Carbon Pollution Emission Guidelines for Existing Stationary Sources: Electric Utility Generating Units, 67406-67408 [2014-26900]

Download as PDF 67406 Federal Register / Vol. 79, No. 219 / Thursday, November 13, 2014 / Proposed Rules and are fully enforceable by all relevant state and local agencies and authorities.’’ Thus, the South Carolina SIP applies to the Catawba Reservation, however, because today’s proposed action is not approving any specific rule into the South Carolina SIP, but rather proposing that the State’s already approved SIP meets certain CAA requirements, EPA has preliminarily determined that there are no substantial direct effects on the Catawba Indian Nation. EPA has also preliminarily determined that these revisions will not impose any substantial direct costs on tribal governments or preempt tribal law. List of Subjects in 40 CFR Part 52 Environmental protection, Air pollution control, Incorporation by reference, Intergovernmental relations, Nitrogen dioxide, Particulate Matter, Reporting and recordkeeping requirements, Volatile organic compounds. Authority: 42 U.S.C. 7401 et seq. Dated: October 30, 2014. Anne Heard, Acting Regional Administrator, Region 4. [FR Doc. 2014–26737 Filed 11–12–14; 8:45 am] BILLING CODE 6560–50–P ENVIRONMENTAL PROTECTION AGENCY 40 CFR Part 60 [EPA–HQ–OAR–2013–0602; FRL–9919–07– OAR] RIN 2060–AR33 Carbon Pollution Emission Guidelines for Existing Stationary Sources: Electric Utility Generating Units Environmental Protection Agency. ACTION: Notice; additional information regarding the translation of emission rate-based CO2 goals to mass-based equivalents. AGENCY: The Environmental Protection Agency (EPA) is issuing this notice in support of the proposed rule, ‘‘Carbon Pollution Emission Guidelines for Existing Stationary Sources: Electric Utility Generating Units,’’ published on June 18, 2014 and the supplemental proposal, ‘‘Carbon Pollution Emission Guidelines: Existing Stationary Sources in Indian Country and U.S. Territories; Multi-jurisdictional Partnerships,’’ issued on October 28, 2014, to provide further discussion of potential approaches for translating the emission rate-based carbon dioxide (CO2) goals tkelley on DSK3SPTVN1PROD with PROPOSALS SUMMARY: VerDate Sep<11>2014 16:47 Nov 12, 2014 Jkt 235001 that the EPA has proposed for each affected jurisdiction to an equivalent mass-based metric. DATES: Comments on the proposed rule published on June 18, 2014, along with the additional information presented in this notice, must be received on or before December 1, 2014. ADDRESSES: Comments. Submit your comments, identified by Docket ID No. EPA–HQ–OAR–2013–0602, by one of the following methods: Federal eRulemaking portal: http:// www.regulations.gov. Follow the online instructions for submitting comments. Email: A-and-R-Docket@epa.gov. Include Docket ID No. EPA–HQ–OAR– 2013–0602 in the subject line of the message. Facsimile: (202) 566–9744. Include Docket ID No. EPA–HQ–OAR–2013– 0602 on the cover page. Mail: Environmental Protection Agency, EPA Docket Center (EPA/DC), Mail code 28221T, Attn: Docket ID No. EPA–HQ–OAR–2013–0602, 1200 Pennsylvania Ave. NW., Washington, DC 20460. Hand/Courier Delivery: EPA Docket Center, Room 3334, EPA WJC West Building, 1301 Constitution Ave. NW., Washington, DC 20004, Attn: Docket ID No. EPA–HQ–OAR–2013–0602. Such deliveries are accepted only during the Docket Center’s normal hours of operation (8:30 a.m. to 4:30 p.m., Monday through Friday, excluding federal holidays), and special arrangements should be made for deliveries of boxed information. Instructions: All submissions must include the agency name and Docket ID No. (EPA–HQ–OAR–2013–0602). The EPA’s policy is to include all comments received without change, including any personal information provided, in the public docket, available online at http://www.regulations.gov, unless the comment includes information claimed to be Confidential Business Information (CBI) or other information whose disclosure is restricted by statute. Do not submit information that you consider to be CBI or otherwise protected through http:// www.regulations.gov or email. Send or deliver information identified as CBI only to the following address: Mr. Roberto Morales, OAQPS Document Control Officer (C404–02), Office of Air Quality Planning and Standards, U.S. EPA, Research Triangle Park, North Carolina 27711, Attention Docket ID No. EPA–HQ–OAR–2013–0602. Clearly mark the part or all of the information that you claim to be CBI. For CBI information on a disk or CD–ROM that you mail to the EPA, mark the outside PO 00000 Frm 00030 Fmt 4702 Sfmt 4702 of the disk or CD–ROM as CBI and then identify electronically within the disk or CD–ROM the specific information you claim as CBI. In addition to one complete version of the comment that includes information claimed as CBI, you must submit a copy of the comment that does not contain the information claimed as CBI for inclusion in the public docket. Information so marked will not be disclosed except in accordance with procedures set forth in 40 CFR part 2. The EPA requests that you also submit a separate copy of your comments to the contact person identified below (see FOR FURTHER INFORMATION CONTACT). If the comment includes information you consider to be CBI or otherwise protected, you should send a copy of the comment that does not contain the information claimed as CBI or otherwise protected. The http://www.regulations.gov Web site is an ‘‘anonymous access’’ system, which means the EPA will not know your identity or contact information unless you provide it in the body of your comment. If you send an email comment directly to the EPA without going through http:// www.regulations.gov, your email address will be automatically captured and included as part of the comment that is placed in the public docket and made available on the Internet. If you submit an electronic comment, the EPA recommends that you include your name and other contact information in the body of your comment and with any disk or CD–ROM you submit. If the EPA cannot read your comment due to technical difficulties and cannot contact you for clarification, the EPA may not be able to consider your comment. Electronic files should avoid the use of special characters, any form of encryption and be free of any defects or viruses. Docket: All documents in the docket are listed in the http:// www.regulations.gov index. Although listed in the index, some information is not publicly available (e.g., CBI or other information whose disclosure is restricted by statute). Certain other material, such as copyrighted material, will be publicly available only in hard copy. Publicly available docket materials are available either electronically in http:// www.regulations.gov or in hard copy at the EPA Docket Center, EPA WJC West Building, Room 3334, 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 federal holidays. The telephone number for the Public E:\FR\FM\13NOP1.SGM 13NOP1 Federal Register / Vol. 79, No. 219 / Thursday, November 13, 2014 / Proposed Rules Reading Room is (202) 566–1744, and the telephone number for the Air Docket is (202) 566–1742. Visit the EPA Docket Center homepage at http:// www.epa.gov/epahome/dockets.htm for additional information about the EPA’s public docket. In addition to being available in the docket, an electronic copy of this notice will be available on the World Wide Web (WWW). Following signature, a copy of this notice will be posted at the following address: http:// www2.epa.gov/cleanpowerplan/. FOR FURTHER INFORMATION CONTACT: Ms. Amy Vasu, Sector Policies and Programs Division (D205–01), U.S. EPA, Research Triangle Park, NC 27711; telephone number (919) 541–0107, facsimile number (919) 541–4991; email address: vasu.amy@epa.gov or Ms. Lisa Conner, Sector Policies and Programs Division (D205–01), U.S. EPA, Research Triangle Park, NC 27711; telephone number (919) 541–5060, facsimile number (919) 541– 4991; email address: conner.lisa@ epa.gov. SUPPLEMENTARY INFORMATION: Organization of This Document. The information presented in this notice is organized as follows: strategies, which are already being deployed by states and companies across the country, include improvements in efficiency at carbonintensive power plants; programs that enhance generation from, and spur private investments in, low emitting and renewable power sources; as well as programs that help homes and businesses use electricity more efficiently. The EPA has proposed goals for each state, area of Indian country and U.S. territory with affected EGUs, as a carbon intensity rate, in terms of CO2 per megawatt-hour generated. In calculating the emission rate-based goal, the EPA also took into consideration the area’s fuel mix, electricity market and numerous other factors. Thus, each goal reflects the unique conditions of each state, area of Indian country and U.S. territory. The proposed rule also provides flexibility by authorizing each implementing authority to demonstrate achievement of the goal using a massbased metric that is equivalent to its emission rate-based CO2 goal. With the proposed rule issued on June 18, 2014, the EPA issued a TSD that demonstrates one potential way to translate the ratebased goal to a mass-based equivalent. I. Background A. Proposed Rule B. Purpose of the Notice II. Additional Information on the Translation of Emission Rate-Based CO2 Goals to Mass-Based Equivalents B. Purpose of the Notice Upon issuance of the proposed rule, the EPA continued the extensive outreach effort to stakeholders and members of the public that the EPA had engaged in for many months preceding the proposal. This outreach has provided opportunities for all jurisdictions with affected entities— both individually and in regional groups—as well as numerous industry groups and non-governmental organizations, to meet with the EPA and ask clarifying questions about, and give initial reactions to, the proposed components, requirements and timing of the rulemaking. This outreach has included individual meetings; attendance at conferences; webinars; conference calls; and other communications, during which the EPA has responded to hundreds of clarifying questions about the proposal and received numerous initial reactions in both oral and written form. This engagement has been designed to facilitate a better understanding of the rule by stakeholders so that they could provide more informed substantive comments for the EPA to consider for the final rule, as well as allow the EPA to consider stakeholders’ initial reactions. During these discussions, many of the states, in particular, emphasized the importance of having more information and clarity on how the proposed rate- tkelley on DSK3SPTVN1PROD with PROPOSALS I. Background A. Proposed Rule On June 18, 2014, under the authority of Clean Air Act (CAA) section 111(d), the EPA proposed emission guidelines for states to follow in developing plans to address greenhouse gas (GHG) emissions from existing fossil fuel-fired electric generating units (EGUs)(79 FR 34830). On October 28, 2014, the EPA also issued a supplemental proposal, ‘‘Carbon Pollution Emission Guidelines: Existing Stationary Sources in Indian Country and U.S. Territories; Multijurisdictional Partnerships’’ (79 FR 65481). One of the main elements of the proposals is the establishment of emission rate-based CO2 goals. To set these goals, the EPA analyzed practical and affordable strategies that states and utilities are already using to lower carbon pollution from the power sector. These strategies are incorporated into what the proposal describes as building blocks that comprise the best system of emission reduction (BSER).1 These 1 CAA sections 111(d)(1) and (a)(1) direct the EPA to define BSER as the basis for state plans to reduce CO2 from the affected sources. VerDate Sep<11>2014 16:47 Nov 12, 2014 Jkt 235001 PO 00000 Frm 00031 Fmt 4702 Sfmt 4702 67407 based goals could potentially be translated to a mass-based equivalent metric. Some states requested additional information about how they might calculate a mass-based equivalent metric, while other states requested that the EPA calculate and provide presumptive mass-based equivalent metrics. The purpose of this notice is to share additional information regarding potential methods for determining the mass that is equivalent to the emission rate-based CO2 goal that the EPA has proposed. With this notice, the EPA is also making available a TSD that provides detailed information to further inform and assist implementing authorities and stakeholders in understanding the proposal. This notice is consistent with the methodologies used to define BSER in the June 18, 2014, proposal and October 28, 2014 supplemental proposal and does not reflect any type of response to the comments that we have received to date. Readers should also note that the TSD, and the illustrative numbers presented therein, are based on the emission ratebased goals as proposed; any calculations of mass equivalents would naturally yield different results if the emission rate-based goals themselves were to change in the course of developing the final rule. II. Additional Information on the Translation of Emission Rate-Based CO2 Goals to Mass-Based Equivalents In the proposed rule published on June 18, 2014, the EPA proposed a set of state-specific emission rate-based CO2 goals (in pounds of CO2 per megawatthour of electricity generated). In addition, the EPA issued emission ratebased CO2 goals for areas of Indian country and U.S. territories with affected EGUs in a supplemental proposal on October 28, 2014. The proposals authorized each implementing authority to translate the form of the emission rate-based goal to a mass-based form (i.e., goals expressed in terms of total tons of CO2 per year from affected sources), as long as the translated goal achieves the equivalent in stringency. Today’s notice provides additional detail, and describes two potential methodologies for this translation. Today’s notice is accompanied by a TSD titled ‘‘Translation of the Clean Power Plan Emission Rate-Based CO2 Goals to MassBased Equivalents,’’ which has been placed in the docket for the rule (Docket ID No. EPA–HQ–OAR–2013–0602). For purposes of illustrating two methodologies for potential use in making rate-to-mass translations, E:\FR\FM\13NOP1.SGM 13NOP1 tkelley on DSK3SPTVN1PROD with PROPOSALS 67408 Federal Register / Vol. 79, No. 219 / Thursday, November 13, 2014 / Proposed Rules today’s notice and accompanying TSD identify two sets of mass-based values for each state, area of Indian country and U.S. territory with affected EGUs that could be considered equivalent to the proposed rate-based goals, as discussed below: One that is based on historical emissions from existing sources, and a second that is based on historical emissions from existing sources and projected emissions that would result from demand growth that is reflected in generation at both existing and new sources in the event that an implementing authority may want to include new sources of generation in its compliance approach. Illustrative values for each state, area of Indian country and U.S. territory with affected EGUs (along with the underlying data) for each method are also presented in the TSD. In the proposed rule, the EPA intended to afford a considerable amount of flexibility in choosing the types of programs and measures needed to meet the goals established by the rulemaking. An important proposed element of this flexibility is allowing each implementing authority to demonstrate compliance with its interim and final rate-based goals established in the proposal, or to establish equivalent mass-based metrics for purposes of demonstrating compliance with the provisions of the rule. The agency recognizes that implementing authorities can use a mix of measures and programs to meet their goals regardless of which form of the standard they choose to use to demonstrate compliance in the state plan, including both programs that use mass-based metrics, as well as measures that use rate-based measures. State plans submitted to the EPA will be required either to (i) demonstrate that their programs and measures meet the rate-based goals established by the rulemaking, or (ii) if they choose to translate the rate-based goals into massbased equivalents, demonstrate achievement of the goals using the mass-based metrics.2 In section VII of the preamble to the June 18, 2014 proposed rule, the EPA provides basic considerations necessary to translate the emission rate-based CO2 goals into mass-based equivalents, for state plan purposes (79 FR 34897). The EPA also included in the docket for the rule a TSD titled ‘‘Projecting EGU CO2 Emission Performance in State Plans,’’ that discusses the considerations, data and technical approaches that can be considered when converting the emission rate-based CO2 goals into a mass-based equivalent metric, and focuses on one potential approach that implementing authorities could employ. The basic methodology presented in these documents is for the implementing authority to project for a given period the amount of generation by affected entities; to determine the amount of tons of CO2 that would be emitted by affected EGUS; and to assure that the ratio of affected EGU emissions to affected entity generation is equivalent to the emissions performance of the rate-based goal. The data, assumptions and methodological choices used for the estimation of generation by affected entities are of central importance for translation to a mass-based metric.3 For instance, uncertainties about future demand, the future inventory of EGUs and the relative amounts of generation among EGUs in light of, for example, fuel costs can influence the translation to a mass-based equivalent. In response to requests by states, we are issuing this notice and the TSD, ‘‘Translation of the Clean Power Plan Emission Rate-Based CO2 Goals to MassBased Equivalents,’’ to present information about potential methods for translating the rate-based goals to massbased equivalents. The TSD presents two additional possible methods for calculating mass-based equivalent metrics, the underlying data and shows the mass-based equivalent metric. The first method, based on historical data, produces mass-based equivalent metrics that apply to existing affected EGUs only. The second method, based on a combination of historical data and a projection of future electric demand, produces mass-based equivalent metrics that are inclusive of new fossil fuel-fired sources, in light of the fact that the rule takes comment on the inclusion of new, fossil fuel-fired sources as a component of state plans. As the starting point for these calculations, we use the proposed emission rate-based CO2 goals set forth in the rulemaking. Also, to maintain consistency with the proposed rule, the calculations contain the same generation data used in setting the rate- 2 Note that the metric for compliance is independent from the approaches that implementing authorities may adopt to achieve them. For example, a state could potentially adopt a mass-based program that achieves a rate-based goal, or adopt rate-based standards and/or other measures and demonstrate that they have met the goal using a mass-based metric. 3 Some stakeholders have observed that addressing potential translation to a mass equivalent could incorporate generation from ‘‘affected entities’’ that include generators beyond ‘‘affected EGUs.’’ The proposal invited comment on how generation across ‘‘affected entities’’ (including at ‘‘affected EGUs’’) should be considered when calculating mass equivalents. VerDate Sep<11>2014 16:47 Nov 12, 2014 Jkt 235001 PO 00000 Frm 00032 Fmt 4702 Sfmt 4702 based goals (i.e., 2012 eGRID data for historical generation, and Annual Energy Outlook 2013 for regional growth estimates) to project future levels of generation.4 The EPA is providing this additional information to states, U.S. territories, tribes, and other stakeholders to provide a better understanding of the proposed rule. It should be reiterated that the mass-based equivalent metrics presented in the TSD are not required mass-based emission limits that implementing authorities must meet; rather, they are illustrations of two potential options that implementing authorities may choose to adopt if they choose to use a mass-based form of the emission rate-based goal. The EPA presents them to provide stakeholders a better understanding of the methodology and mass outcomes associated with two possible ways of calculating mass-based equivalent metrics. Dated: November 6, 2014. Janet G. McCabe, Acting Assistant Administrator, Office of Air and Radiation. [FR Doc. 2014–26900 Filed 11–12–14; 8:45 am] BILLING CODE 6560–50–P ENVIRONMENTAL PROTECTION AGENCY 40 CFR Part 141 [EPA–HQ–OW–2012–0155; FRL–9918–96– OW] Notice of Public Meeting and Webinar: Preliminary Regulatory Determinations for the Third Contaminant Candidate List Environmental Protection Agency. ACTION: Notice of public meeting on potential rulemaking. AGENCY: The U.S. Environmental Protection Agency (EPA) is announcing a public meeting and webinar to discuss the agency’s preliminary determinations on whether or not to develop drinking water regulations for five unregulated contaminants listed on the third Contaminant Candidate List (CCL3). The EPA published and requested public SUMMARY: 4 The Agency has received comments from some states about the accuracy of the 2012 data, as well as whether we should use more than a single year of data to determine the rate-based goals. We are reviewing all comments, information, and requests for data corrections received to date and will continue reviewing stakeholder input submitted to the docket by the close of the public comment period. Any changes to the emission rate-based goals and underlying data will be reflected in the final rule. E:\FR\FM\13NOP1.SGM 13NOP1

Agencies

[Federal Register Volume 79, Number 219 (Thursday, November 13, 2014)]
[Proposed Rules]
[Pages 67406-67408]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-26900]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 60

[EPA-HQ-OAR-2013-0602; FRL-9919-07-OAR]
RIN 2060-AR33


Carbon Pollution Emission Guidelines for Existing Stationary 
Sources: Electric Utility Generating Units

AGENCY: Environmental Protection Agency.

ACTION: Notice; additional information regarding the translation of 
emission rate-based CO2 goals to mass-based equivalents.

-----------------------------------------------------------------------

SUMMARY: The Environmental Protection Agency (EPA) is issuing this 
notice in support of the proposed rule, ``Carbon Pollution Emission 
Guidelines for Existing Stationary Sources: Electric Utility Generating 
Units,'' published on June 18, 2014 and the supplemental proposal, 
``Carbon Pollution Emission Guidelines: Existing Stationary Sources in 
Indian Country and U.S. Territories; Multi-jurisdictional 
Partnerships,'' issued on October 28, 2014, to provide further 
discussion of potential approaches for translating the emission rate-
based carbon dioxide (CO2) goals that the EPA has proposed 
for each affected jurisdiction to an equivalent mass-based metric.

DATES: Comments on the proposed rule published on June 18, 2014, along 
with the additional information presented in this notice, must be 
received on or before December 1, 2014.

ADDRESSES: Comments. Submit your comments, identified by Docket ID No. 
EPA-HQ-OAR-2013-0602, by one of the following methods:
    Federal eRulemaking portal: http://www.regulations.gov. Follow the 
online instructions for submitting comments.
    Email: A-and-R-Docket@epa.gov. Include Docket ID No. EPA-HQ-OAR-
2013-0602 in the subject line of the message.
    Facsimile: (202) 566-9744. Include Docket ID No. EPA-HQ-OAR-2013-
0602 on the cover page.
    Mail: Environmental Protection Agency, EPA Docket Center (EPA/DC), 
Mail code 28221T, Attn: Docket ID No. EPA-HQ-OAR-2013-0602, 1200 
Pennsylvania Ave. NW., Washington, DC 20460.
    Hand/Courier Delivery: EPA Docket Center, Room 3334, EPA WJC West 
Building, 1301 Constitution Ave. NW., Washington, DC 20004, Attn: 
Docket ID No. EPA-HQ-OAR-2013-0602. Such deliveries are accepted only 
during the Docket Center's normal hours of operation (8:30 a.m. to 4:30 
p.m., Monday through Friday, excluding federal holidays), and special 
arrangements should be made for deliveries of boxed information.
    Instructions: All submissions must include the agency name and 
Docket ID No. (EPA-HQ-OAR-2013-0602). The EPA's policy is to include 
all comments received without change, including any personal 
information provided, in the public docket, available online at http://www.regulations.gov, unless the comment includes information claimed to 
be Confidential Business Information (CBI) or other information whose 
disclosure is restricted by statute. Do not submit information that you 
consider to be CBI or otherwise protected through http://www.regulations.gov or email. Send or deliver information identified as 
CBI only to the following address: Mr. Roberto Morales, OAQPS Document 
Control Officer (C404-02), Office of Air Quality Planning and 
Standards, U.S. EPA, Research Triangle Park, North Carolina 27711, 
Attention Docket ID No. EPA-HQ-OAR-2013-0602. Clearly mark the part or 
all of the information that you claim to be CBI. For CBI information on 
a disk or CD-ROM that you mail to the EPA, mark the outside of the disk 
or CD-ROM as CBI and then identify electronically within the disk or 
CD-ROM the specific information you claim as CBI. In addition to one 
complete version of the comment that includes information claimed as 
CBI, you must submit a copy of the comment that does not contain the 
information claimed as CBI for inclusion in the public docket. 
Information so marked will not be disclosed except in accordance with 
procedures set forth in 40 CFR part 2.
    The EPA requests that you also submit a separate copy of your 
comments to the contact person identified below (see FOR FURTHER 
INFORMATION CONTACT). If the comment includes information you consider 
to be CBI or otherwise protected, you should send a copy of the comment 
that does not contain the information claimed as CBI or otherwise 
protected.
    The http://www.regulations.gov Web site is an ``anonymous access'' 
system, which means the EPA will not know your identity or contact 
information unless you provide it in the body of your comment. If you 
send an email comment directly to the EPA without going through http://www.regulations.gov, your email address will be automatically captured 
and included as part of the comment that is placed in the public docket 
and made available on the Internet. If you submit an electronic 
comment, the EPA recommends that you include your name and other 
contact information in the body of your comment and with any disk or 
CD-ROM you submit. If the EPA cannot read your comment due to technical 
difficulties and cannot contact you for clarification, the EPA may not 
be able to consider your comment. Electronic files should avoid the use 
of special characters, any form of encryption and be free of any 
defects or viruses.
    Docket: All documents in the docket are listed in the http://www.regulations.gov index. Although listed in the index, some 
information is not publicly available (e.g., CBI or other information 
whose disclosure is restricted by statute). Certain other material, 
such as copyrighted material, will be publicly available only in hard 
copy. Publicly available docket materials are available either 
electronically in http://www.regulations.gov or in hard copy at the EPA 
Docket Center, EPA WJC West Building, Room 3334, 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 federal holidays. The 
telephone number for the Public

[[Page 67407]]

Reading Room is (202) 566-1744, and the telephone number for the Air 
Docket is (202) 566-1742. Visit the EPA Docket Center homepage at 
http://www.epa.gov/epahome/dockets.htm for additional information about 
the EPA's public docket.
    In addition to being available in the docket, an electronic copy of 
this notice will be available on the World Wide Web (WWW). Following 
signature, a copy of this notice will be posted at the following 
address: http://www2.epa.gov/cleanpowerplan/.

FOR FURTHER INFORMATION CONTACT: Ms. Amy Vasu, Sector Policies and 
Programs Division (D205-01), U.S. EPA, Research Triangle Park, NC 
27711; telephone number (919) 541-0107, facsimile number (919) 541-
4991; email address: vasu.amy@epa.gov or Ms. Lisa Conner, Sector 
Policies and Programs Division (D205-01), U.S. EPA, Research Triangle 
Park, NC 27711; telephone number (919) 541-5060, facsimile number (919) 
541-4991; email address: conner.lisa@epa.gov.

SUPPLEMENTARY INFORMATION: Organization of This Document. The 
information presented in this notice is organized as follows:

    I. Background
    A. Proposed Rule
    B. Purpose of the Notice
    II. Additional Information on the Translation of Emission Rate-
Based CO2 Goals to Mass-Based Equivalents

I. Background

A. Proposed Rule

    On June 18, 2014, under the authority of Clean Air Act (CAA) 
section 111(d), the EPA proposed emission guidelines for states to 
follow in developing plans to address greenhouse gas (GHG) emissions 
from existing fossil fuel-fired electric generating units (EGUs)(79 FR 
34830). On October 28, 2014, the EPA also issued a supplemental 
proposal, ``Carbon Pollution Emission Guidelines: Existing Stationary 
Sources in Indian Country and U.S. Territories; Multi-jurisdictional 
Partnerships'' (79 FR 65481).
    One of the main elements of the proposals is the establishment of 
emission rate-based CO2 goals. To set these goals, the EPA 
analyzed practical and affordable strategies that states and utilities 
are already using to lower carbon pollution from the power sector. 
These strategies are incorporated into what the proposal describes as 
building blocks that comprise the best system of emission reduction 
(BSER).\1\ These strategies, which are already being deployed by states 
and companies across the country, include improvements in efficiency at 
carbon-intensive power plants; programs that enhance generation from, 
and spur private investments in, low emitting and renewable power 
sources; as well as programs that help homes and businesses use 
electricity more efficiently. The EPA has proposed goals for each 
state, area of Indian country and U.S. territory with affected EGUs, as 
a carbon intensity rate, in terms of CO2 per megawatt-hour 
generated. In calculating the emission rate-based goal, the EPA also 
took into consideration the area's fuel mix, electricity market and 
numerous other factors. Thus, each goal reflects the unique conditions 
of each state, area of Indian country and U.S. territory. The proposed 
rule also provides flexibility by authorizing each implementing 
authority to demonstrate achievement of the goal using a mass-based 
metric that is equivalent to its emission rate-based CO2 
goal. With the proposed rule issued on June 18, 2014, the EPA issued a 
TSD that demonstrates one potential way to translate the rate-based 
goal to a mass-based equivalent.
---------------------------------------------------------------------------

    \1\ CAA sections 111(d)(1) and (a)(1) direct the EPA to define 
BSER as the basis for state plans to reduce CO2 from the 
affected sources.
---------------------------------------------------------------------------

B. Purpose of the Notice

    Upon issuance of the proposed rule, the EPA continued the extensive 
outreach effort to stakeholders and members of the public that the EPA 
had engaged in for many months preceding the proposal. This outreach 
has provided opportunities for all jurisdictions with affected 
entities--both individually and in regional groups--as well as numerous 
industry groups and non-governmental organizations, to meet with the 
EPA and ask clarifying questions about, and give initial reactions to, 
the proposed components, requirements and timing of the rulemaking. 
This outreach has included individual meetings; attendance at 
conferences; webinars; conference calls; and other communications, 
during which the EPA has responded to hundreds of clarifying questions 
about the proposal and received numerous initial reactions in both oral 
and written form. This engagement has been designed to facilitate a 
better understanding of the rule by stakeholders so that they could 
provide more informed substantive comments for the EPA to consider for 
the final rule, as well as allow the EPA to consider stakeholders' 
initial reactions.
    During these discussions, many of the states, in particular, 
emphasized the importance of having more information and clarity on how 
the proposed rate-based goals could potentially be translated to a 
mass-based equivalent metric. Some states requested additional 
information about how they might calculate a mass-based equivalent 
metric, while other states requested that the EPA calculate and provide 
presumptive mass-based equivalent metrics.
    The purpose of this notice is to share additional information 
regarding potential methods for determining the mass that is equivalent 
to the emission rate-based CO2 goal that the EPA has 
proposed. With this notice, the EPA is also making available a TSD that 
provides detailed information to further inform and assist implementing 
authorities and stakeholders in understanding the proposal. This notice 
is consistent with the methodologies used to define BSER in the June 
18, 2014, proposal and October 28, 2014 supplemental proposal and does 
not reflect any type of response to the comments that we have received 
to date. Readers should also note that the TSD, and the illustrative 
numbers presented therein, are based on the emission rate-based goals 
as proposed; any calculations of mass equivalents would naturally yield 
different results if the emission rate-based goals themselves were to 
change in the course of developing the final rule.

II. Additional Information on the Translation of Emission Rate-Based 
CO2 Goals to Mass-Based Equivalents

    In the proposed rule published on June 18, 2014, the EPA proposed a 
set of state-specific emission rate-based CO2 goals (in 
pounds of CO2 per megawatt-hour of electricity generated). 
In addition, the EPA issued emission rate-based CO2 goals 
for areas of Indian country and U.S. territories with affected EGUs in 
a supplemental proposal on October 28, 2014. The proposals authorized 
each implementing authority to translate the form of the emission rate-
based goal to a mass-based form (i.e., goals expressed in terms of 
total tons of CO2 per year from affected sources), as long 
as the translated goal achieves the equivalent in stringency. Today's 
notice provides additional detail, and describes two potential 
methodologies for this translation. Today's notice is accompanied by a 
TSD titled ``Translation of the Clean Power Plan Emission Rate-Based 
CO2 Goals to Mass-Based Equivalents,'' which has been placed 
in the docket for the rule (Docket ID No. EPA-HQ-OAR-2013-0602). For 
purposes of illustrating two methodologies for potential use in making 
rate-to-mass translations,

[[Page 67408]]

today's notice and accompanying TSD identify two sets of mass-based 
values for each state, area of Indian country and U.S. territory with 
affected EGUs that could be considered equivalent to the proposed rate-
based goals, as discussed below: One that is based on historical 
emissions from existing sources, and a second that is based on 
historical emissions from existing sources and projected emissions that 
would result from demand growth that is reflected in generation at both 
existing and new sources in the event that an implementing authority 
may want to include new sources of generation in its compliance 
approach. Illustrative values for each state, area of Indian country 
and U.S. territory with affected EGUs (along with the underlying data) 
for each method are also presented in the TSD.
    In the proposed rule, the EPA intended to afford a considerable 
amount of flexibility in choosing the types of programs and measures 
needed to meet the goals established by the rulemaking. An important 
proposed element of this flexibility is allowing each implementing 
authority to demonstrate compliance with its interim and final rate-
based goals established in the proposal, or to establish equivalent 
mass-based metrics for purposes of demonstrating compliance with the 
provisions of the rule. The agency recognizes that implementing 
authorities can use a mix of measures and programs to meet their goals 
regardless of which form of the standard they choose to use to 
demonstrate compliance in the state plan, including both programs that 
use mass-based metrics, as well as measures that use rate-based 
measures. State plans submitted to the EPA will be required either to 
(i) demonstrate that their programs and measures meet the rate-based 
goals established by the rulemaking, or (ii) if they choose to 
translate the rate-based goals into mass-based equivalents, demonstrate 
achievement of the goals using the mass-based metrics.\2\
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    \2\ Note that the metric for compliance is independent from the 
approaches that implementing authorities may adopt to achieve them. 
For example, a state could potentially adopt a mass-based program 
that achieves a rate-based goal, or adopt rate-based standards and/
or other measures and demonstrate that they have met the goal using 
a mass-based metric.
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    In section VII of the preamble to the June 18, 2014 proposed rule, 
the EPA provides basic considerations necessary to translate the 
emission rate-based CO2 goals into mass-based equivalents, 
for state plan purposes (79 FR 34897). The EPA also included in the 
docket for the rule a TSD titled ``Projecting EGU CO2 
Emission Performance in State Plans,'' that discusses the 
considerations, data and technical approaches that can be considered 
when converting the emission rate-based CO2 goals into a 
mass-based equivalent metric, and focuses on one potential approach 
that implementing authorities could employ. The basic methodology 
presented in these documents is for the implementing authority to 
project for a given period the amount of generation by affected 
entities; to determine the amount of tons of CO2 that would 
be emitted by affected EGUS; and to assure that the ratio of affected 
EGU emissions to affected entity generation is equivalent to the 
emissions performance of the rate-based goal.
    The data, assumptions and methodological choices used for the 
estimation of generation by affected entities are of central importance 
for translation to a mass-based metric.\3\ For instance, uncertainties 
about future demand, the future inventory of EGUs and the relative 
amounts of generation among EGUs in light of, for example, fuel costs 
can influence the translation to a mass-based equivalent.
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    \3\ Some stakeholders have observed that addressing potential 
translation to a mass equivalent could incorporate generation from 
``affected entities'' that include generators beyond ``affected 
EGUs.'' The proposal invited comment on how generation across 
``affected entities'' (including at ``affected EGUs'') should be 
considered when calculating mass equivalents.
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    In response to requests by states, we are issuing this notice and 
the TSD, ``Translation of the Clean Power Plan Emission Rate-Based 
CO2 Goals to Mass-Based Equivalents,'' to present 
information about potential methods for translating the rate-based 
goals to mass-based equivalents. The TSD presents two additional 
possible methods for calculating mass-based equivalent metrics, the 
underlying data and shows the mass-based equivalent metric. The first 
method, based on historical data, produces mass-based equivalent 
metrics that apply to existing affected EGUs only. The second method, 
based on a combination of historical data and a projection of future 
electric demand, produces mass-based equivalent metrics that are 
inclusive of new fossil fuel-fired sources, in light of the fact that 
the rule takes comment on the inclusion of new, fossil fuel-fired 
sources as a component of state plans. As the starting point for these 
calculations, we use the proposed emission rate-based CO2 
goals set forth in the rulemaking. Also, to maintain consistency with 
the proposed rule, the calculations contain the same generation data 
used in setting the rate-based goals (i.e., 2012 eGRID data for 
historical generation, and Annual Energy Outlook 2013 for regional 
growth estimates) to project future levels of generation.\4\
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    \4\ The Agency has received comments from some states about the 
accuracy of the 2012 data, as well as whether we should use more 
than a single year of data to determine the rate-based goals. We are 
reviewing all comments, information, and requests for data 
corrections received to date and will continue reviewing stakeholder 
input submitted to the docket by the close of the public comment 
period. Any changes to the emission rate-based goals and underlying 
data will be reflected in the final rule.
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    The EPA is providing this additional information to states, U.S. 
territories, tribes, and other stakeholders to provide a better 
understanding of the proposed rule. It should be reiterated that the 
mass-based equivalent metrics presented in the TSD are not required 
mass-based emission limits that implementing authorities must meet; 
rather, they are illustrations of two potential options that 
implementing authorities may choose to adopt if they choose to use a 
mass-based form of the emission rate-based goal. The EPA presents them 
to provide stakeholders a better understanding of the methodology and 
mass outcomes associated with two possible ways of calculating mass-
based equivalent metrics.

    Dated: November 6, 2014.
Janet G. McCabe,
Acting Assistant Administrator, Office of Air and Radiation.
[FR Doc. 2014-26900 Filed 11-12-14; 8:45 am]
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