[Federal Register Volume 88, Number 201 (Thursday, October 19, 2023)]
[Proposed Rules]
[Pages 72216-72312]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-22526]
[[Page 72215]]
Vol. 88
Thursday,
No. 201
October 19, 2023
Part II
Environmental Protection Agency
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40 CFR Parts 84, 261, 262, et al.
Phasedown of Hydrofluorocarbons: Management of Certain
Hydrofluorocarbons and Substitutes Under Subsection (h) of the American
Innovation and Manufacturing Act of 2020; Proposed Rule
Federal Register / Vol. 88, No. 201 / Thursday, October 19, 2023 /
Proposed Rules
[[Page 72216]]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Parts 84, 261, 262, 266, 270, and 271
[EPA-HQ-OAR-2022-0606; FRL-10105-01-OAR]
Phasedown of Hydrofluorocarbons: Management of Certain
Hydrofluorocarbons and Substitutes Under Subsection (h) of the American
Innovation and Manufacturing Act of 2020
AGENCY: Environmental Protection Agency (EPA).
ACTION: Notice of proposed rulemaking and advance notice of proposed
rulemaking.
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SUMMARY: The U.S. Environmental Protection Agency is proposing to issue
regulations to implement certain provisions of the American Innovation
and Manufacturing Act of 2020. This rulemaking proposes to establish a
program for the management of hydrofluorocarbons that includes
requirements for leak repair and use of automatic leak detection
systems for certain equipment using refrigerants containing
hydrofluorocarbons and certain substitutes; requirements for the use of
reclaimed hydrofluorocarbons in certain sectors or subsectors; the use
of recycled hydrofluorocarbons in fire suppression equipment; recovery
of hydrofluorocarbons from cylinders; container tracking; and certain
recordkeeping, reporting, and labeling requirements. The Environmental
Protection Agency is also proposing alternative Resource Conservation
and Recovery Act standards for spent ignitable refrigerants being
recycled for reuse. Finally, EPA requests advance comment on approaches
for establishing requirements for technician training and/or
certification.
DATES: Comments on this notice of proposed rulemaking must be received
on or before December 18, 2023. Under the Paperwork Reduction Act
(PRA), comments on the information collection provisions are best
ensured of consideration if the Office of Management and Budget (OMB)
receives a copy of your comments on or before November 20, 2023. The
Environmental Protection Agency (EPA) will hold a virtual public
hearing on or about November 3, 2023. The date, time, and other
relevant information for the virtual public hearing will be available
at https://www.epa.gov/climate-hfcs-reduction.
ADDRESSES: You may send comments, identified by docket identification
number EPA-HQ-OAR-2022-0606, by any of the following methods:
Federal eRulemaking Portal: https://www.regulations.gov
(our preferred method). Follow the online instructions for submitting
comments.
Mail: U.S. Environmental Protection Agency, EPA Docket
Center, Air and Radiation Docket, Mail Code 28221T, 1200 Pennsylvania
Avenue NW, Washington, DC 20460.
Hand Delivery or Courier (by scheduled appointment only):
EPA Docket Center, WJC West Building, Room 3334, 1301 Constitution
Avenue NW, Washington, DC 20004. The Docket Center's hours of
operations are 8:30 a.m.-4:30 p.m., Monday-Friday (except Federal
Holidays).
Instructions: All submissions received must include the Docket ID
No. for this rulemaking. Comments received may be posted without change
to https://www.regulations.gov, including any personal information
provided. The EPA Docket Center and Reading Room are open to the public
by appointment only. Our Docket Center staff also continue to provide
remote customer service via email, phone, and webform. We encourage the
public to submit comments via https://www.regulations.gov as there may
be a delay in processing mail. Hand deliveries and couriers may be
received by scheduled appointment only. For further information on EPA
Docket Center services and the current status, please visit us online
at https://www.epa.gov/dockets.
You may find the following suggestions helpful for preparing your
comments: Direct your comments to specific sections of this proposed
rulemaking and note where your comments may apply to future separate
actions where possible; explain your views as clearly as possible;
describe any assumptions that you used; provide any technical
information or data you used that support your views; provide specific
examples to illustrate your concerns; offer alternatives; and, make
sure to submit your comments by the comment period deadline. Please
provide any published studies or raw data supporting your position.
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 (e.g., on the web, cloud, or other file sharing
system).
Do not submit any information you consider to be Confidential
Business Information (CBI) through https://www.regulations.gov. For
submission of confidential comments, please work with the person listed
in the FOR FURTHER INFORMATION CONTACT section. 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 https://www.epa.gov/dockets/commenting-epa-dockets.
FOR FURTHER INFORMATION CONTACT: Christian Wisniewski, Stratospheric
Protection Division, Office of Atmospheric Protection (Mail Code
6205A), Environmental Protection Agency, 1200 Pennsylvania Ave. NW,
Washington, DC 20460; telephone number: 202-564-0417; email address:
[email protected]. You may also visit EPA's website at
https://www.epa.gov/climate-hfcs-reduction for further information.
For information related to the proposed alternative standards for
certain ignitable spent refrigerants under the Resource Conservation
and Recovery Act (RCRA), please contact Tracy Atagi, Materials Recovery
and Waste Management Division, Office of Resource Conservation and
Recovery (5304T), Environmental Protection Agency, 1200 Pennsylvania
Ave. NW, Washington, DC 20460; telephone number: (202) 566-0511; email
address: [email protected].
SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,''
``us,'' ``the Agency,'' or ``our'' is used, we mean EPA. Acronyms that
are used in this rulemaking that may be helpful include:
AC--Air Conditioning
AHRI--Air-Conditioning, Heating, and Refrigeration Institute
ALD--Automatic Leak Detection
AIM Act--American Innovation and Manufacturing Act of 2020
APF--Air Permitting Forum
ASHRAE--American Society of Heating, Refrigerating and Air-
Conditioning Engineers
ASTM--American Society for Testing and Materials
CAA--Clean Air Act
CARB--California Air Resources Board
CBI--Confidential Business Information
CBP--U.S. Customs and Border Protection
CFC--Chlorofluorocarbon
CFR--Code of Federal Regulations
CO2e--Carbon Dioxide Equivalent
DOT--Department of Transportation
ECHO--Enforcement and Compliance History Online
e-GGRT--Electronic Greenhouse Gas Reporting Tool
ENGO--Environmental Non-governmental Organization
E.O.--Executive Order
EPA--Environmental Protection Agency
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EVe--Exchange Value Equivalent
FEMA--Fire Equipment Manufacturers Association
FOIA--Freedom of Information Act
FR--Federal Register
FSSA--Fire Suppression Systems Association
FSTOC--Fire Suppression Technical Options Committee
GHG--Greenhouse gas
GHGRP--Greenhouse Gas Reporting Program
GWP--Global Warming Potential
HAP--Hazardous Air Pollutant
HARC--Halon Alternatives Research Corporation
HCFC--Hydrochlorofluorocarbon
HD--Heavy-duty
HEEP--HFC Emissions Estimating Program
HFC--Hydrofluorocarbon
HFO--Hydrofluoroolefin
HSWA--Hazardous and Solid Waste Amendments of 1984
HTOC--Halons Technical Options Committee
ICR--Information Collection Request
IPCC--Intergovernmental Panel on Climate Change
IPR--Industrial Process Refrigeration
IWG--Interagency Working Group on the Social Cost of Greenhouse
Gases
ISO--International Organization for Standardization
MACS--Mobile Air Climate Systems Association
MMTCO2e--Million Metric Tons of Carbon Dioxide Equivalent
MMTEVe--Million Metric Tons of Exchange Value Equivalent
MTEVe--Metric Tons of Exchange Value Equivalent
MVAC--Motor vehicle air conditioner
NAAQS--National Ambient Air Quality Standards
NAICS--North American Industrial Classification System
NAFED--National Association of Fire Equipment Distributors
NATA--National Air Toxics Assessment
NEDA/CAP--National Environmental Development Association's Clean Air
Project
NEI--National Emissions Inventory
NFPA--National Fire Protection Association
NODA--Notice of Data Availability
NRDC--Natural Resources Defense Council
ODP--Ozone Depletion Potential
ODS--Ozone depleting substances
OEM--Original Equipment Manufacturer
OLEM--Office of Land and Emergency Management
OMB--Office of Management and Budget
ppm--Parts Per Million
PRA--Paperwork Reduction Act
R4 Program--Refrigerant Recovery, Reclaim, and Reuse Requirements
(CARB Program)
RACHP--Refrigeration, Air Conditioning, and Heat Pumps
RCOP--Recycling Code of Practice
RCRA--Resource Conservation and Recovery Act
RFA--Regulatory Flexibility Act
RIA--Regulatory Impact Analysis
RRA--Refrigerant Reclaim Australia
SC-HFC--Social Cost of Hydrofluorocarbons
SISNOSE--Significant Economic Impact on a Substantial Number of
Small Entities
SNAP--Significant New Alternatives Policy
VCOP--Voluntary Code of Practice
TRI--Toxics Release Inventory
VRF--Variable Refrigerant Flow
VSQG--Very Small Quantity Generator
Table of Contents
I. Executive Summary
A. What is the purpose of this proposed regulatory action?
B. What is the summary of this proposed regulatory action?
C. What is the summary of the costs and benefits?
II. General Information
A. Does this action apply to me?
B. What is EPA's authority for taking this action?
III. Background
A. What are HFCs?
B. How do HFCs affect public health and welfare?
C. What refrigerant management programs has EPA already
established under the Clean Air Act?
1. National Recycling and Emission Reduction Program (CAA
Section 608)
2. Motor Vehicle Air Conditioning Servicing Program (CAA Section
609)
3. Significant New Alternatives Policy Program (CAA Section 612)
IV. How is EPA proposing to regulate the management of HFCs and
their substitutes?
A. What definitions is EPA proposing to implement under
subsection (h)?
1. Which definitions is EPA proposing to adopt that parallel
definitions in 40 CFR 82.152?
2. Which definitions is EPA proposing to adopt that parallel
definitions in 40 CFR 82.32?
3. What other definitions is EPA proposing to adopt?
B. Which sectors and subsectors is EPA considering addressing
under subsection (h)?
C. How is EPA proposing to address leak repair?
1. Background
2. Scope of the Proposed Leak Repair Requirements
a. Appliances containing which refrigerants would be subject to
the proposed leak repair requirements?
b. Appliances with what charge size would be subject to the
proposed leak repair requirements?
3. What leak repair provisions is EPA proposing?
a. Leak Rate Calculations
b. Requirement To Repair Leaks, Timing and Applicable Leak Rates
c. Verification Testing
d. Leak Inspections
e. Chronically Leaking Appliances
f. Retrofit and Retirement Plans
g. Recordkeeping and Reporting
4. Automatic Leak Detection Systems
a. Proposed Automatic Leak Detection Requirements
b. Recordkeeping and Reporting
D. How is EPA proposing to establish requirements for the use of
recovered and reclaimed HFCs?
1. Background
2. Proposed Reclamation Standard
3. Proposed Requirements for Initial Charge of Equipment for
Subsectors in the RACHP Sector Subsectors in the RACHP Sector
4. Proposed Requirements for Servicing and/or Repair of Existing
Equipment in the RACHP Sector Subsectors in the RACHP Sector
E. How is EPA proposing to establish an HFC emissions reduction
program for the fire suppression sector?
1. Background
2. Nomenclature Used in This Section
3. Fire Suppression Background
4. Minimizing Releases of HFCs
a. Proposed Uquirements for Initial Charge of Equipment for Fire
Suppression
b. Proposed Requirements for Servicing and/or Repair of Existing
Equipment for Fire Suppression
c. Technician Training
d. Recycling of HFCs Prior to Disposal of Fire Suppression
Equipment Containing HFCs
e. Recordkeeping and Reporting
F. What is EPA proposing for cylinder requirements and for
container tracking requirements?
1. Background
2. Requirements for Disposable Cylinders
3. Container Tracking
a. Container Tracking of Regulated Substances
b. Container Tracking of Used Cylinders
4. Small Cans of Refrigerant
G. How is EPA proposing to establish RCRA refrigerant recycling
alternative standards?
1. Nomenclature Used in This Section
2. Background
3. Proposed Alternative RCRA Standards for Spent Ignitable
Refrigerants Being Recycled for Reuse
a. Scope of the Proposed RCRA Alternative Standards
b. Proposed Requirements for the RCRA Alternative Standards
4. Very Small Quantity Generator Wastes
5. RCRA Regulation of Exports and Imports of Ignitable Spent
Refrigerants
6. Applicability of Proposed Alternative Standard in RCRA-
Authorized States
7. Effect on State Authorization
H. MVAC Servicing and Reprocessed Material
V. How is EPA proposing to treat data reported under this rule?
A. Background on Determinations of Whether Information Is
Entitled To Treatment as Confidential Information
1. Confidential Treatment of Reported Information
2. Emissions Data Under Section 114 of the Clean Air Act
B. Data Elements Reported to EPA Under the Leak Repair
Provisions
C. Data Elements Related to the Generation of Machine-Readable
Tracking Identifiers and the Tracking of HFCs
D. Data Elements Related to Fire Suppression
VI. What are the costs and benefits of this proposed action?
A. Background
B. Estimated Costs and Benefits of Leak Repair and ALD
Provisions
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C. Summary of Estimated Costs and Benefits of All Rule
Provisions
VII. How is EPA considering environmental justice?
VIII. Request for Advance Comment on Approaches for Establishing
Requirements for Technician Training
IX. Statutory and Executive Order Review
A. Executive Order 12866: Regulatory Planning and Review and
Executive Order 14094: Modernizing Regulatory Review
B. Paperwork Reduction Act (PRA)
C. Regulatory Flexibility Act (RFA)
D. Unfunded Mandates Reform Act (UMRA)
E. Executive Order 13132: Federalism
F. Executive Order 13175: Consultation and Coordination With
Indian Tribal Governments
G. Executive Order 13045: Protection of Children From
Environmental Health and Safety Risks
H. Executive Order 13211: Actions That Significantly Affect
Energy Supply, Distribution, or Use
I. National Technology Transfer and Advancement Act (NTTAA)
J. Executive Order 12898: Federal Actions To Address
Environmental Justice in Minority Populations and Low-Income
Populations and Executive Order 14096: Revitalizing our Nation's
Commitment to Environmental Justice for All
I. Executive Summary
A. What is the purpose of this proposed regulatory action?
The Environmental Protection Agency (EPA) is proposing regulations
that would implement certain provisions of the American Innovation and
Manufacturing Act of 2020, codified at 42 U.S.C. 7675 (AIM Act or the
Act). The AIM Act authorizes EPA to address hydrofluorocarbons (HFCs)
in three main ways: phasing down HFC production and consumption through
an allowance allocation program; facilitating the transition to next-
generation technologies by restricting use of these HFCs in the sector
or subsectors in which they are used; and promulgating certain
regulations for purposes of maximizing reclaiming and minimizing
releases of HFCs from equipment and ensuring the safety of technicians
and consumers. This proposal focuses on the third area--establishing
certain regulations for HFCs and their substitutes for the purposes of
maximizing reclaiming and minimizing releases of HFCs from equipment
and ensuring the safety of technicians and consumers.
More specifically, subsection (h) of the AIM Act, entitled
``Management of regulated substances,'' directs EPA to promulgate
regulations to control, where appropriate, any practice, process, or
activity regarding the servicing, repair, disposal, or installation of
equipment that involves: a regulated substance (used interchangeably
with ``HFCs'' in this proposed rulemaking), a substitute for a
regulated substance, the reclaiming of a regulated substance used as a
refrigerant, or the reclaiming of a substitute for a regulated
substance used as a refrigerant.
This proposed rulemaking addresses how EPA intends to start
implementing the provisions of subsection (h), including its authority
to issue regulations to control such practices, processes, and
activities, particularly as related to the management, use, and reuse
of HFCs and substitutes in equipment. Further, this action proposes
provisions to support implementation of, compliance with, and
enforcement of requirements under subsection (h) of the AIM Act.
Additionally, EPA is proposing alternative Resource Conservation and
Recovery Act (RCRA) standards for certain spent ignitable refrigerants
being recycled for reuse, as that term is proposed to be used under
RCRA.\1\ These proposed standards would involve regulatory changes to
40 CFR parts 261-271 and not be part of the regulations under
subsection (h)(1) of the AIM Act.
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\1\ The terms ``reclaim'' and ``recycle'' have different
regulatory purposes and definitions under RCRA than under the CAA
and the AIM Act. Under RCRA, a material is ``reclaimed'' if it is
processed to recover a usable product, or if it is regenerated.
Examples are recovery of lead values from spent batteries and
regeneration of spent solvents (See 40 CFR 261.1(c)(4)). Reclamation
is one of the four types of ``recycling'' identified in 40 CFR
261.2(c) that can involve management of a solid waste under RCRA.
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B. What is the summary of this proposed regulatory action?
This section of the preamble describes a summary of the proposed
provisions of this rulemaking, which are described in more detail in
the relevant sections of this proposal.
Management of regulated substances. EPA is proposing to establish a
program for the management of HFCs that includes requirements with
compliance dates ranging between 60 days after publication of the final
rule to January 1, 2028, for:
Leak repair of appliances containing HFCs and/or certain
substitutes for HFCs (whether the appliance uses the HFC or substitute
for an HFC neat or in a blend with other substances). The leak repair
requirements would apply to appliances containing 15 pounds or more of
a refrigerant that contains an HFC or contains a substitute for an HFC
with a global warming potential (GWP) above 53 with specific
exceptions;
Use of automatic leak detection (ALD) systems for certain
new and existing appliances containing 1,500 pounds or more of a
refrigerant that contains an HFC or a substitute for an HFC with a GWP
above 53;
A proposed reclamation standard;
The use of reclaimed HFCs in certain refrigeration, air
conditioning, and heat pump (RACHP) sectors or subsectors and
applications for the initial charge or installation of equipment and
servicing and/or repair of existing equipment and the use of recycled
HFCs in the initial charge or servicing and/or repair of fire
suppression equipment;
The servicing, repair, disposal, or installation of fire
suppression equipment that contains HFCs, with the purpose of
minimizing the release of HFCs from that equipment, as well as
requirements related to technician training in the fire suppression
sector;
Recovery of HFCs from disposable cylinders prior to
disposal;
Container tracking for HFCs that could be used in the
servicing, repair, and/or installation of refrigerant-containing or
fire suppression equipment; and
Recordkeeping, reporting, and labeling.
Amendments to Resource Conservation and Recovery Act (RCRA)
hazardous waste regulations. EPA is proposing alternative standards for
spent ignitable refrigerants when recycled for reuse, as that term is
proposed to be used under RCRA. EPA is proposing that the 40 CFR part
266 Subpart Q RCRA alternative standards would apply to HFCs and other
substitutes that do not belong to flammability Class 3 as classified by
the American Society of Heating, Refrigerating and Air-Conditioning
Engineers (ASHRAE) Standard 34-2022.\2\ EPA is proposing to limit the
alternative standards to lower flammability substitutes (Class 1, 2,
and
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2L) because of the lower risk of fire from the collection and recycling
for reuse of these refrigerants, and the greater market value of these
refrigerants, which supports the conclusion that these spent
refrigerants will be recycled for reuse and not stockpiled, mismanaged,
or abandoned.
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\2\ ASHRAE Standard 34-2022 assigns a safety group
classification for each refrigerant which consists of two
alphanumeric characters (e.g., A2 or B1). The capital letter
indicates the toxicity class (``A'' for lower toxicity) and the
numeral denotes the flammability. ASHRAE recognizes three
classifications and one subclass for refrigerant flammability. The
three main flammability classifications are Class 1, for
refrigerants that do not propagate a flame when tested as per the
ASHRAE 34 standard, ``Designation and Safety Classification of
Refrigerants;'' Class 2, for refrigerants of lower flammability; and
Class 3, for highly flammable refrigerants, such as the hydrocarbon
refrigerants. ASHRAE recently updated the safety classification
matrix to include a new flammability subclass 2L, for flammability
Class 2 refrigerants that burn very slowly.
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Enforcement and compliance. To support compliance with the proposed
requirements, EPA is proposing labeling, reporting, and recordkeeping
requirements as described in this action. EPA is also requiring
reporting and recordkeeping for the reduction of HFC emissions for the
fire suppression sector. The Agency is proposing to use the same
reporting platform used in prior AIM Act rules and the Greenhouse Gas
Reporting Program (GHGRP).\3\
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\3\ The GHGRP requires reporting of greenhouse gas (GHG) data
and other relevant information from large GHG emission sources, fuel
and industrial gas suppliers, and carbon dioxide (CO2)
injection sites in the United States. The program generally requires
reporting when emissions from covered sources are greater than
25,000 metric tons of CO2e per year. Publicly available
information includes facility names, addresses, and latitude/
longitude information.
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Additionally, EPA requests advance comment on approaches for
establishing requirements for RACHP technician training and/or
certification. Specifically, EPA is seeking advance comment on whether,
through a separate rulemaking, EPA should propose to establish training
and/or service requirements for technicians under subsection (h), in
particular, for flammable refrigerants. And, if so, how such a training
program might be managed.
The Agency is not proposing any regulatory requirements under
subsection (h) for HFCs and substitutes for HFCs used in applications
besides RACHP and fire suppression sectors at this time. However, the
Agency will continue to monitor the use and emissions of HFCs more
generally and such information may inform future rulemakings under
subsection (h).
C. What is the summary of the costs and benefits?
EPA is providing information on the costs and benefits for the
provisions related to managing regulated substances and their
substitutes in this proposed rule. The analyses, presented in the
Analysis of the Economic Impact and Benefits of the Proposed Rule
technical support document (TSD) and in a regulatory impact analysis
(RIA) addendum to the Allocation Framework Rule RIA, are contained in
the docket to this proposed rule and are intended to provide the public
with information on the relevant costs and benefits of this action, if
finalized as proposed, and to comply with executive orders. EPA notes
that the costs and benefits associated with the management of regulated
substances and their substitutes under the AIM Act are described and
calculated separately from those associated with the proposed
amendments to the RCRA hazardous waste regulations. These analyses--as
summarized below--highlight economic cost and benefits, including
benefits from leak repair and emissions reductions.
Given that the provisions EPA is proposing concern HFCs, which are
subject to the phasedown of production and consumption under the AIM
Act, EPA relied on its previous estimates of the impacts of already
finalized AIM Act rules as a starting point for the assessment of costs
and benefits of this rule. Specifically, the Allocation Framework Rule,
``Phasedown of Hydrofluorocarbons: Establishing the Allowance
Allocation and Trading Program Under the American Innovation and
Manufacturing Act'' (86 FR 55116, October 5, 2021) and the 2024
Allocation Rule, ``Phasedown of Hydrofluorocarbons: Allowance
Allocation Methodology for 2024 and Later Years'' (88 FR 46836, July
20, 2023) \4\ are assumed as a baseline for this proposed rule. In this
way, EPA analyzed the potential incremental impacts of the proposed
rule, attributing benefits only insofar as they are additional to those
already assessed in the Allocation Framework Rule RIA and the 2024
Allocation Rule RIA addendum (collectively referred to as ``Allocation
Rules'' in this discussion). For example, a mitigation option in the
marginal abatement cost (MAC) analysis for the Allocation Rules assumed
a reduction in refrigerant leaks; all costs and benefits calculated for
this rule are for leak reductions over and above those assumed in the
previous analysis.
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\4\ EPA recently finalized two separate rulemakings to update
the regulations established in the HFC Allocation Framework Rule.
The first rule, ``Phasedown of Hydrofluorocarbons: Allowance
Allocation Methodology for 2024 and Later Years,'' established the
methodology for allocating HFC production and consumption allowances
starting with calendar year 2024 allowances and adjusted the
consumption baseline downward by less than 0.5% to reflect corrected
data, among other changes (88 FR 46836, July 20, 2023). The second,
``Phasedown of Hydrofluorocarbons: Adjustment to the
Hydrofluorocarbon Baseline,'' amended the production baseline
downward by 0.005% to reflect corrected data (88 FR 44220, July 12,
2023).
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As detailed in the RIA addendum, the number, charge sizes, leak
rates, and other characteristics of potentially affected RACHP
equipment were estimated using EPA's Vintaging Model.\5\ The leak
repair and ALD system provisions proposed are assumed to lead leaking
systems to be repaired earlier than they otherwise would have, leading
to reduced emissions of HFCs. Provisions requiring the use of reclaimed
refrigerant, requirements for the fire suppression sector, and
provisions related to the handling of disposable cylinders are further
estimated to result in incremental reductions in HFC emissions. These
reductions in HFC emissions result in climate benefits due to reduced
climate forcing as calculated by multiplying avoided emissions by the
social cost of each HFC (SC-HFCs).
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\5\ U.S. Environmental Protection Agency (EPA). 2023. EPA's
Vintaging Model representing the Allocation Framework Rule as
modified by the 2024 Allocation Rule RIA addendum. VM IO
file_v4.4_02.04.16_2024 Allocation Rule.
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In the years 2025-2050, the proposed rule provisions would prevent
an estimated 142 million metric tons of CO2 equivalent
(MMTCO2e) in HFC emissions, and the present value of
economic benefit of avoiding the damages associated with those
emissions is estimated at $9.8 billion (in 2022 dollars, discounted to
2024 using a three percent discount rate). The annual benefits are
estimated to decrease over time due to the HFC phasedown and the
transition out of the higher-GWP HFCs, lowering the average GWP of
later emissions. For example, it is estimated that the leak repair and
ALD system provisions would prevent 3.8 MMTCO2e of HFC
emissions in 2030 and 2.8 MMTCO2e in the year 2040.
Reducing HFC emissions due to fixing leaks earlier would also be
anticipated to lead to savings for some system owner/operators, as less
new refrigerant would need to be purchased to replace leaked
refrigerant. In 2025, it is estimated that the proposed leak repair and
ALD provisions would lead to savings of $13 million (2022$). EPA
acknowledges that these savings would not completely offset leak repair
compliance costs and may not accrue uniformly to all regulated
entities, and EPA requests comment on this estimate. Further, while
these provisions have been estimated to result in savings, EPA
understands that entities that would be affected by these proposed
regulations might not perform the practices, processes, or activities
that would result in cost savings absent regulation. When entities are
reviewing their own economic analyses, some factors may be pertinent
that make new technologies or economically favorable best practices
less attractive than existing practices, or some market failure may
exist that acts as a barrier to businesses' adoption of
[[Page 72220]]
the most profitable course.\6\ For example, market failures may exist
where there are imperfect information or split incentives; such as
decision-makers not knowing the percentage of energy use associated
with refrigeration or the costs of replacing refrigerant lost from
leaking appliances.
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\6\ Klemick, Heather & Kopits, Elizabeth & Wolverton, Ann.
``Potential Barriers to Improving Energy Efficiency in Commercial
Buildings: The Case of Supermarket Refrigeration.'' Journal of
Benefit-Cost Analysis. 8, 2017, pp. 1-31.
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The compliance costs of the proposed rule include recordkeeping and
reporting costs, the costs of purchasing and operating ALD systems,
costs of required inspections, the cost of repairing leaks earlier than
would have been necessary without the proposed provisions, and the cost
of proposed disposable cylinder management requirements. In the years
2025-2050, these provisions would result in compliance costs (inclusive
of refrigerant savings) with a present value estimated at $3.7 billion
in 2022 dollars at a 3 percent discount rate or $2.4 billion at a 7
percent discount rate.
Taking into account both benefits and compliance costs over the
2025-2050 time period, it is estimated that the proposed rule would
result in present value net benefit (benefits minus compliance costs),
of $6.1 billion (with compliance costs discounted at three percent) to
$7.4 billion (with compliance costs discounted at seven percent).
As detailed in the draft RIA addendum, these values represent a
conservative estimate of potential incremental benefits and assume
potential HFC consumption- and emissions-reducing activities required
by some of the proposed rule's provisions could be offset to the extent
that available consumption and production allowances are shifted to
meet demand in subsectors not covered by the proposed rule. Given the
inherent uncertainty of future industry behavior, in the draft RIA
addendum EPA has also provided estimates under an additional scenario
in which these offsetting effects to not occur and additional
incremental benefits accrue.
Some of the information regarding projected impacts of certain
aspects of the proposal was considered by EPA as it developed this
proposed rule. To the extent that EPA has considered such information
it is compiled in the Analysis of the Economic Impact and Benefits of
the Proposed Rule draft TSD, which is in the docket for this
rulemaking.
Although EPA is using SC-HFCs for purposes of some of the analysis
in the RIA addendum, this proposed action does not rely on those
estimates of these costs as a record basis for the Agency action, and
EPA would reach the proposed conclusions even in the absence of the
social costs of HFCs. Additional information on these analyses can be
found in section VI. of this document, as well as the RIA addendum and
the Analysis of the Economic Impact and Benefits of the Proposed Rule
draft TSD, which is in the docket for this rulemaking.
II. General Information
A. Does this action apply to me?
You may be potentially affected by this rule if you own, operate,
service, repair, recycle, dispose, or install equipment containing HFCs
or their substitutes, as well as if you recover, recycle, or reclaim
HFCs or their substitutes. You may also be potentially affected if you
manufacture or sell equipment containing HFCs or their substitutes.
Potentially affected categories, by North American Industry
Classification System (NAICS) code, are included in Table 1.
Table 1--NAICS Classification of Potentially Affected Entities
------------------------------------------------------------------------
NAICS code NAICS industry description
------------------------------------------------------------------------
236118................... Residential Remodelers.
236220................... Commercial and Institutional Building
Construction.
238220................... Plumbing, Heating, and Air-Conditioning
Contractors.
238990................... All Other Specialty Trade Contractors.
311812................... Commercial Bakeries.
321999................... All Other Miscellaneous Wood Product
Manufacturing.
322299................... All Other Converted Paper Product
Manufacturing.
324191................... Petroleum Lubricating Oil and Grease
Manufacturing.
324199................... All Other Petroleum and Coal Products
Manufacturing.
325199................... All Other Basic Organic Chemical
Manufacturing.
325211................... Plastics Material and Resin Manufacturing.
325412................... Pharmaceutical Preparation Manufacturing.
325414................... Biological Product (except Diagnostic)
Manufacturing.
325998................... All Other Miscellaneous Chemical Product and
Preparation Manufacturing.
326299................... All Other Rubber Product Manufacturing.
327999................... All Other Miscellaneous Nonmetallic Mineral
Product Manufacturing.
332812................... Metal Coating, Engraving (except Jewelry and
Silverware), and Allied Services to
Manufacturers.
332999................... All Other Miscellaneous Fabricated Metal
Product Manufacturing.
333415................... Air-Conditioning and Warm Air Heating
Equipment and Commercial and Industrial
Refrigeration Equipment Manufacturing.
333511................... Industrial Mold Manufacturing.
333912................... Air and Gas Compressor Manufacturing.
333999................... All Other Miscellaneous General Purpose
Machinery Manufacturing.
334413................... Semiconductor and Related Device
Manufacturing.
334419................... Other Electronic Component Manufacturing.
334516................... Analytical Laboratory Instrument
Manufacturing.
335220................... Major Household Appliance Manufacturing.
336120................... Heavy Duty Truck Manufacturing.
336212................... Truck Trailer Manufacturing.
336214................... Travel Trailer and Camper Manufacturing.
3363..................... Motor Vehicle Parts Manufacturing.
3364..................... Aerospace Product and Parts Manufacturing.
336411................... Aircraft Manufacturing.
336611................... Ship Building and Repairing.
[[Page 72221]]
336612................... Boat Building.
339112................... Surgical and Medical Instrument
Manufacturing.
339113................... Surgical Appliance and Supplies
Manufacturing.
339999................... All Other Miscellaneous Manufacturing.
423120................... Motor Vehicle Supplies and New Parts Merchant
Wholesalers.
423450................... Medical, Dental, and Hospital Equipment and
Supplies Merchant Wholesalers.
423610................... Electrical Apparatus and Equipment, Wiring
Supplies, and Related Equipment Merchant
Wholesalers.
423620................... Household Appliances, Electric Housewares,
and Consumer Electronics Merchant
Wholesalers.
423690................... Other Electronic Parts and Equipment Merchant
Wholesalers.
423720................... Plumbing and Heating Equipment and Supplies
(Hydronics) Merchant Wholesalers.
423730................... Warm Air Heating and Air-Conditioning
Equipment and Supplies Merchant Wholesalers.
423740................... Refrigeration Equipment and Supplies Merchant
Wholesalers.
423830................... Industrial Machinery and Equipment Merchant
Wholesalers.
423840................... Industrial Supplies Merchant Wholesalers.
423850................... Service Establishment Equipment and Supplies
Merchant Wholesalers.
423860................... Transportation Equipment and Supplies (except
Motor Vehicle) Merchant Wholesalers.
423990................... Other Miscellaneous Durable Goods Merchant
Wholesalers.
424690................... Other Chemical and Allied Products Merchant
Wholesalers.
424820................... Wine and Distilled Alcoholic Beverage
Merchant Wholesalers.
441310................... Automotive Parts and Accessories Stores.
443141................... Household Appliance Stores.
444190................... Other Building Material Dealers.
445110................... Supermarkets and Other Grocery (except
Convenience) Stores.
445131................... Convenience Retailers.
445298................... All Other Specialty Food Retailers.
446191................... Food (Health) Supplement Stores.
449210................... Electronics and Appliance Retailers.
452311................... Warehouse Clubs and Supercenters.
453998................... All Other Miscellaneous Store Retailers
(except Tobacco Stores).
45711.................... Gasoline Stations With Convenience Stores.
481111................... Scheduled Passenger Air Transportation.
488510................... Freight Transportation Arrangement.
493110................... General Warehousing and Storage.
531120................... Lessors of Nonresidential Buildings (except
Mini warehouses).
541330................... Engineering Services.
541380................... Testing Laboratories.
541512................... Computer Systems Design Services.
541519................... Other Computer Related Services.
541620................... Environmental Consulting Services.
561210................... Facilities Support Services.
561910................... Packaging and Labeling Services.
561990................... All Other Support Services.
562111................... Solid Waste Collection.
562211................... Hazardous Waste Treatment and Disposal.
562920................... Materials Recovery Facilities.
621498................... All Other Outpatient Care Centers.
621999................... All Other Miscellaneous Ambulatory Health
Care Services.
72111.................... Hotels (Except Casino Hotels) and Motels.
72112.................... Casino Hotels.
72241.................... Drinking Places (Alcoholic Beverages).
722511................... Full-service Restaurants.
722513................... Limited-Service Restaurants.
722514................... Cafeterias, Grill Buffets, and Buffets.
722515................... Snack and Nonalcoholic Beverage Bars.
81119.................... Other Automotive Repair and Maintenance.
811219................... Other Electronic and Precision Equipment
Repair and Maintenance.
811412................... Appliance Repair and Maintenance.
922160................... Fire Protection.
------------------------------------------------------------------------
This table is not intended to be exhaustive, but rather provides a
guide for readers regarding entities likely to be regulated by this
action. This table lists the types of entities that EPA expects could
potentially be regulated by this action. Other types of entities not
listed in the table could also be regulated. To determine whether your
entity may be regulated by this action, you should carefully examine
the proposed regulatory text at the end of this document. If you have
questions regarding the applicability of this action to a particular
entity, consult the people listed in the FOR FURTHER INFORMATION
CONTACT section.
B. What is EPA's authority for taking this action?
On December 27, 2020, the AIM Act was enacted as section 103 in
Division S, Innovation for the Environment, of the Consolidated
Appropriations Act, 2021 (42 U.S.C. 7675). In subsection (k)(1)(A), the
AIM Act provides EPA with the authority to promulgate
[[Page 72222]]
necessary regulations to carry out EPA's functions under the Act,
including its obligations to ensure that the Act's requirements are
satisfied (42 U.S.C. 7675(k)(1)(A)). Subsection (k)(1)(C) of the Act
also provides that Clean Air Act (CAA) sections 113, 114, 304, and 307
apply to the AIM Act and any regulations EPA promulgates under the AIM
Act as though the AIM Act were part of CAA Title VI (42 U.S.C.
7675(k)(1)(C)). Accordingly, this rulemaking is subject to CAA section
307(d) (see 42 U.S.C. 7607(d)(1)(I)) (CAA section 307(d) applies to
``promulgation or revision of regulations under subchapter VI of this
chapter (relating to stratosphere and ozone protection)'').
The AIM Act authorizes EPA to address hydrofluorocarbons (HFCs) in
three main ways: phasing down HFC production and consumption through an
allowance allocation program; facilitating the transition to next-
generation technologies by restricting use of these HFCs in the sector
or subsectors in which they are used; and promulgating certain
regulations for purposes of maximizing reclaiming and minimizing
releases of HFCs from equipment and ensuring the safety of technicians
and consumers. This proposal focuses on the third area--establishing
certain regulations for HFCs and their substitutes for the purposes of
maximizing reclaiming \7\ and minimizing releases of HFCs from
equipment and ensuring the safety of technicians and consumers.
---------------------------------------------------------------------------
\7\ EPA views ``reclaim,'' ``reclaiming,'' and ``reclamation''
as interchangeable terms.
---------------------------------------------------------------------------
The identification of regulated substances is addressed under
subsection (c) of the Act. The Act lists 18 saturated HFCs, and by
reference any of their isomers not so listed, that are covered by the
statute's provisions, referred to as ``regulated substances'' \8\ under
the Act (42 U.S.C. 7675(c)(1)). Congress also assigned an ``exchange
value'' 9 10 to each regulated substance. EPA is also
authorized to designate additional substances that meet certain
criteria as regulated substances; for example, to be listed, the
substance must be a saturated HFC that has an exchange value greater
than 53 (which is also the lowest exchange value for a regulated
substance listed in subsection (c)(1) of the Act) (42 U.S.C.
7675(c)(3)).
---------------------------------------------------------------------------
\8\ As noted previously in this action, ``regulated substance''
and ``HFC'' are used interchangeably in this action.
\9\ EPA has determined that the exchange values included in
subsection (c) of the AIM Act are identical to the global warming
potentials (GWPs) included in the Intergovernmental Panel on Climate
Change (IPCC) (2007). EPA uses the terms ``global warming
potential'' and ``exchange value'' interchangeably in this proposal.
\10\ IPCC (2007): Solomon, S., D. Qin, M. Manning, R.B. Alley,
T. Berntsen, N.L. Bindoff, Z. Chen, A. Chidthaisong, J.M. Gregory,
G.C. Hegerl, M. Heimann, B. Hewitson, B.J. Hoskins, F. Joos, J.
Jouzel, V. Kattsov, U. Lohmann, T. Matsuno, M. Molina, N. Nicholls,
J. Overpeck, G. Raga, V. Ramaswamy, J. Ren, M. Rusticucci, R.
Somerville, T.F. Stocker, P. Whetton, R.A. Wood and D. Wratt, 2007:
Technical Summary. In: Climate Change 2007: The Physical Science
Basis. Contribution of Working Group I to the Fourth Assessment
Report of the Intergovernmental Panel on Climate Change [Solomon,
S., D. Qin, M. Manning, Z. Chen, M. Marquis, K.B. Averyt, M. Tignor
and H.L. Miller (eds.)]. Cambridge University Press, Cambridge,
United Kingdom and New York, NY, USA https://www.ipcc.ch/report/ar4/wg1.
---------------------------------------------------------------------------
The regulated substances addressed in this proposal may be used
neat (i.e., as a single component substance) or in a blend with other
substances, which may include other regulated substances and/or
substitutes for regulated substances. The requirements proposed in this
rulemaking for regulated substances would apply regardless of whether
the regulated substance is used neat or in blend. In taking this
approach, EPA is not proposing that a blend that uses one or more
regulated substances is itself a regulated substance. Rather, the
Agency is proposing to regulate the regulated substance(s) used within
a ``blend of substances'' (42 U.S.C. 7675(c)(3)(B)(ii)), such that the
proposed requirements would also affect equipment that uses regulated
substances in blends. This is consistent with approaches that the
Agency has taken under the Allocation Framework Rule (86 FR 55133,
55142, October 5, 2021) and proposed for the Technology Transitions
Rule (87 FR 76744, 76753, December 15, 2022).\11\ Furthermore,
subsection (h)(1) requires EPA to promulgate regulations addressing
certain practices, processes, or activities involving, among other
things, a regulated substance or a substitute for a regulated substance
(see 42 U.S.C. 7675(h)(1)(A)-(B)). Consistent with those provisions,
regulatory requirements under subsection (h) may also apply with
respect to substitutes for regulated substances, regardless of whether
the substitute is used neat or in a blend. In taking this approach for
substitutes for a regulated substance, EPA is not proposing that a
blend that uses one or more such substitutes that are so regulated
would be designated a regulated substance under subsection (c) of the
Act, nor that the substitute would be so designated. Rather, such
substitutes would simply be addressed, as appropriate, under the
regulations implementing subsection (h).
---------------------------------------------------------------------------
\11\ In affirming this aspect of the HFC Allocation Framework
Rule, the D.C. Circuit held that ``EPA has statutory authority to
regulate HFCs within blends . . . because an HFC within a blend
remains a regulated HFC under the Act.'' Heating, Air Conditioning &
Refrigeration Distributors Int'l v. EPA, 71 F.4th 59, 64 (D.C. Cir.
2023).
---------------------------------------------------------------------------
Subsection (h) of the AIM Act is entitled ``Management of regulated
substances.'' For purposes of maximizing reclaiming and minimizing
releases of HFCs from equipment and ensuring the safety of technicians
and consumers, subsection (h)(1) directs EPA to promulgate regulations
to control, where appropriate, any practice, process, or activity
regarding the servicing, repair, disposal, or installation of equipment
that involves: a regulated substance, a substitute for a regulated
substance, the reclaiming of a regulated substance used as a
refrigerant, or the reclaiming of a substitute for a regulated
substance used as a refrigerant (42 U.S.C. 7675(h)(1)). Subsection
(h)(1) further provides that this includes requiring, where
appropriate, that any such servicing, repair, disposal, or installation
be performed by a trained technician meeting minimum standards, as
determined by EPA.
Under subsection (h)(2)(A) of the AIM Act, the Agency ``shall
consider the use of authority available . . . under this section to
increase opportunities for the reclaiming of regulated substances used
as refrigerants.'' Subsection (h)(2)(B) of the Act further provides
that a ``regulated substance used as a refrigerant that is recovered
shall be reclaimed before the regulated substance is sold or
transferred to a new owner, except where the recovered regulated
substance is sold or transferred to a new owner solely for the purposes
of being reclaimed or destroyed.''
Further, subsection (h)(3) provides that in promulgating
regulations to carry out subsection (h), EPA may coordinate those
regulations with ``any other regulations promulgated by the [EPA] that
involve--(A) the same or a similar practice, process, or activity
regarding the servicing, repair, disposal, or installation of
equipment; or (B) reclaiming.'' EPA interprets this provision of the
AIM Act as leaving the Agency discretion as to whether or not to
coordinate regulations under subsection (h) with other EPA regulations,
as well as with discretion to consider the particular circumstances in
which it is appropriate to undertake such coordination. Congress did
not define the term ``coordinate'' in the AIM Act. EPA interprets the
term, as used in this context, as encompassing a variety of forms of
coordination that could potentially be used for the specified types of
regulatory provisions, and interprets (h)(3) as conveying discretion
[[Page 72223]]
to EPA to select the form or forms of coordination that are appropriate
for the particular circumstances and regulatory provisions under
consideration in a given action.
In this proposal, EPA describes where and whether we are
coordinating with regulations that involve the same or similar
practices, processes, or activities regarding the servicing, repair,
disposal, or installation of equipment or reclaiming, and our rationale
on the appropriateness of coordinating with these regulations. For
example, coordination could include establishing parallel requirements
under subsection (h) as in another regulatory regime so that a similar
practice, process, or activity in similar equipment is held to similar
standards, where appropriate. It could also include deciding not to
establish requirements under subsection (h) in certain situations, such
as when an existing requirement already applies to a similar practice,
process, or activity under another set of regulations that EPA views as
adequate to also address the purposes of subsection (h). Coordination
could also mean coordinating rulemaking schedules or timing for certain
requirements under subsection (h) that cover a similar practice,
process, or activity as covered in a previous regulation and would meet
the purposes of subsection (h). Finally, coordination may also mean
coordinating the requirements under subsection (h) with revisions to
regulations under other statutory authorities that address related
practices, processes, or activities, with the goal of developing
independent regulatory regimes that operate well together to achieve
their stated goals.
Subsection (h)(4) expressly states that any rulemaking under
subsection (h) shall not apply to a regulated substance or a substitute
for a regulated substance that is contained in a foam. Thus, the
requirements proposed in this rulemaking would not apply to regulated
substances or substitutes for regulated substances when those
substances are contained in foams.
Finally, subsection (h)(5) provides that, subject to availability
of appropriations, EPA shall establish a grant program to award small
business grants for the purchase of new specialized equipment for the
recycling, recovery, or reclamation of a substitute for a regulated
substance, including the purchase of approved refrigerant recycling
equipment for recycling, recovery, or reclamation in the service or
repair of a motor vehicle air conditioner (MVAC) systems. Funds have
not been appropriated for this grant program. The establishment of this
program is outside the scope of this rulemaking and EPA intends to
address it in a future action.
Through this rulemaking, EPA is proposing to establish an HFC
management program that includes requirements for:
Leak repair for certain equipment that contain HFC
refrigerants or their substitutes, as applicable,
ALD systems,
Use of reclaimed HFCs in certain RACHP subsectors,
The fire suppression sector,
Recovery of HFCs from cylinders, and
Container tracking.
Under subsection (h)(1), EPA is directed to promulgate certain
regulations for ``purposes of maximizing the reclaiming and minimizing
the release of a regulated substance from equipment and ensuring the
safety of technicians and consumers.'' Subsection (h) further specifies
that those regulations are to control, where appropriate, any practice,
process, or activity regarding the servicing, repair, disposal, or
installation of equipment that involves: a regulated substance, a
substitute for a regulated substance, the reclaiming of a regulated
substance used as a refrigerant, or the reclaiming of a substitute for
a regulated substance used as a refrigerant. Together, the proposed
provisions as outlined above in this section and explained in greater
detail in the relevant sections of this NPRM are aimed at achieving
those three purposes described in subsection (h)(1) (i.e., (1)
maximizing the reclaiming, (2) minimizing the release of a regulated
substance from equipment, and (3) ensuring the safety of technicians
and consumers), while also being consistent with the scope of
regulatory authority under that provision. As EPA interprets the
statutory text, the suite of regulations established under subsection
(h)(1) of the Act, taken together, would be focused on serving these
purposes, though the individual regulatory provisions under subsection
(h)(1) need not each connect to all three purposes. This interpretation
is integral to establishing an effective regulatory program, as some
regulatory provisions that might be considered under (h)(1) may be
highly efficacious at addressing one of the regulatory purposes but not
address the other two, or alternatively, may be important to support
the functioning of the regulatory program as a whole, but not be
focused on any of the specific purposes. Accordingly, this
understanding of the statutory text will support EPA's ability to
develop regulations that work together to help achieve the statutory
purposes.
Together the provisions proposed in this action would serve the
purposes described in (h)(1), with certain provisions more geared
towards one or two of the purposes identified in subsection (h)(1). For
example, the provisions related to leak repair as proposed in this
action are directed at the purpose of minimizing the release of a
regulated substance, but also help serve the purpose of maximizing the
reclaiming of a regulated substance. Those proposed provisions would
set requirements for when and how equipment must be serviced and leaks
in equipment must be repaired. Taking these actions would minimize the
release of regulated substances through such leaks, as the sooner a
leak is found and repaired, the less HFC will be released from that
leak. Further, by limiting the amount of regulated substances released
from leaks in equipment, the opportunity to recover and subsequently
reclaim these regulated substances increases. Thus, the proposed
provisions related to leak repair also help serve the purpose of
maximizing the reclaiming of regulated substances.
Another example is the proposed provisions for the use of ALD
systems which would help address the purposes articulated in subsection
(h)(1) similarly. In general, ALD systems would alert an owner or
operator of leaks in equipment sooner than discovering a leak due to
decreased performance by the equipment. Identifying and repairing leaks
sooner as a result of detecting the leak with an ALD system would
further limit the amount of regulated substance released from the leak
and maintain more of the regulated substance within the equipment,
where it would be available for eventual recovery and reclamation.
In addition to proposing requirements for the management of HFCs
and substitutes, this proposal includes provisions designed to support
enforcement and compliance, including recordkeeping and reporting. As
noted earlier in this section, subsection (k)(1)(C) of the AIM Act
states that CAA section 114 applies to the AIM Act and rules
promulgated under it as if the AIM Act were included in CAA Title VI.
Thus, CAA section 114, which provides authority to the EPA
Administrator to require recordkeeping and reporting in carrying out
provisions of the CAA, also applies to and supports this rulemaking.
These provisions may be examples of provisions that are integral to
establishing an effective regulatory program, and thus are important to
the overall efficacy of the HFC management program at achieving the
purposes
[[Page 72224]]
articulated in subsection (h)(1), even if they may be less directly
connected to those purposes if viewed in isolation.
In this action, we are also proposing alternative RCRA standards
for spent ignitable refrigerants being recycled for reuse. These
proposed standards would not be part of the regulations under
subsection (h)(1) of the AIM Act. Rather, this would involve regulatory
changes to 40 CFR parts 261-271, and those changes are proposed under
the authority of sections 2002, 3001, 3002, 3003, 3004, 3006, and 3010
of the Solid Waste Disposal Act of 1965, as amended by the Resource
Conservation and Recovery Act of 1976 (RCRA), as amended by the
Hazardous and Solid Waste Amendments of 1984 (HSWA). This statute is
commonly referred to as ``RCRA.''
III. Background
A. What are HFCs?
HFCs are anthropogenic \12\ fluorinated chemicals that have no
known natural sources. HFCs are used in a variety of applications such
as refrigeration and air conditioning, foam blowing agents, solvents,
aerosols, and fire suppression. HFCs are potent greenhouse gases (GHGs)
with 100-year GWPs (a measure of the relative climatic impact of a GHG)
that can be hundreds to thousands of times more potent than
CO2.
---------------------------------------------------------------------------
\12\ While the overwhelming majority of HFC production is
intentional, EPA is aware that HFC-23 can be a byproduct associated
with the production of other chemicals, including but not limited to
hydrochlorofluorocarbon (HCFC)-22.
---------------------------------------------------------------------------
HFC use and emissions \13\ have been growing worldwide due to the
global phaseout of ozone-depleting substances (ODS) under the Montreal
Protocol on Substances that Deplete the Ozone Layer (Montreal Protocol)
and the increasing use of refrigeration and air-conditioning equipment
globally. HFC emissions had previously been projected to increase
substantially over the next several decades. In 2016, in Kigali,
Rwanda, countries agreed to adopt an amendment to the Montreal
Protocol, known as the Kigali Amendment, which provides for a global
phasedown of the production and consumption of HFCs. The United States
ratified the Kigali Amendment on October 31, 2022. Global adherence to
the Kigali Amendment would substantially reduce future emissions,
leading to a peaking of HFC emissions before 2040.14 15
---------------------------------------------------------------------------
\13\ World Meteorological Organization (WMO), Scientific
Assessment of Ozone Depletion: 2022, GAW Report No. 278, 509 pp.,
WMO, Geneva, Switzerland, 2022. Available at: https://ozone.unep.org/system/files/documents/Scientific-Assessment-of-Ozone-Depletion-2022.pdf.
\14\ Ibid.
\15\ A recent study estimated that global compliance with the
Kigali Amendment is expected to lower 2050 annual emissions by 3.0-
4.4 Million Metric Tons of Carbon Dioxide Equivalent
(MMTCO2e). Guus J.M. Velders et al. Projections of
hydrofluorocarbon (HFC) emissions and the resulting global warming
based on recent trends in observed abundances and current policies.
Atmos. Chem. Phys., 22, 6087-6101, 2022. Available at: https://doi.org/10.5194/acp-22-6087-2022.
---------------------------------------------------------------------------
Atmospheric observations of most currently measured HFCs confirm
their abundances are increasing at accelerating rates. Total emissions
of HFCs increased by 19 percent from 2016 to 2020 and the four most
abundant HFCs in the atmosphere, in GWP-weighted terms, are HFC-134a,
HFC-125, HFC-23, and HFC-143a.\16\
---------------------------------------------------------------------------
\16\ WMO, 2022.
---------------------------------------------------------------------------
In 2020, HFCs excluding HFC-23 accounted for a radiative forcing
\17\ of 0.037 W/m\2\. This is an increase of nearly a third in total
HFC forcing relative to 2016. This radiative forcing was projected to
increase by an order of magnitude to 0.25 W/m\2\ by 2050.\18\ Full
implementation of the Kigali Amendment is expected to reduce the future
radiative forcing due to HFCs (excluding HFC-23) to 0.13 W/m\2\ in
2050, which is a reduction of about 50 percent compared with the
radiative forcing projected in the business-as-usual scenario of
uncontrolled HFCs.\19\
---------------------------------------------------------------------------
\17\ Radiative forcing is expressed in units of watts per square
meter (W/m\2\) and is defined by the IPCC as ``a measure of the
influence a factor has in altering the balance of incoming and
outgoing energy in the Earth-atmosphere system and is an index of
the importance of the factor as a potential climate change
mechanism.'' IPCC, 2007: Climate Change 2007: Synthesis Report.
Contribution of Working Groups I, II and III to the Fourth
Assessment Report of the Intergovernmental Panel on Climate Change
[Core Writing Team, Pachauri, R.K and Reisinger, A. (eds.)]. IPCC,
Geneva, Switzerland, 104 pp. https://www.ipcc.ch/report/ar4/syr/.
\18\ Guus J.M. Velders, David W. Fahey, John S. Daniel, Stephen
O. Andersen, Mack McFarland, Future atmospheric abundances and
climate forcings from scenarios of global and regional
hydrofluorocarbon (HFCs) emissions, Atmospheric Environment,
doi:10.1016/j.atmosenv.2015.10.071, 2015.
\19\ Ibid.
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There are hundreds of possible HFC compounds. The 18 HFCs listed as
regulated substances by the AIM Act are some of the most commonly used
HFCs (neat and in blends) and have high impacts as measured by the
quantity of each substance emitted multiplied by their respective GWPs.
These 18 HFCs are all saturated, meaning they have only single bonds
between their atoms and therefore have longer atmospheric lifetimes.
In the United States, HFCs are used primarily in refrigeration and
air-conditioning equipment in homes, commercial buildings, and
industrial operations (approximately 75 percent of total HFC use in
2018) and in air conditioning in vehicles and refrigerated transport
(approximately 8 percent). Smaller amounts are used in foam products
(approximately 11 percent), aerosols (approximately 4 percent), fire
protection systems (approximately 1 percent), and solvents
(approximately 1 percent).\20\
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\20\ Calculations based on EPA's Vintaging Model, which
estimates the annual chemical emissions from industry sectors that
historically used ODS, including refrigeration and air conditioning,
foam blowing agents, solvents, aerosols, and fire suppression. The
model uses information on the market size and growth for each end
use, as well as a history and projections of the market transition
from ODS to substitutes. The model tracks emissions of annual
``vintages'' of new equipment that enter into operation by
incorporating information on estimates of the quantity of equipment
or products sold, serviced, and retired or converted each year, and
the quantity of the compound required to manufacture, charge, and/or
maintain the equipment. Additional information on these estimates is
available in U.S. EPA, April 2016. EPA Report EPA-430-R-16-002.
Inventory of U.S. Greenhouse Gas Emissions and Sinks: 1990-2014.
Available at: https://www.epa.gov/ghgemissions/inventory-us-greenhouse-gas-emissions-and-sinks-1990-2014.
---------------------------------------------------------------------------
EPA estimated in its final rule, Allocation Framework Rule (86 FR
55116, October 5, 2021) as updated under the final rule, Allowance
Allocation Methodology for 2024 and Later Years (``2024 Allocation
Rule'') (88 FR 46836; July 20, 2023), that phasing down HFC production
and consumption according to the schedule provided in the AIM Act will
avoid cumulative consumption of 3,156 million metric tons of exchange
value equivalent (MMTEVe) of HFCs in the United States for the years
2022 through 2036. That estimate included both consumption as defined
in 40 CFR 84.3--i.e., with respect to a regulated substance, bulk
production plus bulk imports minus bulk exports--and, although not
requiring AIM Act allowances, the amount in imported products
containing a regulated substance, less the amount in exported products
containing a regulated substance. Annual avoided consumption was
estimated at 42 MMTCO2e in 2022 and 282 MMTCO2e
in 2036. In order to calculate the climate benefits associated with
consumption abatement, the consumption changes were expressed in terms
of emissions reductions. EPA estimated that for the years 2022-2050,
the HFC phasedown will avoid emissions of 4,560 MMTCO2e of
HFCs in the United States. The annual avoided emissions are estimated
at 22 MMTCO2e in the year 2022 and 171 MMTCO2e in
2036. More information
[[Page 72225]]
regarding these estimates is provided in the Allocation Framework Rule
RIA and the RIA addendum for the 2024 Allocation Rule, which can be
found in the docket for this proposal.
B. How do HFCs affect public health and welfare?
Elevated concentrations of GHGs including HFCs are and have been
warming the planet, leading to changes in the Earth's climate including
changes in the frequency and intensity of heat waves, precipitation,
and extreme weather events; rising seas; and retreating snow and ice.
The changes taking place in the atmosphere as a result of the well-
documented buildup of GHGs due to human activities are changing the
climate at a pace and scale that threatens human health, society, and
the natural environment. In this section, EPA is providing some
scientific background on climate change to offer additional context for
this rulemaking and to help the public understand the environmental
impacts of GHGs such as HFCs.
Extensive additional information on climate change is available in
the scientific assessments and the EPA documents that are briefly
described in this section, as well as in the technical and scientific
information supporting them.
One of those documents is EPA's 2009 Endangerment and Cause or
Contribute Findings for Greenhouse Gases Under section 202(a) of the
CAA (74 FR 66496, December 15, 2009).\21\ In the 2009 Endangerment
Finding, the Administrator found under CAA section 202(a) that elevated
atmospheric concentrations of six key well-mixed GHGs--CO2,
methane (CH4), nitrous oxide (N2O), HFCs,
perfluorocarbons (PFCs), and sulfur hexafluoride (SF6)--
``may reasonably be anticipated to endanger the public health and
welfare of current and future generations'' (74 FR 66523, December 15,
2009), and the science and observed changes have confirmed and
strengthened the understanding and concerns regarding the climate risks
considered in the Finding. The 2009 Endangerment Finding, together with
the extensive scientific and technical evidence in the supporting
record, documented that climate change caused by human emissions of
GHGs (including HFCs) threatens the public health of the population of
the United States. It explained that by raising average temperatures,
climate change increases the likelihood of heat waves, which are
associated with increased deaths and illnesses (74 FR 66497, December
15, 2009). While climate change also likely reduces cold-related
mortality, evidence indicates that the increases in heat mortality will
be larger than the decreases in cold mortality in the United States (74
FR 66525, December 15, 2009). The 2009 Endangerment Finding further
explained that, compared with a future without climate change, climate
change is expected to increase tropospheric ozone pollution over broad
areas of the United States, including in the largest metropolitan areas
with the worst tropospheric ozone problems, and thereby increase the
risk of adverse effects on public health (74 FR 66525, December 15,
2009). Climate change is also expected to cause more intense hurricanes
and more frequent and intense storms of other types and heavy
precipitation, with impacts on other areas of public health, such as
the potential for increased deaths, injuries, infectious and waterborne
diseases, and stress-related disorders (74 FR 66525, December 15,
2009). Climate change is also expected to cause more intense hurricanes
and more frequent and intense storms of other types and heavy
precipitation, with impacts on other areas of public health, such as
the potential for increased deaths, injuries, infectious and waterborne
diseases, and stress-related disorders (74 FR 66525, December 15,
2009). Children, the elderly, and the poor are among the most
vulnerable to these climate-related health effects (74 FR 66498,
December 15, 2009).
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\21\ In describing these 2009 Findings in this proposal, EPA is
neither reopening nor revisiting them.
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The 2009 Endangerment Finding also documented, together with the
extensive scientific and technical evidence in the supporting record,
that climate change touches nearly every aspect of public welfare \22\
in the United States, including: changes in water supply and quality
due to increased frequency of drought and extreme rainfall events;
increased risk of storm surge and flooding in coastal areas and land
loss due to inundation; increases in peak electricity demand and risks
to electricity infrastructure; predominantly negative consequences for
biodiversity and the provisioning of ecosystem goods and services; and
the potential for significant agricultural disruptions and crop
failures (though offset to some extent by carbon fertilization). These
impacts are also global and may exacerbate problems outside the United
States that raise humanitarian, trade, and national security issues for
the United States (74 FR 66530, December 15, 2009).
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\22\ The CAA states in section 302(h) that ``[a]ll language
referring to effects on welfare includes, but is not limited to,
effects on soils, water, crops, vegetation, manmade materials,
animals, wildlife, weather, visibility, and climate, damage to and
deterioration of property, and hazards to transportation, as well as
effects on economic values and on personal comfort and well-being,
whether caused by transformation, conversion, or combination with
other air pollutants.'' 42 U.S.C. 7602(h).
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In 2016, the Administrator similarly issued Endangerment and Cause
or Contribute Findings for GHG emissions from aircraft under CAA
section 231(a)(2)(A)(81 FR 54422, August 15, 2016).\23\ In the 2016
Endangerment Finding, the Administrator found that the body of
scientific evidence amassed in the record for the 2009 Endangerment
Finding compellingly supported a similar endangerment finding under CAA
section 231(a)(2)(A) and also found that the science assessments
released between the 2009 and the 2016 Findings ``strengthen and
further support the judgment that GHGs in the atmosphere may reasonably
be anticipated to endanger the public health and welfare of current and
future generations'' (81 FR 54424, August 15, 2016).
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\23\ In describing these 2016 Findings in this proposal, EPA is
neither reopening nor revisiting them.
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Since the 2016 Endangerment Finding, the climate has continued to
change, with new records being set for several climate indicators such
as global average surface temperatures, GHG concentrations, and sea
level rise. Moreover, heavy precipitation events have increased in the
Eastern U.S. while agricultural and ecological drought has increased in
the Western U.S. along with more intense and larger wildfires.\24\
These and other trends are examples of the risks discussed in the 2009
and 2016 Endangerment Findings that have already been experienced.
Additionally, major scientific assessments continue to demonstrate
advances in our understanding of the climate system and the impacts
that GHGs have on public health and welfare both for current and future
generations. According to the Intergovernmental Panel on Climate
Change's (IPCC) Sixth Assessment Report, ``it is unequivocal that human
influence has warmed the atmosphere, ocean and land. Widespread and
rapid changes in the atmosphere, ocean, cryosphere and biosphere have
occurred.'' \25\ These
[[Page 72226]]
updated observations and projections document the rapid rate of current
and future climate change both globally and in the United
States.26 27 28 29.
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\24\ An additional resource for indicators can be found at
https://www.epa.gov/climate-indicators.
\25\ IPCC, 2021: Summary for Policymakers. In: Climate Change
2021: The Physical Science Basis. Contribution of Working Group I to
the Sixth Assessment Report of the Intergovernmental Panel on
Climate Change [Masson-Delmotte, V., P. Zhai, A. Pirani, S.L.
Connors, C. Pe[acute]an, S. Berger, N. Caud, Y. Chen, L. Goldfarb,
M.I. Gomis, M. Huang, K. Leitzell, E. Lonnoy, J.B.R. Matthews, T.K.
Maycock, T. Waterfield, O. Yelek[ccedil]i, R. Yu and B. Zhou
(eds.)]. Cambridge University Press. In Press: 4.
\26\ USGCRP, 2018: Impacts, Risks, and Adaptation in the United
States: Fourth National Climate Assessment, Volume II [Reidmiller,
D.R., C.W. Avery, D.R. Easterling, K.E. Kunkel, K.L.M. Lewis, T.K.
Maycock, and B.C. Stewart (eds.)]. U.S. Global Change Research
Program, Washington, DC, USA, 1515 pp. doi: 10.7930/NCA4.2018.
Available at: https://nca2018.globalchange.gov.
\27\ IPCC, 2021.
\28\ National Academies of Sciences, Engineering, and Medicine,
2019. Climate Change and Ecosystems. Washington, DC: The National
Academies Press. Available at: https://doi.org/10.17226/25504.
\29\ NOAA National Centers for Environmental Information,
Monthly Global Climate Report for Annual 2022, published online
January 2023, retrieved on March 1, 2023 from https://www.ncei.noaa.gov/access/monitoring/monthly-report/global/202213.
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C. What refrigerant management programs has EPA already established
under the Clean Air Act?
EPA is developing regulations that are designed to establish a
comprehensive HFC management program that maximizes the reclaiming and
minimizes the release of HFCs while coordinating these efforts with
other similar programs. EPA has an extensive history under CAA Title VI
regulating the sectors in which HFCs and substitutes are typically
used, including where they are used as refrigerants and for other
purposes. For example, EPA has regulated stationary refrigeration
applications under CAA section 608, MVACs under CAA section 609, and
has evaluated alternative substances for refrigeration, air
conditioning, and other uses under the Significant New Alternatives
Policy (SNAP) program under CAA section 612.
1. National Recycling and Emission Reduction Program (CAA Section 608)
CAA section 608, titled ``National Recycling and Emission Reduction
Program,'' has three main components. First, section 608(a) requires
EPA to establish standards and requirements regarding the use and
disposal of class I and class II substances.\30\ The second component,
section 608(b), requires that the regulations issued pursuant to
subsection (a) contain requirements for the safe disposal of class I
and class II substances. The third component, section 608(c), prohibits
the knowing venting, release, or disposal of ODS refrigerants \31\ and
their substitutes \32\ in the course of maintaining, servicing,
repairing, or disposing of appliances or industrial process
refrigeration (IPR). EPA refers to this third component as the
``venting prohibition.'' Section 608(c)(1) establishes the venting
prohibition for ODS refrigerants effective July 1, 1992, and it
includes an exemption from this prohibition for ``[d]e minimis releases
associated with good faith attempts to recapture and recycle or safely
dispose'' any such substance. Section 608(c)(2) extends 608(c)(1) to
substitute refrigerants, effective November 15, 1995. Section 608(c)(2)
also includes a provision that allows the Administrator to exempt a
substitute refrigerant from the venting prohibition if he or she
determines that such venting, release, or disposal of a substitute
refrigerant ``does not pose a threat to the environment.''
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\30\ A class I or class II substance is an ozone-depleting
substance (ODS) listed at 40 CFR part 82, subpart A, appendix A or
appendix B, respectively. This document refers to class I and class
II substances collectively as ozone-depleting substances, or ODS.
\31\ The term ``ODS refrigerant'' as used in this document
refers to any refrigerant or refrigerant blend in which one or more
of the components is a class I or class II substance.
\32\ The term ``substitute'' for the purposes of the regulations
under section 608 of the CAA is defined at 40 CFR 82.152.
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EPA first issued regulations under CAA section 608 on May 14, 1993
(58 FR 28660, ``1993 Rule''), to establish the national refrigerant
management program for ODS refrigerants recovered during the service,
repair, or disposal of air conditioning and refrigeration appliances.
Since then, EPA has revised these regulations, which are found at 40
CFR part 82, subpart F (``subpart F''), through subsequent rulemakings
published between 1994 and 2020. Regulations issued under CAA section
608 include, among other things, the venting prohibition and sales
restrictions for refrigerants (40 CFR 82.154); safe disposal of
appliances (40 CFR 82.155); proper practices for the evacuation of
refrigerant from appliances (40 CFR 82.156); required practices for
appliance maintenance and leak repair (40 CFR 82.157); standards for
recovery and/or recycling equipment (40 CFR 82.158); technician and
reclaimer certification requirements (40 CFR 82.161 and 82.164,
respectively); and reporting and recordkeeping requirements (40 CFR
82.166). Appendices A-E at 40 CFR part 82, subpart F provide, among
other things, specifications for refrigerants, performance standards
for refrigerant recovery, recycling, and/or reclaiming equipment, and
standards for becoming a certifying program for technicians.
As it pertains to regulations under section 608 of the CAA, EPA is
using the term ``non-exempt substitute'' in this document to refer to
substitute refrigerants that have not been exempted from the venting
prohibition under CAA section 608(c)(2) and Sec. 82.154(a) in the
relevant end-use. Similarly, the term ``exempt substitute'' refers to a
substitute refrigerant that has been exempted from the venting
prohibition under section 608(c)(2) and Sec. 82.154(a) in the relevant
end-use. A few exempt substitutes have been exempted from the venting
prohibition in all applications. Notably, in 2016, EPA published a rule
(81 FR 82272, November 18, 2016) updating existing refrigerant
management requirements and extending the full set of the subpart F
refrigerant management requirements, which prior to that rule applied
only to ODS refrigerants,\33\ to non-exempt substitute refrigerants,
such as HFCs and hydrofluoroolefins (HFOs). Among the subpart F
requirements extended to non-exempt substitute refrigerants in the 2016
CAA section 608 Rule were provisions that restrict the servicing of
appliances and the sale of refrigerant to certified technicians,
specify the proper evacuation levels before opening an appliance,
require the use of certified refrigerant recovery and/or recycling
equipment, require that refrigerant be recovered from appliances prior
to disposal, require that appliances have a servicing aperture or
process stub to facilitate refrigerant recovery, require that
refrigerant reclaimers be certified to reclaim and sell used
refrigerant, and establish standards for technician certification
programs, recovery equipment, and established technical standards for
the purity of reclaimed refrigerant. The 2016 CAA section 608 Rule also
extended the appliance maintenance and leak repair provisions,
currently codified at 40 CFR 82.157, to appliances that contain 50 or
more pounds of non-exempt substitute refrigerant. The 2016 CAA section
608 Rule additionally made numerous revisions to improve the efficacy
of the refrigerant management program as a whole, such as revisions of
regulatory provisions for increased clarity and readability, and
removal of provisions that had become obsolete.
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\33\ The only 40 CFR part 82, subpart F requirements that
applied to substitute refrigerants prior to the 2016 CAA section 608
Rule were the venting prohibition and certain exemptions from that
prohibition, as set forth in Sec. 82.154(a).
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EPA reviewed the 2016 CAA section 608 Rule, focusing in particular
on whether the Agency had the statutory authority to extend the full
set of
[[Page 72227]]
subpart F refrigerant management regulations to non-exempt substitute
refrigerants, such as HFCs and HFOs. In 2018, EPA proposed to withdraw
the extension of the provisions of 40 CFR 82.157 to appliances using
only non-exempt substitute refrigerants.\34\ (83 FR 49332, October 1,
2018). In 2020, EPA published a final rule (85 FR 14150, March 11,
2020) withdrawing only the extension of the leak repair requirements--
including requirements for repairing leaks, conducting leak
inspections, and keeping applicable records--for appliances containing
only such substitute refrigerants. Other subpart F provisions that were
extended to substitute refrigerants in the 2016 CAA section 608 Rule,
as mentioned above, were left in place for appliances containing only
ODS substitute refrigerants. There were no changes to any of the
regulatory requirements for ODS in the 2020 CAA section 608 Rule.
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\34\ Ozone-depleting refrigerants and appliances that contain or
use any amount of ODS continue to be subject to all applicable
subpart F requirements, including those in 40 CFR 82.157.
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Petitions for judicial review were filed on the 2016 CAA section
608 Rule and separately on the 2020 CAA section 608 Rule. Two industry
coalitions, National Environmental Development Association's Clean Air
Project (NEDA/CAP) and the Air Permitting Forum (APF), filed petitions
for judicial review of the 2016 CAA section 608 Rule in the U.S. Court
of Appeals for the District of Columbia Circuit (D.C. Circuit) in 2017.
APF also filed an administrative petition for reconsideration before
EPA regarding the 2016 CAA section 608 Rule.\35\ In 2020, the Natural
Resources Defense Council (NRDC) and a group of state and municipal
petitioners \36\ filed petitions for judicial review of the 2020 CAA
section 608 Rule in the D.C. Circuit. NEDA/CAP also filed an
administrative petition before EPA regarding the 2020 CAA section 608
Rule, which is styled as a petition for reconsideration or in the
alternative a petition for rulemaking.\37\ These four petitions for
review were all consolidated under Case No. 20-1150 (D.C. Cir.) in July
of 2020, and in August of 2020 the court severed four issues raised in
NEDA/CAP and APF's administrative petitions for reconsideration and
assigned them to a different case (Case No. 20-1309, D.C. Cir.). Both
cases are now being held in abeyance.
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\35\ APF Petition for Reconsideration, January 2017, available:
https://www.regulations.gov/document?D=EPA-HQ-OAR-2015-0453-0228.
\36\ The state and municipal petitioners are the State of New
York, State of Connecticut, State of Illinois, State of Maine, State
of Maryland, State of Minnesota, State of New Jersey, State of
Oregon, Commonwealth of Virginia, State of Washington, District of
Columbia, and City of New York.
\37\ NEDA/CAP Petitions for Reconsideration/Petition for
Rulemaking, May 2020, available: https://www.regulations.gov/document?D=EPA-HQ-OAR-2017-0629-0345.
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On January 20, 2021, President Biden issued an ``Executive Order on
Protecting Public Health and the Environment and Restoring Science to
Tackle the Climate Crisis,'' which directed review of certain agency
actions taken between January 20, 2017, and January 20, 2021. Exec.
Order No. 13,990, 86 FR 7037 (Jan. 20, 2021). The 2020 CAA section 608
Rule was one of the actions subject to review under this Executive
Order. In light of both EPA's review of the 2020 CAA section 608 Rule
consistent with the Executive Order and the Agency's consideration of
subsection (h) of the AIM Act, EPA has decided to initiate a rulemaking
that, among other things, would involve evaluating the application of
leak repair requirements to appliances using HFCs and substitute
refrigerants under subsection (h). Because this proposed action is
rooted in EPA's authority under the AIM Act, EPA is not reopening or
otherwise addressing the question of its authority for such
requirements under the CAA in this proposal.
2. Motor Vehicle Air Conditioning Servicing Program (CAA Section 609)
CAA section 609 directs EPA to issue regulations establishing
standards and requirements for the servicing of MVACs. For purposes of
the regulations implementing CAA section 609, ``motor vehicle air
conditioners'' \38\ is defined at 40 CFR 82.32(d) as mechanical vapor
compression refrigeration equipment used to cool the driver's or
passenger's compartment of any motor vehicle. This definition further
states that it is not intended to encompass certain hermetically sealed
refrigeration systems used on motor vehicles for refrigerated cargo and
the air conditioning systems on passenger buses. For purposes of the
section 609 regulations, motor vehicle is defined at 40 CFR 82.32(c) as
any vehicle which is self-propelled and designed for transporting
persons or property on a street or highway, including but not limited
to passenger cars, light-duty vehicles, and heavy-duty (HD) vehicles.
This definition further provides that it does not include a vehicle
where final assembly of the vehicle has not been completed by the
original equipment manufacturer (OEM).
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\38\ A related definition for ``MVAC-like appliance'' is found
at 40 CFR 82.152: MVAC-like appliance means a mechanical vapor
compression, open-drive compressor appliance with a full charge of
20 pounds or less of refrigerant used to cool the driver's or
passenger's compartment of off-road vehicles or equipment. This
includes, but is not limited to, the air-conditioning equipment
found on agricultural or construction vehicles. This definition is
not intended to cover appliances using R-22 refrigerant.
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Under CAA section 609 and regulations that implement it, no person
repairing or servicing motor vehicles for consideration (e.g., payment
or bartering) may perform any service on an MVAC that involves the
refrigerant \39\ without properly using approved refrigerant recovery
or recovery and recycling equipment, and no such person may perform
such service for consideration unless such person has been properly
trained and certified. Section 609 also contains restrictions on the
sale or distribution, or offer for sale or distribution, of class I and
class II substances suitable for use as a refrigerant in MVACs in
containers of less than 20 pounds, except to a person performing
service for consideration on MVAC systems.
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\39\ Section 609(b)(1) defines the term ``refrigerant,'' ``[a]s
used in this section'', to mean ``any class I or class II substance
used in a motor vehicle air conditioner. Effective 5 years after
November 15, 1990, the term `refrigerant' shall also include any
substitute substance.'' EPA's implementing regulations include a
parallel definition of this term at 40 CFR 82.32(f).
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Regulations issued under CAA section 609, codified at 40 CFR part
82, subpart B, include, among other things, prohibited and required
practices for persons repairing and servicing MVACs for consideration
(40 CFR 82.34); requirements for refrigerant handling equipment (40 CFR
82.36); approval processes for independent standards testing
organizations (40 CFR 82.38); requirements for certifications that any
person servicing or repairing MVACs for consideration must submit to
EPA, and related recordkeeping requirements (40 CFR 82.42). Appendices
A-F at 40 CFR part 82, subpart B, provide minimum operating
requirements for equipment used for the recovery, recycling and/or
recharging of refrigerant used in MVACs.
In 1992, EPA published a rule (57 FR 31242, July 14, 1992) under
CAA section 609 establishing standards and requirements for servicing
of MVACs and restricting the sale of small containers of ODS. The
regulations, which appear in 40 CFR part 82, subpart B, require persons
who repair or service MVACs for consideration to be certified in
refrigerant recovery and recycling and to properly use approved
equipment when performing service involving the refrigerant. Consistent
with the definition in CAA section 609(b)(1), ``refrigerant'' is
defined in
[[Page 72228]]
subpart B as any class I or class II substance used in MVACs, and to
include any substitute substance effective November 15, 1995. The 1992
CAA section 609 Rule also defined approved refrigerant recycling
equipment as equipment certified by the Administrator or an approved
organization as meeting either one of the standards in 40 CFR 82.36.
Such equipment extracts and recycles refrigerant or extracts but does
not recycle refrigerant, allowing that refrigerant to be subsequently
recycled on-site or to be sent off-site for reclamation.\40\ EPA based
the regulatory equipment standards in subpart B on those developed by
SAE. They cover service procedures for dichlorodifluoromethane (CFC-12
or R-12) recover/recycle equipment (SAE J1989, issued in October 1989),
test procedures to evaluate R-12 recover/recycle equipment (SAE J1990,
issued in October 1989 and revised in 1991) and a purity standard for
recycled R-12 refrigerant (SAE J1991, issued in October 1989). Only
equipment certified to meet the standards set forth in appendix A at 40
CFR part 82, subpart B, or that meet the criteria for substantially
identical equipment, was approved under CAA section 609 for use in the
servicing of MVACs at that time.
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\40\ Equipment that extracts and recycles refrigerant is
referred to as recover/recycle equipment. Equipment that extracts
but does not recycle refrigerant is referred to as equipment that
recovers but does not recycle refrigerant, or as recover-only
equipment.
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EPA issued another rule under CAA section 609 in 1997 (62 FR 68026,
December 30, 1997) in response to the increasing use of substitute
refrigerants, particularly 1,1,1,2-tetrafluoroethane (HFC-134a or R-
134a). The 1997 CAA section 609 Rule established standards and
requirements for the servicing of MVACs that use any refrigerant other
than R-12. The rule also stated that refrigerant (whether R-12 or a
substitute) recovered from motor vehicles at motor vehicle disposal
facilities may be re-used in the MVAC service sector only if it has
been properly recovered and recycled by persons who are either
employees, owners, or operators of the facilities, or technicians
certified under CAA section 609, using approved equipment. This differs
from the rules established under CAA section 608, in which no person
may sell or distribute, or offer for sale or distribution, used
refrigerant (including both ODS and non-exempt substitutes such as
HFCs) unless it has first been reclaimed by a certified reclaimer (40
CFR 82.154(d)). The 1997 CAA section 609 Rule also established
conditions under which owners and operators of motor vehicle disposal
facilities may sell refrigerant recovered from such vehicles to
technicians certified under CAA section 609.
3. Significant New Alternatives Policy Program (CAA Section 612)
EPA identifies and evaluates substitutes for ODS in certain
industrial sectors, including RACHP; aerosols; and foams. To a very
large extent, HFCs are used in the same sectors and subsectors as where
ODS historically have been used. Under SNAP, EPA evaluates
acceptability of substitutes for ODS based primarily on the potential
human health and environmental risks, relative to other substances used
for the same purpose. In so doing, EPA assesses atmospheric effects
such as ozone depletion potential (ODP) and GWP, exposure assessments,
toxicity data, flammability, and other environmental impacts. This
assessment could take a wide range of forms, such as a theoretical
evaluation of the properties of the substitute, a computer simulation
of the substitute's performance in the sector or subsector, lab-scale
(table-top) evaluations of the substitute, or equipment tests under
various conditions.
IV. How is EPA proposing to regulate the management of HFCs and their
substitutes?
As described in the following sections, EPA is proposing to
establish a program for the management of HFCs under subsection (h) of
the AIM Act that includes requirements regarding several topics,
including leak repair requirements for certain refrigerant-containing
appliances and use of ALD systems for certain equipment; use of
reclaimed HFCs in certain sectors or subsectors for the initial charge
or installation of equipment and for servicing and/or repair of
existing equipment; the servicing, repair, disposal, or installation of
fire suppression equipment that contains HFCs, as well as requirements
related to technician training in the fire suppression sector; recovery
of HFCs from cylinders; and container tracking for HFCs that could be
used in the servicing, repair, and/or installation of equipment. EPA
intends for the proposed provisions for these topics to be able to
stand independently from one another and has designed them accordingly.
For example, the proposed leak repair requirements for refrigerant-
containing appliances are designed to operate independently from the
proposed requirements for servicing, repair, disposal, or installation
of fire suppression equipment.
A. What definitions is EPA proposing to implement under subsection (h)?
The Allocation Framework Rule (86 FR 55116, October 5, 2021)
established regulatory definitions at 40 CFR part 84, subpart A
(``subpart A'') to implement the framework for, and begin the
regulatory phasedown of, HFCs under the AIM Act, and EPA has finalized
certain revisions to the definitions section of subpart A at 40 CFR
84.3 (see 88 FR at 46836, July 20, 2023).\41\ The proposed Technology
Transitions Rule (87 FR 76738, December 15, 2022) would establish
additional regulatory definitions in 40 CFR part 84, subpart B
(``subpart B'') as part of its first proposed rulemaking related to
implementing subsection (i) of the AIM Act, entitled ``Technology
Transitions''. EPA anticipates that any final Technology Transitions
rule under subsection (i) would be available in the docket for that
action. To maintain consistency, except as otherwise explained in this
proposal, EPA generally intends to use terms in this proposal, and in
the new subpart C which is to be established by this rule, as they are
defined in subpart A. Thus, for terms not defined in this subpart but
that are defined in subpart A (40 CFR 84.3), the definitions in 40 CFR
84.3 would apply. Although EPA has not yet finalized the regulatory
definitions that would apply under the Technology Transitions program,
we also anticipate considering any regulatory definitions that may be
finalized at subpart B as we are developing this rulemaking under
subsection (h) of the AIM Act in an effort to promote consistency where
appropriate. Accordingly, we anticipate that for terms that are not
defined in subparts A or C, but that are defined in subpart B, the
subpart B definitions would apply under the new subpart C.
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\41\ The proposed revisions in 40 CFR 84.3 are described in
EPA's proposed Allowance Allocation Methodology for 2024 and Later
Years rule, which was published on October 21, 2022 (87 FR 66372).
This rulemaking focuses on the second phase of the HFC phasedown
and, among other things, proposes to establish the allocation
methodology for the ``general pool'' of HFC production and
consumption allowances for 2024 through 2028. Available at: https://www.epa.gov/climate-hfcs-reduction/proposed-rule-allowance-allocation-methodology-2024-and-later-years.
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EPA welcomes comment on all definitions proposed in this action and
in particular, whether it should adopt different definitions for any of
the terms defined in subpart A or proposed to be defined in subpart B
for purposes of this rulemaking under subsection (h) of the AIM Act.
While EPA is seeking
[[Page 72229]]
comment on the definitions as proposed for the new subpart C, in this
rulemaking, the Agency is not reopening, taking comment, or proposing
to modify the definitions as finalized in subpart A or those proposed
under subpart B. The Agency also welcomes comment on the terms that are
newly defined for this proposed rule under subsection (h) as well as if
there are any additional definitions that are needed to ensure a common
understanding of terminology.
1. Which definitions is EPA proposing to adopt that parallel
definitions in 40 CFR 82.152?
EPA is proposing to adopt definitions for the following terms that
are similar to the definitions for the same terms used in 40 CFR
82.152, which includes definitions implementing section 608 of the CAA,
with only limited changes as are needed to conform with the AIM Act or
this proposed action. EPA is proposing to use this approach for these
previously defined terms because they are used in the same or
substantially similar manner as in 40 CFR part 82, subpart F.
Specifically, 40 CFR 82.152 includes definitions implementing section
608 in CAA Title VI, which is relevant to HFC management. As noted in
section III.A. of this proposal, HFCs were intentionally developed to
replace class I and class II ODS and are used in the same applications.
The approach EPA is proposing to implement subsection (h) of the AIM
Act is informed by the Agency's experience with CAA Title VI. For
example, EPA's current regulations under section 608 of the CAA require
certain refrigerant management practices by reclaimers, those who buy
or sell refrigerant, technicians, owners and operators of refrigerant-
containing appliances, and others. Because many in the regulated
community are subject to both the AIM Act and CAA section 608,
maintaining the same or similar definitions, where consistent with AIM
Act requirements, would provide consistency to those that have been
using and are familiar with these terms from CAA section 608
regulations. Because EPA's authority under the AIM Act extends beyond
the sectors covered by the regulations at 40 CFR part 82, subpart F,
where it is necessary for clarity, EPA is specifying where these
definitions specifically apply to the terms as they refer to
refrigerant-containing appliances.
Comfort cooling means the refrigerant-containing appliances used
for air conditioning to provide cooling in order to control heat and/or
humidity in occupied facilities including but not limited to
residential, office, and commercial buildings. Comfort cooling
appliances include but are not limited to chillers, commercial split
systems, and packaged roof-top units.
Commercial refrigeration means the refrigerant-containing
appliances used in the retail food and cold storage warehouse
subsectors. Retail food appliances include the refrigeration equipment
found in supermarkets, convenience stores, restaurants and other food
service establishments. Cold storage includes the refrigeration
equipment used to store meat, produce, dairy products, and other
perishable goods.
Component, as it relates to a refrigerant-containing appliance,
means a part of the refrigerant circuit within an appliance including,
but not limited to, compressors, condensers, evaporators, receivers,
and all of its connections and subassemblies.
Custom-built means that the industrial process refrigeration
equipment or any of its components cannot be purchased and/or installed
without being uniquely designed, fabricated and/or assembled to satisfy
a specific set of industrial process conditions.
Disposal, as it relates to a refrigerant-containing appliance,
means the process leading to and including:
(1) The discharge, deposit, dumping or placing of any discarded
refrigerant-containing appliance into or on any land or water;
(2) The disassembly of any refrigerant-containing appliance for
discharge, deposit, dumping or placing of its discarded component parts
into or on any land or water;
(3) The vandalism of any refrigerant-containing appliance such that
the refrigerant is released into the environment or would be released
into the environment if it had not been recovered prior to the
destructive activity;
(4) The disassembly of any refrigerant-containing appliance for
reuse of its component parts; or
(5) The recycling of any refrigerant-containing appliance for
scrap.
As with all the proposed definitions, this proposed definition of
``disposal,'' as it relates to a refrigerant-containing appliance, is
limited to how the term is would be used in 40 CFR part 84 subpart C.
Follow-up verification test, as it relates to a refrigerant-
containing appliance, means those tests that involve checking the
repairs to an appliance after a successful initial verification test
and after the appliance has returned to normal operating
characteristics and conditions to verify that the repairs were
successful. Potential methods for follow-up verification tests include,
but are not limited to, the use of soap bubbles as appropriate,
electronic or ultrasonic leak detectors, pressure or vacuum tests,
fluorescent dye and black light, infrared or near infrared tests, and
handheld gas detection devices.
Full charge, as it relates to a refrigerant-containing appliance,
means the amount of refrigerant required for normal operating
characteristics and conditions of the appliance as determined by using
one or a combination of the following four methods:
(1) Use of the equipment manufacturer's determination of the full
charge;
(2) Use of appropriate calculations based on component sizes,
density of refrigerant, volume of piping, and other relevant
considerations;
(3) Use of actual measurements of the amount of refrigerant added
to or evacuated from the appliance, including for seasonal variances;
and/or
(4) Use of an established range based on the best available data
regarding the normal operating characteristics and conditions for the
appliance, where the midpoint of the range will serve as the full
charge.
Industrial process refrigeration means complex customized
refrigerant-containing appliances that are directly linked to the
processes used in, for example, the chemical, pharmaceutical,
petrochemical, and manufacturing industries. This sector also includes
industrial ice machines, appliances used directly in the generation of
electricity, and ice rinks. Where one appliance is used for both
industrial process refrigeration and other applications, it will be
considered industrial process refrigeration equipment if 50 percent or
more of its operating capacity is used for industrial process
refrigeration.
Initial verification test, as it relates to a refrigerant-
containing appliance, means those leak tests that are conducted after
the repair is finished to verify that a leak or leaks have been
repaired before refrigerant is added back to the appliance.
Leak rate, as it relates to a refrigerant-containing appliance,
means the rate at which an appliance is losing refrigerant, measured
between refrigerant charges. The leak rate is expressed in terms of the
percentage of the appliance's full charge that would be lost over a 12-
month period if the current rate of loss were to continue over that
period. The rate must be calculated using one of the following methods.
The same method
[[Page 72230]]
must be used for all appliances subject to the leak repair requirements
located at an operating facility.
(1) Annualizing Method.
(i) Step 1. Take the number of pounds of refrigerant added to the
appliance to return it to a full charge, whether in one addition or if
multiple additions related to same leak, and divide it by the number of
pounds of refrigerant the appliance normally contains at full charge;
(ii) Step 2. Take the shorter of the number of days that have
passed since the last day refrigerant was added or 365 days and divide
that number by 365 days;
(iii) Step 3. Take the number calculated in Step 1 and divide it by
the number calculated in Step 2; and
(iv) Step 4. Multiply the number calculated in Step 3 by 100 to
calculate a percentage. This method is summarized in the following
formula:
[GRAPHIC] [TIFF OMITTED] TP19OC23.000
(2) Rolling Average Method.
(i) Step 1. Take the sum of the pounds of refrigerant added to the
appliance over the previous 365-day period (or over the period that has
passed since the last successful follow-up verification test showing
all identified leaks in the appliance were repaired, if that period is
less than one year);
(ii) Step 2. Divide the result of Step 1 by the pounds of
refrigerant the appliance normally contains at full charge; and
(iii) Step 3. Multiply the result of Step 2 by 100 to obtain a
percentage. This method is summarized in the following formula:
[GRAPHIC] [TIFF OMITTED] TP19OC23.001
As discussed in section IV.C.4. of this proposal, EPA is clarifying
that owner/operators that wish to preemptively repair leaks and then
run the leak rate calculation once refrigerant has been added to the
repaired appliance for the follow-up verification test may do so,
assuming all applicable time windows are adhered to. Additionally,
owner/operators may use the amount of refrigerant lost in lieu of the
amount of refrigerant added to run the leak rate calculation prior to
adding refrigerant if they have a valid method of determining the
amount of refrigerant lost (e.g., evacuating the appliance and
comparing the amount of refrigerant evacuated to the full charge).
Mothball, as it relates to a refrigerant-containing appliance,
means to evacuate refrigerant from an appliance, or the affected
isolated section or component of an appliance, to at least atmospheric
pressure, and to temporarily shut down that appliance.
MVAC-like appliance means a mechanical vapor compression, open-
drive compressor refrigerant-containing appliance with a full charge of
20 pounds or less of refrigerant used to cool the driver's or
passenger's compartment of off-road vehicles or equipment. This
includes, but is not limited to, the air-conditioning equipment found
on agricultural or construction vehicles. This definition is intended
to have the same meaning as defined in 40 CFR 82.152.
This proposed definition deviates slightly from the definition of
``MVAC-like appliance'' at 40 CFR 82.152 to conform to the AIM Act
grant of authority. As noted, this definition is intended to have the
same meaning as defined 40 CFR 82.152.
Normal operating characteristics and conditions, as it relates to a
refrigerant-containing appliance, means appliance operating
temperatures, pressures, fluid flows, speeds, and other
characteristics, including full charge of the appliance, that would be
expected for a given process load and ambient condition during normal
operation. Normal operating characteristics and conditions are marked
by the absence of atypical conditions affecting the operation of the
appliance.
Refrigerant circuit, as it relates to a refrigerant-containing
appliance, means the parts of an appliance that are normally connected
to each other (or are separated only by internal valves) and are
designed to contain refrigerant.
Retire, as it relates to a refrigerant-containing appliance, means
the removal of the refrigerant and the disassembly or impairment of the
refrigerant circuit such that the appliance as a whole is rendered
unusable by any person in the future.
Seasonal variance, as it relates to a refrigerant-containing
appliance, means the removal of refrigerant from an appliance due to a
change in ambient conditions caused by a change in season, followed by
the subsequent addition of an amount that is less than or equal to the
amount of refrigerant removed in the prior change in season, where both
the removal and addition of refrigerant occurs within one consecutive
12-month period.
Technician, as it relates to any person who works with refrigerant-
containing appliances, means any person who in the course of servicing,
repair, or installation of a refrigerant-containing appliance (except
MVACs) could be reasonably expected to violate the integrity of the
refrigerant circuit and therefore release refrigerants into the
environment. Technician also means any person who, in the course of
disposal of a refrigerant-containing appliance (except small appliances
as defined in 40 CFR 82.152, MVACs, and MVAC-like appliances), could be
reasonably expected to violate the integrity of the refrigerant circuit
and therefore release refrigerants from the appliances into the
environment. Activities reasonably expected to violate
[[Page 72231]]
the integrity of the refrigerant circuit include but are not limited
to: Attaching or detaching hoses and gauges to and from the appliance;
adding or removing refrigerant; adding or removing components; and
cutting the refrigerant line. Activities such as painting the
appliance, rewiring an external electrical circuit, replacing
insulation on a length of pipe, or tightening nuts and bolts are not
reasonably expected to violate the integrity of the refrigerant
circuit. Activities conducted on refrigerant-containing appliances that
have been properly evacuated pursuant to Sec. 82.156 are not
reasonably expected to release refrigerants unless the activity
includes adding refrigerant to the appliance. Technicians could include
but are not limited to installers, contractor employees, in-house
service personnel, and owners and/or operators of refrigerant-
containing appliances. This proposed definition deviates slightly from
the definition of ``technician'' at 40 CFR 82.152 to conform to the AIM
Act grant of authority. EPA is also proposing a definition of
``certified technician'' to make it clear that persons certified per 40
CFR 82.161 are considered ``certified technicians'' for the purposes of
these regulations. In section VIII. of this preamble, EPA is taking
advanced comment on considerations for a future rulemaking on
technician training.
2. Which definitions is EPA proposing to adopt that parallel
definitions in 40 CFR 82.32?
EPA is proposing to adopt definitions for the following defined
terms that are similar to the definitions used in 40 CFR 82.32 with
limited changes as are needed to conform with the AIM Act or this
proposal. EPA is proposing this approach for these defined terms
because they are used in the same or substantially similar manner as in
40 CFR part 82, subpart B--Servicing of Motor Vehicle Air Conditioners
under the CAA. Section 609 in Title VI of the CAA is relevant to
refrigerant management, as it directs EPA to establish standards and
requirements regarding the servicing of MVACs. For example, under CAA
section 609 and regulations that implement it, no person repairing or
servicing motor vehicles for consideration (e.g., payment or bartering)
may perform any service on an MVAC that involves the refrigerant
without properly using approved refrigerant recovery or recovery and
recycling equipment, and no such person may perform such service for
consideration unless such person has been properly trained and
certified. Because many within the regulated community are subject to
both the AIM Act and CAA section 609, maintaining the same definitions,
where consistent with AIM Act requirements, would provide consistency
to those that have been using and are familiar with these terms from
section 609. EPA welcomes comment on whether any of these terms should
be further updated or modified for purposes of this rulemaking under
subsection (h) of the AIM Act.
Motor vehicle as used in this subpart means any vehicle which is
self-propelled and designed for transporting persons or property on a
street or highway, including but not limited to passenger cars, light-
duty vehicles, and heavy-duty vehicles. This definition does not
include a vehicle where final assembly of the vehicle has not been
completed by the original equipment manufacturer.
Motor vehicle air conditioners (MVAC) means mechanical vapor
compression refrigerant-containing appliances used to cool the driver's
or passenger's compartment of any motor vehicle. This definition is
intended to have the same meaning as defined in 40 CFR 82.32.
3. What other definitions is EPA proposing to adopt?
EPA is also proposing to establish definitions for new terms that
are applicable only under 40 CFR part 84, subpart C, and do not have a
counterpart in the definitions under 40 CFR part 84, subpart A and that
we do not anticipate will have a counterpart in any definitions that
may be finalized in subpart B. The definitions that EPA is proposing to
include in 40 CFR 84.102 for application to 40 CFR part 84, subpart C
are as follows:
Certified technician means a technician that has been certified per
the provisions at 40 CFR 82.161.
Equipment means any device that contains, uses, detects or is
otherwise connected or associated with a regulated substance or
substitute for a regulated substance, including any refrigerant-
containing appliance, component, or system.
Fire suppression equipment means any device that is connected to or
associated with a regulated substance or substitute for a regulated
substance, including blends and mixtures, consisting in part or whole
of a regulated substance or a substitute for a regulated substance, and
that is used for fire suppression purposes. This term includes any such
equipment, component, or system. This term does not include mission-
critical military end uses and systems used in deployable and
expeditionary situations. This term also does not include space
vehicles as defined in 40 CFR 84.3.
EPA is proposing to explicitly state that the definition of ``fire
suppression equipment'' for purposes of subsection (h) does not include
mission-critical military end uses and systems used in deployable and
expeditionary applications, as well as space vehicles. This proposed
exclusion is based on EPA's understanding that there are situations in
which the unique design and use of mission-critical military end uses
and systems used in deployable and expeditionary situations and space
vehicles make it impossible to recover fire suppression agent during
the service, repair, disposal, or installation of the equipment.
Fire suppression technician means any person who in the course of
servicing, repair, disposal, or installation of fire suppression
equipment could be reasonably expected to violate the integrity of the
fire suppression equipment and therefore release fire suppressants into
the environment.
Installation means the process of setting up equipment for use,
which may include steps such as completing the refrigerant circuit,
including charging equipment with a regulated substance or substitute
for a regulated substance, or connecting cylinders containing a
regulated substance or a substitute for a regulated substance to a
total flooding fire suppression system, such that the equipment can
function and is ready for use for its intended purpose.
This definition of ``installation'' for purposes of subsection (h)
is different from how the term is used in the definitions in the
proposed Technology Transitions Rule (87 FR 76738, December 15, 2022).
Specifically, the definition for ``manufacture'' in that proposed rule
covers the installation of certain appliances in certain subsectors
(e.g., commercial refrigeration and IPR). In discussing the definition
for ``manufacture'' in that proposed rule, EPA described that for these
types of appliances, complex installation processes may be required,
and the appliance is typically manufactured and field-charged with
refrigerant on-site. Further, appliances such as these that are field
charged or have the refrigerant circuit completed on-site are
considered manufactured at the point when installation of all the
components and other parts are completed, and the appliance is fully
charged with refrigerant and able to operate. For purposes of the
proposed Technology Transitions Rule (87 FR 76738, December 15, 2022),
the installation
[[Page 72232]]
date of such equipment is relevant to the proposed GWP limit-based
restriction and compliance date for the applicable subsector(s).
The types of installations covered under the proposed definition of
``manufacture'' in the proposed Technology Transitions Rule (87 FR
76738, December 15, 2022) would be included in the proposed definition
of ``installation'' in this proposal under subsection (h), and other
types of installation would also be included in the definition included
in this proposal. EPA is proposing a broad definition of
``installation'' under subsection (h) in order to ensure that the
Agency's implementation of subsection (h)(1) encompasses the practices,
processes or activities that are relevant to the installation of
equipment that would be regulated under this proposal.
Leak inspection, as it relates to a refrigerant-containing
appliance, means the examination of an appliance to detect and
determine the location of refrigerant leaks. Potential methods include,
but are not limited to, ultrasonic tests, gas-imaging cameras, bubble
tests as appropriate, or the use of a leak detection device operated
and maintained according to manufacturer guidelines. Methods that
determine whether the appliance is leaking refrigerant but not the
location of a leak, such as standing pressure/vacuum decay tests, sight
glass checks, viewing receiver levels, pressure checks, and charging
charts, must be used in conjunction with methods that can determine the
location of a leak.
This definition generally aligns with the corresponding definition
at 40 CFR 82.152, except EPA is proposing to add the ``detect and''
language. In EPA's view, including ``detect and'' clarifies that a leak
inspection is not just to determine the precise location of a known
leak, but also to detect additional leaks that may be contributing to a
leak rate exceedance.
Owner or operator means any person who owns, leases, operates, or
controls any equipment, or who controls or supervises any practice,
process, or activity that is subject to any requirement pursuant to
this subpart.
Recover means the process by which a regulated substance, or where
applicable, a substitute for a regulated substance, is removed, in any
condition, from equipment; and stored in an external container, with or
without testing or processing the regulated substance or substitute for
a regulated substance.
In the regulations implementing under subsection (h), EPA is
proposing to define the term ``recover'' as it is defined in subsection
(b)(10) of the AIM Act for HFCs and to extend the regulatory definition
to substitutes for HFCs. The term ``recover'' is defined in the AIM Act
at subsection (b)(10) as ``the process by which a regulated substance''
is ``removed, in any condition, from equipment'' and ``stored in an
external container, with or without testing or processing the regulated
substance.'' EPA is proposing to include that the term recover also
apply to substitutes for regulated substances in these regulations to
support implementation of subsection (h)(1), which authorizes certain
regulations involving substitutes for regulated substitutes.
Substitutes for regulated substances are used in the same applications
and often the same equipment as the regulated substances that they are
being used in place of. Thus, recovering the substitute for a regulated
substance would also occur, as appropriate, during the servicing,
repair, or disposal of equipment and could be addressed by regulations
under subsection (h)(1). Thus, including substitutes for regulated
substances in the regulatory definition of ``recover'' provides clarity
and supports application of these regulations to both regulated
substances and their substitutes.
Recycling, when referring to fire suppression or fire suppressants,
means the testing and/or reprocessing of regulated substances used in
the fire suppression sector to certain purity standards.
Refrigerant, for purposes of this subpart, means any substance,
including blends and mixtures, consisting in part or whole of a
regulated substance or a substitute for a regulated substance that is
used for heat transfer purposes, including those that provide a cooling
effect.
Refrigerant-containing appliance means any device that contains and
uses a regulated substance or substitute for a regulated substance as a
refrigerant including any air conditioner, motor vehicle air
conditioner, refrigerator, chiller, or freezer. For a system with
multiple circuits, each independent circuit is considered a separate
appliance.
As the terms ``appliance'' and ``refrigerant-containing appliance''
are not defined terms under the AIM Act, the regulatory definition will
provide clarity as to what types of equipment would be subject to
certain proposed requirements. EPA intends this term to be a subset of
the broader category of ``equipment'' subject to subsection (h) of the
AIM Act. EPA notes that this proposed definition differs from the
definition of ``appliance'' under section 608 of the CAA. Sections 601
and 608 of the CAA specified that an appliance ``is used for household
or commercial purposes,'' and that phrase also appears in the
definition of ``appliance'' in 40 CFR 82.152. The AIM Act has no
analogous provision. Accordingly, EPA is not proposing to include that
phrase in defining ``refrigerant-containing appliance'' for purposes of
implementing subsection (h). In keeping with the application of Title
VI of the CAA (e.g., under sections 608 and 612), EPA is defining a
``refrigerant-containing appliance'' to consist of an independent
circuit. The independent circuit provides the desired cooling or
heating effect, typically consisting of a compressor, condenser,
evaporator, and metering device in an enclosed refrigerant loop. EPA
notes that a given piece of equipment could contain multiple
independent circuits and thus be considered as multiple, separate
``refrigerant-containing appliances.'' For instance, some food retail
cases have been made with multiple independent circuits, each one
containing the maximum 150-gram charge limit of propane, thus allowing
a single case to address a higher refrigeration load. Also, some
household refrigerator-freezers have been produced with two independent
circuits, one handling the refrigerator and another the freezer.
Refrigerant-containing equipment means equipment as defined in this
subpart that contains, uses, or is otherwise connected or associated
with a regulated substance or substitute for a regulated substance that
is used as a refrigerant. This definition includes refrigerant-
containing components, refrigerant-containing appliances, and MVAC-like
appliances. This term does not include mission-critical military end
uses and systems used in deployable and expeditionary situations. This
term also does not include space vehicles as defined in 40 CFR 84.3.
EPA is proposing to explicitly state that the definition of
``refrigerant-containing equipment'' under subsection (h) does not
include mission-critical military end uses and systems used in
deployable and expeditionary applications, as well as space vehicles.
This proposed exclusion is based on EPA's understanding that there are
situations in which the unique design and use of mission-critical
military end uses and systems used in deployable and expeditionary
situations and space vehicles make it impossible to recover refrigerant
during the service, repair, disposal, or installation of the equipment.
Likewise, requiring adherence to the leak repair and other
[[Page 72233]]
proposed provisions for refrigerant-containing equipment in this
proposal in an active military zone of engagement, including systems
used in deployable and expeditionary situations, could lessen the
military effectiveness of the equipment. Likewise, requiring leak
repair and other provisions in this proposal for such equipment in
space vehicles could lessen their effectiveness.
Repackager means an entity who transfers regulated substances,
either alone or in a blend, from one container to another container
prior to sale or distribution or offer for sale or distribution. An
entity that services system cylinders for use in fire suppression
equipment and returns the same regulated substances to the same system
cylinder it was recovered from after the system cylinder is serviced is
not a repackager.
Repair, for purposes of this subpart and as it relates to a
particular leak in a refrigerant-containing appliance, means making
adjustments or other alterations to that refrigerant-containing
appliance that have the effect of stopping leakage of refrigerant from
that particular leak.
Reprocess means using procedures, such as filtering, drying,
distillation and other chemical procedures to remove impurities from a
regulated substance or a substitute for a regulated substance.
Retrofit, as it relates to a refrigerant-containing appliance,
means to convert an appliance from one refrigerant to another
refrigerant. Retrofitting includes the conversion of the appliance to
achieve system compatibility with the new refrigerant and may include,
but is not limited to, changes in lubricants, gaskets, filters, driers,
valves, o-rings or appliance components. Retrofits required under this
subpart shall be done to a refrigerant with a lower global warming
potential. EPA is proposing this definition as similar to the parallel
definition in 40 CFR 82.152, with an additional provision requiring
that retrofits performed for compliance with this rulemaking must
involve switching to a lower GWP refrigerant. EPA is proposing to
include this provision as part of this definition for the purposes of
this action so that if an owner or operator chooses to retrofit a
refrigerant-containing appliance in lieu of repairing a leak, the
retrofit must use a refrigerant that is a lower GWP in the original
equipment. One implication of including this provision would be that if
there are cases in which switching to a lower GWP refrigerant is not an
option (e.g., for reasons such as safety considerations or a
refrigerant with a lower GWP is not suitable for use in a particular
refrigerant-containing appliance), a retrofit would not be available as
a compliance option for the particular refrigerant-containing
appliance. Additional detail on the requirements of performing a
retrofit and developing a retrofit plan can be found in section
IV.C.3.f. of this preamble.
Stationary refrigerant-containing equipment means refrigerant-
containing equipment, as defined in this subpart, that is not a motor
vehicle air conditioner or MVAC-like appliance, as defined in this
subpart.
Substitute for a regulated substance means a substance that can be
used in equipment in the same or similar applications as a regulated
substance, to serve the same or a similar purpose, including but not
limited to a substance used as a refrigerant in a refrigerant-
containing appliance or as a fire suppressant in fire suppression
equipment, provided that the substance is not a regulated substance or
an ozone-depleting substance.
EPA is proposing for the purposes of this action to define a
substitute for a regulated substance to make clear that substitutes in
this rulemaking would not include regulated substances or ozone-
depleting substances. Examples of a substitute for a regulated
substance include but are not limited to HFOs, hydrocarbons (e.g.,
propane, isobutane), ammonia (NH4), and CO2. A
substitute for a regulated substance may be used neat or in a blend.
Subsection (h) includes authority for EPA to develop regulations
involving regulated substances and substitutes for regulated
substances. Specifically, subsection (h)(1) expressly provides that EPA
is to promulgate certain regulations involving a regulated substance, a
substitute for a regulated substance, the reclaiming of a regulated
substance as a refrigerant, or the reclaiming of a substitute for a
regulated substance as a refrigerant. EPA acknowledges that this
definition of ``substitute for a regulated substance'' differs from the
definition of the similar term, ``substitute'' \42\ in the proposed
Technology Transitions Rule (87 FR 76738, December 15, 2022). EPA is
proposing this definition for purposes of implementing subsection (h),
because specifying that substitutes for a regulated substance are only
those substances that do not contain HFCs will draw a distinction that
is helpful for certain provisions in this proposal, as EPA is proposing
to control certain practices, processes, or activities as they relate
to regulated substances differently from compared to how they relate to
substitutes for regulated substances. As EPA has noted in the Executive
Summary at section I.A., the terms ``HFC'' and ``regulated substance''
are used interchangeably in this preamble. Similarly, throughout this
preamble, EPA notes that the term ``substitute for an HFC'' may be used
interchangeably with ``substitute for a regulated substance'' in this
preamble.
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\42\ The proposed definition for substitute in the proposed
Technology Transitions rule is: ``any substance, product, or
alternative manufacturing process, whether existing or new, that is
used, or intended for use, in a sector or subsector with a lower
global warming potential than the regulated substance, whether neat
or used in a blend, to which a use restriction would apply.'' (See
87 FR 76738, 76754, December 15, 2022). EPA further notes that it
has not made final decisions for the Technology Transitions rule.
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Virgin regulated substance means any regulated substance that has
not had any bona fide use in equipment except for those regulated
substances contained in the heel or the residue of a container that has
bona fide use in the servicing, repair, or installation of equipment.
EPA is proposing to add this definition of ``virgin regulated
substance'' to make it clear that introduction of a regulated substance
to equipment, such as a refrigerant-containing appliance or fire
suppression equipment, solely to convert the regulated substance to
``used'' regulated substance in order to circumvent the intended
requirements of this proposal is not permissible. This scenario, where
regulated substance is charged to equipment, such as a refrigerant-
containing appliance or fire suppression equipment, and recovered
without any bona fide use, was brought to EPA's attention by
stakeholders including during public stakeholder meetings as the agency
developed this proposal.\43\ A regulated substance that has had no bona
fide use in equipment would be considered a virgin regulated substance
unless it was from the heel or residue of a container that did have a
bona fide use in the servicing, repair, or installation of equipment.
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\43\ EPA held stakeholder meetings for public input on November
9, 2022 and March 16, 2023 as well as solicited feedback through a
webinar for the EPA GreenChill Partnership program on April 12,
2023.
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B. Which sectors and subsectors is EPA considering addressing under
subsection (h)?
Subsection (h) of the AIM Act provides EPA authority to promulgate
regulations to control, where appropriate, any practice, process, or
activity related to the servicing, repair, disposal, or installation of
equipment that involves HFCs or their substitutes, or the reclaiming of
HFCs or their substitutes used as refrigerants. EPA
[[Page 72234]]
interprets this provision to include authority to regulate, as
appropriate, practices, processes, or activities related to any sector,
subsector, or application where a regulated substance or a substitute
for a regulated substance is used in equipment. Regulated substances
and their substitutes are typically used in the RACHP sector as a
refrigerant in a vapor compression cycle to cool and/or dehumidify a
substance or space, like a refrigerator cabinet, room, office building,
or warehouse. Regulated substances and/or their substitutes may also be
used in other sectors, subsectors, or applications, such as aerosols,
fire suppression, solvent cleaning, foam blowing, and others. However,
as noted in section II.B. of this proposal, subsection (h)(4) expressly
provides that any rulemaking under subsection (h) shall not apply to a
regulated substance or a substitute for a regulated substance that is
contained in a foam. Thus, EPA is not proposing any requirements for
regulated substances or their substitutes when they are contained in
foams in this proposal. Accordingly, EPA interprets its authority under
subsection (h) to include promulgating regulations that control the
types of practices, processes, or activities identified in subsection
(h)(1) in any of those sectors, subsectors, or applications, with the
limitation that we do not interpret our regulatory authority under
subsection (h) to extend to HFCs or substitutes for HFCs when they are
contained in foams.
EPA is proposing requirements for equipment in certain sectors or
subsectors as described in sections IV.C.-F. of this preamble. While
EPA interprets subsection (h) to provide authority that could be
applied to practices, processes, or activities related to equipment
across a broad range of sectors, subsectors, or applications that
involve regulated substances and/or their substitutes, at this time EPA
is focusing on certain sectors and subsectors in the requirements
proposed in the rulemaking. In future rulemakings, EPA may consider
establishing requirements for equipment in other sectors, subsectors,
or applications that involve regulated substances and/or their
substitutes. The relevant sections of this preamble describe the
requirements that EPA is proposing for equipment in certain sectors and
subsectors and how EPA understands these sectors and subsectors as
relevant for these proposed requirements.
Where EPA is proposing requirements for certain sectors or
subsectors, we intend to be consistent with how those sectors or
subsectors are understood under other provisions of the AIM Act and/or
CAA Title VI that address the same sector or subsector, such as
subsection (i) of the AIM Act, through the Technology Transitions
program. EPA issued a proposed Technology Transition rulemaking on
December 15, 2022 (87 FR 76738) which provides additional detail on
many of the same sectors and subsectors for which we are proposing
certain requirements under subsection (h). Although EPA has not yet
made final decisions regarding those sectors or subsectors under
subsection (i) of the AIM Act, we also anticipate considering how those
sectors or subsectors are addressed in the final Technology Transitions
rulemaking in developing this rulemaking under subsection (h) of the
AIM Act.
EPA is proposing certain provisions, as described later in this
preamble, for certain equipment in applicable subsectors within the
RACHP sector in this action. Such subsectors within the RACHP sector
include: residential and light commercial air conditioning and heat
pumps; cold storage warehouses; IPR; stand-alone retail food
refrigeration; supermarket systems; refrigerated transport; and
automatic commercial ice makers. EPA is also proposing certain
provisions for equipment in the fire suppression sector, as described
later in this preamble. Not all provisions proposed in this rulemaking
would apply to each of the sectors and subsectors identified here. For
example, EPA is proposing certain requirements for the use of reclaimed
HFCs in residential and light commercial AC and heat pumps. However,
EPA is proposing to exempt residential and light commercial AC and heat
pump equipment in the universe of refrigerant-containing appliances
subject to proposed leak repair requirements. Additional detail can be
found in section IV.C.2. of this preamble.
EPA is requesting comment on all aspects of this proposed rule.
Where EPA is proposing requirements for equipment in certain sectors
and subsectors, EPA is providing additional detail noting specific
areas for which we are seeking comment.
C. How is EPA proposing to address leak repair?
1. Background
As noted above, subsection (h) of the AIM Act includes provisions
focused on the management of regulated substances. Specifically,
subsection (h)(1) directs EPA, for ``purposes of maximizing reclaiming
and minimizing the release of a regulated substance from equipment and
ensuring the safety of technicians and consumers,'' to ``promulgate
regulations to control, where appropriate, any practice, process, or
activity regarding the servicing, repair, disposal, or installation of
equipment (including requiring, where appropriate, that any such
servicing, repair, disposal, or installation be performed by a trained
technician meeting minimum standards, as determined by the
Administrator) that involves'': ``a regulated substance''; ``a
substitute for a regulated substance''; ``the reclaiming of a regulated
substance used as a refrigerant''; or ``the reclaiming of a substitute
for a regulated substance used as a refrigerant.''
Among other things, EPA interprets its regulatory authority under
subsection (h)(1) to include authority to establish requirements
related to the detection, prevention, and repair of leaks for equipment
containing HFCs or substitutes for HFCs (whether the equipment uses the
HFC or substitute for an HFC neat or in a blend with other substances).
EPA understands the statutory phrase ``regulations to control . . . any
practice, process, or activity'' as including authority for rules
governing both the manner in which a practice, process, or activity
occurs (e.g., standards that must be met, timing of the process or
activity, etc.), as well as rules requiring that a practice, process,
or activity be undertaken. Regulations establishing requirements for
leak prevention, detection, and repair would control practices,
processes, and activities regarding the servicing, repair, disposal, or
installation of equipment. For example, detecting and fixing leaks in
equipment would be considered an activity regarding the servicing or
repair of equipment. Similarly, leak prevention and/or inspection and
repair practices, processes, or activities would be conducted regarding
the servicing and/or repair of equipment.
The requirements proposed in this rulemaking also relate to the
statutory purposes identified in subsection (h)(1). Requirements
related to the detection, inspection, repair, and prevention of leaks
for equipment containing HFCs (whether used neat or in a blend) or
their substitutes would serve the statutory purpose of minimizing the
release of regulated substances from equipment. For example, leak
detection, inspection, and repair requirements help minimize such
releases because the sooner a leak is found and repaired, the less HFC
will be released. Further, leak prevention requirements would minimize
HFC releases by avoiding potential leaks in the first place.
Additionally, regulations establishing
[[Page 72235]]
requirements for leak prevention, detection, and repair would also
further the statutory purpose of maximizing the reclamation of
regulated substances by reducing the amount of HFC released from
equipment and thus increasing the amount of HFC that is available to be
recovered and reclaimed. Any regulated substance used in equipment that
is released through leaks and escapes to the atmosphere reduces the
amount of HFC remaining in the equipment that could otherwise be
recovered and reclaimed for further use.
Further, as the phasedown of the production and consumption of HFCs
as required by the AIM Act progresses, reclaimed HFCs will play a key
role in the amount of available HFCs for equipment that will continue
to use HFCs (e.g., for servicing). Reclaimed HFCs will also be
important in avoiding potential economic disruption that could be
associated with the scarcity of virgin HFCs as well as avoid stranding
existing equipment that will need to be serviced using HFCs. Generally,
overall refrigerant management in appliances helps to maintain the
health of the appliances. This can be crucial for refrigerant-
containing appliances in the RACHP subsectors that are relevant to
handling food products, such as supermarket systems, refrigerated
transport, and other food retail subsectors where the intended function
is to ensure food products are maintained at appropriate temperatures
to avoid spoilage and food waste. In 2021, 344,000 tons of food were
lost in the United States due to equipment issues in the retail and
food service subsectors.\44\ Successful repair of leaks and avoiding
leaks are a few ways to help ensure that these appliances are operating
efficiently and as intended and can help to avoid unnecessary food
waste.
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\44\ ReFED, Insights Engine Food Waste Monitor, May 2023,
available at: https://insights-engine.refed.org/food-waste-monitor?view=overview&year=2021.
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In considering requirements related to leak prevention, detection,
and repair under subsection (h) of the AIM Act, EPA further notes that
subsection (h)(3) expressly provides that EPA may coordinate
regulations promulgated to carry out subsection (h) with any other
regulations promulgated by EPA that involve the same or a similar
practice, process, or activity regarding the servicing, repair,
disposal, or installation of equipment, or reclaiming. Accordingly, the
Agency considered various potential approaches to coordinating the
proposed regulations under subsection (h) related to leak prevention,
detection, and repair with regulations previously promulgated under CAA
section 608, given they relate to the same or similar practices,
processes, or activities for refrigerant-containing appliances
containing ODS. In particular, during the development of this NPRM, EPA
considered the requirements at 40 CFR 82.157.
As noted in the background section of this preamble at section
III.C.1., all provisions in 40 CFR part 82, subpart F except leak
repair currently apply to appliances containing ODS substitutes
including regulated HFCs used neatly or in blends. EPA is not proposing
any requirements duplicative of those in this action. However, EPA is
proposing to establish leak repair requirements for refrigerant-
containing appliances using HFCs and/or substitutes for HFCs.
As described in the definitions section of this proposal at section
IV.A.3., EPA is proposing to define ``equipment'' as including
appliances. In the context of subsection (h), EPA considers that
appliances would be a subset within the broader category of equipment.
EPA has also proposed to define ``refrigerant-containing appliance'' in
section IV.A.3. In this action, the Agency generally refers to the
proposed leak repair requirements as applying to refrigerant-containing
appliances. In the context of the proposed leak repair requirements,
appliances are considered types of equipment that are used in
subsectors within the RACHP sector. EPA is proposing leak repair
provisions for certain refrigerant-containing appliances with a
refrigerant that contains HFCs or certain substitutes for HFCs (whether
the equipment uses the HFC or certain substitutes for an HFC neat or in
a blend with other substances) under subsection (h) of the AIM Act. If
finalized, these regulations would be codified at 40 CFR part 84.106.
2. Scope of the Proposed Leak Repair Requirements
EPA is proposing leak repair requirements for certain refrigerant-
containing appliances containing HFC (whether used neat or in a blend)
or certain HFC substitute refrigerants under subsection (h) of the AIM
Act. These requirements are being proposed as part of implementing
subsection (h)(1) of the AIM Act, as these provisions would control
practices, processes, or activities regarding servicing or repair of
appliances, which are a type of equipment, and would involve a
regulated substance or a substitute for a regulated substance. The
requirements proposed are similar to leak repair provisions for
appliances containing an ODS refrigerant found at 40 CFR 82.157,\45\
but are not identical. In particular, EPA is proposing to apply the
leak repair requirements under subsection (h) of the AIM Act to
appliances containing HFCs or certain substitutes for HFCs with lower
charge sizes. Where EPA is proposing to require the same or similar
practice, process or activity for applicable appliances containing HFC
or substitutes for HFCs as is required under 40 CFR 82.157 for
appliances containing an ODS refrigerant, EPA is proposing to adopt
regulatory text under 40 CFR part 84, where appropriate, that is
consistent with the parallel provision in 40 CFR 82.157. Where the
proposed requirements are different, the regulatory text will differ.
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\45\ In this proposed rulemaking, EPA is not reopening the leak
repair requirements at 40 CFR 82.157 or proposing any changes to
them.
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a. Appliances containing which refrigerants would be subject to the
proposed leak repair requirements?
EPA is proposing to include HFCs (including blends that contain
HFCs) and certain substitutes for HFCs under the provisions related to
leak repair under subsection (h) of the AIM Act. As noted previously,
HFCs are potent GHGs with GWPs that can be hundreds to thousands of
times more potent than CO2. As noted in the background
section of this preamble (section III.A), global HFC use and emissions
have been increasing since the ODS phaseout and their increasing use in
RACHP equipment.\46\ Provisions related to leak repair for equipment
that use HFCs and their substitutes are critical to mitigating
emissions of HFCs and meeting the purpose stated in subsection (h)(1)
of the AIM Act to minimize releases of regulated substances from
equipment. As mentioned, the AIM Act includes a list of 18 HFCs as
regulated substances and provides authority for the Administrator to
add additional HFCs if certain criteria are met, including that the GWP
of the substance is above 53.\47\ Certain substitutes for HFCs have
GWPs that are below that of the lowest GWP of a substance that EPA
could list as a regulated substance under subsection (c)(3)(A)(i)(II)
of the AIM Act (i.e., a GWP of greater than 53). EPA is proposing to
apply the leak repair requirements to refrigerant-containing appliances
containing an HFC
[[Page 72236]]
refrigerant or a substitute for HFC refrigerants that have a GWP above
53 (whether the HFC or substitute for an HFC is used neat or in a
blend). EPA is proposing this cutoff for the leak repair provisions;
however, other provisions in this proposal would apply to any
substitute for an HFC without any GWP threshold, unless otherwise
specified.
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\46\ WMO, 2022.
\47\ Subsection (c)(3)(A) provides the criteria by which the
Administrator may designate a substance not included in the list of
regulated substances in subsection (c)(1); these criteria include
that the substance must be a chemical substance that is a saturated
hydrofluorocarbon and have an exchange value (i.e., GWP) greater
than 53.
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In subsection (h) of the AIM Act, Congress directed EPA to control,
where appropriate, any practice, process, or activity regarding the
servicing, repair, disposal, or installation of equipment involving
HFCs or their substitutes. EPA is proposing that for the leak repair
provisions under subsection (h), it is appropriate at this time to only
address substitutes for HFCs (whether used neat or in a blend) with
GWPs that are greater than the cutoff Congress provided for listing new
regulated substances (i.e., a GWP of 53). The agency notes that
currently the vast majority of HFC refrigerants and refrigerant blends
containing HFCs in equipment have much higher GWPs, often 20 to 50, or
even more than 75 times as high as this cutoff. EPA acknowledges that
over time the refrigerant market is likely to shift, and that this
proposal is based on the current and near-term anticipated market for
equipment that contains HFCs and substitutes for HFCs. Thus, we view it
as appropriate to focus the proposed leak repair requirements on HFCs
and substitutes for HFCs with GWPs above 53 in this rulemaking, whether
the HFC or substitute is used neat or in a refrigerant blend. We
further note that EPA may in a future rulemaking consider establishing
leak repair requirements for substitutes for HFCs and blends containing
substitutes for HFCs with a GWP at or below 53. For example, if EPA
becomes aware of concerns related to this limitation as the refrigerant
market shifts to lower GWP substitutes for HFCs, EPA could consider
revisiting this requirement.
To determine whether an appliance containing a substitute for a
regulated substance is required to comply with the proposed leak repair
provisions, EPA is proposing to adopt the similar process for
determining the GWP of regulated substances and/or their substitutes as
described in the proposed Technology Transitions Rule (87 FR 76738,
76750, December 15, 2022). The GWP of a regulated substance would use
the GWP as related to the exchange value listed in subsection (c) of
the AIM Act and codified as appendix A to 40 CFR part 84.\48\ For the
GWP of substitutes for regulated substances, EPA is proposing to use
IPCC's Fourth Assessment Report (AR4) 100-year GWPs wherever possible
given they are numerically the same as the exchange values in the AIM
Act and because EPA considers such an approach to be less complicated.
For hydrocarbons listed in Table 2-15 of AR4, EPA is proposing to use
the net GWP value. For substances for which no GWP is provided in AR4,
EPA is proposing to use the 100-year GWP listed in World Meteorological
Organization (WMO) 2022.\49\ For any substance not listed in either of
these sources, EPA is proposing to use the GWP of the substance in
Table A-1 to 40 CFR part 98, as it exists on a specified date, such as
the date any final rule based on this proposal is published in the
Federal Register, if such substance is specifically listed in that
table. EPA is aware of two potential substitutes for regulated
substances that might be addressed by the proposed requirements that
are not listed in these three sources, trans-dichloroethylene (HCO-
1130(E)) and HCFO-1224yd(Z) and is proposing to set these GWPs to be
five \50\ and one,\51\ respectively, for the purposes of this proposal.
For any other substance not listed in the above three source documents,
EPA is proposing that the default GWPs as shown in Table A-1 to 40 CFR
part 98, as it exists on a specified date, such as the date any final
rule based on this proposal is published in the Federal Register, shall
be used. In the event that the hierarchy outlined in this section does
not provide a GWP (i.e., the substance in question is not listed in the
three documents, is not one of the two for which EPA is proposing GWPs,
is not listed in Table A-1 to 40 CFR part 98 and does not fit within
any of the default GWPs provided in Table A-1 to 40 CFR part 98), EPA
is proposing to use a GWP of zero. In any case where a GWP value is
preceded with a less than (<), very less than (<<), greater than (>),
approximately (~), or similar symbol in the source document, which is
used to determine the GWP, EPA is proposing that the value shown shall
be used.
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\48\ EPA noted in section III.A. of this preamble that the
exchange values for the regulated HFCs listed in subsection (c) of
the AIM Act are numerically identical to the 100-year GWPs of each
substance, as given in the Errata to Table 2.14 of the IPCC's Fourth
Assessment Report (AR4) and Annexes A, C, and F of the Montreal
Protocol. Available at: https://www.ipcc.ch/site/assets/uploads/2018/05/ar4-wg1-errata.pdf.
\49\ WMO, 2022.
\50\ 81 FR 32244 (May 23, 2016).
\51\ 84 FR 64766 (November 25, 2019).
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Applying the proposed provisions related to leak repair under
subsection (h) to HFC substitutes with a GWP greater than 53, but not
those with a GWP at or below 53, would result in certain lower GWP
refrigerants (e.g., single component HFO refrigerants) that are covered
by the venting prohibition at 40 CFR 82.154(a)(1) to be excluded from
coverage under the proposed subsection (h) leak repair provisions, as
they have a GWP lower than 53. The proposed leak repair requirements
would still apply where any substitute for an HFC is a component in a
refrigerant blend that contains an HFC or another substitute for an HFC
with a GWP above 53. This would be true even if one or more of the
components of the refrigerant blend is a substitute for an HFC that is
exempted from the venting prohibition under 40 CFR 82.154(a)(1). In
describing the practical effects of our proposed approach, we are not
reopening, taking comment on, or proposing to modify any regulatory
provisions in 40 CFR part 82 in this NPRM.
In the case that a refrigerant-containing appliance uses a
refrigerant blend that contains an ODS and an HFC or a substitute for
an HFC with a GWP above 53, EPA is proposing that the owner or operator
of such appliance be required to simultaneously meet the leak repair
provisions promulgated under CAA section 608 at 40 CFR 82.157 and the
proposed provisions in this action, to the extent that they are
applicable. EPA notes that many of the provisions in this proposed
action are similar to those in 40 CFR 82.157, which should help
alleviate any concerns about duplicative requirements. However, the
provisions proposed in this NPRM (as described in the following
section) would apply to refrigerant-containing appliances with a charge
size of 15 pounds or more of a refrigerant that contains an HFC or a
substitute for an HFC with a GWP above 53. The requirements at 40 CFR
82.157 apply to appliances containing an ODS with a charge size at or
above 50 pounds. If such appliances use a refrigerant that also
contains an HFC or an HFC substitute that has a GWP above 53, they
would be required to meet the leak repair requirements proposed in this
NPRM, to ensure that the requirements applicable to the HFCs and HFC
substitutes are also met. An appliance with a charge size of 15 pounds
or greater containing a refrigerant blend that was made up of ODS and
an HFC or a substitute for an HFC with a GWP above 53 would also be
required to meet the proposed provisions in this action, as a way of
ensuring that the requirements that apply to the HFCs or certain
substitutes for HFCs contained in the equipment
[[Page 72237]]
are met. However, because these appliances would not meet the charge
size threshold under 40 CFR 82.157, those requirements would not apply
even though they contain ODS refrigerants.
EPA intends for the leak repair requirements in this proposal to be
sufficiently consistent with the requirements at 40 CFR 82.157 such
that both sets of requirements could be met for refrigerant-containing
appliances that use a refrigerant blend containing an ODS and an HFC or
a substitute for an HFC with a GWP above 53 and that have full charge
of 50 or more pounds of refrigerant. EPA requests comment on whether
there is an impediment to a refrigerant containing-appliance
simultaneously complying with both sets of requirements.
Leak repair provisions for appliances containing HFCs and certain
substitutes for HFCs as refrigerants as proposed in this document
should minimize emissions. EPA describes emission reductions in the
draft TSD titled Analysis of the Economic Impact and Benefits of the
Proposed Rule and in in section VI. of this proposal.
EPA is requesting comment on all aspects of this proposal. In
particular, EPA is seeking comment on the use of a GWP cutoff to apply
the proposed leak repair requirements to equipment containing an HFC or
a substitute for an HFC as a refrigerant, used neat or in blends. EPA
also seeks comment on using a GWP above 53 as the cutoff, including,
for example, comments on whether EPA should consider a lower GWP
cutoff.
b. Appliances with what charge size would be subject to the proposed
leak repair requirements?
EPA is proposing to apply the leak repair requirements under
subsection (h) of the AIM Act to refrigerant-containing appliances with
a charge size of 15 pounds or more of a refrigerant that contains an
HFC or a substitute for an HFC with a GWP above 53, with specific
exemptions. This is a lower threshold than the threshold for the leak
repair requirements established under CAA section 608, as the leak
repair provisions at 40 CFR 82.157 apply to appliances containing 50 or
more pounds of ODS refrigerant, a threshold that was established in
1993. EPA is aware of technological achievements that, in many cases,
have resulted in smaller charge sizes for cooling loads. For example,
microchannel heat exchangers are one such technology used to reduce
refrigerant charge size in equipment. Equipment using different
refrigerants may also have a lower charge size; for example, in air
conditioning equipment, the refrigerant charge size for HFC-32 is
approximately 10-20 percent less than that of R-410A.\52\ As another
example, EPA also understands that in certain cases, remodels or
expansions of supermarket systems can increase capacity while not
increasing the refrigerant charge size (i.e., effectively using a lower
refrigerant charge for a greater cooling capacity). Such a scenario
could be achieved by remodeling with display cases that operate at a
higher evaporator temperature to maintain product temperatures without
changing the intended purpose of the refrigeration system.\53\
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\52\ Refrigeration, Air Conditioning, and Heat Pumps Technical
Options Committee 2018 Assessment Report, Technical and Economic
Assessment Panel, UNEP, February 2019. Available at: https://ozone.unep.org/sites/default/files/2019-04/RTOC-assessment-report-2018_0.pdf.
\53\ See 80 FR 42903, July 20, 2015.
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EPA is proposing a lower threshold because applying the
requirements to more equipment is expected to reduce HFC releases from
equipment and because avoided releases of HFCs from leaks would
increase the amount of HFCs that would be available for recovery and
reclamation. The AIM Act provides a schedule for a phasedown of HFCs,
as opposed to the phaseout directed for ODS under the CAA. Therefore,
there may be the continued introduction of HFC-containing equipment
indefinitely which is a notable difference from the CAA. As described
more fully in section II.B. of this proposal, subsection (h)(1) of the
AIM Act tasks the Agency with promulgating certain regulations, where
appropriate, for certain purposes, including minimizing the release of
regulated substances from equipment and maximizing the reclamation of
regulated substances. EPA interprets the phrase ``where appropriate''
in subsection (h)(1) to provide it discretion to reasonably determine
how the regulations under subsection (h)(1) will apply, including by
making determinations about the charge size threshold of equipment that
would be subject to the leak repair requirements. Consistent with its
statutory authority, EPA is proposing to use a lower threshold than the
50-pound threshold for ODS-containing appliances under 40 CFR 82.157
for the leak repair requirements to further serve these purposes.
By proposing that the applicable charge size for appliances with a
refrigerant that contains an HFC or a substitute for an HFC with a GWP
greater than 53 to be 15 pounds or more of refrigerant, with certain
exemptions, the universe of affected appliances covered by the leak
repair requirements under subsection (h) would be expanded as compared
to the universe of appliances containing ODS refrigerants and subject
to the leak repair requirements provisions at 40 CFR 82.157. For
example, an applicable charge size of 15 pounds or more of a
refrigerant that contains an HFC or substitute refrigerant with a GWP
above 53 is expected to cover certain appliances in the following
subsectors which are typically below the 50-pound threshold under 40
CFR 82.157 and thus not subject to those provisions:
Train air conditioning;
Passenger buses (e.g., school, coach, transit, and trolley
buses); \54\
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\54\ ``Bus'' is defined at 40 CFR 1037.801 and means ``a heavy-
duty vehicle designed to carry more than 15 passengers. Buses may
include coach buses, school buses, and urban transit buses.''
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Refrigerated transport--rail;
Large retail food remote condensing units (e.g., cold
rooms in supermarkets); and
Large commercial unitary air conditioning (e.g., a system
for a mid-sized office building).
EPA is proposing a 15-pound or more refrigerant charge size for
appliances subject to the subsection (h) leak repair requirements based
in part on consideration of an analysis of equipment in applications
where HFCs or their substitutes are currently being used as a
refrigerant and where they are expected to be used in the coming years.
EPA conducted an analysis using the Vintaging Model to estimate stocks
of refrigerants used in equipment of varying charge sizes. The
Vintaging Model tracks the transition from ODS to substitutes including
HFCs by modeling the total pieces of equipment and average charge
sizes--which could vary over time based on vintage and the ODS or
substitute used--from five sectors to over 60 subsectors. Doing so
allows us to bin the pieces of equipment and total refrigerant in
equipment by charge size. A current snapshot of the model's estimates
of the installed stock of refrigerants that are HFCs and their
substitutes (excluding ODS refrigerants) in 2025 shows that
approximately 39 percent of refrigerants (on a weighted CO2e
basis) are used in appliances with a charge size above 50 pounds. An
additional 22 percent of installed stock are within appliances
containing between 15 and 50 pounds of refrigerant. In evaluating
potential sources where leak repair could be efficacious at reducing
releases of refrigerant from equipment and changes
[[Page 72238]]
in the RACHP market and aftermarket over the past few decades, EPA
finds it appropriate to propose a threshold of 15 pounds as the
applicable charge size of appliances that would need to comply with
leak repair requirements. As a general matter, EPA is proposing 15
pounds as the appropriate charge size threshold because at less than 15
pounds these appliances are significantly more likely to be
hermetically sealed and thus less prone to leak, and because appliances
with less than 15 pounds are also more likely to be replaced rather
than repaired.
EPA assessed other refrigerant charge sizes for appliances to cover
in the proposed leak provisions. EPA is considering higher alternative
thresholds for charge sizes such as 30 pounds and 50 pounds, as well as
lower alternative thresholds, such as 5 pounds. For information on the
estimated costs and emissions reductions of the various charge size
thresholds, please refer to Appendix F of the draft TSD titled Analysis
of the Economic Impact and Benefits of the Proposed Rule in the docket
for this action. As a general matter, EPA considered the statutory
purposes in subsection (h)(1) to maximize the reclaiming and minimize
the releases of regulated substances from equipment when setting the
threshold for appliances covered for the leak repair requirements.
These purposes guided EPA's considerations in exploring different
charge sizes; however, subsection (h)(1) states for EPA to consider
promulgating regulations ``as appropriate'' to meet these purposes. EPA
notes that refrigerant-containing appliances with small charge sizes
(below 15 pounds) may be hermetically sealed and less prone to leaks.
Further, in many cases, these smaller appliances (e.g., residential
appliances like window air conditioning units) are likely to be
disposed of and replaced rather than repaired when they are found to be
malfunctioning. On the other hand, EPA described earlier in this
section the rationale for proposing the lower charge size threshold of
15 pounds as compared to a higher charge size (e.g., 30 or 50 pounds).
For example, EPA notes that with technological advances in some
refrigerant-containing appliances, similar cooling capacity can be
achieved with smaller relative charge sizes. We are proposing a charge
size threshold of 15 pounds of refrigerant for covered appliances in
this action.
EPA is proposing to exempt from the leak repair requirements under
subsection (h) any refrigerant-containing appliance, including those
with a charge-size at or above 15 pounds, used for the residential and
light commercial air conditioning and heat pumps subsector.\55\ The
vast majority of appliances in the residential and light air
conditioning subsector typically have a charge size of less than 15
pounds; however, EPA is proposing exemptions in the case that an
appliance is used within this subsector with a charge size of 15 pounds
or more. These appliances are used in residences (but this subsector
does not include larger centrally-cooled apartment/condominium
buildings--where a chiller is likely used), and small retail and office
buildings. Since the majority of appliances in this subsector have a
refrigerant charge below the proposed 15-pound cutoff for leak repair
requirements, enforcement of those that are above a charge size of 15
pounds may be challenging or burdensome. It may not be immediately
obvious if a particular refrigerant-containing appliance has a charge
size of 15 pounds or greater without examining it more closely.
Further, the universe of affected appliances could grow unevenly if
appliances in this subsector were included, which could cause
compliance by owners and operators or servicing technicians to become
cumbersome. EPA's proposal to exempt appliances in this subsector from
the leak repair requirements would be administratively more efficient
and less burdensome for those that would be required to comply.
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\55\ The residential and light commercial air conditioning
subsector includes equipment for cooling air in individual rooms,
single-family homes, and small commercial buildings, including both
self-contained and split systems. Self-contained systems include
some rooftop AC units (e.g., those ducted to supply conditioned air
to multiple spaces) and many types of room ACs, including packaged
terminal air conditioners (PTACs), some rooftop AC units, window AC
units, portable room AC units, and wall-mounted self-contained ACs,
designed for use in a single room. Split systems include ducted and
non-ducted mini-splits (which might also be designed for use in a
single room), multi-splits and variable refrigerant flow (VRF)
systems, and ducted unitary splits. For additional information on
the types of equipment, see EPA's website at https://www.epa.gov/snap/substitutes-residential-and-light-commercial-air-conditioning-and-heat-pumps. EPA is not proposing to codify a regulatory
definition for residential and light commercial air conditioning and
heat pumps subsector consistent with the foregoing description, but
EPA requests comment on whether such a regulatory definition would
be beneficial in resolving any perceived ambiguities.
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The Agency is proposing to require leak repair provisions for new
and existing passenger buses,\56\ including school, coach, transit, and
trolley buses with charge-sizes at or above 15 pounds. The HD category
\57\ incorporates all motor vehicles with a gross vehicle weight rating
of 8,500 pounds or greater. Air conditioning systems used to cool
passenger compartments in these buses mainly use HFC-134a or R-
407C,\58\ and are typically manufactured as a separate unit that is
pre-charged with refrigerant and installed onto the vehicle in a
separate enclosure (e.g., roof mounted). The refrigerant charge for
these systems is also much larger than those for other MVAC systems,
typically ranging from 15 to 30 pounds. On the other hand, MVAC systems
used to cool passenger compartments in light-duty, medium-duty, HD on-
road and nonroad (off-road) vehicles are typically charged during
vehicle manufacture and the main components are connected by flexible
refrigerant lines. MVAC systems in these vehicles typically have charge
sizes ranging from one to eight pounds depending on the manufacturer
and cab size.59 60 EPA requests comments on the proposed
extension of the leak repair provisions to passenger buses. The Agency
is particularly interested in information, such as any technical
challenges, maintenance concerns, or other issues EPA should consider
regarding the repair of buses.
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\56\ ``Bus'' is defined at 40 CFR 1037.801 and means ``a heavy-
duty vehicle designed to carry more than 15 passengers. Buses may
include coach buses, school buses, and urban transit buses.''
\57\ Defined at 40 CFR 86.1803-01.
\58\ Chemours, Freon \TM\ Refrigerant for Bus and Rail Air
Conditioning; available at: https://www.freon.com/en/industries/stationary-ac-heat-pumps/public-transport-ac.
\59\ ICF, 2016. Technical Support Document for Acceptability
Listing of HFO-1234yf for Motor Vehicle Air Conditioning in Limited
Heavy-Duty Applications. Available at: https://www.regulations.gov/document/EPA-HQ-OAR-2015-0663-0007.
\60\ EPA, 2021. Basic Information about the Emission Standards
Reference Guide for On-road and Nonroad Vehicles and Engines.
Available at https://www.epa.gov/emission-standards-reference-guide/basic-information-about-emission-standards-reference-guide-road.
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EPA is proposing to stagger the proposed compliance dates.
Appliances containing 50 pounds or more of a refrigerant containing an
HFC or a substitute for an HFC with a GWP above 53 would be required to
comply with the provisions on the effective date for the final rule.
Because these proposed requirements are similar to those that have been
in place for ODS-containing appliances at or above a full charge size
of 50 pounds for some time, EPA is proposing to conclude that this is
sufficient time for regulated entities to come into compliance.
Further, prior to the rescission in 2020 (85 FR 14150, March 11, 2020),
the final rulemaking under CAA section 608 in 2016 (81 FR 82272,
November 18, 2016) applied leak repair provisions for HFC-containing
appliances with a charge size of 50 pounds or greater. The 2016 CAA
[[Page 72239]]
section 608 Rule became effective on January 1, 2017, and the relevant
leak repair requirements for HFCs and other ODS substitutes (now
rescinded) applied as of January 1, 2019 (81 FR 82272, 82356, November
18, 2016). The 2020 CAA section 608 Rule took effect on April 10, 2020
(85 FR 14150, March 11, 2020). Thus, for over three years industry was
aware of these requirements and affected entities should have been
complying for more than one year before the requirements in the 2016
CAA section 608 Rule were rescinded. While entities that were no longer
subject to the leak repair requirements after rescission may have
chosen to no longer comply with those requirements after the rescission
took effect, those entities that were subject to the regulatory
requirements per the 2016 CAA section 608 Rule prior to rescission
would, at a minimum, be familiar with these requirements.
For appliances with a full charge that is less than 50 pounds of
refrigerant, the Agency did not previously require leak repair and thus
we are proposing additional time. EPA is proposing one year after the
publication date of the final rule for appliances with a charge size
between 15 to 50 pounds of a refrigerant containing an HFC or a
substitute for an HFC with a GWP above 53 to allow the affected
regulated community time to familiarize themselves with the
requirements and make preparations to comply with them. For example, it
is expected that owners and operators of affected appliances with
between 15 and 50 pounds of a refrigerant containing an HFC or a
substitute for an HFC with a GWP above 53 may need time to learn about
the updated requirements; determine full charges of their appliances;
and update systems, standard operating procedures, and training
materials to best implement the requirements. Appliances with a full
charge of between 15 and 50 pounds of a refrigerant containing an HFC
or a substitute for an HFC with a GWP above 53 that are not exempted
would be expected to comply as of one year after the date of
publication for the final rule in the Federal Register. EPA understands
that some appliance owners or operators with equipment with a charge
size between 15 and 50 pounds of a refrigerant containing an HFC or a
substitute for an HFC may have already been repairing leaks.
Refrigerant-containing appliance owners or operators may choose to
repair leaks when not required, for example as a way to avoid costs
associated with continually adding refrigerant to systems or to avoid
any disruption in normal operations. However, given there was no leak
repair requirement for this equipment, EPA is unaware whether this is
true in all or even the majority of cases. Further, where unrequired
leak repair may have been occurring, it is not clear whether the
repairs were sufficient to ensure equipment was leaking below the
applicable leak rates (as established under 40 CFR 82.157) or whether
the repairs were verified and records of the repair event were kept.
Accordingly, these owners and operators may also need time to
understand the proposed requirements and develop practices and
processes for compliance.
EPA is seeking comment on all aspects of this proposal. In
particular, the Agency is seeking comment on the proposed charge size
cutoff of 15 pounds of refrigerant for equipment that contain HFCs or
certain substitutes for HFCs. As noted previously, EPA is also
considering using different charge sizes as a threshold for the
proposed leak repair requirements for applicable refrigerant-containing
appliances, including those that are lower (e.g., 5 pounds) or higher
(e.g., 30 pounds). While EPA is proposing 15 pounds as the charge size
cutoff for the leak repair provisions, EPA continues to consider the
option of using a different charge size cutoff, such as 5 pounds, 30
pounds, or 50 pounds, and seeks comment on these considerations.
Further, EPA also seeks comment on its proposal to exempt refrigerant-
containing appliances in the residential and light commercial air
conditioning and heat pumps subsector from the leak repair
requirements. Specifically, EPA is seeking whether the scope of this
exemption is appropriate and if EPA should consider exempting
refrigerant-containing appliances in other subsectors from the proposed
leak repair requirements. While EPA is proposing that refrigerant-
containing appliances with a full charge between 15 and 50 pounds
subject to the leak repair requirements under 40 CFR part 84 would have
a compliance date of one year after the date of publication for the
final rule in the Federal Register, the Agency is considering
alternative compliance dates including January 1, 2025, or 18 months
from the date of publication of the final rule. EPA is seeking comment
on the proposed compliance dates for the proposed leak repair
requirements, and in particular, allowing additional time for
appliances with a refrigerant charge size of between 15 and 50 pounds.
In particular, EPA seeks information about activities (besides rule
familiarization and applicability determinations) that owners or
operators of refrigerant-containing appliances with a refrigerant
charge size of between 15 and 50 pounds perceive that they would need
to engage in prior to the effective date of the rule, the length of
time the commenter estimates the activity would take, and any available
information that would substantiate that estimate. For example, EPA
seeks comment on whether they would need to modify or initiate a
contractual relationship with a servicing technician firm, the length
of time that would take, and information to substantiate that estimate
if available.
3. What leak repair provisions is EPA proposing?
EPA is proposing leak repair requirements under subsection (h) to
achieve the purposes of minimizing releases and maximizing the
reclamation of regulated substances by controlling practices,
processes, and activities related to the servicing, repair, or disposal
of equipment that contains regulated substances and/or their
substitutes (whether the regulated substance or the substitute is used
neat or in blends). These requirements are being proposed as part of
implementing subsection (h)(1) of the AIM Act, as these provisions
would control practices, processes, or activities regarding servicing
or repair of appliances, which are a type of equipment, and would
involve a regulated substance or a substitute for a regulated
substance.
As described in section IV.C.2.a. and b., these leak repair
requirements would apply to refrigerant-containing appliances with a
charge size of 15 pounds or more where the refrigerant contains an HFC
or a substitute for an HFC with a GWP greater than 53. As noted in
section II.B., subsection (h)(3) provides that EPA may coordinate
regulations under this authority with other regulations promulgated by
the Agency that involve: ``the same or a similar practice, process, or
activity regarding the servicing, repair, disposal, or installation of
equipment; or . . . reclaiming.''
EPA reviewed the regulations promulgated under CAA section 608
addressing the same or similar practice, processes or activities as
addressed in this proposal to consider the extent appropriate to
coordinate requirements in those regulations with those proposed in
this action. Specifically, EPA reviewed the leak repair requirements at
40 CFR 82.157, which do not apply to appliances containing HFCs or
their substitutes. The leak repair provisions under CAA section
[[Page 72240]]
608 contain requirements for practices, processes, and activities
related to identifying and repairing leaks in appliances that contain
ODS. These practices, processes, and activities are applicable to
appliances containing HFCs as, in many cases, the same types of
appliances (e.g., chillers, rooftop air conditioning units, supermarket
systems, etc.) are used since HFCs are a substitute for ODS. EPA is not
proposing new requirements in this action where the provisions in 40
CFR part 82, subpart F already apply to appliances containing HFCs and
certain substitutes. EPA notes that there are existing recordkeeping
requirements 40 CFR 82.156(a)(3) for technicians evacuating refrigerant
from appliances with a full charge of more than 5 and less than 50
pounds of refrigerant for purposes of disposal of that appliance. EPA
is not reopening any of the provisions in 40 CFR part 82 in this
action, and thus, the Agency is not proposing any changes to the
referenced recordkeeping requirements. Further, the Agency does not
view these recordkeeping requirements as being in conflict with the
proposed leak repair requirements nor does the Agency view them as
redundant. EPA notes that the bulk of the appliances covered by the
recordkeeping requirements at 40 CFR 82.156(a)(3) are residential air
conditioning appliances, which would be exempt from the proposed leak
repair provisions in this proposed action. These records are used to
assess technicians' compliance with the disposal requirements for 5 to
50 pound appliances under 40 CFR part 82 subpart F and are not related
to the owner/operator's compliance with the leak repair requirements.
As described in greater detail in the following sections, the
proposed leak repair provisions would require action if an appliance
has been found to be leaking above the applicable leak rate threshold.
The proposed leak repair provisions would generally not necessitate any
specific action for appliances that are not leaking above the
applicable leak-rate threshold, although the leak rate calculations and
certain recordkeeping requirements would apply to appliances that are
not leaking above the threshold. While EPA is proposing to adopt the
same applicable leak rates for the leak repair requirements under
subsection (h) as applies under 40 CFR 82.157, as described in section
IV.C.3.b. of this preamble, EPA is proposing requirements for
identifying and potentially repairing leaks sooner (see section IV.C.4.
of this preamble for proposed requirements for ALD systems).
a. Leak Rate Calculations
EPA is proposing to adopt requirements for leak rate calculations
as part of the proposed leak repair requirements under subsection (h).
Under these proposed requirements, refrigerant-containing appliances
with a charge size of 15 pounds or more of a refrigerant that contains
an HFC or a substitute for and HFC with a GWP above 53 would require a
leak rate calculation, if the appliance is found to be leaking.
Accordingly, under subsection (h), EPA is proposing to require that the
leak rate of covered appliances be calculated every time refrigerant is
added to an appliance, unless the addition is made immediately
following a retrofit, installation of a new appliance, or qualifies as
a seasonal variance, as described in this and subsequent sections.
In this action, EPA is not proposing to require the repair of all
leaks, but rather to require repair of leaks such that the appliance is
below the applicable leak rate threshold. Thus, calculation of the leak
rate is necessary to determine where further action (i.e., repair) is
required, since owners or operators may not be able to determine
compliance without calculating the leak rate each time refrigerant is
added to the appliance. For example, if an appliance owner adds
refrigerant to the appliance but does not calculate the leak rate, the
owner would have no means of determining if the appliance's leak rate
was below the applicable leak rate threshold. Hence, the owner would
not know if further action was warranted. The leak rate calculation is
an important step for owners and operators to determine if a leak must
be repaired and to the applicable leak rate threshold to which it would
need to be repaired (as discussed in section IV.C.3.b). EPA considers
that the leak rate calculation provisions under 40 CFR 82.157(b) are
appropriate for the refrigerant-containing appliances proposed in this
action and is proposing to establish analogous requirements for
equipment covered under the subsection (h) leak repair provisions.
EPA is proposing two methods for calculating the leak rate for an
applicable appliance under subsection (h) in this action: the
annualizing method and the rolling average method. These leak rate
calculation methods are described in section IV.A.1. This approach of
providing two different methods for calculating the leak rate, as well
as the specific leak rate calculation methods proposed, are the same as
those described and provided in 40 CFR part 82, subpart F. EPA is
proposing that these two methods could be used similarly to how they
can be used under subpart F. Based on EPA's experience under subpart F,
there are advantages in the flexibility provided by having two
different methods. The strength of the annualizing method is that it is
future oriented and allows the owner or operator to ``close out'' each
leak event so long as the requirements are followed and does not lump
past leak events with the current leak event. It considers the amount
of time since the last refrigerant addition and then scales that up to
provide a leak rate that projects the amount of refrigerant lost over a
whole year if the leak is not fixed. As a result, this formula will
yield a higher leak rate for smaller leaks if the amount of time since
the last repair was shorter. This approach can contribute to minimizing
the releases of HFCs or their substitutes by requiring more thorough
leak inspections and verified repairs sooner. The rolling average
method also has its strengths. It accounts for all refrigerant
additions over the past 365 days or since the last successful follow-up
verification test showing that all identified leaks were successfully
repaired (if less than 365 days). If an owner or operator verifies all
identified leaks are repaired, this method would also allow an owner or
operator to ``close out'' a leak event. If there is no follow-up
verification test showing that all identified leaks were successfully
repaired within the last year, the leak rate would be based completely
on actual leaks in the past year. This retrospective approach measures
actual performance and if leaks are identified and fixed quickly, an
appliance may never reach the applicable leak rate, thus limiting and
minimizing the releases of HFCs or their substitutes from leaks.
In the 2016 CAA section 608 Rule (81 FR 82272, November 18, 2016),
EPA finalized that the same leak rate calculation must be used for all
appliances at the same facility for appliances subject to the CAA leak
repair provisions. EPA is proposing to similarly require that the same
method of leak rate calculation be used for all refrigerant-containing
appliances at the same facility for appliances subject to the proposed
leak repair provisions in this action. This aspect of the proposal
helps ensure that the requirements are followed consistently at a
facility. As noted above, having the option to choose between one of
two methodologies to calculate the leak rate
[[Page 72241]]
provides flexibility to the owners and operators of affected
refrigerant-containing appliances. However, once a method is chosen, it
is necessary for the owner or operator to continue using the same
methodologies so leak rates are consistently calculated for the
appliances. The two methods use two different paradigms to determine
leak rate--one is forward-looking/predictive, while the other is
looking back/retrospective. If an owner or operator were to switch
between methods, they would not get an accurate calculation (because
the time frame being evaluated would be different in each method).
In either methodology of calculating the leak rate, EPA is
proposing that when calculating the leak rate, any purged refrigerant
that is destroyed would not be counted towards the leak rate. To
qualify for this exemption, the purged refrigerant would be required to
be destroyed at a verifiable destruction efficiency of 98 percent or
greater.
EPA is seeking comment on all aspects of its proposal related to
leak rate calculations under subsection (h). EPA is particularly
requesting comment on if there are any alternative leak rate
calculations that could be conducted to identify whether a system is
leaking above the applicable trigger leak rate. EPA is also requesting
comment on calculating the amount of refrigerant lost, without having
to add refrigerant, as a means of calculating the leak rate. For
example, an owner or operator could evacuate all of the refrigerant
from an appliance, weigh it, and compare it to the full charge of the
appliance. Alternatively, EPA is aware that certain types of ALD
systems can infer the amount of refrigerant that has leaked from an
appliance based on operating characteristics (more detail in section
IV.C.4. of this preamble) and EPA is seeking comment on the feasibility
and technical accuracy of using the amount of refrigerant that such a
system identifies as having been lost from the appliance in the leak
rate calculation, as a means of identifying the leak rate.
b. Requirement To Repair Leaks, Timing and Applicable Leak Rates
EPA is proposing to establish a number of requirements related to
the repair of leaks under subsection (h) related to determining when a
leak needs to be repaired, the extent of the repair required, and the
timing of such repairs. EPA is proposing to establish timing
requirements for the repair of leaks in refrigerant-containing
appliances with a charge size of 15 pounds or more with a refrigerant
that contains an HFC or a substitute for an HFC with a GWP above 53.
Under this proposal, owners or operators would be required to identify
and repair leaks within 30 days (or 120 days if an industrial process
shutdown is required) of when refrigerant is added to an appliance that
has exceeded the applicable leak rate. These proposed timing
requirements are consistent with those requirements found at 40 CFR
82.157(d) to repair leaks for ODS-containing equipment. Repairing leaks
in a timely manner helps serve the purposes identified in subsection
(h)(1). For example, timely repair is critical to reducing the
emissions of refrigerants from leaking appliances, and thus to
minimizing releases of HFCs from equipment. In addition, by repairing
leaks in a timely manner, additional HFC refrigerant will be
subsequently available for reclamation, which supports maximizing
reclaiming of HFCs. Also, equipment that is in good repair, is better
able to operate in an efficient manner.
In some unforeseen circumstances, repair of leaks may require
additional time beyond that of the proposed timeframe. EPA is proposing
that extensions may be available for owners or operators to repair
leaks if certain conditions are met, which would further serve the
purposes identified in subsection (h)(1) of ensuring the safety of
technicians and/or minimizing the release of regulated substances.
Among these conditions, EPA is proposing that one or more must be met
to qualify for additional time. Extensions for the leak repair would be
available if the appliance is located in an area subject to
radiological contamination or shutting down the appliance will directly
lead to radiological contamination. EPA is proposing that in this case,
additional time would be permitted to the extent necessary to complete
the repairs in a safe working environment. An extension would also be
available to owners or operators if the requirements of any other
Federal, state, local, or Tribal regulations would make a repair within
30 days (or 120 days if an industrial process shutdown is required)
impossible. Additional time would be permitted to the extent needed to
comply with the applicable regulations. EPA is also proposing there
would be extensions available if components must be replaced as a part
of the repair and they are not available within the leak repair
timeframe of 30 days (or 120 days if an industrial process shutdown is
required). In this case, additional time would be permitted of up to 30
days after receiving the needed component, and the total extension
could not exceed 180 days (or 270 days if an industrial process
shutdown is required) from the date of the appliance exceeded the
applicable leak rate. In all cases of potential extensions to the leak
repair timeframe, an owner or operator would still be required to
repair leaks that the technician has identified as significantly
contributing to the exceedance of the applicable leak rate and that do
not require additional time and verify those repairs within the initial
30 days (or 120 days if an industrial process shutdown is required).
Owners or operators would also be required to document all repair
efforts and provide a reason for the inability to repair the leak
within the initial 30-day (or 120-day if an industrial process shutdown
is required) time period. All extension requests must be submitted
electronically in a format specified by EPA and include pertinent
information as described in the proposed regulatory text at Sec.
84.106.
EPA is proposing that a leak is presumed to be repaired if there is
no further addition of refrigerant to the equipment for 12 months after
the repair or if there are no leaks identified by either the required
periodic leak inspection(s) or an ALD system, where applicable. Further
information on the proposed requirements for ALD systems are described
in section IV.C.4. While EPA is proposing to require ALD systems for
certain equipment, there may be some cases where an owner or operator
chooses to use ALD systems for equipment where it is not required.
Whether use of the ALD system is due to requirements as proposed in
section IV.C.4. or used as a compliance option in lieu of leak
inspections (see section IV.C.3.d.) for a specific appliance, if the
ALD system detects a leak in the 12-month period after a successful
leak repair, the leak repair would be presumed to have subsequently
failed unless the owner or operator can document that the ALD system
leak detection was due to a new leak unrelated to the previously
repaired leak. Such documentation would include but not be limited to
the records required to be kept under proposed 40 CFR 84.108(i).
Additional information on leak inspections is described in section
IV.C.3.d. If an appliance is mothballed, EPA is proposing that the
timeframe for repair, inspections, and verification tests would be
temporarily suspended and resume when additional refrigerant is added
to the appliance (or component of an appliance is the leaking component
was isolated).
As noted earlier, under the CAA section 608 implementing
regulations at 40 CFR 82.157, specific leak rates are
[[Page 72242]]
used to determine whether a repair is needed for an appliance and also
the degree to which the leak must be repaired, as leaks must be
repaired if the appliance exceeds the applicable leak rate (which
varies depending on the type of appliance) and must be repaired such
that the leak rate is brought below the applicable leak rate. See 40
CFR 82.157(c) and (d). For the leak repair requirements under
subsection (h), EPA is proposing to use a similar approach for
determining when leaks must be repaired and the degree to which they
must be repaired. EPA is also proposing to apply the same applicable
leak rates for certain types of refrigerant-containing appliances
covered in this proposal that contain HFCs or their substitutes as
would apply to the same types of appliances under 40 CFR 82.157(c) if
it contained an ODS refrigerant. Thus, EPA is proposing that the
applicable leak rates for refrigerant-containing appliances with a
charge size of 15 pounds or more with a refrigerant that contains an
HFC or a substitute for an HFC with a GWP above 53 would be as follows:
20 percent leak rate for commercial refrigeration
equipment;
30 percent leak rate for IPR equipment; and
10 percent leak rate for comfort cooling appliances or
other refrigerant-containing appliances not covered as commercial or
industrial refrigeration equipment.
EPA is proposing that these applicable leak rates per the type of
appliance are appropriate for the proposed leak repair provisions in
this action under subsection (h) of the AIM Act. The applicable leak
rates were established to limit and minimize the releases of ODS
refrigerant and were updated to be more stringent in the 2016 CAA
section 608 Rule (81 FR 82272, November 18, 2016). EPA is proposing to
adopt applicable leak rates that mirror those that are currently in
effect for ODS-containing appliances under the 2016 CAA section 608
Rule. These rates were in effect for appliances containing 50 or more
lbs of HFCs for a period of time, and, after reviewing the information
and analysis that supported application of these leak rates to that HFC
equipment, EPA has determined it is appropriate to propose them in this
action. These applicable leak rates are relevant for minimizing
releases of HFCs from refrigerant-containing appliances that contain
HFCs. This proposal draws on EPA's experience implementing similar
requirements under section 608, where these thresholds have provided a
practical and effective method for determining when leaks must be
repaired. EPA notes in support of the 2016 CAA section 608 Rule, EPA
reviewed data from the lowest-emitting equipment to gauge technological
feasibility and then reviewed other datasets.\61\ The Agency considered
whether a lower percent leak rate for some, or all of the categories of
appliances would be more appropriate to propose in this rulemaking for
those that use refrigerants that contain HFCs and/or substitutes for
HFCs. EPA notes that, as a general matter, equipment in good repair is
typically able to operate more efficiently. EPA reviewed the docket for
the 2016 CAA section 608 Rule, which lowered the applicable leak rates
for each of the appliance categories.62 63 In that action,
EPA evaluated leak rate data of appliances in each of the applicable
categories to determine the appropriate applicable leak rates. EPA also
reviewed information from stakeholders shared during public meetings
held in the development of this proposal.\64\ EPA is proposing to use
the same applicable leak rates for each category of appliances as found
under 40 CFR 82.157. While EPA is not proposing changes to the
applicable leak rates for categories of refrigerant-containing
appliances as they involve HFCs and covered substitutes for HFCs, the
Agency notes that we could revisit the applicable leak rates as
appropriate to support the overall purposes of subsection (h) of the
AIM Act.
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\61\ For more details on this analysis see 81 FR 82272, 82317;
Technical Support Document: Analysis of the Economic Impact and
Benefits of Final Revisions to the National Recycling and Emission
Reduction Program, September 2, 2016, available at https://www.regulations.gov/document/EPA-HQ-OAR-2015-0453-0225.
\62\ Docket No. EPA-HQ-OAR-2015-0453.
\63\ For further information, please see the discussion in the
2016 CAA section 608 rule at 81 FR 82272, 82317 and the technical
support document, Analysis of the Economic Impact and Benefits of
Final Revisions to the National Recycling and Emission Reduction
Program, available in the docket for the 2016 CAA section 608
rulemaking (EPA-HQ-OAR-2015-0453).
\64\ EPA held stakeholder meetings for public input on November
9, 2022 and March 16, 2023 as well as solicited feedback through a
webinar for the EPA GreenChill Partnership program on April 12,
2023.
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This proposal includes refrigerant-containing appliances with
charge sizes that are below the 50-pound charge size threshold for ODS-
containing appliances under 40 CFR 82.157. As discussed in section
IV.C.2., EPA is proposing to apply leak repair requirements to
appliances using an HFC and/or a substitute for HFCs as a refrigerant
(neat or in blends) based on a charge size threshold of 15 pounds or
greater, with certain exceptions as discussed in section IV.C.2.a.
above. EPA is proposing to use the same leak rate across categories of
equipment for all covered appliances. In other words, a 20 percent leak
trigger rate would apply for commercial refrigeration equipment with a
full charge size of 15 pounds or more, and a 10 percent trigger leak
rate would apply for comfort cooling appliances with a full charge size
of 15 pounds or more.
Refrigerant-containing appliances with 15-50 pounds of refrigerant
in the applicable subsectors are proposed to be covered by the
appropriate listed categories and with the applicable trigger leak
rates. For refrigerant-containing appliances in certain subsectors and
applications that have not been previously covered under 40 CFR 82.157,
as noted in section IV.C.2.b., EPA is proposing determinations for the
applicable leak rates. For refrigerated transport--rail, EPA is
proposing that this application would be considered under the comfort
cooling and other appliances category and have an applicable leak rate
of 10 percent.
EPA is seeking comment on all aspects of this proposal and in
particular on the proposed applicable leak rates for appliances in the
subsectors and applications noted in section IV.C.2.b. of this
proposal. EPA is also seeking comment on its proposal to include an
explicit presumption that a leak is presumed to be repaired if one of
the listed conditions is met, such as there being no further addition
of refrigerant to the equipment for 12 months after the repair. While a
similar, though not identical, presumption is included in similar
regulations under section 608 of the CAA, EPA is also proposing to
include a definition of ``repair'' to the regulatory provisions under
subsection (h), which is not a defined term in the regulations under
CAA section 608. EPA is particularly interested in comments on whether
the presumption is necessary or helpful, if the proposed definition of
``repair'' is finalized.
c. Verification Testing
EPA is proposing requirements for initial and follow-up
verification for refrigerant-containing appliances with a charge size
of 15 pounds or more of a refrigerant that contains an HFC or a
substitute for an HFC with a GWP above 53 as a part of the proposed
leak repair provisions under subsection (h). Verification testing
involves important practices, processes, and activities regarding the
repair and servicing of equipment. The tests are performed shortly
after an appliance has been
[[Page 72243]]
repaired to confirm that the leak has been successfully repaired.
Without the verification tests, it may take additional time for the
owner or operator to realize that the repair has been unsuccessful and
during that time refrigerant could continue to leak from the appliance.
EPA is proposing that the verification tests must be performed for all
leak repairs to ensure that the leak repair is done correctly the first
time, which would help minimize any releases of HFCs from the
appliance, and also help maximize HFCs available for eventual
reclamation by limiting such releases.
Thus, as part of the proposed requirements for leak repair
verification tests under subsection (h), an owner or operator would be
required to conduct initial and follow-up verification tests within
specified timeframes on each leak that is repaired. The initial
verification test would be required to be performed within 30 days (or
120 days if an industrial process shutdown is required) of an appliance
exceeding the applicable leak rate and must demonstrate that leaks are
repaired, where a repair attempt was made. The initial verification
test is to verify that the leak has been repaired prior to adding
refrigerant back into the appliance and the follow-up verification test
confirms that the repair held after refrigerant has been added and the
appliance has been brought back to normal operating characteristics.
The follow-up verification test would be required to be conducted
within 10 days of a successful initial verification test or 10 days
after the appliance has returned to normal operating conditions (if the
appliance or isolated component of the appliance was evacuated to
perform repairs). EPA is proposing that the follow-up verification test
is necessary to confirm that the leak repair has held after the
refrigerant-containing appliance has been recharged, pressurized, and
returned to normal operating conditions. Thus, these provisions are
proposed in this action to ensure leaks are properly repaired and to
ensure emissions are minimized. EPA also notes that this process of
performing an initial verification test and a follow-up verification
test has been a part of the similar leak repair provisions for affected
ODS-containing equipment under CAA section 608. For additional
discussion on the terminology, timing, and purposes associated with the
verification tests in detail in the context of the requirements under
CAA section 608, please refer to the 2016 CAA section 608 Rule (81 FR
82272, 82324, November 18, 2016).
EPA is also considering that in some cases, a follow-up
verification test is impossible; for example, when it would be unsafe
to be present when the system is at normal operating characteristics
and conditions. Under subsection (h), EPA is proposing language to
address such situations. This approach helps serve the purpose
identified in subsection (h)(1) of ensuring technician and consumer
safety. EPA is proposing that where it is unsafe to be present or
otherwise impossible to conduct a follow-up verification test when it
would be unsafe to be present when the system is at normal operating
characteristics and conditions the follow-up verification test must,
where practicable, be conducted prior to the system returning to normal
operating characteristics and conditions. In such situations, the owner
or operator has the burden of showing that it was unsafe to be present
when the system is at normal operating characteristics and conditions.
EPA requests comment on whether there should be a recordkeeping
requirement associated with establishing that it is unsafe to be
present or otherwise impossible to conduct a follow-up verification
test on the system has been returned to normal operating conditions.
EPA understands these initial and follow-up verification tests
after an attempted repair of a leak as involving important practices,
processes, and activities regarding the repair of equipment within the
proposed leak repair provisions. These proposed requirements are
designed to help ensure that leaks are repaired successfully and that
the repair holds, so that repair has the intended effect of limiting
emissions of HFCs or substitutes for HFCs from the appliance. EPA is
proposing that if the initial or follow-up verification test indicates
that a leak repair had not been successful, the owner or operator may
conduct as many additional repairs and initial or follow-up
verification tests as needed to achieve a successful leak repair within
the applicable time period and to verify the repairs.
EPA is requesting comment on all aspects of this rulemaking. In
particular, EPA is requesting comment on the applicable leak rates for
each category for refrigerant-containing appliances. EPA is also
requesting comment on the timing by which the initial and follow-up
verification tests must be performed as a part of the proposed leak
repair provisions.
d. Leak Inspections
EPA is proposing requirements for leak inspections as a part of the
proposed leak repair requirements under subsection (h). These leak
inspection requirements would apply to refrigerant-containing
appliances that have been found to be leaking at a rate that exceeds
the applicable leak rate per the appliance type. In particular, the
proposed leak inspection requirements involve processes, practices, and
activities regarding the repair of refrigerant-containing appliances
that are designed to ensure the long-term effectiveness of a successful
leak repair. Thus, the proposed requirements would help minimize any
releases of HFCs from equipment over time and also help maximize HFCs
available for eventual reclamation by limiting such releases.
EPA is proposing that leak inspections would be required for
refrigerant-containing appliances with a charge size of 15 pounds or
more of a refrigerant that contains an HFC or a substitute for an HFC
with a GWP greater than 53 that are found to be leaking above the
applicable leak rate and have had one or more leaks repaired. Leak
inspection frequency would be dependent on the type of appliance and
the size of the appliance (by refrigerant charge size). As described in
greater detail later in this section, an ALD system that is being used
to monitor an appliance or portions of an appliance may be used as a
compliance option in lieu of quarterly or annual leak inspections,
whether the ALD system is required to be used under requirements in
this proposal or the ALD system is used voluntarily on an appliance
where it would not be required under this proposal. Where an ALD system
is not being used on an appliance or on portions of an appliance, all
leak inspection requirements proposed would be required for the
appliance or the portions of the appliance that are not being monitored
by an ALD system. If an ALD system is being used to comply with the
leak inspection requirements for an appliance or portions of an
appliance (per proposed regulatory requirement or voluntarily), certain
regulatory requirements must be met as proposed (see section IV.C.4.).
For commercial refrigeration and IPR appliances that have a charge
size of 500 pounds or more of a refrigerant that contains an HFC or a
substitute for an HFC with a GWP greater than 53, EPA is proposing that
leak inspections be performed every three months after the equipment is
found to be leaking above the applicable leak rate until the owner or
operator can demonstrate that the equipment has not exceeded the
applicable leak rate for four consecutive quarters. For commercial
refrigeration and IPR appliances that have a charge size between 15 and
500 pounds of a
[[Page 72244]]
refrigerant that contains an HFC or a substitute for an HFC with a GWP
greater than 53, EPA is proposing that leak inspections be performed
once per calendar year after the equipment is found to be leaking above
the applicable leak rate until the owner or operator can demonstrate
that the equipment has not exceeded the applicable leak rate for one
year (i.e., 12 months). For comfort cooling and other appliances that
have a charge size of 15 pounds or above of a refrigerant that contains
an HFC or a substitute for an HFC with a GWP above 53, EPA is proposing
that leak inspections be performed once per calendar year after the
equipment is found to be leaking above the applicable leak rate until
the owner or operator can demonstrate that the equipment has not
exceeded the applicable leak rate for one year (i.e., 12 months). In
each case, to demonstrate that the equipment has not exceeded the
applicable leak rate, a leak rate calculation is done during a leak
inspection as described in section IV.C.3.a. of this proposal. EPA is
proposing that it is appropriate to require more frequent leak
inspections for larger commercial refrigeration and IPR appliances
(i.e., charge sizes at or above 500 pounds), as the larger charge size
means that potential emissions from the appliance are greater if a leak
is not properly repaired.
In this action, EPA is also separately proposing requirements for
the use of ALD systems for commercial refrigeration and IPR appliances
that have a charge size of 1,500 pounds or more of refrigerant that
contains an HFC or a substitute for an HFC with a GWP above 53 (see
section IV.C.4. of this proposal). Where ALD systems would be required
to monitor leaks in appliances, EPA is proposing that leak inspections
for the appliances would be required after exceeding the applicable
leak rate and undergoing a repair only for the portions of the
appliance that are not being monitored by the ALD system (e.g., if part
of the appliance is not in an enclosed space). This proposal is based
on an understanding that where the ALD system is monitoring the
appliance, it serves the function of monitoring for leaks. Thus, a
requirement for performing periodic leak inspections on those portions
of the appliance would be unneeded. EPA considers the leak inspections
that are proposed for codification at 40 CFR 84.106(g) and the
requirements related to ALD systems that are proposed for codification
at 40 CFR 84.108 to be separate. That is to say, EPA would be proposing
these leak inspections irrespective of any mandatory ALD system
requirement and vice versa. However, recognizing that some equipment
could be subject to both requirements, if both proposals are finalized,
to help coordinate the requirements, EPA is proposing a limited
exception to the quarterly and annual leak inspection requirements if
ALD systems are being used and meet certain requirements. This proposed
limited exception is intended to allow the use of the ALD system in
those circumstances to serve as a compliance option for the leak
inspection requirement.
For further information and requirements related to ALD systems
proposed in this action, refer to section IV.C.4. Likewise, EPA is
proposing that if an owner or operator is voluntarily using an ALD
system to monitor leaks in a refrigerant-containing appliance that
would not be subject to the proposed requirement to use an ALD system
(e.g., the equipment has a charge size below 1,500 pounds), any
periodic leak inspections would only need to be performed after the
applicable leak rate is exceeded for the portions of the appliance
where the ALD system is not monitoring for leaks. Again, where the ALD
system is monitoring the appliance, it would serve the function of
monitoring for leaks in the equipment, and periodic inspections on
those portions of the equipment would be unneeded. EPA is also
proposing that, where an appliance exceeds the applicable leak rate, an
owner or operator may choose to use an ALD system, where not required
under proposed requirements in section IV.C.4. (i.e., for certain
appliances with a charge size below 1,500 pounds), as a compliance
option in lieu of the proposed requirements for periodic leak
inspections. However, leak inspections would need to be performed for
the portions of the appliance where the ALD system is not monitoring
for leaks. Where an owner/operator wishes to use an ALD system in lieu
of proposed regulatorily required leak inspections, the ALD system
needs to meet the requirements established elsewhere in this proposal
(including annual ALD system audit and calibration requirements). The
owner or operator would be required to follow certain reporting and
recordkeeping requirements to show the ALD system is meeting the
intended functionality and monitoring leaks effectively (as described
in section IV.C.4.b.).
EPA is requesting comment on all aspects of this proposal. In
particular, EPA is seeking comment on the proposed requirements for
leak inspection. EPA welcomes comment on the frequency of leak
inspections required based on the charge size of the equipment as well
as the use of ALD system (whether required as part of this proposal or
not) to satisfy the requirements for leak inspections.
e. Chronically Leaking Appliances
As part of the proposed leak repair provisions under subsection
(h), EPA is proposing to include specific requirements for refrigerant-
containing appliances with a charge size of 15 pounds or more of a
refrigerant that contains an HFC or a substitute for an HFC with a GWP
above 53 that EPA would consider as chronically leaking. The proposed
requirements are designed to gather information and support efforts to
address such chronic leaks, which would have the effect of further
minimizing emissions from equipment.
As discussed in section IV.C.2. above, under this proposal, covered
appliances include refrigerant-containing appliances with charge sizes
of 15 pounds or more of a refrigerant that contains an HFC or a
substitute for an HFC with a GWP above 53. EPA is proposing that an
appliance would be considered a chronically leaking appliance if the
appliance leaks 125 percent or more of its full charge within a
calendar year. The proposed requirements for chronically leaking
appliances are similar, but not identical to, analogous requirements
under 82.157(j). For such chronically leaking appliances, owners and
operators are required to submit reports describing the efforts taken
to identify leaks and repair the appliance. Under subsection (h), EPA
is proposing to establish a reporting requirement for covered
appliances that are considered chronically leaking.
To better serve the purposes of minimizing releases of regulated
substances and allow EPA to more easily verify the information being
reported, EPA is proposing to standardize the reporting format for
chronically leaking appliances. EPA is proposing that the reports must
be submitted no later than March 1 following the calendar year of the
>=125 percent leak. EPA is proposing that these reports cover basic
identification information (i.e., owner name, facility name, facility
address where appliance is located, and appliance ID or description),
appliance type (comfort cooling, IPR, or commercial refrigeration),
refrigerant type, full charge of appliance (pounds), annual percent
refrigerant loss, dates of refrigerant addition, amounts of refrigerant
added, date of last successful
[[Page 72245]]
follow-up verification test, explanation of cause of refrigerant
losses, repair actions taken, and whether a retrofit or retirement plan
been developed for the appliance, and, if so, the anticipated date of
retrofit or retirement. EPA proposes that these reports be submitted
electronically in a format specified by EPA. EPA anticipates that the
information in these reports would either be contained in the records
EPA is proposing that owner or operators would be required to maintain,
or they are the type of information that would be on hand during the
ordinary course of business. Because of the amount of refrigerant
emitted, chronically leaking appliances warrant special attention.
These reporting requirements for chronically leaking equipment are
designed to help ensure that owner or operators are complying with the
leak repair provisions and that they have taken appropriate steps to
identify the leaks and correct the root cause of those leaks. These
reports would allow EPA to evaluate compliance with the regulatory
requirements and to identify entities that may benefit from compliance
assistance and other outreach efforts. These reports would also allow
EPA to assess common root causes for appliances that chronically leak,
which would facilitate consideration of approaches to mitigate these
leaks and minimize the releases of HFCs from such equipment. EPA
discusses whether this information is entitled to confidential
treatment in section V.A.1. of this document.
EPA is proposing to set the reporting threshold for appliances that
leak 125 percent of the full charge within a calendar year, as the
Agency intends to avoid capturing refrigerant-containing appliances
affected by unavoidable losses of full charge. In order to be subject
to the requirement, appliances would have to lose their full charge and
then a significant quantity more within a single calendar year. EPA
requests comment on the 125 percent threshold and whether, given the
focus of minimizing releases of regulated substances, that threshold
should be lowered. For example, EPA is considering lowering the
threshold to 110 percent to avoid capturing refrigerant-containing
appliances affected by unavoidable losses of full charge, but a lower
amount leaked beyond a full charge would be required to trigger the
provisions for chronically leaking appliances.
f. Retrofit and Retirement Plans
EPA is proposing to include requirements for retrofit and
retirement plans in the proposed leak repair provisions under
subsection (h) for applicable refrigerant-containing appliances that
contain HFCs or certain substitutes for HFCs as a refrigerant. These
requirements reduce emissions by capping the amount of time an
appliance can remain in operation when it is known to be leaking above
the leak rate threshold. Owners or operators may choose to retrofit or
retire a leaking appliance rather than repair a leak, or, in some
situations, may be required to retrofit or retire the appliance if
successful leak repair cannot be achieved and verified. The proposed
requirements would also further serve the purposes of minimizing
releases and maximizing the reclaiming of HFCs, as proper retrofit or
retirement of a leaking appliance would ensure that any further HFC
emissions from such equipment are mitigated. Additionally, in the
process of retrofitting or retiring an appliance, the refrigerant that
was remaining in the leaking appliance would typically be recovered and
could then subsequently be reclaimed.
EPA is proposing requirements for developing retrofit and
retirement plans for refrigerant-containing appliances where leaks
cannot be repaired, or an owner or operator chooses to retrofit to a
lower GWP refrigerant (where available) or retire an appliance rather
than repair a leak. The proposed requirements would apply to
refrigerant-containing appliances with 15 pounds or more of a
refrigerant that contains an HFC or a substitute for an HFC with a GWP
above 53. The provisions proposed in this action would provide the
details on the timing for creating a retrofit or retirement plan for
covered refrigerant-containing appliances, and what must be contained
in a retrofit or retirement plan. EPA is proposing that a retrofit or
retirement plan be created within 30 days of certain scenarios. The
Agency understands this timing is sufficient for an owner or operator
to either attempt to repair the leak with all necessary requirements as
described in section IV.C.3.b. or make a business decision to directly
begin the retrofit or retirement process. It is necessary to cap this
timing requirement to minimize emissions from leaks in the case where
an owner or operator fails to take any action after finding that their
applicable refrigerant-containing appliance is leaking above the
applicable leak threshold. After 30 days, the owner or operator must
begin developing a retrofit or retirement plan. The following scenarios
describe when a retrofit or retirement plan must be developed:
An appliance is leaking above the applicable leak rate and
the owner or operator intends to retrofit or retire the appliance
rather than repair the leak;
An appliance is leaking above the applicable leak rate and
the owner or operator fails to take action to identify or repair the
leak; or
An appliance is continuing to leak above the applicable
leak rate after an attempted leak repair and verification testing.
Developing the retrofit or retirement plan is a key process in
ensuring that each step of the plan is successfully performed such that
releases of HFCs are minimized and the reclaiming of the HFCs can be
maximized. EPA is proposing that the retrofit or retirement plan
include information regarding the location of the appliance,
characteristics of the appliance, a procedure for how the appliance
will be converted to accommodate a different refrigerant (if the
appliance is being retrofitted), plans for the disposition of any
recovered refrigerant and the appliance (if the appliance is being
retired), and a schedule for the completion of the appliance retrofit
or retirement. Characteristics of the appliance that would be
retrofitted or retired include the type and full charge of the
refrigerant used in the appliance, and for retrofitted, the type and
full charge of the refrigerant to which the appliance will be
retrofitted. In describing how the appliance would be retrofitted, the
owner or operator must include an itemized procedure for converting the
appliance to a different refrigerant, including changes required for
compatibility. This would also include any changes for compatibility
that relate to safety considerations to ensure the safety of
technicians and consumers when converting an appliance to a different
refrigerant, which would further serve one of the purposes identified
in subsection (h)(1). EPA is also proposing that the retrofit or
retirement plan must include information on how any recovered
refrigerant is being dispositioned. In the case of retiring an
appliance, the retirement plan would need to include how the appliance
is being dispositioned. EPA is proposing that the retrofit or
retirement plan include a schedule for completion of the retrofit or
retirement and, unless additional time is granted, that the schedule
would not exceed one year of the plan's date (not to exceed 12 months
from when the plan was finalized).
EPA is proposing that an owner or operator may request relief from
the provisions of a retrofit or retirement plan if they are able to
establish that an
[[Page 72246]]
appliance is no longer leaking above the applicable leak rate within
180 days of creating the plan, and the owner or operator agrees to
repair all identified leaks within one year of the plan's date. The
owner or operator would be required to submit specified information to
EPA, including information regarding leaks in the appliance,
descriptions of the work completed/to be completed, and more, as found
in the proposed regulatory text.
For IPR equipment, EPA is proposing that extensions could be
requested in cases where requirements or other applicable Federal,
state, local, or Tribal regulations would make it impossible to
complete the retrofit or retirement within one year. In this case,
owners or operators could be permitted additional time to the extent
needed to comply with the applicable regulations. EPA is also proposing
that extensions could be requested for IPR equipment if the equipment
is custom-built and the supplier of the appliance or one of its
components has quoted a delivery time of more than 30 weeks. In such
cases, the appliance or component must be installed within 120 days of
receipt. If additional time is needed, the owner or operator would need
to submit a request for the additional time to EPA. Further, EPA is
proposing that extensions could be requested to complete a retrofit or
retirement if the IPR equipment is located in an area subject to
radiological contamination or shutting down the appliance will directly
lead to radiological contamination. EPA is proposing that in this case,
additional time would be permitted to the extent necessary to complete
the retrofit in a safe working environment. EPA is not proposing
extensions specifically applicable to Federally owned equipment (see,
e.g., the provisions at 40 CFR 82.157(i)(3)) because EPA believes these
circumstances can be addressed under the other proposed extension
provisions, but EPA requests comment on this.
EPA is requesting comment on all aspects of this proposal, and, in
particular, the proposed provisions for retrofit and retirement plans
for applicable refrigerant-containing appliances. EPA is requesting
comment on the timing for developing retrofit or retirement plans and
the timing for executing these plans. EPA is also requesting comment on
if the Agency should require that refrigerant be recovered as a part of
the retrofit or retirement plan, or if that is already sufficiently
covered by requirements under 40 CFR part 82, subpart F. Further, EPA
is seeking comment on requiring that if an owner or operator is
developing a retrofit plan, they must include that a lower GWP
refrigerant will be used in the retrofitted appliance. EPA notes that
it is not assuming early retirement of appliances as a result of the
proposed rule provisions. EPA is seeking comment on any potential
impacts of the proposed leak repair provisions on the retirement of
affected refrigerant-containing appliances.
g. Recordkeeping and Reporting
EPA is proposing to include recordkeeping and reporting
requirements to support compliance with the proposed leak repair
provisions under subsection (h) for applicable refrigerant-containing
appliances that contain HFCs or certain substitutes for HFCs as a
refrigerant. For example, the requirements would control recordkeeping
and reporting practices, process, or activities for servicing and
repair that involves HFCs or a substitute for an HFC. As noted in
section II.B. of this document, EPA's authority to require
recordkeeping and reporting under the AIM Act is also supported by
section 114 of the CAA, which applies to the AIM Act and rules
promulgated under it as provided in subsection (k)(1)(C) of the AIM
Act.
As discussed in section IV.C.2. above, this proposal covers
refrigerant-containing appliances with charge sizes of 15 pounds or
higher of a refrigerant that contains an HFC or a substitute for an HFC
that has a GWP above 53. The recordkeeping and requirements related to
the leak repair requirements under subsection (h) would be applicable
to the full range of appliances that are subject to the proposed leak
repair provisions, including those containing at least 15 pounds of
refrigerant with limited exemptions, as described in section IV.C.2.b.
for certain appliances. The proposed recordkeeping and reporting
requirements provide critical information about whether required
actions were taken and are part of the suite of compliance tools
included in this proposal. Compliance with the overall leak repair
requirements is intended to minimize the release of HFC and substitute
refrigerants and the Agency considers these recordkeeping and reporting
requirements necessary to readily assess compliance. Records that would
demonstrate noncompliance or are incomplete may be used for enforcement
purposes. The proposed requirements are informed in part by EPA's
consideration of its experience implementing similar regulations under
CAA section 608 at 40 CFR 82.157 and the recordkeeping and reporting
requirements that have been used to assure compliance with those
provisions.
EPA is proposing recordkeeping requirements for refrigerant-
containing appliances with a charge size of 15 pounds or more of a
refrigerant containing an HFC or a substitute for an HFC with a GWP
above 53 under subsection (h) that are similar to those at 40 CFR
82.157(l). Where EPA is proposing requirements for recordkeeping, we
are proposing that record be maintained for three years in either paper
or electronic format. An owner or operator may contract out the record
generation responsibilities but retains ultimate liability for
compliance and must be able to access these records electronically or
in hard copy from the facility where the appliance is located. All
recordkeeping requirements can be found in Sec. 84.106(l) of the
proposed regulatory text. These records would be the primary means for
the facility to demonstrate compliance with the leak repair
requirements, and EPA would review them when evaluating compliance. EPA
could access these records in various ways, including, but not limited
to, via on-site review of the records or requesting them via an
information request. In general, EPA is proposing the following
recordkeeping requirements for owners and operators under subsection
(h):
Maintain records documenting the full charge of
appliances;
Maintain records, such as invoices or other documentation
showing when refrigerant is added or removed from an appliance, when a
leak inspection is performed, when a verification test is conducted,
and when service or maintenance is performed;
Maintain retrofit and/or retirement plans;
Maintain retrofit and/or extension requests submitted to
EPA;
If a system is mothballed to suspend a deadline, maintain
records documenting when the system was mothballed and when it was
brought back on-line (i.e., when refrigerant was added back into the
appliance or isolated component of the appliance);
Maintain records of purged and destroyed refrigerant if
excluding such refrigerant from the leak rate;
Maintain records to demonstrate a seasonal variance; and
Maintain copies of any reports submitted to EPA under the
proposed reporting requirements in this action.
EPA is proposing reporting requirements for refrigerant-containing
appliances that with a charge size of 15 pounds or more of a
refrigerant containing an HFC or a substitute for an HFC with a GWP
above 53 under
[[Page 72247]]
subsection (h) that are similar to those at 40 CFR 82.157(m). The
proposed reporting requirements include notifications to EPA that
include specified information when:
The owner or operator is seeking an extension to complete
repairs;
The owner or operator is seeking an extension to complete
a retrofit or retirement plan;
The owner or operator is seeking relief from the
obligation to retrofit or retire an appliance;
When an appliance leaks 125 percent or more of the full
charge in a calendar year;
The owner or operator is excluding purged refrigerants
that are destroyed from annual leak rate calculations for the first
time.
Additional detail on these proposed recordkeeping and requirements
is available in the proposed regulatory text. Proposed recordkeeping
and reporting requirements in this action for ALD systems are described
in section IV.C.4.b.
EPA is requesting comment on all aspects of this proposal, and, in
particular, the recordkeeping and reporting requirements associated
with the leak repair provisions in this proposal. EPA is requesting
comment on the information required in the recordkeeping and reporting
provisions and if there is any additional information that would be
relevant for the proposed leak repair requirements in this action.
4. Automatic Leak Detection Systems
ALD systems on refrigerant-containing appliances are refrigerant
leak detection technologies calibrated to continuously monitor a
refrigerant-based system(s) for evidence of leaks and alert an operator
upon detection of a leak. Repairing leaks sooner further minimizes
emissions. Where ALD systems are used, it can result in early and
effective detection of leaks, so that the leaks can be repaired and
emissions of regulated substances or their substitutes can quickly be
mitigated. As part of the proposed regulatory requirements to implement
subsection (h)(1), EPA is proposing to require that ALD systems be used
for certain new and existing refrigerant-containing appliances to
detect leaks, which would trigger subsequent requirements. These
provisions would control practices, processes, or activities regarding
servicing, repair or installation of such appliances, which are a type
of equipment, and would involve a regulated substance or a substitute
for a regulated substance. When an ALD system detects a leak in a
refrigerant-containing appliance covered by this proposal, an owner or
operator of the appliance would be required to either perform
practices, processes, and/or activities to determine whether servicing
or repair of the appliance is necessary (i.e., calculating a leak rate
and assessing it compared to the applicable leak rate for the type of
appliance) or, alternatively, preemptively repair the leak (i.e.,
before adding refrigerant and calculating the leak rate). EPA is
proposing to explicitly permit preemptive repair of the leak as a
compliance option to avoid the need to add refrigerant to an appliance
with a known leak (which would otherwise generally be necessary to
calculate the leak rate and determine if the applicable leak rate is
exceeded). If the preemptive repair is being used as a compliance
option, it must occur within 30 days (or 120 days where an industrial
process shutdown would be necessary) of the alert. These proposed
requirements are expected to facilitate prompt repair of leaks, which
would further help minimize releases of regulated substances from
equipment.
In the case of preemptive repair, this compliance option provides
the opportunity to repair an appliance that is known to be leaking
prior to the addition of refrigerant. When refrigerant is added to the
appliance that underwent preemptive repair, a leak rate calculation
would still be required. If the leak rate calculation (performed after
the addition of refrigerant for the follow-up verification test)
conducted after the preemptive repair reveals that the appliance had
leaked above the applicable leak threshold, the proposed suite of leak
repair requirements would still apply. The preemptive repair actions
can be considered in determining whether the suite of leak repair
requirements triggered by the exceedance of the applicable leak
threshold have been satisfied, but the owner or operator of the
appliance would still need to ensure that the leaks had been repaired
according to the proposed definition of repair and that the other
requirements proposed in 40 CFR 84.106 (e.g., initial and follow-up
verification tests, leak inspections (where applicable) and related
recordkeeping) had been met.
EPA understands that for reasons other than this proposal, ALD
systems already are in use to a certain extent. For example, some
owners and operators may already use ALD systems to serve as an early
warning system for detecting and repairing leaks. Some owners and
operators may choose to install ALD systems from an economic
perspective as early detection and repair of leaks can avoid costs of
replacing the released refrigerant and operating equipment at
suboptimal levels and/or the loss of perishable products due to failure
to maintain required cooling. Further, there are provisions under 40
CFR 82.157 where an owner or operator of a covered appliance with ODS
refrigerants may choose to use an ALD system in place of performing
regular leak inspections as a part of the leak repair provisions under
CAA section 608 at 40 CFR 82.157. Nothing in this proposal changes the
requirements related to ALD systems under CAA section 608 for equipment
containing only ODS refrigerants. In other words, an owner or operator
of an appliance that uses ODS-containing refrigerants will continue to
be required to meet any and all requirements under 40 CFR 82.157 for
that appliance, including if they choose to use an ALD system to comply
with requirements under 40 CFR 82.157.
Additionally, there are safety standards that apply when using
certain HFCs (whether neat or in a blend) and/or substitutes for HFCs
that have been classified as lower flammability. Lower flammability
refrigerants in this context are those that are classified by ASHRAE as
A2L refrigerants.\65\ UL Standard 60335-2-40 currently requires the use
of leak detectors for electrical heat pumps, air conditioners and
dehumidifiers containing A2L refrigerants.66 67 Under that
standard, leak detectors that detect pressure loss are required in
cases that the prescribed A2L charge limit is exceeded (which is
typically around four pounds for permanently installed applications).
That standard also prescribes that refrigerant leak detectors be
installed at the factory for applicable appliances
[[Page 72248]]
and have factory established set points for detection to avoid
potential buildup of concentrations of flammable refrigerants.
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\65\ ASHRAE Standard 34-2022 assigns a safety group
classification for each refrigerant which consists of two
alphanumeric characters (e.g., A2 or B1). The capital letter
indicates the toxicity class (``A'' for lower toxicity) and the
numeral denotes the flammability. ASHRAE recognizes three
classifications and one subclass for refrigerant flammability. The
three main flammability classifications are Class 1, for
refrigerants that do not propagate a flame when tested as per the
ASHRAE 34 standard, ``Designation and Safety Classification of
Refrigerants;'' Class 2, for refrigerants of lower flammability; and
Class 3, for highly flammable refrigerants, such as the hydrocarbon
refrigerants. ASHRAE recently updated the safety classification
matrix to include a new flammability subclass 2L, for flammability
Class 2 refrigerants that burn very slowly.
\66\ UL. 2019. ``Understanding UL 60335-2-40 Refrigerant
Detector Requirements.'' https://www.ul.com/news/understanding-ul-60335-2-40-refrigerant-detector-requirements.
\67\ UL 60335-2-40, 2019. Household And Similar Electrical
Appliances--Safety--Part 2-40: Particular Requirements for
Electrical Heat Pumps, Air-Conditioners and Dehumidifiers. Third
Edition. November 1, 2019.
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a. Proposed Automatic Leak Detection Requirements
EPA is proposing to require the use of ALD systems for certain
RACHP equipment. Specifically, EPA is proposing to require ALD systems
for IPR and commercial refrigeration appliances containing 1,500 pounds
or more of a refrigerant that contains an HFC or a substitute for an
HFC with a GWP above 53 for both new and existing equipment. EPA is not
proposing to require ALD systems for comfort cooling appliances. As
previously noted, EPA considers the leak inspections that are proposed
for codification at 40 CFR 84.106(g) and the requirements related to
ALD systems that are proposed for codification at 40 CFR 84.108 to be
separate. However, as previously discussed, in certain circumstances
the proposed leak inspection requirements would recognize use of the
ALD systems that meets certain requirements under the proposed 40 CFR
84.108 as a compliance option that may be used in lieu of quarterly or
annual leak inspections.
Beginning on January 1, 2025, for new refrigerant-containing
appliances, EPA is proposing that an ALD system be installed as part of
the overall appliance installation, either during the installation of
the new appliance or within 30 days from when the new appliance is
installed. EPA understands that depending on the type of ALD system, it
may be more practicable to install an ALD system during the appliance
installation. In other cases, additional time may be needed to secure a
contractor or technician to install the ALD system, or there may be
unforeseen delays in acquiring an ALD system. For existing refrigerant-
containing appliances, EPA is proposing that an ALD system must be
installed within one year of the effective date of the final rule.
EPA is proposing that refrigerant-containing appliances in the
commercial refrigeration and IPR subsectors with a charge size of 1,500
pounds or more with a refrigerant that contains an HFC or a substitute
for an HFC that has a GWP above 53 (whether the HFC or substitute is
used neat or in a blend) would be required to use ALD systems. The
refrigerants that would be covered are the same as for other leak
repair provisions proposed in this action, but the proposed full charge
size cutoff for using ALD systems (1,500 pounds) is greater than that
of the other leak repair provisions in this proposal (15 pounds). EPA
understands that using ALD systems for refrigerant-containing
appliances that have lower refrigerant charge sizes (i.e., below 1,500
pounds) may be an option an owner or operator could take so they are
alerted to leaks sooner. This could also be an option an owner or
operator takes for specific refrigerants. However, discussed later in
this section, EPA is not proposing to require use of ALD systems for
refrigerant-containing appliances with less than 1,500 pounds.
Similarly, EPA also understands that owners and operators with larger
charge size appliances may be more likely to have in place refrigerant
management plans, routine equipment inspections, or other formal or
even informal mechanisms aimed at reducing refrigerant losses.
EPA considered a number of potential options for the threshold for
requiring ALD systems. The Agency considered thresholds as low as 15 or
50 pounds to match the proposed leak repair requirements or as
analogous with the longstanding CAA section 608 leak repair threshold
for ODS-containing appliances, respectively. The Agency also considered
as high as 2,000 pounds, which is consistent with the current state
requirement in California.\68\ Throughout this proposal, EPA uses
charge sizes to differentiate requirements; for example, EPA proposed
500 pounds as a cutoff for the frequency of inspections for certain
appliances and the Agency also considered this as a potential cutoff
for proposing to require ALD systems. Further, another potential cutoff
considered was 200 pounds, which was used as a point of inflection for
proposing certain GWP-limit based restrictions under the Technology
Transitions program.\69\
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\68\ California Code of Regulations, Regulation for the
Management of High Global Warming Potential Refrigerants for
Stationary Sources. Available: https://ww2.arb.ca.gov/sites/default/files/2020-07/finalfro_0.pdf.
\69\ In the proposed Technology Transitions rule (87 FR 76738,
December 15, 2022), the inflection point of 200 pounds for a charge
size of equipment in certain subsectors is used to propose different
GWP-limit based restrictions. This point was considered based on
safety standards ANSI/ASHRAE Standard 15-2019 and UL 60335-2-89,
which set a charge limit set a charge limit for using lower
flammability refrigerant for certain applications that vary by
refrigerant but does not exceed 200 pounds.
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EPA is also aware of other cutoffs used for requirements for using
ALD systems in certain states and internationally. Across states, the
Agency is aware that California \70\ has a similar provision with a
cutoff of 2,000 pounds that has been in place for over ten years and
Washington \71\ is considering a cutoff of 1,500 pounds in a recent
proposal for requiring ALD systems on refrigeration equipment.
Internationally, the EU \72\ uses a CO2e-based threshold,
requiring that leakage detection systems be installed for stationary
equipment (including refrigeration, air conditioning, heat pumps, and
fire protection equipment and electrical switch gear and organic
Rankine cycles) that contain 500 or more metric tons of
CO2e. For example, if a stationary refrigeration appliance
is charged with R-404A (which has a GWP of 3,920), then the minimum
charge size required to use a leakage detection system would be
approximately 281 pounds under the EU's approach. EPA notes that it is
considering using either a pounds-based approach or a CO2e-
based approach to establishing the threshold for these requirements.
While there are certain advantages to CO2e approaches, such
as providing an advantage for lower GWP refrigerants, the Agency also
understands that for compliance purposes, limits based on pounds also
has advantages. Refrigerant decisions are based on actual amounts of
refrigerant added and the leak rate calculations are also based on
pounds. Therefore, EPA is proposing to set the requirement based on
pounds but is soliciting comments on a CO2e approach too.
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\70\ California Code of Regulations, Regulation for the
Management of high Global Warming Potential Refrigerants for
Stationary Sources. Available: https://ww2.arb.ca.gov/sites/default/files/2020-07/finalfro_0.pdf.
\71\ Washington, Department of Ecology, Hydrofluorocarbons
(HFCs) and Other Fluorinated Greenhouse Gases, Draft (January 27,
2023). Available: https://ecology.wa.gov/DOE/files/9b/9b91965d-4986-4c42-aa50-fd54cb97a2a4.pdf.
\72\ Regulation (EU) No 517/2014 of the European Parliament and
of the Council of 16 April 2014 on fluorinated greenhouse gases and
repealing Regulation (EC) No 842/2006, May 2014, available at:
https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32014R0517.
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As a consideration in setting the proposed threshold, EPA took into
account to what extent ALD systems may already be in use and the types
of equipment to which they are marketed. For example, many larger
refrigeration appliances (e.g., a charge size of 1,500 to 2,000 pounds
or more) may already use ALD systems per certain state requirements or
to reduce negative economic impacts associated with replacing leaking
refrigerant. These larger refrigeration appliances have potential to
leak greater amounts of refrigerant, such that owners and operators
using an ALD system to quickly detect leaks would further support the
statutory purposes in
[[Page 72249]]
subsection (h) of minimizing releases of HFCs from equipment and
maximize the amount of HFC that is available for reclaiming. EPA also
considered the availability of ALD systems for refrigeration appliances
in the United States. In the draft TSD titled American Innovation and
Manufacturing Act of 2020--Subsection (h): Automatic Leak Detection
System in the docket for this proposal, EPA assessed the market
presence and number of manufacturers of ALD systems that sell to the
U.S. market. EPA notes that most manufacturers make direct ALD systems,
while indirect ALD systems are newer technologies on the market.\73\
Since ALD systems have generally only been required for larger
refrigeration appliances per certain state requirements, or are likely
used in larger charge size refrigeration appliances to avoid potential
economic burden associated with replacing refrigerant that has leaked,
EPA anticipates that the current market presence of ALD system
manufacturing may be generally aligned to demand for ALD systems for
larger refrigeration appliances. The proposed threshold accounts for
the potential for an increased demand of ALD systems, where
manufacturers of such systems may not be prepared for an increased
demand if EPA were to propose a lower charge size, opening the
requirement for ALD systems to a larger inventory of refrigeration
appliances. Taking into account existing and pending state
requirements, and a likely degree of voluntary adoption of ALD systems,
EPA estimates that the proposed requirement will impact approximately
50,000 appliances over the year 2025 and 6,500 per year in subsequent
years. EPA has identified 10 manufacturers of ALD systems for the U.S.
market. There are eight manufacturers making direct ALD systems and
three manufacturers making indirect ALD systems (one manufacturer was
identified to make both types of ALD systems). The majority of
installed systems are likely direct ALD systems. EPA estimates that one
of the largest manufacturers of direct ALD in the US makes between
6,500-7,000 direct ALD systems per year. For additional information and
details on the estimated emissions reductions and costs related to ALD
systems, see the draft TSD titled Analysis of the Economic Impact and
Benefits of the Proposed Rule available in the docket for this action.
EPA also notes that later in this section, we are seeking comments
specifically on the proposed threshold for ALD system requirements as
well as comment on the current manufacturing landscape of ALD systems.
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\73\ EPA describes each type (i.e., direct and indirect) of ALD
system later in this section and in detail in the draft TSD titled
American Innovation and Manufacturing Act of 2020--Subsection (h):
Automatic Leak Detection System.
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EPA considered and is not proposing requiring ALD systems for all
refrigerant-containing appliances above a certain charge size. Instead,
after considering the opportunities to reduce leaks and thus minimize
emissions, EPA decided to limit this proposed requirement to commercial
refrigeration and IPR appliances. EPA is not proposing requirements for
using ALD systems for appliances used solely for comfort cooling. The
Agency understands that refrigerant-containing appliances used for
comfort cooling typically do not leak to the same degree as appliances
in the commercial refrigeration and IPR subsectors. Medium (charge size
of 200-2,000 pounds of refrigerant) and large (charge size 2,000 pounds
or greater of refrigerant) comfort cooling appliances average annual
leak rates of around 10 percent, while medium and large commercial
refrigeration and IPR appliances have average leak rates that are
around two to three times greater.\74\ This is consistent with EPA's
proposed requirements for leak inspections, such that appliances used
for comfort cooling would not have more frequent required inspections
as a part of the leak repair provisions (see section IV.C.3.d.). EPA
previously noted in the 2016 CAA 608 Rule (81 FR 82272, November 16,
2016) that larger commercial refrigeration and IPR appliances tend to
have larger annual average leak rates than comfort cooling appliances.
Further, larger commercial refrigeration and IPR appliances would have
a greater amount of refrigerant lost compared to comfort cooling
appliances even if the leaks rate were the same since these larger
appliances typically have significantly larger refrigerant charge
sizes. Thus, the primary benefit of early leak detection from an ALD
system would not be as useful for appliances solely used for comfort
cooling. However, if an appliance has a dual function (e.g., IPR and
comfort cooling), an ALD system would be required. For example, if the
refrigerant coming off the evaporator in an industrial process were
cool enough, it could be directed towards co-located offices or break
rooms to provide air conditioning, before being routed back to the
compressor(s). Such a system would provide both IPR and comfort
cooling, and for purposes of this rule, an ALD system would be
required.
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\74\ Average annual leak rates by appliance type and charge size
are provided in the RIA Addendum.
---------------------------------------------------------------------------
ALD systems detect leaks either by a direct system that
automatically detects the presence of refrigerant leaked into the air
(e.g., an alert is triggered at a specified concentration, typically in
parts per million (ppm)) from a refrigeration system, or by an indirect
system that automatically analyzes operating conditions (e.g.,
temperature or pressure) within a refrigeration system as indicators of
whether a refrigerant leak has occurred. Both types of ALD systems can
help to ensure early detection of leaks and help to identify the
location and severity of a leak. Thus, EPA is not proposing to
prescribe whether direct or indirect ALD systems must be used, but
rather is proposing that either type of system, or a combination of
direct and indirect systems, would be required, and is proposing
requirements that are specific to each type of ALD system. For both
indirect and direct systems, EPA is proposing that the ALD system be
installed on covered refrigerant-containing appliances where the
components (e.g., compressor, evaporator, condenser) of the refrigerant
circuit are located within an enclosed building or structure (or the
whole refrigerant circuit if it is entirely enclosed within a building
or structure). Further, EPA is proposing where ALD systems are required
for covered appliances that the systems be calibrated or audited
annually as described in section IV.C.4.b.
Direct refrigerant leak detection systems are fixed hardware that
directly monitor the concentration of refrigerants in the air. For
direct ALD systems, it is essential that gas sensors are located at all
leak-prone components of a refrigeration system; otherwise, some leaks
may go undetected. The benefits of direct ALD systems include being
able to pinpoint the location and severity of a leak. Direct ALD
systems are commissioned to send an ``alarm'' to maintenance and/or
operations staff if the programmed leak level threshold is exceeded.
EPA is proposing that if an owner or operator chooses to use a direct
ALD system to comply with the proposed provisions to detect refrigerant
leaks in equipment, the programmed leak level threshold to alert the
operator would be when a concentration of 100 ppm of vapor of the
specified refrigerant is detected. EPA is also proposing that the leak
detection sensors must be capable of accurately detecting a
concentration level of 10 ppm of the vapor of the specified
refrigerant. The leak level threshold and minimum level of detection
are critical to catch leaks in
[[Page 72250]]
equipment. If the leak level threshold is set too high, the ALD system
will only provide an alarm in the case of catastrophic leaks. The
technical feasibility of the 100 ppm threshold is well established.
This has been the threshold used by the California Air Resources Board
(CARB) and is also the standard in provisions at 40 CFR 82.157(g)(4)(i)
for ALD systems that are used in lieu of quarterly or annual leak
inspections, as part of the leak repair requirements under CAA section
608.
EPA is proposing that if a direct ALD system detects a leak based
on the 100 ppm threshold, the owner or operator would be required to
either perform a leak rate calculation to determine if the leak rate
threshold has been exceeded, or alternatively they may preemptively
repair the leak before adding refrigerant and calculating the leak
rate. In order to calculate the leak rate, refer to section IV.C.3.a.
of this action. EPA is proposing that a leak rate calculation must be
performed within 30 days (or 120 days where an industrial process
shutdown would be necessary) of the alarm where a direct ALD system is
used for required equipment. If the leak rate calculated is above the
applicable leak rate, as discussed in section IV.C.3. of this preamble,
all of the leak repair requirements proposed in this action (including
the repair requirements, inspections, verification tests and
recordkeeping and reporting) would then apply. Alternatively, if the
owner or operator chooses to preemptively repair the detected leak, a
leak rate calculation would be performed after the preemptive repair;
however, the leak rate calculation would still be required to be
performed within 30 days (or 120 days where an industrial process
shutdown would be necessary) of the alarm where a direct ALD system is
used for required equipment, and accordingly the preemptive repair
would also need to occur in that time frame. If the leak rate
calculation (performed after the addition of refrigerant pursuant to
the follow-up verification test) conducted after the preemptive repair
reveals that the appliance had leaked above the applicable leak
threshold, the proposed suite of leak repair requirements would apply.
The preemptive repair actions can be considered in determining whether
the suite of leak repair requirements triggered by the exceedance of
the applicable leak threshold have been satisfied, but the owner or
operator of the appliance would still need to ensure that the leaks had
been repaired according to the proposed definition of repair and that
the other requirements proposed in 40 CFR 84.106 (e.g., initial and
follow-up verification tests, leak inspections (where applicable), and
related recordkeeping) had been met. By allowing a leak detected by an
ALD system to be preemptively repaired before the addition of
refrigerant and calculation of the leak rate, EPA anticipates that this
would avoid requiring owners and operators to add refrigerant to a
system with a known leak, thereby saving the cost of refrigerant that
might subsequently leak prior to the repair, as well as prevent
unnecessary emissions of refrigerant. Additionally, preemptive repair
of leaks allows owners and operators to have a ``head start'' on
repairing leaks if it is later found that the applicable leak rate
threshold has been exceeded when the leak rate calculation is
performed.
Indirect ALD systems rely on data analytics to detect leaks rather
than the direct detection of refrigerant gas. Indirect ALD systems
monitor the operation of a refrigerant-based system to infer whether a
leak is present. This method is typically conducted using existing
sensors and hardware that are already located on site, and it relies on
algorithms to evaluate existing conditions, such as liquid levels,
temperatures, and ambient conditions to indicate if a leak is
occurring. EPA understands that indirect systems can be calibrated to
provide an alarm when a specified predicted refrigerant leak rate has
occurred. EPA is proposing that if an owner or operator chooses to use
an indirect ALD system to comply with the proposed provisions to detect
leaks in equipment, that the system be calibrated to provide an alarm
when the system has provided measurements that indicate that 50 pounds
of refrigerant or 10 percent of the full charge of refrigerant,
whichever is less, has leaked. At that point, as for direct ALD
systems, EPA is proposing that the owner or operator would be required
to perform a leak rate calculation, or alternatively they may
preemptively repair the leak before adding refrigerant and calculating
the leak rate. EPA is proposing that a leak rate calculation be
performed within 30 days (or 120 days where an industrial process
shutdown would be necessary) of the alarm where an indirect ALD system
is used for required equipment. If the calculated leak rate is above
the applicable leak trigger rate (as discussed in section IV.C.3. of
this preamble), all of the leak repair requirements proposed in this
action (including the repair requirements, inspections, verification
tests and recordkeeping and reporting) would then apply.
If the owner or operator chooses to preemptively repair the
detected leak, a leak rate calculation would be performed after the
repair, for example when refrigerant is added to perform the follow-up
verification test. The same requirements as described above for where
an owner or operator chooses to do preemptive leak repair when using
direct ALD system apply in the scenario where preemptive leak repair is
performed when using an indirect ALD system. The leak rate calculation
would still be required to be performed within 30 days (or 120 days
where an industrial process shutdown would be necessary) of the alarm
where an indirect ALD system is used for required equipment, and
accordingly the preemptive repair would also need to occur in that time
frame. If the leak rate calculation (performed after the addition of
refrigerant pursuant to the follow-up verification test) conducted
after the preemptive repair reveals that the appliance had leaked above
the applicable leak threshold, the proposed suite of leak repair
requirements would apply. The preemptive repair actions can be
considered in determining whether the suite of leak repair requirements
triggered by the exceedance of the applicable leak threshold have been
satisfied, but the owner or operator of the appliance would still need
to ensure that the leaks had been repaired according to the proposed
definition of repair and that the other requirements proposed in 40 CFR
84.106 (e.g., initial and follow-up verification tests, leak
inspections (where applicable), and related recordkeeping) had been
met.
EPA notes that a 10 percent loss in full charge does not directly
correspond to the leak rate threshold of 20 percent for commercial
refrigeration and 30 percent for IPR. The 10 percent of total charge
lost when an indirect ALD system alarms may equate less than or greater
than an annualized leak rate of 20 or 30 percent depending on the
timeframe over which the leak occurred. See section IV.C.3.a. for more
information on calculating the annualized leak rate. In any event, this
difference is reasonable because the primary purpose of the ALD system
is to allow the owner or operator to obtain knowledge of the leak
earlier (e.g., before operations are impacted) and to facilitate
earlier repair, whether through preemptive repair before the leak rate
threshold is exceeded or through required repairs after the leak rate
threshold is exceeded.
[[Page 72251]]
The technical feasibility of the ``50 pounds of refrigerant or 10
percent of the full charge, whichever is less'' standard is well
established. This has been the threshold used by both CARB and is also
the standard in provisions at 40 CFR 82.157(g)(4)(ii) for ALD systems
that are used in lieu of quarterly or annual leak inspections, as part
of the leak repair requirements under CAA section 608.
EPA is requesting comment on all aspects of this proposal, and, in
particular, aspects of the proposed requirements for installing and
using ALD systems on refrigerant-containing appliances, as well as the
proposed compliance dates. EPA is requesting comment on the types of
appliances (e.g., only refrigeration equipment) and the charge size
cutoff for appliances (i.e., 1,500 pounds) that would be required to
use ALD systems. For example, should EPA consider including comfort
cooling appliances in the equipment required to use ALD systems or
should a lower or higher charge size cutoff be used, or should a
different approach be used for determining applicability for this
requirement (such as a CO2e based approach)? EPA continues
to consider options for the charge size cutoff for applying ALD system
provisions, particularly, those discussed in this preamble (e.g., 200,
500 pounds, 1,000 pounds, 2,000 pounds) and requests comment on these
and other potential cutoffs for requiring ALD systems on refrigerant-
containing appliances.
EPA is also requesting comment on the proposed alarm trigger
thresholds and detection levels for both direct and indirect ALD
systems. For direct ALD systems, EPA is requesting comment if it would
be appropriate to lower the required alert trigger threshold to 50 ppm
or to lower the concentration detection level to 5 ppm. For indirect
ALD systems, EPA is seeking comment on requiring that an indirect ALD
system alert at a lower measurement to detect leaks sooner (e.g., 5
percent of the full charge). For either type of ALD system, EPA
requests comment on whether these lower levels are technically
feasible, whether they would lead to increase in false positives, and
whether existing ALD systems used on refrigerant-containing appliances
should be grandfathered if EPA were to lower these levels.
As noted above in this section, EPA is aware of ten manufacturers
currently making ALD systems and selling them in the U.S. market. Many
of these companies have been supplying those that are required by state
regulations, those that chose to use ALD systems as an option under CAA
section 608, and those that choose on a voluntary basis to use ALD
systems. By requiring ALD systems nationally for certain types of RACHP
equipment, EPA understands demand will increase in short time.
Therefore, EPA requests comment and data or other supporting
information on whether supply and availability of ALD systems will be
available to meet the proposed compliance dates for new and existing
appliances. EPA anticipates that ALD systems for new appliances would
be able to comply with the January 1, 2025 date, and thus the options
described are focused only on existing equipment. However, EPA requests
comments on whether additional time would be needed for ALD system
installations in new appliances as well. EPA considered but did not
propose as its lead option to require ALD systems for existing
appliances when there is a triggering event (e.g., a leak rate
threshold exceedance). In this option, existing appliances would not be
required to install ALD systems within one year of the effective date
of the final rule, but they would be required to obtain and install ALD
systems within one year of a leak rate threshold exceedance (measured
from the date of the refrigerant addition that triggered the leak rate
calculation that revealed the exceedance). Another option EPA
considered but did not propose as its lead option would be to phase in
the requirement for ALD systems for existing refrigerant-containing
appliances over a longer time frame, such as over the course of three
years. EPA requests comment on the requirements for ALD systems
including these options the Agency considered. Additional information
is available in the draft TSD named American Innovation and
Manufacturing Act of 2020--Subsection (h): Automatic Leak Detection
System available in the docket for the proposed rulemaking.
b. Recordkeeping and Reporting
EPA is proposing specific reporting and recordkeeping requirements
for ALD systems that would be required under this action under
subsection (h). Where ALD systems are required, EPA is proposing that
owners or operators maintain records regarding the annual calibration
or audit of the system. EPA is also proposing to require that records
be maintained each time an ALD system triggers an alert, whether that
be based on the applicable ppm threshold for a direct ALD system or the
indicated loss of refrigerant measured in an indirect ALD system. When
an ALD system alerts of a leak, EPA is proposing that the owner or
operator maintain a record of the date the ALD systems alerted to a
leak and the location of the leak. The recordkeeping requirements
related to when a leak rate calculation is conducted are described in
section IV.C.3.g of this document. As noted in section II.B. of this
document, EPA's authority to require recordkeeping and reporting under
the AIM Act is also supported by section 114 of the CAA, which applies
to the AIM Act and rules promulgated under it as provided in subsection
(k)(1)(C) of the AIM Act.
EPA is proposing recordkeeping requirements in the case where an
owner or operator chooses to use an ALD system, where not required, as
a compliance option in lieu of periodic inspections for an appliance
that has exceeded an applicable leak rate. EPA is proposing that owners
or operators maintain records regarding the installation of the ALD
system and records of the annual calibration or audit of the system.
EPA is also proposing to require that records be maintained each time
the ALD system triggers an alert, whether that be based on the
applicable ppm threshold for a direct ALD system or the indicated loss
of refrigerant measured in an indirect ALD system. EPA is proposing
that the owner or operator maintain a record of the date the ALD
systems alerted to a leak and the location of the leak.
EPA is proposing that these records related to ALD systems, where
required, be maintained for 3 years. Where ALD systems are being
voluntarily used (i.e., appliances with a full charge below 1,500
pounds or using a substitute for HFCs with a GWP of 53 or below), there
are no recordkeeping requirements under this proposal. However, if an
appliance using an ALD system is found to be leaking above the
applicable leak rate and the owner or operator chooses to use the ALD
system in lieu of periodic inspections, they would be required to
follow all requirements associated with this compliance option,
including annual audits or calibration and all necessary recordkeeping
requirements. The proposed recordkeeping requirements in this action do
not change any recordkeeping requirements where an owner or operator
chooses to use an ALD system per 40 CFR 82.157(g)(4) for appliances
containing ODS refrigerants.
EPA requests comment on whether the Agency should require reporting
of ALD system alerts to the agency. Specifically, EPA requests comment
on whether owner or operators of refrigerant-containing appliances that
have a full charge of 1,500 pounds should be required to file a report
with
[[Page 72252]]
the agency within 120 days of an ALD system alert that describes the
incident and follow-up leak rate calculation and/or repairs.
Alternatively, EPA requests comment on an annual reporting requirement
that would catalogue all ALD system alerts that occurred in a one-year
period and the follow-up actions associated with those alerts. EPA is
not proposing either of these reporting requirements as its lead option
because the Agency believes the proposed requirements for chronically
leaking appliance reports may be sufficient to accomplish the policy
objectives of verifying that appropriate repairs are undertaken when a
refrigerant-containing appliance has a significant history of leaks.
D. How is EPA proposing to establish requirements for the use of
recovered and reclaimed HFCs?
1. Background
As described more fully in section II.B. in this proposal,
subsection (h) of the AIM Act directs EPA to promulgate regulations for
certain purposes identified in the statutory text, which include
maximizing the reclamation of regulated substances. More specifically,
subsection (h)(1) gives EPA authority to promulgate regulations to
control, where appropriate, any practice, process, or activity related
to the servicing, repair, disposal, or installation of equipment that
involves HFCs or their substitutes, or the reclaiming of HFCs or their
substitutes used as a refrigerant. With respect to reclamation, EPA
interprets subsection (h) as including authority for EPA to establish
regulations to control such practices, processes, or activities that
are intended to increase reclamation of HFCs, as well as substitutes
for HFCs that are used as refrigerants. Such regulations could include
those that are designed to increase market demand for reclaimed HFCs
with a goal of increasing the amount of HFCs that are reclaimed, which
would further serve the purpose of maximizing the reclamation of
regulated substances. Consistent with this interpretation, EPA is
proposing requirements for the use of reclaimed HFCs in the
installation, servicing, or repair of certain equipment. In this
rulemaking, EPA is not considering establishing requirements for the
use of reclaimed HFC substitutes. Substitutes for HFCs, for the
purposes of this proposal, range from fluorinated chemistry (e.g.,
HFOs), non-fluorinated chemistry (e.g., hydrocarbons), and not-in-kind
substitutes. In this proposed rulemaking, EPA determined it would be
prudent to limit the proposed requirements to HFCs, given the
consumption and production phasedown will create scarcity for virgin
HFCs and such demand can partly be addressed by increased use of
reclaimed HFCs where possible.
Reclamation of refrigerants has played an important role in
smoothing the phase out of ODS refrigerants. The continued availability
of ODS refrigerants helped ensure that equipment could continue to be
used even after the phaseout date for production and consumption of
various class I and class II ODS. Even today, more than 25 years after
the class I phaseout, reclaimed class I ODS remain available for
servicing appliances. Reclamation of HFCs already plays a nascent role
in the refrigerant market and is expected to be of increasing
importance as HFC production and consumption are phased down. By
bolstering the current supply of HFCs with recovered and reclaimed
refrigerants from existing systems, reclamation can support a smooth
transition to substitutes for HFCs, minimize disruption of the current
capital stock of equipment by allowing its continued use with existing
refrigerant supplies, avoid supply shortages of virgin refrigerants,
and can insulate the industry against price spikes that could affect
the servicing of existing systems using HFCs.
EPA published a Notice of Data Availability (NODA) on October 17,
2022 (87 FR 62843) to alert stakeholders of information regarding the
U.S. HFC reclamation market, available through a draft report, Analysis
of the U.S. Hydrofluorocarbon Reclamation Market: Stakeholders,
Drivers, and Practices.\75\ EPA solicited stakeholder feedback and held
a public stakeholder meeting shortly after the NODA was published on
November 9, 2022.\76\ EPA received comments \77\ from various entities
in response to the published NODA and from the stakeholder meeting
held, including comments from reclaimers, industry organizations,
environmental non-government organizations (ENGOs), OEMs, and a private
citizen. Commenters provided input on a variety of topics. They noted
the importance of tackling certain barriers to increased reclamation
and availability of reclaimed HFCs on the market. Such barriers
included increasing recovery of refrigerants, handling mixed
refrigerants returned to reclaimers, and reclaiming certain patented
blends. Commenters also provided input on consideration for a clear
standard of what constitutes reclaimed HFCs, as well as improved
tracking of HFCs in the supply chain. Further, some commenters noted
opportunities for requiring the use of reclaimed materials in certain
uses (e.g., first charge of certain equipment). EPA held an additional
public stakeholder meeting on March 16, 2023 and a webinar through
EPA's GreenChill Partnership Program on April 12, 2023 and heard many
similar comments.78 79 Interested parties may view the draft
report, the materials for the public meetings, and the comments the
Agency received in response to the NODA in the docket for this action.
Further, EPA is providing an updated version of the draft report,
titled Updated Draft Report--Analysis of the U.S. Hydrofluorocarbon
Reclamation Market: Stakeholders, Drivers, and Practices, in the docket
of this action that incorporates feedback heard in the stakeholder
meetings and as provided in comments to the NODA.
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\75\ Draft Report--Analysis of the U.S. Hydrofluorocarbon
Reclamation Market: Stakeholders, Drivers, and Practices, October
2022. Available: https://www.epa.gov/system/files/documents/2022-10/Draft_HFC-Reclamation-Report_10-13-22%20sxf%20v3.pdf.
\76\ Stakeholder meeting for input on an upcoming regulatory
action under subsection (h) of the AIM Act, November 2022.
Available: https://www.epa.gov/system/files/documents/2022-11/AIM%20Act%20Stakeholder%20Meeting_HFC%20Management_11-9-2022.pdf.
\77\ Comments submitted to response of NODA published on October
17, 2022 (87 FR 62843) are available in the docket for this proposed
rulemaking at https://www.regulations.gov.
\78\ Stakeholder meeting on HFC reclamation under the AIM Act,
March 2023. Available: https://www.epa.gov/system/files/documents/2023-04/HFC%20Management_Reclaimer%20Stakeholder%20Mtg_Final%203-15-23.pdf.
\79\ Webinar--Subsection (h) Under the American Innovation and
Manufacturing Act, April 2023. Available: https://www.epa.gov/greenchill/webinar-subsection-h-under-american-innovation-and-manufacturing-act.
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2. Proposed Reclamation Standard
Subsection (b)(9) of the AIM Act provides a statutory definition
for ``reclaim, reclamation.'' This definition refers to the
reprocessing of a recovered regulated substance to meet at least the
purity described in standard AHRI 700-2016 (or an appropriate successor
standard adopted by the Administrator), and that the purity of the
reclaimed regulated substances must be verified using, at a minimum,
the analytical method described in that standard. EPA promulgated a
definition for ``reclaim'' in the Allocation Framework Rule (86 FR
55116, October 5, 2021) that is consistent with the definition provided
by the AIM Act. As noted in section IV.A. of this proposal, the Agency
intends to maintain consistency, except as otherwise explained in this
proposal,
[[Page 72253]]
and use terms in this proposal, and in the new subpart C, which is
proposed to be established in this rulemaking, as they are defined in
subpart A.
Subsection (h)(2)(B) of the AIM Act provides that any regulated
substance used as a refrigerant that is recovered shall be reclaimed
before being sold or transferred to a new owner, except where the
recovered regulated substance is sold or transferred to a new owner
solely for the purposes of being reclaimed or destroyed. EPA is
proposing regulations to implement the statutory requirement in
subsection (h)(2)(B) for stationary refrigerant-containing equipment.
This would be particularly relevant to the refrigerant-containing
appliances for which EPA is proposing requirements to use reclaimed
HFCs in sections IV.D.3. and IV.D.4. of this proposal. More
specifically, EPA is proposing to prohibit the sale, distribution, or
transfer to a new owner, or the offer for sale, distribution, or
transfer to a new owner, any regulated substance used as a refrigerant
in stationary refrigerant-containing equipment consisting in whole or
in part of recovered regulated substances. This prohibition would not
apply where the recovered regulated substances are reclaimed by an EPA-
certified reclaimer (as described in 40 CFR 82.164) and has been
reclaimed to the required purity standard, or if the recovered
regulated substance is being sold, distributed, or transferred to a new
owner, or offered for sale, distribution, or transfer to a new owner
solely for the purposes of being reclaimed or destroyed. These proposed
provisions are intended to support the implementation of this statutory
provision for stationary refrigerant-containing equipment in the
context of other requirements proposed in this rulemaking, including by
outlining more specific requirements for the reclamation that would
need to occur before sale or any of the other listed activities for
such regulated substances, as well as incorporating the statutory
exception for situations where such recovered regulated substances are
sold or transferred solely for the purposes of being reclaimed or
destroyed. EPA further discusses its anticipated approach for recovered
regulated substances used as refrigerants in MVAC equipment in section
IV.H. of this preamble.
To support consistent implementation of the proposed requirements
for the use of reclaimed HFCs in the installation, servicing, or repair
of certain equipment, EPA is proposing a standard for the amount of
virgin HFC refrigerant that can be included in any HFC or HFC blend
reclaimed refrigerant. These requirements are being proposed as part of
implementing subsection (h)(1) of the AIM Act, as these provisions
would control practices, processes, or activities regarding the
installation, servicing or repair of equipment and would involve a
regulated substance or the reclaiming of a regulated substance used as
a refrigerant.
Typically, CAA section 608 certified reclaimers meet the required
purity standards for reclaimed refrigerants by using separation
technology (e.g., fractional distillation), combining high purity \80\
refrigerant with recovered refrigerant until the purity standard is
met, or using a combination of these approaches. In some cases,
sophisticated fractional distillation technology is required to purify
recovered refrigerants. Combining high purity (e.g., virgin)
refrigerants with recovered refrigerants is an approach that some CAA
section 608 certified reclaimers may use to meet the required purity
standard. In that approach, virgin or otherwise high purity (e.g.,
other reclaimed refrigerants) refrigerant is added to the recovered
refrigerant, which may or may not have gone through some degree of
reprocessing, until the final product meets the purity specifications
to be considered reclaimed. A combination of separation technology and
using virgin HFCs may be used, in which the separation technology
reprocesses the refrigerant nearly to the required purity standard and
high purity refrigerant is used to rebalance the refrigerant and/or
fully achieve the standard.
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\80\ In some cases, virgin refrigerant may be combined with less
pure recovered refrigerant to achieve the required applicable purity
standard; however, other higher purity refrigerants, such as
previously reclaimed refrigerants could also be used to achieve the
same result.
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As the HFC phasedown progresses, the overall quantity of virgin
HFCs available, including to facilitate reclamation through blending or
rebalancing, will decrease. In addition, the Agency considers that
limiting the extent to which the purity standard for reclamation is
achieved through combining with virgin refrigerant (besides what the
Agency understands to be the necessary rebalancing, particularly of
certain blends) will support the purposes of its proposed regulations
for use of reclaimed refrigerant, including maximizing reclamation, as
well as bolstering the available supply of HFCs in the market.
Therefore, EPA is proposing to establish a limit on the amount, by
weight of virgin HFC refrigerants, that can be contained in reclaimed
HFC refrigerant. The proposed amount is no more than 15 percent virgin
HFC refrigerants, by weight. As EPA understands, reclaimed HFCs may be
reprocessed in a batch, from which containers, such as cylinders, may
be filled and sold or distributed. In this case, EPA is not proposing
to require that each individual container or cylinder be rationed out
to meet the allowable limit of virgin HFCs. Rather, EPA would expect
that at the batch level, the reclaimed HFCs do not exceed 15 percent,
by weight, virgin HFCs. In order to support compliance with and
enforcement of these proposed requirements, EPA is proposing labeling
and recordkeeping requirements as well as proposing to prohibit the
sale, identification, or reporting of refrigerant as being reclaimed if
the HFC component of the resulting refrigerant contains more than 15
percent, by weight, of virgin HFC. Similarly, to ensure that this
standard is supporting the reclamation of substances that have had bona
fide use in equipment, EPA would not consider a refrigerant to be
reclaimed if it contains a recovered regulated substance that has not
had bona fide use in equipment, unless that recovered refrigerant was
from the heel or residue of a container that had a bona fide use in the
servicing, repair, or installation of refrigerant-containing equipment.
As the Agency developed this aspect of the proposal under the AIM
Act subsection (h), EPA considered a number of sources of information
about the approach to the use of virgin refrigerant in reclaimed
refrigerant, including but not limited to the NODA (87 FR 62843,
October 17, 2022) on the state of reclamation and comments received,
relevant state regulations, comments made during stakeholder meetings,
and a 2022 report by a group of ENGOs (Environmental Investigations
Agency, the Natural Resources Defense Council, and the Institute for
Governance & Sustainable Development).\81\ Limiting the amount of
virgin refrigerant was not included in the CAA section 608 regulations.
However, consistent with sources of information noted above and in
recognizing the context of the overall structure of the AIM Act
phasedown, EPA assessed the current landscape of requirements for
defining the composition of reclaimed HFCs as it
[[Page 72254]]
relates to the amounts of virgin and recovered HFCs contained. EPA
notes that the State of California currently has such a definition in
its regulations. The CARB finalized a regulation, effective January 1,
2022, that defines ``certified reclaimed refrigerant'' as containing no
more than 15 percent virgin refrigerant by weight and the certified
reclaimer must provide supporting documentation showing as such.\82\
CARB arrived at a maximum allowable amount of virgin HFCs of 15 percent
by weight in ``certified reclaimed refrigerant'' based on feedback from
multiple stakeholders (including reclaimers, OEMs, and industry trade
groups) who commented that having an allowable amount of virgin HFCs in
reclaimed HFCs would be necessary for rebalancing out-of-ratio
recovered HFCs and HFC blends.\83\ During a November 2022 stakeholder
meeting EPA hosted and in comments submitted in response to the October
2022 NODA, several participants referred to CARB's 15 percent
requirement as a workable limit for reclaimed refrigerant. The ENGO
report suggests that a 15 percent requirement should be the maximin
amount of virgin refrigerant the Agency should consider; however, EPA
is not aware of a specific alternative proposed limit that the groups
that developed this report are suggesting.
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\81\ Environmental Investigations Agency, the Natural Resources
Defense Council, and the Institute for Governance & Sustainable
Development, The 90 Million Ton Opportunity: Lifecycle Refrigerant
Management (LMR), available at: https://www.nrdc.org/sites/default/files/lrm-90-billion-ton-opportunity-report-20221020.pdf.
\82\ California Code of Regulations, Prohibitions on Use of
Certain Hydrofluorocarbons in Stationary Refrigeration, Stationary
Air-conditioning, and Other End-Uses. Available: https://ww2.arb.ca.gov/sites/default/files/barcu/regact/2020/hfc2020/frorevised.pdf.
\83\ Final Statement of Reasons for Rulemaking, Including
Summary of Comment sand Agency Response, State of California Air
Resources Board, available at: https://ww2.arb.ca.gov/sites/default/files/barcu/regact/2020/hfc2020/fsorrevised.pdf.
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Based on the information described above from CARB and others, EPA
is proposing to conclude that placing a limit on virgin HFCs in
reclaimed HFC refrigerant is necessary to avoid situations where
unlimited virgin HFCs could be sold as reclaimed HFC refrigerant if
even a small amount of reclaimed HFCs are present. EPA notes that the
limit of 15 percent virgin HFC refrigerant, by weight, in reclaimed
HFCs as proposed in this action is consistent with the requirements in
the State of California for what is defined as ``certified reclaimed
refrigerant.'' Accordingly, EPA anticipates that regulated entities
could draw on the experience of those regulated entities complying with
California's limit in implementing this requirement. As part of
developing this proposal, EPA considered the process which CARB
underwent with industry and trade associations, both of which have a
national presence, to land on this limit. Further, EPA acknowledges
CARB's consideration of avoiding a scenario in which reclaimed HFCs
could be sold as such, but actually contain mostly virgin HFC
refrigerant with minimal amounts of recovered HFCs. Such a scenario
would be inconsistent with the purpose identified in the subsection (h)
of the AIM Act to maximize the reclamation of regulated substances and
could cause strain on the supply of virgin HFC refrigerants available
as EPA implements the provisions in the AIM Act related to phasing down
the production and consumption of HFCs.
As part of the initial regulations to implement subsection (h), for
specified subsectors and applications, EPA is proposing to establish
requirements that specific practices, processes, or activities
regarding the servicing, repair, or installation of equipment be
conducted using reclaimed HFCs, meeting the proposed criteria described
in this section. In particular, EPA is proposing to require that HFCs
that are considered to be reclaimed must contain no more than 15
percent, by weight, of virgin HFCs. EPA recognizes that some amount of
virgin HFC refrigerant may be needed to meet the required purity
standard and correct blend composition for HFC blends and/or HFC and
HFC substitute blends.
In the case of reclaimed refrigerant blends that contain other
components that are substitutes for HFCs (e.g., HFOs, hydrocarbons),
EPA is proposing that only the HFC portion of the reclaimed blend is
required to meet the virgin substance limit (i.e., 15 percent, by
weight). EPA notes that subsection (h)(1) of the AIM Act provides
authority to promulgate regulations to control, where appropriate,
practices, processes, or activities related to the servicing, repair,
disposal, or installation of equipment that involves reclaiming of a
substitute for a regulated substance used as a refrigerant. EPA
interprets this provision to provide it authority which could include
requiring, where appropriate, the use of reclaimed HFC substitute
refrigerants in practices, processes, or activities related to the
servicing, repair, disposal, or installation of equipment. However, at
this time, we are not proposing a requirement on establishing a
standard limiting the amount of virgin material for what is considered
a reclaimed substitute for HFCs.
EPA is proposing labeling and recordkeeping requirements to support
the proposed provision implementing a standard for reclaimed HFC
refrigerants to contain no more than 15 percent, by weight, virgin
HFCs. These requirements would help ensure that reclaimed HFCs would
not exceed the limit for virgin HFCs and also help ensure that
reclaimed HFCs are used for servicing, repair, and/or installation of
equipment as proposed in sections IV.D.3. and IV.D.4. of this proposal.
EPA is proposing that certified reclaimers would be required to affix a
label to containers that are being sold or distributed or offered for
sale or distribution that would certify that the reclaimed HFC
refrigerant meets the proposed requirements to contain no more than 15
percent virgin HFCs. The label would further serve to inform owners or
operators of refrigerant-containing equipment that the reclaimed HFCs
meet the proposed requirements to be used for servicing, repair, and/or
installation of equipment in the covered subsectors of this proposal
(see sections IV.D.3. and IV.D.4.). EPA is proposing that certified
reclaimers must affix this label to reclaimed HFCs being sold or
distributed or offered for sale or distribution beginning January 1,
2026. The label would be required to follow the specifications as
described in the proposed regulatory text at Sec. 84.112.
EPA is also proposing a recordkeeping requirement related to the
proposed provision to limit reclaimed HFCs to not exceed 15 percent
virgin HFCs, by weight. The recordkeeping requirement would help
provide certainty that the reclaimed HFCs that are in a container do
not exceed the limit for virgin HFCs. EPA is proposing to require that
certified reclaimers create and maintain a record related to the
reclaimed HFCs that would be filled in containers. As described above,
reclaimed HFCs may be reprocessed in a batch, from which containers,
such as cylinders, may be filled and sold or distributed. As noted, EPA
is not proposing to require that each individual container or cylinder
be rationed out to meet the allowable limit of virgin HFCs. Rather, EPA
would expect that at the batch level, the reclaimed HFCs do not exceed
15 percent, by weight, virgin HFCs. EPA is proposing that a certified
reclaimer would be required to provide a record of certification that
the reclaimed HFCs being sold in a container were sourced from a batch
that met the proposed standard. Further, the record generated would be
required to contain the following information: the name, address,
contact person, email address, and phone number of the certified
reclaimer, the date the container was filled with reclaimed HFC(s), the
amount and name of the HFC(s) in the container, certification that the
contents
[[Page 72255]]
of the container are from a batch where the amount of virgin HFCs does
not exceed 15 percent, by weight, of the total HFCs, the unique serial
number of the container(s) filled from the batch, identification of the
batch of reclaimed HFCs used to fill the container(s) and the percent,
by weight, of virgin HFC(s) in the batch used to fill the container(s).
EPA is proposing to require that such record would be required to be
generated beginning January 1, 2026 and be maintained for three years.
EPA is seeking comment on considering whether the requirements for
generating a machine-readable tracking identifier per section IV.F.3.
of this proposal would satisfy these proposed labeling and
recordkeeping requirements to implement the limit of 15 percent virgin
HFCs, by weight, in reclaimed HFCs. For example, EPA is seeking comment
on whether the data elements required for generating the machine-
readable tracking identifier would be sufficient for certifying that
the limit for virgin HFCs is not exceeded. EPA is also seeking comment
on whether or how the information proposed to be required in the
generation of a machine-readable tracking identifier would serve the
purpose of ensuring that a certified reclaimer has certified that no
more than 15 percent virgin HFCs, by weight were used to formulate the
reclaimed HFCs, and whether or how this information would also help to
inform owners and operators in the proposed RACHP subsectors who would
be required to use reclaimed HFCs for the servicing, repair, and/or
installation of equipment, that they are using reclaimed HFCs meeting
the proposed standards. Further, EPA seeks comment on whether an
additional label would be required or any current labels affixed to a
container of reclaimed HFCs could be adjusted to accommodate these
proposed requirements.
EPA is requesting comments on all aspects of this proposal, and in
particular, aspects of setting a standard for the amount of virgin HFC
refrigerant in reclaimed HFCs. EPA is seeking comment on whether to
establish a lower percentage of allowable virgin HFC refrigerants, for
example, EPA could allow no more than 10 percent virgin HFCs, by
weight, in reclaimed HFCs that are used to meet these proposed
requirements. EPA is also seeking comment on our proposal to not
require a limit on the amount of virgin refrigerant used in reclaimed
substitutes for HFCs. The Agency is seeking comment on the proposed
recordkeeping and labeling requirements to ensure that the reclaimed
HFCs do not exceed 15 percent, by weight, virgin HFCs, and which party
or parties should be responsible for maintaining the record.
Specifically, EPA is seeking comment on adding a label to reclaimed HFC
refrigerants that would identify them as such, since it is EPA's
understanding that not all reclaimed HFC refrigerants are explicitly
marketed as such.
3. Proposed Requirements for Initial Charge of Equipment for Subsectors
in the RACHP Sector
EPA is proposing that for certain subsectors and applications in
the RACHP sector where HFCs or a blend containing HFCs are used, the
initial charge of refrigerant-containing equipment must be with
reclaimed HFCs starting January 1, 2028. Specifically, in the case of
certain factory-charged refrigerant-containing equipment that use HFCs
as the refrigerant, EPA is proposing that such equipment in the covered
subsectors and applications sold or distributed, or offered for sale or
distribution, for installation, or installed, in the United States
would be required to have reclaimed HFCs be used for the initial
charge. For certain refrigerant-containing equipment using HFCs that
are initially charged in the field (e.g., on-site),\84\ EPA is
proposing to require that reclaimed HFCs be used for the initial charge
during installation of the equipment. These requirements are being
proposed as part of implementing subsection (h)(1) of the AIM Act, as
these provisions would control practices, processes, or activities
regarding the installation of equipment, and would involve a regulated
substance or the reclaiming of a regulated substances used as a
refrigerant.
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\84\ Field-charging of equipment occurs when of a piece of
equipment shipped to the location in which it will be installed.
Equipment may also be field-charged when the overall system is not a
single piece of equipment, but rather is a collection of components
installed to meet a particular configuration (e.g., installation of
a supermarket system).
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In the case of field-charged equipment that are designed to be
configured to particular application (e.g., custom-built or not ``off-
the-shelf'' equipment), EPA is proposing that for certain refrigerant-
containing equipment (e.g., retail food refrigeration supermarket
system) a new installation would be considered to have occurred if the
overall cooling capacity is increased or the entire refrigeration loop
is replaced (compressor, condenser, evaporator, etc.). For example, EPA
understands that in some situations components may be added to current
systems, such as if the cooling demand of a particular system increases
(e.g., expansion of a supermarket). In other cases, components may be
added to a system without changing the overall cooling capacity or
replacing the refrigeration loop. In these cases, EPA is not proposing
to consider this a new installation and the use of reclaimed HFCs would
not be required unless the equipment had already been required to use
reclaimed HFCs for its original installation. Under the proposed
requirements, where equipment was already required to have been charged
with reclaimed HFCs when installed, reclaimed HFCs must continue to be
used even if a component is added to a system but the cooling capacity
is unchanged or the refrigerant loop is not replaced. Proposed
requirements for servicing or repair of certain equipment with
reclaimed HFCs would apply in the event that refrigerant needs to be
removed or other servicing or repair is required. Section IV.D.4 of
this proposal describes what EPA is proposing for the use of reclaimed
HFCs for the servicing and/or repair of certain refrigerant-containing
equipment.
As explained in this section, EPA is proposing requirements for
using reclaimed HFCs as the initial charge in certain refrigerant-
containing equipment that will be sold or distributed or offered for
sale or distribution for installation or installed in the United States
in certain RACHP subsectors and applications. EPA is proposing to delay
the compliance date for the requirements for using reclaimed HFCs as
the initial charge in certain equipment until January 1, 2028.
On January 1, 2029, under the HFC phasedown schedule prescribed by
Congress in subsection (e)(2)(C) of the AIM Act, the HFC production and
consumption caps decrease by 70% as compared to historic baseline
levels. While EPA anticipates that many equipment manufacturers will
transition to substitutes for HFCs, reclaimed HFCs are anticipated to
fill a vital role in supplying industry with usable HFCs for new and
existing equipment. The experience with the phaseout of class I and
class II ODS suggests that reclamation will be an important option for
smoothing the phasedown. However, given the AIM Act calls for a
phasedown of HFCs and not a phaseout, there also likely could be a
continuing dependency on HFCs, at least for certain sectors and
subsectors, indefinitely. Therefore, experience with similar chemicals
and considering how markets may respond to a phasedown, were among the
factors EPA considered when
[[Page 72256]]
developing the proposed requirements for requiring use of reclaimed
HFCs.
EPA is aware that industry and, in particular, reclaimers may need
time to adjust business practices and build capacity to reclaim HFCs to
support this upcoming demand for reclaimed HFCs as well as make other
changes. EPA publishes annual data on the trends of reclaimed
refrigerants.\85\ These data for reclaimed HFCs begin in 2017, when the
CAA section 608 requirements for reporting reclamation of HFCs began.
Reclamation of HFC refrigerants have been generally steady since 2017
through 2021; however, HFC reclamation had a sizeable increase of
approximately 38 percent in 2022 compared to 2021. EPA recognizes that
these data mostly represent years ahead of when HFC production and
consumption was capped, but the observed increase in reported HFC
reclamation in 2022 shows an important step to making reclaimed HFCs
more available on the market. Continued increases in the current levels
of HFC reclamation will be necessary to meet the anticipated demand of
HFCs in the subsectors for which EPA is proposing requirements for the
use of reclaimed HFCs. EPA also recognizes the significant steps in the
HFC phasedown that will occur in 2024 and 2029, and equipment using
HFCs will generally rely on reclaimed HFCs, further adding to the
demand of reclaimed HFCs. Proposing requirements for the use of
reclaimed HFCs beginning in 2028 will give reclaimers and industry time
to adjust business practices (e.g., changing suppliers) and build
capacity, while allowing industry to have sufficient reclaimed HFCs
ahead of the significant phasedown step which will reduce the amount of
virgin HFCs that are available to meet demand for HFCs. Reclaimers who
may need to build additional capacity would need this additional time
to develop the necessary infrastructure to reclaim sufficient HFCs.
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\85\ U.S. EPA, Summary of Refrigerant Reclamation Trends,
available: https://www.epa.gov/section608/summary-refrigerant-reclamation-trends.
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The report by a group of ENGOs \86\ states that a requirement for
new equipment to use reclaimed HFCs would further help mitigate the
climate impact of sectors that are transitioning away from very-high-
GWP substances to mid-GWP substances as part of the HFC phasedown. The
report states that a requirement to use reclaimed refrigerant instead
of virgin refrigerants in specific subsectors ``would go a long way
towards building a market for reclaimed refrigerant and avoiding
unnecessary emissions of virgin HFCs.'' Specifically, it advocates for
requirements to use of reclaimed refrigerant for initial charge and
provides examples of subsectors to be covered for initial factory-
charged equipment. Such examples include air conditioning and heat
pumps where refrigerants such as HFC-32 and R-454B are among the likely
candidates replace R-410A. The authors of the report note that it has
been uncommon to use reclaimed refrigerant in new factory-charged
equipment. However, they state that the use of reclaimed refrigerant in
new air conditioners and heat pumps has been successfully executed on a
voluntary basis in Europe.\87\
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\86\ Environmental Investigations Agency, the Natural Resources
Defense Council, and the Institute for Governance & Sustainable
Development, The 90 Million Ton Opportunity: Lifecycle Refrigerant
Management (LMR), available at: https://www.nrdc.org/sites/default/files/lrm-90-billion-ton-opportunity-report-20221020.pdf.
\87\ Daikin Reclaimed Refrigerant Initiative in partnership with
A-Gas, available at: https://www.chillaire.co.uk/reclaimed-refrigerant-initiative/.
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EPA is proposing that all refrigerant-containing equipment (i.e.,
100 percent) in the identified subsectors in this section use reclaimed
HFCs for their initial charge. EPA is also considering requiring a
certain percentage of some or all refrigerant-containing equipment in
the subsectors identified in this aspect of the proposal be met with
reclaimed HFCs for their initial charge. There may be certain
advantages to such an approach including if availability of specific
HFCs or HFC blends are not available in sufficient quantity to meet
demand. However, complying with a percentage-based requirement could be
challenging. Such an approach could also require additional
recordkeeping or reporting requirements. If EPA were to use a
percentage-based approach, in other words requiring for example 25, 50,
or 75 percent of the affected equipment be charged with reclaimed
refrigerant, EPA anticipates that for factory-charged equipment, the
recordkeeping and reporting requirements would be for the manufacturers
while for field-charged equipment the requirements would be for the
owners and operators. By proposing to require that all refrigerant-
containing equipment in the affected subsectors have reclaimed HFCs
used in their initial charge, additional recordkeeping requirements
would be avoided since OEMs and owners or operators could just purchase
reclaimed HFCs rather than keep track of the amount of reclaimed and
virgin HFCs they purchase for the initial charge of their equipment
throughout the year, as would be necessary if only a portion of the
affected equipment were required to be charged with reclaimed
refrigerant. EPA also understands that a variant on type of percentage-
based approach is used in California in a limited manner. EPA
understands that California requires those that manufacture certain
equipment (e.g., certain air-conditioning appliances) must purchase a
certain amount of reclaimed refrigerant. However, California does not
specify where or how the reclaimed refrigerants are used.
Subsectors in the RACHP Sector
EPA is proposing to require use of reclaimed HFCs in initial
charges for new refrigerant-containing equipment the following
subsectors that will be installed in the United States:
Residential and light commercial AC and heat pumps;
Cold storage warehouses;
Industrial process refrigeration;
Stand-alone retail food refrigeration;
Supermarket systems;
Refrigerated transport; and
Automatic commercial ice makers.\88\
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\88\ EPA has proposed to restrict the use of certain higher-GWP
HFCs in these seven subsectors through a rulemaking under subsection
(i) of the AIM Act. (87 FR 76738, December 15, 2022). Although EPA
has not yet made final decisions regarding these subsectors, such
restrictions on higher-GWP HFCs could affect the use of such HFCs
for initial charge in these subsectors by 2028, even if these HFCs
were reclaimed prior to the initial charge.
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The types of equipment that are in these subsectors may vary by
when the initial charge of the refrigerant is added to the equipment.
Some types of equipment in a given subsector may be charged with the
refrigerant before the equipment is sold or distributed (i.e., factory-
charged), while others within the same subsector or in a different
subsector may have the refrigerant charged in the field (i.e., field-
charged). For example, self-contained equipment (e.g., window air
conditioning units) in the residential and light commercial air
conditioning and heat pumps subsector are charged with refrigerant at
the factory and sold with the refrigerant in the equipment before it is
installed for its intended use. Larger pieces of equipment in the IPR
or supermarket systems subsectors, for example, have the refrigerant
charged in field. These larger pieces of equipment may be custom-built
to meet the specific needs of the application in which they are used,
and the refrigerant is charged during the installation of the
equipment. Additional detail on the types of
[[Page 72257]]
equipment and the applications in which they are used in the listed
subsectors is provided in the proposed Technology Transitions Rule (87
FR 76738, December 15, 2022). Although EPA has not yet issued a final
Technology Transitions rule, we also anticipate considering, where
appropriate, any further information provided on these types of
equipment, applications, and subsectors in any final Technology
Transitions rule as we are developing this rulemaking under subsection
(h) of the AIM Act, in an effort to promote consistency where
appropriate.
EPA understands that, in practice, reclaimed HFCs meet the same
purity standards as their virgin counterparts and function the same
when used in equipment in the RACHP sector and other sectors. Comments
in response to EPA's NODA (87 FR 62843, October 17, 2022) and in
stakeholder meetings hosted by the Agency noted that there are not
significant barriers to using reclaimed HFCs in the initial charge of
equipment. Thus, EPA's proposal to require the use of reclaimed HFCs
regarding the installation of new equipment in the listed subsectors
would not have any significant technical limitations. EPA is aware that
the near-term capacity of reclaimed HFCs may not be sufficient to meet
the total demand of HFCs in all new equipment across the whole RACHP
sector and thus is proposing a subset of subsectors to be required to
use reclaimed HFCs in the initial charge for the installation of new
equipment. As described later in this section, the Agency also is
seeking comment on requiring a percent of equipment in the subsector
use reclaimed refrigerants rather than all equipment in that subsector
given EPA understands that there could be other factors, such as
introduction of new and/or patented refrigerants, that could affect the
decision on the use of reclaimed refrigerants. For example, EPA could
require manufacturers use reclaimed HFCs in 25, 50, or 75 percent of
their total product lines for the covered product categories. The
Agency describes later in this section in more detail and in the
Updated Draft Report--Analysis of the U.S. Hydrofluorocarbon
Reclamation Market: Stakeholders, Drivers, and Practices,\89\ the
anticipated demand of HFCs for new refrigerant-containing equipment in
these subsectors that would need to be met with reclaimed HFCs, and
notes that the proposed compliance date for these proposed requirements
would not be until 2028. The proposed compliance date provides industry
a transition period to facilitate necessary changes in the current
business practices and to allow for the HFC reclamation market to grow.
Further, based on the restrictions in the proposed Technology
Transition rule (87 FR 76738, December 15, 2022), industry should have
a good sense of what HFCs and blends containing HFCs would be being
used in new equipment.
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\89\ EPA, 2023. Updated Draft Report--Analysis of the U.S.
Hydrofluorocarbon Reclamation Market: Stakeholders, Drivers, and
Practices. Available in the docket (EPA-HQ-OAR-2022-0606) for this
proposed rulemaking at https://www.regulations.gov.
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EPA is proposing requirements for the initial charge with reclaimed
HFCs in equipment in these seven subsectors within the RACHP sector
based on the Agency's assessment of available reclaimed HFCs available
to meet anticipated demand and that these are uses for which reclaimed
refrigerants are appropriate to use. For example, EPA understands for
certain subsectors, particularly those outside the RACHP sector, such
as for certain medical devices (e.g., metered-dose inhalers), reclaimed
HFCs would not be meet the specific quality and purification
requirements. In its outreach, EPA asked about any significant
challenges or barriers to using reclaimed HFCs as the initial charge of
refrigerant in equipment. The Agency received comments in support of
requiring reclaimed HFCs as the initial charge for equipment in
response to the October 2022 NODA and did not learn of any technical
barriers.\90\
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\90\ Comments submitted to response of NODA published on October
17, 2022 (87 FR 62843) are available in the docket (EPA-HQ-OAR-2022-
0606) for this proposed rulemaking at https://www.regulations.gov.
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Reclaimed HFCs are purified and tested to verify they meet the
levels as specified in appendix A to 40 CFR part 82, subpart F (which
is based on AHRI 700-2016), as consistent with the definition of
reclaim in 40 CFR part 84, subpart A. The Allocation Framework Rule (86
FR 55116, October 5, 2021) also requires that virgin HFC refrigerants
meet this same standard. Therefore, their purity is indistinguishable.
By requiring the use of reclaimed HFCs in these seven subsectors, EPA
is providing opportunities to smooth transition to using reclaimed HFCs
in new equipment that would be installed.
EPA estimated the demand for initial charge of HFCs for equipment
in the applicable subsectors in 2028 that would be required to be
fulfilled with reclaimed HFCs per this proposal. EPA estimates that the
total amount of reclaimed HFCs that would be required to meet demand
for the initial charge of refrigerant-containing equipment in the
covered subsectors would be approximately 23,300 metric tons, which is
equivalent to 31.0 MMTCO2e in 2028. The subsector with the
greatest amount of reclaimed HFCs needed to meet demand for the initial
charge of equipment is the residential and light commercial subsector,
at approximately 18,600 metric tons (18.6 MMTCO2e) of
reclaimed HFCs that would be required in 2028. Additional information
on the demand of HFCs for the initial charge of refrigerant-containing
equipment in the covered subsectors can be found in the Updated Draft
Report--Analysis of the U.S. Hydrofluorocarbon Reclamation Market:
Stakeholders, Drivers, and Practices in the docket for this rulemaking.
EPA is requesting comment on all aspects of this rule. With regard
to the proposed requirements for using reclaimed HFCs in the initial
charge of certain refrigerant-containing equipment, EPA is requesting
comment on whether the requirement to use reclaimed HFCs in the initial
charge of certain equipment should exclude certain HFCs or HFC blends
because there are barriers to establishing the requisite availability
of reclaimed refrigerants by the proposed January 1, 2028, compliance
date. Such barriers could potentially include niche HFCs or HFC blends
that are not manufactured or reclaimed at significant volumes but are
key to certain subsectors, HFCs or HFC blends that were recently
commercialized such that the amount of used material is not yet
sufficient to provide the input to a supply of reclaim material, or
certain refrigerants that may be subject to specific types of patents.
EPA is also interested in comments regarding the proposed list of
covered subsectors that would be required to use reclaimed HFCs in the
initial charge of new equipment, and if EPA should consider any
additional subsectors or fewer subsectors. As discussed in section
IV.D.3., EPA noted that the Agency considered a percentage-based
approach for the reclaim requirements for initial charge. EPA is
requesting comment on this percentage-based approach where requirements
for using reclaimed HFCs for initial charge of equipment in the covered
subsectors could be phased in over time compared to the proposed
requirement to solely use reclaimed HFCs in the initial charge of
certain equipment. In other words, EPA could require, for example, 25,
50 or 75 percent of a subsector use reclaim for initial charge
indefinitely, or as an alternative example, that 25 percent do so in
2026, 50 percent in 2027, 75
[[Page 72258]]
percent in 2028, and 100 percent in 2029. EPA also requests comment on
the proposed compliance date of January 1, 2028 in general, for use of
reclaimed HFCs in the initial charge of new equipment in applicable
RACHP subsectors. EPA is interested in whether reclaimers anticipate
being able to meet the demand in 2028.
4. Proposed Requirements for Servicing and/or Repair of Existing
Equipment in Subsectors in the RACHP Sector
EPA is proposing that the servicing and/or repair of refrigerant-
containing appliances in certain subsectors and applications in the
RACHP sector where HFCs (whether neat or in a blend) are being used be
done with reclaimed HFCs starting January 1, 2028. As noted in section
IV.D.3, these requirements are being proposed as part of implementing
subsection (h)(1) of the AIM Act. The proposed requirements discussed
in this section of the preamble would control practices, processes, and
activities regarding the servicing and/or repair of equipment and
involve HFCs and the reclaiming of HFCs used as a refrigerant by
requiring that such servicing and/or repair be done with reclaimed
HFCs. Existing equipment that is currently using HFCs or a blend
containing HFCs is anticipated to continue to need these substances as
the phasedown of the production and consumption of HFCs under other
provisions of the AIM Act progresses, such as for servicing needs. As
virgin HFC refrigerants become increasingly scarce, we expect industry
will rely on using reclaimed HFCs to meet their needs for servicing
existing equipment. EPA is proposing requirements that reclaimed HFCs
be used to service and/or repair equipment within certain RACHP
subsectors and applications.
As noted in the prior section on reclaim requirements for initial
charge of equipment in certain RACHP subsectors, EPA is considering
many types of information in developing the proposed requirements for
reclaimed HFC refrigerants in the servicing and/or repair of equipment
in certain RACHP subsectors. For example, EPA is drawing on the past
data and history of the reclamation of ODS, as explained in section
IV.D.3. EPA is also considering the experience in California and the
EU. EPA also reflected on information submitted in response to the
October 2022 NODA and the recent report by a group of ENGOs referred to
previously. EPA is aware that as more reclaimed HFCs are used, either
as required per the proposed provision or otherwise used as virgin HFCs
become scarcer, market prices for reclaimed HFCs may shift. Lastly, EPA
considered the anticipated effect of the overall phasedown of the
production and consumption of HFCs and the vital role that reclaimed
HFCs will likely play to meet the continuing need for using HFCs as
refrigerants in the United States. EPA is requesting comment on these
considerations and any other considerations or information that would
be relevant to the proposed provisions for using reclaimed HFCs in the
servicing/repair of refrigerant-containing equipment.
EPA is aware that industry, and, in particular, reclaimers will
need time to adjust and build capacity to reclaim HFCs to support this
upcoming demand for reclaimed HFCs. EPA is proposing a compliance date
of January 1, 2028, for the required use of reclaimed HFCs in the
servicing and/or repair of equipment in certain RACHP subsectors. As
explained in section IV.D.3. of this proposal, requiring compliance
with these requirements as of January 1, 2028, would allow industry to
transition to meet the increased demand for reclaimed HFCs and make
changes to their current practices prior to the significant reduction
in the production and consumption of HFCs in 2029.
Subsectors in the RACHP Sector
EPA is proposing to require, for the servicing and/or repair of
refrigerant-containing equipment in the following subsectors, that
reclaimed HFCs be used:
Stand-alone retail food refrigeration;
Supermarket systems;
Refrigerated transport; and
Automatic commercial ice makers.
As noted in section IV.D.3., EPA understands that reclaimed HFCs
function the same as virgin HFCs in refrigerant-containing equipment
and are required to meet the same purity levels as their virgin
counterparts, as specified in appendix A to 40 CFR part 82, subpart F
(which is based on AHRI 700-2016) and consistent with the definition of
reclaim in 40 CFR part 82, subpart A. In particular in the RACHP
sector, it may already be a practice for refrigerant-containing
equipment to be serviced or repaired with reclaimed HFCs. Owners or
operators or the technicians they contract may be using reclaimed HFCs
during these practices, processes, or activities related to servicing
and/or repair without specifically seeking to use reclaimed HFC
refrigerants. In general, reclaimers do not specifically label their
reclaimed HFC products when they sell or distribute them directly to
technicians or a wholesaler or distributor; however, EPA is aware of at
least one reclaimer that already markets a specific product line of
reclaimed refrigerants.\91\ In most cases, EPA understands that owners
or operators or technicians may be purchasing refrigerant for servicing
and/or repair that is most cost-effective, which may involve purchasing
reclaimed refrigerants.
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\91\ Hudson Technologies, Emerald Refrigerants. More information
available at: https://www.hudsontech.com/refrigerants/emerald-refrigerants/.
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EPA is aware that the current capacity of reclaimed HFCs may not be
sufficient to meet the total demand of HFCs for practices, processes,
or activities related to the servicing and/or repair of refrigerant-
containing equipment across the whole RACHP sector and is proposing a
subset of subsectors to be required to use reclaim in the servicing
and/or repair of equipment. The Agency describes later in this section
and in the Updated Draft Report--Analysis of the U.S. Hydrofluorocarbon
Reclamation Market: Stakeholders, Drivers, and Practices in the docket
for this rulemaking in more detail the anticipated demand of HFCs for
servicing and/or repair of refrigerant-containing equipment in these
subsectors that would need to be met with reclaimed HFCs, and notes
that the compliance date for these proposed requirements is not
proposed to occur until January 1, 2028. This compliance date would
provide industry a transition period to have enough reclaimed HFCs
available to meet the demand for servicing and/or repair of equipment.
EPA is proposing requirements for the use of reclaimed HFCs in the
servicing and/or repair of equipment in four subsectors within the
RACHP sector. EPA acknowledges the needed increase in the amount of
HFCs available for the servicing and/or repair of equipment in these
subsectors, and notes that these proposed requirements further serve
one of the purposes identified in subsection (h), to maximize the
reclaiming of regulated substances. Reclaimed HFCs are purified and
tested to the levels as specified in appendix A to 40 CFR part 82,
subpart F (which is based on AHRI 700-2016), as consistent with the
definition of reclaim in 40 CFR part 82, subpart A and could be
required to be used in other subsectors as well. These four subsectors
in the RACHP sector provide opportunities for transitioning to using
reclaimed HFCs in the servicing and/or repair of refrigerant-containing
equipment as the phasedown of production and consumption virgin HFCs
progresses under the AIM Act. These subsectors are expected to
[[Page 72259]]
continue to use HFCs in the current existing equipment and are likely
to continue to have a steady demand for the HFCs in servicing and/or
repair of the equipment. Thus, these subsectors are appropriate for
proposing that the anticipated demand for servicing and/or repair of
equipment be met with reclaimed HFC refrigerant. As noted above, there
are likely already cases in which reclaimed HFC refrigerants are being
used to service and/or repair equipment in these subsectors.
EPA estimated the demand for servicing and/or repair with HFCs for
refrigerant-containing equipment in the applicable subsectors in 2028
that would be required to be fulfilled with reclaimed HFCs per this
proposal.
EPA estimates that the total amount of reclaimed HFCs that would be
required to meet the demand for the servicing and/or repair of
refrigerant-containing equipment in the covered subsectors would be
approximately 16,700 metric tons, which is equivalent to 46.8
MMTCO2e in 2028. The subsector with the greatest amount of
reclaimed HFCs needed to meet demand for servicing and/or repair of
equipment is supermarket systems, at approximately 12,900 metric tons
(33.6 MMTCO2e) of reclaimed HFCs that would be required in
2028. Additional information on the demand of HFCs for the servicing
and/or repair of refrigerant-containing equipment in the covered
subsectors can be found in the Updated Draft Report--Analysis of the
U.S. Hydrofluorocarbon Reclamation Market: Stakeholders, Drivers, and
Practices in the docket for this rulemaking.
EPA is requesting comment on all aspects of this proposal.
Regarding the proposed requirements for using reclaimed HFCs in the
servicing and/or repair of certain refrigerant-containing equipment,
EPA is requesting comment on whether the requirement to use reclaimed
HFCs in the servicing and/or repair of certain equipment should exclude
certain HFCs or HFC blends because there are barriers to establishing
the requisite availability of reclaimed refrigerants by the proposed
January 1, 2028, compliance date. Such barriers could potentially
include niche HFCs or HFC blends that are not manufactured or reclaimed
at significant volumes but are key to certain subsectors, HFCs or HFC
blends that were recently commercialized such that the amount of used
material is not yet sufficient to provide the input to a supply of
reclaim material, or certain refrigerants that may be subject to
specific types of patents.
EPA requests comment on other ways to structure the requirements to
use reclaimed refrigerant in certain subsectors. EPA requests comment
on whether the Agency should use a percentage-based approach and/or
phase the requirements in by requiring a percentage of the HFCs or HFC
blends used in the servicing and/or repair of refrigerant-containing
equipment be reclaimed HFCs, and then increasing that percentage over
time. In other words, EPA could require, for example, 25, 50 or 75
percent of a subsector use reclaim for servicing and/or repair
indefinitely, or as an alternative example, that 25 percent do so in
2026, 50 percent in 2027, 75 percent in 2028, and 100 percent in 2029.
Although this an option that the Agency is considering for the final
rule, EPA is not proposing that as the lead option because the Agency
has potential concerns, which are similar to those described in section
IV.D.3. Particularly, as related to servicing and/or repair of
equipment, the Agency has potential concerns about the recordkeeping
and/or reporting requirements necessary to track and verify compliance
with a percentage-based approach in relation to the policy goals of the
provision. By proposing to require that all refrigerant-containing
equipment in the affected subsector be serviced and/or repaired with
reclaimed HFCs, additional recordkeeping requirements would be avoided
since owners or operator could just purchase reclaimed HFCs rather than
keep track of the amount of reclaimed and virgin HFCs they purchase to
service their equipment throughout the year, as would be necessary if
only a portion of the affected equipment were required to be serviced
and/or repaired with reclaimed refrigerant. EPA requests comment on
what recordkeeping and/or reporting would be necessary to verify
compliance with a percentage-based option and which entities would
ultimately be responsible for that recordkeeping and/or reporting. EPA
also requests comment on the proposed compliance date of January 1,
2028 in general, for use of reclaimed HFCs in the servicing and/or
repair of equipment in applicable RACHP subsectors. EPA is interested
in whether reclaimers anticipate being able to meet the demand in 2028.
E. How is EPA proposing to establish an HFC emissions reduction program
for the fire suppression sector?
1. Background
As described in greater detail in section IV.B., HFCs and
substitutes for HFCs are used in many different sectors, subsectors,
and applications beyond those in the RACHP sector, and EPA interprets
its authority under subsection (h) to include promulgating regulations
that control the types of practices, processes, or activities
identified in subsection (h)(1) in those sectors, subsectors, and
applications, with the limitation that we do not interpret our
regulatory authority under subsection (h) to extend to HFCs or
substitutes for HFCs when they are contained in foams. For example,
HFCs are also used in the fire suppression sector.
EPA understands that different sectors use HFCs and their
substitutes differently, and as such, the timing for emissions and
mechanisms by which emissions occur can vary greatly across sectors.
HFCs used in the fire suppression sector are used as a fire suppressant
and should only be discharged from fire suppression equipment in the
event of a fire. If there is no event to cause the fire suppression
equipment to be used, the HFCs should not be discharged, and thus not
emitted. EPA considered these differences as well as the types of
equipment used for fire suppression in developing this proposed rule.
EPA is proposing certain requirements to address HFC management for
fire suppression under subsection (h).
The Agency is not proposing any regulatory requirements under
subsection (h) for HFC and HFC substitutes used in sectors, subsectors,
and applications besides the RACHP and fire suppression sectors at this
time. However, the Agency will continue to monitor the use and
emissions of HFCs more generally and such information may inform future
rulemakings under subsection (h).
2. Nomenclature Used in This Section
This section uses the term ``recycled'' or ``recycling'' to
describe the testing and/or reprocessing of HFCs used in the fire
suppression sector to certain purity standards.\92\ HFCs that are
recycled for fire suppression use include HFC-227ea, HFC-125, HFC-
236fa, and HFC-23. The term ``recycled'' or ``recycling'' as used in
the fire suppression sector is similar, but not identical, to the term
``reclaim'' as defined under the AIM Act. Under the AIM Act, the terms
``reclaim; reclamation'' are defined in subsection (b)(9) of the Act,
and that definition refers to the purity standards under AHRI Standard
700-2016 (or an
[[Page 72260]]
appropriate successor standard adopted by the Administrator) and the
verification of purity using, at a minimum, the analytical methodology
described in that standard.
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\92\ These industry standards may include NFPA 2001 (Standard on
Clean Agent Fire Extinguishing Systems), NFPA 10 (Standard for
Portable Fire Extinguishers), ASTM D6064-11 (Standard Specification
for HFC-227ea), ASTM D6231/D6231M-21 (Standard Specification for
HFC-125), ASTM D6541-21 (Standard Specification for HFC-236fa), and
ASTM D6126/D6126M-21 (Standard Specification for HFC-23).
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The fire suppression industry describes clean agents as ``a gaseous
fire suppressant that is electrically nonconducting and that does not
leave a residue upon evaporation,'' and the term ``clean agents''
includes HFCs, according to the National Fire Protection Association
(NFPA).\93\ For the purposes of this section, EPA is generally
referring to the term, ``clean agents'' as HFCs.
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\93\ National Fire Protection Association, NFPA Today, May 6,
2022, https://www.nfpa.org/News-and-Research/Publications-and-media/Blogs-Landing-Page/NFPA-Today/Blog-Posts/2022/05/06/Clean-Agent-System-Basics.
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3. Fire Suppression Background
As part of implementing subsection (h)(1), EPA is proposing certain
regulatory requirements regarding the servicing, repair, disposal, or
installation of fire suppression equipment that contains HFCs, with the
purpose of minimizing the release of HFCs from that equipment, as well
as requirements related to technician training for servicing, repair,
disposal, or installation in the fire suppression sector. These
proposed requirements are similar to the halon emissions reduction
requirements found at 40 CFR part 82, subpart H. EPA regulations under
Title VI of the CAA prohibit the intentional release of halons during
testing, maintenance, servicing, repair, or disposal of halon-
containing equipment, or during the use of such equipment for
technician training (subject to certain exceptions). EPA's halon
emission reduction requirements at 40 CFR part 82, subpart H cover
technician training requirements and proper halon disposal and
recycling.\94\ These regulations also prohibit halon releases that
occur because an owner failed to maintain halon-containing equipment to
relevant industry standards. With the production and import of virgin
halons phased out in the United States since 1994, recycled halons have
been the primary supply of halons in the United States for nearly 30
years. Sources of recycled halons include recovered halons from
cylinders collected from decommissioned systems both in the United
States and abroad. Existing halon stocks are purchased by commercial
recyclers from decommissioned equipment, reprocessed to industry
specifications, and sold back into the market. Demand for halons has
been satisfied with recycled halons, ensuring equipment can be serviced
and investments are not stranded.
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\94\ These regulations were established in 1998 (63 FR 11096,
March 5, 1998) and amended in 2020 (85 FR 15301, Mar. 17, 2020).
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Recycled halon is still available today, nearly 30 years after the
United States phased out production and consumption of halons. It is
this experience since the phaseout of the halons in 1994 that
demonstrates the important role recovery and recycling of fire
suppression clean agents can play by providing an ongoing supply of
HFCs in fire suppression applications especially where other
substitutes may not be suitable. EPA understands that this model has
carried over on a voluntary basis to the management of HFCs by many in
the fire suppression sector.\95\ In 2002, the fire suppression industry
developed a voluntary code of practice (VCOP) for the reduction of
emissions of fire suppression agents including HFCs. The VCOP was
developed by the Halon Alternatives Research Corporation (HARC), an
industry organization, in partnership with EPA, the Fire Suppression
Systems Association (FSSA), the Fire Equipment Manufacturers
Association (FEMA), and the National Association of Fire Equipment
Distributors (NAFED). Many of the practices have been voluntarily
adopted by the fire suppression sector, such as equipment manufacturers
or distributors.
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\95\ EPA, 2023. American Innovation and Manufacturing Act of
2020--Subsection (h): Fire Suppression Sector. Draft Technical
Support Document. Available in the docket (EPA-HQ-OAR-2022-0606) for
this proposed rulemaking at https://www.regulations.gov.
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Fire suppression agents must satisfy important environmental and
safety criteria, including but not limited to acceptable ODPs, GWPs,
and atmospheric lifetimes, be effective extinguishants, and, for spaces
where people would be present, have sufficiently low toxicity that
under normal use the discharge of agent in occupied spaces would not
harm people.\96\ Other important preferred features include being
electrically non-conductive, and ``clean,'' meaning leaving no non-
volatile residue that could damage high-value electronics, controls, or
other critical systems in the protected spaces. HFCs that satisfy the
above requirements are used in fixed systems for total-flooding
applications and for use in portable equipment as streaming agents.
These applications are generally described as follows:
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\96\ UNEP, ``TEAP 2022 Assessment: Report of the Fire
Suppression Technical Options Committee,'' December 2022, available
at: https://ozone.unep.org/system/files/documents/FSTOC-2022-Assessment.pdf.
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Total flooding systems are designed to automatically
discharge a fire suppression agent by detection and related controls
(or manually by a system operator) and achieve a specified minimum
agent concentration throughout a confined space (i.e., volume percent
of the agent in air) that is sufficient to suppress development of a
fire.
Streaming applications use portable fire extinguishers
that can be manually manipulated to discharge an agent in a specific
direction and release a specific quantity of extinguishing agent at the
fire.
Guidelines for clean agents, including HFCs, have been published to
ensure the quality of the recycled fire suppression agents. According
to HARC's comment on the October 2022 NODA, fire suppression agent
recyclers follow industry standards and specifications that are
generally similar to section 608 and AHRI purity specifications. In
2016, HARC developed a voluntary recycling code of practice (RCOP).\97\
This code of practice includes the recommendation that prior to sale or
reuse as a fire suppressant, the recovered HFC should be tested and
processed to meet NFPA 2001 \98\ and NFPA 10 \99\ standards or American
Society for Testing and Materials (ASTM) specifications. These
specifications ensure that fire suppressants, including HFCs, are
recycled and tested to a certain purity level, before being sold or
reused as a fire suppressant. In addition, in 2018, the Montreal
Protocol's Technology and Economic Assessment Panel's (TEAP) Halons
Technical Options Committee (HTOC) (renamed in 2022 to the Fire
Suppression Technical Options Committee or FSTOC) published recommended
practices for recycling halons and other gaseous fire extinguishing
agents, including certain HFCs, which covers similar specifications for
testing and certification of the recycled agent prior to reuse.\100\
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\97\ HARC, ``Code of Practice for Use of Recycled Halogenated
Clean Agents,'' 2016, available at: https://www.harc.org/_files/ugd/4e7dd1_4ab7295ac47e4bdea67020750f544f1b.pdf.
\98\ NFPA 2001 Standard on Clean Agent Fire Extinguishing
Systems. Available at: https://www.nfpa.org/codes-and-standards/all-codes-and-standards/list-of-codes-and-standards/detail?code=2001.
\99\ NFPA 10 Standard for Portable Fire Extinguishers. Available
at: https://www.nfpa.org/codes-and-standards/all-codes-and-standards/list-of-codes-and-standards/detail?code=10.
\100\ Technical Note #4, Revision 2--Recommended Practices for
Recycling Halons and Other Halogenated Gaseous Fire Extinguishing
Agents. Available at: https://ozone.unep.org/sites/default/files/Assessment_Panel/Assessment_Panels/TEAP/Reports/HTOC/technical_note4_2018.pdf.
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[[Page 72261]]
A recent report by the TEAP's FSTOC states that ``the HFC phasedown
in the US is having a large effect on the production and consumption of
HFC fire extinguishants,'' noting that ``what we have seen in the US is
that there has already been significant impact on cost of HFCs.'' \101\
FSTOC states that the reasons for this include that HFCs used for fire
extinguishing are high-GWP, that the allocation mechanism in the United
States is GWP-weighted, and that market commercial factors will mean
producers and importers will decide which HFCs to manufacture or import
based on GWP and future market needs. The reasons for this include the
extremely small use of HFCs in fire suppression compared to other uses.
Additional impacts to the fire suppression sector from the global
phasedown of HFCs ``could reduce the commercial viability of production
of some HFC fire extinguishing agents in the future.'' FSTOC notes that
``HFCs contained in fire protection equipment have historically enjoyed
a relatively high level of recycling and reuse'' and ``[as] the supply
of newly produced HFCs for fire protection decreases in response to
phase down regulations, recycling becomes even more important as an
alternative source of supply and is likely to increase in the future.''
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\101\ UNEP, ``TEAP 2022 Assessment: Report of the Fire
Suppression Technical Options Committee,'' December 2022, available
at: https://ozone.unep.org/system/files/documents/FSTOC-2022-Assessment.pdf.
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4. Minimizing Releases of HFCs
As part of implementing subsection (h)(1), EPA is proposing a
number of requirements to minimize releases of HFCs during the
servicing, repair, disposal, or installation of fire suppression
equipment containing HFCs or during the use of such equipment for
technician training. As previously discussed, EPA is proposing
requirements that are similar to the halon emissions reduction
requirements found at 40 CFR part 82, subpart H. The fact that recycled
halons have been the only supply of halons in the United States nearly
30 years after its production phaseout in 1994 demonstrates the
important role recovery and recycling of fire suppression clean agents
can play by providing an ongoing supply where substitutes may not be
suitable. EPA understands that this model has carried over on a
voluntary basis to the management of HFCs by many in the fire
suppression sector.
To minimize releases of HFCs, EPA is proposing that covered
entities installing, servicing, repairing, or disposing of fire
suppression equipment containing a regulated substance may not release
into the environment any HFCs used in such equipment. EPA is also
proposing that owners and operators of fire suppression equipment
containing HFCs may not allow for the release of HFCs as a result of
failure to maintain such equipment. In the following sections, EPA
describes its proposal to require the use of recycled HFCs for initial
charge and servicing and/or repair of fire suppression equipment as
well as minimizing HFC releases during recycling; technician training;
recycling of HFCs prior to the disposal of fire suppression equipment
containing HFCs; and recordkeeping and reporting. These requirements
are proposed with a compliance date of January 1, 2025.
Recognizing the extensive requirements for testing (e.g., Federal
Aviation Administration, United States Coast Guard, Department of
Defense) associated with the approval for use of fire suppressants in
certain applications, certain limited HFC releases for health, safety,
environmental, and other considerations would be exempted, including:
Releases during the testing of fire suppression equipment
only if the following four criteria are met: (1) equipment employing
suitable alternative fire suppression agents are not available, (2)
release of fire suppression agent is essential to demonstrate equipment
functionality, (3) failure of the equipment would pose great risk to
human safety or the environment, and (4) a simulant agent cannot be
used in place of the regulated substance for testing purposes.
Releases associated with qualification and development
testing during the design and development of equipment containing
regulated substances only when (1) such tests are essential to
demonstrate equipment functionality, and (2) a suitable simulant agent
cannot be used in place of the regulated substance for testing
purposes.
In addition, these proposed requirements to minimize HFC releases
do not apply to emergency releases of HFCs for actual fire
extinguishing, explosion inertion, or other emergency applications for
which the equipment were designed.
EPA requests comment on the proposed compliance date of January 1,
2025, for the proposed requirements in the fire suppression sector. As
discussed elsewhere in this section of the proposed rule, many covered
entities may already have procedures in place given the voluntary
program within the fire suppression sector as described previously. EPA
views this proposed compliance date as appropriate.
a. Proposed Requirements for Initial Charge of Equipment for Fire
Suppression
EPA is proposing that for the fire suppression sector where HFCs
are used, the initial charge of fire suppression equipment, including
both total flooding systems and streaming applications, must be with
recycled HFCs starting January 1, 2025. EPA is also considering other
potential compliance dates, such as January 1, 2026 or January 1, 2027.
Specifically, for factory-charged equipment that use HFCs, EPA is
proposing that in order to install such equipment, the equipment would
be required to use recycled HFCs for the initial charge during the
manufacture of the equipment. These requirements would apply whether
the HFCs are used neat or in a blend. However, EPA notes that most
often, where clean agents are needed and HFCs are being used, these are
single component HFCs with some of the highest GWPs for the regulated
HFCs. Given the high GWPs for the commonly used HFC fire suppression
agents, this aspect of the proposal is anticipated to further minimize
emissions by requiring that only recycled HFCs be used in fire
suppression equipment.
EPA understands that, in practice, recycled HFCs are required to
meet applicable purity standards and function the same as their virgin
counterparts when used in equipment in the fire suppression sector.
Currently, recycled HFCs are primarily used for the servicing and
recharge of existing fire suppression equipment. However, HARC's
comments on the October 2022 NODA indicate that it does not anticipate
major barriers to using recycled HFCs in new fire suppression equipment
and expects use of recycled HFCs in new equipment to increase as the
supply of virgin HFCs for fire suppression decreases.
EPA notes that the proposed definition of ``fire suppression
equipment'' for purposes of subsection (h) excludes mission-critical
military end uses and systems used in deployable and expeditionary
applications, as well as space vehicles. Finalizing the proposed
definition would exempt those applications from this requirement, which
is consistent with EPA's intent to not include these
[[Page 72262]]
applications under the proposed requirements to use recycled HFCs in
the installation, servicing and/or repair of such fire suppression
equipment. This proposed exclusion is based on EPA's understanding that
there are situations in which the unique design and use of such
military equipment and space vehicles make it impossible to recover
fire suppression agent during the service, repair, disposal, or
installation of the equipment.
Recognizing that application-specific HFC allowances are available
to other onboard aerospace fire suppression applications under
regulations at 40 CFR 84.13,\102\ EPA is not proposing to extend a
requirement to use recycled HFCs in the installation, servicing and/or
repair of such fire suppression equipment as long as they qualify for
application-specific allowances in 40 CFR 84.13. Because these other
onboard aerospace fire suppression applications would have the
necessary allowances for virgin HFCs through qualification for
application-specific allowances, these applications would not need to
use recycled fire suppressants containing HFCs for the installation,
servicing, and/or repair of fire suppression equipment.
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\102\ On board aerospace fire suppression means use of a
regulated substance in fire suppression equipment used on board
commercial and general aviation aircraft, including commercial-
derivative aircraft for military use; rotorcraft; and space
vehicles. Mission-critical military end uses and systems used in
deployable and expeditionary applications, as well as space
vehicles, are applications that sometimes use HFCs and are therefore
currently eligible for application-specific allowances.
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EPA is requesting comment regarding the proposed requirement for
using recycled HFCs in the initial charge of fire suppression
equipment. EPA is requesting comment on the proposed requirement to
solely use recycled HFCs in the initial charge of fire suppression
equipment or if EPA should consider an approach that either uses a
percentage-based approach for the affected fire suppression equipment
charged with recycled HFCs (e.g., 25, 50, or 75 percent of the fire
suppression equipment) or phases in the requirement for using recycled
HFCs over a period of time. As noted in section IV.D.3., if EPA were to
finalize a percentage-based and/or phased in approach, associated
recordkeeping and reporting may be required to ensure compliance with
such an approach. EPA is also requesting comment on whether recycled
HFCs should be used for the initial charge during the installation of
fire suppression equipment as EPA understands that HFCs are generally
not transferred from cylinders once in service. EPA also requests
comment on the proposed compliance date of January 1, 2025, and other
potential compliance dates such as January 1, 2026, or January 1, 2027,
for the use of recycled HFCs in the initial charge of fire suppression
equipment.
b. Proposed Requirements for Servicing and/or Repair of Existing
Equipment for Fire Suppression
EPA is proposing to require the use of recycled HFCs for the
servicing and/or repair of fire suppression equipment, including both
total flooding systems and streaming applications, starting on January
1, 2025. EPA is also considering other potential compliance dates, such
as January 1, 2026, or January 1, 2027. EPA understands that the fire
suppression industry operates in accordance with requirements from NFPA
2001 or NFPA 10 or appropriate ASTM standards to recover and recycle
HFCs during servicing and/or repair of fire suppression equipment. NFPA
2001 is a voluntary industry standard containing the minimum
requirements for the design, installation, approval, and maintenance of
total flooding systems using listed clean agents including HFCs. It
includes requirements for inspection, servicing, testing, maintenance,
and training to ensure the safe use and operation of these systems.
Similarly, NFPA 10 is a voluntary industry standard containing the
minimum requirements that apply to the selection, installation,
inspection, maintenance, recharging, and testing of portable fire
extinguishers and fire suppression agents including HFCs. The ASTM
specifications cover the requirements (e.g., purity) for the fire
suppression agents, in this case the HFCs; the specifications do not
typically address the associated fire suppression equipment or hardware
that use the fire suppression agent or the conditions of using such
equipment (e.g., fixed total flooding systems, portable fire
extinguishers). None of these current industry standards or
specifications related to HFCs used in fire suppression contain
specific requirements to minimize releases of HFCs, including during
servicing or repair of the equipment. Efforts by the industry to
minimize emissions of HFCs used in the fire suppression sector have to
date been on a voluntary basis. For example, the VCOP includes as part
of its emission reduction strategies during storage, handling, and
transfer of HFCs to recover and recycle agents during servicing and to
adopt maintenance practices that reduce leakage as much as is
technically feasible. Considering these current voluntary practices to
minimize emissions, the proposed requirements would minimize emissions
of HFCs broadly within this sector of use. Covered entities are
required to evacuate, as applicable, all equipment used to recover,
store, and transfer HFCs prior to each use to prevent contamination,
arrange for destruction of the recovered HFCs as necessary (e.g.,
recovered HFCs that are too contaminated to be recycled), and collect
and dispose of wastes from recycling process. If the recycling of HFCs
is not practical, the disposal of HFCs would help to prevent releases
of used HFCs into the atmosphere.
In 2015, data on recycling of HFC fire suppression agents were
collected as part of the HFC Emissions Estimating Program (HEEP), which
is voluntary data collection effort implemented by the fire suppression
industry. HEEP collects data on sales of fire suppression agents for
recharge in order to estimate annual emissions of HFCs. These data
showed that the HFC-227ea, HFC-125, HFC-236fa and HFC-23 are all
recycled for fire suppression use.\103\ In recent years, approximately
75 percent of HFCs sold for recharge came from recyclers, with 80
percent reported in 2020, based on data submitted voluntarily to HEEP
and may not include all entities in this sector.\104\
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\103\ HARC comments on Notice of Data Availability Relevant to
Management of Regulated Substances under the American Innovation and
Manufacturing Act of 2020 are available in the docket (EPA-HQ-OAR-
2022-0606) for this proposed rulemaking at https://www.regulations.gov.
\104\ HARC Report of the HFC Emissions Estimating Program (HEEP)
2002-2020 Data Collection, October 2022.
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As part of servicing and/or repairing fire suppression equipment,
recovery and recycling equipment is used to recover HFCs. EPA is also
proposing to require that covered entities must (1) operate and
maintain recovery and recycling equipment in accordance with
manufacturer specifications to ensure that the equipment performs as
specified; (2) repair leaks in HFC storage, recovery, recycling, or
charging equipment before use; and (3) ensure that cross-contamination
does not occur through the mixing of HFCs that may be contained in
similar cylinders. Recovery equipment collect HFCs from equipment and
recycling equipment remove contaminants from HFCs and this equipment is
used during servicing and/or repair. By ensuring that this equipment is
functioning properly, HFC releases can be minimized during the recovery
and recycling process. The proposed requirements would ensure that
releases from fire suppression equipment are minimized when
[[Page 72263]]
recycling HFCs during servicing and/or repairing fire suppression
equipment.
EPA notes that the proposed definition of ``fire suppression
equipment'' for purposes of subsection (h) excludes mission-critical
military end uses and systems used in deployable and expeditionary
applications, as well as space vehicles. Finalizing the proposed
definition would exempt those applications from this requirement, which
is consistent with EPA's intent to not include these applications under
the proposed requirements to use recycled HFCs in the installation,
servicing and/or repair of such fire suppression equipment. This
proposed exclusion is based on EPA's understanding that there are
situations in which the unique design and use of such military
equipment and space vehicles make it impossible to recover fire
suppression agents during the service, repair, disposal, or
installation of the equipment.
Recognizing that application-specific HFC allowances are available
to other onboard aerospace fire suppression applications under
regulations at 40 CFR 84.13,\105\ EPA is not proposing to extend a
requirement to use recycled HFCs in the installation, servicing and/or
repair of such fire suppression equipment as long as they qualify for
application-specific allowances in 40 CFR 84.13. Because these other
onboard aerospace fire suppression applications would have the
necessary allowances for virgin HFCs through qualification for
application-specific allowances, these applications would not need to
use recycled fire suppressants containing HFCs for the installation,
servicing, and/or repair of fire suppression equipment.
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\105\ On board aerospace fire suppression means use of a
regulated substance in fire suppression equipment used on board
commercial and general aviation aircraft, including commercial-
derivative aircraft for military use; rotorcraft; and space
vehicles. Mission-critical military end uses and systems used in
deployable and expeditionary applications, as well as space
vehicles, are applications that sometimes use HFCs and are therefore
currently eligible for application-specific allowances.
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EPA is requesting comment regarding the proposed requirements for
using recycled HFCs in the servicing and/or repair of fire suppression
equipment. In particular, EPA requests comments on the applicable fire
suppression equipment that would be required to use recycled HFCs in
the servicing and/or repair of fire suppression equipment. EPA is also
requesting comment on the proposed requirement to solely use recycled
HFCs in the servicing and/or repair of fire suppression equipment or if
EPA should consider an approach that phases in requirements for using
recycled HFCs. In addition, EPA requests comments on the practices to
minimize releases from HFC recycling during servicing and/or repair as
well as whether covered entities should be required to follow industry
standards including NFPA 2001 (Standard on Clean Agent Fire
Extinguishing Systems), NFPA 10 (Standard for Portable Fire
Extinguishers), ASTM D6064-11 (Standard Specification for HFC-227ea),
ASTM D6231/D6231M-21 (Standard Specification for HFC-125), ASTM D6541-
21 (Standard Specification for HFC-236fa), and ASTM D6126/D6126M-21
(Standard Specification for HFC-23). EPA also requests comment on the
proposed compliance date of January 1, 2025, and other potential
compliance dates, such as January 1, 2026, or January 1, 2027, for the
use of recycled HFCs for the servicing and/or repair of fire
suppression equipment.
c. Technician Training
EPA is proposing to require all entities that employ fire
suppression technicians who service, repair, install, or dispose of
fire suppression equipment containing HFCs provide training regarding
HFC emissions reduction. This proposed requirement is intended to
control practices, processes, or activities regarding servicing,
repair, disposal or installation of such fire suppression equipment by
providing technicians with knowledge and skills to minimize releases of
HFCs during such practices, processes, or activities, and the proposed
requirements would involve a regulated substance. Fire suppression
technicians are an important part in any effort to control unnecessary
HFC emissions from fire suppression equipment while servicing,
repairing, installing, or disposing of such equipment. By training
technicians in the significance of minimizing unnecessary HFC releases
from fire suppression equipment and providing information on applicable
procedures such as the recovery and recycling or reclamation of HFCs
from the fire suppression equipment, technician training would support
EPA's effort to reduce HFC emissions from fire suppression equipment.
EPA is proposing that HFC fire suppression technician training be
designed to cover: (1) an explanation of the purpose of the training
requirement, including the significance of minimizing releases of HFCs
and ensuring technician safety, (2) an overview of HFCs and
environmental concerns with HFCs, (3) a review of relevant regulations
concerning HFCs,\106\ including the requirements of the HFC emissions
reduction program for fire suppression equipment, and (4) specific
technical instruction relevant to avoiding unnecessary HFC emissions
during the servicing, repair, disposal or installation of fire-
suppression equipment at each individual facility. Starting as of
January 1, 2025, EPA is proposing that all entities that employ
technicians who maintain, service, repair, install, or dispose of fire
suppression equipment containing HFCs must provide HFC fire suppression
technician training to their technicians (as described in this section)
and ensure that their technicians complete this training. Technicians
hired after that date must be similarly trained within 30 days of
hiring, or by June 1, 2025. EPA is proposing this as a one-time
training requirement. EPA is requesting comment on the requirement for
technicians to be trained, the proposed content as described above, and
timing of this requirement for technician training.
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\106\ These may include, but are not limited to, other EPA
regulations, U.S. Department of Transportation (DOT) regulations,
Occupational Safety and Health Administration (OSHA) regulations,
codes and standards of NFPA, and other federal, state, or local
fire, building, safety, and environmental codes and standards.
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d. Recycling of HFCs Prior to Disposal of Fire Suppression Equipment
Containing HFCs
EPA is proposing requirements related to the disposal of fire
suppression equipment. The intent of these requirements is to ensure
that HFCs have been recovered and recycled from the equipment prior to
the final step of the disposal of the equipment so that HFCs are not
released during the disposal of the equipment. EPA is proposing to
require owners and operators of fire suppression equipment containing
HFCs (including an HFC blend) dispose of this equipment by recovering
the HFCs themselves or by arranging for HFC recovery by a fire
suppression equipment manufacturer, distributor, or a fire suppressant
recycler. EPA is also proposing that owners and operators dispose of
HFCs used as a fire suppression agent by sending it for recycling to a
fire suppressant recycler or a reclaimer certified under 40 CFR 82.164
or by arranging for its destruction using one of the controlled
processes listed in 40 CFR 84.29. The voluntary industry standards that
apply to the uses of HFCs in fire suppression equipment, NFPA 2001 for
fire suppression systems and NFPA 10 for fire extinguishers, contain no
current requirement for the recovery
[[Page 72264]]
and disposal of HFCs prior to disposal of equipment. Efforts by the
industry to minimize emissions of HFCs used in the fire suppression
sector have to date been on a voluntary basis. For example, the VCOP
includes as part of its emission reduction strategies during storage,
handling, and transfer of HFCs to recover the agents after the end of
the equipment's useful life and either recycle or destroy them. The
proposed requirements would minimize emissions of HFCs through recovery
of the agent prior to disposal of the equipment and ensure recycling or
proper disposal of the HFC occurs broadly within this sector of use.
Under the proposed requirements, the owners and operators of this
equipment (e.g., specialized fire suppression systems containing HFCs
that protect high value equipment, such as electronic server rooms or
oil and gas production facilities) must ensure that these HFCs are
recovered from the fire suppression equipment before it is sent for
disposal, either by recovering the HFCs themselves before sending the
equipment for disposal or by leaving the HFCs in the equipment and
sending it for disposal to a facility (e.g., fire suppression equipment
manufacturer, a distributor, or a fire suppressant recycler) operating
in accordance with industry standards, i.e., NFPA 10 and NFPA 2001
standards, as applicable. The proposal also would require that owner or
operators of fire suppression equipment recover any HFCs as part of the
disposal of such equipment be disposed of by sending it to a fire
suppressant recycler operating in accordance with the relevant industry
standards, which EPA understands to be the NFPA 10 and NFPA 2001
standards (depending on the type of equipment), by sending it to a
reclaimer certified under 40 CFR 82.164, or by arranging for its
destruction by a technology that is listed as an approved technology
for destruction of the relevant regulated substance in the regulations
at 40 CFR 84.29. These requirements are being proposed as part of
implementing subsection (h)(1) of the AIM Act, as they would control
practices, processes, or activities regarding the disposal of such
fire-suppression equipment by establishing certain requirements that
must be met as part of the disposal process and would involve a
regulated substance.
Owners and operators of this fire suppression equipment who recover
HFCs prior to disposal may already be aware of the importance of HFC
recycling given prior communication efforts by the industry and may
already take steps to ensure recovery of HFCs prior to disposal. As
mentioned in section IV.E.3., the recycling of HFCs plays an important
role in providing the fire suppression sector with continued supply of
HFCs for fire suppression equipment during servicing. Industry trade
organizations have encouraged owners and operators of fire suppression
equipment and those disposing of HFCs to contact fire suppression
equipment manufacturers, distributors, or fire suppressant recyclers to
ensure that HFC is safely recovered from equipment and recycled for
future use. Therefore, the proposed requirements are likely consistent
with current industry practices. Most fire suppression systems and
extinguishers in use today are purchased, installed, and serviced by
fire suppression equipment distributors. EPA is aware that there are
established distribution channels within the commercial and industrial
sectors where these specialized systems are used and that industry
representatives indicate that the simplest way in their opinion to
ensure proper recycling of HFCs is to encourage equipment owners return
equipment containing HFCs to distributors.\107\ EPA values using
established industry practices where such practices exist and can be
used to meet the intended goals. EPA is requesting comment on the
requirement to recover and recycle HFCs prior to the final step of
disposal of the fire suppression equipment.
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\107\ HARC comments, dated November 7, 2022, to Notice of Data
Availability Relevant to Management of Regulated Substances Under
the American Innovation and Manufacturing Act of 2020 are available
in the docket (EPA-HQ-OAR-2022-0606) for this rulemaking at https://www.regulations.gov.
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e. Recordkeeping and Reporting
EPA is proposing to include recordkeeping and reporting
requirements on the fire suppression provisions under subsection (h)
for HFCs used in the installation of new equipment and servicing and/or
repair of existing equipment. These requirements are being proposed as
part of implementing subsection (h)(1) of the AIM Act, as these
provisions would control practices, processes, or activities regarding
servicing, repair, disposal or installation of fire suppression
equipment, and would involve a regulated substance. For example, the
requirements would control recordkeeping and reporting practices,
process, or activities for servicing and repair that involves HFCs. As
noted in section II.B. of this document, EPA's authority to require
recordkeeping and reporting under the AIM Act is also supported by
section 114 of the CAA, which applies to the AIM Act and rules
promulgated under it as provided in subsection (k)(1)(C) of the AIM
Act.
EPA is proposing that covered entities in the fire suppression
sector provide data on HFCs to the Agency. The fire suppression
industry is familiar with data collection and reporting as some of the
entities in this industry are voluntarily reporting data to HEEP as
mentioned in section IV.E.4.b. Relevant reporting entities covered
under this requirement include entities that perform first fill of
equipment, service (e.g., recharge) equipment and/or recycle regulated
substances, such as equipment manufacturers, distributors, agent
suppliers or installers that recycle regulated substances. EPA is
proposing that these records related to the fire suppression sector be
maintained for three years. Specifically, EPA is proposing that the
covered entities report annually by February 14th of each year,
covering the prior year's activity from January 1 through December 31:
The quantity of material (the combined mass of regulated
substance and contaminants) by regulated substance broken out by sold,
recovered, recycled, and virgin for the purpose of installation of new
equipment and servicing of fire suppression equipment,
The total mass of each regulated substance broken out by
sold, recovered, recycled, and virgin; and
The total mass of waste products sent for disposal, along
with information about the disposal facility if waste is not processed
by the reporting entity.
EPA acknowledges that these recordkeeping and reporting
requirements proposed herein may overlap with recordkeeping and
reporting requirements under 40 CFR part 84, subpart A. EPA is
requesting comments on these recordkeeping and reporting requirements,
the timing of recordkeeping and reporting requirements (e.g., whether
it should be five years similar to recordkeeping requirements under 40
CFR part 84, subpart A), and whether compliance with one set of
requirements would satisfy both obligations.
EPA is proposing that covered entities maintain an electronic or
paper copy of the fire suppression technician training as discussed in
IV.E.4.c., and that EPA can request to view a copy of the training on
an as needed basis. EPA is also proposing that facilities must document
that they have provided training to personnel. For example, local
personnel records could be annotated, indicating where and when the
training
[[Page 72265]]
occurred. Alternatively, records could be centralized. Where EPA is
proposing requirements for recordkeeping, we are proposing that the
record be maintained for three years in either electronic or paper
format.
As discussed in IV.E.4.d., EPA is proposing that covered entities
maintain records documenting that HFCs are recovered from the fire
suppression equipment before it is sent for disposal, either by
recovering the HFCs themselves before sending the equipment for
disposal or by leaving the HFCs in the equipment and sending it for
disposal to a facility (e.g., fire suppression equipment manufacturer,
distributor, or a fire suppressant recycler). Such records must be
maintained for three years.
EPA is requesting comment on the proposed recordkeeping
requirements for fire suppression entities. The proposed recordkeeping
requirements in this action do not change any recordkeeping and
reporting requirements for fire suppressant recycling per 40 CFR
84.31(j) and EPA is not reopening, taking comment on, or revisiting
those requirements through this proposal.
F. What is EPA proposing for cylinder requirements and for container
tracking requirements?
1. Background
As described in more detail earlier in this action, subsection (h)
directs EPA to establish certain regulations regarding the servicing,
repair, disposal, or installation of equipment for certain purposes.
More specifically, for purposes of maximizing reclaiming and minimizing
the release of a regulated substance \108\ from equipment and ensuring
the safety of technicians and consumers, subsection (h)(1) of the AIM
Act gives EPA authority to promulgate regulations to control, where
appropriate, any practice, process, or activity regarding the
servicing, repair, disposal, or installation of equipment that involves
a regulated substance or its substitute or the reclaiming of a
regulated substance or its substitute used as a refrigerant. Thus, EPA
is proposing certain cylinder requirements and certain container
tracking requirements for regulated substances as part of implementing
subsection (h), as a means of controlling a practice, process, or
activity regarding the servicing, repair, and installation of equipment
to further serve the statutory purpose identified in subsection (h) of
maximizing reclamation of HFCs, as well as providing additional HFC
emission reductions.
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\108\ As noted previously in this action, ``regulated
substance'' and ``HFC'' are used interchangeably in this action.
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HFCs are transported and distributed throughout the United States
to a range of users, including but not limited to blenders,
repackagers, distributors, wholesalers, and equipment manufacturers, as
well as users engaged in the installation, service, repair, and
disposal of equipment. For example, containers are used to transport
HFCs to worksites for servicing, repairing, disposing, or installing
equipment containing HFCs. HFCs are transported, bought, and sold in
different sizes and types of containers as they move through the supply
chain. These containers range from small cans with 16 ounces or less of
HFCs to tank trailers, International Organization for Standardization
(ISO) tanks, and tank railcars. From the larger containers, HFCs are
often transferred to smaller containers (a process referred to as
``downpacking''), which include other types of refillable cylinders and
disposable cylinders.
EPA provided information on the movement of HFCs used as
refrigerants in the supply chain as they relate to reclamation in the
draft report accompanying the NODA published on October 17, 2022 (87 FR
62843), and the Agency provides additional information in the updated
report in the docket for this proposed rule. In comments submitted for
the NODA and in public stakeholder meetings that the Agency
hosted,\109\ EPA received feedback noting that one key challenge to
increasing reclamation is ensuring that HFCs are recovered and
transferred to reclaimers. Accordingly, EPA views the proposed
container tracking requirements in this action as measures that could
``increase opportunities for the reclaiming of regulated substances
used as refrigerants,'' and thus EPA's consideration of the use of its
authority under subsection (h) of the AIM Act to establish these
tracking measures is consistent with subsection (h)(2)(A).
Additionally, specifically tracking the movement in the market of
reclaimed HFCs would have the added benefit of supporting compliance
with the requirements described in this proposal for using reclaimed
HFCs for initial charging and servicing of certain equipment as well as
providing information that the reclaimed HFCs contain no more than 15
percent virgin material (see section IV.D.2.).
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\109\ Comments submitted to response of NODA published on
October 17, 2022 (87 FR 62843), can be found in the docket for this
action. Additionally, EPA heard feedback from participants in the
public meetings it hosted on November 9, 2022, and March 16, 2023,
as well as solicited feedback through a webinar for the EPA
GreenChill Partnership program on April 12, 2023.
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As discussed in greater detail below, EPA is proposing to require
machine readable tracking identifiers (e.g., QR code,\110\ or another
identifier(s)) on all containers of HFCs (i.e., containers that contain
an HFC, whether neat or in a blend), that could be used for the
servicing, repair, or installation of refrigerant-containing equipment
or fire suppression equipment, including both refillable and disposable
cylinders. EPA is proposing staggered compliance dates, ranging from
January 1, 2025, to January 1, 2027, for this requirement that would
apply to various entities involved in the transport of HFCs across the
supply chain. EPA is also proposing certain requirements for tracking
the movement of containers that contain HFCs and that have been used in
the servicing, repair, or installation of equipment as they are sent to
an entity capable of recovering any remaining HFCs.
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\110\ A QR code is a type of matrix barcode that contains data
for a locator, identifier, or tracker that points to a website or
application using standardized encoding modes to store data. It is
recognizable as black squares arranged in a square grid on a white
background, which can be read by an imaging device such as a camera.
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After cylinders are used and considered empty, there is still an
amount of HFCs remaining in the cylinders, referred to as the ``heel.''
HFC releases of heels are far more likely to occur from disposable
cylinders than from other types of cylinders, and those amounts of HFCs
released are not available for reclamation. Refillable cylinders are
typically evacuated and recharged, thus continuing to be used to
transit HFCs whereas disposable cylinders are typically sold for scrap
or landfilled. To recover the remaining HFCs, including the heel,
recovery equipment can be used to pull a vacuum on the cylinder.
Section IV.F.2. provides additional detail on typical quantities of the
heel that would remain in a cylinder. Recovering heels from disposable
cylinders would increase the amount of HFCs available for reclamation.
Therefore, for disposable cylinders, EPA is proposing to require as of
January 1, 2025, that disposable cylinders that contain HFCs and that
have been used for the servicing, repair, or installation of certain
equipment must be transported to an EPA-certified reclaimer or a fire
suppressant recycler. Further, EPA is proposing that reclaimers or
fire-suppressant recyclers who receive these disposable cylinders would
be required to remove the
[[Page 72266]]
remaining HFCs, including the heel, prior to disposing of these
cylinders.
EPA also notes that it established certain requirements for QR
codes and use of refillable cylinders in the Allocation Framework Rule.
Those requirements were subject to judicial review in the D.C. Circuit,
and the court concluded that ``EPA has not identified a statute
authorizing its QR-code and refillable-cylinder regulations'' and
therefore vacated those parts of the rule and remanded to the EPA.
Heating, Air Conditioning & Refrigeration Distributors Int'l v. EPA, 71
F.4th 59, 68 (D.C. Cir. 2023) (``HARDI v. EPA'').\111\ The court's
opinion concluded that subsection (e)(2)(B) of the AIM Act, the
statutory provision the Agency had cited as authorizing those parts of
the rule, did not provide the authority to support them. However, that
conclusion rested on limitations on the scope of the EPA's authority
under subsection (e)(2)(B) in particular, and it does not apply to
other parts of the AIM Act. In fact, the court's opinion highlights the
authority that EPA has under other statutory provisions, including its
``power to pass rules regulating `practice[s], process[es], or
activit[ies]' for `servicing, repair[ing], dispos[ing of], or
install[ing]' '' equipment, citing subsection (h)(1). Id. at 67. The
cylinder requirements and tracking requirements proposed in this action
are distinct from those that were established in the Allocation
Framework Rule (86 FR 55116, October 5, 2021), as they are being
proposed under a different statutory provision, subsection (h)(1) of
the AIM Act, and are tailored to that subsection. As described in
greater detail below, these requirements would regulate ``practice[s],
process[es], or activit[ies] regarding the servicing, repair, disposal,
or installation of equipment that involves regulated substances'' and
thus are within the authority provided by subsection (h)(1).\112\
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\111\ The court rejected the other challenges to the Allocation
Framework Rule in this litigation. Heating, Air Conditioning &
Refrigeration Distributors Int'l v. EPA, 71 F.4th 59, 61 (D.C. Cir.
2023).
\112\ EPA further notes that in proposing separate cylinder
recovery requirements and tracking requirements in this action, EPA
is not proposing to change, reopen, or revisit any of the
requirements related to use of refillable cylinders or certification
and tracking requirements established in the Allocation Framework
Rule; rather EPA expects to address the court's decision in HARDI v.
EPA in a separate action.
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In the interest of clarity, EPA notes that it is not at this time
proposing a prohibition on the use of disposable cylinders like the
prohibition in the Allocation Framework Rule that was at issue in HARDI
v. EPA. Rather, EPA is proposing here certain practices, processes, or
activities related to the use of disposable cylinders in the servicing,
repair, disposal, or installation of equipment that involves a
regulated substance as discussed below.
2. Requirements for Disposable Cylinders
EPA is proposing certain requirements for users of disposable
cylinders that contain HFCs that could be used in the servicing,
repair, or installation of certain equipment. As described in more
detail earlier in this action, subsection (h)(1) directs EPA to
promulgate regulations to control, where appropriate, any practice,
process, or activity regarding the servicing, repair, disposal, or
installation of equipment that involves regulated substances, among
other things, for purposes of maximizing reclaiming and minimizing the
release of a regulated substance from equipment and ensuring the safety
of technicians and consumers. Both disposable and refillable cylinders
are used during the service or repair of equipment, and both could be
used during the installation of a piece of equipment that is initially
charged in the field. For the purpose of maximizing the reclamation of
HFCs, EPA is proposing to require that disposable cylinders that
contain HFCs and that have been used for the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment must be sent to an EPA-certified reclaimer or a fire
suppressant recycler. EPA is also proposing that these entities (i.e.,
reclaimers and fire suppressant recyclers) must remove all HFCs,
including any remaining amount after the cylinders are considered empty
for servicing, repair, and installation purposes (e.g., the heel),
prior to the disposal of these cylinders. The proposed requirements to
send disposable cylinders and the removal of the remaining HFCs will
contribute to EPA's efforts to maximize reclaiming by ensuring that any
remaining HFCs (including heels) have been evacuated and recovered, and
thus are available for reclamation, rather than being released over
time when disposable cylinders are placed in landfills or are crushed
for scrap metal recycling. EPA interprets its authority under
subsection (h)(1) of the AIM Act to ``promulgate regulations to
control, where appropriate, any practice, process, or activity
regarding the servicing, repair, disposal, or installation of
equipment'' to include authority to regulate the entire practice,
process, or activity, including aspects of it that may occur before or
after the servicing, repair, disposal, or installation of the
equipment, especially where such regulations help achieve the purposes
specified in subsection (h)(1) (e.g., ``maximizing reclamation'').
Thus, because use of these cylinders in servicing, repair, and
installation of equipment is a practice, process, or activity regarding
the servicing, repair, and installation of equipment, EPA interprets
section (h)(1) to convey authority to establish the proposed
requirements for the treatment of the cylinder after servicing, repair,
or installation. Requiring that disposable cylinders be sent to
entities able to remove the HFCs would have the effect of increasing
the amount of HFCs that could be reclaimed and reused in the servicing,
repair, or installation of refrigerant-containing equipment or fire
suppression equipment. In addition, the result of these proposed
requirements would be fewer HFC emissions, as compared to allowing such
single use, disposable cylinders to be disposed with HFCs still in the
cylinder.
Compressed gases, such as HFCs, can be stored and transported in a
variety of containers, which often hold as little as sixteen ounces (or
even smaller for lab samples) or as much as a ton (or even more in the
case of railcars and ISO tanks). The size and type of the container
depend in large part on the intended use of the regulated substance.
Historically, HFC refrigerant \113\ sold in the United States for
technicians servicing existing RACHP equipment has been predominantly
contained in disposable cylinders certified to Department of
Transportation (DOT) specifications. These cylinders are often called
DOT-39 cylinders because the cylinders are certified to meet DOT
specification 39 requirements.\114\ A DOT-39 cylinder is designed for a
single use and is strictly not refillable. As such, a DOT-39 cylinder
tends to be less expensive and weigh less than refillable refrigerant
cylinders. Disposable cylinders of the same capacity \115\ typically
have the same shape and are also often shipped in a box while
refillable cylinders are typically not. Refillable refrigerant
[[Page 72267]]
cylinders are also used to a lesser extent and considered to be more
durable, lasting up to 20 years. The two primary shapes of refillable
refrigerant cylinders currently being used in servicing, repair, and/or
installation are akin to a propane tank or a cylindrical scuba tank and
have a two-way valve that can be adjusted to allow pressurized gases in
or out.
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\113\ EPA understands that HFC fire suppressants are less likely
to be found in disposable cylinders; however, in case they are, EPA
is treating them the same as HFC refrigerants in disposable
cylinders in this proposal.
\114\ See 49 CFR 178.65--Specification 39 non-reusable (non-
refillable) cylinders.
\115\ Typically, disposable cylinders of the same designed water
capacity have the same shape. For example, disposable cylinders with
a ~30-pound water capacity will generally have the same shape;
however, disposable cylinders with a ~16-pound water capacity would
be smaller in size and shape.
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HFC losses are more likely to occur, and in more significant
quantities, from disposable cylinders, including losses from the
residual amount of HFCs (i.e., heels) that remain in cylinders after
the majority of the HFC has been removed from the cylinder for use.
With disposable cylinders, these heels, which can measure up to 10
percent of the quantity that was originally stored in the container,
would be released to the atmosphere when the cylinder is disposed of,
unless the heel was recovered prior to disposal. In addition,
disposable cylinders may be disposed with greater amounts of HFCs than
a typical heel in the cylinder particularly if the technician has
limited space to carry partially full cylinders. This differs from a
refillable cylinder, since such cylinders can be refilled whereas the
design of disposable cylinders inherently means they cannot be
refilled. In the Analysis of the Economic Impacts and Benefits of the
Proposed Rule draft TSD developed to support this proposed rule, EPA
considered a typical range for the heel remaining in disposable service
cylinders of 2 to 6 percent while noting information that suggests
heels can be as high as 10 percent. This range is consistent with
previous theoretical and empirical studies, as referenced in the draft
TSD, that have estimated the remaining heel in disposable 30-pound
cylinders to usually range between 2 to 6 percent, though this percent
could vary depending on the application in which the cylinder is used
as well as the refrigerant contained in the cylinder. As also reflected
in the draft TSD, industry estimates that disposable cylinders contain
a heel that is typically between 1 (~3 percent) to 1.5 pounds (5
percent). The lead assumption used by EPA to assess the impacts of this
proposal was to assume the heels are approximately 1.25 pounds (~4
percent) for a typical disposable cylinder of 25-30 pounds.
EPA is concerned about the reduction in the amounts of HFC that
could be available for reclaiming due to losses of HFCs associated with
current practices of disposing single use, disposable cylinders used in
the servicing, repair, or installation of refrigerant-containing or
fire suppression equipment. Accordingly, proposing to require that HFCs
contained in disposable cylinders must be recovered prior to the
disposal of cylinders will reduce HFC losses from disposable cylinders.
EPA is also aware that as the HFC phasedown continues, scarcity of
virgin HFCs will increase. HFCs recovered and reclaimed (or recycled,
in the case of recovered fire suppressants) can be used for servicing,
repair, disposal, or installation of equipment thus providing
additional options for increasing the amounts of usable HFCs.
EPA is proposing a compliance date of January 1, 2025, for
requiring that disposable cylinders be sent to a reclaimer or fire
suppressant recycler and for the recovery of HFCs from disposable
cylinders, in part because EPA understands that a viable distribution
chain for sending HFCs in containers to reclaimers or fire suppressant
recyclers already exists. This current distribution chain is currently
in place for refillable cylinders and cylinders that are exclusively
used for the recovery of HFCs from equipment, referred to as recovery
cylinders. This distribution chain could just as effectively be used
for sending disposable cylinders containing remaining HFCs to
reclaimers or fire suppressant recyclers, and to some extent, already
is in use for disposable cylinders. Several reclaimers indicated to EPA
that their existing means for transporting recovery cylinders can also
be used for disposable cylinders that contain HFCs and that have been
used in the servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment. Further, some
reclaimers have also indicated that they currently accept disposable
cylinders to remove and recover any remaining heels left in the
disposable cylinders.
HFCs that are recovered from equipment during servicing, repair, or
disposal of equipment are recovered into designated types of cylinders.
Such recovery cylinders are, in general, uniquely identifiable (often,
they are painted gray and yellow). These cylinders are sent to
reclaimers or fire suppressant recyclers after HFCs have been recovered
in the field from a piece of equipment, either through a distributer or
wholesaler or directly from a contractor to the reclaimer or fire
suppressant recycler. Refillable cylinders may be sent to producers,
blenders, repackagers, reclaimers, and fire suppressant recyclers, or
other entities for continued use. Therefore, HFCs in recovery and
refillable cylinders are already transported from the field to
reclaimers through various means, including with or without a network
of distributors that collects cylinders. For example, reclaimers,
wholesalers, or distributors may maintain a fleet of refillable or
recovery cylinders and may use a deposit-based system for technicians
and contractors to return the cylinders. EPA notes these distribution
chains for returning cylinders to the entity responsible for removing
the remaining the heels are already established and in use. Contractors
and technicians can make use of the existing channels they may already
be using to send disposable cylinders to reclaimers or fire suppressant
recyclers. Thus, the proposed requirement with a compliance date of
January 1, 2025, that disposable cylinders with remaining heels be sent
to a reclaimer or fire suppressant recycler is feasible.
As stated previously, every cylinder, whether disposable or
refillable, still retains a residual amount of its contents, (e.g.,
heel) even when it is considered empty for purposes of servicing,
repair, or installation of equipment, and some cylinders may contain
more than a heel if not all the contents are used. Removing this heel
requires the use of recovery equipment, like that used to recover
refrigerant from an appliance. Unfortunately, it currently is not
common practice to remove the heel from disposable cylinders before
they are ultimately disposed. Current practices for disposal of
disposable cylinders are to prevent refilling a disposable cylinder and
include puncturing the rupture disk or breaking off the shutoff
valve,\116\ since they are not designed to have material re-enter them.
The disposal practice also demonstrates that the cylinder no longer
contains any remaining heel, as any heel that had been in the cylinder
would be released through these disposal practices. If the practice of
puncturing the rupture disk or breaking off the shutoff valve has not
been performed, HFCs in disposable cylinders could be released to the
atmosphere during the disposal of the cylinder, and ultimately any
remaining HFCs are released if the cylinder is crushed for scrap metal
recycling. Even if the cylinder is not used for scrap metal recycling,
disposable cylinders that are disposed of in a landfill have the
potential to release any residual HFCs as the seal can degrade over
time.
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\116\ EPA also notes that other Federal regulations expressly
prohibit the transportation of DOT-39 cylinders if refilled (49 CFR
178.65).
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EPA is proposing that the remaining heel in containers that have
been used in the servicing, repair, or installation of equipment would
not be considered a virgin regulated substance. As EPA
[[Page 72268]]
understands, some reclaimers who currently recover heels or any
remaining residue from cylinders treat the returned refrigerant as used
recovered material that could be contaminated and run the heel through
the reclamation process as though it were returned in a recovery
cylinder. This practice ensures that the heel is reprocessed, and the
resulting reclaimed HFC product meets the correct standard. EPA notes
that under section IV.D.2. of this proposal, reclaimed HFC refrigerants
would be limited to containing no more than 15 percent virgin HFCs, by
weight. For the purposes of maximizing the reclaiming of HFCs, EPA does
not intend for this remaining heel to count as part of the 15 percent
of virgin HFC refrigerant allowed in reclaimed HFC refrigerant because
this would penalize reclaimers that are recovering the heel from
cylinders.
EPA is also considering and seeking comments on an alternative
approach to the proposal requiring that disposable cylinders that
contain HFCs and that have been used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment be returned to an EPA-certified reclaimer or a fire
suppressant recycler. The alternative approach would involve requiring
the final processor of a disposable cylinder to ensure that all
regulated substances, including the remaining heel, have been recovered
prior to final disposition of the cylinder. EPA currently has similar
provisions under 40 CFR 82.155 for certain appliances, including
requirements that a final processor (e.g., scrap recyclers and landfill
operators) either recover any remaining refrigerant from the appliance
or receive a verification statement that the refrigerant in the
disposed appliance has previously been recovered. EPA is also
considering an approach that would establish a requirement that draws
from both the lead proposal and alternative approach. The
distinguishing feature would be to allow more than just EPA-certified
reclaimers to perform the recovery (e.g., distributors and
wholesalers), while requiring all recovered material be sent to an EPA-
certified reclaimer. In addition, 82.155(a) states that persons
recovering refrigerant from certain appliances that would be disposed
are required to evacuate refrigerant from the appliances. In either
case, refrigerant must be evacuated from the appliance to a specified
level using recovery equipment that meets applicable standards. EPA
would also consider establishing recordkeeping provisions to ensure
that disposable cylinders that contained HFCs have been evacuated
appropriately before final disposition (e.g., landfill operator of
scrap recycler). EPA is seeking comment on all aspects of this
potential alternative approach. For example, EPA would be interested in
comments related to the level of vacuum needed or if recovery equipment
that meet specific standards would be needed to ensure the remaining
amount of refrigerant in the disposable cylinder is fully removed.
EPA has separately learned via a petition for partial
administrative reconsideration of the Allocation Framework Rule (see
https://www.regulations.gov/comment/EPA-HQ-OAR-2021-0044-0229) and
other communication with one manufacturer who has been developing a
redesigned disposable cylinder that, according to the company, includes
features meant to prevent intentional venting and fugitive emissions,
provide visually identifiable unique handle shapes, and accommodate
machine-readable tracking identifiers (e.g., QR codes or RFID chips).
EPA has only limited information on this newly designed disposable
cylinder prototype and seeks any relevant information from commenters
on such newly designed disposable cylinders, whether from that
manufacturer or other manufacturers. EPA understands that the newly-
designed technology from the one manufacturer is proprietary and is a
prototype that has not been commercialized. EPA seeks comment on
whether this redesigned cylinder could address heels of HFC remaining
in the cylinders upon disposal, which result in emissions rather than
being reclaimed. Given that the language in subsection (h) concerns
both maximizing reclaiming and minimizing the release of regulated
substances from equipment and contemplates regulations to control of
practices, processes, or activities regarding servicing, repair,
disposal, or installation of equipment, EPA is seeking additional
information about the cylinder's ability to consistently deliver leak
reductions during normal use. The Agency is also seeking additional
information about when or if this redesigned cylinder would be
commercially available. Further, EPA is seeking information about
whether this redesigned cylinder could improve the ability for the
remaining heel to be recovered before the cylinder is disposed.
Additionally, if commenters have information about other cylinder
manufacturers meeting similar metrics, EPA seeks similar information.
EPA requests comment on all aspects of this proposal including the
requirement for disposable cylinders that contain HFCs and that have
been used for the servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment to be sent to
reclaimers or fire suppressant recyclers, respectively; the timing for
compliance; and the amounts of regulated substances likely to either
remain in or be emitted from discarded disposable cylinders absent
requirements for HFC removal. EPA is requesting comment on the current
channels by which contractors or technicians return cylinders
containing HFCs to reclaimers or fire suppressant recyclers. EPA is
also seeking comment on the alternative approach which involves the
final processor ensuring that all regulated substances, including the
remaining heel, have been recovered prior to final disposition of the
cylinder. Further, EPA requests comment on the consideration to
establish a requirement that draws from the lead proposal and the
alternative approach. EPA is interested in comments of current disposal
practices for disposable cylinders that involve the recovery of the
heel and the subsequent handling of the recovered heel.
3. Container Tracking
EPA is proposing certain tracking requirements for regulated
substances that are used in servicing, repair, or installation of
certain equipment. These requirements are being proposed as part of
implementing subsection (h)(1) of the AIM Act, as these provisions
would control practices, processes, or activities regarding servicing,
repair, or installation of equipment, and would involve a regulated
substance or, in some cases, the reclaiming of a regulated substance
used as a refrigerant. More specifically, these requirements would
control practices, processes, and activities regarding the
identification of regulated substances that could be used for
servicing, repair, or installation of certain equipment, as well as the
tracking of reclaimed HFCs in the supply chain. It is critical for
technicians and owners or operators of equipment to know the identity
of the regulated substances that they are using for servicing, repair,
or installation of equipment, so that they can ensure that those
regulated substances are compatible with the specifications of that
equipment. For example, if equipment has been designed for use with
non-flammable HFCs, it is important that technicians and owners or
operators can confirm that the HFCs they are using to service, repair,
or install the equipment is nonflammable. As described above, regulated
[[Page 72269]]
substances are transported or stored during various points in the
supply chain, particularly for applications where the regulated
substances are used for the servicing, repair, or installation of
equipment that contain or will contain the regulated substances. The
proposed tracking requirements would allow the technicians to verify
the identity of regulated substances in a container, and that it meets
any applicable regulatory requirements and technical specifications,
before they use it for servicing, repair, or installation of certain
equipment. In addition, understanding the movement of the regulated
substances through the supply chain (both for virgin HFCs and for HFCs
that have been recycled (as it relates to fire suppressants) and/or
reclaimed) is important to understanding the ways they are used and
where additional opportunities for recovery, reclamation, and/or
recycling (related to fire suppressants) exist. Further, the ability to
track regulated substances in the supply chain would allow the Agency
to account for the actual amount of regulated substances used in
equipment, verify adherence with the requirements of the regulations,
and identify sectors, subsectors, or places in the supply chain where
emissions occur. Tracking movement of regulated substances, including
to reclaimers in certain circumstances, supports the goal of maximizing
reclaiming of regulated substances by providing information to better
identify challenges to increasing reclamation. This information may
also be useful to better understanding points in the supply chain where
HFC releases from equipment can be minimized in the future, and thus
further serve one of the purposes stated in subsection (h)(1).
a. Container Tracking of Regulated Substances
EPA is proposing that any container (whether disposable or
refillable) of regulated substances that enters into U.S. commerce and
contains HFCs that could be used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment must contain a machine-readable tracking identifier (e.g., QR
code, or another identifier(s)) that contains relevant information, as
described in this section.
The proposed tracking requirements for HFCs entering U.S. commerce
that could be used in the servicing, repair, or installation of
refrigerant-containing equipment would allow for tracking the movement
of reclaimed HFCs and ensure that reclaimed HFCs are used in the
subsectors in which requirements regarding their use are being
proposed. These proposed requirements for tracking would also apply to
HFCs that could be used in the servicing, repair, and installation of
fire suppression equipment and would allow for the tracking of recycled
HFC fire suppressants and ensure the use of recycled HFCs for fire
suppression equipment to meet the proposed requirements. As such, these
proposed tracking requirements have the added benefit of supporting and
facilitating efforts to ensure compliance with the proposed
requirements for the use of reclaimed or recycled HFCs, as applicable,
in certain RACHP subsectors and the fire suppression sector. They help
to ensure that technicians and owners or operators of equipment in
those sectors can easily determine whether the HFCs that they are using
for servicing, repair, or installation of refrigerant-containing
equipment or fire suppression equipment are reclaimed or recycled,
respectively, and otherwise meet the proposed requirements. In that
way, these proposed requirements would further serve the purpose
described in subsection (h)(1) of the AIM Act to maximize the
reclaiming of regulated substances.
For tracking the movement of HFCs, EPA is proposing to require the
generation of a machine-readable tracking identifier (e.g., QR code or
another identifier) by importers, producers and repackagers,
reclaimers, and fire suppressant recyclers. Tracking HFCs through
machine-readable tracking identifiers would provide information that
helps support compliance with requirements for the use of reclaimed
HFCs in certain refrigerant-containing equipment, as proposed in this
action, such as whether reclaimed HFCs are being used in certain RACHP
subsectors. The machine-readable tracking identifiers would provide
information that would more easily allow for the determination of
whether a given container of reclaimed HFCs has met the proposed
standard in this action that no more than 15 percent virgin HFCs are
contained in the reclaimed HFCs. Further, the machine-readable tracking
identifiers would also support compliance of the proposed requirements
for using recycled HFCs in fire suppression equipment. The machine-
readable tracking identifier must be affixed to containers of regulated
substances and include certain data elements. When the machine-readable
tracking identifier is scanned, it will point to a website with a
database that will indicate if the HFC in the container meets
regulatory requirements, and provide certain data elements, for
example, the quantity and common name of the HFC or HFC blend, the name
it is currently being marketed under (e.g., trade name or brand), and
the date the container was filled. A discussion of the information that
would be required is provided in this section of the preamble and a
discussion of how the data would be treated as confidential or not is
described in section V. of this preamble. EPA is proposing that in the
case where a machine-readable tracking identifier affixed to a
container is damaged or otherwise unreadable, this would be the same as
not having a machine-readable tracking identifier at all, which would
be a violation of the proposed requirements.
EPA is proposing that the tracking information must be updated each
time the regulated substances that could be used in the servicing,
repair, or installation of refrigerant-containing equipment or fire
suppression equipment are bought/sold or portioned into another
container. For example, when regulated substances in larger containers
are downpacked to smaller containers, the tracking information would
need to be updated. Tracking information would also be required to be
updated when the regulated substances in containers are bought or sold
up to the point of sale to the final customer of the regulated
substance (e.g., a contractor who purchases regulated substances for
their use in the servicing, repair, or installation of equipment). EPA
is proposing that, as the regulated substances move in the supply
chain, the person selling the regulated substances must scan the
machine-readable tracking identifier as the container is sold and
update the tracking information, and the person buying the container of
regulated substances would need to do the same. For example, EPA is
proposing that a person selling a container of regulated substances
would need to identify the person receiving the container and indicate
if that person is a supplier or a final customer in the tracking
system. This would document the chain of custody as the regulated
substance moves through the supply chain. For both disposable and
refillable cylinders that contain regulated substances that could be
used in the servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment, EPA is proposing
certain requirements for tracking the movement of the cylinder after it
is used (as described in section IV.F.3.).
[[Page 72270]]
EPA is proposing to require any person who produces, imports,
reclaims, recycles for fire suppression uses, repackages, or fills into
a container regulated substances, reclaimed regulated substances, or
recycled regulated substances that could be used in the servicing,
repair, or installation of refrigerant-containing equipment or fire
suppression equipment must register with EPA in the tracking system no
later than the first time they would be required to generate a machine-
readable tracking identifier. EPA notes that for those entities that
may wish to register in advance of the required date to generate a
machine-readable tracking identifier, registration in the tracking
system would be available 30 or 60 days prior to the applicable
compliance date (e.g., as early as November 1, 2024, for producers and
importers). Likewise, EPA is proposing to require that any person who
purchases, sells, distributes, or offers for sale or distribution,
regulated substances that could be used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment must register with EPA in the tracking system no later than
the first time the person would be required to update tracking
information in the system. EPA notes that for those persons involved in
the purchase, sale, or distribution or offering for sale or
distribution of regulated substances who wish to register earlier may
do so. To support the effective implementation of the tracking system,
EPA intends to offer various opportunities for training potential users
through webinars, fact sheets, and other guidance materials prior to
the earliest required compliance dates.
Additional detail on requirements for registering in the tracking
system can be found in Sec. 84.118 of the proposed regulatory text. To
support this provision, EPA is prohibiting any person from purchasing
or receiving, or attempting to purchase or receive regulated substances
that could be used in the servicing, repair, or installation of
refrigerant-containing equipment or fire suppression equipment from
someone that is not registered with EPA. Nevertheless, EPA is proposing
that this prohibition would not apply to a person purchasing or
receiving, or attempting to purchase or receive regulated substances
only for uses that are not related to refrigerant-containing equipment
or fire suppression equipment (e.g. foams, aerosol propellants). EPA
notes that for larger containers that contain regulated substances that
may be used in multiple sectors, the Agency is proposing to require
those containers would be subject to the proposed prohibition if any
regulated substances in the container could be used for refrigerant-
containing equipment or fire suppression equipment in order to ensure
that those regulated substances are accurately accounted for. As EPA
understands the supply chain, HFCs may change hands one or more times
before it is purchased by the final entity in the distribution chain
and subsequently sold to the final customer. As the HFCs move through
the supply chain to the final customer, sellers/distributors would need
to scan the containers as they are sold and update the information as
needed, and buyers who intend to purchase/receive the HFCs, other than
the final customer, would need to do the same.
For importers, EPA is proposing that the following information be
included in the tracking system for the generation of a machine-
readable tracking identifier for regulated substances that could be
used in servicing, repair, or installation of equipment:
The name or brand the regulated substance is being sold
and/or marketed under;
The date it was imported;
The size of the container(s);
The entry number and entry line number associated with the
import;
The unique serial number associated with the container;
The amount and name of the regulated substance(s) in the
container;
The name, address, contact person, email address, and
phone number of the responsible party at the facility where the
container of regulated substance(s) was filled; and
Certification that the contents of the container match the
substance(s) identified on the label.
For producers and repackagers of regulated substances, EPA is
proposing that certain information must be included in the tracking
system for the generation of a machine-readable tracking identifier for
regulated substances that could be used in servicing, repair, or
installation of equipment. This information would be required to be
included whether a container is filled for the first time after
production or when transferring regulated substances from one container
to one or more smaller or larger containers. EPA is proposing the
following information must be included when generating the machine-
readable tracking identifier:
The name or brand the regulated substance is being sold
and/or marketed under;
The date the container was filled and by whom;
The unique serial number associated with the container;
The amount and name of the regulated substance(s) in the
container;
The quantity of containers it was packaged in;
The size of the containers;
The name, address, contact person, email address, and
phone number of the responsible party at the facility where the
container(s) were filled; and
Certification that the contents of the container match the
substance(s) identified on the label.
EPA is proposing that any person filling a container with reclaimed
HFC refrigerants that could be used in servicing, repair, or
installation of equipment include certain information in the tracking
system for the generation of the machine-readable tracking identifier.
This information would include the following:
The name or brand the regulated substance is being sold
and/or marketed under;
When the HFC was reclaimed and by whom;
The date the reclaimed regulated substance was put into a
container;
The unique serial number associated with the container;
The size of the containers;
The amount and name of the regulated substance(s) in the
container;
The amount of virgin regulated substance(s) in the
container, if any, and that the contents of the container are certified
per Sec. 84.112(d) of the proposed regulatory text;
Reclaimer certification that the purity of the batch was
confirmed to meet the specifications in appendix A to 40 CFR part 82,
subpart F; and
Certification that the contents of the container match the
substance(s) identified on the label.
EPA is proposing that any person filling a container with recycled
regulated substances that could be used for servicing or installing
fire suppression equipment, including for example fire suppressant
recyclers, include certain information in the tracking system for the
generation of the machine-readable tracking identifier. This
information would include the following:
The name or brand the regulated substance is being sold
and/or marketed under;
The date the container was filled and by whom;
The size of the containers;
The unique serial number associated with the container;
The amount and name of the regulated substance(s) in the
container;
[[Page 72271]]
The amount of virgin regulated substance(s) in the
container, if any; and
Certification that the contents of the container match the
substance(s) identified on the label.
EPA is proposing a schedule for those required to generate a
machine-readable tracking identifier and affix to containers to support
the effective implementation of the tracking provisions in this
proposal. As of January 1, 2025, EPA would require machine-readable
tracking identifiers on all containers of HFCs that could be used in
servicing, repair, or installation of refrigerant-containing equipment
or fire suppression equipment that are imported, sold or distributed,
or offered for sale or distribution by producers and importers. As of
January 1, 2026, EPA would require machine-readable tracking
identifiers on all containers of HFCs that could be used in the
servicing, repair, or installation of refrigerant-containing equipment
or fire suppression equipment that are filled, sold or distributed, or
offered for sale or distribution, by all other repackagers and cylinder
fillers in the United States, including reclaimers and fire suppressant
recyclers. As of January 1, 2027, EPA would require a machine-readable
tracking identifier on every container of HFCs that could be used in
servicing, repair, or installation of refrigerant-containing equipment
or fire suppression equipment that are sold or distributed, offered for
sale or distribution, purchased or received, or attempted to be
purchased or received.
EPA understands that effectively implementing the tracking system
in industry will require logistical adaptation and technological
investment. Thus, EPA is proposing a phased-in approach for the
tracking requirements would support implementation and provide
additional time after the final rule is published for industry to
adjust to the proposed requirements when they are fully implemented.
Under this phased-in approach, the Agency would have more time to
consult industry and develop an appropriate tracking system. Similarly,
industry would have more time to adapt existing systems and/or procure
any technology needed to support the tracking system and train staff.
Further, this tracking system would have the additional advantage of
supporting the proposed requirements for the use of reclaimed HFCs. It
would provide an easy means for an entity to identify reclaimed HFCs
and thus helps support compliance with those aspects of this proposal.
For example, the tracking system would help ensure reclaimed HFCs are
being used consistent with the proposed requirements in section IV.D.
of this action. EPA notes that the Agency could consider making the
tracking system available for use on a voluntary basis ahead of the
applicable compliance dates for different types of users.
EPA is requesting comment on all aspects of this proposal. In
particular, EPA is requesting comment on the proposed requirements for
the tracking system related to the timing of the requirements. EPA is
seeking comment on the phased-in approach to apply the requirements for
effective implementation of the proposed provisions. EPA is also
seeking comment on the time needed by industry for particular
technological or logistical changes to effectively implement the
tracking system requirements in this proposal.
b. Container Tracking of Used Cylinders
EPA is proposing specific requirements for the tracking of
cylinders that contain HFCs and that have been used for the servicing,
repair, or installation of refrigerant-containing equipment or fire
suppression equipment. As noted in section IV.F.2., after cylinders
(both disposable and refillable) containing regulated substances have
been used in these practices, processes, and activities, they still
have a remaining portion of regulated substances (i.e., the heel).
Tracking these cylinders that contain a heel serves the purpose
identified in subsection (h)(1) of maximizing reclaim. Further,
subsection (h)(2)(A) of the AIM Act provides that EPA consider its
authority for increasing opportunities for reclaiming of regulated
substances. Requiring tracking of the remaining heel in cylinders would
ensure that the heel could be recovered and promote additional reclaim.
As proposed in section IV.F.2., EPA would require that disposable
cylinders that contain HFCs and that have been used in the servicing,
repair, or installation of refrigerant-containing equipment or fire
suppression equipment be required to be returned to a reclaimer or fire
suppressant recycler so that the remaining regulated substances,
including heels, can be recovered. EPA is proposing that after a
disposable cylinder is used in the servicing, repair, or installation
of such equipment, it would be required to be tracked until it reaches
an EPA-certified reclaimer or a fire suppressant recycler. As EPA
understands and describes above, technicians and contractors (for
refrigerant-containing equipment or fire suppression equipment)
currently have channels for returning recovery cylinders. EPA
anticipates that technicians and contractors would be able to use these
same channels for returning disposable cylinders to reclaimers or fire
suppressant recyclers. In some cases, there may be a direct connection
between technicians or contractors to reclaimers or fire suppression
recyclers and there is no intermediary step to returning a cylinder. In
this case, the only tracking step required would be by the reclaimer or
fire suppressant recycler, who would be registered in the tracking
system. EPA is proposing that when a reclaimer or fire suppressant
recycler receives a disposable cylinder with a remaining heel, they
would be required to scan the machine-readable tracking identifier that
was already affixed on the disposable cylinder and update the following
information to confirm receipt:
The date that the disposable cylinder was received; and
The name, address, contact person, email address, and
phone number of the person who sent the disposable cylinder.
EPA is proposing that when the reclaimer or fire suppressant
recycler removes the remaining regulated substances from the disposable
cylinder, they would be required to enter in the tracking system the
following data elements:
The date that the regulated substances were removed from
the disposable cylinder;
Certification that all remaining regulated substances were
removed;
The amount and the name of the recovered regulated
substance(s).
In other cases, technicians or contractors may return cylinders to
a distributor or wholesaler who collects cylinders and then sends them
to a reclaimer or fire suppressant recycler. In this case, there would
be an additional tracking step required by the wholesaler or
distributor, who would already be registered in the tracking system.
EPA is proposing to require that the distributor or wholesaler
collecting the disposable cylinders scan the affixed machine-readable
tracking identifier when they receive it. The wholesaler or distributor
would be required to enter in the tracking system the following
information:
The date that the disposable cylinder was received; and
The name, address, contact person, email address, and
phone number of the person who sent the disposable cylinder.
EPA is proposing to require that when a reclaimer or fire
suppressant recycler receives a disposable cylinder with a
[[Page 72272]]
remaining heel from a distributor or wholesaler, they would be required
to scan the machine-readable tracking identifier and update information
in the tracking system. The proposed requirements for reclaimers and
fire suppressant recyclers to update information in the tracking system
are the same as would be required if the reclaimer or fire suppressant
recycler were to receive the disposable cylinder directly from a
technician or contractor.
EPA is proposing that the tracking of disposable cylinders to
reclaimers or fire suppressant recyclers would be required as of
January 1, 2026. This date aligns with the proposed requirement for
reclaimers and fire suppressant recyclers to track containers they
fill, sell, or distribute, or offer for sale or distribution with
regulated substances that could be used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment. Thus, they would be registered in the tracking system
already and could scan and update information as they receive
disposable cylinders. This proposed date would also require
distributors and wholesalers who receive returned disposable cylinders
to be registered in the tracking system. For those distributors and
wholesalers that would be receiving disposable cylinders, EPA is
proposing that they would be required to register in the tracking
system the first time they would need to access the system to update
tracking information.
EPA is proposing to include additional requirements for the
tracking of refillable cylinders that contain HFCs and that have been
used in the servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment. By nature, EPA
expects that refillable cylinders would be involved with a return trip
after they are used and have only a heel remaining. As EPA understands,
fleets of refillable cylinders may be maintained by those who would
frequently fill and refill them. For example, some producers, blenders,
repackagers, and reclaimers may maintain a fleet of refillable
cylinders. In some cases, these entities may even operate a system to
track or otherwise maintain their own inventory of refillable
cylinders. Refillable cylinders differ from disposable in a number of
ways, notably as it relates to how the remaining regulated substances
are handled after the refillable cylinder has been used and a heel
remains. The remaining heel in a refillable cylinder can either be
recovered, or additional HFC could be added to the refillable cylinder
if it is the same chemical or blend. EPA understands this practice is
common especially for larger cylinders, such as ISO tanks and rail
cars.
EPA is proposing certain requirements for tracking the return of
refillable cylinders that have been used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment. Contractors or technicians who are using the refillable
cylinders for the servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment could return
refillable cylinders to a distributor or wholesaler or they could
return refillable cylinders directly to a cylinder owner (e.g.,
reclaimer, blender). In either case, EPA is proposing similar tracking
requirements as those for the tracking of the return of a disposable
cylinder.
EPA is proposing that reclaimers or fire suppressant recyclers
would be required to enter the following information in the tracking
system when they receive a refillable cylinder that contains HFCs and
that has been used in the servicing, repair, or installation of
refrigerant-containing equipment or fire suppression equipment:
The date that the refillable cylinder was received;
The name, address, contact person, email address, and
phone number of the person who sent the refillable cylinder.
EPA is proposing that when the reclaimer or fire suppressant
recycler removes the remaining regulated substances from the refillable
cylinder, they would be required to enter in the tracking system the
following data elements:
The date that the regulated substances were removed from
the refillable cylinder;
Certification that all remaining regulated substances were
removed; and
The amount and name of the recovered regulated
substance(s).
In the case that a refillable cylinder is first sent to a
distributor or wholesaler, EPA is proposing that the wholesaler or
distributor enter the following information to the tracking system upon
receipt of the refillable cylinder:
The date that the refillable cylinder was received; and
The name, address, contact person, email address, and
phone number of the person who sent the refillable cylinder.
In the case where a refillable cylinder is sent to a person, other
than an EPA-certified reclaimer or a fire suppressant recycler, capable
of refilling it with additional HFCs or blend containing HFCs, the
person filling the container would be required to enter the following
data elements in the tracking system upon receipt of the refillable
cylinder:
The date that the refillable cylinder was received; and
The name, address, contact person, email address, and
phone number of the person who sent the refillable cylinder.
EPA is proposing that when the person, other than an EPA-certified
reclaimer or a fire suppressant recycler, who received the refillable
cylinder removes any remaining regulated substances from the refillable
cylinder or refills the refillable cylinder, that person must scan the
machine-readable tracking identifier and update the following
information in the tracking system:
The date the remaining regulated substance was removed or
the date the refillable was refilled; and
The amount and name of the remaining regulated
substance(s) removed from the refillable cylinder or the amount and
name of the regulated substance(s) remaining in the refillable cylinder
before it is refilled.
EPA is proposing similar timing requirements for the tracking of
refillable cylinders as they are returned to the cylinder owners (e.g.,
producers, reclaimers, fire suppressant recyclers). The tracking of
refillable cylinders as they are returned to cylinder owners would be
required as of January 1, 2026. Again, this date aligns with the
proposed requirement for reclaimers and fire suppressant recyclers to
track of containers they fill, sell, or distribute, or offered for sale
or distribution with regulated substances that could be used in the
servicing, repair, or installation of refrigerant-containing equipment
or fire suppression equipment. Any producers who would be involved with
tracking steps associated with the return of refillable cylinders would
have already had experience in the tracking system for a full year. For
those distributors and wholesalers that would be receiving refillable
cylinders, EPA is proposing that they would be required to register in
the tracking system the first time they would need to access the system
to update tracking information.
EPA is considering requirements associated with the tracking of
cylinders that are used for the purpose of recovering regulated
substances (i.e., recovery cylinders) from refrigerant-containing
equipment or fire suppression equipment. As described above, these
recovery cylinders are only intended for the recovery of refrigerants
or fire suppressants from equipment for the intention of sending the
material to a reclaimer or fire suppressant recycler. As noted, fleets
of recovery cylinders may be owned by reclaimers or
[[Page 72273]]
wholesalers or distributors who maintain them using a deposit-based
system for the return of the cylinders. Contractors and technicians
would pay a deposit and obtain the recovery cylinders from these
entities and have the deposit returned when the cylinder is returned.
In this case, EPA is considering and requesting comment on whether to
establish tracking requirements for the entities that maintain the
fleet of recovery cylinders. Such requirements would allow EPA the
ability to track the amount of material that is recovered from
equipment and how that material moves in the supply chain until it
reaches a reclaimer or fire suppressant recycler. EPA is also
interested in the tracking of recovery cylinders as it would provide
additional information on the HFCs that are recovered from equipment
that is being serviced, repaired, or disposed of, and their movement in
the market and supply chain, and on practices, processes, or activities
associated with the servicing, repair, or disposal of equipment. EPA is
requesting comment on these topics, as well as additional information
on how recovery cylinders are maintained in practice. For example, EPA
is seeking information regarding whether contractors or technicians are
owners of recovery cylinders and how they return them to reclaimers or
fire suppressant recyclers.
EPA is seeking comment on all aspects of this proposal.
Specifically, EPA is seeking comment on the timing for requirements to
track containers (both disposable and refillable) that contain HFCs and
that have been used in the servicing, repair, or installation of
equipment. EPA is also seeking additional information on the overall
movement of cylinders (disposable, refillable, or recovery) in the
supply chain as they are returned to an entity to recover the regulated
substances (or refill the container, if it is a refillable cylinder).
4. Small Cans of Refrigerant
Small cans of refrigerant, that typically contain 2 pounds or less
of regulated substances, are commonly used by individuals to service
their own MVACs. This do-it-yourself (DIY) servicing practice is unique
to the MVAC subsector within the RACHP sector. In the 2016 CAA section
608 Rule (81 FR 82272, November 18, 2016), EPA finalized an exemption
from the sales restriction at 40 CFR 82.154(c) for small cans of MVAC
refrigerant with self-sealing valves. EPA is not proposing to include
requirements for small cans of refrigerant with self-sealing valves
(i.e., those that qualify for exemption from the sales restriction
under 40 CFR 82.154(c)(ix)) to be sent to a reclaimer after use or to
include such small cans in the proposed container tracking
requirements. As noted, they are typically used only by DIYers in the
servicing of their own MVACs and contain no more than 2 pounds of
regulated substances. Another distinguishing factor is the distribution
chain for small cans, which are commonly sold directly to DIYers by
retailers. Accordingly, EPA concludes it is not necessary to require
that small cans of refrigerant (i.e., those meeting the 608
requirements) be sent to a reclaimer after use or to include small cans
in the proposed container tracking system to serve the regulatory
goals, as described throughout section IV.F. above.
EPA welcomes comment on all aspects of this proposal. In
particular, EPA seeks comments on its proposal to not include
requirements for small cans of refrigerant to be returned to a
reclaimer after use and to not include them in the proposed container
tracking system in this rulemaking. In particular, EPA is interested in
comments related to this provision as it relates to the regulatory
purpose of maximizing reclaiming of regulated substances and also
reducing the potential emissions of regulated substances.
G. How is EPA proposing to establish RCRA refrigerant recycling
alternative standards?
1. Nomenclature Used in This Section
This section uses the term ``ignitable spent refrigerant'' to
describe the refrigerants that are potentially subject to RCRA
hazardous waste regulation under the current rules, and that would
instead be subject to the proposed RCRA alternative standards for
refrigerants when recycled for reuse, if these standards are finalized.
``Ignitability'' is one of the RCRA hazardous waste characteristics and
is used to identify waste that may pose a risk to human health and the
environment due to their potential to cause fires if improperly
managed.\117\ The characteristic of ignitability is defined in 40 CFR
261.21. As discussed in more detail below in this section,
``ignitable'' is similar, but not identical, to the term ``flammable''
as used in ASHRAE Standard 34-2022. ``Spent'' is used in the same
context as ``spent material,'' which is defined in 40 CFR 261.1(c)(1)
as ``any material that has been used and as a result of contamination
can no longer serve the purpose for which it was produced without
processing.'' Thus, an ``ignitable spent refrigerant'' is a used
refrigerant that cannot be reused without first being cleaned, and that
exhibits the hazardous characteristic of ignitability per 40 CFR
261.21.
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\117\ EPA 1980, Background Document for the Hazardous Waste
Characteristic of Ignitability, May 2, 1980, p.7 https://www.epa.gov/hw/background-document-hazardous-waste-characteristic-ignitability.
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In addition, the terms ``reclaim'' and ``recycle'' have different
regulatory purposes and definitions under RCRA than under the CAA and
the AIM Act. Under RCRA, a material is ``reclaimed'' if it is processed
to recover a usable product, or if it is regenerated. Examples are
recovery of lead values from spent batteries and regeneration of spent
solvents (See 40 CFR 261.1(c)(4)). Reclamation is one of the four types
of ``recycling'' identified in 40 CFR 261.2(c) that can involve
management of a solid waste under RCRA. Materials that are solid waste
under RCRA are potentially subject to RCRA hazardous waste
requirements.
In contrast, under title VI of the CAA and its implementing
regulations, ``reclaim'' is a more precise term, requiring the
reclaimed refrigerant to meet regulatory specifications based on AHRI
Standard 700-2016, while ``recycle'' means to extract refrigerant from
an appliance and clean it for reuse in equipment of the same owner
without meeting all of the CAA requirements for reclamation. See those
definitions in 40 CFR 82.152. Similarly, under the AIM Act, ``reclaim;
reclamation'' are defined in subsection (b)(9) of the Act, and that
definition refers to the purity standards under AHRI Standard 700-2016
(or an appropriate successor standard adopted by the Administrator) and
the verification of purity using, at a minimum, the analytical
methodology described in that standard. ``Recycle'' is not defined in
the AIM Act.
To avoid confusion when discussing what regulatory requirements
would apply to ignitable spent refrigerant, for the purposes of the
proposed RCRA alternative standards, EPA is using the term ``recycle
for reuse'' as defined at 40 CFR 266.601 to mean to process an
ignitable spent refrigerant to remove contamination and prepare it to
be used again. This umbrella term includes reclaiming ignitable spent
refrigerants as defined in the context of the RCRA regulations at 40
CFR 261.1(c), and either reclaiming or recycling refrigerants as
defined in 40 CFR 82.152. ``Recycle for reuse'' would not include
recycling that involves burning for energy recovery or use in a manner
constituting disposal (use in or on the land) as defined in 40 CFR
261.2(c), or
[[Page 72274]]
sham recycling as defined in 40 CFR 261.2(g).
2. Background
On February 13, 1991, EPA promulgated an interim final rule
excluding spent chlorofluorocarbon (CFC) refrigerants from the
definition of hazardous waste under RCRA when recycled for reuse (56 FR
5910). EPA was concerned that subjecting used CFC refrigerants to RCRA
hazardous waste regulations would result in increased venting of these
refrigerants, resulting in increased levels of ODS in the stratosphere.
As described above in section III.C., EPA promulgated a series of rules
implementing provisions under CAA title VI to phase out class I and
class II ODS, including CFCs used as refrigerants, and establishing
standards applicable to the use, disposal, and recycling of ODS
refrigerants and their substitutes.
Some of these acceptable substitutes are flammable and likely to
exhibit the hazardous waste characteristic of ignitability found in 40
CFR 261.21.\118\ As described in section IV.C.4., ASHRAE Standard 34-
2022 assigns a safety group classification for each refrigerant which
consists of two alphanumeric characters (e.g., A2 or B1). The capital
letter indicates the toxicity class (``A'' for lower toxicity) and the
numeral denotes the flammability. ASHRAE recognizes three
classifications and one subclass for refrigerant flammability. The
three main flammability classifications are Class 1, for refrigerants
that do not propagate a flame when tested as per the ASHRAE 34
standard, ``Designation and Safety Classification of Refrigerants;''
Class 2, for refrigerants of lower flammability; and Class 3, for
highly flammable refrigerants, such as the hydrocarbon refrigerants.
ASHRAE recently updated the safety classification matrix to include a
new flammability subclass 2L, for flammability Class 2 refrigerants
that burn very slowly.\119\ Since 2010, EPA's SNAP program has listed a
number of flammable substitute refrigerants that have ASHRAE safety
classifications of A3 (higher flammability, lower toxicity refrigerants
such as propane or isobutane) or A2L (lower flammability, lower
toxicity refrigerants such as HFC-32 or HFO-1234yf).
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\118\ ``Flammability'' as identified by the ASHRAE standards and
``ignitability'' as identified by the RCRA 40 CFR 261.21 standard
are both intended to capture the potential for a substance to cause
fires. However, since the methodology used under these two systems
differs, EPA is using ``flammability'' when describing the ASHRAE
standard and ``ignitability'' when describing wastes that are
regulated under RCRA when they meet the ignitable characteristic in
Sec. 261.21 and therefore are subject to hazardous waste management
requirements. In general, a flammable substance would be presumed to
be also ignitable under RCRA unless testing were to demonstrate
otherwise.
\119\ ASHRAE Fact Sheet Update on New Refrigerants Designations
and Safety Classification November 2022. https://www.ashrae.org/file%20library/technical%20resources/bookstore/factsheet_ashrae_english_november2022.pdf.
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The standard for flammability under ASHRAE 34 does not correspond
precisely with the RCRA standards for ignitability found in 40 CFR
261.21, but in general, refrigerants with a flammability Class of 2 or
3 are expected to be ignitable under RCRA. Spent refrigerants with a
flammability class of 2L may or may not be ignitable hazardous waste,
depending on the specific chemical(s) used in the refrigerant and
contamination of the refrigerant during use. Note that even
refrigerants that do not exhibit the characteristic of ignitability as
a virgin material could become ignitable with use, especially if
contaminated with oil or other lubricants, posing a risk of fire if
mismanaged.\120\ Similarly, the flash point of a refrigerant that is a
blend of two or more chemicals can change if there is a leak during
operation or during recovery and storage, when the refrigerant from
multiple appliances is combined, or if the recovery process is
incomplete, potentially changing the hazardous waste characteristic of
the spent refrigerant when collected.
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\120\ S N Kopylov et al 2019 IOP Conf. Ser.: Earth Environ. Sci.
272 022064; https://iopscience.iop.org/article/10.1088/1755-1315/272/2/022064.
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However, these ignitable spent refrigerant substitutes do not fall
under the 40 CFR 261.4(b)(12) RCRA exclusion for refrigerants, since
that exclusion is limited to CFC refrigerants.\121\ The applicability
of RCRA to flammable refrigerants is discussed in the 2016 SNAP final
rule. (81 FR at 86799-86800, December 1, 2016). Consistent with that
discussion, EPA considers incidental releases of spent refrigerant that
occur during the maintenance, service, and repair of appliances subject
to CAA section 608 (which would include venting from appliances of
refrigerants that are exempt from the venting prohibition under 40 CFR
82.154(a)), and releases resulting from the disposal of household
appliances both generally not to be considered disposal of a hazardous
waste under RCRA. However, ignitable spent refrigerant from commercial
and industrial appliances (i.e., non-household appliances) would be
classified as hazardous waste and would need to be managed under the
applicable RCRA regulations (40 CFR parts 260 through 270) when
recovered (i.e., removed from an appliance and stored in an external
container) or disposed of (e.g., vented from a container after
recovery). These requirements would include generator notification and
on-site accumulation standards, emergency preparedness and other
requirements, hazardous waste manifest and transportation requirements
for the ignitable spent refrigerant, and RCRA permit requirements for
refrigerant recyclers that store the refrigerant prior to recycling.
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\121\ EPA is not reopening the original CFC refrigerant
recycling exclusion and is not requesting comment on 40 CFR
261.4(b)(12). Any comments received on the CFC refrigerant recycling
exclusion will be considered out of scope of this rulemaking.
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3. Proposed Alternative RCRA Standards for Spent Ignitable Refrigerants
Being Recycled for Reuse
Similar to EPA's concerns expressed in the 1991 rulemaking
establishing the CFC refrigerant recycling exclusion, EPA is concerned
that applying RCRA hazardous waste requirements to the substitute
refrigerants that exhibit the hazardous characteristic of ignitibility
would discourage recycling and could result in an increase in releases
of ignitable refrigerants, including HFC ignitable refrigerants,
contrary to the goals of RCRA and to one of the purposes of regulations
under subsection (h)(1) of the AIM Act, which is to minimize releases
of HFCs from equipment. Moreover, inadvertently incentivizing releases
of refrigerants would be contrary to RCRA section 3004(n), which
requires EPA to control air emissions from hazardous waste management,
as may be necessary to protect human health and the environment.
Finally, the current requirements for recovery of refrigerants under
the CAA section 608 rules help ensure that the ignitable spent
refrigerants are legitimately recycled for reuse, and also address the
flammability risks posed by ignitable spent refrigerants.
For the reasons stated above, EPA is proposing to add standards
under 40 CFR part 266, subpart Q applicable to certain ignitable spent
refrigerants that are recycled for reuse that would apply instead of
the full RCRA Subtitle C hazardous waste requirements. The purpose of
these standards is to help reduce emissions of ignitable spent
refrigerants to the lowest achievable level by maximizing the recapture
and safe recycling of such refrigerants during the maintenance,
service, repair, and disposal of appliances.
[[Page 72275]]
a. Scope of the Proposed RCRA Alternative Standards
EPA is proposing that the 40 CFR part 266, subpart Q RCRA
alternative standards would apply to HFCs and substitutes that do not
belong to flammability Class 3. EPA is proposing to limit the
alternative standards to lower flammability substitutes (Class 1, 2 and
2L) because of the lower risk of fire from the collection and recycling
for reuse of these refrigerants, and the greater market value of these
refrigerants, which supports the conclusion that these spent
refrigerants will be recycled for reuse and not stockpiled, mismanaged,
or abandoned. EPA has found that a low market value for a reclaimed
product can increase the likelihood of mismanagement and abandonment
occurring during hazardous waste recycling activities.\122\
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\122\ U.S. EPA A Study of the Potential Effects of Market Forces
on the Management of Hazardous Secondary Materials Intended for
Recycling, November 2006, available at https://www.regulations.gov/document/EPA-1HQ-RCRA-2002-0031-0358.
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In addition to this proposal, EPA is also considering the option of
expanding the applicability of the RCRA alternative standards to some
or all A3 refrigerants. Broadening the applicability of the exemption
could encourage the development of markets for these other recycled
refrigerants, even if current markets are limited, provided that they
can be safely recycled for reuse.
EPA requests comment on the scope of the RCRA alternative
standards, including the option of expanding the applicability of the
RCRA alternative standards to Class 3 refrigerants. In addition, EPA
requests comment on which additional refrigerants should qualify for
the RCRA alternative standards in the final rule, if EPA determines
such an expansion is appropriate. EPA requests information on the
safety and economic feasibility of recycling for reuse Class 2L, 2, and
3 refrigerants both under current and projected future market
conditions.
b. Proposed Requirements for the RCRA Alternative Standards
The specific standards EPA is proposing for ignitable spent
refrigerant being recycled for reuse either on-site for further use in
equipment of the same owner, or by the owner of the recovery equipment
in compliance with MVAC standards in 40 CFR part 82, subpart B, are (1)
the ignitable spent refrigerants that are recovered (i.e., removed from
an appliance and stored in an external container) and/or recycled for
reuse using equipment that is certified for that type of refrigerant
under 40 CFR 82.36 or 40 CFR 82.158; and (2) the ignitable spent
refrigerants are not speculatively accumulated as defined in 40 CFR
261.1(c).
The specific standards that EPA is proposing for facilities
receiving refrigerant from off-site to be recycled for reuse are (1)
the reclaimer must maintain certification by EPA under 40 CFR 82.164;
(2) the facility must meet the emergency preparedness and response
requirements of 40 CFR part 261 subpart M, and (3) the ignitable spent
refrigerants must not be speculatively accumulated as defined in 40 CFR
261.1(c). EPA is proposing these requirements be included as part of
the RCRA alternative standard in order to ensure that the ignitable
spent refrigerant is legitimately recycled for reuse in a way that is
protective of human health and the environment.
The proposed requirement that the recovery and/or recycling
equipment be certified for that type of refrigerant and appliance under
40 CFR 82.36 (for MVAC systems) or 40 CFR 82.158 (for on-site
recycling) would specifically address the ignitability hazard during
refrigerant recovery and recycling for reuse at MVAC recycling
operations in compliance with 40 part 82 subpart B, or for recycling
on-site for reuse in appliances by the same owner. In particular,
appendix B4 to subpart F of 40 CFR part 82--Performance and Safety of
Flammable Refrigerant Recovery and/or Recycling Equipment requires all
recovery and/or recycling equipment to be tested to meet standards for
the test apparatus, test gas mixtures, sampling procedures, analytical
techniques, and equipment construction that will be used to determine
the performance and safety of refrigerant recovery.
The proposed requirement that the spent refrigerant regulated under
the new alternative standards not be speculatively accumulated per 40
CFR 261.1(c) would help prevent over-accumulation, mismanagement, and
abandonment of the spent refrigerant. Restrictions on speculative
accumulation have been an important element of the RCRA hazardous waste
recycling regulations since they were originally promulgated on January
4, 1985 (50 FR 634-637). According to this regulatory provision,
hazardous secondary materials as defined in 40 CFR 260.10 (which would
include ignitable spent refrigerants) are accumulated speculatively if
the person accumulating them cannot demonstrate that the material is
potentially recyclable. Further, the person accumulating the hazardous
secondary material must demonstrate that during a calendar year
(beginning January 1) the amount of such material that is recycled or
transferred to a different site for recycling is at least 75% by weight
or volume of the amount of the hazardous secondary material present at
the beginning of the calendar year (January 1). Hazardous secondary
materials to be recycled must be placed in a storage unit with a label
indicating the first date that the material began to be accumulated, or
the accumulation period must be documented through an inventory log or
other appropriate method. Otherwise, the hazardous secondary material
is considered to be speculatively accumulated and not eligible for the
alternative standards in 40 CFR part 266, subpart Q.
The requirement that facilities receiving refrigerant from off-site
to be recycled for reuse maintain certification by EPA under 40 CFR
82.164 helps ensure that the recycler is experienced in proper
refrigerant reclamation techniques and will manage the spent
refrigerant in a manner that minimizes releases, with an explicit limit
under the CAA section 608 rules of no more than 1.5 percent of the
refrigerant released during the reclamation process (see 40 CFR
82.164(a)(3)). The certification requirement also helps with the
transparency of the RCRA alternative standard since the list of EPA-
certified refrigerant reclaimers is publicly available on EPA's
website.\123\ In addition, these facilities certified reclaimers under
CAA section 608 and must follow recordkeeping and reporting
requirements, per 40 CFR 82.164(d) including (1) maintaining records of
the names and addresses of persons sending them material for
reclamation and the quantity of the material (the combined mass of
refrigerant and contaminants) sent to them for reclamation, and (2)
reporting annually the quantity of material sent to them for
reclamation by refrigerant type, the mass of refrigerant reclaimed by
refrigerant type, and the mass of waste products. Finally, EPA-
certified refrigerant reclaimers must verify that each batch of
reclaimed refrigerant meets the specifications in the regulations (40
CFR 82.164(a)(2)), which helps ensure that the reclamation process is
legitimate recycling under the RCRA regulations. EPA notes that
reclaimed refrigerant that does not meet the required specifications
would be considered an off-specification
[[Page 72276]]
commercial chemical product under 40 CFR 261.2(c) and subject to all
applicable RCRA regulatory requirements. EPA further notes that persons
who reclaim HFCs that are listed as regulated substances under the AIM
Act must meet recordkeeping and reporting requirements as set forth in
40 CFR 84.31(a) and 84.31(i).
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\123\ EPA-Certified Refrigerant Reclaimers https://www.epa.gov/section608/epa-certified-refrigerant-reclaimers. Retrieved December
27, 2022.
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Finally, including the requirement that facilities receiving
refrigerant to be recycled for reuse meet the RCRA standards under 40
CFR part 261, subpart M, Emergency Preparedness and Response for
Management of Excluded Hazardous Secondary Materials, would also
address risks posed specifically for ignitable spent refrigerants,
which are a subset of hazardous secondary materials.\124\ EPA is
proposing that facilities receiving ignitable spent refrigerants from
other parties for recycling for reuse be subject to this additional
emergency preparedness requirement because these third-party recyclers
would be receiving ignitable spent refrigerant from multiple sources,
and are likely to store greater volumes for longer time periods than
companies that recycle for reuse onsite or as part of an MVAC
refrigerant recovery and recycling system in compliance with 40 CFR
part 82, subpart B. Proposed requirements include maintaining
appropriate emergency equipment on site, having access to alarm
systems, maintaining needed aisle space, making arrangements with local
emergency authorities, and having a designated emergency coordinator
who is responsible for responding in the event of an emergency. This
requirement will help protect human health and the environment in the
event of a fire or other emergency at the recycler.
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\124\ Per 40 CFR 260.10, ``hazardous secondary materials'' means
a secondary material (e.g., spent material, by-product, or sludge)
that, when discarded, would be identified as hazardous waste under
40 CFR part 261. Spent ignitable refrigerant meets this definition.
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EPA is also specifically proposing that all recycling facilities
receiving ignitable spent refrigerant from off-site meet the emergency
preparedness and response requirements under 40 CFR 261.410 and 40 CFR
261.420, which include general personnel training requirements for
facilities (40 CFR 261.420(g)). While these provisions currently only
apply to facilities that accumulate more than 6,000 kg of hazardous
secondary materials at a time, given the ignitability risk posed by the
spent refrigerants at relatively small volumes, EPA's view is that
these provisions are the most appropriate for all facilities
accumulating ignitable spent refrigerants. EPA requests comment on
these emergency preparedness and response requirements for reclaimers
receiving ignitable spent refrigerants, including whether more specific
training requirements for managing ignitable spent refrigerants should
be included in the alternative RCRA standards, and if so, what aspects
of refrigerant management those additional training requirements should
address.
4. Very Small Quantity Generator Wastes
Very Small Quantity Generators (VSQGs) generate less than 100 kg of
hazardous waste per month and one kilogram or less per month of acutely
hazardous waste and are subject to a limited set of federal RCRA
Subtitle C hazardous waste regulations, provided that they comply with
the conditions set forth in 40 CFR 262.14. Among those conditions is
that the VSQG must either treat and dispose of its hazardous waste in
an on-site facility or ensure delivery to an off-site facility listed
in 40 CFR 262.14(a)(5). Included in this list is a facility that: (1)
beneficially uses or reuses, or legitimately recycles or reclaims its
waste; or (2) treats its waste prior to beneficial use or reuse, or
legitimate recycling or reclamation.
For ignitable spent refrigerant regulated under the new proposed
RCRA alternative standard, EPA is proposing to make a conforming change
to 40 CFR 262.14(a)(5) to require that these refrigerants be sent to a
facility that meets the requirements of 40 CFR part 266, subpart Q if
sent off-site for recycling. EPA notes that while this change is more
stringent than the current RCRA regulations, VSQGs would experience no
additional burden since under the CAA section 608 rules, all reclaimers
receiving used ODS refrigerants or non-exempt substitute refrigerants
from off-site for reclamation must meet EPA's certification
requirements in 40 CFR 82.164. This proposed revision would not affect
refrigerants not subject to the new RCRA alternative standard (e.g.,
ignitable spent refrigerants that are not sent off-site to be recycled
for reuse).
5. RCRA Regulation of Exports and Imports of Ignitable Spent
Refrigerants
The proposed RCRA alternative standard is limited to ignitable
spent refrigerants that are recycled for reuse in the United States,
and it requires that off-site recycling for reuse be performed at an
EPA-certified reclaimer per 40 CFR 82.164. Therefore, ignitable spent
refrigerants intended for export would not qualify for the proposed
RCRA alternative standard, and would instead be regulated under the
full RCRA Subtitle C requirements, including the relevant hazardous
waste export requirements in 40 CFR part 262, subpart H.
Imports of ignitable spent refrigerants would be allowed under the
alternative RCRA standards, as long as the imported refrigerants meet
the requirements of the proposed RCRA alternative standard, including
being recycled for reuse at an EPA-certified reclaimer per 40 CFR
82.164. This proposal does not affect or reopen any of the requirements
for regulated substances established under the AIM Act that are
codified at 40 CFR part 84, subpart A. EPA requests comment on the
regulation of exports and imports of ignitable spent refrigerants under
RCRA, including whether to add export and/or import requirements to the
RCRA alternative standard under 40 CFR part 266, subpart Q.
6. Applicability of Proposed Alternative Standard in RCRA-Authorized
States
Under section 3006 of RCRA, EPA may authorize states to administer
the RCRA Subtitle C hazardous waste program. Following authorization,
the authorized state program operates in lieu of the federal
regulations. EPA retains authority to enforce the authorized state RCRA
Subtitle C program, although authorized states have primary enforcement
authority. EPA also retains its authority under RCRA sections 3007,
3008, 3013, and 7003. The standards and requirements for state
authorization are found at 40 CFR part 271.
Prior to enactment of the Hazardous and Solid Waste Amendments of
1984 (HSWA), a state with final RCRA authorization administered its
hazardous waste program entirely in lieu of EPA administering the
federal program in that state. EPA did not issue permits for any
facilities in that state, since the state was now authorized to issue
RCRA permits. When new, more stringent federal requirements were
promulgated, the state was obligated to enact equivalent authorities
within specified time frames. However, the new requirements did not
take effect in an authorized state until the state adopted the
equivalent state requirements.
In contrast, under RCRA section 3006(g) (42 U.S.C. 6926(g)), which
was added by HSWA, new requirements and prohibitions imposed under HSWA
authority take effect in authorized states at the same time that they
take effect in unauthorized states. While states must still adopt HSWA-
related provisions as state law to retain authorization, EPA implements
the HSWA provisions in
[[Page 72277]]
authorized states, including the issuance of any permits pertaining to
HSWA requirements, until the state is granted authorization to do so.
Authorized states are required to modify their programs only when
EPA promulgates federal requirements that are more stringent or broader
in scope than existing federal requirements. RCRA section 3009 allows
the states to impose standards more stringent than those in the federal
program (see 40 CFR 271.1). Therefore, authorized states may, but are
not required to, adopt federal regulations, both HSWA and non-HSWA,
that are considered less stringent than previous federal regulations.
7. Effect on State Authorization
This action proposes to add a new subpart Q to 40 CFR part 266
Standards for the Management of Specific Hazardous Wastes and Specific
Types of Hazardous Waste Management Facilities, and it is being
proposed under the authority of HSWA due to its purpose of reducing air
emissions from the management of ignitable spent refrigerants, in
accordance with EPA's mandate to control air emissions from hazardous
waste management, as may be necessary to protect human health and the
environment, per RCRA section 3004(n), which was promulgated under
HSWA. In addition, the changes to the Very Small Quantity Generator
Regulations in 40 CFR 262.14 would be promulgated under RCRA section
3001(d)(4), also a HSWA provision.
While the proposed exclusion reduces the applicability of many RCRA
requirements to the recycling of ignitable spent refrigerant, the
requirement that refrigerant be recovered and/or recycled for reuse
using equipment that is certified for that type of refrigerant and
appliance under 40 CFR 82.158, and that the recovered refrigerant be
recycled for reuse at a facility certified by EPA under 40 CFR 82.164
would be more stringent than the current RCRA requirements applicable
to recycling of ignitable spent refrigerant. In addition, the revisions
to the VSQG regulations in 40 CFR 262.14 are more stringent than the
current standard. Thus, the proposed amendment would be a HSWA rule
that is more stringent than the current RCRA program and, if finalized,
would be applicable on the effective date of the final rule in all
states.
In addition to the proposed RCRA alternative standards for Class 1,
2 and 2L, EPA is also considering the option of expanding the
applicability of the RCRA alternative standards to some or all A3
refrigerants. Broadening the applicability of the exemption could
encourage the development of markets for these other recycled
refrigerants, even if current markets are limited, provided that they
can be safely recycled for reuse. In addition, EPA requests comment on
which additional refrigerants should qualify for the RCRA alternative
standards in the final rule, if EPA determines such an expansion is
appropriate. EPA requests information on the safety and economic
feasibility of recycling for reuse Class 2L, 2, and 3 refrigerants both
under current and projected future market conditions.
H. MVAC Servicing and Reprocessed Material
EPA is not proposing requirements focused on implementing
subsection (h)(2)(B) for MVAC servicing facilities that currently
reclaim or recycle recovered MVAC refrigerant. EPA understands that
under current industry practices, a variety of things might occur once
refrigerant has been recovered from an MVAC system. For example, in
some situations, MVAC servicing facilities recover refrigerant from the
MVAC, recycle it consistent with EPA's regulations under CAA section
609 and return the recycled refrigerant to the same MVAC for continued
use by the same owner.\125\ In other circumstances, however, EPA
understands that the recovered MVAC refrigerant is recycled and used in
servicing a different MVAC system with a different owner (e.g., to
charge or recharge such a system), thereby in effect selling or
transferring the refrigerant to a new owner. See 40 CFR 82.34(d)(2).
Additionally, EPA understands that there are circumstances where
refrigerant recovered from MVAC systems is reclaimed before it is
reused or sold or transferred to a new owner.
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\125\ Another example of an instance where there is no change in
ownership is the off-site servicing and recharge of MVAC systems for
a fleet of trucks that are owned by the same company.
---------------------------------------------------------------------------
The servicing and repair of MVAC systems with HFCs and HFC
substitutes (e.g., HFO-1234yf and R-744 (CO2)) have long
been subject to certain requirements that are separate from those that
apply for the servicing and repair of stationary appliances.
Regulations under CAA section 609 require that technicians use
equipment approved pursuant to the standards at 40 CFR 82.36 to service
and repair MVAC systems. Under those existing regulations, recovered
refrigerant can either be recycled on-site or off-site using approved
equipment designed to both recover and recycle refrigerant certified to
meet SAE J2099.\126\ SAE J2099 establishes the minimum level of
refrigerant purity (e.g., 98% for HFO-1234yf) required for the
certification of on-site recovery and recycling machines per SAE 2843
and SAE J2788. Refrigerant from reclamation facilities that is used for
the purpose of recharging MVACs must be at or above the standard of
purity (i.e., 99.5%) level defined in AHRI Standard 700, and EPA
understands that such reclamation typically occurs off-site. See 40 CFR
82.32(e)(2).
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\126\ SAE International, 2012. SAE J2099: Standard of Purity for
Recycled R-134a (HFC-134a) and R-1234yf (HFO-1234yf) for Use in
Mobile Air-conditioning Systems.
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Due to the longstanding practice of on-site recycling of MVAC
refrigerant, some industry stakeholders \127\ question the need to
reclaim recovered MVAC refrigerant to meet the purity described in AHRI
Standard 700-2016 as specified in the definition of the terms
``reclaim'' and ``reclamation'' in subsection (b)(9) of the Act. They
note that equipment certified to meet SAE J2099 are rated to clean and
separate material in contaminated refrigerant to a 98% purity level,
which provides the same level of performance and durability as virgin
refrigerant for purposes of use in MVACs. They also pointed out the
ambiguity in the phrase ``(or an appropriate successor standard adopted
by the Administrator)'' in definition of ``reclaim'' and
``reclamation'' in the AIM Act. While there may be a variety of
situations that could lead to the adoption of a successor standard by
the Administrator within the meaning of subsection (b)(9), in EPA's
view one such circumstance would be if AHRI published a subsequent
standard or addendum regarding the reprocessing of a recovered
regulated substance to a specified purity standard and the analytical
methodology to verify the purity of that regulated substance, and that
standard were adopted by the Administrator as a successor standard.
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\127\ March 6, 2023, EPA meeting with Mobile Air Climate Systems
(MACS) Association and SAE International. Meeting materials
available in the docket (EPA-HQ-OAR-2022-0606) for this proposed
rulemaking at https://www.regulations.gov.
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EPA is aware that AHRI is in consultations with SAE International,
the Mobile Air Climate Systems (MACS), and other industry stakeholders
to develop a standard (or update an existing standard) that may be more
appropriate for MVAC servicing than the AHRI Standard 700-2016.\128\ If
[[Page 72278]]
such a standard is finalized, EPA intends to review it, and any
supporting information, and consider what implications it might have
for potential approaches that the Agency might consider in future
rulemakings to implement subsection (h)(2)(B) for MVAC systems.
Additionally, the Agency could consider establishing its own purity
standard and analytical methodology for verification of the purity of
recovered regulated substances, as well as specifying minimum equipment
requirements for MVAC systems under subsection (h). Among other things,
such a standard could be based on consideration of input from
stakeholders and consensus standards bodies. EPA could consider
adopting any such standard in a future rulemaking. In light of the time
needed to develop such standards (whether developed by EPA or standard
setting organizations) and for EPA to consider whether they are
appropriate for EPA to adopt as successor standards in the context of
subsection (h), as well as the implications that such standards might
have on the regulations that EPA might propose to implement subsection
(h)(2)(B) for MVAC systems, EPA is not proposing such regulations in
this NPRM. Instead, EPA intends to issue proposed regulations for this
sector at a later date, once it has additional clarity on the
development of such a successor standard and its likely content.
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\128\ Letter to EPA from AHRI, Alliance for Automotive
Innovation, Alliance for Responsible Atmospheric Policy, and MACS
dated June 9, 2023. Available in the docket (EPA-HQ-OAR-2022-0606)
for this proposed rulemaking at https://www.regulations.gov.
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V. How is EPA proposing to treat data reported under this rule?
Consistent with EPA's commitment to transparency in program
implementation, as well as to proactively encourage compliance, support
enforcement of program requirements and enable third-party engagement
to complement EPA's enforcement efforts, EPA is proposing several ways
it intends to release data that would be collected if this rule were
finalized as proposed.
EPA has reviewed the data elements that are proposed to be reported
under this rule. Based on that review, EPA is proposing certain
categorical emissions data and confidentiality determinations in
advance through this notice and comment rulemaking for individual
reported data elements that EPA would be collecting through this
rulemaking. This proposal identifies certain information categories
that must be submitted to EPA that will be subject to disclosure to the
public without further notice because the information has been
determined to be either ``emission data'' under 40 CFR 2.301(a), or the
Agency has found that the information does not meet the standard for
confidential treatment under Exemption 4 of the Freedom of Information
Act (FOIA). EPA is also proposing to identify certain other categories
of information that may be entitled to confidential treatment. For
information EPA is not determining in this rulemaking to be emission
data or not otherwise entitled to confidential treatment, EPA will
apply the 40 CFR part 2 process for establishing case-by-case
confidentiality determinations. As explained further in the following
discussion, the emission data and confidentiality determinations in
this proposed action are intended to increase the efficiency with which
the Agency responds to FOIA requests and to provide consistency in the
treatment of the same or similar information. Establishing these
determinations through this rulemaking will provide predictability for
both information requesters and submitters. The emission data and
confidentiality determinations in this proposed rule will also increase
transparency, as well as supporting compliance with, and enforcement
of, the program's requirements.
A. Background on Determinations of Whether Information Is Entitled to
Treatment as Confidential Information
1. Confidential Treatment of Reported Information
Regulated entities that must submit information to EPA frequently
claim that some or all of that information is entitled to confidential
treatment and therefore exempt from disclosure under Exemption 4 of the
FOIA.\129\ Exemption 4 exempts from disclosure ``trade secrets and
commercial or financial information obtained from a person [that is]
privileged or confidential.'' \130\ In order for information to meet
the requirements of Exemption 4, EPA must find that the information is
either: (1) a trade secret, or (2) commercial or financial information
that is: (a) obtained from a person, and (b) privileged or
confidential.
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\129\ 5 U.S.C. 552(b)(4).
\130\ 5 U.S.C. 552(b)(4).
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Generally, when we have information that we intend to disclose
publicly that is covered by a claim of confidentiality under FOIA
Exemption 4, EPA has a process to make case-by-case or class
determinations under 40 CFR part 2 to evaluate whether such information
qualifies for confidential treatment under the
exemption.131 132 In this action, EPA is proposing to make
categorical emission data and confidentiality determinations in advance
through this notice and comment rulemaking for some information that
must be submitted to EPA under the proposed requirements. If EPA
finalizes these determinations, that information would be subject to
disclosure to the public without further notice.
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\131\ 40 CFR 2.205.
\132\ This approach of making categorical determinations for a
class of information is a well-established Agency practice. Prior
examples of rules where EPA has made such categorical determinations
include Confidentiality Determinations for Data Required Under the
Mandatory Greenhouse Gas Reporting Rule and Amendments to Special
Rules Governing Certain Information Obtained Under the Clean Air Act
(76 FR 30817) (May 26, 2011); Control of Air Pollution From New
Motor Vehicles: Heavy-Duty Engine and Vehicle Standards (88 FR 4296)
(January 24, 2023); and Renewable Fuel Standard (RFS) Program: RFS
Annual Rules (87 FR 39600) (July 1, 2002).
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The U.S. Supreme Court decision in Food Marketing Institute v.
Argus Leader Media, 139 S. Ct. 2356 (2019) (Argus Leader) addresses the
meaning of ``confidential'' within the context of FOIA Exemption 4. The
Court held that ``[a]t least where commercial or financial information
is both customarily and actually treated as private by its owner and
provided to the government under an assurance of privacy, the
information is `confidential' within the meaning of Exemption 4.''
\133\ The Court identified two conditions ``that might be required for
information communicated to another to be considered confidential.''
\134\ Under the first condition, ``information communicated to another
remains confidential whenever it is customarily kept private, or at
least closely held, by the person imparting it.'' \135\ The second
condition provides that ``information might be considered confidential
only if the party receiving it provides some assurance that it will
remain secret.'' \136\ The Court found the first condition necessary
for information to be considered confidential within the meaning of
Exemption 4, but did not address whether the second condition must also
be met.
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\133\ Argus Leader, 139 S. Ct. at 2366.
\134\ Id. at 2363.
\135\ Id. (internal citations omitted).
\136\ Id. (internal citations omitted).
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Following the issuance of the Court's opinion in Argus Leader, the
U.S. Department of Justice (DOJ) issued guidance concerning the
confidentiality prong of Exemption 4, articulating ``the newly defined
contours of Exemption 4'' post-Argus Leader.\137\ Where the
[[Page 72279]]
Government provides an express or implied indication to the submitter
prior to or at the time the information is submitted to the Government
that the Government would publicly disclose the information, then the
submitter generally cannot reasonably expect confidentiality of the
information upon submission, and the information is not entitled to
confidential treatment under Exemption 4.\138\ In this proposed rule,
EPA intends to clearly assert that certain information will not be kept
confidential and will be disclosed publicly, if it is determined to not
be entitled to confidential treatment in the final version of this
rule. This assertion aligns with the Supreme Court's decision, and the
subsequent DOJ guidance that the government's assurances that a
submission will be treated as not confidential should dictate the
expectations of submitters. If EPA were to finalize these
determinations, submitters would be on notice before they submit any
information that EPA has determined that the identified data elements
outlined in the tables below, as well as in the memorandum provided in
the docket for this action titled Proposed Confidentiality
Determinations and Emission Data Designations for Data Elements in the
Proposed Rule, will not be entitled to confidential treatment upon
submission and may be released by the Agency without further notice. As
a result, submitters will not have a reasonable expectation that the
information will be treated as confidential; rather, they should have
the expectation that the information will be disclosed.
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\137\ ``Exemption 4 After the Supreme Court's Ruling in Food
Marketing Institute v. Argus Leader Media and Accompanying Step-by-
Step Guide,'' Office of Information Policy, U.S. DOJ, (October 4,
2019), available at https://www.justice.gov/oip/exemption-4-after-supreme-courts-ruling-food-marketing-institute-v-argus-leader-media.
\138\ See id.; see also ``Step-by-Step Guide for Determining if
Commercial or Financial Information Obtained from a Person is
Confidential under Exemption 4 of the FOIA,'' Office of Information
Policy, U.S. DOJ, (updated October 7, 2019), available at https://www.justice.gov/oip/step-step-guide-determining-if-commercial-or-financial-information-obtained-person-confidential.
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As described further below, EPA is proposing to make categorical
confidentiality determinations as some of the proposed data elements
that would be submitted to EPA contain information that is not entitled
to confidential treatment because either: it is not the type of
information that submitters customarily keep private or closely held;
it is already publicly available; or it is discernible information that
is self-evident or readily observable through reverse engineering by a
third party.
2. Emissions Data Under Section 114 of the Clean Air Act
The AIM act provides that, ``[s]ections 113, 114, 304, and 307 of
the Clean Air Act (42 U.S.C. 7413, 7414, 7604, 7607) shall apply to
this section and any rule, rulemaking, or regulation promulgated by the
Administrator pursuant to this section as though this section were
expressly included in title VI of that Act (42 U.S.C. 7671 et seq.).''
The CAA states that ``[a]ny records, reports or information obtained
under [section 114] shall be available to the public. . . .'' \139\
Thus, the CAA begins with a presumption that the information submitted
to EPA will be available to be disclosed to the public. It then
provides a narrow exception to that presumption for information that
``would divulge methods or processes entitled to protection as trade
secrets. . . .'' The CAA then narrows this exception further by
excluding ``emission data'' from the category of information eligible
for confidential treatment. While the CAA does not define ``emission
data,'' EPA has done so by regulation at 40 CFR 2.301(a)(2)(i). EPA
releases, on occasion, some of the information submitted under CAA
section 114 to parties outside of the Agency of its own volition,
through responses to requests submitted under the FOIA,\140\ or through
civil litigation. As noted in the prior section, generally, when we
have information that we intend to disclose publicly that is covered by
a claim of confidentiality under FOIA Exemption 4, EPA has a process to
make case-by-case or class determinations under 40 CFR part 2. This
process includes an evaluation of whether such information is or is not
emission data, and whether it otherwise qualifies for confidential
treatment under FOIA Exemption 4.\141\
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\139\ CAA section 114(c); 42 U.S.C. 7414(c).
\140\ 5 U.S.C. 552.
\141\ 40 CFR 2.301(a)(2)(i).
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The regulations at 40 CFR 2.301 \142\ define emission data to
include the following:
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\142\ The Agency is not reopening, taking comment on, or
proposing to modify this definition.
---------------------------------------------------------------------------
(A) Information necessary to determine the identity, amount,
frequency, concentration, or other characteristics (to the extent
related to air quality) of any emission which has been emitted by the
source (or of any pollutant resulting from any emission by the source),
or any combination of the foregoing;
(B) Information necessary to determine the identity, amount,
frequency, concentration, or other characteristics (to the extent
related to air quality) of the emissions which, under an applicable
standard or limitation, the source was authorized to emit (including,
to the extent necessary for such purposes, a description of the manner
or rate of operation of the source); and
(C) A general description of the location and/or nature of the
source to the extent necessary to identify the source and to
distinguish it from other sources (including, to the extent necessary
for such purposes, a description of the device, installation, or
operation constituting the source).
In this proposal, we are applying the regulatory definition of
``emission data'' in 40 CFR 2.301(a)(2)(i) to propose that certain
categories of source certification and compliance information are not
entitled to confidential treatment because they qualify as emissions
data. If EPA finalizes these determinations, that information would be
subject to disclosure to the public without further notice. As relevant
to this proposal, a ``source'' for purposes of the definition in 40 CFR
2.301 is generally the equipment covered by a proposed regulatory
requirement, such as a refrigerant-containing appliance or fire
suppression equipment. EPA's broad general definitions of emissions
data also exclude certain information related to products still in the
research and development phase or products not yet on the market except
for limited purposes. Thus, for example, 40 CFR 2.301(a)(2)(ii)
excludes information related to ``any product, method, device, or
installation (or any component thereof) designed and intended to be
marketed or used commercially but not yet so marketed or used.'' This
specific exclusion from the definition of emissions data is limited in
time. EPA does not believe data related to this exclusion are
implicated in this proposed rulemaking because these data relate to
equipment currently in use and HFCs moving through commerce.
B. Data Elements Reported to EPA Under the Leak Repair Provisions
Consistent with EPA's commitment to transparency in program
implementation, EPA has reviewed the data elements in the chronically
leaking appliance report and the other ad hoc reports proposed under
the leak repair requirements to see if information under the umbrella
of those data elements could be considered entitled to confidential
treatment. EPA is proposing to treat certain data elements under the
leak repair provisions as not entitled to confidential treatment.
Tables 2 and 3 outline individual data elements that will not be
handled as confidential, emission data, or
[[Page 72280]]
otherwise not entitled to confidential treatment. Additional
information on these proposed determinations is provided in the
memorandum titled Proposed Confidentiality Determinations and Emission
Data Designations for Data Elements in the Proposed Rule, which is
available in the docket for this action. There may be additional
reasons not to release individual data elements determined to not be
entitled confidential treatment, for example if it is personally
identifiable information (PII). The Agency will separately determine
whether any data should be withheld from release for reasons other than
business confidentiality before data is released. EPA requests comment
on the following proposed confidentiality determinations.
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[GRAPHIC] [TIFF OMITTED] TP19OC23.003
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[[Page 72282]]
EPA is proposing to find that the information contained within
these data elements would categorically not be eligible for
confidential treatment because they are either readily apparent or
easily ascertainable by an outsider (e.g., owner name, facility name,
facility address where appliance is located, appliance ID or
description, and appliance type (comfort cooling, IPR, or commercial
refrigeration)) or they are considered emissions data under 40 CFR
2.301 (e.g., refrigerant type, full charge of appliance, annual percent
refrigerant loss, dates of refrigerant addition, amounts of refrigerant
added, date of last successful follow-up verification test, explanation
of cause of refrigerant losses, repair actions taken, and whether a
retrofit or retirement plan been developed for the appliance, and, if
so, the anticipated date of retrofit or retirement), or they fit into
both categories. Similarly, the items included in a request for an
extension for leak repair, request for relief from the obligation to
retrofit or retire an appliance, request for an extension of time to
complete the retrofit or retirement of an appliance, and a notification
of exclusion of purged refrigerants that are destroyed from annual leak
rate calculations are likewise not eligible for confidential treatment
because this information is readily ascertainable/observable by an
outside entity, or are considered emissions data under 40 CFR 2.301, or
both. EPA notes that in these provisions, the source of the emissions
would be the regulated equipment, and in the case of all of these
notifications these data are necessary to determine the identity,
amount, frequency, concentration, or other characteristics (to the
extent related to air quality) of any emission which has been emitted
by the source and/or information necessary to determine the identity,
amount, frequency, concentration, or other characteristics (to the
extent related to air quality) of the emissions which, under the
proposed leak repair provisions, the source was authorized to emit; and
a general description of the location and/or nature of the source to
the extent necessary to identify the source and to distinguish it from
other sources (including, to the extent necessary for such purposes, a
description of the device, installation, or operation constituting the
source).
C. Data Elements Related to the Generation of Machine-Readable Tracking
Identifiers and the Tracking of HFCs
Building on EPA's experience implementing similar requirements
under the AIM Act, EPA is proposing to maximize program transparency.
Market transparency would facilitate program implementation and
increase the public and current market participants' ability to provide
complementary compliance assurances and engagement.
Maximizing transparency incentivizes compliance and promotes
accountability and allows the public and competing companies to
identify and report noncompliance to EPA.
As previously noted, EPA is proposing to establish a tracking
system using machine-readable tracking identifiers to track the
movement of regulated substances that could be used in servicing,
repair, or installation of refrigerant-containing equipment or fire
suppression equipment through commerce, including requiring anyone that
introduces into interstate commerce or sells a regulated substance that
could be used in servicing, repair, or installation of equipment to be
registered in the system. This program will allow buyers to able to
know that they are purchasing regulated substances that meet the
regulatory requirements and to help determine whether they consist of
reclaimed material.
This proposal involves the collection of certain data elements.
Anyone who is filling a container or cylinder, whether for the first
time or when transferring HFCs from one container to one or more
smaller or larger containers, would be required to enter information in
the tracking system and, in the case of a container being filled for
the first time, generate a new machine-readable tracking identifier.
Such information includes: the brand it would be sold under, the
quantity and composition of HFC(s) in the container, the date it was
packaged or repackaged, the quantity of containers it was packaged in,
and the size of the containers. To help ensure regulated HFCs sold by
reclaimers are legally reclaimed material and eligible for sale, EPA is
proposing that reclaimers would need to log into the tracking system
and, for each container of HFCs prior to selling regulated substances,
provide information such as the date the HFC was reclaimed and by whom;
what regulated substance(s) (and/or the blend containing regulated
substances) is in the container; how many kilograms were put in the
container and on what date the container was filled; whether the purity
of the batch was confirmed to meet the specifications in appendix A to
40 CFR part 82, subpart F; on what date the batch was tested; and who
certified it met the specifications. If a container is filled with
reclaimed and virgin HFC(s), EPA proposes that the reclaimer would have
to also provide information on how much virgin HFC was used.
If EPA were to finalize a tracking system with machine-readable
tracking identifiers, EPA is proposing to release several data elements
associated with each container of HFCs to potential buyers of HFC
material, to support this system, because it is not the type of
information that is customarily closely held or kept private by
companies. We further note that the EPA recently made categorial
determinations that this same type of information would not be eligible
for confidential treatment in the Allocation Framework Rule (86 FR
55116, 55186, October 5, 2021).\143\ Accordingly, submitters of this
data have no reasonable expectation that these data elements are
entitled to confidential treatment, and the Agency is therefore not
required to treat this information as confidential when it is received
and maintained in Agency records.
---------------------------------------------------------------------------
\143\ As noted elsewhere in this proposal, petitions for
judicial review challenging aspects of the Allocation Framework Rule
were filed in the D.C. Circuit. The court rejected all of those
challenges except for the challenges to the QR code and refillable-
cylinder regulations, which were vacated. Heating, Air Conditioning
& Refrigeration Distributors Int'l v. EPA, 71 F.4th 59 (D.C. Cir.
2023). Although that vacatur may affect some of the underlying
requirements that lead to the categorical determinations in the
Allocation Framework Rule, the categorical determinations themselves
were not challenged, and the court's opinion does not address them.
Thus, the court opinion does not affect the validity of the grounds
for the categorical determinations in the Allocation Framework Rule.
---------------------------------------------------------------------------
To allow buyers of HFCs to determine whether the HFC they are
purchasing complies with regulatory requirements, EPA proposes to
release the following information: (1) Whether the HFC being sold is
legal to purchase based on information available to EPA; (2) when the
container was filled; (3) the specific HFCs in the container; and (4)
and the brand name the HFCs are being sold under. EPA will also release
a list of registered suppliers so purchasers know where they can buy
HFCs that conform to regulatory requirements. As noted above, EPA
determined in the Allocation Framework Rule that these data elements
would not be eligible for confidential treatment, and accordingly,
there would be no reasonable expectation of confidentiality when this
information is submitted in this context. A more granular description
of these data elements, together with their proposed confidentiality
status, is presented in Table 4. There may be additional reasons not to
release individual data elements determined to not be entitled to
confidential treatment, for example if it is PII. The Agency will
[[Page 72283]]
separately determine whether any data should be withheld from release
for reasons other than business confidentiality before data is
released. EPA has also provided in the docket for this action a
memorandum that provides additional information on the proposed
determinations, including listing each individual data element required
to be reported under this proposed regulation and the proposed
determination whether each element is entitled to confidential
treatment or not. The Agency will separately determine whether any data
should be withheld from release for reasons other than business
confidentiality before data release. Certification-specific data would
accompany each kilogram of HFC moving through commerce (as tracked with
a machine-readable tracking identifier). EPA requests comment on these
proposed determinations.
Based on the information available at this time of this proposal,
EPA is proposing to determine that the entry number and entry line
number associated with the import (if imported) would be entitled to
confidential treatment because it is EPA's understanding that these
numbers could be used to identify the import broker, and thus have the
potential to reveal confidential business relationships (i.e., the
relationship between the importer and the import broker). EPA requests
comment on this determination, including comments on why this
information may not be entitled to confidential treatment.
Specifically, EPA requests comment on whether these numbers could be
used to identify import brokers that would not otherwise be
identifiable via publicly available information. EPA also requests
comment on whether the existence of a business relationship between an
import broker and an importer is information that is customarily
closely held.
Based on the information available at this time of this proposal,
EPA is proposing to determine that the entity/company that fills a
container is eligible for confidential treatment. EPA's understanding
is that these data are customarily and actually considered to be
confidential and closely held by companies. In EPA's experience, these
data could implicate confidential business relationships (i.e., one
supplier filling for several brands) and that the revelation of these
business relationships could implicate the submitter's business or
competitive position. EPA requests comment from all stakeholders on
this determination, including comments on why this information may not
be entitled to confidential treatment. EPA may, based on public
comment, revise this determination.
Based on the information available at this time of the proposal,
EPA is proposing to determine that the chain of custody of the HFCs,
beyond the two parties currently involved in any specific transaction,
is eligible for confidential treatment. EPA's understanding is that
these data elements are customarily and actually considered to be
confidential and closely held by companies. In EPA's experience,
business submitters actually and customarily treat their company
customer lists and supply chains as confidential because public release
of this information would cause harm to the submitter's business or
competitive position. For instance, releasing a submitter's customer
list would allow competitors access to the submitter's valuable and
otherwise private business asset, which could cause the company to lose
their market advantage. EPA requests comment from all stakeholders on
this determination, including comments on why this information may not
be entitled to confidential treatment.
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D. Data Elements Related to Fire Suppression
As described in section IV.E. of this document, EPA is proposing
certain reporting requirements related to the use of regulated
substances in the fire suppression sector. These reporting requirements
allow for the monitoring of program implementation and of compliance
with the proposed requirements.
EPA is proposing to require that certain entities in the fire
suppression sector provide data to the EPA that is similar to the data
they already voluntarily collect and report to HEEP as mentioned in
section IV.E.4.b. Relevant reporting entities covered under this
proposed requirement include entities that perform first fill of
equipment, service (e.g., recharge) equipment and/or recycle regulated
substances, such as equipment manufacturers, distributors, agent
suppliers or installers that recycle regulated substances. EPA is
proposing that the covered entities report annually: (1) the quantity
of each regulated substance held in inventory onsite broken out by
recovered, recycled, and virgin; (2) the quantity of material (the
combined mass of regulated substance and contaminants) by regulated
substance sold and/or recycled for the purpose of installation of new
equipment and servicing (e.g., recharge) of fire suppression equipment;
(3) the total mass of each regulated substance sold and/or recycled;
and (4) the total mass of waste products sent for disposal, along with
information about the disposal facility if waste is not processed by
the reporting entity. Table 5 presents a more granular description of
these data elements, together with their proposed confidentiality
status. There may be additional reasons not to release individual data
elements determined to not be entitled confidential treatment, for
example if it is PII. The Agency will separately determine whether any
data should be withheld from release for reasons other than business
confidentiality before data is released.
EPA proposes to determine that these data are emissions data as
described at 40 CFR 2.301 because they provide a general description of
the location and/or nature of the source to the extent necessary to
identify the source and to distinguish it from other sources. As a
separate alternative basis, EPA proposes to determine that these data
are not entitled to confidential treatment because they are not closely
held as confidential by the submitter. EPA requests comment on these
proposed determinations. Additional information on the rationale for
these proposed determinations is provided in a memorandum, which is
available in the docket for this action.
[[Page 72286]]
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VI. What are the costs and benefits of this proposed action?
A. Background
EPA is providing information on the costs and benefits for the
provisions related to managing regulated substances and their
substitutes in this proposed rule. The analyses, presented in the
Analysis of the Economic Impact and Benefits of the Proposed Rule draft
TSD and the RIA addendum, are contained in the docket to this proposed
rule and are intended to provide the public with information on the
relevant costs and benefits of this action, if finalized as proposed,
and to comply with executive orders. To the extent that EPA has
considered these analyses in developing an aspect of this proposed
rule, EPA has summarized those analyses and the relevant results in the
Analysis of the Economic Impact and Benefits of the Proposed Rule draft
TSD, which is available in the docket for this proposed rule. In the
RIA addendum, EPA also included estimates of the social cost of HFCs in
order to quantify climate benefits, for the purpose of providing useful
information to the public and to comply with E.O. 12866. Although EPA
is using the social costs of HFCs for purposes of that assessment, this
proposed action does not rely on the estimates of these costs as a
record basis for the agency action, and EPA would reach the proposed
conclusions even in the absence of the social costs of HFCs.
The climate benefits and compliance costs stemming from this
proposed rule include those related to: (1) the proposed provisions on
leak repair, leak detection, ALD systems, and recordkeeping and
reporting related to leak-related provisions; (2) the proposed
amendments to the RCRA hazardous waste regulations; (3) requiring the
tracking and management of cylinders for HFCs; (4) requiring use of
reclaimed HFCs in the initial charging and servicing of certain types
of refrigerant-containing equipment, along with certification that
reclaimed refrigerant contains no more than 15 percent, by weight,
virgin HFCs; and (5) minimizing emissions of HFCs from certain types of
fire suppression equipment.
As detailed in the RIA addendum, EPA finds that in some cases
specific provisions of the proposed rule would result in compliance
costs for industry, while in other cases they may result in cost
savings. Provisions that result in a net cost savings may still be
considered as part of the economic benefits attributable to this rule,
under the assumption that these activities would not otherwise be
undertaken at the same scale or rate of adoption in the absence of
regulation. More discussion of these assumptions and supporting
literature may be found in section 3.2.2 of the Allocation Framework
Rule RIA.
From the Agency's analyses, EPA provides the costs and benefits
associated with the management of regulated substances and their
substitutes under the AIM Act as well those associated with the
proposed amendments to the RCRA hazardous waste regulations. These
analyses--as summarized below--highlight economic cost and benefits,
including benefits from leak repair and emissions reductions. Given
that the provisions EPA is proposing concern HFCs, which are subject to
the overall phasedown of production and consumption under the AIM Act,
EPA relied on its previous estimates of the impacts of already
finalized AIM Act rules as a starting point for the assessment of costs
and benefits of this rule. Specifically, the Allocation Framework Rule,
``Phasedown of Hydrofluorocarbons: Establishing the Allowance
Allocation and Trading Program Under the American Innovation and
Manufacturing Act'' (86 FR 55116, October 5, 2021) and the 2024
Allocation Rule, ``Phasedown of Hydrofluorocarbons: Allowance
Allocation Methodology for 2024 and Later Years'' (88 FR 46836, July
20, 2023) are assumed as a baseline for this proposed rule. In this
way, EPA analyzed the potential incremental impacts of the proposed
rule, attributing benefits only insofar as they are additional to those
already assessed in the Allocation Framework Rule RIA and the 2024
Allocation Rule RIA addendum (collectively referred to as ``Allocation
Rules'' in this discussion). For example, a mitigation option in the
MAC analysis for the Allocation Rules assumed a reduction in
refrigerant leaks; all costs and benefits calculated for this proposed
rule are for leak reductions over and above those assumed in the
previous analysis. Because the proposed Technology Transitions Rule has
not
[[Page 72287]]
been finalized as of the above analyses, those proposed restrictions
are not considered part of the baseline for assessing the costs and
benefits of this proposed rule.
Climate benefits presented in the RIA Addendum are based on changes
(increases or reductions) in HFC emissions compared to the Allocation
Framework Rule compliance case (i.e., after consideration of the
Allocation Framework Rule and proposed 2024 Allocation Rule) and are
calculated using four different global estimates of the social cost of
HFCs (SC-HFCs): the model average at 2.5 percent, 3 percent, and 5
percent discount rates and the 95th percentile at 3 percent discount
rate.
EPA estimates the climate benefits for this rule using a measure of
the social cost of each HFC (collectively referred to as SC-HFCs) that
is affected by the rule. The SC-HFCs is the monetary value of the net
harm to society associated with a marginal increase in HFC emissions in
a given year, or the benefit of avoiding that increase. In principle,
the SC-HFCs include the value of all climate change impacts, including
(but not limited to) changes in net agricultural productivity, human
health effects, property damage from increased flood risk and natural
disasters, disruption of energy systems, risk of conflict,
environmental migration, and the value of ecosystem services. As with
the estimates of the social cost of other GHGs, the SC-HFC estimates
are found to increase over time within the models--i.e., the societal
harm from one metric ton emitted in 2030 is higher than the harm caused
by one metric ton emitted in 2025--because future emissions produce
larger incremental damages as physical and economic systems become more
stressed in response to greater climatic change, and because gross
domestic product (GDP) is growing over time and many damage categories
are modeled as proportional to GDP. The SC-HFCs, therefore, reflects
the societal value of reducing emissions of the gas in question by one
metric ton. The SC-HFCs is the theoretically appropriate value to use
in conducting benefit-cost analyses of policies that affect HFC
emissions. See the RIA addendum for this rule and for the Allocation
Framework Rule for a more detailed discussion of SC-HFCs and how they
were derived.
The gas-specific SC-HFC estimates used in this analysis were
developed using methodologies that are consistent with the methodology
underlying estimates of the social cost of other GHGs (carbon dioxide
[SC-CO2], methane [SC-CH4], and nitrous oxide
[SC-N2O]), collectively referred to as SC-GHG, presented in
the Technical Support Document: Social Cost of Carbon, Methane, and
Nitrous Oxide Interim Estimates under Executive Order 13990 published
in February 2021 by the Interagency Working Group on the Social Cost of
Greenhouse Gases (IWG) (IWG 2021). As a member of the IWG involved in
the development of the February 2021 SC-GHG TSD, EPA agrees that the
TSD represents the most appropriate methodology for estimating the
social cost of GHGs until revised estimates have been developed
reflecting the latest, peer-reviewed science. Therefore, EPA views the
SC-HFC estimates used in analysis to be appropriate for use in benefit-
cost analysis until improved estimates of the social cost of other GHGs
are developed.
EPA has developed a draft updated SC-GHG methodology within a
sensitivity analysis in the regulatory impact analysis of EPA's
November 2022 supplemental proposal for oil and natural gas emissions
standards that is currently undergoing external peer review and a
public comment process. While that process continues EPA is
continuously reviewing developments in the scientific literature on the
SC-GHG, including more robust methodologies for estimating damages from
emissions, and looking for opportunities to further improve SC-GHG
estimation going forward. Most recently, EPA presented a draft set of
updated SC-GHG estimates within a sensitivity analysis in the
regulatory impact analysis of EPA's December 2022 supplemental proposal
for oil and gas standards that that aims to incorporate recent advances
in the climate science and economics literature.\144\ Specifically, the
draft updated methodology incorporates new literature and research
consistent with the National Academies near-term recommendations on
socioeconomic and emissions inputs, climate modeling components,
discounting approaches, and treatment of uncertainty, and an enhanced
representation of how physical impacts of climate change translate to
economic damages in the modeling framework based on the best and
readily adaptable damage functions available in the peer reviewed
literature. EPA solicited public comment on the sensitivity analysis
and the accompanying draft technical report, which explains the
methodology underlying the new set of estimates, in the docket for the
proposed oil and natural gas rule. EPA is also conducting an external
peer review of this technical report. More information about this
process and public comment opportunities is available on EPA's website.
The agency is in the process of reviewing public comments on the
updated estimates within the oil and natural gas rulemaking docket as
well as the recommendations of the external peer reviewers. EPA remains
committed to using the best available science in its analyses. Thus, if
EPA's updated SC-GHG methodology is finalized before this rule is
finalized, EPA intends to present monetized climate benefits using the
updated SC-GHG methodology in the final RIA.
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\144\ Standards of Performance for New, Reconstructed, and
Modified Sources and Emissions Guidelines for Existing Sources: Oil
and Natural Gas Sector Climate Review (87 FR 74702, December 6,
2022).
---------------------------------------------------------------------------
As discussed in the February 2021 TSD, the IWG emphasized the
importance and value of considering the benefits calculated using all
four estimates (model average at 2.5, 3, and 5 percent discount rates,
and 95th percentile at 3 percent discount rate). In addition, the TSD
explained that a consideration of climate benefits calculated using
discount rates below 3 percent, including 2 percent and lower, is also
warranted when discounting intergenerational impacts. As a member of
the IWG involved in the development of the February 2021 TSD, EPA
agrees with this assessment for the purpose of estimating climate
benefits from HFC reductions as well and will continue to follow
developments in the literature pertaining to this issue.
B. Estimated Costs and Benefits of Leak Repair and ALD Provisions
As detailed in the RIA addendum, the number, charge sizes, leak
rates, and other characteristics of potentially affected RACHP
equipment were estimated using EPA's Vintaging Model.\145\ The leak
repair and ALD system provisions proposed are assumed to lead to
leaking systems to be repaired earlier than they otherwise would have,
leading to reduced emissions of HFCs. The reduction in HFC emissions
results in climate benefits due to reduced climate forcing as
calculated by multiplying avoided emissions by the social cost of each
SC-HFC.
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\145\ EPA. 2023. EPA's Vintaging Model representing the
Allocation Framework Rule as modified by the 2024 Allocation Rule
RIA Addendum. VM IO file_v4.4_02.04.16_2024 Allocation Rule.
---------------------------------------------------------------------------
In the years 2025-2050, the proposed leak repair and ALD system
provisions would prevent an estimated 78 MMTCO2e in HFC
emissions, and the
[[Page 72288]]
present value of the economic benefit of avoiding the damages
associated with those emissions is estimated at $5.4 billion (in 2022
dollars, discounted to 2024 using a 3 percent discount rate). The
annual benefits are estimated to decrease over time due to the HFC
phasedown and the transition out of the higher-GWP HFCs over time,
lowering the average GWP of later emissions. For example, it is
estimated that the leak repair and ALD system provisions would prevent
3.8 MMTCO2e of HFC emissions in 2030, which decreases to 2.8
MMTCO2e of HFC emissions in 2040. Table 6 shows the
estimated reductions in HFC emissions for each year from 2025 to 2050
for leak repair and ALD provisions in the proposed rule.
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Reducing HFC emissions due to fixing leaks earlier would also be
anticipated to lead to savings for system owner/operators, as less new
refrigerant would need to be purchased to replace leaked refrigerant.
In 2025, it is estimated that the proposed leak repair and ALD system
provisions would lead to savings of approximately $13 million (2022$).
[[Page 72290]]
Unlike the climate benefits, these savings would not be expected to
decrease over time, as the cost of refrigerant would not decrease with
the average GWP.
The compliance costs of the proposed leak repair and inspection
requirements include the costs of purchasing and operating ALD systems,
costs of required inspections, and the cost of repairing leaks earlier
than would have been necessary without the proposed provisions. In the
years 2025-2050, these proposed provisions would result in compliance
costs with a present value estimated at $3.6 billion (2022 dollars,
discounted to 2024 at a 3 percent discount rate). When combined with
the refrigerant savings, the estimated present value of 2025-2050 net
compliance costs would be $3.4 billion. Table 7 shows the estimated
compliance costs, including refrigerant savings, for each year 2025-
2050, as well as the total net costs discounted to 2024 and the
equivalent annual costs using discount rates of 3 percent and 7
percent.
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[[Page 72292]]
C. Summary of Estimated Costs and Benefits of All Rule Provisions
As discussed above, the HFC Allocation Framework Rule serves as the
status quo from which incremental impacts of the proposed rule are
evaluated. EPA assumes that under the HFC allowance trading mechanism
promulgated under the Allocation Framework Rule, one possible result of
some of the proposed provisions in this rule is that industry will
maximize the use of allowances still available to meet remaining demand
for HFC production and consumption in a given year. Therefore,
provisions in this rule requiring the use of reclaimed HFCs for
refrigerant-containing equipment in certain RACHP subsectors and
recycled HFCs in fire suppression equipment may not yield significant
additional HFC consumption reductions, relative to what was previously
modeled in the Allocation Framework Rule Reference Case. For example,
if additional reclaimed HFCs are utilized in the commercial
refrigeration subsector, industry may still shift the use of available
consumption and production allowances to import or produce HFCs to meet
demand for other subsectors that are not covered by a reclaim
requirement. However, the extent of such offsetting effects is
uncertain.
To account for this uncertainty, this analysis provides two
scenarios to illustrate the range of potential incremental impacts. In
our base case scenario, we conservatively estimate that abatement from
provisions in this rule may be offset by additional HFC consumption in
subsectors not covered by this rule, even if these subsectors were
previously assumed to have consumption abatement in the Allocation Rule
Reference Case. To illustrate the potential upper bound incremental
benefits of the proposed rule, we then provide a ``high additionality''
case, in which abatement in these additional subsectors is included.
The present value of the net benefits of this proposed rule are
equal to the sum of the net costs or benefits of the various provisions
in each year 2025-2050, discounted to 2024. These estimates are
provided by each rule provision in Table 8 below. The provisions which
contribute to the total net benefits are those covering leak
inspections, leak repair, recordkeeping and reporting, reduced
emissions and use of recycled HFCs in the fire suppression sector,
management and ultimate evacuation of disposable cylinders and tracking
provisions for disposable and refillable cylinders, and the required
use of reclaimed HFCs in the initial charging and service of certain
appliances.
The use of recycled/reclaimed HFCs was already anticipated as a
path to compliance with the HFC phasedown consumption caps in the
analysis of the Allocation Framework Rule, but the specific provisions
of this proposed rule would likely increase the use of recycled/
reclaimed HFCs beyond what was already accounted for in that RIA. To
the extent this additional use of recycled/reclaimed HFCs displaces
consumption of virgin HFCs either (a) the reduced consumption of virgin
HFCs in one sector would free up allocation allowances that would then
be used elsewhere for consumption of HFCs, or (b) the reduction in the
consumption of virgin HFCs would result in incremental climate benefits
under this proposed rule. The former scenario is presented as part of
the base case and the latter as part of the high additionality case for
the net benefits in in Table 8.
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[GRAPHIC] [TIFF OMITTED] TP19OC23.009
BILLING CODE 6450-01-C
VII. How is EPA considering environmental justice?
Executive Order 12898 (59 FR 7629, February 16, 1994) and Executive
Order 14008 (86 FR 7619, January 27, 2021) establish federal executive
policy on environmental justice. Executive Order 14096, signed April
21, 2023, builds on the prior Executive Orders to further advance
environmental justice (88 FR 25251).
Executive Order 12898's main provision directs federal agencies, to
the greatest extent practicable and permitted by law, to make
environmental justice part of their mission by identifying and
addressing, as appropriate, disproportionately high and adverse human
health or environmental effects of their programs, policies, and
activities on people of color and low-income populations in the United
States. EPA defines \146\ environmental justice as the fair treatment
and meaningful involvement of all people regardless of race, color,
national origin, or income with respect to the development,
implementation, and enforcement of environmental laws, regulations, and
policies.\147\ Meaningful involvement means that: (1) potentially
affected populations have an appropriate opportunity to participate in
decisions about a proposed activity that will affect their environment
and/
[[Page 72294]]
or health; (2) the public's contribution can influence the regulatory
Agency's decision; (3) the concerns of all participants involved will
be considered in the decision-making process; and (4) the rule-writers
and decision-makers seek out and facilitate the involvement of those
potentially affected.\148\ The term ``disproportionate impacts'' refers
to differences in impacts or risks that are extensive enough that they
may merit Agency action. In general, the determination of whether there
is a disproportionate impact that may merit Agency action is ultimately
a policy judgment which, while informed by analysis, is the
responsibility of the decision-maker. The terms ``difference'' or
``differential'' indicate an analytically discernible distinction in
impacts or risks across population groups. It is the role of the
analyst to assess and present differences in anticipated impacts across
population groups of concern for both the baseline and proposed
regulatory options, using the best available information (both
quantitative and qualitative) to inform the decision-maker and the
public.\149\
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\146\ EPA recognizes that E.O. 14096 (88 FR 25251, April 21,
2023) provides a new terminology and a new definition for
environmental justice, as follows: ``the just treatment and
meaningful involvement of all people, regardless of income, race,
color, national origin, Tribal affiliation, or disability, in agency
decision-making and other Federal activities that affect human
health and the environment so that people: (i) are fully protected
from disproportionate and adverse human health and environmental
effects (including risks) and hazards, including those related to
climate change, the cumulative impacts of environmental and other
burdens, and the legacy of racism or other structural or systemic
barriers; and (ii) have equitable access to a healthy, sustainable,
and resilient environment in which to live, play, work, learn, grow,
worship, and engage in cultural and subsistence practices.'' For
additional information, see https://www.federalregister.gov/documents/2023/04/26/2023-08955/revitalizing-our-nations-commitment-to-environmental-justice-for-all.
\147\ See, e.g., Environmental Protection Agency.
``Environmental Justice.'' Available at: https://www.epa.gov/environmentaljustice.
\148\ The criteria for meaningful involvement are contained in
EPA's May 2015 document ``Guidance on Considering Environmental
Justice During the Development of an Action.'' Environmental
Protection Agency, 17 Feb. 2017. Available at: https://www.epa.gov/environmentaljustice/guidance-considering-environmental-justice-during-development-action.
\149\ The definitions and criteria for ``disproportionate
impacts,'' ``difference,'' and ``differential'' are contained in
EPA's June 2016 document ``Technical Guidance for Assessing
Environmental Justice in Regulatory Analysis.'' Available at:
https://www.epa.gov/environmentaljustice/technical-guidance-assessing-environmental-justice-regulatory-analysis.
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Executive Order 14008 calls on agencies to make achieving
environmental justice part of their missions ``by developing programs,
policies, and activities to address the disproportionately high and
adverse human health, environmental, climate-related and other
cumulative impacts on disadvantaged communities, as well as the
accompanying economic challenges of such impacts.'' Executive Order
14008 further declares a policy ``to secure environmental justice and
spur economic opportunity for disadvantaged communities that have been
historically marginalized and overburdened by pollution and under-
investment in housing, transportation, water and wastewater
infrastructure, and health care.''
In addition, the Presidential Memorandum on Modernizing Regulatory
Review calls for procedures to ``take into account the distributional
consequences of regulations, including as part of a quantitative or
qualitative analysis of the costs and benefits of regulations, to
ensure that regulatory initiatives appropriately benefit, and do not
inappropriately burden disadvantaged, vulnerable, or marginalized
communities.'' \150\ EPA also released its June 2016 ``Technical
Guidance for Assessing Environmental Justice in Regulatory Analysis''
(2016 Technical Guidance) to provide recommendations that encourage
analysts to conduct the highest quality analysis feasible, recognizing
that data limitations, time and resource constraints, and analytic
challenges will vary by media and circumstance.\151\
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\150\ Presidential Memorandum on Modernizing Regulatory Review,
January 20, 2021. Available at: https://www.whitehouse.gov/briefing-room/presidential-actions/2021/01/20/modernizing-regulatory-review/.
\151\ Technical Guidance for Assessing Environmental Justice in
Regulatory Analysis, June 2016. Available at: https://www.epa.gov/sites/default/files/2016-06/documents/ejtg_5_6_16_v5.1.pdf.
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For this action, EPA conducted an environmental justice analysis
\152\ using a methodology similar to that we used as part of the
Allocation Framework Rule (86 FR 55116, October 5, 2021). The
information provided in this section is for informational purposes
only; EPA is not relying on the information in this section as a record
basis for this proposed action. Following the analytical approach used
in the Allocation Framework Rule RIA, EPA has provided demographic data
and the cancer and respiratory risks to surrounding communities. This
update includes the most recent data available for the AirToxScreen
dataset from 2020.
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\152\ EPA recognizes that new terminology and a new definition
for environmental justice were established in E.O. 14096 (88 FR
25251, April 21, 2023). When the analysis of this proposed rule was
performed, EPA was operating under prior guidance available here:
https://www.epa.gov/sites/default/files/2015-06/documents/considering-ej-in-rulemaking-guide-final.pdf.
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The analysis shows that communities near the nineteen identified
HFC reclamation facilities are generally more diverse than the national
average with respect to race and ethnicity. While the median income of
these communities is slightly higher than the national average, there
are more low-income households. Across the nineteen facilities, total
respiratory risk and total cancer risk are lowest for the communities
nearest the reclamation sites. While the total respiratory index for
communities within one mile of these nineteen facilities are slightly
higher (.32 compared to the national average of .31), the risk for
those closest to the facilities appears smaller than for those at
greater distances (3-, 5-, and 10-mile radii).
This rule is expected to result in benefits in the form of reduced
GHG emissions. The analysis conducted for this rule also estimates that
a portion of these benefits would be incremental to emissions
reductions that were anticipated under the Allocation Framework Rule
alone, thus further reducing the risks of climate change.
While providing additional overall climate benefits, this rule may
also result in changes in emissions of air pollutants or other
chemicals which are potential byproducts of HFC reclamation processes
at affected facilities. The market for reclaimed HFCs could drive
changes in potential risk for communities living near these facilities,
but the changes in emissions that could have local effects are
uncertain. However, the nature and location of the emission changes are
uncertain. Moreover, there is insufficient information at this time
about which facilities will change reclamation processes. Given limited
information at this time, it is unclear to what extent this rule will
impact existing disproportionate adverse effects on communities living
near HFC reclamation facilities.\153\ The Agency will continue to
evaluate the impacts of this proposed rulemaking on communities with
environmental justice concerns and consider further action, as
appropriate, to protect health in communities affected by HFC
reclamation. While the environmental justice analysis was conducted for
informational purposes only, EPA welcomes the public's input on the
environmental justice analysis contained in the RIA addendum for this
proposed rule, as well as broader input
[[Page 72295]]
on other health and environmental risks the Agency should assess.
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\153\ Statements made in this section on the environmental
justice analysis draw support from the following citations: Banzhaf,
Spencer, Lala Ma, and Christopher Timmins. 2019. Environmental
justice: The economics of race, place, and pollution. Journal of
Economic Perspectives; Hernandez-Cortes, D. and Meng, K.C., 2020. Do
environmental markets cause environmental injustice? Evidence from
California's carbon market (No. w27205). NBER; Hu, L., Montzka,
S.A., Miller, B.R., Andrews, A.E., Miller, J.B., Lehman, S.J.,
Sweeney, C., Miller, S.M., Thoning, K., Siso, C. and Atlas, E.L.,
2016. Continued emissions of carbon tetrachloride from the United
States nearly two decades after its phaseout for dispersive uses.
Proceedings of the National Academy of Sciences; Mansur, E. and
Sheriff, G., 2021. On the measurement of environmental inequality:
Ranking emissions distributions generated by different policy
instruments.; U.S. EPA. 2011. Plan EJ 2014. Washington, DC: U.S.
EPA, Office of Environmental Justice.; U.S. EPA. 2015. Guidance on
Considering Environmental Justice During the Development of
Regulatory Actions. May 2015.; USGCRP. 2016. The Impacts of Climate
Change on Human Health in the United States: A Scientific
Assessment. U.S. Global Change Research Program, Washington, DC.
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VIII. Request for Advance Comment on Approaches for Establishing
Requirements for Technician Training
For purposes of ensuring the safety of technicians and consumers,
subsection (h)(1) directs EPA to promulgate regulations to control,
where appropriate, any practice, process, or activity regarding the
servicing, repair, disposal, or installation of equipment that
involves: a regulated substance, a substitute for a regulated
substance, the reclaiming of a regulated substance used as a
refrigerant, or the reclaiming of a substitute for a regulated
substance used as a refrigerant (42 U.S.C. 7675(h)(1)). Subsection
(h)(1) further provides that this includes requiring, where
appropriate, that any such servicing, repair, disposal, or installation
be performed by a trained technician meeting minimum standards, as
determined by EPA.
As discussed above in section III.C., regulations issued under CAA
section 608 for managing stationary refrigeration and air conditioning
appliances include, among other things, technician certification
requirements (40 CFR 82.161). Additionally, regulations issued under
CAA section 609 currently requires that anyone servicing or repairing
an MVAC system for consideration must be properly trained and certified
(40 CFR 82.34(a)(2)). However, since establishing these regulatory
programs in the 1990s, the use of flammable or mildly flammable
refrigerants have increased.154 155
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\154\ TEAP 2022 Progress Report (May 2022) and 2018 Quadrennial
Assessment Report. Available online at: https://ozone.unep.org/science/assessment/teap.
\155\ Volume 3: Decision XXXIII/5--Continued provision of
information on energy-efficient and low-global-warming-potential
technologies, Technological and Economic Assessment Panel, United
Nations Environment Programme (UNEP), May 2022. Available online at:
https://ozone.unep.org/system/files/documents/TEAP-EETF-report-may-2022.pdf.
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EPA is aware that many innovative technologies are being introduced
to continue to meet the air conditioning and refrigeration needs in the
United States and around the world. Typically, newer equipment meets
higher efficiency standards. For many applications, there has been and
likely will continue to be an increased use of flammable and mildly
flammable refrigerants. While these refrigerants can be safely used in
equipment properly designed for their use, it is not advisable to use
these refrigerants in equipment specifically designed for non-flammable
refrigerants. Previously, when listing certain flammable refrigerants
for specific end-uses as acceptable subject to use conditions under the
SNAP program, EPA took advance comment on a requirement for training
(85 FR 35874, June 12, 2020). EPA is also aware that many entities,
including equipment manufacturers, trade associations, unions, trade
schools, and other organizations provide training for technicians and
many offer specific training for refrigerants designated by ASHRAE as
2, 2L, and 3.
EPA requests advance comment on whether the Agency should establish
requirements for RACHP technician training and/or certification to
address servicing equipment using ASHRAE 2, 2L, and 3 refrigerants, and
if so, potential approaches for doing so. EPA is particularly seeking
advance comment on whether through a separate rulemaking, EPA should
propose to establish training and/or certification requirements for
technicians under subsection (h), and, if so, how such a training and/
or certification program might be managed, and to what extent or for
which types of HFCs and/or their substitutes such requirements should
apply. EPA is also requesting advance comment on whether technicians
who are currently trained and certified under CAA sections 608 (for
servicing of stationary refrigeration appliances) and/or CAA section
609 (for servicing of MVAC systems) should be required to be certified
under subsection (h) of the AIM Act, and whether any future technician
training requirements should also be incorporated into the proposed
RCRA 40 CFR part 266, subpart Q requirements for ignitable spent
refrigerants being recycled for reuse, or if the Agency should provide
grandfathering for technicians certified by an approved CAA section 608
or 609 certifier. EPA is not proposing and will not be finalizing a
technician training and certifying program on which it is seeking
advance comment as part of this rulemaking. Accordingly, EPA does not
intend to respond to any advance information received on the options
discussed in these sections in any final rulemaking for this proposal.
However, EPA will consider those comments as part of a potential future
notice and comment rulemaking to establish a training and/or
certification program.
IX. Statutory and Executive Order Review
A. Executive Order 12866: Regulatory Planning and Review and Executive
Order 14094: Modernizing Regulatory Review
This action is a ``significant regulatory action'', as defined
under section 3(f)(1) of Executive Order 12866, as amended by Executive
Order 14094. Accordingly, EPA, submitted this action to the Office of
Management and Budget (OMB) for Executive Order 12866 review.
Documentation of any changes made in response to the Executive Order
12866 review is available in the docket. EPA prepared an analysis of
the potential costs and benefits associated with this action. This
analysis, Draft Regulatory Impact Analysis Addendum: Analysis of the
Economic Impact and Benefits of the Proposed Rule: American Innovation
and Manufacturing (AIM) Act Subsection H Management of Regulated
Substances, is available in the docket for this action (Docket Number
EPA-HQ-OAR-2022-0606) and is summarized in section I.C. and section VI.
of this preamble.
B. Paperwork Reduction Act (PRA)
The information collection activities in this proposed rule have
been submitted for approval to the Office of Management and Budget
(OMB) under the PRA. The Information Collection Request (ICR) document
that EPA prepared has been assigned EPA ICR number 2778.01. You can
find a copy of the ICR in the docket for this rule, and it is briefly
summarized here.
Subsection (k)(1)(C) of the AIM Act states that section 114 of the
CAA applies to the AIM Act and rules promulgated under it as if the AIM
Act were included in title VI of the CAA. Thus, section 114 of the
Clean Air Act, which provides authority to EPA Administrator to require
recordkeeping and reporting in carrying out provisions of the CAA, also
applies to and supports this rulemaking.
EPA is proposing certain data collection for registration in the
tracking system for containers of HFC refrigerants as well as HFC fire
suppression agents that could be used in the servicing, repair, and/or
installation of refrigerant-containing or fire suppression equipment in
order to encourage compliance and aid enforcement. Separately, EPA is
proposing certain labeling requirements for containers of reclaimed
HFCs. EPA is also proposing recordkeeping and reporting requirements
for owners or operators of applicable refrigerant-containing appliances
that contain HFCs
[[Page 72296]]
or their substitutes to support compliance with the leak repair
provisions, as well as recordkeeping and reporting requirements for the
proposed fire suppression provisions for HFCs. Additionally, where ALD
systems are required, EPA is proposing that owners or operators
maintain records regarding the annual calibration or audit of the
system.
Respondents/affected entities: Respondents and affected entities
will be individuals or companies that own, operate, service, repair,
recycle, dispose, or install equipment containing HFCs or their
substitutes addressed by this proposed rule, as well as individuals or
companies that recover, recycle, or reclaim HFCs or their substitutes.
Respondent's obligation to respond: Mandatory (AIM Act and section
114 of the CAA).
Estimated number of respondents: 851,304.
Frequency of response: Quarterly, annually, and as needed depending
on the nature of the report.
Total estimated burden: 223,432 hours (per year). Burden is defined
at 5 CFR 1320.3(b).
Total estimated cost: $15,966,834 (per year), includes annualized
capital or operation and maintenance costs.
An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information unless it displays a
currently valid OMB control number. The OMB control numbers for EPA's
regulations in 40 CFR are listed in 40 CFR part 9.
Submit your comments on the Agency's need for this information, the
accuracy of the provided burden estimates and any suggested methods for
minimizing respondent burden to EPA using the docket identified at the
beginning of this rule. EPA will respond to any ICR-related comments in
the final rule. You may also send your ICR-related comments to OMB's
Office of Information and Regulatory Affairs using the interface at
https://www.reginfo.gov/public/do/PRAMain. Find this particular
information collection by selecting ``Currently under Review--Open for
Public Comments'' or by using the search function. Since OMB is
required to make a decision concerning the ICR between 30 and 60 days
after receipt, OMB must receive comments no later than November 20,
2023.
C. Regulatory Flexibility Act (RFA)
I certify that this action will not have a significant economic
impact on a substantial number of small entities (SISNOSE) under the
RFA. The small entities subject to the requirements of this action
include those that may use as refrigerant, use as a fire suppression
agent, reclaim, or recycle HFCs. EPA estimates that approximately 896
of the 176,042 potentially affected small entities could incur costs in
excess of one percent of annual sales/revenue and that approximately 70
small entities could incur costs in excess of three percent of annual
sales/revenue. Because there is not a substantial number of small
entities that may experience a significant impact, it can be presumed
that this action will have no SISNOSE. Details of this analysis are
presented in Appendix H of ``Analysis of the Economic Impact and
Benefits of the Proposed Rule: American Innovation and Manufacturing
(AIM) Act Subsection H Management of Regulated Substances.'' (Docket ID
EPA-HQ-OAR-2022-0606).
D. Unfunded Mandates Reform Act (UMRA)
This action contains a federal mandate under UMRA, 2 U.S.C. 1531-
1538, that may result in expenditures of $100 million or more for
state, local and Tribal governments, in the aggregate, or the private
sector in any one year. Accordingly, EPA has prepared a written
statement required under section 202 of UMRA. The statement is included
in the docket for this action and briefly summarized here. This action
contains a federal mandate that may result in expenditures that exceed
the inflation-adjusted UMRA threshold of $100 million by the private
sector in any one year, but it is not expected to result in
expenditures of this magnitude by state, local, and Tribal governments
in the aggregate. The rule is estimated to result in average annual
cost to the private sector of $228 million for the period 2025 through
2050. When adjusted for inflation, the $100 million UMRA threshold
established in 1995 is equivalent to approximately $184 million in 2022
dollars, the year dollars for the cost estimates in this proposed rule.
Thus, the cost of the rule to the private sector in the aggregate
exceeds the inflation-adjusted UMRA threshold.
This action is not subject to the requirements of section 203 of
UMRA because it contains no regulatory requirements that might
significantly or uniquely affect small governments.
E. Executive Order 13132: Federalism
This action does not have federalism implications. It will not have
substantial direct effects on the states, on the relationship between
the national government and the states, or on the distribution of power
and responsibilities among the various levels of government.
F. Executive Order 13175: Consultation and Coordination With Indian
Tribal Governments
This action does not have Tribal implications as specified in
Executive Order 13175. It will not have substantial direct effects on
Tribal governments, on the relationship between the Federal government
and Indian Tribes, or on the distribution of power and responsibilities
between the Federal government and Indian Tribes, as specified in
Executive Order 13175. Thus, Executive Order 13175 does not apply to
this action. EPA periodically updates Tribal officials on air
regulations through the monthly meetings of the National Tribal Air
Association and will share information on this rulemaking through this
and other fora.
G. Executive Order 13045: Protection of Children From Environmental
Health and Safety Risks
Executive Order 13045 directs federal agencies to include an
evaluation of the health and safety effects of the planned regulation
on children in federal health and safety standards and explain why the
regulation is preferable to potentially effective and reasonably
feasible alternatives. This action is subject to Executive Order 13045
because it is a significant regulatory action under section 3(f)(1) of
Executive Order 12866, and EPA believes that the environmental health
or safety risk addressed by this action has a disproportionate effect
on children. Accordingly, we have evaluated the environmental health or
safety effects of climate change on children.
GHGs, including HFCs, contribute to climate change. The GHG
emissions reductions resulting from implementation of this rule will
further improve children's health. The assessment literature cited in
EPA's 2009 and 2016 Endangerment Findings concluded that certain
populations and life stages, including children, the elderly, and the
poor, are most vulnerable to climate-related health effects. The
assessment literature since 2016 strengthens these conclusions by
providing more detailed findings regarding these groups'
vulnerabilities and the projected impacts they may experience.
These assessments describe how children's unique physiological and
developmental factors contribute to making them particularly vulnerable
to climate change. Impacts to children are expected from heat waves,
air pollution,
[[Page 72297]]
infectious and waterborne illnesses, and mental health effects
resulting from extreme weather events. In addition, children are among
those especially susceptible to most allergic diseases, as well as
health effects associated with heat waves, storms, and floods.
Additional health concerns may arise in low-income households,
especially those with children, if climate change reduces food
availability and increases prices, leading to food insecurity within
households. More detailed information on the impacts of climate change
to human health and welfare is provided in section III.B. of this
preamble.
H. Executive Order 13211: Actions That Significantly Affect Energy
Supply, Distribution, or Use
This action is not a ``significant energy action'' because it is
not likely to have a significant adverse effect on the supply,
distribution, or use of energy. This action applies to certain
regulated substances and certain applications containing regulated
substances, none of which are used to supply or distribute energy.
I. National Technology Transfer and Advancement Act (NTTAA)
This rulemaking does not involve technical standards.
J. Executive Order 12898: Federal Actions To Address Environmental
Justice in Minority Populations and Low-Income Populations and
Executive Order 14096: Revitalizing Our Nation's Commitment to
Environmental Justice for All
EPA believes that the human health or environmental conditions that
exist prior to this action result in or have the potential to result in
disproportionate and adverse human health or environmental effects on
communities with environmental justice concerns. EPA carefully
evaluated available information on HFC reclamation facilities and the
characteristics of nearby communities to evaluate these impacts in the
context of this proposed rulemaking. Based on this analysis, EPA finds
evidence of environmental justice concerns near HFC reclamation
facilities from cumulative exposure to existing environmental hazards
in these communities.
The analysis shows that communities near the nineteen identified
HFC reclamation facilities are generally more diverse than the national
average with respect to race and ethnicity. While the median income of
these communities is slightly higher than the national average, there
are more low-income households. Across the nineteen facilities, total
respiratory risk and total cancer risk are lowest for the communities
nearest the reclamation sites. While the cancer risk within 1-mile of
the facilities is lower than the national average, the cancer and
respiratory risks are otherwise slightly elevated compared to the
average.
This rule is expected to result in benefits in the form of reduced
GHG emissions. The analysis conducted for this rule also estimates that
a portion of these benefits would be incremental to emissions
reductions that were anticipated under the Allocation Framework Rule
alone, thus further reducing the risks of climate change.
While providing additional overall climate benefits, this rule may
also result in changes in emissions of air pollutants or other
chemicals which are potential byproducts of HFC reclamation processes
at affected facilities. The market for reclaimed HFCs could drive
changes in potential risk for communities living near these facilities
due to the changes in emissions that could have local effects is
uncertain. However, the nature and location of the emission changes are
uncertain. Moreover, there is insufficient information at this time
about which facilities will change reclamation processes. Given limited
information at this time, it is unclear to what extent this rule will
impact existing disproportionate adverse effects on communities living
near HFC reclamation facilities. The Agency will continue to evaluate
the impacts of this proposed rulemaking on communities with
environmental justice concerns and consider further action, as
appropriate, to protect health in communities affected by HFC
reclamation. The information supporting this Executive Order review is
contained in section VII. of this preamble.
List of Subjects
40 CFR Part 84
Environmental protection, Administrative practice and procedure,
Air pollution control, Chemicals, Climate change, Emissions,
Reclaiming, Recycling, Reporting and recordkeeping requirements.
40 CFR Part 261
Environmental protection, Hazardous waste, Recycling, Reporting and
recordkeeping requirements.
40 CFR Part 262
Environmental protection, Exports, Hazardous materials
transportation, Hazardous waste, Imports, Labeling, Packaging and
containers, Reporting and recordkeeping requirements.
40 CFR Part 266
Environmental protection, Energy, Hazardous waste, Recycling,
Reporting and recordkeeping requirements.
40 CFR Part 270
Environmental protection, Administrative practice and procedure,
Confidential business information, Hazardous materials transportation,
Hazardous waste, Reporting and recordkeeping requirements, Water
pollution control, Water supply.
40 CFR Part 271
Environmental protection, Administrative practice and procedure,
Confidential business information, Hazardous materials transportation,
Hazardous waste, Indians--lands, Intergovernmental relations,
Penalties, Reporting and recordkeeping requirements, Water pollution
control, Water supply.
Michael S. Regan,
Administrator.
For the reasons stated in the preamble, EPA proposes to amend 40
CFR parts 84, 261, 262, 266, 270, and 271 as follows:
PART 84--PHASEDOWN OF HYDROFLUOROCARBONS
0
1. The authority citation for part 84 continues to read as follows:
Authority: Pub. L. 116-260, Division S, Sec. 103.
0
2. Add to part 84, subpart C consisting of Sec. Sec. 84.100 through
84.124 to read as follows:
Subpart C--Management of Regulated Substances
Sec.
84.100 Purpose.
84.102 Definitions.
84.104 Prohibitions.
84.106 Leak repair.
84.108 Automatic leak detection systems.
84.110 Emissions from fire suppression equipment.
84.112 Reclamation.
84.114 Exemptions.
84.116 Requirements for disposable cylinders.
84.118 Container tracking system.
84.120 Container tracking of used cylinders.
84.122 Treatment of data submitted under 40 CFR part 84, subpart C.
84.124 Relationship to other laws.
Sec. 84.100 Purpose.
The purpose of the regulations in this subpart is to implement
subsection (h) of 42 U.S.C. 7675, with respect to
[[Page 72298]]
controls for any practice, process, or activity regarding the
servicing, repair, disposal, or installation of equipment, for purposes
of maximizing reclaiming, minimizing the release of regulated
substances from equipment, and ensuring the safety of technicians and
consumers.
Sec. 84.102 Definitions.
For the terms not defined in this subpart but that are defined in
Sec. 84.3, the definitions in Sec. 84.3 shall apply. For the purposes
of this subpart C:
Certified technician means a technician that has been certified per
the provisions at 40 CFR 82.161.
Comfort cooling means the refrigerant-containing appliances used
for air conditioning to provide cooling in order to control heat and/or
humidity in occupied facilities including but not limited to
residential, office, and commercial buildings. Comfort cooling
appliances include but are not limited to chillers, commercial split
systems, and packaged roof-top units.
Commercial refrigeration means the refrigerant-containing
appliances used in the retail food and cold storage warehouse
subsectors. Retail food appliances include the refrigeration equipment
found in supermarkets, convenience stores, restaurants and other food
service establishments. Cold storage includes the refrigeration
equipment used to store meat, produce, dairy products, and other
perishable goods.
Component, as it relates to a refrigerant-containing appliance,
means a part of the refrigerant circuit within an appliance including,
but not limited to, compressors, condensers, evaporators, receivers,
and all of its connections and subassemblies.
Custom-built means that the industrial process refrigeration
equipment or any of its components cannot be purchased and/or installed
without being uniquely designed, fabricated and/or assembled to satisfy
a specific set of industrial process conditions.
Disposal, as it relates to a refrigerant-containing appliance,
means the process leading to and including:
(1) The discharge, deposit, dumping or placing of any discarded
refrigerant-containing appliance into or on any land or water;
(2) The disassembly of any refrigerant-containing appliance for
discharge, deposit, dumping or placing of its discarded component parts
into or on any land or water;
(3) The vandalism of any refrigerant-containing appliance such that
the refrigerant is released into the environment or would be released
into the environment if it had not been recovered prior to the
destructive activity;
(4) The disassembly of any refrigerant-containing appliance for
reuse of its component parts; or
(5) The recycling of any refrigerant-containing appliance for
scrap.
Equipment means any device that contains, uses, detects or is
otherwise connected or associated with a regulated substance or
substitute for a regulated substance, including any refrigerant-
containing appliance, component, or system.
Fire suppression equipment means any device that is connected to or
associated with a regulated substance or substitute for a regulated
substance, including blends and mixtures, consisting in part or whole
of a regulated substance or a substitute for a regulated substance, and
that is used for fire suppression purposes. This term includes and such
equipment, component, or system. This term does not include mission-
critical military end uses and systems used in deployable and
expeditionary situations. This term also does not include space
vehicles as defined in 40 CFR 84.3.
Fire suppression technician means any person who in the course of
servicing, repair, disposal, or installation of fire suppression
equipment could be reasonably expected to violate the integrity of the
fire suppression equipment and therefore release fire suppressants into
the environment.
Follow-up verification test, as it relates to a refrigerant-
containing appliance, means those tests that involve checking the
repairs to an appliance after a successful initial verification test
and after the appliance has returned to normal operating
characteristics and conditions to verify that the repairs were
successful. Potential methods for follow-up verification tests include,
but are not limited to, the use of soap bubbles as appropriate,
electronic or ultrasonic leak detectors, pressure or vacuum tests,
fluorescent dye and black light, infrared or near infrared tests, and
handheld gas detection devices.
Full charge, as it relates to a refrigerant-containing appliance,
means the amount of refrigerant required for normal operating
characteristics and conditions of the appliance as determined by using
one or a combination of the following four methods:
(1) Use of the equipment manufacturer's determination of the full
charge;
(2) Use of appropriate calculations based on component sizes,
density of refrigerant, volume of piping, and other relevant
considerations;
(3) Use of actual measurements of the amount of refrigerant added
to or evacuated from the appliance, including for seasonal variances;
and/or
(4) Use of an established range based on the best available data
regarding the normal operating characteristics and conditions for the
appliance, where the midpoint of the range will serve as the full
charge.
Industrial process refrigeration means complex customized
refrigerant-containing appliances that are directly linked to the
processes used in, for example, the chemical, pharmaceutical,
petrochemical, and manufacturing industries. This sector also includes
industrial ice machines, appliances used directly in the generation of
electricity, and ice rinks. Where one appliance is used for both
industrial process refrigeration and other applications, it will be
considered industrial process refrigeration equipment if 50 percent or
more of its operating capacity is used for industrial process
refrigeration.
Initial verification test, as it relates to a refrigerant-
containing appliance, means those leak tests that are conducted after
the repair is finished to verify that a leak or leaks have been
repaired before refrigerant is added back to the appliance.
Installation means the process of setting up equipment for use,
which may include steps such as completing the refrigerant circuit,
including charging equipment with a regulated substance or substitute
for a regulated substance, or connecting cylinders containing a
regulated substance or a substitute for a regulated substance to a
total flooding fire suppression system, such that the equipment can
function and is ready for use for its intended purpose.
Leak inspection, as it relates to a refrigerant-containing
appliance, means the examination of an appliance to detect and
determine the location of refrigerant leaks. Potential methods include,
but are not limited to, ultrasonic tests, gas-imaging cameras, bubble
tests as appropriate, or the use of a leak detection device operated
and maintained according to manufacturer guidelines. Methods that
determine whether the appliance is leaking refrigerant but not the
location of a leak, such as standing pressure/vacuum decay tests, sight
glass checks, viewing receiver levels, pressure checks, and charging
charts, must be used in
[[Page 72299]]
conjunction with methods that can determine the location of a leak.
Leak rate, as it relates to a refrigerant-containing appliance,
means the rate at which an appliance is losing refrigerant, measured
between refrigerant charges. The leak rate is expressed in terms of the
percentage of the appliance's full charge that would be lost over a 12-
month period if the current rate of loss were to continue over that
period. The rate must be calculated using one of the following methods.
The same method must be used for all appliances subject to the leak
repair requirements located at an operating facility.
(1) Annualizing Method.
(i) Step 1. Take the number of pounds of refrigerant added to the
appliance to return it to a full charge, whether in one addition or if
multiple additions related to same leak, and divide it by the number of
pounds of refrigerant the appliance normally contains at full charge;
(ii) Step 2. Take the shorter of the number of days that have
passed since the last day refrigerant was added or 365 days and divide
that number by 365 days;
(iii) Step 3. Take the number calculated in Step 1 and divide it by
the number calculated in Step 2; and
(iv) Step 4. Multiply the number calculated in Step 3 by 100 to
calculate a percentage. This method is summarized in the following
formula:
[GRAPHIC] [TIFF OMITTED] TP19OC23.010
(2) Rolling Average Method.
(i) Step 1. Take the sum of the pounds of refrigerant added to the
appliance over the previous 365-day period (or over the period that has
passed since the last successful follow-up verification test showing
all identified leaks in the appliance were repaired, if that period is
less than one year);
(ii) Step 2. Divide the result of Step 1 by the pounds of
refrigerant the appliance normally contains at full charge; and
(iii) Step 3. Multiply the result of Step 2 by 100 to obtain a
percentage. This method is summarized in the following formula:
[GRAPHIC] [TIFF OMITTED] TP19OC23.011
Mothball, as it relates to a refrigerant-containing appliance,
means to evacuate refrigerant from an appliance, or the affected
isolated section or component of an appliance, to at least atmospheric
pressure, and to temporarily shut down that appliance.
Motor vehicle, as used in this subpart, means any vehicle which is
self-propelled and designed for transporting persons or property on a
street or highway, including but not limited to passenger cars, light-
duty vehicles, and heavy-duty vehicles. This definition does not
include a vehicle where final assembly of the vehicle has not been
completed by the original equipment manufacturer.
Motor vehicle air conditioners (MVAC) means mechanical vapor
compression refrigerant-containing appliances used to cool the driver's
or passenger's compartment of any motor vehicle. This definition is
intended to have the same meaning as defined in 40 CFR 82.32.
MVAC-like appliance means a mechanical vapor compression, open-
drive compressor refrigerant-containing appliance with a full charge of
20 pounds or less of refrigerant used to cool the driver's or
passenger's compartment of off-road vehicles or equipment. This
includes, but is not limited to, the air-conditioning equipment found
on agricultural or construction vehicles. This definition is intended
to have the same meaning as defined in 40 CFR 82.152.
Normal operating characteristics and conditions, as it relates to a
refrigerant-containing appliance, means appliance operating
temperatures, pressures, fluid flows, speeds, and other
characteristics, including full charge of the appliance, that would be
expected for a given process load and ambient condition during normal
operation. Normal operating characteristics and conditions are marked
by the absence of atypical conditions affecting the operation of the
appliance.
Owner or operator means any person who owns, leases, operates, or
controls any equipment or who controls or supervises any practice,
process, or activity that is subject to any requirement pursuant to
this subpart.
Recover means the process by which a regulated substance, or where
applicable, a substitute for a regulated substance, is removed, in any
condition, from equipment; and stored in an external container, with or
without testing or processing the regulated substance or substitute for
a regulated substance.
Recycling, when referring to fire suppression or fire suppressants,
means the testing and/or reprocessing of regulated substances used in
the fire suppression sector to certain purity standards.
Refrigerant, for purposes of this subpart, means any substance,
including blends and mixtures, consisting in part or whole of a
regulated substance or a substitute for a regulated substance that is
used for heat transfer purposes, including those that provide a cooling
effect.
Refrigerant circuit, as it relates to a refrigerant-containing
appliance, means the parts of an appliance that are normally connected
to each other (or are separated only by internal valves) and are
designed to contain refrigerant.
Refrigerant-containing appliance means any device that contains and
uses a regulated substance or substitute for a regulated substance as a
refrigerant including any air conditioner, motor vehicle air
conditioner, refrigerator,
[[Page 72300]]
chiller, or freezer. For a system with multiple circuits, each
independent circuit is considered a separate appliance.
Refrigerant-containing equipment means equipment as defined in this
subpart that contains, uses, or is otherwise connected or associated
with a regulated substance or substitute for a regulated substance that
is used as a refrigerant. This definition includes refrigerant-
containing components, refrigerant-containing appliances, and MVAC-like
appliances. This term does not include mission-critical military end
uses and systems used in deployable and expeditionary situations. This
term also does not include space vehicles as defined in 40 CFR 84.3.
Repackager means an entity who transfers regulated substances,
either alone or in a blend, from one container to another container
prior to sale or distribution or offer for sale or distribution. An
entity that services system cylinders for use in fire suppression
equipment and returns the same regulated substances to the same system
cylinder it was recovered from after the system cylinder is serviced is
not a repackager.
Repair, for purposes of this subpart and as it relates to a
particular leak in a refrigerant-containing appliance, means making
adjustments or other alterations to that refrigerant-containing
appliance that have the effect of stopping leakage of refrigerant from
that particular leak.
Reprocess means using procedures, such as filtering, drying,
distillation and other chemical procedures to remove impurities from a
regulated substance or a substitute for a regulated substance.
Retire, as it relates to a refrigerant-containing appliance, means
the removal of the refrigerant and the disassembly or impairment of the
refrigerant circuit such that the appliance as a whole is rendered
unusable by any person in the future.
Retrofit, as it relates to a refrigerant-containing appliance,
means to convert an appliance from one refrigerant to another
refrigerant. Retrofitting includes the conversion of the appliance to
achieve system compatibility with the new refrigerant and may include,
but is not limited to, changes in lubricants, gaskets, filters, driers,
valves, o-rings or appliance components. Retrofits required under this
subpart shall be done to a refrigerant with a lower global warming
potential.
Seasonal variance, as it relates to a refrigerant-containing
appliance, means the removal of refrigerant from an appliance due to a
change in ambient conditions caused by a change in season, followed by
the subsequent addition of an amount that is less than or equal to the
amount of refrigerant removed in the prior change in season, where both
the removal and addition of refrigerant occurs within one consecutive
12-month period.
Stationary refrigerant-containing equipment means refrigerant-
containing equipment, as defined in this subpart, that is not a motor
vehicle air conditioner or an MVAC-like appliance, as defined in this
subpart.
Substitute for a regulated substance means a substance that can be
used in equipment in the same or similar applications as a regulated
substance, to serve the same or a similar purpose, including but not
limited to a substance used as a refrigerant in a refrigerant-
containing appliance or as a fire suppressant in fire suppression
equipment, provided that the substance is not a regulated substance or
an ozone-depleting substance.
Technician, as it relates to any person who works with refrigerant-
containing appliances, means any person who in the course of servicing,
repair, or installation of a refrigerant-containing appliance (except
MVACs) could be reasonably expected to violate the integrity of the
refrigerant circuit and therefore release refrigerants into the
environment. Technician also means any person who in the course of
disposal of a refrigerant-containing appliance (except small appliances
as defined in 40 CFR 82.152, MVACs, and MVAC-like appliances) could be
reasonably expected to violate the integrity of the refrigerant circuit
and therefore release refrigerants from the appliances into the
environment. Activities reasonably expected to violate the integrity of
the refrigerant circuit include but are not limited to: Attaching or
detaching hoses and gauges to and from the appliance; adding or
removing refrigerant; adding or removing components; and cutting the
refrigerant line. Activities such as painting the appliance, rewiring
an external electrical circuit, replacing insulation on a length of
pipe, or tightening nuts and bolts are not reasonably expected to
violate the integrity of the refrigerant circuit. Activities conducted
on refrigerant-containing appliances that have been properly evacuated
pursuant to 40 CFR 82.156 are not reasonably expected to release
refrigerants unless the activity includes adding refrigerant to the
appliance. Technicians could include but are not limited to installers,
contractor employees, in-house service personnel, and owners and/or
operators of refrigerant-containing appliances.
Virgin regulated substance means any regulated substance that has
not had any bona fide use in equipment except for those regulated
substances contained in the heel or the residue of a container that has
had a bona fide use in the servicing, repair, or installation of
equipment.
Sec. 84.104 Prohibitions.
(a) Sale of recovered refrigerant. No person may sell, distribute,
or transfer to a new owner, or offer for sale, distribution, or
transfer to a new owner, any regulated substance used as a refrigerant
in stationary refrigerant-containing equipment consisting in whole or
in part of recovered regulated substances, unless the recovered
regulated substance:
(1) Has been reclaimed by a person who has been certified as a
reclaimer under 40 CFR 82.164 and has been reclaimed to the levels as
specified in appendix A to 40 CFR part 82, subpart F; or
(2) Is sold, distributed, or transferred to a new owner, or offered
for sale, distribution, or transfer to a new owner solely for the
purposes of being reclaimed or destroyed.
(b) [Reserved]
Sec. 84.106 Leak repair.
(a) Applicability. This section applies to refrigerant-containing
appliances with a full charge of 15 or more pounds of refrigerant where
the refrigerant is composed in whole or in part of:
(1) A regulated substance as listed in subsection (c) of the AIM
Act or in appendix A to part 84, or
(2) A substitute for a regulated substance that has a global
warming potential greater than 53, where the global warming potential
is as determined under the following hierarchy:
(i) Where trans-dichloroethylene, also referred to as HCO-1130(E),
is used neat or in a blend, the global warming potential shall be five;
(ii) Where cis-1-chloro-2,3,3,3-tetrafluoropropene, also referred
to as HCFO-1224yd(Z), is used neat or in a blend, the global warming
potential shall be one;
(iii) For each substitute for a regulated substance that is not
HCO-1130(E) or is not HCFO-1224yd(Z), but does have a global warming
potential listed in the Fourth Assessment Report of the
Intergovernmental Panel on Climate Change, the global warming potential
of the substitute for a regulated substance shall be that listed as the
100-year integrated global warming potential and shall be the net
global warming potential;
[[Page 72301]]
(iv) For each substitute for a regulated substance that is not HCO-
1130(E), is not HCFO-1224yd(Z), and is not listed in the Fourth
Assessment Report of the Intergovernmental Panel on Climate Change, the
global warming potential of the substitute for a regulated substance
shall be that listed as the 100-year integrated global warming
potential in the 2022 report by the World Meteorological Organization,
titled ``Scientific Assessment of Ozone Depletion: 2022'';
(v) For each substitute for a regulated substance, that is not HCO-
1130(E), is not HCFO-1224yd(Z), is not listed in the Fourth Assessment
Report of the Intergovernmental Panel on Climate Change, and is not
listed in the 2022 report by the World Meteorological Organization, the
global warming potential of the substitute for a regulated substance
shall be that listed in Table A-1 to 40 CFR part 98, as it existed on
[DATE OF PUBLICATION OF THE FINAL RULE IN THE FEDERAL REGISTER],
including the use of default global warming potential values for
substitutes for regulated substances that are not specifically listed
in that table;
(vi) For cases in (iii) through (v) above where a qualifier,
including but not limited to approximately, ~, less than, <, much less
than, <<, and greater than, >, is provided with a global warming
potential value, the value shown shall be the global warming potential
of the constituent without consideration of the qualifier;
(vii) For constituents that do not have a global warming potential
as provided in paragraphs (a)(2)(i) through (vi) of this section, the
global warming potential of the constituent shall be zero.
(3) Notwithstanding the criteria in paragraphs (1) and (2) of this
section, the requirements of this section do not apply to:
(i) Appliances (as defined in 40 CFR 82.152) containing solely an
ozone-depleting substance as a refrigerant;
(ii) Refrigerant-containing appliances used for the residential and
light commercial air conditioning and heat pumps subsector.
(4) Compliance dates. The requirements of this section apply for
refrigerant-containing appliances with a full charge of 50 or more
pounds as of 60 days after [DATE OF PUBLICATION OF THE FINAL RULE IN
THE FEDERAL REGISTER] in the Federal Register and for refrigerant-
containing appliances with a full charge between 15 and 50 pounds as of
1 year after [DATE OF PUBLICATION OF THE FINAL RULE IN THE FEDERAL
REGISTER] in the Federal Register.
(b) Leak rate calculation. Persons adding or removing refrigerant
from a refrigerant-containing appliance must, upon conclusion of that
installation, service, repair, or disposal provide the owner or
operator with documentation that meets the applicable requirements of
paragraph (l)(2) of this section. The owner or operator must calculate
the leak rate every time refrigerant is added to an appliance unless
the addition is made immediately following a retrofit, installation of
a new appliance, or qualifies as a seasonal variance.
(c) Requirement to address leaks through appliance repair, or
retrofitting or retiring an appliance. (1) Owners or operators must
repair refrigerant-containing appliances with a leak rate over the
applicable leak rate in this paragraph in accordance with paragraphs
(d) through (f) of this section unless the owner or operator elects to
retrofit or retire the refrigerant-containing appliance in compliance
with paragraphs (h) and (i) of this section. If the owner or operator
elects to repair leaks but fails to bring the leak rate below the
applicable leak rate, the owner or operator must create and implement a
retrofit or retirement plan in accordance with paragraphs (h) and (i)
of this section.
(2) Leak rates:
(i) 20 percent leak rate for commercial refrigeration equipment;
(ii) 30 percent leak rate for industrial process refrigeration
equipment; and
(iii) 10 percent leak rate for comfort cooling appliances,
refrigerated transport appliances, or other refrigerant-containing
appliances with a full charge of 15 or more pounds of refrigerant not
covered by (c)(2)(i) or (ii) of this section.
(d) Appliance repair. Owners or operators must identify and repair
leaks in accordance with this paragraph within 30 days (or 120 days if
an industrial process shutdown is required) of when refrigerant is
added to a refrigerant-containing appliance exceeding the applicable
leak rate in paragraph (c) of this section.
(1) A certified technician must conduct a leak inspection, as
described in paragraph (g) of this section, to identify the location of
leaks.
(2) Leaks must be repaired such that the leak rate is brought below
the applicable leak rate. This must be confirmed by the leak rate
calculation performed upon the next refrigerant addition. The leaks
will be presumed to be repaired if, over the 12-month period after the
repair, there is no further refrigerant addition or if the leak
inspections required under paragraph (g) of this section and/or
automatic leak detection systems required by Sec. 84.108 do not find
any leaks in the appliance. Repair of leaks must be documented by both
an initial and a follow-up verification test or tests.
(3) The time frames in paragraphs (d) through (f) of this section
are temporarily suspended when an appliance is mothballed. The time
will resume on the day additional refrigerant is added to the
refrigerant-containing appliance (or component of a refrigerant-
containing appliance if the leaking component was isolated).
(e) Verification tests. The owner or operator must conduct both
initial and follow-up verification tests on each leak that was repaired
under paragraph (d) of this section.
(1) Initial verification test. Unless granted additional time, an
initial verification test must be performed within 30 days (or 120 days
if an industrial process shutdown is required) of a refrigerant-
containing appliance exceeding the applicable leak rate in paragraph
(c) of this section. An initial verification test must demonstrate that
for leaks where a repair attempt was made, the adjustments or
alterations to the refrigerant-containing appliance have held.
(i) For repairs that can be completed without the need to open or
evacuate the refrigerant-containing appliance, the test must be
performed after the conclusion of the repair work and before any
additional refrigerant is added to the refrigerant-containing
appliance.
(ii) For repairs that require the evacuation of the refrigerant-
containing appliance or portion of the refrigerant-containing
appliance, the test must be performed before adding any refrigerant to
the refrigerant-containing appliance.
(iii) If the initial verification test indicates that the repairs
have not been successful, the owner or operator may conduct as many
additional repairs and initial verification tests as needed within the
applicable time period.
(2) Follow-up verification test. A follow-up verification test must
be performed within 10 days of the successful initial verification test
or 10 days of the refrigerant-containing appliance reaching normal
operating characteristics and conditions (if the refrigerant-containing
appliance or isolated component was evacuated for the repair(s)). Where
it is unsafe to be present or otherwise impossible to conduct a follow-
up verification test when the system is operating at normal operating
characteristics and conditions, the verification test must, where
practicable, be conducted prior to the system returning to normal
operating characteristics and conditions.
[[Page 72302]]
(i) A follow-up verification test must demonstrate that leaks where
a repair attempt was made are repaired. If the follow-up verification
test indicates that the repairs have not been successful, the owner or
operator may conduct as many additional repairs and verification tests
as needed to bring the refrigerant-containing appliance below the leak
rate within the applicable time period and to verify the repairs.
(f) Extensions to the appliance repair deadlines. Owners or
operators are permitted more than 30 days (or 120 days if an industrial
process shutdown is required) to comply with paragraphs (d) and (e) of
this section if they meet the requirements of (f)(1) through (4) of
this section or the refrigerant-containing appliance is mothballed. The
request will be considered approved unless EPA notifies the owners or
operators otherwise.
(1) One or more of the following conditions must apply:
(i) The refrigerant-containing appliance is located in an area
subject to radiological contamination or shutting down the refrigerant-
containing appliance will directly lead to radiological contamination.
Additional time is permitted to the extent needed to conduct and finish
repairs in a safe working environment.
(ii) Requirements of other applicable Federal, state, local, or
Tribal regulations make a repair within 30 days (or 120 days if an
industrial process shutdown is required) impossible. Additional time is
permitted to the extent needed to comply with the pertinent
regulations.
(iii) Components that must be replaced as part of the repair are
not available within 30 days (or 120 days if an industrial process
shutdown is required). Additional time is permitted up to 30 days after
receiving delivery of the necessary components, not to exceed 180 days
(or 270 days if an industrial process shutdown is required) from the
date the refrigerant-containing appliance exceeded the applicable leak
rate.
(2) Repairs to leaks that the technician has identified as
significantly contributing to the exceedance of the leak rate and that
do not require additional time must be completed and verified within
the initial 30 day repair period (or 120 day repair period if an
industrial process shutdown is required);
(3) The owner or operator must document all repair efforts and the
reason for the inability to make the repair within the initial 30 day
repair period (or 120 day repair period if an industrial process
shutdown is required); and
(4) The owner or operator must request an extension from EPA
electronically, in the manner specified by EPA, within 30 days (or 120
days if an industrial process shutdown is required) of the refrigerant-
containing appliance exceeding the applicable leak rate in paragraph
(c) of this section. Extension requests must include: Identification
and address of the facility; the name of the owner or operator of the
refrigerant-containing appliance; the leak rate; the method used to
determine the leak rate and full charge; the date the refrigerant-
containing appliance exceeded the applicable leak rate; the location of
leak(s) to the extent determined to date; any repair work that has been
performed thus far, including the date that work was completed; the
reasons why more than 30 days (or 120 days if an industrial process
shutdown is required) are needed to complete the repair; and an
estimate of when the work will be completed. If the estimated
completion date is to be extended, a new estimated date of completion
and documentation of the reason for that change must be submitted to
EPA within 30 days of identifying that the completion date must be
extended. The owner or operator must keep a dated copy of this
submission.
(g) Leak inspections. (1) The owner or operator must conduct a leak
inspection in accordance with the following schedule on any
refrigerant-containing appliance exceeding the applicable leak rate in
paragraph (c)(2) of this section.
(i) For commercial refrigeration and industrial process
refrigeration appliances with a full charge of 500 or more pounds, leak
inspections must be conducted once every three months until the owner
or operator can demonstrate through the leak rate calculations required
under paragraph (b) of this section that the appliance has not leaked
in excess of the applicable leak rate for four quarters in a row.
(ii) For commercial refrigeration and industrial process
refrigeration appliances with a full charge of 50 or more pounds but
less than 500 pounds, leak inspections must be conducted once per year
until the owner or operator can demonstrate through the leak rate
calculations required under paragraph (b) of this section that the
appliance has not leaked in excess of the applicable leak rate for one
year.
(iii) For comfort cooling appliances and other appliances not
covered by paragraphs (g)(1)(i) and (ii) of this section, leak
inspections must be conducted once per year until the owner or operator
can demonstrate through the leak rate calculations required under
paragraph (b) of this section that the appliance has not leaked in
excess of the applicable leak rate for one year.
(2) Leak inspections must be conducted by a certified technician
using method(s) determined by the technician to be appropriate for that
refrigerant-containing appliance.
(3) All visible and accessible components of a refrigerant-
containing appliance must be inspected, with the following exceptions:
(i) Where components are insulated, under ice that forms on the
outside of equipment, underground, behind walls, or are otherwise
inaccessible;
(ii) Where personnel must be elevated more than two meters above a
support surface; or
(iii) Where components are unsafe to inspect, as determined by site
personnel.
(4) Quarterly or annual leak inspections are not required on
refrigerant-containing appliances, or portions of refrigerant-
containing appliances, continuously monitored by an automatic leak
detection system that is audited or calibrated annually. An automatic
leak detection system may directly detect refrigerant in air, monitor
its surrounding in a manner other than detecting refrigerant
concentrations in air, or monitor conditions of the appliance. An
automatic leak detection system being used for this purpose must meet
the requirements for automatic leak detection systems per Sec.
84.108(c) through (g) and Sec. 84.108(i).
(i) When an automatic leak detection system is only being used to
monitor portions of a refrigerant-containing appliance, the remainder
of the refrigerant-containing appliance continues to be subject to any
applicable leak inspection requirements.
(ii) [Reserved]
(h) Retrofit or retirement plans. (1) The owner or operator must
create a retrofit or retirement plan within 30 days of:
(i) A refrigerant-containing appliance leaking above the applicable
leak rate in paragraph (c) of this section if the owner or operator
intends to retrofit or retire rather than repair the leak;
(ii) A refrigerant-containing appliance leaking above the
applicable leak rate in paragraph (c) of this section if the owner or
operator fails to take any action to identify or repair the leak; or
(iii) A refrigerant-containing appliance continues to leak above
the applicable leak rate after having conducted the required repairs
and verification tests under paragraphs (d) and (e) of this section.
[[Page 72303]]
(2) A retrofit or retirement plan must, at a minimum, contain the
following information:
(i) Identification and location of the refrigerant-containing
appliance;
(ii) Type and full charge of the refrigerant used in the
refrigerant-containing appliance;
(iii) Type and full charge of the refrigerant to which the
refrigerant-containing appliance will be converted, if retrofitted;
(iv) Itemized procedure for converting the refrigerant-containing
appliance to a different refrigerant, including changes required for
compatibility with the new substitute, if retrofitted;
(v) Plan for the disposition of recovered refrigerant;
(vi) Plan for the disposition of the refrigerant-containing
appliance, if retired; and
(vii) A schedule, not to exceed one year, for completion of the
appliance retrofit or retirement.
(3) The retrofit or retirement plan must be signed by an authorized
company official, dated, accessible at the site of the refrigerant-
containing appliance in paper copy or electronic format, and available
for EPA inspection upon request.
(4) All identified leaks must be repaired as part of any retrofit
under such a plan.
(5) A retrofit or retirement plan must be implemented as follows:
(i) Unless granted additional time, all work performed in
accordance with the plan must be finished within one year of the plan's
date (not to exceed 12 months from when the plan was finalized as
required in paragraph (h)(1) of this section).
(ii) The owner or operator may request that EPA relieve it of the
obligation to retrofit or retire a refrigerant-containing appliance if
the owner or operator can establish within 180 days of the plan's date
that the refrigerant-containing appliance no longer exceeds the
applicable leak rate and if the owner or operator agrees in writing to
repair all identified leaks within one year of the plan's date
consistent with paragraph (h)(4) and (h)(5)(i) of this section. The
owner or operator must submit to EPA the retrofit or retirement plan as
well as the following information: The date that the requirement to
develop a retrofit or retirement plan was triggered; the leak rate; the
method used to determine the leak rate and full charge; the location of
the leak(s) identified in the leak inspection; a description of repair
work that has been completed; a description of repair work that has not
been completed; a description of why the repair was not conducted
within the time frames required under paragraphs (d) and (f) of this
section; and a statement signed by an authorized official that all
identified leaks will be repaired and an estimate of when those repairs
will be completed (not to exceed one year from date of the plan). The
request will be considered approved unless EPA notifies the owners or
operators within 60 days of receipt of the request that it is not
approved.
(i) Extensions to the one-year retrofit or retirement schedule.
Owners or operators may request more than one year to comply with
paragraph (h) of this section if they meet the requirements of this
paragraph. The request will be considered approved unless EPA notifies
the owners or operators within 60 days of receipt of the request that
it is not approved. The request must be submitted to EPA
electronically, in the manner specified by EPA, within seven months of
discovering the refrigerant-containing appliance exceeded the
applicable leak rate. The request must include the identification of
the refrigerant-containing appliance; name of the owner or operator;
the leak rate; the method used to determine the leak rate and full
charge; the date the refrigerant-containing appliance exceeded the
applicable leak rate; the location of leaks(s) to the extent determined
to date; any repair work that has been finished thus far, including the
date that work was finished; a plan to finish the retrofit or
retirement of the refrigerant-containing appliance; the reasons why
more than one year is necessary to retrofit or retire the refrigerant-
containing appliance; the date of notification to EPA; and an estimate
of when retrofit or retirement work will be finished. A dated copy of
the request must be available on-site in either electronic or paper
copy. If the estimated completion date is to be revised, a new
estimated date of completion and documentation of the reason for that
change must be submitted to EPA electronically, in the manner specified
by EPA, within 30 days. Additionally, the time frames in paragraphs (h)
and (i) of this section are temporarily suspended when a refrigerant-
containing appliance is mothballed. The time will resume running on the
day additional refrigerant is added to the refrigerant-containing
appliance (or component of a refrigerant-containing appliance if the
leaking component was isolated).
(1) Extensions available to industrial process refrigeration.
Owners or operators of industrial process refrigeration equipment may
request additional time beyond the one-year period in paragraph (h) of
this section to finish the retrofit or retirement under the following
circumstances.
(i) Requirements of other applicable Federal, state, local, or
Tribal regulations make a retrofit or retirement within one year
impossible. Additional time is permitted to the extent needed to comply
with the pertinent regulations;
(ii) The new or the retrofitted equipment is custom-built as
defined in this subpart and the supplier of the appliance or one of its
components has quoted a delivery time of more than 30 weeks from when
the order is placed. The appliance or appliance components must be
installed within 120 days after receiving delivery of the necessary
parts;
(iii) The equipment is located in an area subject to radiological
contamination and creating a safe working environment will require more
than 30 weeks; or
(iv) After receiving an extension under paragraph (i)(1)(ii) of
this section, owners or operators may request additional time if
necessary to finish the retrofit or retirement of equipment. The
request must be submitted to EPA before the end of the ninth month of
the initial extension and must include the same information submitted
for that extension, with any necessary revisions. A dated copy of the
request must be available on-site in either electronic or paper copy.
The request will be considered approved unless EPA notifies the owners
or operators within 60 days of receipt of the request that it is not
approved.
(j) Chronically leaking appliances. Owners or operators of
refrigerant-containing appliances containing 15 or more pounds of
refrigerant that leak 125 percent or more of the full charge in a
calendar year must submit a report containing the information required
in paragraph (m)(4) of this section to EPA by March 1 of the subsequent
year.
(k) Purged refrigerant. In calculating annual leak rates, purged
refrigerant that is destroyed at a verifiable destruction efficiency of
98 percent or greater will not be counted toward the leak rate.
(l) Recordkeeping. All records identified in this paragraph must be
kept for at least three years in electronic or paper format, unless
otherwise specified.
(1) Upon installation or [DATE 60 DAYS AFTER DATE OF PUBLICATION OF
THE FINAL RULE IN THE FEDERAL REGISTER] owners or operators must
determine the full charge of all refrigerant-containing appliances with
15 or more pounds of refrigerant
[[Page 72304]]
and maintain the following information for each appliance until three
years after the appliance is retired:
(i) The identification of the owner or operator of the refrigerant-
containing appliance;
(ii) The address where the appliance is located;
(iii) The full charge of the refrigerant-containing appliance and
the method for how the full charge was determined;
(iv) If using method 4 (using an established range) for determining
full charge, records must include the range for the full charge of the
refrigerant-containing appliance, its midpoint, and how the range was
determined;
(v) Any revisions of the full charge, how they were determined, and
the dates such revisions occurred.
(vi) The date of installation.
(2) Owners or operators must maintain a record including the
following information for each time a refrigerant-containing appliance
with a full charge of 15 or more pounds is installed, serviced,
repaired, or disposed of, when applicable.
(i) The identity and location of the refrigerant-containing
appliance;
(ii) The date of the installation, service, repair, or disposal
performed;
(iii) The part(s) of the refrigerant-containing appliance being
installed, serviced, repaired, or disposed;
(iv) The type of installation, service, repair, or disposal
performed for each part;
(v) The name of the person performing the installation, service,
repair, or disposal;
(vi) The amount and type of refrigerant added to, or in the case of
disposal removed from, the appliance;
(vii) The full charge of the refrigerant-containing appliance; and
(viii) The leak rate and the method used to determine the leak rate
(not applicable when disposing of the refrigerant-containing appliance,
following a retrofit, installing a new refrigerant-containing
appliance, or if the refrigerant addition qualifies as a seasonal
variance).
(3) If the installation, service, repair, or disposal is done by
someone other than the owner or operator, that person must provide a
record containing the information specified in paragraph (l)(2)(i)
through (vi) of this section, when applicable, to the owner or
operator.
(4) Owners or operators must keep records of leak inspections that
include the date of inspection, the method(s) used to conduct the leak
inspection, a list of the location of each leak that was identified,
and a certification that all visible and accessible parts of the
refrigerant-containing appliance were inspected. Technicians conducting
leak inspections must, upon conclusion of that service, provide the
owner or operator of the refrigerant-containing appliance with
documentation that meets these requirements.
(5) If using an automatic leak detection system, the owner or
operator must maintain records regarding the installation and the
annual audit and calibration of the system, a record of each date the
monitoring system identified a leak, and the location of the leak.
(6) Owners or operators must maintain records of the dates and
results of all initial and follow-up verification tests. Records must
include the location of the refrigerant-containing appliance, the
date(s) of the verification tests, the location(s) of all repaired
leaks that were tested, the type(s) of verification test(s) used, and
the results of those tests. Technicians conducting initial or follow-up
verification tests must, upon conclusion of that service, provide the
owner or operator of the appliance with documentation that meets these
requirements.
(7) Owners or operators must maintain retrofit or retirement plans
developed in accordance with paragraph (h) of this section.
(8) Owners or operators must maintain retrofit and/or retirement
extension requests submitted to EPA in accordance with paragraph (i) of
this section.
(9) Owners or operators that suspend the deadlines in this section
by mothballing a refrigerant-containing appliance must keep records
documenting when the appliance was mothballed and when additional
refrigerant was added to the appliance (or isolated component).
(10) Owners or operators who exclude purged refrigerants that are
destroyed from annual leak rate calculations must maintain records to
support the amount of refrigerant claimed as sent for destruction.
Records must be based on a monitoring strategy that provides reliable
data to demonstrate that the amount of refrigerant claimed to have been
destroyed is not greater than the amount of refrigerant actually purged
and destroyed and that the 98 percent or greater destruction efficiency
is met. Records must include flow rate, quantity or concentration of
the refrigerant in the vent stream, and periods of purge flow. Records
must include:
(i) The identification of the facility and a contact person,
including the address and telephone number;
(ii) A description of the refrigerant-containing appliance,
focusing on aspects relevant to the purging of refrigerant and
subsequent destruction;
(iii) A description of the methods used to determine the quantity
of refrigerant sent for destruction and type of records that are being
kept by the owners or operators where the appliance is located;
(iv) The frequency of monitoring and data-recording; and
(v) A description of the control device, and its destruction
efficiency.
(11) Owners or operators that exclude additions of refrigerant due
to seasonal variance from their leak rate calculation must maintain
records stating that they are using the seasonal variance flexibility
and documenting the amount added and removed under paragraph (l)(2) of
this section.
(12) Owners or operators that submit reports to EPA in accordance
with paragraph (m) of this section must maintain copies of the
submitted reports and any responses from EPA.
(m) Reporting. All notifications must be submitted electronically
in the manner specified by EPA.
(1) Owners or operators must notify EPA electronically, in the
manner specified by EPA, in accordance with paragraph (f) of this
section when seeking an extension of time to complete repairs.
(2) Owners or operators must notify EPA electronically, in the
manner specified by EPA, in accordance with paragraph (h)(5)(ii) of
this section when seeking relief from the obligation to retrofit or
retire an appliance.
(3) Owners or operators must notify EPA electronically, in the
manner specified by EPA, in accordance with paragraph (i) of this
section when seeking an extension of time to complete the retrofit or
retirement of an appliance.
(4) Owners or operators must report to EPA electronically, in a
manner specified by EPA, the following in accordance with paragraph (j)
of this section for any refrigerant-containing appliance that leaks 125
percent or more of the full charge in a calendar year.
(i) Basic identification information (i.e., owner name or operator,
facility name, facility address where appliance is located, and
appliance ID or description);
(ii) Refrigerant-containing appliance type (comfort cooling or
other, industrial process refrigeration, or commercial refrigeration);
(iii) Refrigerant type;
(iv) Full charge of appliance (pounds);
(v) Annual percent refrigerant loss;
(vi) Dates of refrigerant addition;
[[Page 72305]]
(vii) Amounts of refrigerant added;
(viii) Date of last successful follow-up verification test;
(ix) Explanation of cause refrigerant losses;
(x) Description of repair actions taken; and
(xi) Whether a retrofit or retirement plan been developed for the
refrigerant-containing appliance and if so, the anticipated date of
retrofit or retirement.
(5) When excluding purged refrigerants that are destroyed from
annual leak rate calculations, owners or operators must notify EPA
electronically, in the manner specified by EPA, within 60 days after
the first time the exclusion is used by the facility where the
appliance is located. The report must include the information included
in paragraph (l)(10) of this section.
Sec. 84.108 Automatic leak detection systems.
(a) Owners or operators of refrigerant-containing appliances used
for industrial process refrigeration or commercial refrigeration with a
full charge of 1,500 pounds or greater of a refrigerant containing a
regulated substance or a substitute for a regulated substance with a
GWP greater than 53 must install and use an automatic leak detection
system in accordance with this section.
(b) (1) Owners and operators of refrigerant-containing appliances
subject to paragraph (a) of this section installed on or after [DATE 60
DAYS AFTER DATE OF PUBLICATION OF THE FINAL RULE IN THE FEDERAL
REGISTER] must install and use automatic leak detection systems within
30 days of the appliance installation.
(2) Owners and operators of refrigerant-containing appliances
subject to paragraph (a) of this section installed before [DATE 60 DAYS
AFTER DATE OF PUBLICATION OF THE FINAL RULE IN THE FEDERAL REGISTER]
must install and use automatic leak detection systems by [DATE 1 YEAR
AFTER DATE OF PUBLICATION OF THE FINAL RULE IN THE FEDERAL REGISTER].
(c) Automatic leak detection systems must be installed in
accordance with manufacturer instructions.
(d) Automatic leak detection systems must be audited and calibrated
annually.
(e) Automatic leak detection systems are required to monitor
components located inside an enclosed building or structure.
(f) For automatic leak detection systems that directly detect the
presence of a refrigerant in air, the system must:
(1) Have sensors or intakes placed so that they will continuously
monitor the refrigerant concentrations in air in proximity to the
compressor, evaporator, condenser, and other areas with a high
potential for a refrigerant leak;
(2) Accurately detect a concentration level of 10 parts per million
of vapor of the specific refrigerant or refrigerants used in the
refrigerant-containing appliance(s); and
(3) Alert the owner or operator when a refrigerant concentration of
100 parts per million of vapor of the specific refrigerant or
refrigerants used in the appliance(s) is reached.
(g) For automatic leak detection systems that monitor conditions of
the refrigerant-containing appliance, the system must automatically
alert the owner or operator when measurements indicate a loss of 50
pounds of refrigerant or 10 percent of the full charge, whichever is
less.
(h) When an automatic leak detection system alerts an owner or
operator of a leak as described in this paragraph owners and operators
of refrigerant-containing appliances using automatic leak detection
systems must:
(1) Calculate the leak rate within 30 days (or 120 days where an
industrial process shutdown would be necessary) of an alert and, if the
leak rate is above the applicable leak rate as described in Sec.
84.106(c)(2), comply with the full suite of leak repair provisions in
Sec. 84.106; or
(2) Preemptively repair the identified leak before adding
refrigerant to the appliance and then calculate the leak rate within 30
days (or 120 days where an industrial process shutdown would be
necessary) of an alert. If the leak rate is above the applicable leak
rate as described in Sec. 84.106(c)(2), the owner or operator must
comply with the full suite of leak repair provisions in Sec. 84.106.
(3) Where a refrigerant-containing appliance using an automatic
leak detection system is found to be leaking above the applicable leak
rate as described in Sec. 84.106(c)(2), and the automatic leak system
is only being used to monitor portions of an appliance, the remainder
of the appliance continues to be subject to any applicable leak
inspection requirements, as described in Sec. 84.106(g).
(i) Recordkeeping. The owner or operator must maintain records for
at least three years in electronic or paper format, unless otherwise
specified, regarding:
(1) The installation of the automatic leak detection system;
(2) The annual audit and calibration of the system;
(3) A record of each date the automatic leak detection system
triggers an alert; and
(4) The location of the leak.
Sec. 84.110 Emissions from fire suppression equipment.
(a) As of January 1, 2025, no person installing, servicing,
repairing, or disposing of fire suppression equipment containing a
regulated substance may knowingly vent or otherwise release into the
environment any regulated substances used in such equipment.
(1) Release of regulated substances during testing of fire
suppression equipment is not subject to this prohibition under
paragraph (a) of this section if the following four conditions are met:
(i) Equipment employing suitable alternative fire suppression
agents are not available;
(ii) Release of fire suppression agent is essential to demonstrate
equipment functionality;
(iii) Failure of the system or equipment would pose great risk to
human safety or the environment; and
(iv) A simulant agent cannot be used in place of the regulated
substance for testing purposes.
(2) This prohibition under paragraph (a) of this section does not
apply to qualification and development testing during the design and
development process of fire suppression equipment containing regulated
substances when such tests are essential to demonstrate equipment
functionality and when a suitable simulant agent cannot be used in
place of the regulated substance for testing purposes.
(3) This prohibition does not apply to the emergency release of
regulated substances for the legitimate purpose of fire extinguishing,
explosion inertion, or other emergency applications for which the
equipment were designed.
(b) As of January 1, 2025, no owner or operator of fire suppression
equipment containing regulated substances shall allow the release of
regulated substances to occur as a result of failure to maintain such
equipment.
(c) As of January 1, 2025, recycled regulated substances must be
used for the initial installation of new fire suppression equipment,
including both total flooding systems and streaming applications, that
is installed in the United States, and for the servicing and/or repair
of existing fire suppression equipment in the United States, including
both total flooding systems and streaming applications. This
requirement does not apply to onboard aerospace fire suppression
applications
[[Page 72306]]
that qualify for application-specific allowances under regulations at
Sec. 84.13.
(1) Any person using equipment to recover, store, and transfer
regulated substances used in fire suppression equipment must evacuate
equipment used to recover, store, and transfer regulated substances
prior to each use to prevent contamination, arrange for destruction of
the recovered regulated substances as necessary, and collect and
dispose of wastes from recycling process.
(2) Any person using recovery and recycling equipment to recover
regulated substances from fire suppression equipment must (1) operate
and maintain recovery and recycling equipment in accordance with
manufacturer specifications to ensure that the equipment performs as
specified; (2) repair leaks in storage, recovery, recycling, or
charging equipment used with regulated substances before use; and (3)
ensure that cross-contamination does not occur through the mixing of
regulated substances that may be contained in similar cylinders.
(d) Any person who employs fire suppression technicians who
install, service, repair, or dispose of fire suppression equipment
containing regulated substances shall train technicians hired on or
before January 1, 2025, on emissions reduction of regulated substances
by June 1, 2025. Fire suppression technicians hired after January 1,
2025, shall be trained regarding emissions reduction of regulated
substances within 30 days of hiring, or by June 1, 2025, whichever is
later.
(1) The fire suppression technician training shall cover an
explanation of the purpose of the training requirement, including the
significance of minimizing releases of HFCs and ensuring technician
safety, (b) an overview of regulated substances and environmental
concerns with regulated substances, including other federal, state,
local, or Tribal fire, building, safety, and environmental codes and
standards, (c) a review of relevant regulations concerning regulated
substances, including the requirements of the regulated substances
emissions reduction program for fire suppression equipment, and (d)
specific technical instruction relevant to avoiding unnecessary
emissions of regulated substances during the servicing, repair,
disposal, or installation of fire suppression equipment at each
individual facility.
(2) [Reserved]
(e) As of January 1, 2025, no person shall dispose of fire
suppression equipment containing regulated substances except by
recovering the regulated substances themselves or by arranging for the
recovery of the regulated substances by a fire suppression equipment
manufacturer, a distributor, or a fire suppressant recycler.
(f) As of January 1, 2025, no person shall dispose of regulated
substances used as a fire suppression agent except by sending it for
recycling to a fire suppressant recycler or a reclaimer certified under
40 CFR 82.164, or by arranging for its destruction using one of the
controlled processes listed in Sec. 84.29.
(g) Recordkeeping and reporting. (1) As of January 1, 2025, any
person who performs first fill of fire suppression equipment, service
(e.g., recharge) of fire suppression equipment and/or recycles
regulated substances recovered from fire suppression equipment, such as
equipment manufacturers, distributors, agent suppliers or installers
that recycle regulated substances must submit a report to EPA annually
by February 14th of each year (covering prior year's activity from
January 1 through December 31): the quantity of material (the combined
mass of regulated substance and contaminants) by regulated substance
broken out by sold, recovered, recycled, and virgin for the purpose of
installation of new equipment and servicing and/or repair of existing
fire suppression equipment; the total mass of each regulated substance
broken out by sold, recovered, recycled, and virgin; and the total mass
of waste products sent for disposal, along with information about the
disposal facility if waste is not processed by the reporting entity.
Such records must be maintained for three years in either electronic or
paper format.
(2) As of January 1, 2025, any person who employs fire suppression
technicians who service, repair, install, or dispose of fire
suppression equipment containing regulated substances must maintain an
electronic or paper copy of the fire suppression technician training
used, and make available to EPA upon request a copy of the training.
These entities must document that they have provided training to
personnel and must maintain these records for three years in either
electronic or paper format.
(3) As of January 1, 2025, owners and operators of fire suppression
equipment containing regulated substances must maintain records
documenting that regulated substances are recovered from the fire
suppression equipment before it is sent for disposal, either by
recovering the regulated substances themselves before sending the
equipment for disposal or by leaving the regulated substances in the
equipment and sending it for disposal to a facility, such as a fire
suppression equipment manufacturer, distributor, or a fire suppressant
recycler. Such records must be maintained for three years in either
electronic or paper format.
Sec. 84.112 Reclamation.
(a) No person may sell, identify, or report refrigerant as being
reclaimed for use in the installation, servicing, or repair of
refrigerant-containing equipment if the regulated substance component
of the resulting refrigerant contains more than 15 percent, by weight,
of virgin regulated substance.
(b) No person may sell, identify, or report refrigerant as being
reclaimed if it contains any recovered regulated substance that has not
had bona fide use in equipment, unless that refrigerant was removed
from the heel or residue of a container that had a bona fide use in the
servicing, repair, or installation of refrigerant-containing equipment.
(c) Labeling. As of January 1, 2026, reclaimers certified under 40
CFR 82.164 must affix a label to any container being sold or
distributed or offered for sale or distribution that contain reclaimed
regulated substances to certify that the contents do not exceed 15
percent, by weight, of virgin regulated substances.
(1) The label must read: ``The contents of this container do exceed
the limit on virgin regulated substance per 40 CFR 84.112(a).''
(2) The label must be:
(i) In English;
(ii) Durable and printed or otherwise labeled on, or affixed to, an
external surface of the container;
(iii) Readily visible and legible;
(iv) Able to withstand open weather exposure without a substantial
reduction in visibility or legibility; and
(v) Displayed on a background of contrasting color.
(d) Recordkeeping. As of January 1, 2026, reclaimers certified
under 40 CFR 82.164 must generate a record to certify that the
reclaimed regulated substances being used to fill a container that will
be sold or distributed or offered for sale or distribution do not
exceed 15 percent, by weight, of virgin regulated substances.
(1) The record must be generated electronically, in a format
specified by EPA.
(2) The record must contain the following information:
(i) the name, address, contact person, email address, and phone
number of the reclaimer certified under 40 CFR 82.164;
[[Page 72307]]
(ii) the date the container was filled with reclaimed regulated
substance(s);
(iii) the amount and name of the regulated substance(s) in the
container(s);
(iv) certification that the contents of the container are from a
batch where the amount of virgin regulated substances does not exceed
15 percent, by weight, of the total regulated substances;
(v) the unique serial number associated with the container(s)
filled from the batch;
(vi) identification of the batch of reclaimed regulated substances
used to fill the container(s); and
(vii) the percent, by weight, of virgin regulated substance(s) in
the batch used to fill the container(s).
(3) The record must be maintained by the reclaimer certified under
40 CFR 82.164 for three years.
(e) As of January 1, 2028, reclaimed refrigerant must be used for
the initial charge, whether charged in a factory or in the field, for
new refrigerant-containing equipment that is installed in the United
States in the following subsectors, if the refrigerant-containing
equipment being charged uses a refrigerant that contains a regulated
substance:
(1) Residential and light commercial air conditioning and heat
pumps;
(2) Cold storage warehouses;
(3) Industrial process refrigeration;
(4) Stand-alone retail food refrigeration;
(5) Supermarkets;
(6) Refrigerated transport; and
(7) Automatic commercial ice makers.
(f) As of January 1, 2028, reclaimed refrigerant must be used when
servicing and/or repairing refrigerant-containing equipment in the
following subsectors, if the refrigerant-containing equipment serviced
and/or repaired uses a refrigerant that contains a regulated substance:
(1) Stand-alone retail food refrigeration;
(2) Supermarket systems;
(3) Refrigerated transport; and
(4) Automatic commercial ice makers.
Sec. 84.114 Exemptions.
(a) The regulations under this subpart do not apply to a regulated
substance or a substitute for a regulated substance that is contained
in a foam.
(b) [Reserved]
Sec. 84.116 Requirements for disposable cylinders.
(a) As of January 1, 2025, any person who uses a disposable
cylinder must send such disposable cylinder to either a reclaimer
certified under 40 CFR 82.164 or fire suppressant recycler, consistent
with the requirements in paragraph (b) of this section, for its
remaining contents to be removed, when:
(1) The disposable cylinder contains a regulated substance;
(2) The disposable cylinder was used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment; and
(3) The person does not intend to use the disposable cylinder in
future servicing, repair, or installation of refrigerant-containing
equipment or fire suppression equipment.
(b) Disposable cylinders that meet the criteria in paragraphs
(a)(1), (2), and (3) of this section must be sent to:
(1) A reclaimer certified under 40 CFR 82.164, if the disposable
cylinder was used in the servicing, repair, or installation of
refrigerant-containing equipment, or
(2) A fire suppressant recycler, if the disposable cylinder was
used in the servicing, repair, or installation of fire suppression
equipment.
(c) As of January 1, 2025, a reclaimer certified under 40 CFR
82.164 or a fire suppressant recycler who receives a disposable
cylinder meeting the criteria in paragraphs (a)(1), (2), and (3) of
this section must remove all remaining contents from the disposable
cylinder prior to disposal.
(d) Small cans of refrigerant that contain no more than two pounds
of refrigerant and that qualify for the exemption described in 40 CFR
82.154(c)(1)(ix) are not required to be sent to a reclaimer certified
under 40 CFR 82.164 and such small cans are not required to have
remaining regulated substance removed from them prior to disposal.
Sec. 84.118 Container tracking system.
(a) Scope and applicability. Machine-readable tracking identifiers
may only be generated by a person that produces, imports, reclaims,
recycles for fire suppression use, repackages, or fills into a
container regulated substances for distribution or sale in U.S.
commerce that could be used in servicing, repair, or installation of
refrigerant-containing equipment or fire suppression equipment and that
reports to EPA consistent with paragraph (d) of this section. All
containers of regulated substances that enter U.S. commerce and that
could be used in servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment, with the limited
exceptions described in paragraph (b)(4) of this section, must have a
machine-readable tracking identifier affixed to them on the following
schedule:
(1) As of January 1, 2025, all containers of regulated substances
imported and all containers sold or distributed or offered for sale or
distribution by producers and importers that could be used in
servicing, repair, or installation of refrigerant-containing equipment
or fire suppression equipment must have a machine-readable tracking
identifier affixed on them.
(2) As of January 1, 2026, all containers of regulated substances
filled and all containers sold or distributed or offered for sale or
distribution that could be used in servicing, repair, or installation
of refrigerant-containing equipment or fire suppression equipment by
all other repackagers and cylinder fillers in the United States not
included in paragraph (a)(1) of this section, including reclaimers and
fire suppressant recyclers, must have a machine-readable tracking
identifier affixed on them.
(3) As of January 1, 2027, every container of regulated substances
that could be used in servicing, repair, or installation of
refrigerant-containing equipment or fire suppression equipment sold or
distributed, offered for sale or distribution, purchased or received,
or attempted to be purchased or received must have a machine-readable
tracking identifier affixed on them.
(b) Prohibitions. Every kilogram of regulated substances that could
be used in servicing, repair, or installation of refrigerant-containing
equipment or fire suppression equipment that is sold or distributed,
offered for sale or distribution, purchased or received, or attempted
to be purchased or received in violation of this section is a separate
violation of this subpart. Sale or distribution, offer for sale or
distribution, purchase or receipt, or attempt to purchase or receive
less than one kilogram of regulated substances in violation of this
section is a separate violation of this subpart.
(1) No person may sell or distribute, or offer for sale or
distribution, and no person may purchase or receive, or attempt to
purchase or receive, a container of regulated substance(s) that could
be used in servicing, repair, or refrigerant-containing equipment or
fire suppression installation of equipment unless the container has a
valid machine-readable tracking identifier affixed on it.
(2) No person may sell or distribute, or offer for sale or
distribution, regulated substances that could be used in servicing,
repair, or installation of
[[Page 72308]]
refrigerant-containing equipment or fire suppression equipment unless
that person is registered with EPA consistent with paragraph (d) of
this section.
(3) No person may purchase or receive, or attempt to purchase or
receive, regulated substances that could be used in servicing, repair,
or installation of refrigerant-containing equipment or fire suppression
equipment from a person that is not registered with EPA consistent with
paragraph (d) of this section;
(4) The following situations are exempt from the prohibitions in
paragraphs (b)(1) through (3) of this section:
(i) The regulated substances were recovered from a motor vehicle
air conditioner (MVAC) or MVAC-like appliance in accordance with 40 CFR
part 82, subpart B and are sold or distributed or offered for sale or
distribution by the same person who recovered the regulated substances
for use only in MVAC equipment or MVAC-like appliances.
(ii) The regulated substances were previously used, have been
recovered from refrigerant-containing equipment or fire suppression
equipment, and are intended for reclamation or fire suppressant
recycling; and
(A) The person selling or distributing the regulated substances
certifies in writing to the person purchasing or receiving the
regulated substances that they were recovered from refrigerant-
containing equipment or fire suppression equipment and provides the
date of recovery; and
(B) The person purchasing or receiving the regulated substances is
an EPA-certified reclaimer, a registered fire suppressant recycler
consistent with paragraph (d) of this section, or a registered supplier
of regulated substances consistent with paragraph (d) of this section.
(iii) The regulated substances are contained in small cans of
refrigerant that contain no more than two pounds of refrigerant and
that qualify for the exemption described in 40 CFR 82.154(c)(1)(ix).
(iv) The regulated substances are intended solely for uses other
than in refrigerant-containing equipment or fire suppression equipment.
(c) Required practices. The following practices are required,
unless listed in paragraph (b)(4) of this section:
(1) Any person producing, importing, reclaiming, recycling for fire
suppression uses, repackaging, selling or distributing, or offering to
sell or distribute regulated substances that could be used in
servicing, repair, or installation of refrigerant-containing or fire
suppression equipment must register with EPA consistent with paragraph
(d) of this section.
(2) Any person who imports, sells, or distributes, or offers for
sale or distribution a container of regulated substance or reclaimed
regulated substance that could be used in servicing, repair, or
installation of any refrigerant-containing or fire suppression
equipment, or recycled regulated substances that could be used in
servicing, repair, or installation of fire suppression equipment, must
permanently affix a machine-readable tracking identifier to the
container using the standards defined by EPA prior to the import, sale
or distribution, or offer for sale or distribution of the container.
For the purposes of this section, examples of when a container of
regulated substances, reclaimed regulated substances, or recycled
regulated substances is imported, sold or distributed, or offered for
sale or distribution include the date of importation (consistent with
19 CFR 101.1) and departure from a production, reclamation, fire
suppressant recycling, repackaging or filling facility.
(3) At the time of sale or distribution or offer for sale or
distribution, a person selling or distributing or offering for sale or
distribution a container of regulated substance that could be used in
servicing, repair, or installation of refrigerant-containing or fire
suppression equipment must ensure there is a valid and legible machine-
readable tracking identifier on each container of regulated substance,
scan the machine-readable tracking identifier to identify a
transaction, identify the person receiving the regulated substance, and
indicate whether the person receiving the regulated substance is a
supplier or final customer.
(4) At the time of sale or distribution, a person taking ownership
of a container of regulated substance that is a registered supplier
must ensure there is a valid and legible machine-readable tracking
identifier on each container of regulated substance and scan the
machine-readable tracking identifier in the tracking system to identify
a transaction.
(d) Recordkeeping and reporting.
(1) Importers. Any person importing a container of regulated
substance that could be used in servicing, repair, or installation of
refrigerant-containing or fire suppression equipment must enter the
following information in the tracking system to generate a machine-
readable tracking identifier for each container of regulated substance
imported: the name or brand the regulated substance is being sold and/
or marketed under, the date it was imported, the unique serial number
associated with the container, the size of the container, the amount
and name of the regulated substance(s) in the container, the name,
address, contact person, email address, and phone number of the
responsible party at the facility where the container of regulated
substance(s) was filled, the entry number and entry line number
associated with the import, and certification that the contents of the
container match the substance(s) identified on the label.
(2) Reclaimers. Any person filling a container with a reclaimed
regulated substance that could be used in servicing, repair, or
installation of refrigerant-containing equipment must enter the
following information in the tracking system to generate a machine
readable-tracking identifier for each container of regulated substance
sold or distributed or offered for sale or distribution: the name or
brand the regulated substance is being sold and/or marketed under, when
the regulated substance was reclaimed and by whom, the date the
reclaimed regulated substance was put into a container, the unique
serial number associated with the container, the size of the container,
the amount and name of the regulated substance(s) in the container,
certification that the contents of the container match the substance(s)
identified on the label, and certification that the purity of the batch
was confirmed to meet the specifications in appendix A to 40 CFR part
82, subpart F. If a container is filled with reclaimed and virgin
regulated substance(s), the reclaimer must provide the amount of virgin
regulated substance included in the container and that the contents of
the container are certified per Sec. 84.112(d).
(3) Fire suppressant recyclers. Any person filling a container with
a recycled regulated substance that could be used in servicing, repair,
or installation of fire suppression equipment must enter the following
information in the tracking system to generate a machine-readable
tracking identifier for each container of regulated substance sold or
distributed or offered for sale or distribution: the name or brand the
regulated substance is being sold and/or marketed under, the date the
container was filled and by whom, the unique serial number associated
with the container, the size of the container, certification that the
contents of the container match the substance(s) identified on the
label, and the amount and name of the regulated substance(s) in the
container. If a container is filled
[[Page 72309]]
with recycled and virgin regulated substance(s), the recycler must
provide the amount of virgin regulated substance included in the
container.
(4) Producers and repackagers. Anyone who is filling a container,
whether for the first time after production or when transferring
regulated substances from one container to one or more smaller or
larger containers, must enter information in the tracking system and
generate a machine-readable tracking identifier for the container(s) of
packaged regulated substances that could be used in servicing, repair,
or installation of refrigerant-containing equipment or fire suppression
equipment that are sold or distributed or offered for sale or
distribution: the name or brand the regulated substance is being sold
and/or marketed under, the date the container was filled and by whom,
the unique serial number associated with the container, the amount and
name of the regulated substance(s) in the container, the quantity of
containers it was packaged in, the size of the containers,
certification that the contents of the container match the substance(s)
identified on the label, and the name, address, contact person, email
address, and phone number of the responsible party at the facility
where the container(s) were filled.
(5) Machine-readable tracking identifier generators registration.
Any person who produces, imports, reclaims, recycles for fire
suppression uses, repackages or fills a container of regulated
substances or reclaimed regulated substances that could be used in
servicing, repair, or installation of refrigerant-containing equipment
or recycled regulated substances that could be used in the servicing,
repair, or installation of fire suppression equipment must register
with EPA in the tracking system no later than the first time they would
be required to generate a machine-readable tracking identifier. The
registration information provided must contain the name and address of
the company, contact information for the owner of the company, the
date(s) of and State(s) in which the company is incorporated and State
license identifier(s), the address of each facility that sells or
distributes or offers for sale or distribution regulated substances,
and how the company introduces regulated substances into U.S. commerce.
If any of the registration information changes, these reports must be
updated and resubmitted within 60 days of the change.
(6) Supplier registration. Any person who sells, distributes, or
offers for sale or distribution, regulated substances that could be
used in the servicing, repair, or installation of refrigerant-
containing equipment or fire suppression equipment must register with
EPA in the tracking system no later than first time the person would be
required to update tracking information in the system. The registration
information provided must contain the name and address of the company,
contact information for the owner of the company, the date(s) of and
State(s) in which the company is incorporated and State license
identifier(s), and the address of each facility that sells or
distributes regulated substances. If any of the registration
information changes, these reports must be updated and resubmitted
within 60 days of the change.
Sec. 84.120 Container tracking of used cylinders.
(a) Scope and applicability. Cylinders that contain regulated
substances and that have been used in the servicing, repair, or
installation of refrigerant-containing equipment or fire suppression
equipment and that have a machine-readable tracking identifier affixed
on them are subject to the following tracking requirements, as
applicable, as of January 1, 2026:
(1) Any person receiving a cylinder subject to requirements under
paragraph (a) of this section must be registered in the tracking system
no later than the first time they would be required to update
information in the tracking system.
(2) [Reserved]
(b) Disposable cylinders. (1) Reclaimers and fire suppressant
recyclers.
(i) Upon receipt of a disposable cylinder meeting the applicability
criteria in paragraph (a) of this section, reclaimers certified under
40 CFR 82.164 and fire suppressant recyclers must scan the machine-
readable tracking identifier affixed to the cylinder and update the
following information in the tracking system: the date the disposable
cylinder was received and the name, address, contact person, email
address, and phone number of the person who sent the disposable
cylinder.
(ii) Upon removal of any remaining regulated substance from the
disposable cylinder meeting the applicability criteria in paragraph (a)
of this section, reclaimers certified under 40 CFR 82.164 and fire
suppressant recyclers must scan the machine-readable tracking
identifier affixed to the cylinder and update the following information
in the tracking system: the date that the regulated substances were
removed from the disposable cylinder; certification that all regulated
substances were removed; and the amount and name of the removed
regulated substance(s).
(2) Suppliers. (i) Upon receipt of a disposable cylinder meeting
the applicability criteria in paragraph (a) of this section,
distributors and wholesalers must scan the machine-readable tracking
identifier affixed to the cylinder and update the following information
in the tracking system: the date the disposable cylinder was received
and the name, address, contact person, email address, and phone number
of the person who sent the disposable cylinder.
(ii) [Reserved]
(c) Refillable cylinders. (1) Exemptions.
(i) Refillable cylinders that contain only regulated substances
that were previously used and have been recovered refrigerant-
containing equipment or fire suppression equipment and are intended for
reclamation or fire suppressant recycling are exempt from the
requirements under this section.
(ii) [Reserved]
(2) Reclaimers and fire suppressant recyclers.
(i) Upon receipt of a refillable cylinder meeting the applicability
criteria in paragraph (a) of this section, reclaimers certified under
40 CFR 82.164 and fire suppressant recyclers must scan the machine-
readable tracking identifier affixed to the cylinder and update the
following information in the tracking system: the date the refillable
cylinder was received and the name, address, contact person, email
address, and phone number of the person who sent the refillable
cylinder.
(ii) Upon removal of any remaining regulated substance from the
refillable cylinder meeting the applicability criteria in paragraph (a)
of this section, reclaimers certified under 40 CFR 82.164 and fire
suppressant recyclers must scan the machine-readable tracking
identifier affixed to the cylinder and update the following information
in the tracking system: the date the remaining regulated substance was
removed from the refillable cylinder, certification that all remaining
regulated substances were removed, and the amount and name of the
removed regulated substance.
(3) Suppliers. (i) Upon receipt of a refillable cylinder meeting
the applicability criteria in paragraph (a) of this section,
distributors and wholesalers must scan the machine-readable tracking
identifier affixed to the cylinder and update the following
[[Page 72310]]
information in the tracking system: the date the refillable cylinder
was received and the name, address, contact person, email address, and
phone number of the person who sent the refillable cylinder.
(ii) [Reserved]
(4) Any person, other than those meeting the requirements per
paragraphs (c)(2)(i) and (ii) of this section, who refills a refillable
cylinder with regulated substances or a blend containing regulated
substances, is subject to the following requirements:
(i) Upon receipt of a refillable cylinder meeting the applicability
criteria in paragraph (a) of this section, any person as described per
paragraph (c)(4) of this section must scan the machine-readable
tracking identifier affixed to the cylinder and update the following
information in the tracking system: the date the refillable cylinder
was received and the name, address, contact person, email address, and
phone number of the person who sent the refillable cylinder.
(ii) Upon removal of any remaining regulated substance from the
refillable cylinder meeting the applicability criteria in paragraph (a)
of this section, any person as described per paragraph (c)(4) of this
section must scan the machine-readable tracking identifier affixed to
the cylinder and update the following information in the tracking
system: the date the remaining regulated substances were removed from
the refillable cylinder; and the amount and name of the removed
regulated substance(s).
(iii) Upon refilling a refillable cylinder, without removing the
remaining amount of regulated substances, meeting the applicability
criteria in paragraph (a) of this section with additional regulated
substance or a blend containing a regulated substance, any person as
described per paragraph (c)(4) of this section must scan the machine-
readable tracking identifier affixed to the cylinder and update the
following information in the tracking system: the date the refillable
cylinder is refilled; and the amount and the name of the regulated
substance(s) that remained in the refillable cylinder before it was
refilled.
(d) Small cans of refrigerant that contain no more than two pounds
of regulated substances and that qualify for the exemption at 40 CFR
82.154(c)(1)(ix) are exempt from the tracking requirements under this
section.
Sec. 84.122 Treatment of data submitted under 40 CFR part 84, subpart
C.
(a) Except as otherwise provided in this section, 40 CFR 2.201
through 2.215 and 2.301 do not apply to data submitted under this
subpart that EPA has determined through rulemaking to be either of the
following:
(1) Emission data, as defined in 40 CFR 2.301(a)(2), determined in
accordance with section 114(c) and 307(d) of the Clean Air Act; or
(2) Data not otherwise entitled to confidential treatment.
(b) Except as otherwise provided in paragraph (d) of this section,
40 CFR 2.201 through 2.208 and 2.301(c) and (d) do not apply to data
submitted under this subpart that EPA has determined through rulemaking
to be entitled to confidential treatment. EPA shall treat that
information as confidential in accordance with the provisions of 40 CFR
2.211, subject to paragraph (d) of this section and 40 CFR 2.209.
(c) Upon receiving a request under 5 U.S.C. 552 for data submitted
under this subpart that EPA has determined through rulemaking to be
entitled to confidential treatment, the relevant Agency official shall
furnish the requestor a notice that the information has been determined
to be entitled to confidential treatment and that the request is
therefore denied. The notice shall include or cite to the appropriate
EPA determination.
(d) A determination made through rulemaking that information
submitted under this subpart is entitled to confidential treatment
shall continue in effect unless, subsequent to the confidentiality
determination through rulemaking, EPA takes one of the following
actions:
(1) EPA determines through a subsequent rulemaking that the
information is emission data or data not otherwise entitled to
confidential treatment; or
(2) The Office of General Counsel issues a final determination,
based on the requirements of 5 U.S.C. 552(b)(4), stating that the
information is no longer entitled to confidential treatment because of
change in the applicable law or newly discovered or changed facts.
Prior to making such final determination, EPA shall afford the business
an opportunity to submit comments on pertinent issues in the manner
described by 40 CFR 2.204(e) and 2.205(b). If, after consideration of
any timely comments submitted by the business, the Office of General
Counsel makes a revised final determination that the information is not
entitled to confidential treatment, the relevant agency official will
notify the business in accordance with the procedures described in 40
CFR 2.205(f)(2).
Sec. 84.124 Relationship to other laws.
Section (k) of the AIM Act states that sections 113, 114, 304, and
307 of the Clean Air Act (42 U.S.C. 7413, 7414, 7604, 7607) shall apply
to this section and any rule, rulemaking, or regulation promulgated by
the Administrator pursuant to this section as though this section were
expressly included in title VI of that Act (42 U.S.C. 7671 et seq.).
Violation of this part is subject to Federal enforcement and the
penalties laid out in section 113 of the Clean Air Act.
PART 261--IDENTIFICATION AND LISTING OF HAZARDOUS WASTE
0
3. The authority citation for part 261 continues to read as follows:
Authority: 42 U.S.C. 6905, 6912(a), 6921, 6922, 6924(y) and
6938.
Subpart A--General
0
4. In Sec. 261.6, revise paragraph (a)(2) and add paragraph (a)(2)(v)
to read as follows:
Sec. 261.6 Requirements for recyclable materials.
(a) * * *
(2) The following recyclable materials are not subject to the
requirements of this section but are regulated under subparts C through
Q of part 266 of this chapter and all applicable provisions in parts
268, 270, and 124 of this chapter.
* * * * *
(v) Ignitable spent refrigerants recycled for reuse (40 CFR part
266, subpart Q).
* * * * *
Subpart M--Emergency Preparedness and Response for Management of
Excluded Hazardous Secondary Materials
0
5. In Sec. 261.400, revise the introductory text and add paragraph (c)
to read as follows:
Sec. 261.400 Applicability.
The requirements of this subpart apply to those areas of an entity
managing hazardous secondary materials excluded under Sec.
261.4(a)(23), (a)(24), and/or, for ignitable spent refrigerants,
regulated under the alternative standards at Sec. 266 subpart Q, where
hazardous secondary materials are generated or accumulated on site.
* * * * *
(c) Reclamation facilities receiving refrigerant from off-site to
be recycled for reuse under Sec. 266 subpart Q must comply with
Sec. Sec. 261.410 and 261.420.
[[Page 72311]]
PART 262--STANDARDS APPLICABLE TO GENERATORS OF HAZARDOUS WASTE
0
6. The authority citation for part 262 continues to read as follows:
Authority: 42 U.S.C. 6906, 6912, 6922-6925, 6937, 6938 and
6939g.
Subpart A--General
0
7. In Sec. 262.14, revise paragraph (a)(5)(vi) to read as follows:
Sec. 262.14 Conditions for exemption for a very small quantity
generator.
(a) * * *
(5) * * *
(vi) A facility which:
(A) Beneficially uses or reuses, or legitimately recycles or
reclaims its waste; or
(B) Treats its waste prior to beneficial use or reuse, or
legitimate recycling or reclamation; and
(C) For ignitable spent refrigerants regulated under part 266
subpart Q, meets the requirements of that subpart; or
* * * * *
PART 266--STANDARDS FOR THE MANAGEMENT OF SPECIFIC HAZARDOUS WASTES
AND SPECIFIC TYPES OF HAZARDOUS WASTE MANAGEMENT FACILITIES
0
8. The authority citation for part 266 continues to read as follows:
Authority: 42 U.S.C. 1006, 2002(a), 3001-3009, 3014, 3017,
6905, 6906, 6912, 6921, 6922, 6924-6927, 6934, and 6937.
0
9. Add to part 266, subpart Q consisting of Sec. Sec. 266.600 through
266.602 to read as follows:
Subpart Q--Ignitable Spent Refrigerants Recycled for Reuse
Sec.
266.600 Purpose and applicability.
266.601 Definitions for this subpart.
266.602 Standards for facilities that recycle ignitable spent
refrigerant for reuse under this subpart.
Sec. 266.600 Purpose and applicability.
(a) The purpose of this subpart is to reduce emissions of ignitable
spent refrigerants to the lowest achievable level by maximizing the
recovery and safe recycling for reuse of such refrigerants during the
maintenance, service, repair, and disposal of appliances.
(b) The requirements of this subpart operate in lieu of parts 262
through 270 and apply to lower flammability spent refrigerants, as
defined in Sec. 266.601, where the refrigerant exhibits the hazardous
waste characteristic of ignitability per Sec. 261.21 and is being
recycled for reuse in the U.S.
(c) These requirements do not apply to other ignitable spent
refrigerants. Ignitable spent refrigerants not subject to this subpart
are subject to all applicable requirements of parts 262 through 270
when recovered (i.e., removed from an appliance and stored in an
external container) and/or disposed of.
Sec. 266.601 Definitions for this subpart.
For the purposes of this subpart, the following terms have the
meanings given below:
(a) Refrigerant has the same meaning as defined in 40 CFR 82.152.
(b) Recycle for reuse, when referring to an ignitable spent
refrigerant, means to process the refrigerant to remove contamination
and prepare it to be used again. ``Recycle for reuse'' does not include
recycling that involves burning for energy recovery or use in a manner
constituting disposal as defined in Sec. 261.2(c), or sham recycling
as defined in Sec. 261.2(g).
(c) Lower flammability spent refrigerant means a spent refrigerant
that does not have a flammability classification of 3 (highly
flammable) under the most recent edition of ANSI/ASHRAE Standard 34
Designation and Safety Classification of Refrigerants.
Sec. 266.602 Standards for facilities that recycle ignitable spent
refrigerant for reuse under this subpart.
(a) Persons who recycle ignitable spent refrigerants for reuse
either on-site for further use in equipment of the same owner, or in
compliance with motor vehicle air conditioner (MVAC) standards in 40
CFR part 82, subpart B must:
(1) Recover (i.e., remove from an appliance and store in an
external container) and/or recycle for reuse the ignitable spent
refrigerant using equipment that is certified for that type of
refrigerant and appliance under Sec. 82.36 and 82.158; and
(2) Not speculatively accumulate the ignitable spent refrigerant
per Sec. 261.1(c).
(b) Persons receiving refrigerant from off-site to be recycled for
reuse under this subpart must:
(1) Maintain certification by EPA under Sec. 82.164,
(2) Meet the emergency preparedness and response requirements of 40
CFR part 261, subpart M; and
(3) Not speculatively accumulate the ignitable spent refrigerant
per Sec. 261.1(c).
PART 270--EPA ADMINISTERED PERMIT PROGRAMS: THE HAZARDOUS WASTE
PERMIT PROGRAM
0
10. The authority citation for part 270 continues to read as follows:
Authority: 42 U.S.C. 6905, 6912, 6924, 6925, 6927, 6939, and
6974.
Subpart A--General Information
0
11. In Sec. 270.1, add paragraph (c)(2)(xi) to read as follows:
Sec. 270.1 Purpose and scope of the regulations in this part.
* * * * *
(c) * * *
(2) * * *
(xi) Recyclers of ignitable spent refrigerants subject to
regulation under 40 CFR part 266, subpart Q.
* * * * *
PART 271--REQUIREMENTS FOR AUTHORIZATION OF STATE HAZARDOUS WASTE
PROGRAMS
0
12. The authority citation for part 271 continues to read as follows:
Authority: 42 U.S.C. 6905, 6912(a), 6926, and 6939g.
Subpart A--Requirements for Final Authorization
0
13. Amend Sec. 271.1 by:
0
a. In table 1 in paragraph (j)(2) adding the entry ``[Date of
publication of the final rule in the Federal Register]'' in
chronological order.
0
b. In table 2 in paragraph (j)(2) adding the entry ``[Date of
publication of the final rule in the Federal Register]'' in
chronological order.
The additions read as follows:
Sec. 271.1 Purpose and scope.
* * * * *
(j) * * *
(2) * * *
[[Page 72312]]
Table 1--Regulations Implementing the Hazardous and Solid Waste Amendments of 1984
----------------------------------------------------------------------------------------------------------------
Federal Register
Promulgation date Title of regulation reference Effective date
----------------------------------------------------------------------------------------------------------------
* * * * * * *
[Date of publication of the final Standards for the [Federal Register [Date of publication of
rule in the Federal Register]. Management of citation of the final the final rule in the
Ignitable Spent rule]. Federal Register].
Refrigerants Recycled
for Reuse.
----------------------------------------------------------------------------------------------------------------
\1\ These regulations implement HSWA only to the extent that they apply to tank systems owned or operated by
small quantity generators, establish leak detection requirements for all new underground tank systems, and
establish permitting standards for underground tank systems that cannot be entered for inspection.
\2\ These regulations, including test methods for benzo(k)fluoranthene and technical standards for drip pads,
implement HSWA only to the extent that they apply to the listing of Hazardous Waste No. F032, and wastes that
are hazardous because they exhibit the Toxicity Characteristic. These regulations, including test methods for
benzo(k)fluoranthene and technical standards for drip pads, do not implement HSWA to the extent that they
apply to the listings of Hazardous Waste Nos. F034 and F035.
\3\ The following portions of this rule are not HSWA regulations: Sec. Sec. 264.19 and 265.19 for final
covers.
\4\ The following portions of this rule are not HSWA regulations: Sec. Sec. 260.30, 260.31, 261.2.
\5\ These regulations implement HSWA only to the extent that they apply to the standards for staging piles and
to Sec. Sec. 264.1(j) and 264.101(d) of this chapter.
Table 2--Self-Implementing Provisions of the Hazardous and Solid Waste Amendments of 1984
----------------------------------------------------------------------------------------------------------------
Self-implementing Federal Register
Effective date provision RCRA citation reference
----------------------------------------------------------------------------------------------------------------
* * * * * * *
[Date of publication of the final Standards for the 3001(d)(4), 3004(n).... [Federal Register
rule in the Federal Register]. Management of citation of the final
Ignitable Spent rule].
Refrigerants Recycled
for Reuse.
----------------------------------------------------------------------------------------------------------------
\1\ Note that the effective date was changed to Jan. 29, 1986 by the Nov. 29, 1985 rule.
\2\ Note that the effective date was changed to Sept. 22, 1986 by the Mar. 24, 1986 rule.
[FR Doc. 2023-22526 Filed 10-18-23; 8:45 am]
BILLING CODE 6560-50-P