Document ID: EPA-R05-OAR-2016-0397-0001
Agency: epa
Document Type: Proposed Rule
Title: Proposed Approval of the Illinois SO2 revision to Part 225 - Control of Emissions from Large Combustion Sources
Posted Date: 2017-08-31T04:00Z

[Federal Register Volume 82, Number 168 (Thursday, August 31, 2017)]
[Proposed Rules]
[Pages 41376-41379]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-18502]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R05-OAR-2016-0397; FRL-9967-19-Region 5]

Air Plan Approval; Illinois; Rule Part 225, Control of Emissions 
From Large Combustion Sources

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: EPA is proposing to approve a revision to the Illinois state 
implementation plan (SIP) to amend requirements applicable to certain 
coal-fired electric generating units (EGUs). These amendments require 
the Will County 3 and Joliet 6, 7, and 8 EGUs to permanently cease 
combusting coal; allow other subject EGUs to cease combusting coal as 
an alternative means of compliance with mercury emission standards; 
exempt the Will County 4 EGU from sulfur dioxide (SO2) 
control technology requirements; require all subject EGUs to comply 
with a group annual nitrogen oxide (NOX) emission rate; and 
require only those subject EGUs that combust coal to comply with a 
group annual SO2 emission rate.

DATES: Comments must be received on or before October 2, 2017.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R05-
OAR-2016-0397 at http://www.regulations.gov or via email to 
blakley.pamela@epa.gov. For comments submitted at Regulations.gov, 
follow the online instructions for submitting comments. Once submitted, 
comments cannot be edited or removed from Regulations.gov. For either 
manner of submission, EPA may publish any comment received to its 
public docket. Do not submit electronically any information you 
consider to be Confidential Business Information (CBI) or other 
information whose disclosure is restricted by statute. Multimedia 
submissions (audio, video, etc.) must be accompanied by a written 
comment. The written comment is considered the official comment and 
should include discussion of all points you wish to make. EPA will 
generally not consider comments or comment contents located outside of 
the primary submission (i.e. on the web, cloud, or other file sharing 
system). For additional submission methods, please contact the person 
identified in the For Further Information Contact section. For the full 
EPA public comment policy, information about CBI or multimedia 
submissions, and general guidance on making effective comments, please 
visit http://www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Charles Hatten, Environmental 
Engineer, Control Strategy Section, Air Programs Branch (AR-18J), U.S. 
Environmental Protection Agency, Region 5, 77 West Jackson Boulevard, 
Chicago, Illinois 60604, (312) 886-6031, hatten.charles@epa.gov.

SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA. This supplementary information 
section is arranged as follows:

I. Background
II. Discussion of the State's Submittal
    A. Rule Revisions That EPA Is Proposing To Approve
    B. Rule Revisions for Which EPA Is Taking No Action
    C. Analysis of the State's Submittal
III. What action is EPA taking?
IV. Incorporation by Reference
V. Statutory and Executive Order Reviews

I. Background

    On June 24, 2011, Illinois EPA submitted to EPA state rules to 
address the visibility protection requirements of Section 169A of the 
Clean Air Act (CAA) and the regional haze rule, as codified in 40 CFR 
51.308. This submission included the following provisions contained in 
Title 35 of the Illinois Administrative Code (IAC), Part 225 (Part 
225): sections 225.291, 225.292, 225.293, 225.295 and 225.296 (except 
for 225.296(d)), and Appendix A to Part 225. On July 6, 2012, EPA 
approved these provisions (77 FR 39943).
    On June 23, 2016, Illinois submitted revisions to these rules and 
on January 9, 2017, Illinois submitted additional information 
explaining the revisions.\1\ These rules are known as the ``Combined 
Pollutant Standard,'' and are codified at 35 IAC Part 225, Subpart B, 
titled ``Control of Emissions from Large Combustion Sources'' (CPS or 
Part 225 rules). The CPS provides certain EGUs an alternative means of 
compliance with the mercury emission standards in 35 IAC 225.230(a).\2\ 
The CPS applies to EGUs at six power plants, which are identified in 
Appendix A to the CPS. Illinois is revising the CPS to address the 
conversion of certain EGUs to fuel other than coal.
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    \1\ Illinois' final rule amended other state regulations, Parts 
214 (Sulfur limitations), and Part 217(Nitrogen oxide emissions), 
and other portions of Part 225, that are not part of the Illinois 
SIP, and were not submitted to EPA as part of this action. Illinois 
stated in its statement of reasons for the final rule that these 
revisions are proposed to control emissions of sulfur dioxide 
(SO2) in and around areas designated as nonattainment 
with respect to the 2010 National Ambient Air Quality Standard 
(NAAQS), and are intended to aid Illinois' attainment planning 
efforts for the 2010 SO2 NAAQS.
    \2\ 35 IAC 225.230 contains Illinois' mercury emission standards 
for EGUs, and is not part of the federally enforceable SIP.
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II. Discussion of the State's Submittal

A. Rule Revisions That EPA Is Proposing To Approve

    EPA is proposing to approve the following revisions as part of 
Illinois' SIP:
Section 225.291 Combined Pollutant Standard: Purpose
    SIP Section 225.291 sets forth the purpose of the CPS, which is to 
allow an alternate means of compliance with the emissions standards for 
mercury in 35 IAC 225.230(a) for specified EGUs through permanent 
shutdown, the installation of an activated carbon injection system, or 
the application of pollution control technology for NOX, 
SO2, and particulate matter (PM) emissions that also reduce 
mercury emissions as a co-benefit.
    Illinois revised section 225.291 by stating as its purpose the 
conversion of an EGU to a fuel other than coal (such as natural gas or 
distillate fuel oil with sulfur content no greater than 15 parts per 
million (ppm)) as an additional alternative means of compliance with 
the mercury emission standards under the CPS.

[[Page 41377]]

Section 225.292 Applicability of the Combined Pollutant Standard
    SIP Section 225.292 describes the applicability of the CPS to the 
owner or operator of EGUs located at the Fisk, Crawford, Joliet, 
Powerton, Waukegan, and Will County power plants, which are specified 
in Appendix A of section 225. This section establishes what constitutes 
ownership of an EGU under the CPS, which EGUs may elect to comply with 
the CPS, the process by which an owner or operator may elect to 
demonstrate compliance with the emission standards for mercury at 35 
IAC 225.230 pursuant to the CPS, and compliance deadlines.
    Illinois revised subsection (b) of section 225.292 to address EGUs 
that burn fuel other than coal. Illinois removed a reference that 
describes specified EGUs as ``coal-fired,'' and added a statement that 
a ``specified EGU'' is an EGU listed in Appendix A of section 225, 
irrespective of, among other things, ``the type of fuel combusted 
(including natural gas or distillate fuel oil with sulfur content no 
greater than 15 ppm).'' Illinois further amended subsection (a) of 
225.292 by adding the word ``the'' before listing the specific power 
plants to which the CPS applies.
Section 225.293 Combined Pollutant Standard: Notice of Intent
    SIP Section 225.293 contains the notification requirements for the 
owner or operator of one or more specified EGUs who elects to comply 
with the mercury emission standards in 35 IAC 225.230 by means of the 
CPS.
    Illinois amended this section by adding subsection (d), which 
establishes a notification requirement for owners and operators of EGUs 
listed in Appendix A of section 225 who, on or after January 1, 2015, 
change the type of primary fuel combusted by the unit or the control 
device or devices installed and operating on the unit. Such owners and 
operators must notify Illinois EPA of such change by January 1, 2017, 
or within 30 days after the completion of such change, whichever is 
later.
Section 225.295 Combined Pollutant Standard: Emissions Standards for 
NOX and SO2
    SIP Section 225.295 contains the emission standards, reporting 
requirements, and compliance dates for NOX and 
SO2 applicable to the EGUs in the CPS group. Of relevance 
here, subsection (a) contains the NOX emission standards and 
reporting requirements, subsection (b) contains the emission standards 
for SO2, and subsection (d) contains requirements for 
determining the CPS group average annual SO2 emission rate, 
annual NOX emission rate and ozone season NOX 
emission rates.
    Illinois amended this section to include specified EGUs that burn 
fuel other than coal. Section 225.295(a)(1) and (a)(2) was revised to 
specify that the NOX emission rates apply to all EGUs in the 
CPS ``regardless of the type of fuel combusted.'' The NOX 
emission standard for both the CPS group average annual and ozone 
season emission rate remains unchanged at 0.11 pounds/million British 
thermal unit (lbs/mmBtu).
    Illinois further amended Section 225.295 to specify that the 
SO2 emission standards in subsections (b) only apply to 
those specified EGUs in the CPS group that combust coal.
    Finally, Illinois revised Section 225.295(d) to specify that the 
calculations for determining the group annual average SO2 
emission rate only applies to those specified EGUs that combust coal 
identified in subsection (b); and to change the references from 
``tons'' to ``lbs'' used in the equations to determine compliance with 
the CPS group average annual SO2 emission rate, annual 
NOX emission rate and the ozone season NOX 
emission rate, on a lbs/mmBTU basis.
Section 225.296 Combined Pollutant Standard: Control Technology 
Requirements for NOX, SO2, and PM Emissions
    SIP Section 225.296 sets forth control technology requirements and 
compliance dates for SO2, NOX, and PM emissions 
for specified EGUs under the CPS. It also contains certain exemptions 
from compliance.
    Illinois amended section 225.296(b)--``Other Control Technology 
Requirements for SO2,'' to require that Will County 3 stop 
combusting coal on and after April 16, 2016, and Joliet 6, 7, and 8 
stop combusting coal on and after December 31, 2016. Additionally, 
Illinois added to the requirements for the owners or operators of the 
other specified EGUs in Appendix A of section 225 the option to 
permanently cease combusting coal in addition to permanent shutdown or 
installation of fluidized gas desulfurization (FGD) equipment on or 
before December 18, 2018, unless an earlier date applies. Illinois 
further exempts Will County 4 from compliance with this section instead 
of Joliet 6.\3\
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    \3\ According to Illinois, the Joliet 6 EGU was incorrectly 
identified in this section as ``Joliet 5'' because Joliet 6 is 
powered by ``Boiler 5'' at the facility. Technical Support Document 
at 11. All references to Joliet 6 in this action refer to the Joliet 
5 EGU identified in 35 IAC 225.296(b).
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    Illinois further amended section 225.296(c)--``Control Technology 
Requirements for PM'' to remove Will County 3 from the compliance 
requirements for PM in this section, which requires the owner or 
operator to make certain changes to the electro-static precipitator or 
permanently shut down the EGU by the date specified in this section. 
Section 225.296(c) now only applies to Waukegan 7, which was required 
to be in compliance with this section on or before December 31, 2013.
Section 225 Appendix A: Specified EGUs for Purposes of the Combined 
Pollutant Standard
    Appendix A of SIP Section 225 identifies the EGUs that are subject 
to the CPS. Illinois revised this section by removing references to 
``Midwest Generation,'' and leaving the names of the city of the plants 
and the identification of the EGUs. This administrative change will 
eliminate the need for revisions to this section should there be future 
changes in ownership of the EGUs in Appendix A.

B. Rule Revisions for Which EPA Is Taking No Action

    Illinois' final rule also amended 35 IAC Part 214 (Sulfur 
Limitations), Part 217 (Nitrogen Oxides Emissions), and other portions 
of Part 225 that are not part of Illinois' SIP and for which EPA is 
taking no action.
    Most relevant to this action, Illinois amended section 225.295, 
``Emission Standards for NOX and SO2'' (discussed 
above) by adding subsection (a)(4). New subsection (a)(4) states, ``the 
specified EGUs are not subject to the requirements set forth in 35 Ill. 
Adm. Code 217, Subpart M, including without limitation the 
NOX emission standards set forth in 35 Ill. Adm. Code 
217.344.''
    EPA is taking no action on this amendment because the requirements 
of 35 Ill. Adm. Code 217, Subpart M, are not approved as part of the 
Illinois SIP, and Illinois EPA has not submitted the requirements for 
approval. Therefore, EPA is taking no action with respect to 35 IAC 
225.295(a)(4).

C. Analysis of the State's Submittal

    EPA is proposing to approve the revisions discussed above because 
the revisions meet all applicable requirements under the CAA, 
consistent with section 110(k)(3) of the CAA and the regional haze 
rule. Furthermore, the revisions do not interfere with any applicable 
requirement concerning

[[Page 41378]]

attainment and reasonable further progress or any other applicable CAA 
requirement, consistent with section 110(l) of the CAA.
1. The Revisions Do Not Interfere With Illinois' Regional Haze SIP 
Rules
    The proposed SIP revisions do not interfere with Illinois' regional 
haze SIP rules. Illinois relied on emission reductions of 
NOX and SO2 achieved through implementation of 
the CPS in its SIP submittal to EPA for the regional haze SIP rules. 
Illinois has shown that the proposed SIP revisions will result in 
significant reductions of emissions of SO2, and no change or 
potential reductions in emissions of NOX. Additionally, 
although Illinois did not rely on emission reductions of PM in its 
regional haze SIP submittal, Illinois has shown that the proposed SIP 
amendments should result in reductions of PM emissions.
    First, Illinois has shown that the amendments to the CPS will 
result in significantly lower emissions of SO2 from the 
converted EGUs. EGUs that combust natural gas emit trace amounts of 
SO2. Using EPA's Air Markets Program Division Data, Illinois 
has estimated that the amendments will result in reductions of more 
than 6,000 tons of SO2 annually in 2017, and more than 4,500 
tons of SO2 annually in 2019 and subsequent years, beyond 
what would occur under the original CPS emission standards. Illinois 
assumed that the EGUs will continue to operate with the same heat input 
after their conversion. Illinois believes that this is a conservative 
estimate of emissions because the converted EGUs will likely not be 
operating as frequently and the heat inputs should lower, which would 
also result in lower emissions. See Section 3.3 of Illinois EPA's 
Technical Support Document for Proposed Rule Revisions Necessary to 
Demonstrate Attainment of the One-Hour NAAQS for Oxides of Sulfur 
(TSD).
    In addition, by applying the SO2 group annual emission 
rates to only those EGUs that combust coal, the SO2 emission 
rates will effectively become more stringent. This is because there 
will be fewer EGUs to average after the four EGUs under the CPS are 
required to cease combusting coal. The SO2 group annual 
average emission limits in 35 IAC 225.295(b) have not changed and are 
0.15 lbs/mmBtu in 2017, 0.13 lbs/mmBtu in 2018, and 0.11 lbs/mmBtu in 
2019 and beyond.
    Second, Illinois has shown that the amendments to the CPS will, at 
worst, result in no change in emissions of NOX and will 
likely result in reductions of this pollutant. The NOX 
emission standard for both the CPS group average annual and ozone 
season emission rates remain unchanged at 0.11 lbs/mmBtu. The most 
conservative analysis, under which heat inputs at converted EGUs remain 
the same, would result in no change in NOX emissions because 
the same EGUs will continue to be subject to the group wide average 
NOX emission rate. However, Illinois believes it is likely 
that there will be a considerable decline in utilization of and heat 
input at the converted EGUs, which would likely result in 
NOX emission reductions because the group wide average limit 
is on a lbs/mmBtu basis. See Section 3.4 of the TSD.
    Illinois has further illustrated that there should be no change in 
NOX emissions by referring to the ``Technical Support 
Document for Best Available Retrofit Technology'' (BART TSD) that was 
included as Attachment 2 to Illinois' original Regional Haze SIP 
submittal. The BART TSD shows that only the group-wide average of 0.11 
lbs/mmBTU was used to estimate future emissions for the Illinois 
regional haze SIP rules. While several EGUs have since been retired, 
and a number of them have converted to firing natural gas, the group-
wide average continues to apply to all EGUs, and shows that the 
NOX emission reductions will remain the same.
    Third, while Illinois did not rely on emission reductions of PM 
from the EGU sector in its initial regional haze SIP submittal, it has 
shown that amendments to the CPS should result in an overall reduction 
in PM emissions. The amendments require Joliet 6, 7, and 8 
(approximately 66 million mmBtu) and Will County 3 (approximately 16 
million mmBtu) to permanently cease combusting coal. All of these EGUs 
were permitted to emit PM at a rate of 0.10 lbs/mmBtu. These units will 
either be shutting down or converting to natural gas combustion. The 
AP-42 emission factor for PM emissions from natural gas combustion is 
approximately 0.0075 lbs/mmBtu. This would result in a 92.5% reduction 
in PM emissions from the Joliet EGUs from their previous allowable 
emission rates when they are operating, and does not include any 
reductions from reduced operating time that Illinois anticipates will 
occur after conversion.
    Fourth, Illinois has shown that the ``transfer'' of the exemption 
from complying with SO2 control technology requirements to 
Will County 4 unit from Joliet 6 do not affect the regional Haze rules. 
Previously, 35 IAC 225.296(b) required Will County 4 to either 
permanently shut down or install FGD equipment to control 
SO2 on or before December 31, 2018.\4\ Illinois exempts Will 
County 4 from this requirement. However, Will County 4 remains subject 
to the 0.10 lbs/mmBtu PM emission rate, and the group wide 
SO2 and NOX emission standards under the CPS. 
Additionally, this transfer does not alter the emission standards for 
SO2 and NOX that were relied upon in approving 
Illinois' regional haze rules. The intent of the regional haze program 
is mitigation of visibility impairment at specified national parks and 
wilderness areas, known as ``Class I areas'' under the CAA. Illinois 
does not have any Class I areas within the state, the nearest being 
either in southwestern Missouri or northern Michigan. See 77 FR 3966, 
3967 (January 12, 2012). The redistribution of emission reductions from 
Joliet 6 to Will County 4, particularly as accompanied by substantial 
emission reductions at other converted EGUs, should result in equal if 
not more reasonable progress toward achieving natural visibility 
conditions in Class I areas under Illinois' regional haze rules, given 
the net overall reduction in emissions.
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    \4\ The SO2 emissions reductions from the cessation 
of coal combustion from Will County 3 and Joliet 6, 7, and 8 will 
occur at least two years earlier than any SO2 emission 
reductions from the installation of FGD equipment on or before 
December 31, 2018 under the CPS.
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    Therefore, these revisions do not alter the EGU group-wide emission 
standards for SO2 and NOX that were relied upon 
in approving Illinois' regional haze rules. The only exception to this 
is the removal of non-coal fired EGUs from SO2 emissions 
averaging, which should result in significant reductions of 
SO2 emissions from the CPS group of EGUs.
2. The Revisions Do Not Interfere With Any Applicable CAA Requirement 
Under Section 110(l) of the CAA
    Under Section 110(l) of the CAA, EPA shall not approve a SIP 
revision if it would interfere with any applicable requirement 
concerning attainment and reasonable further progress (as defined in 
section 171 of the CAA) or any other applicable requirement of the CAA. 
The proposed SIP revisions would not interfere with any applicable CAA 
requirements based on technical analysis submitted by Illinois EPA.
    Illinois made these revisions to aid in attainment planning efforts 
for the 2010 SO2 NAAQS for the Lemont nonattainment area. 
See 78 FR 47191, 47192 (Aug. 5, 2013). As discussed above, Illinois has 
shown that the revisions will result in reduction of SO2 and 
PM emissions, and no change or a reduction in NOX emissions, 
which are the pollutants of concern. See TSD.

[[Page 41379]]

Furthermore, the emission standards under the CPS, which are based on 
group averaging, remain unchanged, except that the averaging method for 
determining compliance with the SO2 emission standard will 
become more stringent, because the averaging will exclude natural gas 
units.
    Therefore, the proposed revisions to CPS in Part 225 are approvable 
under Section 110(l) because: (1) There are no proposed changes to any 
SIP emission limits, except to make the SO2 limit more 
stringent; (2) the conversion of the EGUs from coal to natural gas will 
result in a significant decrease in emissions of SO2, no 
increase in emissions of NOX, and reductions in emissions of 
PM; and (3) the changes are consistent with Illinois' long-term 
strategy for making reasonable progress toward meeting the visibility 
goals of Section 169A of the CAA contained in the state's regional haze 
rules.

III. What action is EPA taking?

    EPA is proposing to approve the revisions to the Illinois air 
pollution control rules at 35 IAC Part 225, specifically, sections 
225.291, 225.292, 225.293, 225.295 (except for 225.295(a)(4)), and 
225.296 (except for 225.296(d)) and 225.Appendix A. Illinois EPA 
submitted the revisions to Part 225 on June 23, 2016, and submitted 
supplemental information on January 9, 2017.
    Illinois' final rule also included revisions to Parts 214 (Sulfur 
limitations) and 217 (Nitrogen oxide emissions), and other sections of 
the Part 225 rules. EPA is not taking any action on those revisions, 
and, as noted above, Illinois' addition of 35 IAC 225.295(a)(4).

IV. Incorporation by Reference

    In this rule, EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, EPA is proposing to incorporate by 
reference revisions to Title 35 of Illinois Administrative Code Rule 
Part 225--Control of Emissions from Large Combustion Sources, sections 
225.291, 225.292, 225.293, 225.295 (except for 225.295(a)(4)), and 
225.296 (except for 225.296(d)) and 225.Appendix A, effective December 
7, 2015. EPA has made, and will continue to make, these documents 
generally available through www.regulations.gov and/or at the EPA 
Region 5 Office (please contact the person identified in the FOR 
FURTHER INFORMATION CONTACT section of this preamble for more 
information).

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 CAA. Accordingly, this 
action merely approves state law as meeting Federal requirements and 
does not impose additional requirements beyond those imposed by state 
law. For that reason, this action:
     Is not a significant regulatory action subject to review 
by the Office of Management and Budget under Executive Orders 12866 (58 
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
     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 (Public Law 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, the SIP is not approved to apply on any Indian 
reservation land or in any other area where EPA or an Indian tribe has 
demonstrated that a tribe has jurisdiction. In those areas of Indian 
country, the rule does not have tribal implications and will not impose 
substantial direct costs on tribal governments or preempt tribal law as 
specified by Executive Order 13175 (65 FR 67249, November 9, 2000).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Intergovernmental relations, Particulate matter, Reporting 
and recordkeeping requirements, Sulfur oxides.

    Dated: August 21, 2017.
Robert A. Kaplan,
Acting Regional Administrator, Region 5.
[FR Doc. 2017-18502 Filed 8-30-17; 8:45 am]
BILLING CODE 6560-50-P