New Source Review Intro

1. New Source Review Intro Tribal Permit Training Fond du Lac Reservation June 11, 2013

2. CAA provides framework for permitting

3. What will this presentation cover? • Permitted pollutants • Attainment and non-attainment areas • Definitions of “major source” and “major modification” • Permitting calculations • Control requirements • Reporting and recordkeeping requirements

4. registered Pollutants • Criteria pollutants • Particulate matter (PM) • Nitrogen oxides (NOx) • Sulfur dioxide (SO2) • Carbon monoxide (CO) • Lead (Pb) • Volatile Organic Compounds (VOC’s) • Greenhouse Gases • CO2, methane, N2O, HFS’c, PFC’s, SF6 expressed as CO2 equivalent

5. Attainment Status • If area meets National Ambient Air Quality Standards, it is in attainment • If the area can’t demonstrate compliance with standards, it is in non-attainment • Demonstrations made through modeling or monitoring

6. What is NSR? • Pre-construction permitting program • Major new sources • Major modifications to existing sources • Covers criteria pollutants • Needed in both attainment and non-attainment areas

7. Major Sources (attainment areas) • Major sources are those who emit… • More than 100 tons/year of any criteria pollutant if one of “28 source categories” • More than 250 tpy of any criteria pollutant if any other source category • More than 10 tpy of any toxic, or more than 25 tpy of a mixture of toxics • More than 100,000 tpy of GHG • Use Potential to Emit calculation to compare to thresholds • PTE is the maximum capacity that a source is capable of emitting • Federally enforceable limits can be included in the calculation

8. PTE Calculation example • A facility in one of the “28 source categories” can emit 30 lbs of NOx per hour at maximum capacity • If they operate for 24 hrs/day, 7 days/week, that’s 8,760 hrs/year 30 lbs/hr * 8,760 hrs/year = 262,800 lbs/yr 262,800 lbs/yr/2,000 lb/ton = 131.4 tpy If operations are limited to 6,000 hrs/yr, PTE = 90 tpy Facilities must do this exercise for each criteria pollutant emitted

9. Major Modifications A modification is subject to NSR if… • Modification is made to a major source • Net emissions increase of modification is “significant” (see table) • It constitutes a physical or operational change in method of operation of the source

10. Major Modification, example Expected emissions from modification: CO = 90 tpy NOx = 38 tpy SO2 = 25 tpy PM = 40 tpy PM-10 = 18 tpy VOC = 10 tpy Pb = 0.01 tpy GHG = 30,000 tpy Does this qualify as a major modification???

11. Major sources (non-attainment areas) • In non-attainment areas, major sources emit…

12. Major modification example, n/a area Area is Non-Attainment for NOx (serious) and PM2.5 (moderate). Attainment for all other pollutants. Source is not in one of the “28 source categories” Expected emissions from modification: CO = 90 tpy NOx = 38 tpy SO2 = 25 tpy Total PM = 73 tpy PM10 = 40 tpy PM2.5 = 40 tpy VOC = 35 tpy Pb = 0.01 tpy GHG = 30,000 tpy Does this qualify as a major modification???

13. other NSR requirements in attainment areas • Ambient air quality analysis • Analyze impacts to soils, vegetation, and visibility • Not adversely affect a Class I area • Undergo public participation

14. Control technology Requirements • Best Available Control Technology (BACT) • Lowest Achievable Emission Rate (LAER)

15. Best Available Control Technology • Required under NSR in attainment areas • Pollutant-specific emission limit, case-by-case • Takes into account energy, environmental, or economic impacts • Limit must be at least as stringent as applicable: • New Source Performance Standard (NSPS) • National Emission Standard for Hazardous Air Pollutants (NESHAP) • Selected by “Top Down” BACT analysis • ID all available control technologies • Eliminate technically infeasible control options • Rank remaining control technologies by effectiveness • Evaluate most effective controls and document results • Select BACT

16. Lowest Achievable Emission Rate • Required under NSR in non-attainment areas • Pollutant-specific emission limit and rate, case-by-case • Considers only technical feasibility • Limits must be at least as stringent as • The most stringent limit in any SIP for any similar source • The most stringent limit achieved in practice by any similar source • Any applicable NSPS • Can require looking at emerging technology • Source must also obtain offsets from other sources in the area • Source must certify CAA compliance at all other facilities • Visibility impacts must be considered

17. Emissions netting • Considers previous and upcoming emissions changes at a facility for permitting purposes • With applicable reductions, source can “net out” of PSD • Emissions increases/decreases must be “creditable” and contemporaneous • Consideration of contemporaneous changes only allowed for existing major sources • Netting must take place at the same source and with same pollutant • Netting exercise is required, not optional

18. Reporting and recordkeeping reqmts • To prove facility did not exceed limits taken in permitting • To prove compliance with standards (NSPS, NESHAPs, BACT, LAER, etc) • Examples include • Fuel consumption • Material throughput • Continuous emissions monitoring data • Control equipment operating parameters • Hours of operation • Stack test data • Need to submit data to permitting agency and keep on-site for 5 years

19. Tribal NSR • Enacted to correct gaps in Indian Country New Source Review Major NSR in Attainment Areas

20. Conclusions • New major sources or modifications need to undergo permitting • Thresholds apply for both attainment and non-attainment areas • Control requirements must be set • Reporting and recordkeeping demonstrate compliance • Gaps existed in Indian Country, now closed