[Federal Register Volume 86, Number 24 (Monday, February 8, 2021)]
[Proposed Rules]
[Pages 8566-8569]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-02535]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R01-OAR-2020-0209; FRL-10019-69-Region 1]


Air Plan Approval; New Hampshire; Sulfur Content Limitations for 
Fuels

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 submitted by the 
State of New Hampshire on March 11, 2019. This revision establishes 
sulfur content limitations for fuels. In addition, the State requests 
withdrawal from the SIP of the existing sulfur limitations regulation, 
which will be superseded if and when EPA takes final action on the 
State's revised sulfur limitations regulation. The intended effect of 
this action is to propose approval of the State's March 11, 2019 
submittal into the New Hampshire SIP. This action is being taken under 
the Clean Air Act.

DATES: Written comments must be received on or before March 10, 2021.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R01-
OAR-2020-0209 at https://www.regulations.gov, or via email to 
[email protected]. For comments submitted at Regulations.gov, 
follow the online instructions for submitting comments. Once submitted, 
comments cannot be edited or removed from Regulations.gov. For either 
manner of submission, the 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. The 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, please contact the person 
identified in the FOR FURTHER INFORMATION CONTACT section. For the full 
EPA public comment policy, information about CBI or multimedia 
submissions, and general guidance on making effective comments, please 
visit http://www.epa.gov/dockets/commenting-epa-dockets. Publicly 
available docket materials are available at https://www.regulations.gov 
or at the U.S. Environmental Protection Agency, EPA Region 1 Regional 
Office, Air and Radiation Division, 5 Post Office Square--Suite 100, 
Boston, MA. EPA requests that if at all possible, you contact the 
contact listed in the FOR FURTHER INFORMATION CONTACT section to 
schedule your inspection. The Regional Office's official hours of 
business are Monday through Friday, 8:30 a.m. to 4:30 p.m., excluding 
legal holidays and facility closures due to COVID-19.

FOR FURTHER INFORMATION CONTACT: Anne McWilliams, Air Quality Branch, 
U.S. Environmental Protection Agency, EPA Region 1, 5 Post Office 
Square--Suite 100, (Mail code 05-2), Boston, MA 02109-3912, tel. (617) 
918-1697, email [email protected].

SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA.

Table of Contents

I. Background and Purpose
II. New Hampshire's SIP Revision
III. EPA's Evaluation of New Hampshire's SIP Revision
    a. Liquid Fuels
    b. Solid Fuels
    c. Gaseous Fuels
IV. Proposed Action
V. Incorporation by Reference
VI. Statutory and Executive Order Reviews

I. Background and Purpose

    New Hampshire's Env-A 400 Sulfur Content Limits of Fuels was 
approved by EPA as a revision to the New Hampshire SIP on August 14, 
1992 (57 FR 36603). Env-A 400 Sulfur Content Limits of Fuels was 
subsequently renumbered by the state as Env-A 1600 Fuel Specifications 
(Env-A 1600). Env-A 1600 was submitted to EPA as a revision to the SIP 
in 2003 with a subsequent amendment submitted in 2015. However, New 
Hampshire withdrew both submittals prior to EPA action. Effective July 
1, 2018, New Hampshire's Revised Statutes Annotated (RSA) 125-C:10-d 
was amended to reduce the sulfur limits in liquid fuels imported into 
or distributed within the State. The State's March 11, 2019 SIP 
submittal of revised Env-A 1600 Fuel Specifications implements the 
state statute, (RSA) 125-C:10-d as amended.
    Env-A 1600 is intended to prevent, abate, and control the use of 
fuels containing specific pollutant elements and compounds. In 
conjunction with the submittal of Env-A 1600, on May 22, 2019, the New 
Hampshire Department of Environmental Services (NH DES)

[[Page 8567]]

requested removal of Env-A 400 Sulfur Content Limits in Fuels, which 
currently exists in the New Hampshire SIP but has been superseded as a 
matter of state law by Env-A 1600. Env-A 400 is now a state regulation 
unrelated to sulfur limitations in fuels.

II. New Hampshire's SIP Revision

    On March 11, 2019, the NH DES submitted a SIP revision to EPA. This 
SIP revision includes Env-A 1600 Fuel Specifications, with amendments 
to Env-A 1603 and 1604 Sulfur Content Limitations effective December 
21, 2018. The amended Env-A 1603 and 1604 lower the allowable limits 
for the sulfur content of liquid and solid fuels. The submitted Env-A 
1600 removes the provisions of the EPA's previously approved Env-A 400 
related to sulfur content requirements for natural gas, as explained 
below in section III.c.

III. EPA's Evaluation of New Hampshire's SIP Revision

a. Liquid Fuels

    The previous SIP-approved Env-A 400 generally allowed for the use 
of distillate oil (No. 2), No. 4 oil, and residual oil (Nos. 5 and 6) 
with a sulfur in fuel limit containing 0.4% sulfur by weight, 1% sulfur 
by weight, and 2% sulfur by weight, respectively.\1\ The submitted 
revised Env-A 1603 prohibits on and after July 1, 2018 the importation 
of, and prohibits on and after February 1, 2019 the sale or 
distribution (except for fuel remaining in storage for a device not 
requiring a permit pursuant to RSA 125-C:11) of, fuels having a sulfur 
content in excess of the limits contained in Table 1:
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    \1\ The residual oil limit for the Androscoggin Valley Air 
Quality Controls Region was 2.2% by weight.

             Table 1--Revised Sulfur Content of Liquid Fuels
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                 Fuel type                        Percent by weight
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No. 2 oil, also referred to as distillate   0.0015% (15 parts million
 oil.                                        (ppm)).
No. 4 oil.................................  0.25% (250 ppm).
No. 5 oil or No. 6 oil, also referred to    0.5% (500 ppm).
 as residual oil.
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    In addition, Env-A 1603, Sulfur Content of Liquid Fuels prohibits 
the use of subject fuels at a stationary source or unit, and prohibits 
any person from supplying such fuels, having a sulfur content in excess 
of that in Table 2:

         Table 2--State Approved Sulfur Content of Liquid Fuels
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                 Fuel type                        Percent by weight
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JP-4 aviation fuel........................  0.4% (4,000 parts million
                                             (ppm)).
Aviation gasoline.........................  0.05% (500 ppm).
Kerosene-1 oil............................  0.04% (400 ppm).
Kersonene-2 oil and Jet A, A-1, B, and JP-  0.3% (3,000 ppm).
 8 aviation fuels.
Used oil..................................  2%.
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Sulfur in fuel limits for these fuel types are not specified in the 
previously SIP-approved Env-A 400 and therefore this strengthens the 
SIP.
    EPA finds that Env-A 1600 contains fuel sulfur limits which are 
more stringent than those in the original rule (Env-A 400), and in 
addition, includes sulfur limits for additional fuels (kerosene and 
several grades of aviation fuel) which have not been previously 
addressed in the SIP.

b. Solid Fuels

    For solid fuel, the previous SIP-approved Env-A 400 required the 
use of coal with a maximum sulfur content of 2.8 pounds sulfur per 
million BTU gross heat content for existing sources, a three month 
weighted average of 2.0 pounds sulfur per million BTU for coal received 
for use in any stationary source for the generation of heat or power, 
and 1.5 pounds sulfur per million BTU gross heat content for sources 
placed in operation after April 15, 1970. Env-A 1604 Sulfur Content 
Limitations for Solid Fuels limits the maximum sulfur content in coal 
to the following:

             Table 3--Revised Sulfur Content of Solid Fuels
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                                                  Percent by weight
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Coal-burning device placed in operation     2.8 pounds per million BTU
 before April 15, 1970.                      (lb/MBTU) gross heat
                                             content.
Coal-burning device placed in operation on  1.5 lb/MBTU gross heat
 or after April 15, 1970.                    content.
                                            1.0 lb/MBTU gross heat
                                             content average over any
                                             consecutive 3-month period.
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Env-A 1604 is silent on the previously approved three-month weighted 
average of 2.0 pounds sulfur per million BTU for coal received for use 
in any stationary source for the generation of heat or power. However, 
NH DES's SIP submission points out that current federally approved 
permit operating conditions for the two stationary sources in the State 
put into operation prior to April 15, 1970 are more stringent than the 
previously approved sulfur in coal requirement in Env-A 400.\2\
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    \2\ The coal sulfur limit of 2.0 lb sulfur per MMBtu is 
equivalent to an emission limit of 4.0 lbs SO2/MMBtu 
averaged over any consecutive 3-month period. The subject 
facilities, Merrimack Station and Schiller Station, have federally 
enforceable SO2 permit limits of 0.39 lb/MMBtu (7-day 
rolling average) and 0.83 lb/MMBtu (24-hr calendar average), 
respectively.
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c. Gaseous Fuels

    SIP-approved Env-A 400 requires that gaseous fuel (natural and 
manufactured gas) shall contain no more than 5 grains per 100 cubic 
feet of sulfur, calculated as hydrogen sulfide (H2S), at 
standard conditions. Env-A 1600 does not include sulfur limits for 
gaseous fuels. New Hampshire's SIP submittal points out that the 
Federal Energy Regulatory Commission (FERC) determines the allowable 
sulfur content of natural gas in interstate pipelines. In addition, New 
Hampshire's SIP submission states that Subchapter C of EPA regulations 
at 40 CFR 79.55 specifies that propane-based fuel, defined as ``gaseous 
motor vehicle fuel, marketed commercially as liquified petroleum gas 
(LPG), whose primary constituent is propane'' shall have a sulfur 
limit, including odorant, as specified in the table below. In addition, 
commercial propane is sold in several grades and each grade has a 
sulfur content specification (also shown in the table 4 below) as 
published by the Gas Processor's Association.

                                    Table 4--Sulfur Content of Gaseous Fuels
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                                                                                  gr/100 scf (as  gr/100 scf (as
                              Fuel                                 ppmvd (as S)        H2S)             S)
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Natural Gas.....................................................             338             0.3              20
Natural Gas & Manufactured Gas..................................             338            0.25              20
EPA 40 CFR 79.55 Table F94-B Propane Based Fuel Specifications..  ..............  ..............             7.7
GPA HD-5 Propane (industry standard)............................             169              10              10

[[Page 8568]]

 
Commercial Propane (industry standard)..........................             254              15              15
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    Section 110(l) of the Clean Air Act provides that EPA shall not 
approve any implementation plan revision if it would interfere with any 
applicable requirements concerning attainment and reasonable progress, 
or any other applicable requirement of the CAA. As noted above, Env-A 
1600 as a whole contains more stringent sulfur in fuel limits than the 
current SIP-approved rule (Env-A 400). Even though Env-A 1600 does not 
contain limits for sulfur in gaseous fuels (HD-5 Propone and Commercial 
Propane), the lowering of the allowed sulfur in fuel content of the 
solid and liquid fuels will result in an overall reduction in the 
sulfur content of fuels. Therefore, EPA is proposing to find that the 
requirements of section 110(l) have been met.
    The rule contains a provision whereby the State may, upon 
application, allow suppliers to defer compliance with sulfur content 
emission limits of the rule during fuel supply shortages, provided that 
compliance is not deferred for more than 90 days. Additional requests 
to defer compliance may be made if the supply shortage continues longer 
than 90 days. The regulation requires the supplier to: (1) Describe 
efforts made to obtain compliant fuel, (2) indicate how much compliant 
fuel the supplier has at the time of the request, and (3) provide an 
estimate of the duration of the shortage. The rule requires that the 
State confer with EPA upon receipt of a deferral request. In addition, 
the rule requires that the State notify EPA within 5 days of issuing an 
order deferring compliance.
    In a letter dated November 20, 2020, NH DES provided additional 
information on the possible impact of granting a deferral request 
during a supply shortage.\3\ NH DES conservatively estimated that the 
granting of a temporary statewide sulfur in fuel deferral would only 
increase the SO2 emissions by an average of 1.9 lb 
SO2 per square mile per day. NH DES further clarifies that 
the adoption of the low sulfur in fuels limits is SIP strengthening and 
considered one component of the State's Regional Haze strategy. Based 
on modeling conducted in support of regional haze plan development, a 
temporary deferral of the sulfur in fuel requirements would not cause 
significant degradation of visibility. Finally, NH DES highlighted the 
establishment of the Department of Energy Northeast Home Heating Oil 
Reserve (NEHHOR), a one-million-barrel supply of ultra-low sulfur 
distillate which can be released should a disruption in supply 
occur.\4\
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    \3\ The NH DES letter dated November 20, 2020, signed by Craig 
A. Wright is included in the docket for this rulemaking.
    \4\ https://www.energy.gov/fe/services/petroleum-resrves/heating-oil-reserves as visited on July 8, 2020.
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    Since (1) the supplier must demonstrate that certain conditions are 
met, (2) the deferral of the emission limits may not be permanent or 
open-ended, (3) such deferral requires notification to EPA, (4) such a 
temporarily deferral will not result in a significant increase in 
SO2 emissions or visibility impairment, and (5) the 
unlikelihood of such a request due to the NEHHOR, we propose to find 
the provision approvable.

IV. Proposed Action

    EPA is proposing to approve Env-A 1600, Fuel Specifications, which 
was submitted to EPA by New Hampshire on March 11, 2019. In addition, 
EPA is proposing to remove previously SIP approved Env-400, Sulfur 
Content of Fuels, which has been superseded by Env-A 1600 as a matter 
of state law. EPA is soliciting public comments on the issues discussed 
in this notice or on other relevant matters. These comments will be 
considered before taking final action. Interested parties may 
participate in the Federal rulemaking procedure by submitting written 
comments to this proposed rule by following the instructions listed in 
the ADDRESSES section of this Federal Register.

V. Incorporation by Reference

    In this rule, the 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, the EPA is proposing to incorporate by 
reference New Hampshire's regulation Env-A 1600 Fuel Specifications as 
discussed in section III. The EPA has made, and will continue to make, 
these documents generally available through https://www.regulations.gov 
and at the EPA Region 1 Office (please contact the person identified in 
the FOR FURTHER INFORMATION CONTACT section of this preamble for more 
information). EPA is also proposing to remove provisions of Env-A 400 
Sulfur Content Limit in Fuels, approved August 14, 1992 (57 FR 36603) 
from the New Hampshire State Implementation Plan, which is incorporated 
by reference in accordance with the requirements of 1 CFR part 51.

VI. Statutory and Executive Order Reviews

    Under the Clean Air Act, the Administrator is required to approve a 
SIP submission that complies with the provisions of the Act 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 Clean Air Act. 
Accordingly, this proposed action merely approves 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 expected to be an Executive Order 13771 regulatory 
action because this action is not significant 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

[[Page 8569]]

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 Clean Air Act; 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, Carbon monoxide, 
Incorporation by reference, Intergovernmental relations, Lead, Nitrogen 
dioxide, Ozone, Particulate matter, Reporting and recordkeeping 
requirements, Sulfur oxides, Volatile organic compounds.

    Dated: February 3, 2021.
Deborah Szaro,
Acting Regional Administrator, EPA Region 1.
[FR Doc. 2021-02535 Filed 2-5-21; 8:45 am]
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