[Federal Register Volume 60, Number 160 (Friday, August 18, 1995)]
[Proposed Rules]
[Pages 43100-43104]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-20526]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 52
[LA-22-1-6870; FRL-5280-9]
Approval and Promulgation of Section 182(f) Exemption to the
Nitrogen Oxides (NO) Control Requirements for the Baton Rouge
Ozone Nonattainment Area; Louisiana
AGENCY: Environmental Protection Agency (EPA).
ACTION: Proposed rulemaking.
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SUMMARY: The EPA proposes to approve a petition from the State of
Louisiana requesting that the Baton Rouge ozone nonattainment area be
exempt from NOX control requirements of section 182(f) of the
Clean Air Act (CAA) as amended in 1990. The State of Louisiana bases
its request for Baton Rouge upon a demonstration that additional
NOX reductions would not contribute to ozone attainment in the
nonattainment area.
[[Page 43101]]
DATES: Comments on this proposed action must be received in writing on
or before September 18, 1995.
ADDRESSES: Written comments on this action should be addressed to Mr.
Thomas Diggs, Chief, Air Planning Section, at the EPA Regional Office
listed below. Copies of the documents relevant to this proposed action
are available for public inspection during normal business hours at the
following locations. The interested persons wanting to examine these
documents should make an appointment with the appropriate office at
least 24 hours before the visiting day.
U.S. Environmental Protection Agency, Region 6, Multimedia Planning and
Permitting Division, 1445 Ross Avenue, Suite 700, Dallas, Texas 75202-
2733.
Louisiana Department of Environmental Quality, H. B. Garlock Building,
7290 Bluebonnet, Baton Rouge, Louisiana 70810.
FOR FURTHER INFORMATION CONTACT: Ms. Jeanne McDaniels or Mr. Quang
Nguyen, Air Planning Section (6PD-L), Multimedia Planning and
Permitting Division, U.S. EPA Region 6, 1445 Ross Avenue, Dallas, Texas
75202-2733, telephone (214) 665-7214.
SUPPLEMENTARY INFORMATION:
Background
NOX are precursors to ground level (tropospheric) ozone, or
urban ``smog.'' When released into the atmosphere, NOX will react
with volatile organic compounds (VOC) in the presence of sunlight to
form ozone. Tropospheric ozone is an important factor in the nation's
urban air pollution problem.
The 1990 Clean Air Act Amendments (CAAA) made significant changes
to the air quality planning requirements for areas that do not meet the
ozone NAAQS. Subparts 1 and 2 of part D, title I of the CAA as amended
in 1990 contain the air quality planning requirements for ozone
nonattainment areas. Title I includes new requirements to control
NOX emissions in certain ozone nonattainment areas and ozone
transport regions. Section 182(f) requires States to apply the same
requirements to major stationary sources of NOX as are applied to
major stationary sources of VOC. The new NOX requirements are
reasonably available control technology (RACT) and new source review
(NSR). These provisions are explained more fully in the EPA's NOX
Supplement to the General Preamble published in the Federal Register
(FR) on November 25, 1992 (see 57 FR 55620). In addition, the general
and transportation conformity rules required by section 176(c) (see 58
FR 63214 and 58 FR 62188), and the vehicle inspection and maintenance
(I/M) rules required by section 182(c)(3) (see 57 FR 52989) also
contain new NOX requirements.
Baton Rouge, Louisiana, was designated nonattainment for ozone and
classified as serious pursuant to sections 107(d)(4) and 181(a) of the
CAA. The Baton Rouge nonattainment area consists of the following
parishes: East Baton Rouge, West Baton Rouge, Pointe Coupee,
Livingston, Iberville, and Ascension. Under section 181(a), serious
areas must attain the ozone NAAQS by 1999. Please reference 56 FR 56694
(November 6, 1991, codified for Louisiana at 40 Code of Federal
Regulations 81.319).
Applicable EPA Guidance
The CAA specifies in section 182(f) that if one of the conditions
listed below is met, the new NOX requirements would not apply:
1. In any area, the net air quality benefits are greater without
NOX reductions from the sources concerned;
2. In a nontransport region, additional NOX reductions would
not contribute to ozone attainment in the nonattainment area; or
3. In a transport region, additional NOX reductions would not
produce net ozone benefits in the transport region.
In addition, section 182(f)(2) states that the application of the
new NOX requirements may be limited to the extent that any portion
of those reductions are demonstrated to result in ``excess reductions''
of NOX. The NOX provisions of the conformity requirements
would also not apply in an area that is granted a section 182(f)
exemption (see 58 FR 63214 and 58 FR 62188). In addition, certain
NOX provisions of the I/M requirements would not apply in an area
that is granted a section 182(f) exemption (see 57 FR 52989).
The EPA's Guideline for Determining the Applicability of Nitrogen
Oxides Requirements under Section 182(f) (December 1993) describes how
the EPA will interpret the NOX exemption provisions of section
182(f). In addition, a memorandum signed by John S. Seitz, Director of
the EPA Office of Air Quality Planning and Standards, dated May 27,
1994, and subsequent modifications to that memorandum, describe certain
revisions to the process the EPA currently intends to follow for
granting exemptions from NOX control requirements.
As described more fully in the Seitz memorandum, petitions
submitted under section 182(f)(3) are not required to be submitted as
State Implementation Plan (SIP) revisions. Consequently, the State is
not required under the CAA to hold a public hearing in order to
petition for an areawide NOX exemption determination. Similarly,
it is not necessary to have the Governor submit the petition.
Although the May 27, 1994, Seitz memorandum includes, among the
exemptions that may be submitted under section 182(f)(3), the NOX
requirements of both the general conformity rule (see 58 FR 63214) and
the transportation conformity rule (see 58 FR 62188), the EPA is
currently in the process of revising the transportation conformity rule
to ensure consistency with section 176(c)(3). This impending rule
revision will require areas subject to section 182(b)(1) (i.e.,
moderate, serious, severe, and extreme ozone nonattainment areas) to
submit transportation conformity NOX exemption requests as
revisions to the SIP. All other NOX exemptions (i.e., NOX
NSR, NOX RACT, general conformity NOX requirements, and I/M
NOX requirements) may still be submitted under section 182(f)(3).
In this notice, the EPA is not proposing to approve an exemption from
the transportation conformity NOX requirements. Rather, this will
be accomplished through subsequent rulemaking on a future SIP revision
submitted by the State.
State Submittal
On November 17, 1994, the Louisiana Department of Environmental
Quality (LDEQ) submitted to the EPA a petition pursuant to section
182(f) which requests that the Baton Rouge nonattainment area be
exempted by the EPA from the NOX control requirements of section
182(f) of the CAA.
The State bases its petition on an urban airshed modeling (UAM)
demonstration that additional NOX reductions would not contribute
to attainment in the area. This modeling demonstrates, consistent with
the EPA's December 1993 section 182(f) guidance, that decreases in
ozone concentrations resulting from VOC reductions alone are equal to
or greater than decreases obtained from NOX reductions or a
combination of VOC and NOX reductions. The State's submission
includes a letter from Gustave Von Bodungen, Assistant Secretary of the
LDEQ, to Jane N. Saginaw, Regional Administrator of the EPA Region 6,
requesting exemption from NOX RACT and transportation conformity
requirements for NOX in the Baton Rouge ozone nonattainment area,
along with a summary of modeling results.
[[Page 43102]]
The State of Louisiana also provided supplemental technical reports
based on the modeling demonstration in the Baton Rouge post-1996 rate-
of-progress (ROP) plan submitted to the EPA on November 15, 1994,
pursuant to the requirements of section 182(c)(2)(B) of the CAA. These
reports contained the following: base case model inputs, base case
performance evaluation, 1999 emissions report, and attainment modeling
report. These additional technical reports provided supplemental detail
and documentation on the modeling information provided to the EPA in
the State's petition. In addition, the State submitted follow-up
letters to the petition to (1) provide revisions to several tables
contained in the original petition and (2) broaden the scope of the
original request to also include exemptions under section 182(f) for
NOX NSR, general conformity, and I/M NOX requirements.
Analysis of State Submission
The following items are the basis for the EPA's action proposing to
approve the State of Louisiana's section 182(f) NOX exemption
petition for the Baton Rouge ozone nonattainment area. Please refer to
the EPA's Technical Support Document and the State's submittal for more
detailed information.
A. Consistency With EPA Section 182(f) Guidance
Chapter 4 of the EPA's December 1993 section 182(f) guidance
requires that photochemical grid modeling be used to simulate
conditions resulting from three emission reduction scenarios: (1)
Substantial VOC reductions; (2) substantial NOX reductions; and
(3) both VOC and NOX reductions. To demonstrate that NOX
reductions would not contribute to attainment, the areawide predicted
maximum 1-hour ozone concentration for each day modeled under scenario
(1) must be less than or equal to that from scenarios (2) and (3) for
the same day. Chapter 7 specifies that the application of UAM should be
consistent with the techniques specified in the EPA ``Guideline on Air
Quality Models (Revised),'' and ``Guideline for Regulator Application
of the UAM (July 1991).'' In addition, Chapter 8 of the EPA's December
1993 section 182(f) guidance requires that the modeling simulating
conditions from the NOX emission reduction scenarios include
NOX emission increases after November 15, 1992, due to new or
modified stationary sources of NOX. (Many of these sources would
be subject to the best available control technology requirement through
the prevention of significant deterioration program, but not to NSR
offsets.) As discussed in the next section, the State has met these
requirements by using the UAM consistent with the EPA's guidance.
B. UAM Modeling Analysis
The LDEQ used UAM version IV, an EPA-approved photochemical grid
model, to develop the attainment demonstration for the Baton Rouge
area. The State's modeling activities were performed as outlined in the
UAM modeling protocols, according to the EPA's ``Guideline for
Regulatory Application of the Urban Airshed Model.'' A specific
modeling protocol was developed by the State for its modeling
activities. The State's modeling protocol was reviewed and approved by
the EPA. The discussion below summarizes the EPA's analysis of how the
State's modeling demonstrations complied with the EPA's guidance.
Please refer to the EPA's Technical Support Document for more detailed
information.
1. Episode Selection
The State used the EPA ``Guideline For Regulatory Application of
The Urban Airshed Model'' to select episodes for use in the Baton Rouge
UAM modeling exercises. Data from 1987 through 1991 were examined for
episodes which cover at least 48 consecutive hours and the worst-case
meteorological conditions. Three episodes were selected for the UAM
analysis for the area.
2. Model Domain and Meteorological Input
The LDEQ used a sufficiently large modeling domain for Baton Rouge
to ensure that the model captures the movement of ozone episodes as a
result of the VOC and NOX emissions emitted from the surface
sources. Meteorological data were collected from numerous monitoring
stations in the area. The LDEQ followed the methods described in the
UAM user's guides to develop model inputs for wind field data, mixing
heights, temperature, and meteorological scalars for the areas.
3. Emissions Inventory
The Baton Rouge modeling exercises were conducted using VOC and
NOX emission inventories compiled by survey and direct measurement
by the LDEQ. The modeling emissions inventories are composed of point
source, area, on-road mobile, off-road mobile, and biogenic emissions.
Where applicable, emissions were adjusted for pertinent conditions
related to the episode day to be modeled, thus producing day-specific
emissions. The State followed the EPA's procedures for developing
episode-specific emission inventories.
The EPA's section 182(f) guidance explains that, in general, the
purpose of the section 182(f) requirements for NOX is related to
attainment of the ozone standard, which suggests that an analysis be
focussed on the time that attainment of that standard is required. For
the purpose of a section 182(f) modeling demonstration, this means that
the projected emissions inventory for the attainment year should be
used.
For Baton Rouge, the 1999 attainment year modeling inventory was
developed from the 1990 base year emission inventory and adjusted to
reflect the projected conditions for the attainment year. Demographic
and econometric forecasting methods were employed to project activities
levels to 1999, which, in turn, were used to develop a projected
emissions inventory for 1999. The State then applied the VOC emission
reductions that are projected to be realized through 1996 from the
control regulations contained in the Baton Rouge 15 percent ROP SIP
submitted to the EPA on November 15, 1994, and the NOX controls
implemented between 1990 and 1994 due to facilities' voluntary
participation in the early NOX reduction program. The 1999
inventories did not incorporate any additional NOX emission
reductions that would have been achieved through implementation of the
NOX RACT, NSR, general conformity, or NOX-related I/M
provisions.
4. Model Performance
For Baton Rouge, both graphical and statistical performance
measures were used to evaluate the model. Using these analyses, the
predicted results from the model were compared to the observed results
for each episode. These analyses indicated that, overall, the model
performed satisfactorily for the three episodes used for the UAM
demonstration.
5. Section 182(f) Demonstration
The EPA's section 182(f) guidance requires the State to model three
emission reduction scenarios to evaluate the benefits of NOX
reductions: (1) Substantial VOC reductions; (2) substantial NOX
reductions; and (3) both VOC and NOX reductions.
For the section 182(f) demonstration, the LDEQ modeled the three
emission reduction scenarios for all three episodes using the 1999
projected emission inventory, which includes the voluntary early (1990-
1994) point
[[Page 43103]]
source NOX reductions and the VOC emission controls to be
implemented through 1996 (i.e., 15 percent ROP). The LDEQ modeled the
scenarios using across-the-board reductions in the projected VOC and
NOX point source emission inventories. The State first modeled
substantial NOX and VOC emission reductions as follows: a 100
percent reduction in point source VOC emissions alone; a 100 percent
reduction in point source NOX emissions alone; and a 100 percent
reduction in both VOC and NOX emissions combined. This reduction
represents approximately 46 percent of the total projected
anthropogenic VOC emissions and approximately 57% of the total
projected NOX emissions. The State also modeled smaller across-
the-board reductions in the projected VOC and NOX point source
emissions of 25%, 50%, and 75% separately and then combined in order to
more accurately characterize near-term VOC and NOX control
scenarios.
As explained in the EPA's section 182(f) guidance, the EPA believes
it is appropriate to focus this analysis on the areawide maximum 1-hour
predicted ozone concentration, since this value is critical for the
attainment demonstration. For all three episodes, the controlling day
showed that the domain-wide predicted maximum ozone concentrations are
lowest when only VOC reductions are modeled. In contrast, further
NOX reductions increase the domain-wide maximum ozone
concentrations. Please refer to the EPA's Technical Support Document
for more detailed information.
Proposed Rulemaking Action
In this action, the EPA proposes to approve the section 182(f)
NOX exemption petition submitted by the State of Louisiana for the
Baton Rouge ozone nonattainment area. If finally approved, the
exemption would stop the mandatory sanctions clock started on July 1,
1994, under section 179(a), as a result of the EPA's finding of failure
to submit the NOX RACT SIP. Pursuant to section 179(a), if within
18 months after the finding of failure to submit, the State has not
made a complete submittal or received full approval for a section
182(f) NOX exemption, the EPA would be required to impose the
requirement to provide two-to-one NSR offsets. If the State has not
corrected its deficiency within six months after imposing the offset
sanction, the EPA would impose a second sanction, on highway funding.
Any sanction the EPA imposes must remain in place until the EPA
determines that the State has corrected the deficiency. In addition,
the finding of failure to submit triggered the 24-month clock for the
EPA to impose a Federal Implementation Plan as provided under section
110(c)(1) of the CAA. It should be noted that, if finally approved, the
section 182(f) exemption would not affect any other sanctions clocks
that might be running at that time for findings issued for other
mandatory submittals.
The EPA believes that all section 182(f) exemptions that are
approved should be approved only on a contingent basis. As described in
the EPA's NOX Supplement to the General Preamble (57 FR 55628,
November 25, 1992), the EPA would rescind a NOX exemption in cases
where NOX reductions were later found to be beneficial in the
area's attainment plan. That is, a modeling based exemption would last
for only as long as the area's modeling continued to demonstrate
attainment without the additional NOX reductions required by
section 182(f).
If the EPA later determines that NOX reductions are beneficial
based on new photochemical grid modeling in an area initially exempted,
the area would be removed from exempt status and would be required to
adopt NOX RACT and the NOX provisions of the NSR, I/M, and
general conformity rules except to the extent that modeling shows
NOX reductions to be ``excess reductions.'' In the rulemaking
action which removes the exempt status, the EPA would specify a
schedule for States to adopt the NOX RACT and NSR rules and for
sources to comply with the NOX RACT emission limits.
In summary, the UAM modeling results for the Baton Rouge
nonattainment area indicate that additional NOX reductions as well
as NSR control of any NOX increases related to expected growth
would not contribute to attainment of the ozone standard by 1999. The
EPA therefore proposes to approve a NOX exemption for the Baton
Rouge area. This exemption will remain effective for only as long as
modeling continues to show that NOX control activities would not
contribute to attainment in the Baton Rouge nonattainment area.
Request for Public Comments
The EPA requests comments on all aspects of this proposal. As
indicated at the outset of this action, the EPA will consider any
comments received by September 18, 1995.
Regulatory Process
Under the Regulatory Flexibility Act, 5 U.S.C. 600 et. seq., the
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, the EPA may certify that the rule will not have a
significant economic 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.
Approvals of NOX exemption petitions under section 182(f) of
the CAA do not create any new requirements. Therefore, because the
Federal approval of the petition does not impose any new requirements,
the EPA certifies that it does not have a significant impact on
affected small entities. Moreover, due to the nature of the Federal-
State relationship under the CAA, preparation of a regulatory
flexibility analysis would constitute Federal inquiry into the economic
reasonableness of State action. The CAA forbids the EPA to base its
actions concerning SIP's on such grounds [Union Electric Co. v. U.S.
E.P.A., 427 U.S. 246, 256-66 (S. Ct. 1976); 42 U.S.C. 7410(a)(2)].
Unfunded Mandates
Under sections 202, 203, and 205 of the Unfunded Mandates Reform
Act of 1995 (``Unfunded Mandates Act''), signed into law on March 22,
1995, EPA must assess whether various actions undertaken in association
with proposed or final regulations include a Federal mandate that may
result in estimated costs of $100 million or more to the private
sector, or to State, local, or tribal governments in the aggregate.
EPA's proposed action would relieve requirements otherwise imposed
under the CAA and, hence, would not impose any federal
intergovernmental mandate, as defined in section 101 of the Unfunded
Mandates Act. This action also would not impose a 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.
Executive Order 12866
The Office of Management and Budget has exempted this action from
review under Executive Order 12866.
List of Subjects in 40 CFR Part 52
Environmental protection, Air pollution control, Hydrocarbons,
Intergovernmental relations, Nitrogen dioxide, Ozone, Volatile organic
compounds.
[[Page 43104]]
Dated: August 14, 1995.
Carol M. Browner,
Administrator.
40 CFR part 52 is proposed to be amended as follows:
1. The authority citation for part 52 continues to read as follows:
Authority: 42 U.S.C. 7401-7671q.
Subpart T--Louisiana
2. Section 52.992 is proposed to be amended by adding paragraph (b)
to read as follows:
Sec. 52.992 Area-wide nitrogen oxides (NOX) exemptions.
* * * * *
(b) The LDEQ submitted to the EPA on November 17, 1994, a petition
requesting that the Baton Rouge ozone nonattainment area be exempted
from the NOX control requirements of section 182(f) of the CAA. In
addition, supplemental information was submitted to the EPA by the LDEQ
on January 26, 1995, June 6, 1995, and June 16, 1995. The Baton Rouge
nonattainment area consists of East Baton Rouge, West Baton Rouge,
Point Coupee, Livingston, Iberville, and Ascension parishes. The
exemption request was based on photochemical grid modeling which shows
that reductions in NOX would not contribute to attainment in the
nonattainment area. On (insert date 60 days after date of final
approval), the EPA approved the State's request for an areawide
exemption from the following requirements: NOX new source review,
NOX reasonable available control technology, NOX general
conformity, NOX inspection and maintenance requirements.
[FR Doc. 95-20526 Filed 8-17-95; 8:45 am]
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