Part 2 of 2: 2010 April 23: NJ: SIP changes (including particulates)

Part 2 of 2: 2010 April 23: NJ: SIP changes (including particulates)

I. What Is EPA’s Evaluation of New Jersey’s Subchapter 19 “Control and
Prohibition of Air Pollution From Oxides of Nitrogen?”

    The following is a summary of EPA’s evaluation of New Jersey’s
April 21, 2009 SIP submittal consisting of new provisions and
amendments to existing provisions to Subchapters 19.
    New Jersey previously submitted Subchapter 19 as a SIP revision to
address the NOX RACT requirements, which EPA approved as SIP
revisions on January 27, 1997 (62 FR 3804), March 29, 1999 (64 FR
14832) and July 31, 2007 (72 FR 41626). New Jersey also developed a
NOX Budget Trading Program, which EPA approved as a SIP
revision on May 22, 2001 (66 FR 28063), and the Clean Air Interstate
Rule (CAIR) program, which EPA approved as a SIP revision on October 1,
2007 (72 FR 55666). The current submission provides new provisions and
amendments that establish more stringent RACT limits for facilities
that emit NOX. New Jersey revised Subchapter 19 to require
owners and operators to implement the following new provisions and
amendments to existing provisions:
1. New Provisions
Municipal Solid Waste (MSW) Incinerators
    Section 19.12 of Subchapter 19 is a new provision that establishes
a NOX emission limit, compliance monitoring requirements and
compliance dates for any size MSW incinerator. The new NOX
emission limit is 150 parts per million measured on a dry volume basis
(ppmvd) at 7% oxygen, averaged over a calendar day is set forth in
section 19.12(a). If the NOX emission limit cannot be
achieved, section 19.12(b) provides that owners/operators of the MSW
incinerator can comply by obtaining an alternative maximum allowable
NOX emission rate pursuant to section 19.13 of Subchapter
19. In accordance with section 19.13(h), any State approved alternative
maximum allowable NOX emission limit pursuant to 19.13(c) or
NOX control plan pursuant to 19.13(b) must be submitted by
New Jersey to EPA for approval as a SIP revision. Section 19.12(c)
provides that compliance with the NOX limit is to be
demonstrated with a continuous emission monitoring system (CEMS),
pursuant to section 19.18 of Subchapter 19. Compliance is due by July
18, 2009 if achieved by optimization of an existing NOX air
pollution control system (APCS) without modifying the incinerator,
however the date is extended to May 1, 2011 if compliance must be
achieved by installing a NOX APCS or if it is necessary to
physically modify the incinerator.
    The NOX emission limit of 150 ppmvd is more stringent
than the federal limits currently in effect for existing large and
small MSW incinerators (see 40 CFR Part 62, Subparts FFF and JJJ) and
is more stringent than the limits previously approved by EPA as source-
specific SIP revisions submitted by New Jersey, pursuant to section
19.13 of Subchapter 19.
    EPA supports these new provisions and is proposing to approve them.
Sewage Sludge Incinerators
    Section 19.28 of Subchapter 19 is a new provision that establishes
NOX emission limits and compliance requirements for sewage
sludge incinerators. Section 19.28(a) provides that the NOX
emission limit is 7.0 pounds NOX per ton of dry sewage
sludge for Multiple Hearth type incinerators and 2.5 pounds
NOX per ton of dry sewage sludge for Fluidized Bed type
incinerators, unless the owner/operator is complying with alternative
compliance options at section 19.3(f) of Subchapter 19. The
NOX emission limit of 7.0 pounds NOX per ton of
dry sewage sludge for Multiple Hearth type incinerators is more
stringent than the limits previously approved by EPA as source-specific
SIP revisions submitted by New Jersey, pursuant to section 19.13 of
Subchapter 19. EPA did not previously receive any source-specific SIP
revisions from New Jersey for Fluidized Bed type sewage sludge
incinerators.
    Pursuant to section 19.15(a) of Subchapter 19, owners/operators of
sewage sludge incinerators must demonstrate compliance with either a
CEMS or source emission tests. Pursuant to sections 19.15(b) and (c),
owners/operators shall meet the following compliance demonstration
dates: (1) For a source that was in operation before January 1, 1995,
compliance is to be demonstrated at the frequency set forth in the
permit for the equipment; and (2) for a source that commenced operation
or is altered after January 1, 1995, initial compliance is to be
demonstrated within 180 days of when the source commences operation.
    Pursuant to section 19.3(f) of Subchapter 19, owners/operators of
sewage sludge incinerators may comply by using one of the alternative
options listed in 19.3(f)(1)-(4) or a combination of options (1) and
(3). The options in section 19.3(f) are: (1) An emissions averaging
plan approved by New Jersey pursuant to sections 19.6 and 19.14; (2) an
alternative maximum allowable NOX emission rate approved by
New Jersey pursuant to section 19.13; (3) a plan for seasonal fuel
switching approved by New Jersey pursuant to sections 19.14 and 19.20;
and (4) a plan for phased compliance through the use of either
repowering approved by New Jersey pursuant to section 19.21 or
innovative control technology approved by New Jersey pursuant to
section 19.23. In accordance with New Jersey’s requirements for phased
compliance through the use of either repowering or innovative control
technology, owners/operators were required to have applied

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to implement a plan by February 7, 2006 and to have fully implemented
the plans by November 7, 2009. Since the New Jersey compliance
deadlines have past, unless already fully implemented by November 7,
2009, these two phased compliance plan options are no longer available
as control options.
    When Subchapter 19 was last approved, EPA stated that it takes no
action to either approve or disapprove the existing provisions for
phased compliance using repowering or innovative control technology at
sections 19.21 and 19.23, respectively, because they contain a
compliance date of November 7, 2009, which was beyond the 1-hour ozone
attainment date deadline. See 72 FR 41626, July 31, 2007. EPA continues
to take no action on the phased compliance provisions at sections 19.21
and 19.23, which are no longer viable control options, and requests New
Jersey to delete this date which has now passed the next time
Subchapter 19 is revised.
    EPA supports these changes and is proposing to approve this new
provision.
High Electric Demand Days (HEDD) Electric Generating Units (EGUs)
    Sections 19.29 and 30 of Subchapter 19 are new provisions that
establish a short term and a long term control strategy, respectively,
for limiting NOX emissions on “HEDD” and establishing, as
applicable, recordkeeping, reporting, and monitoring requirements for
EGUs operating on HEDD which are typically days during the summer
months when both temperatures and ozone levels can be high. Section
19.1 defines a “HEDD unit” as an EGU, capable of generating 15
megawatts or more, that commenced operation prior to May 1, 2005, and
that operated less than or equal to an average of 50 percent of the
time during the ozone seasons of 2005 through 2007.1 Section 19.1
defines an HEDD as a day on which the generating load is forecast by
the PJM Interconnection 2 to have a peak value of 52,000 megawatts or
higher.
—————————————————————————

    1 HEDD units can include some stationary gas turbines and some
boilers.
    2 PJM Interconnection is a regional transmission organization
(RTO) that coordinates the movement of wholesale electricity in all
or parts of 13 states and the District of Columbia, including the
State of New Jersey.
—————————————————————————

    Section 19.29 of Subchapter 19, contains the short term strategy to
achieve NOX reductions from HEDD units starting on May 19,
2009 through September 30, 2014 thereby providing owners/operators of
affected units time to develop and implement the long term strategy
pursuant to section 19.30, which requires compliance with the more
stringent NOX emission limits at amended sections 19.4 and
19.5 for boilers and combustion turbines, respectively. HEDD units
applicable to section 19.29 are old units that typically emit high
levels of NOX on HEDD.
    The short term strategy is based upon a March 2, 2007 Memorandum of
Understanding (MOU) 3 signed by New Jersey and the other member
states of the Ozone Transport Commission (OTC). This MOU commits New
Jersey to reduce NOX emissions associated with HEDD units by
19.8 tons per day (TPD) on high electric demand days. Pursuant to
section 19.29(b), this short term strategy requires owners/operators of
HEDD units to do the following: (1) By June 18, 2009, submit to New
Jersey an approvable “2009 Protocol” that defines all of the control
measures pursuant to section 19.29(d) needed to achieve its share of
the statewide NOX emission reductions from HEDD units, on
each HEDD day during the period May 19, 2009 through September 30,
2014, as determined by `Equation 1′ of section 19.29(c); (2) provide a
demonstration that all the required NOX reductions were
obtained and include a demonstration in an annual report, pursuant to
section 19.29(k); and (3) submit the annual report to New Jersey by
January 30th of the following year, pursuant to section 19.29(k).
—————————————————————————

    3 “Memorandum of Understanding Among the States of the Ozone
Transport Commission Concerning the Incorporation of High Electric
Demand Day Emission Reduction Strategies into Ozone Attainment State
Implementation Planning”.
—————————————————————————

    The short term strategy also defines the applicability of the rule
to specific affected sources, provides for recordkeeping and reporting
requirements, provides detailed compliance requirements of an
approvable 2009 Protocol, and establishes permitting requirements.
    It should be noted that pursuant to section 19.29(b)(3) of New
Jersey’s short term strategy, owners/operators of subject HEDD units
may request the State’s approval of a phased compliance plan, pursuant
to section 19.22, which provides an additional year for compliance with
the required NOX reductions due to impracticality. During
the interim period, section 19.22(g)(4) requires owners/operators of an
approved phased compliance plan to control NOX emissions
either by adjusting the combustion process or seasonally combusting
natural gas, pursuant to section 19.20, or implementing other control
measures that New Jersey determines are appropriate.
    In addition to meeting the NOX reductions, (tons/HEDD)
as provided in Equation 1, for the period from May 20, 2009 through
April 30, 2015 owners/operators of HEDD units that are stationary
combustion turbines are also required to meet a specific NOX
emission limit (expressed as lbs/MMBTU), pursuant to section 19.5, as
follows: (1) Table 4 emission limits apply for simple cycle combustion
turbines; and (2) Table 5 emission limits apply for combined cycle or
regenerative cycle combustion turbines.
    New Jersey’s long term NOX reduction strategy provided
in section 19.30 of Subchapter 19 addresses requirements for owners/
operators of HEDD units meeting new NOX emission limits
starting in 2015 and beyond. As stated above, the new more stringent
NOX emission limits, for boilers and combustion turbines,
respectively, are provided in the new amendments in sections 19.4 and
19.5. Owners/operators of HEDD units are required to submit to New
Jersey a “2015 HEDD Emission Limit Achievement Plan” (“2015 Plan”)
by May 1, 2010. The purpose of the 2015 Plan is to document how the
owner/operator intends to comply with the 2015 HEDD NOX
emission limits and to provide a schedule by which the new emission
limits will be achieved for each HEDD unit. Owners/operators of HEDD
units are required to submit to New Jersey an annual update on the
progress of the 2015 Plan for each calendar year from 2010 through
2014. Owners/operators of HEDD units are required to indicate any
obstacles that might impede progress in achieving compliance with the
applicable 2015 NOX emission limit and any steps needed to
overcome these obstacles in their annual updates.
    EPA supports the new provisions, which address NOX
reductions from HEDD units and proposes to approve them.
2. Amendments to Existing Provisions
Boilers Serving Electric Generating Units (EGUs)
    New Jersey revised section 19.4 of Subchapter 19 by lowering the
current SIP approved NOX emission rates, and by providing
new compliance dates, as summarized in Tables 1-3 of Subchapter 19, for
boilers serving EGUs. Owners/operators must comply with the new
NOX emission rates unless they are complying with the
alternative compliance options in section 19.3(f) 4

[[Page 21204]]

or unless otherwise specified in an enforceable agreement with New
Jersey.
—————————————————————————

    4 Whenever EPA refers to section 19.3(f), the reader is
referred to the discussion at section I.I.1 of this rulemaking
relating to sewage sludge incinerators.
—————————————————————————

    The NOX emission rates in Table 1 of the amendments are
the same as the emission rates in the current SIP approved Subchapter
19 and are required to be complied with until December 14, 2012. For
coal boilers, the NOX emission rates in Tables 2 and 3 are
lowered to 1.5 pounds per megawatt hour (lb/MWh), resulting in
additional NOX reductions ranging from about 75 percent to
85 percent, depending upon the boiler type, and the operative
compliance date is December 15, 2012. New Jersey revised the
NOX emission rates from heat input based rates (pounds per
MMBTU) in Table 1 to the production output based rates (lb/MWh)
provided in Tables 2 and 3. Output based limits encourage sources to
improve plant operating efficiency and encourage pollution prevention
measures, such as clean energy supply, which result in reduced fuel
consumption and reduced emission of pollutants, including
NOX.
    When calculating a 24-hour NOX emission rate for coal
combustion at a coal boiler, section 19.4 allows owners/operators to
exclude emissions during startup and shutdown under the following
restricted conditions: (1) For startup, when the unit is not combusting
fossil fuel (coal), for a period not to exceed 8 hours, from initial
combustion until the unit combusts coal and is synchronized with a
utility electric distribution system; and (2) for shutdown, when the
unit is no longer combusting coal and no longer synchronized with a
utility electric distribution system. New Jersey provided for this
exemption because of technological limitations: Selective catalytic
reduction (SCR) and selective non-catalytic reduction (SNCR) control
technologies do not control NOX emissions effectively at
lower than optimum temperatures that can occur during startup and
shutdown periods. EPA is in agreement with New Jersey’s exemption for
the following reasons: (1) The impact on ambient air quality is
minimized by New Jersey’s narrowly defined startup and shutdown
requirements; (2) the exemption only applies during startup and
shutdown periods when coal is not combusted; (3) the NOX
control strategies have technological limitations during startup and
shutdown periods; and (4) New Jersey requires compliance with oil/gas
NOX emission limits during this startup/shutdown period.
This startup/shutdown exemption is consistent with EPA’s guidance as
discussed in the TSD.
    For oil and gas boilers, the NOX emission rates provided
in section 19.4, Table 3, expressed as lb/MWh, are more stringent as
follows: (1) 2.0 for boilers combusting heavier than No. 2 fuel oil,
resulting in additional NOX reductions as high as 53
percent, depending upon the boiler type; and (2) 1.0 for boilers
combusting either No. 2 and lighter fuel oil or gas only, resulting in
additional NOX reductions ranging from about 50 percent to
76 percent, depending upon the boiler type.
    The operative compliance date for oil and gas fired boilers that
are subject to the new NOX emission rates in Table 3 is May
1, 2015.
    Pursuant to section 19.4(f) of Subchapter 19, owners/operators of
coal-fired boilers may request from New Jersey a one-year extension of
both the December 15, 2012 emission limit compliance deadline and the
June 15, 2013 compliance demonstration deadline required at section
19.4(d)(1). Section 19.4(f) provides the necessary administrative and
procedural requirements for owners to submit an extension request and
the conditions under which New Jersey will approve the extension
request.
    EPA supports and proposes to approve the amendments to the current
SIP-approved provision as they provide for further NOX
reductions from boilers serving EGUs.
Stationary Combustion Turbines
    New Jersey revised section 19.5 of Subchapter 19 to lower the
current SIP approved NOX emission rates and to provide
compliance dates for stationary combustion turbines, as summarized in
Tables 4-7 of Subchapter 19. The NOX emission rates in
Tables 4 through 6 are the same as the emission rates in the current
SIP approved Subchapter 19.
    Table 7 is applicable to all HEDD unit stationary combustion
turbines or stationary combustion turbines capable of generating 15 MW
or more that commenced operation on or after May 1, 2005. The
NOX emission rates in Table 7 are more stringent, by
approximately 40 to 54 percent, depending upon the type of turbine and
fuel combusted, than the current Table 6 SIP approved NOX
emission rates. Owners/operators of affected units must comply with the
Table 7 NOX emission rates on and after May 1, 2015.
    EPA supports and proposes to approve the amendments to the current
SIP approved provision as they provide for further NOX
reductions from stationary combustion turbines.
Industrial/Commercial/Institutional (ICI) Boilers and Other Indirect
Heat Exchangers (IHEs)
    New Jersey revised section 19.7 of Subchapter 19 by lowering the
current SIP approved maximum allowable NOX emission rates,
by providing compliance dates, and by lowering the applicability
threshold for ICI boilers and other IHEs. The more stringent
requirements at section 19.7 do not apply to ICI boilers and other IHEs
at petroleum refineries. Owners/operators must comply with the
NOX emission rates unless they are complying with the
alternative compliance options in section 19.3(f) (see footnote 4).
    The NOX emission rates in the new Table 9 are more
stringent than the current SIP approved rates in Table 8 and are
applicable to owners/operators of ICI boilers and IHEs, whether or not
the source is located at a facility classified as major for
NOX, for those sources that are not located at a petroleum
refinery. Newly applicable sources are required to be in compliance
with the new limits as follows: (1) The applicability threshold is
lowered, for sources with a heat input rate expressed as lb/MMBTU, to
25 from 50 lb/MMBTU and (2) the applicability of these provisions is
extended to ICI boilers and IHEs not located at a facility classified
as major for NOX. The new NOX emission rates are
lowered as much as 77%, depending upon the boiler type and/or fuel
combusted. The State has indicated there are no longer any coal-fired
boilers in operation. Therefore it has deleted the requirement to
comply with these NOX emission rates for the source category
“coal-fired boilers.” For sources with a heat input rate of at least
25 MMBTU/hr but less than 50 MMBTU/hr, compliance with the Table 9
NOX emission rates are required on and after (1) May 1, 2011
if compliance is achieved without physically modifying the boiler or
IHE and (2) May 1, 2012 for sources that comply by a physical
modification. For sources with a heat input rate of at least 50 MMBTU/
hr, compliance with the Table 9 NOX emission rates is
required on and after (1) May 1, 2010 if compliance is achieved without
physically modifying the boiler or IHE and (2) May 1, 2011 for sources
that comply by a physical modification.
    For ICI boilers and IHEs located at petroleum refineries, the
current SIP approved NOx emission rates in Table 8 are still
applicable.
    EPA supports and proposes to approve the amendments to the current
SIP-approved provision as the amendments provide for further
NOX

[[Page 21205]]

reductions from ICI boilers and other IHEs.
Asphalt Pavement Production Plants
    New Jersey revised section 19.9 of Subchapter 19 by lowering the
current SIP approved maximum allowable NOX emission limit
for dryers at asphalt production plants, by providing new compliance
dates, and by requiring implementation and recordkeeping associated
with new best management practices. The NOX emission limits
are lowered, in the range of 37 to 67 percent, from 200 ppmvd, as
measured at 7 percent oxygen, to more stringent limits depending upon
the fuel combusted in the dryer. The new NOX emission limits
are as follows: (1) 75 ppmvd for natural gas combustion; (2) 100 ppmvd
for No. 2 fuel oil combustion; and (3) 125 ppmvd for No. 4 fuel oil,
heavier fuel oil, on-specification used oil or any mixture of these
three oils. Owners/operators must comply with the NOX
emission limits unless they are complying with the alternative
compliance options in section 19.3(f) (see footnote 4). In addition,
owners/operators must annually adjust the combustion process of the
dryer pursuant to section 19.16 of Subchapter 19.
    Owners/operators of an asphalt pavement production plant that are
complying without physically modifying the dryer must be in compliance
with the new NOX emission limits by the following dates: (1)
By May 1, 2011, for sources with a heat input rate of less than 100
MMBTU/hr and (2) by May 1, 2010, for sources with a heat input rate of
at least 100 MMBTU/hr. For owners/operators of sources that must make
physical modifications to comply, the compliance date is extended one
year for each of the scenarios above.
    EPA supports and proposes to approve the amendments to the current
SIP approved provision that addresses NOX reductions from
asphalt pavement production plants.
Glass Manufacturing Furnaces
    New Jersey revised section 19.10 of Subchapter 19 by lowering the
current SIP approved NOX emission limits by approximately 27
to 64 percent, by adding new applicable source categories, and by
providing compliance dates for glass manufacturing furnaces having the
potential to emit more than 10 tons of NOX per year. The new
NOX emission limits for glass manufacturing furnaces subject
to the provisions are either 4.0 or 9.2 tons NOX per ton of
glass removed from the furnace, depending upon the type of glass
produced and the production rate of the glass furnace. The amendments
applicable to glass manufacturing furnaces that produce pressed glass,
blown glass, fiberglass and flat glass are now regulated by section
19.10.
    Pursuant to section 19.10(f), in lieu of meeting the NOX
emission limits at sections 19.10(a) and (b), owners/operators of glass
manufacturing furnaces may comply by using the alternative compliance
options at section 19.10(f), which parallel those for sewage sludge
incinerators at 19.3(f) (see footnote 4), except that the alternative
compliance option for innovative control technology and the phased
compliance by repowering are not allowed by New Jersey.
    Owners/operators of glass manufacturing furnaces are required to be
in compliance with the new NOX emission limits on and after
May 1, 2010. Based on economic considerations, compliance with the
amendments is required on the first day of startup after rebricking of
the furnace occurs. Since economic feasibility is one of the RACT
requirements, New Jersey’s compliance requirement is acceptable to EPA.
    EPA supports and proposes to approve the amendments to the current
SIP approved provision that addresses NOX reductions from
glass manufacturing furnaces.
Alternative and Facility-Specific NOX Emission Limits (AELs
and FSELs)
    Section 19.13 of Subchapter 19 establishes a procedure for making
case-by-case RACT determinations for facilities classified as major for
NOX, for an item of equipment, or for a source operation.
Owners/operators of major NOX facilities with emission
sources having a potential to emit of more than 10 tons of
NOX per year, where no previous presumptive NOX
emission limit has been established in Subchapter 19, are required to
apply to New Jersey for a facility-specific emission limit (FSEL).
Where a presumptive NOX emission limit exists in Subchapter
19 and owners/operators determine that the presumptive NOX
limit cannot be met by the source, the owners/operators can apply to
New Jersey, pursuant to the procedures in section 19.13, for an
alternative emission limit (AEL). FSELs and AELs are determined on a
case-by-case basis. Pursuant to section 19.13(h), any FSEL or AEL
approved by New Jersey must be submitted by the State to EPA for
approval as a revision to the SIP. If EPA denies the approval of the
proposed NOX plan as a revision to the SIP, section 19.13(l)
provides that New Jersey will revoke its approval of the plan.
    Section 19.13 is amended by requiring owners/operators of each
facility with either an FSEL or an AEL that was issued by New Jersey
before May 1, 2005 to submit a new NOX control plan by
August 17, 2009 unless a 90-day extension is requested and approved by
the State. Pursuant to section 19.13(b)(1), any FSEL approved by New
Jersey after May 19, 2009 will not have an expiration date unless there
is a modification, alteration or reconstruction of the source, for
which the State’s approval of a new FSEL is required. Pursuant to
section 19.13(b)(2) any AEL approved by New Jersey will have a term
limit of 10 years. An approval of an AEL is void upon alteration of the
equipment or source operation, unless New Jersey determines that the
alteration does not materially affect the basis of the original
approval or the source, prior to the alteration, applies for and
obtains a revised AEL (see sections 19.13(b)(6) and 19.13(k)). New
Jersey made these amendments after its review of existing FSELs and
AELs many of which were approved as long ago as 1997. In many cases,
the State determined that control technologies have advanced
sufficiently since that time, warranting reevaluations of these case-
by-case determinations.
    EPA supports and proposes to approve the amendments to the current
SIP approved provision as they will lead to potential NOX
reductions from specific-sources.
3. Additional Amendments to Subchapter 19
    New Jersey adopted a number of other amendments since EPA last
approved amendments to Subchapter 19 (72 FR 41626, July 31, 2007).
Among other things, these amendments (1) Revised terms and definitions
that do not change the meaning or stringency of the provisions; (2)
revised section 19.2 to expand the list of the following applicable
source categories: Certain glass manufacturing furnaces, any municipal
solid waste incinerator, and any sewage sludge incinerator; (3) revised
section 19.3 to exclude owners/operators of HEDD units from using
alternative compliance options at section 19.3(f), beginning on May 1,
2015; and (4) deleted the entire provision at section 19.27 that
referred to New Jersey’s now defunct Open Market Trading Program at
Subchapter 30 that was repealed in 2004.

[[Page 21206]]

4. Compliance Dates
    New Jersey amended Subchapter 19 by including new provisions and
amendments to previously approved SIP provisions that result in more
stringent NOX emission limitations that will lead to
additional reductions in NOX emissions from the affected
major stationary combustion sources.
    New Jersey uses the emission benefits from the new provisions and
amendments to Subchapter 19 in a variety of ways in the SIP. Some are
used to meet reasonable further progress goals, others as a contingency
measure should an area fail to attain the 1997 ozone standard, some to
support the “weight of evidence” arguments concerning attainment of
the 1997 ozone standard, and others that will be used to help to attain
the new 2008 ozone standard (currently under reconsideration) that New
Jersey anticipates will replace the 1997 ozone standard. In addition,
New Jersey was seeking to fulfill the section 182(b)(2) and section
172(c)(1) requirements for RACT as applied to both the 1997 and 2008
ozone standards in setting the emission standards and compliance due
dates.
    Emission reductions required by sections 182(b)(2) and 172(c)(1) of
the Act, used to fulfill in the 1997 ozone SIP, are required to be
achieved by May 2009. Sources with compliance periods that go beyond
May 2009 are used as contingency measures or towards meeting RACT for
the 2008 ozone standard. In determining a compliance date for a level
of control that can be considered RACT, the time necessary to make the
required modifications and the cost of modifications were taken into
consideration. For example, rebricking of a glass manufacturing
furnace, which usually accompanies new emission controls, is a
significant factor in evaluating both time and expenses necessary for
the project. Requiring a “rebricking” of a furnace before it is
physically necessary would constitute a significant additional cost
that could result in the new emission controls being considered
economically unreasonable.
    The compliance dates included in Subchapter 19’s provisions are as
expeditious as practical considering the level of the required new
controls. Consistent with the Phase 2 Rule, any emission reduction used
in the 1997 ozone SIP is required to occur no later than the start of
the 2009 ozone season, which is the time by which a state must
demonstrate that it achieved the necessary emission reductions to meet
the June 15, 2010 attainment date for areas that are classified as a
moderate nonattainment area for the 8-hour ozone standard.
    Based on preliminary air quality data monitored for the 3-year
period from 2007-2009, the Philadelphia-Wilmington-Atlantic City, PA-
NJ-MD-DE nonattainment area is eligible for a one year extension of its
attainment date to June 15, 2011 because of the clean air quality data
monitored for 2009. Similarly, the New York-N.New Jersey-Long Island,
NY-NJ-CT nonattainment area is eligible for a clean data determination
based on three years of clean data. In addition, consistent with EPA’s
last approval of Subchapter 19 (see 72 FR 41626, July 31, 2007), EPA
continues to take no further action to approve or disapprove the
existing provisions for phased compliance by repowering and innovative
control technology at sections 19.21 and 19.23. These provisions still
include the compliance date of November 7, 2009, which is beyond the
November 15, 2007 attainment deadline for the NY-NJ-CT 1-hour ozone
standard. For this reason, as indicated in EPA’s July 2007 approval of
Subchapter 19, New Jersey should delete the reference to the November
7, 2009 compliance date for these two phased compliance plans.
5. Other Comments
    As stated above, owners/operators of HEDD units subject to New
Jersey’s short term strategy at section 19.29 may apply to the State
for approval of a phased compliance plan pursuant to section 19.22 that
allows for an additional year for compliance with the required
NOX reductions due to demonstrated impracticality. However,
at section 19.1, the definition of “interim period” allows a source
an additional two years instead of one year from May 19, 2009. As
discussed with the State, New Jersey should revise section 19.1 to make
it consistent with section 19.22.
6. NOX RACT
    EPA originally approved Subchapter 19 into the SIP on May 31, 1972.
37 FR 10842, 10880 and 40 CFR 52.1576. This rule was adopted because
the Clean Air Act requires states to submit to EPA a plan that provides
for implementation, maintenance and enforcement of a degree of nitrogen
oxide reduction that is necessary to achieve attainment with the NAAQS.
New Jersey developed, adopted and submitted to EPA, for approval into
the SIP, Subchapter 19, a plan for the application of reasonably
available control technology to reduce nitrogen oxide emissions from
stationary sources.
    Pursuant to 40 CFR 81.331, New Jersey-NO2 table, all
areas in New Jersey are classified as “Cannot be classified or better
than national standards.”
    New Jersey submitted previous versions of Subchapter 19 as SIP
revisions which EPA approved as SIP revisions on January 27, 1997 (62
FR 3804), March 29, 1999 (64 FR 14832) and July 31, 2007 (72 FR 41626).
New Jersey also developed, adopted and submitted to EPA a
NOX Budget Trading Program and a Clean Air Interstate Rule
(CAIR) program which EPA approved as SIP revisions on May 22, 2001 (66
FR 28063) and October 1, 2007 (72 FR 55666), respectively. The current
submission provides new provisions and amendments that establish more
stringent RACT limits for stationary sources that emit NOX.
    Given the previously approved versions of Subchapter 19 and the
most recent version of Subchapter 19 that EPA is proposing to approve
in this action, EPA has determined that New Jersey has met the
requirement to adopt NOX RACT. Therefore, the 40 CFR 52.1576
finding relating to the New Jersey SIP not providing for NOX
RACT has been satisfied and this finding should be removed.

J. What Is EPA’s Evaluation of New Jersey’s Subchapter 21–“Emission
Statements?”

    This rule requires industrial facilities to report annually
detailed information on specified air pollutant emissions and process-
related data to New Jersey, if the facility emits or has the potential
to emit air pollutants above a specified emissions threshold. New
Jersey previously submitted Subchapter 21 (state effective date
February 18, 2003) as a SIP revision and EPA approved it on August 2,
2004 (69 FR 46106). In this action, EPA is acting on two revisions to
Subchapter 21, one adopted on October 30, 2008 with an operative date
of December 29, 2008 and the second adopted on March 20, 2009 with an
operative date of May 19, 2009.
    The October 30, 2008 revision incorporated changes to the
definition of volatile organic compounds (VOC) in section 21.1. The new
definition excludes tertiary butyl acetate or t-butyl acetate (TBAC)
from VOC emissions limitations or VOC content requirements, but
requires that TBAC be considered a VOC for purposes of recordkeeping,
emissions reporting, photochemical dispersion modeling and inventory
requirements. EPA evaluated New Jersey’s revised VOC definition for
consistency with the Act, EPA regulations, and EPA policy. The revised
definition of VOC as used in the

[[Page 21207]]

above rules is consistent with EPA’s definition in 40 CFR 51.100(s).
EPA is proposing to approve this revision.
    The March 20, 2009 version incorporates changes to sections 21.1
and 21.5 that require owners/operators of VOC stationary storage tanks
with floating roofs to provide additional emission information
concerning roof landing operations.
    EPA evaluated New Jersey’s revisions for consistency with the Act,
EPA regulations, and EPA policy and proposes to approve them.

II. Conclusion

    Both Subchapters 16 and 19 contain provisions which require case-
by-case RACT determinations to be submitted as SIP revisions. These
case-by-case RACT determinations are needed to fulfill the RACT
requirement of section 182 of the Act. The State is in the process of
evaluating these determinations for approval and therefore has not yet
submitted them as SIP revisions. EPA would normally propose to
conditionally approve this SIP revision as meeting the RACT requirement
pending New Jersey’s submission and EPA’s approval of the case-by-case
RACT determinations. However, based on information provided by New
Jersey, the quantity of NOX and VOC emissions relevant to
these determinations is below 5 percent of the stationary source
baseline of emissions which is what EPA considers to be de minimis.
Therefore, pursuant to EPA guidance,5 EPA is proposing to approve
Subchapters 16 and 19. The remaining element needed to fulfill the VOC
RACT requirement is New Jersey’s Subchapter 26, which New Jersey
submitted to EPA on April 9, 2009, as a SIP revision and which EPA is
currently reviewing.
—————————————————————————

    5 “Approval Options for Generic RACT Rules Submitted to Meet
the non-CTG VOC RACT Requirement and Certain NOX RACT
Requirements,” November 7, 1996.
—————————————————————————

    Therefore, EPA evaluated New Jersey’s submittal for consistency
with the Act, EPA regulations and policy. The proposed new control
measures will strengthen the SIP by providing additional
NOX, SO2, fine particulate, and VOC emission
reductions. Accordingly, EPA is proposing to approve the revisions to
Subchapters 4, 10, 16, 19 and related revisions to Subchapter 21, as
adopted on March 20, 2009, except that EPA is continuing to not act,
for the reasons explained above in this rulemaking, on the phased
compliance plans by repowering and innovative control technology in
sections 19.21 and 19.23, respectively. In addition, EPA is proposing
to delete 40 CFR 52.1576, relating to a prior finding that
NOX RACT was not included in the New Jersey SIP.

III. Statutory and Executive Order Reviews

    Under the Clean Air Act, the Administrator is required to approve a
SIP submission that complies with the provisions of the Act 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 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 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 Clean Air Act; 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 rule 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, Intergovernmental
relations, Nitrogen dioxide, Ozone, Particulate matter, Reporting and
recordkeeping requirements, Sulfur oxides, Volatile organic compounds.

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

    Dated: April 14, 2010.
Judith A. Enck,
Regional Administrator, Region 2.
[FR Doc. 2010-9463 Filed 4-22-10; 8:45 am]
BILLING CODE 6560-50-P

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This entry was posted in N ("New") States = NH, NJ, NM, NY = New Hampshire, New Jersey, New Mexico, New York. Bookmark the permalink.

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