On November 16, 2015, the USEPA proposed an update to its Cross-State Air Pollution Rule (CSAPR) ozone season requirements in a pre-publication letter signed by USEPA Administrator Gina McCarthy. (http://www2.epa.gov/airmarkets/proposed-cross-state-air-pollution-update-rule) CSAPR was originally promulgated on July 6, 2011 to address interstate transportation of ozone precursors under the 1997 ozone NAAQS, as well as fine particulate matter (PM2.5) under the 2006 PM2.5 NAAQS. The USEPA proposes to update this to cover the 2008 ozone NAAQS. The proposed changes, scheduled to go into effect in 2017, are intended to reduce summertime emissions of ozone precursor nitrogen oxides (NOx) from power plants in 23 states that impact the health of millions downwind. The proposed NOx emission reductions would help downwind states to meet the 2008 ozone ambient concentration standard of 75 ppb.

Air pollution, of course, travels and knows no state or national boundaries. The Clean Air Act (CAA) contains a “good neighbor” provision (Section 110(a)(2)(D)(i)(I)), that requires states to address impacts of air emissions from their sources on downwind states’ ability to meet and maintain air quality standards. This requires a state that contributes “significantly” to adverse impacts in a downwind state to submit a State Implementation Plan (SIP) revision to reduce these impacts. Otherwise, it will be subject to a Federal Implementation Plan (FIP) imposed on it by the agency to address CSAPR NOx impacts. In this proposal, the USEPA alleges such adverse impacts from 23 states and proposes NOx budgets for each to reduce impacts. The 23 states include all states east of the Mississippi River except the New England states, South Carolina, Georgia and Florida, and seven states west of the river – Iowa, Missouri, Arkansas, Louisiana, Kansas, Oklahoma, and Texas.

The NOx budgets discussed are updates to meet more rigorous standards of existing CSAPR NOx ozone-season (summer) emission budgets for electricity generating units (EGUs). These revised budgets would be implemented as the CSAPR NOx ozone-season allowance trading program. For one state, Kansas, this would represent a new trading program. The USEPA is proposing implementation of the new allowable NOx budgets starting with the 2017 ozone season.

On June 30, 2015, the USEPA issued a final notice determining that a number of states had failed to submit “good neighbor” SIPs for the 2008 ozone standard. The findings set a 2-year deadline to either approve a revised SIP for each noticed state or impose a federal plan to meet the “good neighbor” requirement. This will undoubtedly result in more stringent regulations on fuel combustion in many different circumstances.

CCES has the experts to help your company assess its activities and determine an emissions inventory. We can provide the technical portion of expertise to determine compliance with many state and federal air pollution rules. And we can provide technical strategies to reduce emissions and maintain compliance in the most economical manner possible. Contact us today at 914-584-6720 or at karell@CCESworld.com.