Current through Vol. 24-04, March 15, 2024
Rule 1907.
(1) The
following definitions apply to the use of actuals PALs. If a term is not
defined in these paragraphs, then it shall have the meaning given in
R
336.2901:
(a)
"Actuals PAL for a major stationary source" means a PAL based on the baseline
actual emissions of all emissions units at the source that emit or have the
potential to emit the PAL pollutant.
(b) "Allowable emissions" means allowable
emissions as defined in
R
336.1101(k), except this definition
is modified in the following manner:
(i) The
allowable emissions for any emissions unit shall be calculated considering any
emission limitations that are enforceable as a practical matter on the
emissions unit's potential to emit.
(ii) An emissions unit's potential to emit
shall be determined using the definition in
R
336.2901(z), except that the words
"or enforceable as a practical matter" shall be added after "legally
enforceable."
(c) "Small
emissions unit" means an emissions unit that emits or has the potential to emit
the PAL pollutant in an amount less than the significant level for that PAL
pollutant.
(d) "Major emissions
unit" means either of the following:
(i) Any
emissions unit that emits or has the potential to emit 100 tons per year or
more of the PAL pollutant in an attainment area.
(ii) Any emissions unit that emits or has the
potential to emit the PAL pollutant in an amount that is equal to or greater
than the major source threshold for the PAL pollutant as defined by the clean
air act for nonattainment areas. For example, in accordance with the definition
of major stationary source in section 182(c) of the clean air act, an emissions
unit is a major emissions unit for volatile organic compounds if the emissions
unit is located in a serious ozone nonattainment area and it emits or has the
potential to emit 50 or more tons of volatile organic compounds per
year.
(e) "Plant wide
applicability limitation" or "PAL" means an emission limitation, expressed in
tons per year, for a pollutant at a major stationary source that is enforceable
as a practical matter and established source-wide in accordance with this
rule.
(f) "PAL effective date"
generally means the date of issuance of the PAL permit. However, the PAL
effective date for an increased PAL is the date any emissions unit that is part
of the PAL major modification becomes operational and begins to emit the PAL
pollutant.
(g) "PAL effective
period" means the period beginning with the PAL effective date and ending 10
years later.
(h) "PAL major
modification" means, notwithstanding
R 336.2901(s) and
(v), the definitions for major modification
and net emissions increase, any physical change in or change in the method of
operation of the PAL source that causes it to emit the PAL pollutant at a level
equal to or greater than the PAL.
(i) "PAL permit" means the permit to install
that establishes a PAL for a major stationary source.
(j) "PAL pollutant" means the pollutant for
which a PAL is established at a major stationary source.
(k) "Significant emissions unit" means an
emissions unit that emits or has the potential to emit a PAL pollutant in an
amount that is equal to or greater than the significant level for that PAL
pollutant, but less than the amount that would qualify the unit as a major
emissions unit.
(2) The
following requirements pertain to applicability:
(a) The department may approve the use of an
actuals PAL for any existing major stationary source if the PAL meets the
requirements of this rule. "PAL" means "actuals PAL" in this rule.
(b) The department shall not allow an actuals
PAL for volatile organic compounds or nitrogen oxides for any major stationary
source located in an extreme ozone nonattainment area.
(c) For physical change in or change in the
method of operation of a major stationary source that maintains its total
source-wide emissions below the PAL level, meets the requirements of this rule,
and complies with the PAL permit, all of the following shall apply:
(i) Is not a major modification for the PAL
pollutant.
(ii) Does not have to be
approved through the permitting requirements of this rule.
(iii) Is not subject to the provisions in
R
336.2902(5)(b), restrictions on
relaxing enforceable emission limitations that the major stationary source used
to avoid applicability of the nonattainment major new source review
program.
(d) Except as
provided under subdivision (c)(iii) of this subrule, a major stationary source
shall continue to comply with all applicable federal, state, or local
requirements, emission limitations, and work practice requirements that were
established before the effective date of the PAL.
(3) As part of a permit application
requesting a PAL, the owner or operator of a major stationary source shall
submit all of the following information to the department for approval:
(a) A list of all emissions units at the
source designated as small, significant, or major based on their potential to
emit. In addition, the owner or operator of the source shall indicate which, if
any, federal, state, or local applicable requirements, emission limitations, or
work practices apply to each unit.
(b) Calculations of the baseline actual
emissions with supporting documentation. Baseline actual emissions shall
include emissions associated not only with operation of the unit, but also
emissions associated with startup, shutdown, and malfunction.
(c) The calculation procedures that the major
stationary source owner or operator proposes to use to convert the monitoring
system data to monthly emissions and annual emissions based on a 12-month
rolling total for each month as required by subrule (13)(a) of this
rule.
(4) The following
general requirements apply for establishing PALs:
(a) The department may establish a PAL at a
major stationary source, provided that, at a minimum, all the following
requirements are met:
(i) The PAL shall
impose an annual emission limitation in tons per year, which is enforceable as
a practical matter, for the entire major stationary source. For each month
during the PAL effective period after the first 12 months of establishing a
PAL, the major stationary source owner or operator shall show that the sum of
the monthly emissions from each emissions unit under the PAL for the previous
12 consecutive months is less than the PAL (a 12-month total, rolled monthly).
For each month during the first 11 months from the PAL effective date, the
major stationary source owner or operator shall show that the sum of the
preceding monthly emissions from the PAL effective date for each emissions unit
under the PAL is less than the PAL.
(ii) The PAL shall be established in a permit
to install that meets the public participation requirements in subrule (5) of
this rule.
(iii) The PAL permit to
install shall contain all the requirements of subrule (7) of this
rule.
(iv) The PAL shall include
fugitive emissions, to the extent quantifiable, from all emissions units that
emit or have the potential to emit the PAL pollutant at the major stationary
source.
(v) Each PAL shall regulate
emissions of only one pollutant.
(vi) Each PAL shall have a PAL effective
period of 10 years.
(vii) The owner
or operator of the major stationary source with a PAL shall comply with the
monitoring, recordkeeping, and reporting requirements provided in subrules (12)
to (14) of this rule for each emissions unit under the PAL through the PAL
effective period.
(b) At
no time, during or after the PAL effective period, are emissions reductions of
a PAL pollutant, which occur during the PAL effective period, creditable as
decreases for purposes of offsets under
R 336.2908(5)
unless the level of the PAL is reduced by the amount of such emissions
reductions and such reductions would be creditable in the absence of the
PAL.
(5) PALs for
existing major stationary sources shall be established, renewed, or increased
through a permit to install issued under
R
336.1201(1)(a). The department shall
provide the public with notice of the proposed approval of a PAL permit and at
least a 30-day period for submittal of public comment. The department shall
address all material comments before taking final action on the
permit.
(6) The following apply to
setting the 10-year actuals PAL level.
(a)
Except as provided in subdivision (b) of this subrule, the actuals PAL level
for a major stationary source shall be established as the sum of the baseline
actual emissions of the PAL pollutant for each emissions unit at the source;
plus an amount equal to the applicable significant level for the PAL pollutant.
When establishing the actuals PAL level, for a PAL pollutant, only one
consecutive 24-month period shall be used to determine the baseline actual
emissions for all existing emissions units. However, a different consecutive
24-month period may be used for each different PAL pollutant. Emissions
associated with units that were permanently shut down after this 24-month
period shall be subtracted from the PAL level. The department shall specify a
reduced PAL level, in tons per year, in the PAL permit to become effective on
the future compliance date of any applicable federal or state regulatory
requirements before issuance of the PAL permit. For instance, if the source
owner or operator will be required to reduce emissions from industrial boilers
in half from baseline emissions of 60 parts per million nitrogen oxides to a
new rule limit of 30 parts per million, then the permit shall contain a future
effective PAL level that is equal to the current PAL level reduced by half of
the original baseline emissions of such unit.
(b) For newly constructed units, which do not
include modifications to existing units, on which actual construction began
after the 24-month period, instead of adding the baseline actual emissions as
specified in subdivision (a) of this subrule, the emissions shall be added to
the PAL level in an amount equal to the potential to emit of the
units.
(7) The PAL
permit shall contain, at a minimum, all of the following information:
(a) The PAL pollutant and the applicable
source-wide emission limitation in tons per year.
(b) The PAL permit effective date and the
expiration date of the PAL (PAL effective period).
(c) Specification in the PAL permit that if a
major stationary source owner or operator applies to renew a PAL under subrule
(10) of this rule before the end of the PAL effective period, then the PAL
shall not expire at the end of the PAL effective period. The PAL shall remain
in effect until a revised PAL permit is issued by the department.
(d) A requirement that emission calculations
for compliance purposes include emissions from startups, shutdowns, and
malfunctions.
(e) A requirement
that, once the PAL expires, the major stationary source is subject to subrule
(9) of this rule.
(f) The
calculation procedures that the major stationary source owner or operator shall
use to convert the monitoring system data to monthly emissions and annual
emissions based on a 12-month rolling total for each month as required by
subrule (13)(a) of this rule.
(g) A
requirement that the major stationary source owner or operator monitor all
emissions units under subrule (12) of this rule.
(h) A requirement to retain on-site the
records required under subrule (13) of this rule. The records may be retained
in an electronic format.
(i) A
requirement to submit the reports required under subrule (14) of this rule by
the required deadlines.
(j) Any
other requirements that the department determines necessary to implement and
enforce the PAL.
(8) The
following shall apply to the PAL effective period and reopening of the PAL
permit:
(a) The department shall specify a
PAL effective period of 10 years.
(b) The following shall apply to reopening of
the PAL permit:
(i) During the PAL effective
period, the department shall reopen the PAL permit to do any of the following:
(A) Correct typographical or calculation
errors made in setting the PAL or reflect a more accurate determination of
emissions used to establish the PAL.
(B) Reduce the PAL if the owner or operator
of the major stationary source creates creditable emissions reductions for use
as offsets under
R 336.2908(5)(b) through
(h).
(C) Revise the PAL to reflect an increase in
the PAL as provided under subrule (11) of this rule.
(ii) The department may reopen the PAL permit
for any of the following:
(A) Reduce the PAL
to reflect newly applicable federal requirements with compliance dates after
the PAL effective date.
(B) Reduce
the PAL consistent with any other requirement, that is enforceable as a
practical matter, and that the department may impose on the major stationary
source under the state implementation plan.
(C) Reduce the PAL if the department
determines that a reduction is necessary to avoid causing or contributing to a
national ambient air quality standard or PSD increment violation, or to an
adverse impact on an air quality related value that has been identified for a
federal class I area by a federal land manager and for which information is
available to the general public.
(iii) Except for a permit reopening for the
correction of typographical or calculation errors that do not increase the PAL
level, all other reopenings shall be carried out in accordance with the public
participation requirements of subrule (5) of this rule.
(9) Any PAL, which is not renewed
in accordance with the procedures in subrule (10) of this rule, shall expire at
the end of the PAL effective period, and the following requirements of this
paragraph shall apply:
(a) Each emissions
unit, or each group of emissions units, that existed under the PAL shall comply
with an allowable emission limitation under a revised permit established
according to the following procedures:
(i)
Within the time frame specified for PAL renewals in subrule (10)(b) of this
rule, the major stationary source shall submit a proposed allowable emission
limitation for each emissions unit, or each group of emissions units, if such a
distribution is more appropriate as determined by the department, by
distributing the PAL allowable emissions for the major stationary source among
each of the emissions units that existed under the PAL. If the PAL had not yet
been adjusted for an applicable requirement that became effective during the
PAL effective period, as required under subrule (10)(e) of this rule, then the
distribution shall be made as if the PAL had been adjusted.
(ii) The department shall determine whether
and how the PAL allowable emissions will be distributed and issue a revised
permit incorporating allowable limits for each emissions unit, or each group of
emissions units, as the department determines is appropriate.
(b) Each emissions unit shall
comply with the allowable emission limitation on a 12-month rolling basis. The
department may approve the use of monitoring systems other than CEMS, CERMS,
PEMS or CPMS to demonstrate compliance with the allowable emission
limitation.
(c) Until the
department issues the revised permit incorporating allowable limits for each
emissions unit, or each group of emissions units, the source shall continue to
comply with a source-wide, multi-unit emissions cap equivalent to the level of
the PAL emission limitation.
(d)
Any physical change or change in the method of operation at the major
stationary source shall be subject to the nonattainment major new source review
requirements if the change meets the definition of major modification in
R
336.2901(s).
(e) The major stationary source owner or
operator shall continue to comply with all state, federal, or local applicable
requirements that may have applied either during the PAL effective period or
before the PAL effective period, except for those emission limitations that
were eliminated by the PAL under subrule (2)(c)(iii) of this rule.
(10) The following shall apply to
renewal of a PAL:
(a) The department shall
follow the procedures specified in subrule (5) of this rule in approving any
request to renew a PAL for a major stationary source, and shall provide both
the proposed PAL level and a written rationale for the proposed PAL level to
the public for review and comment. During such public review, any person may
propose a PAL level for the source for consideration by the
department.
(b) A major stationary
source owner or operator shall submit a timely application to the department to
request renewal of a PAL. A timely application is one that is submitted at
least 6 months before, but not earlier than 18 months from, the date of permit
expiration. This deadline for application submittal is to ensure that the
permit will not expire before the permit is renewed. If the owner or operator
of a major stationary source submits a complete application to renew the PAL
within this time period, then the PAL shall continue to be effective until the
revised permit with the renewed PAL is issued.
(c) The application to renew a PAL permit
shall contain all of the following information:
(i) The information required in subrule (3)
of this rule.
(ii) A proposed PAL
level.
(iii) The sum of the
potential to emit of all emissions units under the PAL with supporting
documentation.
(iv) Any other
information the owner or operator wishes the department to consider in
determining the appropriate level for renewing the PAL.
(d) In determining whether and how to adjust
the PAL, the department shall consider either of the options outlined in
paragraphs (i) and (ii) of this subdivision. The adjustment shall comply with
paragraph (iii) of this subdivision.
(i) If
the emissions level calculated in accordance with subrule (6) of this rule is
equal to or greater than 80% of the PAL level, the department may renew the PAL
at the same level without considering the factors in paragraph (ii) of this
subdivision.
(ii) The department
may set the PAL at a level that it determines to be more representative of the
source's baseline actual emissions, or that it determines to be appropriate
considering air quality needs, advances in control technology, anticipated
economic growth in the area, desire to reward or encourage the source's
voluntary emissions reductions, or other factors as specifically identified by
the department in its written rationale.
(iii) Notwithstanding paragraphs (i) and (ii)
of this subdivision, both of the following shall apply:
(A) If the potential to emit of the major
stationary source is less than the PAL, then the department shall adjust the
PAL to a level not greater than the potential to emit of the source.
(B) The department shall not approve a
renewed PAL level higher than the current PAL, unless the major stationary
source has complied with subrule (11) of this rule.
(e) If the compliance date for a
state, federal, or local requirement that applies to the PAL source occurs
during the PAL effective period, and if the department has not already adjusted
for such requirement, then the PAL shall be adjusted at the time of PAL permit
renewal or renewable operating permit renewal, whichever occurs
first.
(11) The
following shall apply to increasing a PAL during the PAL effective period:
(a) The department may increase a PAL
emission limitation only if the major stationary source complies with the
following provisions:
(i) The owner or
operator of the major stationary source shall submit a complete application to
request an increase in the PAL limit for a PAL major modification. The
application shall identify the emissions units contributing to the increase in
emissions so as to cause the major stationary source's emissions to equal or
exceed its PAL.
(ii) As part of
this application, the major stationary source owner or operator shall
demonstrate that the sum of the baseline actual emissions of the small
emissions units, plus the sum of the baseline actual emissions of the
significant and major emissions units assuming application of BACT equivalent
controls, plus the sum of the allowable emissions of the new or modified
emissions units exceeds the PAL. The level of control that would result from
BACT equivalent controls on each significant or major emissions unit shall be
determined by conducting a new BACT analysis at the time the application is
submitted, unless the emissions unit is currently required to comply with a
BACT or LAER requirement that was established within the preceding 10 years. In
such a case, the assumed control level for that emissions unit shall be equal
to the level of BACT or LAER with which that emissions unit shall currently
comply.
(iii) The owner or operator
obtains a major new source review permit for all emissions units identified in
paragraph (i) of this subdivision, regardless of the magnitude of the emissions
increase resulting from them (that is, no significant levels apply). These
emissions units shall comply with any emissions requirements resulting from the
nonattainment major new source review program process (for example, LAER), even
though they have also become subject to the PAL or continue to be subject to
the PAL.
(iv) The PAL permit shall
require that the increased PAL level shall be effective on the day any
emissions unit that is part of the PAL major modification becomes operational
and begins to emit the PAL pollutant.
(b) The department shall calculate the new
PAL as the sum of the allowable emissions for each modified or new emissions
unit, plus the sum of the baseline actual emissions of the significant and
major emissions units, assuming application of BACT equivalent controls as
determined in subdivision (a)(ii) of this subrule, plus the sum of the baseline
actual emissions of the small emissions units.
(c) The PAL permit shall be revised to
reflect the increased PAL level under the public notice requirements of subrule
(5) of this rule.
(12)
The following shall apply to monitoring requirements for PALs:
(a) The following general requirements shall
apply:
(i) Each PAL permit shall contain
enforceable requirements for the monitoring system that accurately determines
plant wide emissions of the PAL pollutant in terms of mass per unit of time.
Any monitoring system authorized for use in the PAL permit shall be based on
sound science and meet generally acceptable scientific procedures for data
quality and manipulation. Additionally, the information generated by the system
shall meet minimum legal requirements for admissibility in a judicial
proceeding to enforce the PAL permit.
(ii) The PAL monitoring system shall employ
one or more of the 4 general monitoring approaches meeting the minimum
requirements set forth in subdivision (b) of this subrule and shall be approved
by the department.
(iii)
Notwithstanding paragraph (ii) of this subdivision, an owner or operator may
also employ an alternative monitoring approach that meets paragraph (i) of this
subdivision if approved by the department.
(iv) Failure to use a monitoring system that
meets the requirements of this rule renders the PAL invalid.
(b) Minimum performance
requirements for approved monitoring approaches. The following are acceptable
general monitoring approaches when conducted in accordance with the minimum
requirements in subdivisions (c) to (i) of this subrule:
(i) Mass balance calculations for activities
using coatings or solvents.
(ii)
CEMS.
(iii) CPMS or PEMS.
(iv) Emission factors.
(c) An owner or operator using mass balance
calculations to monitor PAL pollutant emissions from activities using coating
or solvents shall meet all of the following requirements:
(i) Provide a demonstrated means of
validating the published content of the PAL pollutant that is contained in or
created by all materials used in or at the emissions unit.
(ii) Assume that the emissions unit emits all
of the PAL pollutant that is contained in or created by any raw material or
fuel used in or at the emissions unit, if it cannot otherwise be accounted for
in the process.
(iii) Where the
vendor of a material or fuel, which is used in or at the emissions unit,
publishes a range of pollutant content from such material, then the owner or
operator shall use the highest value of the range to calculate the PAL
pollutant emissions unless the department determines there is site-specific
data or a site-specific monitoring program to support another content within
the range.
(d) An owner
or operator using CEMS to monitor PAL pollutant emissions shall meet both of
the following requirements:
(i) CEMS shall
comply with applicable performance specifications found in 40 C.F.R. part 60,
appendix B, adopted by reference in
R
336.1902.
(ii) CEMS shall sample, analyze, and record
data at least every 15 minutes while the emissions unit is operating.
(e) An owner or operator using
CPMS or PEMS to monitor PAL pollutant emissions shall meet both of the
following requirements:
(i) The CPMS or the
PEMS shall be based on current site-specific data demonstrating a correlation
between the monitored parameters and the PAL pollutant emissions across the
range of operation of the emissions unit.
(ii) Each CPMS or PEMS shall sample, analyze,
and record data at least every 15 minutes, or at another less frequent interval
approved by the department, while the emissions unit is operating.
(f) An owner or operator using
emission factors to monitor PAL pollutant emissions shall meet all of the
following requirements:
(i) All emission
factors shall be adjusted, if appropriate, to account for the degree of
uncertainty or limitations in the factors' development.
(ii) The emissions unit shall operate within
the designated range of use for the emission factor, if applicable.
(iii) If technically practicable, the owner
or operator of a significant emissions unit that relies on an emission factor
to calculate PAL pollutant emissions shall conduct validation testing to
determine a site-specific emission factor within 6 months of PAL permit
issuance, unless the department determines that testing is not
required.
(g) A source
owner or operator shall record and report maximum potential emissions without
considering enforceable emission limitations or operational restrictions for an
emissions unit during any period of time that there is no monitoring data,
unless another method for determining emissions during such periods is
specified in the PAL permit.
(h)
Notwithstanding the requirements in subdivision (c) to (g) of this subrule, if
an owner or operator of an emissions unit cannot demonstrate a correlation
between the monitored parameters and the PAL pollutant emissions rate at all
operating points of the emissions unit, then the department shall, at the time
of permit issuance do either of the following:
(i) Establish default values for determining
compliance with the PAL based on the highest potential emissions reasonably
estimated at such operating points.
(ii) Determine that operation of the
emissions unit during operating conditions when there is no correlation between
monitored parameters and the PAL pollutant emissions is a violation of the
PAL.
(i) All data used
to establish the PAL pollutant must be re-validated through performance testing
or other scientifically valid means approved by the department. Testing shall
occur at least once every 5 years after issuance of the PAL.
(13) All of the following
recordkeeping requirements shall apply:
(a)
The PAL permit shall require an owner or operator to retain a copy of all
records necessary to determine compliance with this rule and of the PAL,
including a determination of each emissions unit's 12-month rolling total
emissions, for 5 years from the date of the record.
(b) The PAL permit shall require an owner or
operator to retain a copy of all of the following records for the duration of
the PAL effective period plus 5 years:
(i) A
copy of the PAL permit application and any applications for revisions to the
PAL.
(ii) Each annual certification
of compliance pursuant to renewable operating permit and the data relied on in
certifying the compliance.
(14) The owner or operator shall submit
semiannual monitoring reports and prompt deviation reports to the department in
accordance with the source's renewable operating permit. The reports shall meet
all of the following requirements:
(a) The
semiannual report shall be submitted to the department within 30 days of the
end of each reporting period. This report shall contain all of the following
information:
(i) The identification of owner
and operator and the permit number.
(ii) Total annual emissions, tons per year,
based on a 12-month rolling total for each month in the reporting period
recorded under subrule (13)(a) of this rule.
(iii) All data relied upon, including, but
not limited to, any quality assurance or quality control data, in calculating
the monthly and annual PAL pollutant emissions.
(iv) A list of any emissions units modified
or added to the major stationary source during the preceding 6-month
period.
(v) The number, duration,
and cause of any deviations or monitoring malfunctions, other than the time
associated with zero and span calibration checks, and any corrective action
taken.
(vi) A notification of a
shutdown of any monitoring system, whether the shutdown was permanent or
temporary, the reason for the shutdown, the anticipated date that the
monitoring system will be fully operational or replaced with another monitoring
system, whether the emissions unit monitored by the monitoring system continued
to operate, and the calculation of the emissions of the pollutant or the number
determined by method included in the permit, as provided by subrule (12)(g) of
this rule.
(vii) A signed statement
by the responsible official, as defined by the applicable renewable operating
permit, certifying the truth, accuracy, and completeness of the information
provided in the report.
(b) The major stationary source owner or
operator shall promptly submit reports of any deviations or exceedance of the
PAL requirements, including periods where no monitoring is available. A report
submitted under
R
336.1213(3)(c)(ii) shall satisfy this
reporting requirement. The deviation reports shall be submitted within the time
limits prescribed by the source's renewable operating permit. The reports shall
contain all of the following information:
(i)
The identification of owner and operator and the permit number.
(ii) The PAL requirement that experienced the
deviation or that was exceeded.
(iii) Emissions resulting from the deviation
or the exceedance.
(iv) A signed
statement by the responsible official, as defined by the source's renewable
operating permit, certifying the truth, accuracy, and completeness of the
information provided in the report.
(c) The owner or operator shall submit to the
department the results of any re-validation test or method within 3 months
after completion of the test or method.