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HomeMy WebLinkAboutAgenda Item III-2_PowerPointDepartment of Environmental Quality Revisions to Rule 02D .0516 Air Quality Committee Meeting –July 13, 2022 Background 2 Department of Environmental Quality •The Clean Air Act required the EPA to set national ambient air quality standards (NAAQS) for sulfur dioxide and five other pollutants considered harmful to public health and the environment. •The State adopted these ambient standards on February 1, 1976, in 15A NCAC 02D .0400, Ambient Air Quality Standards. In addition, the State adopted emission control standards for these pollutants, including a SO2 emission standard in 15A NCAC 02D .0516. •The original SO2 emission standard required new sources constructed after 7/1/1971 to limit SO2 emissions to less than or equal to 1.6 lb/MMBtu, and existing sources to limit SO2 emissions to less than or equal to 2.3 lb/MMBtu. •On April 1, 1977, the Rule was amended to the current standard of 2.3 lb/MMBtu for both new and existing sources. This standard was determined to be adequate to attain and maintain the Federal ambient air quality standards. Background Continued 3 Department of Environmental Quality •On November 18, 2021, a request for a declaratory ruling pursuant to NCGS §150B-4 came before the Environmental Management Commission. •The petition sought a ruling as to the interpretation of 15A NCAC 02D .0516 as it relates to the use of supplemental fuel. •The Commission concluded that the plain language of the Rule does not prohibit the use of supplemental fuels, including natural gas purchased from a utility, to increase the heating value of flared waste biogas to enhance oxidation and to endeavor compliance with 2D .0516. Overview 4 Department of Environmental Quality •The DAQ is proposing to clarify their position that the use of supplemental fuel beyond what is needed for combustion is not a means for compliance with the SO2 standard in 15A NCAC 02D .0516. •A work group consisting of DAQ staff from the Planning, Permitting, Compliance, and Regional Offices met to discuss the Rule and proposed language to address this issue. Proposed Revisions 5 Department of Environmental Quality •Revise Paragraph (a) to include air pollution control devices as an affected source. •Create a new Paragraph (b) that separates some of the language in the original Paragraph (a) into two subparts and adds a new subpart that states that the determination of Btu input shall not include fuels whose sole purpose is to increase heat input. •Renumber the original Paragraph (b) to Paragraph (c). Regulatory Impact Analysis 6 Department of Environmental Quality •Estimated costs for removing hydrogen sulfide (H2S) from tail gas stream prior to combustion in the flare. •The total impact is estimated in 2021 dollars to be $43,492 in the first year and $41,236 thereafter. •Health benefits were estimated using EPA’s CO-benefits Risk Assessment Health Impacts Screening and Mapping Tool (COBRA) and ranged from $10,037 to $22,626 in 2021 dollars at a 7% discount rate. •Draft RIA has been submitted to OSBM for review. Department of Environmental Quality 7 Tentative Rulemaking Timeline(Subject to Change) May 2022 Concept Presented to Air Quality Committee (AQC) July 2022 Draft Rules to Air Quality Committee (AQC) •September 2022 Request to Proceed to Comment Period and Hearing Environmental Management Commission (EMC) •Oct-Nov 2022 Public Comment Period and Hearing Scheduled •January 2023 Adoption by Environmental Management Commission (EMC) •February 2023 Rules Review Commission (RRC) Approval •3/1/2023 Tentatively Effective Recommendation 8 Department of Environmental Quality The Director recommends that the Committee approve the proposed rule amendments for presentation to the EMC in September 2022 for approval to proceed to public comment. Contact Department of Environmental Quality Bradley Nelson Rule Development Branch NC Division of Air Quality 919 707 8705 office Bradley.Nelson@ncdenr.gov 9 Patrick Knowlson, EIT Rule Development Branch Supervisor NC Division of Air Quality 919 707 8711 office Patrick.Knowlson@ncdenr.gov Department of Environmental Quality 10