MATS Rule Reconsideration Request

A group of fossil fuel power generation developers have petitioned the U.S. District Court of Appeals in the District of Columbia to either expedite their case against the Environmental Protection Agency or order the agency to meet a deadline for revising the requirements of its Mercury and Air Toxics Standards (MATS). The developers originally sued the EPA over the requirements of the MATS program, which they contend are too burdensome and cannot be met in time for a variety of new coal- and oil-fired project to qualify for an exemption from the EPA's New Source Performance Standards (NSPS).

The court initially agreed with the developers, but in September put the case in abeyance while the EPA reconsidered the controversial parts of the MATS rules, with a deadline for finalizing changes by March 2013. The developers want to resolve the case  so they can meet the April 12, 2013 compliance deadline for exemption from NSPS. The developers are asking the court to issue a court order by November 15 that would force the EPA to comply with the March 2013 deadline or expedite the case so it can be resolved earlier.

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Compliance Deadline For Chemical Manufacturing Area Sources NESHAP Put On Hold

EPA says it will publish a final rule in an upcoming Federal Register placing a "stay" on revisions to emissions standards for chemical manufacturing area sources (CMAS). The stay effectively places the rule on hold.

In January 2012, EPA issued a proposed rule reconsidering provisions in the final National Emissions Standards for Hazardous Air Pollutants for CMAS. The compliance date for the final CMAS rule is October 29, 2012. However, EPA is still in the process of finalizing the reconsideration action and needs more time to complete it. The rule, as found at 40 CFR Part 63, Subpart VVVVVV will be on hold until 60 days after it is published in the Federal Register.

EPA had originally published the final CMAS rule in 2009, but petitioners asked the Agency to reconsider certain provisions in the rule. The January 2012 proposed reconsiderations include provisions that, if finalized, would revise the applicability of the final rule.

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Proposed Revision To Colorado Tank Rules

The Colorado Department of Labor and Employment (CDLE) – Division of Oil and Public Safety (OPS) is proposing changes to all Articles of regulation 7 CCR 1101-14, Storage Tank Regulations. These proposed changes include some technical changes (additions or changes of existing requirements) and to clarifications.

Some of the key proposed changes include:
Article 1 – General Provisions
• Add some definitions from statutes or from existing regulation Articles.
• Add a Glossary of terms.
• Clarified the definition of “Owner”.

Article 1.5 (New) – Motor Fuel Dispensing, Weights and Measures, and Product Quality
• Add a Motor Fuel Dispensing and Weights and Measures Article describing current requirements.

Article 2 – Underground Storage Tanks
• Clarify UST systems that are exempt from the Regulations.
• Clarify “Determination of Ownership and Use”.
• Remove specifics of what is required on the installation application and defaulted to the current application for these specifics.
• Added the requirement to conduct an assessment during repairs of subsurface portions of a UST system.
• Add out of service requirements to add flexibility for tank owners with systems that operate seasonally.

Article 3 – Aboveground Storage Tanks
• Added a new table describing restricted-capacity fleet vehicle motor fuel dispensing operations.

Article 4 – Release Reporting, Investigation, and Confirmation
• Define water in tank as two inches or more.
• Define suspected release in containment equipment as when fuel is in contact with penetration points, and add a requirement for hydrotesting of spill containment in response to this suspected release.
• Add a requirement for a site check in response to inconclusive SIR results.
• Add a requirement for a site check in response to a failed system test.

Article 5 – Release Response and Corrective Action
• Remove parameters of calculating site-specific target levels. This information will be included in the Guidance Document.
• Clarify that the responsibility for addressing releases remains with the owner/operator who owned the tank system at the time of the release.
• Add requirement to assess groundwater in response to a confirmed release.
• Add specifications for pilot testing.
• Add specific conditions to be met prior to requesting no further action.

Article 6 - Enforcement
• Add a description of the enforcement process which is currently employed.

Article 8 – Petroleum Storage Tank Fund
• Add language specifying that an owner/operator who is reimbursed for cleanup costs must remain in operational compliance to continue to be reimbursed.
• Add language specifying reimbursement/invoice format requirements.
• Add the requirement that applications for reimbursement of costs must be submitted within 5 years of incurring the costs.
• Add “unallowed status” for costs, associated with fees or other payments, incurred to obtain access to off-site properties.
• Add “unallowed status” for costs associated with the rental of equipment owned by the applicant if the purchase of the equipment was previously reimbursed.
• Add requirement to send an application back to the Committee for review if the facility is out of operational compliance.
• Add a description of the “Vendor Offset” policy.


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FERC Proposed Rulemaking To Reduce Reporting and Filings

The Federal Energy Regulatory Commission (FERC) announced on October 18 three proposed regulatory reform actions to ease the regulatory burdens on the natural gas and oil pipeline industries. The Commission issued three Notices of Proposed Rulemaking that would reduce the pipeline industries' regulatory burden:

• A proposal to eliminate 145 annual filings made by Natural Gas Act pipelines as a result of a change in the annual charge assessment unit surcharge;
• A proposal to streamline the processing of rate and other filings by intrastate pipelines performing interstate service under section 311 of the Natural Gas Policy Act and Hinshaw pipelines; and
• A proposal to eliminate oil pipelines' unnecessary filings, update requirements for service, and update requirements for posting tariff information.

Comments on each proposal are due 30 days after publication in the Federal Register.

FERC staff also issued a report that identifies minor revisions to the Commission's natural gas pipeline regulations that may be appropriate to remove reporting requirements that no longer serve their intended purpose. The report was issued pursuant to the Nov. 8, 2011, Plan for Retrospective Analysis of Existing Rules prepared in response to Executive Order 13579, which requested independent regulatory agencies issue plans for periodic retrospective analysis of their existing regulations. Comments on the FERC staff report are due November 18.


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Proposed Changes To GHG Estimating Method Used By Electronics Manufacturers

US EPA is proposing to change the manner which electronics manufacturers calculate and monitor their greenhouse gas (GHG) emissions. The proposed rule, “GHG Reporting Program: Proposed amendments and confidentiality determinations for Subpart I,” was published in the October 16 Federal Register. Proposed changes include revising calculation methods and adding a new method, amending data reporting requirements, and clarifying terms and definitions. The Agency will accept comments until December 17, 2012.

The action also proposes confidentiality determinations for the reporting of the new and revised data elements. EPA said that many of the proposed actions are in response to a petition to reconsider specific aspects of the regulations.

Caltha LLP provides specialized expertise to clients nationwide in the evaluation environmental rules, developing EHS compliance procedures, and preparing cost-effective EHS management programs. For further information contact Caltha LLP at info@calthacompany.com or Caltha LLP Website

Revision To IDEM Underground Storage Tank Rules

Indiana Department of Environmental Management has revised its Underground Storage Tank Regulations under Senate Bill 168. The rule, which took effect July 1, added a new code section IC 13-23-7-10. The State may now impose a lien on the property of an owner or operator of an underground storage tank, if they fail to register or pay certain fees.

IDEM must: (1) provide 30 days written notice before filing a lien; and (2) perfect a lien by recording the lien with the county recorder in the county in which the property is located. The bill also added a new section to IC 13-23-8-4 that allows a bona fide purchaser eligibility to receive funds from the underground storage tank excess liability trust fund if the transferee pays past due fees of the transferor in certain circumstances.

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

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Approval For Texas New Source Review Program

On October 11, EPA approved revisions to the Texas permitting program for major air pollution sources under the Clean Air Act's New Source Review (NSR) program. According to EPA, changes submitted by the Texas Commission on Environmental Quality (TCEQ), increase regulatory certainty and efficiency while ensuring public health and the environment are protected. The revised plan provides industry with operating flexibility by establishing site-wide emission caps known as "Plant-wide Applicability Limits," or PALS, for existing sources. These PALS require continuous monitoring for each of the units included in the cap.

According to EPA, this final approval of the state's revised plan enhances the clarity and enforceability of state issued permits and also provides industry with flexibility to meet Clean Air Act requirements, while ensuring environmental protection. The adopted rules are fully consistent with federal requirements and consistent with NSR reform rules approved by EPA for other states in the country.

Congress established NSR permitting program as part of the 1977 Clean Air Act Amendments. NSR is a preconstruction permitting program that protects air quality while allowing for industrial growth. In Texas, NSR permits are legal documents issued by the TCEQ that facility owners/operators must abide by. The permit specifies what construction is allowed, what emission limits must be met, and often how the emissions source must be operated.
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