[Federal Register Volume 61, Number 42 (Friday, March 1, 1996)]
[Rules and Regulations]
[Pages 7992-7994]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-4571]



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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 71-8-6938a; FRL-5423-9]


Approval and Promulgation of Implementation Plans; California 
State Implementation Plan Revision; Kern County Air Pollution Control 
District, Sacramento Metropolitan Air Quality Management District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: EPA is taking direct final action to approve revisions to the 
California State Implementation Plan (SIP). The revisions concern rules 
from the following districts: the Kern County Air Pollution Control 
District (KCAPCD) and the Sacramento Metropolitan Air Management 
Control District (SMAQMD). This approval action will incorporate two 
rules into the federally approved SIP and remove one rule from the SIP. 
The two rules control oxides of nitrogen (NOx) emissions from the 
operations of stationary gas turbines and the rule to be removed 
controls NOx emissions from steam generators used in the oil 
production operations.
    The intended effect of approving these rules is to regulate 
emissions of NOx in accordance with the requirements of the Clean 
Air Act, as amended in 1990 (CAA or the Act). In addition, the final 
action on these rules serves as a final determination that the findings 
of nonsubmittal for these rules have been corrected and that on the 
effective date of this action, any Federal Implementation Plan (FIP) 
clock is stopped. Thus, EPA is finalizing the approval of these 
revisions into the California SIP under provisions of the CAA regarding 
EPA action on SIP submittals, SIPs for national primary and secondary 
ambient air quality standards and plan requirements for nonattainment 
areas.

DATES: This action is effective on April 30, 1996 unless adverse or 
critical comments are received by April 1, 1996. If the effective date 
is delayed, a timely notice will be published in the Federal Register.

ADDRESSES: Copies of the rules and EPA's evaluation report of each rule 
are available for public inspection at EPA's Region IX office during 
normal business hours. Copies of the submitted rules are also available 
for inspection at the following locations:

Rulemaking Section (A-5-3), Air and Toxics Division, U.S. Environmental 
Protection Agency, Region IX, 75 Hawthorne Street, San Francisco, CA 
94105.
Environmental Protection Agency, Air Docket (6102), 401 ``M'' Street 
SW., Washington, D.C. 20460.
California Air Resources Board, Stationary Source Division, Rule 
Evaluation Section, 2020 ``L'' Street, Sacramento, CA 95814.
Kern County Air Pollution Control District, 2700 ``M'' Street, Suite 
290, Bakersfield, CA 93301.
Sacramento Metropolitan Air Quality Management District, 8411 Jackson 
Road, Sacramento, CA 95826.

FOR FURTHER INFORMATION CONTACT: Daniel A. Meer, Rulemaking Section (A-
5-3), Air and Toxics Division, U.S. Environmental Protection Agency, 
Region IX, 75 Hawthorne Street, San Francisco, CA 94105-3901, 
Telephone: (415) 744-1185.

SUPPLEMENTARY INFORMATION:

Applicability

    The rules being approved into the California SIP include: KCAPCD, 
Rule 425, Cogeneration Gas Turbine Engines (Oxides of Nitrogen), and 
SMAQMD, Rule 413, Stationary Gas Turbines. The rule being removed from 
the SIP is KCAPCD Rule 425, Oxides of Nitrogen Emissions from Steam 
Generators Used in Thermally Enhanced Oil Recovery--Western Kern County 
Fields. The KCAPCD rules were submitted by the California Air Resources 
Board (CARB) to EPA on November 18, 1993 and the SMAQMD rule was 
submitted on June 16, 1995.

Background

    On November 15, 1990, the Clean Air Act Amendments of 1990 (CAA or 
the Act) were enacted. Public Law 101-549, 104 Stat. 2399, codified at 
42 U.S.C. 7401-7671q. The air quality planning requirements for the 
reduction of NOx emissions through reasonably available control 
technology (RACT) are set out in section 182(f) of the CAA. On November 
25, 1992, EPA published a Notice of Proposed Rulemaking (NPRM) entitled 
``State Implementation Plans; Nitrogen Oxides Supplement to the General 
Preamble; Clean Air Act Amendments of 1990 Implementation of Title I; 
Proposed Rule,'' (the NOx Supplement) which describes and provides 
guidance on the requirements of section 182(f). The NOx Supplement 
should be referred to for further information on the NOx 
requirements and is incorporated into this proposal by reference.
    Section 182(f) of the Clean Air Act requires States to apply the 
same requirements to major stationary sources of NOx (``major'' as 
defined in section 302 and section 182(c), (d), and (e)) as are applied 
to major stationary sources of volatile organic compounds (VOCs), in 
moderate or above ozone nonattainment areas. The Kern County area is 
classified as serious; the Sacramento Metro Area is classified as 
severe; 1 therefore these areas were subject to the RACT 
requirements of section 182(b)(2), cited below.

    \1\ Kern County retained its designation of nonattainment and 
was classified by operation of law pursuant to sections 107(d) and 
181(a) upon the date of enactment of the CAA. See 55 FR 56694 
(November 6, 1991). The Sacramento Metro Area was reclassified from 
serious to severe on June 1, 1995. See 60 FR 20237 (April 25, 1995).
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    Section 182(b)(2) requires submittal of RACT rules for major 
stationary sources of VOC emissions (not covered by a pre-enactment 
control techniques guidelines (CTG) document or a post-enactment CTG 
document) by November 15, 1992. There were no NOx CTGs issued 
before enactment and EPA has not issued a CTG document for any NOx 
sources since enactment of the CAA. The RACT rules covering NOx 
sources and submitted as SIP revisions, are expected to require final 
installation of the actual NOx controls as expeditiously as 
practicable, but not later than May 31, 1995.
    The State of California submitted many revised RACT rules for 
incorporation into its SIP on November 18, 1993 and June 16, 1995, 
including the rules being acted on in this 

[[Page 7993]]
document. This document addresses EPA's direct-final action for KCAPCD 
Rule 425, Cogeneration Gas Turbine Engines (Oxides of Nitrogen), and 
SMAQMD Rule 413, Stationary Gas Turbines. KCAPCD adopted Rule 425 on 
August 16, 1993 and SMAQMD adopted Rule 413 on April 6, 1995. These 
submitted rules were found to be complete on December 27, 1993 and June 
30, 1995 pursuant to EPA's completeness criteria that are set forth in 
40 CFR part 51, appendix V 2 and are being finalized for approval 
into the SIP. This document also addresses the State of California's 
request that Rule 425, Oxides of Nitrogen Emissions from Steam 
Generators Used in Thermally Enhanced Oil Recovery--Western Kern County 
Fields, be removed from the SIP.

    \2\ EPA adopted the completeness criteria on February 16, 1990 
(55 FR 5830) and, pursuant to section 110(k)(1)(A) of the CAA, 
revised the criteria on August 26, 1991 (56 FR 42216).
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    Rules 425 and 413 control the emissions of NOX from stationary 
gas turbine operations; rescinded Rule 425 controls emissions from 
steam generators used in the oil production operations. NOX 
emissions contribute to the production of ground level ozone and smog. 
The rules were adopted as part of KCAPCD's and SMAQMD's efforts to 
achieve the National Ambient Air Quality Standards (NAAQS) for ozone 
and in response to the CAA requirements cited above. The following is 
EPA's evaluation and final action for these rules.

EPA Evaluation and Action

    In determining the approvability of a NOX rule, EPA must 
evaluate the rule for consistency with the requirements of the CAA and 
EPA regulations, as found in section 110, and part D of the CAA and 40 
CFR part 51 (Requirements for Preparation, Adoption and Submittal of 
Implementation Plans). EPA's interpretation of these requirements, 
which forms the basis for this action, appears in the NOX 
Supplement (57 FR 55620) and various other EPA policy guidance 
documents.3 Among these provisions is the requirement that a 
NOX rule must, at a minimum, provide for the implementation of 
RACT for stationary sources of NOX emissions.

    \3\ Among other things, the pre-amendment guidance consists of 
those portions of the proposed post-1987 ozone and carbon monoxide 
policy that concern RACT, 52 FR 45044 (November 24, 1987); ``Issues 
Relating to VOC Regulation Cutpoints, Deficiencies, and Deviations, 
Clarification to Appendix D of November 24, 1987 Federal Register 
Notice'' (Blue Book) (notice of availability was published in the 
Federal Register on May 25, 1988).
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    For the purposes of assisting state and local agencies in 
developing NOX RACT rules, EPA prepared the NOX Supplement to 
the General Preamble, cited above. In the NOX Supplement, EPA 
provides guidance on how RACT will be determined for stationary sources 
of NOX emissions. While most of the guidance issued by EPA on what 
constitutes RACT for stationary sources has been directed towards 
application for VOC sources, much of the guidance is also applicable to 
RACT for stationary sources of NOX (see section 4.5 of the 
NOX Supplement). In addition, pursuant to section 183(c), EPA has 
issued alternative control technique documents (ACTs), that identify 
alternative controls for all categories of stationary sources of 
NOX. The ACT documents provide information on control technology 
for stationary sources that emit or have the potential to emit 25 tons 
per year or more of NOX. However, the ACTs do not establish a 
presumptive norm for what is considered RACT for stationary sources of 
NOX. In general, the guidance documents cited above, as well as 
other relevant and applicable guidance documents, have been set forth 
to ensure that submitted NOX RACT rules meet Federal RACT 
requirements and are fully enforceable and strengthen or maintain the 
SIP.
    KCAPCD's submitted Rule 425, Cogeneration Gas Turbine Engines 
(Oxides of Nitrogen), is a new rule that will control NOX 
emissions from cogeneration gas turbines with rating equal to or 
greater than 10 megawatts (MW) used in producing steam and generate 
electric power for use in industrial and power utility operations. The 
rule limits NOX emissions from units using selective catalytic 
reduction (SCR) to 9 parts per million by volume (ppmv) when operated 
on gaseous fuel and to 25 ppmv when operated on oil fuel. For the same 
size units (i.e., Westinghouse 251B10) using dry low-NOX 
combustors, the rule limits NOX emissions to 20 ppmv for units 
operating on gaseous fuel and 42 ppmv for units operating on oil fuel. 
The limits are corrected to 15 percent oxygen on dry basis.
    SMAQMD's submitted Rule 413, Stationary Gas Turbines, is a new rule 
that will control NOX emissions from cogeneration units with 
ratings equal to or greater than 0.3 MW output, or 3 million BTU/hr 
(MMBTU/hr) input used to generate electricity, supply steam for 
industrial processes and provide heating supply for buildings. The rule 
specifies emission limits of 42 ppmv (gas fired) and 65 ppmv (oil 
fired) for units rated less than or equal to 2.9 MW and operating at 
less than 877 hours per year. For all other units operating at greater 
than or equal to 877 hours per year, the rule specifies the following 
emission limits: (i) 25 ppmv (gas fired) and 65 ppmv (oil fired) for 
units rated less than 10 MW; (ii) 15 ppmv (gas fired) and 42 ppmv (oil 
fired) for units rated greater than 10 MW with no SCR; and (iii) 9 ppmv 
(gas fired) and 25 ppmv (oil fired) for units rated greater than 10 MW 
with SCR.
    KCAPCD's Rule 425, Oxides of Nitrogen Emissions from Steam 
Generators Used in Thermally Enhanced Oil Recovery--Western Kern County 
Fields, was submitted to be removed from the SIP. This rule was adopted 
to control NOX emissions from steam generators used in the oil 
production at the western portion of Kern County. KCAPCD, at that time, 
had jurisdiction over the San Joaquin Valley Air Basin and the 
Southeast Desert Air Basin. However, on March 20, 1991, the San Joaquin 
Valley Unified Air Pollution Control District (SJVUAPCD) was formed. 
This newly formed unified district took over the responsibility and 
authority over the San Joaquin Valley Air Basin which includes all of 
the eight counties except the Southeast Desert Air Basin portion of 
Kern County. As a result of the above delineation of geographical 
boundaries, KCAPCD (Southeast Desert portion) ceased its authority over 
the oil production operation at the western portion of Kern County. 
Consequently, KCAPCD is rescinding Rule 425 because the sources subject 
to this rule are no longer under its authority. The removal of Rule 425 
from the SIP is consistent with EPA's policy requirements and removes 
an extraneous rule that serves no purpose.
    The California Air Resources Board (CARB) has issued a reasonably 
available control technology/best available retrofit control technology 
(RACT/BARCT) determination for stationary source gas turbines with a 
rating of greater than or equal to 0.3 megawatts. The RACT limits are 
42 ppmv for gas fired units and 65 ppmv for oil fired units. BARCT 
limits for units with SCR are 9 ppmv and 25 ppmv for gas fired units 
and oil fired units respectively. For units without SCR, the BARCT 
limits are 15 ppmv (gas fired units) and 42 ppmv (oil fired units). The 
limits in Rule 425 and Rule 413 exceed California and Federal RACT 
limits by a significant margin.
    In evaluating the rules, EPA must determine whether the requirement 
for RACT implementation by May 31, 1995 is met. Under certain 
circumstances, the determination of what constitutes RACT could include 
consideration of advanced control technologies, i.e., California's 
requirement for BARCT. In this case the CAA's May 1995 date for RACT 
implementation may be satisfied 

[[Page 7994]]
in BARCT rules that establish ``interim RACT'' by May 1995, and require 
emission limitations based on advanced control technologies such as 
BARCT be met after May 1995. Rule 425 and Rule 413 require final 
compliance with BARCT limits by January 1997 and May 1997 respectively. 
The rules also require that interim measures (submission of compliance 
plans, and applying for authority to construct) be met by May 31, 1995 
to ensure progress toward the final compliance. A more detailed 
discussion of the sources controlled, the controls required, and the 
justification for why these controls represent RACT can be found in the 
Technical Support Documents (TSDs) for Rule 425 and Rule 413, dated 
November 28, 1995.
    EPA has evaluated the submitted rules and has determined that they 
are consistent with the CAA, EPA regulations, and EPA policy. 
Therefore, KCAPCD's Rule 425, Cogeneration Gas Turbine Engines (Oxide 
of Nitrogen), and SMAQMD's Rule 413, Stationary Gas Turbines are being 
approved under section 110(k)(3) of the CAA as meeting the requirements 
of section 110(a), section 182(b)(2), section 182(f) and the NOX 
Supplement to the General Preamble. Furthermore, EPA is removing 
applicable Rule 425 consistent with the requirements of sections 110 
(l) and 193.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any state implementation plan. Each request for revision to 
the state implementation plan shall be considered separately in light 
of specific technical, economic and environmental factors and in 
relation to relevant statutory and regulatory requirements.
    EPA is publishing this document without prior proposal because the 
Agency views this as a noncontroversial amendment and anticipates no 
adverse comments. However, in a separate document in this Federal 
Register publication, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective April 30, 1996, unless, by April 1, 1996, adverse or critical 
comments are received.
    If the EPA receives such comments, this action will be withdrawn 
before the effective date by publishing a subsequent document that will 
withdraw the final action. All public comments received will then be 
addressed in a subsequent final rule based on this action serving as a 
proposed rule. The EPA will not institute a second comment period on 
this action. Any parties interested in commenting on this action should 
do so at this time. If no such comments are received, the public is 
advised that this action will be effective April 30, 1996.

Regulatory Process

    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
Alternatively, EPA may certify that the rule will not have a 
significant economic impact on a substantial number of small entities. 
Small entities include small businesses, small not-for-profit 
enterprises, and government entities with jurisdiction over populations 
of less than 50,000.
    SIP approvals under section 110 and subchapter I, Part D of the CAA 
do not create any new requirements, but simply approve requirements 
that the State is already imposing. Therefore, because the Federal SIP-
approval does not impose any new requirements, I certify that it does 
not have a significant impact on affected small entities. Moreover, due 
to the nature of the Federal-state relationship under the CAA, 
preparation of a regulatory flexibility analysis would constitute 
Federal inquiry into the economic reasonableness of state action. The 
CAA forbids EPA to base its actions concerning SIPs on such grounds. 
Union Electric Co. v. U.S. E.P.A., 427 U.S. 246, 256-66 (S.Ct. 1976); 
42 U.S.C. 7410(a)(2).

Unfunded Mandates

    Under Sections 202, 203, and 205 of the Unfunded Mandates Reform 
Act of 1995 (``Unfunded Mandates Act''), signed into law on March 22, 
1995, EPA must undertake various actions in association with proposed 
or final rules that include a Federal mandate that may result in 
estimated costs of $100 million or more to the private sector, or to 
State, local, or tribal governments in the aggregate.
    Through submission of this state implementation plan or plan 
revision, the State and any affected local or tribal governments have 
elected to adopt the program provided for under Part D of the Clean Air 
Act. These rules may bind State, local and tribal governments to 
perform certain actions and also require the private sector to perform 
certain duties. To the extent that the rules being approved by this 
action will impose no new requirements; such sources are already 
subject to these regulations under State law. Accordingly, no 
additional costs to State, local, or tribal governments, or to the 
private sector, result from this action. EPA has also determined that 
this final action does not include a mandate that may result in 
estimated costs of $100 million or more to State, local, or tribal 
governments in the aggregate or to the private sector.
    This action has been classified as a Table 3 action for signature 
by the Regional Administrator under the procedures published in the 
Federal Register on January 19, 1989 (54 FR 2214-2225), as revised by a 
July 10, 1995 memorandum from Mary Nichols, Assistant Administrator for 
Air and Radiation. The Office of Management and Budget (OMB) has 
exempted this regulatory action from Executive Order 12866 review.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Hydrocarbons, 
Incorporation by reference, Intergovernmental relations, Ozone, 
Reporting and recordkeeping requirements, Volatile organic compound.

    Dated: January 30, 1996.
Felicia Marcus,
Regional Administrator.

    Subpart F of part 52, chapter I, title 40 of the Code of Federal 
Regulations is amended as follows:

PART 52--[AMENDED]

    1. The authority citation for part 52 continues to read as follows:

    Authority: 42 U.S.C. 7401-7671q.

Subpart F--California

    2. Section 52.220 is amended by adding paragraphs (c)(194)(i)(B) 
(2) and (3) and (222)(i)(C)(2) to read as follows:


Sec. 52.220  Identification of plan.

* * * * *
    (c) * * *
    (194)* * *
    (i) * * *
    (B) * * *
    (2) Rule 425, adopted on August 16, 1993.
    (3) Previously submitted to EPA on June 28, 1982 and approved in 
the Federal Register on May 3, 1984 and now removed without 
replacement, Rule 425.
* * * * *
    (222) * * *
    (i) * * *
    (C) * * *
    (2) Rule 413, adopted on April 6, 1995.
* * * * *
[FR Doc. 96-4571 Filed 2-29-96; 8:45 am]
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