[Federal Register Volume 60, Number 78 (Monday, April 24, 1995)]
[Proposed Rules]
[Pages 20066-20068]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-10059]



=======================================================================
-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 78-1-6814; FRL-5195-7]


Approval and Promulgation of Implementation Plans; California 
State Implementation Plan Revision; Placer County Air Pollution Control 
District and Ventura County Air Pollution Control District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of proposed rulemaking (NPRM).

-----------------------------------------------------------------------

SUMMARY: EPA is proposing to approve revisions to the California State 
Implementation Plan (SIP) for ozone which concern the control of oxides 
of nitrogen (NO<INF>X) from gas turbines and internal combustion 
engines. The intended effect of proposing approval of these rules is to 
regulate emissions of NO<INF>X in accordance with the requirements of 
the Clean Air Act, as amended in 1990 (CAA or the Act). EPA's final 
action on this notice of proposed rulemaking will incorporate these 
rules into the federally approved SIP. EPA has evaluated these rules 
and is proposing to approve them under provisions of the CAA regarding 
EPA actions on SIP submittals, SIPs for national primary and secondary 
ambient air quality standards, and plan requirements for nonattainment 
areas.

DATES: Comments on this proposed action must be received in writing on 
or before May 24, 1995.

ADDRESSES: Comments may be mailed to: Daniel A. Meer, Rulemaking 
Section (A-5-3), Air and Toxics Division, U.S. Environmental Protection 
Agency, Region 9, 75 Hawthorne Street, San Francisco, CA 94105-3901. 
Please refer to document number CA 78-1-6814 in all correspondence.
    Copies of the rules and EPA's evaluation report of each rule are 
available for public inspection at EPA's Region 9 office during normal 
business hours. Copies of the submitted rules are also available for 
inspection at the following locations:

[[Page 20067]] California Air Resources Board, Stationary Source 
Division, Rule Evaluation Section, 2020 ``L'' Street, Sacramento, CA 
95814.
Placer County Air Pollution Control District, 11464 B Avenue, Auburn, 
CA 95603.
Ventura County Air Pollution Control District, 669 County Square Drive, 
Ventura, CA 93003.

FOR FURTHER INFORMATION CONTACT: Duane F. James, Rulemaking Section (A-
5-3), Air and Toxics Division, U.S. Environmental Protection Agency, 
Region IX, 75 Hawthorne Street, San Francisco, CA 94105-3901, 
Telephone: (415) 744-1191.

SUPPLEMENTARY INFORMATION:

Applicability

    The rules being proposed for approval into the California SIP 
include: Placer County Air Pollution Control District's (PCAPCD) Rule 
250, ``Stationary Gas Turbines,'' and Ventura County Air Pollution 
Control District's (VCAPCD) Rule 74.9, ``Stationary Internal Combustion 
Engines.'' These rules were submitted by the California Air Resources 
Board (ARB) to EPA on March 29, 1994 (Rule 74.9) and October 19, 1994 
(Rule 250).

Background

    On November 15, 1990, the Clean Air Act Amendments of 1990 (CAA) 
were enacted. Public Law 101-549, 104 Stat. 2399, codified at 42 U.S.C. 
7401-7671q. The air quality planning requirements for the reduction of 
NO<INF>X emissions through reasonably available control technology 
(RACT) are set out in section 182(f) of the CAA. On November 25, 1992, 
EPA published a NPRM entitled, ``State Implementation Plans; Nitrogen 
Oxides Supplement to the General Preamble; Clean Air Act Amendments of 
1990 Implementation of Title I; Proposed Rule,'' (the NO<INF>X 
Supplement) which describes the requirements of section 182(f). The 
NO<INF>X Supplement should be referred to for further information on 
the NO<INF>X requirements and is incorporated into this document by 
reference.
    Section 182(f) of the Clean Air Act requires States to apply the 
same requirements to major stationary sources of NO<INF>X (``major'' as 
defined in section 302 and section 182(c), (d), and (e)) as are applied 
to major stationary sources of volatile organic compounds (VOCs), in 
moderate or above ozone nonattainment areas. The Placer County part of 
the Sacramento Metro Area is classified as serious, and the Ventura 
County area is classified as severe;<SUP>1 therefore these areas were 
subject to the RACT requirements of section 182(b)(2), cited below, and 
the November 15, 1992 deadline.

    \1\The Sacramento Metro and Ventura County areas retained their 
designations of nonattainment and were classified by operation of 
law pursuant to sections 107(d) and 181(a) upon the date of 
enactment of the CAA. See 56 FR 56694 (November 6, 1991).
---------------------------------------------------------------------------

    Section 182(b)(2) requires submittal of RACT rules for major 
stationary sources of VOC emissions (not covered by a pre-enactment 
control technologies guidelines (CTG) document or a post-enactment CTG 
document) by November 15, 1992. There were no NO<INF>X CTGs issued 
before enactment and EPA has not issued a CTG document for any NO<INF>X 
sources since enactment of the CAA. The RACT rules covering NO<INF>X 
sources and submitted as SIP revisions are expected to require final 
installation of the actual NO<INF>X controls by May 31, 1995, for those 
sources where installation by that date is practicable.
    This document addresses EPA's proposed action for PCAPCD's Rule 
250, ``Stationary Gas Turbines,'' and VCAPCD's Rule 74.9, ``Stationary 
Internal Combustion Engines.'' Rule 250 was adopted by the PCAPCD on 
October 17, 1994, and Rule 74.9 was adopted by the VCAPCD on December 
21, 1993. These submitted rules were found to be complete on June 3, 
1994 (Rule 74.9) and October 21, 1994 (Rule 250) pursuant of EPA's 
completeness criteria that are set forth in 40 CFR part 51, appendix 
V<SUP>2 and are being proposed for approval into the SIP.

    \2\ EPA adopted the completeness criteria on February 16, 1990 
(55 FR 5830) and, pursuant to section 110(k)(1)(A) of the CAA, 
revised the criteria on August 26, 1991 (56 FR 42216).
---------------------------------------------------------------------------

    NO<INF>X emissions contribute to the production of ground level 
ozone and smog. Rule 250 controls NO<INF>X emission from gas turbines, 
and Rule 74.9 controls NO<INF>X, carbon monoxide (CO), and VOC 
emissions from internal combustion engines. The rules were adopted as 
part of PCAPCD's and VCAPCD's efforts to achieve the National Ambient 
Air Quality Standards (NAAQS) for ozone and in response to the CAA 
requirements cited above. The following is EPA's evaluation and 
proposed action for these rules.

EPA Evaluation and Proposed Action

    In determining the approvability of a NO<INF>X rule, EPA must 
evaluate the rule for consistency with the requirements of the CAA and 
EPA regulations, as found in section 110, and Part D of the CAA and 40 
CFR part 51 (Requirements for Preparation, Adoption and Submittal of 
Implementation Plans). The EPA interpretation of these requirements, 
which forms the basis for this action, appears in various EPA policy 
guidance documents.<SUP>3 Among these provisions is the requirement 
that a NO<INF>X rule must, at a minimum, provide for the implementation 
of RACT for stationary sources of NO<INF>X emissions.

    \3\Among other things, the pre-amendment guidance consists of 
those portions of the proposed Post-1987 ozone and carbon monoxide 
policy that concern RACT, 52 FR 45044 (November 24, 1987); ``Issues 
Relating to VOC Regulation Cutpoints, Deficiencies, and Deviations, 
Clarification to Appendix D of November 24, 1987 Federal Register 
Notice'' (Blue Book) (notice of availability was published in the 
Federal Register on May 25, 1988).
---------------------------------------------------------------------------

    For the purposes of assisting state and local agencies in 
developing NO<INF>X RACT rules, EPA prepared the NO<INF>X supplement to 
the General Preamble, cited above (57 FR 55620). In the NO<INF>X 
supplement, EPA provides guidance on how RACT will be determined for 
stationary sources of NO<INF>X emissions. While most of the guidance 
issued by EPA on what constitutes RACT for stationary sources has been 
directed towards application for VOC sources, much of the guidance is 
also applicable to RACT for stationary sources of NO<INF>X (see section 
4.5 of the NO<INF>X Supplement). In addition, pursuant to section 
183(c), EPA is issuing alternative control technique documents (ACTs), 
that identify alternative controls for all categories of stationary 
sources of NO<INF>X. The ACT documents will provide information on 
control technology for stationary sources that emit or have the 
potential to emit 25 tons per year or more of NO<INF>X. However, the 
ACTs will not establish a presumptive norm for what is considered RACT 
for stationary sources of NO<INF>X. In general, the guidance documents 
cited above, as well as other relevant and applicable guidance 
documents, have been set forth to ensure that submitted NO<INF>X RACT 
rules are fully enforceable and strengthen or maintain the SIP.
    The California ARB has published a RACT/BARCT guidance document for 
gas turbines entitled, ``Determination of Reasonably Available Control 
Technology and Best Available Retrofit Control Technology for the 
Control of Oxides of Nitrogen from Stationary Gas Turbines'' (May 18, 
1992). The guidance document defines RACT as an emission limit of 42 
parts per million volume (ppmv) for gas-fired units and an emission 
limit of 65 ppmv for oil-fired units. BARCT for gas-fired units is 
defined as an emission limit of 42 ppmv for 0.3 to 2.9 Megawatt (MW) 
units, 25 ppmv for 2.9 to 10 MW units, 9 ppmv for units greater than 10 
MW using selective catalytic reduction (SCR), and [[Page 20068]] 15 
ppmv for units greater than 10 MW not using SCR. The corresponding 
emission limits for oil-fired units are 65 ppmv, 65 ppmv, 25 ppmv, and 
42 ppmv, respectively. PCAPCD's Rule 250 incorporates the BARCT limits 
for gas turbines and is consistent with all of the guidance's other 
requirements. The rule contains adequate recordkeeping requirements, 
and the appropriate test methods for compliance determinations are 
referenced. The exemptions provided in the rule are consistent with EPA 
guidelines. The rule requires final compliance by May 31, 1995. A more 
detailed discussion of the sources controlled, the controls required, 
and the justification for why these controls represent RACT can be 
found in the Technical Support Document (TSD) for Rule 250, dated 
November 28, 1994.
    The NO<INF>X limits suggested by the California Air Resources Board 
(ARB) as RACT for IC engines rated at 50 brake horsepower or more are 
50 ppmv (90% reduction) for rich-burn engines, 125 ppmv (80% reduction) 
for lean-burn engines, and 610 ppmv for diesel engines. These limits 
were recommended using information regarding average, actual, 
uncontrolled levels and previous regulatory control in Ventura County, 
the South Coast Basin, and Santa Barbara County. EPA agrees that these 
limits are consistent with the Agency's guidance and policy for making 
RACT determinations in terms of general cost-effectiveness, emission 
reductions, and environmental impacts.
    VCAPCD's Rule 74.9 has already been incorporated into the SIP and 
its RACT limits are consistent with those recommended by the California 
ARB. However, this most recent submittal includes the following 
significant changes from the current SIP:
    1. The provisions of the rule now apply to IC engines rated at 50 
hp and above, operating on any gaseous fuel, including liquid petroleum 
gas (LPG) or diesel fuel.
    2. The NO<INF>X emission standards for rich-burn engines and lean-
burn engines have been reduced to 25 ppmv and 45 ppmv, respectively. 
Rich-burn engines and lean-burn engines that operate on waste gas are 
no longer exempt from the rule and must comply with the rule's old 
emission limits of 50 ppmv and 125 ppmv, respectively. An 80 ppmv 
standard for diesel engines and emission limits for CO and VOCs have 
also been added to the rule.
    3. The rule prohibits the discharge of ammonia in excess of 20 ppmv 
from any emission control device.
    4. The provisions allowing groups of operators to combine their 
engines and resources and be considered a single operator have been 
deleted.
    5. The provisions allowing the results from NO<INF>X control 
demonstration projects on lean-burn engines in other counties, to be 
used by sources in the VCAPCD to satisfy the requirements of the rule, 
have been deleted.
    6. The Cost-Effectiveness Certification provision has been deleted 
since it is no longer necessary.
    7. The rule now requires annual reports of fuel usage, source test 
results, and other operational data about each engine before permit 
renewal.
    8. The Special Circumstances provisions that allow variances from 
the rule have been deleted. EPA Method 20 with the District's 
modifications is no longer used for compliance determinations.
    9. The rule's definitions and exemptions have been updated.
    The California ARB is in the process of adopting the more stringent 
emission standards of Rule 74.9 as BARCT for IC engines. A more 
detailed discussion of the sources controlled, the controls required, 
and the justification for why these controls represent RACT can be 
found in the Technical Support Document (TSD) for Rule 74.9, dated 
December 5, 1994.
    EPA has evaluated the submitted rules and has determined that they 
are consistent with the CAA, EPA regulations and EPA policy. Therefore, 
PCAPCD's Rule 250, ``Stationary Gas Turbines,'' and VCAPCD Rule 74.9, 
``Stationary Internal Combustion Engines,'' are being proposed for 
approval under section 110(k)(3) of the CAA as meeting the requirements 
of section 110(a), section 182(b)(2), section 182(f) and the NO<INF>X 
Supplement to the General Preamble.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any state implementation plan. Each request for revision to 
the state implementation plan shall be considered separately in light 
of specific technical, economic and environmental factors and in 
relation to relevant statutory and regulatory requirements.<SUP>4

    \4\VCAPCD's Rule 74.9 references California ARB Method 100, 
which has been cited for certain deficiencies by the Emissions 
Measurement Branch. The California ARB has committed to correcting 
these deficiencies, and final approval of Rule 74.9 is contingent on 
these corrections.
---------------------------------------------------------------------------

Regulatory Flexibility

    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C 603 and 604. 
Alternatively, EPA may certify that the rule will not have a 
significant economic impact on a substantial number of small entities. 
Small entities include small businesses, small not-for-profit 
enterprises, and government entities with jurisdiction over populations 
of less than 50,000.
    SIP approvals under section 110 and subchapter I, Part D of the CAA 
do not create any new requirements, but simply approve requirements 
that the State is already imposing. Therefore, because the Federal SIP-
approval does not impose any new requirements, I certify that it does 
not have a significant impact on affected small entities. Moreover, due 
to the nature of the Federal-state relationship under the CAA, 
preparation of a regulatory flexibility analysis would constitute 
Federal inquiry into the economic reasonableness of state action. The 
CAA forbids EPA to base its actions concerning SIPs on such grounds. 
Union Electric Co. v. U.S. E.P.A., 427 U.S. 246, 256-66 (S.Ct. 1976); 
42 U.S.C. 7410(a)(2).
    The OMB has exempted this regulatory action from review under 
Executive Order 12866.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Hydrocarbons, 
Intergovernmental relations, Ozone, Reporting and recordkeeping 
requirements, Volatile organic compound.

    Authority: 42 U.S.C. 7401-7671q.

    Dated: April 12, 1995.
Felicia Marcus,
Regional Administrator.
[FR Doc. 95-10059 Filed 4-21-95; 8:45 am]
BILLING CODE 6560-50-W