Air Pollution Control BoardOctober 1, 2008
Thomas W. Easterly, P.E., DEE, QEP Commissioner, Indiana Department of
Environmental Management
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US Courts Overturning Rules• 2007—Industrial, Commercial and Institutional
(ICI) Boiler MACT—directly impacted about 10 sources with coal fired boilers
• May 2008—Clean Air Mercury Rule (CAMR) impacted all power plants
• July 2008—Clean Air Interstate Rule (CAIR) impacted all power plants and most Indiana air pollution strategies
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Boiler MACT
• IDEM is seeking guidance and direction from U.S. EPA on how to handle Clean Air Act 112g and 112j requirements for these sources
• U.S. EPA has sent 114 letters to Indiana sources requesting information regarding their combustion sources
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CAMR• EPA has until October 17 to appeal this decision• Indiana’s Attorney General’s Office has issued an
opinion that Indiana’s CAMR rule cannot be enforced due to its reliance on the trading program
• No immediate action is necessary in order to meet federal rule or requirements pertaining to mercury
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Clean Air Interstate Rule• While the Court has issued an opinion vacating
EPA’s regulations, the Court has not issued a “mandate” so EPA’s CAIR rule currently remains in effect
• As long as EPA’s CAIR rule remains in effect, IDEM’s CAIR regulations can be enforced
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Clean Air Interstate Rule• On September 24,
– EPA, – the Natural Resources Defense Council, – the Environmental Defense Fund, and – the National Mining Association
asked the court to reconsider its vacature of CAIR
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CAIRIndiana’s CAIR Rule Addressed Four Issues:
– Indiana’s impact on out of state ozone and fine particle nonattainment areas, meeting the Clear Air Act SIP requirements of 110(a)(2)(D) for Indiana
– It served as the backbone for Indiana’s attainment and maintenance strategy for the ozone and fine particle standards
– It met the reasonably available control technology (RACT) requirements for electric generating units (EGUs) located in ozone and fine particle nonattainment areas
– Indiana’s contribution to Class 1 areas for regional haze purposes, by serving as best available retrofit technology (BART) for EGUs
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CAIR-ContinuedWhy does Indiana need to take action now?
– Improve air quality in the interest of public health– Meet past due and upcoming federal requirements.
• Provide for an approvable 110(a)(2)(D) SIP to address interstate transport and reduce likelihood of Section 126 action against Indiana and sources within
• Provide for approvable attainment, rate of progress, and RACT SIPs for the annual PM 2.5 standard
– SIPs were due on April 5, 2008 and Indiana could be placed on a sanction clock by close of 2008
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CAIR-Continued
Why does Indiana need to take action now?• Provide for approvable regional haze SIP and
address BART requirements for EGUs –SIPs were due December 2007
• Assist Indiana in meeting annual and 24-hour PM 2.5 standards, as well as the new ozone standard
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CAIR-ContinuedWhat does Indiana intend to do?
Reinstate the NOx SIP Call– Present an emergency rule to the Air Pollution Control Board to:
• remove the sunset language from 326 IAC 10-4-16, and• repeal the CAIR ozone season program at 326 IAC 24-3
reinstating the NOx SIP Call program for 2009 and beyond– Publish Section 7 notice (a limited policy alternative rulemaking
under IC 13-14-9-7) by December 2008 to have rule in place prior emergency rule expiring
– Cap and trade program managed by U.S. EPA
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CAIR-ContinuedWhat does Indiana intend to do?
Establish an Emergency Indiana Clean Air Replacement Rule
– Present an emergency rule to the Air Pollution Control Board to establish NOx and SO2 annual allowance budgets at the unit level based on what a unit would have received in conjunction with Phase I of the vacated CAIR rule
– Repeal annual NOx and SO2 programs at 326 IAC 24-1 and 24-2 (Indiana’s CAIR rule)
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CAIR-ContinuedWhat does Indiana intend to do?
Establish an Emergency Indiana Clean Air Replacement Rule
– The emergency rule will have an effective date that coincides with, or is contingent upon, the issuance of the mandate
– The emergency rule will provide an array of flexibility options
– Allowance budgets established for 2009 and 2010– Include an “out” clause should a more stringent
federal program be established
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CAIR-ContinuedWhat does Indiana intend to do?
Establish a Permanent Indiana Clean Air Replacement Rule
– Present a rule to the Air Pollution Control Board to establish NOx and SO2 annual allowance budgets at the unit level into the future
• Phase I will be defined as years 2009 through 2014• Phase II will be defined as 2015 and beyond
– Establish mechanism for retirement of SO2 credits
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CAIR-ContinuedWhat does Indiana intend to do?
Establish a Permanent Indiana Clean Air Replacement Rule
– The rule will provide an array of flexibility options– Include an “out” clause should a more stringent
federal program be established– Publish first notice by the end of the year (2008)
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CAIR-ContinuedWhat does Indiana intend to do?
Potential Flexibility Options
– Source-wide and intrastate system emissions averaging for units operated under common ownership
– Multi-year emissions averaging plan or compliance order. Both of these would be in the form of a binding agreement
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CAIR-ContinuedWhat does Indiana intend to do?
Potential Flexibility Options– Intrastate and interstate emission trading program
through agreements with sources in Indiana or other states to use their emission credits
– An Indiana certification statement would be required to ensure reductions attained elsewhere are:• Realized in conjunction with a specified baseline
within an eligible state• Not used as credits to satisfy a separate legal or
regulatory obligation
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Closing Remarks and Questions
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Preliminary Ozone Season Summary Report
Air Pollution Control BoardOctober 1, 2008
Daniel Murray, Assistant CommissionerIndiana Department of Environmental Management
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*2008 monitoring data is preliminary and not yet fully quality assured.
Statewide Average 8-Hour Ozone Annual 4th High*
0.060
0.065
0.070
0.075
0.080
0.085
0.090
0.095
0.100
0.105
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Year
part
s pe
r m
illio
n
Statewide Monitors
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Statewide 90 Degree Days vs 8-Hour Exceedance Days
(Based on Standard of .085 ppm)
0
50
100
150
200
250
300
2000 2001 2002 2003 2004 2005 2006 2007 2008
Num
ber
of D
ays
Number of 8-Hour Exceedance Days Number of 90 Degree Days
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Current Status of 8-Hour Ozone
NonattainmentAreas through 2008
Lawrenceburg TwnShp
0.070
0.070
0.070
0.070
0.093
0.074
0.077
0.081
0.071
0.071
0.0770.079
0.0780.069
0.077
0.077
0.075
0.076
0.073
0.078
0.072
0.072
0.075
0.073
0.076
0.078
0.071
0.078
0.065
0.065
0.072
0.072
0.073
0.075
0.062
0.069
0.0720.074
0.0690.076
0.0730.073
0.073
Cass Co, MI
Hamilton Co, OH
Allen
Jay
Lake
Knox
Vigo
White
Jasper
Cass
Clay
Laporte
Pike
Rush
Parke
Grant
Greene
Perry
Ripley
Clark
Noble
Gibson
Porter
Wells
Posey
Elkhart
Owen
Henry
Boone
Miami
Jackson
Putnam
Dubois
Shelby
Pulaski Fulton
Marion
Wayne
Clinton
Sullivan
Harrison
BentonCarroll
Daviess Martin
Orange
Kosciusko
Monroe
Morgan
Madison
Newton
Marshall
Warrick
Wabash
Warren
Brown
DeKalb
Franklin
Adams
Starke
Spencer
Decatur
Randolph
Lawrence
Whitley
Fountain
Hamilton
Washington
St. Joseph
TippecanoeTipton
Jennings
Delaware
Hendricks
Lagrange
Montgomery
Jefferson
Steuben
Howard
Johnson
Scott
Huntington
Hancock
Crawford
DearbornBartholomew
Fayette Union
Floyd
Switzerland
Ohio
Blackford
Vermillion
Vanderburgh
Clark Co, IL
Hamilton
Ozone Standard at 0.085 ppmBased on 2006 - 2008 Ozone Design Values
Legend
Values posted are in units of ppm
Values Under the Standard of 0.085 ppm
Values Over the Standard of 0.085 ppm
Designated attainment
Designated nonattainment
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New 8-Hour Ozone Standard at 0.075 ppm
Designation Status based on 2006-2008 monitoring data
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Summary● Ground-level ozone air quality continues to improve throughout the State of Indiana.
● All air quality monitoring sites were below the current 8-Hour Ozone National Ambient Air Quality Standard (85 parts per billion) during the 2008 ozone monitoring season.
● Only twelve counties possess a three-year design value (2006 – 2008) above the new 8-Hour ozone standard. This is a significant improvement compared to 2005-2007, when twenty-five counties maintained three-year design values above the standard. However, further improvements are necessary.
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