[Federal Register Volume 64, Number 152 (Monday, August 9, 1999)]
[Proposed Rules]
[Pages 43124-43129]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-20465]


-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 97

[FRL-6416-7]


Notice of Availability of Unit-Specific Information for Affected 
Sources Under the Section 126 and Proposed Section 110 FIP Rulemakings

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of data availability and request for comment.

-----------------------------------------------------------------------

SUMMARY: The Environmental Protection Agency (EPA) is making available 
to the public three sets of data relating to our proposed Federal NO__ 
Budget Trading Program. We proposed the program in rulemakings under 
sections 126 and 110 of the Clean Air Act. The program aims to reduce 
interstate transport of ozone by controlling emissions of nitrogen 
oxides (NO__). NO__ emissions significantly contribute to violations of 
the National Ambient Air Quality Standard for ozone in downwind states. 
This document is a notice of availability and request for comment on 
the following data related to the allocation of NO__ allowances under 
the Federal NO__ Budget Trading Program: electric generation data from 
May through September for the years 1995 through 1998, for electric 
generating units (EGUs); heat input data from May through September for 
the year 1998 for all EGUs reporting under EPA's Acid Rain Program; 
heat input data from May through September for the years 1997 and 1998 
and heat rate data for EGUs not reporting under EPA's Acid Rain 
Program; and heat input data for May through September for the year 
1995 for certain non-electric generating units (non-EGUs). We may use 
these data in the future to allocate NO__ allowances under the Federal 
NO__ Budget Trading Program. Therefore, EPA is providing an opportunity 
for public comment on these data.
    Readers should note that we will only consider comments about the 
data discussed in this notice and are not soliciting comments on any 
other topic. In particular, we are not reopening the comment period for 
the October 21, 1998 proposed rule on the section 126 rulemaking or the 
October 21, 1998 proposed rule on the section 110 Federal 
Implementation Plans (FIPs) through this Notice of Data Availability. 
Neither are we soliciting comments on inventory data for 1995 and 1996 
that we used to develop Statewide emission budgets.

DATES: Comments on the data will be accepted through September 8, 1999.

ADDRESSES: You may submit comments to the Air and Radiation Docket and 
Information Center (6102), Docket Nos. A-97-43 (section 126 rulemaking) 
and A-98-12 (section 110 FIP rulemaking), U.S. Environmental Protection 
Agency, 401 M Street SW, room M-1500, Washington, DC 20460, telephone 
(202) 260-7548. Identify your comments with these docket numbers. 
Submit two originals or exact duplicates of your comments to each 
docket. Please submit your comments on paper, not in electronic format. 
We request this so that we do not receive multiple versions of the same 
comment that might contradict each other.
    Documents relevant to this action are available for inspection at 
the Air Docket and Information Center, at the above address, between 
8:00 a.m. and 5:30 p.m., Monday though Friday, excluding legal 
holidays. A reasonable copying fee may be charged for copying.

FOR FURTHER INFORMATION CONTACT: General questions concerning today's 
action and technical questions concerning electrical generation data 
should be addressed to Margaret Sheppard, Acid Rain Division, EPA, Mail 
Code 6204 J, 401 M Street SW, Washington, D.C. 20460, telephone 202-
564-9163, email address [email protected]. For technical 
questions concerning heat input data, contact Kevin Culligan at 
telephone 202-564-9172, email address [email protected].

SUPPLEMENTARY INFORMATION:

Outline:
1. What is today's action?
2. Where can I get the data?
3. How are these data related to the proposed Section 126 and 
Section 110 FIP NOX allowance allocations?
4. Why is EPA requesting comment on these data?
5. What data are EPA making available for review and comment?
6. What things is EPA not requesting comment on?
7. What are the sources of EPA's data?
    a. Electric generation data for utilities
    b. Heat input data for EGUs
    c. Electric generation and heat input data for non-utility 
generators
    d. Heat input for non-EGUs
    8. What other data sources did EPA consider?
    9. What supporting documentation do I need to provide with my 
comments?
    10. How is this action related to the Section 126 and proposed 
Section 110 FIP rulemakings?
    11. How is this action related to the NOX SIP Call?

1. What is Today's Action?

    Today, we are making available data on heat input and electrical 
generation for units that could potentially be affected by a Federal 
action under section 126 or by a FIP under section 110 of the Clean Air 
Act. The purpose of making the data available for comment is to ensure 
that we have accurate information to help us develop NOX 
allowance allocations for the Federal NOX Budget Trading 
Program. For example, the data referenced by this document could be 
used as the basis for NOX emission allowance allocations to 
be finalized under the section 126 rulemaking. Also, a number of 
Northeastern States have stated that they intend to submit SIPs in 
response to EPA's NOX SIP Call by September 30, 1999. Data 
referenced in this notice could aid States in developing NOX 
allowance allocations for their SIPs.

2. Where Can I Get the Data?

    These data are available in files on the Regional Transport of 
Ozone webpage at http://www.epa.gov/ttn/rto/. You will find links to 
the data under ``What's New'' and under the ``Related Documents and 
Data'' subheadings

[[Page 43125]]

under the ``Transport FIPs'' and ``Section 126 Petitions'' headings on 
the Regional Transport of Ozone webpage. The files are in a compressed 
file labeled ``allodata.zip''; this compressed file contains three 
files labeled ``egufinal.txt,'' ``zegout.txt,'' and ``nonegu.txt.'' In 
addition, these data are in Docket Nos. A-97-43 (section 126 
rulemaking) and A-98-12 (section 110 FIP rulemaking). We describe the 
contents of these data files below under section 5, ``What data are EPA 
making available for review and comment?'.

3. How Are These Data Related to the Proposed Section 126 and 
Section 110 FIP NOX Allowance Allocations?

    In the section 126 and section 110 FIP proposed rulemakings (63 FR 
56291 and 63 FR 56393, October 21, 1998), we requested comment on 
appropriate ways to allocate NOX allowances for the Federal 
NOX Budget Trading Program. We also proposed three different 
methods for allocating NOX allowances for EGUs using the 
following data:
    a. Heat input data during May through September (the ozone season) 
for the years 1995 through 1997 for fossil fuel-fired units.
    b. Estimated electric generation for fossil fuel-fired units during 
May through September for the years 1995 through 1997. We calculated 
electric generation using the historical heat input data in million 
British thermal units (mmBtu) and heat rate data in kilowatt hours 
(kWh) per Btu.
    c. Estimated electric generation for all electricity generators 
during May through September for the years 1995 through 1997. We 
calculated electric generation for fossil fuel-fired units using the 
historical heat input and heat rate data. This option differed from the 
second option because it also included allocations for electric 
generating plants that do not burn fuel, such as nuclear and 
hydroelectric power plants. For electric generating plants that did not 
burn fuel, we used electric generation data calculated using outputs 
from the Integrated Planning Model (IPM). (IPM is an economic model 
used by industry and government. EPA used this model to estimate the 
costs and emission reductions that would result from controlling 
NOX emissions under the NOX SIP call. See 63 FR 
57356, October 27, 1998.)
    During the public comment periods for the proposed section 126 and 
section 110 FIP rulemakings, commenters suggested that we rely on 
additional, and in some cases different, sources of data than those we 
proposed for the allocations for EGUs. In particular, commenters 
suggested using data for 1998 and using electric generation data from 
the Energy Information Administration (EIA).
    In the proposed section 126 and section 110 FIP rulemakings, we 
also proposed one method for allocating NOX allowances for 
large non-EGUs (that is, units with a maximum design heat input greater 
than 250 mmBtu/hr). For this notice, non-EGUs are only fossil-fuel 
fired industrial boilers and turbines. We proposed using heat input 
data for non-EGUs during May through September for the year 1995. 
Commenters suggested that we use more than one year's worth of data to 
allocate NOX allowances for non-EGUs, but they did not 
suggest where we could find other data.
    4. Why is EPA Requesting Comment on These Data?
    We are soliciting comment to ensure that we can use current, high 
quality data for allocating NOX allowances, regardless of 
the methodology we will choose for the allocation. We are requesting 
comments on unit-specific output data for EGUs from May through 
September for the years 1995 through 1998. We also are requesting 
comments on unit-specific heat input data for all EGUs for May through 
September for the year 1998. We request comments submitting data for 
EGUs that do not report under the Acid Rain Program for May through 
September for the years 1997 and 1998. Finally, we are requesting 
comment on unit-specific heat input data for non-EGUs from May through 
September for the year 1995. Where the heat input from May through 
September for the year 1995 is not representative of a non-EGU's 
operation over the last several years, we also will take comments 
providing us with heat input data from May through September for the 
years 1996, 1997, and/or 1998. We may use the data referenced in this 
document for allocating allowances. As explained further below in the 
section entitled, ``What supporting documentation do I need to provide 
with my comments?'', EPA expects to change the data in response to 
comment only if the commenter provides appropriate supporting 
documentation.
    5. What Data are EPA Making Available for Review and Comment?
    We are providing data for units and generators in the following 
states which may be subject to the Federal NOX Budget 
Trading Program under a section 126 action or under a FIP: Alabama, 
Connecticut, Delaware, District of Columbia, Georgia, Illinois, 
Indiana, Kentucky, Maryland, Massachusetts, Michigan, Missouri, New 
Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, 
South Carolina, Tennessee, Virginia, West Virginia, and Wisconsin. We 
are making the following data available for review:
    a. EGU electric generation data from May through September for the 
years 1995 through 1998, which we may use in an electricity output-
based allocation. In addition, there are heat rate data that we used to 
calculate the electric generation for non-utility generators. We 
request comment on these heat rate values. See section 7, ``What are 
the sources of EPA's data?'', subsection c. for further discussion 
about how we used heat rate data to determine electric generation.
    b. Heat input data for May through September for the year 1998 for 
all EGUs reporting under the Acid Rain Program, which we may use in a 
heat input-based allocation. We do not have heat input data for EGUs 
that are not reporting under the Acid Rain Program for 1998, and we 
have only limited data for these units for 1997. We are recording zero 
heat input for these units for those years where the data are not 
available. We request comment on heat input data from May through 
September for the years 1997 and 1998, which EPA could use for the heat 
input-based allocation for specific EGUs that are not reporting under 
the Acid Rain Program.
    c. Heat input data for May through September for the year 1995 for 
non-EGUs, which we may use in a heat input-based allocation. If you 
find that the heat input for your unit during May through September for 
the year 1995 is not representative of your unit's operation over the 
last several years, then you may comment and provide us heat input data 
for May through September for the years 1996, 1997, and/or 1998. See 
section 4, ``What supporting documentation do I need to provide with my 
comments?'' for details on the supporting information you should 
provide.
    The data files include information for fossil fuel-fired units 
which are listed in our updated emission inventory and for electric 
generators that do not burn fuel for which we previously proposed 
output-based allocations under the Federal NOX Budget 
Trading Program. During preparation of the proposed NOX 
allowance allocations, we did not have a reliable source of nameplate 
capacity data for generators that do not burn fuel. Recently, we have 
obtained reliable nameplate capacity data for more of these generators 
from EIA that we could use to identify whether or not generators are 
greater than 25 MWe. Thus, we also request comments on nameplate 
capacity of electric generators that do not burn fuel.
    You will find the data in three files:

[[Page 43126]]

     ``eguburn.txt''--This data file contains unit and source 
identification information, nameplate capacity, identification of which 
units are reporting under the Acid Rain Program, heat rate, electric 
generation data, and heat input data for fossil fuel-fired EGUs serving 
generators with a nameplate capacity greater than 25 MWe.
     ``egunonox.txt''-- This data file contains generator and 
source identification information, nameplate capacity, source of 
energy, and electric generation data for electric generators that do 
not burn fuel.
     ``nonegu.txt''-- This data file contains unit and source 
identification information and heat input data for fossil fuel-fired 
non-EGUs with a maximum design heat input greater than 250 mmBtu/hr.
    See section 2 above, ``Where can I get the data?'' for the location 
of the data on the Internet.

6. What Things EPA Not Requesting Comment on?

    We are soliciting comment only on the data presented through this 
document. We are not requesting comment on any other issue or data. For 
example, we are not requesting comment on:
     The October 21, 1998 proposed section 126 rule.
     The October 21, 1998 proposed section 110 FIP rule.
     Issues related to the Statewide emission budgets and to 
the 1995 and 1996 emission inventories (e.g., heat input values for 
EGUs for 1995 and 1996, or NOX emission values for non-EGUs 
for 1995).
     The May 14, 1999 updated emission inventory.
     Allocation methods for EGUs or non-EGUs in the proposed 
Federal NOX Budget Trading Program.
     The April 30, 1998 final section 126 rule.
     The June 14, 1999 interim final and proposed section 126 
rules.
    Please note that we have not made any decision on the methodology 
for allowance allocations. We solicited comment on the appropriate 
allocation methodology in the proposed section 126 and section 110 FIP 
rulemakings and are considering the comments we have received.

7. What are the Sources of EPA's Data?

a. Electric Generation Data for Utilities

    Electric utilities reported electric generation data to the Energy 
Information Administration (EIA) on EIA form 759. We obtained net 
electric generation data in megawatt hours (MWh) for the ozone season 
(May through September) during the years 1995 through 1998, for each 
utility power plant that submitted EIA form 759. These data are 
available through the EIA's webpage at ftp://ftp.eia.doe.gov/pub/
electricity/.
    We apportioned the plant-level net electric generation data in EIA 
Form 759 to each unit at the plant. For electric generators that did 
not burn fuel, we generally divided the plant-level generation using 
each generator's portion of the total nameplate capacity of all 
generators at the plant. For certain plants, we found that generator-
specific nameplate capacity data were unclear. In these cases, we 
apportioned the data from EIA form 759 to each generator at the plant 
equally. These plants included nuclear power plants, hydroelectric 
plants, and other facilities that did not combust fuel to generate 
electricity. For generators at plants that did not combust fuel for 
which data from EIA form 759 are not available, EPA used generation 
calculated using IPM. The data file includes this average value for the 
ozone season during all four years (1995 through 1998) for these units.
    For fossil fuel-fired units, generally we divided the plant-level 
generation in EIA form 759 using each unit's portion of the plant's 
total heat input during the ozone season. We describe this calculation 
further below. For plants at which we had heat input data for some 
units but were uncertain about the heat input data for other units at 
the plant, we apportioned the data from EIA form 759 data on the basis 
of each unit's nameplate capacity. This situation arose generally in 
1997 and 1998 for plants which had some units reporting under the Acid 
Rain Program and some units that were not reporting under the Acid Rain 
Program.

b. Heat Input Data for EGUs

    To apportion plant-level electric generation data to individual 
units for 1995 and 1996, we used the heat input in the May 14, 1999 
updated inventory (see 64 FR 28250). For units that reported emissions 
and heat input data under the Acid Rain Program, these heat input data 
came from reports submitted to EPA to demonstrate compliance under the 
Acid Rain Program. For units that did not report emissions and heat 
input data under the Acid Rain Program, we collected heat input data 
while developing our May 14, 1999 updated inventory. Values in the May 
14, 1999 updated inventory were either reported to the Agency by 
sources or by State environmental agencies. The heat input data for the 
ozone seasons during 1995 and 1996 have been subject to multiple public 
reviews. Thus, we are not requesting further comments on these data.
    To apportion plant-level electric generation data to individual 
units for 1997, we are using heat input data that we used to develop 
proposed NOX allowance allocations in the October 21, 1998 
proposed section 126 and section 110 FIP rulemakings. We modified these 
heat input values in response to comments. You can find an explanation 
of the changes we made to the heat input data in the response to 
comments document in the docket for the NOX SIP Call (Docket 
No. A-96-56). We based most of the heat input data for the 1997 ozone 
season upon the data reported to us under the Acid Rain Program. In 
addition, for some EGUs that did not report under the Acid Rain 
Program, we used heat input values for 1997 which we received in public 
comments in connection with the May 14, 1999 updated inventory. (We did 
not use heat input data for the year 1997 to establish emission 
budgets.) EPA again requests comment on heat input data for the 1997 
ozone season for sources that do not report under the Acid Rain 
Program.
    For May through September of 1998, we used the heat input reported 
by sources for compliance purposes under the Acid Rain Program. Under 
the Acid Rain Program, the designated representative for the affected 
source has certified the data in these reports as accurate. Because we 
do not have heat input data for units that are not reporting under the 
Acid Rain Program, we include heat input values of zero for them in the 
data files for 1998. See the discussion below for ``electric generation 
data for non-utility generators.'' We used the 1998 heat input data 
both:
     To apportion electric generation data to units within a 
plant; and
     To create the separate set of 1998 heat input data that we 
are offering for comment in today's action.

c. Electric generation and heat input data for non-utility generators

    We do not have measured electric generation data for non-utility 
generators. Although EIA gathers generation data from these units, EIA 
kept those plant-specific data confidential for 1995 through 1997. 
Although EIA will be making the 1998 generation data publicly 
available, it has not yet done so.
    Where commenters provided heat rate or heat input information for 
their non-utility units, we used those values instead to calculate 
electric generation. Commenters could have provided comments on heat 
input data or heat

[[Page 43127]]

rate data with their comments on the October 21, 1998 proposed section 
126 and section 110 FIP rules or could have provided comments on heat 
input data with their comments on the October 27, 1998 version of the 
emission inventory used to develop State NOX emission 
budgets under the final NOX SIP Call rule. If commenters did 
not provide heat rate information for their non-utility units, then we 
used the generic heat rate value used in the Integrated Planning Model 
(IPM) for the unit type and nameplate capacity (for these heat rate 
values, see the October 21, 1998 proposed section 126 rule, 63 FR 
56316). In cases where commenters did not send us heat input 
information, we used calculated average values for heat input from IPM 
for 1995 and 1996 (the years that could be used to calculate States' 
emission budgets). This means that in some cases, you will see the same 
heat input for 1995 and 1996 and no heat input or generation for 1997 
or 1998 in EPA's data files. We then used the heat rate and heat input 
values from IPM to calculate generation values for 1995 and 1996 at 
these units. We also did this for 1997 if a commenter provided 1997 
heat input data for a non-utility unit. We have not included 1998 heat 
input values or 1998 generation values in the data file for these 
units.
    For non-utility generators that did not burn fuel, such as 
hydroelectric plants, we used IPM to calculate average values for 
generation for the ozone seasons from 1995 through 1997. In the data 
file for the generators that did not burn fuel, this average electric 
generation for each generator is the generation value for each of the 
four ozone seasons from 1995 through 1998.

d. Heat Input Data for non-EGUs

    For heat input data for non-EGUs, we used data for 1995 developed 
from the October 27, 1998 version of the emission inventory used to 
develop State NOX emission budgets under the final 
NOX SIP call rule. We also used data submitted during 
multiple public comment periods on the inventory underlying the 
NOX SIP call and section 126 actions. The last public 
comment period was open from October 27, 1998 to February 22, 1999 and 
resulted in the May 14, 1999 updated inventory. See 64 FR 26298.

7. What Other Data Sources Did EPA Consider?

    We also considered using unit-specific generation data reported to 
EIA on EIA form 767. A commenter provided this data for many units 
which were listed in the October 27, 1998 version of the emission 
inventory used to develop State NOX emission budgets under 
the final NOX SIP call rule. Form 767 is for steam-electric 
generators with a nameplate capacity of 10 MWe or more. It does not 
apply to turbines or combined cycle systems. We did not use the data 
from EIA form 767 because we did not have these data for turbines, 
combined cycle systems, or units added to EPA's May 14, 1999 updated 
inventory based on comments received during the October 27, 1998 to 
February 22, 1999 public comment period. In addition, data from EIA 
form 767 are not yet available for 1998.
    In order to treat all unit types consistently and in order to use 
the same approach for all years from 1995 through 1998 for as many 
units as possible, we instead chose to use data from EIA form 759. 
However, we would consider comments that provide data from EIA form 767 
for specific units as a way of apportioning generation from the plant 
level, as reported on EIA form 759, rather than using heat input or 
nameplate capacity. We recognize that the electric generation data from 
EIA form 767 is a measured value and thus provides a more precise and 
more accurate electric generation value than using heat input or 
nameplate capacity to apportion generation from the plant level. 
However, we also note that the electric generation data from EIA form 
767 are not available at all for many units and are not available for 
1998 for any unit at this time. You can find the unit-level data from 
EIA form 767 that a commenter provided to the Agency for most fossil 
fuel-fired boilers in the file ``eguout.xls'' on the Regional Transport 
of Ozone webpage in the same locations as for the data files mentioned 
above under section 2, ``Where can I get the data?''.

8. What Supporting Documentation do I Need to Provide With my 
Comments?

    While we will consider all comments we receive during the public 
comment period on the topics for comment in this notice, we expect to 
change the data in response to comment only if the commenter sends 
appropriate supporting documentation. Therefore, you should send 
supporting documentation from prior to the date this document was 
signed with your comments if you want us to change or add data for 
electric generation or heat input. Please submit your comments and 
supporting documentation on paper, not in electronic format. We request 
this so that we do not receive multiple versions of the same comment 
that might contradict each other.
    For electric generation data from EGUs (May through September, 
1995-1998), we will accept data that was already reported to EIA. For 
utilities, we will accept copies of EIA form 767 for all steam 
generating units at a source. If you have already submitted a new or 
revised EIA form 759 to EIA, also send a copy with any comment to EPA. 
For non-utility generators, we will accept data the source used to 
report on EIA form 867 for the years 1995 through 1997 or EIA form 860B 
for the year 1998. If the form requires annual generation data, you 
will also need to include an explanation and documentation for 
apportioning the annual generation to the ozone season (May 1 through 
September 30). If you own or operate an EGU and you want to use data 
other than what you previously reported to EIA, you should:
     State the source of the new data;
     Thoroughly explain and document why the data reported 
previously was incorrect; and
     Explain why the new data is more accurate.
    For heat input data for units that do not report under the Acid 
Rain Program, including non-EGUs, we will consider corroborating data. 
This would include fuel purchase records or information reported to a 
State environmental agency or a State utility commission.
    In general, we do not expect to change heat input data for units 
reporting under the Acid Rain Program since the source's designated 
representative under the Acid Rain Program has already submitted the 
heat input data and certified their accuracy for compliance purposes. 
However, we will consider changes if the source's designated 
representative provides evidence that we improperly calculated heat 
input at the unit level, where the heat input was actually measured at 
another location (such as a common stack). We will also consider 
changing heat input data for a unit reporting under the Acid Rain 
Program if the source's designated representative demonstrates that the 
data we are providing for comment here do not agree with the data 
reported to EPA for compliance with the Acid Rain Program. You should 
explain why the data values in EPA's data file(s) are incorrect and 
document and explain the new data values. See Table 1 below.

[[Page 43128]]



                  Table 1.--Supporting Documentation You Should Send to EPA With Your Comments
----------------------------------------------------------------------------------------------------------------
                                        and you are commenting
    If you have this source type:       on this type of data:      Then you should submit this documentation:
----------------------------------------------------------------------------------------------------------------
EGU boiler reporting under the Acid    electrical generation..  (May-Sept. of 1995, 1996, 1997, or 1998)
 Rain Program.                                                   Updated EIA form 759 or
                                                                EIA form 767.
                                       heat input.............  (May-Sept. 1998)
                                                                 Explanation and documentation of why
                                                                 heat
                                                                input was incorrect and
                                                                 Explanation of new values.
EGU turbine or combined cycle unit     electrical generation..  (May-Sept. 1995, 1996, 1997, or 1998)
 reporting under the Acid Rain                                   Updated EIA form 759.
 Program.
                                       heat input.............  (May-Sept. 1998)
                                                                 Explanation and documentation of why
                                                                 heat input was incorrect and
                                                                 Explanation of new values.
EGU non-utility generator (not         electrical generation..  (May-Sept. 1995, 1996, or 1997)
 reporting under the Acid Rain                                   EIA form 867 and
 Program).                                                       Explanation and documentation for
                                                                 apportioning the annual generation to the ozone
                                                                 season or
                                                                (May-Sept. 1998)
                                                                 EIA form 860B.
                                       heat input.............  (May-Sept. 1998)
                                                                 Fuel purchase records or
                                                                 Information reported to a State
                                                                 environmental agency or a State utility
                                                                 commission.
Non-EGU..............................  heat input.............  (May-Sept. 1995 \1\)
                                                                 Fuel purchase records or
                                                                 Information reported to a State
                                                                 environmental agency or a State utility
                                                                 commission.
----------------------------------------------------------------------------------------------------------------
\1\ If heat input during May through September for the year 1995 is not representative of your unit's operation
  over the last several years, then you may provide us heat input data for May through September for the years
  1996, 1997, and/or 1998 with the same type of supporting documentation.

9. How is this Action Related to the Section 126 and Proposed 
Section 110 FIP Rulemakings?

    On October 21, 1998, in accordance with section 126, we proposed 
action on the petitions filed by eight Northeastern States seeking 
relief from the transport of NOX across State boundaries. 
See 63 FR 56291. NOX is one of the main precursors of 
ground-level ozone. We also proposed FIPs that may be needed if any 
State fails to revise its State Implementation Plan (SIP) to comply 
with the NOX SIP call. See 63 FR 56393, October 21, 1998. In 
these actions, we proposed to control emissions from large boilers, 
turbines, and combined cycle systems through the Federal NOX 
Budget Trading Program.
    The Federal NOX Budget Trading Program is a multi-state 
NOX air pollution control and emission reduction program. We 
proposed the Federal trading program in part 97 as a way to reduce the 
interstate transport of ozone and NOX. We are developing 
this program to control NOX emissions cost-effectively from 
large stationary sources. These large sources, mostly power plants and 
industrial boilers and turbines, significantly contribute to violations 
of the National Ambient Air Quality Standards for ozone in States 
downwind of the sources.
    The section 126 and section 110 FIP Notices of Proposed Rulemaking 
are contained in the rulemaking dockets. They are also currently 
available on EPA's Website at http://www.epa.gov/ttn/rto under 
``Section 126 Petitions'' and ``Transport FIPs.''
    On April 30, 1999 we issued a final section 126 action that 
determined that portions of the petitions are approvable based on their 
technical merits (64 FR 28250, May 5, 1999). We deferred making final 
findings under section 126, which would trigger control requirements 
for sources, pending certain actions by States and EPA with respect to 
the NOX SIP call. We also delayed finalizing the details of 
the Federal NOX Budget Trading Program. On May 14, 1999, the 
District of Columbia Circuit Court of Appeals remanded the 8-hour 
National Ambient Air Quality Standard for ozone, which formed part of 
the underlying technical basis for EPA's determinations on certain 
section 126 petitions. In a separate action, the same court granted a 
motion to stay the SIP submission deadline for the NOX SIP 
call. This action, in effect, also stays the potential for a related 
FIP. In addition, the court action impacts the section 126 final rule, 
because we had linked our final findings under section 126 with the 
NOX SIP call schedule.
    In light of the court rulings, we issued an interim final rule (64 
FR 33956, June 24, 1999). The interim final rule temporarily stays the 
April 30, 1999 Section 126 rule while we conduct notice-and-comment 
rulemaking to modify certain aspects of that rule. On June 24, 1999, we 
also issued a proposed rule, which proposed to:
    (1) indefinitely stay the portion of the April 30, 1999 rule that 
relied on the 8-hour ozone standard, and
    (2) remove the automatic trigger mechanism for making section 126 
findings that was linked with the NOX SIP call deadlines; 
instead, we would simply take an independent action making the findings 
in a final rule (64 FR 33962). Under this new schedule, we will move 
forward with the portion of the section 126 rulemaking that is based on 
the 1-hour ozone standard. We intend to finalize the Federal 
NOX Budget Trading Program and allowance allocations for 
sources that will be subject to section 126 control requirements at the 
same time that we make the section 126 findings. In the June 24, 1999 
proposal, we indicated that we expected to issue the section 126 final 
rule by November 30, 1999 or soon thereafter. We also would use the 
Federal NOX Budget Trading Program

[[Page 43129]]

for certain source categories if we ultimately issue a FIP in 
conjunction with the NOX SIP call.

10. How is This Action Related to the NOX SIP Call?

    This action is not directly related to the NOX SIP Call, 
but is related indirectly. The data could be used to determine 
NOX allowance allocations if we issue a FIP because a State 
fails to respond adequately to the NOX SIP Call. States 
could also use the data to prepare NOX allowance allocations 
for their SIPs. Some Northeastern States have stated that they intend 
to submit SIPs in response to EPA's NOX SIP Call by 
September 30, 1999.

    Dated: July 30, 1999.
Robert Perciasepe,
Assistant Administrator for Air and Radiation.
[FR Doc. 99-20465 Filed 8-6-99; 8:45 am]
BILLING CODE 6560-50-P