Workshop A. Wednesday, July 19, p.m. to 2:30 p.m.

Transcription

1 Workshop A Air Permitting Invaluable Guidance on the Decision-Making Process to Determine What Type of Permit Action to Take for a New Project or Modification Wednesday, July 19, p.m. to 2:30 p.m.

2 Biographical Information Robert F. Hodanbosi, Chief, Division of Air Pollution Control Ohio EPA, Lazarus Government Center, 50 West Town Street, Columbus, OH Fax: Bob Hodanbosi became chief of the Division of Air Pollution Control (DAPC), Ohio Environmental Protection Agency (Ohio EPA) in September His current duties include being responsible for the air pollution control program for the state of Ohio and development of the programs needed to comply with the Clean Air Act Amendments. In 2004, Bob was selected to represent state permitting authorities on the Title V Permit Performance Task Force that was formed by the U.S. EPA's Clean Air Act Advisory Committee. Bob has also had the opportunity to testify at U.S. House and Senate committees on Clean Air Act implications for facilities in Ohio. From May 1987 to September 1992, his position was assistant chief of DAPC and manager of the Air Quality Modeling and Planning Section, DAPC, Ohio EPA. From April 1978 to May 1987, as manager of the Air Quality Modeling and Planning Section, his main duties included: development of the technical support for air pollution control regulations for criteria air pollutants; atmospheric dispersion modeling; air quality designations under Section 107 of the Clean Air Act and, development of new source review procedures. Since the 1980's, Bob has represented Ohio EPA on the Ohio Coal Development Office, Technical Advisory Committee. From January 1977 to April 1978, his position was supervisor of the Environmental Assessment Unit, DAPC, Ohio EPA. The main responsibilities of this position involved the supervising of all air quality evaluation and atmospheric dispersion modeling activities for DAPC. From June 1973 to December 1976, he held a position in the Northeast District Office/Engineering Services Section, DAPC, Ohio EPA. The main function of this position involved the engineering review of air pollution permit applications. Bob is a member of the American Institute of Chemical Engineers and Air & Waste Management Association, and is registered as a Professional Engineer in the state of Ohio. Bob has lectured extensively on topics relating to the requirements under the Clean Air Act and the controls needed to meet air quality standards. Bob received his Master's of Science degree in Chemical Engineering at the Cleveland State University in 1977, and a Bachelor in Chemical Engineering at the Cleveland State University in In addition, he completed post-graduate courses in fluid mechanics and turbulence at the Ohio State University. Amanda Jennings, Managing Consultant, Trinity Consultants 110 Polaris Parkway, Suite 200, Westerville, Ohio Fax: Ms. Jennings is a Managing Consultant in Trinity s Columbus, Ohio, office and provides air quality support for various industries in Ohio, including but not limited to, petroleum refining/distribution, chemical manufacturing, surface coating, asphalt processing/shingle manufacturing, and fiberglass and foam insulation manufacturing. She has completed numerous projects over her 12 years of consulting experience ranging from minor and major source state construction permit to install (PTI) or permits to install and operate (PTIO) applications, Fee Emissions Reports (FERs), emissions inventories, Toxic Release Inventory Reports (TRIs), Title V operating permit renewal and modification applications, MACT and GACT general consulting/compliance assistance, and regulatory applicability analyses. Ms. Jennings graduated from Ohio University with a Bachelor of Science Degree in Chemical Engineering.

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4 Bob Hodanbosi Chief, Division of Air Pollution Control Ohio EPA July 19, 2017

5 Type of permit General permits NAAQS Status Planning Ahead Public Participation Resources

6 A corporate vice-president comes to your facility to announce that the company is investing several million dollars at the plant for increased production Being the facility EHS contact, you are given the responsibility to obtain the necessary approvals What steps should you be taking? What questions should you be asking?

7 What kind of project is discussed new source changes to existing equipment production will increase, but will emissions? Develop plan on how to address regulatory requirements

8 Gather as much information on type and quantity of air emissions existing/future Find out projected construction schedule Contact control equipment suppliers, if needed

9 Determine if permit is needed and the type of permit that may be most appropriate for your situation. Make sure exemptions, permit-by-rule and general permits are reviewed

10 Identify all activities, processes, and air contaminant sources that are part of the project. Will emissions from related operations increase? Will any processes or equipment be shutdown? Will any equipment be substantially modified or reconstructed? Is the project part of a larger project that will be phased over time?

11 Determine potential emissions and/or emission increases from the project Critical step calculate the emission levels from a project for major New Source Review applicability will determine what regulatory path must be taken for permit Potential to emit (PTE) means the maximum capacity of an emissions unit or stationary source to emit an air pollutant under its physical and operational design

12 Depending on PTE levels May trigger major new source review Prevention of Significant Deterioration/ Nonattainment NSR May need operating restrictions to become synthetic minor Determine attainment status with National Ambient Air Quality Standards (NAAQS) for major NSR purposes

13 Pollutant Primary Source Attainment Status Carbon Monoxide cars and trucks Attainment Nitrogen Oxides any type of combustion, utilities, industrial boilers, vehicles Attainment Lead individual industrial facilities Isolated non-attainment Sulfur Dioxide coal fired power plants Isolated non-attainment Ozone Particulate Matter sources of NOx and hydrocarbons, including cars, trucks, utility boilers, painting operations, refineries coal fired boilers, cement plants, steel making operations Attainment for 2008 standard - Columbus, Cincinnati, and Cleveland areas likely nonattainment for 2015 standard Lorain/Cuyahoga Counties (12.0 ug/m 3 ) nonattainment

14 Sulfur Dioxide Nonattainment areas Lead Non-Attainment Areas

15 Implementation Timeline Ohio Recommended Non-attainment areas 8-hour standard 0.70 ppm (avg. of 4 th high over 3-yrs) Placed on Hold while US EPA completes review October 1, 2017 US EPA finalizes non-attainment areas. Effective date ~ December 1, Attainment demonstration due December Ohio s areas should be marginal non-attainment (attainment date- December 2020

16 Identify any existing air permits that may be impacted by the project. May need a PTI/PTIO modification Identify any permit exemptions. Identify any new emissions units that will need air permits. Will the new emission units fall under the NSPS or NESHAPS? Look at general permit list

17 General permits can reduce turnaround time Source categories covered: Aggregate Processing Boilers Diesel Engines (Compression Ignition Internal Combustion Engine) Digester Operations Dry Cleaning Operation Mineral Extraction Miscellaneous Metal Parts and Products Coating Lines

18 Source categories covered: Natural Gas Compressor Stations (New) Oil and Gas Well-site Production Operations Paved and Unpaved Roadways and Parking Areas Paved Roadways and Parking Areas Ready Mix Concrete Batch Plants Storage Piles Tub Grinder

19 All of the GPs have qualifying criteria - outlines exactly the type of source that has the general permit issued. Need to review all of the terms and conditions to ensure that the facility can operate within the developed terms and conditions GPs should be processed within 45 days from submittal GP is voluntary if operation cannot meet specified conditions, then apply for the standard PTIO

20 Steps to obtain an Ohio EPA air permit Contact the local air agency/district office to discuss the proposed project and air contaminant sources. Complete and submit a PTI/PTIO application - When to submit application depends on scope of project

21 Steps to obtain an Ohio EPA air permit Application is reviewed for completeness within 14 days submit any missing information and/or documentation promptly. Local office determines if project/sources will comply with applicable regulations, drafts permit terms and conditions

22 Steps to obtain an Ohio EPA air permit: Local office sends permit recommendation to Ohio EPA Central Office for review, approval, and issuance. Permit may be issued as draft (30-day public comment period) or as a final PTI/PTIO. Issuance of final PTI/PTIO allows you to begin construction and start operation.

23 The district office/local air agency will work with you to meet your needed timeframe..but need to be realistic Minor source in most cases about 2 months Synthetic minor must be issued as draft usually about 4 months after a completed application Major sources we try for 6 months after complete application maybe longer depending on the complexity of permit

24 For major sources a draft permit with 30 day public comment period is needed. For a synthetic minor source - a draft with 30 day comment period is also needed. For controversial sources

25 When Ohio EPA knows that there is significant public interest and there will be several requests for a hearing for example, any facility that is proposing to burn municipal solid waste in some way For other controversial sources Hearing must be scheduled at least 30 days in advance- so combined with draft can delay permit issuance Sometimes facility requests that the public hearing be held at the beginning of comment period so as not to lose time.

26 Call/ your permit contact at the district office/local air agency about your project and permit plans. Identify project timeframes and permitting expectations with local air agency and Ohio EPA in advance. Include supporting information for rule applicability decisions or emission estimates in the permit application. Ensure that the design and capacity of the equipment or process you are planning to install accurately reflects what will be installed.

27 Promptly answer follow-up questions or requests for more information from Ohio EPA. Monitor the progress of your permit application review. Request to see drafted permit terms from the district office/local air agency before they are sent to Ohio EPA Central Office for review and issuance. Submit comments during public comment period if a draft is issued. Consider scheduling a public hearing for time-sensitive projects.

28 Communication!

29 Yes. Activities not associated with construction of the new source. OAC Rule Activities that are not considered construction Site preparation knocking down old buildings, putting in temporary roadways, temporary utilities, installing temporary storage for construction equipment, excavation for test borings

30 Can I progress further on the source? In some cases - Yes. OAC Rule Can do additional work with minor sources Must be a true minor source Additional activities can be completed, but sources must not be operational before the permit is issued for example, final wiring or plumbing is not connected, last piece of equipment on source is not put in place, etc. All work completed is at the company s risk

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32 Not holding onto old permits monitoring monthly Need to work out issues with district/local air agency office Will be shipping back permits sooner than past practices if information does not arrive in a timely manner

33 Construction Permits remain priority for agency Ohio EPA specifically focused on resolving some of the older permits Goal is to have no construction permits older than 180 days have made progress but not yet reached goal May 2015 had 40 late pending permits>180 days; May 2016 there were 20 permits: July 2017 there were 9 permits In 2015, average permit issuance time was 80 days, in 2016 the average was 77 days, in 2017 the average is currently 68 days

34 The permit workload is continually reviewed Permit applications may be assigned to a different district office or local air agency as needed. Continuing to utilize the rush list to help meet company goals Company contacts Mike Hopkins (person in charge of permitting) ask to be put on rush list Helps us know about timing needs of company for important permits Makes sure staff are aware of the timing needs and whether additional staff is needed for processing permit Helps ensure permit issuance meets company requirements Can be paired with periodic biweekly calls to monitor progress on permit review

35 Local Air Agencies Map

36 Contact district office or local air agency for questions related to the permit If you need help completing the application and are a small business, the Office of Compliance Assurance and Pollution Prevention can assist - (800)

37 Bob Hodanbosi

38 Session A. Air Permitting Invaluable Guidance on the Decision-Making Process to Determine What Type of Permit Action to Take for a New Project or Modification Robert Hodanbosi, Chief, Ohio EPA DAPC Amanda Jennings, Managing Consultant, Trinity July 19, 2017 Columbus, Ohio

39 Overview Summary of permit triggers & permit exemptions Examples: Common changes that trigger permitting evaluations Temporary Sources/Changes Process Changes Debottlenecking Practice the steps needed to evaluate permit applicability

40 Ohio Permit Hierarchy Exemptions Permits-by-Rule (PBRs) Express PTIs/PTIOs General PTIs/PTIOs PTI/PTIO Synthetic minor PTIs & federally enforceable PTIOs (FEPTIOs) PTI with Federal NSR PSD Offset Permit (NANSR) Title V operating permits Minor New Source Review (NSR) Major NSR

41 When is a PTI Required? (A)(1)(a): no person shall cause, permit, or allow the installation or modification of any new source that is, or will be, part of a facility that is required to obtain a Title V permit without first obtaining a permit-to-install from the director PTIs are issued to Title V facilities

42 When is a PTIO Required? (A)(1)(b): no person shall cause, permit, or allow the installation or modification, and subsequent operation of any new source that is not required to obtain a Title V permit without first obtaining a PTIO from the director PTIOs are issued to non-title V facilities

43 PTI/PTIO Exemptions What new/modified air contaminant source does NOT require a PTI/PTIO: De minimis exemption in OAC Emissions-based exemption ( 10 lb/day) Categorical exemptions in OAC (B)* Equipment-based exemptions Permit-by-Rule (PBR) in OAC (C) Equipment-based exemptions Is there an exemption for temporary sources in Ohio?

44 Example 1 Temporary Cooling Tower The cooling tower needs maintenance and will be down for a few weeks. We need a temporary cooling tower, so operation will not be interrupted. 1) PBR does not cover cooling towers. 2) Categorical Exemption cooling tower is not in the list 3) De minimis maybe!

45 PTI/PTIO Exemptions OAC (B) - de minimis exemption based on Potential to Emit (PTE) Potential to Emit ten lbs/day any air contaminant Doesn t apply if: A CAA or SIP regulation limits unit to (or restricts operation in a manner equivalent to a limit of) less than ten lbs/day (e.g., MACT, GACT, NSPS, SIP) The source alone or in combination with similar sources at the facility has potential emissions >twenty-five tpy Total HAP potential emissions >one tpy

46 Key De Minimis Source Terms Potential-to-emit the amount of emissions of an air contaminant which would be emitted from a source during a twenty-four hour calendar day or calendar year basis, whichever is applicable, if that source were operated without the use of air pollution control equipment unless such control equipment is, aside from air pollution control requirements, necessary for the facility to produce its normal product or is integral to the normal operation of the source. Potential emissions shall be based on maximum rated capacity. [ (A)]

47 PTI/PTIO Exemptions OAC (D) - de minimis exemption based on actual emissions Actual emissions ten lbs/day any air contaminant Allows for accounting of air pollution control equipment Same exclusions Must maintain records see OAC (E)

48 Example 1 Temporary Cooling Tower Check daily PTE against the 10 lb/day threshold: Check for regulatory applicability OAC would not likely limit emissions to below the de minimis threshold What s next? Document applicability of exemption for the record Install and operate immediately Update analysis when process changes occur

49 Example 2 Temporary Boiler The boiler needs maintenance and will be down for a few weeks. We need a temporary boiler, so operation will not be interrupted. 1) De minimis not likely; too much NOX and CO 2) Categorical Exemption no, probably too big (>10 MMBtu/hr) 3) Permit by Rule (PBR) maybe!

50 Permits-by-Rule (PBRs) Exempts certain types of units from formal permit application process OAC (C) PBR categories Emergency electrical generators >50 hp Resin injection/compression molding equipment Nonmetallic mineral processing plants Soil-vapor & soil-liquid extraction remediation activities Auto body refinishing facilities Gasoline dispensing facilities (Stage I & Stage I/II controls) Natural gas fired boilers & heaters MMBtu/hr Small & mid-size printing facilities Unpaved roadways 12,000 < ft 2 < 30,000 Paved roadways 45,000 < ft 2 < 90,000

51 Example 2 Temporary Boiler What do we have to do? Make sure it qualifies for PBR MMBtu/hr; designed to fire natural gas only Low NO X burners needed (>50 MMBtu/hr) Submit a PBR notification form Install and operate upon submitting the form! Formal permit will not be issued Review regulatory applicability, including: NSPS Dc recordkeeping PBR recordkeeping Boiler MACT (if major source of HAP) Need fuel oil capability? General Model Boiler PTI may the next fastest option

52 Example 3 Temporary Engines We have to power wash some process equipment during a maintenance turnaround. A contractor is bringing in several diesel fired internal combustion engines (ICE). 1) De minimis not likely; too much NO X and CO 2) PBR planned maintenance is not an emergency 3) Categorical Exemption what is a nonroad engine? OAC (B)(1)(qq) exempts non-road engines

53 Stationary v. Nonroad Engine Nonroad ICE includes any ICE that is in or on a piece of equipment that is portable or transportable Designed to be moved, e.g., on wheels or skids, trailer, etc. And actually is moved routinely Portability is moot if it remains [in service] at a location (building, structure, facility, or installation) for more than 12 consecutive months or for seasonal sources, for the entire season (3 months or more) for at least 2 years A temporary engine/purpose is not stationary if the engine does not remain in the location for more than 12 months See caveats

54 Temporary Exemption Two Big Caveats 1. Replacing one temporary engine with another to be used for the same purpose does not restart the 12-month clock The 12-month clock applies to the location and purpose, not a particular engine 2. An engine to be used temporarily in place of a stationary engine (e.g., while it is being overhauled) is considered a stationary engine The location and purpose is stationary even if it consists of more than one engine over time

55 Example 3 Temporary Engines Engines will meet non-road exemption. What do I do next? Document permit applicability analysis for record Install and operate immediately Make sure the engines do not stay onsite for more than 12 months! Normally, a third step would include a regulatory applicability analysis, but Non-road engines are not stationary sources Exempt from federal engine rules NSPS IIII/JJJJ and MACT ZZZZ

56 Example 4 New Product Trial Customer has new product specifications, requiring a new raw material. Operations aren t sure existing process line can make the product to spec (without testing), and a permit VOC lb/hr limit cannot accommodate the change. We need to run a product trial. 1) De minimis, PBR, Categorical Exemption Do not apply; source already has a permit! 2) What about a Director s Exemption?

57 PTI/PTIO Exemptions OAC (B) Permanent exemptions (B)(1) equipment specific e.g., Boilers & heaters 10 MMBtu/hr Federal exemptions (B)(2) e.g., remediation or clean up activities Discretionary exemptions (B)(3) require a request to the Director of Ohio EPA e.g., emergency situations, temporary feasibility testing

58 Example 4 New Product Trial OAC (B)(3)(f): At the director's discretion, and in writing, the director may exempt the temporary modification and operation of an air contaminant source from the requirements to obtain a permit-to-install or PTIO for a period of up to sixty days for the purpose of evaluating new production feasibility or air quality impacts from the temporary modification.

59 Example 4 New Product Trial Submit, in writing, a request containing: description of the proposed temporary modification the time period, any changes in air emissions, and the ambient impact of the emissions. Expect approval no sooner than 14 days after submittal Must be approved by Director s Office The director may require performance tests be conducted during the period of the temporary modification

60 Example 5 Process Change A PTIO allows you to load product into trucks and is controlled by a dust collector. The company wants to add capability to load railcars as well using the same control device. Do you need a permit modification to make this change? What is the definition of modification with respect to my permit?

61 Modification Modification Any physical change or change in the method of operation of any air contaminant source that does one or more of the following: Results in an increase in allowable emissions Results in an increase in emissions greater than the de minimis levels of a air contaminant not previously emitted Is a major modification for NSR (PSD or NANSR) Is a modification under NSPS or NESHAP (40 CFR 61) regulations

62 Modification What is a physical change or change in the method of operation? These terms are not defined. Some examples of physical changes include: Installation of new emissions generating equipment (including tanks and conveyors) Installation of equipment that may result in increased utilization (and therefore emissions) of upstream or downstream emission units (for major sources) Physical alterations or changes to existing emissions generating equipment Replacements to components of existing emission units and/or air pollution control devices

63 Modification Some examples of operational changes include: Changing the standard operating procedures for a process unit or production line that affect how raw materials are used, how fuels are combusted, how products are made, or what may be emitted Changing raw materials or the characteristics of raw materials used Changes in type of fuel fired or characteristics of fuels fired How does your facility identify physical and operational changes before they occur? What to look for: Increases in short-term production capacity Increases in utilization/decreases in downtime (for major sources) New/different raw materials or new products

64 Example 5 Process Change What questions do we ask? 1) How does this impact the potential to emit of the existing emissions unit? [allowable to allowable comparison] Will the hourly capacity increase? Capacity of new loading operation Can rail loading occur simultaneous with existing truck loading Can the existing control device handle the new operation? 2) What does my permit say now? Can you live with existing operational restrictions Does it prohibit operations other than truck loading? 3) Are any new regulations triggered by the change? Are you changing the source definition?

65 Example 6 Debottlenecking At a major source, a reactor is designed/permitted to make 5 batches per day. The operators have made an average of 4 batches per day since installation. The process engineers have found a new catalyst that will allow the operators to decrease batch time so that they can make 5 batches per day. Reactor Product Storage Tank Can I trigger a modification if the reactor is already permitted at capacity? Loading Rack

66 Modification Modification Any physical change or change in the method of operation of any air contaminant source that does one or more of the following: Results in an increase in allowable emissions Results in an increase in emissions greater than the de minimis levels of a air contaminant not previously emitted Is a major modification for NSR (PSD or NANSR) Is a modification under NSPS or NESHAP (40 CFR 61) regulations What about those actual increases in utilization or decreases in downtime?

67 Allowable vs. Actual Emission Increases Ohio minor source permitting requirements (minor source permitting and air dispersion modeling) applicability is determined on an allowable to allowable emissions increase basis Emissions increase = Allowable or Potential Emissions (post-project) Allowable or Potential Emissions (pre-project) This is unlike major source permitting (PSD and NANSR) applicability analyses, which are based on increases in actual emissions Emissions increase = Projected Actual or Potential Emissions (postproject) Baseline Actual Emissions (pre-project)

68 Example 6 Debottlenecking What questions do we ask? 1) What other impacts do I have to consider? Increasing actual batches at the reactor will increase actual throughput at the product storage tank and loading rack 2) What are the actual emission increases due to the project? What are the past actual emissions for existing emission units? Consider reactor + loading rack + storage tank Past actuals would represent 4 batches/day What are the future potential or projected actual emissions after the change? Consider reactor + loading rack + storage tank Projected actual emissions would represent 5 batches/day

69 Example 6 Debottlenecking What are the next steps? Determine your increase in actual emission and compare to major source significant emission rates e.g., 40 tpy for VOC Submit a permit application or document nonapplicability for your records Move forward with the change if permitting is not triggered Determine whether reasonable possibility recordkeeping is triggered in OAC Are your projected emission increases >50% of the significant emission rate?

70 Best Practices Understand and be a part of the Management of Change process Be prepared to ask the right questions Plan ahead

71 Questions? Amanda Jennings 110 Polaris Parkway, Suite 200 Westerville, OH (614) (phone) (614) (fax)