Challenge MACT/GACT. The Area Source

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1 em feature The Area Source by David Jordan and Thomas Rarick David Jordan, P.E. and Thomas Rarick, P.E. are Professional Engineers with Environmental Resources Management (ERM) in Carmel, Indiana. ERM is a leading global provider of environmental, health and safety, risk and social consulting services. dave.jordan@erm.com; tom.rarick@erm.com MACT/GACT Challenge Dozens of new federal rules, regulating over 180 Hazardous Air Pollutants for relatively small sources, present a new and unique challenge for the air pollution profession. 6 em september 2009 Copyright 2009 Air & Waste Management Association

2 Over the past two decades, a large number of federal regulations have been adopted to control Hazardous Air Pollutants (HAPs) originating from a wide range of source categories from the corner dry cleaner to petroleum refineries and steel mills. The majority of these standards apply to larger sources classified as major sources, although some older standards apply to smaller sources (classified as area sources ) for such categories as Halogenated Solvent Cleaning and Chrome Plating. Over the past three years, a significant number of new rules have been adopted that specifically apply to area sources, which, by definition, are any sources with HAP emissions that are not major sources. These new regulations will affect a large number of smaller facilities and for many of these facilities the rules will pose significant challenges. Sources will be called on to make significant efforts to quantify HAP emissions, implement new control measures or work practices, and perform additional compliance monitoring activities. Many area sources may find the requirements to determine emission levels and to meet various technical and administrative requirements a significant new challenge since many of these smaller sources have not faced the requirements of complex federal regulations in the past. Sources will be well served to get ahead of the curve by performing technical and strategic evaluations before final compliance dates arrive. Area Source Standards EPA has compiled a list of source categories for which area source air toxic standards are necessary and must promulgate Maximum Achievable Control Technology (MACT) or Generally Available Control Technology (GACT) standards for each of these categories. These standards are intended to address a group of area sources that collectively represent 90 percent of the area source emissions of the 30 most hazardous air pollutants that present the greatest threat to public health in the largest urban areas. EPA prepared a list of 70 area source categories for which it intended to develop a standard, and prepared a schedule by which each of these standards would be promulgated. In March of 2006, the court established a schedule for the adoption of 50 area source rules with the last to have been completed by June As of June, EPA has completed most of these standards. These are shown in Table 1 along with the Subpart designation, promulgation (Federal Register) date, final compliance date and construction date defining new versus existing source classification. General information on the lists of area sources can be found at Additional information on these standards along with links to the actual rules can be found at The deadline for the 15 area source standards listed below has been extended to October Agricultural Chemicals and Pesticides Manufacturing Cyclic Crude and Intermediate Production Industrial Inorganic Chemical Manufacturing Industrial Organic Chemical Manufacturing Inorganic Pigment Manufacturing Misc. Organic Chemical Manufacturing Pharmaceutical Production Plastic Materials and Resins Manufacturing Synthetic Rubber Prepared Feeds Chemical Preparation Asphalt Processing and Asphalt Roofing Manufacturing Paint and Allied Products Brick and Structural Clay Sewage Sludge Incineration The deadline for the promulgation of the area source standard for Industrial, Institutional and Commercial Boilers has been extended to July 15, 2010, which will complete the list of HAP standards for area sources. Content of Area Source Standards In identifying obligations under area source air toxic rules, there are several aspects of the rules to consider. The rules will include emission standards, control equipment specifications, and/or work practices. Sources that are subject to an area source MACT /GACT standard must assess their current ability to meet these standards and determine what additional steps will be required to fully comply. A source may be able to comply through the use of specific control devices (such as a baghouse) or may be able to comply through substitution of non-hap containing materials. The rules also contain specific monitoring requirements that in some EPA has compiled a list of source categories for which area source air toxic standards are necessary Copyright 2009 Air & Waste Management Association september 2009 em 7

3 Table 1. Promulgated Area Source MACT/GACT Standards (last 3 years) New Sources are Area Source MACT/ Part 63 Promulgation Final Compliance Date those Constructed or GACT Category Subpart Date for Existing Sources Reconstructed After Oil and Gas Production HH 1/3/2007 1/5/2009 or 1/4/2010 2/6/1998 or 7/8/2005 Stationary IC Engines ZZZZ 1/18/2008 1/18/2008 6/12/2006 Hospitals: Ethylene Oxide Sterilizers WWWWW 12/28/ /28/ /6/2006 Electric Arc Steelmaking Facilities YYYYY 12/28/2007 6/30/2008 9/20/2007 Iron and Steel Foundries ZZZZZ 1/2/2008 1/2/2011 9/17/2007 Gasoline Distribution Bulk Terminals, Bulk Plants, and Pipeline Facilities BBBBBB 1/10/2008 1/10/ /9/2006 Gasoline Dispensing Facilities CCCCCC 1/10/2008 1/10/ /9/2006 Polyvinyl Chloride and Co-polymers Production DDDDDD 1/23/2007 1/23/ /6/2006 Primary Copper Smelting EEEEEE 1/23/2007 1/23/ /6/2006 Secondary Copper Smelters FFFFFF 1/23/2007 1/23/ /6/2006 Primary Non-Ferrous Metals: Zinc, Cadmium, and Beryllium GGGGGG 1/23/2007 1/23/ /6/2006 Paint Stripping and Miscellaneous Surface Coating HHHHHH 1/9/2008 1/10/2011 9/17/2007 Acrylic/Modacrylic Fiber LLLLLL 7/16/2007 1/16/2008 4/4/2007 Carbon Black Production MMMMMM 7/16/2007 7/16/2007 4/4/2007 Chromium Compounds NNNNNN 7/16/2007 1/16/2008 4/4/2007 Flexible Polyurethane Foam Production and Fabrication OOOOOO 7/16/2007 7/16/2008 4/4/2007 Lead Acid Battery Manufacture PPPPPP 7/16/2007 7/16/2008 4/4/2007 Wood Preserving QQQQQQ 7/16/2007 7/16/2008 4/4/2007 Clay Ceramics Manufacturing RRRRRR 12/26/ /26/2007 9/20/2007 Glass Manufacturing SSSSSS 12/26/ /26/2009 9/20/2007 Secondary Non- Ferrous Metals Processing TTTTTT 12/26/ /26/2007 9/20/2007 Plating and Polishing WWWWWW 7/1/2008 7/1/2011 3/14/2008 Metal Fabrication and Finishing Processes XXXXXX 7/25/2008 7/25/2010 4/3/2008 Ferroalloys Production YYYYYY 12/23/ /23/2011 9/14/2008 Aluminum, Copper, And Other Nonferrous Foundries ZZZZZZ 6/25/2009 6/27/2011 2/9/ em september 2009 Copyright 2009 Air & Waste Management Association

4 cases will require the installation of monitoring devices. The rules may also require ongoing collection and recording of monitoring data. In some instances, the rules will require the preparation of compliance plans and or material use certifications. Lastly, after compliance dates are passed, the rules will typically require the submittal of a compliance status report and additional periodic reports to document ongoing compliance. Many of the area source rules cover source categories which correspond to standards adopted for major HAP sources. However, the level of control, the requirements for monitoring, and even the HAPs regulated may be different. For example, the major source rule for most surface coating categories regulates the organic HAP content of the coatings, whereas the area source rule does not. The area source rule for surface coating instead regulates metallic HAPs contained in the particulate matter from spray painting operations if the surface coatings contain metallic HAPs above specified threshold levels. Deadlines One of the first obligations for sources subject to these rules is the requirement to file an initial notice to the regulatory agencies (both EPA and the state or local air agencies) indicating that the rule does in fact apply to the source. While some rules do not require an initial notification, many do and the deadlines range from 120 days to three years after the rule is published. Deadlines for compliance with the rules range from the date the rule is published for standards that do not contain requirements for existing sources, and up to three years after the rule is promulgated for categories that contain substantive requirements for a source category. The final deadlines for the area source rules adopted in the past three years are shown in Table 1. This is the final deadline and many of the standards contain earlier interim deadlines for some requirements of the rules. than for existing sources. New sources must normally comply with the requirements of the rules either by the promulgation date for the rule if construction occurred prior to that date, or at the time of startup if constructed after the promulgation date. Table 1 includes the promulgation date and the new source construction date for the various area source standards. Impacts on Permits If a source has a Title V air operating permit, the area source MACT/GACT standards will be incorporated into the permit. If a source does not have a Title V permit, in most cases being subject to an area source rule will not require a source to obtain a Title V permit. Instead, the area source rule requirements will likely be incorporated into the source s operating permit by the state or local control agency. Preparing for MACT/GACT In order to be prepared to meet these various requirements under the MACT/GACT program, sources should develop accurate emissions inventories for various HAP emitting processes. These inventories will serve to both meet some of the application and reporting requirements for HAPs, but more importantly they will provide the basis for showing that the facility is indeed an area rather than a major source. These inventories also provide the source with information on the types of activities which have the potential to emit HAPs. Once a source has identified the activities which have HAP emissions, the list of area source standards (both promulgated and proposed) should be reviewed to identify activities that may be covered by a MACT/GACT standard. It will not always be The date used in establishing whether a source is a new or existing source is the date the standard was proposed and not the date the standard is published final. It is common for the rules to contain more stringent standards for new affected sources Copyright 2009 Air & Waste Management Association september 2009 em 9

5 Sources should determine the specific deadlines that will apply to them. readily apparent from the source category title as to whether the activity is regulated under the standard or not. For example, Subpart XXXXXX contains requirements for Nine Metal Fabrication and Finishing Source Categories, which could conceivably cover a wide variety of activities. One must review the rule to identify the nine source categories which are regulated under the standard, the specific activities at these sources which are regulated, the definition of metal fabrication or finishing HAP (MFHAP) (which defines the HAPs which are regulated under this standard), and the definition of material containing MFHAP (which defines the content of HAPs in metal being processed which triggers applicability). While many of these new area source standards do not have specific lower thresholds, there are specific exemptions and applicability criteria that may allow sources to either avoid the requirements of the new rules or limit the scope of those requirements. Sources may want to assess the ability to use alternate materials rather than meet control requirements of the area source rules. Often by eliminating HAPs from a process, sources can realize cost saving and reduce their regulatory burden, and most importantly have a positive impact on the environment. As noted in the example for metal fabrication or finishing operations discussed above, the elimination of a HAP from the metal being processed or a reduction in its content below the applicability level of the rule can eliminate a potentially regulated activity from the standard. Sources should determine the specific deadlines that will apply to them, including deadlines for filing notifications, deadlines for meeting emissions standards, work practices, etc., and deadlines for compliance testing and reporting. Based on these deadlines, sources should establish milestones for procurement and installation of equipment, material changes and compliance system changes. Some sources will need to assess the potential applicability of more than one standard and will need to have identified the specific compliance deadlines associated with each of the standards. Sources subject to standards will also need to conduct careful evaluations of their current compliance status and evaluate compliance options including the Interim Executive Director Appointed The Air & Waste Management Association (A&WMA) is pleased to announce that Past President Bob Hall ( ) will serve as interim executive director of the Association after Adrianne Carolla s resignation, which was effective August 14, Bob, a Charter Member of the U.S. Environmental Protection Agency (EPA), retired from his position in January Bob s executive responsibilities at EPA, his distinguished engineering career, and his 40 years of dedicated service to A&WMA make him a qualified candidate to carry out the mission of the Association during the search for a new executive director. Adrianne made many significant contributions during her 17 years with the Association. We wish her all the best in her future endeavors. use of improved control measures. Lastly, sources will need to include the MACT compliance obligations in their compliance management plans. Sources that make these preparations in a timely and effective manner should be able to meet the MACT challenge. Summary Area source standards for HAPs cover a wide range of activities at sources which may not be accustomed to dealing with the complexities of such standards. While in many cases the applicable standards may simply require work practices which are not overly burdensome, the source must still be aware of these requirements to ensure that proper compliance measures are in place, proper notifications are filed, and compliance monitoring, record keeping, and reporting measures are in place. em 10 em september 2009 Copyright 2009 Air & Waste Management Association