Document ID: EPA-HQ-OAR-2012-0360-0125
Agency: epa
Document Type: Proposed Rule
Title: National Emission Standards for Hazardous Air Pollutants: Off-Site Waste and Recovery Operations
Posted Date: 2017-08-07T04:00Z

[Federal Register Volume 82, Number 150 (Monday, August 7, 2017)]
[Proposed Rules]
[Pages 36713-36719]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-16494]

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

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 63

[EPA-HQ-OAR-2012-0360; FRL-9965-18-OAR]
RIN 2060-AT48

National Emission Standards for Hazardous Air Pollutants: Off-
Site Waste and Recovery Operations

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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

SUMMARY: This action proposes amendments to the National Emission 
Standards for Hazardous Air Pollutants (NESHAP) for Off-Site Waste and 
Recovery Operations (OSWRO). The proposed amendments address an issue 
related to monitoring pressure relief devices (PRDs) on containers. 
This issue was raised in a petition for reconsideration of the 
amendments to the OSWRO NESHAP finalized in 2015 based on the residual 
risk and technology review (RTR). Among other things, the 2015 
amendments established additional monitoring requirements for all PRDs, 
including PRDs on containers. For PRDs on containers, these monitoring 
requirements were in addition to the inspection and monitoring 
requirements for containers and their closure devices, which include 
PRDs that were already required by the OSWRO NESHAP. This proposed 
action would remove the additional monitoring requirements for PRDs on 
containers that resulted from the 2015 amendments because we have 
determined that they are not necessary. This action, if finalized as 
proposed, would not substantially change the level of environmental 
protection provided under the OSWRO NESHAP. The proposed amendments 
would reduce capital costs related to compliance to this industry by 
$28 million compared to the current rule. Total annualized costs, at an 
interest rate of 7 percent, would be reduced by $4.2 million per year. 
These costs are associated with a present value of $39 million dollars, 
discounted at 7 percent over 15 years.

DATES: Comments. Comments must be received on or before September 21, 
2017.
    Public Hearing. If a public hearing is requested by August 14, 
2017, then we will hold a public hearing on August 22, 2017 at the 
location described in the ADDRESSES section. The last day to pre-
register in advance to speak at the public hearing will be August 21, 
2017.

ADDRESSES: Comments. Submit your comments, identified by Docket ID No. 
EPA-HQ-OAR-2012-0360 at http://www.regulations.gov. Follow the online 
instructions for submitting comments. Once submitted, comments cannot 
be edited or removed from http://www.regulations.gov. The U.S. 
Environmental Protection Agency (EPA) may publish any comment received 
to its public docket. Do not submit electronically any information you 
consider to be Confidential Business Information (CBI) or other 
information whose disclosure is restricted by statute. Multimedia 
submissions (audio, video, etc.) must be accompanied by a written 
comment. The written comment is considered the official comment and 
should include discussion of all points you wish to make. The EPA will 
generally not consider comments or comment contents located outside of 
the primary submission (i.e., on the Web, cloud, or other file sharing 
system). For additional submission methods, the full EPA public comment 
policy, information about CBI or multimedia submissions, and general 
guidance on making effective comments, please visit http://www.epa.gov/dockets/commenting-epa-dockets.
    Public Hearing. If a public hearing is requested, it will be held 
at EPA Headquarters, William Jefferson Clinton East Building, 1201 
Constitution Avenue NW., Washington, DC 20004. If a public hearing is 
requested, then we will provide details about the public hearing on our 
Web site at: https://www.epa.gov/stationary-sources-air-pollution/site-waste-and-recovery-operations-oswro-national-emission. The EPA does not 
intend to publish another document in the Federal Register announcing 
any updates on the request for a public hearing. Please contact Ms. 
Virginia Hunt at (919) 541-0832 or by email at hunt.virginia@epa.gov to 
request a public hearing, to register to speak at the public hearing, 
or to inquire as to whether a public hearing will be held.

FOR FURTHER INFORMATION CONTACT: For questions about this proposed 
action, please contact Ms. Angie Carey, Sector Policies and Programs 
Division (E143-01), Office of Air Quality Planning and Standards, U.S. 
Environmental Protection Agency, Research Triangle Park, North Carolina 
27711; telephone number: (919) 541-2187; fax number: (919) 541-0246; 
email address: carey.angela@epa.gov. For information about the 
applicability of the NESHAP to a particular entity, contact Ms. Marcia 
Mia, Office of Enforcement and Compliance Assurance, U.S. Environmental 
Protection Agency, EPA WJC South Building, Mail Code 2227A, 1200 
Pennsylvania Avenue NW., Washington, DC 20460; telephone number: (202) 
564-7042; fax number: (202) 564-0050; and email address: 
mia.marcia@epa.gov.

SUPPLEMENTARY INFORMATION: 
    Docket. The EPA has established a docket for this rulemaking under 
Docket ID No. EPA-HQ-OAR-2012-0360. All documents in the docket are 
listed in the http://www.regulations.gov index. Although listed in the 
index, some information is not publicly available, e.g., CBI or other 
information whose disclosure is restricted by statute. Certain other 
material, such as copyrighted material, is not placed on the Internet 
and will be publicly available only in hard copy. Publicly available 
docket materials are available either electronically in http://www.regulations.gov or in hard copy at the EPA Docket Center, Room 
3334, EPA WJC West Building, 1301 Constitution Avenue NW., Washington, 
DC. The Public Reading Room is open from 8:30 a.m. to 4:30 p.m., Monday 
through Friday, excluding legal holidays. The telephone number for the 
Public Reading Room is (202) 566-1744, and the telephone number for the 
EPA Docket Center is (202) 566-1742.
    Instructions: Direct your comments to Docket ID No. EPA-HQ-OAR-
2012-0360. The EPA's policy is that all comments received will be 
included in the public docket without change and will be made available 
online at http://www.regulations.gov, including any

[[Page 36714]]

personal information provided, unless the comment includes information 
claimed to be CBI or other information whose disclosure is restricted 
by statute. Do not submit information that you consider to be CBI or 
otherwise protected through http://www.regulations.gov or email. Send 
or deliver information identified as CBI only to the following address: 
OAQPS Document Control Officer (C404-02), Office of Air Quality 
Planning and Standards, U.S. EPA, Research Triangle Park, North 
Carolina 27711, Attention Docket ID No. EPA-HQ-OAR-2012-0360. Clearly 
mark the part or all of the information that you claim to be CBI. For 
CBI information on a disk or CD-ROM that you mail to the EPA, mark the 
outside of the disk or CD-ROM as CBI and then identify electronically 
within the disk or CD-ROM the specific information you claim as CBI. In 
addition to one complete version of the comment that includes 
information claimed as CBI, you must submit a copy of the comment that 
does not contain the information claimed as CBI for inclusion in the 
public docket. Information so marked will not be disclosed except in 
accordance with procedures set forth in the Code of Federal Regulations 
(CFR) at 40 CFR part 2.
    The http://www.regulations.gov Web site is an ``anonymous access'' 
system, which means the EPA will not know your identity or contact 
information unless you provide it in the body of your comment. If you 
send an email comment directly to the EPA without going through http://www.regulations.gov, your email address will be automatically captured 
and included as part of the comment that is placed in the public docket 
and made available on the Internet. If you submit an electronic 
comment, the EPA recommends that you include your name and other 
contact information in the body of your comment and with any electronic 
storage media you submit. If the EPA cannot read your comment due to 
technical difficulties and cannot contact you for clarification, the 
EPA may not be able to consider your comment. Electronic files should 
avoid the use of special characters or any form of encryption and be 
free of any defects or viruses. For additional information about the 
EPA's public docket, visit the EPA Docket Center homepage at http://www.epa.gov/dockets.
    Preamble Acronyms and Abbreviations. Multiple acronyms and terms 
are used in this preamble. While this list may not be exhaustive, to 
ease the reading of this preamble and for reference purposes, the EPA 
defines the following terms and acronyms here:

ACC American Chemistry Council
CAA Clean Air Act
CBI Confidential Business Information
CFR Code of Federal Regulations
DOT Department of Transportation
EPA Environmental Protection Agency
ETC Environmental Technology Council
FR Federal Register
HAP Hazardous air pollutants
MACT Maximum achievable control technology
NESHAP National emissions standards for hazardous air pollutants
OAQPS Office of Air Quality Planning and Standards
OMB Office of Management and Budget
OSWRO Off-site waste and recovery operations
PRD Pressure relief device
RCRA Resource Conservation and Recovery Act
RTR Residual risk and technology review
TSDF Treatment, storage and disposal facilities

    Organization of this Document. The information in this preamble is 
organized as follows:

I. General Information
    A. What is the source of authority for the reconsideration 
action?
    B. Does this action apply to me?
    C. Where can I get a copy of this document and other related 
information?
II. Background
III. Proposed Revisions to PRD Requirements
IV. Summary of Cost, Environmental, and Economic Impacts
    A. What are the affected sources?
    B. What are the air quality impacts?
    C. What are the cost impacts?
    D. What are the economic impacts?
    E. What are the benefits?
V. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Review and 
Executive Order 13563: Improving Regulation and Regulatory Review
    B. Paperwork Reduction Act (PRA)
    C. Regulatory Flexibility Act (RFA)
    D. Unfunded Mandates Reform Act (UMRA)
    E. Executive Order 13132: Federalism
    F. Executive Order 13175: Consultation and Coordination With 
Indian Tribal Governments
    G. Executive Order 13045: Protection of Children From 
Environmental Health Risks and Safety Risks
    H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use
    I. National Technology Transfer and Advancement Act (NTTAA)
    J. Executive Order 12898: Federal Actions To Address 
Environmental Justice in Minority Populations and Low-Income 
Populations

I. General Information

A. What is the source of authority for the reconsideration action?

    The statutory authority for this action is provided by sections 112 
and 307(d)(7)(B) of the Clean Air Act (CAA) (42 U.S.C. 7412 and 
7607(d)(7)(B)).

B. Does this action apply to me?

    Categories and entities potentially regulated by this action 
include, but are not limited to, businesses or government agencies that 
operate any of the following: Hazardous waste treatment, treatment 
storage and disposal facilities (TSDF); Resource Conservation and 
Recovery Act (RCRA) exempt hazardous wastewater treatment facilities; 
nonhazardous wastewater treatment facilities other than publicly-owned 
treatment works; used solvent recovery plants; RCRA exempt hazardous 
waste recycling operations; and used oil re-refineries.
    To determine whether your facility is affected, you should examine 
the applicability criteria in 40 CFR 63.680 of subpart DD. If you have 
any questions regarding the applicability of any aspect of these 
NESHAP, please contact the appropriate person listed in the preceding 
FOR FURTHER INFORMATION CONTACT section of this preamble.

C. Where can I get a copy of this document and other related 
information?

    In addition to being available in the docket, an electronic copy of 
this action is available on the Internet. A redline version of the 
regulatory language that incorporates the proposed changes in this 
action is available in the docket for this action (Docket ID No. EPA-
HQ-OAR-2012-0360). Following signature by the EPA Administrator, the 
EPA will post a copy of this proposed action at https://www.epa.gov/stationary-sources-air-pollution/site-waste-and-recovery-operations-oswro-national-emission. Following publication in the Federal Register, 
the EPA will post the Federal Register version of the proposed action 
at this same Web site. Other key technical documents related to this 
proposal will be available in the docket when the Federal Register 
version of the proposal is posted to the docket. Only the version as 
published in the Federal Register will represent the official EPA 
proposal.

II. Background

    On March 18, 2015, the EPA promulgated a final rule amending the 
OSWRO NESHAP based on the RTR conducted for the OSWRO source category 
(80 FR 14248). In that final

[[Page 36715]]

rule, the EPA amended the OSWRO NESHAP to revise provisions related to 
emissions during periods of startup, shutdown, and malfunction; to add 
requirements for electronic reporting of performance testing; to add 
monitoring requirements for PRDs; to revise routine maintenance 
provisions; to clarify provisions for open-ended valves and lines and 
for some performance test methods and procedures; and to make several 
minor clarifications and corrections. After publication of the final 
rule, the EPA received a petition for reconsideration submitted jointly 
by Eastman Chemical Company and the American Chemical Council (ACC) 
(dated May 18, 2015). This petition sought reconsideration of two of 
the amended provisions of the OSWRO NESHAP: (1) The equipment leak 
provisions for connectors, and (2) the requirement to monitor PRDs on 
containers. The EPA considered the petition and supporting information 
along with information contained in the OSWRO NESHAP amendment 
rulemaking docket (Docket ID No. EPA-HQ-OAR-2012-0360) in reaching a 
decision on the petition. The Agency granted reconsideration of the PRD 
monitoring requirement in letters to the petitioners dated February 8, 
2016. In separate letters to the petitioners dated May 5, 2016, the 
Administrator denied reconsideration of the equipment leak provisions 
for connectors and explained the reasons for the denial in these 
letters. These letters are available in the OSWRO NESHAP amendment 
rulemaking docket. The EPA also published a Federal Register notice on 
May 16, 2016 (81 FR 30182), informing the public of these responses to 
the petition. On May 18, 2015, ACC filed a petition for judicial review 
of the OSWRO NESHAP RTR \1\ challenging numerous provisions in the 
final rule, including the issues identified in the petition for 
administrative reconsideration. In 2016, the EPA and ACC reached an 
agreement to resolve that case. Specifically, the parties agreed to a 
settlement under which ACC agrees to dismiss its petition for review of 
the 2015 final rule if the EPA completes its reconsideration of certain 
PRD provisions in accordance with an agreed-upon schedule.\2\
---------------------------------------------------------------------------

    \1\ United States Court of Appeals for the District of Columbia 
Circuit, Case Number 15-1146. Eastman Chemical Company also filed a 
petition for judicial review of the OSWRO NESHAP RTR, but sought and 
was granted voluntary dismissal in September 2016.
    \2\ In accordance with section 113(g) of the CAA (42 U.S.C. 
7413(g)), the EPA provided notice and the opportunity for comment on 
the settlement by publishing a notice in the Federal Register on 
December 19, 2016 (81 FR 91931). The settlement agreement was 
finalized on June 15, 2017.
---------------------------------------------------------------------------

    As a result of our reconsideration, the Agency is proposing revised 
monitoring requirements for PRDs on containers. The EPA is requesting 
public comments on these proposed revisions.

III. Proposed Revisions to PRD Requirements

    In October 2016, two industry trade groups, ACC and the 
Environmental Technology Council (ETC), gathered and provided the EPA 
with data related to stationary process PRDs and PRDs on containers for 
19 facilities owned by eight companies. The provided data cover 
calendar years 2013-2015 and include general PRD information, such as 
the number of PRDs at the facility, the PRDs' set pressure, and the 
type of equipment the PRDs are on (i.e., stationary equipment or 
containers). For containers, additional information was provided, 
including the type and size of the container and the average length of 
time the containers are onsite before they are emptied. The data also 
include PRD release information, such as the number of release events 
that occurred from 2013-2015 and the quantity of emissions from each 
release event. The companies also identified methods employed to 
monitor PRD releases, to prevent and control PRD releases, and the 
perceived effectiveness of these methods. Other data were also provided 
about the costs to control PRD releases, the impact of force majeure 
events on PRD releases, types of root cause analyses conducted after a 
PRD release occurs, PRD inspection frequency, and existing regulations 
that currently apply to PRDs at OSWRO facilities. The data provided to 
the EPA by ACC and ETC are available in the docket for this action.
    The March 18, 2015, final amendments to the OSWRO NESHAP include 
requirements for facilities to monitor PRDs, and since the rule does 
not distinguish between PRDs on stationary process equipment and those 
on containers, the monitoring requirements apply to all PRDs. The rule 
requires a monitoring system capable of: (1) Identifying a pressure 
release, (2) recording the time and duration of each pressure release, 
and (3) immediately notifying operators that a pressure release is 
occurring. Containers used in OSWRO operations include small 
containers, such as pressurized cylinders and 55-gallon drums, and 
large containers, such as railcars and over-the-road tanker vehicles. 
The petition for reconsideration identified concerns regarding the 
monitoring requirements as they pertain to PRDs on containers and 
stated that, because containers are frequently moved around the 
facility and are received from many different off-site locations, it 
would be difficult, if not impossible, to design and implement a 
monitoring system for containers that would meet the 2015 rule 
requirements.
    In reevaluating the PRD monitoring requirements in the 2015 rule as 
they pertain to containers, we considered what other requirements 
pertain to these containers and the PRDs on them and the data submitted 
by ACC and ETC. First, we reviewed the OSWRO NESHAP requirements for 
containers at 40 CFR 63.688. Depending on the size of the container, 
the vapor pressure of the container contents, and how the container is 
used (i.e., for temporary storage and/or transport of the material 
versus waste stabilization), the rule requires the OSWRO owners and 
operators to follow the requirements for either Container Level 1, 2, 
or 3 control requirements as specified in the Container NESHAP at 40 
CFR part 63, subpart PP. Each control level specifies requirements to 
ensure the integrity of the container and its ability to contain its 
contents (e.g., requirements to meet U.S. Department of Transportation 
(DOT) regulations on packaging hazardous materials for transportation, 
or vapor tightness as determined by EPA Method 21, or no detectable 
leaks as determined by EPA Method 27); requirements for covers and 
closure devices (which include pressure relief valves as that term is 
defined in the Container NESHAP at 40 CFR 63.921); and inspection and 
monitoring requirements for containers and their covers and closure 
devices pursuant to the Container NESHAP at 40 CFR 63.926. The 
inspection and monitoring requirements for containers at 40 CFR 63.926, 
which are already incorporated into the OSWRO NESHAP by 40 CFR 63.688, 
require that unless the container is emptied within 24 hours of its 
receipt at the OSWRO facility, the OSWRO owner/operator is required on 
or before they sign the shipping manifest accepting a container to 
visually inspect the container and its cover and closure devices (which 
include PRDs). If a defect of the container, cover, or closure device 
is identified, the Container NESHAP specify the time period within 
which the container must be either emptied or repaired. The Container 
NESHAP require subsequent annual inspection of the container, its 
cover, and closure devices in the case where a container remains at the 
facility and has

[[Page 36716]]

been unopened for a period of 1 year or more. Therefore, the PRD 
continuous monitoring requirements in the 2015 OSWRO NESHAP at 40 CFR 
63.691(c)(3)(i) are in addition to PRD monitoring requirements (as 
closure devices) already in the OSWRO NESHAP per the Container 
requirements at 40 CFR 63.688, which incorporate the inspection and 
monitoring requirements of the subpart PP Container NESHAP. In 
addition, nearly all OSWRO containers are subject to DOT regulatory 
requirements to ensure their safe design, construction, and operation 
while in transport. The DOT regulations at 49 CFR part 178, 
Specifications for Packagings or 49 CFR part 179, Specifications for 
Tank Cars, prescribe specific design, manufacturing, and testing 
requirements for containers that will be transported by motor vehicles. 
In addition, 49 CFR part 180, Continuing Qualification and Maintenance 
of Packagings, requires periodic inspections, testing, and repair of 
containers, which would minimize the chance of an atmospheric release 
from a PRD.
    Second, we reviewed the dataset provided by ACC and ETC for PRDs on 
containers includes information for 19 facilities. The types of 
containers identified in this dataset include pressurized cylinders, 
drums, tote-tanks, cargo tanks, isotainers, railcars, and tank 
vehicles, and the containers with PRDs onsite at any one time can be 
zero or several hundred. The data from ACC and ETC show that containers 
with PRDs can range in size from a few hundred gallons to up to 25,000 
gallons for rail cars, with set pressures (i.e., the pressure at which 
the PRD is designed to open to relieve excess pressure in the 
container) varying between 2.5 and 100 pounds per square inch. For 
OSWRO, the information the EPA reviewed shows that containers remain 
onsite until the contents can be unloaded, which can vary depending on 
the operational activities at the facility, and based on the data 
provided by ACC and ETC, is generally less than 2 weeks. In addition, 
the data reviewed by the EPA indicate that OSWRO containers are 
constantly changing (i.e., moving in and out of inventory), and they 
are frequently moved around the site, depending on storage area 
capacity and the queue for offloading. Due to the transitory nature of 
these containers, it would be difficult to design and implement a 
system to monitor each individual container PRD. These facilities had 
an annual average of 229 containers with PRDs at the facility site for 
some period of time during the year. The 3 years of data we received 
show that there was only one PRD on a container that had an emissions 
release event. The relief event that occurred was while nitrogen 
pressure was being applied to a tank truck to off-load waste material. 
The leak resulted in approximately 40 pounds of volatile organic 
compounds, of which about 0.4 pounds was an OSWRO NESHAP Table 1, 
hazardous air pollutant (HAP), over a duration of about 8.5 hours.
    Besides this one PRD release event, no other facilities reported a 
PRD release in the data provided to the EPA. The one reported release 
was due to pressure being applied to the tank during material off-
loading. No facility reported releases that occurred during storage or 
transport of the container within the facility. All of these facilities 
are subject to the subpart PP Container NESHAP inspection requirements, 
as described above, and did not report detecting any PRD releases or 
defective conditions during these inspections. An open or defective PRD 
would be detected by the subpart PP inspection requirements. The EPA's 
understanding, based substantially on its review of the data provided 
by ACC and ETC, is that PRD releases from containers are rare, the 
emissions potential from PRDs on these containers is low, and the 
additional monitoring requirements for PRDs on the containers that 
would be required under the 2015 OSWRO NESHAP would be difficult. In 
addition, the costs for the continuous monitoring requirements in the 
2015 rule for PRDs on containers would be very high relative to the low 
emissions potential. See section IV.C of this preamble for a discussion 
on the projected costs for a facility to comply with the PRD continuous 
monitoring requirements on containers in the 2015 OSWRO NESHAP.
    Based on the above considerations, we have determined that the PRD 
inspection and monitoring requirements in the Container NESHAP that are 
already incorporated into the container requirements of the OSWRO 
NESHAP are effective and sufficient given the high cost and difficulty 
of conducting continuous monitoring as contemplated by 40 CFR 
63.691(c)(3)(i) and the low emissions potential from containers at 
OSWRO facilities. Therefore, we are proposing that PRDs on OSWRO 
containers will not be subject to the monitoring requirements at 40 CFR 
63.691(c)(3)(i), and we are soliciting comment on our assessment and 
proposal regarding these PRD monitoring requirements.
    The EPA is also soliciting comment on whether to impose more 
frequent inspections for any filled or partially-filled OSWRO container 
that remains onsite longer than 60 days. Although the data reviewed 
show that typically most containers are onsite for less than 2 weeks, 
there may be instances when, due to facility operations, containers 
remain onsite and filled or partially-filled for a longer period of 
time. The EPA is soliciting comment on whether a container that remains 
onsite for a longer period of time should be required to be visually 
inspected at a set time, and on an established timeframe thereafter, as 
long as it remains filled, or partially-filled and onsite. 
Additionally, the EPA is accepting comment on whether any additional 
inspection requirements should apply to all containers or only apply to 
larger containers. Finally, the EPA is also accepting comment on 
whether to also incorporate the RCRA subpart BB (Air Emission Standards 
for Equipment Leaks) and subpart CC (Air Emission Standards for Tanks, 
Surface Impoundments, and Containers) of 40 CFR part 264 and 265 
inspection requirements for RCRA permitted and interim status 
facilities, as these weekly inspections could help facilities identify 
leaking and or deteriorating containers or cover and closure devices 
and could help identify any PRD leaks. If the EPA incorporates 
additional inspection or monitoring requirements as outlined above, we 
are also soliciting comment on whether to require associated 
recordkeeping and reporting obligations.
    We are not proposing any other amendments to the OSWRO NESHAP as it 
pertains to PRDs on containers. Specifically, we are not proposing to 
alter the requirement that PRDs on containers not release HAP emissions 
directly to the atmosphere. If a PRD release occurs as a result of a 
defect of the container, cover, or closure device (which includes 
PRDs), the owner or operator would be subject to the requirements in 
the Container NESHAP at 40 CFR 63.926(a)(3), as referenced from the 
OSWRO NESHAP at 63.688, that require emptying of the container or 
repair within a specified time period. Further, if a PRD fails to re-
seat itself, this would also likely be considered a defect in the PRD 
and, therefore, would be subject to the same requirements in the 
Container NESHAP at 63.926(a)(3).
    We are also not proposing any changes to the requirements for 
owners and operators to quantify the amount of Table 1 HAP emissions 
associated with a release from a PRD as those requirements at 40 CFR 
63.691(c)(3)(ii) apply to PRDs on containers or to the requirements to 
report such releases at 63.697(b)(5). We are not proposing

[[Page 36717]]

changes to these requirements since they allow calculations based on 
process knowledge, and do not require that calculations be based on 
monitoring conducted pursuant at 63.691(c)(3)(i).

IV. Summary of Cost, Environmental, and Economic Impacts

A. What are the affected sources?

    We estimate that 49 existing sources would be affected by the 
revised monitoring requirements being proposed in this action.

B. What are the air quality impacts?

    We are proposing revised requirements for PRD monitoring on 
containers on the basis that the inspection and monitoring requirements 
in 40 CFR part 63, subpart PP incorporated into the OSWRO NESHAP are 
sufficient. We project that the proposed standard would not result in 
any change in emissions compared to the existing OSWRO NESHAP.

C. What are the cost impacts?

    When the OSWRO NESHAP were finalized in 2015, the EPA was not aware 
of equipment meeting the definition of a PRD on containers in the OSWRO 
industry, and costs associated with the PRD release event prohibition 
and monitoring requirements were not estimated for this equipment. 
Therefore, the capital and annualized costs in the 2015 final rule were 
underestimated, as these costs were not included. To determine the 
impacts of the 2015 final rule, considering the monitoring requirements 
for PRDs on containers based on the data now available to the EPA from 
ACC and ETC, we have estimated the costs and the potential emission 
reductions associated with wireless PRD monitors for containers. Using 
vendor estimates for wireless PRD monitor costs, we estimate that the 
capital costs per facility with the average number of containers with 
PRDs would be approximately $570,000, and the capital costs for the 
industry (49 facilities) would be approximately $28 million. The total 
annualized costs per facility (assuming a 15-year equipment life and a 
7- percent interest rate) are estimated to be approximately $85,000 and 
approximately $4.2 million for the industry. Therefore, by removing the 
requirement to monitor PRDs on containers, we estimate the impact of 
our proposal to be an annual reduction of $4.2 million. Cost 
information, including wireless PRD monitor costs, is available in the 
docket for this action.

D. What are the economic impacts?

    We performed a national economic impact analysis for the 49 OSWRO 
facilities affected by this proposed rule. The updated national costs 
under this reconsideration, accounting for the data provided by ACC and 
the ETC, are $1.3 million in capital costs in 2018, or $200,000 in 
total annualized costs under a 7-percent interest rate ($170,000 
million in total annualized costs under a 3-percent interest rate).\3\ 
After updating the baseline costs of the PRD monitoring requirements as 
written in the 2015 rule, in consideration of the data provided by ACC 
and the ETC, this reconsideration constitutes a $28 million reduction 
in the capital cost or a $4.2 million reduction in annualized costs 
assuming an interest rate of 7-percent ($3.4 million reduction in 
annualized costs assuming an interest rate of 3-percent). These costs 
can be seen in Table 1.
---------------------------------------------------------------------------

    \3\ We assume affected facilities will start incurring costs in 
2018, after the final rule is finalized.

                               Table 1--Re-Estimated Cost and Reconsideration Cost
                                                [$2016, millions]
----------------------------------------------------------------------------------------------------------------
                                                                                   Total annualized costs
                                                           Capital costs   -------------------------------------
                                                                                    7%                 3%
----------------------------------------------------------------------------------------------------------------
Re-estimated Cost (New Baseline).......................                 29                4.4                3.6
Reconsidered Cost......................................                1.3               0.20               0.17
Burden Reduction.......................................                -28               -4.2               -3.4
----------------------------------------------------------------------------------------------------------------
Note: Estimates rounded to 2 significant figures. Totals may not sum due to rounding.

    In terms of the present value of the costs, the reconsidered 
requirements compared to the re-estimated costs of the promulgated rule 
(the new baseline) constitute a decrease of $39 million under a 7-
percent discount rate ($42 million under a 3-percent discount rate). In 
terms of the equivalent annualized values, this reconsideration 
constitutes $4.3 million dollars annually at a 7-percent discount rate 
($3.5 million annually at a 3-percent discount rate) in reduced 
compliance costs compared to the new baseline estimation.\4\ These 
values can be seen in Table 2, below.
---------------------------------------------------------------------------

    \4\ The equivalent annualized value represents the even flow of 
the present value of costs over the technical life of the monitors.

                                           Table 2--Re-Estimated PRD Promulgated Cost and Reconsideration Cost
                                                                    [$2016, millions]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                              Re-estimated cost  (new            Reconsidered cost               Burden reduction
                                                                     baseline)           ---------------------------------------------------------------
                                                         --------------------------------
                                                                7%              3%              7%              3%              7%              3%
--------------------------------------------------------------------------------------------------------------------------------------------------------
Present Value...........................................             $41             $44            $1.9            $2.0            -$39            -$42
Equivalent Annualized Value.............................             4.5             3.7            0.20            0.17            -4.3            -3.5
--------------------------------------------------------------------------------------------------------------------------------------------------------
Note: These values are estimated over 15 years. Totals may not sum due to rounding.

    More information and details of this analysis, including the 
conclusions stated above, are provided in the technical document, 
``Economic Impact Analysis for the Proposed Reconsideration of the 2015 
NESHAP: Off-Site Waste and Recovery Operations,'' which is available in 
the rulemaking docket.

[[Page 36718]]

E. What are the benefits?

    We project that the proposed standard would not result in any 
change in emissions compared to the existing OSWRO NESHAP.

V. Statutory and Executive Order Reviews

    Additional information about these statutes and Executive Orders 
can be found at https://www.epa.gov/laws-regulations/laws-and-executive-orders.

A. Executive Order 12866: Regulatory Planning and Review and Executive 
Order 13563: Improving Regulation and Regulatory Review

    This action is not a significant regulatory action and was, 
therefore, not submitted to the Office of Management and Budget (OMB) 
for review.

B. Paperwork Reduction Act (PRA)

    This action does not impose any new information collection burden 
under the PRA. OMB has previously approved the information collection 
activities contained in the existing regulations at 40 CFR part 63, 
subpart DD under the provisions of the PRA, 44 U.S.C. 3501 et seq. and 
has assigned OMB control number 1717.11. The proposed amendments 
removed monitoring requirements for PRDs on containers, and these 
proposed amendments do not affect the estimated information collection 
burden of the existing rule. You can find a copy of the Information 
Collection Request in the docket at Docket ID No. EPA-HQ-OAR-2012-0360 
for this rule.

C. Regulatory Flexibility Act (RFA)

    I certify that this action will not have a significant economic 
impact on a substantial number of small entities under the RFA. In 
making this determination, the impact of concern is any significant 
adverse economic impact on small entities. An agency may certify that a 
rule will not have a significant economic impact on a substantial 
number of small entities if the rule relieves regulatory burden, has no 
net burden, or otherwise has a positive economic effect on the small 
entities subject to the rule. This rule relieves regulatory burden by 
reducing compliance costs associated with monitoring PRDs on 
containers. The Agency has determined that of the 28 firms that own the 
49 facilities in the OSWRO source category, two firms, or 7 percent, 
can be classified as small firms. The cost to sales ratio of the 
reconsidered cost of the monitoring requirements for these two firms is 
significantly less than 1 percent. In addition, this action constitutes 
a burden reduction compared to the re-estimated costs of the 2015 rule 
as promulgated. We have, therefore, concluded that this action does not 
have a significant impact on a substantial number of small entities. 
For more information, see the ``Economic Impact Analysis for the 
Proposed Reconsideration of the 2015 NESHAP: Off-Site Waste and 
Recovery Operations,'' which is available in the rulemaking docket.

D. Unfunded Mandates Reform Act (UMRA)

    This action does not contain an unfunded mandate of $100 million or 
more as described in UMRA, 2 U.S.C. 1531-1538, and does not 
significantly or uniquely affect small governments. The action imposes 
no enforceable duty on any state, local, tribal governments, or the 
private sector.

E. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not have 
substantial direct effects on the states, on the relationship between 
the national government and the states, or on the distribution of power 
and responsibilities among the various levels of government.

F. Executive Order 13175: Consultation and Coordination With Indian 
Tribal Governments

    This action does not have tribal implications as specified in 
Executive Order 13175. This action will not have substantial direct 
effects on tribal governments, on the relationship between the federal 
government and Indian tribes, or on the distribution of power and 
responsibilities between the federal government and Indian tribes, as 
specified in Executive Order 13175. Thus, Executive Order 13175 does 
not apply to this action.

G. Executive Order 13045: Protection of Children From Environmental 
Health Risks and Safety Risks

    This action is not subject to Executive Order 13045 because it is 
not economically significant as defined in Executive Order 12866, and 
because the EPA does not believe the environmental health or safety 
risks addressed by this action present a disproportionate risk to 
children. The EPA's risk assessments for the 2015 final rule (Docket ID 
No. EPA-HQ-OAR-2012-0360) demonstrate that the current regulations are 
associated with an acceptable level of risk and provide an ample margin 
of safety to protect public health and prevent adverse environmental 
effects. This proposed action would not alter those conclusions.

H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use

    This action is not subject to Executive Order 13211 because it is 
not a significant regulatory action under Executive Order 12866.

I. National Technology Transfer and Advancement Act (NTTAA)

    This rulemaking does not involve technical standards.

J. Executive Order 12898: Federal Actions to Address Environmental 
Justice in Minority Populations and Low-Income Populations

    The EPA believes that this action does not have disproportionately 
high and adverse human health or environmental effects on minority 
populations, low-income populations, and/or indigenous peoples, as 
specified in Executive Order 12898 (59 FR 7629, February 16, 1994).
    In the 2015 final rule, the EPA determined that the current health 
risks posed by emissions from this source category are acceptable and 
provide an ample margin of safety to protect public health and prevent 
adverse environmental effects. To gain a better understanding of the 
source category and near source populations, the EPA conducted a 
proximity analysis for OSWRO facilities prior to proposal in 2014 to 
identify any overrepresentation of minority, low income, or indigenous 
populations. This analysis gave an indication of the prevalence of sub-
populations that might be exposed to air pollution from the sources. We 
revised this analysis to include four additional OSWRO facilities that 
the EPA learned about after proposal for the 2015 rule. The EPA 
determined that the final rule would not have disproportionately high 
and adverse human health or environmental effects on minority, low 
income, or indigenous populations. The revised proximity analysis 
results and the details concerning its development are presented in the 
memorandum titled, Updated Environmental Justice Review: Off-Site Waste 
and Recovery Operations RTR, available in the docket for this action 
(Docket Document ID No. EPA-HQ-OAR-2012-0360-0109). This proposed 
action would not alter the conclusions made in the 2015 final rule 
regarding this analysis.

List of Subjects in 40 CFR Part 63

    Environmental protection, Administrative practice and procedure, 
Air pollution control, Hazardous

[[Page 36719]]

substances, Intergovernmental relations, Reporting and recordkeeping 
requirements.

    Dated: July 27, 2017.
E. Scott Pruitt,
Administrator.
    For the reasons set forth in the preamble, title 40, chapter I of 
the Code of Federal Regulations is proposed to be amended as follows:

PART 63--NATIONAL EMISSION STANDARDS FOR HAZARDOUS AIR POLLUTANTS 
FOR SOURCE CATEGORIES

0
1. The authority citation for part 63 continues to read as follows:

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

Subpart DD--National Emission Standards for Hazardous Air 
Pollutants for Hazardous Air Pollutants from Off-Site Waste and 
Recovery Operations

0
2. Section 63.691 is amended by revising paragraph (c)(3) introductory 
text to read as follows:

Sec.  63.691  Standards: Equipment leaks.

* * * * *
    (c) * * *
    (3) Pressure release management. Except as provided in paragraph 
(c)(4) of this section, emissions of HAP listed in Table 1 of this 
subpart may not be discharged directly to the atmosphere from pressure 
relief devices in off-site material service, and according to the date 
an affected source commenced construction or reconstruction and the 
date an affected source receives off-site material for the first time, 
as established in Sec.  63.680(e)(i) through (iii), the owner or 
operator must comply with the requirements specified in paragraphs 
(c)(3)(i) and (ii) of this section for all pressure relief devices in 
off-site material service, except that containers are not subject to 
the obligations in (c)(3)(i) of this section.
* * * * *
[FR Doc. 2017-16494 Filed 8-4-17; 8:45 a.m.]
 BILLING CODE 6560-50-P