Document ID: EPA-HQ-OAR-2012-0333-0002
Agency: epa
Document Type: Supporting & Related Material
Title: 
Posted Date: 2012-05-14T04:00Z

SUPPORTING STATEMENT PART A:

INFORMATION COLLECTION REQUEST

FOR THE 

GREENHOUSE GAS REPORTING PROGRAM

OMB Control No. 2060-0629

EPA ICR No. 2300.10

DRAFT

May 2012

SUPPORTING STATEMENT

FOR THE GREENHOUSE GAS REPORTING PROGRAM 

EPA ICR # 2300.10

1.	IDENTIFICATION OF THE INFORMATION COLLECTION

	

1(a) Title of the Information Collection

TITLE: “Information Collection Request for the Greenhouse Gas
Reporting Program (GHGRP).”

ICR Number: 2300.10

OMB Control Number: 2060-0629

1(b) Short Characterization/Abstract

In response to the FY2008 Consolidated Appropriations Act (H.R. 2764;
Public Law 110-161) and under authority of the Clean Air Act (CAA), EPA
finalized a greenhouse gas reporting rule in October of 2009 (henceforth
referred to as the Greenhouse Gas Reporting Program or GHGRP) (74 FR
56260; October 30, 2009). The Rule, which became effective on December
29, 2009, requires reporting of greenhouse gases (GHGs) from certain
facilities and suppliers. It does not require control of greenhouse
gases. Instead, it requires that sources emitting above certain
threshold levels of carbon dioxide (CO2) equivalent (CO2e) monitor and
report emissions.

Subsequent rules provide corrections and clarification on existing
requirements (e.g., modify reporting deadlines, amend calculation
methodologies and data reporting requirements, clarify rule provisions
and compliance obligations, and correct technical and editorial errors);
include requirements for additional facilities suppliers, and mobile
sources; require reporters to provide information about parent
companies, North American Industry Classification System (NAICS)
code(s), and whether emissions are from cogeneration; and finalize
confidentiality determinations. 

 The Office of Management and Budget’s (OMB’s) approval of the
Information Collection Request (ICR) for the GHG Reporting Rule expires
on November 30, 2012. The purpose for this ICR is to renew and revise
the GHG Reporting Rule ICR to update and combine the burdens and costs
imposed by all of the current ICRs under the GHGRP. Appendix A
summarizes the ICRs associated with the GHGRP. 

There is a decrease of 764,890 hours and $43,137,000 in the total
estimated respondent burden compared with that identified in the ICRs
associated with the GHGRP currently approved by OMB. This decrease
reflects the completion of one-time activities that occurred in the
first year of data collection and a reduction in the number of
respondents. This change is the result of a program adjustment.

2.	NEED FOR AND USE OF THE COLLECTION

	2(a) Need/Authority for the Collection

Signed into law on December 26, 2007, the FY2008 Consolidated
Appropriations Act (henceforth referred to as the “Appropriations
Act”) directed EPA to “develop and publish a draft rule not later
than 9 months after the date of enactment of this Act, and a final rule
not later than 18 months after the date of enactment of this Act, to
require mandatory reporting of greenhouse gas emissions above
appropriate thresholds in all sectors of the economy of the United
States.” 

 

The accompanying explanatory statement further directed EPA to “use
its existing authority under the Clean Air Act” (CAA) to develop a GHG
reporting rule. “The Agency is further directed to include in its rule
reporting of emissions resulting from upstream production and downstream
sources, to the extent that the Administrator deems it appropriate. The
Administrator shall determine appropriate thresholds of emissions above
which reporting is required, and how frequently reports shall be
submitted to EPA. The Administrator shall have discretion to use
existing reporting requirements for electric generating units under
Section 821” of the 1990 CAA amendments.

In accordance with this directive, EPA has developed the GHGRP using its
authority under Section 114 of the CAA. CAA Section 114(a) provides EPA
broad authority to collect data for the purpose of, among other things,
“carrying out any provision” of the Act. Under Section 114(a)(1),
EPA may require any person who owns or operates any emission source or
may have information necessary to carry out the provisions of the Act to
measure emissions (including installing monitoring equipment), maintain
records, submit reports, and provide other information the Administrator
may reasonably require. 

The CAA also provides EPA with authority in other provisions. CAA
Section 208, in Title II of the Act, provides EPA with authority
regarding the manufacturers of new motor vehicles or new motor vehicle
engines. EPA may gather information for purposes of establishing
implementation plans (under CAA Section 110) or emissions standards
(under CAA Section 111). In addition, CAA Section 103 authorizes EPA to
establish a national research and development program, including
non-regulatory approaches and technologies for the prevention and
control of air pollution as it relates to GHGs and climate change. 

Because EPA does not yet know the specific policies that will be
adopted, the data reported under the GHGRP is of sufficient quality to
inform policy and program development. The requirements in the GHGRP
maximize the amount of emissions reported while excluding small emitters
and are consistent with existing GHG reporting programs in order to
reduce reporting burden for all parties involved. Also, consistent with
the Appropriations Act, the GHGRP covers a broad range of sectors of the
economy. 

	2(b) Practical Utility/Users of the Data

	

The GHGRP collects information from facilities that directly emit GHGs
and from suppliers of products that release GHGs if combusted, oxidized,
or used. The comprehensive GHG data reported directly from large
facilities and suppliers across the country are now easily accessible to
the public at:   HYPERLINK "http://ghgdata.epa.gov/ghgp/main.do" 
http://ghgdata.epa.gov/ghgp/main.do . Reporting entities use uniform
methods for estimating emissions, which enables data to be compared and
analyzed. EPA’s online data publication tool allows users to view and
sort GHG data for calendar year 2010 from over 6,000 entities in a
variety of ways, including by location, industrial sector, and the type
of GHG emitted. 

Transparent, public data on emissions allows for accountability of
polluters to the public stakeholders who bear the cost of the pollution.
This powerful data resource provides a critical tool for communities to
identify nearby sources of GHGs and provide information to state and
local governments.

The standardization of GHG data provides businesses with the necessary
information to benchmark themselves against similar facilities, better
understand their relative standing within their industry, and achieve
and disseminate their environmental achievements. Businesses and other
innovators can use the data to determine their GHG footprints, find
cost- and fuel-saving efficiencies that reduce greenhouse gas emissions
(e.g., through energy audits or other forms of assistance), and foster
technologies to protect public health and the environment. 

The facility-specific GHG emissions data improve the understanding of
the factors that influence GHG emission rates as well as the actions
that facilities take to reduce emissions. The facility-based data can be
aggregated to the corporate level in order to track emission trends from
industries, within industries, and across industries over time,
particularly in response to policies and potential regulations. 

Information collected from the oil and gas facilities (in subpart W) and
CO2 injection facilities (in subparts RR and UU) allows EPA to gain a
better understanding of the entire CO2 capture and sequestration (CCS)
system.

Information collected from fluorocarbons allows EPA to assess the
overall volume and importance of compounds for which global warming
potentials (GWPs) have not been evaluated and help identify which
compounds should have their GWPs evaluated first. In addition,
historical reports in tons of chemical can be converted into CO2e,
provided GWPs have been identified for these compounds. Without this
comprehensive reporting requirement, such historical information could
be lost. 

The GHGRP is not intended to be a survey and the respondents affected by
the program are not intended to be a statistical sample of a larger
universe of entities. EPA does not intend to use the data collected
under the GHGRP to characterize non-reporting entities or to draw
statistical inferences about a larger population.

3.	NONDUPLICATION, CONSULTATIONS, AND OTHER COLLECTION CRITERIA

	3(a) Nonduplication

	EPA evaluated existing GHG programs and the GHG data currently
available to determine whether this request duplicates other information
collections. In developing the GHGRP, EPA reviewed monitoring methods
including:

Federal programs within the United States, such as the Inventory of U.S.
Greenhouse Gas Emissions and Sinks (Inventory), the U.S. Department of
Energy’s (DOE’s) Energy Information Administration’s (EIA’s)
1605b program, the Acid Rain Program, EPA Natural Gas STAR Program, and
voluntary GHG partnership programs;

State and regional GHG reporting programs, such as The Climate Registry,
the Regional Greenhouse Gas Initiative, the Western Regional Air
Partnership, and programs in several states including California, New
Mexico, Connecticut, and New Jersey;

Reporting protocols developed by nongovernmental organizations, such as
the World Resources Institute/World Business Council for Sustainable
Development; and 

Programs from industrial trade organizations, such as the Interstate
Natural Gas Association of America’s GHG Emission Estimation
Guidelines, the American Petroleum Institute’s Compendium of GHG
Estimation Methodologies for the Oil and Gas Industry, and the World
Business Council for Sustainable Development’s Cement Sustainability
Initiative’s CO2 Accounting and Reporting Standard for the Cement
Industry. 

	These are important programs that not only led the way in reporting of
GHG emissions before the federal government acted but also assisted in
quantifying the GHG reductions achieved by various policies. Many of
these programs collect different or additional data as compared to the
GHGRP. For example, state programs may establish lower thresholds for
reporting, request information on areas not addressed in the GHGRP, or
include different data elements to support other programs (e.g.,
offsets). While some programs collect similar information on GHG
emissions, the Agency has determined that the GHGRP supplements and
complements, rather than duplicates, existing programs’ data. Further,
EPA has made significant efforts over the past 4 years to facilitate the
reporting in the event a single entity has to report both the federal
and state level. For example, EPA has supported efforts by the
California Air Resources Board to harmonize the reporting of information
under Calinfornia’s Global Warming Solutions Act, AB32 with EPA’s
GHGRP. The product of the collaboration is referred to as California
Electronic Greenhouse Gas Reporting Tool, or Cal e-GGRT.

	Documentation of EPA’s review of GHG monitoring protocols used by
federal and state voluntary and mandatory GHG programs as well as GHG
reporting rules can be found in the docket at EPA-HQ-OAR-2008-0508-056.
For further discussion on the relationship of the GHGRP to other
programs, please refer to the preambles of each of the GHGRP
rulemakings, the June 6, 2008 memorandum entitled Review of Existing
Programs (which can be found in the docket at
EPA-HQ-OAR-2008-0508-0052), and the January 27, 2009 memorandum entitled
Review of Existing State Greenhouse Gas Reporting Rules (which can be
found in the docket at EPA-HQ-OAR-2008-0508-0054). Some GHG programs are
described below: 

A number of EPA’s voluntary partnership programs include a GHG
emissions and/or reductions reporting component (e.g., Natural Gas STAR
program, etc.). However, the GHGRP has much broader coverage than the
voluntary programs and therefore helps EPA learn more about emissions
from facilities not included in current programs.

EPA considered CO2 data currently collected under Section 821 of the
1990 CAA Amendments. To avoid duplication and because the Acid Rain
program already requires reporting of high quality CO2 data from
electrical generating units (EGUs), the GHGRP allows for use of the same
CO2 data rather than requiring additional reporting of CO2 from EGUs.
Facility operators do, however, have to report the emissions of GHGs
that are not included under Section 821, such as methane (CH4) and
nitrous oxide (N2O). 

EPA reviewed the Inventory of U.S. GHG Emissions and Sinks, which is an
annual comprehensive top-down assessment of national greenhouses gas
emissions. While the Inventory is generally compiled from national
surveys (i.e., not broken down at the geographic or facility level), the
GHGRP focuses on bottom-up data from individual facilities that exceed
appropriate thresholds. The bottom-up approach to data collection in the
GHGRP can help reduce uncertainty in emissions estimates for specific
industries, and more broadly, helps EPA transition to use of the 2006
Intergovernmental Panel on Climate Change (IPCC) Guidelines for National
Greenhouse Gas Inventories, which will be required to meet international
reporting obligations under the United Nations Framework Convention on
Climate Change in the near future.

EPA published the Federal Requirements Under the Underground Injection
Control (UIC) Program for Carbon Dioxide Geologic Sequestration (GS)
Wells Final Rule (henceforth referred to as the “GS Rule”) (75 FR
77230, December 10, 2010). EPA determined that the GHGRP is
complementary to and builds on EPA’s UIC permit requirements.
Requirements under the UIC program are focused on demonstrating that
underground sources of drinking water are not endangered as a result of
CO2 injection into the subsurface, while requirements under the GHGRP
through subpart RR enable reporters to quantify the amount of CO2 that
is geologically sequestered. For example, the UIC Class VI permit
(including the Testing and Monitoring plan) and subpart RR’s
monitoring, reporting, and verification plan have separate monitoring
objectives.  

EPA reviewed the Internal Revenue Service (IRS) Notice 2009-83 Credit
for Carbon Dioxide Sequestration under Section 45Q. To claim the credit,
a taxpayer must follow general monitoring and verification principles,
calculate CO2 sequestered in the fiscal year using a mass-balance
equation, and report to IRS the amount of qualified CO2 sequestered in
the fiscal year. However, the level of reporting and transparency of the
IRS data collected would not meet the verification needs of the GHGRP.
The IRS reporting requirement expires after 75 million metric tons of
CO2 is reported as sequestered to IRS, data reporting is only as robust
as to meet the standards in the case of an IRS audit, and the IRS does
not outline procedures for quantifying and reporting any CO2 leakage
that may occur as is necessary for the rule. Therefore, EPA has
concluded that the IRS data would not meet the needs outlined in the
GHGRP.

As noted in the ICR for the 2009 GHG Reporting Rule, a number of
programs at the state, tribal, territorial, and local level require
emission sources in their respective jurisdictions to monitor and report
GHG emissions. To reduce burden on reporters and program agencies, the
Agency plans to share emissions data with the exception of any
confidential business information (CBI) with relevant agencies or
approved entities using, where practical, shared tools, and
infrastructure.

	3(b) Public Notice Required Prior to Information Collection Request
(ICR) Submissions to OMB

As part of the Federal Register notice on each of the rulemakings under
the GHGRP, EPA solicited comments on the proposed rules, the estimates
in the proposed ICRs, and specific aspects of the information
collection, as described below:

Whether the proposed collection of information is necessary for the
proper performance of the functions of the Agency, including whether the
information would have practical utility; 

Whether the Agency’s burden estimate is accurate, including the
validity of the methodology and assumptions used;

How to enhance the quality, utility, and clarity of the information to
be collected; and

How to minimize the burden on respondents, including use of appropriate
automated electronic, mechanical, or other technological collection
techniques or other forms of information technology.

Across all the ICRs associated with the GHGRP, EPA received only a
couple of comments that specifically addressed the proposed ICRs, as
follows. 

EPA received one comment about the April 2010 proposed ICR for Subpart
W. The commenter stated that use of CAA Section 114 as the basis for the
rule runs counter to its longstanding use which has been limited to
issuing ICRs and that ICRs are limited to collecting data from specific
sources over a discrete period of time. EPA determined that this comment
confuses CAA Section 114 and ICR requirements under the Paperwork
Reduction Act, 44 U.S.C. 3501, et seq. 

EPA received two written comments that questioned the need for EPA to
collect parent company information under the Corporate ID Rule
Amendment. One commenter submitted that company affiliation should not
be used as a factor in policy development. The other commenter’s
primary objection was that EPA had been vague and non-specific in
justifying collection of parent company information, i.e., that EPA’s
authority to collect information under Section 114 is limited by the
requirements of Paperwork Reduction Act (5 C.F.R. 1320) under which EPA
must demonstrate that the requested information has “practical
utility.” EPA explained that Section 114 of the CAA is sufficiently
broad for EPA to collect this information.

	In compliance with the Paperwork Reduction Act (44 USC 3501, et seq.),
EPA solicited public comment on this GHGRP ICR for a 60-day period
before it was submitted to OMB. Specifically, EPA published a notice in
the Federal Register (FR) requesting comment on the estimated respondent
burden and other aspects of this ICR (XX FR XXXXX, see Appendix X). 

	An additional FR notice will be published prior to submission of this
GHGRP ICR to OMB. The public comment period for this additional notice
is 30 days.

	3(c) Consultations

In developing the GHG Reporting Rule, EPA established several Agency
workgroups, conducted a proactive communications outreach program, and
met with federal agencies. EPA established several Agency workgroups to
develop the reporting requirements for the GHG emitting processes within
each of seven categories of processes that emit greenhouse gases. These
workgroups addressed: (1) Fossil Fuel Combustion: Stationary, (2) Fossil
Fuel Combustion: Mobile, (3) Fuel Suppliers, (4) Industrial Processes,
(5) Industrial GHG Suppliers, (6) Fossil Fuel Fugitive Emissions, and
(7) Biological Processes. An eighth workgroup developed the electronic
data reporting system. The Climate Change Division within the Office of
Atmospheric Programs coordinated the eight workgroups.

Prior to developing the proposed 2009 rule, each of the workgroups
performed a comprehensive review of existing voluntary and mandatory GHG
reporting programs, as well as guidance documents for quantifying
greenhouse gas emissions from specific sources. A list of these reviews
can be found in Section 3(a) above. The workgroups also reviewed
international programs, including the IPCC, the EU Emissions Trading
System, the Australian GHG Reporting System, and the Canadian Mandatory
Greenhouse Gas Reporting Program.

In reviewing these programs, EPA analyzed the sectors covered, reporting
thresholds, monitoring or emissions estimating methods used, quality
assurance measures, the point of monitoring, data input needs, and
information that respondents must report or retain. 

During the development of the GHG Reporting Rule, EPA conducted a
proactive communications outreach program to inform the public about the
rule development effort. Prior to the proposal signature, EPA staff held
more than 100 meetings with stakeholders, including:

Trade associations and firms in potentially affected industries/sectors;

State, local, and tribal environmental control agencies and regional air
quality planning organizations;

State and regional organizations already involved in GHG emissions
reporting, such as The Climate Registry, California Air Resources Board,
and the Western Climate Initiative; and

Environmental groups and other nongovernmental organizations.

EPA also met with federal agencies, including DOE and the U.S.
Department of Agriculture, which have programs relevant to GHG
emissions.

After the proposed GHG Reporting Rule was signed on March 10, 2009 (74
FR 16448; April 10, 2009), EPA held two public hearings, received
approximately 16,800 written public comments, and met with over 4,000
people and 135 groups. Details of these meetings are available in the
docket (EPA-HQ-OAR-2008-0508).

EPA has been continuously updating the GHGRP and providing technical
corrections based on feedback. Specifically, EPA has been working
closely with owners and operators of facilities subject to the GHGRP to
communicate reporting requirements. Through these discussions, EPA has
identified specific sections of the GHGRP that were either not clear or
did not have the intended effect. EPA has amended specific provisions to
resolve issues raised during implementation and to correct technical and
editorial errors that have been identified since publication. Some of
these amendments affected burden, but most amendments reduced burden or
did not affect it.

In addition to correcting and clarifying existing requirements, EPA has
amended the GHGRP in other ways based on public comments and stakeholder
feedback, e.g., promulgated rulemakings that re-propose certain
subparts, added requirements for new facilities and suppliers, and added
reporting requirements that provide information about parent companies.
Each action has had separate ICRs at noted in Appendix A.

	

	3(d) Effects of Less Frequent Collection

The reporting frequency for emissions data to EPA has been established
to minimize the burden on owners and operators of affected facilities,
while ensuring that the GHGRP collects facility-specific data of
sufficient quality to achieve the Agency’s objectives. The GHGRP
requires annual reporting, except for a limited number of facilities
that are already subject to more frequent reporting requirements.

EPA recognizes that the highest level U.S. parent company and primary
NAICS code(s) may change more frequently than annually. However, EPA
believes that the burden of requiring facilities to update these data
elements on a more frequent basis, such as every time a facility’s
highest level U.S. parent company, primary product(s), activity(s), or
service(s) change, is greater than the benefit of obtaining that
additional information. Therefore, EPA is only requiring these data
elements annually, thus lessening the burden as much as possible while
still gathering necessary information.

EPA needs the data quickly at the beginning of every reporting year in
order to electronically verify it, publish it as authorized by the CAA,
and use it for the purposes described. If the information collection
were not carried out on this schedule, the Agency would not be able to
develop an informed tracking system of trends in GHG emissions across
the country. 

	3(e) General Guidelines

This collection of information is consistent with all OMB guidelines
under 5 CFR 1320.6. However, although the GHGRP generally has a 3 year
requirement for record retention, in limited cases the GHGRP requires
that facilities retain records for longer than the 3 year retention
period specified in the general information collection guidelines in 5
CFR 1320.6(f) of the OMB regulations implementing the Paperwork
Reduction Act. This is because facilities or suppliers that have
emissions or products with emissions less than 25,000 metric tons
CO2e/year for five years in a row or less than 15,000 metric tons
CO2e/year for three years in a row may cease reporting. Those that cease
reporting must have records to cover those consecutive years of
emissions and must retain such records for three years following the
year that reporting was discontinued. EPA selected these two time frames
and reporting thresholds because it allows these facilities or suppliers
to stop reporting, but avoids the situation where a facility or supplier
near this level would be constantly moving in and out of the reporting
program due to small variations from one year to the next. EPA believes
the additional three years of recordkeeping for these respondents is
needed to resolve any possible questions about past emission estimates.
Thus, the additional record retention requirement of the rule adds no
additional burden.

	3(f) Confidentiality

Data collected under the GHGRP must be made available to the public
unless the data qualify for confidential treatment under the CAA and EPA
regulations. EPA typically makes confidentiality determinations under
the CAA on a case-by-case basis under 40 CFR 2.301. Due to the large
numbers of entities reporting under the GHGRP and the large number of
data reporting elements, EPA concluded that case-by-case determinations
would not result in a timely release of emission data and other
non-confidential data. EPA has issued guidance on what constitutes
emissions data that cannot be considered CBI (956 FR 7042 –7043;
February 21, 1991). EPA protects CBI in accordance with regulations in
40 CFR Chapter 1, Part 2, Subpart B.

All information submitted to the Agency for which a claim of
confidentiality is made is safeguarded according to the final
confidentiality determination published on May 26, 2011 (76 FR 30782).
These confidentiality determinations conclude which data reporting
elements in 40 CFR Part 98 were CBI, which were non-CBI, and which were
emission data and therefore, under Section 114 of the CAA, ineligible
for CBI protection. Under the special provisions for 40 CFR Part 98 data
at 40 CFR 2.301(d), EPA has grouped data elements into data categories
and generally made confidentiality determinations on a category basis
for 34 source categories. These 34 source categories represent all
reporting year 2010 source categories and four reporting year 2011
source categories (Subparts T, FF, II and TT). Additionally, EPA
finalized confidential determinations for new data elements added to
subparts II and TT (XX FR XXXX; DATE) and for GHGRP data elements in
subparts L, DD, QQ, RR, SS, and UU (XX FR XXXX; DATE), subpart I (XX FR
XXXX; DATE), and subpart W (XX FR XXXX; DATE).

EPA has deferred the reporting deadline for data elements that are used
as inputs to emissions equations to provide EPA time needed to fully
evaluate and resolve issues regarding the reporting and potential
release of these data (76 FR 53057; August 25, 2011). EPA has deferred
the deadline for reporting some inputs to emissions equations until
March 2013 and the deadline for others until March 2015 (77 FR 11039;
February 24, 2012).

	3(g) Sensitive Questions

This information collection does not ask any questions concerning sexual
behavior or attitudes, religious beliefs, or other matters usually
considered private.

4.	THE RESPONDENTS AND THE INFORMATION REQUESTED

The respondents in this information collection include owners and
operators of facilities that must report their GHG emissions to EPA to
comply with the rulemaking. To facilitate the analysis, EPA has divided
respondents into groups that align with the source categories identified
in the rule. 

This section lists the industry sectors (i.e., GHG source categories)
that must participate in the GHGRP, the data items required of program
participants, and the activities in which participants must engage to
collect, assess, and in some cases submit the required data items. 

	4(a) Respondents/North American Industrial Classification Systems
(NAICS) Codes

Reporting facilities include, but are not limited to, those operating
one or more units that exceed the CO2e threshold for the industry
sectors listed below or those in the categories in which all must
report, such as petroleum refining facilities and all other large
emitters listed in Table A-3 of 40 CFR 98.2(a)(1). Additionally, the
GHGRP also requires reporting of certain emissions information
associated with mobile sources (e.g., for permit applications or
emissions control certification testing procedures).

Industry sectors are listed below by their corresponding subpart of the
rule and their NAICS code for reference. 

Part and Subpart	NAICS code(s)

Parts 86, 87, 89, 90, 94, 1033, 1039, 1042, 1045, 1048, 1051, 1054,
1064, 1065	481 Air transportation; 482 Rail transportation; 483 Water
transportation

Part 98

C. General Stationary Fuel Combustion Sources	Facilities operating
boilers, process heaters, incinerators, turbines, and internal
combustion engines: 211 Extractors of crude petroleum and natural gas;
321 Manufacturers of lumber and wood products; 322 Pulp and paper mills;
325 Chemical manufacturers; 324 Petroleum refineries, and manufacturers
of coal products; 316, 326, 339 Manufacturers of rubber and
miscellaneous plastic products; 331 Steel works, blast furnaces; 332
Electroplating, plating, polishing, anodizing, and coloring; 336
Manufacturers of motor vehicle parts and accessories; 221 Electric, gas,
and sanitary services; 622 Health services; 611 Educational services

D. Electricity Generation	221112 Fossil-fuel fired electric generating
units, including units owned by federal and municipal governments and
units located in Indian Country

E. Adipic Acid Production	325199 Adipic acid manufacturing facilities

F. Aluminum Production	331312 Primary Aluminum production facilities

G. Ammonia Manufacturing	325311 Anhydrous and aqueous ammonia
manufacturing facilities

H. Cement Production	327310 Portland Cement manufacturing plants

I. Electronics Manufacturing

	334111 Microcomputers manufacturing facilities; 334413 Semiconductor,
photovoltaic cells (PV) (solid-state) device manufacturing facilities;
334419 Liquid crystal display (LCD) unit screens manufacturing
facilities; 334419 Microelectricomechanical devices (MEMS) manufacturing
facilities

K. Ferroalloy Production	331112 Ferroalloys manufacturing facilities

L. Fluorinated GHG Production	325120 Industrial gases manufacturing
facilities

N. Glass Production	327211 Flat glass manufacturing facilities; 327213
Glass container manufacturing facilities; 327212 Other pressed and blown
glass and glassware manufacturing facilities

O. HCFC-22 Production and HFC-23 Destruction	325120
Chlorodifluoromethane manufacturing facilities

P. Hydrogen Production	325120 Hydrogen manufacturing facilities

Q. Iron and Steel Production	331111 Integrated iron and steel mills,
steel companies, sinter plants, blast furnaces, basic oxygen process
furnace (BOPF) shops

R. Lead Production	331419 Primary lead smelting and refining facilities;
331492 Secondary lead smelting and refining facilities

S. Lime Manufacturing	327410 Calcium oxide, calcium hydroxide, dolomitic
hydrates manufacturing facilities

T. Magnesium Production 	331419 Primary refiners of nonferrous metals by
electrolytic methods; 331492 Secondary magnesium processing plants

U. Miscellaneous Uses of Carbonate	Facilities included elsewhere

V. Nitric Acid Production	325311 Nitric acid manufacturing facilities

W. Petroleum and Natural Gas Systems	486210 Pipeline transportation of
natural gas; 221210 Natural gas distribution facilities; 211 Extractors
of crude petroleum and natural gas; 211112 Natural gas liquid extraction
facilities

X. Petrochemical Production	32511 Ethylene dichloride manufacturing
facilities; 325199 Acrylonitrile, ethylene oxide, methanol manufacturing
facilities; 325110 Ethylene manufacturing facilities; 325182 Carbon
black manufacturing facilities

Y. Petroleum Refineries	324110 Petroleum refineries

Z. Phosphoric Acid Production	325312 Phosphoric acid manufacturing
facilities

AA. Pulp and Paper Manufacturing	322110 Pulp mills; 322121 Paper mills;
322130 Paperboard mills

BB. Silicon Carbide Production	327910 Silicon carbide abrasives
manufacturing facilities

CC. Soda Ash Manufacturing	325181 Alkalis and chlorine manufacturing
facilities, 212391 Soda ash, natural, mining and/or beneficiation

DD. Electrical Equipment Use	221121 Electric bulk power transmission and
control facilities

EE. Titanium Dioxide Production	325188 Titanium dioxide manufacturing
facilities

FF. Underground Coal Mines	212113 Underground anthracite coal mining
operations; 212112 Underground bituminous coal mining operations

GG. Zinc Production	331419 Primary zinc refining facilities; 331492 Zinc
dust reclaiming facilities, recovering from scrap and/or alloying
purchased metals

HH. Municipal Solid Waste Landfills	562212 Solid waste landfills; 221320
Sewage Treatment Facilities

II. Industrial Wastewater Treatment	322110 Pulp mills; 322121 Paper
mills; 322122 Newsprint mills; 322130 Paperboard mills; 311611 Meat
processing facilities; 311411 Frozen fruit, juice, and vegetable
manufacturing facilities; 311421 Fruit and vegetable canning facilities;
325193 Ethanol manufacturing facilities; 324110 Petroleum refineries

JJ. Manure Management	Note: EPA will not be implementing subpart JJ of
40 CFR Part 98 using funds provided in the Consolidated Appropriations
Act, 2012 (Public Law 112-74), due to a Congressional restriction
prohibiting the expenditure of funds for this purpose.

LL. Suppliers of Coal-based Liquid Fuels	211111 Coal liquefaction at
mine sites

MM. Suppliers of Petroleum Products	324110 Petroleum refineries

NN. Suppliers of Natural Gas and Natural Gas Liquids	221210 Natural gas
distribution facilities; 211112 Natural gas liquid extraction facilities

OO. Suppliers of Industrial Greenhouse Gases	325120 Industrial
greenhouse gas manufacturing facilities

PP. Suppliers of Carbon Dioxide	325120 Industrial greenhouse gas
manufacturing facilities

QQ. Importers and Exporters of Pre-charged Equipment and Closed-Cell
Foams	423730 Air-conditioning equipment (except room units) merchant
wholesalers; 333415 Air-conditioning equipment (except motor vehicle)
manufacturing; 336391 Motor vehicle air-conditioning manufacturing;
423620 Air-conditioners, room, merchant wholesalers; 443111 Household
Appliance Stores; 423730 Automotive air-conditioners merchant
wholesalers; 326150 Polyurethane foam products manufacturing; 335313
Circuit breakers, power, manufacturing; 423610 Circuit breakers merchant
wholesalers

RR. Geologic Sequestration of Carbon Dioxide	211 Oil and gas extraction
projects using CO2 enhanced oil and gas recovery; 211111 or 211112
Projects that inject acid gas containing CO2 underground; N/A CO2
geologic sequestration projects

SS. Electrical Equipment Manufacture or Refurbishment	33531 Power
transmission and distribution switchgear and specialty transformers
manufacturing facilities

TT. Industrial Waste Landfills	562212 Solid waste landfills; 322110 Pulp
mills; 322121 Paper mills; 322122 Newsprint mills; 322130 Paperboard
mills; 311611 Meat processing facilities; 311411 Frozen fruit, juice,
and vegetable manufacturing facilities; 311421 Fruit and vegetable
canning facilities; 221320 Sewage treatment facilities

UU. Injection of Carbon Dioxide	211 Oil and gas extraction projects
using CO2 enhanced oil and gas recovery; 211111 or 211112 Projects that
inject acid gas containing CO2 underground

Mobile Sources	333618 Heavy-duty, non-road, aircraft, locomotive, and
marine diesel engine manufacturing; 336312 Small non-road, and marine
spark-ignition engine manufacturing facilities; 336999 Personal
watercraft manufacturing facilities; 336991 Motorcycle manufacturing
facilities

Note: EPA will not be implementing subpart JJ of 40 CFR Part 98 using
funds provided in the Consolidated Appropriations Act, 2012 (Public Law
112-74), due to a Congressional restriction prohibiting the expenditure
of funds for this purpose.

	4(b) Information Requested 

(i) Data Items

 Reporting Requirements

The GHGRP applies to certain facilities that emit GHGs and to suppliers
of products that release GHGs if combusted, oxidized, or used.
Applicability depends on the source categories located at the facility
and, for some source categories, the emission level or production
capacity. Fossil fuel and industrial GHG suppliers, motor vehicle and
engine manufacturers, and facilities that emit 25,000 metric tons or
more of CO2e/year report GHG emissions data to EPA annually.

Specifically, the facilities in the source list of Table A-3 of 40 CFR
98.2(a)(1) are the large emitters and subject to an all-in threshold, in
which they report emissions regardless of a CO2e/year emissions
threshold. These large emitters report all emissions from all-in
emission source categories (Table A-3) as well as threshold source
categories (Table A-4 of 40 CFR 98.2(a)(2) source list), stationary fuel
combustion sources (subpart C), and miscellaneous use of carbonates
(subpart U). Suppliers in the source list of Table A-5 of 40 CFR
98.2(a)(4) report all applicable products in Table A-5.

In addition, facilities that do not contain sources listed in Table A-3,
but that emit at least 25,000 metric tons CO2e/year in combined
emissions from stationary combustion sources and other sources listed in
Table A-4 report emissions from stationary fuel combustion sources
(subpart C), miscellaneous use of carbonates (subpart U), and all
applicable source categories listed in Table A-4. Facilities with only
combustion emissions that emit at least 25,000 metric tons CO2e/year are
only required to report emissions from combustion sources.

Respondents comply with the following categories of requirements (if
applicable): the General Provisions applicable to all sources;
stationary combustion; and requirements applicable to other specific
source categories identified in subparts D through UU of the rule. In
addition, vehicle and engine manufacturers subject to the requirements
of CFR parts 86, 87, 89, 90, 94, 1033, 1039, 1042, 1045, 1048, 1051,
1054, and 1065 report CO2, N2O, and CH4 emissions associated with the
mobile sources that they produce.

The following is a summary of the information requested by source
category; requirements that apply to specific sources are found in
Appendix A (reporting requirements) and Appendix B (recordkeeping
requirements).

General requirements that apply to all sources. All respondents that
exceed the reporting threshold or that belong to a source category in
which all respondents report submit the following information
electronically: 

Facility name or supplier name (as appropriate), and physical street
address of the facility or supplier, including the city, State, and zip
code.

Year and months covered by the report;

Date of submittal;

For facilities, except as otherwise provided in 40 CFR 98.3(c)(12),
annual emissions of CO2, CH4, N2O, and each fluorinated GHG (as defined
in 40 CFR 98.6) as follows:

Annual emissions (excluding biogenic CO2) aggregated for all GHG from
all applicable source categories and expressed in metric tons of CO2e
calculated using Equation A-1 provided in subpart A;

Annual emissions of biogenic CO2 aggregated for all applicable source
categories, expressed in metric tons;

Annual emissions from each applicable source category, expressed in
metric tons of each GHG listed as follows: i) Biogenic CO2; ii) CO2
(excluding biogenic CO2); iii) CH4; iv); N2O; and v) Each fluorinated
GHG (including those not listed in Table A-1 of subpart A).

Except as provided in 40 CFR 98.2(c)(4)(vii), emissions and other data
for individual units, processes, activities, and operations as specified
in the “Data reporting requirements” section of each applicable
subpart.

Emissions and other data for individual units, processes, activities,
and operations as specified in the “Data reporting requirements”
section of each applicable subpart.

Indicate (yes or no) whether reported emissions include emissions from a
cogeneration unit located at the facility.

When applying 40 CFR 98.2(c)(4)(i) to fluorinated GHGs, calculate and
report CO2e for only those fluorinated GHGs listed in Table A–1 of
subpart A.

The owner or operator of a facility is not required to report the data
elements specified in Table A–6 of subpart A for calendar years 2010
through 2011 until March 31, 2013. The owner or operator of a facility
is not required to report the data elements specified in Table A–7 of
subpart A for calendar years 2010 through 2013 until March 31, 2015.

For suppliers, annual quantities of CO2, CH4, N2O, and each fluorinated
GHG (as defined in 40 CFR 98.6) that would be emitted from combustion or
use of the products supplied, imported, and exported during the year.
Calculate and report quantities at the following levels:

Total quantity of GHG aggregated for all GHG from all applicable supply
categories in Table A–5 of subpart A and expressed in metric tons of
CO2e calculated using Equation A–1 of subpart A. For fluorinated GHGs,
calculate and report CO2e for only those fluorinated GHGs listed in
Table A–1 of subpart A;

Quantity of each GHG from each applicable supply category in Table A–5
of subpart A, expressed in metric tons of each GHG. For fluorinated GHG,
report emissions of all fluorinated GHG, including those not listed in
Table A-1 of subpart A; and

Any other data specified in the “Data reporting requirements”
section of each applicable subpart. 

A written explanation, as required under 40 CFR 98.3(e), if emission
calculation methodologies are changed during the reporting period.

A brief description of each “best available monitoring method,” the
parameters measured using the method, and the time period during which
the “best available monitoring method” was used, if applicable.

Each data element for which a missing data procedure was used according
to the procedures of an applicable subpart and the number of hours in
the year that a missing data procedure was used for each data element.

A signed and dated certification statement provided by the designated
representative of the owner or operator, according to the requirements
of 40 CFR 98.4(e)(1).

NAICS code(s) that apply to the facility or supplier.

Primary NAICS code. Report the NAICS code that most accurately describes
the facility or supplier's primary product/activity/service. The primary
product/activity/service is the principal source of revenue for the
facility or supplier. A facility or supplier that has two distinct
products/activities/services providing comparable revenue may report a
second primary NAICS code.

Additional NAICS code(s). Report all additional NAICS codes that
describe all product(s)/activity(s)/service(s) at the facility or
supplier that are not related to the principal source of revenue.

Legal name(s) and physical address(es) of the highest-level United
States parent company(s) of the owners (or operators) of the facility or
supplier and the percentage of ownership interest for each listed parent
company as of December 31 of the year for which data are being reported
according to the following instructions:

If the facility or supplier is entirely owned by a single United States
company that is not owned by another company, provide that company's
legal name and physical address as the United States parent company and
report 100 percent ownership.

If the facility or supplier is entirely owned by a single United States
company that is, itself, owned by another company (e.g., it is a
division or subsidiary of a higher-level company), provide the legal
name and physical address of the highest-level company in the ownership
hierarchy as the United States parent company and report 100 percent
ownership.

If the facility or supplier is owned by more than one United States
company (e.g., company A owns 40 percent, company B owns 35 percent, and
company C owns 25 percent), provide the legal names and physical
addresses of all the highest-level companies with an ownership interest
as the United States parent companies, and report the percent ownership
of each company.

If the facility or supplier is owned by a joint venture or a
cooperative, the joint venture or cooperative is its own United States
parent company. Provide the legal name and physical address of the joint
venture or cooperative as the United States parent company, and report
100 percent ownership by the joint venture or cooperative.

If the facility or supplier is entirely owned by a foreign company,
provide the legal name and physical address of the foreign company's
highest-level company based in the United States as the United States
parent company, and report 100 percent ownership.

If the facility or supplier is partially owned by a foreign company and
partially owned by one or more U.S. companies, provide the legal name
and physical address of the foreign company's highest-level company
based in the United States, along with the legal names and physical
addresses of the other U.S. parent companies, and report the percent
ownership of each of these companies.

If the facility or supplier is a federally owned facility, report
“U.S. Government” and do not report physical address or percent
ownership.

Under 40 CFR 98.3(h), the owner or operator submits a revised report
within 45 days of discovering that an annual GHG report that the owner
or operator previously submitted contains one or more substantive errors
or being notified by EPA of errors in its GHG report. The revised report
must correct all substantive errors. 

Under 40 CFR 98.4(d), the designated representative submits the
certificate of representation at least 60 days before the report
deadline. Under 40 CFR 98.4(i), the certificate of representation
includes:

An identification of the facility or supplier for which the certificate
of representation is submitted;

The name, organization name (company affiliation-employer), address,
e-mail address (if any), telephone number, and facsimile transmission
number (if any) of the designated representative and any alternate
designated representative;

A list of the owners and operators of the facility or supplier, provided
that, if the list includes the operators of the facility or supplier and
the owners with control of the facility or supplier, the failure to
include any other owners does not make the certificate of representation
incomplete; 

The certification statements listed in 40 CFR 98.4(i)(4); and

The signature of the designated representative and any alternate
designated representative and the dates signed.

The GHGRP also includes notification procedures for changing a
designated representative or alternate designated representative (40 CFR
98.4(g)).

Under 40 CFR 98.4(m)(2), in order to delegate his or her own authority
to one or more individuals to submit an electronic submission of the GHG
reports, the designated representative or alternate designated
representative submits electronically to the Administrator a notice of
delegation that includes the following elements:

The name, organization name (company affiliation-employer) address,
e-mail address (if any), telephone number, and facsimile transmission
number (if any) of such designated representative or alternate
designated representative.

The name, address, e-mail address, telephone number, and facsimile
transmission number (if any) of each such individual (referred to as an
“agent”).

For each such individual, a list of the type or types of electronic
submissions under 40 CFR 98.4(m)(1) for which authority is delegated to
him or her.

For each type of electronic submission listed in accordance with clause
(iii), the facility or supplier for which the electronic submission may
be made.

The certification statements in 40 CFR 98.4(m)(2)(v). 

The signature of such designated representative or alternate designated
representative and the date signed. 

	Facilities that may discontinue reporting. Under 98.2(i), if reported
emissions are less than 25,000 metric tons CO2e/year for five
consecutive years or less than 15,000 metric tons CO2e/year for three
consecutive years, then the owner or operator may discontinue complying
provided that the owner or operator submits a notification to the
Administrator that announces the cessation of reporting and explains the
reasons for the reduction in emissions. The owner or operator maintains
the corresponding records required under 40 CFR 98.3(g) for the five (or
three) consecutive years and then retain such records for three years
following the year that reporting was discontinued.

If the operations of a facility or supplier are changed such that all
applicable GHG-emitting processes and operations cease to operate, then
the owner or operator is exempt from reporting in the years following
the year in which cessation of such operations occurs, provided that the
owner or operator submits a notification to the Administrator that
announces the cessation of reporting and certifies to the closure of all
GHG-emitting processes and operations. This does not apply to seasonal
or other temporary cessation of operations or facilities with municipal
solid waste landfills, industrial waste landfills, or underground coal
mines. The owner or operator resumes reporting for any future calendar
year during which any of the GHG-emitting processes or operations resume
operation. 

Other source categories. Facilities that contain any of the source
categories listed in Section 4(a) and that exceed the threshold for any
source category (or include a source category in which all facilities
report) report information specific to each source category at the
facility for which methods are specified in 40 CFR Part 98, in addition
to the general reporting and stationary combustion requirements outlined
above. Many facilities that are affected by the GHGRP emit GHGs from
multiple sources. 

The sector-specific reporting requirements are outlined in Appendix B.

Recordkeeping Requirements

General requirements that apply to all sources. The owner or operator of
each facility that is subject to the GHG emissions reporting
requirements keeps the following records for at least three years from
the date of submission of the annual GHG report for the reporting year
in which the record was generated. Upon request by the Administrator,
the records required under this section must be made available to EPA.
Records may be retained off site if the records are readily available
for expeditious inspection and review. For records that are
electronically generated or maintained, the equipment or software
necessary to read the records shall be made available, or, if requested
by EPA, electronic records shall be converted to paper documents. 

A list of all units, operations, processes, and activities for which GHG
emissions were calculated.

The data used to calculate the GHG emissions for each unit, operation,
process, and activity, categorized by fuel or material type, including:
(i) The GHG emissions calculations and methods used; (ii) Analytical
results for the development of site-specific emissions factors; (iii)
The results of all required analyses for high heat value, carbon
content, and other required fuel or feedstock parameters; and (iv) Any
facility operating data or process information used for the GHG emission
calculations. 

The annual GHG reports.

Missing data computations. For each missing data event, respondents must
maintain records of the cause of the event and the corrective actions
taken to restore malfunctioning monitoring equipment.

A written GHG Monitoring Plan, which must include, at a minimum, the
following: (i) Identification of positions of responsibility (i.e., job
titles) for collection of the emissions data; (ii) Explanation of the
processes and methods used to collect the necessary data for the GHG
calculations; and (iii) Description of the procedures and methods that
are used for quality assurance, maintenance, and repair of all
continuous monitoring systems, flow meters, and other instrumentation
used to provide data for the GHGs reported. 

The owner or operator must revise the GHG Monitoring Plan as needed to
reflect changes in production processes, monitoring instrumentation, and
quality assurance procedures; or to improve procedures for the
maintenance and repair of monitoring systems to reduce the frequency of
monitoring equipment downtime. 

Upon request by the Administrator, the owner or operator must make all
information that is collected in conformance with the GHG Monitoring
Plan available for review during an audit. Electronic storage of the
information in the plan is permissible, provided that the information
can be made available in hard copy upon request during an audit.

The results of all required certification and quality assurance tests of
continuous monitoring systems, fuel flow meters, and other
instrumentation used to provide data for the GHGs reported.

Maintenance records for all continuous monitoring systems, flow meters,
and other instrumentation used to provide data for the GHGs reported
under 40 CFR 98.

Other source categories. Facilities that report and that contain any of
the source categories listed in Section 4(a) also retain records for
information specific to the given source category. The sector-specific
recordkeeping requirements are outlined in Appendix C.

	(ii) Respondent Activities

The owner or operator of a facility that is subject to the GHGRP’s
reporting requirements reports total annual GHG emissions in metric tons
of CO2e, as applicable. The primary tasks that reporting program
respondents perform include:

Implement and update, as necessary, appropriate monitoring plans for
each affected source and each affected unit at a source, as applicable; 

Operation and maintenance activities associated with the monitoring,
including quality assurance activities; 

Ensuring data quality, preparing annual reports for submission to EPA,
and submitting these reports to EPA; 

Potentially responding to questions or error messages from EPA; and 

Maintaining records for a minimum of three years.

	Respondents that use CEMS also conduct tests to certify the operations
of monitors, submit the results of these tests, and record emissions
data (this activity generally is performed electronically).

Reports present the annual mass GHG emissions from each source category
separately. The calculations used to determine GHG emissions, the
frequency at which those calculations are required, the methods used to
estimate missing data, and the QA/QC requirements depend on the specific
source category. 

5.	THE INFORMATION COLLECTED – AGENCY ACTIVITIES, COLLECTION METHODS,
AND INFORMATION MANAGEMENT

	5(a) Agency Activities

EPA Headquarters activities include the monitoring and verification of
emission reports, database and software maintenance, communication and
outreach, and program evaluation.

	5(b) Collection Methodology and Management

EPA has established a central repository of inventory data for all
respondents, the web-based Electronic Greenhouse Gas Reporting Tool
(e-GGRT). Respondents report data electronically, and EPA stores the
data in the database. Facilities and suppliers subject to the GHGRP
register online through the e-GGRT system.

All data is submitted to EPA electronically in e-GGRT except the
one-time Electronic Signature Agreement (ESA) which is submitted on
paper. The tool has an XML reporting schema that allows facilities to
upload GHG data directly in lieu of using the web forms provided through
e-GGRT. The XML reporting schema contains all of the data elements
needed to comply with the GHGRP. The electronic reports submitted under
the GHGRP are subject to the provisions of 40 CFR Part 3, specifying EPA
systems to which electronic submissions must be made and the
requirements for valid electronic signatures. Additionally, E-GGRT can
handle CBI.

The new system follows Agency standards for design, security, data
element and reporting format conformance, and accessibility. EPA
designed the database in an attempt to minimize respondents’ burden by
integrating the new reporting requirements with existing data collection
and data management systems, when feasible. 

All facilities or suppliers must have a Designated Representative (DR)
in order to report. The DR may appoint an Alternative Designated
Representative (ADR) and agents. The DR, ADR, and agent are all able to
enter data and submit the electronic report. Before submitting a report,
the DR (or ADR) must certify the annual report. An electronic signature
device (e.g., a PIN or password) is required to submit a report.

	5(c) Small Entity Flexibility

EPA took several steps to minimize the impacts on small entities. The
Agency met several times with industry trade associations to discuss the
reporting options considered and their possible impacts on small
entities. EPA further minimized impacts on small entities by not
requiring facilities below a certain emissions threshold to report their
emissions. 

Where feasible, EPA also uses existing GHG emissions estimation and
reporting methodologies and provides simplified methodological options
to reduce reporting burden. According to the Agency’s analysis, a
facility with stationary combustion units that have a maximum rated heat
input capacity of less than 30 mmBtu/hr, operating full time with any
type of fossil fuel, would not exceed 25,000 metric tons CO2e/year.
Exempting facilities based on combustion unit capacity has allowed for
small entities to perform a simple calculation to determine if they are
even required to estimate emissions for applicability purposes.

Additionally, EPA minimized the impact on small entities in subpart NN
(Suppliers of Natural Gas and Natural Gas Liquids) by amending the
reporting threshold from an all-in threshold to a capacity-based
threshold. EPA revised the applicability threshold so that only local
distribution companies (LDCs) that deliver 460,000 thousand standard
cubic feet (mscf) or more of natural gas per year are subject to the
GHGRP (75 FR 79092; December 17, 2010).  

The rule includes a mechanism in 40 CFR 98.2 to allow facilities and
suppliers that report less than 25,000 metric tons of CO2e/year for 5
years or less than 15,000 metric tons CO2e/year for 3 years to cease
annual reporting to EPA. 

	5(d) Collection Schedule

Facilities collect data and calculate emissions at varying frequencies,
as described in the GHGRP, and summarized in Appendix B. Most facilities
that meet the GHGRP’s reporting requirements submit GHG emission
reports annually. 

Facilities report all U.S. parent company(s) information and facility
primary NAICS code(s) annually. EPA requires that the US parent
company(s) and NAICS code(s) be reported as of December 31st of the
reporting year, to remain consistent with the other requirements of the
GHGRP.

A facility or supplier that becomes subject to the GHGRP because of a
physical or operational change report emissions for the first calendar
year in which the change occurs beginning with the first month of the
change. A facility or supplier that becomes subject to the GHGRP solely
because of an increase in hours of operation or level of production
reports emissions beginning the first month of the change if it would
cause the facility or supplier to exceed the applicable threshold if
maintained for the remainder of the year. 

Facilities or suppliers that have emissions or products with emission
less than 25,000 metric tons of CO2e for five years in a row or less
than 15,000 metric tons of CO2e for three years in a row may discontinue
complying provided that the owner or operator submits a notification to
the Administrator that announces the cessation of reporting and explains
the reasons for the reduction in emissions. The notification must be
submitted no later than March 31 of the year immediately following the
fifth (or third) consecutive year of emissions less than 25,000 (or
15,000) tons CO2e/year. The owner or operator must maintain the
corresponding records required under 40 CFR 98.3(g) for each of the five
(or three) consecutive years and retain such records for three years
following the year that reporting was discontinued. The owner or
operator must resume reporting if annual emissions in any future
calendar year increase to 25,000 (or 15,000) metric tons CO2e/year or
more.

 

6.	ESTIMATING THE BURDEN AND COST OF THE COLLECTION

This section presents EPA’s estimates of the burden and costs to
respondents associated with the activities described in Section 4 as
well as the federal burden hours and costs associated with the
activities described in Section 5(a). EPA estimates that, over the three
years covered by this request, the total respondent burden associated
with this reporting will average 900 thousand hours per year and the
cost of all respondents of the information collection will average $84.2
million per year. 

Section 6(a) of this ICR provides estimates of burden (hours) for all
respondent types. Section 6(b) contains estimates of respondent costs
for the information collection. Section 6(c) summarizes federal burden
and costs. Section 6(d) describes the respondent universe and the total
burden and cost of this collection to respondents. Section 6(e) presents
the bottom line burden and cost. Section 6(f) provides reasons for any
change in burden. The burden statement for this information collection
is in Section 6(g). 

6(a) Estimating Respondent Burden

	Respondent burden estimates are presented in Exhibit 6.1. EPA estimates
that the total annual burden to all affected entities is 942,344 hours
per year over the three years covered by this information collection.
EPA also estimated the number of responses, or actions taken as a result
of the rule, per respondent (facility) per year; for facilities
collecting samples on a daily basis, this means a minimum of 365
responses per year. Exhibit 6.1 presents aggregate burden by sector
only; for the details of burden calculations, please see the cost
appendices. 

6(b) Estimating Respondent Costs

Costs to respondents associated with this information collection include
labor costs (i.e., the cost of labor by facility staff to meet the
rule’s information collection requirements) and non-labor costs (e.g.,
the cost of purchasing and installing monitoring equipment or contractor
costs associated with providing the required information). 

To calculate labor costs, EPA estimated technical, managerial, clerical,
and legal loaded labor rates for each industry sector using labor rates
from the Bureau of Labor Statistics[1. For all subparts the labor rates
are: $59.12 for technical workers, $77.23 for managers, $31.35 for
clerical support, and $109.94 for legal support. Non-labor costs
(capital and O&M) for individual sectors are summarized in Exhibit 6-1. 

 

EPA estimates that the total annual cost to all affected non-federal
entities is $84.2 million over the three years covered by this
information collection. Exhibit 6.1 presents aggregate costs by sector
only; for the details of EPA’s cost calculations, please see Appendix
C.

Exhibit 6.1 Annual Average Respondent Burden and Cost

For the GHG Reporting Program ($K)

6(c) Estimating Agency Burden and Cost

This section describes the burden and cost to the federal government
associated with this information collection. Federal activities under
this information collection include EPA Headquarters oversight of the
reporting program and required reporting by federally owned GHG
generating facilities.

EPA Burden and Cost for Program Oversight 

EPA activities associated with the GHG reporting program include
Headquarters oversight and implementation of the reporting program,
e.g., monitoring and verification of emission reports, database and
software maintenance, communication and outreach, and program
evaluation. EPA estimates that Headquarters will devote between 20 and
30 full time equivalents (FTEs), or an estimated 52,000 hours to these
activities.

To develop EPA labor costs, EPA estimates the average hourly labor rate
for salary and overhead and benefits for Agency staff to be $52.37. To
derive this figure, EPA multiplied the hourly compensation at GS-12,
Step 5 on the 2011 GS pay scale ($32.73) by the standard government
benefits multiplication factor of 1.6 to account for overhead and
benefits.

In addition to the labor cost, EPA will incur a non-labor cost of
approximately $10.7 million in each of the three years of the
information collection for developing guidance, training, responding to
stakeholders, communication and outreach, database maintenance, and
other contractor support. 

Burden and cost for federal facilities covered by the rule

Federally owned facilities that exceed the CO2e threshold must report
their GHG emissions. In 2010, federally owned facilities reported in
Subparts C (Stationary Combustion, general unspecified), D (Electricity
Generation), V (Nitric Acid Production), and HH (Landfills). It is
anticipated that federally owned facilities will also report under
Subparts RR and UU (Sequestration of CO2, under which federally owned
facilities are anticipated to seek exemptions, and Injection of CO2).
EPA calculated the reporting burden and cost for these facilities in the
same manner as it did for other reporting facilities. EPA estimates that
the federal burden for these facilities is approximately 6,570 hours,
for an annual total cost of $464,739. 

Exhibit 6.2 presents the annual burden and cost for federal facilities
that must comply with the rule.

Exhibit 6.2 Annual Agency Burden and Cost

6(d) Estimating the Respondent Universe and Total Burden and Costs

The number of respondents in each sector that perform the required
activities under this information collection is presented in Exhibit
6.1. The required activities depend on whether the facility must report
its GHG emissions and on the applicable sector-specific reporting
requirements. These activities are described in Section 4(b) of this
ICR. 

6(e) Bottom Line Burden Hours and Costs

The bottom line burden hours and costs are shown in Exhibit 6.3. 

Exhibit 6.3 Bottom Line Annual Burden and Cost

Note: Detail may not add exactly to total due to independent rounding

	

	6(f)	Reasons for Change in Burden

This section presents the change in burden and explains the reasons for
the change in burden. Exhibit 6.4 summarizes the adjustments that have
affected the overall burden inventory for the final GHGRP ICRs. 

Exhibit 6.4 Summary of Changes in Annual Burden 

	

Exhibit 6.4 Summary of Changes in Annual Burden (continued) 

6(g) Burden Statement

The respondent reporting burden for this collection of information is
estimated to average 942,344 hours per year for a three-year period. The
average annual burden to EPA for this period is estimated to be 52,000
hours for oversight activities and 6,570 hours for federal facilities
that must comply with the rule. The annual public reporting and
recordkeeping burden for this collection of information is estimated to
average 1.96 hours per response. 

Burden means the total time, effort, or financial resources expended by
persons to generate, maintain, retain, or disclose or provide
information to or for a federal agency. This includes the time needed to
review instructions; develop, acquire, install, and utilize technology
and systems for the purposes of collecting, validating, and verifying
information, processing and maintaining information, and disclosing and
providing information; adjust the existing ways to comply with any
previously applicable instructions and requirements; train personnel to
respond to a collection of information; search data sources; complete
and review the collection of information; and transmit or otherwise
disclose the information.

An agency may not conduct or sponsor, and a person is not required to
respond to, a collection of information unless it displays a currently
valid OMB control number. The OMB control numbers for EPA’s
regulations are listed in 40 CFR Part 9.

To comment on the Agency's need for this information, the accuracy of
the provided burden estimates, and any suggested methods for minimizing
respondent burden, including the use of automated collection techniques,
EPA has established a public docket for this ICR under Docket ID Number
EPA-HQ-OAR-2012-0333, which is available for online viewing at
http://www.regulations.gov, or in person viewing at the Air and
Radiation docket in the EPA Docket Center (EPA/DC), EPA West Building,
Room 3334, 1301 Constitution Avenue, NW, Washington, D.C. The EPA Docket
Center 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
Reading Room is (202) 566-1744, and the telephone number for the Air and
Radiation docket is (202) 566-1742. An electronic version of the public
docket is available at http://www.regulations.gov. This site can be used
to submit or view public comments, access the index listing of the
contents of the public docket, and to access those documents in the
public docket that are available electronically. When in the system,
select “search,” then key in the Docket ID Number identified above.
Also, you can send comments to the Office of Information and Regulatory
Affairs, Office of Management and Budget, 725 17th Street, NW,
Washington, D.C. 20503, Attention: Desk Officer for EPA. Please include
the EPA Docket ID Number EPA-HQ-OAR-2012-0333 and OMB Control Number
2060-0629 on any correspondence. 

[1] May 2011 National Industry-Specific Occupational Employment and Wage
Estimates (  HYPERLINK "http://www.bls.gov/oes/current/oessrci.htm" 
http://www.bls.gov/oes/current/oessrci.htm ) and Employer Costs for
Employee Compensation for June of 2011 (  HYPERLINK
"http://www.bls.gov/news.release/archives/ecec_09082011.pdf" 
http://www.bls.gov/news.release/archives/ecec_09082011.pdf ). See
Appendix D for more information. 

ICR for the GHGRP, DRAFT	 Page   PAGE  1                                
                                May 2012