1. Air Toxics in Region 4 A&WMA Annual Conference August 6, 2008 Lee Page Air Toxics Assessment and Implementation Section EPA, Region 4 Atlanta, Georgia “Protecting Human Health and the Environment”

2. Agenda Major Source Program – Program almost complete – Vacaturs Area Source Program – Mid-way through program development

3. Major Source Program

4. Region 4 HAP Inventory 1993 Major Sources Area Sources 596,000 tons/yr 436,000 tons/yr 189,000 tons/yr National Total = 6.9 million tons/yr Regional Total = 1.2 million tons/yr (17%) Mobile Sources

5. Major Source Rule Status Over 700 source categories originally listed for regulations under Section 112 of CAAA 92 MACTs completed – First rule in 1993 4 MACTs fully vacated by court – PVC/Brick/Clay Ceramics/Boilers 1 MACT left on source category list – Defense Land Systems & Misc. Equipment – Coating operations at military installations

6. Court Actions to Vacate Rule Court Mandate Reason 112(j) Applicable Polyvinyl Chloride (MACT) 5/11/05Used vinyl chloride as a surrogate for all other HAPs Yes Brick & Clay (MACT) 6/18/07Creating subcategory with no control as MACT floor Yes Boiler (MACT)7/30/07Vacated definition of waste in CISWI rule affects applicability of boiler MACT Yes Solid Waste Incineration (NSPS) 7/30/07Definition of commercial or industrial waste – Original rule remains effective No (Part 60 NSPS rule) Plywood (MACT) 10/4/07EPA exceeded its authority by creating a low risk subcategory No (partial vacatur) CAMR (NSPS)3/14/08EPA failed to meet requirements to delist from Section 112 No, but 112(g) does apply

7. Regulating Polyvinyl Chloride Vacatur occurred around compliance date Very few sources nationwide Sources were in compliance and permitted Plan: Maintain permit in place

8. Regulating Brick & Clay Vacatur occurred 1 year after compliance Sources were in compliance and permitted Plan A – Maintain Permit in place – Maintain state rule (i.e. vacated MACT): SC – Deleted State rule: AL, FL, GA, KY, MS, NC Plan B – Remove MACT from permit – Issue hollow permit ? – 112(j) placeholder language ? – Regulate through 112(j)

9. Regulating Boilers Vacatur occurred at compliance date Thousands of sources nationwide Many sources in compliance Plan: – Implement State rule (i.e., vacated MACT) – Implement 112(j)

10. Regulating Boilers in Region 4 Alabama Will Implement 112(j) – Waiting on guidance - State rule to be deleted Florida Will implement 112(j) - Waiting on guidance – State rule deleted Georgia Will implement 112(j) – Waiting on guidance – State rule to be deleted Kentucky Will implement 112(j) – Court vacatur also vacated State rule Mississippi Will implement 112(j) – Waiting on guidance – Court vacatur also vacated State rule N. Carolina Will implement 112(j) if applicable – Court vacatur also vacated State rule S. Carolina Will implement 112(j) – Waiting on guidance – State rule to be deleted Tennessee Will implement 112(j) – State does not adopt MACTs into State law

11. 112(j) Guidance & ICR Guidance issued when ICR is approved ICR – Provides authority to collect info. – Expired May 31, 2005 & not renewed ICR status: – Published in FR on November 2, 2007 Received 6 comment letters – Revised and sent to OMB for approval – Published in FR April 17, 2008 30 day comment period ( May 19 ) Response to comments not required 60 days from April 17 to approve ( June 16 ) Distribute guidance

12. CAMR History In 2000, source category listed for regulation pursuant to 112(c)(5) In 2005, regulated under 111(d) & delisted category from 112(c) list March 14, 2008, court vacated 111(d) rule and the previous delisting action March 08, EPA petitioned court for rehearing – Court denied petition

13. 112(g) & (j) for Utilities Why 112(g) applies – 112(g): Where EPA has not established national emission standards, a major source is prohibited from construction or reconstruction unless State establishes case-by-case MACT – Awaiting 112(g) implementation guidance Why 112(j) does not apply – 112(j): Applicable if EPA misses deadline for promulgation, pursuant to 112(e)(1) & (3) – 112(e)(1)&(3): EPA to regulate listed categories, pursuant to 112(c)(1)&(3), within 10 years of 1990 CAAA – 112(c)(1)&(3): EPA to list major and area source categories for regulation – 112(j) not applicable because category listed under 112(c)(5)

14. MACT Rule Development Brick/Clay MACT: Starting from scratch on rulemaking – Section 114 letters – new testing – DoJ negotiating with Sierra Club on schedule Boiler MACT: Major & area source rules + Sec. 129 definition – DoJ negotiating schedule; July 2010 is “unofficial” date – Section 114 letters for new information – NACAA model rule due in June 2008 Utilities MACT: – DoJ will negotiate schedule – Section 114 letters for new information - all HAPs PVC MACT (Vacated April 2005) – Workgroup recently formed – information being collected Defense Land Systems & Misc. Equipment (coatings) – Applicable only to military facilities – Development on-going: expected proposal date is October 2008

15. Region 4 Major Source Emissions ( HAP tons/yr )

16. Region 4 TRI Summary ( HAP tons/yr )

17. Area Source Program

18. Region 4 HAP Inventory 1993 Major Sources Area Sources 596,000 tons/yr 436,000 tons/yr 189,000 tons/yr National Total = 6.9 million tons/yr Regional Total = 1.2 million tons/yr (17%) Mobile Sources

19. Rule Development 70 source categories listed to regulate – MACT or GACT regulations – Court ordered to complete all rules by June 2009 49 source categories regulated to date – 21 remain – 49 categories regulated by 37 rules – 14 of the 37 rules require Title V permits 11 categories to be regulated by December 2008 Final 10 categories regulated by June 2009 Rule delegation/implementation by some States is questionable – Lack of resources is primary issue – Regional office is default agency

20. Group A Small universe No permits MS, SC NC, TN ALFLGA, KY Group B Permits MS, SC NC, TN ALFLGA, KY Group C Auto/Gas MS, SC, NC, TN ALGA, FL, KY Group D Future MS, NC, TNSCAL, FLGA, KY Area Source Delegation Rules Have or will take Leaning toward taking Undecided Leaning toward not taking Will not take

21. Implementing Area Source Rules Goal – To work collaboratively utilizing a flexible implementation approach to reduce urban air toxic risks Flexible implementation steps – level of effort will vary between source categories – Accept delegation – Identify sources In category – Provide rule information to identified sources – Receive initial notifications – Follow-up on notifications with identified sources – Permit sources if required – Provide compliance assistance – Receive/review compliance test plans – Observe compliance tests when possible – Receive/review compliance notifications/reports – Inspections as needed

22. Potential Reductions Nationwide Area Source Rule Reductions (tpy) Auto-Body 21,000 VOC Reciprocating Internal Combustion Engines 99,000 NOx 56,000 CO 3,000 VOC 1,000 HAPs Gas Distribution and Dispensing 103,000 VOC 4,900 HAPs Oil and Gas Exploration 16,000 VOC 7,900 HAPs

23. Region 4 Area Source Emissions ( tons/yr )

24. Additional Information For air toxics information on: – Major Source Program – Residual Risk Program – Area Source Program – Many other areas Go to: www.epa.gov/ttn/atwwww.epa.gov/ttn/atw Or call me: 404-562-9131 e-mail: page.lee@epa.gov