying for or subject to a permit; and 

1. The facilities employ more than 250 persons or have gross annual sales or expenditures 

exceeding $25,000,000 in second quarter 1980 dollars; or 

2. The delegation of authority to the representative is approved in advance by the cabinet 

pursuant to this subsection; 

(b) For a partnership or sole proprietorship, a general partner or the proprietor, respectively; 

(c) For a municipality, state, federal, or other public agency, a principal executive officer or 

ranking elected official. The principal executive officer of a federal agency includes the chief 

executive officer having responsibility for the overall operation of a principal geographic unit of the 

agency; or 

(d) For the acid rain portion of a permit for an affected source, the designated representative. 

(211) "Run" means the net period of time, either intermittent or continuous within the limits of 

good engineering practice, when an emission sample is collected. 

(212) "S" means at standard conditions. 

(213) "sec" means second. 

(214) "Secondary emissions" means emissions that: 

(a) Occur as a result of the construction or operation of a major stationary source or major 

modification, and do not come from the major stationary source or major modification itself; 

(b) Are specific, well defined, quantifiable, and impact the same general area as the stationary 

source modification that causes the secondary emissions; 

(c) Include emissions from an offsite support facility that would not otherwise be constructed or 

increase its emissions as a result of the construction or operation of the major stationary source or 

major modification; and 

(d) Do not include emissions that come directly from a mobile source, including emissions from 

the tailpipe of a motor vehicle, a train, or vessel. 

(21 5) "Serious nonattainment county" or "serious nonattainment area" means a county or portion 

of a county designated serious nonattainment for the one (1) hour national ambient air quality 

standard for ozone in 401 KAR 51 :010. 

(216) "Severe nonattainment county" or "severe nonattainment area" means a county or portion 

of a county designated severe nonattainment for the one (1) hour national ambient air quality 

standard for ozone in 401 KAR 51 :010. 

(21 7) "Shutdown" means the cessation of an operation. 

(21 8) "Significant" means: 

(a) For 401 KAR 51:017, in reference to a net emissions increase or the potential of a source to 

emit any of the pollutants listed in the following table, - a rate of emissions that would equal or exceed 

3 corresponding rate listed in the table: 

POLLUTANT I EMISSIONS RATE I 

Particulate matter 1 25 tpy of particulate matter emissions I 

Carbon monoxide 

Ozone depleting substance 

Nitrogen oxides 

Sulk dioxide 

- -- 

100 tons per year (tpy) 

100 tpy 

40 tpy 

40 bv 

Ozone 

15 tpy of PMlo emissions 

40 tpy of volatile organic compounds or 

Lead 

nitrogen oxides 

0.6 tpv 

Fluorides 

Sulfuric acid mist 

Hydrogen sulfide (H2S) 

3 tpy 

7 tpy 

10 ~PY 
Total reduced sulfur 

(including H2S) 

Reduced sulfur compounds 

(including H2S) 

Municipal waste combustor 

organi& (measured as total 

tetra- through octachlorinated dibenzo-p-dioxins 

and dibenzofurans) 

Municipal waste combustor 

metals (measured as 

particulate matter) 

Municipal waste combustor 

acid (measured as 

sulfur dioxide and hydrogen 

chloride) 

Municipal solid waste landfill 

emissions (measured as 

nonmethane organic 

comvounds) 

3.2 x 1 o-~ megagrams per year (Mg/y) (3.5 x 

1 o4 tpy) 

I I 

(bl For 401 KAR 51:017, in reference to a net emissions increase or the mtential of a source to 

emit a regulated NSR pollutant that is not listed in the table in paragraph (a)'of this subsection, any 

emissions rate. 

(c) For 401 KAR 51:017, in reference to an emissions rate or a net emissions increase 

associated with a major stationary source or major modification, that is to be constructed within ten 

(10) kilometers of a Class I area, an impact on that area equal to or greater than one (1) pglm3 over 

a twenty-four (24) hour average. 

(d) For 401 KAR 51:052, in reference to a net emissions increase or the potential of a source to 

emit any of the pollutants listed in the following table, a rate of emissions that would equal or exceed 

a corres~ondina rate listed in the 

Nitrogen oxides 

Sulfur dioxide 

I Ozone 

table: 

EMISSIONS RATE 

100 tons per year (tpy) 

100 bv 

40 tpy 

40 tpy 

40 tpy of volatile organic compounds or 

subsection, significant means, in reference to an emissions increase or net emissions increase, a 

rate of emissions that exceeds the following: 

1. Twenty-five (25) tons per year of volatile organic compounds or nitrogen oxides in a serious or 

severe ozone nonattainment area; or 

2. Any increase in actual emissions of volatile organic compounds or nitrogen oxides in an 

extreme ozone nonattainment area. 

(f) For 401 KAR 51:052, with the exception of the significant emissions rate for carbon monoxide 

in this subsection, significant means, in reference to an emissions increase or net emissions 

increase, a rate of emissions of carbon monoxide that equals or exceeds fifty (50) tons per year in a 

Lead 

nitrogen oxides 

0.6 tpy 

(e) For 401 KAR 51:052, with the exception of the significant emissions rate for ozone in this 
401 KAR 51:OOl 

serious nonattainment area for carbon monoxide in which a stationary source contributes 

significantly to carbon monoxide levels. 

(219) "Significant emissions increase" means, for a regulated NSR pollutant, an increase in 

emissions that is equal to or greater than the emission level that is significant for that pollutant. 

(220) "Significant emissions unit" means an emissions unit that emits or has the potential to emit 

a PAL pollutant in an amount equal to or greater than the applicable significant level as defined in 

subsection (218) of this section or in 42 U.S.C. 7401 to 7671q, whichever is lower for that PAL 

pollutant, but less than the amount that would qualify the unit as a major emissions unit. 

(221) "Small emissions unit" means an emissions unit that emits or has the potential to emit the 

PAL pollutant in an amount less than the PAL pollutant's applicable significant level as defined in 

subsection (218) of this section; or in 42 U.S.C. 7401 to 7671q, whichever is lower. 

(222) "SO2" means sulfur dioxide. 

(223) "Source" means one (1) or more affected facilities contained within a given contiguous 

property line, which means the property is separated only by a public thoroughfare, stream, or other 

right of way. 

(224) "sq" means square. 

(225) "Stack or chimney" means a flue, conduit, or duct arranged to conduct emissions to the 

atmosphere. 

(226) "Standard" means an emission standard, a standard of performance, or an ambient air 

quality standard as promulgated in 401 KAR Chapters 50 to 65 or the emission control requirements 

necessary to comply with 401 KAR Chapter 51. 

(227) "Standard conditions" means: 

(a) For source measurements, twenty (20) degrees Celsius (sixty-eight (68) degrees Fahrenheit) 

and a pressure of 760 mm Hg (29.92 in. of Hg). 

(b) For air quality determinations, twenty-five (25) degrees Celsius (seventy-seven (77) degrees 

Fahrenheit) and a reference pressure of 760 mm Hg (29.92 in. of Hg). 

(228) "Start-up" or "startupn means the setting in operation of an affected facility. 

(229) "State implementation plan" or "SIP" means the most recently prepared plan or revision 

required by 42 U.S.C. 7410 that has been approved by the US. EPA. 

(230) "Stationary sourcew means a building, structure, facility, or installation that emits or may 

emit a regulated NSR pollutant. 

(231) "Submit" means to send or transmit a document, information, or correspondence in 

accordance with an applicable requirement. 

(232) "TAPPI" means Technical Association of the Pulp and Paper Industry. 

(233) "Temporary clean coal technology demonstration project" means a clean coal technology 

demonstration project operated for a period of five (5) years or less and that complies with the 

Kentucky SIP and with other requirements necessary to attain and maintain the national ambient air 

quality standards during and after the project is terminated. 

(234) "Ton" or "tonnage" means, for a NOx budget source, a short ton or 2,000 pounds. For 

determining compliance with the NOx budget emissions limitation, total tons for a control period is 

calculated as the sum of all recorded hourly emissions, or the tonnage equivalent of the recorded 

hourly emissions rates, in accordance with 40 C.F.R. Part 96, Subpart H with any remaining fraction 

of a ton equal to or greater than 0.50 ton deemed to equal one (1) ton and any fraction of a ton less 

than 0.50 ton deemed to equal zero tons. 

(235) "Total suspended particulates" or "TSP" means particulate matter as measured by the 

method described in 40 C.F.R. Part 50, Appendix B. 

(236) "tpy" means tons per year. 

(237) "TSSw means total suspended solids. 

(238) "Uncombined water" means water that can be separated from a compound by ordinary 

physical means and that is not bound to a compound by internal molecular forces. 

(239) "Unitw means a fossil fuel-fired stationary boiler, combustion turbine, or combined cycle 

system. 
(240) "Urban county" means a county that is a part of an urbanized area with a population 

greater than 200,000 based upon the 1980 census. If a portion of a county is a part of an urbanized 

area, then the entire county is classified as urban for 401 KAR Chapters 50 to 65. 

(241) "Urbanized area" means an area defined by the U.S. Department of Commerce, Bureau of 

Census. 

(242) "U.S. EPA" means the United States Environmental Protection Agency. 

(243) "UTM" means Universal Transverse Mercator. 

(244) "Visibility impairment" means a humanly perceptible change in visibility such as visual range, 

contrast, or coloration, from that which would have existed under natural conditions. 

(245) "Volatile organic compound" or "VOC" is defined in 40 C.F.R. 51.100(s). 

(246) "yd" means yard. 

Section 2. Incorporation by Reference. (1) The following material is incorporated by reference: 

(a) "Standard Industrial Classification Manual," 1987, as published by the Office of Management 

and Budget; and 

(b) 

(2) This material may be inspected, copied or obtained, subject to applicable copyright law, at 

the following main and regional offices of the Kentucky Division for Air Quality during the normal 

working hours of 8 a.m. to 4:30 p.m., local time: 

(a) Kentucky Division for Air Quality, 200 Fair Oaks Lane, 1st floor, Frankfort, Kentucky 40601- 

1403, (502) 564-3999; 

(bj~shland Regional Office, 1550 Wolohan Drive, Suite 1, Ashland, Kentucky 41 102, (606) 929- 

5285: 

(c) Bowling Green Regional Office, 1508 Westen Avenue, Bowling Green, Kentucky 42104, 

(270) 746-7475; 

(d) Florence Regional Office, 8020 Veterans Memorial Drive, Suite 110, Florence, Kentucky 

41 042, (859) 525-4923; 

(e) Frankfort Regional Office, 643 Teton Trail, Suite B, Frankfort, Kentucky 40601, (502) 564- 

3358; 

(f) Hazard Regional Office, 233 Birch Street, Suite 2, Hazard, Kentucky 41 701, (606) 435-6022; 

(g) London Regional Office, 875 S. Main Street, London, Kentucky 40741, (606) 330-2080; 

(h) Owensboro Regional Office, 3032 Alvey Park Drive, W., Suite 700, Owensboro, Kentucky 

42303, (270) 687-7304; and 

(i) Paducah Regional Office, 130 Eagle Nest Drive, Paducah, Kentucky 42003, (270) 898-8468. 

(3) The Standard Industrial Classification Manual is also available under Order No. PB 87- 

100012 from the National Technical Information Service, 5285 Port Royal Road, Springfield, Virginia 

221 61, phone (703) 487-4650. 

(18 Ky.R. 2737; Am. 2930; 3335; eff. 6-24-92; 21 Ky.R. 1757; 2137; eff. 4-6-95; 22 Ky.R. 1691; 

2014; eff. 6-6-96; 25 Ky.R. 1442; eff. 4-14-99; 27 Ky.R. 2557; 3270; 38 Ky.R. 367; eff. 8-15-2001; 29 

Ky.R. 538; 1600; eff. 12-1 8-02: 30 Ky.R. 21 76; 2487; 31 Ky.R. 34; eff. 7-14-04; 33 Ky.R. 197; eff. 1 1 - 

8-06; eff. 2-5-10.) 
401 KAR 51:017 

COMMONWEALTH OF KENTUCKY 

ENVIRONMENTAL AND PUBLIC PROTECTION CABINET 

DEPARTMENT FOR ENVIRONMENTAL PROTECTION 

Division for Air Quality 

401 KAR 51:017. Prevention of significant deterioration of air quality. 

RELATES TO: KRS 224.10-100,40 C.F.R. 51 Subpart I, Appendix S, sec. IV, Part 51, Appendix 

W, 51.166, 52.21, 52.26, 53, 58 Appendix A, 60, 61, 63, 70.6 , 81.318, 81 Subpart Dl 42 U.S.C. 

7401 -7671 q, 4321 -437Od, EO 2009-538 

STATUTORY AUTHORITY: KRS 224.10-100(5), 40 C.F.R. 51.166, 52.21, 42 U.S.C. 7401- 

7671 q, EO 2009-538 

NECESSITY, FUNCTION, AND CONFORMITY: KRS 224.10-100 requires the cabinet to 

promulgate administrative regulations for the prevention, abatement, and control of air pollution. EO 

2009-538, effective June 12, 2009, establishes the Energy and Environment Cabinet. This 

administrative regulation provides for the prevention of significant deterioration of ambient air quality. 

The provisions of this administrative regulation are not different nor more stringent than the federal 

regulation, 40 C.F.R. 51.166. 

Section 1. Applicability. (1) This administrative regulation shall apply to the construction of a 

new major stationary source or a project at an existing major stationary source that commences 

construction after September 22, 1982, and locates in an area designated attainment or 

unclassifiable under 42 U.S.C. 7407(d)(l)(A)(ii) and (iii). 

(2) Except as othennrise provided in this administrative regulation, the provisions of Sections 8 to 

16 of this administrative regulation shall apply to the construction of a new major stationary source or 

a major modification of an existing major stationary source. 

(3) The owner or operator of a new major stationary source or major modification, which is 

subject to the requirements of Sections 8 to 16 of this administrative regulation, shall not begin 

actual construction without a proposed permit or proposed permit revision issued under 401 KAR 

52:020 stating that the major stationary source or major modification shall meet those requirements. 

(4) Applicability tests for projects. Except as provided in subsection (5) of this section, a project 

shall be a major modification for a regulated NSR pollutant only if the project causes a significant ' 

emissions increase and a significant net emissions increase as provided in paragraphs (a) and (b) of 

this subsection. 

(a) Prior to beginning actual construction, the owner or operator shall first determine if a 

significant emissions increase will occur for the applicable type of unit being constructed according 

to subparagraphs 1 to 3 of this paragraph. 

1. Actual-to-projected actual applicability test for projects that only involve existing emissions 

units. A significant emissions increase of a regulated NSR pollutant shall be projected to occur if the 

sum of the difference between the projected actual emissions and the baseline actual emissions for 

each existing emissions unit equals or exceeds the significant amount for that pollutant. 

2. Actual-to-potential test for projects that involve only construction of new emissions units. A 

significant emissions increase of a regulated NSR pollutant shall be projected to occur if the sum of 

the potential to emit from each new emissions unit following completion of the project equals or 

exceeds the significant amount for that pollutant. 

3. Hybrid test for projects that involve multiple types of emissions units. A significant emissions 

increase of a regulated NSR pollutant shall be projected to occur if the sum of the emissions 

increases for each emissions unit, using a method specified in subparagraphs 1 and 2 of this 

paragraph as applicable for each emissions unit, equals or exceeds the significant amount for that 

pollutant. 

(b) Prior to beginning actual construction and after completing the applicable procedure 

established in paragraph (a) of the subsection, the owner or operator shall determine for each 

regulated NSR pollutant if a significant net emissions increase will occur pursuant to 401 KAR 

51:001, Section l(144) and (218). 

(5) For a plant-wide applicability limit (PAL) for a regulated NSR pollutant at a major stationary 

source, the owner or operator of the major stationary source shall comply with the applicable 
401 KAR 51:017 

requirements of Section 20 of this administrative regulation. 

Section 2. Ambient Air Increments. (1) In areas designated as Class I or II, increases in 

shall be limited to the following levels: 

Increase 

(Micrograms per cubic 

meter) 

I Class I I 

Particulate Matter: 

PMlo, annual 14 

maximum I 

Sulfur Dioxide: 

arithmetic mean 

PMlo, 24-hour 

Annual arithmetic 12 

8 

I mean I I I 24-hour maximum 

I 

Is 1 I 3-hour maximum ( 25 I 

Nitrogen Dioxide: 

Annual arithmetic 1 2.5 

I mean I I 

arithmetic mean 

PMlo, 24-how 

maximum 

Sulfur Dioxide: 

Annual arithmetic 

mean I 

24-hour maximum 191 

3-hour maximum 1512 I 

Nitrogen Dioxide: 

Annual arithmetic 1 25 

1 mean I I 

(2) For any period other than an annual period, the applicable maximum allowable increase may 

be exceeded during one (1) such period per year at any one (1) location. 

Section 3. Ambient Air Ceilings. The concentration of a regulated NSR pollutant shall not 

exceed the concentration allowed under the national secondary ambient air quality standard or 

under the national primary ambient air quality standard, whichever concentration is lower for the 

pollutant for a period of exposure. 

Section 4. Restrictions on Area Classifications. (1) The following areas, which were in 

existence on August 7, 1977, shall be Class I areas and shall not be redesignated: 

(a) International parks; 

(b) National wilderness areas and national memorial parks that exceed 5,000 acres in size; and 
401 KAR 51:017 

(c) National parks that exceed 6,000 acres in size. 

(2) Any other area, unless otherwise specified in the legislation creating the area, shall be 

designated Class II but may be redesignated as provided in 40 C.F.R. 51.166(g). 

(3) The visibility protection requirements of this administrative regulation shall apply only to 

sources that may impact a mandatory Class I federal area. 

(4) The following areas may be redesignated only as Class I or II: 

(a) An area that as of August 7, 1977, exceeded 10,000 acres in size and was a national 

monument, a national primitive area, a national preserve, a national recreational area, a national wild 

and scenic river, a national wildlife refuge, a national lakeshore or seashore; and 

(b) A national park or national wilderness area established after August 7, 1977, which exceeds 

10,000 acres in size. 

Section 5. Exclusions from Increment Consumption. (1) Pursuant to notice and opportunity 

for at least one (1) public hearing to be held in accordance with procedures established in 401 KAR 

52:100, the cabinet may exclude the following concentrations in determining compliance with a 

maximum allowable increase: 

(a) Concentrations attributable to the increase in emissions from stationary sources that have 

converted from the use of petroleum products, natural gas, or both by reason of an order in effect 

under a federal statute or regulation over the emissions from these sources before the effective date 

of the order; 

(b) Concentrations attributable to the increase in emissions from sources that have converted 

from using natural gas by reason of a natural gas curtailment plan in effect pursuant to a federal 

statute over the emissions from those sources before the effective date of the plan; 

(c) Concentrations of particulate matter attributable to the increase in emissions from 

construction or other temporary emission-related activities of new or modified sources; and 

(d) Concentrations attributable to the temporary increase in emissions of sulfur dioxide, 

particulate matter, or nitrogen oxides from stationary sources affected by plan revisions approved by 

the Administrator of the U.S. EPA as meeting the criteria established in subsection (3) of this 

section. 

(2)(a) Exclusion of concentrations shall not apply more than five (5) years after the effective date 

of the order to which subsection (l)(a) of this section refers or the curtailment plan to which 

subsection (l)(b) of this section refers, whichever is applicable. 

(b) If both an order and curtailment plan are applicable, an exclusion shall not apply more than 

five (5) years after the later of the two (2) effective dates. 

(3) For excluding concentrations pursuant to subsection (l)(d) of this section: 

(a) The time period over which the temporary emissions increase of sulfur dioxide, particulate 

matter, or nitrogen oxides would occur shall be specified and shall not exceed two (2) years in 

duration unless a longer time is approved by the U.S. EPA; 

(b) The time period for excluding certain contributions in accordance with paragraph (a) of this 

subsection shall not be renewable; 

(c) An emissions increase from a stationary source shall not occur that will: 

1. Impact a Class I area or an area in which an applicable increment is known to be violated; or 

2. Cause or contribute to the violation of a national ambient air quality standard; and 

(d) Limitations shall be in effect at the end of the time period established in paragraph (a) of this 

subsection, which ensure that the emissions levels from stationary sources affected by the SIP 

revision shall not exceed the levels occurring from those sources before the revision was approved. 

Section 6. Stack Heights. (1) The degree of emissions limitation required for control of an air 

pollutant under this administrative regulation shall not be affected by: 

(a) So much of the stack height of a source as exceeds good engineering practice; or 

(b) Another dispersion technique. 

(2) Subsection (1) of this section shall not apply to stack heights in existence before December 

31, 1970, or to dispersion techniques implemented before then. 

Section 7. Exemptions. (1) Sections 8 to 16 of this administrative regulation shall not apply to a 

particular major stationary source or major modification, if: 
401 KAR 51:017 

(a) The owner or operator: 

1. Obtained the necessary federal, state, and local preconstruction approval effective before 

September 22,1982; 

2. Commenced construction before September 22,1982; and 

3. Did not discontinue construction for a period of eighteen (18) months or more. 

(b) 1. The major stationary source is a nonprofit health institution, a nonprofit educational 

institution, or a major modification at such an institution; and 

2. The Governor of the Commonwealth of Kentucky requests that it be exempt from those 

requirements. 

(c) The source or modification is a major stationary source or major modification only if fugitive 

emissions, to the extent quantifiable, are considered in calculating the potential to emit of the 

stationary source or modification and the source does not belong to any of the following categories: 

1. coal cleaning plants with thermal dryers; 

2. Kraft pulp mills; 

3. Portland cement plants; 

4. Primary zinc smelters; 

5. Iron and steel mills; 

6. Primary aluminum ore reduction plants; 

7. Primary copper smelters; 

8. Municipal incinerators capable of charging more than 250 to 

9. Hydrofluoric, sulfuric, or nitric acid plants; 

10. Petroleum refineries; 

1 1. Lime plants; 

12. Phosphate rock processing plants; 

1 3. Coke oven batteries; 

14. Sulfur recovery plants; 

15. Carbon black plants, furnace process; 

16. Primary lead smelters; 

17. Fuel conversion plants; 

18. Sintering plants; 

Ins of refu Ise per day; 

19. secondary metal production plants; 

20. Chemical process plants, except ethanol production facilities producing ethanol by natural 

fermentation under the North American Industry Classification System (NAICS) codes 325193 or 

312140; 

21. Fossil-fuel boilers, or combination of fossil-fuel boilers, totaling more than 250 million BTUs 

per hour heat input; 

22. Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels; 

23. Taconite ore processing plants; 

24. Glass fiber processing plants; 

25. Charcoal production plants; 

26. Fossil fuel-fired steam electric plants of more than 250 million BTUs per hour heat input; or 

27. Another stationary source category that , as of August 7, 1980, is being regulated under 42 

U.S.C. 741 1 or 7412. 

(d) The source or modification is a portable stationary source that has previously received a 

permit under this administrative regulation; and 

1. The owner or operator proposes to relocate the source, and the emissions of the source at the 

new location will be temporary; 

2. The emissions from the source will not exceed its allowable emissions; 

3. The emissions from the source will not impact a Class I area or an area where an applicable 

increment is known to be violated; and 

4. a. Reasonable notice is given to the cabinet prior to the relocation identifying the proposed 

new location and the probable duration of operation at the new location. 

b. Notice shall be given to the cabinet not less than ten (10) days in advance of the proposed 

relocation unless a different time duration is previously approved by the cabinet pursuant to this 

subsection. 

4 
(e) The source or modification was not subject to this administrative regulation with respect to 

particulate matter requirements in effect before July 31, 1987, and the owner or operator: 

1. Obtained all final federal, state, and local prewnstruction approvals or penits necessary 

under the applicable SIP before July 31, 1987; 

2. Commenced construction within eighteen (1 8) months after July 31, 1987; and 

3. Did not discontinue construction for a period of eighteen (18) months or more and completed 

construction within a reasonable period of time. 

(f) 1. The source or modification was subject to this administrative regulation for particulate 

matter requirements in effect before July 31, 1987, and the owner or operator submitted an 

application for a permit under the applicable permit program before that date; and 

2. The cabinet subsequently determined that the application as submitted was complete with 

respect to the particulate matter requirements then in effect. 

(2) Sections 8 to 16 of this administrative regulation shall not apply to a major stationary source 

or major modification for a particular pollutant if the owner or operator demonstrates that, for that 

pollutant, the source or modification is located in an area designated as nonattainment pursuant to 

42 U.S.C. 7407(d)(l)(A)(i). 

(3) Sections 9, 11, and 13 of this administrative regulation shall not apply to a proposed major 

stationary source or major modification for a particular pollutant, if the allowable emissions of that 

pollutant from the source, or the net emissions increase of that pollutant from a modification: 

(a) Will not impact a Class I area or an area where an applicable increment is known to be 

violated; and 

(b) Will be temporary. 

(4) Sections 9, 11, and 13 of this administrative regulation, as applicable to a maximum 

allowable increase for a Class II area, shall not apply to a major modification at a stationary source 

that was in existence on March I, 1978, if the net increase in allowable emissions of each regulated 

NSR pollutant from the modification after the application of BACT will be less than fifty (50) tons per 

year. 

(5) The cabinet may exempt a proposed major stationary source or major modification from the 

monitoring requirements of Section 11 of this administrative regulation for a particular pollutant, if: 

(a) The emissions increase of the pollutant from the new source or the net emissions increase of 

the pollutant from the modification will cause air quality impacts in an area, which are less than the 

amounts listed in the following table; or 

monoxide 

Nitrogen 

dioxide 

Particulate 

dioxide 

Ozone 

Air Quality 1 Averaging 

Level 

575 pg/m3 

Time 

8-hour average 

14 pg/m3 

average 

A de minirnis air quality level is 

not provided for ozone. 

annual average 

PMlo 

13 dm3 

m ow ever, a net increase of 100 

tons per year or more of volatile 

organic compounds or nitrogen 

oxides subject to this 

average 

24-hour 

administrative regulation shall 

be required to paform an 

ambient imuact analysis 
including the gathering of 

ambient air quality data. 

I 

Lead I 0.1 &m3 I 3-month 

Fluorides 

Hydrogen 

(b) The concentrations of the pollutant in the area that the source or modification will affect are 

less than the concentrations listed in the table in paragraph (a) of this subsection, or the pollutant is 

not listed in the table. 

(6) Permitting requirements equivalent to Section 9(2) of this administrative regulation shall not 

apply to a stationary source or modification for a maximum allowable increase for nitrogen oxides, if: 

(a) The owner or operator of the source or modification submitted an application for a permit or 

permit revision under the applicable permit program before the date on which the provisions 

embodying the maximum allowable increase took effect in the Kentucky SIP; and 

(b) The cabinet subsequently determined that the application as submitted before that date was 

complete. 

(7) Permitting requirements equivalent to Section lO(2) of this administrative regulation shall not 

apply to a stationary source or modification for a maximum allowable increase for PMlo, if: 

(a) The owner or operator of the source or modification submitted an application for a permit 

under the applicable permit program before the provisions embodying the maximum allowable 

increases for PMio took effect as part of Kentucky's SIP; and 

(b) The cabinet subsequently determined that the application as submitted before that date was 

complete. 

(8)(a) The cabinet may determine that the requirements for air quality monitoring of PMlo in 

Section 11 of this administrative regulation shall not apply to a particular source or modification, if: 

1. The owner or operator of the source or modification submitted an application for a permit 

under this section on or before June I, 1988; and 

2. The cabinet subsequently determines that the application as submitted before that date was 

complete, except for the requirements for monitoring particulate matter specified in Section 11 of this 

administrative regulation. 

(b) The requirements for air quality monitoring of PMlo in Section 11 of this administrative 

regulation shall apply to a particular source or modification if the owner or operator of the source or 

modification submitted an application for a permit under 40 C.F.R. 52.21 or this administrative 

regulation after June 1, 1988, and not later than December 1, 1988. 

1. The data shall have been gathered over at least the period from February 1, 1988, to the date 

the application becomes complete in accordance with Section 11 of this administrative regulation; 

and 

2. If the cabinet determines that a complete and adequate analysis can be accomplished with 

monitoring data over a shorter period, which may not to be less than four (4) months, the data that 

Section 11 of this administrative regulation requires shall have been gathered over that shorter 

period. 

0.25 pg/m3 

sulfide 

Total 

average 

24-hour 

0.2 dm3 

average 

1 -hour average 

10 clg/m3 1 -hour average 
401 KAR 51:017 

(9) If the owner or operator of the source or modification submitted an application for a permit 

under 40 C.F.R. 52.21 or this administrative regulation before the date the provisions embodying the 

maximum allowable increases for PMlo took effect and the cabinet subsequently determined that the 

application as submitted before that date was complete, the requirements of Section 9(2) of this 

administrative regulation shall: 

(a) Not apply to a stationary source or modification for a maximum allowable increase for PMlo; 

and 

(b) Apply for the maximum allowable increases for TSP as in effect on the day the application 

was submitted. 

Section 8. Control Technology Review. (1) A major stationary source or major modification shall 

meet each applicable emissions limitation under the Kentucky SIP and each applicable emissions 

standard and standard of performance pursuant to 40 C.F.R. Parts 60 and 61. 

(2) A new major stationary source shall apply BACT for each regulated NSR pollutant for which 

the source has the potential to emit in significant amounts. 

(3) A major modification shall apply BACT: 

(a) For each regulated NSR pollutant that results in a significant net emissions increase at the 

source; and 

(b) For each proposed emissions unit at which a net emissions increase in the pollutant occurs 

as a result of a physical change or change in the method of operation of the unit. 

(4) For phased construction projects: 

(a) The cabinet shall review and modify, as appropriate, the BACT determination at the latest 

reasonable time occurring not later than eighteen (18) months prior to commencement of 

construction of each independent phase of the project; and 

(b) If requested by the cabinet, the owner or operator of the applicable stationary source shall 

demonstrate the adequacy of a previous BACT determination for the source. 

Section 9. Source Impact Analysis. The owner or operator of the proposed source or 

modification shall demonstrate that allowable emissions increases from the proposed source or 

modification, in conjunction with all other applicable emissions increases or reductions, including 

secondary emissions, shall not cause or contribute to air pollution in violation of: 

(1) A national ambient air quality standard in an air quality control region; or: 

(2) An applicable maximum allowable increase over the baseline concentration in any area. 

Section 10. Air Quality Models. (1) Estimates of ambient concentrations shall be based on the 

applicable air quality models, databases, and other requirements specified in 40 C.F.R. Part 51, 

Appendix W, "Guideline on Air Quality Models," Appendix A." 

(2) If an air quality model specified in 40 C.F.R. Part 51, Appendix W, is inappropriate, the model 

may be modified or another model substituted. 

(a) The use of a modified or substitute model shall be: 

1. Subject to notice and opportunity for public comment under 401 KAR 52:100; and 

2. Approved in writing by the U.S. EPA pursuant to 40 C.F.R. 51.166(1). 

(b) Methods similar to those outlined in the "Workbook for the Comparison of Air Quality 

Models," specified in 401 KAR 50:040, Section 1(3), shall be used to determine the comparability of 

air quality models. 

Section 11. Air Quality Analysis. (1 ) Preapplication analysis. 

(a) An application for a permit or permit revision under 401 KAR 52:020 and this administrative 

regulation shall contain an analysis of ambient air quality in the area that the major stationary source 

or major modification will affect for each of the following: 

1. For a source, each pollutant that the source will have the potential to emit in a significant 

amount; 

2. For a modification, each pollutant that the modification will result in a significant net emissions 

increase. 
(b) For a pollutant that does not have a national ambient air quality standard, the analysis shall 

contain air quality monitoring data the cabinet determines necessary to assess ambient air quality for 

that pollutant in an area that the emissions of that pollutant will affect. 

(c) For pollutants, other than nonmethane hydrocarbons, for which a standard exists, the 

analysis shall contain continuous air quality monitoring data gathered to determine if emissions of 

that pollutant will cause or contribute to a violation of the standard or a maximum allowable increase. 

(d) 1. The required continuous air quality monitoring data shall have been gathered over a period 

of at least one (1) year and shall represent at least the year preceding receipt of the application. 

2. If the cabinet determines that a complete and adequate analysis may be accomplished with 

monitoring data gathered over a period shorter than one (1) year, that period shall be not less than 

four (4) months. 

(e) For analysis of volatile organic compounds, the owner or operator of a proposed major 

stationary source or major modification who satisfies all conditions of 40 C.F.R. Part 51, Appendix S, 

section IV may provide postapproval monitoring data for ozone instead of providing preconstruction 

data as required in this section. 

(f) For air quality monitoring of PMlo under Section 7(8)(a) and (b) of this administrative 

regulation, the owner or operator of the source or major modification shall use a monitoring method 

approved by the cabinet pursuant to 40 C.F.R. Part 53 and shall estimate the ambient 

concentrations of PMlo using the data collected by that approved monitoring method in accordance 

with estimating procedures approved by the cabinet pursuant to 40 C.F.R Part 58, Appendix A. 

(2) Postconstruction monitoring. After construction of a major stationary source or major 

modification, the owner or operator shall conduct ambient monitoring that the cabinet determines is 

necessary to determine the effect emissions from the stationary source or modification may have, or 

are having, on air quality in an area. 

(3) Operation of monitoring stations. During the operation of air quality monitoring stations, the 

owner or operator of a major stationary source or major modification shall meet the requirements of 

40 C.F.R. Part 58, Appendix A to satisfy the air quality analysis requirements of this section. 

Section'12. Source Information. The owner or operator of a proposed source or modification 

shall submit to the cabinet all information necessary to perform an analysis or make a determination 

required under this administrative regulation. 

(1) The information shall include: 

(a) A description of the nature, location, design capacity, and typical operating schedule of the 

source or modification, including specifications and drawings showing its design and plant layout; 

(b) A detailed schedule for construction of the source or modification; and 

(c) A detailed description of the system of continuous emissions reduction planned for the source 

or modification, emissions estimates, and any information necessary to determine that BACT will be 

applied. 

(2) Upon request of the cabinet, the owner or operator shall also provide information on: 

(a) The air quality impact of the source or modification, including meteorological and 

topographical data necessary to estimate the impact; and 

(b) The air quality impacts and the nature and extent of general commercial, residential, 

industrial, and other growth that has occurred since August 7, 1977, in the area the source or 

modification will affect. 

Section 13. Additional Impact Analysis. (1) The owner or operator shall provide an analysis of 

the impairment to visibility, soils, and vegetation that will occur as a result of: 

(a) The source or modification; and 

(b) General commercial, residential, industrial, and other growth associated with the source or 

modification. 

(2) The owner or operator shall not be required to provide an analysis of the impact on 

vegetation not having significant commercial or recreational value. 

(3) The owner or operator shall provide an analysis of the air quality impact projected for the 

area as a result of general commercial, residential, industrial, and other growth associated with the 

source or modification. 

8 
(4) Visibility monitoring. 

(a) If the cabinet requires monitoring of visibility in a Class I area impacted by the proposed new 

stationary source or major modification, the monitoring shall be performed using: 

1. Human observations; 

2. Teleradiometers; 

3. Photographic cameras; 

4. Nephelometers; 

5. Fine particulate monitors; or 

6. Other U.S. EPA-approved methods. 

(b) The method selected shall be determined on a case-by-case basis by the cabinet pursuant to 

40 C.F.R. 51 .l66. 

(c) Visibility monitoring required by the cabinet in a Class I area shall be approved by the federal 

land manager. 

(d) Data obtained from visibility monitoring shall be made available to the cabinet, the U.S. EPA, 

and the federal land manager, upon request. 

Section 14. Sources Impacting Class I Areas; Additional Requirements. (1) Notice to U.S. 

EPA and federal land managers. The cabinet shall provide: 

(a) Written notice to the U.S. EPA, the federal land manager, and the federal official charged with 

direct responsibility for management of lands within a Class I area of a permit application for a 

proposed major stationary source or major modification that may affect the Class I area. 

(b) Notice promptly after receiving the permit application. The notice shall: 

1. Include a copy of all information relevant to the permit application; 

2. Be given within thirty (30) days of receipt and at least sixty (60) days prior to the public hearing 

on the application for a permit to construct; and 

3. Include an analysis of the proposed source's anticipated impacts on visibility in the Class I 

area. 

(c) The cabinet shall also provide the federal land manager and other federal officials with a copy 

of the preliminary determination and shall make available to them the materials used in making that 

determination, promptly after the cabinet makes it. The cabinet shall also notify all affected federal 

land managers within thirty (30) days of receipt of an advanced notification of the permit application. 

(2) Federal land manager. The federal land manager and the federal official charged with direct 

responsibility for management of lands located in a Class I area shall have an affirmative 

responsibility to protect visibility and other air quality related values of the lands and to consider, in 

consultation with the cabinet, if a proposed source or modification will have an adverse impact on 

those values. 

(3) Visibility analysis. 

(a) The cabinet shall consider an analysis performed by the federal land manager, which is 

provided within thirty (30) days of the notice and analysis required by subsection (1) of this section, 

which shows that a proposed new major stationary source or major modification may have an 

adverse impact on visibility in a Class I area. 

(b) If the cabinet finds the analysis does not demonstrate to the cabinet's satisfaction that an 

adverse impact on visibility will result in the Class I area, the cabinet shall, in the public notice 

required in 401 KAR 52:100, either explain that decision or give notice as to where the explanation 

may be obtained. 

(4) Denial; impact on air quality related values. 

(a) The federal land manager of lands located in a Class I area may demonstrate to the cabinet 

that the emissions from a proposed source or modification will have an adverse impact on the 

visibility and other air quality related values of those lands, even though the change in air quality 

resulting from emissions from the proposed source or modification will not cause or contribute to 

concentrations that will exceed the maximum allowable increases for a Class I area. 

(b) If the cabinet concurs with the demonstration specified in paragraph (a) of this subsection, 

the cabinet shall not issue the permit or permit revision. 

(5) Class I variances. 

(a) The owner or operator of a proposed source or modification may demonstrate to the federal 

land manager that the emissions from the source or modification will not have adverse impact on the 
401 KAR 51:017 

visibility or other air quality related values of lands located in a Class I area, even though the change 

in air quality resulting from emissions from the source or modification will cause or contribute to 

concentrations that will exceed the maximum allowable increases for a Class I area as specified in 

Section 2(1) of this administrative regulation. 

(b) If limitations are necessary, the cabinet may issue the permit or permit revision with 

emissions limitations necessary to assure that emissions of sulfur dioxide, particulate matter, and 

nitrogen oxides will not exceed the maximum allowable increases over minor source baseline 

concentration for the pollutants as specified in Section 2(1) of this administrative regulation if: 

1. The federal land manager concurs with the demonstration specified in paragraph (a) of this 

subsection and certifies accordingly; and 

2. The other applicable requirements of this administrative regulation are met. 

(6) Sulfur dioxide variance by governor with federal land manager's concurrence. 

(a) The owner or operator of a proposed source or modification, which cannot be approved 

under subsection (5) of this section because the source cannot be constructed without exceeding a 

maximum allowable increase in sulfur dioxide applicable to a Class I area for a period of twenty-four 

(24) hours or less, may demonstrate to the Governor of the Commonwealth of Kentucky that a 

variance will not adversely affect the visibility or other air quality related values of the area. 

(b) The governor, after consideration of the federal land manager's recommendation, if 

applicable, and subject to the federal land manager's concurrence, may, after notice and public 

hearing, grant a variance from the maximum allowable increase. 

(c) If a variance is granted, the cabinet shall issue a permit or permit revision to the source or 

modification under the requirements of 401 KAR Chapter 52 if the other applicable requirements of 

this administrative regulation are met. 

(7) Variance by the governor with the President's concurrence. 

(a) If the Governor of the Commonwealth of Kentucky recommends a variance in which the 

federal land manager does not concur, the recommendations of the governor and the federal land 

manager shall be transmitted to the President of the United States of America. 

(b) If the variance is approved by the President, the cabinet shall issue a permit or permit 

revision in accordance with the requirements of 401 KAR Chapter 52, if the other applicable 

requirements of this administrative regulation are met. 

(8) Emissions limitations for presidential or gubernatorial variance. For a permit or permit revision 

issued pursuant to subsections (6) or (7) of this section, the source or modification shall comply with 

the emissions limitations necessary to assure that: 

(a) Emissions of sulfur dioxide from the source or modification shall not, during a day on which 

the other applicable maximum allowable increases are exceeded, cause or contribute to 

concentrations that will exceed the maximum allowable increases over the baseline concentration as 

specified in the following table; and 

[ Maximum Allowable Increase I 

(Micrograms per cubic meter) 

1 Terrain areas 

I 3-hour maximum 1 1 30 1 221 I 

Period of Exposure 

24-hour maximum 

! I 

(b) Emissions shall not cause or contribute to concentrations that exceed other applicable 

maximum allowable increases for periods of exposure of twenty-four (24) hours or less for more than 

a total of eighteen (18) days that are not necessarily consecutive during an annual period. 

Section 15. Public Participation. The cabinet shall follow the applicable procedures of 401 

KAR 52:100,40 C.F.R. 51.166(q), and this administrative regulation in processing applications under 

this administrative regulation. 

Low 

36 

Section 16. Source Obligation. (1) An owner or operator of a source or modification subject to 

this administrative regulation who begins actual construction after September 22, 1982, shall 

High 

62 
construct and operate the source or modification in accordance with the application submitted to the 

cabinet under this administrative regulation and 401 KAR 52:020 or under the terms of an approval 

to construct. 

(2)(a) Approval to construct shall become invalid if construction: 

1. Is not commenced within eighteen (1 8) months after receipt of the approval; 

2. Is discontinued for a period of eighteen (18) months or more; or 

3. Is not completed within a reasonable time. 

(b) The cabinet may extend the eighteen (18) month period upon a satisfactory demonstration 

that an extension is justified. 

1. An extension shall not apply to the time period between construction of the approved phases 

of a phased construction project; and 

2. Each phase shall commence construction within eighteen (18) months of the projected and 

approved commencement date. 

(3) Approval to construct shall not relieve an owner or operator of the responsibility to comply 

fully with 401 KAR Chapters 50 to 68 and other requirements of local, state, or federal law. 

(4) If a particular source or modification becomes a major stationary source or major modification 

solely by virtue of a relaxation in an enforceable limitation that was established after August 7, 1980, 

on the capacity of the source or modification to emit a pollutant, Sections 8 to 16 of this 

administrative regulation shall apply to the source or modification as though construction had not yet 

commenced on the source or modification. 

@)(a) The provisions of this subsection shall apply to projects at existing emissions units at a 

major stationary source other than projects at a source with a PAL, if: 

1. There is a reasonable possibility that a project that is not part of a major modification may 

result in a significant emissions increase; and 

2. The owner or operator elects to use the method specified in 401 KAR 51:001, Section 1 

(1 99)(b) to calculate projected actual emissions. 

(b) Before beginning actual construction of a project specified in paragraph (a) of this subsection, 

the owner or operator shall document and maintain a record of the following information: 

1. A description of the project; 

2. Identification of the emissions units for which 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: 

a. Baseline actual emissions; 

b. Projected actual emissions; 

c. Amount of emissions excluded in calculating projected actual emissions and an explanation 

for why that amount was excluded; and 

d. Any applicable netting calculations. 

(c) For a project specified in paragraph (a) of this subsection, the owner or operator shall: 

1. Monitor the emissions of any regulated NSR pollutant that could increase as a result of the 

project and that are emitted by any emissions unit identified in paragraph (b)2 of this subsection; and 

2. Calculate and maintain a record of the annual emissions, in tons per year on a calendar year 

basis for: 

a. Five (5) years following resumption of regular operations after the change; or 

b. Ten (10) years following resumption of regular operations after the change if the project 

increases the design capacity or potential to emit of the regulated NSR pollutant at the emissions 

unit. 

(d) If the emissions unit is an existing EUSGU, before beginning actual construction, the owner 

or operator: 

1. Shall provide a copy of the information in paragraph (b) of this subsection to the cabinet, but 

shall not be required to obtain a determination from the cabinet before beginning actual construction; 

and 

2. Shall submit a report to the cabinet within sixty (60) days after the end of each year during 

which records are required to be generated under paragraph (b) of this subsection that reports the 

unit's annual emissions during the calendar year that preceded submission of the report. 
401 KAR 51:017 

(e)l. For an existing unit other than an EUSGU, the owner or operator shall submit a report to 

the cabinet if: 

a. The annual emissions, in tons per year, from a project identified in paragraph (a) of this 

subsection exceeds the baseline actual emissions, as documented and maintained pursuant to 

paragraph (b)3 of this subsection, by a significant amount for that regulated NSR pollutant; and 

b. The emissions differ from the preconstruction projection as documented and maintained 

pursuant to paragraph (b)3 of this subsection. 

2. The report shall be submitted within sixty (60) days after the end of the year during which 

records are required to be generated under paragraph (b) of this subsection and shall contain the 

following: 

a. The name, address, and telephone number of the major stationary source; 

b. The annual emissions as calculated pursuant to paragraph (c) of this subsection; and 

c. Any other information that the owner or operator wishes to include in the report. 

(f) The owner or operator of the source shall make the information required to be documented 

and maintained under to this subsection available for review upon request for inspection by the 

cabinet or the general public pursuant to 401 KAR 52:lOO. 

Section 17. Environmental Impact Statements. If a proposed source or modification is subject 

to action by a federal agency that may necessitate preparation of an environmental impact statement 

under 42 U.S.C. 4321 to 4370d (the National Environmental Policy Act), review by the cabinet 

conducted in accordance with this administrative regulation shall be coordinated with the broad 

environmental reviews under that Act and under 42 U.S.C. 7609 to the maximum extent feasible and 

reasonable. 

Section 18. Innovative Control Technology. (1) An owner or operator of a proposed major 

stationary source or major modification may make written request that the cabinet approve a system 

of innovative control technology. 

(2) The cabinet may, with the consent of the governors of other affected states, determine that 

the source or modification may employ a system of innovative control technology if: 

(a) The proposed control system will not cause or contribute to an unreasonable risk to public 

health, welfare, or safety in its operation or function; 

(b) The owner or operator agrees to achieve a level of continuous emissions reduction 

equivalent to that which would have been required under Section 8(2) of this administrative 

regulation by a date, specified by the cabinet that is not later than four (4) years from the time of 

start-up or seven (7) years from permit issuance; 

(c) The source or modification shall meet requirements equivalent to those in Sections 8 and 9 of 

this administrative regulation based on the emissions rate that the stationary source employing the 

system of innovative control technology shall be required to meet on the date specified by the 

cabinet; 

(d) The source or modification shall not before the date specified by the cabinet: 

1. Cause or contribute to a violation of an applicable national ambient air quality standard; or 

2. Impact an area in which an applicable increment is known to be violated; 

(e) Section 14 of this administrative regulation relating to Class I areas has been satisfied for all 

periods during the life of the source or modification; and 

(f) All other applicable requirements including those for public participation have been met. 

(3) The cabinet shall withdraw approval to employ a system of innovative control technology if: 

(a) The proposed system fails by the specified date to achieve the required continuous 

emissions reduction rate; 

(b) The proposed system fails before the specified date and contributes to an unreasonable risk 

to public health, welfare, or safety; or 

(c) The cabinet decides that the proposed system is unlikely to achieve the required level of 

control or to protect the public health, welfare, or safety. 

(4) If a source or modification fails to meet the required level of continuous emissions reduction 

within the specified time period or the approval is withdrawn in accordance with subsection (3) of this 
section, the cabinet may allow the source or modification up to an additional three (3) years to meet 

the requirement for the application of BACT through use of a demonstrated system of control. 

Section 19. Permit Condition Rescission. (l)(a) An owner or operator holding a permit for a 

stationary source or modification that contains conditions pursuant to 401 KAR 51:015 or 51:016E 

may request that the cabinet rescind the applicable conditions. 

(b) An owner or operator of a stationary source or modification who holds a permit for the source 

or modification that was issued under this administrative regulation as in effect on July 30, 1987, or 

an earlier version of this administrative regulation, may request that the cabinet rescind the permit or 

a particular portion of the permit. 

(2) The cabinet shall rescind a permit condition if requested and if the applicant can demonstrate 

to the satisfaction of the cabinet that this administrative regulation does not apply to the source or 

modification or to a portion of the source or modification. 

Section 20. Plant-wide Applicability Limit Provisions. The cabinet shall only approve the use 

of an actuals PAL (PAL) for an existing major stationary source if the PAL meets the requirements of 

this section. 

(1 ) General provisions. 

(a) An owner or operator may execute a project without triggering major NSR, if the source 

maintains its total source-wide emissions below the PAL level, meets the requirements in this 

section, and complies with the PAL permit. If these conditions are met, a project: 

1. Shall not be considered a major modification for the PAL pollutant; 

2. Shall not have to be approved through Kentucky's major NSR program; and 

3. Shall not be subject to the provisions of Section 16(4) of this administrative regulation 

concerning restrictions on relaxing enforceable emission limitations that a major stationary source 

used to avoid applicability of the major NSR program. 

(b) Except as provided under subparagraph (l)(a)3 of this section, a major stationary source 

shall continue to 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) Permit application requirements. The owner or operator of a major stationary source shall 

submit the following information to the cabinet for approval as part of an application for a permit or 

permit revision requesting a PAL: 

(a) A list of all emissions units at the source designated as small, significant, or major, based on 

their potential to emit; 

(b) Identification of the federal and state applicable requirements, emissions limitations, and work 

practice requirements that apply to each emissions unit; 

(c) Calculations of the baseline actual emissions for the emissions units with supporting 

documentation, including emissions associated with startup, shutdown, and malfunction; and 

(d) The calculation procedures the owner or operator proposes to use to convert the monitoring 

system data to monthly emissions and annual emissions based on a twelve (12) month rolling total 

for each month as required by subsection (12)(a) of this section. 

(3) Establishing a PAL. The cabinet shall establish a PAL at a major stationary source in a 

federally enforceable permit pursuant to the requirements of this section. 

(a) The PAL shall impose an annual emissions limitation in tons per year that is enforceable as a 

practical matter for the entire major stationary source. 

1. For each month during the PAL effective period after the first twelve (12) months of 

establishing a PAL, the owner or operator shall demonstrate that the sum of the monthly emissions 

from each emissions unit under the PAL for the previous twelve (12) consecutive months is less than 

the PAL as a twelve (12) month average, rolled monthly; and 

2. For each month during the first eleven (1 1) months from the PAL effective date, the owner or 

operator shall demonstrate 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: 

1. Meets the public participation requirements in subsection (4) of this section; and 

2. Contains all the requirements of subsection (6) of this section. 
401 KAR 51:017 

(c) A 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. 

(d) Each PAL shall regulate emissions of only one (1) pollutant. 

(e) Each PAL shall have a PAL effective period of ten (1 0) years. 

(f) The owner or operator of a major stationary source with a PAL shall comply with the 

monitoring, recordkeeping, and reporting requirements of subsections (1 1) to (13) of this section for 

each emissions unit under the PAL through the PAL effective period. 

(g) Emissions reductions of a PAL pollutant that occur during the PAL effective period shall not 

be creditable as decreases for offsets under 40 C.F.R. 51.165(a)(3)(ii), unless: 

1. The level of the PAL is reduced by the amount of the emissions reductions; and 

2. The reductions will be creditable in the absence of the PAL. 

(4) Public participation requirements. PALS for existing major stationary sources shall be 

established, renewed, or increased pursuant to this subsection and the applicable procedures of 401 

KAR 52:lOO. The cabinet shall: 

(a) Provide the public with notice of the proposed approval of a PAL permit with at least a thirty 

(30) day period for submittal of public comment; and 

(b) Address all material comments before taking final action on a PAL permit or permit revision. 

(5) Setting the ten (10) year PAL level. 

(a) The PAL level for a major stationary source shall be the sum of the baseline actual emissions 

of the PAL pollutant for each emissions unit at the source during the chosen twenty-four (24) month 

period plus the applicable significant level for the PAL pollutant under the definition for "significant" in 

401 KAR 51:001, Section 1 or under 42 U.S.C. 7401-7671q, whichever is lower. 

(b) In establishing a PAL level for a PAL pollutant, only one (1) consecutive twenty-four (24) 

month period shall be used to determine the baseline actual emissions for all existing emissions 

units. 

(c) A different consecutive twenty-four (24) month period may be used for each different PAL 

pollutant. 

(d) Emissions associated with units that were permanently shutdown after the chosen twentyfour (24) month period shall be subtracted from the PAL level. 

(e) Emissions from units for which actual construction began after the twenty-four (24) month 

period shall be added to the PAL level in an amount equal to the potential to emit of the units. 

(f) The cabinet shall specify a reduced PAL level in the PAL permit to become effective on the 

future compliance date of any applicable federal or state regulatory requirement that the cabinet is 

aware of prior to issuance of the PAL permit. 

(6) Contents of the PAL permit. The PAL permit shall contain the following information: 

(a) The PAL pollutant and the applicable source-wide emissions limitation in tons per year; 

(b) The PAL permit effective date and the expiration date of the PAL or PAL effective period; 

(c) Specification in the PAL permit that if a major stationary source owner or operator applies to 

renew a PAL under subsection (9) of this section before the end of the PAL effective period, the PAL 

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

(d) A requirement that emissions calculations for compliance purposes include emissions from 

startups, shutdowns, and malfunctions; 

(e) A requirement that, once the PAL expires, the major stationary source shall be subject to the 

requirements of subsection (8) of this section; 

(f) The calculation procedures that the major stationary source owner or operator shall use to 

convert the monitoring system data to monthly emissions and annual emissions based on a twelve 

(12) month rolling total for each month as required by subsection (12)(a) of this section; 

(g) A requirement that the major stationary source owner or operator shall monitor all emissions 

units in accordance with the provisions in subsection (12) of this section; 

(h) A requirement that the owner or operator shall retain the records required under subsection 

(12) of this section on site. Records may be retained in an electronic format; 

(i) A requirement for the owner or operator to submit the reports required under subsection (13) 

of this section by the required deadlines; and 

(j) Any requirements necessary to implement and enforce the PAL. 

(7) PAL effective period and reopening of a PAL permit. 

14 
(a) A PAL effective period shall be ten (10) years. 

(b) The cabinet shall reopen a PAL permit to: 

1. Correct typographical or calculation errors made in setting the PAL; 

2. Reflect a more accurate determination of emissions used to establish the PAL; 

3. Reduce the PAL if the owner or operator of the major stationary source creates creditable 

emissions reductions for use as offsets under 40 C.F.R. 51.165(a)(3)(ii); or 

4. Revise the PAL to reflect an increase in the PAL according to subsection (10) of this section. 

(c) The cabinet may reopen the PAL permit, during the PAL effective period, to: 

1. Reduce the PAL to reflect newly applicable federal requirements with compliance dates after 

the PAL effective date; 

2. Reduce the PAL consistent with any requirement enforceable as a practical matter and 

imposed on the major stationary source under the SIP; and 

3. Reduce the PAL if the cabinet determines that a reduction is necessary to avoid causing or 

contributing to: 

a. A National Ambient Air Quality Standard (NAAQS) or PSD increment violation; or 

b. An adverse impact on visibility or another air quality related value 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. 

(d) All permit reopenings shall be carried out under the public participation requirements of 

subsection (4) of this section except for permit reopenings to correct typographical or calculation of 

errors that do not increase the PAL level. 

(8) Expiration of a PAL. A PAL that is not renewed shall expire at the end of the PAL effective 

period, and the requirements of this subsection shall then apply. 

(a) Each emissions unit, or each group of emissions units, that existed under the PAL shall 

comply with an allowable emissions limitations under a revised permit established as follows: 

1. An owner or operator of a major stationary source using a PAL shall submit a proposed 

allowable emissions limitation for each emissions unit, or each group of emissions units, by 

distributing the PAL allowable emissions for the major stationary source among each of the 

emissions units that existed under the PAL. 

a. This proposal shall be submitted to the cabinet at least six (6) months before the expiration of 

the PAL permit but not sooner than eighteen (18) months before permit expiration. 

b. If the PAL has not yet been adjusted for an applicable requirement that became effective 

during the PAL effective period, as required under subsection (9)(e) of this section, distribution of 

allowable emissions shall be made as if the PAL has been adjusted. 

2. The cabinet shall decide the date and procedure the owner or operator shall use to distribute 

the PAL allowable emissions. 

3. The cabinet shall issue a revised permit incorporating allowable limits for each emissions unit, 

or each group of emissions units, as the cabinet determines is appropriate. 

(b) Each emissions unit shall comply with the allowable emissions limitation on a twelve (12) 

month rolling basis. The cabinet may approve the use of monitoring systems other than CEMS, 

CERMS, PEMS, or CPMS if the alternate monitoring system demonstrates compliance with the 

allowable emissions limitation. 

(c) The source shall continue to comply with a source-wide, multiunit emissions cap equivalent to 

the level of the PAL emissions limitation until the cabinet issues the revised permit incorporating 

allowable limits for each emissions unit or each group of emissions units. 

(d) A major modification at the major stationary source shall be subject to major NSR 

requirements. 

(e) The major stationary source owner or operator shall continue to comply with any state or 

federal applicable requirements eliminated by the PAL that applied during or before the PAL 

effective period, except for those emissions limitations established pursuant to Section 16(4) of this 

administrative regulation. 

(9) Renewal of a PAL. 

(a) Public participation requirements. 

1. The cabinet shall follow the public participation procedures specified in subsection (4) of this 

section in approving a request to renew a PAL for a major stationary source. 
2. The cabinet shall provide a written rationale for the proposed PAL level for public review and 

comment. 

3. Any person may propose a PAL level for the source for consideration by the cabinet during 

the public review period. 

(b) Application deadline. 

1. A major stationary source owner or operator shall submit an application for renewal of a PAL 

at least six (6) months before the date of permit expiration but not earlier than eighteen (18) months 

before permit expiration. 

2. The deadline for application submittal shall ensure that the permit shall not expire before the 

permit is renewed. 

3. If a complete application for renewal is submitted within the timeframe specified in 

subparagraph 1 of this paragraph, the PAL shall continue to be effective until the revised permit with 

the renewed PAL is issued. 

(c) Application requirements. The application to renew a PAL permit shall contain: 

1. The information required in subsection (2) of this section; 

2. A proposed PAL level; 

3. The sum of the potential to emit of all emissions units under the PAL with supporting 

documentation; and 

4. Any other information the owner or operator wishes the cabinet to consider in determining the 

appropriate level to renew the PAL. 

(d) PAL adjustment. 

1. A PAL shall not exceed the source's potential to emit. The cabinet shall adjust the PAL 

downward if a source's potential to emit has declined below the PAL level. 

2. The cabinet may renew the PAL at the same level as the current PAL if the sum of the 

baseline actual emissions for all emissions units at the source plus an amount equal to the 

significant level is equal to or greater than eighty (80) percent of the current PAL level, unless the 

sum is greater than the source's potential to emit. 

3. If the sum of the baseline actual emissions for all emissions units at the source plus an 

amount equal to the significant level is less than eighty (80) percent of the current PAL level, the 

cabinet may set the PAL at a different level if the level is determined to be: 

a. More representative of the source's baseline actual emissions; or 

b. Appropriate considering the following factors: 

(i) Air quality needs; 

(ii) Advances in control technology; 

(iii) Anticipated economic growth in the area of the source; 

(iv) The cabinet's goal of promoting voluntary emissions reductions; 

(v) Cost effective emissions control alternatives; and 

(vi) Other factors as specifically identified by the cabinet in its written rationale for setting the PAL 

level. 

4. The cabinet shall not approve a renewed PAL level higher than the current PAL, unless the 

major stationary source has complied with the provisions of subsection (1 0) of this section. 

(e) The PAL shall be adjusted in conjunction with PAL permit renewal or Title V permit renewal, 

whichever comes first, if: 

1. The compliance date for a state or federal applicable requirement that applies to the PAL 

source occurs during the PAL effective period; and 

2. The cabinet has not already adjusted for the requirement. 

(10) Increasing a PAL during the PAL effective period. The cabinet may increase a PAL 

emissions limitation during the PAL effective period if the major stationary source complies with the 

provisions of this subsection. 

(a) Application procedures. To request an increase in the PAL limit for a PAL major modification, 

the owner or operator of the major stationary source shall submit a complete application, which shall 

include: 

1. Identification of the emissions units contributing to the increase in emissions that cause the 

source's emissions to equal or exceed its PAL; 
2. Demonstration that the increased PAL, as calculated in paragraph (c) of this subsection, 

exceeds the PAL; and 

a. The level of control that results from BACT equivalent controls on each significant or major 

emissions unit shall be determined by conducting a new BACT analysis with the application 

submittal, unless the emissions unit is currently required to comply with a BACT or LAER 

requirement that was established within the preceding ten (10) years; 

b. If an emissions unit currently complies with BACT or LAER, the assumed control level for that 

emissions unit shall be equal to the current level of BACT or LAER for that emissions unit; and 

3. A statement 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. 

(b) NSR permit and compliance requirement. The owner or operator shall obtain a major NSR 

permit for all emissions units contributing to the increase in emissions for the PAL major 

modification. 

1. A significant level shall not apply in deciding for which emissions units a major NSR permit 

shall be obtained; and 

2. Emissions units that obtain a major NSR permit shall comply with any emissions requirements 

resulting from the major NSR process, even though the units shall also become subject to the PAL 

or shall continue to be subject to the PAL. 

(c) Calculation of increased PAL. The cabinet 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, plus the sum of the baseline actual emissions of the small emissions units. 

(d) Public notice requirement. The public notice requirements of subsection (4) of this section 

shall be followed during PAL permit revision for an increased PAL level. 

(1 1) Monitoring requirements for PALS. 

(a) General requirements. 

1. Each PAL permit shall contain enforceable requirements for the chosen monitoring system 

that accurately determines plant-wide emissions of the PAL pollutant in terms of mass per unit of 

time; 

2. A monitoring system authorized for use in the PAL permit shall be: 

a. Approved by the cabinet pursuant to this subsection; and 

b. Based on sound science and meet generally acceptable scientific procedures for data quality 

and manipulation; 

3. The data generated by a monitoring system shall meet minimum legal requirements for 

admissibility in a judicial proceeding to enforce the PAL permit; 

4. The PAL monitoring system shall employ one (1) or more of the four (4) general monitoring 

approaches meeting the minimum requirements set forth in paragraph (b) of this subsection; 

5. The cabinet may approve an alternative monitoring approach that meets the requirements of 

subparagraphs 1 to 3 of this paragraph; and 

6. Failure to use a monitoring system that meets the requirements of this section shall render the 

PAL invalid. 

(b) Minimum performance requirements for approved monitoring approaches. If conducted in 

accordance with the minimum requirements in paragraphs (c) to (i) of this subsection, the following 

shall be acceptable monitoring approaches: 

1. Mass balance calculations for activities using coatings or solvents; 

2. CEMS; 

3. CPMS or PEMS; and 

4. Emission factors. 

(c) Mass balance calculations. An owner or operator using mass balance calculations to monitor 

PAL pollutant emissions from activities using coatings or solvents shall: 

1. Provide a demonstrated means of validating the published content of the PAL pollutant 

contained in or created by all materials used in or at the emissions unit; 

2. If the PAL pollutant cannot be accounted for in the process, assume that the emissions unit 

emits all of the PAL pollutant contained in or created by any raw material or fuel used in or at the 

emissions unit; and 
3. If the vendor of the material or fuel from which the pollutant originates publishes a range, use 

the highest value of the published range of pollutant content to calculate the PAL pollutant 

emissions, unless the cabinet determines there is site-specific data or a site-specific monitoring 

program to support another pollutant content within the range. 

(d) CEMS. An owner or operator using CEMS to monitor PAL pollutant emissions shall meet the 

following requirements: 

1. CEMS shall comply with applicable performance specifications found in 40 C.F.R. Part 60, 

Appendix 6; and 

2. CEMS shall sample, analyze, and record data at least every fifteen (15) minutes while the 

emissions unit is operating. 

(e) CPMS or PEMS. An owner or operator using CPMS or PEMS to monitor PAL pollutant 

emissions shall meet the following requirements: 

1. The CPMS or the PEMS shall be based on current site-specific data demonstrating a 

correlation between the monitored parameter and the PAL pollutant emissions across the range of 

operation of the emissions unit; and 

2. While the unit is operating, each CPMS or PEMS shall sample, analyze, and record data at 

least every fifteen (1 5) minutes, or at another less frequent interval if approved by the cabinet. 

(0 Emission factors. An owner or operator using emission factors to monitor PAL pollutant 

emissions shall meet the following requirements: 

1. All emission factors shall be adjusted, if appropriate, to account for the degree of uncertainty 

or limitations in the factors' development; 

2. The emissions unit shall operate within the designated range of use for the emission factor, if 

applicable; and 

3. 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 six (6) months of PAL permit issuance if the cabinet determines that the 

testing is required and technically practicable. 

(g) A source owner or operator shall record and report maximum potential emissions without 

considering enforceable emissions limitations or operational restrictions for an emissions unit during 

any period of time there is no monitoring data, unless another method for determining emissions 

during such periods is specified in the PAL permit. 

(h) If an owner or operator of an emissions unit cannot demonstrate a correlation between the 

monitored parameters and the PAL pollutant emissions rate at all operating points of the emissions 

unit, as an alternative to the requirements of paragraphs (c) to (g) of this subsection, in conjunction 

with permit issuance the cabinet shall: 

1. Establish default values for determining compliance with the PAL based on the highest 

potential emissions reasonably estimated at operating points; or 

2. Determine that operation of the emissions unit during operating conditions if there is not a 

correlation between monitored parameters and the PAL pollutant emissions is a violation of the PAL. 

(i) Revalidation. All data used to establish the PAL pollutant shall be revalidated through 

performance testing or other scientifically valid means if approved by the cabinet. Validation testing 

shall occur at least once every five (5) years after issuance of the PAL. 

(1 2) Recordkeeping requirements. 

(a) The PAL permit shall require an owner or operator to retain a copy of all records necessary to 

determine compliance with any requirement of this section and of the PAL, including a determination 

of each emissions unit's twelve (12) month rolling total emissions for five (5) years from the date of 

the determination. 

(b) The PAL permit shall require an owner or operator to retain a copy of the following records for 

the duration of the PAL effective period plus five (5) years: 

1. A copy of the PAL permit application and any applications for revisions to the PAL; and 

2. Each annual certification of compliance pursuant to Title V and the data used to certify 

compliance. 

(13) Reporting and notification requirements. The owner or operator shall submit semiannual 

monitoring reports and prompt deviation reports to the cabinet in accordance with 401 KAR 52:020, 

52:030, and 52:040 that meet the following requirements: 

18 
401 KAR 51:017 

(a) Semiannual report. The semiannual report shall be submitted to the cabinet within thirty (30) 

days of the end of each reporting period and shall contain: 

1. The identification of owner and operator and the permit number; 

2. Total annual emissions, in tpy, based on a twelve (12) month rolling total for each month in the 

reporting period recorded pursuant to subsection (12)(a) of this section; 

3. All data used in calculating the monthly and annual PAL pollutant emissions, including any 

quality assurance or quality control data; 

4. A list of any emissions units modified or added to the major stationary source during the 

preceding six (6) month period; 

5. 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 following a 

deviation; 

6. A notification of permanent or temporary shutdown of any monitoring system including: 

a. The reason for the shutdown; 

b. The anticipated date that the monitoring system shall be fully operational or shall be replaced 

with another monitoring system; 

c. If applicable, a statement that the emissions unit monitored by the monitoring system 

continued to operate without the monitoring system; and 

d. The calculation of the emissions of the pollutant or the number determined according to 

subsection (1 l)(g) of this section that is included in the permit; and 

7. A signed statement by the responsible official, as defined by 401 KAR 51 :001, Section 1 (210), 

certifying the truth, accuracy, and completeness of the information provided in the semiannual 

report. 

(b) Deviation report. The major stationary source owner or operator shall submit reports of any 

deviation or exceedance of the PAL requirements, including periods monitoring is unavailable. 

1. A report submitted pursuant to 40 C.F.R. 70.6(a)(3)(iii)(B) shall satisfy the deviation reporting 

requirement; 

2. The deviation report shall be submitted within the time limits prescribed by 40 C.F.R. 

70.6(a)(3)(iii)(B); 

3. The deviation report shall contain the following information: 

a. The identification of the owner, the operator, and the permit number; 

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 401 KAR 51:001, Section 1(210), 

certifying the truth, accuracy, and completeness of the information provided in the report. 

(c) Revalidation results. The owner or operator shall submit to the cabinet the results of any 

revalidation test or method within three (3) months after completion of the test or method. 

(14) Transition requirements. 

(a) After the U.S. EPA approves the Kentucky SIP revisions for the PAL provisions published in 

67 Fed. Reg. 80186, December 31, 2002, the cabinet shall only issue a PAL that complies with the 

requirements of this section. 

(b) The cabinet may supersede a PAL that was established before August 10, 2006, with a 

different PAL if the new PAL complies with the requirements of this administrative regulation. 

(8 Ky.R. 11 12; Am. 9 Ky.R. 350; eff. 9-22-82; 12 Ky.R. 869; 1263; eff. 24-86; 13 Ky.R. 924; eff. 12- 

2-86; 14 Ky.R. 883; eff. 12-1 1-87; 1601; eff. 4-14-88; 18 Ky.R. 2605; eff. 6-24-92; 23 Ky.R. 2203; 

3009; eff. 3-12-97; 30 Ky.R. 2188; 2500; 31 Ky.R. 45; eff. 7-14-04; eff. 2-5-10) 
401 KAR 5 1 :OX? 

COMMONWEALTH OF KENTUCKY 

ENVIRONMENTAL AND PUBLIC PROTECTION CABINET 

DEPARTMENT FOR ENVIRONMENTAL PROTECTION 

Division for Air Quality 

401 KAR 51:052. Review of new sources in or impacting upon nonattainment areas. 

RELATES TO: KRS 224.20-100(5), 224.20-110,224.20-120,40 C.F.R. Part 51 Appendix S, Part 

51 Subpart L51.165, 51.166, 51.300,51.307,52.21,60,61, 70.6 ,81, Subpart D, 81.318'42 U.S.C. 

7401 -7671 q, EO 2009-538 

STATUTORY AUTHORITY: KRS 224.10-100(5), 42 U.S.C. 7401-7671q, EO 2009-538 

NECESSITY, FUNCTION, AND CONFORMITY: KRS 224.10-100 authorizes the cabinet to 

promulgate administrative regulations for the prevention, abatement, and control of air pollution. EO 

2009-538, effective June 12, 2009, establishes the Energy and Environment Cabinet. This 

administrative regulation establishes requirements for the construction or modification of stationary 

sources within, or impacting upon, areas where the national ambient air quality standards have not 

been attained. The provisions of this administrative regulation are neither different nor more stringent 

than the federal regulation 40 C.F.R. 51 .l65. 

Section 1. Applicability. This administrative regulation shall apply to the 

construction of a new major stationary source or a project that is a major modification at an existing 

major stationary source, which commences construction after September 22, 1982, and locates in or 

impacts upon an area designated nonattainment under 42 U.S.C. 7407(d)(l)(A)(i). 

(1) The provisions of this administrative regulation relating to visibility protection shall also apply 

to major sources or major modifications in nonattainment areas that potentially have an impact on 

visibility in a mandatory Class I federal area. 

(2) Applicability tests for projects. Except as provided in subsection (3) of this section, a project 

shall be a major modification for a regulated NSR pollutant only if the project causes a significant 

emissions increase and a significant net emissions increase, as provided in paragraphs (a) and (b) 

of this subsection. 

(a) Prior to beginning actual construction, the owner or operator shall first determine if a 

significant emissions increase will occur for the applicable type of unit being constructed or modified 

according to subparagraphs 1 to 3 of this paragraph. 

1. Actual-to-projected actual applicability test for projects that only involve existing emissions 

units. A significant emissions increase of a regulated NSR pollutant shall be projected to occur if the 

sum of the difference between the projected actual emissions and the baseline actual emissions for 

each existing emissions unit equals or exceeds the significant amount for that pollutant. 

2. Actual-to-potential test for projects that involve only construction of new emissions units. A 

significant emissions increase of a regulated NSR pollutant shall be projected to occur if the sum of 

the potential to emit from each new emissions unit following completion of the project equals or 

exceeds the significant amount for that pollutant. 

3. Hybrid test for projects that involve multiple types of emissions units. A significant emissions 

increase of a regulated NSR pollutant shall be projected to occur if the sum of the emissions 

increases for each emissions unit, using the methods specified in subparagraphs 1 and 2 of this 

paragraph as applicable for each emissions unit, equals or exceeds the significant amount for that 

pollutant. 

(b) Prior to beginning actual construction and after completing the applicable test in paragraph 

(a) of this subsection, the owner or operator shall determine for each regulated NSR pollutant if a 

significant net emissions increase will occur pursuant to 401 KAR 51:001, Section l(144) and (218). 

(3) For a plant-wide applicability limit (PAL) for a regulated NSR pollutant at a major stationary 

source, the owner or operator of the major stationary source shall comply with the applicable 

requirements of Section 11 of this administrative regulation. 

Section 2. Initial Screening Analyses and Determination of Applicable Requirements. (1) 

Review of all sources for emissions limitation compliance. 
401 KAR 51:052 

(a) The cabinet shall examine each proposed major new source and proposed major 

modification to determine if the source or modification will meet all applicable emissions 

requirements in the Kentucky State Implementation Plan (SIP) and 40 C.F.R. Parts 60 and 61. 

(b) If the cabinet determines from the application and all other available information that the 

proposed source or modification will not meet the applicable emissions requirements, the permit to 

construct shall be denied. 

(2) Review of specified sources of air quality impact. 

(a) The cabinet shall determine if a proposed major stationary source or major modification will 

be constructed in an area designated as nonattainment pursuant to 42 U.S.C. 7407(d)(l)(A)(i) for a 

pollutant for which the stationary source or modification is major. 

(b) If a designated nonattainment area is projected to be an attainment area as part of an 

approved control strategy by the new source start-up date, offsets shall not be required if the new 

source will not cause a new violation. 

(3) Fugitive emissions sources. Sections 4 and 10 of this administrative regulation shall not apply 

to a source or modification that will be a major stationary source or major modification only if fugitive 

emissions, to the extent quantifiable, are considered in calculating the potential to emit of the 

stationary source or modification and the source does not belong to one (1) of the following 

categories: 

(a) Coal cleaning plants with thermal dryers; 

(b) Kraft pulp mills; 

(c) Portland cement plants; 

(d) Primary zinc smelters; 

(e) Iron and steel mills; 

(f) Primary aluminum ore reduction plants; 

(g) Primary copper smelters; 

(h) Municipal incinerators capable of charging more than 250 tons of refuse per day; 

(i) Hydrofluoric, sulfuric, or nitric acid plants; 

(j) Petroleum refineries; 

(k) Lime plants; 

(I) Phosphate rock processing plants; 

(m) Coke oven batteries; 

(n) Sulfur recovery plants; 

(0) Carbon black plants, furnace process; 

(p) Primary lead smelters; 

(q) Fuel conversion plants; 

(r) Sintering plants; 

(s) Secondary metal production plants; 

(t) Chemical process plants, except ethanol production facilities producing ethanol by natural 

fermentation under the North American Industry Classification System (NAICS) codes 325193 or 

312140; 

(u) Fossil-fuel boilers, or combination of fossil-fuel boilers, totaling more than 250 million BTUs 

per hour heat input; 

(v) Petroleum storage and transfer units with a total storage capacity exceeding 300,000 barrels; 

(w) Taconite ore processing plants; 

(x) Glass fiber processing plants; 

(y) Charcoal production plants; 

(z) Fossil fuel-fired steam electric plants of more than 250 million BTUs per hour heat input; or 

(aa) Another stationary source category that, as of August 7, 1980, is being regulated under 42 

U.S.C. 741 1 or 741 2. 

Section 3. Sources Locating in Designated Attainment or Unclassifiable Areas that Will 

Cause or Contribute to a Violation of a National Ambient Air Quality Standard. (1) This section 

shall apply only to new major stationary sources or new major modifications that will locate in 

designated attainment or unclassifiable areas, pursuant to 42 U.S.C. 7407(d)(l)(A)(ii) or (iii), if the 

source or modification will cause impacts that exceed the significance levels, as listed in the table in 

this subsection, at a locality that does not or will not meet the national ambient air quality standards. 
40 1 KAR 5 1 :OS? 

I Pollutant I Annual I Averaging Time I 

Monoxide I mglm3 1 I mg/m3 1 

Sulfur 

Dioxide 

PMl0 

- 

Nitrogen 

Dioxide 

Carbon 

(2) Sources to which this section applies shall meet the requirements in Section 4(1), (2) and (4) 

of this administrative regulation and may be exempt from Section 4(3) of this administrative 

regulation. 

(3) For sources of sulfur dioxide (SO2), particulate matter, and carbon monoxide (CO), the 

determination that a new major source or major modification will cause or contribute to a violation of 

a national ambient air quality standard shall be made on a case-by-case basis using the source's 

allowable emissions in an approved atmospheric simulation model listed in 40 C.F.R. Part 51, 

Appendix W, "Guideline on Air Quality Models". 

(4) For sources of NOx, the initial determination that a new major source or major modifigtion 

will cause or contribute to a violation of the national ambient air quality standard for nitrogen dioxide 

(NO2) shall be made using an approved atmospheric simulation model assuming all the nitric oxide 

emitted is oxidized to NO2 by the time the plume reaches ground level. The initial concentration 

estimates may be adjusted if adequate data are available to account for the expected oxidation rate. 

(5) For ozone, sources of VOCs or NOx locating outside a designated ozone nonattainment area 

shall be presumed to not have a significant impact on the designated nonattainment area. If ambient 

monitoring indicates that the area of source location is in fact nonattainment, the source shall be 

permitted pursuant to this administrative regulation and 401 KAR 52:020 until the area is designated 

nonattainment pursuant to 42 U.S.C. 7407(d)(l)(A)(i). 

(6) The determination that a new major source or major modification will cause or contribute to a 

violation of a national ambient air quality standard shall be made as of the start-up date. 

(7) Applications for major new sources and major modifications locating in attainment or 

unclassifiable areas, the operation of which will cause a new violation of a national ambient air 

quality standard but will not contribute to an existing violation, may be approved only if the following 

conditions are met: 

(a) The new source shall: 

1. Meet an emissions limitation; 

2. Meet a design, operational, or equipment standard; or 

3. Control existing sources so that the new source will not cause a violation of a national ambient 

air quality standard. 

(b) The new emissions limitations for the new and existing sources affected shall be state and 

federally enforceable in accordance with Section 6 of this administrative regulation. 

Section 4. Sources Locating in a Designated Nonattainment Area. This section shall apply 

to a new major stationary source or major modification that will be constructed in an area designated 

as nonattainment pursuant to 42 U.S.C. 7407(d)(l)(A)(i) for a pollutant for which the stationary 

source or modification is major. Approval to construct may be granted only if the conditions of this 

section are met. 

Average 

1.0 ug 

/m 

1.0 ug 

/m3 

1.0 ug 

/m3 

-- 

24- 

Hour 

5 ug 

/m3 

5 ug 

lm3 

-- 

-- 

1 - 

Hour 

-- 

-- 

-- 

2 

8- 

Hour 

-- 

-- 

-- 

0.5 

3 - 

Hour 

25 ug 

/m3 

-- 

-- 

-- 
40 1 KAR 5 l:O52 

(1) The new major source or major modification shall be required to meet an emissions limitation 

that specifies the lowest achievable emissions rate (LAER) for the source. 

(2) The applicant shall demonstrate that all existing major sources owned or operated by the 

applicant, or an entity controlling, controlled by, or under common control with the applicant, in the 

Commonwealth of Kentucky are in compliance with all applicable emissions limitations and 

standards specified in Title 401, Chapters 50 to 65, and 40 C.F.R. Parts 60 and 61 and 42 U.S.C. 

7401-7626, or are in compliance with an expeditious state and federally enforceable compliance 

schedule or a court decree establishing a compliance schedule. 

(3)(a) Except for VOCs or NOx emissions, emissions from existing sources in the affected area 

of the proposed new major source or modification, whether or not under the same ownership, shall 

be reduced or offset, so that there will be reasonable further progress toward attainment of the 

applicable national ambient air quality standard (NAAQS). Only those transactions in which the 

emissions being offset are from the same criteria pollutant category shall be accepted. 

(b) The ratio of total emissions reductions of VOCs or NOx to total increased emissions of the 

same air pollutant shall be at least the ratio indicated for the following ozone nonattainment area 

classifications: 

1. For marginal nonattainment areas, at least 1 .I to 1 ; 

2. For moderate nonattainment areas, at least 1 .I5 to 1; 

3. For serious nonattainment areas, at least 1.2 to 1 ; 

4. For severe nonattainment areas, at least 1.3 to 1 ; and 

5. For extreme nonattainment areas, at least 1.5 to 1. 

(4) The emissions reductions shall provide a positive net air quality benefit in the affected area. 

(a) Atmospheric simulation modeling shall not be required for VOCs and NOx. 

(b) Except as provided in Section 3(5) of this administrative regulation, compliance with 

subsection (3) of this section and Section 5(3)(e) of this administrative regulation shall be adequate 

to meet this condition. 

(5) The proposed major stationary source or major modification shall include in the application 

for a construction permit an analysis of the alternative sites, sizes, production processes, and 

environmental control techniques for the proposed source, which demonstrates that benefits of the 

proposed source significantly outweigh the environmental and social costs imposed as a result of its 

location, construction, or modification. 

Section 5. Determining Credit for Emissions Offsets. (1) The baseline for determining credit 

for emissions reductions or offsets shall be, where baseline actual emissions as defined in 401 KAR 

51 :001, Section 1 (20), shall not be used for determining the baseline for emissions offsets: 

(a) The emissions limitations in effect when the application to construct or modify a source is 

filed; or 

(b) The actual emissions of the source from which offset credit is attained if: 

1. The demonstration of reasonable further progress and attainment of ambient air quality 

standards for the SIP was based on actual emissions; or 

2. The SIP does not contain an emissions limitation for that source or source category. 

(2) Credit for emissions offsets. Credit for emissions offset purposes may be allowed for existing 

control if the existing control goes beyond the control required under 401 KAR Chapters 50 to 65 

and applicable federal regulations. 

(3) General provisions for calculating offset values. 

(a) Offset calculations shall be made on a pound-per-hour basis if all facilities involved in the 

emissions offset calculations are operating at their maximum or allowed production rate. 

(b) Offsets may be calculated on a tons-per-year basis if baseline emissions for existing sources 

providing the offsets are calculated using the actual annual operating hours for the previous two (2) 

year period. 

(c) If the cabinet requires certain hardware controls instead of an emissions limitation, baseline 

allowable emissions shall be based on actual operating conditions for the previous two (2) year 

period in conjunction with the required hardware controls. 

(d) If the emissions limitations required by the cabinet allow greater emissions than the 

uncontrolled emissions rate of the source, emissions offset credit shall be allowed only for control 

below the uncontrolled emissions rate. 
401 KAR 51:052 

(e) The owner or operator of a new or modified major stationary source shall comply with any 

offset requirement in effect under this administrative regulation to increase emissions of an air 

pollutant by: 

1. Obtaining emissions reductions of the air pollutant from the same source or other sources in 

the same nonattainment area; or 

2. From sources in another nonattainment area if: 

a. The other area has an equal or higher nonattainment classification than the area in which the 

source is located; and 

b. Emissions from the other area contribute to a violation of the national ambient air quality 

standard in the nonattainment area in which the source is located. 

(4) Calculating offsets if an applicable emissions limitation does not exist. If the Kentucky SIP 

does not contain an emissions limitation for a source or source category, the emissions offset 

baseline involving the source shall be actual emissions determined under actual operating conditions 

for the previous two (2) year period. 

(5) Calculating offsets for existing fuel combustion sources. 

(a) The emissions for determining emissions offset credit involving an existing fuel combustion 

source shall be the allowable emissions under the emissions limitation requirements of the cabinet 

for the type of fuel being burned when the new major source or major modification application is 

filed. 

(b) If the existing source has switched to a different type of fuel at some earlier date, a resulting 

emissions reduction, either actual or allowable, shall not be used for emissions offset credit. 

(c) If the existing source commits to switch to a cleaner fuel at some future date, emissions offset 

credit based on the allowable emissions for the fuels involved shall not be allowed unless the permit 

is conditioned to require the use of a specified alternative control measure that will achieve the same 

degree of emissions reduction if the source switches back to a dirtier fuel at some later date. 

(6) Calculating offsets for operating hours and source shutdowns. 

(a) A source may be credited with emissions reductions achieved by shutting down an existing 

source or permanently curtailing production or operating hours below baseline levels if the work 

force to be affected has been notified in writing of the proposed shutdown or curtailment. 

(b) Source shutdowns and curtailments in production or operating hours occurring prior to the 

date the new source application is filed shall not be used for emissions offset credit. 

(c) If an applicant can establish that it shut down or curtailed production after August 7, 1977, or 

less than one (1) year prior to the date of permit application, whichever is earlier, and the proposed 

new source is a replacement for the shutdown or curtailment, credit for the shutdown or curtailment 

may be applied to offset emissions from the new source. 

(7) Calculating offsets for hydrocarbon substitution. An emissions offset credit shall be allowed 

for replacing one volatile organic compound with another of lesser photochemical reactivity, unless 

the replacement compound is methane, ethane, 1 ,I ,I-trichloroethane, or trichlorofluoroethane. 

(8) Banking of emissions offset credit. 

(a) New sources obtaining permits by applying offsets after the effective date of this 

administrative regulation may bank offsets that exceed the requirements of Section 5(3) of this 

administrative regulation. 

(b) An owner or operator of an existing source that reduces its own emissions may bank a 

resulting reduction beyond those required by regulation for use under this administrative regulation, 

even if the offsets are applied immediately to a new source permit. 

(c) Banked emissions offsets may be used under the preconstruction review program required in 

42 U.S.C. 7401 to 7626, as long as these banked emissions are identified and accounted for in 

Kentucky's control strategy. 

(9) Offset credit for meeting NSPS or NESHAPS. 

(a) If a source is subject to an emissions limitation established in a New Source Performance 

Standard (NSPS) or a National Emissions Standard for Hazardous Air Pollutants (NESHAPS) and a 

different emissions limitation is required by the cabinet, the more stringent limitation shall be used as 

the baseline for determining credit for emissions offsets. 

(b) The difference in emissions between NSPS or NESHAPS and other emissions limitations 

shall not be used as offset credit. 
Section 6. Administrative Procedures for Emissions Offsets. (1) Emission reductions shall 

be enforceable by the cabinet and the U.S. EPA, and shall be accomplished by the start-up date of 

the new source. 

(a) If emissions reductions are to be obtained in a state that neighbors the Commonwealth for a 

new source to be located in the Commonwealth, the emissions reductions shall be enforceable by 

the neighboring state or local agencies and the U.S. EPA. 

(b) The necessary emissions offsets may be proposed by the owner of the proposed source or 

by the cabinet. 

(2) Source initiated emissions offsets. 

(a) The owner or operator of a source may propose: 

1. Internal emissions offsets, which involve reductions from sources controlled by the owner; or 

2. External emissions offsets, which involve reductions from other sources, if the emissions 

offsets meet the requirements of this section and Section 4(3) of this administrative regulation. 

(b) An internal emissions offset shall be included and made enforceable as a condition of the 

source's permit. 

(c) An external emissions offset shall only be accepted if the cabinet requires the affected source 

to comply with a new emissions limitation to ensure that its emissions shall be reduced by a 

specified amount in a specified time; and the new emissions limitation shall be enforceable by the 

cabinet and the U.S. EPA. 

(3) Cabinet initiated emissions offsets. 

(a) The cabinet may commit to reducing emissions from mobile sources and other existing 

sources to provide a net air quality benefit in the impact area of a proposed new source to 

accommodate the proposed new source. 

(b) This emissions reduction commitment shall be reflected in the emissions limitation 

requirements for the new and existing sources as required by this section. 

Section 7. Source Obligation. (1) An owner or operator of a source or modification subject to 

this administrative regulation shall construct and operate the source or modification in accordance 

with the application submitted to the cabinet under this administrative regulation and 401 KAR 

52:020 or under the terms of an approval to construct. 

(2)(a) Approval to construct shall become invalid if construction: 

1. Is not commenced within eighteen (1 8) months after receipt of the approval; 

2. Is discontinued for a period of eighteen (1 8) months or more; or 

3. Is not completed within a reasonable time. 

(b) The cabinet may extend the eighteen (18) month period upon a satisfactory demonstration 

that an extension is justified. 

1. An extension shall not apply to the time period between construction of the approved phases 

of a phased construction project; and 

2. Each phase shall commence construction within eighteen (18) months of the projected and 

approved commencement date. 

(3) Approval to construct shall not relieve an owner or operator of the responsibility to comply 

fully with applicable provisions of 401 KAR Chapters 50 to 65 and other applicable requirements 

under local, state, or federal law. 

(4) If a particular source or modification becomes a major stationary source or major modification 

solely by virtue of a relaxation in an enforceable limitation which was established after August 7, 

1980, on the capacity of the source or modification otherwise to emit a pollutant, the requirements of 

this administrative regulation shall apply to the source or modification as though construction had not 

yet commenced on the source or modification. 

(5)(a) The provisions of this subsection shall apply to projects at existing emissions units at a 

major stationary source other than projects at a source with a PAL, if: 

1. There is a reasonable possibility that a project that is not part of a major modification may 

result in a significant emissions increase; and 

2. The owner or operator uses the method specified in 401 KAR 51 :001, Section 1(199)(b) to 

calculate projected actual emissions. 

(b) Before beginning actual construction of a project specified in paragraph (a) of this subsection, 

the owner or operator shall document and maintain a record of the following information: 
1. A description of the project; 

2. Identification of the emissions units for which emissions of a regulated NSR pollutant may 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: 

a. Baseline actual emissions; 

b. Projected actual emissions; 

c. Amount of emissions excluded in calculating projected actual emissions and an explanation 

for why that amount was excluded; and 

d. Any applicable netting calculations. 

(c) For a project specified in paragraph (a) of this subsection, the owner or operator shall: 

1. Monitor the emissions of any regulated NSR pollutant that could increase as a result of the 

project and that are emitted by an emissions unit identified in paragraph (a)2 of this subsection; and 

2. Calculate and maintain a record of the annual emissions, in tons per year on a calendar year 

basis, for: 

a. Five (5) years following resumption of regular operations after the change; or 

b. Ten (10) years if the project increases the design capacity of or potential to emit for that 

regulated NSR pollutant at the emissions unit. 

(d) If the unit is an existing EUSGU, before beginning actual construction, the owner or operator: 

1. Shall provide a copy of the information in paragraph (b) of this subsection to the cabinet; and 

2. Shall not be required to obtain a determination from the cabinet before beginning actual 

construction; and 

3. Shall submit a report to the cabinet within sixty (60) days after the end of each year during 

which records are required to be generated under paragraph (b) of this subsection that contains the 

unit's annual emissions during the calendar year preceding report submittal. 

(e)l. For an existing unit other than an EUSGU, the owner or operator shall submit a report to 

the cabinet if: 

a. The annual emissions, in tons per year, from a project identified in paragraph (a) of this 

subsection exceed the baseline actual emissions, as documented and maintained pursuant to 

paragraph (b)3 of this subsection, by a significant amount for that regulated NSR pollutant; and 

b. The emissions differ from the preconstruction projection as documented and maintained 

pursuant to paragraph (b)3 of this subsection. 

2. The report shall be submitted to the cabinet within sixty (60) days after the end of the year 

during which records are required to be generated under paragraph (b) of this subsection and shall 

contain the following: 

a. The name, address, and telephone number of the major stationary source; 

b. The annual emissions as calculated pursuant to paragraph (c) of this subsection; and 

c. Any other information that the owner or operator wishes to include in the report. 

(f) The owner or operator of the source shall make the information required to be documented 

and maintained under this subsection available for review upon request for inspection by the cabinet 

or the general public pursuant to 401 KAR 52:lOO. 

Section 8. Permit Condition Rescission. (1) An owner or operator holding a permit for a 

stationary source or modification that was issued pursuant to 401 KAR 51:050 or 51:051E may 

request that the cabinet rescind the applicable conditions. 

(2) The cabinet shall rescind a permit condition if the owner or operator: 

(a) Requests and demonstrates to the satisfaction of the cabinet that this administrative 

regulation does not apply to the source or modification or to a portion of the source or modification if 

construction will have commenced after September 22,1982; and 

(b) Demonstrates that the rescission will not violate the requirements of Sections 4(3) and 7 of 

this administrative regulation. 

Section 9. Class I Areas. (1) The following areas, which were in existence on August 7, 1977, 

shall be Class I areas and shall not be redesignated: 

(a) International parks; 
(b) National wildemess areas and national memorial parks which exceed 5,000 acres in size; 

and 

(c) National parks that exceed 6,000 acres in size. 

(2) Any other area, unless otherwise specified in the legislation creating the area, is designated 

Class II but may be redesignated as provided in 40 C.F.R. 51 .l66(g). 

(3) The visibility protection requirements of this administrative regulation shall apply only to 

sources that may impact a mandatory Class I federal area. 

(4) The following areas may be redesignated only as Class I or II: 

(a) An area which as of August 7, 1977, exceeded 10,000 acres in size and was a national 

monument, a national primitive area, a national preserve, a national recreational area, a national wild 

and scenic river, a national wildlife refuge, a national lakeshore or seashore; and 

(b) A national park or national wildemess area established after August 7, 1977, which exceeds 

10,000 acres in size. 

Section 10. Protection of Visibility. (1) New source review; applicability and exemptions. 

(a) A stationary source or modification to which this section applies shall not begin actual 

construction without a permit that states the stationary source or modification shall meet the 

requirements of this section. 

(b) This section shall apply to construction of a new major stationary source or major 

modification that will be constructed in an area designated as nonattainment under 42 U.S.C. 

7407(d)(I)(A)(i) and potentially have an impact on visibility in a Class I area. 

(c) This section shall apply to a major stationary source or major modification for each pollutant 

subject to regulation under 42 U.S.C. 7401 to 7626 that it will emit, except as provided in paragraphs 

(d) and (e) of this subsection. 

(d) This section shall not apply to a particular major stationary source or major modification if: 

1. The source or modification is a nonprofit health or nonprofit educational institution or a major 

modification will occur at the institution, and the Governor of the Commonwealth requests that it be 

exempt from the requirements of this section; and 

2. The source is a portable stationary source that has previously received a permit under this 

section and will be temporarily relocated; and: 

a. The emissions from the source will not exceed the allowable emissions; 

b. The emissions from the source will not impact a Class I area or an area where an applicable 

increment is known to be violated; and 

c. Reasonable notice is given to the cabinet prior to the relocation, identifying the proposed new 

location and the probable duration of operation at the new location. The notice shall be given to the 

cabinet not less than ten (10) days in advance of the proposed relocation unless a different time 

duration is previously approved by the cabinet pursuant to this section. 

(e) This section shall not apply to a major stationary source or major modification with respect to 

a particular pollutant, if the allowable emissions of that pollutant from the source, or the net 

emissions increase of that pollutant from the modification: 

1. Will not impact a Class I area; 

2. Will not impact an area where an applicable increment is known to be violated; and 

3. Will be temporary. 

(2) Visibility impact analyses. The owner or operator of a source shall provide an analysis of the 

impairment to visibility that will occur in a Class I area as a result of the source or modification and 

general commercial, residential, industrial, and other growth associated with the source or 

modification. 

(3) Federal land manager notification. 

(a) The federal land manager and the federal official charged with direct responsibility for 

management of Class I areas shall have an affirmative responsibility to protect the visibility and other 

air quality related values of the Class I lands and to consider, in consultation with the cabinet, if a 

proposed source or modification will have an adverse impact on these values. 

(b) The cabinet shall provide written notification to all affected federal land managers and to the 

federal official charged with direct responsibility for management of lands within the Class I area of a 

permit application or an advanced notice of a permit application for a proposed new major stationary 

source or major modification that may affect visibility in a Class I area. The notification shall: 
40 1 KAR 5 1 :O52 

1. Include a copy of all information relevant to the permit application; 

2. Be submitted pursuant to this paragraph within thirty (30) days of receipt of the permit 

application or advanced notice of permit application and at least sixty (60) days prior to a public 

hearing on the application for a permit to construct; and 

3. Include an analysis of the proposed source's anticipated impacts on visibility in a Class I area. 

(c)l. The cabinet shall consider an analysis by the federal land manager, provided within thirty 

(30) days of the notification and analysis required by paragraph (b) of this subsection, that the 

proposed new major stationary source or major modification may have an adverse impact on 

visibility in a Class I area. 

2. If the cabinet finds that the analysis does not demonstrate, to the satisfaction of the cabinet, 

that an adverse impact on visibility will result in the Class I area, the cabinet shall, in the public 

hearing notice required in 401 KAR 52:100, either explain that decision or give notice as to where 

the explanation can be obtained. 

(d) Adverse impact on visibility as it applies to paragraph (c) of this subsection shall be 

determined on a case-by-case basis, taking into account the geographic extent, intensity, duration, 

frequency, and time of visibility impairments, and how these factors correlate with the times of visitor 

use of the Class I area, and the frequency and time of natural conditions that reduce visibility. 

(4) Public participation. The cabinet shall follow the applicable procedures of 401 KAR 52:100 in 

processing applications under this section and shall follow the procedures at 40 C.F.R. 52.21(r), 

effective July 1, 2009, to the extent that the procedures of 401 KAR 52:100 do not apply. 

(5) National visibility goal. 

(a) The cabinet shall only issue permits to those sources for which emissions will be consistent 

with making reasonable progress toward the national goal of preventing future, and remedying 

existing, impairment of visibility in Class I areas which impairment results from manmade air 

pollution. 

(b) In making the decision to issue a permit, the cabinet shall consider: 

1. The costs of compliance; 

2. The time necessary for compliance; 

3. The energy and non-air quality environmental impacts of compliance; and 

4. The useful life of the source. 

(6) Monitoring. 

(a) The cabinet may require monitoring of visibility in a Class I area near the proposed new 

stationary source or major modification using human observations, teleradiometers, photographic 

cameras, nephelometers, fine particulate monitors, or other appropriate methods as specified by the 

U.S. EPA. 

(b) The monitoring method selected shall be determined on a case-by-case basis by the cabinet. 

(c) The cabinet shall not undertake visibility monitoring in a Class I area without the approval of 

the federal land manager. 

(d) Data obtained from visibility monitoring shall be made available to the cabinet, the federal 

land manager, and the U.S. EPA, upon request. 

Section 11. Plant-wide Applicability Limit Provisions. The cabinet may approve the use of 

an actuals PAL (PAL) for an existing major stationary source if the PAL meets the requirements of 

this section. 

(1) General provisions. 

(a) An owner or operator may execute a project without triggering major NSR, if the source 

maintains its total source-wide emissions below the PAL level, meets the requirements in this 

section, and complies with the PAL permit. If these conditions are met, a project: 

1. Shall not be considered a major modification for the PAL pollutant; 

2. Shall not have to be approved through Kentucky's major NSR program; and 

3. Shall not be subject to the provisions of Section 7(4) of this administrative regulation 

concerning restrictions on relaxing enforceable emissions limitations that the major stationary source 

used to avoid applicability of the major NSR program. 

(b) Except as provided under subparagraph (l)(a)3 of this section, the major stationary source 

shall continue to 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. 
401 KAR 51:052 

(c) The cabinet shall not allow a PAL for VOC or NOx for any major stationary source located in 

an extreme ozone nonattainment area. 

(2) Permit application requirements. The owner or operator of a major stationary source shall 

submit the following information to the cabinet for approval as part of an application for a permit or 

permit revision requesting a PAL: 

(a) A list of all emissions units at the source designated as small, significant or major, based on 

their potential to emit; 

(b) Identification of the federal and state applicable requirements, emissions limitations, and work 

practice requirements that apply to each emissions unit; 

(c) Calculations of the baseline actual emissions for the emissions units with supporting 

documentation; and 

(d) The calculation procedures the owner or operator proposes to use to convert the monitoring 

system data to monthly emissions and annual emissions based on a twelve (12) month rolling total 

for each month as required by subsection (12)(a) of this section. 

(3) Establishing a PAL. The cabinet shall establish a PAL at a major stationary source in a 

federally enforceable permit pursuant to the requirements of this section. 

(a) The PAL shall impose an annual emissions limitation in tons per year that is enforceable as a 

practical matter for the entire major stationary source, in which: 

1. For each month during the PAL effective period after the first twelve (12) months of 

establishing a PAL, the owner or operator shall demonstrate that the sum of the monthly emissions 

from each emissions unit under the PAL for the previous twelve (12) consecutive months is less than 

the PAL as a twelve (12) month average, rolled monthly; and 

2. For each month during the first eleven (1 1) months from the PAL effective date, the owner or 

operator shall demonstrate 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: 

1. Meets the public participation requirements in subsection (4) of this section; and 

2. Contains all the requirements of subsection (6) of this section; 

(c) A 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; 

(d) Each PAL shall regulate emissions of only one (1) pollutant; 

(e) Each PAL shall have a PAL effective period of ten (10) years; 

(f) The owner or operator of a major stationary source with a PAL shall comply with the 

monitoring, recordkeeping, and reporting requirements of subsections (1 1) to (1 3) of this section for 

each emissions unit under the PAL through the PAL effective period; and 

(g) Emissions reductions of a PAL pollutant that occur during the PAL effective period shall not 

be creditable as decreases for offsets under 40 C.F.R. 51.165(a)(3)(ii), unless: 

1. The level of the PAL is reduced by the amount of the emissions reductions; and 

2. The reductions would be creditable in the absence of the PAL. 

(4) Public participation requirements. PALS for existing major stationary sources shall be 

established, renewed, or increased pursuant to this subsection and the applicable procedures of 401 

KAR 52:100 for issuing permits or permit revisions. The cabinet shall: 

(a) Provide the public with notice of the proposed approval of a PAL permit with at least a thirty 

(30) day period for submittal of public comment; and 

(b) Address all material comments before taking final action on a PAL permit or permit revision. 

(5) Setting the ten (10) year PAL level. 

(a) The PAL level for a major stationary source shall be the sum of the baseline actual emissions 

of the PAL pollutant for each emissions unit at the source during the chosen twenty-four (24) month 

period plus the applicable significant level for the PAL pollutant under the definition for "significant" in 

401 KAR 51:001, Section 1 or under 42 U.S.C. 7401-7671q. whichever is lower. 

(b) In establishing a PAL level for a PAL pollutant, only one (1) consecutive twenty-four (24) 

month period shall be used to determine the baseline actual emissions for all existing emissions 

units. 

(c) A different consecutive twenty-four (24) month period may be used for each different PAL 

pollutant. 
401 KAR 51:052 

(d) Emissions associated with units that were permanently shutdown after the chosen twentyfour (24) month period shall be subtracted from the PAL level. 

(e) Emissions from units for which actual construction began after the twenty-four (24) month 

period shall be added to the PAL level in an amount equal to the potential to emit of the units. 

(f) The cabinet shall specify a reduced PAL level in the PAL permit to become effective on the 

future compliance date of any applicable federal or state regulatory requirement that the cabinet is 

aware of prior to issuance of the PAL permit. 

(6) Contents of the PAL permit. The PAL permit shall contain the following information: 

(a) The PAL pollutant and the applicable source-wide emissions limitation in tons per year; 

(b) The PAL permit effective date and the expiration date of the PAL or PAL effective period; 

(c) Specification in the PAL permit that if a major stationary source owner or operator applies to 

renew a PAL under subsection (9) of this section before the end of the PAL effective period, the PAL 

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

(d) A requirement that emissions calculations for compliance purposes include emissions from 

startups, shutdowns, and malfunctions; 

(e) A requirement that, once the PAL expires, the major stationary source shall be subject to the 

requirements of subsection (8) of this section; 

(f) The calculation procedures that the major stationary source owner or operator shall use to 

convert the monitoring system data to monthly emissions and annual emissions based on a twelve 

(12) month rolling total for each month as required by subsection (12)(a) of this section; 

(g) A requirement that the major stationary source owner or operator shall monitor all emissions 

units in accordance with the provisions in subsection (12) of this section; 

(h) A requirement that the owner or operator shall retain the records required under subsection 

(1 2) of this section on site. Records may be retained in an electronic format; 

(i) A requirement for the owner or operator to submit, by the reports required under subsection 

(13) of this section by the required deadlines; and 

(j) Any requirements necessary to implement and enforce the PAL. 

(7) PAL effective period and reopening of a PAL permit. 

(a) A PAL effective period shall be ten (1 0) years. 

(b) The cabinet shall reopen a PAL permit to: 

1. Correct typographical or calculation errors made in setting the PAL; 

2. Reflect a more accurate determination of emissions used to establish the PAL; 

3. Reduce the PAL if the owner or operator of the major stationary source creates creditable 

emissions reductions for use as offsets under 40 C.F.R. 51.165(a)(3)(ii); or 

4. Revise the PAL to reflect an increase in the PAL according to subsection (10) of this section. 

(c) The cabinet may reopen the PAL permit, during the PAL effective period, to: 

1. Reduce the PAL to reflect newly applicable federal requirements with compliance dates after 

the PAL effective date; 

2. Reduce the PAL consistent with any other requirement: 

a. That is enforceable as a practical matter; and 

b. That may be imposed on the major stationary source under the SIP; and 

3. Reduce the PAL if the cabinet determines that a reduction is necessary to avoid causing or 

contributing to: 

a. A National Ambient Air Quality Standard (NAAQS) or PSD increment violation; or 

b. An adverse impact on visibility or another air quality related value 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. 

(d) All permit reopenings shall be carried out under the public participation requirements of 

subsection (4) of this section except for permit reopenings to correct typographical or calculation of 

errors that do not increase the PAL level. 

(8) Expiration of a PAL. A PAL that is not renewed shall expire at the end of the PAL effective 

period and the requirements of this subsection shall then 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 as follows: 

1. An owner or operator of a major stationary source using a PAL shall submit a proposed 

allowable emissions limitation for each emissions unit, or each group of emissions units, by 
401 KAR 51:052 

distributing the PAL allowable emissions for the major stationary source among each of the 

emissions units that existed under the PAL. 

a. This proposal shall be submitted to the cabinet at least six (6) months before the expiration of 

the PAL permit but not sooner than eighteen (18) months before permit expiration. 

b. If the PAL has not yet been adjusted for an applicable requirement that became effective 

during the PAL effective period, as required under subsection (9)(e) of this section, distribution of 

allowable emissions shall be made as if the PAL has been adjusted. 

2. The cabinet shall provide the date and procedure the owner or operator shall use to distribute 

the PAL allowable emissions. 

3. The cabinet shall issue a revised permit incorporating allowable limits for each emissions unit, 

or each group of emissions units, as the cabinet determines is appropriate. 

(b) Each emissions unit shall comply with the allowable emissions limitation on a twelve (12) 

month rolling basis. The cabinet may approve the use of monitoring systems other than CEMS, 

CERMS, PEMS, or CPMS if the alternate monitoring system demonstrates compliance with the 

allowable emissions limitation. 

(c) The source shall continue to comply with a source-wide, multiunit emissions cap equivalent to 

the level of the PAL emissions limitation until the cabinet issues the revised permit incorporating 

allowable limits for each emissions unit or each group of emissions units. 

(d) A major modification at the major stationary source shall be subject to major NSR 

requirements. 

(e) The major stationary source owner or operator shall continue to comply with any state or 

federal applicable requirements eliminated by the PAL that applied during or before the PAL 

effective period, except for those emissions limitations established pursuant to Section 7(4) of this 

administrative regulation. 

(9) Renewal of a PAL. 

(a) Public participation requirements. 

1. The cabinet shall follow the public participation procedures specified in subsection (4) of this 

section in approving a request to renew a PAL for a major stationary source. 

2. The cabinet shall provide a written rationale for the proposed PAL level for public review and 

comment. 

3. Any person may propose a PAL level for the source for consideration by the cabinet during the 

public review period. 

(b) Application deadline. 

1. A major stationary source owner or operator shall submit an application for renewal of a PAL 

at least six (6) months before the date of permit expiration but not earlier than eighteen (18) months 

before permit expiration. 

2. The deadline for application submittal shall ensure that the permit shall not expire before the 

permit is renewed. 

3. If a complete application for renewal is submitted within the timeframe specified in 

subparagraph 1 of this paragraph, the PAL shall continue to be effective until the revised permit with 

the renewed PAL is issued. 

(c) Application requirements. The application to renew a PAL permit shall contain: 

1. The information required in subsection (2) of this section; 

2. A proposed PAL level; 

3. The sum of the potential to emit of all emissions units under the PAL with supporting 

documentation; and 

4. Any other information the owner or operator wishes the cabinet to consider in determining the 

appropriate level to renew the PAL. 

(d) PAL adjustment. 

1. A PAL shall not exceed the source's potential to emit. The cabinet shall adjust the PAL 

downward to a level not greater than the potential to emit if a source's potential to emit has declined 

below the PAL level. 

2. The cabinet may renew the PAL at the same level as the current PAL without considering the 

factors specified in subparagraph 3 of this section, if the emissions level calculated according to 

subsection (5) of this section is equal to or greater than eighty (80) percent of the PAL level; or 

3. The cabinet may set the PAL at a level that is determined to be: 
a. More representative of the source's baseline actual emissions; or 

b. Appropriate considering the following factors: 

(i) Air quality needs; 

(ii) Advances in control technology; 

(iii) Anticipated economic growth in the area of the source; 

(iv) The cabinet's goal of promoting voluntary emissions reductions; or 

(v) Other factors as specifically identified by the cabinet in its written rationale for setting the PAL 

level. 

4. The cabinet shall not approve a renewed PAL level higher than the current PAL, unless the 

major stationary source has complied with the provisions of subsection (10) of this section. 

(e) The PAL shall be adjusted in conjunction with the PAL permit renewal or Title V permit renewal, whichever comes first, if: 

1. The compliance date for a state or federal applicable requirement that applies to the PAL 

source occurs during the PAL effective period; and 

2. The cabinet has not already adjusted for the requirement. 

(10) Increasing a PAL during the PAL effective period. The cabinet may increase a PAL 

emissions limitation during the PAL effective period if the major stationary source complies with the 

provisions of this subsection. 

(a) Application procedures. To request an increase in the PAL limit for a PAL major modification, 

the owner or operator of the major stationary source shall submit a complete application, which shall 

include: 

1. Identification of the emissions units contributing to the increase in emissions for the PAL major 

modification; 

2. Demonstration that increased PAL, as calculated in paragraph (c) of this subsection exceeds 

the PAL, and: 

a. The level of control that results from BACT equivalent controls on each significant or major 

emissions unit shall be determined by conducting a new BACT analysis when the application is 

submitted, unless the emissions unit is currently required to comply with a BACT or LAER 

requirement that was established within the preceding ten (1 0) years. 

b. If an emissions unit currently complies with BACT or LAER, the assumed control level for that 

emissions unit shall be equal to the current level of BACT or LAER for that emissions unit; and 

3. A statement 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. 

(b) NSR permit and compliance requirement. The owner or operator shall obtain a major NSR 

permit for all emissions units contributing to the increase in emissions for the PAL major 

modification. 

1. A significant level shall not apply in deciding for which emissions units a major NSR permit 

shall be obtained; and 

2. Emissions units that obtain a major NSR permit shall comply with any emissions requirements 

resulting from the major NSR process, even though the units shall also become subject to the PAL 

or shall continue to be subject to the PAL. 

(c) Calculation of increased PAL. The cabinet 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, plus the sum of the baseline actual emissions of the small emissions units. 

(d) Public notice requirement. The public notice requirements of subsection (4) of this section 

shall be followed during PAL permit revision for an increased PAL level. 

(1 1) Monitoring requirements for PALS. 

(a) General requirements. 

1. Each PAL permit shall contain enforceable requirements for the chosen monitoring system 

that accurately determines plant-wide emissions of the PAL pollutant in terms of mass per unit of 

time; 

2. A monitoring system authorized for use in the PAL permit shall be: 

a. Approved by the cabinet pursuant to this subsection; and 

b. Based on sound science and meet generally-acceptable scientific procedures for data quality 

and manipulation; 
401 KAR 51:052 

3. The data generated by a monitoring system shall meet minimum legal requirements for 

admissibility in a judicial proceeding to enforce the PAL permit; 

4. The PAL monitoring system shall employ one (1) or more of the four (4) general monitoring 

approaches meeting the minimum requirements set forth in paragraph (b) of this subsection; 

5. The cabinet may approve an alternative monitoring approach that meets the requirements of 

subparagraphs 1 to 3 of this paragraph; and 

6. Failure to use a monitoring system that meets the requirements of this section shall render the 

PAL invalid. 

(b) Minimum performance requirements for approved monitoring approaches. If conducted in 

accordance with the minimum requirements in paragraphs (c) to (i) of this subsection, the following 

shall be acceptable monitoring approaches: 

1. Mass balance calculations for activities using coatings or solvents; 

2. CEMS; 

3. CPMS or PEMS; and 

4. Emissions factors. 

(c) Mass balance calculations. An owner or operator using mass balance calculations to monitor 

PAL pollutant emissions from activities using coatings or solvents shall: 

1. Provide a demonstrated means of validating the published content of the PAL pollutant 

contained in or created by all materials used in or at the emissions unit; 

2. If it cannot be accounted for in the process, assume that the emissions unit emits all of the 

PAL pollutant contained in or created by any raw material or fuel used in or at the emissions unit; 

and 

3. If the vendor of the material or fuel from which the pollutant originates publishes a range, use 

the highest value of the published range of pollutant content to calculate the PAL pollutant 

emissions, unless the cabinet determines there is site-specific data or a site-specific monitoring 

program to support another pollutant content within the range. 

(d) CEMS. An owner or operator using CEMS to monitor PAL pollutant emissions shall meet the 

following requirements: 

1. CEMS shall comply with applicable Performance Specifications found in 40 C.F.R. Part 60, 

Appendix A; and 

2. CEMS shall sample, analyze, and record data at least every fifteen (15) minutes while the 

emissions unit is operating. 

(e) CPMS or PEMS. An owner or operator using CPMS or PEMS to monitor PAL pollutant 

emissions shall meet the following requirements: 

1. The CPMS or the PEMS shall be based on current site-specific data demonstrating a 

correlation between the monitored parameter and the PAL pollutant emissions across the range of 

operation of the emissions unit; and 

2. While the unit is operating, each CPMS or PEMS shall sample, analyze, and record data at 

least every fifteen (1 5) minutes, or at another less frequent interval approved by the cabinet. 

(f) Emissions factors. An owner or operator using emissions factors to monitor PAL pollutant 

emissions shall meet the following requirements: 

1. All emissions factors shall be adjusted, if appropriate, to account for the degree of uncertainty 

or limitations in the factors' development; 

2. The emissions unit shall operate within the designated range of use for the emissions factor, if 

applicable; and 

3. The owner or operator of a significant emissions unit that relies on an emissions factor to 

calculate PAL pollutant emissions shall conduct validation testing to determine a sitespecific 

emissions factor within six (6) months of PAL permit issuance if the cabinet determines that the 

testing is required and technically practicable. 

(g) A source owner or operator shall record and report maximum potential emissions without 

considering enforceable emissions limitations or operational restrictions for an emissions unit during 

any period of time there is no monitoring data, unless another method for determining emissions 

during the periods is specified in the PAL permit. 

(h) If an owner or operator of an emissions unit cannot demonstrate a correlation between the 

monitored parameters and the PAL pollutant emissions rate at all operating points of the emissions 
unit, as an alternative to the requirements in paragraphs (c) to (g) of this subsection, in conjunction 

with permit issuance the cabinet shall: 

1. Establish default values for determining compliance with the PAL based on the highest 

potential emissions reasonably estimated at operating points if a correlation cannot be 

demonstrated; or 

2. If there is not a correlation between monitored parameters and the PAL pollutant emissions, 

determine that operation of the emissions unit during operating conditions is a violation of the PAL. 

(i) Revalidation. All data used to establish the PAL pollutant shall be revalidated through 

performance testing or other scientifically valid means approved by the cabinet. Validation testing 

shall occur at least once every five (5) years after issuance of the PAL. 

(1 2) Recordkeeping requirements. 

(a) The PAL permit shall require an owner or operator to retain a copy of all records necessary to 

determine compliance with any requirement of this section and of the PAL, including a determination 

of each emissions unit's twelve (12) month rolling total emissions for five (5) years from the date of 

the determination. 

(b) The PAL permit shall require an owner or operator to retain a copy of the following records for 

the duration of the PAL effective period plus five (5) years: 

1. A copy of the PAL permit application and any applications for revisions to the PAL; and 

2. Each annual certification of compliance pursuant to Title V and the data used to certify the 

compliance. 

(13) Reporting and notification requirements. The owner or operator shall submit semi-annual 

monitoring reports and prompt deviation reports to the cabinet in accordance with 401 KAR Chapter 

52 that meet the following requirements: 

(a) Semiannual report. The semiannual report shall be submitted to the cabinet within thirty (30) 

days of the end of each reporting period and shall contain: 

1. The identification of owner and operator and the permit number; 

2. Total annual emissions, in tpy, based on a twelve (12) month rolling total for each month in the 

reporting period recorded pursuant to subsection (12)(a) of this section; 

3. All data used in calculating the monthly and annual PAL pollutant emissions, including any 

quality assurance or quality control data; 

4. A list of any emissions units modified or added to the major stationary source during the 

preceding six (6) month period; 

5. 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 following a 

deviation; 

6. A notification of permanent or temporary shutdown of any monitoring system including: 

a. The reason for the shutdown; 

b. The anticipated date that the monitoring system shall be fully operational or shall be replaced 

with another monitoring system; 

c. If applicable, a statement that the emissions unit monitored by the monitoring system 

continued to operate without the monitoring system; and 

d. The calculation of the emissions of the pollutant or the number determined according to 

subsection (1 l)(g) of this section that is included in the permit; and 

7. A signed statement by the responsible official, as defined by 401 KAR 51 :001, Section 1(210), 

certifying the truth, accuracy, and completeness of the information provided in the semiannual 

report. 

(b) Deviation report. The major stationary source owner or operator shall submit reports of any 

deviation or exceedance of the PAL requirements, including periods monitoring is unavailable. 

1. A report submitted pursuant to 40 C.F.R. 70.6(a)(3)(iii)(B) shall satisfy this deviation reporting 

requirement; 

2. The deviation report shall be submitted within the time limits prescribed by the applicable 

program implementing 40 C.F.R. 70.6(a)(3)(iii)(B); 

3. The deviation report shall contain the following information: 

a. The identification of the owner, the operator, and the permit number; 

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 401 KAR 51 :001, Section 1(210), 

certifying the truth, accuracy, and completeness of the information provided in the report. 

(c) Revalidation results. The owner or operator shall submit to the cabinet the results of any 

revalidation test or method within three (3) months after completion of the test or method. 

(1 4) Transition requirements. 

(a) After the U.S. EPA approves the Kentucky SIP revisions for the PAL provisions published at 

67 Fed. Reg. 80186, December 31, 2002, the cabinet shall only issue a PAL that complies with the 

requirements of this section. 

(b) The cabinet may supersede a PAL that was established before August 10, 2006, with a PAL 

that complies with the requirements of this administrative regulation. 

(8 Ky.R. 1120; Am. 9 Ky.R. 358; eff. 9-22-82; 12 Ky.R. 879; 1273; eff. 2-4-86; 14 Ky.R. 892; eff. 12-1 1-87; 

1612; 1909; eff. 4-14-88; 19 Ky.R. 1 105; 1585; eff. 2-8-93; 30 Ky.R. 2209; 2520; eff. 7-14-04; eff. 2-5-10)