[Federal Register Volume 85, Number 110 (Monday, June 8, 2020)]
[Proposed Rules]
[Pages 35046-35048]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-12141]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R04-OAR-2018-0631; FRL-10010-11-Region 4]


Air Plan Approval; TN; Nitrogen Oxides SIP Call Plan

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing to 
approve a State Implementation Plan (SIP) revision concerning nitrogen 
oxides (NOX) emissions submitted by the State of Tennessee, 
through the Tennessee Department of Environment and Conservation 
(TDEC), through a letter dated December 19, 2019, which revises the 
Tennessee Air Pollution Control Rule (TAPCR) titled ``NOX 
SIP Call Requirements for Stationary Boilers and Combustion Turbines'' 
(TN 2017 NOX SIP Call Rule) to correct the definition of 
``affected unit'' and to clarify requirements related to stationary 
boilers and combustion turbines. EPA is also proposing to convert the 
conditional approval of the TN 2017 NOX SIP Call Rule to a 
full approval.

DATES: Comments must be received on or before July 8, 2020.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R04-
OAR-2018-0631 at www.regulations.gov. Follow the online instructions 
for submitting comments. Once submitted, comments cannot be edited or 
removed from Regulations.gov. EPA may publish any comment received to 
its public docket. Do not submit electronically any information you 
consider to be Confidential Business Information (CBI) or other 
information whose disclosure is restricted by statute. Multimedia 
submissions (audio, video, etc.) must be accompanied by a written 
comment. The written comment is considered the official comment and 
should include discussion of all points you wish to make. EPA will 
generally not consider comments or comment contents located outside of 
the primary submission (i.e., on the web, cloud, or other file sharing 
system). For additional submission methods, the full EPA public comment 
policy, information about CBI or multimedia submissions, and general 
guidance on making effective comments, please visit www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Gobeail McKinley, Air Regulatory 
Management Section, Air Planning and Implementation Branch, Air and 
Radiation Division, U.S. Environmental Protection Agency, Region 4, 61 
Forsyth Street SW, Atlanta, Georgia 30303-8960. The telephone number is 
(404) 562-9230. Ms. McKinley can also be reached via electronic mail at 
[email protected].

SUPPLEMENTARY INFORMATION: 

I. Background

    Under Clean Air Act (CAA or Act) section 110(a)(2)(D)(i)(I), which 
EPA has traditionally termed the good neighbor provision, states are 
required to address the interstate transport of air pollution. 
Specifically, the good neighbor provision requires that each state's 
implementation plan contain adequate provisions to prohibit air 
pollutant emissions from within the state that will significantly 
contribute to nonattainment of the national ambient air quality 
standards (NAAQS), or that will interfere with maintenance of the 
NAAQS, in any other state.
    In October 1998 (63 FR 57356), EPA finalized the ``Finding of 
Significant Contribution and Rulemaking for Certain States in the Ozone 
Transport Assessment Group Region for Purposes of Reducing Regional 
Transport of Ozone'' (``NOX SIP Call''). The NOX 
SIP Call required eastern states, including Tennessee, to submit SIPs 
that prohibit excessive emissions of ozone season NOX by 
implementing statewide emissions budgets.\1\ The NOX SIP 
Call addressed the good neighbor provision for the 1979 ozone NAAQS and 
was designed to mitigate the impact of transported NOX 
emissions, one of the precursors of ozone. EPA developed the 
NOX Budget Trading Program, an allowance trading program 
that states could adopt to meet their obligations under the 
NOX SIP Call. This trading program allowed the following 
sources to participate in a regional cap and trade

[[Page 35047]]

program: Generally electric generating units (EGUs) with capacity 
greater than 25 megawatts (MW); and large industrial non-EGUs, such as 
boilers and combustion turbines, with a rated heat input greater than 
250 million British thermal units per hour (MMBtu/hr). The 
NOX SIP Call also identified potential reductions from 
cement kilns and stationary internal combustion engines.
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    \1\ See 63 FR 57356 (October 27, 1998). As originally 
promulgated, the NOX SIP Call also addressed good 
neighbor obligations under the 1997 8-hour ozone NAAQS, but EPA 
subsequently stayed and later rescinded the rule's provisions with 
respect to that standard. See 65 FR 56245 (September 18, 2000); 84 
FR 8422 (March 8, 2019).
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    On January 22, 2004, EPA approved into the Tennessee SIP the 
State's NOX Budget Trading Program rule.\2\ The 
NOX Budget Trading Program was implemented from 2003 to 
2008. The provisions required EGUs and large non-EGUs in the state to 
participate in the NOX Budget Trading Program.
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    \2\ See 69 FR 3015 (January 22, 2004).
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    In 2005, EPA published the Clean Air Interstate Rule (CAIR), which 
required eastern states, including Tennessee, to submit SIPs that 
prohibited emissions consistent with ozone season (and annual) 
NOX budgets. See 70 FR 25162 (May 12, 2005). CAIR addressed 
the good neighbor provision for the 1997 ozone NAAQS and 1997 fine 
particulate matter (PM2.5) NAAQS and was designed to 
mitigate the impact of transported NOX emissions with 
respect to not only ozone but also PM2.5. CAIR established 
several trading programs that EPA implemented through federal 
implementation plans (FIPs) for EGUs greater than 25 MW in each 
affected state, but not large non-EGUs; states could submit SIPs to 
replace the FIPs that achieved the required emission reductions from 
EGUs and/or other types of sources.\3\ When the CAIR trading program 
for ozone season NOX was implemented beginning in 2009, EPA 
discontinued administration of the NOX Budget Trading 
Program; however, the requirements of the NOX SIP Call 
continued to apply.
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    \3\ CAIR had separate trading programs for annual sulfur dioxide 
emissions, seasonal NOX emissions and annual 
NOX emissions.
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    On August 20, 2007, EPA approved into the Tennessee SIP an 
abbreviated CAIR SIP revision with allowance allocations and opt-in 
provisions.\4\ On November 25, 2009, EPA approved into the Tennessee 
SIP a further abbreviated CAIR SIP revision expanding applicability of 
the CAIR ozone season NOX trading program to NOX 
SIP Call non-EGUs.\5\
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    \4\ See 72 FR 46388.
    \5\ See 74 FR 61535.
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    In 2011, EPA published the Cross-State Air Pollution Rule (CSAPR) 
to replace CAIR and address the good neighbor provisions for the 1997 
ozone NAAQS, the 1997 PM2.5 NAAQS, and the 2006 
PM2.5 NAAQS. See 76 FR 48208 (August 8, 2011). Through FIPs, 
CSAPR required EGUs in eastern states, including Tennessee, to meet 
annual and ozone season NOX emission budgets and annual 
SO2 emission budgets implemented through new trading 
programs. Implementation of CSAPR began on January 1, 2015.\6\ CSAPR 
also contained provisions that would sunset CAIR-related obligations on 
a schedule coordinated with the implementation of the CSAPR compliance 
requirements.
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    \6\ See 79 FR 71663 (December 3, 2014) and 81 FR 13275 (March 
14, 2016).
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    In 2016, EPA published the CSAPR Update to address the good 
neighbor provision for the 2008 ozone NAAQS. See 81 FR 74504 (October 
26, 2016). Although for most covered states the CSAPR Update may only 
partially address the states' good neighbor obligations for this NAAQS, 
the rule fully addresses Tennessee's good neighbor obligation for this 
NAAQS.\7\ The CSAPR Update trading program replaced the original CSAPR 
trading program for ozone season NOX for most covered 
states. Tennessee's EGUs participate in the CSAPR Update trading 
program, generally also addressing the state's obligations under the 
NOX SIP Call for EGUs. However, Tennessee has not chosen to 
expand applicability of the CSAPR Update trading program to its large 
non-EGUs.
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    \7\ See 81 FR at 74540. EPA notes that the aspects of the CSAPR 
Update affecting Tennessee were not challenged in the litigation 
over the rule and are not affected by the remand of the rule in 
Wisconsin v. EPA, 983 F.3d 303 (D.C. Cir. 2019).
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    Through a letter to EPA dated February 27, 2017,\8\ Tennessee 
provided a SIP revision to incorporate a new provision--TACPR 1200-03-
27-.12, ``NOX SIP Call Requirements for Stationary Boilers 
and Combustion Turbines'' (TN 2017 NOX SIP Call Rule)--into 
the SIP. The TN 2017 NOX SIP Call Rule established a state 
control program for sources that are subject to the NOX SIP 
Call, but not covered under CSAPR or the CSAPR Update. The TN 2017 
NOX SIP Call Rule contains several subsections that together 
comprise a non-EGU control program under which Tennessee will allocate 
a specified budget of allowances to affected sources. Subsequently, on 
May 11, 2018 and October 11, 2018, Tennessee submitted letters 
requesting conditional approval of the 2017 NOX SIP Call 
Rule and committing to provide a SIP revision to EPA by December 31, 
2019, to address a deficiency by revising the definition of ``affected 
unit'' to remove the unqualified exclusion for any unit that serves a 
generator that produces power for sale. Based on the State's commitment 
to submit a SIP revision addressing the identified deficiency, EPA 
conditionally approved the February 27, 2017, submission. In the same 
action, EPA approved removal of the state's NOX Budget 
Trading Program and CAIR rules from the State's SIP. See 84 FR 7998 
(March 6, 2019).
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    \8\ EPA notes that it received the submittal on February 28, 
2017.
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II. EPA's Proposed Action

    EPA is proposing to approve Tennessee's December 19, 2019, SIP 
submittal, which revises TAPCR 1200-03-27-.12, ``NOX SIP 
Call Requirements for Stationary Boilers and Combustion Turbines'' to 
correct the definition of ``affected unit'' and to clarify requirements 
related to stationary boilers and combustion turbines (additional 
details are provided in section III of this proposal). In addition, EPA 
is proposing to convert EPA's March 6, 2019, conditional approval to a 
full approval.

III. Tennessee's SIP Submission and EPA's Analysis

    In accordance with its commitment letters, Tennessee submitted a 
SIP revision on December 19, 2019, requesting EPA approval of revisions 
to TAPCR 1200-03-27-.12, ``NOX SIP Call Requirements for 
Stationary Boilers and Combustion Turbines.'' To address the deficiency 
in the TN 2017 NOX SIP Call Rule identified by EPA, in the 
December 19, 2019 submission, the State revises the definition of 
``affected unit'' to remove the unqualified exclusion for any unit that 
serves a generator that produces power for sale and add exclusions for 
units that are subject to the current CSAPR Update trading program for 
ozone season NOX. In addition, Tennessee is requesting EPA 
approve the following modifications to the rule: (1) Amending the 
definition of ``maximum design heat input'' by adding ``MM'' to ``BTU/
hr'' to correct a minor typo; (2) clarifying the formula for the 
allocation of NOX allowances to include the number of hours 
in Tennessee's ozone season; and (3) clarifying the requirements for a 
Responsible Official for purposes of compliance with 40 CFR part 75.\9\
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    \9\ In addition, EPA is proposing to approve TAPCR 1200-03-
27-.12(7)(b)4, which currently reads [Reserved] and thus has no 
substantive requirements, into the SIP. TAPCR 1200-03-27-.12(7)(b)4 
has not previously been approved into the Tennessee SIP. See 84 FR 
7998 (March 6, 2019).
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    EPA has reviewed the December 19, 2019, SIP submission and is 
proposing to find that the revisions to TAPCR 1200-03-27-.12 comply 
with the NOX SIP Call requirements for non-EGUs and the CAA. 
With respect to the changes to

[[Page 35048]]

the definition of ``affected unit,'' if approved, Tennessee's SIP will 
address all types of sources that must be covered to fully address 
NOX SIP Call requirements. See 83 FR 64497 (December 17, 
2018) (including a discussion of both sources covered under CSAPR and 
the sources subject to 1200-03-27-.12). With respect to the additional 
modifications to correct minor typographical errors, the formula for 
NOX allocations, and the requirements for the Responsible 
Official, EPA preliminarily agrees that the modifications provide 
additional clarity to the SIP. In addition, EPA has preliminarily 
determined that the December 19, 2019, SIP revision satisfies the 
conditions listed in EPA's March 6, 2019 conditional approval and is 
proposing to convert its prior conditional approval to full approval.

IV. Incorporation by Reference

    In this document, EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, EPA is proposing to incorporate by 
reference TAPCR 1200-03-27-.12, ``NOX SIP Call Requirements 
for Stationary Boilers and Combustion Turbines,'' state effective 
December 12, 2019, which revises Tennessee's state control program to 
comply with the obligations of the NOX SIP Call. EPA has 
made and will continue to make the State Implementation Plan generally 
available through www.regulations.gov and at the EPA Region 4 Office 
(please contact the person identified in the For Further Information 
Contact section of this preamble for more information).

V. Proposed Action

    EPA is proposing to approve Tennessee's December 19, 2019, 
submission, which revises TAPCR 1200-03-27-.12, ``NOX SIP 
Call Requirements for Stationary Boilers and Combustion Turbines,'' to 
correct the definition of ``affected unit'' and to clarify requirements 
related to stationary boilers and combustion turbines. In addition, EPA 
is proposing to convert the March 6, 2019 conditional approval of TAPCR 
1200-03-27-.12 to a full approval. EPA requests comment on these 
proposals.

VI. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the CAA and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
proposed action merely proposes to approve state law as meeting Federal 
requirements and does not impose additional requirements beyond those 
imposed by state law. For that reason, this proposed action:
     Is not a significant regulatory action subject to review 
by the Office of Management and Budget under Executive Orders 12866 (58 
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
     Is not an Executive Order 13771 (82 FR 9339, February 2, 
2017) regulatory action because SIP approvals are exempted under 
Executive Order 12866;
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of Section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA; and
     Does not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, the SIP is not approved to apply on any Indian 
reservation land or in any other area where EPA or an Indian tribe has 
demonstrated that a tribe has jurisdiction. In those areas of Indian 
country, the rule does not have tribal implications and will not impose 
substantial direct costs on tribal governments or preempt tribal law as 
specified by Executive Order 13175 (65 FR 67249, November 9, 2000).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Intergovernmental relations, Nitrogen dioxide, Ozone, 
Particulate matter, Reporting and recordkeeping requirements, Sulfur 
oxides.

    Authority:  42 U.S.C. 7401 et seq.

    Dated: May 29, 2020.
Mary Walker,
Regional Administrator, Region 4.
[FR Doc. 2020-12141 Filed 6-5-20; 8:45 am]
 BILLING CODE 6560-50-P