E15 Fuel Dispenser Labeling and Compatibility With Underground Storage Tanks, 5094-5104 [2021-00203]
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5094
Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Proposed Rules
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FOR FURTHER INFORMATION CONTACT: For
questions about this proposed action,
contact Ms. Jennifer Caparoso, Sector
Policies and Programs Division (E143–
01), Office of Air Quality Planning and
Standards, U.S. Environmental
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SUPPLEMENTARY INFORMATION: To allow
for additional time for stakeholders to
provide comments, the EPA has decided
to reopen the public comment period
until February 8, 2021.
Dated: December 16, 2020.
Panagiotis Tsirigotis,
Director, Office of Air Quality Planning and
Standards.
[FR Doc. 2021–00355 Filed 1–15–21; 8:45 am]
BILLING CODE 6560–50–P
ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Parts 80, 280, and 281
[EPA–HQ–OAR–2020–0448; FRL–10015–80–
OAR]
RIN 2060–AU92
E15 Fuel Dispenser Labeling and
Compatibility With Underground
Storage Tanks
Environmental Protection
Agency (EPA).
ACTION: Proposed rule.
AGENCY:
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EPA currently requires fuel
dispenser labels for gasoline-ethanol
blends of greater than 10 volume
percent (vol%) ethanol and up to 15
vol% ethanol (E15). The label was
designed to alert consumers to the
appropriate and lawful use of the fuel.
EPA is co-proposing to either modify
the E15 label or remove the label
requirement entirely and seeking
comment on whether state and local
governments may be preempted from
requiring different labels on fuel
dispensers. To facilitate the proper
storage of E15 in underground storage
tank systems (USTs), EPA is proposing
to modify the UST regulations to grant
certain allowances for compatibility
demonstration for storage of ethanol
blends. EPA is also proposing
compatibility requirements for future
UST installations or component
replacements that would ensure
compatibility with higher blends of
ethanol.
SUMMARY:
DATES:
Comments: Comments must be
received on or before April 19, 2021.
Under the Paperwork Reduction Act
(PRA), comments on the information
collection provisions are best assured of
consideration if the Office of
Management and Budget (OMB)
receives a copy of your comments on or
before February 18, 2021.
Public Hearing: EPA will announce
the public hearing information for this
proposal in a supplemental Federal
Register document.
ADDRESSES: You may send your
comments, identified by Docket ID No.
EPA–HQ–OAR–2020–0448, by any of
the following methods:
• Federal eRulemaking Portal: https://
www.regulations.gov (our preferred
method). Follow the online instructions
for submitting comments.
• Email: a-and-r-Docket@epa.gov.
Include Docket ID No. EPA–HQ–OAR–
2020–0448 in the subject line of the
message.
• Mail: U.S. Environmental
Protection Agency, EPA Docket Center,
Air Docket, Mail Code 28221T, 1200
Pennsylvania Avenue NW, Washington,
DC 20460.
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scheduled appointment only): EPA
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Instructions: All submissions received
must include the Docket ID No. for this
rulemaking. Comments received may be
posted without change to https://
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Out of an abundance of caution for
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EPA Docket Center and Reading Room
are closed to the public, with limited
exceptions, to reduce the risk of
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public to submit comments via https://
www.regulations.gov or email, as there
may be a delay in processing mail and
faxes. Hand deliveries and couriers may
Category
Industry
Industry
Industry
Industry
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For
questions regarding the E15 fuel
dispenser labeling provisions of this
proposed action, contact Lauren
Michaels, Office of Transportation and
Air Quality, Assessment and Standards
Division, Environmental Protection
Agency, 2000 Traverwood Drive, Ann
FOR FURTHER INFORMATION CONTACT:
Arbor, MI 48105; telephone number:
(734) 214–4640; email address:
michaels.lauren@epa.gov. For questions
regarding the E15 compatibility with
underground storage tanks provisions of
this proposed action, contact Elizabeth
McDermott, Office of Underground
Storage Tanks, Environmental
Protection Agency, 1200 Pennsylvania
Ave. NW, Washington, DC 20460;
telephone number: (202) 564–0646;
email address: mcdermott.elizabeth@
epa.gov.
SUPPLEMENTARY INFORMATION:
Does this action apply to me?
Entities potentially affected by this
proposed rule are those involved with
the sale of gasoline. Potentially affected
categories include:
NAICS 1 code
Examples of potentially affected entities
111, 112 ..................................
31–33 ......................................
42, 44–45, 72 (excluding 447)
447 ..........................................
481, 483–486, 48811 ..............
5171, 2211 ..............................
Agriculture (crop and animal production).
Manufacturing.
Commercial (wholesale trade, retail trade, accommodation, and food services).
Retail motor fuel sales.
Transportation (air, water, truck, transit, pipeline, and airport operations).
Communications and Utilities (wired telecommunications carriers, electric power generation,
transmission, and distribution).
American Industry Classification System (NAICS).
This table is not intended to be
exhaustive, but rather provides a guide
for readers regarding entities likely to be
affected by this proposed action. This
table lists the types of entities that EPA
is now aware could potentially be
affected by this proposed action. Other
types of entities not listed in the table
could also be affected. To determine
whether your entity would be affected
by this proposed action, you should
carefully examine the applicability
criteria in 40 CFR part 80. If you have
any questions regarding the
applicability of this proposed action to
a particular entity, consult the person
listed in the FOR FURTHER INFORMATION
CONTACT section.
Outline of This Preamble
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be received by scheduled appointment
only. For further information on EPA
Docket Center services and the current
status, please visit us online at https://
www.epa.gov/dockets.
EPA continues to carefully and
continuously monitor information from
the Centers for Disease Control and
Prevention (CDC), local area health
departments, and our Federal partners
so that we can respond rapidly as
conditions change regarding COVID–19.
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I. Purpose of This Action
II. E15 Fuel Dispenser Labeling Revisions
A. Background on the E15 Label
B. E15 in the Market
C. Proposed Changes to the E15 Labeling
Requirement
D. Request for Public Comment on E15
Labeling Preemption Considerations
III. E15 Compatibility With Underground
Storage Tanks
A. Background on Underground Storage
Tank Compatibility
B. Proposed Changes to the UST
Compatibility Requirements
C. Updates to State Program Approval
Requirements
D. Overview of Estimated Costs
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IV. Statutory and Executive Order Reviews
A. Executive Order 12866: Regulatory
Planning and Review and Executive
Order 13563: Improving Regulation and
Regulatory Review
B. Executive Order 13771: Reducing
Regulations and Controlling Regulatory
Costs
C. Paperwork Reduction Act (PRA)
D. Regulatory Flexibility Act (RFA)
E. Unfunded Mandates Reform Act
(UMRA)
F. Executive Order 13132: Federalism
G. Executive Order 13175: Consultation
and Coordination With Indian Tribal
Governments
H. Executive Order 13045: Protection of
Children From Environmental Health
Risks and Safety Risks
I. Executive Order 13211: Actions
Concerning Regulations That
Significantly Affect Energy Supply,
Distribution, or Use
J. National Technology Transfer and
Advancement Act (NTTAA) and 1 CFR
part 51
K. Executive Order 12898: Federal Actions
To Address Environmental Justice in
Minority Populations and Low-Income
Populations
V. Statutory Authority
I. Purpose of This Action
This action proposes modifications to
EPA regulations under the Clean Air Act
(CAA) and the Resource Conservation
and Recovery Act (RCRA) relating to the
sale and distribution of gasoline-ethanol
blends containing greater than 10
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volume percent (vol%) ethanol and up
to 15 vol% ethanol (E15). Recently, EPA
has taken actions to provide additional
opportunity for E15 within the fuels
marketplace. We are proposing two sets
of regulatory changes to further that
end. The first proposes modifications to
EPA’s E15 fuel dispenser labeling
requirement. The second proposes
changes to EPA’s Underground Storage
Tank (UST) regulations regarding
compatibility with gasoline-ethanol
blends.
II. E15 Fuel Dispenser Labeling
Revisions
This section discusses our proposed
revisions to the E15 label, under the
CAA.
A . Background on the E15 Label
In 2010 and 2011, in response to
requests for a waiver from CAA section
211(f)(1), EPA granted two partial
waivers for use of E15 1 under CAA
section 211(f)(4).2 These waivers were
1 For purposes of this preamble, E15 refers to
gasoline-ethanol blended fuels that contain greater
than 10 vol% and no more than 15 vol% ethanol
content.
2 These partial waivers are collectively referred to
as ‘‘the E15 partial waivers.’’ 75 FR 68094
(November 4, 2010), 76 FR 4662 (January 26, 2011).
The 2010 waiver applied to MY2007 and newer
light duty motor vehicles. The 2011 waiver applied
to MY2001–2006 light duty motor vehicles.
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partial in that they apply to model year
(MY) 2001 and newer light-duty motor
vehicles and do not apply to MY2000
and older light-duty motor vehicles, all
heavy-duty gasoline engines and
vehicles, all highway and off-highway
motorcycles, and all nonroad products.
Per CAA section 211(f)(4), EPA
evaluated whether the use of E15 would
cause or contribute to emissions failures
over the useful life of all vehicles,
engines, and nonroad equipment, and
determined that the use of E15 in
MY2000 and older vehicles, heavy-duty
gasoline engines and vehicles, and
highway and off-highway motorcycles
could cause these motor vehicles to
exceed their emissions standards. EPA
also found that the use of E15 in
nonroad products could cause
emissions exceedances as well as
durability and materials compatibility
issues.
Because the partial waivers apply
only to MY2001 and newer light-duty
motor vehicles, EPA promulgated
regulations under CAA section 211(c)
(referred to as the Misfueling Mitigation
Rule or MMR) to mitigate the potential
for E15 to be used to fuel vehicles,
engines, and equipment for which E15
has not been approved for introduction
into commerce.3 Those regulations were
needed to implement EPA’s affirmative
determinations that the use of E15 in
MY2000 and older light-duty motor
vehicles, all heavy-duty gasoline
engines and vehicles, all on- and offhighway motorcycles, and all nonroad
products would cause or contribute to
the impairment of those vehicles’ and
engines’ emission controls and harm
public health from increases in
regulated emissions. The regulations
include a prohibition on the use of E15
in MY2000 and older light-duty motor
vehicles, all heavy-duty gasoline
engines and vehicles, all on- and offhighway motorcycles, and all nonroad
products. To implement this
prohibition, EPA promulgated several
misfueling mitigation requirements in
the MMR, a key aspect being that E15
fuel dispensers must have a specific
label when a retail station or wholesalepurchaser consumer chooses to sell E15.
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3 76
FR 44406 (July 25, 2011).
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The label was designed to alert
consumers to the appropriate and lawful
use of the fuel.
The E15 label was designed in
coordination with consumer labeling
experts at the Federal Trade
Commission (FTC); FTC also requires
the labeling of fuel dispensers in certain
circumstances.4 EPA worked with FTC
to develop the E15 label and to ensure
consistency between EPA’s and FTC’s
labels for higher level gasoline-ethanol
blends such as E85 (gasoline ethanol
blends containing up to 83 percent
ethanol). By regulation, EPA’s current
E15 label can be used in lieu of FTC’s
label for E15.5
The E15 label requirement was
implemented as an integral component
of EPA’s misfueling mitigation program.
First, the E15 partial waivers include a
waiver condition that fuel and fuel
additive manufacturers must submit a
misfueling mitigation plan (MMP) with
provisions to implement all reasonable
precautions to address potential
misfueling, including ensuring the use
of a fuel dispenser label.6 The waiver
conditions articulated in the E15 partial
waivers provide that the label must
convey the following information:
• The fuel being dispensed contains
15% ethanol maximum;
• The fuel is for use in only MY2001
and newer gasoline cars, MY2001 and
newer light-duty trucks, and all flex-fuel
vehicles;
• Federal law prohibits the use of the
fuel in other vehicles and engines; and
• Using E15 in vehicles and engines
not approved for use might damage
those vehicles and engines.
As discussed above, the MMR also
implements a label requirement for
4 FTC’s regulations found at 16 CFR 306.10
(Automotive Fuel Rating Posting) require fuel
dispenser labels for gasoline-ethanol fuel blends
containing greater than 10 percent ethanol. The FTC
regulations provide for an exemption for retailers
that utilize EPA’s label under 40 CFR 80.1501. See
16 CFR 306.10(a).
5 As described later in this proposal, if we were
to remove our label requirement under 40 CFR
80.1501, absent additional action from FTC,
retailers would be required to use FTC’s label for
ethanol blends containing between 10 and 15
percent ethanol, per 16 CFR part 306.
6 75 FR 68094 (November 4, 2010), 76 FR 4662
(January 26, 2011).
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retailers and wholesale purchaserconsumers, in addition to the
requirements under the waiver
conditions for fuel and fuel additive
manufacturers. The MMR label
requirement is specified in 40 CFR
80.1501 and requires the same basic
elements as required under the E15
partial waivers’ label requirement. Most
recently, the 2019 E15 ‘‘substantially
similar’’ definition for E15 requires that
fuel and fuel additive manufacturers
must submit a misfueling mitigation
plan with provisions to implement all
reasonable precautions to address
potential misfueling.7 Thus, the E15
label is currently incorporated and
required under 40 CFR 80.1501, our
CAA section 211(f)(1) ‘‘substantially
similar’’ definition for E15, and the CAA
section 211(f)(4) E15 partial waivers.
B. E15 in the Market
In 2019, EPA extended the CAA
section 211(h)(4) 1-psi volatility waiver
to gasoline-ethanol blends containing
between 9 and 15 percent ethanol. This
has expanded the opportunity for E15 to
be sold during the summer season.
In the years since the 2010 and 2011
E15 partial CAA section 211(f)(4)
waivers were granted, the number of
retail stations offering E15 has grown,
spurred in part by the United States
Department of Agriculture (USDA)
biofuel infrastructure partnership (BIP)
program in 2016–18 8 and the industrysponsored Prime the Pump program,
that helped provide funding for retail
station upgrades. As of October 2019,
there are an estimated 1,809 stations
registered as selling E15 (representing
only about one percent of all retail
stations).9 Figure III–1 shows the growth
of E15 stations since 2012, as well as the
percentage of E15 stations of all retail
stations in the United States.
7 84
FR 26980, 27021 (June 10, 2019).
Biofuel Infrastructure Partnership, https://
www.fsa.usda.gov/programs-and-services/energyprograms/bip/index; Prime the Pump press release,
https://growthenergy.org/2018/06/20/growthenergy-prime-the-pump-success-driving-ethanoldemand.
9 Email from Growth Energy to EPA, October 9,
2019, ‘‘Growth Energy Higher Blend Infrastructure.’’
Available in the docket for this action.
8 See
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The opportunities for misfueling have
changed since 2011 as well. Over time,
the number of light-duty vehicles on the
road that are older than MY2001 have
decreased due to normal fleet turnover,
resulting in a corresponding decrease in
the number of miles traveled by those
light-duty vehicles.10 At the same time,
we have no indication that anything has
changed for the other sectors (i.e.,
nonroad vehicles, engines, and
equipment, motorcycles, and heavyduty vehicles). We continue to believe
there are millions of such products in
use that could potentially be misfueled
on E15.
C. Proposed Changes to the E15
Labeling Requirement
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EPA has received comments from
some stakeholders on other actions
suggesting that the existing E15 label is
no longer necessary and simply
interferes with additional growth of E15
in the marketplace.11 These commenters
10 We received comments in rulemakings
suggesting that there are still vehicles newer than
MY2000 for which manufacturers’ owner’s manuals
continue to include warnings against E15 use
despite E15 being allowable for introduction into
commerce in those vehicles under EPA’s
regulations. See discussion at 84 FR 26980, 27010
(June 10, 2019).
11 See, e.g., Comments from Growth Energy
(Docket Item No. EPA–HQ–OAR–2018–0227–0053)
and Renewable Fuels Association (Docket Item No.
EPA–HQ–OAR–2018–0227–0037). While these
represent the most recent comments received on
this issue, we have included all relevant comments
in the docket for this action. While these comments
often include many aspects of E15 use, only
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suggest that removal of the label or
changes to the color of the label or
language used on the label would
increase lawful use of E15 in MY2001
and newer light-duty vehicles. Other
stakeholders have suggested that the
growth in E15 at retail stations
exacerbates concerns over misfueling of
vehicles and equipment not designed
for it, and suggest that the current label
is no longer explicit enough about what
vehicles and engines cannot use E15
making it insufficient to protect against
misfueling.12 These commenters
suggested that EPA should solicit input
on the size, design, and placement of
the label on the dispenser, and other
characteristics of the label to more
clearly communicate the fuel’s ethanol
content to consumers.13
Our proposed action to modify or
eliminate the E15 label requirement
would rely on our CAA section 211(c)
authority to control or prohibit fuel.
Under CAA section 211(c)(1), EPA may
comments relating to the label are considered
relevant for this NPRM.
12 See, e.g., Comments from National Marine
Manufacturers Association (Docket Item No. EPA–
HQ–OAR–2018–0775–0534) and Petroleum
Marketers Association of America (Docket Item No.
EPA–HQ–OAR–2018–0227–0083). While these
represent the most recent comments received on
this issue, we have included all relevant comments
in the docket for this action. While the comments
often address many aspects of E15 use, only those
comments related to the label requirement are
considered relevant for this NPRM.
13 See, e.g., Comments from National Marine
Manufacturers Association (Docket Item No. EPA–
HQ–OAR–2018–0775–0534).
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issue regulations to ‘‘control or prohibit
the manufacture, introduction into
commerce, offering for sale, or sale’’ of
any fuel or fuel additive whose
emissions products may cause or
contribute to air pollution ‘‘which may
be reasonably anticipated to endanger
public health or welfare,’’ or whose
emissions products ‘‘will impair to a
significant degree the performance of
any emission control device or system
which is in general use.’’ In the MMR,
we found that E15 would significantly
impair the emission control systems
used in MY2000 and older light-duty
motor vehicles, all heavy-duty gasoline
engines and vehicles, all highway and
off-highway motorcycles, and all
nonroad products. This misfueling
could result in increases in
hydrocarbon, carbon monoxide, nitrous
oxide, particulate matter, and air toxics
emissions. Any action EPA takes to
modify or remove the label would need
to consider this finding.
We currently have no information
before us that would indicate that E15,
if used in MY2000 and older light-duty
motor vehicles, all heavy-duty gasoline
engines and vehicles, all highway and
off-highway motorcycles, and all
nonroad products, would no longer
cause such damage to emission control
systems. However, in the intervening
years since the promulgation of the
MMR and the label requirement, the
vehicle fleet turnover toward newer
light-duty vehicles, and the feedback
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from stakeholders have led us to
reevaluate the E15 label at this time.
The current label is 3 inches by 5
inches in black text on an orange
background and includes the following
language:
• The word ‘‘ATTENTION,’’
diagonally across the upper right corner
of the label;
• The word ‘‘E15’’ at the top of the
label;
• The ethanol content: ‘‘Up to 15%
ethanol’’ below the word E15;
• The words and symbols ‘‘Use only
in • 2001 and newer passenger vehicles
• Flex-fuel vehicles’’; and
• The final two sentences: ‘‘Don’t use
in other vehicles, boats, or gasolinepowered equipment. It may cause
damage and is prohibited by Federal
law.’’ 14
In this action, we are co-proposing
two options with respect to the E15
label. Under the first option, we are
proposing modifications to the label
intended to provide additional clarity to
consumers and decrease confusion.
Under the second option, we are
proposing to remove the label entirely.
1. Potential Modifications to the E15
Label
Our first co-proposal is to modify the
existing E15 label, including:
• Removing the ‘‘Attention’’ stripe
along the upper right corner of the label.
• Removing the phrase ‘‘E15’’ from
the label, while including the language
‘‘contains up to 15% percent ethanol’’.
• Revising the language ‘‘Use only in’’
to ‘‘Safe for use in’’.
• Revising the language ‘‘Don’t use
in’’ to ‘‘Avoid use in’’.
• Revising the format of the word
‘‘prohibited’’ such that it is not in bold
and italicized type.
We additionally propose
modifications to the label in accordance
with our existing alternative labels. At
this time, there are two approved
alternative labels for E15. One label
includes the term ‘‘or’’ in between
‘‘2001 and newer passenger vehicles’’
and ‘‘flex fuel vehicles.’’ We believe the
inclusion of ‘‘or’’ clarifies that both
MY2001 and newer light-duty motor
vehicles and flex fuel vehicles can
permissibly use E15. The other
approved alternative label includes
‘‘motorcycles’’ in the list of vehicles and
engines in which E15 use is prohibited.
Our first co-proposal proposes these
modifications to the E15 label as well
since we believe they more clearly
convey which vehicles and engines can
lawfully use E15.
14 An image of the existing label is available in
the memorandum ‘‘Potential Label Changes,’’
available in the docket for this action.
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We believe these modifications to the
label would reduce confusion about the
vehicles in which E15 can be used
while also alerting consumers to the
vehicles and engines in which E15
should not be used. We note that these
modifications would also continue to
comply with the requirements under the
existing E15 partial waivers and thus
would not require modifications to
them.
Finally, we propose a modification to
the colors utilized on the label.
Consistent with the FTC fuel labels, we
selected the orange color for our E15
label requirement in 2011; however, we
recognize that another color may be
better suited for the label. Some
stakeholders 15 have suggested a blue
and white label, instead of the orange
label we currently use. The proposed
regulatory text modifies the color of the
label to a blue header, with white text,
and white body with black text.16 We
alternatively propose to maintain the
current orange and black label color
design.
We seek comment on the proposed
changes to the label, and specifically
request input on what combination of
modifications to the label would
improve clarity regarding which
vehicles can use E15 while protecting
vehicles and engines for which E15 use
is inappropriate. We recognize that the
modifications proposed may be best
implemented together, or in some
alternative combination that does not
include all of the proposed
modifications. We specifically request
information on any studies (e.g., public
survey or focus group studies) or
information on consumer interaction
with the label.
stakeholders have suggested that
removing the label would encourage the
use of E15 by consumers who can
lawfully use E15 but who do not do so
because they are confused by the
label.18
We note that, regardless of our
proposal to remove the E15 label, the
prohibition on the use of E15 in
MY2000 and older light duty vehicles
and all nonroad engines and equipment
as codified at 40 CFR 80.1504 would
remain in place. We continue to believe
that E15, when used in those vehicles or
engines, would cause or contribute to
the impairment of emission control
systems which would, in turn, result in
negative effects on human health and
welfare.
Were EPA’s E15 label requirement to
be removed, we believe that FTC’s
regulations would require that E15
dispensers be labeled according to
FTC’s label requirements.19 We seek
comment on the interaction between
EPA and FTC’s labels, recognizing that
we cannot modify FTC’s regulations in
this action.
In order to completely remove the E15
label, we would need to also remove it
from the requirements under the CAA
section 211(f)(4) waiver, and likely
clarify under the CAA section 211(f)(1)
‘‘substantially similar’’ determination
that the fuel dispenser label would no
longer be required. We seek comment
on how to address the requirements
under the CAA section 211(f)
provisions.
2. Potential Removal of the E15 Label
Requirement
In the alternative, our second coproposal is to remove the E15 label
entirely. Selection of this option could
also result in the elimination of the E15
survey requirement because it is
currently required in order to verify that
E15 fuel dispensers are labeled
consistent with EPA’s regulatory
requirements, and would arguably no
longer be necessary if the labeling
requirement were removed.17 Some
We note that we intend to finalize the
proposed Fuels Regulatory Streamlining
Rule (‘‘Streamlining Rule’’) with an
implementation date of January 1, 2021,
for most provisions, including the E15
label requirement. Under the
Streamlining Rule, we proposed to
transpose unchanged the current E15
misfueling mitigation measures from 40
CFR part 80, subpart N, into the new 40
CFR part 1090. Since the effective date
of any final rulemaking for this action
would likely be after January 1, 2021,
we would effectuate the proposed E15
label modifications or removal of the
E15 labeling requirement in 40 CFR part
1090.
15 See, e.g., Comments from Growth Energy
(Docket Item No. EPA–HQ–OAR–2010–0448–0083).
16 We have provided mock-ups showing potential
modifications to the label that might result from
this proposal in the memorandum, ‘‘E15 Label
Revisions,’’ available in the docket for this action.
17 If we do remove the E15 label, we are not
proposing to remove the Product Transfer
Document (PTD) language requirements around
ethanol content in gasoline-ethanol blended fuels.
In addition to informing retailers of ethanol content
for purposes of labeling E15 fuel dispensers, the
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3. Modification to Regulations
PTD language requirements for ethanol are also
necessary to identify which gasoline-ethanol blends
can take advantage of the 1-psi waiver for RVP
compliance.
18 See Comments from Growth Energy (Docket
Item No. EPA–HQ–OAR–2015–0202–0129).
19 See 16 CFR part 306 and supra notes 4&5.
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D. Request for Public Comment on E15
Labeling Preemption Considerations
Since promulgation of the MMR in
2011, EPA has also received information
from some stakeholders that confusion
is caused when there is more than one
label displayed on some fuel dispensers.
For this reason, EPA additionally seeks
comment regarding the ability of state or
local governments to require labeling of
E15 pump dispensers.
As stated in the MMR,20 EPA’s
authority to ‘‘control or prohibit’’
specifications for E15 pump dispenser
labels is provided by CAA section
211(c)(1). Under CAA section
211(c)(4)(A), a state or local government
may not adopt or enforce differing
controls or prohibitions respecting
labeling of E15 fuel dispensers if ‘‘for
purposes of motor vehicle emission
control.’’ 21 In the MMR, we also stated
that we would evaluate questions
regarding potential E15 pump dispenser
labels preemption matters on a casespecific basis.22
Aside from the express preemption
provided by CAA section 211(c)(4)(A), a
state or local control for fuels or fuel
additives may be implicitly preempted
under the supremacy clause of the U.S.
Constitution where the state
requirement conflicts with Federal law
by preventing compliance with the
federal requirement, or by standing as
an obstacle to accomplishment of the
Federal objectives. Therefore, a state or
local requirement respecting E15 pump
label dispensers that is not expressly
preempted under CAA section
211(c)(4)(A) nevertheless may be
preempted if it meets the criteria for this
constitutional conflict preemption.
In this action, we seek comment on
whether there are certain types of labels
that may be conflict-preempted from
use. We encourage commenters to
include examples of other labels they
have observed that may raise such
preemption questions and legal analysis
to support their positions, to the extent
feasible.
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III. E15 Compatibility With
Underground Storage Tanks
This section discusses our proposed
revisions regarding compatibility with
USTs.
20 See
74 FR 44406, 44431–32 (July 25, 2011).
that under CAA section 211(c)(4)(C)(i),
states other than California may prescribe and
enforce non-identical measures if they seek and
obtain EPA approval of State Implementation Plan
revisions containing such control measures.
22 See 74 FR 44432 (July 25, 2011).
21 Except
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A. Background on Underground Storage
Tank Compatibility
As of 2020, EPA regulates over halfa-million UST systems that contain
petroleum or hazardous substances.
EPA’s Office of Underground Storage
Tanks was formed in response to the
discovery in the early 1980s that
thousands of USTs had leaked and
contaminated groundwater supplies in
the U.S. USTs form a crucial part of our
country’s fueling infrastructure. It is
important for USTs to be constructed,
maintained, and operated in a manner
so that petroleum and other regulated
substances are stored safely. We
developed the UST regulation in 1988 to
help owners and operators meet those
goals, and a critical part of the
regulation included the requirement for
UST systems to be compatible with the
substance stored. Incompatibility
between fuels stored and UST system
materials can result in equipment or
components such as tanks, piping,
gaskets, or seals becoming brittle,
elongated, thinner, or swollen when
compared with their condition when
first installed. When this occurs, the
UST system may fail to contain the
regulated substance resulting in a
release to the environment and possibly
a failure to detect the release.
The U.S. fuel supply has changed
significantly since 1988 and use of
biofuels has grown rapidly. We
understand that the chemical and
physical properties of biobased fuels,
such as ethanol and biodiesel, can be
more degrading to certain UST system
materials than petroleum alone.
Changes in the fuel supply have caused
unintended consequences to UST
systems, including equipment failure
and releases to the environment. As a
result, in 2015 we revised the UST
regulation and required owners and
operators to provide additional
notification, demonstration, and
recordkeeping when storing fuel blends,
such as those with more than 10 percent
ethanol or more than 20 percent
biodiesel.23
The use of biofuels has continued to
grow since 2015. As described in
Section II.B, in June 2019, we modified
fuel regulations that allow E15 to utilize
the 1-psi volatility waiver, which allows
for increased E15 sale in the summer.
That final rule means more UST owners
and operators may opt to store and sell
E15 at gas stations and other fueling
facilities. E15 is now used in 30 states
at 1,809 stations. Because of this
continued growth of biofuels in the
U.S., this action proposes to revise the
23 See
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5099
2015 UST regulation to grant certain
allowances for compatibility
demonstration and make it less
burdensome for UST owners and
operators to meet the current
requirements. In addition, this action
proposes a requirement that UST
systems installed, or UST equipment
and components replaced, must be
constructed with equipment and
components compatible with ethanol
blends up to 100 percent. This
requirement would become effective
one year after the effective date of the
final rule.
This proposal will make it easier for
owners and operators to meet
compatibility requirements with their
current infrastructure, if unable to
demonstrate compatibility. The
proposal will also help ensure the future
national UST infrastructure is
compatible with a broad range of
biofuels that come to market so service
station owners can offer more choices to
consumers. The fuel supply in the U.S.
is constantly evolving; because future
needs are somewhat unknown, we see
value in promoting UST systems that
can safely store a broad range of
potential emerging fuels such as higherlevel ethanol blends.
B. Proposed Changes to the UST
Compatibility Requirements
1. Allowance—For Secondary
Containment When Unableo To
Demonstrate Compatibility
In the preamble to the 2015 UST
regulation, we clarified that
implementing agencies could allow use
of secondary containment in lieu of
being able to demonstrate compatibility
of all UST system equipment and
components required by the regulation.
EPA had not previously allowed this but
is proposing to do so now in this action.
Owners and operators of UST systems
already in existence one year after the
effective date of this rule who cannot
determine compatibility (e.g., cannot
find installation documentation) for all
equipment and components are not
required to demonstrate compatibility if
the UST systems have secondarily
contained tanks and piping (including
safe suction piping) and use interstitial
monitoring. This will still sufficiently
protect the environment because
secondary containment will contain a
leak from the primary containment of
the tank and piping, and interstitial
monitoring will likely detect a leak
before regulated substances reach the
environment.
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As of 2020, all states 24 require
secondary containment for new and
replaced UST systems, along with the
requirement for interstitial monitoring
to detect potential releases. Most states’
requirements target new and replaced
UST systems, which avoids added
expenses for owners and operators to
retrofit or replace existing systems to
meet the requirements. Many states,
including those in New England, New
York, California, and Florida, required
full or partial secondary containment
prior to Congress passing Title XV,
Section B of the Energy Policy Act of
2005 (EPAct). This act required states
receiving Federal money under Subtitle
I of the Solid Waste Disposal Act to
require either secondary containment
and under-dispenser containment for
new and replaced underground storage
tank systems or evidence of
manufacturer and installer financial
responsibility and installer certification.
By 2008, 31 states had adopted the
EPAct requirement. However, states’
requirements for secondary containment
and interstitial monitoring can differ,
including when required and
allowances for use of other release
detection options when owners and
operators chose to install secondary
containment prior to it being required.
EPA’s database, populated with
publicly available information gathered
from the individual state UST programs,
helped us understand the number of
UST systems nationally that are
secondarily contained and where
owners and operators are using
interstitial monitoring to detect releases
from their UST systems. Using statesupplied data, we identified 23 states
that provide data on the number of UST
systems with both double-wall tanks
and double-wall piping. These
secondarily contained systems should
generally be capable of using interstitial
monitoring for release detection,
although some may currently use
another method. This means that
approximately 24 percent of the 225,000
USTs in these 23 states should be able
to use secondary containment with
interstitial monitoring, if they have
compatible equipment but are currently
unable to demonstrate it. The
percentage is likely similar across the
nation, but we seek comment on this
issue.
Owners and operators should be
aware that only leaks from equipment or
components inside secondary
containment will be contained. Fuel
spills may still occur if other UST
system components become non24 States includes all 50 states, 5 territories, and
the District of Columbia.
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functioning due to incompatibility since
the equipment or component is not
inside secondary containment. For
example, if spill prevention equipment
(i.e., spill bucket) fails due to
incompatibility, small spills from the
delivery hose will not be contained by
the tank and piping secondary
containment. We encourage owners and
operators to replace equipment that they
cannot demonstrate as compatible if the
equipment is accessible from ground
level and replaceable with minimal
investment.
2. Allowance—For Already Compatible
Tanks and Piping
We identified equipment for which
UST owners and operators would not
need to demonstrate compatibility.
Based on manufacturer statements and
certification by independent testing
laboratories, certain categories of
equipment are known to be compatible
with higher blends of ethanol. We
believe that steel and fiberglass tanks
manufactured after July 2005 are
compatible with higher blends of
ethanol fuels. This means that owners
and operators will not need to
demonstrate compatibility for these
tanks. Likewise, we understand that all
fiberglass reinforced plastic (FRP)
piping is compatible with higher blends
of ethanol fuel, so owners will not need
to demonstrate compatibility for any
FRP piping.
For other equipment, we are unaware
of a fixed date or fixed category in
which all equipment by any
manufacturer is known to be
compatible. As such, other than for the
tank and piping items identified earlier
in this section, owners and operators
must adhere to the requirement in 40
CFR 280.32 to demonstrate
compatibility.
However, we understand that some
models of many equipment and
components that must be demonstrated
compatible were already compatible
with higher blends of ethanol decades
before these blends became common.
UST owners and operators may already
have this equipment installed. If they
can demonstrate compatibility of certain
existing equipment, they will not need
to replace all of their equipment to
demonstrate compatibility with higher
blends of ethanol.25
For example, we understand that the
following UST system equipment and
components were available after the
1988 UST regulation and are compatible
with higher blends of ethanol:
• Unlined steel single-wall tanks
• Unlined steel double-wall tanks
25 See
PO 00000
https://flexfuelforward.com/flexcheck.
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In addition, we understand that the
following UST system equipment and
components were available in a higher
ethanol compatible version from at least
one manufacturer as early as the years
listed below. Many owners and
operators might have a compatible piece
of equipment, which can be confirmed
and demonstrated as compatible by
verifying documentation associated
with the equipment manufacturer and
installation.
• Single-wall fiberglass tanks: 1995
• Double-wall fiberglass tanks: 1990
• Flexible piping: 2011
• Fiberglass containment sumps: 1995
• Pumping equipment: 2010
• Spill equipment: 2015
• Release detection equipment: 2006
• Overfill equipment: 2006
We are requesting comment on the
accuracy of this information and seek
additional information on this matter.
3. Compatibility Requirements for New
Installations and Replacements
We are proposing that owners and
operators storing motor fuel used in
over-the-road vehicles must ensure that
new or replaced UST system equipment
and components, including pipe dopes
and sealants, are compatible with
ethanol blends up to 100 percent. This
applies regardless of whether the UST
system currently stores or will store
ethanol blends. This includes UST
systems storing over-the-road diesel
because service stations may in the
future change to storing gasoline with
higher blends of ethanol. However, we
believe USTs storing fuel for emergency
power generators and other off-road fuel
used (such as fuel for construction
equipment) should be exempt from this
requirement. We seek comment on other
potentially applicable exemptions. If an
owner or operator is replacing specific
equipment or components, such as a
submersible turbine pump or
containment sump, then only that
replacement must be compatible with
ethanol blends up to 100 percent. For
entirely new UST system installations
or replacements, the entire system must
be compatible with ethanol blends up to
100 percent. We would require UST
owners and operators to retain
compatibility documentation for all new
system equipment and components,
including pipe dope, sealants, and
gaskets, which are a common source of
incompatibility.
This proposed requirement would
become effective one year after the
effective date of the final regulation.
Since UST systems typically stay in the
ground for decades—40 percent of
active USTs are more than 30 years
old—transitioning to compatible UST
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systems for emerging fuels can be very
difficult. Implementing this requirement
now will help ensure future fuel storage
infrastructure can reliably store a larger
variety of fuels. One hundred percent
ethanol compatible material is readily
available on the market today for all
UST system equipment and
components. The additional cost of a
fully ethanol compatible system would
be relatively minimal as a percentage of
total cost of installation. This additional
up-front investment would also avoid
potentially significant upgrade costs, if
future fuels contain greater volumes of
ethanol or other alcohols.
C. Updates to State Program Approval
Requirements
EPA has long recognized that, because
of the size and diversity of the regulated
community, state and local governments
are in the best position to oversee USTs.
State and local authorities are closer to
the situation in their domain and are in
the best position to set priorities. The
2015 state program approval (SPA)
regulation in 40 CFR part 281 sets
criteria state UST programs must meet
to receive EPA’s approval to operate in
lieu of the Federal UST program. The
SPA regulation sets performance criteria
states must meet to be considered no
less stringent than the Federal UST
regulation and provides requirements
for states to have adequate enforcement.
Much of the responsibility for
implementing these proposed changes
falls to state agencies. EPA will work
with states to update their UST
regulations and will support them in
achieving state program approval. These
proposed changes to the 2015 UST
regulation, when final, will initially
only apply to UST facilities in Indian
country and in states that do not have
SPA (owners and operators in states that
do not have SPA must comply with the
Federal UST regulation and their state
regulations). For states that do have SPA
these proposed changes will not apply
until each state undertakes its own
rulemaking. As of the date of
publication of this notice, 15 26 states do
not have state program approval. For a
list of states with state program
approval, see www.epa.gov/ust/stateunderground-storage-tank-ust-programs.
EPA is proposing to change the 2015
SPA regulation (40 CFR part 281) and
make it consistent with these proposed
revisions of the compatibility
requirements of the 2015 UST
regulation (40 CFR part 280).
Specifically, EPA proposes that states
26 States and territories without SPA—AK, AZ,
CA, FL, IL, MI, NJ, NY, OH, WI, WY and AS, GU,
CNMI, VI.
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require UST systems that store motor
fuel for use in over-the-road vehicles be
compatible with ethanol blends up to
100 percent when a new system is
installed or when equipment and
components are replaced. Since this is
a more stringent requirement than what
EPA required in its 2015 UST
regulation, states would need to have or
adopt this additional provision to be
considered no less stringent than the
corresponding Federal requirements.
States will have three years from the
effective date of a final rule to submit to
EPA a revised SPA application,
including this change to their states’
UST regulations. Since many states have
recently been through this SPA
application approval process for the
2015 UST regulation, EPA intends to
make this additional modification to
SPA an expedited process. EPA
welcomes additional feedback on this.
D. Overview of Estimated Costs
The regulatory changes proposed
today would provide cost savings to
UST owners and operators as well as
impose costs, and EPA is seeking
comments on both.
1. Allowances—For Secondary
Containment When Unable To
Demonstrate Compatibility and for
Already Compatible Tanks and Piping
The allowance described in this
proposal for UST systems with
secondary containment using interstitial
monitoring when unable to demonstrate
compatibility will provide owners and
operators cost savings. Under this
allowance, UST system owners and
operators seeking to store ethanol
blends up to 100 percent will not have
to upgrade certain equipment and
components simply because they are
unable to demonstrate compatibility for
that equipment and those components.
As described in this preamble it is
EPA’s understanding that approximately
24 percent of all UST systems should be
able to use secondary containment with
interstitial monitoring, if they have
compatible equipment but are currently
unable to demonstrate it. This could
mean that a significant portion of all
facilities that seek to store higher blends
of ethanol but are unable to demonstrate
may not have to replace certain
equipment. A rough estimate of
replacement cost avoidance from this
allowance can be made from informal
estimates EPA has gathered from
industry and regulators:
• Replacing tanks: $150,000 per tank.
• Replacing piping: $150,000 per
facility.
• Ancillary equipment upgrades
(most variable and configuration
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5101
dependent): $1,000 $10,000 per UST
system.
In addition, the other allowance
proposed in this regulation to eliminate
the requirement to demonstrate
compatibility for all steel and fiberglass
tanks manufactured after July 2005, and
all FRP piping should provide some
additional cost savings. EPA is seeking
to verify this understanding and is
looking for additional information or
data to better understand the cost
implications of today’s proposal.
2. Compatibility Requirements for New
Installations and Replacements
This proposal imposes compatibility
requirements for up to 100 percent
ethanol for certain (i.e., storing motor
fuel used in over-the road-vehicles) new
installations and replacements of UST
system equipment and components
regardless of whether the UST system
currently stores or will store ethanol
blends. This means, for example that an
UST owner and operator needing to
replace equipment such as a
containment sump or spill bucket must
make that replacement with equipment
that is compatible with up to 100
percent ethanol. EPA understands that
the marginal cost for any new UST
system equipment or components
compatible with up to 100 percent
ethanol is minimal compared with the
overall project costs (i.e., design,
construction, installation etc). EPA
estimates the additional costs for
purchasing up to 100 percent
compatible equipment or components
could be significantly less than 5% of
the overall project costs and is seeking
comment on this estimate. Some major
UST components and equipment
manufactured today (e.g., tanks, piping)
are all already compatible with up to
100 percent ethanol so there is no cost
increase to accommodate the higher
blends for those purchases. However,
there is certain equipment where the
cost of the up to 100 percent ethanol
compatible model may be higher (e.g.,
overfill device).
EPA is seeking to verify this
understanding and is looking for
additional information or data to better
understand the cost implications of this
action.
IV. Statutory and Executive Order
Reviews
Additional information about these
statutes and Executive Orders can be
found at https://www.epa.gov/lawsregulations/laws-and-executive-orders.
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A. Executive Order 12866: Regulatory
Planning and Review and Executive
Order 13563: Improving Regulation and
Regulatory Review
This action is a significant regulatory
action because it raises novel legal or
policy issues. Nevertheless, after
reviewing information regarding this
action, the Office of Management and
Budget waived review of this action.
B. Executive Order 13771: Reducing
Regulations and Controlling Regulatory
Costs
This action is not expected to be an
Executive Order 13771 regulatory
action. We seek comment on any
burdens and costs associated with this
rulemaking.
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C. Paperwork Reduction Act (PRA)
The information collection activities
in this proposed rule have been
submitted for approval to the Office of
Management and Budget (OMB) under
the PRA. The Information Collection
Request (ICR) document that EPA
prepared has been assigned EPA ICR
number 2655.01. You can find a copy of
the ICR in the docket for this rule, and
it is briefly summarized here.
This proposed regulation would
either change the existing, approved E15
label (approved under OMB Control
Number 2060–0675)—or remove it
entirely. Should the E15 label be
modified, then there would be a cost
associated with affixing the amended
label to pumps from which fuel is
dispensed. We have also allowed that
some parties may need to purchase
labels. Parties required to affix labels are
typically parties who own or operate
retail stations or wholesale-purchases
consumer facilities. Should the E15
labeling requirement be removed
entirely, then there would no longer be
any E15 label required and we would
anticipate a cost savings to industry.
This proposed regulation would also
require owners and operators of
underground storage tanks (UST) to
maintain records of compatibility at
new UST installations and replacements
storing motor fuels used in over the road
transportation. This new requirement is
only intended for UST systems storing
motor fuel used in over-the-road
transportation, not for UST systems
fueling emergency power generators nor
other UST systems used for off-road
purposes such as construction
equipment. In the existing regulation,
owners and operators of USTs storing
product containing more than 10
percent ethanol or more than 20 percent
biodiesel are required to maintain
records to demonstrate compatibility
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with the product stored. This action
proposes to grant certain allowances for
this current UST system compatibility
demonstration requirement, which
reduces information collection burden
for some UST systems. The existing
requirements for owners and operators
of USTs are under OMB Control
Number 2060–0068.
Respondents/affected entities:
Retailers and wholesale purchaserconsumers who dispense E15; owners
and operators of UST systems.
Respondent’s obligation to respond:
Mandatory under 40 CFR part 80,
subpart N, (E15 labeling)—and 40 CFR
part 280, subparts B and C; and 40 CFR
part 281, subpart C (UST).
Estimated number of respondents:
1,801 retail and wholesale purchaserconsumers for the E15 labeling
provisions and 10,331 owners and
operators for the UST provisions.
Frequency of response: Once, as
needed and on occasion.
Total estimated burden: 37 hours (per
year) for the E15 labeling and 2,799
hours (per year) for USTs. Burden is
defined at 5 CFR 1320.3(b).
Total estimated cost: $3,785 (per year)
for E15 labeling, which includes $2,952
annualized capital or operation &
maintenance costs; and $65,515 for
UST, which includes $0 annualized
capital or operation & maintenance
costs.
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.
Submit your comments on EPA’s need
for this information, the accuracy of the
provided burden estimates, and any
suggested methods for minimizing
respondent burden to EPA using the
docket for this action. You may also
send your ICR-related comments to
OMB’s Office of Information and
Regulatory Affairs at www.reginfo.gov/
public/do/PRAMain. Find this
particular information collection by
selecting ‘‘Currently under 30-day
Review—Open for Public Comments’’ or
by using the search function. Since
OMB is required to make a decision
concerning the ICR between 30 and 60
days after receipt, OMB must receive
comments no later than February 18,
2021. EPA will respond to any ICRrelated comments in the final rule.
D. Regulatory Flexibility Act (RFA)
I certify that this action will not have
a significant economic impact on a
substantial number of small entities
under the RFA. The small entities
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Sfmt 4702
subject to the requirements of this
action are retail motor fuels firms and
small government jurisdictions.
With respect to the E15 fuel dispenser
label portion of this action, the
proposed changes to the E15 label under
option 1 of this action do not
substantively alter the regulatory
requirements on parties that make and
distribute E15. The removal of the E15
label under option 2 of this action
would reduce burden on all regulated
parties that sell E15, including small
entities, and therefore would not impose
any requirements on small entities.
With respect to the E15 compatibility
with underground storage tanks
provisions of this action, in EPA’s 2015
UST rulemaking we determined that
less than 1 percent of potentially
affected small firms in the retail motor
sector (NAICS 447) would experience an
impact over 1 percent of revenues, but
less than 3 percent of revenues and that
no small firms would have impacts
above 3 percent of revenues.27 In the
2015 rulemaking we also determined
that no small government jurisdictions
would be impacted at 1 percent or 3
percent of revenues.28 Since this action
proposes a small change to the 2015
regulation, we do not expect any
significant impacts to small entities.
EPA seeks comment on any cost
impacts.
E. Unfunded Mandates Reform Act
(UMRA)
This action does not contain an
unfunded mandate of $100 million or
more as described in UMRA, 2 U.S.C.
1531–1538, and does not significantly or
uniquely affect small governments. This
action imposes no enforceable duty on
any state, local or tribal governments.
Requirements for the private sector do
not exceed $100 million in any one
year.
F. Executive Order 13132: Federalism
This proposed action does not have
federalism implications. The E15 label
portion of this action 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. For the E15
compatibility with underground storage
tanks portion of this action, the total
costs of this proposed rule (direct
compliance costs, notification costs and
27 See 80 FR 41620–21 (July 15, 2015) and Section
5.4 of the Regulatory Impact Analysis (RIA) for that
action, ‘‘Assessment Of The Potential Costs,
Benefits, And Other Impacts Of The Final Revisions
To EPA’s Underground Storage Tank Regulations.’’
28 Id.
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state program costs) will be small. In our
much larger rule in 2015 these total
costs were only $9 million which is not
considered to be a substantial
compliance costs under Federal
requirements. Therefore, we believe
Executive Order 13132 will not apply to
this rule which we expect to have lower
costs than the 2015 rule. EPA is
requesting comment on the expected
costs of this proposed rule. In the spirit
of Executive Order 13132 and consistent
with EPA policy to promote
communications between EPA and State
and local governments, EPA will
specifically solicit comment from state
and local government during the
comment period.
G. Executive Order 13175: Consultation
and Coordination With Indian Tribal
Governments
This action does not have tribal
implications as specified in Executive
Order 13175. Thus, Executive Order
13175 does not apply to this action.
H. Executive Order 13045: Protection of
Children From Environmental Health
Risks and Safety Risks
EPA interprets Executive Order 13045
as applying only to those regulatory
actions that concern environmental
health or safety risks that EPA has
reason to believe may
disproportionately affect children, per
the definition of ‘‘covered regulatory
action’’ in section 2–202 of the
Executive Order. This action is not
subject to Executive Order 13045
because it does not concern an
environmental health risk or safety risk.
khammond on DSKJM1Z7X2PROD with PROPOSALS
J. National Technology Transfer and
Advancement Act (NTTAA) and 1 CFR
Part 51
This proposed action does not involve
technical standards.
Jkt 253001
V. Statutory Authority
Statutory authority for the E15 label
portion of this action comes from
section 211 of the Clean Air Act, 42
U.S.C. 7545. Statutory authority for the
E15 compatibility with underground
storage tanks section of this action
comes from the Resource Conservation
and Recovery Act sections 9001 et seq.,
42 U.S.C. 6991 et seq.
40 CFR Part 80
This action is not a ‘‘significant
energy action’’ because it is not likely to
have a significant adverse effect on the
supply, distribution, or use of energy.
This action proposes to either change
EPA’s existing E15 label or remove the
labeling requirement entirely. There are
no additional costs for sources in the
energy supply, distribution, or use
sectors.
18:23 Jan 17, 2021
EPA believes that this action does not
have disproportionately high and
adverse human health or environmental
effects on minority populations, low
income populations, and/or indigenous
peoples, as specified in Executive Order
12898 (59 FR 7629, February 16, 1994).
For the E15 label portion of this action,
this proposed rule maintains the
prohibition on the use of E15 in 2000
and older light duty vehicles, as well as
all motorcycles, and nonroad vehicles,
engines, and equipment, which could
result in increases in emissions. For the
E15 compatibility with underground
storage tanks portion of this action, EPA
has determined that this action will not
have disproportionately high and
adverse human health or environmental
effects on minority or low-income
populations because it increases the
level of environmental protection for all
affected populations without having any
disproportionately high and adverse
human health or environmental effects
on any population, including any
minority or low-income population.
List of Subjects
I. Executive Order 13211: Actions
Concerning Regulations That
Significantly Affect Energy Supply,
Distribution, or Use
VerDate Sep<11>2014
K. Executive Order 12898: Federal
Actions To Address Environmental
Justice in Minority Populations and
Low-Income Populations
Environmental protection,
Administrative practice and procedure,
Air pollution control, Fuel additives,
Gasoline, Labeling, Motor vehicle
pollution, Penalties, Reporting and
recordkeeping requirements.
40 CFR Parts 280 and 281
Environmental protection,
Administrative practice and procedure,
Hazardous substances, Petroleum,
Reporting and recordkeeping
requirements, Water pollution control,
Water supply.
Andrew Wheeler,
Administrator.
For the reasons set forth in the
preamble, EPA proposes to amend 40
CFR parts 80, 280, and 281 as follows:
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5103
PART 80—REGISTRATION OF FUELS
AND FUEL ADDITIVES
1. The authority citation for part 80
continues to read as follows:
■
Authority: 42 U.S.C. 7414, 7521, 7542,
7545, and 7601(a).
■
2. Revise § 80.1501 to read as follows:
§ 80.1501 Labeling requirements that
apply to retailers and wholesale purchaserconsumers of gasoline that contains
greater than 10 volume percent ethanol and
not more than 15 volume percent ethanol.
(a) Any retailer or wholesale
purchaser-consumer who sells,
dispenses, or offers for sale or
dispensing E15 must affix the following
conspicuous and legible label to the fuel
dispenser:
Contains up to 15% ethanol
Safe for use in
• 2001 and newer passenger vehicles;
or
• Flex-fuel vehicles
Avoid use in other vehicles,
motorcycles, boats, or gasoline-powered
equipment. It may cause damage and is
prohibited by Federal law.
(b) Labels under this section must
meet the following requirements for
appearance and placement:
(1) Dimensions. The label must
measure 3 and 5⁄8 inches wide by 3 and
1⁄8 inches high.
(2) Placement. The label must be
placed on the upper two-thirds of each
fuel dispenser where the consumer will
see the label when selecting a fuel to
purchase. For dispensers with one
nozzle, the label must be placed above
the button or other control used for
selecting E15, or in any other manner
which clearly indicates which control is
used to select E15. For dispensers with
multiple nozzles, the label must be
placed in the location that is most likely
to be seen by the consumer at the time
of selection of E15.
(3) Text. The text must be justified
and the fonts and backgrounds must be
as described in paragraphs (b)(3)(i)
through (vi) and (b)(4)(i) through (iv) of
this section.
(i) The ethanol content: ‘‘Contains up
to 15% ethanol’’ must be in 18-point,
center-justified, white, Helvetica Black
font in the top 1.25 inches of the label.
(ii) The words ‘‘Safe for use in’’ must
be in 20-point, left-justified, black,
Helvetica Bold font in the bottom 1.875
inches of the label.
(iii) The words, and symbols ‘‘• 2001
and newer passenger vehicles; or
• Flex-fuel vehicles’’ must be in 14point, left-justified, black, Helvetica
Bold font.
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Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Proposed Rules
(iv) The remaining two sentences
must be in 12-point, left-justified,
Helvetica Bold font.
(4) Color. (i) The background of the
top 1.25 inches of the label must be
blue.
(ii) The background of the bottom
1.875 inches of the label must be white.
(5) Alternative labels. (i) Alternative
labels to those specified in this section
may be used if approved by EPA in
advance. Such labels must contain all of
the informational elements specified in
paragraph (a) of this section, and must
use colors and other design elements
similar in substance and appearance to
the label required by this section. Such
labels may differ in size and shape from
the label required by this section only
to a small degree, except to the extent
a larger label is necessary to
accommodate additional information or
translation of label information.
(ii) A request for approval of an
alternative label must be sent to the
attention of ‘‘E15 Alternative Label
Request’’ to the address in § 80.10(a).
PART 280—TECHNICAL STANDARDS
AND CORRECTIVE ACTION
REQUIREMENTS FOR OWNERS AND
OPERATORS OF UNDERGROUND
STORAGE TANKS (UST)
3. The authority citation for part 280
continues to read as follows:
■
Authority: 42 U.S.C. 6912, 6991, 6991(a),
6991(b), 6991(c), 6991(d), 6991(e), 6991(f),
6991(g), 6991(h), 6991(i).
4. Amend § 280.20 by adding a
sentence after the first sentence in the
introductory text to read as follows:
■
§ 280.20 Performance standards for new
UST systems.
* * * Owners and operators must
also comply with the requirement of
§ 280.32(b) when equipment or
components are installed or replaced, as
applicable. * * *
*
*
*
*
*
■ 5. Amend § 280.32 by revising
paragraph (b) and adding paragraphs (c)
and (d) to read as follows:
§ 280.32
Compatibility
khammond on DSKJM1Z7X2PROD with PROPOSALS
*
*
*
*
*
(b) In addition to the requirements at
§ 280.20, owners and operators of UST
systems which will store motor fuel
used in over-the-road vehicles must
ensure that equipment and components,
including pipe dopes and sealants, that
are installed or replaced on or after [1
year after effective date of final
VerDate Sep<11>2014
18:23 Jan 17, 2021
Jkt 253001
regulations] are compatible with ethanol
blends up to 100 percent. Owners and
operators must keep documentation of
compatibility in accordance with
paragraph (c)(1) of this section and keep
documentation on compatibility of pipe
dopes and sealants.
(c) Owners and operators must notify
the implementing agency at least 30
days prior to switching to a regulated
substance containing greater than 10
percent ethanol, greater than 20 percent
biodiesel, or any other regulated
substance identified by the
implementing agency. In addition,
owners and operators with UST systems
storing these regulated substances must
meet one of the following:
(1) Demonstrate compatibility of the
UST system (including the tank, piping,
containment sumps, pumping
equipment, release detection
equipment, spill equipment, and overfill
equipment). Owners and operators may
demonstrate compatibility of the UST
system by using one of the following
options, though no demonstration is
required for tanks manufactured on or
after July 2005 or for any fiberglass
piping:
(i) Certification or listing of UST
system equipment or components by a
nationally recognized, independent
testing laboratory for use with the
regulated substance stored; or
(ii) Equipment or component
manufacturer approval. The
manufacturer’s approval must be in
writing, indicate an affirmative
statement of compatibility, specify the
range of biofuel blends the equipment or
component is compatible with, and be
from the equipment or component
manufacturer.
(2) All UST systems must be
compatible with the substance stored in
accordance with paragraph (a) of this
section but for any UST system installed
prior to 1 year after the date of
publication of the final rule in the
Federal Register for which
compatibility cannot be demonstrated in
accordance with paragraph (c)(1) of this
section, the regulated substance may be
stored if the tank and piping are
secondarily contained and use
interstitial monitoring in accordance
with § 280.43(g). Secondary
containment must be able to contain
regulated substances leaked from the
primary containment until they are
detected and removed and prevent the
release of regulated substances to the
environment at any time during the
operational life of the UST system.
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Fmt 4702
Sfmt 4702
(3) Use another option determined by
the implementing agency to be no less
protective of human health and the
environment than the options listed in
paragraph (c)(1) of this section.
(d) Owners and operators must
maintain records in accordance with
§ 280.34(b) documenting compliance
with paragraph (b) of this section for the
life of the UST system and paragraph (c)
of this section for as long as the UST
system is used to store the regulated
substance.
§ 280.34
[Amended]
6. Amend § 280.34 paragraph (a)(2) by
removing ‘‘(§ 280.32(b))’’ and adding
‘‘(§ 280.32(c))’’ in its place; and in
paragraph (b)(3) by removing
‘‘(§ 280.32(c))’’ and adding ‘‘(§ 280.32(b)
and (c))’’ in its place.
■
PART 281—APPROVAL OF STATE
UNDERGROUND STORAGE TANK
PROGRAMS
7. The authority citation for part 281
continues to read as follows:
■
Authority: 42 U.S.C. 6912, 6991(c),
6991(d), 6991(e), 6991(i), 6991(k).
8. Amend § 281.32 by revising
paragraph (c) and the first sentence of
paragraph (g) to read as follows:
■
§ 281.32
*
*
General operating requirements
*
*
*
(c) Be made of or lined with materials
that are compatible with the substance
stored; in order to ensure compatibility,
the state requirements must also include
provisions for demonstrating
compatibility with new and innovative
regulated substances or other regulated
substances identified by the
implementing agency or include other
provisions determined by the
implementing agency to be no less
protective of human health and the
environment than the provisions for
demonstrating compatibility; for UST
systems that will store motor fuel used
in over-the-road vehicles, all newly
installed or replaced equipment or
components, including pipe dopes and
sealants, must be compatible with
ethanol blends up to 100 percent;
*
*
*
*
*
(g) Have records of monitoring,
testing, repairs, compatibility
demonstration, and inspections. * * *
[FR Doc. 2021–00203 Filed 1–15–21; 8:45 am]
BILLING CODE 6560–50–P
E:\FR\FM\19JAP1.SGM
19JAP1
Agencies
[Federal Register Volume 86, Number 11 (Tuesday, January 19, 2021)]
[Proposed Rules]
[Pages 5094-5104]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-00203]
-----------------------------------------------------------------------
ENVIRONMENTAL PROTECTION AGENCY
40 CFR Parts 80, 280, and 281
[EPA-HQ-OAR-2020-0448; FRL-10015-80-OAR]
RIN 2060-AU92
E15 Fuel Dispenser Labeling and Compatibility With Underground
Storage Tanks
AGENCY: Environmental Protection Agency (EPA).
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: EPA currently requires fuel dispenser labels for gasoline-
ethanol blends of greater than 10 volume percent (vol%) ethanol and up
to 15 vol% ethanol (E15). The label was designed to alert consumers to
the appropriate and lawful use of the fuel. EPA is co-proposing to
either modify the E15 label or remove the label requirement entirely
and seeking comment on whether state and local governments may be
preempted from requiring different labels on fuel dispensers. To
facilitate the proper storage of E15 in underground storage tank
systems (USTs), EPA is proposing to modify the UST regulations to grant
certain allowances for compatibility demonstration for storage of
ethanol blends. EPA is also proposing compatibility requirements for
future UST installations or component replacements that would ensure
compatibility with higher blends of ethanol.
DATES:
Comments: Comments must be received on or before April 19, 2021.
Under the Paperwork Reduction Act (PRA), comments on the information
collection provisions are best assured of consideration if the Office
of Management and Budget (OMB) receives a copy of your comments on or
before February 18, 2021.
Public Hearing: EPA will announce the public hearing information
for this proposal in a supplemental Federal Register document.
ADDRESSES: You may send your comments, identified by Docket ID No. EPA-
HQ-OAR-2020-0448, by any of the following methods:
Federal eRulemaking Portal: https://www.regulations.gov
(our preferred method). Follow the online instructions for submitting
comments.
Email: [email protected]. Include Docket ID No. EPA-
HQ-OAR-2020-0448 in the subject line of the message.
Mail: U.S. Environmental Protection Agency, EPA Docket
Center, Air Docket, Mail Code 28221T, 1200 Pennsylvania Avenue NW,
Washington, DC 20460.
Hand Delivery or Courier (by scheduled appointment only):
EPA Docket Center, WJC West Building, Room 3334, 1301 Constitution
Avenue NW, Washington, DC 20004. The Docket Center's hours of
operations are 8:30 a.m.-4:30 p.m., Monday-Friday (except Federal
Holidays).
Instructions: All submissions received must include the Docket ID
No. for this rulemaking. Comments received may be posted without change
to https://
[[Page 5095]]
www.regulations.gov, including any personal information provided. For
the full EPA public comment policy, information about CBI or multimedia
submissions, and general guidance on making effective comments, please
visit https://www.epa.gov/dockets/commenting-epa-dockets.
Out of an abundance of caution for members of the public and our
staff, the EPA Docket Center and Reading Room are closed to the public,
with limited exceptions, to reduce the risk of transmitting COVID-19.
Our Docket Center staff will continue to provide remote customer
service via email, phone, and webform. We encourage the public to
submit comments via https://www.regulations.gov or email, as there may
be a delay in processing mail and faxes. Hand deliveries and couriers
may be received by scheduled appointment only. For further information
on EPA Docket Center services and the current status, please visit us
online at https://www.epa.gov/dockets.
EPA continues to carefully and continuously monitor information
from the Centers for Disease Control and Prevention (CDC), local area
health departments, and our Federal partners so that we can respond
rapidly as conditions change regarding COVID-19.
FOR FURTHER INFORMATION CONTACT: For questions regarding the E15 fuel
dispenser labeling provisions of this proposed action, contact Lauren
Michaels, Office of Transportation and Air Quality, Assessment and
Standards Division, Environmental Protection Agency, 2000 Traverwood
Drive, Ann Arbor, MI 48105; telephone number: (734) 214-4640; email
address: [email protected]. For questions regarding the E15
compatibility with underground storage tanks provisions of this
proposed action, contact Elizabeth McDermott, Office of Underground
Storage Tanks, Environmental Protection Agency, 1200 Pennsylvania Ave.
NW, Washington, DC 20460; telephone number: (202) 564-0646; email
address: [email protected].
SUPPLEMENTARY INFORMATION:
Does this action apply to me?
Entities potentially affected by this proposed rule are those
involved with the sale of gasoline. Potentially affected categories
include:
------------------------------------------------------------------------
Examples of potentially
Category NAICS \1\ code affected entities
------------------------------------------------------------------------
Industry............. 111, 112........ Agriculture (crop and animal
production).
Industry............. 31-33........... Manufacturing.
Industry............. 42, 44-45, 72 Commercial (wholesale trade,
(excluding 447). retail trade, accommodation,
and food services).
Industry............. 447............. Retail motor fuel sales.
Industry............. 481, 483-486, Transportation (air, water,
48811. truck, transit, pipeline, and
airport operations).
Industry............. 5171, 2211...... Communications and Utilities
(wired telecommunications
carriers, electric power
generation, transmission, and
distribution).
------------------------------------------------------------------------
\1\ North American Industry Classification System (NAICS).
This table is not intended to be exhaustive, but rather provides a
guide for readers regarding entities likely to be affected by this
proposed action. This table lists the types of entities that EPA is now
aware could potentially be affected by this proposed action. Other
types of entities not listed in the table could also be affected. To
determine whether your entity would be affected by this proposed
action, you should carefully examine the applicability criteria in 40
CFR part 80. If you have any questions regarding the applicability of
this proposed action to a particular entity, consult the person listed
in the FOR FURTHER INFORMATION CONTACT section.
Outline of This Preamble
I. Purpose of This Action
II. E15 Fuel Dispenser Labeling Revisions
A. Background on the E15 Label
B. E15 in the Market
C. Proposed Changes to the E15 Labeling Requirement
D. Request for Public Comment on E15 Labeling Preemption
Considerations
III. E15 Compatibility With Underground Storage Tanks
A. Background on Underground Storage Tank Compatibility
B. Proposed Changes to the UST Compatibility Requirements
C. Updates to State Program Approval Requirements
D. Overview of Estimated Costs
IV. Statutory and Executive Order Reviews
A. Executive Order 12866: Regulatory Planning and Review and
Executive Order 13563: Improving Regulation and Regulatory Review
B. Executive Order 13771: Reducing Regulations and Controlling
Regulatory Costs
C. Paperwork Reduction Act (PRA)
D. Regulatory Flexibility Act (RFA)
E. Unfunded Mandates Reform Act (UMRA)
F. Executive Order 13132: Federalism
G. Executive Order 13175: Consultation and Coordination With
Indian Tribal Governments
H. Executive Order 13045: Protection of Children From
Environmental Health Risks and Safety Risks
I. Executive Order 13211: Actions Concerning Regulations That
Significantly Affect Energy Supply, Distribution, or Use
J. National Technology Transfer and Advancement Act (NTTAA) and
1 CFR part 51
K. Executive Order 12898: Federal Actions To Address
Environmental Justice in Minority Populations and Low-Income
Populations
V. Statutory Authority
I. Purpose of This Action
This action proposes modifications to EPA regulations under the
Clean Air Act (CAA) and the Resource Conservation and Recovery Act
(RCRA) relating to the sale and distribution of gasoline-ethanol blends
containing greater than 10 volume percent (vol%) ethanol and up to 15
vol% ethanol (E15). Recently, EPA has taken actions to provide
additional opportunity for E15 within the fuels marketplace. We are
proposing two sets of regulatory changes to further that end. The first
proposes modifications to EPA's E15 fuel dispenser labeling
requirement. The second proposes changes to EPA's Underground Storage
Tank (UST) regulations regarding compatibility with gasoline-ethanol
blends.
II. E15 Fuel Dispenser Labeling Revisions
This section discusses our proposed revisions to the E15 label,
under the CAA.
A . Background on the E15 Label
In 2010 and 2011, in response to requests for a waiver from CAA
section 211(f)(1), EPA granted two partial waivers for use of E15 \1\
under CAA section 211(f)(4).\2\ These waivers were
[[Page 5096]]
partial in that they apply to model year (MY) 2001 and newer light-duty
motor vehicles and do not apply to MY2000 and older light-duty motor
vehicles, all heavy-duty gasoline engines and vehicles, all highway and
off-highway motorcycles, and all nonroad products. Per CAA section
211(f)(4), EPA evaluated whether the use of E15 would cause or
contribute to emissions failures over the useful life of all vehicles,
engines, and nonroad equipment, and determined that the use of E15 in
MY2000 and older vehicles, heavy-duty gasoline engines and vehicles,
and highway and off-highway motorcycles could cause these motor
vehicles to exceed their emissions standards. EPA also found that the
use of E15 in nonroad products could cause emissions exceedances as
well as durability and materials compatibility issues.
---------------------------------------------------------------------------
\1\ For purposes of this preamble, E15 refers to gasoline-
ethanol blended fuels that contain greater than 10 vol% and no more
than 15 vol% ethanol content.
\2\ These partial waivers are collectively referred to as ``the
E15 partial waivers.'' 75 FR 68094 (November 4, 2010), 76 FR 4662
(January 26, 2011). The 2010 waiver applied to MY2007 and newer
light duty motor vehicles. The 2011 waiver applied to MY2001-2006
light duty motor vehicles.
---------------------------------------------------------------------------
Because the partial waivers apply only to MY2001 and newer light-
duty motor vehicles, EPA promulgated regulations under CAA section
211(c) (referred to as the Misfueling Mitigation Rule or MMR) to
mitigate the potential for E15 to be used to fuel vehicles, engines,
and equipment for which E15 has not been approved for introduction into
commerce.\3\ Those regulations were needed to implement EPA's
affirmative determinations that the use of E15 in MY2000 and older
light-duty motor vehicles, all heavy-duty gasoline engines and
vehicles, all on- and off-highway motorcycles, and all nonroad products
would cause or contribute to the impairment of those vehicles' and
engines' emission controls and harm public health from increases in
regulated emissions. The regulations include a prohibition on the use
of E15 in MY2000 and older light-duty motor vehicles, all heavy-duty
gasoline engines and vehicles, all on- and off-highway motorcycles, and
all nonroad products. To implement this prohibition, EPA promulgated
several misfueling mitigation requirements in the MMR, a key aspect
being that E15 fuel dispensers must have a specific label when a retail
station or wholesale-purchaser consumer chooses to sell E15. The label
was designed to alert consumers to the appropriate and lawful use of
the fuel.
---------------------------------------------------------------------------
\3\ 76 FR 44406 (July 25, 2011).
---------------------------------------------------------------------------
The E15 label was designed in coordination with consumer labeling
experts at the Federal Trade Commission (FTC); FTC also requires the
labeling of fuel dispensers in certain circumstances.\4\ EPA worked
with FTC to develop the E15 label and to ensure consistency between
EPA's and FTC's labels for higher level gasoline-ethanol blends such as
E85 (gasoline ethanol blends containing up to 83 percent ethanol). By
regulation, EPA's current E15 label can be used in lieu of FTC's label
for E15.\5\
---------------------------------------------------------------------------
\4\ FTC's regulations found at 16 CFR 306.10 (Automotive Fuel
Rating Posting) require fuel dispenser labels for gasoline-ethanol
fuel blends containing greater than 10 percent ethanol. The FTC
regulations provide for an exemption for retailers that utilize
EPA's label under 40 CFR 80.1501. See 16 CFR 306.10(a).
\5\ As described later in this proposal, if we were to remove
our label requirement under 40 CFR 80.1501, absent additional action
from FTC, retailers would be required to use FTC's label for ethanol
blends containing between 10 and 15 percent ethanol, per 16 CFR part
306.
---------------------------------------------------------------------------
The E15 label requirement was implemented as an integral component
of EPA's misfueling mitigation program. First, the E15 partial waivers
include a waiver condition that fuel and fuel additive manufacturers
must submit a misfueling mitigation plan (MMP) with provisions to
implement all reasonable precautions to address potential misfueling,
including ensuring the use of a fuel dispenser label.\6\ The waiver
conditions articulated in the E15 partial waivers provide that the
label must convey the following information:
---------------------------------------------------------------------------
\6\ 75 FR 68094 (November 4, 2010), 76 FR 4662 (January 26,
2011).
---------------------------------------------------------------------------
The fuel being dispensed contains 15% ethanol maximum;
The fuel is for use in only MY2001 and newer gasoline
cars, MY2001 and newer light-duty trucks, and all flex-fuel vehicles;
Federal law prohibits the use of the fuel in other
vehicles and engines; and
Using E15 in vehicles and engines not approved for use
might damage those vehicles and engines.
As discussed above, the MMR also implements a label requirement for
retailers and wholesale purchaser-consumers, in addition to the
requirements under the waiver conditions for fuel and fuel additive
manufacturers. The MMR label requirement is specified in 40 CFR 80.1501
and requires the same basic elements as required under the E15 partial
waivers' label requirement. Most recently, the 2019 E15 ``substantially
similar'' definition for E15 requires that fuel and fuel additive
manufacturers must submit a misfueling mitigation plan with provisions
to implement all reasonable precautions to address potential
misfueling.\7\ Thus, the E15 label is currently incorporated and
required under 40 CFR 80.1501, our CAA section 211(f)(1)
``substantially similar'' definition for E15, and the CAA section
211(f)(4) E15 partial waivers.
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\7\ 84 FR 26980, 27021 (June 10, 2019).
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B. E15 in the Market
In 2019, EPA extended the CAA section 211(h)(4) 1-psi volatility
waiver to gasoline-ethanol blends containing between 9 and 15 percent
ethanol. This has expanded the opportunity for E15 to be sold during
the summer season.
In the years since the 2010 and 2011 E15 partial CAA section
211(f)(4) waivers were granted, the number of retail stations offering
E15 has grown, spurred in part by the United States Department of
Agriculture (USDA) biofuel infrastructure partnership (BIP) program in
2016-18 \8\ and the industry-sponsored Prime the Pump program, that
helped provide funding for retail station upgrades. As of October 2019,
there are an estimated 1,809 stations registered as selling E15
(representing only about one percent of all retail stations).\9\ Figure
III-1 shows the growth of E15 stations since 2012, as well as the
percentage of E15 stations of all retail stations in the United States.
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\8\ See Biofuel Infrastructure Partnership, https://www.fsa.usda.gov/programs-and-services/energy-programs/bip/index;
Prime the Pump press release, https://growthenergy.org/2018/06/20/growth-energy-prime-the-pump-success-driving-ethanol-demand.
\9\ Email from Growth Energy to EPA, October 9, 2019, ``Growth
Energy Higher Blend Infrastructure.'' Available in the docket for
this action.
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[[Page 5097]]
[GRAPHIC] [TIFF OMITTED] TP19JA21.029
The opportunities for misfueling have changed since 2011 as well.
Over time, the number of light-duty vehicles on the road that are older
than MY2001 have decreased due to normal fleet turnover, resulting in a
corresponding decrease in the number of miles traveled by those light-
duty vehicles.\10\ At the same time, we have no indication that
anything has changed for the other sectors (i.e., nonroad vehicles,
engines, and equipment, motorcycles, and heavy-duty vehicles). We
continue to believe there are millions of such products in use that
could potentially be misfueled on E15.
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\10\ We received comments in rulemakings suggesting that there
are still vehicles newer than MY2000 for which manufacturers'
owner's manuals continue to include warnings against E15 use despite
E15 being allowable for introduction into commerce in those vehicles
under EPA's regulations. See discussion at 84 FR 26980, 27010 (June
10, 2019).
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C. Proposed Changes to the E15 Labeling Requirement
EPA has received comments from some stakeholders on other actions
suggesting that the existing E15 label is no longer necessary and
simply interferes with additional growth of E15 in the marketplace.\11\
These commenters suggest that removal of the label or changes to the
color of the label or language used on the label would increase lawful
use of E15 in MY2001 and newer light-duty vehicles. Other stakeholders
have suggested that the growth in E15 at retail stations exacerbates
concerns over misfueling of vehicles and equipment not designed for it,
and suggest that the current label is no longer explicit enough about
what vehicles and engines cannot use E15 making it insufficient to
protect against misfueling.\12\ These commenters suggested that EPA
should solicit input on the size, design, and placement of the label on
the dispenser, and other characteristics of the label to more clearly
communicate the fuel's ethanol content to consumers.\13\
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\11\ See, e.g., Comments from Growth Energy (Docket Item No.
EPA-HQ-OAR-2018-0227-0053) and Renewable Fuels Association (Docket
Item No. EPA-HQ-OAR-2018-0227-0037). While these represent the most
recent comments received on this issue, we have included all
relevant comments in the docket for this action. While these
comments often include many aspects of E15 use, only comments
relating to the label are considered relevant for this NPRM.
\12\ See, e.g., Comments from National Marine Manufacturers
Association (Docket Item No. EPA-HQ-OAR-2018-0775-0534) and
Petroleum Marketers Association of America (Docket Item No. EPA-HQ-
OAR-2018-0227-0083). While these represent the most recent comments
received on this issue, we have included all relevant comments in
the docket for this action. While the comments often address many
aspects of E15 use, only those comments related to the label
requirement are considered relevant for this NPRM.
\13\ See, e.g., Comments from National Marine Manufacturers
Association (Docket Item No. EPA-HQ-OAR-2018-0775-0534).
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Our proposed action to modify or eliminate the E15 label
requirement would rely on our CAA section 211(c) authority to control
or prohibit fuel. Under CAA section 211(c)(1), EPA may issue
regulations to ``control or prohibit the manufacture, introduction into
commerce, offering for sale, or sale'' of any fuel or fuel additive
whose emissions products may cause or contribute to air pollution
``which may be reasonably anticipated to endanger public health or
welfare,'' or whose emissions products ``will impair to a significant
degree the performance of any emission control device or system which
is in general use.'' In the MMR, we found that E15 would significantly
impair the emission control systems used in MY2000 and older light-duty
motor vehicles, all heavy-duty gasoline engines and vehicles, all
highway and off-highway motorcycles, and all nonroad products. This
misfueling could result in increases in hydrocarbon, carbon monoxide,
nitrous oxide, particulate matter, and air toxics emissions. Any action
EPA takes to modify or remove the label would need to consider this
finding.
We currently have no information before us that would indicate that
E15, if used in MY2000 and older light-duty motor vehicles, all heavy-
duty gasoline engines and vehicles, all highway and off-highway
motorcycles, and all nonroad products, would no longer cause such
damage to emission control systems. However, in the intervening years
since the promulgation of the MMR and the label requirement, the
vehicle fleet turnover toward newer light-duty vehicles, and the
feedback
[[Page 5098]]
from stakeholders have led us to reevaluate the E15 label at this time.
The current label is 3 inches by 5 inches in black text on an
orange background and includes the following language:
The word ``ATTENTION,'' diagonally across the upper right
corner of the label;
The word ``E15'' at the top of the label;
The ethanol content: ``Up to 15% ethanol'' below the word
E15;
The words and symbols ``Use only in 2001 and
newer passenger vehicles Flex-fuel vehicles''; and
The final two sentences: ``Don't use in other vehicles,
boats, or gasoline-powered equipment. It may cause damage and is
prohibited by Federal law.'' \14\
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\14\ An image of the existing label is available in the
memorandum ``Potential Label Changes,'' available in the docket for
this action.
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In this action, we are co-proposing two options with respect to the
E15 label. Under the first option, we are proposing modifications to
the label intended to provide additional clarity to consumers and
decrease confusion. Under the second option, we are proposing to remove
the label entirely.
1. Potential Modifications to the E15 Label
Our first co-proposal is to modify the existing E15 label,
including:
Removing the ``Attention'' stripe along the upper right
corner of the label.
Removing the phrase ``E15'' from the label, while
including the language ``contains up to 15% percent ethanol''.
Revising the language ``Use only in'' to ``Safe for use
in''.
Revising the language ``Don't use in'' to ``Avoid use
in''.
Revising the format of the word ``prohibited'' such that
it is not in bold and italicized type.
We additionally propose modifications to the label in accordance
with our existing alternative labels. At this time, there are two
approved alternative labels for E15. One label includes the term ``or''
in between ``2001 and newer passenger vehicles'' and ``flex fuel
vehicles.'' We believe the inclusion of ``or'' clarifies that both
MY2001 and newer light-duty motor vehicles and flex fuel vehicles can
permissibly use E15. The other approved alternative label includes
``motorcycles'' in the list of vehicles and engines in which E15 use is
prohibited. Our first co-proposal proposes these modifications to the
E15 label as well since we believe they more clearly convey which
vehicles and engines can lawfully use E15.
We believe these modifications to the label would reduce confusion
about the vehicles in which E15 can be used while also alerting
consumers to the vehicles and engines in which E15 should not be used.
We note that these modifications would also continue to comply with the
requirements under the existing E15 partial waivers and thus would not
require modifications to them.
Finally, we propose a modification to the colors utilized on the
label. Consistent with the FTC fuel labels, we selected the orange
color for our E15 label requirement in 2011; however, we recognize that
another color may be better suited for the label. Some stakeholders
\15\ have suggested a blue and white label, instead of the orange label
we currently use. The proposed regulatory text modifies the color of
the label to a blue header, with white text, and white body with black
text.\16\ We alternatively propose to maintain the current orange and
black label color design.
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\15\ See, e.g., Comments from Growth Energy (Docket Item No.
EPA-HQ-OAR-2010-0448-0083).
\16\ We have provided mock-ups showing potential modifications
to the label that might result from this proposal in the memorandum,
``E15 Label Revisions,'' available in the docket for this action.
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We seek comment on the proposed changes to the label, and
specifically request input on what combination of modifications to the
label would improve clarity regarding which vehicles can use E15 while
protecting vehicles and engines for which E15 use is inappropriate. We
recognize that the modifications proposed may be best implemented
together, or in some alternative combination that does not include all
of the proposed modifications. We specifically request information on
any studies (e.g., public survey or focus group studies) or information
on consumer interaction with the label.
2. Potential Removal of the E15 Label Requirement
In the alternative, our second co-proposal is to remove the E15
label entirely. Selection of this option could also result in the
elimination of the E15 survey requirement because it is currently
required in order to verify that E15 fuel dispensers are labeled
consistent with EPA's regulatory requirements, and would arguably no
longer be necessary if the labeling requirement were removed.\17\ Some
stakeholders have suggested that removing the label would encourage the
use of E15 by consumers who can lawfully use E15 but who do not do so
because they are confused by the label.\18\
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\17\ If we do remove the E15 label, we are not proposing to
remove the Product Transfer Document (PTD) language requirements
around ethanol content in gasoline-ethanol blended fuels. In
addition to informing retailers of ethanol content for purposes of
labeling E15 fuel dispensers, the PTD language requirements for
ethanol are also necessary to identify which gasoline-ethanol blends
can take advantage of the 1-psi waiver for RVP compliance.
\18\ See Comments from Growth Energy (Docket Item No. EPA-HQ-
OAR-2015-0202-0129).
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We note that, regardless of our proposal to remove the E15 label,
the prohibition on the use of E15 in MY2000 and older light duty
vehicles and all nonroad engines and equipment as codified at 40 CFR
80.1504 would remain in place. We continue to believe that E15, when
used in those vehicles or engines, would cause or contribute to the
impairment of emission control systems which would, in turn, result in
negative effects on human health and welfare.
Were EPA's E15 label requirement to be removed, we believe that
FTC's regulations would require that E15 dispensers be labeled
according to FTC's label requirements.\19\ We seek comment on the
interaction between EPA and FTC's labels, recognizing that we cannot
modify FTC's regulations in this action.
---------------------------------------------------------------------------
\19\ See 16 CFR part 306 and supra notes 4&5.
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In order to completely remove the E15 label, we would need to also
remove it from the requirements under the CAA section 211(f)(4) waiver,
and likely clarify under the CAA section 211(f)(1) ``substantially
similar'' determination that the fuel dispenser label would no longer
be required. We seek comment on how to address the requirements under
the CAA section 211(f) provisions.
3. Modification to Regulations
We note that we intend to finalize the proposed Fuels Regulatory
Streamlining Rule (``Streamlining Rule'') with an implementation date
of January 1, 2021, for most provisions, including the E15 label
requirement. Under the Streamlining Rule, we proposed to transpose
unchanged the current E15 misfueling mitigation measures from 40 CFR
part 80, subpart N, into the new 40 CFR part 1090. Since the effective
date of any final rulemaking for this action would likely be after
January 1, 2021, we would effectuate the proposed E15 label
modifications or removal of the E15 labeling requirement in 40 CFR part
1090.
[[Page 5099]]
D. Request for Public Comment on E15 Labeling Preemption Considerations
Since promulgation of the MMR in 2011, EPA has also received
information from some stakeholders that confusion is caused when there
is more than one label displayed on some fuel dispensers. For this
reason, EPA additionally seeks comment regarding the ability of state
or local governments to require labeling of E15 pump dispensers.
As stated in the MMR,\20\ EPA's authority to ``control or
prohibit'' specifications for E15 pump dispenser labels is provided by
CAA section 211(c)(1). Under CAA section 211(c)(4)(A), a state or local
government may not adopt or enforce differing controls or prohibitions
respecting labeling of E15 fuel dispensers if ``for purposes of motor
vehicle emission control.'' \21\ In the MMR, we also stated that we
would evaluate questions regarding potential E15 pump dispenser labels
preemption matters on a case-specific basis.\22\
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\20\ See 74 FR 44406, 44431-32 (July 25, 2011).
\21\ Except that under CAA section 211(c)(4)(C)(i), states other
than California may prescribe and enforce non-identical measures if
they seek and obtain EPA approval of State Implementation Plan
revisions containing such control measures.
\22\ See 74 FR 44432 (July 25, 2011).
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Aside from the express preemption provided by CAA section
211(c)(4)(A), a state or local control for fuels or fuel additives may
be implicitly preempted under the supremacy clause of the U.S.
Constitution where the state requirement conflicts with Federal law by
preventing compliance with the federal requirement, or by standing as
an obstacle to accomplishment of the Federal objectives. Therefore, a
state or local requirement respecting E15 pump label dispensers that is
not expressly preempted under CAA section 211(c)(4)(A) nevertheless may
be preempted if it meets the criteria for this constitutional conflict
preemption.
In this action, we seek comment on whether there are certain types
of labels that may be conflict-preempted from use. We encourage
commenters to include examples of other labels they have observed that
may raise such preemption questions and legal analysis to support their
positions, to the extent feasible.
III. E15 Compatibility With Underground Storage Tanks
This section discusses our proposed revisions regarding
compatibility with USTs.
A. Background on Underground Storage Tank Compatibility
As of 2020, EPA regulates over half-a-million UST systems that
contain petroleum or hazardous substances. EPA's Office of Underground
Storage Tanks was formed in response to the discovery in the early
1980s that thousands of USTs had leaked and contaminated groundwater
supplies in the U.S. USTs form a crucial part of our country's fueling
infrastructure. It is important for USTs to be constructed, maintained,
and operated in a manner so that petroleum and other regulated
substances are stored safely. We developed the UST regulation in 1988
to help owners and operators meet those goals, and a critical part of
the regulation included the requirement for UST systems to be
compatible with the substance stored. Incompatibility between fuels
stored and UST system materials can result in equipment or components
such as tanks, piping, gaskets, or seals becoming brittle, elongated,
thinner, or swollen when compared with their condition when first
installed. When this occurs, the UST system may fail to contain the
regulated substance resulting in a release to the environment and
possibly a failure to detect the release.
The U.S. fuel supply has changed significantly since 1988 and use
of biofuels has grown rapidly. We understand that the chemical and
physical properties of biobased fuels, such as ethanol and biodiesel,
can be more degrading to certain UST system materials than petroleum
alone. Changes in the fuel supply have caused unintended consequences
to UST systems, including equipment failure and releases to the
environment. As a result, in 2015 we revised the UST regulation and
required owners and operators to provide additional notification,
demonstration, and recordkeeping when storing fuel blends, such as
those with more than 10 percent ethanol or more than 20 percent
biodiesel.\23\
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\23\ See 80 FR 41566 (July 15, 2015).
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The use of biofuels has continued to grow since 2015. As described
in Section II.B, in June 2019, we modified fuel regulations that allow
E15 to utilize the 1-psi volatility waiver, which allows for increased
E15 sale in the summer. That final rule means more UST owners and
operators may opt to store and sell E15 at gas stations and other
fueling facilities. E15 is now used in 30 states at 1,809 stations.
Because of this continued growth of biofuels in the U.S., this action
proposes to revise the 2015 UST regulation to grant certain allowances
for compatibility demonstration and make it less burdensome for UST
owners and operators to meet the current requirements. In addition,
this action proposes a requirement that UST systems installed, or UST
equipment and components replaced, must be constructed with equipment
and components compatible with ethanol blends up to 100 percent. This
requirement would become effective one year after the effective date of
the final rule.
This proposal will make it easier for owners and operators to meet
compatibility requirements with their current infrastructure, if unable
to demonstrate compatibility. The proposal will also help ensure the
future national UST infrastructure is compatible with a broad range of
biofuels that come to market so service station owners can offer more
choices to consumers. The fuel supply in the U.S. is constantly
evolving; because future needs are somewhat unknown, we see value in
promoting UST systems that can safely store a broad range of potential
emerging fuels such as higher-level ethanol blends.
B. Proposed Changes to the UST Compatibility Requirements
1. Allowance--For Secondary Containment When Unableo To Demonstrate
Compatibility
In the preamble to the 2015 UST regulation, we clarified that
implementing agencies could allow use of secondary containment in lieu
of being able to demonstrate compatibility of all UST system equipment
and components required by the regulation. EPA had not previously
allowed this but is proposing to do so now in this action. Owners and
operators of UST systems already in existence one year after the
effective date of this rule who cannot determine compatibility (e.g.,
cannot find installation documentation) for all equipment and
components are not required to demonstrate compatibility if the UST
systems have secondarily contained tanks and piping (including safe
suction piping) and use interstitial monitoring. This will still
sufficiently protect the environment because secondary containment will
contain a leak from the primary containment of the tank and piping, and
interstitial monitoring will likely detect a leak before regulated
substances reach the environment.
[[Page 5100]]
As of 2020, all states \24\ require secondary containment for new
and replaced UST systems, along with the requirement for interstitial
monitoring to detect potential releases. Most states' requirements
target new and replaced UST systems, which avoids added expenses for
owners and operators to retrofit or replace existing systems to meet
the requirements. Many states, including those in New England, New
York, California, and Florida, required full or partial secondary
containment prior to Congress passing Title XV, Section B of the Energy
Policy Act of 2005 (EPAct). This act required states receiving Federal
money under Subtitle I of the Solid Waste Disposal Act to require
either secondary containment and under-dispenser containment for new
and replaced underground storage tank systems or evidence of
manufacturer and installer financial responsibility and installer
certification. By 2008, 31 states had adopted the EPAct requirement.
However, states' requirements for secondary containment and
interstitial monitoring can differ, including when required and
allowances for use of other release detection options when owners and
operators chose to install secondary containment prior to it being
required.
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\24\ States includes all 50 states, 5 territories, and the
District of Columbia.
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EPA's database, populated with publicly available information
gathered from the individual state UST programs, helped us understand
the number of UST systems nationally that are secondarily contained and
where owners and operators are using interstitial monitoring to detect
releases from their UST systems. Using state-supplied data, we
identified 23 states that provide data on the number of UST systems
with both double-wall tanks and double-wall piping. These secondarily
contained systems should generally be capable of using interstitial
monitoring for release detection, although some may currently use
another method. This means that approximately 24 percent of the 225,000
USTs in these 23 states should be able to use secondary containment
with interstitial monitoring, if they have compatible equipment but are
currently unable to demonstrate it. The percentage is likely similar
across the nation, but we seek comment on this issue.
Owners and operators should be aware that only leaks from equipment
or components inside secondary containment will be contained. Fuel
spills may still occur if other UST system components become non-
functioning due to incompatibility since the equipment or component is
not inside secondary containment. For example, if spill prevention
equipment (i.e., spill bucket) fails due to incompatibility, small
spills from the delivery hose will not be contained by the tank and
piping secondary containment. We encourage owners and operators to
replace equipment that they cannot demonstrate as compatible if the
equipment is accessible from ground level and replaceable with minimal
investment.
2. Allowance--For Already Compatible Tanks and Piping
We identified equipment for which UST owners and operators would
not need to demonstrate compatibility. Based on manufacturer statements
and certification by independent testing laboratories, certain
categories of equipment are known to be compatible with higher blends
of ethanol. We believe that steel and fiberglass tanks manufactured
after July 2005 are compatible with higher blends of ethanol fuels.
This means that owners and operators will not need to demonstrate
compatibility for these tanks. Likewise, we understand that all
fiberglass reinforced plastic (FRP) piping is compatible with higher
blends of ethanol fuel, so owners will not need to demonstrate
compatibility for any FRP piping.
For other equipment, we are unaware of a fixed date or fixed
category in which all equipment by any manufacturer is known to be
compatible. As such, other than for the tank and piping items
identified earlier in this section, owners and operators must adhere to
the requirement in 40 CFR 280.32 to demonstrate compatibility.
However, we understand that some models of many equipment and
components that must be demonstrated compatible were already compatible
with higher blends of ethanol decades before these blends became
common. UST owners and operators may already have this equipment
installed. If they can demonstrate compatibility of certain existing
equipment, they will not need to replace all of their equipment to
demonstrate compatibility with higher blends of ethanol.\25\
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\25\ See https://flexfuelforward.com/flexcheck.
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For example, we understand that the following UST system equipment
and components were available after the 1988 UST regulation and are
compatible with higher blends of ethanol:
Unlined steel single-wall tanks
Unlined steel double-wall tanks
In addition, we understand that the following UST system equipment
and components were available in a higher ethanol compatible version
from at least one manufacturer as early as the years listed below. Many
owners and operators might have a compatible piece of equipment, which
can be confirmed and demonstrated as compatible by verifying
documentation associated with the equipment manufacturer and
installation.
Single-wall fiberglass tanks: 1995
Double-wall fiberglass tanks: 1990
Flexible piping: 2011
Fiberglass containment sumps: 1995
Pumping equipment: 2010
Spill equipment: 2015
Release detection equipment: 2006
Overfill equipment: 2006
We are requesting comment on the accuracy of this information and
seek additional information on this matter.
3. Compatibility Requirements for New Installations and Replacements
We are proposing that owners and operators storing motor fuel used
in over-the-road vehicles must ensure that new or replaced UST system
equipment and components, including pipe dopes and sealants, are
compatible with ethanol blends up to 100 percent. This applies
regardless of whether the UST system currently stores or will store
ethanol blends. This includes UST systems storing over-the-road diesel
because service stations may in the future change to storing gasoline
with higher blends of ethanol. However, we believe USTs storing fuel
for emergency power generators and other off-road fuel used (such as
fuel for construction equipment) should be exempt from this
requirement. We seek comment on other potentially applicable
exemptions. If an owner or operator is replacing specific equipment or
components, such as a submersible turbine pump or containment sump,
then only that replacement must be compatible with ethanol blends up to
100 percent. For entirely new UST system installations or replacements,
the entire system must be compatible with ethanol blends up to 100
percent. We would require UST owners and operators to retain
compatibility documentation for all new system equipment and
components, including pipe dope, sealants, and gaskets, which are a
common source of incompatibility.
This proposed requirement would become effective one year after the
effective date of the final regulation. Since UST systems typically
stay in the ground for decades--40 percent of active USTs are more than
30 years old--transitioning to compatible UST
[[Page 5101]]
systems for emerging fuels can be very difficult. Implementing this
requirement now will help ensure future fuel storage infrastructure can
reliably store a larger variety of fuels. One hundred percent ethanol
compatible material is readily available on the market today for all
UST system equipment and components. The additional cost of a fully
ethanol compatible system would be relatively minimal as a percentage
of total cost of installation. This additional up-front investment
would also avoid potentially significant upgrade costs, if future fuels
contain greater volumes of ethanol or other alcohols.
C. Updates to State Program Approval Requirements
EPA has long recognized that, because of the size and diversity of
the regulated community, state and local governments are in the best
position to oversee USTs. State and local authorities are closer to the
situation in their domain and are in the best position to set
priorities. The 2015 state program approval (SPA) regulation in 40 CFR
part 281 sets criteria state UST programs must meet to receive EPA's
approval to operate in lieu of the Federal UST program. The SPA
regulation sets performance criteria states must meet to be considered
no less stringent than the Federal UST regulation and provides
requirements for states to have adequate enforcement.
Much of the responsibility for implementing these proposed changes
falls to state agencies. EPA will work with states to update their UST
regulations and will support them in achieving state program approval.
These proposed changes to the 2015 UST regulation, when final, will
initially only apply to UST facilities in Indian country and in states
that do not have SPA (owners and operators in states that do not have
SPA must comply with the Federal UST regulation and their state
regulations). For states that do have SPA these proposed changes will
not apply until each state undertakes its own rulemaking. As of the
date of publication of this notice, 15 \26\ states do not have state
program approval. For a list of states with state program approval, see
www.epa.gov/ust/state-underground-storage-tank-ust-programs.
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\26\ States and territories without SPA--AK, AZ, CA, FL, IL, MI,
NJ, NY, OH, WI, WY and AS, GU, CNMI, VI.
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EPA is proposing to change the 2015 SPA regulation (40 CFR part
281) and make it consistent with these proposed revisions of the
compatibility requirements of the 2015 UST regulation (40 CFR part
280). Specifically, EPA proposes that states require UST systems that
store motor fuel for use in over-the-road vehicles be compatible with
ethanol blends up to 100 percent when a new system is installed or when
equipment and components are replaced. Since this is a more stringent
requirement than what EPA required in its 2015 UST regulation, states
would need to have or adopt this additional provision to be considered
no less stringent than the corresponding Federal requirements.
States will have three years from the effective date of a final
rule to submit to EPA a revised SPA application, including this change
to their states' UST regulations. Since many states have recently been
through this SPA application approval process for the 2015 UST
regulation, EPA intends to make this additional modification to SPA an
expedited process. EPA welcomes additional feedback on this.
D. Overview of Estimated Costs
The regulatory changes proposed today would provide cost savings to
UST owners and operators as well as impose costs, and EPA is seeking
comments on both.
1. Allowances--For Secondary Containment When Unable To Demonstrate
Compatibility and for Already Compatible Tanks and Piping
The allowance described in this proposal for UST systems with
secondary containment using interstitial monitoring when unable to
demonstrate compatibility will provide owners and operators cost
savings. Under this allowance, UST system owners and operators seeking
to store ethanol blends up to 100 percent will not have to upgrade
certain equipment and components simply because they are unable to
demonstrate compatibility for that equipment and those components. As
described in this preamble it is EPA's understanding that approximately
24 percent of all UST systems should be able to use secondary
containment with interstitial monitoring, if they have compatible
equipment but are currently unable to demonstrate it. This could mean
that a significant portion of all facilities that seek to store higher
blends of ethanol but are unable to demonstrate may not have to replace
certain equipment. A rough estimate of replacement cost avoidance from
this allowance can be made from informal estimates EPA has gathered
from industry and regulators:
Replacing tanks: $150,000 per tank.
Replacing piping: $150,000 per facility.
Ancillary equipment upgrades (most variable and
configuration dependent): $1,000 $10,000 per UST system.
In addition, the other allowance proposed in this regulation to
eliminate the requirement to demonstrate compatibility for all steel
and fiberglass tanks manufactured after July 2005, and all FRP piping
should provide some additional cost savings. EPA is seeking to verify
this understanding and is looking for additional information or data to
better understand the cost implications of today's proposal.
2. Compatibility Requirements for New Installations and Replacements
This proposal imposes compatibility requirements for up to 100
percent ethanol for certain (i.e., storing motor fuel used in over-the
road-vehicles) new installations and replacements of UST system
equipment and components regardless of whether the UST system currently
stores or will store ethanol blends. This means, for example that an
UST owner and operator needing to replace equipment such as a
containment sump or spill bucket must make that replacement with
equipment that is compatible with up to 100 percent ethanol. EPA
understands that the marginal cost for any new UST system equipment or
components compatible with up to 100 percent ethanol is minimal
compared with the overall project costs (i.e., design, construction,
installation etc). EPA estimates the additional costs for purchasing up
to 100 percent compatible equipment or components could be
significantly less than 5% of the overall project costs and is seeking
comment on this estimate. Some major UST components and equipment
manufactured today (e.g., tanks, piping) are all already compatible
with up to 100 percent ethanol so there is no cost increase to
accommodate the higher blends for those purchases. However, there is
certain equipment where the cost of the up to 100 percent ethanol
compatible model may be higher (e.g., overfill device).
EPA is seeking to verify this understanding and is looking for
additional information or data to better understand the cost
implications of this action.
IV. Statutory and Executive Order Reviews
Additional information about these statutes and Executive Orders
can be found at https://www.epa.gov/laws-regulations/laws-and-executive-orders.
[[Page 5102]]
A. Executive Order 12866: Regulatory Planning and Review and Executive
Order 13563: Improving Regulation and Regulatory Review
This action is a significant regulatory action because it raises
novel legal or policy issues. Nevertheless, after reviewing information
regarding this action, the Office of Management and Budget waived
review of this action.
B. Executive Order 13771: Reducing Regulations and Controlling
Regulatory Costs
This action is not expected to be an Executive Order 13771
regulatory action. We seek comment on any burdens and costs associated
with this rulemaking.
C. Paperwork Reduction Act (PRA)
The information collection activities in this proposed rule have
been submitted for approval to the Office of Management and Budget
(OMB) under the PRA. The Information Collection Request (ICR) document
that EPA prepared has been assigned EPA ICR number 2655.01. You can
find a copy of the ICR in the docket for this rule, and it is briefly
summarized here.
This proposed regulation would either change the existing, approved
E15 label (approved under OMB Control Number 2060-0675)--or remove it
entirely. Should the E15 label be modified, then there would be a cost
associated with affixing the amended label to pumps from which fuel is
dispensed. We have also allowed that some parties may need to purchase
labels. Parties required to affix labels are typically parties who own
or operate retail stations or wholesale-purchases consumer facilities.
Should the E15 labeling requirement be removed entirely, then there
would no longer be any E15 label required and we would anticipate a
cost savings to industry.
This proposed regulation would also require owners and operators of
underground storage tanks (UST) to maintain records of compatibility at
new UST installations and replacements storing motor fuels used in over
the road transportation. This new requirement is only intended for UST
systems storing motor fuel used in over-the-road transportation, not
for UST systems fueling emergency power generators nor other UST
systems used for off-road purposes such as construction equipment. In
the existing regulation, owners and operators of USTs storing product
containing more than 10 percent ethanol or more than 20 percent
biodiesel are required to maintain records to demonstrate compatibility
with the product stored. This action proposes to grant certain
allowances for this current UST system compatibility demonstration
requirement, which reduces information collection burden for some UST
systems. The existing requirements for owners and operators of USTs are
under OMB Control Number 2060-0068.
Respondents/affected entities: Retailers and wholesale purchaser-
consumers who dispense E15; owners and operators of UST systems.
Respondent's obligation to respond: Mandatory under 40 CFR part 80,
subpart N, (E15 labeling)--and 40 CFR part 280, subparts B and C; and
40 CFR part 281, subpart C (UST).
Estimated number of respondents: 1,801 retail and wholesale
purchaser-consumers for the E15 labeling provisions and 10,331 owners
and operators for the UST provisions.
Frequency of response: Once, as needed and on occasion.
Total estimated burden: 37 hours (per year) for the E15 labeling
and 2,799 hours (per year) for USTs. Burden is defined at 5 CFR
1320.3(b).
Total estimated cost: $3,785 (per year) for E15 labeling, which
includes $2,952 annualized capital or operation & maintenance costs;
and $65,515 for UST, which includes $0 annualized capital or operation
& maintenance costs.
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.
Submit your comments on EPA's need for this information, the
accuracy of the provided burden estimates, and any suggested methods
for minimizing respondent burden to EPA using the docket for this
action. You may also send your ICR-related comments to OMB's Office of
Information and Regulatory Affairs at www.reginfo.gov/public/do/PRAMain. Find this particular information collection by selecting
``Currently under 30-day Review--Open for Public Comments'' or by using
the search function. Since OMB is required to make a decision
concerning the ICR between 30 and 60 days after receipt, OMB must
receive comments no later than February 18, 2021. EPA will respond to
any ICR-related comments in the final rule.
D. Regulatory Flexibility Act (RFA)
I certify that this action will not have a significant economic
impact on a substantial number of small entities under the RFA. The
small entities subject to the requirements of this action are retail
motor fuels firms and small government jurisdictions.
With respect to the E15 fuel dispenser label portion of this
action, the proposed changes to the E15 label under option 1 of this
action do not substantively alter the regulatory requirements on
parties that make and distribute E15. The removal of the E15 label
under option 2 of this action would reduce burden on all regulated
parties that sell E15, including small entities, and therefore would
not impose any requirements on small entities.
With respect to the E15 compatibility with underground storage
tanks provisions of this action, in EPA's 2015 UST rulemaking we
determined that less than 1 percent of potentially affected small firms
in the retail motor sector (NAICS 447) would experience an impact over
1 percent of revenues, but less than 3 percent of revenues and that no
small firms would have impacts above 3 percent of revenues.\27\ In the
2015 rulemaking we also determined that no small government
jurisdictions would be impacted at 1 percent or 3 percent of
revenues.\28\ Since this action proposes a small change to the 2015
regulation, we do not expect any significant impacts to small entities.
EPA seeks comment on any cost impacts.
---------------------------------------------------------------------------
\27\ See 80 FR 41620-21 (July 15, 2015) and Section 5.4 of the
Regulatory Impact Analysis (RIA) for that action, ``Assessment Of
The Potential Costs, Benefits, And Other Impacts Of The Final
Revisions To EPA's Underground Storage Tank Regulations.''
\28\ Id.
---------------------------------------------------------------------------
E. Unfunded Mandates Reform Act (UMRA)
This action does not contain an unfunded mandate of $100 million or
more as described in UMRA, 2 U.S.C. 1531-1538, and does not
significantly or uniquely affect small governments. This action imposes
no enforceable duty on any state, local or tribal governments.
Requirements for the private sector do not exceed $100 million in any
one year.
F. Executive Order 13132: Federalism
This proposed action does not have federalism implications. The E15
label portion of this action 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. For the E15 compatibility with
underground storage tanks portion of this action, the total costs of
this proposed rule (direct compliance costs, notification costs and
[[Page 5103]]
state program costs) will be small. In our much larger rule in 2015
these total costs were only $9 million which is not considered to be a
substantial compliance costs under Federal requirements. Therefore, we
believe Executive Order 13132 will not apply to this rule which we
expect to have lower costs than the 2015 rule. EPA is requesting
comment on the expected costs of this proposed rule. In the spirit of
Executive Order 13132 and consistent with EPA policy to promote
communications between EPA and State and local governments, EPA will
specifically solicit comment from state and local government during the
comment period.
G. Executive Order 13175: Consultation and Coordination With Indian
Tribal Governments
This action does not have tribal implications as specified in
Executive Order 13175. Thus, Executive Order 13175 does not apply to
this action.
H. Executive Order 13045: Protection of Children From Environmental
Health Risks and Safety Risks
EPA interprets Executive Order 13045 as applying only to those
regulatory actions that concern environmental health or safety risks
that EPA has reason to believe may disproportionately affect children,
per the definition of ``covered regulatory action'' in section 2-202 of
the Executive Order. This action is not subject to Executive Order
13045 because it does not concern an environmental health risk or
safety risk.
I. Executive Order 13211: Actions Concerning Regulations That
Significantly Affect Energy Supply, Distribution, or Use
This action is not a ``significant energy action'' because it is
not likely to have a significant adverse effect on the supply,
distribution, or use of energy. This action proposes to either change
EPA's existing E15 label or remove the labeling requirement entirely.
There are no additional costs for sources in the energy supply,
distribution, or use sectors.
J. National Technology Transfer and Advancement Act (NTTAA) and 1 CFR
Part 51
This proposed action does not involve technical standards.
K. Executive Order 12898: Federal Actions To Address Environmental
Justice in Minority Populations and Low-Income Populations
EPA believes that this action does not have disproportionately high
and adverse human health or environmental effects on minority
populations, low income populations, and/or indigenous peoples, as
specified in Executive Order 12898 (59 FR 7629, February 16, 1994). For
the E15 label portion of this action, this proposed rule maintains the
prohibition on the use of E15 in 2000 and older light duty vehicles, as
well as all motorcycles, and nonroad vehicles, engines, and equipment,
which could result in increases in emissions. For the E15 compatibility
with underground storage tanks portion of this action, EPA has
determined that this action will not have disproportionately high and
adverse human health or environmental effects on minority or low-income
populations because it increases the level of environmental protection
for all affected populations without having any disproportionately high
and adverse human health or environmental effects on any population,
including any minority or low-income population.
V. Statutory Authority
Statutory authority for the E15 label portion of this action comes
from section 211 of the Clean Air Act, 42 U.S.C. 7545. Statutory
authority for the E15 compatibility with underground storage tanks
section of this action comes from the Resource Conservation and
Recovery Act sections 9001 et seq., 42 U.S.C. 6991 et seq.
List of Subjects
40 CFR Part 80
Environmental protection, Administrative practice and procedure,
Air pollution control, Fuel additives, Gasoline, Labeling, Motor
vehicle pollution, Penalties, Reporting and recordkeeping requirements.
40 CFR Parts 280 and 281
Environmental protection, Administrative practice and procedure,
Hazardous substances, Petroleum, Reporting and recordkeeping
requirements, Water pollution control, Water supply.
Andrew Wheeler,
Administrator.
For the reasons set forth in the preamble, EPA proposes to amend 40
CFR parts 80, 280, and 281 as follows:
PART 80--REGISTRATION OF FUELS AND FUEL ADDITIVES
0
1. The authority citation for part 80 continues to read as follows:
Authority: 42 U.S.C. 7414, 7521, 7542, 7545, and 7601(a).
0
2. Revise Sec. 80.1501 to read as follows:
Sec. 80.1501 Labeling requirements that apply to retailers and
wholesale purchaser-consumers of gasoline that contains greater than 10
volume percent ethanol and not more than 15 volume percent ethanol.
(a) Any retailer or wholesale purchaser-consumer who sells,
dispenses, or offers for sale or dispensing E15 must affix the
following conspicuous and legible label to the fuel dispenser:
Contains up to 15% ethanol
Safe for use in
2001 and newer passenger vehicles; or
Flex-fuel vehicles
Avoid use in other vehicles, motorcycles, boats, or gasoline-
powered equipment. It may cause damage and is prohibited by Federal
law.
(b) Labels under this section must meet the following requirements
for appearance and placement:
(1) Dimensions. The label must measure 3 and \5/8\ inches wide by 3
and \1/8\ inches high.
(2) Placement. The label must be placed on the upper two-thirds of
each fuel dispenser where the consumer will see the label when
selecting a fuel to purchase. For dispensers with one nozzle, the label
must be placed above the button or other control used for selecting
E15, or in any other manner which clearly indicates which control is
used to select E15. For dispensers with multiple nozzles, the label
must be placed in the location that is most likely to be seen by the
consumer at the time of selection of E15.
(3) Text. The text must be justified and the fonts and backgrounds
must be as described in paragraphs (b)(3)(i) through (vi) and (b)(4)(i)
through (iv) of this section.
(i) The ethanol content: ``Contains up to 15% ethanol'' must be in
18-point, center-justified, white, Helvetica Black font in the top 1.25
inches of the label.
(ii) The words ``Safe for use in'' must be in 20-point, left-
justified, black, Helvetica Bold font in the bottom 1.875 inches of the
label.
(iii) The words, and symbols `` 2001 and newer passenger
vehicles; or Flex-fuel vehicles'' must be in 14-point, left-
justified, black, Helvetica Bold font.
[[Page 5104]]
(iv) The remaining two sentences must be in 12-point, left-
justified, Helvetica Bold font.
(4) Color. (i) The background of the top 1.25 inches of the label
must be blue.
(ii) The background of the bottom 1.875 inches of the label must be
white.
(5) Alternative labels. (i) Alternative labels to those specified
in this section may be used if approved by EPA in advance. Such labels
must contain all of the informational elements specified in paragraph
(a) of this section, and must use colors and other design elements
similar in substance and appearance to the label required by this
section. Such labels may differ in size and shape from the label
required by this section only to a small degree, except to the extent a
larger label is necessary to accommodate additional information or
translation of label information.
(ii) A request for approval of an alternative label must be sent to
the attention of ``E15 Alternative Label Request'' to the address in
Sec. 80.10(a).
PART 280--TECHNICAL STANDARDS AND CORRECTIVE ACTION REQUIREMENTS
FOR OWNERS AND OPERATORS OF UNDERGROUND STORAGE TANKS (UST)
0
3. The authority citation for part 280 continues to read as follows:
Authority: 42 U.S.C. 6912, 6991, 6991(a), 6991(b), 6991(c),
6991(d), 6991(e), 6991(f), 6991(g), 6991(h), 6991(i).
0
4. Amend Sec. 280.20 by adding a sentence after the first sentence in
the introductory text to read as follows:
Sec. 280.20 Performance standards for new UST systems.
* * * Owners and operators must also comply with the requirement of
Sec. 280.32(b) when equipment or components are installed or replaced,
as applicable. * * *
* * * * *
0
5. Amend Sec. 280.32 by revising paragraph (b) and adding paragraphs
(c) and (d) to read as follows:
Sec. 280.32 Compatibility
* * * * *
(b) In addition to the requirements at Sec. 280.20, owners and
operators of UST systems which will store motor fuel used in over-the-
road vehicles must ensure that equipment and components, including pipe
dopes and sealants, that are installed or replaced on or after [1 year
after effective date of final regulations] are compatible with ethanol
blends up to 100 percent. Owners and operators must keep documentation
of compatibility in accordance with paragraph (c)(1) of this section
and keep documentation on compatibility of pipe dopes and sealants.
(c) Owners and operators must notify the implementing agency at
least 30 days prior to switching to a regulated substance containing
greater than 10 percent ethanol, greater than 20 percent biodiesel, or
any other regulated substance identified by the implementing agency. In
addition, owners and operators with UST systems storing these regulated
substances must meet one of the following:
(1) Demonstrate compatibility of the UST system (including the
tank, piping, containment sumps, pumping equipment, release detection
equipment, spill equipment, and overfill equipment). Owners and
operators may demonstrate compatibility of the UST system by using one
of the following options, though no demonstration is required for tanks
manufactured on or after July 2005 or for any fiberglass piping:
(i) Certification or listing of UST system equipment or components
by a nationally recognized, independent testing laboratory for use with
the regulated substance stored; or
(ii) Equipment or component manufacturer approval. The
manufacturer's approval must be in writing, indicate an affirmative
statement of compatibility, specify the range of biofuel blends the
equipment or component is compatible with, and be from the equipment or
component manufacturer.
(2) All UST systems must be compatible with the substance stored in
accordance with paragraph (a) of this section but for any UST system
installed prior to 1 year after the date of publication of the final
rule in the Federal Register for which compatibility cannot be
demonstrated in accordance with paragraph (c)(1) of this section, the
regulated substance may be stored if the tank and piping are
secondarily contained and use interstitial monitoring in accordance
with Sec. 280.43(g). Secondary containment must be able to contain
regulated substances leaked from the primary containment until they are
detected and removed and prevent the release of regulated substances to
the environment at any time during the operational life of the UST
system.
(3) Use another option determined by the implementing agency to be
no less protective of human health and the environment than the options
listed in paragraph (c)(1) of this section.
(d) Owners and operators must maintain records in accordance with
Sec. 280.34(b) documenting compliance with paragraph (b) of this
section for the life of the UST system and paragraph (c) of this
section for as long as the UST system is used to store the regulated
substance.
Sec. 280.34 [Amended]
0
6. Amend Sec. 280.34 paragraph (a)(2) by removing ``(Sec.
280.32(b))'' and adding ``(Sec. 280.32(c))'' in its place; and in
paragraph (b)(3) by removing ``(Sec. 280.32(c))'' and adding ``(Sec.
280.32(b) and (c))'' in its place.
PART 281--APPROVAL OF STATE UNDERGROUND STORAGE TANK PROGRAMS
0
7. The authority citation for part 281 continues to read as follows:
Authority: 42 U.S.C. 6912, 6991(c), 6991(d), 6991(e), 6991(i),
6991(k).
0
8. Amend Sec. 281.32 by revising paragraph (c) and the first sentence
of paragraph (g) to read as follows:
Sec. 281.32 General operating requirements
* * * * *
(c) Be made of or lined with materials that are compatible with the
substance stored; in order to ensure compatibility, the state
requirements must also include provisions for demonstrating
compatibility with new and innovative regulated substances or other
regulated substances identified by the implementing agency or include
other provisions determined by the implementing agency to be no less
protective of human health and the environment than the provisions for
demonstrating compatibility; for UST systems that will store motor fuel
used in over-the-road vehicles, all newly installed or replaced
equipment or components, including pipe dopes and sealants, must be
compatible with ethanol blends up to 100 percent;
* * * * *
(g) Have records of monitoring, testing, repairs, compatibility
demonstration, and inspections. * * *
[FR Doc. 2021-00203 Filed 1-15-21; 8:45 am]
BILLING CODE 6560-50-P