Document ID: EPA-R03-OAR-2008-0603-0005
Agency: epa
Document Type: Proposed Rule
Title: Air Quality Implementation Plans; Approval and Promulgation: Pennsylvania; Philadelphia County Reasonably Available Control Technology under the 1997 8-Hour Ozone National Ambient Air Quality Standard; Withdrawal and New Issuance
Posted Date: 2013-06-19T04:00Z

[Federal Register Volume 78, Number 118 (Wednesday, June 19, 2013)]
[Proposed Rules]
[Pages 36716-36723]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-14519]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R03-OAR-2008-0603; FRL-9824-6]

Approval and Promulgation of Air Quality Implementation Plans; 
Pennsylvania; Philadelphia County Reasonably Available Control 
Technology Under the 1997 8-Hour Ozone National Ambient Air Quality 
Standard; Withdrawal and New Issuance

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule; withdrawal and new issuance.

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

SUMMARY: On August 26, 2008, EPA published a proposed rule to approve a 
revision to the Commonwealth of Pennsylvania (Pennsylvania) State 
Implementation Plan (SIP) submitted by the Pennsylvania Department of 
Environmental Protection (PADEP) on behalf of Philadelphia Air 
Management Services (AMS). The SIP revision, submitted to EPA on 
September 29, 2006 (the 2006 SIP revision), consists of a demonstration 
that Philadelphia County is meeting the requirements of reasonably 
available control technology (RACT) of the Clean Air Act (CAA) for 
nitrogen oxides (NOX) and volatile organic compounds (VOC) 
under the 1997 8-hour ozone national ambient air quality standard 
(NAAQS). EPA has determined that it cannot proceed with the final 
approval of the 2006 SIP revision. In light of the decision of the 
United States Court of Appeals for the District of Columbia (the Court) 
regarding EPA's Phase 2 Ozone Implementation Rule, EPA cannot approve 
that compliance with a cap-and-trade program satisfies the 
NOX RACT requirement for electric generating units (EGUs) in 
Philadelphia County, as presumed in the 2006 SIP revision. In addition, 
upon further review, EPA has determined that the 2006 SIP revision does 
not adequately address the RACT requirements under the 1997 8-hour 
ozone NAAQS for the major sources of VOC and NOX for which 
EPA has previously approved source-specific RACT determinations under 
the 1-hour ozone NAAQS. Therefore, EPA is withdrawing its August 26, 
2008 proposed rule to

[[Page 36717]]

approve Philadelphia County's 1997 8-hour RACT demonstration. On June 
22, 2010, PADEP submitted another SIP revision (the 2010 SIP revision) 
that consists of AMS regulations to address specific RACT requirements 
for Philadelphia County. EPA is proposing conditional approval of 
Philadelphia County 1997 8-hour ozone RACT demonstration provided in 
the 2006 and 2010 SIP revisions, based upon AMS' commitment to submit 
additional SIP revisions addressing source-specific RACT controls for 
major sources of VOC and NOX in Philadelphia County. This 
proposed action and the withdrawal action are being taken under the 
Clean Air Act (CAA).

DATES: The proposed rule published on August 26, 2008 (73 FR 50270) is 
withdrawn as of July 19, 2013. Written comments on EPA's proposed 
conditional approval action must be received on or before July 19, 
2013.

ADDRESSES: Submit your comments, identified by Docket ID Number EPA-
R03-OAR-2008-0603 by one of the following methods:
    A. www.regulations.gov. Follow the on-line instructions for 
submitting comments.
    B. Email: fernandez.cristina@epa.gov.
    C. Mail: EPA-R03-OAR-2008-0603, Cristina Fernandez, Associate 
Director, Office of Air Program Planning, Mailcode 3AP30, U.S. 
Environmental Protection Agency, Region III, 1650 Arch Street, 
Philadelphia, Pennsylvania 19103.
    D. Hand Delivery: At the previously-listed EPA Region III address. 
Such deliveries are only accepted during the Docket's normal hours of 
operation, and special arrangements should be made for deliveries of 
boxed information.
    Instructions: Direct your comments to Docket ID No. EPA-R03-OAR-
2008-0603. EPA's policy is that all comments received will be included 
in the public docket without change, and may be made available online 
at www.regulations.gov, including any personal information provided, 
unless the comment includes information claimed to be Confidential 
Business Information (CBI) or other information whose disclosure is 
restricted by statute. Do not submit information that you consider to 
be CBI or otherwise protected through www.regulations.gov or email. The 
www.regulations.gov Web site is an ``anonymous access'' system, which 
means EPA will not know your identity or contact information unless you 
provide it in the body of your comment. If you send an email comment 
directly to EPA without going through www.regulations.gov, your email 
address will be automatically captured and included as part of the 
comment that is placed in the public docket and made available on the 
Internet. If you submit an electronic comment, EPA recommends that you 
include your name and other contact information in the body of your 
comment and with any disk or CD-ROM you submit. If EPA cannot read your 
comment due to technical difficulties and cannot contact you for 
clarification, EPA may not be able to consider your comment. Electronic 
files should avoid the use of special characters, any form of 
encryption, and be free of any defects or viruses.
    Docket: All documents in the electronic docket are listed in the 
www.regulations.gov index. Although listed in the index, some 
information is not publicly available, i.e., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, is not placed on the Internet and will be 
publicly available only in hard copy form. Publicly available docket 
materials are available either electronically in www.regulations.gov or 
in hard copy during normal business hours at the Air Protection 
Division, U.S. Environmental Protection Agency, Region III, 1650 Arch 
Street, Philadelphia, Pennsylvania 19103. Copies of the State submittal 
are available at the Department of Public Health, Air Management 
Services, 321 University Avenue, Philadelphia, Pennsylvania 19104. 
Copies are also available at Pennsylvania Department of Environmental 
Protection, Bureau of Air Quality Control, P.O. Box 8468, 400 Market 
Street, Harrisburg, Pennsylvania 17105.

FOR FURTHER INFORMATION CONTACT: Emlyn V[eacute]lez-Rosa, (215) 814-
2038, or by email at velez-rosa.emlyn@epa.gov.

SUPPLEMENTARY INFORMATION: On September 29, 2006, and on June 22, 2010, 
PADEP submitted on behalf of AMS two SIP revisions for Philadelphia 
County addressing the requirements of RACT under the 1997 8-hour ozone 
NAAQS.

I. Background

    Ozone is formed in the atmosphere by photochemical reactions 
between VOC, NOX, and carbon monoxide (CO) in the presence 
of sunlight. In order to reduce ozone concentrations in the ambient 
air, the CAA requires all nonattainment areas to apply controls on VOC 
and NOX emission sources to achieve emission reductions. 
Among effective control measures, RACT controls are a major group for 
reducing VOC and NOx emissions from stationary sources.
    Since the 1970's, EPA has consistently interpreted RACT to mean the 
lowest emission limit that a particular source is capable of meeting by 
the application of the control technology that is reasonably available 
considering technological and economic feasibility (See 72 FR 20586 at 
20610, April 25, 2007). Section 172(c)(1) of the CAA provides that SIPs 
for nonattainment areas must include reasonably available control 
measures (RACM) for attainment of the NAAQS, including emissions 
reductions from existing sources through adoption of RACT. Section 
182(a)(2)(A) of the CAA referred to as RACT fix-up requires the 
correction of RACT rules for which EPA identified deficiencies before 
the CAA was amended in 1990. Philadelphia County has no deficiencies to 
correct under this section of the CAA.
    Section 182(b)(2) and (f) of the CAA requires that moderate (or 
worse) ozone nonattainment areas, as well as marginal and attainment 
areas in the ozone transport region (OTR) established pursuant to 
section 184 of the CAA, implement RACT controls on all major VOC and 
NOx emission sources (point sources) and on all sources and source 
categories covered by a control technique guideline (CTG) issued by 
EPA. A major source in a nonattainment area is defined as any 
stationary source that emits or has the potential to emit NOx and VOC 
emissions above a certain applicability threshold that is based on the 
ozone nonattainment classification of the area: marginal, moderate, 
serious, or severe. (See ``major stationary source'' in 40 CFR 51.165).
    Philadelphia County was designated under the 1-hour ozone NAAQS as 
part of the Philadelphia-Wilmington-Trenton severe ozone nonattainment 
area. See 56 FR 56694, at 56822 (November 6, 1991). The entire 
Commonwealth of Pennsylvania is also part of the OTR established under 
section 184 of the CAA. Therefore, Philadelphia County was subject to 
the CAA RACT requirements under the 1-hour ozone NAAQS. As a result, 
PADEP and AMS implemented numerous RACT controls applicable in 
Philadelphia County to meet the RACT requirements.
    On July 18, 1997 (62 FR 38856), EPA promulgated an 8-hour ozone 
NAAQS. On April 30, 2004, Philadelphia County was designated under the 
1997 8-hour ozone NAAQS as part of the Philadelphia-Wilmington-Atlantic 
City moderate ozone nonattainment area. See 69 FR 23858, at 23931 
(April 30, 2004). Therefore, PADEP is required to submit to EPA, on 
behalf of AMS, a SIP revision

[[Page 36718]]

that addresses how Philadelphia County meets the RACT requirements 
under the 1997 8-hour ozone standard. Implementation of RACT controls 
is required in Philadelphia County for each category of VOC sources 
covered by a CTG document issued by EPA and all other major stationary 
sources of NOX and VOC.
    On November 29, 2005 (70 FR 71612), EPA published an ozone 
implementation rule to address nonattainment SIP requirements for the 
1997 8-hour ozone NAAQS (the Phase 2 Ozone Implementation Rule). This 
rule addressed various statutory requirements, including the 
requirement for RACT level controls for sources located within 
nonattainment areas generally, and controls for NOX 
emissions from EGUs in particular. In the Phase 2 Ozone Implementation 
Rule, EPA specifically required that states meet the RACT requirements 
under the 1997 8-hour ozone NAAQS, either through a certification that 
previously adopted RACT controls in their SIP revisions approved by EPA 
under the 1-hour ozone NAAQS continue to represent adequate RACT 
control levels for 8-hour attainment purposes, or through the adoption 
of new or more stringent regulations that represent RACT control 
levels. See 70 FR 71655 (November 29, 2005).
    As set forth in the preamble to the Phase 2 Ozone Implementation 
Rule, a certification must be accompanied by appropriate supporting 
information such as consideration of information received during the 
public comment period and consideration of new data. This information 
may supplement existing RACT guidance documents that were developed for 
the 1-hour standard, such that the state's SIP accurately reflects RACT 
for the 1997 8-hour ozone standard based on the current availability of 
technically and economically feasible controls. Adoption of new RACT 
regulations will occur when states have new stationary sources not 
covered by existing RACT regulations, or when new data or technical 
information indicates that a previously adopted RACT measure does not 
represent a newly available RACT control level. Another 1997 8-hour 
ozone NAAQS requirement for RACT is to submit a negative declaration if 
there are no CTG major sources of VOC and NOX emissions 
within the nonattainment area in lieu of or in addition to a 
certification.
    For addressing interstate transport of ozone pollution, EPA 
determined in the Phase 2 Ozone Implementation Rule that the regional 
NOX emissions reductions that result from either the 
NOX SIP Call or the Clean Air Interstate Rule (CAIR) would 
meet the NOX RACT requirement for EGUs located in states 
included within the respective geographic regions. Thus, EPA concluded 
that the states need not perform a NOX RACT analysis for 
sources subject to the state's emission cap-and-trade program where the 
cap-and-trade program has been adopted by the state and approved by EPA 
as meeting the NOX SIP Call requirements or, in states 
achieving the CAIR reductions solely from EGUs, the CAIR NOX 
requirements.
    In November 2008, several parties challenged EPA's Phase 2 Ozone 
Implementation Rule. In particular, EPA's determination that compliance 
with the NOX SIP Call could satisfy NOX RACT 
requirements for EGUs in nonattainment areas was challenged. As a 
result of this litigation, the Court decided that the provisions in the 
Phase 2 Ozone Implementation Rule providing that a state need not 
perform (or submit) a NOX RACT analysis for EGU sources 
subject to a cap-and-trade program in accordance with the 
NOX SIP Call were inconsistent with the statutory 
requirements of section 172(c)(1) of the CAA. Because regionwide RACT-
level reductions in emissions do not meet the statutory requirement 
that the reductions be from sources in the nonattainment area, the 
Court found that EPA has not shown that compliance with the 
NOX SIP Call will result in at least RACT-level reductions 
in emissions from sources within each nonattainment area. See NRDC v. 
EPA, 571 F.3d 1245 (D.C. Cir. 2009).

II. EPA's Rationale for Withdrawal of Proposed Approval and Proposal of 
Conditional Approval

    On September 29, 2006, PADEP submitted on behalf of AMS a SIP 
revision for Philadelphia County to meet the RACT requirements for the 
1997 8-hour ozone NAAQS. The 2006 SIP revision consists of a 
demonstration that Philadelphia County has met the RACT requirements 
for NOX and VOC, and includes: (1) A certification that 
previously adopted RACT controls in Pennsylvania's SIP that were 
approved by EPA for Philadelphia County under the 1-hour ozone NAAQS 
are based on the currently available technically and economically 
feasible controls, and continue to represent RACT for the 8-hour 
implementation purposes; (2) the adoption of federally enforceable 
permits that represent RACT control levels for four major VOC sources; 
and (3) a negative declaration that certain VOC sources do not exist in 
Philadelphia County.
    On August 26, 2008 (73 FR 50270), EPA published a notice of 
proposed rulemaking (NPR) proposing approval of the 2006 SIP revision. 
However, the 2006 SIP revision relies on the NOX SIP Call to 
meet the NOX RACT requirements for EGUs. In light of the 
Court decision regarding the Phase 2 Ozone Implementation Rule, EPA has 
determined it cannot approve the presumption in the 2006 SIP submittal 
that the NOX SIP Call constitutes RACT for EGU sources in 
Philadelphia County. Thus, AMS needs to perform a NOX RACT 
analysis for sources that in the 2006 SIP revision relied on the 
NOX SIP Call to satisfy Philadelphia County's NOX 
RACT requirements.
    Upon further review, EPA also determined that the 2006 SIP revision 
does not specifically and sufficiently address if the source-specific 
RACT controls for 46 major sources in Philadelphia County that were 
previously approved in the SIP under the 1-hour ozone NAAQS continue to 
represent RACT under the 1997 8-hour ozone NAAQS. Therefore, to satisfy 
the major source RACT requirement for the 1997 8-hour ozone NAAQS, AMS 
needs to either: (1) Provide a certification that previously adopted 
source-specific RACT controls approved by EPA in Pennsylvania's SIP 
under the 1-hour ozone NAAQS for major sources in Philadelphia County 
(as listed in 40 CFR 52.2020(d)(1)) continue to adequately represent 
RACT for the 1997 8-hour ozone NAAQS, or (2) perform a source-specific 
RACT analysis for each source which controls are not currently 
adequately representing RACT under the 1997 8-hour ozone standard.
    On June 22, 2010, PADEP submitted another SIP revision addressing 
Philadelphia County's RACT requirements under the 1997 8-hour ozone 
standard. The 2010 SIP revision consists of: (1) The adoption of two 
regulations to meet CTG RACT requirements, and (2) a negative 
declaration for a CTG source category.
    Since the 2006 SIP revision relies on the NOX SIP Call 
to meet the NOX RACT requirements for EGUs and it does not 
specifically and sufficiently address the source-specific RACT 
determinations for 46 major sources that were previously approved under 
the 1-hour ozone standard, EPA has determined that it cannot proceed 
with the final approval of this SIP revision. Therefore, EPA is 
withdrawing its August 26, 2008 proposed rule (73 FR 50270) to approve 
the 2006 SIP revision.
    Nevertheless, in this rulemaking action, EPA is proposing 
conditional approval of Philadelphia County's 1997 8-hour ozone RACT 
demonstration

[[Page 36719]]

provided in the 2006 and 2010 SIP revisions, based upon a commitment 
from AMS to submit additional SIP revisions to provide source-specific 
RACT determinations for certain major sources of VOC and NOX 
in Philadelphia County, and a certification that previously adopted 
source-specific RACT controls approved by EPA in the Pennsylvania's SIP 
under the 1-hour ozone NAAQS for the remaining sources in Philadelphia 
County (as listed in 40 CFR 52.2020(d)(1)) continue to adequately 
represent RACT for the 1997 8-hour ozone NAAQS. Pursuant to section 
110(k)(4) of the CAA, on April 26, 2013, PADEP submitted on behalf of 
AMS a letter committing to submit SIP revisions to address source-
specific RACT controls under the 1997 8-hour ozone standard for 
Philadelphia County.

III. Summary of SIP Revisions

A. CTG RACT Controls and Negative Declarations

    In the 2006 SIP revision, in lieu of adopting regulations to 
address VOC CTG RACT requirements, Federally-enforceable permits were 
included for the following four major VOC sources in Philadelphia 
County: (1) Philadelphia Gas Works--Richmond Station, (2) Philadelphia 
Energy Solutions Refinery (formerly Sunoco Philadelphia Refinery), (3) 
Aker Philadelphia Shipyard, and (4) Sunoco Chemicals. In Section 4 of 
the 2006 SIP revision, AMS certified that these permits established 
RACT controls that are as stringent as EPA's presumptive RACT provided 
in the applicable CTG documents for the specific source categories. 
Table 1 identifies the four major VOC sources and the applicable CTG 
RACT requirements covered by these permits.

         Table 1--Affected VOC Sources and CTG RACT Requirements
------------------------------------------------------------------------
                                               Affected sources in
               RACT basis                      Philadelphia County
------------------------------------------------------------------------
CTG: Control of Volatile Organic         --Philadelphia Gas Works--
 Equipment Leaks from Natural Gas/        Richmond Station.
 Gasoline Processing Plants, EPA-450/2-  --Philadelphia Energy Solutions
 83-007, December 1983.                   Refinery (formerly Sunoco
                                          Philadelphia Refinery).
CTG: Control Techniques Guidelines for   --Aker Philadelphia Shipyard.
 Shipbuilding and Ship Repair
 Operations (Surface Coating), 61 FR
 44050, August 27, 1996.
ACT: Surface Coating Operations at
 Shipbuilding and Ship Repair
 Facilities, EPA-453/R-94-032, April
 1994.
CTG: Control of Volatile Organic         --Sunoco Chemicals.
 Compound Emissions from Air Oxidation
 Processes in Synthetic Organic
 Chemical Manufacturing Industry
 (SOCMI), EPA-450/3-84-015, December
 1984.
Control of Volatile Organic Compound     --Sunoco Chemicals.
 Emissions from Reactor Processes and
 Distillation Operations Processes in
 the Synthetic Organic Chemical
 Manufacturing Industry (SOCMI), EPA-
 450/4-91-031, August 1993.
------------------------------------------------------------------------

    However, in the 2006 SIP revision, Philadelphia Gas Works--Richmond 
Station and Philadelphia Energy Solutions Refinery (formerly Sunoco 
Philadelphia Refinery) were erroneously defined as natural gas 
processing plants under EPA's CTG ``Control of Volatile Organic 
Equipment Leaks from Natural Gas/Gasoline Processing Plants,'' (EPA-
450/2-83-007, December 1983). Subsequently, as part of the 2010 SIP 
revision, AMS submitted a negative declaration demonstrating that no 
sources exist in Philadelphia County for this CTG source category.
    In addition, the 2010 SIP revision adopts VOC RACT rules that 
address the following CTGs: (1) ``Control Techniques Guidelines for 
Shipbuilding and Ship Repair Operations (Surface Coating'' (61 FR 
44050, August 27, 1996); (2) ``Control of Volatile Organic Compound 
Emissions from Air Oxidation Processes in Synthetic Organic Chemical 
Manufacturing Industry'' (EPA-450/3-84-015, December 1984); and (3) 
``Control of Volatile Organic Compound Emissions from Reactor Processes 
and Distillation Operations in Synthetic Organic Chemical Manufacturing 
Industry'' (EPA-450/4-91-031, August 1993). Therefore, the 2010 SIP 
revisions addresses each of the CTG requirements listed in Table 1 and 
it supersedes Section 4 of the 2006 SIP revision addressing these CTG 
RACT requirements.
    For Philadelphia Gas Works--Richmond Station and Philadelphia 
Energy Solutions (formerly Sunoco Refinery), which were erroneously 
defined as natural gas processing plants in the 2006 SIP revision, EPA 
approved source-specific RACT evaluations under the 1-hour ozone 
standard. See 66 FR 54947 and 66 FR 54942 (October 31, 2001). The 2006 
and 2010 SIP revisions do not address how Philadelphia meets the 
``major source'' RACT requirement under the 1997 8-hour ozone standard 
for those sources for which EPA had previously approved source-specific 
RACT determinations under the 1-hour ozone NAAQS. However, AMS has 
committed to submit additional SIP revisions to address this RACT 
requirement.
    In addition to the 2010 SIP revision's negative declaration, the 
2006 SIP revision includes a negative declaration for the VOC source 
category defined under EPA's CTG ``Control of Volatile Organic 
Emissions from Existing Stationary Sources, Volume VII: Factory Surface 
Coating of Flat Wood Paneling'' (EPA-450/2-78-032, June 1978). Table 2 
below lists the negative declarations submitted by AMS in the 2006 and 
2010 SIP revisions, which EPA is proposing to conditionally approve. 
AMS certified that these VOC CTG source categories do not exist in 
Philadelphia County. Therefore, AMS does not need to adopt regulations 
addressing the applicable CTGs for these source categories.

  Table 2--Philadelphia County's Negative Declaration List for VOC CTG
                                 Sources
------------------------------------------------------------------------
          CTG source category                       RACT basis
------------------------------------------------------------------------
Coating of Flat Wood Paneling..........  Control of Volatile Organic
                                          Emissions from Existing
                                          Stationary Sources, Volume
                                          VII: Factory Surface Coating
                                          of Flat Wood Paneling, EPA-450/
                                          2-78-032, June 1978.

[[Page 36720]]

 
Equipment Leaks from Natural Gas and     Control of Volatile Organic
 Gasoline Processing Plants.              Equipment Leaks from Natural
                                          Gas/Gasoline Processing
                                          Plants, EPA-450/2-83-007,
                                          December 1983.
------------------------------------------------------------------------

B. VOC RACT Controls

    AMS Regulation (AMR) V (``Control of Emissions of Organic 
Substances From Stationary Sources'') and PADEP Regulation Title 25, 
Chapter 129 contain the CTG and non-CTG VOC RACT controls that were 
implemented and approved in Philadelphia County SIP under the 1-hour 
ozone NAAQS. The 2006 SIP revision identifies Philadelphia County's VOC 
RACT regulations for which AMS has provided the required evaluation and 
is certifying as currently representing RACT under the 1997 8-hour 
ozone NAAQS. Although alternative control technology documents (ACTs) 
are not regulatory documents and have no legal effect on state 
regulations, EPA requires that states verify that ACTs have been 
considered in the RACT program development process. Therefore, 
Philadelphia County included ACTs in their review of applicable RACT 
requirements in the 2006 SIP revision. Further details of Philadelphia 
County's RACT determination for the 1997 8-hour ozone NAAQS can be 
found in the technical support document (TSD) prepared for this 
rulemaking action.
    The 2010 SIP revision adopts the following regulations to meet CTG 
RACT requirements: (1) AMR V, section XV ``Control of Volatile Organic 
Compounds (VOC) from Marine Vessel Coating Operations'' and (2) AMR V, 
section XVI ``Synthetic Organic Manufacturing Industry (SOCMI) Air 
Oxidation, Distillation, and Reactor Processes.'' These regulations are 
in accordance with EPA's presumptive RACT provided in the following 
CTGs: (1) ``Control Techniques Guidelines for Shipbuilding and Ship 
Repair Operations (Surface Coating)'' (61 FR 44050, August 27, 1996), 
(2) ``Control of Volatile Organic Compound Emissions from Air Oxidation 
Processes in Synthetic Organic Chemical Manufacturing Industry'' (EPA-
450/3-84-015, December 1984), and (3) ``Control of Volatile Organic 
Compound Emissions from Reactor Processes and Distillation Operations 
in Synthetic Organic Chemical Manufacturing Industry'' (EPA-450/4-91-
031, August 1993). The 2010 SIP revision also amends AMR V, section I 
``Definitions'' for incorporating various definitions applicable to the 
adopted provisions in Sections XV and XVI. These definitions are in 
accordance with EPA's recommendations in the applicable CTGs. These 
amendments to AMR V were adopted by AMS on April 26, 2010 and became 
effective upon adoption.
1. Marine Vessel Coating Operations
    AMR V, section XV is applicable to marine vessel coating operations 
at a facility at which the total potential VOC emissions equal or 
exceed 25 tons (22.75 metric tons) per year; or the actual VOC 
emissions from all marine vessel coating operations exceed 15 pounds (7 
kilograms) per day or 2.7 tons (2,455 kilograms) per year. The 
regulation establishes VOC emissions limits from general use coatings 
and from various specialty coatings. The limits, provided in Table 3 
below, are expressed in two sets of equivalent units: grams/liter 
coating (minus water and exempt compounds) or grams/liter of solids. 
The limits are identical to those recommended in the corresponding CTG 
document, except that the cold-weather was specified to a period of 
every year, November 1st through March 31st. Further, for any coating 
used in a marine vessel coating operation for which the regulation does 
not provide an emissions standard, AMR V, section XV establishes a 
maximum VOC content limit of 340 grams/liter (minus water and exempt 
solvents) or 571 grams per liter solids.

                     Table 3--VOC Emissions Limits for Marine Coatings in AMR V, Section XV
----------------------------------------------------------------------------------------------------------------
                                                                           VOC limits a b e
                                                     -----------------------------------------------------------
                                                                                  Grams/liter solids \c\
                  Coating category                    Grams per liter of ---------------------------------------
                                                        coating  (minus                          November 1st
                                                       water and except    April 1st through    through  March
                                                          compounds)         October 31st          31st \d\
----------------------------------------------------------------------------------------------------------------
General Use.........................................                 340                 571                 728
Specialty:
    Air flask.......................................                 340                 571                 728
    Antenna.........................................                 530               1,439               1,439
    Antifoulant.....................................                 400                 765                 971
    Heat resistant..................................                 420                 841               1,069
    High-gloss......................................                 420                 841               1,069
    High-temperature................................                 500               1,237               1,597
    Inorganic zinc high-build.......................                 340                 571                 728
        Military exterior...........................                 340                 571                 728
        Mist........................................                 610               2,235               2,235
        Navigational aids...........................                 550               1,597               1,597
        Nonskid.....................................                 340                 571                 728
        Nuclear.....................................                 420                 841               1,069
        Organic zinc................................                 360                 630                 802
        Pretreatment wash primer....................                 780              11,095              11,095
        Repair and maintenance of thermoplastics....                 550               1,597               1,597
        Rubber camouflage...........................                 340                 571                 728
        Sealant for thermal spray aluminum..........                 610               2,235               2,235
        Special marking.............................                 490               1,178               1,178

[[Page 36721]]

 
        Specialty interior..........................                 340                 571                 728
        Tack coat...................................                 610               2,235               2,235
        Undersea weapon systems.....................                 340                 571                 728
        Weld-through preconstruction................                 650               2,885               2,885
        primer......................................
----------------------------------------------------------------------------------------------------------------
\a\ The above limits are expressed in two sets of equivalent units, grams/liter coating (minus water and exempt
  compounds) or grams/liter solids.
\b\ To convert from grams/liter (g/L) to pounds/gallon (lb/gal), multiply by (3,785 L/gal)(1/453.6 lb/g) or 1/
  120. For compliance purposes, metric units define the standards.
\c\ VOC limits expressed in units of mass of VOC per volume of solids were derived from the VOC limits expressed
  in units of mass of VOC per volume of coating assuming the coatings contain no water or exempt compounds and
  that the volumes of all components within a coating are additive.
\d\ These limits apply during the period November 1st through March 31st. During this period of time, allowances
  are not given to coating categories that permit less than 40 percent solids (non-volatiles) content by volume.
  Such coatings are subject to the same limits regardless of weather conditions.
\e\ VOC limits from EPA's CTG for Ship Building, (61 FR 44050, August 27, 1996).

    AMR V, section XV also specifies as RACT the following cleanup 
requirements to minimize VOC emissions: (1) Storing all waste materials 
containing VOC, including cloth and paper, in closed containers; (2) 
maintaining lids on any VOC-bearing materials when not in use; and (3) 
using enclosed containers or VOC recycling equipment to clean spray gun 
equipment.
2. Synthetic Organic Chemical Manufacturing Industry
    AMR V, section XVI applies to a vent stream from an air oxidation 
unit processes, distillation operations, or reactor processes in the 
SOCMI. The regulation is limited to vent streams from reactor processes 
and distillation operations producing one or more of the chemicals 
listed in Appendix A of ``Control of Volatile Organic Compound 
Emissions from Reactor Processes and Distillation Operations in 
Synthetic Organic Chemical Manufacturing Industry (SOCMI) for Reactor 
and Distillation CTG'' (EPA-450/4-91-031, August 1993) and vent streams 
from an air oxidation unit process producing one or more of the 
chemicals listed in 40 CFR 60.617.
    The owner or operator of an affected source subject to AMR V, 
section XVI is required to comply with the New Source Performance 
Standards (NSPS) requirements found in 40 CFR part 60, subpart III, 
subpart NNN, and/or subpart RRR, with some exceptions listed. The NSPS 
requirements for SOCMI sources are essentially identical to those 
recommendations in the applicable CTGs, and therefore are as stringent 
as EPA's presumptive RACT. An air oxidation unit process, a 
distillation operation or reactor process in SOCMI subject to AMR V, 
section XVI must comply with either one of the following standards: (1) 
Reduction of emissions of total organic compounds (TOC) (minus methane 
and ethane) by 98 weight-percent, or to a TOC (minus methane and 
ethane) concentration of 20 ppmv on a dry basis corrected to 3 percent 
oxygen, whichever is less stringent; (2) combustion of the emissions in 
a flare that meets the requirements of 40 CFR 60.18; or (3) maintenance 
of a total resource effectiveness (TRE) index value greater than 1.0 
without use of VOC emission control devices.
    The TRE index is a measure of the supplemental total resource 
requirement per unit of VOC reduction, associated with VOC control by a 
flare or incinerator. The TRE index value can be determined for each 
vent stream for which the off-gas characteristics are known, including: 
flow rate, hourly VOC emissions, corrosion properties, and net heating 
value. AMR V, section XVI provides two equations for calculating the 
TRE index value: (1) For a vent stream controlled by a flare, and (2) a 
vent stream controlled by an incinerator. For purposes of complying 
with maintaining a TRE index value greater than 1.0 without the use of 
VOC emission control devices, the owner or operator of a facility 
affected should calculate the TRE index value of the vent stream using 
the equation for incineration. The TRE index value of a non-halogenated 
vent stream is determined by calculating values using both the 
incinerator equation and the flare equation, and selecting the lower of 
the two values.
    EPA finds that the provisions adopted in AMR V, sections XV and XVI 
and the amendments of AMR V, section I are consistent with the CTG 
documents issued by EPA and that they represent RACT under the 1997 8-
hour ozone standard for these VOC source categories in Philadelphia 
County. Thus, EPA is proposing conditional approval of the 2010 SIP 
revision as part of Philadelphia County's RACT demonstration for the 
1997 8-hour ozone NAAQS.

C. NOX RACT Controls

    The 2006 SIP revision demonstrates that AMR VII (``Control of 
Emissions of Nitrogen Oxides From Stationary Sources'') and PADEP 
Regulation Title 25, Chapter 129 (``Standards for Sources'') contain 
NOX RACT controls that were implemented and approved in 
Philadelphia County SIP under the 1-hour ozone NAAQS. Table 4 lists 
Philadelphia County's NOX RACT controls for which AMS has 
provided the required evaluation and is certifying as currently 
representing RACT for the 1997 8-hour ozone NAAQS.

[[Page 36722]]

               Table 4--Philadelphia County's NOX RACT Controls Under the 1997 8-Hour Ozone NAAQS
----------------------------------------------------------------------------------------------------------------
                                                                                    RACT Rule applicability and
              Regulation                           SIP Approval by EPA                      requirements
----------------------------------------------------------------------------------------------------------------
AMR VII, section II--Fuel Burning      1/14/87; 52 FR 1456.......................  This section applies to fuel
 Equipment.                                                                         burning equipment greater
                                                                                    than or equal to 250,000 BTU/
                                                                                    hr.
AMR VII, section III--Nitric Acid      5/14/73; 38 FR 12696......................  This section applies to
 Plants.                                                                            nitric acid plants in excess
                                                                                    of three pounds per ton of
                                                                                    acid produced on a two hour
                                                                                    average.
AMR VII, section IV--Emissions         5/14/73; 38 FR 12696......................  This section requires
 Monitoring.                                                                        instrument(s) for
                                                                                    continuously monitoring and
                                                                                    recording emissions of
                                                                                    nitrogen oxides be well
                                                                                    maintained.
25 Pa. Code sections 129.91-129.95--   7/20/01; 66 FR 37908......................  This regulation applies to
 Control of major sources of NOX and                                                all major sources of NOX and
 VOCs.                                                                              VOC not subject to any other
                                                                                    RACT regulations.
                                                                                   Section 129.92 establishes
                                                                                    requirements for source-
                                                                                    specific RACT determinations
                                                                                    for certain major NOX and
                                                                                    VOC sources.
                                                                                   Section 129.93 establishes
                                                                                    presumptive RACT limitations
                                                                                    for certain classes of
                                                                                    combustion units: coal-fired
                                                                                    combustion units rated equal
                                                                                    or greater than 100 MMBtu,
                                                                                    combustion units rated equal
                                                                                    or greater than 20 MMBtu and
                                                                                    less than 50 MMBtu.
----------------------------------------------------------------------------------------------------------------

    In the 2006 SIP revision, AMS also certifies that PADEP's 
interstate pollution transport regulations currently represent 
NOX RACT under the 1997 8-hour ozone NAAQS. These provisions 
rely on the NOX SIP Call and are found in the following 
PADEP regulations: 25 Pa. Code sections 145.1-145.100 (``NOX 
Budget Trading Program''), 25 Pa. Code sections 145.111-145.113 
(``Emissions of NOX from Stationary Internal Combustion 
Engines''), and 25 Pa. Code sections 145.141-144 (``Emissions of 
NOX from Cement Manufacturing''). In light of the Court 
decision regarding the Phase 2 Ozone Implementation Rule, EPA has 
determined it cannot approve AMS' presumption that the NOX 
SIP Call constitutes RACT for EGU sources in Philadelphia County. There 
are five EGUs in Philadelphia County that relied on emissions 
reductions under the NOX SIP Call as RACT: (1) Exelon--
Delaware Station, (2) Exelon--Richmond Station, (3) Exelon--Schuylkill 
Station, (4) Veolia--Edison Station (formerly Trigen--Edison Station), 
and (5) Veolia--Schuylkill Station (formerly Trigen--Schuylkill 
Station). These EGUs are all major sources of NOX. AMS has 
committed to submit additional SIP revisions to address RACT for these 
five sources in Philadelphia County by providing source-specific RACT 
determinations.

D. Source-Specific RACT

    AMS is implementing PADEP's regulation 25 Pa. Code sections 129.91 
through 129.95 as RACT for the 1997 8-hour ozone standard for all major 
sources of NOX and VOC not subject to any other RACT rules. 
The regulation requires the owners or operators of the applicable 
sources to provide a case-by-case evaluation to determine RACT for each 
source (25 Pa. Code section 129.92) or to alternatively comply with 
presumptive NOX standards (25 Pa. Code section 129.93).
    Under the 1-hour ozone NAAQS, EPA previously approved into 
Pennsylvania's SIP source-specific RACT determinations for 46 major 
sources of VOC and NOX in Philadelphia County. See 40 CFR 
52.2020(d)(1). EPA has found that the 2006 and 2010 SIP revisions do 
not address how AMS is currently meeting the source-specific RACT 
requirement under the 1997 8-hour ozone NAAQS for these 46 major 
sources. AMS has also identified five sources that since the approval 
of the 1-hour ozone source-specific RACT determinations have adopted or 
will adopt additional controls that represent RACT under the 1997 8-
hour ozone NAAQS: (1) Philadelphia Energy Solutions Refinery (formerly 
Sunoco Refinery), (2) Kraft Nabisco (formerly Nabisco Biscuit Co), (3) 
Temple University--Health Sciences Center, (4) GATX Terminals 
Corporation, and (5) Honeywell International (formerly Sunoco 
Chemicals--Frankford Plant). AMS has committed to submit additional SIP 
revisions to address RACT for these major sources of NOX and 
VOC in Philadelphia County.

IV. Withdrawal of Proposed Action and Proposed Action

    In this rulemaking action, EPA is withdrawing its August 26, 2008 
NPR (73 FR 50270), which proposed to approve the 2006 SIP revision 
submitted by PADEP on behalf of AMS as Philadelphia County's 1997 8-
hour ozone RACT demonstration in accordance with the Court's Opinion in 
NRDC v. EPA. See 571 F.3d 1245. EPA is also proposing to conditionally 
approve Philadelphia County's RACT demonstration under the 1997 8-hour 
ozone NAAQS, as provided in the 2006 and the 2010 SIP revisions. 
Pursuant to section 110(k)(4) of the CAA, this conditional approval is 
based upon a letter from PADEP on behalf of AMS dated April 26, 2013 
committing to submit to EPA, no later than twelve months from EPA's 
final conditional approval of Philadelphia County's 1997 8-hour ozone 
RACT demonstration, additional SIP revisions to address the 
deficiencies in the current RACT demonstration for Philadelphia County. 
The SIP revisions, to be submitted by PADEP on behalf of AMS, will 
address source-specific RACT determinations for the following major 
sources in Philadelphia County: (1) Exelon--Delaware Station, (2) 
Exelon--Richmond Station, (3) Exelon--Schuylkill Station, (4) Veolia--
Edison Station (formerly Trigen--Edison Station), (5) Veolia--
Schuylkill Station (formerly Trigen--Schuylkill Station), (6) 
Philadelphia Energy Solutions Refinery (formerly Sunoco Refinery), (7) 
Kraft Nabisco (formerly Nabisco Biscuit Company), (8) Temple 
University, Health Sciences Center, (9) GATX Terminals Corporation, and 
(10) Honeywell (formerly Sunoco Chemicals, Frankford Plant); and will 
include a certification that previously adopted source-specific RACT 
controls approved by EPA in the Commonwealth of Pennsylvania's SIP 
under the 1-hour ozone NAAQS for the remaining sources in Philadelphia 
County (as listed in 40 CFR 52.2020(d)(1)) continue to adequately 
represent RACT for the 1997 8-hour ozone NAAQS.
    Once EPA has determined that AMS has satisfied this condition, EPA 
shall remove the conditional nature of its approval and Philadelphia 
County's 1997 8-hour ozone RACT demonstration will, at that time, 
receive a full approval status. Should AMS fail to meet the condition 
specified above, the final conditional approval of Philadelphia 
County's 1997 8-hour ozone RACT demonstration will convert to a 
disapproval. EPA is soliciting public comments on the issues discussed 
in

[[Page 36723]]

this document. These comments will be considered before taking final 
action.

V. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the CAA and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the Clean Air Act. Accordingly, 
this action merely proposes to approve state law as meeting Federal 
requirements and does not impose additional requirements beyond those 
imposed by state law. For that reason, this proposed action:
     Is not a ``significant regulatory action'' subject to 
review by the Office of Management and Budget under Executive Order 
12866 (58 FR 51735, October 4, 1993);
     does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     is not subject to requirements of Section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA; and
     does not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, this proposed rule, pertaining to Philadelphia 
County's RACT under the 1997 8-hour ozone NAAQS, does not have tribal 
implications as specified by Executive Order 13175 (65 FR 67249, 
November 9, 2000), because the SIP is not approved to apply in Indian 
country located in the state, and EPA notes that it will not impose 
substantial direct costs on tribal governments or preempt tribal law.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Nitrogen dioxide, 
Ozone, Reporting and recordkeeping requirements, Volatile organic 
compounds.

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

    Dated: June 3, 2013.
W.C. Early,
Acting Regional Administrator, Region III.
[FR Doc. 2013-14519 Filed 6-18-13; 8:45 am]
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