MMEA - Update on Michigan Air Pollution Control Rules and...

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Update on Michigan Air Pollution Control Rules and Policies Update on Michigan Air Pollution Control Rules and Policies MMEA Fall Conference October 4, 2017

Transcript of MMEA - Update on Michigan Air Pollution Control Rules and...

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Update on Michigan Air Pollution Control Rules and Policies

Update on Michigan Air Pollution Control Rules and Policies

MMEA Fall ConferenceOctober 4, 2017

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Rhiana C. Dornbos, PE

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Project Engineer

Air Quality Permitting and

Compliance

517-702-2953

616-265-5755

[email protected]

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Agenda

� Michigan Rule Changes

� AQD Policy and Procedures

� Air Permitting Developments

� Ozone Nonattainment Designations

� Dispersion Modeling

� Regulatory Horizon

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Michigan Rule ChangesMichigan Rule Changes

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Changes to Air Pollution Control Rules

� Effective December 20, 2016

� Goals:

• Clarify Existing Rules

• Provide additional Exemptions

• Respond to Objections raised by U.S. EPA

Updates to Michigan Air Pollution Control Rules

Part 1 General Provisions

Part 2 Air Use Approval

Part 9 Emission Limitation and Prohibitions - Miscellaneous

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� NEW Rule 281(k): Aqueous based parts washers (<5% VOCs)

� Rule 285 Meaningful Change Exemption additions

� Rule 290 Limited Emissions Exemption additions

� NEW Rule 291 “De minimis” Emissions Exemption

� Rule 278 reminder

Exemption Changes/Additions

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Rule 285 – “Meaningful Change”

� Relatively small changes in permitted process equipment

� “Meaningful increase” and “Meaningful change” defined

• Increase in PTE or “hazard potential” of 10% or greater

• Causes an exceedance of a permit limit

� Policy and Procedure No. AQD-25

• Effective May 9, 2017

• Seven-step process to evaluate “meaningful change”

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Rule 290 – Emission Units with Limited Emissions

� Based on Actual Emissions

� Additional thresholds incorporated (Rule 290(2)(a)(ii)

• CO2 equivalent

• Mercury

• Lead

� Proper control equipment operation

• Temperature monitoring

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Rule 291 – Emission Units with “de minimis” emissions

� Based on Emission Unit Potential to Emit

• Criteria pollutants

• CO2 equivalent

• Various TACs and non-TACs

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Rule 291 Example – Emergency Diesel RICE Generator

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Rule 291 Example – Emergency Diesel RICE Generator

� Step 1: Calculate Potential to Emit

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Rule 291 Example – Emergency Diesel RICE Generator

PollutantRule 291 Threshold

(tpy)RICE PTE

(tpy)

PTE within Rule 291

Threshold?

CO2e 75,000 930 Yes

CO 10 4 Yes

NOx 10 7 Yes

SO2 10 0.01 Yes

VOC 5 0.5 Yes

PM 10 0.2 Yes

PM10 5 0.3 Yes

PM2.5 3 0.3 Yes

Total TACs 5 <1 Yes

Refer to R 336.1291 for complete criteria

� Step 2: Compare to Rule 291 Thresholds

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Rule 291 Example – Emergency Diesel RICE Generator

Pollutant CategoryRule 291 Threshold

(tpy)RICE PTE

(tpy)

PTE of all TACs with SLs ≥0.04

µg/m3 and <2 µg/m3 0.12 0.002

PTE of all TACs with SLs ≥0.005

µg/m3 and <0.04 µg/m3 0.06 0

PTE of all TACs with SLs

<0.005 µg/m3 0.006 0.0004

Refer to R 336.1291 for complete criteria

� Step 2: Compare to Rule 291 Thresholds

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Rule 291 Example – Emergency Diesel RICE Generator

• Step 3: Rule 278a and 278

• Include Project or activity

• Documentation of applicability

• Requirements under federal standards (NSPS, NESHAP)

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RMRR Policy for LFG-to-Energy Facilities

� Policy and Procedure No. AQD-23

• Effective June 10, 2016

• Rule 285(2)(a)(vi)

� RMRR as part of a Normal maintenance program

• Overhaul and repair activities

• Repairing or replacing components

• Replacing an engine with a “like-kind” engine

� Documentation requirements for equipment

� NSPS and NESHAP may be affected

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RMRR Policy for LFG-to-Energy Facilities

Exception to Policy and Procedure AQD-23:

� Catastrophic events

� Engine failures

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Exemptions

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Permitting Changes/Additions

� Rule 201(4) Permit void if project has not commenced within 18 months

� Change in RO an off-permit change (Rule 215(5))

• Life After ROP Updated (August 2017)

� Rule 208a rescinded

� Remove major source requirements based solely on GHGs

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Permitting Changes/Additions – Air Toxics

� Rule 232: Change to averaging time for certain ITSLs

Many ITSLs updated from 8-hour to 24-hour (less stringent)

Rule Applicability Citation

Rule 224 T-BACT

Does not apply to sources in compliance with Rule 702

Rule 224(2)(c)

New Exemption for certain clean-burning equipment

Rule 224(2)(d)

Rule 225 New Exemption for certain clean-burning equipment

Rule 226(e)

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New Exemption from Air Toxics Requirements

Applicability Criteria

NEW Air Toxics Exemption(Rule 224 and 226)

Variance: Suspension of Enforcement of Rule 225

Effective Dates

Effective December 20, 2016

Extended until June 12, 2018

Emission UnitsEngines, turbines,

boilers/process heatersFuel burning equipment

FuelsNatural Gas, Diesel fuel, or

BiodieselNatural Gas

Capacity ≤ 100 MMBtu/hr ≤ 50,000 cf/hr

Stack Requirements

1.5 x building heightVertical, unobstructed

1.5 x building heightVertical, unobstructed

Building Setback

Requirement≥ 100 feet from property line None

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Air PermittingDevelopmentsAir PermittingDevelopments

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MDEQ Responding to Recent U.S. EPA Comments

� The use of “Test Protocol”

� The lack of Reference Test Methods

� Practical Enforceability of Permit Limits

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Permit Language Revisions

� Recent changes and updates to Permit language:

• No longer using “Test Protocol”

• High level citation of reference test method

• Enhanced language for monitoring and recordkeeping

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Removal of “Test Protocol”

� Change applied to:

• ROP Applications and Renewals

• New Installations or Modifications (NSR)

• Administrative changes/corrections opening a permit

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Replacement of “Test Protocol”

� Averaging Time specified in place of “Test Protocol”

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Permit Implications

� How is Averaging Time selected?

Michigan Air Pollution Control Rule 205(1)(a):

The time period shall be set in accordance with the

applicable requirements…

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Permit Implications

� What are “the applicable requirements”?

• NAAQS or PSD Increment

• Air Toxics Health-Based Screening Level

• Opt-out Limit

• BACT

• Federal Standard (NSPS or NESHAP)

� What is my unit’s operational variation?

� What does future compliance look like?

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Reference Test Method Citation

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Planning for Permit Changes

� Emission Estimates

� Compliance Methodology (Test Method)

� Operational Flexibility

� Discussion and Review Time

� Consider Permit Cleanup Options if available

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Ozone Nonattainment DesignationsOzone Nonattainment Designations

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Ozone (O3) Formation

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Air Quality Designations for Ozone

� October 1, 2015 Ozone NAAQS revised to 70 ppb (8-hour)

� EPA designations due October 1, 2017

• June 6, 2017 – Deadline extended one year due to insufficient information

• August 2, 2017 – Extension withdrawn

� October 1, 2017 back on?

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Air Quality Designations for Ozone

� MDEQ Designation Recommendations (October 2016)

• Recommended nonattainment:

• West Michigan: Allegan, Berrien, Muskegon

• Southeast Michigan: Livingston, Macomb, Monroe, Oakland, St. Clair, Washtenaw, and Wayne

• U.P.: Schoolcraft County (tentative)

� 120 day letter

� Final Implementation Rule

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Designated Areas Not Attaining Ozone Standard

� Non-Attainment NSR Permitting

• Emission reduction Offsets

• LAER

• Alternative site analysis

• Sources in compliance

• Public involvement

� Challenges

• Standard very low

• Background impacts

• Transport

• Offsets

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Dispersion ModelingDispersion Modeling

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Policy and Procedure AQD-022

� Effective March 3, 1015

• Dispersion modeling

• Options to meet Stack Height Requirements

• Allowable emission rate of new or modified emission units

� Challenges Ongoing

• Reductions in emissions (net benefit) not recognized

• Qualitative option

• Short-term standards

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Appendix W to 40 CFR Part 51

� Guideline on Air Quality Models

• Revisions finalized October 20, 2016

• Federal Register January 17, 2017

• Effective date deferred to May 22, 2017

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Secondary Formation

� Ozone: NOx and VOC

� Secondary PM2.5: NOx and SO2

� Two-tiered demonstration approach (New Appendix W)

Tier 1: Use of relationships between emissions and ambient impacts (from existing models)

Tier 2: Sophisticated case-specific Chemical Transport Modeling

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Secondary Formation Challenges

� Tier 1: “MERPs”: Modeled Emission Rates for Precursors

• Guidance from EPA is still DRAFT

• Marquette, Montcalm, and Macomb

� EPA suggests use of SIL as “Critical Air Quality Threshold”

• Primary PM2.5 may exceed the SIL without considering secondary formation of PM2.5

• Ozone precursor thresholds

� Approved Modeling Protocol for PSD Projects

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Regulatory HorizonRegulatory Horizon

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� Modeling Guidance

� Ozone Nonattainment Designations

� CSAPR

� Clean Power Plan

� NSPS Subpart TTTT

Regulatory Horizon in Air Quality

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Future Changes/Modifications

� Peakers not a Listed Source Category

• New Sources have 250 tpy (PSD)

• Aggregation Consideration

� Changes to Major Sources “A2A” Analysis for Applicability

• Actual-to-Projected Actual

• Past Actuals may be Low

• Future Projected Emissions based on Business Plan

THANK YOUTHANK YOU