Document ID: EPA-HQ-OPPT-2005-0042-0003
Agency: epa
Document Type: Supporting & Related Material
Title: 
Posted Date: 2007-04-30T04:00Z

PETITION TO THE 
ADMINISTRATOR, UNITED STATES                                                                                                 
ENVIRONMENTAL PROTECTION AGENCY, 
FOR AN EXEMPTION UNDER THE 
TOXIC SUBSTANCES CONTROL ACT 
TO IMPORT POLYCHLORINATED BIPHENYLS (PCB) AND PCB ITEMS FOR 
DISPOSAL

(1)  Petitioner:  Defense Logistics Agency (DLA), a component of the United States (U.S.) 
Department of Defense (DoD), 8725 John J. Kingman Road, Fort Belvoir, VA 22061.   Contact:  
Mr. Jan Reitman, Staff Director, DLA Enterprise Support Environment, Safety and Occupational 
Health, (703) 767-6278; or Mr. Barton McFarlane, DLA Environmental Quality Staff, 
(703) 767-1567.

(2)  Exemption requested:  An exemption is sought under 15 U.S. Code (U.S.C.) 2605(e)(3)(B) 
to import and dispose of transformers, switches, used oil, circuit breakers, debris (e.g., rags, 
small parts, packaging materials) and related material containing polychlorinated biphenyls at the 
U.S. Environmental Protection Agency (EPA) permitted storage, treatment, and disposal 
facilities in the U.S.  These PCBs and PCB items are currently in temporary storage on U.S. 
military installations in Japan, or are in use and scheduled to be removed from service sometime 
before the expiration of any exemption granted based on this petition.   U.S. military forces 
generate this material when the PCB articles are taken out of service on U.S. military 
installations in Japan.  We believe that the PCBs contained in the articles were originally 
manufactured or acquired outside the U.S.
(3)  Manufacturing sites requiring exemption:  None.  Exemption is sought for import and 
disposal only of items generated by U.S. forces located in Japan.
(4)  Length of time requested for exemption:  One year.
(5)  Estimated amount of PCBs and PCB items to be imported for disposal:  It is the intent 
of the DLA to utilize this exemption, if granted, to allow for environmentally sound disposal of 
PCBs in DoD’s inventory in Japan, which are currently in storage or can be removed from 
service for disposal before the expiration of any exemption granted.  Attachment 1  provides an 
estimated inventory of the items to be imported for disposal.  The inventory contains items with 
various concentrations of PCBs ranging from non-detected or less than 2.0 parts per million 
(ppm) to greater than 500 ppm.  Nearly all of this material would be considered regulated PCBs 
in Japan.   Based on data currently available, DLA anticipates that approximately 70 percent of 
the inventory estimate included within this petition request would be material containing PCBs at 
less than 50 ppm, which is a level lower than that regulated for disposal under U.S. law.   
     The inventories include the following types of items:  transformers (drained and undrained), 
large and small capacitors, voltage regulators, switches, electromagnets, circuit breakers, 
reclosers, electrical cable, electric light ballasts, transformer oils, used oils, contaminated soil, 
and debris.  The terms “PCBs” and “PCB items” are used to refer to PCB containing materials 
generally throughout this petition, and no portion of the petition is seeking to make distinctions 
between “types” of PCB containing material or how they may be defined under the Toxic 
Substances Control Act (TSCA) implementing regulations at Title 40 Code of Federal 
Regulations (CFR) 761.  
(6)  Risk of injury to health or environment:  Given the EPA’s finding in response to DLA’s 
previous petitions that compliant disposal in the U.S. presents “no unreasonable risk,”  as well as 
DLA’s successful experience in disposing of PCB items under the initial exemption, the 
Administrator should find that allowing the DoD to return PCB containing items from its 
inventory in Japan for compliant disposal in the U.S. presents no unreasonable risk to health or to 
the environment.  The following discussion evaluates the risks of the proposed import for 
disposal in the U.S. and balances them with the alternatives.
    a.  Evaluation of risk for import for disposal in the U.S.
1.	 PCB concentrations.  Foreign-manufactured PCBs and PCB items do not differ in 
chemical composition from domestically-manufactured PCBs and PCB items, and they 
present the same risks to human health and the environment as domestic PCBs and PCB 
items.  A description of the parts per million concentrations and the types of PCBs and 
PCB items under the purview of this exemption request is provided at Attachment 1.  As 
noted in paragraph (5) above, the vast majority of this material would not qualify as PCB 
waste under 40 CFR 761, Subpart D.

2.	Packaging and transportation.  When the DoD ships PCB items or waste from Japan, 
packaging, marking, labeling and shipping papers will conform to the applicable modal and 
inter-modal (sea, air, land) national and/or international regulations.  The packaging will be 
in accordance with the United Nations Performance Oriented Packaging standards.  
Shipments must also comply with modal or intermodal regulatory requirements outlined in 
the International Maritime Dangerous Goods Code/International Maritime Organization, 
International Civil Aviation Organization Technical Instructions of the International Air 
Transport Association, United Nations Recommendations on the Transport of Dangerous 
Goods Code, and U.S. Title 49 CFR 100-199.  DoD policy and procedures implementing 
these standards are found in DoD Joint Regulations .  Proper handling and shipping shall 
include blocking, bracing, over-packing, and the inclusion of secondary spill containment 
devices, as required by applicable transportation regulations.

3.	   Handling, treatment, and disposal in compliance with U.S. laws and regulations.  The 
DLA has considerable experience and expertise in awarding and administering disposal 
contracts for PCB waste in the U.S.  The DLA has been safely returning U.S.-
manufactured items generated by U.S. forces overseas for compliant and environmentally 
sound disposal in the U.S. for many years.  For over a decade, the DLA has successfully 
returned millions of pounds of U.S.-manufactured/U.S. Government owned and controlled 
PCBs for disposal in the U.S.  Additionally, the DLA has successful experience in 
importing and disposing of approximately 2.7 million pounds of PCBs and PCB items 
pursuant to a previous exemption granted by the Administrator under TSCA Section 6, 
which covered the period April 18, 2003, to April 17, 2004.  

     If the exemption requested in this petition is granted, the DLA will award contracts for 
treatment and disposal services with commercial firms.  Contracts will be awarded in 
accordance with all applicable federal procurement statutes and the Federal Acquisition 
Regulations.   Only companies utilizing federal and/or state-permitted treatment storage, 
and disposal facilities for handling PCBs and PCB items would be eligible for such 
contracts.  

     Specifically, upon approval of this petition under TSCA Section 6, the material will be 
imported in accordance with the regulations issued under the authority of TSCA Section 
13(b), 15 U.S.C. 2612(b), and all applicable U.S. Customs regulations.  Upon arrival in 
the U.S., the material will be transported, handled, treated, and disposed of in 
conformance with the U.S. EPA regulations at 40 CFR 761.  These regulations set out 
specific treatment and disposal methods for PCBs and PCB items, depending on the type 
of item and the concentrations of PCBs in the item or liquids/fluids.  The foreign-
manufactured PCB items described herein are similar in chemical and physical 
composition to U.S.-manufactured PCBs and PCB items, and their treatment and disposal 
required by EPA regulations is the same.  Used oils will be dechlorinated and recycled 
where feasible or will be used as fuel for energy recovery.  Mixed metals and other 
materials will be treated, detoxified and recycled where feasible.  Non-recyclable 
material will be treated and disposed of as residual solid waste.  Alternative disposal 
methods could be used if approved by the Administrator.

     As noted above, the DLA and its contractors have extensive experience in safely 
returning PCBs and PCB items to the U.S. for disposal.  Prior to safely returning and 
disposing of 2.7 million pounds of PCB items under the Administrator’s previously 
granted exemption, DLA returned 2.4 million of pounds of U.S.-manufactured PCBs and 
PCB items from Japan since 1991 for compliant disposal without incident.  Throughout 
the course of this experience, DLA has used the same standards and procedures described 
above without incurring a spill or safety problems affecting human health or the 
environment.

    b.  Evaluation of long term storage risks in Japan.
    
1.	Lack of permitted PCB disposal facilities in Japan to process U.S. waste.  The DoD
intends to pursue in-country disposal when capacity comes on line and when disposal 
services can be reasonably acquired.  However, as has been noted internationally, Japan 
has insufficient disposal capacity to handle PCB decontamination and destruction.  
Reports by the United Nations Environmental Program Agency note the lack of disposal 
facilities.   The Japan Times and other Japanese media have also focused on the issue.   
In 2001, the Japanese Diet passed legislation designed to facilitate the construction of 
PCB disposal capacity, known as the “Law Concerning Special Measures Against PCB 
Waste”.   Although Japan is developing domestic capacity to dispose of PCBs, no 
commercial facilities are known to be operational at this time, and capacity is expected to 
be very limited for the next several years.   

      A precise estimate of the overall backlog of PCB waste material inventories currently 
awaiting disposal in Japan is not readily available.  Japan has banned PCB production 
since 1974.  Before that date very significant quantities of pure PCBs were produced and 
utilized in various electrical and insulating capacities.   Given the significant backlog of 
Japanese generated PCBs and given the very limited in-country disposal capacity, it is not 
likely that there will be disposal facilities available to treat and dispose of U.S. forces-
generated waste for a number of years.  By contrast, the United Nations reports 
referenced above and EPA’s web site identifying permitted PCB disposal facilities  
indicate there are a significant number of facilities in the U.S that are permitted to dispose 
of PCB wastes in a compliant manner that presents no unreasonable risk to human health 
or the environment.
2.  Limited DoD storage capacity in Japan.  Since Japan has no disposal or permitted 
storage capacity currently available to U.S. military generators, U.S. forces are required 
to accumulate PCBs on their installations pending final disposal solutions.  At the time of 
DLA’s previous petitions, DoD interior storage space in Japan was severely impacted, 
and much inside storage space that could have been devoted to more direct mission 
support was utilized to store PCBs in order to mitigate the risks as much as possible.  
Following the successful removal of 2.7 million pounds of PCBs, much of this storage 
has reverted to previous uses and now more directly supports the missions of the U.S. 
Forces in Japan (USFJ).  

     Without the benefit of an exemption from the TSCA import ban DoD’s current storage 
capacity limits will be reached and PCB waste from smaller temporary storage locations 
will eventually have to be transported over public roads to other larger storage areas until 
disposal can be effected.  In addition, non-PCB property currently in certain storage areas 
would need to be moved to allow that space to revert to PCB storage.  The PCB wastes 
and the adjoining material will be subject to increased moves and handling.  These 
factors demonstrate the risks of long term storage and show that this strategy is 
inappropriate for DoD’s management of its PCBs in Japan and supports the rationale 
behind requesting these items to be returned for compliant disposal in the U.S.  Based on 
current estimates of new PCB waste generations, some DoD facilities in Japan will reach 
existing storage capacity limits within the next year, and several more will reach capacity 
by the time the exemption being requested by this petition may be granted.   

3.  Risks of long-term storage of PCBs and PCB items increase with time.  Although 
significant progress has been made in drawing down the DoD inventory of PCBs and 
PCB items located in Japan, the continuing shortage of in-country disposal capacity does 
not allow for reductions of the remainder of the DoD foreign-manufactured PCB 
inventory.  Absent a waiver to the import ban, DoD will be dependent on long term 
storage on its foreign military installations as a means to manage its PCB waste. 

     Continued accumulation over extended time periods increase the risk of exposure to 
U.S. military personnel, to people living in and around the U.S. installations where the 
PCBs are stored, and to the environment should releases occur due to human error, or 
unforeseen severe weather, or seismic events.  In addition, storage containers will 
deteriorate with time, increasing the likelihood that personnel who must monitor such 
items and repack them if they suspect leakage are exposed to the PCBs.  Long-term 
storage may increase the DoD’s liability for clean-up costs if spills occur.  This would 
increase exposure to U.S. personnel, and local citizens, and could potentially result in 
ground and water contamination.  Each time an item is handled, another opportunity for a 
spill or exposure is created.  The storage situation is exacerbated in Japan because the 
installations where these materials are located are relatively small, storage space is at a 
premium, and the surrounding civilian communities are located in very close proximity to 
the stored PCBs.  Moreover, the situation for the DoD is further complicated because of 
the perceptions of the local communities regarding PCBs, as addressed in               
paragraph 6 (b) 4 below.
     Additionally, Japan is in an area of the world subject to severe weather and seismic 
activity.  Typhoons, earthquakes and tsunamis could flood or severely damage storage 
areas and buildings, increasing the potential for releases and increasing DoD’s liability 
for subsequent environmental clean-up or damage to human health.  PCBs and PCB 
waste items stored for an indefinite period abroad may therefore present a greater risk to 
human health and the environment than short term storage for timely disposal in the U.S.
     The EPA has previously noted the risks inherent in extended storage in its 1996 PCB 
Import for Disposal Final Rule:
“EPA believes that PCB wastes which are not disposed of for extended 
periods of time or which are not disposed of in facilities providing 
equivalent protection from release to the environment may pose an 
unreasonable risk to health and the environment.”  
     The same Rule also underscored the benefit of prompt disposal in the U.S:
“Based on the persistence of PCBs in the global environment and EPA’s 
finding that any exposure to human beings or the environment may be 
significant, EPA believes that the safe disposal of PCBs in approved 
U.S. facilities poses less risk of injury to health or the environment in the 
U.S. than the continued presence of PCBs in other countries, since 
proper disposal in this country provides protection against possible 
hazards from improper disposal elsewhere.” 
     EPA affirmed its positions regarding the risks of long term storage abroad and the 
benefits of prompt disposal in its Final Rule addressing DLA’s previous petitions.   
Moreover, this position is consistent with the position of the U.S. Government regarding 
the proper management of PCBs as expressed in multilateral arrangements and 
international conventions such as the Stockholm Convention on Persistent Organic 
Pollutants,  and in the Organization for Economic Cooperation and Development 
(OECD) Decision (C(73)1) on the “Protection of the Environment by the Control of 
PCBs, 2/13/73, and the OECD Decision (C(87)2(final)) on “Further Measures for the 
protection of the environment by control of PCBs, 2/13/87.”   Very generally stated, 
these arrangements require or recommend bans on production or new uses of PCBs and 
advocate “accelerated” disposal of PCBs and PCB items currently in use where possible.
4.  PCB disposal issues can strain U.S.-Japanese international relations.  In 1968, a tragic 
human poisoning episode in Western Japan affected over 1,000 people causing 22 
deaths.   The “Yusho” or “rice oil disease” was attributed to the consumption of rice 
bran oil contaminated with PCBs and served as a catalyst for current PCB prohibitions 
such as those imposed by TSCA,  the Stockholm Convention, and Japanese domestic 
law.  As a result of this highly publicized incident, Japanese citizens exhibit particular 
sensitivity to PCB issues.  Delicate U.S.-Japan relations over the presence and operation 
of U.S. military installations could be adversely affected by denial of this petition.  
     The presence of PCBs on U.S. military bases in Japan has in the past attracted 
significant adverse attention from Japanese politicians, the Japanese press, Japanese 
environmental groups, and local citizens.   There has been constant local surveillance of 
U.S. military PCB storage in Sagamihara and demands for inspections and sampling for 
PCBs since at least 1992, when a member of Congress released a report outlining the 
storage and presence of PCBs and other hazardous materials on U.S. bases in Japan.   
Any perception that the U.S. would return to stockpiling and long term storage of these 
materials invites unwarranted claims that the U.S. military is neglecting its environmental 
responsibilities. 

5.  Summary.  In light of the risks cited above, allowing PCB material to remain in 
storage indefinitely may lead to degradation of storage containers and releases of PCBs 
into the environment from the materials located at temporary or permanent storage 
facilities.  PCBs released into the environment as a result of disasters, accidents, 
container degradation or other events can present significant exposure risks.  This 
material is currently stored, or will need to be stored, on crowded DoD facilities in close 
proximity to where U.S. military and civilian personnel and the local community live and 
work.  Since there are no permitted PCB disposal facilities available to U.S. forces in 
Japan, and because of the unique environmental conditions in Japan, as noted above, the 
potential for PCB contamination via leaks from aging containers or accidental spills is 
higher at these locations than at EPA permitted disposal facilities in the U.S.  DoD 
civilian employees, U.S. military personnel, and contractors employed by the U.S. 
Government are at greatest risk.  
	
c.  Balancing risks and interests.  The benefits of prompt disposal of this material in the U.S. 
eliminates the risks inherent in extended long term storage of PCBs and far outweighs any 
risk associated with the DLA’s proposed course of action.  Granting this petition presents no 
unreasonable safety or health risks and will serve to mitigate the risk of injury to human 
health and the environment.  Approval of this petition will demonstrate environmentally 
responsible behavior by the U.S. and will further the U.S.’ interests by maintaining good 
international relations with a valued ally, and will significantly reduce the health risk to 
persons of both nations and to the environment in Japan. 

    Additionally, as noted above, granting this petition to allow DoD to manage its PCBs in 
an environmentally sound manner (i.e., import of DoD owned and generated items to the U.S. 
for compliant disposal) is consistent with U.S. interests and obligations, such as those 
expressed in OECD Decisions (e.g., paragraph (6) b 3 above regarding management and 
treatment of PCBs); the Basel and Stockholm Conventions; and the Toxic Substances Control 
Act itself.  This petition envisions DLA removing these items from a country where suitable 
disposal cannot currently be obtained and ensures that suitable disposal will occur in a 
manner consistent with U.S. law and regulation.  Accordingly, this application meets the 
statutory standard that “no unreasonable risk” may result from the grant of an exemption 
under the TSCA 6(e) authority.
(7)  Substitutes for Disposal in the U.S.  TSCA Section 6(e)(3)(B)(ii) requires the 
Administrator to find that “good faith efforts have been made to develop a chemical substance 
which does not present an unreasonable risk of injury to human health or the environment and 
which may be substituted for PCBs.”  To satisfy the requirement in the context of a petition to 
import, EPA looks at why such activity should occur in the U.S., including what steps the 
petitioner has taken to find an alternative to importing the PCBs for disposal.   The DLA 
submits that despite its good faith efforts to find alternatives to domestic disposal in the U.S., 
there is currently no reasonable alternative to domestic disposal.
	a.  Alternative treatment and disposal on U.S. installations in Japan.  As DLA noted in its 
previous exemption requests, there are significant impediments to disposal on DoD military 
installations in Japan.  To be properly processed, PCB materials should be separated into three 
streams: 1) metallic components to be decontaminated and recycled; 2) used oils to be 
treated/dechlorinated and recycled or burned for energy recovery; and 3) non-recyclable material 
to be treated and disposed of as residual solid wastes.  Although certain portable treatment 
technologies are becoming available in Japan, the domestic regulatory standards are very 
stringent and would require PCB decontamination levels to be less than 0.5 ppm without dilution 
to qualify an item as being “non PCB”.  Complicating the situation further is that any transfer or 
sale of property from the U.S. military installations into Japanese commerce is considered an 
“import.” of property.  Japan has banned the importation of PCBs at any detectable concentration 
including concentrations below the very stringent 0.5 ppm level at which Japan regulates 
domestic PCBs.   DLA is not aware of any available technologies that are permitted in Japan 
that would treat all PCBs items to the level that PCBs are completely removed or that could be 
acquired at a cost that is economically feasible.  Moreover, if such technology were to become 
available, it would not resolve the issue of the residual “non-recyclable” waste that would remain 
or result from the treatment process.  There are no permitted commercial disposal facilities 
currently available to the U.S. military for PCB disposal in Japan; hence, treatment outside of 
Japan would still be required for the residual wastes resulting from any “on-installation” 
treatment process. 
     Additionally, the local Japanese communities next to, or near U.S. installations would likely 
object to the construction of processing facilities.  In light of the concerns cited above, engaging 
in on-site processing activities in Japan would present significantly greater public relations 
challenges and potentially greater environmental and health risks than shipping the materials to 
existing U.S. permitted treatment and disposal facilities where the technology, infrastructure and 
expertise are available to process them properly.  Finally, DoD’s policy on the environmentally 
sound management of hazardous waste, as incorporated in bilateral agreements with the Japanese 
Ministry of the Environment (MOE),   prohibits the treatment of this material on U.S. 
government installations.  In the event that DoD reached agreement with the MOE to change the 
policy to allow treatment on U.S. installations, any proposed treatment would likely require 
permissions from other government agencies, including local prefectures.
    As noted in paragraph 6(b)1 of this petition, Japan passed laws in 2001 for the purpose of 
making the country PCB-free by 2016, and the government is promoting the construction and 
operation of new disposal facilities.  The first plant capable of PCB disposal is expected to come 
on-line in November 2005, with four more facilities to follow.  Sufficient processing capacity to 
dispose of DoD generated PCB wastes in Japan is not likely in the foreseeable future.  In 
addition, other factors preclude in-country disposal as a viable alternative for DoD in the near 
term because local community resistance is expected and because the original intent of the 2001 
Japanese environmental laws was to promote construction of facilities to process Japan’s 
domestic wastes.  Japanese companies currently do not have other viable alternatives for PCB 
disposal.  Accordingly, PCBs located on U.S. installations were not even considered in the 
planning factors for designing disposal capacity to ensure Japan could be PCB-free by 2016.  
The DoD continues to pursue potential access to future Japanese disposal capacity with the 
MOE; however, since the sufficient disposal capacity is not currently available to the Japanese 
commercial sector, DLA does not anticipate getting access to in-country facilities prior to the 
expiration of any exemption that may be granted pursuant to this request, the timing of which is 
intended to ensure USFJ does not experience significant storage impacts (i.e., exceed existing 
capacity).   Finally, there is the issue of cost of disposal in Japan.  The cost of commercial PCB 
disposal in Japan appears to be many times greater than the cost of returning this waste for 
disposal in the U.S.  Even if the international relations concerns and capacity concerns with 
respect to in-country disposal were to be resolved, it would be very difficult to justify payment of 
higher prices to foreign companies with limited capacity when the cost is lower in the U.S. and 
capacity is ample.  The DoD currently has contracts with U.S. waste disposal companies with a 
history of safely and efficiently processing PCBs.   
    b.  Feasibility of third country disposal.  The lack of suitable alternatives for disposal of PCBs 
generated by U.S. defense activities overseas is an ongoing concern and was explored in a 1999 
DoD report to Congress.   Since PCBs are covered by the Basel Convention on the 
Transboundary Movement of Hazardous Wastes and Their Disposal (hereafter “Basel 
Convention”), the DLA contractor hired to arrange disposal was required to comply with the 
cooperation notices and consent regime required under that convention. 
     Prior to submitting its previous request to EPA for an exemption from the TSCA PCB import 
ban, DLA and its primary disposal contractor made contacts over a period of several years with 
Japanese officials and with disposal facilities located outside the U.S. in an effort to identify 
firms that could dispose of waste PCB items overseas while satisfying Basel Convention 
requirements.  The DoD also consulted with State Department officials in Japan and the U.S. 
whose responsibilities included international environmental matters.  These consultations 
resulted in a consensus that use of existing facilities in other developed countries was not a 
reasonable alternative.  Even if other countries would accept these wastes, non-governmental 
organizations could be expected to oppose disposal of its U.S. waste in third countries, 
principally because the U.S. already has the technical capability to dispose of PCBs.  
     Discussions held with USFJ personnel prior to submitting this petition suggest that it is 
unlikely there will be disposal capacity available to the U.S. within Japan in the near term.  In 
addition, the previous TSCA exemption appears to have affirmed the perspective of Government 
of Japan (GoJ) officials that the U.S. Government should dispose of U.S.-generated PCBs in the 
U.S.  USFJ officials have pursued the viability of third country disposal with their Japanese 
counterparts.  The MOE clearly pointed out that Article 4 paragraph 5 of the Basel Convention 
prohibits export and import of hazardous wastes between a Party and non-Party and that any 
PCB disposal that may take place “would be a matter between the U.S. and the third country.”  
They went on to say “they believe it (i.e., third country disposal) would be against the spirit of 
the Basel Convention.”   This is a clear indication that the MOE position (i.e., of declining to 
act as the exporting country under the Basel Convention for wastes not generated by Japanese) 
will not change and therefore the DoD will not be able to obtain Japan’s consent to act as an 
“exporting country” under the Basel Convention.  
     The DLA’s attempts to locate appropriate disposal sites outside the U.S. demonstrate its good 
faith efforts to pursue alternatives for disposal within the U.S. and fulfill the requirements of 
TSCA 6(e)(3)(B).    USFJ officials will continue to explore the potential that Japanese PCB 
disposal capacity may become available to the U.S. at some time in the future.  Should such 
disposal capacity become available its use will be seriously considered.
(8)  Economic consequences if petition is denied.  The broad economic consequences of 
denying this petition are not readily susceptible to objective quantification.  For example, there is 
no reliable way to assess the potential economic consequences to the U.S. stemming from 
potential international criticism or non-cooperation that may result from a U.S. decision not to 
import PCB waste for disposal, waste that the U.S. itself generated at its military activities 
overseas.  Similarly, it is difficult to estimate the economic consequences of continued long term 
storage of the material in Japan along with the attendant exposure risks to U.S. personnel and the 
risk of release to the local environment, a risk that increases over time.  These potential 
consequences, while difficult to quantify, are of potentially greater magnitude than the direct 
costs of continued storage in Japan.  
(9)  Conclusion:  The U.S. Armed Forces are an indispensable and highly visible instrument of 
U.S. foreign policy.  Through our military presence overseas, the U.S. exerts influence on the 
global community.  This influence is manifested in our approach to security arrangements, 
alliances, and international arrangements ranging from the non-proliferation of weapons of mass 
destruction to trade and the environment.  However, this presence overseas unavoidably results 
in the generation of wastes, some of it hazardous, and some of it related to PCBs manufactured 
before their hazards were recognized or their distribution banned.  
     This exemption meets the statutory requirement for relief under Section 6(e)(3) of the TSCA.  
The treatment and disposal facilities that DLA will utilize if this request is granted are compliant 
with U.S. law, and the import proposed would not result in an unreasonable risk of injury to 
health or the environment.  Granting this petition would eliminate the risks inherent in continued 
storage of this material in Japan and will avoid exposing the U.S. to international criticism for 
not disposing of its own PCB waste.  Additionally, the DLA has made reasonable efforts to 
locate appropriate disposal sites outside the U.S. as a substitute to making this request.
     For all the foregoing reasons, the DLA respectfully requests that the Administrator grant the 
proposed exemption.

		

					     KEITH W. LIPPERT				
					     Vice Admiral, SC, USN 				
					      Director 

  The Defense Logistics Agency is the DoD component that provides supplies and services to America’s military 
forces in 48 states and 28 foreign countries.  The DLA manages more than 5.2 million consumable items and 
processes 54,000 requisitions per day.  DLA supports 124 nations with sales that are expected to total more than 31 
billion dollars annually in FY 2005.  When the military no longer needs an item, the DLA arranges for its 
reutilization or ultimate disposition through the Defense Reutilization and Marketing Service (DRMS), a DLA field 
activity.
  For purposes of this petition, DLA’s estimates of waste quantities generated are based on CY 2007 being the 
approximate effective period of any exemption granted.  Actual generations may be adjusted lower or higher 
depending on the actual exemption period.
  In a meeting at Yokota Air Base March 1-2, 2005, representatives of the U.S. installations generating PCBs in 
Japan determined that the PCBs generated in the 12 month period from February 2004 are representative of annual 
generations expected to continue at least through 2008.
  In Japan, as in the U.S., imported PCBs are regulated differently from domestic PCBs.  Under the Law Concerning 
the Examination and Regulation on Manufacture of Chemical Substances, and related Japanese legislation, use and 
distribution of material containing PCBs above 0.5 ppm is strictly regulated and new production banned.  However, 
DRMS personnel have been advised by officials at the Japan Ministry of Environment that “no” material containing 
“any levels” of PCBs may be recycled, sold or otherwise transferred into the Japanese economy because such 
transfers would be considered imports, as are other transfers of property from U.S. Government control to private 
Japanese parties.  Furthermore, an Import Response from the Government of Japan published under the Rotterdam 
Convention of Prior Consent  indicates that no PCBs may be imported without permission from the Minister of 
International Trade and Industry (MITI) and that no such permissions have been granted (Rotterdam Convention on 
Prior Informed Consent (PIC)) Import Responses, as of July 2004, (CAS number 1336-36-3).
  See attachment 1 for characterization of waste streams by type of material and PCB concentration.  
  68 Fed. Reg. 4938.
  DLA Directive 4145.41/Army Regulation 700-143/Air Force Joint Instruction 24-201/Navy Supply Instruction 
4040.55/Marine Corps Order 4030.40A.
  The DLA has an existing PCB disposal contract that is used for disposal of PCBs returned from overseas.  The 
contract is held by Clean Harbors, of Coffeyville, Kansas.  In addition to the PCB transformer 
decontaminating/decommissioning performed at that site, other Clean Harbors facilities are EPA permitted to 
perform chemical dechlorination, chemical waste landfilling and incineration.  However, that contract will expire at 
the end of FY 2005, and a new contract(s) will need to be awarded to handle any imported PCBs authorized as a 
result of any exemption granted pursuant to this petition.
  United Nations Environmental Programme (UNEP), August 2000, “Survey of Currently Available Non-
Incineration PCB Destruction Technologies,” Annex.2.
  Cabinet Set to Approve Two Bills on PCB Disposal, February 22, 2001, Japan Times, available at 
http://www.japantimes.co.jp/contact.htm.  The article explains that once the Diet approves construction of facilities 
under this bill, it would be another five to ten years before facilities are able to operate and take care of the backlog 
of items for disposal.
  Effective date July 15, 2001 English translation from Japan Environmental Safety Corporation (JESCO) website.  
The JESCO (formerly known as JEC) is the quasi-governmental organization charged with the construction and 
operation of PCB disposal facilities as mandated by law.  The law requires the central government to develop a 
framework to develop capacity to dispose or consign disposal of current PCB inventories by 2016.  Under the law, 
prefectures establish plans under the national framework and waste holders report PCB storage and disposal at the 
prefectural level, consigning disposal in accordance with their plans.  An overview of the law can be found at 
www.jesconet.co.jp/eg/pcblaw.htm.  An overview of the domestic PCB waste treatment program can be found at 
www.jesconet.co.jp/eg/pcb.htm.
  ib.  See also, footnote 13.
  See PCB Treatment in Japan, International Business Strategies, January 2002.  Based on a report and survey by 
Japan’s Ministry of Health, Labor and Welfare (MHLW) in 1998, approximately 54,000 tons of PCBs were 
consumed domestically prior to the 1974 ban.  This is absolute weight of pure PCBs.  This volume of PCBs will 
yield considerably greater volumes of PCB items or material contaminated by PCBs.  The same report notes that 
there is currently approximately 126,000 tons of PCB contaminated insulation oil in storage in Japan.  Manufactured 
PCBs used in heat conducting insulation oil, for example, accounted for considerably less PCB production (8585 
tons) than did electrical power equipment uses (approx 37,156 tons).  While reliable data on the stockpile of PCB 
contaminated fluids and material (by weight) is not readily available, the MHLW report listed the following 
stockpiles:  high voltage transformers/condensers, 390,000 units in use or storage; low voltage 
transformers/condensers, 712,000 units; PCB bearing waste pressure sensitive paper, 27 tons; PCB waste, 778 
kilolitres; waste polluted materials, 6300 tons; pole mounted transformers, 4,026,000 units.
  www.epa.gov/opptintr/pcb/stordisp.html.
  DLA has submitted this request in anticipation of an exemption period that would allow removal of the maximum 
amount of PCB material without exceeding DoD’s existing overall storage capacity in the country.  (Please see 
Attachment 2, table, “Storage Impacts”.
  This situation results in DoD repeatedly being unable to comply with its own internal guidance and Final 
Governing Standards agreed to in bilateral arrangements with Japan  (see, Department of Defense, 2001, Japan 
Environmental Governing Standards,  Version 1.1, revised June 2002, hereafter “JEGS”) as negotiated in 
accordance with the U.S./Japan “Status of Forces Agreement,” entry into force, Jan. 19, 1960, and DoD’s “Overseas 
Environmental Baseline Guidance Document,” DoDD 4715.5-G, March 2000.   Generally speaking, the JEGS 
require compliance with host nation or U.S. environmental requirements, “whichever is more stringent.”  The lack 
of  “in country” or “third country” disposal options combined with the impact of the TSCA ban on PCB imports 
often results in DoD having to store PCBs in Japan for periods longer than would be allowable under U.S. law.  
Also, the JEGs incorporate a bilateral agreement that the U.S. will dispose of its PCBs (except GoJ provided 
equipment) outside of Japan, JEGS 14-3.5b.
  [Federal Register (Fed Reg.):  March 18, 1996 (Volume 61, Number 53)][Rules and Regulations] [Page 11099]
  ib.
  68 Fed. Reg. 4937
  The U.S. has signed, but not ratified this convention.  Under Article 18 of the Vienna Convention on the Law of 
Treaties, signatories to treaties are expected not to take actions to “frustrate” the purpose of the Treaty.  In any event, 
the current U.S. administration has indicated it supports the goals of the Stockholm Convention. 
  With this decision OECD member countries, including the U.S., committed themselves to ban virtually all new 
uses for PCBs, and recommended that members “accelerate” the phasing out of PCBs from existing uses, control 
PCBs in existing products, articles or equipment, and ensure appropriate disposal methods for wastes containing 
PCBs.”
  See Michel Mercier & Morrell Draper, Chemical Safety:  The International Outlook, World Health Organization 
(1994); Leonard T. Flynn, Ph.D., M.B.A. & Cindy F. Klein\man, M.P.H., Public Health Concerns about 
Polychlorinated Biphenyl’s (PCBs), Ecotoxicology and Environmental Safety 38, 71-84 (1997).
  ib.
  See, Defense Agency will Inspect PCB Storage, The Yomiuri Shimbun (Tokyo), Aug. 20, 2000, at 2;  Pollution at 
Okinawa Bases Cannot be left Uncorrected, Asahi Shimbun Jan 14, 1999;  David Armstrong, U.S. Presence on 
Foreign Soil is Tainted, Boston Globe, Nov. 15, 1999; Danielle Knight, Environment:  Asian Women Demand 
Cleanup of U.S. Military Bases, Inter Press Service, Oct. 16, 1998; Probe Fails to Confirm Source of Pollutant at 
Kadena Air Base, Kyodo News Service, Sept. 28, 1998; High Level of PCB Detected in Okinawa, Jiji Press Ticker 
Service, Feb. 21, 1997; Toxic PCB Detected at Ex-U.S. Facility, Jiji Press Ticker Service, Oct. 2, 1996.
  See, MOFA, Environment agency to Investigate Base PCB Dumping, Ryuku Shimpo, Aug. 19, 1998; Editorial: 
Probe Pollution at U.S. Bases, Ryuku Shimpo, Aug. 18, 1998; U.S. Base Pollution, Ryuku Shimpo, Aug. 28, 1998; 
U.S. Rejects Request for PCB Test at Kadena, Japan Economic Newswire, No. 25, 1998.  The DLA has also 
received several requests for information under the Freedom of Information Act from members of the Sagamihara 
City Council seeking copies of delivery orders and other documentation of hazardous materials containing PCBs at 
the Sagami Depot.
  68 Fed. Reg. 4936, statement regarding the applicable test from the EPA Final Rule granting DLA’s earlier 
petitions requesting an exemption to import PCBs from U.S. installations in Wake Island and Japan for disposal.
  See footnote 3, above.
  Even if such facilities become available in the future, the United States Government would still need to enter 
bilateral arrangements with Japan permitting the U.S. to “import” PCBs into Japan.  For many reasons, not the least 
of which is the disparity between the PCB disposal capacities of our two nations, it seems unlikely the U.S. would 
be able to obtain such permission in the next five years.
  See footnote 15.  The JEGS currently prohibit treatment on USFJ installations.  
  USFJ and DoD officials work closely with Japanese Ministry of Environment (MOE) officials on environmental 
matters pertaining to U.S. forces there and participate in an Environmental Steering Committee, and the PCB 
Technical Working Group (PCB TWG).  The GoJ takes the position that U.S. generated PCBs should be disposed of 
at U.S. facilities and that the limited disposal capacity being developed in Japan was intended only to meet Japanese 
requirements according to the commitments the GoJ has made in its 2001 law (enacted for the purpose of disposing 
of domestic Japanese PCBs by 2016). See, for example, Environmental Subcommittee, PCB Technical Working 
Group, Minutes of Second Meeting, Oct. 25, 2002.  Like other documents from the PCB TWG, this is a bilateral 
U.S./GoJ document for official use only and not available for release outside the USFJ and GoJ MOE, unless the 
consent of the MOE is obtained.  Requests to the Japanese MOE through USFJ may be made by contacting the 
DLA-P LNO, Maj. Mike Ercolano, DSN: 312-225-2475; cell phone number 090-6861-4245; email:  
Michael.Ercolano@usfj.mil.
  The commercial price list JESCO provides to its Japanese customers contains disposal rates that appear to be 
many times greater than disposal rates in the U.S. and significantly higher than DoD’s costs for domestic disposal 
even when ocean transportation is factored in.  For example, the JESCO 2005 price list offers 1810 yen/kg for light 
ballasts, equating to approximately $8.00/lb; 422,000 yen per 10-15 kg transformers which equates to approximately 
$4,200.00 for an average sized 33 lb. transformer (not including the costs of in-country transportation to the disposal 
facility).  By contrast, DRMS’ PCB disposal prices average about $0.40/lb., not including ocean or domestic 
transportation costs. 
   The National Defense Authorization Act for Fiscal Year 1999, section 324, directed the Secretary of Defense to 
submit a report to the Congress regarding foreign manufactured PCB waste under control overseas.  The EPA 
concurred in its release, noting that it looked forward to working with DoD to ensure all PCB wastes are handled in 
an environmentally sound manner.  The report stated in pertinent part:

                     “Shrinking access to adequate disposal facilities overseas is an impediment
                     to the environmentally sound disposal of foreign-manufactured PCB wastes. 
                     Most of the facilities that can dispose of PCBs in accordance with DLA 
                     standards are located in Europe or North America.  Over the past several 
                     years, the European Union (EU) member States have been revising their 
                     waste policies to restrict transboundary movements of hazardous waste.  
                     Currently, EU law prohibits imports into the EU of waste for disposal,
                     except for parties to the Basel Convention.  However, Basel parties 
                     wishing to export waste into the EU for final disposal must obtain prior 
                     approval from the importing country and must affirmatively show that 
                     they do not have and cannot acquire facilities to dispose of the waste 
                     in an environmentally sound manner domestically.  It is not easy to 
                     obtain the cooperation of both the importing and exporting countries 
                     and the approval process is very time consuming.” 

(Report to Congress, Foreign Manufactured PCBs at U.S. Military Installations Overseas, page 15, March 1999).
  Since that time two more international conventions addressing international trade or controls in toxic chemicals 
have come into effect: the Stockholm Convention on Persistent Organic Pollutants (POPS), entry into force on May 
17, 2004, and the Rotterdam Convention on Prior Informed Consent, (PIC), entry into force, June 2004.  Like the 
Basel Convention, the U.S. has signed, but not ratified, these conventions.  
  Ministry of the Environment Government of Japan Memorandum for U.S. Forces Japan dated June 20, 2005.  
Subject: Basel Notification for PCB Disposal
  This issue has been pursued repeatedly in discussions between the two governments, and has been subject to 
discussions within the Environmental Steering Committee and other environmental and diplomatic channels.  The 
latest of these, a formal written USFJ request to the MOE on May 18, 2005, has not yielded positive results. 
  In addition to DLA’s efforts, it should be noted that the Department of Defense has consistently sought to obtain 
relief from the situation DLA faces when trying to obtain disposal resources overseas in host nations without 
sufficient capacity.  DoD’s 1999 Report to Congress (i.e., see footnote 32) requested legislation to amend the TSCA 
import ban, to allow the U.S. to import PCBs for disposal in the U.S., and requested legislation to implement the 
Basel Convention.  DoD has not obtained this legislative relief.

Attachments

 
 
 
 

12
June 2005
Defense Logistics Agency
Request for Exemption under Sec. 6(e)(3)(B) of the Toxic Substances Control Act
June 2005 
Defense Logistics Agency
Request for Exemption under Sec.6(e)(3)(B) of the Toxic Substances Control Act