98-11507. Approval and Promulgation of Air Quality Implementation Plans; Pennsylvania; Disapproval of the NOINFX/INF RACT Determination for Pennsylvania Power Company  

  • [Federal Register Volume 63, Number 83 (Thursday, April 30, 1998)]
    [Rules and Regulations]
    [Pages 23668-23673]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 98-11507]
    
    
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    ENVIRONMENTAL PROTECTION AGENCY
    
    40 CFR Part 52
    
    [PA058-4070; FRL-5997-8]
    
    
    Approval and Promulgation of Air Quality Implementation Plans; 
    Pennsylvania; Disapproval of the NOX RACT Determination for 
    Pennsylvania Power Company
    
    AGENCY: Environmental Protection Agency (EPA).
    
    ACTION: Final rule.
    
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    SUMMARY: EPA is disapproving a State Implementation Plan (SIP) revision 
    submitted by the Commonwealth of Pennsylvania. The intended effect of 
    this action is to disapprove the nitrogen oxide (NOX) 
    reasonably available control technology (RACT) determination submitted 
    by the Pennsylvania Department of Environmental Protection (PADEP for 
    Pennsylvania Power Company--New Castle plant (PPNC), located in 
    Lawrence County, Pennsylvania.
    
    DATES: This final rule is effective on June 1, 1998.
    
    ADDRESSES: Copies of the documents relevant to this action are 
    available for public inspection during normal business hours at the Air 
    Protection Division, U.S. Environmental Protection Agency, Region III, 
    841 Chestnut Building, Philadelphia, Pennsylvania 19107; Pennsylvania 
    Department of Environmental Protection, Bureau of Air Quality, P.O. Box 
    8468, 400 Market Street, Harrisburg, Pennsylvania 17105.
    
    FOR FURTHER INFORMATION CONTACT:
    Cynthia H. Stahl, (215) 566-2180, at the EPA Region III address above.
    
    SUPPLEMENTARY INFORMATION: On August 18, 1997 (62 FR 43959), EPA 
    published a notice of proposed rulemaking (NPR) for the Commonwealth of 
    Pennsylvania. The NPR proposed disapproval of the NOX RACT 
    determination for Pennsylvania Power's New Castle plant (PPNC), located 
    in Lawrence County. The formal SIP revision was submitted by 
    Pennsylvania Department of Environmental Resources (now the 
    Pennsylvania Department of Environmental Protection or PADEP) on April 
    19, 1995. EPA is now taking final action to disapprove the RACT 
    determination submitted by PADEP for PPNC. This action is being taken 
    under section 110 of the Clean Air Act.
    
    I. Background
    
        On April 9, 1996 EPA originally published a direct final rulemaking 
    approving this RACT determination. Opportunity for public comment was 
    provided, however, and on May 8, 1996, the New York Department of 
    Environmental Conservation (NYDEC) submitted a letter stating that it 
    intended to adversely comment on EPA's proposed approval of PADEP's 
    RACT determination for PPNC. Because of New York's letter of intent, 
    the direct final action converted to a proposed action in accordance 
    with established Federal rulemaking procedures. On June 11, 1996, EPA 
    published a notice
    
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    withdrawing the effective date of the original direct final rule for 
    Pennsylvania Power--New Castle, among other facilities. (61 FR 29483).
        The NYDEC submitted adverse comments to EPA on June 28, 1996 in 
    response to the converted proposed rulemaking notice published on April 
    9, 1996. The NYDEC stated that they disagreed with EPA's RACT 
    determination for the boilers at PPNC and believe that there are 
    technically and economically feasible controls for those boilers that 
    should be determined to be RACT. As requested, EPA extended the comment 
    period on its original April 9, 1996 proposed approval twice; the last 
    time until August 2, 1996 (61 FR 29483 and 61 FR 37030). On July 15, 
    1996 and August 1, 1996, PPNC submitted comments to EPA addressing 
    issues raised by NYDEC. On August 2, 1996, Pennsylvania DEP submitted 
    comments to EPA stating that EPA should proceed with final approval of 
    the PPNC RACT determination.
        After considering all the comments submitted, EPA withdrew the 
    proposed approval and instead, on August 18, 1997, proposed disapproval 
    of the operating permit submitted by PADEP on April 19, 1995 intended 
    to impose RACT for PPNC.
    
    II. Comments Received on the August 18, 1997 Proposed Disapproval
    
        In response to the August 18, 1997 proposed disapproval of PADEP's 
    RACT determination for PPNC, comments were received from NYDEC and 
    Paul, Hastings, Janofsky & Walker LLP, attorneys for PPNC. NYDEC's 
    comments fully supported EPA's proposed rulemaking action. The comments 
    from Paul, Hastings, Janofsky & Walker LLP are summarized below.
        Comment 1--EPA has not articulated its legal standard to make RACT 
    determinations. Case-by-case RACT is not a legal standard.
        Response 1--EPA articulated its rationale and the criteria by which 
    the PPNC submittal was being judged in the August 18, 1997 NPR. EPA's 
    policies regarding RACT and how RACT determinations are made were 
    discussed in the NPR. Since EPA's definition of RACT allows for the 
    consideration of source-specific factors (i.e. case-by-case) in the 
    determination of RACT-specific applications of policy or guidance are 
    described in the applicable NPR.
        Comment 2--By stating that the proposed PPNC RACT limits are too 
    high, EPA has used legal standards that have yet to be defined by 
    regulation.
        Response 2--EPA used, as a basis to support its statement, the 
    monitoring data that was available for the PPNC boilers. EPA and the 
    Pennsylvania regulations define RACT as ``the lowest emission limit 
    that a particular source is capable of meeting by the application of 
    control technology that is reasonably available considering 
    technological and economic feasibility'' (December 9, 1976 memorandum 
    from Roger Strelow, Assistant Administrator for Air and Waste 
    Management, to EPA Regional Administrators and 25 Pa. Code, Subpart C 
    Article III, Chapter 121). Since RACT is the lowest emission limit 
    achievable considering technological and economic feasibility, it 
    appeared to be unreasonable that the emission rates requested by PPNC 
    for RACT were higher than those actually monitored at those boilers. It 
    is unnecessary that a legal standard for RACT be established by 
    regulation prior to an action on a case-by-case RACT determination 
    proposal; the Clean Air Act contemplates establishing enforceable legal 
    standards through notice and comment rulemaking such as that being 
    conducted for case-by-case RACT proposals.
        Comment 3--EPA has not promulgated a definition for RACT to be used 
    in NOX determinations and cannot rely on Pennsylvania's 
    definition of RACT since EPA had not approved it until August 12, 1997. 
    EPA has misapplied the RACT definition in the Strelow Memorandum to the 
    PPNC determination since the Strelow Memorandum is guidance for SIP 
    approvals by EPA and not to make individual RACT determinations. The 
    Strelow Memorandum recognized that individual RACT determinations would 
    be made using future guidance. The RACT definition contained in the 
    Strelow Memorandum was not issued by notice and comment rulemaking and 
    therefore is not binding. Furthermore, EPA expanded this definition of 
    RACT without notice and without record.
        Response 3--The Clean Air Act give EPA authority to define RACT for 
    all regulated pollutants, including NOX. EPA defined RACT in 
    the Strelow memorandum dated December 9, 1997. In a Federal Register 
    published on September 17, 1979 (44 FR 53761), EPA discussed the Clean 
    Air Act statutory requirements including the definition of RACT and 
    stated there that the Strelow memorandum was published in BNA 
    Environmental Reporter, Current Developments, pp. 1210-12 (1976). EPA's 
    definition of RACT is consistent with the statutory intent and 
    Pennsylvania's definition of RACT is consistent with the Strelow 
    memorandum. Congress expressly cites to EPA's RACT guidance and 
    endorses it in section 182(a)(2)(4) as the appropriate guide for state 
    submittals. This guidance was published and made available to the 
    public in the House Energy and Commerce Committee Reports, Rept. 101-
    490 Part 1 at page 235. Therefore, EPA's statutory authority to approve 
    RACT determinations is clear. EPA has consistently applied the 
    definition of RACT to the PPNC RACT submittal.
        Comment 4--EPA is inappropriately using 1993 as a baseline and has 
    not provided record support to use 1993 instead of 1990 as baseline.
        Response 4--The commenter concludes that EPA has used 1993 as a 
    baseline instead of 1990 and yet does not provide a discussion of the 
    reason for this comment. EPA has not established any baseline year but 
    rather has used emissions data that available for 1993 to illustrate 
    the feasibility of achieving emission rates lower than those proposed 
    by PPNC as RACT. These emission rates were achieved without the use of 
    low-NOX burners or other add-on controls; leading to the 
    conclusion that more stringent emission limitations that those proposed 
    by the Company should be considered RACT.
        Comment 5--EPA is using ad hoc reasons, such as averages of 
    emissions data from similar sources, acid rain information, 
    NOX Memorandum of Understanding (MOU) status, and Ozone 
    Transport Assessment Group (OTAG), to support its RACT determination. 
    EPA has not defined what a ``similar boiler'' is.
        Response 5--The discussion in the EPA NPR regarding average 
    emission rates achieved for boilers similar to PPNC, requirements under 
    the acid rain program that the PPNC boilers agreed to, etc. were 
    included in order to provide a context for EPA's proposed disapproval 
    of the PPNC RACT submittal. The reasonableness of the proposed PPNC 
    emission limits must be determined in the context of what other similar 
    sources are able to achieve and what PPNC itself agreed to achieve in 
    order to meet its other statutory obligations. NOX emissions 
    are regulated by several programs but the control technology and 
    methods to achieve NOX emission reductions are not limited 
    to meeting the obligations in any one program. EPA also clarified the 
    use of the term ``similar boilers'' by stating that the comparisons 
    with similar boilers were made by size and type (dry-bottom, wall-
    fired, coal burning). The data used came from the acid rain database, 
    which only includes those boilers subject to the acid rain 
    requirements. The boilers subject to the acid rain requirements are 
    utility units larger than 250 mmBTU/hr, rated heart
    
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    input. EPA's determination is also based on its recognition that there 
    may be technical similarities that would facilitate the use of similar 
    emission controls even among boilers of different sizes and types. The 
    NPR makes clear the bases of comparison between PPNC's boilers and 
    other combustion units.
        Comment 6--In making the PPNC RACT determination now, EPA is 
    retroactively applying criteria that did not exist when PPNC prepared 
    its proposal, when PADEP conducted its review, or when EPA approved the 
    PPNC RACT proposal.
        Response 6--EPA's definition of RACT has been that contained in the 
    Strelow memo since it was issued in the late 1970s and EPA has used 
    that definition as the basis for its RACT rulemaking actions since that 
    time. EPA's reliance on guidance documents is clearly stated in its 
    proposed rulemaking actions that would result in binding enforceable 
    requirements such as those in case-by-case RACT determinations. 
    Interested parties are welcome to comment specifically on the RACT 
    rulemaking actions as well as on the criteria that EPA used to conduct 
    those rulemaking actions. Binding criteria do not have to exist prior 
    to conducting a proposed rulemaking action. The criteria that EPA 
    applies to all RACT proposals, including the PPNC proposal, is the 
    definition of RACT, any guidance in the form of memos or guidance 
    documents pertinent to the source category or source that is subject to 
    the RACT requirement, and any specific data applicable to the source 
    category or source that is subject to the RACT requirement. This has 
    been EPA's criteria for RACT determinations since the statutory 
    requirement was imposed. The source category or source specific 
    guidance documents to be used are those that are available at the time 
    the RACT determination is being evaluated and proposed. For example, 
    the NOX Supplement to the Title I General Preamble published 
    in the November 25, 1992 Federal Register re-states our practice for 
    determining RACT and states that much of EPA's guidance for VOC RACT is 
    also applicable to NOX RACT (57 FR 55620). In the case of 
    PPNC, PADEP prepared its RACT proposal and supporting documents in the 
    late summer and fall of 1994. The public hearing for the PPNC RACT 
    proposal was held on November 17, 1994. EPA submitted comments for the 
    record on December 5, 1994. EPA's comments regarding the PPNC RACT 
    proposal included comments questioning the cost factors and asserting 
    that, in general, the information in the package did not support the 
    conclusions arrived at by PPNC. The record is clear that EPA has 
    consistently maintained its position on this RACT proposal since it was 
    first proposed at the state level. The use of the federal definition of 
    RACT even where such a definition has not been specifically approved 
    into a state's SIP ensures that consistent criteria are applied in 
    imposing RACT requirements.
        Comment 7--EPA cannot use PPNC's acid rain permit limits or 
    Pennsylvania's participation in the Ozone Transport Commission (OTC) 
    NOX MOU as criteria to determine whether PPNC's proposal is 
    RACT.
        Response 7--EPA did not use PPNC's acid rain permit limits or 
    Pennsylvania's participation in the OTC NOX MOU as criteria 
    to determine whether PPNC's proposal is RACT. Instead, EPA applied 
    criteria using the definition of RACT, information from available, 
    appropriate guidance documents, and available information regarding 
    PPNC's boilers. The test of reasonableness in the definition of RACT 
    warrants investigating the availability of controls and the ability to 
    meet other emission limitations among similar sources. EPA's evaluation 
    of the PPNC RACT proposal investigated all relevant information that 
    would indicate technical and economic feasibility of achieving lower 
    emission limits as required by the definition of RACT. See also 
    Response 6.
        Comment 8--EPA is using different criteria documents than required 
    to be used such as those used in the approval of three NOX 
    RACT determinations for sources in New York (September 23, 1997, 62 FR 
    49617). None of the documents referenced by EPA in the PPNC docket are 
    listed in the March 1996 NOX Policy Documents for the Clean 
    Air Act of 1990 (EPA-452/R-96-005). EPA has not provided record support 
    to explain its deviation from not using the policy documents listed in 
    EPA-452/R-96-005.
        Response 8--The criteria documents in the PPNC RACT docket are 
    those that were determined to be relevant to the evaluation of the 
    types of boilers at PPNC. The three NOX RACT determinations 
    referred to by the commenter pertained to NOX sources unlike 
    those at PPNC. These New York NOX sources are the University 
    of Rochester, with two non-utility oil-fired boilers (90 mmBTU/hr and 
    122 mmBUT/hr rated capacity), Morton International, Incorporated, with 
    one gas-fired boilers smaller than 100 mmBTU/hr rated capacity and 
    Algonquin Gas Transmission Company with four gas-fired internal 
    combustion engines. It is to be expected that the documents used to 
    evaluate the New York sources would be different than those used to 
    evaluate the five coal-fired utility boilers at PPNC. As stated by 
    PPNC, the rated capacity of the PPNC boilers are 119 mmBTU/hr (35 MW), 
    164 mmBTU/hr (48 MW), 335 mmBTU/hr (98MW), 335mmBTU/hr (98MW), and 468 
    mmBTU/hr (137 MW). The documents listed in the March 1996 EPA document 
    (EPA-452/R-96-005) are those related to ozone policy. EPA's 
    Introduction to the March 1996 document does not purport to 
    exhaustively list all applicable or relevant NOX RACT 
    guidance. Indeed, it states that it includes, along with the 
    NOX Supplement to the General Preamble, ``several other 
    guidelines and policy memorandum'' (sic). These items include primarily 
    documents regarding SIP attainment demonstrations, section 182(f) 
    NOX waivers, emissions trading, fuel switching, compliance 
    schedules, de minimis values for gas turbines and internal combustion 
    engines, NOX substitution in air quality plans, conformity, 
    and new source review--issues that do not pertain to the PPNC RACT 
    submittal. The relevant documents in the March 1996 list that pertained 
    to PPNC were used and included in the PPNC docket along with other 
    relevant and appropriate pieces of information. No applicable 
    regulation, policy or guidance limits EPA's consideration in evaluating 
    RACT submittals to only those documents that are contained in the March 
    1996 EPA document list. Consequently, EPA's use of criteria documents 
    in the evaluation of the PPNC RACT submittal were appropriate.
        Comment 9--The proposed action does not cite any delegation of 
    authority to the Regional Administrator to sign SIP actions. Based on 
    Table 1, 54 FR 2221 (Jan. 19, 1989), only the Administrator can sign 
    SIP actions that deviate from national policy and the proposed 
    disapproval of the PPNC SIP submittal relies on criteria that 
    significantly deviate from national policy.
        Response 9--Delegation 7-10 provides the authority for Regional 
    Administrators ``[t]o propose or take final action on any State 
    implementation plan under section 110 of the Clean Air Act.'' EPA's 
    Directives System contains the definitive statements of EPA's 
    organization * * * and delegations of authority. 40 CFR 1.5(b). The 
    Directives System is the official statement of authority that has been 
    delegated and EPA is not required to identify the specific delegation 
    of
    
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    authority in each action the Agency takes. The current delegation, 
    approved by the Administrator on May 6, 1997, places two limitations on 
    the delegation.\1\ The first limitation applies only to final actions. 
    The second provides that the delegation does not apply where the action 
    establishes an alternative interpretation from an established EPA 
    policy where the alternative interpretation has not been reviewed 
    through the Agency's consistency process. As explained above, EPA's 
    proposed action for PPNC is not based on an alternative interpretation 
    from an established EPA policy.
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        \1\ The commenter's citation to Table 1 is obsolete. Under the 
    previous version of delegation 7-10, the Agency created three tables 
    which identified separate processes for SIP actions. The Regional 
    Administrators were delegated authority to sign actions on tables 2 
    and 3, with the Administrator retaining sole authority to sign 
    actions on Table 1. Subject to two limitations, the Regional 
    Administrators have been delegated authority to sign all SIP 
    actions.
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        Comment 10--EPA has used a significantly different approach in the 
    PPNC RACT proposal evaluation than used in other EPA RACT 
    determinations. For example, the EPA approval of International Paper--
    Hammermill Division (Lockhaven) allowed an emission limit based on a 30 
    day running average that included a ``buffer'' as a way to account for 
    the limited emission data available and did not require the 
    installation of add-on controls.
        Response 10--EPA's approach in evaluating all RACT determinations 
    is consistent in that the same definition of RACT is used. However, 
    under long-standing EPA policy and guidance, the determination of RACT 
    allows for the consideration of source-specific variables and as such, 
    can result in different conclusions as to what RACT is for different 
    sources. The circumstances at International Paper--Hammermill Division 
    (Lockhaven) and the information provided by PADEP and the Company in 
    support of the RACT proposal warranted granting the particular RACT 
    determination in that instance. The PADEP's submittal for PPNC does not 
    contain information supporting its proposed RACT determination. 
    Consequently, EPA approved the International Paper RACT and proposed to 
    disapprove the PPNC RACT submittal.
        Comment 11--EPA did not consider the full PPNC NOX RACT 
    proposal in deciding to propose disapproval. EPA did not obtain from 
    PADEP the full proposal with its appendices that were submitted by PPNC 
    to PADEP.
        Response 11--EPA evaluated the PPNC NOX RACT submittal 
    using all the information submitted by PADEP and that submitted during 
    the comment periods in June-August 1996 and in August 1997. If either 
    PADEP or PPNC believed that EPA did not originally consider documents 
    critical to its RACT proposal, it had an opportunity to submit any of 
    these documents and comments in response to the proposed rulemaking 
    notices. Furthermore, EPA expects RACT SIP submittals to include all 
    documents relied on by the state in making its decision to propose 
    RACT. If PADEP did not submit information to EPA, the presumption is 
    that that information was not relied on in its decision making. Whether 
    or not documents are submitted with each Pennsylvania RACT submittal is 
    an issue between the source and the Commonwealth. EPA's final 
    rulemaking action considers all information submitted with the April 
    19, 1995 PADEP submittal and during the relevant comment periods.
        Comment 12-- EPA improperly viewed the PPNC proposal as a ``no 
    controls'' proposal. Since late 1993, PPNC has installed and 
    experimented with two separate computerized combustion optimization 
    systems in the PPNC unit 5 boiler resulting in a 50% emission reduction 
    from 1990 levels. PPNC has used this information from unit 5 on units 3 
    and 4, resulting in comparable emission reductions.
        Response 12--EPA evaluated the PPNC proposal on the basis of 
    whether the proposal would result in a RACT level of emissions. RACT is 
    defined by EPA and PADEP as the lowest achievable emission limit 
    considering technical and economic feasibility. The emission limits 
    proposed by PADEP and PPNC are higher than those that were currently 
    monitored at the facility at the time the RACT proposal was being 
    developed. The PADEP's April 19, 1995 submittal to EPA intended to 
    impose RACT for PPNC did not mention a computerized combustion 
    optimization system through an enforceable permit. Subsequent to the 
    April 19, 1995 submittal, PADEP mentioned the use of a computerized 
    combustion optimization system at PPNC. On further investigation, EPA 
    found that this system was bought, installed and tested using 
    Department of Energy funds and did not require the use of capital funds 
    at PPNC. If the combustion optimization system is an available emission 
    control option to reduce NOX emissions, the PPNC submittal 
    should have compared the sustainable emission reductions that can be 
    achieved by such a combustion optimization system with those 
    sustainable emission reductions that can be achieved by other more 
    conventional controls such as low--NOX burners or selective 
    catalytic reduction (SCR) along with economic considerations. Even if a 
    proper RACT evaluation were done to support a conclusion that RACT may 
    not require add-on controls, the emission limits in the April 19, 1995 
    RACT submittal for PPNC would not be approval because they are 
    substantially less stringent than the actual measured data. The PPNC 
    cost analysis for conventional NOX controls uses figures 
    that appear to be unrealistic and unsupported by fact. The cost figures 
    provided by PPNC, when compared in context with cost figures for 
    similar boilers, appear to be significantly higher than other figures 
    without adequate justification. Consequently, EPA has determined that 
    the PPNC RACT proposal has not adequately demonstrated that add-on 
    controls are economically infeasible.
        Comment 13--EPA has improperly used the lack of official EPA 
    approval of the PADEP Guidance Document on Reasonably Available Control 
    Technology for Sources of NOX Emissions to support its 
    proposed disapproval.
        Response 13--EPA clearly stated in the August 18, 1997 NPR 
    regarding the proposed PPNC disapproval that the PADEP Guidance 
    Document on Reasonably Available Control Technology for Sources of 
    NOX Emissions was not part of the April 19, 1995 submittal 
    nor any other PADEP submittal requesting EPA approval and that, 
    therefore, EPA was not relying on this guidance document in proposing 
    disapproval of the PPNC RACT submittal. EPA included a discussion of 
    this document only because PPNC made comments in response to EPA's 
    withdrawal of its initial notice of approval (June 11, 1996) claiming 
    that PADEP had relied on this document. However, PPNC's claims in this 
    regard cannot be considered by EPA where PADEP has not identified this 
    document as a basis for its submittal.
        Furthermore, as stated in the NPR for EPA's action on 
    Pennsylvania's VOC and NOX RACT regulation, Chapter
    
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    129.91 through 129.95, the Pennsylvania RACT guidance document has 
    never been submitted to EPA for approval into the Pennsylvania SIP (62 
    FR 43134, August 12, 1997).
        Comment 14--EPA's refusal to consider any options other than add-on 
    controls is unsupportable. EPA regulations, guidance, relevant case law 
    and EPA's definition of RACT contemplates and supports the use of 
    methods other than add-on controls.
        Response 14--RACT requirements do not necessarily always have to 
    include add-on controls. EPA has made many RACT determinations that 
    provide for control methods that do not include add-on controls. These 
    RACT determinations were supported by technical and economic data. A 
    RACT analysis requires that all control options be evaluated for 
    technical and economic feasibility and the potential emission 
    reductions from each of these options compared. Therefore, the 
    commenter is mistaken in concluding that because EPA has proposed to 
    disapprove the PPNC RACT proposal which does not propose any add-on 
    controls, EPA has refused to consider other non-add-on control options. 
    EPA's evaluation of the PPNC submittal merely analyzes the information 
    submitted and available that are relevant to PPNC and concludes that 
    the PPNC proposal is unsupported by the relevant information.
        Comment 15--EPA has inappropriately included Ohio Edison Company in 
    its consideration of costs on PPNC. EPA should consider only PPNC's 
    resources and not those of other companies with which PPNC has a 
    relationship. ``Reasonably available'' requires that cost-effectiveness 
    is determined only on a facility basis.
        Response 15--EPA's analysis of the PPNC RACT submittal did not name 
    particular companies or parent companies as specifically responsible 
    for the costs of PPNC. The cost figures as provided by PPNC are out-of-
    line with those obtained from other sources, including sources under 
    the acid rain program, for similarly sized and typed boilers, resulting 
    in EPA's conclusion that the PPNC RACT proposal submitted by PADEP is 
    not adequately substantiated and supported to justify the emission 
    requirements being requested.
        Comment 16--EPA has failed to give proper deference to PADEP's 
    decision to approve the PPNC proposal as RACT. EPA cannot substitute 
    its judgment for the State's determination because EPA believes more 
    stringent air quality controls are achievable.
        Response 16--Although the State has the initial obligation to 
    determine the appropriate control requirements for sources, EPA is 
    required to review the submission and to approve or disapprove it as 
    complying with the applicable statutory requirements. These 
    requirements include the general requirements of section 110(a)(2) and, 
    in this case, the statutory requirements that the control technology is 
    ``RACT'' for PPNC. While EPA will consider the record for the State's 
    determination, there is no statutory obligation for EPA to defer to the 
    State. To the contrary, the statutory requirement that EPA review and 
    take rulemaking action on the State's submission demonstrates that 
    Congress did not intend for EPA to ``rubber stamp'' State 
    determinations.
        Comment 17--EPA has acted arbitrarily and capriciously in proposing 
    to disapprove the PPNC RACT proposal. EPA has denied PPNC a meaningful 
    opportunity to comment based on each of the reasons above. 
    Consequently, until EPA can resolve the above comments, EPA should 
    suspend this rulemaking and ultimately consider approval of the PPNC 
    RACT proposal or re-propose the disapproval including legal and factual 
    rationale.
        Response 17--EPA's proposed rulemaking action is clear and 
    deliberate in setting forth the legal and factual reasons supporting 
    the proposed disapproval. PPNC and all other interested parties were 
    given ample opportunity to submit comments and supporting information. 
    EPA has addressed every comment made in the commenter's letter and has 
    considered all relevant pieces of information. In conducting this 
    rulemaking action, EPA met its obligations to consider all comments 
    made in response to the proposed rulemaking action. Proceeding to final 
    rulemaking is not predicated on negotiating an acceptable resolution 
    with the parties that submitted comments. EPA concludes that it 
    consideration and review of all submitted information and its rationale 
    supports a disapproval of the PPNC RACT proposal submitted on April 19, 
    1995.
    
    III. Final Action
    
        EPA is disapproving the Pennsylvania Power New Castle plant 
    NOx RACT proposal submitted by PADEP on April 19, 1995 as a 
    requested revision to the Pennsylvania SIP.
        Nothing in this action should be construed as permitting or 
    allowing or establishing a precedent for any future request for 
    revision to any state implementation plan. Each request for revision to 
    the state implementation plan shall be considered separately in light 
    of specific technical, economic, and environmental factors and in 
    relation to relevant statutory and regulatory requirements.
    
    IV. Administrative Requirements
    
    A. Executive Order 12866
    
        This regulatory action has been submitted to the Office of 
    Management and Budget (OMB) for E.O. 12866 review.
    
    B. Regulatory Flexibility Act
    
        Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA 
    must prepare a regulatory flexibility analysis assessing the impact of 
    any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
    Alternatively, EPA may certify that the rule will not have a 
    significant impact on a substantial number of small entities. Small 
    entities include small businesses, small not-for-profit enterprises, 
    and government entities with jurisdiction over populations of less than 
    50,000. This action only affects one source, Pennsylvania Power 
    Company--New Castle plant (PPNC). PPNC is not a small entity. 
    Therefore, EPA certifies that this disapproval action does not have a 
    significant impact on small entities.
        SIP approvals under sections 110 and 301, and subchapter I, part D 
    of the CAA do not create any new requirements but simply approve 
    requirements that the State is already imposing. Therefore, because the 
    Federal SIP approval does not impose any new requirements, EPA 
    certifies that it does not have a significant impact on any small 
    entities affected. Moreover, due to the nature of the Federal-State 
    relationship the CAA, preparation of flexibility analysis would 
    constitute Federal inquiry into the economic reasonableness of state 
    action. The Clean Air Act forbids EPA to base its actions concerning 
    SIPs on such grounds. Union Electric Co. v. U.S. EPA, 427 U.S. 246, 
    255-66 (1976); 42 U.S.C. 7410(a)(2).
    
    C. Unfunded Mandates
    
        Under Section 202 of the Unfunded Mandates Reform Act of 1995 
    (``Unfunded Mandates Act''), signed into law on March 22, 1995, EPA 
    must prepare a budgetary impact statement to accompany any proposed or 
    final rule that includes a Federal mandate that may result in estimated 
    costs to State, local, or tribal governments in the aggregate; or to 
    private sector, of $100 million or more. Under Section 205, EPA must 
    select the most cost-effective and least burdensome alternative that 
    achieves the objectives of the rule and is consistent with statutory 
    requirements. Section 203 requires EPA
    
    [[Page 23673]]
    
    to establish a plan for informing and advising any small governments 
    that may be significantly or uniquely impacted by the rule.
        EPA has determined that the approval action being promulgated does 
    not include a Federal mandate that may result in estimated costs of 
    $100 million or more to either State, local, or tribal governments in 
    the aggregate, or to the private sector. This Federal action approves 
    pre-existing requirements under State or local law, and imposes no new 
    requirements. Accordingly, no additional costs to State, local, or 
    tribal governments, or to the private sector, result from this action.
    
    D. Submission to Congress and the General Accounting Office
    
        The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
    Small Business Regulatory Enforcement Fairness Act of 1996, generally 
    provides that before a rule may take effect, the agency promulgating 
    the rule must submit a rule report, which includes a copy of the rule, 
    to each House of the Congress and to the Comptroller General of the 
    United States. Section 804, however, exempts from section 801 the 
    following types of rules: rules of particular applicability; rules 
    relating to agency management or personnel; and rules of agency 
    organization, procedure, or practice that do not substantially affect 
    the rights or obligations of non-agency parties. 5 U.S.C. 804(3). EPA 
    is not required to submit a rule report regarding today's action under 
    section 801 because this is a rule of particular applicability, 
    applying only to Pennsylvania Power--New Castle plant, located in 
    Lawrence County.
    
    E. Petitions for Judicial Review
    
        Under section 307(b)(1) of the Clean Air Act, petitions for 
    judicial review of this action pertaining to the disapproval of PADEP's 
    NOX RACT proposal for Pennsylvania Power New Castle must be 
    filed in the United States Court of Appeals for the appropriate circuit 
    by June 29, 1998. Filing a petition for reconsideration by the 
    Administrator of this final rule does not affect the finality of this 
    rule for the purposes of judicial review nor does it extend the time 
    within which a petition for judicial review may be filed, and shall not 
    postpone the effectiveness of such rule or action. This action may be 
    challenged later in proceedings to enforce its requirements. (See 
    section 307(b)(2).)
    
    List of Subjects in 40 CFR Part 52
    
        Environmental protection, Air pollution control, Intergovernmental 
    relations, Nitrogen dioxide, Ozone, Reporting and recordkeeping 
    requirements.
    
        Dated: April 8, 1998.
    W. Michael McCabe,
    Regional Administrator, Region III.
    
        Chapter I, title 40, of the Code of Federal Regulations is amended 
    as follows:
    
    PART 52--[AMENDED]
    
        1. The authority citation for part 52 continues to read as follows:
    
        Authority: 42 U.S.C. 7401 et seq.
    
    Subpart NN--Pennsylvania
    
        2. Section 52.2023 is amended by adding paragraph (e) to read as 
    follows:
    
    
    Sec. 52.2023  Approval status.
    
    * * * * *
        (e) Disapproval of the April 19, 1995 NOX RACT proposal 
    for Pennsylvania Power Company--New Castle plant located in Lawrence 
    County, Pennsylvania.
    * * * * *
    [FR Doc. 98-11507 Filed 4-29-98; 8:45 am]
    BILLING CODE 6560-50-M
    
    
    

Document Information

Effective Date:
6/1/1998
Published:
04/30/1998
Department:
Environmental Protection Agency
Entry Type:
Rule
Action:
Final rule.
Document Number:
98-11507
Dates:
This final rule is effective on June 1, 1998.
Pages:
23668-23673 (6 pages)
Docket Numbers:
PA058-4070, FRL-5997-8
PDF File:
98-11507.pdf
CFR: (1)
40 CFR 52.2023