Confidential Business Information For GHG Reporting

EPA is requesting public comment on which industry-related GHG information would be made publicly available and which would be considered confidential under its national mandatory greenhouse gas (GHG) reporting program. Under the Clean Air Act, all emission data are public. Some non-emission data, however, may be considered confidential, because it relates to specific information which, if made public, could harm a business’s competitiveness.

The GHG reporting program requires suppliers of fossil fuels or industrial GHGs and large direct emitters of greenhouse gases to report to EPA. Collecting this data will allow businesses to track emissions and identify cost effective ways to reduce emissions. EPA is preparing to provide data to the public after the first annual GHG reports are submitted in March 2011.

There will be a 60-day public comment period on the proposed rules that will begin upon publication in the federal register.

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Proposed GHG Reporting Requirements For Source Categories

U.S. Environmental Protection Agency (EPA) is proposing final requirements under its national mandatory greenhouse gas (GHG) reporting program for four specific GHG source categories:

1. underground coal mines,
2. industrial wastewater treatment systems,
3. industrial waste landfills and
4. magnesium production facilities.
   

These source categories will begin collecting emissions data on January 1, 2011, with the first annual reports submitted to EPA on March 31, 2012. There will be a 60-day public comment period on the proposed rules that will begin upon publication in the federal register.

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RMP Inspections - Chemical Safety Inspection Interim Guidance

The Environmental Protection Agency (EPA) has released interim guidance on the agency’s chemical safety inspections process. Under the interim guidance, EPA inspectors will offer employees and employee representatives the opportunity to participate in chemical safety inspections. In addition, EPA will request that state and local agencies adopt similar procedures under the Risk Management Program.

The interim guidance pertains to inspections conducted by EPA under the Risk Management Program (RMP). The RMP is intended to reduce the risks to surrounding communities that arise from the management, use or storage of certain hazardous chemicals. Under the Clean Air Act, the Chemical Accident Prevention Provisions (Section 112(r)) require facilities that produce, handle, process, distribute, or store certain chemicals to develop a Risk Management Program, prepare a risk management plan, and submit the plan to EPA.

EPA expects to issue final guidance on participation of employees and employee representative in RMP inspections later this year.

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OSHA Hexavalent Chromium Notification Rule

OSHA has confirmed the effective date of June 15, 2010 for the direct final rule requiring employers to notify their workers of all hexavalent chromium exposures, even if below permissible exposure limit (PEL). The rule revises a provision in OSHA's hexavalent chromium standard that required workers be notified only when they experienced exposures exceeding the PEL. Workers exposed to this toxic chemical are at greater risk for lung cancer and damage to the nose, throat and respiratory tract.

OSHA requested public comments on the revised requirement in a March 17, 2010, Direct Final Rule and accompanying Notice of Proposed Rulemaking. This was done in response to a Third Circuit Court's decision that the agency failed to explain why it departed from the proposed rule that would require notifying workers of all hexavalent chromium exposures. The Agency received no significant adverse comments on this proposed rule, therefore it is proceeding with the Direct Final Rule and withdrawing the accompanying Notice of Proposed Rulemaking.

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Emission Comparable Fuels Rule Withdrawn

EPA has withdrawn the Emission Comparable Fuels (ECF) Rule, which had been finalized in December 2008. The ECF rule sought to reduce regulatory burdens by reclassifying fuels that would otherwise be regulated as hazardous waste, but generate emissions similar to fuel oil when burned.

Due to difficulty of ensuring that emissions from burning ECF are comparable to emissions from burning fuel oil, EPA has now withdrawn the rule. The ECF rule was criticized for potentially allowing hazardous waste to evade the hazardous waste regulatory system, and for being difficult to administer. Industry members have also criticized it because of the detailed conditions for reclassification, which they believe will limited the rule’s use.

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Sulfur Dioxide Health Standard - Final Rule

USEPA has issued a final new health standard for sulfur dioxide (SO2). EPA sets the 1-hour SO2 health standard at 75 parts per billion (ppb), to protect against short-term exposures ranging from five minutes to 24 hours. EPA is also revoking the current 24-hour and annual SO2 health standards because these existing standards would not provide additional health benefits.

EPA is also changing the monitoring requirements for SO2, and also changes the Air Quality Index to reflect the revised SO2 standard.

The final rule addresses only the SO2 primary standards, which are designed to protect public health. EPA will address the secondary standard, designed to protect the public welfare including the environment, as part of a separate review to be completed in 2012.

EPA expects to identify or designate areas not meeting the new standard by June 2012.

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NAICS Code, Corporate Parent in GHG Reporting Rule Requirements

On September 22, 2009, EPA finalized the Greenhouse Gas (GHG) Mandatory Reporting Rule. This rule requires facilities with direct GHG emissions over 25,000 metric tons of carbon dioxide equivalent (CO2e), suppliers of petroleum, natural gas, and industrial gases as well as vehicle and engine manufacturers outside the light duty sector to report to EPA annually.

The data collection starts on January 1, 2010, and the first reports to EPA are due on March 31, 2011. As part of that first report, EPA is now proposing that reporters also include the name of their Corporate Parent and North American Industry Classification System (NAICS) code. In developing the final rule, EPA received comments that this type of information would be useful to the public and EPA, particularly in assisting corporations in assessing emissions at their different facilities and operations. Therefore, EPA has proposed to include these two data elements in the reports and is seeking public comments on the most efficient way of defining and collecting these elements. EPA is also taking comment on whether or not to have reporters list the existence of a co-generation unit at their facility. Timeline

The Comment Period on the proposed amendments to reporting requirements will close June 11, 2010 and EPA anticipated the final rule will be published in October 2010

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GHG Reporting Rule for Carbon Dioxide Injection and Geologic Sequestration

US EPA has proposed an amendment the GHG Reporting Rule to require reporting of greenhouse gas emissions for carbon dioxide (CO2) injection, including geologic sequestration (GS) sites. In addition to tracking CO2 emissions across CO2 capture and injection, this proposal will allow EPA to collect data on efficacy of GS sites for long-term storage of CO2.

The proposed rule would require that sources inject CO2 or sequester CO2 for the purposes of GS to monitor and report emissions. During the development of the GHG Mandatory Reporting Rule, EPA received comments that the Agency should include downstream end-users of CO2, including CO2 used for enhanced oil recovery and/or CO2 geologically sequestered.

The Comment Period on the proposed rule will close June 11, 2010 and EPA anticipates the final rule will be published in October 2010

Caltha LLP provides specialized expertise to clients nationwide in the evaluation environmental rules, developing EH&S compliance procedures, and preparing cost-effective EH&S management programs.

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