National Emission Standards for Hazardous Air Pollutants for Source Categories From Oil and Natural Gas Production Facilities, 26-43 [E6-22413]
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Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
TABLE 3.—EPA APPROVED KNOX COUNTY, REGULATIONS
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Definitions ...............................
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22.0 ..........................................
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Regulation of Fugitive Dust
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[FR Doc. E6–22482 Filed 12–29–06; 8:45 am]
BILLING CODE 6560–50–P
ENVIRONMENTAL PROTECTION
AGENCY
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general provision in the regulation to
allow the use of an ASTM standard as
an alternative test method to EPA
Method 18 in the National Emission
Standards for Hazardous Air Pollutants
From Oil and Natural Gas Production
Facilities.
This final rule is effective on
January 3, 2007. The incorporation by
reference of certain publications listed
in these rules is approved by the
Director of the Federal Register as of
January 3, 2007.
ADDRESSES: EPA has established a
docket for this action under Docket ID
No. EPA–HQ–OAR–2004–0238. All
documents in the docket are listed
either on the www.regulations.gov Web
site or in the legacy docket, A–94–04.
Although listed in the index, some
information is not publicly available,
e.g., confidential business information
or other information whose disclosure is
restricted by statute. Certain other
material, such as copyrighted material,
is not placed on the Internet and will be
publicly available only in hard copy
form. Publicly available docket
materials are available either
electronically through
www.regulations.gov or in hard copy at
the Air and Radiation Docket, EPA
West, Room B–102, 1301 Constitution
Ave., NW., Washington, DC. The Public
Reading Room is open from 8:30 a.m. to
4:30 p.m., Monday through Friday,
excluding legal holidays. The telephone
number for the Public Reading Room is
DATES:
40 CFR Part 63
[EPA–HQ–OAR–2004–0238; FRL–8264–1]
RIN 2060-AM16
National Emission Standards for
Hazardous Air Pollutants for Source
Categories From Oil and Natural Gas
Production Facilities
Environmental Protection
Agency (EPA).
ACTION: Final rule.
AGENCY:
SUMMARY: This action promulgates
national emission standards for
hazardous air pollutants to regulate
hazardous air pollutant emissions from
oil and natural gas production facilities
that are area sources. The final national
emission standards for hazardous air
pollutants for major sources was
promulgated on June 17, 1999, but final
action with respect to area sources was
deferred. Oil and natural gas production
is identified in the Urban Air Toxics
Strategy as an area source category for
regulation under section 112(c)(3) of the
Clean Air Act because of benzene
emissions from triethylene glycol
dehydration units located at such
facilities. This final rule also amends a
Category
NAICS Code*
Industry .............
211111, 211112
Explanation
*
*
(202) 566–1744, and the telephone
number for the Air and Radiation
Docket is (202) 566–1742. Note: The
EPA Docket Center suffered damage due
to flooding during the last week of June
2006. The Docket Center is continuing
to operate. However, during the
cleanup, there will be temporary
changes to Docket Center telephone
numbers, addresses, and hours of
operation for people who wish to make
hand deliveries or visit the Public
Reading Room to view documents.
Consult EPA’s Federal Register notice at
71 FR 38147 (July 5, 2006) or the EPA
Web site at https://www.epa.gov/
epahome/dockets.htm for current
information on docket operations,
locations, and telephone numbers. The
Docket Center’s mailing address for U.S.
mail and the procedure for submitting
comments to www.regulations.gov are
not affected by the flooding and will
remain the same.
Greg
Nizich, Office of Air Quality Planning
and Standards, Sector Policies and
Programs Division, Coatings and
Chemicals Group (E143–01),
Environmental Protection Agency,
Research Triangle Park, NC 27711;
telephone number: (919) 541–3078; fax
number: (919) 541–0246; e-mail address:
nizich.greg@epa.gov.
FOR FURTHER INFORMATION CONTACT:
Regulated
Entities. Entities potentially affected by
this final rule include, but are not
limited to, the following:
SUPPLEMENTARY INFORMATION:
Examples of regulated entities
Condensate tank batteries, glycol dehydration units, and natural gas processing plants.
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* North American Industry Classification System.
This table is not intended to be
exhaustive, but rather provides a guide
for readers regarding entities likely to be
regulated by this action. To determine
whether your facility would be
regulated by this action, you should
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examine the applicability criteria in 40
CFR part 63, subpart HH, National
Emissions Standards for Hazardous Air
Pollutants From Oil and Natural Gas
Production Facilities. If you have any
questions regarding the applicability of
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this action to a particular entity, consult
the person listed in the preceding FOR
FURTHER INFORMATION CONTACT section.
Worldwide Web (WWW). In addition
to being available in the docket, an
electronic copy of this final rule is also
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available on the Worldwide Web
(WWW) through the Technology
Transfer Network (TTN). Following the
Administrator’s signature, a copy of this
final rule will be posted on the TTN’s
policy and guidance page for newly
proposed or promulgated rules at https://
www.epa.gov/ttn/oarpg/. The TTN
provides information and technology
exchange in various areas of air
pollution control.
Judicial Review. Under section
307(b)(1) of the Clean Air Act (CAA),
judicial review of this final rule is
available by filing a petition for review
in the United States Court of Appeals
for the District of Columbia Circuit by
March 5, 2007. Only those objections to
this final rule that were raised with
reasonable specificity during the period
for public comment may be raised
during judicial review. Under section
307(b)(2) of the CAA, the requirements
that are the subject of this final rule may
not be challenged later in civil or
criminal proceedings brought by EPA to
enforce these requirements.
Section 307(d)(7)(B) of the CAA
further provides a mechanism for us to
convene a proceeding for
reconsideration, ‘‘[i]f the person raising
an objection can demonstrate to the EPA
that it was impracticable to raise such
objection within [the period for public
comment] or if the grounds for such
objection arose after the period for
public comment (but within the time
specified for judicial review) and if such
objection is of central relevance to the
outcome of the rule.’’ Any person
seeking to make such a demonstration to
us should submit a Petition for
Reconsideration to the Office of the
Administrator, U.S. EPA, Room 3000,
Ariel Rios Building, 1200 Pennsylvania
Ave., NW., Washington, DC 20460, with
a copy to both the person(s) listed in the
preceding FOR FURTHER INFORMATION
CONTACT section, and the Associate
General Counsel for the Air and
Radiation Law Office, Office of General
Counsel (Mail Code 2344A), U.S. EPA,
1200 Pennsylvania Ave., NW.,
Washington, DC 20460.
Organization of this Document. The
information presented in this preamble
is organized as follows:
I. Background Information
A. What is the statutory authority for this
final rule?
B. What criteria are used in the
development of area source standards?
C. How was this final rule developed?
II. Summary of This Final Rule
A. What source categories are affected by
this final rule?
B. What is the affected source?
C. What pollutants are emitted and
controlled?
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D. Does this final rule apply to me?
E. What are the emission limitations and
work practice standards?
F. What are the testing and initial
compliance requirements?
G. What are the continuous compliance
requirements?
III. Significant Changes Since Proposal
A. Compliance Dates
B. Applicability Requirements
C. Startup, Shutdown, and Malfunction
Requirements
IV. Responses To Significant Comments
A. What geographic applicability criteria is
being used in this final rule?
B. What urban definition is being used in
this final rule?
C. What are the requirements for remote/
unmanned sources?
V. Impacts of This Final Rule
A. What Are The Air Impacts?
B. What Are The Cost Impacts?
C. What Are The Economic Impacts?
D. What Are The Non-Air Environmental
and Energy Impacts?
VI. Statutory and Executive Order Reviews
A. Executive Order 12866: Regulatory
Planning and Review
B. Paperwork Reduction Act
C. Regulatory Flexibility Act
D. Unfunded Mandates Reform Act of 1995
E. Executive Order 13132: Federalism
F. Executive Order 13175: Consultation
and Coordination With Indian Tribal
Governments
G. Executive Order 13045: Protection of
Children From Environmental Health
Risks and Safety Risks
H. Executive Order 13211: Actions
Concerning Regulations That
Significantly Affect Energy Supply,
Distribution, or Use
I. National Technology Transfer and
Advancement Act
J. Congressional Review Act
I. Background Information
A. What is the statutory authority for
this final rule?
Sections 112(c)(3) and 112(k)(3)(B) of
the CAA instruct us to identify not less
than 30 hazardous air pollutants (HAP)
which, as a result of emissions from area
sources,1 present the greatest threat to
public health in the largest number of
urban areas, and to list sufficient source
categories or subcategories to ensure
that 90 percent of the emissions of the
listed HAP (area source HAP) are
subject to regulation. CAA Section
112(c)(3) requires us to regulate these
listed area source categories under CAA
section 112(d). Section 112(d)(5) of the
CAA provides us with the discretion to
1 Under section 112(a) of the CAA, an area source
is a stationary source that is not a major source. A
major source, as defined under section 112(a) of the
CAA, is a stationary source or a group of stationary
sources located within a contiguous area and under
common control that emits or has the potential to
emit considering controls, in the aggregate, 10 tons
per year or more of any HAP or 25 tons per year
or more of any combination of HAP.
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set standards for area sources according
to generally available control
technologies (GACT) or management
practices in lieu of maximum achievable
control technologies (MACT). Unlike
MACT, there is no prescription in CAA
section 112(d)(5) that standards for
existing sources must, at a minimum, be
set at the level of emission reduction
achieved by the best performing 12
percent of existing sources, or that
standards for new sources be set at the
level of emission reduction achieved in
practice by the best controlled similar
source. The legislative history suggests
that standards under CAA section
112(d)(5) should ‘‘[reflect] application of
generally available control technology—
that is, methods, practices, and
techniques which are commercially
available and appropriate for
application by the sources in the
category considering economic impacts
and the technical capabilities of the
firms to operate and maintain the
emissions control systems.’’ SEN. REP.
NO. 101–228, at 171 (1989). Thus, by
contrast to MACT, CAA section
112(d)(5) allows us to consider various
factors in determining the appropriate
standard for a given area source
category.
B. What criteria are used in the
development of area source standards?
We are issuing standards for this area
source category under CAA section
112(d)(5), in lieu of a MACT standard.
There are factors relevant to this area
source category that warrant our
consideration, and we can properly
assess those factors under section
112(d)(5) of the CAA. For example, the
locations of oil and natural gas
production sources are dictated by the
locations of the relevant natural
resources rather than a need to serve a
particular population center. In
addition, these sources do not typically
require on-site operators and are usually
not manned by large staff, if manned at
all. Given the unique nature of these
sources, many of these sources are
located in remote areas. We believe that
a CAA section 112(d)(5) standard is
appropriate because it would allow us
to adequately address these and other
relevant factors, including costs, in
promulgating these national emission
standards for hazardous air pollutants
(NESHAP).
C. How was this final rule developed?
We initially proposed NESHAP for
the Oil and Natural Gas Production
source category on February 6, 1998 (63
FR 6288) that addressed both major and
area source oil and natural gas
production facilities. CAA Section
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112(c)(3) authorizes us to list for
regulation an area source category
‘‘which the Administrator finds present
a threat of adverse effects to human
health or the environment * * *
warranting regulation.’’ In the 1998
proposed NESHAP, we proposed to
regulate this area source category
pursuant to CAA section 112(c)(3) due
to the risks from exposure to benzene
emissions from triethylene glycol (TEG)
dehydration units at these area sources.
Public comments were solicited at the
time of the proposal. We received 29
comment letters on the proposed area
source standards. On June 17, 1999, we
promulgated the NESHAP for major
sources of oil and natural gas
production (64 FR 32610) but did not
finalize either the 1998 proposed listing
of this area source category for
regulation or the proposed area source
standards. Instead, on July 19, 1999, we
published the Urban Air Toxics Strategy
(Strategy) (64 FR 38706, July 19, 1999).
The Strategy included benzene as one of
the 30 listed area source HAP under
CAA section 112(k)(3)(B)(i). The
Strategy also listed oil and natural gas
production for regulation under CAA
section 112(k)(3)(B)(ii) because TEG
dehydration units at oil and natural gas
production facilities contributed
approximately 47 percent of the
national urban benzene emissions from
area sources. On July 8, 2005 (70 FR
39443), we published a supplemental
proposal to the 1998 proposed area
source standards. The 60-day comment
period ended on September 6, 2005, and
we received 18 comment letters on the
supplemental proposal. Today’s final
rule reflects our consideration of all of
the comments received on both the 1998
and 2005 proposed standards for area
sources of oil and natural gas
production.
II. Summary of This Final Rule
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A. What source categories are affected
by this final rule?
This final rule affects area source oil
and natural gas production facilities. An
oil and natural gas production facility
processes, upgrades, or stores (1)
hydrocarbon liquids (with the exception
of those facilities that exclusively
handle black oil) to the point of custody
transfer and (2) natural gas from the
well up to and including the natural gas
processing plant.
B. What is the affected source?
In this final rule, the affected source
is defined as each TEG dehydration unit
located at an area source oil and natural
gas production facility. Other types of
dehydration units or other emission
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points (e.g., equipment leaks) at area
source oil and natural gas production
facilities are not a part of the affected
source.
C. What pollutants are emitted and
controlled?
The primary HAP associated with oil
and natural gas production facilities
include benzene, toluene, ethylbenzene,
and mixed xylenes and n-hexane. Only
benzene is listed under CAA section
112(k)(3)(B)(i) as one of the 30 area
source HAP. Benzene is classified as a
known human carcinogen based on
convincing human evidence (such as
observed increases in the incidence of
leukemia in exposed workers), as well
as supporting evidence from animal
studies. In addition, short-term
inhalation of high benzene levels may
cause nervous system effects such as
drowsiness, dizziness, headaches, and
unconsciousness in humans. At even
higher concentrations of benzene,
exposure may cause death, while lower
concentrations may irritate the skin,
eyes, and upper respiratory tract. Longterm inhalation exposure to benzene
may cause various disorders of the
blood and toxicity to the immune
system. Reproductive disorders in
women, as well as developmental
effects in animals, have also been
reported for benzene exposure.
Benzene emissions from TEG
dehydration units at oil and natural gas
production facilities contributed
approximately 47 percent of the
nationwide urban area source benzene
emissions. Accordingly, this final rule
regulates benzene emissions from TEG
dehydration units at area source oil and
natural gas production facilities.
D. Does this final rule apply to me?
You are subject to emissions
reduction requirements in this final rule
if you own or operate a TEG
dehydration unit with an actual annual
average natural gas flow rate equal to or
greater than 85 thousand standard cubic
meters per day (thousand m3/day) (3
million standard cubic feet per day
(MMSCF/D)), and with benzene
emissions equal to or greater than 0.90
Megagrams per year (Mg/yr) (1.0 ton per
year (tpy)).
E. What are the emission limitations
and work practice standards?
We created three subcategories of
sources in this final rule. We created a
subcategory of TEG dehydration units
with either an annual average natural
gas flowrate less than 85 thousand m3/
day (3 MMSCF/D) or benzene emissions
less than 0.90 Mg/yr (1.0 tpy). As
explained in the supplemental proposed
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rule, we determined that GACT is no
control for these sources. We did not
receive any comments on this
determination.
As for those TEG dehydration units
with an annual average natural gas flow
rate equal to or greater than 85 thousand
m3/day (3 MMSCF/D) and benzene
emissions equal to or greater than 0.90
Mg/yr (1.0 tpy), we subcategorized these
units based on their locations with
regard to areas of higher population
densities. In evaluating population
density, we started with the U.S. Census
Bureau terms of ‘‘urbanized area’’ and
‘‘urban cluster.’’ Upon evaluating the
characteristics of this area source
category, we define areas of higher
population densities to be urbanized
areas (UA),2 urban clusters (UC) 3 that
contain 10,000 people or more,4 and the
area located two miles 5 or less from
each UA boundary. For ease of
reference, this final rule refers to these
areas as ‘‘UA plus offset and UC.’’ As
mentioned above, UA and UC are terms
used by the United States Census
Bureau to identify densely settled areas.
Among other Census Bureau criteria, an
UA has a population of at least 50,000
people, and an UC has a population of
at least 2,500, but less than 50,000
people.
For those area source TEG
dehydration units with natural gas
throughput and benzene emission rates
above the cutoff levels described above
that are located within the UA plus
offset and UC boundary, we are
requiring, pursuant to CAA section
112(d)(5), that each such unit be
connected, through a closed vent
system, to one or more emission control
devices. The control devices must: (1)
Reduce HAP emissions by 95 percent or
more (generally by a condenser with a
2 Urbanized area (UA) refers to Census 2000
Urbanized Area, which is defined in the Urban
Area Criteria for Census 2000, 67 FR 11663, 11667
(March 15, 2002). Essentially, an UA consists of
densely settled territory with a population of at
least 50,000 people.
3 Urban cluster (UC) refers to Census 2000 Urban
Cluster, which is defined in the Urban Area Criteria
for Census 2000, 67 FR 11667. Essentially, an UC
consists of densely settled territory with at least
2,500 people, but fewer than 50,000 people.
4 This final rule does not cover all UC areas, but
only those UC areas that contain 10,000 people or
more, which are used to construct Census 2000
core-based statistical areas (65 FR 82233).
5 We determined the 2-mile offset distance by
reviewing maps of different UA areas and
measuring the distance across the largest pockets or
holes within the UA footprint. Since our
evaluations showed that the largest distance was
just under 4 miles across, we decided to use one
half of that distance, i.e., 2 miles, as the offset
distance. This would ensure that any sources
located within a pocket or hole would be controlled
as part of the UA source-group. Since we did not
find the presence of holes in UC’s, no offset is
provided.
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LOPT = 1.15 ∗ 3.0
gal TEG F ∗ ( I − O )
∗
lb H 2 O 24 hr/day
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Where:
LOPT = Optimal circulation rate, gal/hr.
F = Gas flowrate (MMSCF/D).
I = Inlet water content (lb/MMSCF), and
O = Outlet water content (lb/MMSCF).
The constant 3.0 gal TEG/lb H2O is
the industry accepted rule of thumb for
a TEG-to-water ratio. The constant 1.15
is an adjustment factor included for a
margin of safety.
We decided to subcategorize in the
manner described above for several
reasons. We received a number of
comments on both the 1998 and 2005
proposals that this source category
contains many sources that are located
in remote areas. Our understanding of
this area source category is consistent
with the comment on the remoteness of
the locations of many of these sources.
We recognize that the oil and natural
gas production source category is
unique compared to many other area
source categories in that the location of
these sources is dictated by the location
of the relevant natural resources rather
than a need to serve a particular
population center. In addition, sources
in this category do not typically require
on-site operators and are usually not
manned by large staff, if manned at all.
As previously mentioned, we believe
that the standards need to be tailored to
appropriately address these unique
circumstances.
In conducting our analysis, we
compared the impacts of applying the
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add-on control requirement described
above to TEG dehydration units
nationwide to the impacts of only
applying the requirement to units
located in areas of high population
densities (i.e., within the UA plus offset
and UC boundary).6 Applying the addon control to the estimated 2,222 TEG
dehydration units nationwide would
result in approximately 13,400 tpy of
HAP (4,020 tpy of benzene) emission
reduction. We estimate that these 2,222
TEG dehydration units are located in
States with a combined population of 92
million people.7 The annual cost for this
option was estimated to be $39 million.
We then evaluated the impacts of
applying the add-on control
requirement to only those TEG
dehydration units located within UA
plus offset and UC boundaries. We
estimated 50 TEG dehydration units in
this area with a combined population of
80 million people. This scenario would
result in a 300 tpy HAP (90 tpy of
benzene) emission reduction and an
annual cost of compliance of $883
thousand. Thus, extending the add-on
control requirement to sources outside
the UA plus offset and UC boundaries
would result in an additional annual
cost exceeding $38 million in an area
with a combined population of 12
million people. This analysis showed
that the overall cost of controlling units
outside UA plus offset and UC
boundaries was much higher for a lower
population.
Since the areas located outside UA
plus offset and UC boundaries are
sparsely populated compared to those
inside UA plus offset and UC
boundaries, we do not believe the
additional cost associated with
extending the add-on control
requirement to sources in this area is
justified. Under this final rule, the addon control requirement applies only to
sources located within the UA plus
offset and UC boundaries. Section
112(d)(5) of the CAA authorizes us to set
standards for area sources that provide
for the use of generally available
management practices by sources to
reduce HAP emissions. Pursuant to
CAA section 112(d)(5), we have
prescribed a management practice for
6 Because we have determined that GACT is no
control for units below the natural gas throughput
and benzene emission threshold, we only
considered the impacts of sources above the
thresholds.
7 We are using an approach by which we are
evaluating the affected TEG dehydration units
relative to the populations contained in the top 13
natural gas producing States (Texas, New Mexico,
Oklahoma, Wyoming, Louisiana, Colorado, Alaska,
Kansas, California, Utah, Michigan, Alabama, and
Mississippi). This approach is consistent with that
used in the July 2005 proposal (70 FR 39446).
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sources located outside the UA plus
offset and UC boundaries. We have
determined that adjusting the TEG
circulation rate is an appropriate
management practice for several
reasons. First, by lowering the TEG
circulation rate, the amount of glycol
that comes in contact with the natural
gas is reduced, thereby lowering the
amount of HAP (e.g., benzene) that is
absorbed by the glycol and subsequently
emitted through the reboiler vent when
the glycol is regenerated. We estimate
that the HAP emissions reduction is
approximately 7,600 tpy (2,400 tpy of
benzene) for the approximately 2,172
sources located outside UA plus offset
and UC boundaries. Second, reducing
the TEG circulation rate has the added
benefit of reducing natural gas losses.
Natural gas is also absorbed by the TEG,
and subsequently emitted through the
reboiler vent. The amount of natural gas
vented is directly proportional to the
TEG circulation rate. Lowering the TEG
circulation rate has a direct impact on
the amount of natural gas lost. Third,
optimizing the TEG circulation rate can
be achieved without sacrificing the
performance of the TEG dehydration
unit. Fourth, this process variable does
not require the presence of an on-site
operator to maintain and, thus, would
be an achievable option for unmanned
sources. Finally, the TEG circulation
rate can be optimized for minimal
capital cost (e.g., a new pump may be
required) and could result in an annual
cost savings due to the reduction of the
natural gas losses. Therefore, this final
rule requires each TEG dehydration unit
at area source oil and natural gas
production facilities located outside of
UA plus offset and UC boundaries to
reduce emissions by optimizing the TEG
circulation rate.
F. What are the testing and initial
compliance requirements?
To demonstrate that the actual annual
average natural gas flowrate of your TEG
dehydration unit is less than 85
thousand m3/day (3 MMSCF/D), this
final rule specifies that you must
determine the natural gas flow rate
using either a flow measurement device
or another method approved by the
Administrator. To demonstrate that your
TEG dehydration unit emits less than
0.90 Mg/yr (1.0 tpy) of benzene, this
final rule specifies that you must
determine its emissions using either
GRI–GLYCalcTM, Version 3.0 or higher,
or direct measurement.
For TEG dehydration units that have
an actual annual average natural gas
flowrate and benzene emission rate at or
above the cut-off levels mentioned
above and are located within the UA
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flash tank); or (2) reduce HAP emissions
to an outlet concentration of 20 parts
per million by volume (ppmv) or less
(for combustion devices); or (3) reduce
benzene emissions to a level less than
0.90 Mg/yr (1.0 tpy). As an alternative
to complying with these control
requirements, pollution prevention
measures such as process modifications
or combinations of process
modifications and one or more control
devices that reduce the amount of HAP
generated, are allowed provided that
they achieve the same required emission
reductions.
For those area source TEG
dehydration units with natural gas
throughput and benzene emission rates
above the cutoff levels described above
that are located outside of UA plus
offset and UC boundaries, we are
requiring, pursuant to CAA section
112(d)(5), that each unit reduce
emissions by lowering the glycol
circulation rate to be less than or equal
to an optimum rate. The optimum rate
is determined by the following equation:
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plus offset and UC boundaries, the
source must submit Notification of
Compliance Status Reports, inspect/test
the closed-vent system and control
device(s), and establish monitoring
parameter values. If the unit is above the
cut-offs and located outside the UA plus
offset and UC boundaries, the source
only has to submit an Initial
Notification which must include a
certified statement of future compliance.
We are finalizing the change proposed
in the July 8, 2005 notice to allow
ASTM D6420–99 (2004) as an
alternative where EPA Method 18 is
specified. The General Provisions of 40
CFR part 63 will be amended to
incorporate the approved method by
reference for 40 CFR part 63, subpart
HH. See section VI.J. for further
discussion.
G. What are the continuous compliance
requirements?
Area sources within UA plus offset
and UC boundaries are required to
submit periodic reports on an annual
basis, instead of semiannually, as is
required for major sources. Continuous
compliance requirements include
submitting periodic reports, conducting
annual inspections of closed-vent
systems, repairing leaks and defects,
For an affected source located
in a county we classified as
* * *
conducting the required monitoring,
and maintaining the required records.
As described in the 1998 proposal and
the 2005 proposal, these monitoring,
recordkeeping, and reporting
requirements are the same as those
required for major sources except for the
frequency of submittal for periodic
reports. Sources outside the UA plus
offset and UC boundaries must maintain
a record of the circulation rate
determination.
III. Significant Changes Since Proposal
A. Compliance Dates
The compliance date provisions for
existing sources in this final rule differ
from the two proposed rules in two
respects. First, because we have added
a management practice requirement to
this final rule, we included a 2-year
compliance deadline for existing
sources subject to this requirement. The
management practice requirement
would require, at most, that a source
install a new glycol pump to optimize
the TEG circulation rate. We believe that
2 years is a sufficient length of time in
which to install and operate the glycol
pump at the optimum circulation rate.
We considered making the compliance
deadline 1 year, however we decided
that given the estimated 2,172 sources
where the
source was
constructed/reconstruct-ed
* * *
and is located * * *
(a) Urban-1 based on 2000
census data,
within any UA plus offset and UC boundary,
(b) Urban-1 based on 2000
census data,
Not within any UA plus offset and UC boundary,
(c) Urban-1 based on 2000
census data,
either within or outside any UA plus offset
and UC boundary,
(d) Not Urban-1 based on
2000 census data,
(e) Not Urban-1 based on
2000 census data,
(f) Not Urban-1 based on 2000
census data,
within any UA plus offset and UC boundary,
Not within any UA plus offset and UC boundary,
Either within or outside any UA plus offset
and UC boundary,
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B. Applicability Requirements
Whereas the proposed rules proposed
applying the add-on control
requirement either nationally or only to
TEG dehydration units at sources
located in ‘‘urban’’ counties, this final
rule applies this requirement to: Units at
area sources located within a UA plus
offset and UC boundary, which is
described in section II.E above. Units at
8 Both the 1998 and 2005 proposed rules
provided definitions for ‘‘Urban-1’’ and ‘‘Urban-2.’’
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before February 6,
1998,
before February 6,
1998,
on or after
February 6,
1998,
before July 8,
2005,
before July 8,
2005,
on or after July
8, 2005,
required to implement this management
practice, a 2-year compliance period
was more appropriate.
Second, we use the date of the 1998
proposed rule for defining existing and
new sources in ‘‘Urban-1’’ counties
only. In the 2005 supplemental
proposal, we used the date of the 1998
proposed rule to define new and
existing sources in both Urban-1 and
‘‘Urban-2’’ counties, because we had
proposed to regulate sources in these
counties in the 1998 proposed rule.8
Since then, we concluded that defining
existing and new sources in Urban-2
counties based on the date of the 1998
proposed rule would be inappropriate
because the 1998 proposed rule
contained an inaccurate definition for
Urban-2 and, therefore, did not provide
adequate notice to sources in Urban-2
counties. Accordingly, this final rule
uses the date of the 1998 proposal for
defining existing and new sources in
Urban-1 counties only. For sources in
areas other than Urban-1 counties, this
final rule determines existing and new
sources based on the date of the 2005
supplemental proposal.
Table 1 of this preamble presents
compliance dates for existing and new
sources for this final rule.
then the
source is
* * *
and the compliance date for
that source would be * * *
Existing ........
January 4, 2010.
Existing ........
January 5, 2009.
New .............
January 3, 2007 or startup,
whichever is later.
Existing .......
January 4, 2010.
Existing ........
January 5, 2009.
New .............
January 3, 2007 or startup,
whichever is later.
area sources not located within the UA
plus offset and UC boundaries must
implement the prescribed management
practices (i.e., adjust TEG circulation
rate) for operation of the TEG
dehydration unit. Guidance is available
on the Internet at https://www.epa.gov/
ttn/atw/oilgas/oilgaspg.html to assist in
determining your location relative to a
UA plus offset and UC boundary, or you
can access the Bureau of Census Web
site at https://factfinder.census.gov to
generate a map based on the location of
your TEG dehydration unit and
calculate the location relative to the
nearest UA plus offset and UC
boundaries.
However, we did not accurately define ‘‘Urban-2’’
in the 1998 proposed rule. The definition for
‘‘Urban-2’’ was corrected in the 2005 supplemental
proposed rule.
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C. Startup, Shutdown, and Malfunction
Requirements
This final rule follows the
requirements of the General Provisions
(40 CFR part 63, subpart A) regarding
startup, shutdown, and malfunction
(SSM) events. Because this final rule
only requires area sources within UA
plus offset and UC boundaries to have
add-on control, only sources within the
UA plus offset and UC boundaries are
subject to the General Provisions
regarding SSM.
IV. Responses to Significant Comments
Our responses to all of the significant
public comments on both proposals are
presented in the Response to Comments
Document which is available in Docket
No. EPA–HQ–OAR–2004–0238.
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A. What Geographic Applicability
Criteria is Being Used in this final rule?
Comment: We proposed two options
for the geographic applicability criteria:
(1) all TEG dehydration units would be
subject to area source standards
(hereinafter referred to as ‘‘Option 1’’);
and (2) area source standards would
apply to TEG dehydration units located
in Urban-1 and Urban-2 counties
(hereinafter referred to as ‘‘Option 2’’).
We received comments objecting to
Option 1 for primarily two reasons: (1)
EPA does not have the authority to
regulate rural sources under the CAA;
and (2) regulation of rural or remote
sources is not warranted due to low
exposure risks.
The commenters stated that
nationwide applicability is contrary to
the plain language of the CAA,
specifically section 112(k). According to
the commenters, CAA section 112(k) is
designed to address those smaller
sources of HAP that create unacceptable
exposures in concentrated urban areas;
remote, small, or sparsely populated
rural areas, where many dehydrators are
located, are therefore not within the
scope of CAA section 112(k)(1). Several
commenters stated that there is no clear
indication that emissions from remote
sources provide a meaningful
contribution to ambient air toxic levels
in urban areas; therefore, regulating
rural sources would not have the effect
intended by the CAA.
We also received comments objecting
to Option 1 asserting that exposure risks
from facilities located in rural or remote
areas are low or nonexistent. One
commenter stressed that the foundation
for the area source program was based
on regulating area sources in a manner
that would result in a public health
benefit. The commenter stated that
regulating dehydration units in rural
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areas, which are sparsely populated,
would not yield the same public health
benefits that were ‘‘contemplated’’ by
the statute.
Response: We believe that the CAA
provides the Agency with the authority
to regulate area sources nationwide.
CAA section 112(k)(1) states that ‘‘It is
the purpose of this subsection to
achieve a substantial reduction in
emissions of hazardous air pollutants
from area sources and an equivalent
reduction in the public health risks
associated with such sources including
a reduction of not less than 75 per
centum in the incidence of cancer
attributable to emissions from such
sources.’’ Consistent with this expressed
purpose of CAA section 112(k) to reduce
both emissions and risks, CAA section
112(k)(3)(i) requires that we list not less
than 30 HAP that, as a result of
emissions from area sources, present the
greatest threat to public health in the
largest number of urban areas. CAA
sections 112(c)(3) and (k)(3)(ii) require
that we list area source categories that
represent not less than 90 percent of the
area source emissions of each of the
listed HAP. CAA section 112(c) requires
that we issue standards for listed
categories under CAA section 112(d).
These relevant statutory provisions
authorize us to regulate listed area
source categories and not just sources
located in urban areas.
In both the UATS and our July 8, 2005
supplemental proposal, we identified
the reasons supporting a national rule
(e.g., benzene’s toxicity and
carcinogenicity, a level playing field,
the 75 percent cancer incidence
reduction goal) (64 FR 38724 and 70 FR
39446). Furthermore, by requiring
management practices rather than
control requirements on sources outside
the UA plus offset and UC boundaries,
we believe that we have appropriately
addressed commenters’ concern with
respect to remote sources being subject
to unnecessary or costly requirements.
B. What urban definition is being used
in this final rule?
Comment: Several commenters
opposed EPA’s definition of ‘‘urban
areas.’’ According to the commenters, by
defining urban areas as county-wide
areas, EPA has expanded urban areas to
include large expanses of rural
territories. One commenter stated that a
comparison of land area to population
on a county basis shows that the target
population for protection is very thinly
distributed. Four commenters referred
to maps noting that the maps show vast
areas of the United States that would be
classified as urban areas based on the
proposed definition, but have very low
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31
population. The commenters
specifically referred to the State of
Wyoming, in which half of the State is
classified as ‘‘urban’’ using EPA’s
proposed definition. One commenter
also pointed out that in Utah, six of the
12 counties designated as urban using
EPA’s definition have a population
density of less than ten persons per
square mile.
Other commenters stated that some
counties with a total population of less
than 5,000, and an average population
density of less than two people per
square mile, would be classified as
urban under the Urban-2 designation. In
order to illustrate the broad
geographical applicability that includes
remote locations, the commenters stated
that, based on the Urban-2 definition,
urban designations would be applied to:
• 14 of 23 counties in Wyoming;
• 20 of 33 counties in New Mexico;
• 10 or 17 counties in Nevada; and
• 17 of 56 counties in Montana.
One commenter stated that EPA’s
proposed definition of urban areas
would be unnecessarily costly and
burdensome on sites located in rural or
remote areas, but classified as urban.
One commenter acknowledged that
there has been, and will continue to be,
instances of energy production and
population encroachment. However,
according to the commenter, most of the
known conventional or unconventional
gas supply basins are likely to remain
rural for the foreseeable future.
Response: The statute does not define
urban, thus, leaving us the discretion to
define the term. We proposed and took
comments on our definition of the term
urban as part of our 1999 UATS. The
definition was the basis for the listing of
area source categories pursuant to
section 112(c)(3) and (k)(3)(B)(ii) of the
CAA. We are currently under courtordered deadlines to complete issuing
standards for all listed area source
categories. Changing the definition of
urban would mean recreating an area
source category list, which may differ
significantly from the current list and,
thus, greatly hinders our effort to
complete our obligation by the courtordered deadlines. Therefore, we
believe that revisiting the definition of
urban is inappropriate at this time.
However, we have tailored this rule to
address the unique circumstances
associated with this source category, as
described above. Moreover, in response
to comments regarding the nature of
remote sources, we modified this final
rule and are only requiring the add-on
control requirement for sources in areas
of higher population densities, which
we have identified as areas within the
UA plus offset and UC boundaries. This
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Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
rule imposes the less costly
management practice requirements on
sources outside the UA plus offset and
UC boundaries.
C. What are the requirements for
remote/unmanned sources?
Comment: Commenters said if EPA
imposes controls on TEG dehydrators
outside of Urban-1 areas, it should
adopt a separate (lesser) control
standard for those remote area sources
for the following reasons:
• It is not justified based on health
effects.
• Practical considerations prevent
operators from achieving the 95-percent
control efficiency on remote, unmanned
TEG dehydrators.
Commenters said that in order to meet
the 95-percent control efficiency or the
outlet concentration, an operator
generally has to install a system with a
forced draft fan for the condenser and a
flare or vapor recovery system. Many
remote sources do not have an electric
power supply, which precludes using a
forced draft fan. Routing the vapors to
the firebox or fire-tube is not practical
in all situations because the high water
vapor content can extinguish the fire.
While flares and vapor recovery systems
address this problem, they require
frequent monitoring, which is a problem
at unmanned sites that are only visited
infrequently. The lack of electric power
supply would make certain automated
monitoring systems impossible.
Commenters said EPA should adopt a
separate GACT standard for facilities
outside of ‘‘Urban-1’’ areas and
‘‘urbanized areas.’’ The 95-percent
control efficiency standard could still
apply in Urban-1 areas and urbanized
areas, but it would not otherwise apply
to area source TEG dehydrators. The
commenters recommended that EPA set
GACT for facilities that are not located
in Urban-1 or urbanized areas as a
reduction of benzene to a level of less
than 1 tpy, and remove the 95-percent
control efficiency requirement. One
commenter added that GACT could also
be considered as the installation of a
flash tank/condenser or incinerator
process.
Response: We agree with the
commenters that it is reasonable to
require a higher level of emission
reductions for TEG dehydration units
located in more densely populated
areas. We also recognize that the oil and
natural gas source category is unique
because there are many area sources that
are located in remote or rural areas. For
these reasons and the reasons discussed
above, we have subcategorized to
differentiate between those sources
above the cutoff levels identified above
that are located inside UA plus offset
and UC boundaries and those located
outside such boundaries. We require
installation of control equipment for
TEG dehydration units located inside
UA plus offset and UC boundaries and
management practices (i.e., optimized
glycol circulation rate) for units located
outside UA plus offset and UC
boundaries. We believe that this
approach addresses the commenters’
concerns regarding the control of remote
or rural facilities.
V. Impacts of This Final Rule
The environmental and cost impacts
for this final rule are presented in Table
2 of this preamble:
Existing
Total Number of Impacted Facilities ............................................................................................................................
New
2,222
*141
50
3
300
530
90
17
30
5
<1
<1
<1
<1
<1
<1
850
880
35
50
2,172
138
6,900
14,020
2,200
440
890
140
1,700
14,200
(12,600)
1,600
105
905
(800)
105
Facilities Required to Install Add-On Controls
Number of Facilities .....................................................................................................................................................
Emission Reductions (Mg/yr):
HAP ......................................................................................................................................................................
VOC ......................................................................................................................................................................
Benzene ................................................................................................................................................................
Secondary Emissions Increases (Mg/yr):
SO2 .......................................................................................................................................................................
NOX ......................................................................................................................................................................
CO ........................................................................................................................................................................
Cost Impacts:
Total Capital Investment (1,000 $/yr) ...................................................................................................................
Total Annual Cost (1,000 $/yr) .............................................................................................................................
Facilities Required to Implement Management Practices
Number of Facilities .....................................................................................................................................................
Emission Reductions (Mg/yr):
HAP ......................................................................................................................................................................
VOC ......................................................................................................................................................................
Benzene ................................................................................................................................................................
Cost Impacts:
Total Capital Investment (1,000 $/yr) ...................................................................................................................
Total Annual Cost without considering gas savings (1,000 $/yr) ........................................................................
Total Annual gas savings (1,000 $/yr) .................................................................................................................
Total Annual Cost considering gas savings (1,000 $/yr) .....................................................................................
* New source estimates are estimated by determining the average number of new sources per year.
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A. What Are the Air Impacts?
For existing area source TEG
dehydration units in the oil and natural
gas production source category, we
estimate that nationwide baseline area
sources HAP emissions are 45,100 Mg/
yr (49,600 tpy) and 13,500 Mg/yr of
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benzene (14,800 tpy). The final
standards require that TEG dehydration
units with a natural gas throughput
greater than 85 thousand m3/day (3
MMSCF/D) and benzene emissions
greater than 0.90 Mg/yr (1.0 tpy),
located within the UA plus offset and
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UC boundaries achieve a 95-percent
emission reduction or reduce benzene
emissions to less than 0.90 Mg/yr (1.0
tpy) either through pollution prevention
process changes or by installing a
control device (e.g., condenser), while
sources located outside the UA plus
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offset and UC boundaries optimize their
glycol circulation rate. We estimate that
this final rule will result in a HAP
emission reduction of 7,200 Mg/yr
(7,900 tpy) and 2,200 Mg/yr of benzene
(2,400 tpy).
To estimate the impacts of this final
rule on new sources, we assumed that
new area source facilities would, in the
absence of the standards, have baseline
emissions equivalent to existing
sources. We estimate that a total of
7,200 new area source TEG dehydration
units will be constructed within the
next 5 years, or 2,400 per year. Of these
7,200 new area source TEG dehydration
units, we estimate that a total of 423
(141 per year) will have an actual
annual average natural gas flowrate
greater than or equal to 85 thousand m3/
day (3 MMSCF/D). Using these
assumptions, we estimate the
nationwide emission reduction resulting
from new area source TEG dehydration
units complying with this final rule
would be approximately 450 Mg/yr (500
tpy) of HAP and 140 Mg/yr (150 tpy) of
benzene from the 141 new area sources
that would become subject each year.
We assume that, of the 141 new area
sources, 3 would be located within the
UA plus offset and UC boundaries and
138 would be located outside the
boundaries.
Secondary environmental impacts are
considered to be any air, water, or solid
waste impacts, positive or negative,
associated with the implementation of
the final standards. These impacts are
exclusive of the direct organic HAP air
emissions reductions discussed in the
previous section.
The capture and control of benzene
that is presently emitted from area
source TEG dehydration units will
result in a decrease in volatile organic
compound (VOC) emissions as well.
The estimated total VOC emissions
reductions are 14,550 Mg/yr (16,000
tpy) from existing sources.
Other secondary environmental
impacts are those associated with the
operation of certain air emission control
devices (i.e., flares). The adverse
secondary air impacts would be
minimal in comparison to the primary
HAP reduction benefits from
implementing the final control
requirements for area sources. We
estimate that the national annual
increase of secondary air pollutant
emissions resulting from the use of a
flare to comply with the final standards
is less than 1 Mg/yr for sulfur oxides, 1
Mg/yr for carbon monoxide, and 1 Mg/
yr for nitrogen oxides.
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B. What are the Cost Impacts?
Since several compliance options are
available to owners/operators of affected
sources subject to the add-on control
requirement, we are not sure what
control method will be employed.
Sources can control emissions by
routing emissions to a condenser, a
flare, a process heater, or back to the
process or by implementing pollution
prevention process changes. For the cost
estimates developed for condenser
systems, we looked at systems with and
without the use of a gas condensate
glycol separator (GCG separator) or flash
tank in TEG dehydration system design.
We estimate that approximately 50
sources are located within the UA plus
offset and UC boundaries. For the new
source cost impacts, we assumed that
new area source TEG dehydration units
will be constructed with a flash tank.
Affected sources located outside of
UA plus offset and UC boundaries are
required to operate the TEG dehydration
unit at the optimum glycol circulation
rate. For estimating annual costs for
these sources, it was assumed that in
order to meet the optimum glycol
circulation rate, owners or operators
would be required to purchase and
install a new pump. Because reducing
the glycol circulation rate to an
optimum level reduces gas losses, a
recovery credit is also associated with
this requirement. Although we believe a
minority of sources will have to install
a new pump to meet the management
practice requirements, costs were
estimated by assuming that 50 percent
of the 2,172 sources would have to
install a new pump while the other 50
percent could lower the circulation rate
sufficiently by making adjustments on
the existing pump.
The estimated annual costs shown in
Table 2 of this preamble include the
capital cost; operating and maintenance
costs; the cost of monitoring, inspection,
recordkeeping, and reporting; and any
associated product recovery credits.
C. What are the Economic Impacts?
For the 1998 proposal, we prepared
an economic impact analysis evaluating
the impacts of the rule on affected
producers, consumers, and society. The
economic analysis focused on the
regulatory effects on the United States
natural gas market that is modeled as a
national, perfectly competitive market
for a homogenous commodity.
The results of the analysis showed
that the imposition of regulatory costs
on the natural gas market would result
in negligible changes in natural gas
prices, output, employment, foreign
trade, and business closures. The price
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33
and output changes as a result of the
1998 proposed regulation were
estimated to be less than 0.01 percent,
significantly less than observed market
trends. We continue to believe that the
previous analysis is valid for today’s
action and that the result of the 1998
economic impact analysis resulted in a
very low percent increase in price and
output changes. Therefore, we believe
that imposition of regulatory costs
associated with this final rule will result
in negligible changes in natural gas
prices, output, employment, foreign
trade, and business closures.
D. What are the Non-Air Environmental
and Energy Impacts?
The water impacts associated with the
installation of a condenser system for
the TEG dehydration unit reboiler vent
would be minimal. This is because the
condensed water collected with the
hydrocarbon condensate can be directed
back into the system for reprocessing
with the hydrocarbon condensate or, if
separated, combined with produced
water for disposal by reinjection.
Similarly, the water impacts
associated with installation of a vapor
control system would be minimal. This
is because the water vapor collected
along with the hydrocarbon vapors in
the vapor collection and redirect system
can be directed back into the system for
reprocessing with the hydrocarbon
condensate or, if separated, combined
with the produced water for disposal for
reinjection.
The best management practice of
optimizing the glycol circulation rate
would result in lower quantities of
water being absorbed into the glycol and
sent to the glycol dehydration unit.
Therefore, we expect the adverse
water impacts from the implementation
of the emissions reduction options for
the final area source standards to be
minimal.
We do not anticipate any adverse
solid waste impacts from the
implementation of the area source
standards.
Energy impacts are those energy
requirements associated with the
operation of emission control devices.
There would be no national energy
demand increase from the operation of
any of the control options analyzed
under the final oil and natural gas
production standards for area sources.
The final area source standards
encourage the use of emission controls
that recover hydrocarbon products, such
as methane and condensate that can be
used on-site as fuel or reprocessed,
within the production process, for sale.
There are no energy requirements
associated with the management
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Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
practices within this final rule. Thus,
the final standards have a positive
impact associated with the recovery of
non-renewable energy resources.
VI. Statutory and Executive Order
Reviews
A. Executive Order 12866: Regulatory
Planning and Review
Under Executive Order 12866 (58 FR
51735, October 4, 1993), this action is a
‘‘significant regulatory action.’’ This
action meets criteria 3(f)(4) of Executive
Order 12866, ‘‘raise novel legal or policy
issues arising out of legal mandates, the
President’s priorities, or the principles
set forth in the Executive Order.’’
Accordingly, EPA submitted this action
to the Office of Management and Budget
(OMB) for review under Executive
Order 12866 and any changes made in
response to OMB recommendations
have been documented in the docket for
this action.
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B. Paperwork Reduction Act
The information collection
requirements in this rule have been
submitted for approval to OMB under
the Paperwork Reduction Act, 44 U.S.C.
3501, et seq. The information collection
requirements are not enforceable until
OMB approves them.
The information to be collected for
the area source provisions of the Oil and
Natural Gas Production NESHAP are
based on notification, recordkeeping,
and reporting requirements in the
NESHAP General Provisions in 40 CFR
part 63, subpart A, which are mandatory
for all operators subject to national
emission standards. These
recordkeeping and reporting
requirements are specifically authorized
by section 114 of the CAA (42 U.S.C.
7414). All information submitted to the
EPA pursuant to the recordkeeping and
reporting requirements for which a
claim of confidentiality is made is
safeguarded according to EPA policies
set forth in 40 CFR part 2, subpart B.
This final rule requires maintenance
inspections of the control devices but
does not require any notifications or
reports beyond those required by the
applicable General Provisions in subpart
A to 40 CFR part 63. The recordkeeping
requirements require only the specific
information needed to determine
compliance.
The Oil and Natural Gas Production
NESHAP requires that facility owners or
operators retain records for a period of
5 years, which exceeds the 3-year
retention period contained in the
guidelines in 5 CFR 1320.6. The 5-year
retention period is consistent with the
provisions of the General Provisions of
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40 CFR part 63, and with the 5-year
records retention requirement in the
operating permit program under title V
of the CAA. All subsequent guidelines
have been followed and do not violate
any of the Paperwork Reduction Act
guidelines contained in 5 CFR 1320.6.
The annual projected burden for this
information collection to owners and
operators of affected sources subject to
the emissions reduction requirements in
this final rule (averaged over the first 3
years after the effective date of the
promulgated rule) is estimated to be
28,000 labor-hours per year, with a total
annual cost of $1.6 million per year.
These estimates include a one-time
performance test and report (with repeat
tests where needed), preparation of a
startup, shutdown, and malfunction
plan, immediate reports for any event
when the procedures in the plan were
not followed, annual compliance
reports, maintenance inspections,
notifications, and recordkeeping.
Burden means the total time, effort, or
financial resources expended by persons
to generate, maintain, retain, or disclose
or provide information to or for a
Federal agency. This includes the time
needed to review instructions; develop,
acquire, install, and utilize technology
and systems for the purposes of
collecting, validating, and verifying
information, processing and
maintaining information, and disclosing
and providing information; adjust the
existing ways to comply with any
previously applicable instructions and
requirements; train personnel to be able
to respond to a collection of
information; search data sources;
complete and review the collection of
information; and transmit or otherwise
disclose the information.
An agency may not conduct or
sponsor, and a person is not required to
respond to a collection of information
unless it displays a currently valid OMB
control number. The OMB control
numbers for EPA’s regulations in 40
CFR are listed in 40 CFR part 9. When
this Information Collection Request is
approved by OMB, the Agency will
publish a technical amendment to 40
CFR part 9 in the Federal Register to
display the OMB control number for the
approved information collection
requirements contained in this final
rule.
C. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA)
generally requires an agency to prepare
a regulatory flexibility analysis of any
rule subject to notice and comment
rulemaking requirements under the
Administrative Procedure Act or any
other statute unless the agency certifies
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that the rule will not have a significant
economic impact on a substantial
number of small entities. Small entities
include small businesses, small
organizations, and small governmental
jurisdictions.
For purposes of assessing the impacts
of today’s rule on small entities, small
entity is defined as: (1) A small business
with 500 employees or less (as defined
by the Small Business Administration’s
(SBA) regulations at 13 CFR 121.201; (2)
a small governmental jurisdiction that is
a government of a city, county, town,
school district or special district with a
population of less than 50,000; and (3)
a small organization that is any not-forprofit enterprise which is independently
owned and operated and is not
dominant in its field.
After considering the economic
impacts of today’s final rule on small
entities, EPA has concluded that this
action will not have a significant
economic impact on a substantial
number of small entities. This final rule
requires emission reductions (either by
installing a control device or by
implementing management practices) at
facilities that operate a TEG dehydration
unit with an average annual natural gas
throughput at or above 85 thousand m3/
day (3 MMSCF/D) and benzene
emissions at or above 0.90 Mg/yr (1.0
tpy). This final rule provides that GACT
is no control for sources with natural
gas flow below 85 thousand m3/day (3
MMSCF/D) or with benzene emissions
below 0.90 Mg/yr (1.0 tpy) of benzene.
Accordingly, we estimated that 2,222 of
the 38,000 sources would be subject to
the emission reduction requirements.
We performed an economic impact
analysis to estimate the changes in
product price and production quantities
due to this final rule. Because sales and
revenues data were not readily available
for the affected industries, we began our
analysis by examining the annual cost of
meeting the emissions reduction
requirements. Since the maximum cost
incurred by a source subject to this final
rule occurs when installing add-on
controls, we are basing our analysis on
that compliance approach. The annual
per unit cost of compliance with this
final rule would be $17,657. The
throughput cost for natural gas has
experienced significant volatility within
the past several years, making a point
estimate difficult to identify. The
wellhead natural gas price, from the
Department of Energy, averaged $4.00
per thousand cubic feet from 2001 to
2003. In order to be conservative for this
analysis, we assumed a natural gas price
of $88.29 per thousand cubic meters
($2.50 per thousand cubic feet).
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One frequently used approach for
determining whether or not a rule
would have a significant impact on a
small entity is to compare annualized
control cost with annualized revenue
from sales. Typically, costs less than 1
percent of revenues are not considered
as imposing a significant impact. In the
present case, the annual per-unit cost of
compliance is estimated to be $17,657.
Using the aforementioned 1 percent
criterion for significant impact, annual
revenues would have to be less than
$1,765,700 in order for significant
impact to occur. At $88.29 per thousand
cubic meters ($2.50 per thousand cubic
feet) of throughput, that revenue
translates to 19,999 thousand cubic
meters per year (706,280 thousand cubic
feet per year) throughput, or 54.8
thousand m3/day (1.94 MMSCF/D).
Since the cutoff for installation of
emissions controls for this final rule is
85 thousand m3/day (3 MMSCF/D), we
determined the annual cost of control
for those entities affected by this final
rule is not sufficient to generate a
significant impact on a substantial
number of small entities.
Although this final rule will not have
a significant economic impact on a
substantial number of small entities, we
nonetheless have tried to reduce the
impact of this rule on small entities.
Where periodic reporting is required,
we are requiring annual reporting in this
rule, as opposed to semi-annual
reporting that is required in the major
source NESHAP for this category. In
addition, our subcategorization, as
described above, should reduce the
number of small entities impacted and
the extent of the impact.
205 do not apply when they are
inconsistent with applicable law.
Moreover, section 205 allows EPA to
adopt an alternative other than the least
costly, most cost-effective, or least
burdensome alternative if the
Administrator publishes with this final
rule an explanation why that alternative
was not adopted. Before EPA establishes
any regulatory requirements that may
significantly or uniquely affect small
governments, including tribal
governments, it must have developed
under section 203 of the UMRA a small
government agency plan. The plan must
provide for notifying potentially
affected small governments, enabling
officials of affected small governments
to have meaningful and timely input in
the development of EPA regulatory
proposals with significant Federal
intergovernmental mandates, and
informing, educating, and advising
small governments on compliance with
the regulatory requirements.
EPA has determined that this rule
does not contain a Federal mandate that
may result in expenditures of $100
million or more for State, local, and
tribal governments, in the aggregate, or
the private sector in any 1 year. The
maximum total annual cost of this final
rule for any 1 year has been estimated
to be less than $2.5 million. Thus,
today’s rule is not subject to the
requirements of sections 202 and 205 of
the UMRA. In addition, the rule does
not significantly or uniquely affect small
governments because it does not contain
any requirements applicable to such
governments or impose obligations
upon them. Therefore, today’s rule is
not subject to section 203 of the UMRA.
D. Unfunded Mandates Reform Act
Title II of the Unfunded Mandates
Reform Act of 1995 (UMRA), Public
Law 104–4, establishes requirements for
Federal agencies to assess the effects of
their regulatory actions on State, local,
and tribal governments and the private
sector. Under section 202 of the UMRA,
EPA generally must prepare a written
statement, including a cost-benefit
analysis, for proposed and final rules
with ‘‘Federal mandates’’ that may
result in expenditures to State, local,
and tribal governments, in the aggregate,
or to the private sector, of $100 million
or more in any 1 year. Before
promulgating an EPA rule for which a
written statement is needed, section 205
of the UMRA generally requires EPA to
identify and consider a reasonable
number of regulatory alternatives and
adopt the least costly, most costeffective, or least burdensome
alternative that achieves the objectives
of the rule. The provisions of section
E. Executive Order 13132: Federalism
Executive Order 13132, entitled
‘‘Federalism’’ (64 FR 43255, August 10,
1999), requires EPA to develop an
accountable process to ensure
‘‘meaningful and timely input by State
and local officials in the development of
regulatory policies that have federalism
implications.’’ ‘‘Policies that have
federalism implications’’ is defined in
the Executive Order to include
regulations that have ‘‘substantial direct
effects on the States, on the relationship
between the national government and
the States, or on the distribution of
power and responsibilities among the
various levels of government.’’
This final rule does not have
federalism implications. It will not have
substantial direct effects on the States,
on the relationship between the national
government and the States, or on the
distribution of power and
responsibilities among the various
levels of government, as specified in
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35
Executive Order 13132. Thus, Executive
Order 13132 does not apply to this rule.
F. Executive Order 13175: Consultation
and Coordination With Indian Tribal
Governments
Executive Order 13175, entitled
‘‘Consultation and Coordination with
Indian Tribal Governments’’ (65 FR
67249, November 9, 2000), requires EPA
to develop an accountable process to
ensure ‘‘meaningful and timely input by
tribal officials in the development of
regulatory policies that have tribal
implications.’’ This final rule does not
have tribal implications, as specified in
Executive Order 13175.
This final rule does not significantly
or uniquely affect the communities of
Indian tribal governments. We do not
know of any area source TEG
dehydration units owned or operated by
Indian tribal governments. However, if
there are any, the effect of this final rule
on communities of tribal governments
would not be unique or
disproportionate to the effect on other
communities. Thus, Executive Order
13175 does not apply to this final rule.
G. Executive Order 13045: Protection of
Children From Environmental Health
Risks and Safety Risks
Executive Order 13045: ‘‘Protection of
Children from Environmental health
Risks and Safety Risks’’ (62 FR 19885,
April 23, 1997) applies to any rule that:
(1) Is determined to be ‘‘economically
significant’’ as defined under Executive
Order 12866, and (2) concerns an
environmental health or safety risk that
EPA has reason to believe may have a
disproportionate effect on children. If
the regulatory action meets both criteria,
the Agency must evaluate the
environmental health or safety effects of
the planned rule on children, and
explain why the planned regulation is
preferable to other potentially effective
and reasonably feasible alternatives
considered by the Agency.
EPA interprets Executive Order 13045
as applying only to those regulatory
actions that are based on health or safety
risks, such that the analysis required
under section 5–501 of the Order has
the potential to influence the regulation.
This final rule is not subject to
Executive Order 13045 because it is
based on technology performance and
not on health or safety risks.
H. Executive Order 13211: Actions
Concerning Regulations That
Significantly Affect Energy Supply,
Distribution, or Use
This rule is not a ‘‘significant energy
action’’ as defined in Executive Order
13211, ‘‘Actions Concerning Regulations
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That Significantly Affect Energy Supply,
Distribution, or Use’’ (66 FR 28355, May
22, 2001) because it is not likely to have
a significant adverse effect on the
supply, distribution, or use of energy.
Further, we have concluded that this
rule is not likely to have any adverse
energy effects.
I. National Technology Transfer and
Advancement Act
As noted in the proposed rule,
Section 12(d) of the National
Technology Transfer and Advancement
Act of 1995 (NTTAA), Public Law 104–
113, 12(d) (15 U.S.C. 272 note) directs
EPA to use voluntary consensus
standards (VCS) in its regulatory
activities unless to do so would be
inconsistent with applicable law or
otherwise impractical. VCS are
technical standards (e.g., materials
specifications, test methods, sampling
procedures, and business practices) that
are developed or adopted by VCS
bodies. The NTTAA directs EPA to
provide Congress, through OMB,
explanations when the Agency decides
not to use available and applicable VCS.
This action does not involve technical
standards. Therefore, EPA did not
consider the use of any VCS. However,
we would like to note that the draft
standard ASTM Z7420Z, which was
cited in the final Oil and Natural Gas
Production NESHAP (64 FR 32609–
32664, June 17, 1999) as a potentially
practical method to use in lieu of EPA
Method 18, has now been finalized by
ASTM and approved by EPA for use in
rules where Method 18 is cited. This
new standard is ASTM D6420–99
(2004), Standard Test Method for
Determination of Gaseous Organic
Compounds by Direct Interface Gas
Chromatography-Mass Spectrometry,
and it is appropriate for inclusion in
this final rule in addition to EPA
Method 18, codified at 40 CFR part 60,
appendix A, for measurement of total
organic carbon, total HAP, total volatile
HAP, and benzene.
Similar to EPA’s performance-based
Method 18, ASTM D6420–99 (2004) is
also a performance-based method for
measurement of total gaseous organic
compounds. However, ASTM D6420–99
(2004) was written to support the
specific use of highly portable and
automated gas chromatographs/mass
spectrometers (GC/MS). While offering
advantages over the traditional Method
18, the ASTM method does allow some
less stringent criteria for accepting GC/
MS results than required by Method 18.
Therefore, ASTM D6420–99 (2004) is a
suitable alternative to Method 18 only
where: (1) The target compound(s) are
those listed in Section 1.1 of ASTM
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D6420–99 (2004), and (2) the target
concentration is between 150 parts per
billion by volume and 100 ppmv. For
target compound(s) not listed in Section
1.1 of ASTM D6420–99 (2004), but
potentially detected by mass
spectrometry, this final rule specifies
that the additional system continuing
calibration check after each run, as
detailed in Section 10.5.3 of the ASTM
method, must be followed, met,
documented, and submitted with the
data report even if there is no moisture
condenser used or the compound is not
considered water soluble. For target
compound(s) not listed in Section 1.1 of
ASTM D6420–99 (2004), and not
amenable to detection by mass
spectrometry, ASTM D6420–99 (2004)
does not apply.
As a result, EPA will allow ASTM
D6420–99 (2004) for use with this final
rule. The EPA will also allow Method
18 as an option in addition to ASTM
D6420–99 (2004). This will allow the
continued use of GC configurations
other than GC/MS. Under 40 CFR 63.7(f)
and 40 CFR 63.8(f), subpart A of the
General Provisions, a source may apply
to EPA for permission to use alternative
test methods or alternative monitoring
requirements in place of any of the EPA
testing methods, performance
specifications, or procedures.
J. Congressional Review Act
The Congressional Review Act, 5
U.S.C. 801, et seq., as added by the
Small Business Regulatory Enforcement
Fairness Act of 1996, generally provides
that before a rule may take effect, the
agency promulgating the rule must
submit a rule report, which includes a
copy of the rule, to each House of the
Congress and to the Comptroller General
of the United States. EPA will submit a
report containing this rule and other
required information to the United
States Senate, the United States House
of Representatives, and the Comptroller
General of the United States prior to
publication of the rule in the Federal
Register. A major rule cannot take effect
until 60 days after it is published in the
Federal Register. This action is not a
‘‘major rule’’ as defined by 5 U.S.C.
804(2). This rule will be effective
January 3, 2007.
List of Subjects in 40 CFR Part 63
Environmental protection, Air
pollution control, Hazardous
substances, Incorporation by reference,
Reporting and recordkeeping
requirements.
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Dated: December 21, 2006.
Stephen L. Johnson,
Administrator.
For the reasons set forth in the
preamble, title 40, chapter I, part 63 of
the Code of Federal Regulations is
amended as follows:
I
PART 63—[AMENDED]
1. The authority citation for part 63
continues to read as follows:
I
Authority: 42 U.S.C. 7401 et seq.
Subpart A—[Amended]
2. Section 63.14 is amended by
revising paragraph (b)(28) to read as
follows:
I
§ 63.14
Incorporations by reference.
*
*
*
*
*
(b) * * *
(28) ASTM D6420–99 (Reapproved
2004), Standard Test Method for
Determination of Gaseous Organic
Compounds by Direct Interface Gas
Chromatography-Mass Spectometry, IBR
approved for §§ 63.772(a)(1)(ii),
63.2354(b)(3)(i), 63.2354(b)(3)(ii),
63.2354(b)(3)(ii)(A), and
63.2351(b)(3)(ii)(B).
*
*
*
*
*
Subpart HH—[Amended]
3. Section 63.760 is amended as
follows:
I a. By revising paragraph (a)(1)
introductory text;
I b. By revising paragraph (b);
I c. By revising paragraph (e)(2);
I d. By revising paragraph (f)
introductory text;
I e. By revising the first sentences in
paragraphs (f)(1) and (f)(2);
I f. By adding paragraphs (f)(3) through
(6);
I g. By revising paragraph (g)
introductory text; and
I h. By adding a sentence at the end of
paragraph (h).
I
§ 63.760 Applicability and designation of
affected source.
(a) * * *
(1) Facilities that are major or area
sources of hazardous air pollutants
(HAP) as defined in § 63.761. Emissions
for major source determination purposes
can be estimated using the maximum
natural gas or hydrocarbon liquid
throughput, as appropriate, calculated
in paragraphs (a)(1)(i) through (iii) of
this section. As an alternative to
calculating the maximum natural gas or
hydrocarbon liquid throughput, the
owner or operator of a new or existing
source may use the facility’s design
maximum natural gas or hydrocarbon
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liquid throughput to estimate the
maximum potential emissions. Other
means to determine the facility’s major
source status are allowed, provided the
information is documented and
recorded to the Administrator’s
satisfaction. A facility that is
determined to be an area source, but
subsequently increases its emissions or
its potential to emit above the major
source levels (without first obtaining
and complying with other limitations
that keep its potential to emit HAP
below major source levels), and
becomes a major source, must comply
thereafter with all provisions of this
subpart applicable to a major source
starting on the applicable compliance
date specified in paragraph (f) of this
section. Nothing in this paragraph is
intended to preclude a source from
limiting its potential to emit through
other appropriate mechanisms that may
be available through the permitting
authority.
*
*
*
*
*
(b) The affected sources for major
sources are listed in paragraph (b)(1) of
this section and for area sources in
paragraph (b)(2) of this section.
(1) For major sources, the affected
source shall comprise each emission
point located at a facility that meets the
criteria specified in paragraph (a) of this
section and listed in paragraphs (b)(1)(i)
through (b)(1)(iv) of this section.
(i) Each glycol dehydration unit;
(ii) Each storage vessel with the
potential for flash emissions;
(iii) The group of all ancillary
equipment, except compressors,
intended to operate in volatile
hazardous air pollutant service (as
defined in § 63.761), which are located
at natural gas processing plants; and
(iv) Compressors intended to operate
in volatile hazardous air pollutant
service (as defined in § 63.761), which
are located at natural gas processing
plants.
(2) For area sources, the affected
source includes each triethylene glycol
(TEG) dehydration unit located at a
facility that meets the criteria specified
in paragraph (a) of this section.
*
*
*
*
*
(e) * * *
(2) A major source facility, prior to the
point of custody transfer, with a facilitywide actual annual average natural gas
throughput less than 18.4 thousand
standard cubic meters per day and a
facility-wide actual annual average
hydrocarbon liquid throughput less than
39,700 liters per day.
(f) The owner or operator of an
affected major source shall achieve
compliance with the provisions of this
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subpart by the dates specified in
paragraphs (f)(1) and (f)(2) of this
section. The owner or operator of an
affected area source shall achieve
compliance with the provisions of this
subpart by the dates specified in
paragraphs (f)(3) through (f)(6) of this
section.
(1) The owner or operator of an
affected major source, the construction
or reconstruction of which commenced
before February 6, 1998, shall achieve
compliance with the applicable
provisions of this subpart no later than
June 17, 2002, except as provided for in
§ 63.6(i). * * *
(2) The owner or operator of an
affected major source, the construction
or reconstruction of which commences
on or after February 6, 1998, shall
achieve compliance with the applicable
provisions of this subpart immediately
upon initial startup or June 17, 1999,
whichever date is later.* * *
(3) The owner or operator of an
affected area source, located in an
Urban-1 county, as defined in § 63.761,
the construction or reconstruction of
which commences before February 6,
1998, shall achieve compliance with the
provisions of this subpart no later than
the dates specified in paragraphs (f)(3)(i)
or (ii) of this section, except as provided
for in § 63.6(i).
(i) If the affected area source is located
within any UA plus offset and UC
boundary, as defined in § 63.761, the
compliance date is January 4, 2010.
(ii) If the affected area source is not
located within any UA plus offset and
UC boundary, as defined in § 63.761, the
compliance date is January 5, 2009.
(4) The owner or operator of an
affected area source, located in an
Urban-1 county, as defined in § 63.761,
the construction or reconstruction of
which commences on or after February
6, 1998, shall achieve compliance with
the provisions of this subpart
immediately upon initial startup or
January 3, 2007, whichever date is later.
(5) The owner or operator of an
affected area source that is not located
in an Urban-1 county, as defined in
§ 63.761, the construction or
reconstruction of which commences
before July 8, 2005, shall achieve
compliance with the provisions of this
subpart no later than the dates specified
in paragraphs (f)(5)(i) or (ii) of this
section, except as provided for in
§ 3.6(i).
(i) If the affected area source is located
within any UA plus offset and UC
boundary, as defined in § 63.761, the
compliance date is January 4, 2010.
(ii) If the affected area source is not
located within any UA plus offset and
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37
UC boundary, as defined in § 63.761, the
compliance date is January 5, 2009.
(6) The owner or operator of an
affected area source that is not located
in an Urban-1 county, as defined in
§ 63.761, the construction or
reconstruction of which commences on
or after July 8, 2005, shall achieve
compliance with the provisions of this
subpart immediately upon initial
startup or January 3, 2007, whichever
date is later.
*
*
*
*
*
(g) The following provides owners or
operators of an affected source at a
major source with information on
overlap of this subpart with other
regulations for equipment leaks. The
owner or operator of an affected source
at a major source shall document that
they are complying with other
regulations by keeping the records
specified in § 63.774(b)(9).
*
*
*
*
*
(h) * * * Unless otherwise required
by law, the owner or operator of an area
source subject to the provisions of this
subpart is exempt from the permitting
requirements established by 40 CFR part
70 or 40 CFR part 71.
4. Section 63.761 is amended by
adding, in alphabetical order, the
definitions of ‘‘UA plus offset and UC,’’
‘‘Urban-1 County,’’ ‘‘urbanized area,’’
and ‘‘urban cluster’’ to read as follows:
I
§ 63.761
Definitions.
*
*
*
*
*
UA plus offset and UC is defined as
the area occupied by each urbanized
area, each urban cluster that contains at
least 10,000 people, and the area located
two miles or less from each urbanized
area boundary.
Urban-1 County is defined as a county
that contains a part of a Metropolitan
Statistical Area with a population
greater than 250,000, based on the
Office of Management and Budget’s
Standards for defining Metropolitan and
Micropolitan Statistical Areas
(December 27, 2000), and Census 2000
Data released by the U.S. Census
Bureau.
Urbanized area refers to Census 2000
Urbanized Area, which is defined in the
Urban Area Criteria for Census 2000
(March 15, 2002). Essentially, an
urbanized area consists of densely
settled territory with a population of at
least 50,000 people.
Urban cluster refers to a Census 2000
Urban Cluster, which is defined in the
Urban Area Criteria for Census 2000
(March 15, 2002). Essentially, an urban
cluster consists of densely settled
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§ 63.762 Startups, shutdowns, and
malfunctions.
*
*
*
*
*
(e) Owners or operators are not
required to prepare a startup, shutdown,
and malfunction plan for any facility
where all of the affected sources meet
the exemption criteria specified in
§ 63.764(e), or for any facility that is not
located within a UA plus offset and UC
boundary.
I 6. Section 63.764 is amended by
adding paragraph (d) and by revising
paragraph (e)(1) introductory text to
read as follows:
§ 63.764
General standards.
*
*
*
*
*
(d) Except as specified in paragraph
(e)(1) of this section, the owner or
operator of an affected source located at
an existing or new area source of HAP
emissions shall comply with the
applicable standards specified in
paragraph (d) of this section.
(1) Each owner or operator of an area
source located within an UA plus offset
and UC boundary (as defined in
§ 63.761) shall comply with the
provisions specified in paragraphs
(d)(1)(i) through (iii) of this section.
(i) The control requirements for glycol
dehydration unit process vents specified
in § 63.765;
(ii) The monitoring requirements
specified in § 63.773; and
(iii) The recordkeeping and reporting
requirements specified in §§ 63.774 and
63.775.
(2) Each owner or operator of an area
source not located in a UA plus offset
and UC boundary (as defined in
§ 63.761) shall comply with paragraphs
(d)(2)(i) through (iii) of this section.
(i) Determine the optimum glycol
circulation rate using the following
equation:
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LOPT = 1.15 ∗ 3.0
gal TEG F ∗ ( I − O )
∗
lb H 2 O 24 hr/day
Where:
LOPT = Optimal circulation rate, gal/hr.
F = Gas flowrate (MMSCF/D).
I = Inlet water content (lb/MMSCF).
O = Outlet water content (lb/MMSCF).
3.0 = The industry accepted rule of thumb for
a TEG-to water ratio (gal TEG/lb H2O).
1.15 = Adjustment factor included for a
margin of safety.
(ii) Operate the TEG dehydration unit
such that the actual glycol circulation
rate does not exceed the optimum glycol
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circulation rate determined in
accordance with paragraph (d)(2)(i) of
this section. If the TEG dehydration unit
is unable to meet the sales gas
specification for moisture content using
the glycol circulation rate determined in
accordance with paragraph (d)(2)(i), the
owner or operator must calculate an
alternate circulation rate using GRI–
GLYCalcTM, Version 3.0 or higher. The
owner or operator must document why
the TEG dehydration unit must be
operated using the alternate circulation
rate and submit this documentation
with the initial notification in
accordance with § 63.775(c)(7).
(iii) Maintain a record of the
determination specified in paragraph
(d)(2)(ii) in accordance with the
requirements in § 63.774(f) and submit
the Initial Notification in accordance
with the requirements in § 63.775(c)(7).
If operating conditions change and a
modification to the optimum glycol
circulation rate is required, the owner or
operator shall prepare a new
determination in accordance with
paragraph (d)(2)(i) or (ii) of this section
and submit the information specified
under § 63.775(c)(7)(ii) through (v).
(e) * * *
(1) The owner or operator is exempt
from the requirements of paragraph
(c)(1) and (d) of this section if the
criteria listed in paragraph (e)(1)(i) or
(ii) of this section are met, except that
the records of the determination of these
criteria must be maintained as required
in § 63.774(d)(1).
*
*
*
*
*
I 7. Section 63.765 is amended by
revising paragraph (a) to read as follows:
§ 63.765 Glycol dehydration unit process
vent standards.
(a) This section applies to each glycol
dehydration unit subject to this subpart
with an actual annual average natural
gas flowrate equal to or greater than 85
thousand standard cubic meters per day
and with actual average benzene glycol
dehydration unit process vent emissions
equal to or greater than 0.90 megagrams
per year, that must be controlled for
HAP emissions as specified in either
paragraph (c)(1)(i) or paragraph (d)(1)(i)
of § 63.764.
*
*
*
*
*
I 8. Section 63.772 is amended as
follows:
I a. By revising paragraph (a)(1);
I b. By revising the first sentence of
paragraph (b)(2)(ii);
I c. By revising paragraph (e)(3)(iii)
introductory text;
I d. By revising paragraph
(e)(3)(iii)(B)(2); and
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e. By revising the first and second
sentences of paragraph (e)(3)(iv)
introductory text.
I
§ 63.772 Test methods, compliance
procedures, and compliance
demonstrations.
(a) * * *
(1) For a piece of ancillary equipment
and compressors to be considered not in
VHAP service, it must be determined
that the percent VHAP content can be
reasonably expected never to exceed
10.0 percent by weight. For the
purposes of determining the percent
VHAP content of the process fluid that
is contained in or contacts a piece of
ancillary equipment or compressor, you
shall use the method in either paragraph
(a)(1)(i) or paragraph (a)(1)(ii) of this
section.
(i) Method 18 of 40 CFR part 60,
appendix A, or
(ii) ASTM D6420–99 (2004), Standard
Test Method for Determination of
Gaseous Organic Compounds by Direct
Interface Gas Chromatography-Mass
Spectrometry (incorporated by
reference—see § 63.14), provided that
the provisions of paragraphs (a)(1)(ii)(A)
through (D) of this section are followed:
(A) The target compound(s) are those
listed in section 1.1 of ASTM D6420–99
(2004);
(B) The target concentration is
between 150 parts per billion by volume
and 100 parts per million by volume;
(C) For target compound(s) not listed
in Table 1.1 of ASTM D6420–99 (2004),
but potentially detected by mass
spectrometry, the additional system
continuing calibration check after each
run, as detailed in section 10.5.3 of
ASTM D6420–99 (2004), is conducted,
met, documented, and submitted with
the data report, even if there is no
moisture condenser used or the
compound is not considered water
soluble; and
(D) For target compound(s) not listed
in Table 1.1 of ASTM D6420–99 (2004),
and not amenable to detection by mass
spectrometry, ASTM D6420–99 (2004)
may not be used.
*
*
*
*
*
(b) * * *
(2) * * * (ii) The owner or operator
shall determine an average mass rate of
benzene emissions in kilograms per
hour through direct measurement using
the methods in § 63.772(a)(1)(i) or (ii), or
an alternative method according to
§ 63.7(f).* * *
*
*
*
*
*
(e) * * *
(3) * * *
(iii) To determine compliance with
the control device percent reduction
performance requirement in
E:\FR\FM\03JAR1.SGM
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ER02JA07.001
territory with at least 2,500 people but
fewer than 50,000 people.
*
*
*
*
*
I 5. Section 63.762 is amended by
revising paragraph (e) to read as follows:
Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
§ 63.771(d)(1)(i)(A), (d)(1)(ii), and
(e)(3)(ii), the owner or operator shall use
one of the following methods: Method
18, 40 CFR part 60, appendix A; Method
25A, 40 CFR part 60, appendix A;
ASTM D6420–99 (2004), as specified in
§ 63.772(a)(1)(ii); or any other method or
data that have been validated according
to the applicable procedures in Method
301, 40 CFR part 63, appendix A. The
following procedures shall be used to
calculate percent reduction efficiency:
*
*
*
*
*
(B) * * *
(2) When the TOC mass rate is
calculated, all organic compounds
(minus methane and ethane) measured
by Method 18, 40 CFR part 60, appendix
A, or Method 25A, 40 CFR part 60,
appendix A, or ASTM D6420–99 (2004)
as specified in § 63.772(a)(1)(ii), shall be
summed using the equations in
paragraph (e)(3)(iii)(B)(1) of this section.
*
*
*
*
*
(iv) To determine compliance with
the enclosed combustion device total
HAP concentration limit specified in
§ 63.771(d)(1)(i)(B), the owner or
operator shall use one of the following
methods to measure either TOC (minus
methane and ethane) or total HAP:
Method 18, 40 CFR part 60, appendix A;
Method 25A, 40 CFR part 60, appendix
A; ASTM D6420–99 (2004), as specified
in § 63.772(a)(1)(ii), or any other method
or data that have been validated
according to Method 301 of appendix A
of this part.* * *
*
*
*
*
*
I 9. Section 63.774 is amended as
follows:
I a. By revising paragraph (b)
introductory text;
I b. By revising paragraph (d)(1)
introductory text; and
I c. By adding paragraph (f).
§ 63.774
Recordkeeping requirements.
pwalker on PROD1PC71 with RULES
*
*
*
*
*
(b) Except as specified in paragraphs
(c), (d), and (f) of this section, each
owner or operator of a facility subject to
this subpart shall maintain the records
specified in paragraphs (b)(1) through
(11) of this section:
*
*
*
*
*
(d)(1) An owner or operator of a glycol
dehydration unit that meets the
exemption criteria in § 63.764(e)(1)(i) or
§ 63.764(e)(1)(ii) shall maintain the
records specified in paragraph (d)(1)(i)
or paragraph (d)(1)(ii) of this section, as
appropriate, for that glycol dehydration
unit.
*
*
*
*
*
(f) The owner or operator of an area
source not located within a UA plus
offset and UC boundary must keep a
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17:09 Dec 29, 2006
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record of the calculation used to
determine the optimum glycol
circulation rate in accordance with
§ 63.764(d)(2)(i) or § 63.764(d)(2)(ii), as
applicable.
I 10. Section 63.775 is amended as
follows:
I a. By adding paragraph (c);
I b. By revising paragraph (e)
introductory text; and
I c. By adding paragraph (e)(3).
§ 63.775
Reporting requirements.
*
*
*
*
*
(c) Except as provided in paragraph
(c)(8), each owner or operator of an area
source subject to this subpart shall
submit the information listed in
paragraph (c)(1) of this section. If the
source is located within a UA plus offset
and UC boundary, the owner or operator
shall also submit the information listed
in paragraphs (c)(2) through (6) of this
section. If the source is not located
within any UA plus offset and UC
boundaries, the owner or operator shall
also submit the information listed
within paragraph (c)(7).
(1) The initial notifications required
under § 63.9(b)(2) not later than January
3, 2008. In addition to submitting your
initial notification to the addressees
specified under § 63.9(a), you must also
submit a copy of the initial notification
to EPA’s Office of Air Quality Planning
and Standards. Send your notification
via e-mail to CCG–ONG@EPA.GOV or
via U.S. mail or other mail delivery
service to U.S. EPA, Sector Policies and
Programs Division/Coatings and
Chemicals Group (E143–01), Attn: Oil
and Gas Project Leader, Research
Triangle Park, NC 27711.
(2) The date of the performance
evaluation as specified in § 63.8(e)(2) if
an owner or operator is required by the
Administrator to conduct a performance
evaluation for a continuous monitoring
system.
(3) The planned date of a performance
test at least 60 days before the test in
accordance with § 63.7(b). Unless
requested by the Administrator, a sitespecific test plan is not required by this
subpart. If requested by the
Administrator, the owner or operator
must submit the site-specific test plan
required by § 63.7(c) with the
notification of the performance test. A
separate notification of the performance
test is not required if it is included in
the initial notification submitted in
accordance with paragraph (c)(1) of this
section.
(4) A Notification of Compliance
Status as described in paragraph (d) of
this section;
(5) Periodic reports as described in
paragraph (e)(3) of this section; and
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39
(6) Startup, shutdown, and
malfunction reports specified in
§ 63.10(d)(5). Separate startup,
shutdown, and malfunction reports as
described in § 63.10(d)(5) are not
required if the information is included
in the Periodic Report specified in
paragraph (e) of this section.
(7) The information listed in
paragraphs (c)(1)(i) through (v) of this
section. This information shall be
submitted with the initial notification.
(i) Documentation of the source’s
location relative to the nearest UA plus
offset and UC boundaries. This
information shall include the latitude
and longitude of the affected source;
whether the source is located in an
urban cluster with 10,000 people or
more; the distance in miles to the
nearest urbanized area boundary if the
source is not located in an urban cluster
with 10,000 people or more; and the
names of the nearest urban cluster with
10,000 people or more and nearest
urbanized area.
(ii) Calculation of the optimum glycol
circulation rate determined in
accordance with § 63.764(d)(2)(i).
(iii) If applicable, documentation of
the alternate glycol circulation rate
calculated using GRI-GLYCalcTM,
Version 3.0 or higher and
documentation stating why the TEG
dehydration unit must operate using the
alternate glycol circulation rate.
(iv) The name of the manufacturer
and the model number of the glycol
circulation pump(s) in operation.
(v) Statement by a responsible official,
with that official’s name, title, and
signature, certifying that the facility will
always operate the glycol dehydration
unit using the optimum circulation rate
determined in accordance with
§ 63.764(d)(2)(i) or § 63.764(d)(2)(ii), as
applicable.
(8) An owner or operator of a TEG
dehydration unit located at an area
source that meets the criteria in
§ 63.764(e)(1)(i) or § 63.764(e)(1)(ii) is
exempt from the reporting requirements
for area sources in paragraphs (c)(1)
through (7) of this section, for that unit.
*
*
*
*
*
(e) Periodic Reports. An owner or
operator of a major source shall prepare
Periodic Reports in accordance with
paragraphs (e) (1) and (2) of this section
and submit them to the Administrator.
An owner or operator of an area source
shall prepare Periodic Reports in
accordance with paragraph (e)(3) of this
section and submit them to the
Administrator.
*
*
*
*
*
(3) An owner or operator of an area
source located inside a UA plus offset
E:\FR\FM\03JAR1.SGM
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40
Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
and UC boundary shall prepare and
submit Periodic Reports in accordance
with paragraphs (e)(3)(i) through (iii) of
this section.
(i) Periodic reports must be submitted
on an annual basis. The first reporting
period shall cover the period beginning
on the date the Notification of
Compliance Status Report is due and
ending on December 31. The report
shall be submitted within 30 days after
the end of the reporting period.
(ii) Subsequent reporting periods
begin every January 1 and end on
December 31. Subsequent reports shall
be submitted within 30 days following
the end of the reporting period.
(iii) The periodic reports must contain
the information included in paragraph
(e)(2) of this section.
*
*
*
*
*
11. In the Appendix to Subpart HH of
Part 63, revise Table 2 to read as
follows:
I
Appendix to Subpart HH of Part 63—
Tables
*
*
*
*
*
TABLE 2 TO SUBPART HH OF PART 63.—APPLICABILITY OF 40 CFR PART 63 GENERAL PROVISIONS TO SUBPART HH
Applicable to subpart
HH
§ 63.1(a)(1) .........................................................
§ 63.1(a)(2) .........................................................
§ 63.1(a)(3) .........................................................
§ 63.1(a)(4) .........................................................
§ 63.1(a)(5) .........................................................
§ 63.1(a)(6) .........................................................
§ 63.1(a)(7) through (a)(9) ..................................
§ 63.1(a)(10) .......................................................
§ 63.1(a)(11) .......................................................
§ 63.1(a)(12) .......................................................
§ 63.1(b)(1) .........................................................
§ 63.1(b)(2) .........................................................
§ 63.1(b)(3) .........................................................
§ 63.1(c)(1) .........................................................
§ 63.1(c)(2) .........................................................
Yes.
Yes.
Yes.
Yes.
No ...............................
Yes.
No ...............................
Yes.
Yes.
Yes.
No ...............................
No ...............................
Yes.
No ...............................
Yes.
§ 63.1(c)(3) and (c)(4) ........................................
§ 63.1(c)(5) .........................................................
§ 63.1(d) ..............................................................
§ 63.1(e) ..............................................................
§ 63.2 ..................................................................
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General provisions reference
No ...............................
Yes.
No ...............................
Yes.
Yes.
§ 63.3(a) through (c) ...........................................
§ 63.4(a)(1) through (a)(2) ..................................
§ 63.4(a)(3) through (a)(5) ..................................
§ 63.4(b) ..............................................................
§ 63.4(c) ..............................................................
§ 63.5(a)(1) .........................................................
§ 63.5(a)(2) .........................................................
§ 63.5(b)(1) .........................................................
§ 63.5(b)(2) .........................................................
§ 63.5(b)(3) .........................................................
§ 63.5(b)(4) .........................................................
§ 63.5(b)(5) .........................................................
§ 63.5(b)(6) .........................................................
§ 63.5(c) ..............................................................
§ 63.5(d)(1) .........................................................
§ 63.5(d)(2) .........................................................
§ 63.5(d)(3) .........................................................
§ 63.5(d)(4) .........................................................
§ 63.5(e) ..............................................................
§ 63.5(f)(1) ..........................................................
§ 63.5(f)(2) ..........................................................
§ 63.6(a) ..............................................................
§ 63.6(b)(1) .........................................................
§ 63.6(b)(2) .........................................................
§ 63.6(b)(3) .........................................................
§ 63.6(b)(4) .........................................................
§ 63.6(b)(5) .........................................................
§ 63.6(b)(6) .........................................................
§ 63.6(b)(7) .........................................................
§ 63.6(c)(1) .........................................................
§ 63.6(c)(2) .........................................................
§ 63.6(c)(3) through (c)(4) ..................................
§ 63.6(c)(5) .........................................................
§ 63.6(d) ..............................................................
§ 63.6(e) ..............................................................
Yes.
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes.
Yes.
No ...............................
Yes.
Yes.
No ...............................
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
No ...............................
Yes.
Yes.
Yes.
No ...............................
Yes.
No ...............................
Yes.
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17:09 Dec 29, 2006
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Explanation
Section reserved.
Section reserved.
Subpart HH specifies applicability.
Section reserved.
Subpart HH specifies applicability.
Subpart HH exempts area sources from the requirement to obtain a
title V permit unless otherwise required by law as specified in
§ 63.760(h).
Section reserved.
Section reserved.
Except definition of major source is unique for this source category
and there are additional definitions in subpart HH.
Section reserved.
Section reserved.
Section Reserved.
Section reserved.
Section reserved.
Section reserved.
Section reserved.
Sfmt 4700
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Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
41
TABLE 2 TO SUBPART HH OF PART 63.—APPLICABILITY OF 40 CFR PART 63 GENERAL PROVISIONS TO SUBPART HH—
Continued
Applicable to subpart
HH
§ 63.6(e)(1)(i) ......................................................
§ 63.6(e)(1)(ii) .....................................................
§ 63.6(e)(1)(iii) ....................................................
§ 63.6(e)(2) .........................................................
§ 63.6(e)(3)(i) ......................................................
No ...............................
Yes.
Yes.
No ...............................
Yes.
§ 63.6(e)(3)(i)(A) .................................................
§ 63.6(e)(3)(i)(B) .................................................
§ 63.6(e)(3)(i)(C) .................................................
§ 63.6(e)(3)(ii) .....................................................
§ 63.6(e)(3)(iii) through (3)(vi) .............................
§ 63.6(e)(3)(vii) ...................................................
§ 63.6(e)(3)(vii) (A) .............................................
§ 63.6(e)(3)(vii) (B) .............................................
No ...............................
Yes.
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes ..............................
§ 63.6(e)(3)(viii) through (ix) ...............................
§ 63.6(f)(1) ..........................................................
§ 63.6(f)(2) ..........................................................
§ 63.6(f)(3) ..........................................................
§ 63.6(g) ..............................................................
§ 63.6(h) ..............................................................
§ 63.6(i)(1) through (i)(14) ..................................
§ 63.6(i)(15) ........................................................
§ 63.6(i)(16) ........................................................
§ 63.6(j) ...............................................................
§ 63.7(a)(1) .........................................................
§ 63.7(a)(2) .........................................................
Yes.
Yes.
Yes.
Yes.
Yes.
No ...............................
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes ..............................
§ 63.7(a)(3) .........................................................
§ 63.7(b) ..............................................................
§ 63.7(c) ..............................................................
§ 63.7(d) ..............................................................
§ 63.7(e)(1) .........................................................
§ 63.7(e)(2) .........................................................
§ 63.7(e)(3) .........................................................
§ 63.7(e)(4) .........................................................
§ 63.7(f) ...............................................................
§ 63.7(g) ..............................................................
§ 63.7(h) ..............................................................
§ 63.8(a)(1) .........................................................
§ 63.8(a)(2) .........................................................
§ 63.8(a)(3) .........................................................
§ 63.8(a)(4) .........................................................
§ 63.8(b)(1) .........................................................
§ 63.8(b)(2) .........................................................
§ 63.8(b)(3) .........................................................
§ 63.8(c)(1) .........................................................
§ 63.8(c)(2) .........................................................
§ 63.8(c)(3) .........................................................
§ 63.8(c)(4) .........................................................
§ 63.8(c)(4)(i) ......................................................
§ 63.8(c)(4)(ii) .....................................................
§ 63.8(c)(5) through (c)(8) ..................................
§ 63.8(d) ..............................................................
§ 63.8(e) ..............................................................
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes ..............................
§ 63.8(f)(1) through (f)(5) ....................................
§ 63.8(f)(6) ..........................................................
§ 63.8(g) ..............................................................
pwalker on PROD1PC71 with RULES
General provisions reference
Yes.
Yes.
No ...............................
§ 63.9(a) ..............................................................
§ 63.9(b)(1) .........................................................
§ 63.9(b)(2) .........................................................
Yes.
Yes.
Yes ..............................
§ 63.9(b)(3) .........................................................
§ 63.9(b)(4) .........................................................
§ 63.9(b)(5) .........................................................
No ...............................
Yes.
Yes.
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Explanation
Except as otherwise specified. Addressed in § 63.762.
Section reserved.
Sources exempt under § 63.764(e) and sources located outside UA
plus offset and UC boundaries are not required to develop startup,
shutdown, and malfunction plans as stated in § 63.762(e).
Except as otherwise specified. Addressed in § 63.762(c).
Section reserved.
Except that the plan must provide for operation in compliance with
§ 63.762(c).
Subpart HH does not contain opacity or visible emission standards.
Section reserved.
But the performance test results must be submitted within 180 days
after the compliance date.
Section reserved.
Subpart HH does not require continuous opacity monitors.
Subpart HH does not specifically require continuous emissions monitor performance evaluation, however, the Administrator can request that one be conducted.
Subpart HH specifies continuous monitoring system data reduction
requirements.
Existing sources are given 1 year (rather than 120 days) to submit
this notification. Major and area sources that meet § 63.764(e) do
not have to submit initial notifications.
Section reserved.
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Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
TABLE 2 TO SUBPART HH OF PART 63.—APPLICABILITY OF 40 CFR PART 63 GENERAL PROVISIONS TO SUBPART HH—
Continued
Applicable to subpart
HH
§ 63.9(c) ..............................................................
§ 63.9(d) ..............................................................
§ 63.9(e) ..............................................................
§ 63.9(f) ...............................................................
§ 63.9(g)(1) .........................................................
§ 63.9(g)(2) .........................................................
§ 63.9(g)(3) .........................................................
§ 63.9(h)(1) through (h)(3) ..................................
Yes.
Yes.
Yes.
No ...............................
Yes.
No ...............................
Yes.
Yes ..............................
§ 63.9(h)(4) .........................................................
§ 63.9(h)(5) through (h)(6) ..................................
§ 63.9(i) ...............................................................
§ 63.9(j) ...............................................................
§ 63.10(a) ............................................................
§ 63.10(b)(1) .......................................................
No ...............................
Yes.
Yes.
Yes.
Yes.
Yes.
§ 63.10(b)(2) .......................................................
§ 63.10(b)(3) .......................................................
Yes.
Yes ..............................
§ 63.10(c)(1) .......................................................
§ 63.10(c)(2) through (c)(4) ................................
§ 63.10(c)(5) through (c)(8) ................................
§ 63.10(c)(9) .......................................................
§ 63.10(c)(10) through(c)(15) .............................
§ 63.10(d)(1) .......................................................
§ 63.10(d)(2) .......................................................
Yes.
No ...............................
Yes.
No ...............................
Yes.
Yes.
Yes ..............................
§ 63.10(d)(3) .......................................................
§ 63.10(d)(4) .......................................................
§ 63.10(d)(5)(i) ....................................................
Yes.
Yes.
Yes ..............................
§ 63.10(e)(1) .......................................................
Yes ..............................
§ 63.10(e)(2) .......................................................
Yes ..............................
§ 63.10(e)(3)(i) ....................................................
Yes ..............................
§ 63.10(e)(3)(i)(A) ...............................................
§ 63.10(e)(3)(i)(B) ...............................................
§ 63.10(e)(3)(i)(C) ...............................................
§ 63.10(e)(3)(ii) through (viii) ..............................
§ 63.10(f) .............................................................
§ 63.11(a) and (b) ...............................................
§ 63.12(a) through (c) .........................................
§ 63.13(a) through (c) .........................................
§ 63.14(a) and (b) ...............................................
§ 63.15(a) and (b) ...............................................
§ 63.16 ................................................................
pwalker on PROD1PC71 with RULES
General provisions reference
Yes.
Yes.
No ...............................
Yes.
Yes.
Yes.
Yes.
Yes.
Yes.
Yes
Yes.
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Explanation
Subpart HH does not have opacity or visible emission standards.
Subpart HH does not have opacity or visible emission standards.
Area sources located outside UA plus offset and UC boundaries are
not required to submit notifications of compliance status.
Section reserved.
§ 63.774(b)(1) requires sources to maintain the most recent 12
months of data on site and allows offsite storage for the remaining
4 years of data.
§ 63.774(b)(1) requires sources to maintain the most recent 12
months of data on site and allows offsite storage for the remaining
4 years of data.
Sections reserved.
Section reserved.
Area sources located outside UA plus offset and UC boundaries do
not have to submit performance test reports.
Subpart HH requires major sources to submit a startup, shutdown,
and malfunction report semi-annually. Area sources located within
UA plus offset and UC boundaries are required to submit startup,
shutdown, and malfunction reports annually. Area sources located
outside UA plus offset and UC boundaries are not required to submit startup, shutdown, and malfunction reports.
Area sources located outside UA plus offset and UC boundaries are
not required to submit reports.
Area sources located outside UA plus offset and UC boundaries are
not required to submit reports.
Subpart HH requires major sources to submit Periodic Reports semiannually. Area sources are required to submit Periodic Reports annually. Area sources located outside UA plus offset and UC boundaries are not required to submit reports.
Section reserved.
Sfmt 4700
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03JAR1
Federal Register / Vol. 72, No. 1 / Wednesday, January 3, 2007 / Rules and Regulations
[FR Doc. E6–22413 Filed 12–29–06; 8:45 am]
BILLING CODE 6560–50–P
ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Part 261
[SW–FRL–8264–7]
Hazardous Waste Management
System; Identification and Listing of
Hazardous Waste; Final Exclusion
Environmental Protection
Agency.
ACTION: Final Rule.
AGENCY:
SUMMARY: Environmental Protection
Agency (EPA) is granting a petition
submitted by General Motors
Corporation-Arlington Truck Assembly
Plant (GM-Arlington) to exclude (or
delist) a wastewater treatment plant
(WWTP) sludge generated by GMArlington in Arlington, TX from the lists
of hazardous wastes. This final rule
responds to the petition submitted by
GM-Arlington to delist F019 WWTP
sludge generated from the facility’s
waste water treatment plant.
After careful analysis and use of the
Delisting Risk Assessment Software
(DRAS), EPA has concluded the
petitioned waste is not hazardous waste.
This exclusion applies to 3,000 cubic
yards per year of the F019 WWTP
sludge. Accordingly, this final rule
excludes the petitioned waste from the
requirements of hazardous waste
regulations under the Resource
Conservation and Recovery Act (RCRA)
when it is disposed in a Subtitle D
Landfill.
January 3, 2007.
The public docket for this
final rule is located at the
Environmental Protection Agency
Region 6, 1445 Ross Avenue, Dallas,
Texas 75202, and is available for
viewing in EPA Freedom of Information
Act review room on the 7th floor from
9 a.m. to 4 p.m., Monday through
Friday, excluding Federal holidays. Call
(214) 665–6444 for appointments. The
reference number for this docket is ‘‘F–
05–TXDEL–GM-Arlington.’’. The public
may copy material from any regulatory
docket at no cost for the first 100 pages
and at a cost of $0.15 per page for
additional copies.
FOR FURTHER INFORMATION CONTACT: Ben
Banipal, Section Chief of the Corrective
Action and Waste Minimization
Section, Multimedia Planning and
Permitting Division (6PD–C),
Environmental Protection Agency
Region 6, 1445 Ross Avenue, Dallas,
EFFECTIVE DATE:
pwalker on PROD1PC71 with RULES
ADDRESSES:
VerDate Aug<31>2005
17:09 Dec 29, 2006
Jkt 211001
Texas 75202. For technical information
concerning this notice, contact
Youngmoo Kim, Environmental
Protection Agency Region 6, 1445 Ross
Avenue, (6PD–C), Dallas, Texas 75202,
at (214) 665–6788, or
kim.youngmoo@epa.gov.
SUPPLEMENTARY INFORMATION: The
information in this section is organized
as follows:
I. Overview Information
A. What action is EPA finalizing?
B. Why is EPA approving this action?
C. What are the limits of this exclusion?
D. How will GM-Arlington manage the
waste if it is delisted?
E. When is the final delisting exclusion
effective?
F. How does this final rule affect states?
II. Background
A. What is a delisting?
B. What regulations allow facilities to
delist a waste?
C. What information must the generator
supply?
III. EPA’s Evaluation of the Waste
Information and Data
A. What waste did GM-Arlington petition
EPA to delist?
B. How much waste did GM-Arlington
propose to delist?
C. How did GM-Arlington sample and
analyze the waste data in this petition?
IV. Public Comments Received on the
proposed exclusion
A. Who submitted comments on the
proposed rule?
B. What were the comments and what are
EPA’s responses to them?
V. Statutory and Executive Order Reviews
I. Overview Information
A. What action is EPA finalizing?
After evaluating the petition, EPA
proposed, on July 19, 2005, to exclude
the waste water treatment plant sludge
from the lists of hazardous waste under
40 CFR 261.31 and 261.32 (see 70 FR
41358). EPA is finalizing the decision to
grant GM-Arlington’s delisting petition
to have its waste water treatment sludge
managed and disposed as nonhazardous waste provided certain
verification and monitoring conditions
are met.
B. Why is EPA approving this action?
GM-Arlington’s petition requests a
delisting from the F019 waste listing
under 40 CFR 260.20 and 260.22. GMArlington does not believe that the
petitioned waste meets the criteria for
which EPA listed it. GM-Arlington also
believes no additional constituents or
factors could cause the waste to be
hazardous. EPA’s review of this petition
included consideration of the original
listing criteria and the additional factors
required by the Hazardous and Solid
Waste Amendments of 1984. See section
3001(f) of RCRA, 42 U.S.C. 6921(f), and
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Sfmt 4700
43
40 CFR 260.22 (d)(1)–(4) (hereinafter all
sectional references are to 40 CFR
unless otherwise indicated). In making
the final delisting determination, EPA
evaluated the petitioned waste against
the listing criteria and factors cited in
§ 261.11(a)(2) and (a)(3). Based on this
review, EPA agrees with the petitioner
that the waste is nonhazardous with
respect to the original listing criteria. If
EPA had found, based on this review,
that the waste remained hazardous
based on the factors for which the waste
as originally listed, EPA would have
proposed to deny the petition. EPA
evaluated the waste with respect to
other factors or criteria to assess
whether there is a reasonable basis to
believe that such additional factors
could cause the waste to be hazardous.
EPA considered whether the waste is
acutely toxic, the concentration of the
constituents in the waste, their tendency
to migrate and to bioaccumulate, their
persistence in the environment once
released from the waste, plausible and
specific types of management of the
petitioned waste, the quantities of waste
generated, and waste variability. EPA
believes that the petitioned waste does
not meet the listing criteria and thus
should not be a listed waste. EPA’s final
decision to delist waste from GMArlington’s facility is based on the
information submitted in support of this
rule, including descriptions of the
wastes and analytical data from the
Arlington, Texas facility.
C. What are the limits of this exclusion?
This exclusion applies to the waste
described in the petition only if the
requirements described in 40 CFR Part
261, Appendix IX, Table 1 and the
conditions contained herein are
satisfied.
D. How will GM-Arlington manage the
waste if it is delisted?
The WWTP sludge from GMArlington will be disposed of in a RCRA
Subtitle D landfill.
E. When is the final delisting exclusion
effective?
This rule is effective January 3, 2007.
The Hazardous and Solid Waste
Amendments of 1984 amended Section
3010 of RCRA, 42 U.S.C. 6930(b)(1),
allows rules to become effective less
than six months after the rule is
published when the regulated
community does not need the six-month
period to come into compliance. That is
the case here because this rule reduces,
rather than increases, the existing
requirements for persons generating
hazardous waste. This reduction in
existing requirements also provides a
E:\FR\FM\03JAR1.SGM
03JAR1
Agencies
[Federal Register Volume 72, Number 1 (Wednesday, January 3, 2007)]
[Rules and Regulations]
[Pages 26-43]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-22413]
-----------------------------------------------------------------------
ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 63
[EPA-HQ-OAR-2004-0238; FRL-8264-1]
RIN 2060-AM16
National Emission Standards for Hazardous Air Pollutants for
Source Categories From Oil and Natural Gas Production Facilities
AGENCY: Environmental Protection Agency (EPA).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This action promulgates national emission standards for
hazardous air pollutants to regulate hazardous air pollutant emissions
from oil and natural gas production facilities that are area sources.
The final national emission standards for hazardous air pollutants for
major sources was promulgated on June 17, 1999, but final action with
respect to area sources was deferred. Oil and natural gas production is
identified in the Urban Air Toxics Strategy as an area source category
for regulation under section 112(c)(3) of the Clean Air Act because of
benzene emissions from triethylene glycol dehydration units located at
such facilities. This final rule also amends a general provision in the
regulation to allow the use of an ASTM standard as an alternative test
method to EPA Method 18 in the National Emission Standards for
Hazardous Air Pollutants From Oil and Natural Gas Production
Facilities.
DATES: This final rule is effective on January 3, 2007. The
incorporation by reference of certain publications listed in these
rules is approved by the Director of the Federal Register as of January
3, 2007.
ADDRESSES: EPA has established a docket for this action under Docket ID
No. EPA-HQ-OAR-2004-0238. All documents in the docket are listed either
on the www.regulations.gov Web site or in the legacy docket, A-94-04.
Although listed in the index, some information is not publicly
available, e.g., confidential business information or other information
whose disclosure is restricted by statute. Certain other material, such
as copyrighted material, is not placed on the Internet and will be
publicly available only in hard copy form. Publicly available docket
materials are available either electronically through
www.regulations.gov or in hard copy at the Air and Radiation Docket,
EPA West, Room B-102, 1301 Constitution Ave., NW., Washington, DC. The
Public Reading Room is open from 8:30 a.m. to 4:30 p.m., Monday through
Friday, excluding legal holidays. The telephone number for the Public
Reading Room is (202) 566-1744, and the telephone number for the Air
and Radiation Docket is (202) 566-1742. Note: The EPA Docket Center
suffered damage due to flooding during the last week of June 2006. The
Docket Center is continuing to operate. However, during the cleanup,
there will be temporary changes to Docket Center telephone numbers,
addresses, and hours of operation for people who wish to make hand
deliveries or visit the Public Reading Room to view documents. Consult
EPA's Federal Register notice at 71 FR 38147 (July 5, 2006) or the EPA
Web site at https://www.epa.gov/epahome/dockets.htm for current
information on docket operations, locations, and telephone numbers. The
Docket Center's mailing address for U.S. mail and the procedure for
submitting comments to www.regulations.gov are not affected by the
flooding and will remain the same.
FOR FURTHER INFORMATION CONTACT: Greg Nizich, Office of Air Quality
Planning and Standards, Sector Policies and Programs Division, Coatings
and Chemicals Group (E143-01), Environmental Protection Agency,
Research Triangle Park, NC 27711; telephone number: (919) 541-3078; fax
number: (919) 541-0246; e-mail address: nizich.greg@epa.gov.
SUPPLEMENTARY INFORMATION: Regulated Entities. Entities potentially
affected by this final rule include, but are not limited to, the
following:
------------------------------------------------------------------------
Examples of regulated
Category NAICS Code* entities
------------------------------------------------------------------------
Industry.................. 211111, 211112 Condensate tank batteries,
glycol dehydration units,
and natural gas
processing plants.
------------------------------------------------------------------------
* North American Industry Classification System.
This table is not intended to be exhaustive, but rather provides a
guide for readers regarding entities likely to be regulated by this
action. To determine whether your facility would be regulated by this
action, you should examine the applicability criteria in 40 CFR part
63, subpart HH, National Emissions Standards for Hazardous Air
Pollutants From Oil and Natural Gas Production Facilities. If you have
any questions regarding the applicability of this action to a
particular entity, consult the person listed in the preceding FOR
FURTHER INFORMATION CONTACT section.
Worldwide Web (WWW). In addition to being available in the docket,
an electronic copy of this final rule is also
[[Page 27]]
available on the Worldwide Web (WWW) through the Technology Transfer
Network (TTN). Following the Administrator's signature, a copy of this
final rule will be posted on the TTN's policy and guidance page for
newly proposed or promulgated rules at https://www.epa.gov/ttn/oarpg/.
The TTN provides information and technology exchange in various areas
of air pollution control.
Judicial Review. Under section 307(b)(1) of the Clean Air Act
(CAA), judicial review of this final rule is available by filing a
petition for review in the United States Court of Appeals for the
District of Columbia Circuit by March 5, 2007. Only those objections to
this final rule that were raised with reasonable specificity during the
period for public comment may be raised during judicial review. Under
section 307(b)(2) of the CAA, the requirements that are the subject of
this final rule may not be challenged later in civil or criminal
proceedings brought by EPA to enforce these requirements.
Section 307(d)(7)(B) of the CAA further provides a mechanism for us
to convene a proceeding for reconsideration, ``[i]f the person raising
an objection can demonstrate to the EPA that it was impracticable to
raise such objection within [the period for public comment] or if the
grounds for such objection arose after the period for public comment
(but within the time specified for judicial review) and if such
objection is of central relevance to the outcome of the rule.'' Any
person seeking to make such a demonstration to us should submit a
Petition for Reconsideration to the Office of the Administrator, U.S.
EPA, Room 3000, Ariel Rios Building, 1200 Pennsylvania Ave., NW.,
Washington, DC 20460, with a copy to both the person(s) listed in the
preceding FOR FURTHER INFORMATION CONTACT section, and the Associate
General Counsel for the Air and Radiation Law Office, Office of General
Counsel (Mail Code 2344A), U.S. EPA, 1200 Pennsylvania Ave., NW.,
Washington, DC 20460.
Organization of this Document. The information presented in this
preamble is organized as follows:
I. Background Information
A. What is the statutory authority for this final rule?
B. What criteria are used in the development of area source
standards?
C. How was this final rule developed?
II. Summary of This Final Rule
A. What source categories are affected by this final rule?
B. What is the affected source?
C. What pollutants are emitted and controlled?
D. Does this final rule apply to me?
E. What are the emission limitations and work practice
standards?
F. What are the testing and initial compliance requirements?
G. What are the continuous compliance requirements?
III. Significant Changes Since Proposal
A. Compliance Dates
B. Applicability Requirements
C. Startup, Shutdown, and Malfunction Requirements
IV. Responses To Significant Comments
A. What geographic applicability criteria is being used in this
final rule?
B. What urban definition is being used in this final rule?
C. What are the requirements for remote/unmanned sources?
V. Impacts of This Final Rule
A. What Are The Air Impacts?
B. What Are The Cost Impacts?
C. What Are The Economic Impacts?
D. What Are The Non-Air Environmental and Energy Impacts?
VI. Statutory and Executive Order Reviews
A. Executive Order 12866: Regulatory Planning and Review
B. Paperwork Reduction Act
C. Regulatory Flexibility Act
D. Unfunded Mandates Reform Act of 1995
E. Executive Order 13132: Federalism
F. Executive Order 13175: Consultation and Coordination With
Indian Tribal Governments
G. Executive Order 13045: Protection of Children From
Environmental Health Risks and Safety Risks
H. Executive Order 13211: Actions Concerning Regulations That
Significantly Affect Energy Supply, Distribution, or Use
I. National Technology Transfer and Advancement Act
J. Congressional Review Act
I. Background Information
A. What is the statutory authority for this final rule?
Sections 112(c)(3) and 112(k)(3)(B) of the CAA instruct us to
identify not less than 30 hazardous air pollutants (HAP) which, as a
result of emissions from area sources,\1\ present the greatest threat
to public health in the largest number of urban areas, and to list
sufficient source categories or subcategories to ensure that 90 percent
of the emissions of the listed HAP (area source HAP) are subject to
regulation. CAA Section 112(c)(3) requires us to regulate these listed
area source categories under CAA section 112(d). Section 112(d)(5) of
the CAA provides us with the discretion to set standards for area
sources according to generally available control technologies (GACT) or
management practices in lieu of maximum achievable control technologies
(MACT). Unlike MACT, there is no prescription in CAA section 112(d)(5)
that standards for existing sources must, at a minimum, be set at the
level of emission reduction achieved by the best performing 12 percent
of existing sources, or that standards for new sources be set at the
level of emission reduction achieved in practice by the best controlled
similar source. The legislative history suggests that standards under
CAA section 112(d)(5) should ``[reflect] application of generally
available control technology--that is, methods, practices, and
techniques which are commercially available and appropriate for
application by the sources in the category considering economic impacts
and the technical capabilities of the firms to operate and maintain the
emissions control systems.'' SEN. REP. NO. 101-228, at 171 (1989).
Thus, by contrast to MACT, CAA section 112(d)(5) allows us to consider
various factors in determining the appropriate standard for a given
area source category.
---------------------------------------------------------------------------
\1\ Under section 112(a) of the CAA, an area source is a
stationary source that is not a major source. A major source, as
defined under section 112(a) of the CAA, is a stationary source or a
group of stationary sources located within a contiguous area and
under common control that emits or has the potential to emit
considering controls, in the aggregate, 10 tons per year or more of
any HAP or 25 tons per year or more of any combination of HAP.
---------------------------------------------------------------------------
B. What criteria are used in the development of area source standards?
We are issuing standards for this area source category under CAA
section 112(d)(5), in lieu of a MACT standard. There are factors
relevant to this area source category that warrant our consideration,
and we can properly assess those factors under section 112(d)(5) of the
CAA. For example, the locations of oil and natural gas production
sources are dictated by the locations of the relevant natural resources
rather than a need to serve a particular population center. In
addition, these sources do not typically require on-site operators and
are usually not manned by large staff, if manned at all. Given the
unique nature of these sources, many of these sources are located in
remote areas. We believe that a CAA section 112(d)(5) standard is
appropriate because it would allow us to adequately address these and
other relevant factors, including costs, in promulgating these national
emission standards for hazardous air pollutants (NESHAP).
C. How was this final rule developed?
We initially proposed NESHAP for the Oil and Natural Gas Production
source category on February 6, 1998 (63 FR 6288) that addressed both
major and area source oil and natural gas production facilities. CAA
Section
[[Page 28]]
112(c)(3) authorizes us to list for regulation an area source category
``which the Administrator finds present a threat of adverse effects to
human health or the environment * * * warranting regulation.'' In the
1998 proposed NESHAP, we proposed to regulate this area source category
pursuant to CAA section 112(c)(3) due to the risks from exposure to
benzene emissions from triethylene glycol (TEG) dehydration units at
these area sources. Public comments were solicited at the time of the
proposal. We received 29 comment letters on the proposed area source
standards. On June 17, 1999, we promulgated the NESHAP for major
sources of oil and natural gas production (64 FR 32610) but did not
finalize either the 1998 proposed listing of this area source category
for regulation or the proposed area source standards. Instead, on July
19, 1999, we published the Urban Air Toxics Strategy (Strategy) (64 FR
38706, July 19, 1999). The Strategy included benzene as one of the 30
listed area source HAP under CAA section 112(k)(3)(B)(i). The Strategy
also listed oil and natural gas production for regulation under CAA
section 112(k)(3)(B)(ii) because TEG dehydration units at oil and
natural gas production facilities contributed approximately 47 percent
of the national urban benzene emissions from area sources. On July 8,
2005 (70 FR 39443), we published a supplemental proposal to the 1998
proposed area source standards. The 60-day comment period ended on
September 6, 2005, and we received 18 comment letters on the
supplemental proposal. Today's final rule reflects our consideration of
all of the comments received on both the 1998 and 2005 proposed
standards for area sources of oil and natural gas production.
II. Summary of This Final Rule
A. What source categories are affected by this final rule?
This final rule affects area source oil and natural gas production
facilities. An oil and natural gas production facility processes,
upgrades, or stores (1) hydrocarbon liquids (with the exception of
those facilities that exclusively handle black oil) to the point of
custody transfer and (2) natural gas from the well up to and including
the natural gas processing plant.
B. What is the affected source?
In this final rule, the affected source is defined as each TEG
dehydration unit located at an area source oil and natural gas
production facility. Other types of dehydration units or other emission
points (e.g., equipment leaks) at area source oil and natural gas
production facilities are not a part of the affected source.
C. What pollutants are emitted and controlled?
The primary HAP associated with oil and natural gas production
facilities include benzene, toluene, ethylbenzene, and mixed xylenes
and n-hexane. Only benzene is listed under CAA section 112(k)(3)(B)(i)
as one of the 30 area source HAP. Benzene is classified as a known
human carcinogen based on convincing human evidence (such as observed
increases in the incidence of leukemia in exposed workers), as well as
supporting evidence from animal studies. In addition, short-term
inhalation of high benzene levels may cause nervous system effects such
as drowsiness, dizziness, headaches, and unconsciousness in humans. At
even higher concentrations of benzene, exposure may cause death, while
lower concentrations may irritate the skin, eyes, and upper respiratory
tract. Long-term inhalation exposure to benzene may cause various
disorders of the blood and toxicity to the immune system. Reproductive
disorders in women, as well as developmental effects in animals, have
also been reported for benzene exposure.
Benzene emissions from TEG dehydration units at oil and natural gas
production facilities contributed approximately 47 percent of the
nationwide urban area source benzene emissions. Accordingly, this final
rule regulates benzene emissions from TEG dehydration units at area
source oil and natural gas production facilities.
D. Does this final rule apply to me?
You are subject to emissions reduction requirements in this final
rule if you own or operate a TEG dehydration unit with an actual annual
average natural gas flow rate equal to or greater than 85 thousand
standard cubic meters per day (thousand m\3\/day) (3 million standard
cubic feet per day (MMSCF/D)), and with benzene emissions equal to or
greater than 0.90 Megagrams per year (Mg/yr) (1.0 ton per year (tpy)).
E. What are the emission limitations and work practice standards?
We created three subcategories of sources in this final rule. We
created a subcategory of TEG dehydration units with either an annual
average natural gas flowrate less than 85 thousand m\3\/day (3 MMSCF/D)
or benzene emissions less than 0.90 Mg/yr (1.0 tpy). As explained in
the supplemental proposed rule, we determined that GACT is no control
for these sources. We did not receive any comments on this
determination.
As for those TEG dehydration units with an annual average natural
gas flow rate equal to or greater than 85 thousand m\3\/day (3 MMSCF/D)
and benzene emissions equal to or greater than 0.90 Mg/yr (1.0 tpy), we
subcategorized these units based on their locations with regard to
areas of higher population densities. In evaluating population density,
we started with the U.S. Census Bureau terms of ``urbanized area'' and
``urban cluster.'' Upon evaluating the characteristics of this area
source category, we define areas of higher population densities to be
urbanized areas (UA),\2\ urban clusters (UC) \3\ that contain 10,000
people or more,\4\ and the area located two miles \5\ or less from each
UA boundary. For ease of reference, this final rule refers to these
areas as ``UA plus offset and UC.'' As mentioned above, UA and UC are
terms used by the United States Census Bureau to identify densely
settled areas. Among other Census Bureau criteria, an UA has a
population of at least 50,000 people, and an UC has a population of at
least 2,500, but less than 50,000 people.
---------------------------------------------------------------------------
\2\ Urbanized area (UA) refers to Census 2000 Urbanized Area,
which is defined in the Urban Area Criteria for Census 2000, 67 FR
11663, 11667 (March 15, 2002). Essentially, an UA consists of
densely settled territory with a population of at least 50,000
people.
\3\ Urban cluster (UC) refers to Census 2000 Urban Cluster,
which is defined in the Urban Area Criteria for Census 2000, 67 FR
11667. Essentially, an UC consists of densely settled territory with
at least 2,500 people, but fewer than 50,000 people.
\4\ This final rule does not cover all UC areas, but only those
UC areas that contain 10,000 people or more, which are used to
construct Census 2000 core-based statistical areas (65 FR 82233).
\5\ We determined the 2-mile offset distance by reviewing maps
of different UA areas and measuring the distance across the largest
pockets or holes within the UA footprint. Since our evaluations
showed that the largest distance was just under 4 miles across, we
decided to use one half of that distance, i.e., 2 miles, as the
offset distance. This would ensure that any sources located within a
pocket or hole would be controlled as part of the UA source-group.
Since we did not find the presence of holes in UC's, no offset is
provided.
---------------------------------------------------------------------------
For those area source TEG dehydration units with natural gas
throughput and benzene emission rates above the cutoff levels described
above that are located within the UA plus offset and UC boundary, we
are requiring, pursuant to CAA section 112(d)(5), that each such unit
be connected, through a closed vent system, to one or more emission
control devices. The control devices must: (1) Reduce HAP emissions by
95 percent or more (generally by a condenser with a
[[Page 29]]
flash tank); or (2) reduce HAP emissions to an outlet concentration of
20 parts per million by volume (ppmv) or less (for combustion devices);
or (3) reduce benzene emissions to a level less than 0.90 Mg/yr (1.0
tpy). As an alternative to complying with these control requirements,
pollution prevention measures such as process modifications or
combinations of process modifications and one or more control devices
that reduce the amount of HAP generated, are allowed provided that they
achieve the same required emission reductions.
For those area source TEG dehydration units with natural gas
throughput and benzene emission rates above the cutoff levels described
above that are located outside of UA plus offset and UC boundaries, we
are requiring, pursuant to CAA section 112(d)(5), that each unit reduce
emissions by lowering the glycol circulation rate to be less than or
equal to an optimum rate. The optimum rate is determined by the
following equation:
[GRAPHIC] [TIFF OMITTED] TR02JA07.000
Where:
LOPT = Optimal circulation rate, gal/hr.
F = Gas flowrate (MMSCF/D).
I = Inlet water content (lb/MMSCF), and
O = Outlet water content (lb/MMSCF).
The constant 3.0 gal TEG/lb H2O is the industry accepted
rule of thumb for a TEG-to-water ratio. The constant 1.15 is an
adjustment factor included for a margin of safety.
We decided to subcategorize in the manner described above for
several reasons. We received a number of comments on both the 1998 and
2005 proposals that this source category contains many sources that are
located in remote areas. Our understanding of this area source category
is consistent with the comment on the remoteness of the locations of
many of these sources. We recognize that the oil and natural gas
production source category is unique compared to many other area source
categories in that the location of these sources is dictated by the
location of the relevant natural resources rather than a need to serve
a particular population center. In addition, sources in this category
do not typically require on-site operators and are usually not manned
by large staff, if manned at all. As previously mentioned, we believe
that the standards need to be tailored to appropriately address these
unique circumstances.
In conducting our analysis, we compared the impacts of applying the
add-on control requirement described above to TEG dehydration units
nationwide to the impacts of only applying the requirement to units
located in areas of high population densities (i.e., within the UA plus
offset and UC boundary).\6\ Applying the add-on control to the
estimated 2,222 TEG dehydration units nationwide would result in
approximately 13,400 tpy of HAP (4,020 tpy of benzene) emission
reduction. We estimate that these 2,222 TEG dehydration units are
located in States with a combined population of 92 million people.\7\
The annual cost for this option was estimated to be $39 million. We
then evaluated the impacts of applying the add-on control requirement
to only those TEG dehydration units located within UA plus offset and
UC boundaries. We estimated 50 TEG dehydration units in this area with
a combined population of 80 million people. This scenario would result
in a 300 tpy HAP (90 tpy of benzene) emission reduction and an annual
cost of compliance of $883 thousand. Thus, extending the add-on control
requirement to sources outside the UA plus offset and UC boundaries
would result in an additional annual cost exceeding $38 million in an
area with a combined population of 12 million people. This analysis
showed that the overall cost of controlling units outside UA plus
offset and UC boundaries was much higher for a lower population.
---------------------------------------------------------------------------
\6\ Because we have determined that GACT is no control for units
below the natural gas throughput and benzene emission threshold, we
only considered the impacts of sources above the thresholds.
\7\ We are using an approach by which we are evaluating the
affected TEG dehydration units relative to the populations contained
in the top 13 natural gas producing States (Texas, New Mexico,
Oklahoma, Wyoming, Louisiana, Colorado, Alaska, Kansas, California,
Utah, Michigan, Alabama, and Mississippi). This approach is
consistent with that used in the July 2005 proposal (70 FR 39446).
---------------------------------------------------------------------------
Since the areas located outside UA plus offset and UC boundaries
are sparsely populated compared to those inside UA plus offset and UC
boundaries, we do not believe the additional cost associated with
extending the add-on control requirement to sources in this area is
justified. Under this final rule, the add-on control requirement
applies only to sources located within the UA plus offset and UC
boundaries. Section 112(d)(5) of the CAA authorizes us to set standards
for area sources that provide for the use of generally available
management practices by sources to reduce HAP emissions. Pursuant to
CAA section 112(d)(5), we have prescribed a management practice for
sources located outside the UA plus offset and UC boundaries. We have
determined that adjusting the TEG circulation rate is an appropriate
management practice for several reasons. First, by lowering the TEG
circulation rate, the amount of glycol that comes in contact with the
natural gas is reduced, thereby lowering the amount of HAP (e.g.,
benzene) that is absorbed by the glycol and subsequently emitted
through the reboiler vent when the glycol is regenerated. We estimate
that the HAP emissions reduction is approximately 7,600 tpy (2,400 tpy
of benzene) for the approximately 2,172 sources located outside UA plus
offset and UC boundaries. Second, reducing the TEG circulation rate has
the added benefit of reducing natural gas losses. Natural gas is also
absorbed by the TEG, and subsequently emitted through the reboiler
vent. The amount of natural gas vented is directly proportional to the
TEG circulation rate. Lowering the TEG circulation rate has a direct
impact on the amount of natural gas lost. Third, optimizing the TEG
circulation rate can be achieved without sacrificing the performance of
the TEG dehydration unit. Fourth, this process variable does not
require the presence of an on-site operator to maintain and, thus,
would be an achievable option for unmanned sources. Finally, the TEG
circulation rate can be optimized for minimal capital cost (e.g., a new
pump may be required) and could result in an annual cost savings due to
the reduction of the natural gas losses. Therefore, this final rule
requires each TEG dehydration unit at area source oil and natural gas
production facilities located outside of UA plus offset and UC
boundaries to reduce emissions by optimizing the TEG circulation rate.
F. What are the testing and initial compliance requirements?
To demonstrate that the actual annual average natural gas flowrate
of your TEG dehydration unit is less than 85 thousand m3/day
(3 MMSCF/D), this final rule specifies that you must determine the
natural gas flow rate using either a flow measurement device or another
method approved by the Administrator. To demonstrate that your TEG
dehydration unit emits less than 0.90 Mg/yr (1.0 tpy) of benzene, this
final rule specifies that you must determine its emissions using either
GRI-GLYCalcTM, Version 3.0 or higher, or direct measurement.
For TEG dehydration units that have an actual annual average
natural gas flowrate and benzene emission rate at or above the cut-off
levels mentioned above and are located within the UA
[[Page 30]]
plus offset and UC boundaries, the source must submit Notification of
Compliance Status Reports, inspect/test the closed-vent system and
control device(s), and establish monitoring parameter values. If the
unit is above the cut-offs and located outside the UA plus offset and
UC boundaries, the source only has to submit an Initial Notification
which must include a certified statement of future compliance.
We are finalizing the change proposed in the July 8, 2005 notice to
allow ASTM D6420-99 (2004) as an alternative where EPA Method 18 is
specified. The General Provisions of 40 CFR part 63 will be amended to
incorporate the approved method by reference for 40 CFR part 63,
subpart HH. See section VI.J. for further discussion.
G. What are the continuous compliance requirements?
Area sources within UA plus offset and UC boundaries are required
to submit periodic reports on an annual basis, instead of semiannually,
as is required for major sources. Continuous compliance requirements
include submitting periodic reports, conducting annual inspections of
closed-vent systems, repairing leaks and defects, conducting the
required monitoring, and maintaining the required records. As described
in the 1998 proposal and the 2005 proposal, these monitoring,
recordkeeping, and reporting requirements are the same as those
required for major sources except for the frequency of submittal for
periodic reports. Sources outside the UA plus offset and UC boundaries
must maintain a record of the circulation rate determination.
III. Significant Changes Since Proposal
A. Compliance Dates
The compliance date provisions for existing sources in this final
rule differ from the two proposed rules in two respects. First, because
we have added a management practice requirement to this final rule, we
included a 2-year compliance deadline for existing sources subject to
this requirement. The management practice requirement would require, at
most, that a source install a new glycol pump to optimize the TEG
circulation rate. We believe that 2 years is a sufficient length of
time in which to install and operate the glycol pump at the optimum
circulation rate. We considered making the compliance deadline 1 year,
however we decided that given the estimated 2,172 sources required to
implement this management practice, a 2-year compliance period was more
appropriate.
Second, we use the date of the 1998 proposed rule for defining
existing and new sources in ``Urban-1'' counties only. In the 2005
supplemental proposal, we used the date of the 1998 proposed rule to
define new and existing sources in both Urban-1 and ``Urban-2''
counties, because we had proposed to regulate sources in these counties
in the 1998 proposed rule.\8\ Since then, we concluded that defining
existing and new sources in Urban-2 counties based on the date of the
1998 proposed rule would be inappropriate because the 1998 proposed
rule contained an inaccurate definition for Urban-2 and, therefore, did
not provide adequate notice to sources in Urban-2 counties.
Accordingly, this final rule uses the date of the 1998 proposal for
defining existing and new sources in Urban-1 counties only. For sources
in areas other than Urban-1 counties, this final rule determines
existing and new sources based on the date of the 2005 supplemental
proposal.
---------------------------------------------------------------------------
\8\ Both the 1998 and 2005 proposed rules provided definitions
for ``Urban-1'' and ``Urban-2.'' However, we did not accurately
define ``Urban-2'' in the 1998 proposed rule. The definition for
``Urban-2'' was corrected in the 2005 supplemental proposed rule.
---------------------------------------------------------------------------
Table 1 of this preamble presents compliance dates for existing and
new sources for this final rule.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
and the
For an affected source located in a county we where the source was constructed/ then the source compliance date
classified as * * * and is located * * * reconstruct-ed * * * is * * * for that source
would be * * *
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(a) Urban-1 based on 2000 census data,............. within any UA plus offset and UC boundary,................. before February 6, 1998,.................. Existing......... January 5,
2010.
(b) Urban-1 based on 2000 census data,............. Not within any UA plus offset and UC boundary,............. before February 6, 1998,.................. Existing......... January 5,
2009.
(c) Urban-1 based on 2000 census data,............. either within or outside any UA plus offset and UC on or after February 6, 1998,............. New.............. January 3, 2007
boundary,. or startup,
whichever is
later.
(d) Not Urban-1 based on 2000 census data,......... within any UA plus offset and UC boundary,................. before July 8, 2005,...................... Existing......... January 4,
2010.
(e) Not Urban-1 based on 2000 census data,......... Not within any UA plus offset and UC boundary,............. before July 8, 2005,...................... Existing......... January 5,
2009.
(f) Not Urban-1 based on 2000 census data,......... Either within or outside any UA plus offset and UC on or after July 8, 2005,................. New.............. January 3, 2007
boundary,. or startup,
whichever is
later.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
B. Applicability Requirements
Whereas the proposed rules proposed applying the add-on control
requirement either nationally or only to TEG dehydration units at
sources located in ``urban'' counties, this final rule applies this
requirement to: Units at area sources located within a UA plus offset
and UC boundary, which is described in section II.E above. Units at
area sources not located within the UA plus offset and UC boundaries
must implement the prescribed management practices (i.e., adjust TEG
circulation rate) for operation of the TEG dehydration unit. Guidance
is available on the Internet at https://www.epa.gov/ttn/atw/oilgas/
oilgaspg.html to assist in determining your location relative to a UA
plus offset and UC boundary, or you can access the Bureau of Census Web
site at https://factfinder.census.gov to generate a map based on the
location of your TEG dehydration unit and calculate the location
relative to the nearest UA plus offset and UC boundaries.
[[Page 31]]
C. Startup, Shutdown, and Malfunction Requirements
This final rule follows the requirements of the General Provisions
(40 CFR part 63, subpart A) regarding startup, shutdown, and
malfunction (SSM) events. Because this final rule only requires area
sources within UA plus offset and UC boundaries to have add-on control,
only sources within the UA plus offset and UC boundaries are subject to
the General Provisions regarding SSM.
IV. Responses to Significant Comments
Our responses to all of the significant public comments on both
proposals are presented in the Response to Comments Document which is
available in Docket No. EPA-HQ-OAR-2004-0238.
A. What Geographic Applicability Criteria is Being Used in this final
rule?
Comment: We proposed two options for the geographic applicability
criteria: (1) all TEG dehydration units would be subject to area source
standards (hereinafter referred to as ``Option 1''); and (2) area
source standards would apply to TEG dehydration units located in Urban-
1 and Urban-2 counties (hereinafter referred to as ``Option 2''). We
received comments objecting to Option 1 for primarily two reasons: (1)
EPA does not have the authority to regulate rural sources under the
CAA; and (2) regulation of rural or remote sources is not warranted due
to low exposure risks.
The commenters stated that nationwide applicability is contrary to
the plain language of the CAA, specifically section 112(k). According
to the commenters, CAA section 112(k) is designed to address those
smaller sources of HAP that create unacceptable exposures in
concentrated urban areas; remote, small, or sparsely populated rural
areas, where many dehydrators are located, are therefore not within the
scope of CAA section 112(k)(1). Several commenters stated that there is
no clear indication that emissions from remote sources provide a
meaningful contribution to ambient air toxic levels in urban areas;
therefore, regulating rural sources would not have the effect intended
by the CAA.
We also received comments objecting to Option 1 asserting that
exposure risks from facilities located in rural or remote areas are low
or nonexistent. One commenter stressed that the foundation for the area
source program was based on regulating area sources in a manner that
would result in a public health benefit. The commenter stated that
regulating dehydration units in rural areas, which are sparsely
populated, would not yield the same public health benefits that were
``contemplated'' by the statute.
Response: We believe that the CAA provides the Agency with the
authority to regulate area sources nationwide. CAA section 112(k)(1)
states that ``It is the purpose of this subsection to achieve a
substantial reduction in emissions of hazardous air pollutants from
area sources and an equivalent reduction in the public health risks
associated with such sources including a reduction of not less than 75
per centum in the incidence of cancer attributable to emissions from
such sources.'' Consistent with this expressed purpose of CAA section
112(k) to reduce both emissions and risks, CAA section 112(k)(3)(i)
requires that we list not less than 30 HAP that, as a result of
emissions from area sources, present the greatest threat to public
health in the largest number of urban areas. CAA sections 112(c)(3) and
(k)(3)(ii) require that we list area source categories that represent
not less than 90 percent of the area source emissions of each of the
listed HAP. CAA section 112(c) requires that we issue standards for
listed categories under CAA section 112(d). These relevant statutory
provisions authorize us to regulate listed area source categories and
not just sources located in urban areas.
In both the UATS and our July 8, 2005 supplemental proposal, we
identified the reasons supporting a national rule (e.g., benzene's
toxicity and carcinogenicity, a level playing field, the 75 percent
cancer incidence reduction goal) (64 FR 38724 and 70 FR 39446).
Furthermore, by requiring management practices rather than control
requirements on sources outside the UA plus offset and UC boundaries,
we believe that we have appropriately addressed commenters' concern
with respect to remote sources being subject to unnecessary or costly
requirements.
B. What urban definition is being used in this final rule?
Comment: Several commenters opposed EPA's definition of ``urban
areas.'' According to the commenters, by defining urban areas as
county-wide areas, EPA has expanded urban areas to include large
expanses of rural territories. One commenter stated that a comparison
of land area to population on a county basis shows that the target
population for protection is very thinly distributed. Four commenters
referred to maps noting that the maps show vast areas of the United
States that would be classified as urban areas based on the proposed
definition, but have very low population. The commenters specifically
referred to the State of Wyoming, in which half of the State is
classified as ``urban'' using EPA's proposed definition. One commenter
also pointed out that in Utah, six of the 12 counties designated as
urban using EPA's definition have a population density of less than ten
persons per square mile.
Other commenters stated that some counties with a total population
of less than 5,000, and an average population density of less than two
people per square mile, would be classified as urban under the Urban-2
designation. In order to illustrate the broad geographical
applicability that includes remote locations, the commenters stated
that, based on the Urban-2 definition, urban designations would be
applied to:
14 of 23 counties in Wyoming;
20 of 33 counties in New Mexico;
10 or 17 counties in Nevada; and
17 of 56 counties in Montana.
One commenter stated that EPA's proposed definition of urban areas
would be unnecessarily costly and burdensome on sites located in rural
or remote areas, but classified as urban. One commenter acknowledged
that there has been, and will continue to be, instances of energy
production and population encroachment. However, according to the
commenter, most of the known conventional or unconventional gas supply
basins are likely to remain rural for the foreseeable future.
Response: The statute does not define urban, thus, leaving us the
discretion to define the term. We proposed and took comments on our
definition of the term urban as part of our 1999 UATS. The definition
was the basis for the listing of area source categories pursuant to
section 112(c)(3) and (k)(3)(B)(ii) of the CAA. We are currently under
court-ordered deadlines to complete issuing standards for all listed
area source categories. Changing the definition of urban would mean
recreating an area source category list, which may differ significantly
from the current list and, thus, greatly hinders our effort to complete
our obligation by the court-ordered deadlines. Therefore, we believe
that revisiting the definition of urban is inappropriate at this time.
However, we have tailored this rule to address the unique circumstances
associated with this source category, as described above. Moreover, in
response to comments regarding the nature of remote sources, we
modified this final rule and are only requiring the add-on control
requirement for sources in areas of higher population densities, which
we have identified as areas within the UA plus offset and UC
boundaries. This
[[Page 32]]
rule imposes the less costly management practice requirements on
sources outside the UA plus offset and UC boundaries.
C. What are the requirements for remote/unmanned sources?
Comment: Commenters said if EPA imposes controls on TEG dehydrators
outside of Urban-1 areas, it should adopt a separate (lesser) control
standard for those remote area sources for the following reasons:
It is not justified based on health effects.
Practical considerations prevent operators from achieving
the 95-percent control efficiency on remote, unmanned TEG dehydrators.
Commenters said that in order to meet the 95-percent control
efficiency or the outlet concentration, an operator generally has to
install a system with a forced draft fan for the condenser and a flare
or vapor recovery system. Many remote sources do not have an electric
power supply, which precludes using a forced draft fan. Routing the
vapors to the firebox or fire-tube is not practical in all situations
because the high water vapor content can extinguish the fire. While
flares and vapor recovery systems address this problem, they require
frequent monitoring, which is a problem at unmanned sites that are only
visited infrequently. The lack of electric power supply would make
certain automated monitoring systems impossible.
Commenters said EPA should adopt a separate GACT standard for
facilities outside of ``Urban-1'' areas and ``urbanized areas.'' The
95-percent control efficiency standard could still apply in Urban-1
areas and urbanized areas, but it would not otherwise apply to area
source TEG dehydrators. The commenters recommended that EPA set GACT
for facilities that are not located in Urban-1 or urbanized areas as a
reduction of benzene to a level of less than 1 tpy, and remove the 95-
percent control efficiency requirement. One commenter added that GACT
could also be considered as the installation of a flash tank/condenser
or incinerator process.
Response: We agree with the commenters that it is reasonable to
require a higher level of emission reductions for TEG dehydration units
located in more densely populated areas. We also recognize that the oil
and natural gas source category is unique because there are many area
sources that are located in remote or rural areas. For these reasons
and the reasons discussed above, we have subcategorized to
differentiate between those sources above the cutoff levels identified
above that are located inside UA plus offset and UC boundaries and
those located outside such boundaries. We require installation of
control equipment for TEG dehydration units located inside UA plus
offset and UC boundaries and management practices (i.e., optimized
glycol circulation rate) for units located outside UA plus offset and
UC boundaries. We believe that this approach addresses the commenters'
concerns regarding the control of remote or rural facilities.
V. Impacts of This Final Rule
The environmental and cost impacts for this final rule are
presented in Table 2 of this preamble:
------------------------------------------------------------------------
Existing New
------------------------------------------------------------------------
Total Number of Impacted Facilities......... 2,222 *141
------------------------------------------------------------------------
Facilities Required to Install Add-On Controls
------------------------------------------------------------------------
Number of Facilities........................ 50 3
Emission Reductions (Mg/yr):
HAP..................................... 300 17
VOC..................................... 530 30
Benzene................................. 90 5
Secondary Emissions Increases (Mg/yr):
SO2..................................... <1 <1
NOX..................................... <1 <1
CO...................................... <1 <1
Cost Impacts:
Total Capital Investment (1,000 $/yr)... 850 35
Total Annual Cost (1,000 $/yr).......... 880 50
------------------------------------------------------------------------
Facilities Required to Implement Management Practices
------------------------------------------------------------------------
Number of Facilities........................ 2,172 138
Emission Reductions (Mg/yr):
HAP..................................... 6,900 440
VOC..................................... 14,020 890
Benzene................................. 2,200 140
Cost Impacts:
Total Capital Investment (1,000 $/yr)... 1,700 105
Total Annual Cost without considering 14,200 905
gas savings (1,000 $/yr)...............
Total Annual gas savings (1,000 $/yr)... (12,600) (800)
Total Annual Cost considering gas 1,600 105
savings (1,000 $/yr)...................
------------------------------------------------------------------------
* New source estimates are estimated by determining the average number
of new sources per year.
A. What Are the Air Impacts?
For existing area source TEG dehydration units in the oil and
natural gas production source category, we estimate that nationwide
baseline area sources HAP emissions are 45,100 Mg/yr (49,600 tpy) and
13,500 Mg/yr of benzene (14,800 tpy). The final standards require that
TEG dehydration units with a natural gas throughput greater than 85
thousand m\3\/day (3 MMSCF/D) and benzene emissions greater than 0.90
Mg/yr (1.0 tpy), located within the UA plus offset and UC boundaries
achieve a 95-percent emission reduction or reduce benzene emissions to
less than 0.90 Mg/yr (1.0 tpy) either through pollution prevention
process changes or by installing a control device (e.g., condenser),
while sources located outside the UA plus
[[Page 33]]
offset and UC boundaries optimize their glycol circulation rate. We
estimate that this final rule will result in a HAP emission reduction
of 7,200 Mg/yr (7,900 tpy) and 2,200 Mg/yr of benzene (2,400 tpy).
To estimate the impacts of this final rule on new sources, we
assumed that new area source facilities would, in the absence of the
standards, have baseline emissions equivalent to existing sources. We
estimate that a total of 7,200 new area source TEG dehydration units
will be constructed within the next 5 years, or 2,400 per year. Of
these 7,200 new area source TEG dehydration units, we estimate that a
total of 423 (141 per year) will have an actual annual average natural
gas flowrate greater than or equal to 85 thousand m\3\/day (3 MMSCF/D).
Using these assumptions, we estimate the nationwide emission reduction
resulting from new area source TEG dehydration units complying with
this final rule would be approximately 450 Mg/yr (500 tpy) of HAP and
140 Mg/yr (150 tpy) of benzene from the 141 new area sources that would
become subject each year. We assume that, of the 141 new area sources,
3 would be located within the UA plus offset and UC boundaries and 138
would be located outside the boundaries.
Secondary environmental impacts are considered to be any air,
water, or solid waste impacts, positive or negative, associated with
the implementation of the final standards. These impacts are exclusive
of the direct organic HAP air emissions reductions discussed in the
previous section.
The capture and control of benzene that is presently emitted from
area source TEG dehydration units will result in a decrease in volatile
organic compound (VOC) emissions as well. The estimated total VOC
emissions reductions are 14,550 Mg/yr (16,000 tpy) from existing
sources.
Other secondary environmental impacts are those associated with the
operation of certain air emission control devices (i.e., flares). The
adverse secondary air impacts would be minimal in comparison to the
primary HAP reduction benefits from implementing the final control
requirements for area sources. We estimate that the national annual
increase of secondary air pollutant emissions resulting from the use of
a flare to comply with the final standards is less than 1 Mg/yr for
sulfur oxides, 1 Mg/yr for carbon monoxide, and 1 Mg/yr for nitrogen
oxides.
B. What are the Cost Impacts?
Since several compliance options are available to owners/operators
of affected sources subject to the add-on control requirement, we are
not sure what control method will be employed. Sources can control
emissions by routing emissions to a condenser, a flare, a process
heater, or back to the process or by implementing pollution prevention
process changes. For the cost estimates developed for condenser
systems, we looked at systems with and without the use of a gas
condensate glycol separator (GCG separator) or flash tank in TEG
dehydration system design. We estimate that approximately 50 sources
are located within the UA plus offset and UC boundaries. For the new
source cost impacts, we assumed that new area source TEG dehydration
units will be constructed with a flash tank.
Affected sources located outside of UA plus offset and UC
boundaries are required to operate the TEG dehydration unit at the
optimum glycol circulation rate. For estimating annual costs for these
sources, it was assumed that in order to meet the optimum glycol
circulation rate, owners or operators would be required to purchase and
install a new pump. Because reducing the glycol circulation rate to an
optimum level reduces gas losses, a recovery credit is also associated
with this requirement. Although we believe a minority of sources will
have to install a new pump to meet the management practice
requirements, costs were estimated by assuming that 50 percent of the
2,172 sources would have to install a new pump while the other 50
percent could lower the circulation rate sufficiently by making
adjustments on the existing pump.
The estimated annual costs shown in Table 2 of this preamble
include the capital cost; operating and maintenance costs; the cost of
monitoring, inspection, recordkeeping, and reporting; and any
associated product recovery credits.
C. What are the Economic Impacts?
For the 1998 proposal, we prepared an economic impact analysis
evaluating the impacts of the rule on affected producers, consumers,
and society. The economic analysis focused on the regulatory effects on
the United States natural gas market that is modeled as a national,
perfectly competitive market for a homogenous commodity.
The results of the analysis showed that the imposition of
regulatory costs on the natural gas market would result in negligible
changes in natural gas prices, output, employment, foreign trade, and
business closures. The price and output changes as a result of the 1998
proposed regulation were estimated to be less than 0.01 percent,
significantly less than observed market trends. We continue to believe
that the previous analysis is valid for today's action and that the
result of the 1998 economic impact analysis resulted in a very low
percent increase in price and output changes. Therefore, we believe
that imposition of regulatory costs associated with this final rule
will result in negligible changes in natural gas prices, output,
employment, foreign trade, and business closures.
D. What are the Non-Air Environmental and Energy Impacts?
The water impacts associated with the installation of a condenser
system for the TEG dehydration unit reboiler vent would be minimal.
This is because the condensed water collected with the hydrocarbon
condensate can be directed back into the system for reprocessing with
the hydrocarbon condensate or, if separated, combined with produced
water for disposal by reinjection.
Similarly, the water impacts associated with installation of a
vapor control system would be minimal. This is because the water vapor
collected along with the hydrocarbon vapors in the vapor collection and
redirect system can be directed back into the system for reprocessing
with the hydrocarbon condensate or, if separated, combined with the
produced water for disposal for reinjection.
The best management practice of optimizing the glycol circulation
rate would result in lower quantities of water being absorbed into the
glycol and sent to the glycol dehydration unit.
Therefore, we expect the adverse water impacts from the
implementation of the emissions reduction options for the final area
source standards to be minimal.
We do not anticipate any adverse solid waste impacts from the
implementation of the area source standards.
Energy impacts are those energy requirements associated with the
operation of emission control devices. There would be no national
energy demand increase from the operation of any of the control options
analyzed under the final oil and natural gas production standards for
area sources. The final area source standards encourage the use of
emission controls that recover hydrocarbon products, such as methane
and condensate that can be used on-site as fuel or reprocessed, within
the production process, for sale. There are no energy requirements
associated with the management
[[Page 34]]
practices within this final rule. Thus, the final standards have a
positive impact associated with the recovery of non-renewable energy
resources.
VI. Statutory and Executive Order Reviews
A. Executive Order 12866: Regulatory Planning and Review
Under Executive Order 12866 (58 FR 51735, October 4, 1993), this
action is a ``significant regulatory action.'' This action meets
criteria 3(f)(4) of Executive Order 12866, ``raise novel legal or
policy issues arising out of legal mandates, the President's
priorities, or the principles set forth in the Executive Order.''
Accordingly, EPA submitted this action to the Office of Management and
Budget (OMB) for review under Executive Order 12866 and any changes
made in response to OMB recommendations have been documented in the
docket for this action.
B. Paperwork Reduction Act
The information collection requirements in this rule have been
submitted for approval to OMB under the Paperwork Reduction Act, 44
U.S.C. 3501, et seq. The information collection requirements are not
enforceable until OMB approves them.
The information to be collected for the area source provisions of
the Oil and Natural Gas Production NESHAP are based on notification,
recordkeeping, and reporting requirements in the NESHAP General
Provisions in 40 CFR part 63, subpart A, which are mandatory for all
operators subject to national emission standards. These recordkeeping
and reporting requirements are specifically authorized by section 114
of the CAA (42 U.S.C. 7414). All information submitted to the EPA
pursuant to the recordkeeping and reporting requirements for which a
claim of confidentiality is made is safeguarded according to EPA
policies set forth in 40 CFR part 2, subpart B.
This final rule requires maintenance inspections of the control
devices but does not require any notifications or reports beyond those
required by the applicable General Provisions in subpart A to 40 CFR
part 63. The recordkeeping requirements require only the specific
information needed to determine compliance.
The Oil and Natural Gas Production NESHAP requires that facility
owners or operators retain records for a period of 5 years, which
exceeds the 3-year retention period contained in the guidelines in 5
CFR 1320.6. The 5-year retention period is consistent with the
provisions of the General Provisions of 40 CFR part 63, and with the 5-
year records retention requirement in the operating permit program
under title V of the CAA. All subsequent guidelines have been followed
and do not violate any of the Paperwork Reduction Act guidelines
contained in 5 CFR 1320.6.
The annual projected burden for this information collection to
owners and operators of affected sources subject to the emissions
reduction requirements in this final rule (averaged over the first 3
years after the effective date of the promulgated rule) is estimated to
be 28,000 labor-hours per year, with a total annual cost of $1.6
million per year. These estimates include a one-time performance test
and report (with repeat tests where needed), preparation of a startup,
shutdown, and malfunction plan, immediate reports for any event when
the procedures in the plan were not followed, annual compliance
reports, maintenance inspections, notifications, and recordkeeping.
Burden means the total time, effort, or financial resources
expended by persons to generate, maintain, retain, or disclose or
provide information to or for a Federal agency. This includes the time
needed to review instructions; develop, acquire, install, and utilize
technology and systems for the purposes of collecting, validating, and
verifying information, processing and maintaining information, and
disclosing and providing information; adjust the existing ways to
comply with any previously applicable instructions and requirements;
train personnel to be able to respond to a collection of information;
search data sources; complete and review the collection of information;
and transmit or otherwise disclose the information.
An agency may not conduct or sponsor, and a person is not required
to respond to a collection of information unless it displays a
currently valid OMB control number. The OMB control numbers for EPA's
regulations in 40 CFR are listed in 40 CFR part 9. When this
Information Collection Request is approved by OMB, the Agency will
publish a technical amendment to 40 CFR part 9 in the Federal Register
to display the OMB control number for the approved information
collection requirements contained in this final rule.
C. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA) generally requires an agency
to prepare a regulatory flexibility analysis of any rule subject to
notice and comment rulemaking requirements under the Administrative
Procedure Act or any other statute unless the agency certifies that the
rule will not have a significant economic impact on a substantial
number of small entities. Small entities include small businesses,
small organizations, and small governmental jurisdictions.
For purposes of assessing the impacts of today's rule on small
entities, small entity is defined as: (1) A small business with 500
employees or less (as defined by the Small Business Administration's
(SBA) regulations at 13 CFR 121.201; (2) a small governmental
jurisdiction that is a government of a city, county, town, school
district or special district with a population of less than 50,000