Propane and other Flammable Fuels
A summary of EPA Risk Management Program (RMP) Developments
If you are like most people, you may be a bit confused about recent developments related to propane and other flammable fuels. This confusion is natural given that all three branches of government have gotten involved in this part of the federal Risk Management Program (RMP), under Section 112-r of the Clean Air Act (CAA), within a fairly brief span of time.
A new law called the Chemical Safety Information, Site Security, and Fuels Regulatory Relief Act (Act) became effective August 5, 1999. Under this law, flammable substances used as a fuel on-site at any type of facility OR held for sale as fuel to an end user at a retail facility are covered by the RMP requirements. However, flammable fuels used as a feedstock to produce some other product OR held for sale as fuel at a non-retail facility, such as a wholesale operation, terminal, or manufacturing site, are still covered.
EPA is issuing regulations implementing the new law. However, since the regulations merely codify the Act’s requirements, the regulations become effective immediately. Also, neither the new Act nor the EPA regulations change the fact that the CAA's General Duty Clause applies to any process using a flammable gas.
On June 21, 1999, EPA issued an Administrative Stay to allow time for creation of a permanent exemption for facilities having up to 67,000 pounds of flammable fuel in a process. This Stay expired on December 21, 1999. The new Act is both broader and narrower than the Stay. The Act does limit its exemption of flammable fuels to 67,000 pounds. However, the Act does not exempt all uses of flammable fuels as the Stay did.
There is no phase-in period for facilities that are now back to being covered under the RMP. However, those facilities that were exempt from the regulation on June 21, 1999, that is facilities having less than 67,000 pounds of flammable fuel on site, appear to be exempt from the requirement to hold apublic meeting on their RMP (including off-site consequence analysis).
If you are still confused or you have questions about coverage and/or requirements for your facility please give us a call.
NOx Reductions:
35 North Carolina Facilities Targeted
The U.S. Environmental Protection Agency announced December 17, that it would require 35 North Carolina facilities to cut air emissions of nitrogen oxide (NOx) by 62% in order to reduce pollution effects in Connecticut, New York, and Pennsylvania.
EPA took the action by granting petitions filed by four northeastern states that alleged that they could not meet the federal standard for ozone pollution (smog) because of the transport of pollutants (NOx) from other states.
The petitions were filed under Section 126 of the federal Clean Air Act (CAA), which gives any state the authority to ask EPA to set emissions limits for specific sources of pollution in other states that significantly contribute to its air quality problems. In granting the petitions, EPA found that 28 power plants and 7 industrial facilities in North Carolina significantly contributed to ozone nonattainment in Connecticut, New York, and Pennsylvania.
As a result of EPA's action, the 35 North Carolina facilities will have to reduce annual emissions of NOx by a total of nearly 57,000 tons. Each affected facility will be required to participate in a federal Nox emissions cap-and-trade program. Under that program EPA will set emissions limits for the affected sources in the form of NOx "allowances". One allowance authorizes the emission of one ton of NOx. Each source will be allocated a specific number of allowances per year. Allowances may be bought, sold or traded between the affected sources and other private parties. EPA is initially allocating NOx allowances to sources for 2003 through 2007. The initial allocation is based on heat input to the boilers subject to the rule. Industry has until March 20, 2000 to file petitions to legally challenge the EPA action.
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