[Federal Register Volume 71, Number 94 (Tuesday, May 16, 2006)]
[Notices]
[Pages 28320-28324]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-7405]


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ENVIRONMENTAL PROTECTION AGENCY

[OAR-2004-0386; FRL-8170-4]
RIN NA2060


Consumer and Commercial Products: Schedule for Regulation

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of revisions to the list of product categories scheduled 
for regulation under section 183(e) of the Clean Air Act (CAA).

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SUMMARY: This notice modifies the section 183(e) list and schedule for 
regulation by adding one category and removing one category of consumer 
and commercial products. By this action, EPA is listing portable fuel 
containers (PFCs) for regulation and removing petroleum dry cleaning 
solvents from the list of product categories for regulation.

DATES: This action is effective on May 16, 2006.

ADDRESSES: EPA has established a docket for this action under Docket ID 
No. OAR-2004-0386 (legacy docket No. A-94-65). All documents in the 
docket are listed on the http://www.regulations.gov Web site. Although 
listed in the index, some information is not publicly available, e.g., 
confidential business information (CBI) or other information whose 
disclosure is restricted by statute. Certain other material, such as 
copyrighted material, is not placed on the Internet and will be 
publicly available in hard copy form. Publicly available docket 
materials are available either through http://www.regulations.gov or in 
hard copy at the HQ Docket Center for public inspection and copying 
between 8:30 a.m. and 4:30 p.m., Monday through Friday, excluding legal 
holidays. The docket is located at: U.S. EPA, Air and Radiation Docket 
and Information Center (6102T), 1301 Constitution Avenue, NW., Room B-
102, Washington, DC 20460, or by calling (202) 566-1744 or 1742. A 
reasonable fee may be charged for copying docket materials.

FOR FURTHER INFORMATION CONTACT: Mr. Bruce Moore, EPA, Office of Air 
Quality Planning and Standards, Sector Policies

[[Page 28321]]

and Programs Division, Natural Resources and Commerce Group (E143-03), 
Research Triangle Park, NC 27711, telephone number (919) 541-5460, 
facsimile number (919) 541-3470, electronic mail address: 
[email protected].

SUPPLEMENTARY INFORMATION: World Wide Web (WWW). In addition to being 
available in the docket, an electronic copy of this action will also be 
available on the WWW through the Technology Transfer Network (TTN). 
Following signature, a copy of the action will be posted on the TTN 
policy and guidance page for newly proposed or promulgated rules at 
http://www.epa.gov/ttn/oarpg. The TTN provides information and 
technology exchange in various areas of air pollution control.
    Outline. The information presented in this notice is organized as 
follows:

I. What is the CAA section 183(e) list?
II. Why is EPA revising the list and schedule for regulation?
III. What criteria were considered in EPA's decision to add PFC to 
the list and schedule for regulation?
IV. What was the result of the ranking exercise for the PFC product 
category?
V. Which category is EPA removing from the schedule for regulation?
VI. What portion of the 1990 CAA section 183(e) baseline does the 
schedule for regulation address?
VII. Statutory and Executive Order Reviews

I. What is the CAA section 183(e) list?

    Ground-level ozone, which is a major component of smog, is formed 
in the atmosphere by reactions of volatile organic compounds (VOC) and 
oxides of nitrogen in the presence of sunlight. The formation of 
ground-level ozone is a complex process that is affected by many 
variables.
    Exposure to ground-level ozone is associated with a wide variety of 
human health effects, agricultural crop loss, and damage to forests and 
ecosystems. Acute health effects are induced by short-term exposures 
(observed at concentrations as low as 0.12 parts per million (ppm)), 
generally while individuals are engaged in moderate or heavy exertion, 
and by prolonged exposures to ozone (observed at concentrations as low 
as 0.08 ppm), typically while individuals are engaged in moderate 
exertion. Moderate exertion levels are more frequently experienced by 
individuals than heavy exertion levels. The acute health effects 
include respiratory symptoms, effects on exercise performance, 
increased airway responsiveness, increased susceptibility to 
respiratory infection, increased hospital admissions and emergency room 
visits, and pulmonary inflammation. Groups at increased risk of 
experiencing such effects include active children, outdoor workers, and 
others who regularly engage in outdoor activities, as well as those 
with preexisting respiratory disease. Currently available information 
also suggests that long-term exposures to ozone may cause chronic 
health effects (e.g., structural damage to lung tissue and accelerated 
decline in baseline lung function).
    Under section 183(e) of the CAA, EPA conducted a study of VOC 
emissions from the use of consumer and commercial products to assess 
their potential to contribute to levels of ozone that violate the 
national ambient air quality standards (NAAQS) for ozone, and to 
establish criteria for regulating VOC emissions from these products. 
Section 183(e) of the CAA directs EPA to list for regulation those 
categories of products that account for at least 80 percent of the VOC 
emissions, on a reactivity-adjusted basis, from consumer and commercial 
products in areas that violate the NAAQS for ozone (i.e., ozone 
nonattainment areas), and to divide the list of categories to be 
regulated into four groups.
    EPA published the original list of product categories and the 
original schedule that established the four groups of categories in the 
Federal Register on March 23, 1995 (60 FR 15264). EPA noted in that 
notice that EPA may amend the list of products for regulation, and the 
groups of product categories, in order to achieve an effective 
regulatory program in accordance with the Agency's discretion under CAA 
section 183(e). EPA published a revised schedule and grouping on March 
18, 1999 (64 FR 13422). EPA again revised the list to regroup the 
product categories for purposes of workload management on November 17, 
2005 (70 FR 69759). For more background information, please refer to 
the previous notices relating to the development of the initial list 
and schedule and subsequent changes.\1\
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    \1\ EPA notes that it is currently subject to a court-ordered 
schedule to complete the Agency's obligations under CAA section 
183(e). Pursuant to this order, EPA must complete either regulations 
or control techniques guidelines (CTGs) for the product categories 
on the current section 183(e) list. EPA may further revise and 
reorder the list of products in the future.
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    Since the beginning of the CAA section 183(e) program, EPA has 
noted that the inclusion of a product category on the list of products 
for potential regulation is not the final action by the Agency on this 
decision, and that the Agency will make the final determination in 
conjunction with development of regulations that affect the product 
category.\2\
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    \2\ See, ``Final Listing of Product Categories for Regulation,'' 
63 FR 48792 (September 11, 1998). In this regulatory action, EPA 
confirmed that three product categories should be regulated under 
section 183(e).
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    Similarly, this listing exercise is not the Agency's final 
determination that PFC should be regulated, or of the appropriate 
method for their regulation, under CAA section 183(e). EPA has proposed 
to regulate PFC under CAA section 183(e) as part of a proposed rule 
regarding emissions from the use of gasoline, passenger vehicles, and 
PFC. See, ``Control of Hazardous Air Pollutants from Mobile Sources,'' 
71 FR 15804 (March 29, 2006), known as the mobile sources air toxics 
(MSAT) rule. Interested parties may comment upon or challenge the 
inclusion of the product category in the CAA section 183(e) program in 
comments in that proceeding. See, 71 FR 15984 (``EPA will afford 
interested persons the opportunity to comment on the data underlying 
the listing before taking final action'' on this proposal). The final 
determination to regulate PFC under CAA section 183(e) will be made in 
conjunction with EPA's proposal for the MSAT rule. EPA encourages all 
interested parties to review that proposal and to comment upon EPA's 
proposed regulation of PFC under CAA section 183(e) in that rulemaking 
action.

II. Why is EPA revising the list and schedule for regulation?

    By this action, EPA is adding the product category ``portable fuel 
containers'' to the CAA section 183(e) list and schedule for regulation 
and removing the category ``petroleum dry cleaning solvents'' from the 
CAA section 183(e) list.
    The PFC category includes portable liquid fuel containers and does 
not apply to containers holding non-liquid fuels (for example, 
propane). EPA has determined that PFC fall within the definition of 
``consumer and commercial product'' found in CAA section 183(e) and 
that it is appropriate to consider this category for regulation under 
CAA section 183(e) in order to achieve VOC emission reductions.
    Section 183(e)(1)(B) of the CAA defines the term ``consumer and 
commercial product'' to mean: ``any substance, product (including 
paints, coatings, and solvents), or article (including any container or 
packaging) held by any person, the use, consumption, storage, disposal, 
destruction, or decomposition of which may result in the release of 
volatile organic compounds. The term does not

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include fuels or fuel additives regulated under section 211, or motor 
vehicles, non-road vehicles, and non-road engines as defined under 
section 216 of this title.'' Accordingly, the statutory definition of 
consumer and commercial products includes a much broader array of 
products than those usually considered to be consumer products (e.g., 
personal care products, household cleaning products, household 
pesticides, etc.). The statutory definition of consumer and commercial 
products encompasses all VOC-emitting products used in or around the 
home, by businesses, by institutions, and in a wide range of industrial 
manufacturing operations. We note that PFC are not excluded by the 
references to ``fuels and fuel additives regulated under CAA section 
211'' because the cans themselves are ``containers'' as contemplated in 
CAA section 183(e) and because regulation of the cans themselves will 
not affect the fuels or fuel additives within the containers.
    Although EPA did not identify PFC as a category of consumer and 
commercial products at the time of the initial product listing, 
information now available to EPA indicates that these products, in the 
aggregate, are a significant source of VOC emissions. People use PFC to 
refuel a wide variety of equipment. Their most frequent use is for 
refueling lawn and garden equipment such as lawn mowers, trimmers, and 
chainsaws. They are also routinely used for recreational equipment such 
as all-terrain vehicles and snowmobiles, and for passenger vehicles 
which have run out of fuel. About 95 percent of PFC are made of plastic 
(high density polyethylene). There are approximately 20 million PFC 
sold annually, and about 80 million PFC are in use nationwide. The 
average lifetime of a PFC is about 5 years.
    Gasoline fuels are highly volatile and evaporate easily from 
containers that are not sealed or closed properly. Although an 
individual PFC is a relatively modest emission source, the aggregate 
VOC emissions from PFC are quite significant. We estimate that 
nationwide VOC emissions from PFC were about 287,000 tons per year 
(tpy) (about 261,000 megagrams per year) in 1990 (the CAA section 
183(e) baseline year).\3\ Current emissions are estimated to be about 
315,000 tpy (about 286,000 megagrams per year), which is about 5 
percent of the nationwide mobile source VOC emissions inventory. Left 
uncontrolled, a single PFC's evaporative emissions, in grams of VOC per 
day, are up to 60 times the VOC emissions of a new Tier 2 vehicle 
evaporative control system. PFC emissions are primarily of three types: 
Evaporative emissions from unsealed or open containers; permeation 
emissions from fuel passing through the walls of the plastic 
containers; and evaporative emissions from fuel spillage during use.
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    \3\ These estimates are based on emissions from PFC when used 
with gasoline. We have not included emissions from containers used 
with diesel and kerosene due to lack of data on which to base these 
estimates. However, we believe that emissions from containers used 
with diesel and kerosene would only slightly increase the total 
emissions estimates due to the very low volatility of these fuels.
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    As a result of the significant aggregate VOC emissions from PFC, 
EPA has concluded that it is appropriate to consider PFC for regulation 
under CAA section 183(e) to achieve needed VOC emission reductions. 
Accordingly, the Agency is revising the list of consumer and commercial 
products to include the category.
    When EPA issued the original CAA section 183(e) list, EPA selected 
product categories that would account for approximately 80 percent of 
the VOC emissions in ozone nonattainment areas in the base year. 
Removal of the petroleum dry cleaning solvents category from the list, 
in combination with the addition of the PFC category, will maintain a 
list that accounts for approximately 80 percent of VOC emissions in 
ozone nonattainment areas in the base year.

III. What criteria were considered in EPA's decision to add PFC to the 
list and schedule for regulation?

    EPA has followed the same process it used for the original listing 
exercise to evaluate whether to add PFC to the list at this time. In 
establishing criteria for regulating products, CAA section 183(e)(2)(B) 
directs the Administrator to consider the following factors:
    (1) Uses, benefits, and commercial demand,
    (2) Health and safety functions,
    (3) Products which emit highly reactive VOC,
    (4) Cost-effectiveness of control, and
    (5) Availability of alternatives.
    Based on the five statutory factors, EPA developed the following 
eight criteria for ranking consumer and commercial products:
    (1) Utility,
    (2) Commercial demand,
    (3) Health and safety functions,
    (4) Emissions of highly reactive VOC,
    (5) Availability of alternatives,
    (6) Cost-effectiveness of controls,
    (7) Magnitude of annual VOC emissions, and
    (8) Regulatory efficiency and program considerations.
    The first statutory factor is evaluated using two criteria. 
Criterion 1 (Utility) considers uses and benefits of the product, and 
Criterion 2 (Commercial Demand) evaluates commercial demand for the 
product. The remaining four statutory factors are addressed 
individually by Criteria 3 through 6. Criteria 7 and 8 (magnitude of 
emissions and regulatory efficiency) reflect additional considerations 
not specifically prescribed in the CAA. EPA has exercised its 
discretion to include these criteria, as EPA believes they are 
important in prioritizing product categories for regulation. Criteria 1 
through 7 were developed such that each product category could be 
evaluated numerically by assigning a score of 1 to 5 for each of the 
criteria, with a higher score indicating a higher priority for 
regulation. A complete discussion of the criteria is contained in 
Chapter 4 of ``Study of Volatile Organic Compounds from Consumer and 
Commercial Products--Report to Congress,'' EPA-453/R-94-066-A, March 
1995. A copy of the full Report to Congress is in the docket. 
Furthermore, a copy of Chapter 4 is also included in the Technical 
Support Document (TSD) for this action.\4\
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    \4\ EPA notes that its general approach to the listing exercise 
and the criteria used by the Agency has been approved. See, ALARM 
Caucus v. EPA, 215 F.3d61 (D.C. Cir. 2000); cert. denied, 532 U.S. 
1018 (2001).
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IV. What was the result of the ranking exercise for the PFC product 
category?

    EPA used 1990 emission estimates and other information on PFC in 
evaluating the product category to maintain consistency with the 
process used to form the initial list. Application of the criteria 
indicated that PFC ranked highly compared to the categories considered 
in the original listing exercise. A detailed discussion of that process 
as applied to PFC is included in the TSD. EPA concludes that PFC should 
receive high priority for regulation and, as a result, should be added 
to the CAA section 183(e) list and schedule for regulation.

V. Which category is EPA removing from the schedule for regulation?

    Concurrent with the addition of PFC, the Agency is removing one 
product category, ``petroleum dry cleaning solvents,'' from the CAA 
section 183(e) list of products for regulation. The 1990 nonattainment 
area emissions estimate for petroleum dry cleaning solvents was 49,091 
megagrams.
    When evaluated according to the criteria discussed above, the 
petroleum dry cleaning solvents category ranked

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lowest among the categories listed in the original CAA section 183(e) 
schedule for regulation in 1995. The results of the ranking exercise 
for petroleum dry cleaning solvents are documented in the TSD.

VI. What portion of the 1990 CAA section 183(e) baseline does the 
schedule for regulation address?

    Section 183(e)(3)(A) of the CAA requires EPA to list and regulate 
categories that account for at least 80 percent of VOC emissions, on a 
reactivity-adjusted basis, in areas that violate the NAAQS for ozone. 
We base this calculation on the 1990 baseline of estimated VOC 
emissions from all consumer and commercial products in ozone 
nonattainment areas at that time. Because we had not previously 
identified PFC as a product category with significant VOC emissions, we 
did not include emission from this category towards the total emissions 
in the original 1990 baseline for all consumer and commercial products. 
We have now examined this product category and have added the estimated 
1990 level of emissions from this category to the baseline we used for 
creation of the original CAA section 183(e) product list.
    Pursuant to CAA section 183(e), EPA has adjusted the 1990 
nationwide VOC emissions estimate to account for reactivity. This 
process, which is discussed in detail in the TSD, is based on giving 
higher weight to highly-reactive compounds. The nationwide emissions 
estimate was further adjusted to reflect VOC emissions in ozone 
nonattainment areas. Emissions for consumer products such as many 
household products, including PFC, generally track population (i.e., 
highly populated areas generally have higher use of a given product 
than sparsely populated areas). Therefore, the nonattainment area 
emissions of many consumer products, including PFC, are estimated to be 
proportional to the population in those areas. EPA estimated 
nonattainment area emissions in 1990 (the CAA section 183(e) baseline 
year) to be approximately 60 percent of nationwide emissions. This 
estimate is based on a 1990 nonattainment area population of 160 
million divided by the total United States population of 260 million. 
As a result, the 1990 nationwide mass emissions estimate of 261,000 
megagrams per year was adjusted for reactivity and scaled by population 
to yield reactivity-adjusted emissions of 228,722 megagrams in ozone 
nonattainment areas. Details of these calculations are provided in the 
TSD.
    Having included such emissions in the 1990 baseline, EPA has 
increased the baseline by 228,722 megagrams per year. This results in a 
change from 3,481,804 to 3,710,526 megagrams per year. Accordingly, we 
have recalculated the percentage of VOC emissions accounted for by the 
categories listed for regulation. This action (i.e., adding PFC and 
removing petroleum dry cleaning solvents) results in EPA listing for 
regulation categories that account for 2,968,998 megagrams per year, or 
80.02 percent of the 1990 baseline. The revised list of categories 
scheduled for regulation is shown in Table 1. As noted above, CAA 
section 183(e) gives EPA the discretion to revise the list of products 
for regulation, or to change the groupings of products for regulation, 
so long as the requirements of the section are met. EPA will make 
appropriate adjustments to ensure that we continue to meet the 
requirement to regulate categories accounting for at least 80 percent 
of the 1990 baseline.

   Table 1.--Consumer and Commercial Products Schedule for Regulation
------------------------------------------------------------------------
                                                              Emissions
                                                              megagrams
                     Product category                         per year
                                                               (Mg/yr)
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Group I:
    Consumer products.....................................       301,347
    Shipbuilding and repair coatings......................        23,302
    Aerospace coatings....................................       165,892
    Architectural coatings................................       362,454
    Autobody refinishing coatings.........................        85,509
    Wood furniture coatings...............................        88,109
                                                           -------------
        Total for Group I.................................     1,026,613
Group II:
    Flexible package printing materials...................       136,364
    Lithographic printing materials.......................       545,454
    Letterpress printing materials........................        25,636
    Industrial cleaning solvents..........................       232,890
    Flatwood paneling coatings............................        19,618
                                                           -------------
        Total for Group II................................       959,962
Group III:
    Portable fuel containers..............................       228,722
    Aerosol spray paints..................................        58,521
    Paper, film, and foil coatings........................        92,064
    Metal furniture coatings..............................        97,220
    Large appliance coatings..............................        22,994
                                                           -------------
        Total for Group III...............................       499,521
Group IV:
    Miscellaneous metal products coatings.................       198,545
    Fiberglass boat manufacturing materials...............        11,000
    Miscellaneous industrial adhesives....................       185,175
    Plastic parts coatings................................        20,000
    Auto and light-duty truck assembly coatings...........        68,182
                                                           -------------

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        Total for Group IV................................       482,902
                                                           =============
Emissions addressed by schedule...........................     2,968,998
1990 CAA section 183(e) baseline emissions................     3,710,526
Percentage of baseline addressed by schedule..............         80.02
------------------------------------------------------------------------

VII. Statutory and Executive Order Reviews

    Under Executive Order 12866 (58 FR 51735, October 4, 1993), EPA 
must determine whether the regulatory action is ``significant'' and, 
therefore, subject to review by the Office of Management and Budget 
(OMB) and the requirements of the Executive Order. The Executive Order 
defines ``significant regulatory action'' as one that is likely to 
result in a rule that may:
    (1) Have an annual effect on the economy of $100 million or more, 
or adversely affect in a material way the economy, productivity, 
competition, jobs, the environment, public health or safety, or State, 
local, or tribal governments or communities;
    (2) Create a serious inconsistency or otherwise interfere with an 
action taken or planned by another agency;
    (3) Materially alter the budgetary impact of entitlements, grants, 
user fees, or loan programs, or the rights and obligations of 
recipients thereof; or
    (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
the Executive Order.
    It has been determined that this action is not a ``significant 
regulatory action'' under the terms of Executive Order 12866 and is, 
therefore, not subject to OMB review.
    This notice is not a rule; it is essentially an information sharing 
activity which does not impose regulatory requirements or costs. 
Therefore, the requirements of Executive Order 13132 (Federalism), 
Executive Order 13175 (Consultation and Coordination with Indian Tribal 
Governments), Executive Order 13045 (Protection of Children from 
Environmental Health Risks and Safety Risks), Executive Order 13211 
(Actions Concerning Regulations that Significantly Affect Energy 
Supply, Distribution, or Use), the Regulatory Flexibility Act, the 
Unfunded Mandates Reform Act, and the National Technology Transfer and 
Advancement Act do not apply to this notice. Also, this notice does not 
contain any information collection requirements and, therefore, is not 
subject to the Paperwork Reduction Act, 44 U.S.C. 3501, et seq.

    Dated: May 11, 2006.
Stephen L. Johnson,
Administrator.
 [FR Doc. E6-7405 Filed 5-15-06; 8:45 am]
BILLING CODE 6560-50-P