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CAIR/CAMR Update. Presentation for CAIR and CAMR Training Beth Murray Clean Air Markets Division U.S. EPA Office of Air and Radiation December 2007. States controlled for fine particles (annual SO 2 and NOx). States controlled for ozone (ozone season NOx).

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  1. CAIR/CAMR Update Presentation for CAIR and CAMR Training Beth Murray Clean Air Markets Division U.S. EPA Office of Air and Radiation December 2007

  2. States controlled for fine particles (annual SO2 and NOx) States controlled for ozone (ozone season NOx) States controlled for both fine particles (annual SO2 and NOx) and ozone (ozone season NOx) States not covered by CAIR CAIR: Affected Region and Emission Caps Emission Caps* (million tons) 2009/20102015 Annual SO2 3.6 2.5 (2010) Annual NOx 1.5 1.3 (2009) Seasonal NOx .58 .48 (2009) *For the affected region.

  3. CAIR Implementation Timeline CSP Early Reductions (annual CAIR NOx) (‘07 and ‘08) CAIR NOx Programs Annual: Jan 1, 2009 Ozone: May 1, 2009 CAIR SO2 Program Jan 1, 2010 Petitioners’ briefs due March 5, 2007 SO2 Monitoring and Reporting Required (‘09) NOx Monitoring and Reporting Required (‘08) Final briefs due Sept 2007 08 09 07 10 Abbreviated SIPs due March 31, 2007 Record FIP or SIP* allocations September 30, 2007 EPA’s brief due June 13, 2007 *approved SIPs

  4. CAIR State Rule Development How does EPA expect States Meet the CAIR Requirements? • Positions in some States may change, but an April 2007 EPA survey indicates: • All 29 affected jurisdictions (28 States + DC) are expected to be part of the trading program • 6 States may impose tighter local controls • State Plan submissions by deadline • Sept ‘06: AL, IA, LA(SO2), NC, TN, TX, WV • Many other states have since submitted • Several states plan to remain under the FIP either temporarily or permanently Which States Met the CAIR SIP Submittal Deadline?

  5. CAMR Implementation Overview • EPA, states, and sources are working together and making significant progress in the state rulemaking process, and the installation of monitoring and control equipment to ensure smooth implementation of CAMR. • EPA HQ implementation efforts include: • Providing training workshops for states • Providing training workshops for sources • Coordinating with the ten EPA Regions • Reviewing all draft, proposed, and final state rules • CAMR monitoring begins in 2009; Phase I compliance begins in 2010

  6. How Are States Planning to Meet the CAMR Requirements? • Major effort on the part of States with a lot of unique “tailoring” of programs • For the 47 States and 2 tribes that have coal-fired units, an October 2007 EPA survey indicates: • 29 are planning to have trading • 19 plan to use CAMR trading “as-is” • 7 plan to impose stricter local controls in addition to CAMR trading • 2 plan to trade but with only partial allowances • 2 plan to convert to non-trading in the future • 5 states are not committed to an approach • 12 plan a response other than trading, most with more stringent controls, often with control waivers for special circumstances • 3 States and DC have no coal-fired units

  7. CAMR: State Plan Submittal Status 2013 2018* State Plan Trading State Not Trading Federal Plan Trading No clear indication of state’s plans for response State Specific Rules in Addition to Trading Zero Budget, evaluating how new sources are treated * Also has state-specific requirements. Map represents best available information as of October 2007.

  8. CAMR Regulatory Update • CAMR Federal Plan (FP) – a regulatory backstop • Proposed in December 2006 • FP serves as a backstop measure until all states have approved State Plans; approved State Plans will replace FP. FP guarantees on-time monitoring and controls across the country • EPA is working to finalize the FP by late 2007 • EPA is seriously considering the proposed option for a state to submit only an allocation methodology instead of a full plan • Adopting a deadline for submission of state allocation methodologies that would coincide with the effective date of the FP – which is likely to be during March 2008 • EPA sent a letter to states apprising them of this

  9. CAMR Regulatory Update (continued) • CAMR Federal Plan Notice of Data Availability (NODA) • EPA plans to determine FP Hg allocations through a NODA in Fall of 2007 • Sources, states, stakeholders and public will have opportunity to submit objections to a source’s affected status and/or Hg allocation • EPA will finalize the NODA early in 2008 • EPA is developing a plan to ensure that all allocations are recorded in accounts no later than September 2008. While EPA prefers to use state allocation plans, it may be necessary for EPA to allocate based on the FP in some cases

  10. Litigation Status (All Dates Are 2007)

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