Document ID: EPA-HQ-OAR-2021-0669-0001
Agency: epa
Document Type: Notice
Title: Phasedown of Hydrofluorocarbons: 2022 Allowance Allocations for Production and Consumption of Regulated Substances under the American Innovation and Manufacturing Act of 2020
Posted Date: 2021-10-07T04:00Z

[Federal Register Volume 86, Number 192 (Thursday, October 7, 2021)]
[Notices]
[Pages 55841-55843]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-21951]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OAR-2021-0669; FRL-9116-01-OAR]

Phasedown of Hydrofluorocarbons: Notice of 2022 Allowance 
Allocations for Production and Consumption of Regulated Substances 
Under the American Innovation and Manufacturing Act of 2020

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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SUMMARY: The Environmental Protection Agency has issued calendar year 
2022 allowances for the production and consumption of 
hydrofluorocarbons in accordance with the Agency's regulations 
established under the American Innovation and Manufacturing Act of 
2020. The American Innovation and Manufacturing Act directs the 
Environmental Protection Agency by October 1 of each calendar year to 
determine the quantity of production and consumption allowances for the 
following calendar year.

FOR FURTHER INFORMATION CONTACT: Andy Chang, U.S. Environmental 
Protection Agency, Stratospheric Protection Division, telephone number: 
202-564-6658; email address: chang.andy@epa.gov. You may also visit 
EPA's website at https://www.epa.gov/climate-hfcs-reduction for further 
information.

SUPPLEMENTARY INFORMATION: Subsection (e)(2)(D)(i) of the American 
Innovation and Manufacturing Act of 2020 (AIM Act) directs the 
Environmental Protection Agency (EPA) to determine, by October 1 of 
each calendar year, the quantity of allowances for the production and 
consumption of regulated substances that may be used for the following 
calendar year. EPA has codified the production and consumption 
baselines and phasedown schedules for regulated substances in 40 CFR 
84.7. Under the phasedown schedule, for 2022, total production 
allowances may not exceed 344,299,157 metric tons of exchange value 
equivalent (MTEVe) and total consumption allowances may not exceed 
273,498,315 MTEVe.
    EPA's rulemaking titled Phasedown of Hydrofluorocarbons: 
Establishing the Allowance Allocation and Trading Program under the 
American Innovation and Manufacturing Act, signed September 23, 2021, 
describes the process by which EPA determines the number of allowances 
each entity is allocated. EPA has posted allowance allocations 
consistent with this process for calendar year 2022 allowances on its 
website at https://www.epa.gov/climate-hfcs-reduction. An allowance 
allocated under the AIM Act does not constitute a property right and is 
a limited authorization for the production or consumption of a 
regulated substance. For 2022, EPA has set aside 2.5 million MTEVe 
(MMTEVe) of allowances for production and 7.5 MMTEVe of allowances for 
consumption that it intends to allocate no later than March 31, 2022.
    EPA has codified the procedure for calculating the application-
specific allowance allocation in 40 CFR 84.13. These allowances are 
drawn from both the production and consumption allowance pools. EPA is 
issuing ``application-specific allowances'' to end users in six 
applications established by the AIM Act: Propellants in metered dose 
inhalers, defense sprays, structural composite preformed polyurethane 
foam for marine use and trailer use, etching of semiconductor material 
or wafers and the cleaning of chemical vapor deposition chambers within 
the semiconductor manufacturing sector, mission-critical military end 
uses, and onboard aerospace fire suppression. EPA has allocated 2022 
application-specific allowances as shown in Table 1.

[[Page 55842]]

     Table 1--Application-Specific Allowances for Calendar Year 2022
------------------------------------------------------------------------
                                                          Number of
                                                    application-specific
           Entity                  Application        allowances issued
                                                         (MTEVe) \1\
------------------------------------------------------------------------
Boehringer Ingelheim........  Metered Dose                      27,789.0
                               Inhalers.
GlaxoSmithKline.............  Metered Dose                     414,448.2
                               Inhalers.
Kindeva Drug Delivery.......  Metered Dose                     541,146.0
                               Inhalers.
Lupin.......................  Metered Dose                      30,224.8
                               Inhalers.
Guardian Protective Devices.  Defense Sprays......              66,639.5
Safariland..................  Defense Sprays......              19,404.6
Security Equipment            Defense Sprays......             262,946.7
 Corporation.
Shamrock Filling............  Defense Sprays......             138,559.0
UDAP Industries.............  Defense Sprays......             116,029.3
Compsys.....................  Structural Composite              35,931.9
                               Foam.
Wabash National Corporation.  Structural Composite              11,316.7
                               Foam.
Analog Devices..............  Semiconductors......              19,652.6
Applied Materials...........  Semiconductors......              65,378.3
Broadcom....................  Semiconductors......               4,232.3
Cree........................  Semiconductors......              36,956.0
GE Global Research Center...  Semiconductors......                 184.6
GlobalFoundries.............  Semiconductors......             216,735.8
Intel Corporation...........  Semiconductors......             679,471.5
Jireh Semiconductor.........  Semiconductors......               5,628.6
Micron Technology...........  Semiconductors......              54,598.3
Newport Fab DBA TowerJazz...  Semiconductors......               9,190.9
NXP Semiconductor...........  Semiconductors......              56,910.6
Polar Semiconductor.........  Semiconductors......              13,192.0
Qorvo Texas.................  Semiconductors......               9,706.4
Samsung Austin Semiconductor  Semiconductors......             260,269.0
Semiconductor Components      Semiconductors......              11,502.5
 Industries DBA ON
 Semiconductor.
Texas Instruments...........  Semiconductors......              73,345.6
Tower Semiconductor San       Semiconductors......               9,836.6
 Antonio.
WaferTech...................  Semiconductors......              21,733.9
X-FAB Texas.................  Semiconductors......               1,757.7
U.S. Department of Defense..  Mission-critical               2,300,000.0
                               Military.
Raytheon Technologies.......  Onboard Aerospace                 44,105.4
                               Fire Suppression.
------------------------------------------------------------------------
\1\ Numbers may not sum due to rounding.

    EPA has codified the procedure for calculating the production 
allowance allocation in 40 CFR 84.9. EPA has allocated calendar year 
2022 production allowances as shown in Table 2.

          Table 2--Production Allowances for Calendar Year 2022
------------------------------------------------------------------------
                                                          Number of
                                                         production
                      Entity                          allowances issued
                                                         (MTEVe) \1\
------------------------------------------------------------------------
Application-specific allowances \2\...............           5,558,824.3
Set-aside \3\.....................................           2,500,000.0
Arkema............................................          40,555,947.3
Chemours..........................................          75,115,321.8
Honeywell International...........................         170,413,409.6
Iofina Chemical...................................               1,744.9
Mexichem Fluor DBA Koura..........................          50,153,909.1
------------------------------------------------------------------------
\1\ Numbers may not sum due to rounding.
\2\ See Table 1.
\3\ EPA intends to allocate set-aside allowances by March 31, 2022.

    EPA has codified the procedure for calculating the consumption 
allowance allocation in 40 CFR 84.11. EPA has allocated calendar year 
2022 consumption allowances as shown in Table 3.

[[Page 55843]]

         Table 3--Consumption Allowances for Calendar Year 2022
------------------------------------------------------------------------
                                                          Number of
                                                         consumption
                      Entity                          allowances issued
                                                         (MTEVe) \1\
------------------------------------------------------------------------
Application-specific allowances \2\...............           5,558,824.3
Set-aside \3\.....................................           7,500,000.0
A-Gas.............................................           3,197,981.6
Advanced Specialty Gases..........................             284,314.2
Air Liquide USA...................................             496,782.6
Altair Partners...................................           2,908,497.9
Arkema............................................          30,966,544.3
Artsen............................................           1,023,968.7
AutoZone Parts....................................           2,477,946.6
AW Product Sales & Marketing......................             193,823.8
Bluon.............................................              33,342.5
Chemours..........................................          33,265,653.1
Combs Gas.........................................           1,283,403.1
ComStar International.............................             372,752.5
Daikin America....................................           3,109,990.8
Electronic Fluorocarbons..........................             103,923.4
First Continental International...................             767,139.1
FluoroFusion Specialty Chemicals..................           2,543,583.9
GlaxoSmithKline...................................             534,487.5
Harp USA..........................................             762,890.0
Honeywell International...........................          82,208,205.2
Hudson Technologies...............................           2,977,582.0
ICool USA.........................................           3,395,051.7
IGas Holdings.....................................          25,853,657.7
Iofina Chemical...................................               1,260.5
Lenz Sales & Distribution.........................           1,106,426.7
Linde.............................................             530,636.4
Mexichem Fluor DBA Koura..........................          25,390,556.9
Mondy Global......................................             317,589.6
National Refrigerants.............................          19,737,372.2
Nature Gas Import and Export......................             816,751.0
Refrigerants, Inc.................................              26,457.8
RMS of Georgia....................................           1,615,592.9
Showa Chemicals of America........................              73,209.0
Solvay Fluorides..................................           1,098,594.2
Technical Chemical................................             970,724.9
Transocean Offshore Deepwater Drilling............                  16.7
Tulstar Products..................................             731,537.3
Walmart...........................................           2,272,587.7
Waysmos USA.......................................             632,280.2
Weitron...........................................           6,316,123.6
Wilhelmsen Ships Service..........................              40,250.9
------------------------------------------------------------------------
\1\ Numbers may not sum due to rounding.
\2\ See Table 1.
\3\ EPA intends to allocate set-aside allowances by March 31, 2022.

Hans Christopher Grundler,
Director, Office of Atmospheric Programs.
[FR Doc. 2021-21951 Filed 10-6-21; 8:45 am]
BILLING CODE 6560-50-P