80_FR_28998 80 FR 28901 - Approval and Promulgation of Implementation Plans; New Mexico; Revisions to the New Source Review (NSR) State Implementation Plan (SIP) for Albuquerque-Bernalillo County; Prevention of Significant Deterioration (PSD) Permitting

80 FR 28901 - Approval and Promulgation of Implementation Plans; New Mexico; Revisions to the New Source Review (NSR) State Implementation Plan (SIP) for Albuquerque-Bernalillo County; Prevention of Significant Deterioration (PSD) Permitting

ENVIRONMENTAL PROTECTION AGENCY

Federal Register Volume 80, Issue 97 (May 20, 2015)

Page Range28901-28906
FR Document2015-11780

The Environmental Protection Agency (EPA) is proposing to approve two revisions to the New Mexico State Implementation Plan (SIP) to update the Albuquerque-Bernalillo County Prevention of Significant Deterioration (PSD) SIP permitting program consistent with federal requirements. New Mexico submitted the Albuquerque-Bernalillo County PSD SIP permitting revisions on July 26, 2013, and March 4, 2015, which included a request for parallel processing of the submitted 2015 revisions. These submittals contain revisions to address the requirements of the EPA's May 2008, July 2010, and October 2012 PM<INF>2.5</INF> PSD Implementation Rules and to incorporate revisions consistent with the EPA's March 2011 Fugitives Interim Rule, July 2011 Greenhouse Gas (GHG) Biomass Deferral Rule, and July 2012 GHG Tailoring Rule Step 3 and GHG PALs Rule. The EPA is proposing to find that these revisions to the New Mexico SIP meet the Federal Clean Air Act (the Act or CAA) and EPA regulations, and are consistent with EPA policies. We are proposing this action under section 110 and part C of title I of the Act. The EPA is not approving these rules within the exterior boundaries of a reservation or other areas within any Tribal Nation's jurisdiction.

Federal Register, Volume 80 Issue 97 (Wednesday, May 20, 2015)
[Federal Register Volume 80, Number 97 (Wednesday, May 20, 2015)]
[Proposed Rules]
[Pages 28901-28906]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-11780]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R06-OAR-2013-0616; FRL-9927-23-Region 6]


Approval and Promulgation of Implementation Plans; New Mexico; 
Revisions to the New Source Review (NSR) State Implementation Plan 
(SIP) for Albuquerque-Bernalillo County; Prevention of Significant 
Deterioration (PSD) Permitting

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing to 
approve two revisions to the New Mexico State Implementation Plan (SIP) 
to update the Albuquerque-Bernalillo County Prevention of Significant 
Deterioration (PSD) SIP permitting program consistent with federal 
requirements. New Mexico submitted the Albuquerque-Bernalillo County 
PSD SIP permitting revisions on July 26, 2013, and March 4, 2015, which 
included a request for parallel processing of the submitted 2015 
revisions. These submittals contain revisions to address the 
requirements of the EPA's May 2008, July 2010, and October 2012 
PM2.5 PSD Implementation Rules and to incorporate revisions 
consistent with the EPA's March 2011 Fugitives Interim Rule, July 2011 
Greenhouse Gas (GHG) Biomass Deferral Rule, and July 2012 GHG Tailoring 
Rule Step 3 and GHG PALs Rule. The EPA is proposing to find that these 
revisions to the New Mexico SIP meet the Federal Clean Air Act (the Act 
or CAA) and EPA regulations, and are consistent with EPA policies. We 
are proposing this action under section 110 and part C of title I of 
the Act. The EPA is not approving these rules within the exterior 
boundaries of a reservation or other areas within any Tribal Nation's 
jurisdiction.

DATES: Written comments should be received on or before June 19, 2015.

ADDRESSES: Submit your comments, identified by Docket No. EPA-R06-OAR-
2013-0616, by one of the following methods:
     www.regulations.gov: Follow the online instructions.
     Email: Ms. Ashley Mohr at [email protected].
     Mail or delivery: Ms. Ashley Mohr, Air Permits Section 
(6PD-R), Environmental Protection Agency, 1445 Ross Avenue, Suite 1200, 
Dallas, Texas 75202-2733.
    Instructions: Direct your comments to Docket ID No. EPA-R06-OAR-
2013-0616. The EPA's policy is that all comments received will be 
included in the public docket without change and may be made available 
online at www.regulations.gov, including any personal information 
provided, unless the comment includes information claimed to be 
Confidential Business Information (CBI) or other information the 
disclosure of which is restricted by statute. Do not submit information 
through www.regulations.gov or email, if you believe that it is CBI or 
otherwise protected from disclosure. The www.regulations.gov Web site 
is an ``anonymous access'' system, which means that the EPA will not 
know your identity or contact information unless you provide it in the 
body of your comment. If you send an email comment directly to the EPA 
without going through www.regulations.gov, your email address will be 
automatically captured and included as part of the comment that is 
placed in the public docket and made available on the Internet. If you 
submit an electronic comment, the EPA recommends that you include your 
name and other contact information in the body of your comment along 
with any disk or CD-ROM submitted. If the EPA cannot read your comment 
due to technical difficulties and cannot contact you for clarification, 
the EPA may not be able to consider your comment. Electronic files 
should avoid the use of special characters and any form of encryption 
and should be free of any defects or viruses.
    Docket: The index to the docket for this action is available 
electronically at www.regulations.gov and in hard copy at EPA Region 6, 
1445 Ross Avenue, Suite 700, Dallas, Texas. While all documents in the 
docket are listed in the index, some information may be publicly 
available only at the hard copy location (e.g., copyrighted material), 
and some may not be publicly available at either location (e.g., CBI).

FOR FURTHER INFORMATION CONTACT: Ms. Ashley Mohr, (214) 665-7289, 
[email protected]. To inspect the hard copy materials, please 
schedule an appointment with Ms. Ashley Mohr or Mr. Bill Deese at (214) 
665-7253.

SUPPLEMENTARY INFORMATION: Throughout this document wherever ``we,'' 
``us,'' or ``our'' is used, we mean the EPA.

Table of Contents

I. Background
    A. New Mexico's SIP Submittals
    B. Relevant EPA Rulemakings
II. The EPA's Evaluation
III. Proposed Action
IV. Incorporation by Reference
V. Statutory and Executive Order Reviews

I. Background

    The Act at section 110(a)(2)(C) requires states to develop and 
submit to the EPA for approval into the State Implementation Plan 
(SIP), preconstruction review and permitting programs applicable to 
certain new and modified stationary sources of air pollutants for 
attainment and nonattainment areas that cover both major and minor new 
sources and modifications, collectively referred to as the New Source 
Review (NSR) SIP. The Clean Air Act (CAA) NSR SIP program is composed 
of three separate programs: Prevention of Significant Deterioration 
(PSD), Nonattainment New Source Review (NNSR), and Minor NSR. PSD is 
established in part C of title I of the CAA and applies in areas that 
meet the National Ambient Air Quality Standards (NAAQS)--``attainment 
areas''--as well as areas where there is insufficient information to 
determine if the area meets the NAAQS--``unclassifiable

[[Page 28902]]

areas.'' The NNSR SIP program is established in part D of title I of 
the CAA and applies in areas that are not in attainment of the NAAQS--
``nonattainment areas.'' The Minor NSR SIP program addresses 
construction or modification activities that do not emit, or have the 
potential to emit, beyond certain major source thresholds, and thus do 
not qualify as ``major'' and applies regardless of the designation of 
the area in which a source is located. The EPA regulations governing 
the criteria that states must satisfy for EPA approval of the NSR 
programs as part of the SIP are contained in 40 CFR 51.160--51.166.

A. New Mexico's SIP Submittals

    Since the EPA's last SIP approval on September 19, 2012, of PSD SIP 
requirements for Albuquerque-Bernalillo County,\1\ the State of New 
Mexico has submitted two revisions to the Albuquerque-Bernalillo County 
PSD program: (1) A SIP revision submittal dated July 26, 2013, which 
affects sixteen sections under 20.11.61 NMAC; and (2) a request for 
parallel processing of a SIP revision dated March 4, 2015, which 
affects two sections under 20.11.61 NMAC.
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    \1\ See 77 FR 58032.
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i. Summary of the January 26, 2013, SIP Submittal
    The July 26, 2013, SIP submittal contains revisions to adopt and 
implement: (1) the EPA's 2008 NSR PM2.5 Rule, (2) the EPA's 
2010 PM2.5 PSD Increment--Significant Impact Levels (SILs)--
Significant Monitoring Concentration (SMC) Rule, (3) the EPA's 2012 
PM2.5 NSR Implementation Rule, (4) the EPA's 2011 Fugitives 
Interim Rule, (5) the EPA's 2011 Biomass Deferral Rule, and (6) the 
EPA's 2012 GHG Tailoring Rule Step 3 and GHG PALs Rule. The July 2013 
submittal from New Mexico also contains other non-substantive revisions 
to the Albuquerque-Bernalillo County PSD program that are not directly 
associated with the incorporation of the EPA Rules. As part of this 
proposed rulemaking, the EPA is addressing these non-substantive 
revisions and the substantive revisions to the New Mexico SIP that were 
submitted to adopt and implement the six aforementioned rulemakings by 
the EPA.
ii. Summary of the March 4, 2015, SIP Submittal
    On March 4, 2015, New Mexico submitted a request for the parallel 
processing of additional SIP revisions to the Albuquerque-Bernalillo 
County PSD program. This means that the EPA is proposing approval of 
the submitted revisions at the same time that the public comment and 
rulemaking process is taking place at the state and local level. These 
proposed revisions to part 61 are being made in response to comments 
the EPA provided on the July 26, 2013, SIP submittal. Specifically, the 
March 2015 parallel processing request contains proposed revisions to 
Section 7--Definitions and Section 11--Applicability. New Mexico's 
parallel processing request was made in accordance with paragraph 2.3.1 
of appendix V to 40 CFR part 51. As part of this proposed rulemaking, 
the EPA is addressing the proposed revisions to the New Mexico SIP 
contained in the March 4, 2015, parallel processing request. As 
required by paragraph 2.3.2 of appendix V to 40 CFR part 51, the EPA 
will not take final action on the proposed revisions contained in the 
March 4, 2015, submittal until the final SIP revision submittal 
containing these revisions to the Albuquerque-Bernalillo County PSD 
program as a final adoption is received from New Mexico. Therefore, the 
EPA is proposing to approve the SIP revision request after the 
completion of the state public process and final submittal. More 
information regarding the anticipated timeline of the state's 
rulemaking process is contained in the TSD accompanying this proposed 
action.

B. Relevant EPA Rulemakings

i. Summary of the EPA's 2008 NSR PM2.5 Rule
    On May 8, 2008, the EPA finalized the NSR PM2.5 Rule to 
implement the PM2.5 NAAQS. See 73 FR 28321. As a result of 
the EPA's final NSR PM2.5 Rule, states were required to 
submit applicable SIP revisions to the EPA no later than May 16, 2011, 
to address this Rule's PSD and NNSR SIP requirements. With respect to 
PSD permitting, the SIP revision submittals are required to meet the 
following PSD SIP requirements to implement the PM2.5 NAAQS: 
(1) Require PSD permits to address directly emitted PM2.5 
and precursor pollutants; (2) establish significant emission rates for 
direct PM2.5 and precursor pollutants (including 
SO2 and NOX); and (3) account for gases that 
condense to form particles (condensables) in PM2.5 and 
PM10 emission limits in PSD permits.
    Prior to the adoption of the revisions included in the July 26, 
2013, SIP submittal, the Albuquerque-Bernalillo County Air Board 
adopted revisions to 20.11.61 NMAC to incorporate all but one of the 
amendments consistent with the EPA's 2008 NSR PM2.5 Rule. 
These revisions were approved by the EPA on September 19, 2012. See 77 
FR 58032. New Mexico's July 26, 2013, SIP revision submittal 
incorporates the final remaining amendment to 20.11.61 NMAC to be 
consistent with the revisions to the federal rules at 40 CFR 
51.166(i)(5) contained in the EPA's 2008 rulemaking. Specifically, the 
July 2013 SIP submittal amends 20.11.61 NMAC to include an additional 
exemption that gives the department discretion to exempt a stationary 
source from air monitoring requirements for a particular pollutant. The 
EPA finds that New Mexico's July 26, 2013, SIP revision submittal is 
consistent with the 2008 NSR PM2.5 Rule for PSD and meets 
the requirements of section 110 and part C of the CAA.
ii. Summary of the EPA's 2010 PM2.5 PSD Increment--SILs--SMC 
Rule
    On October 20, 2010, the EPA finalized the PM2.5 PSD 
Increment--SILs--SMC Rule to provide additional regulatory requirements 
under the PSD SIP program regarding the implementation of the 
PM2.5 NAAQS for NSR. See 75 FR 64864. As a result, the 
PM2.5 PSD Increment--SILs--SMC Rule required states to 
submit SIP revisions to adopt the required PSD increments by July 20, 
2012. Specifically, the SIP rule requires a state's submitted PSD SIP 
revision to adopt and submit for the EPA approval the PM2.5 
increments pursuant to section 166(a) of the CAA to prevent significant 
deterioration of air quality in areas meeting the NAAQS. States could 
also discretionarily choose to adopt and submit for EPA approval SILs 
used as a screening tool (by a major source subject to PSD) to evaluate 
the impact a proposed major source or modification may have on the 
NAAQS or PSD increment and a SMC, (also a screening tool) used by a 
major source subject to PSD to determine the subsequent level of data 
gathering required for a PSD permit application for emissions of 
PM2.5. More detail on the PM2.5 PSD Increment--
SILs--SMC Rule can be found in the EPA's October 20, 2010, final rule. 
See 75 FR 64864.
(a) What are PSD increments?
    Under section 165(a)(3) of the CAA, a PSD permit applicant must 
demonstrate that emissions from the proposed construction and operation 
of a facility ``will not cause, or contribute to, air pollution in 
excess of any maximum allowable increase or allowable concentration for 
any pollutant.'' In other words, when a source applies for a PSD SIP 
permit to emit a regulated pollutant in an attainment or unclassifiable 
area, the permitting

[[Page 28903]]

authority implementing the PSD SIP must determine if emissions of the 
regulated pollutant from the source will cause significant 
deterioration in air quality. Significant deterioration occurs when the 
amount of the new pollution exceeds the applicable PSD increment, which 
is the ``maximum allowable increase'' of an air pollutant allowed to 
occur above the applicable baseline concentration \2\ for that 
pollutant. PSD increments prevent air quality in attainment and 
unclassifiable areas from deteriorating to the level set by the NAAQS. 
Therefore, an increment is the mechanism used to estimate ``significant 
deterioration'' of air quality for a pollutant in an area.
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    \2\ Section 169(4) of the CAA provides that the baseline 
concentration of a pollutant for a particular baseline area is 
generally the same air quality at the time of the first application 
for a PSD permit in the area.
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    For PSD baseline purposes, a baseline area for a particular 
pollutant emitted from a source includes the attainment or 
unclassifiable/attainment area in which the source is located as well 
as any other attainment or unclassifiable/attainment area in which the 
source's emissions of that pollutant are projected (by air quality 
modeling) to result in an ambient pollutant increase of at least 1 
[mu]g/m3 (annual average). See 40 CFR 51.166(b)(15)(i) and (ii). Under 
the EPA's existing regulations, the establishment of a baseline area 
for any PSD increment results from the submission of the first complete 
PSD permit application and is based on the location of the proposed 
source and its emissions impact on the area. Once the baseline area is 
established, subsequent PSD sources locating in that area need to 
consider that a portion of the available increment may have already 
been consumed by previous emissions increases. In general, the 
submittal date of the first complete PSD permit application in a 
particular area is the operative ``baseline date.'' \3\ On or before 
the date of the first complete PSD application, emissions generally are 
considered to be part of the baseline concentration, except for certain 
emissions from major stationary sources. Most emissions increases that 
occur after the baseline date will be counted toward the amount of 
increment consumed. Similarly, emissions decreases after the baseline 
date restore or expand the amount of increment that is available. See 
75 FR 64864. As described in the PM2.5 PSD Increment--SILs--
SMC Rule, pursuant to the authority under section 166(a) of the CAA the 
EPA promulgated numerical increments for PM2.5 as a new 
pollutant \4\ for which the NAAQS were established after August 7, 
1977,\5\ and derived 24-hour and annual PM2.5 increments for 
the three area classifications (Class I, II and III) using the 
``contingent safe harbor'' approach. See 75 FR 64864 at 64869 and table 
at 40 CFR 51.166(c)(1).
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    \3\ Baseline dates are pollutant specific. That is, a complete 
PSD application establishes the baseline date only for those 
regulated NSR pollutants that are projected to be emitted in 
significant amounts (as defined in the regulations) by the 
applicant's new source or modification. Thus, an area may have 
different baseline dates for different pollutants.
    \4\ The EPA generally characterized the PM2.5 NAAQS 
as a NAAQS for a new indicator of PM. The EPA did not replace the 
PM10 NAAQS with the NAAQS for PM2.5 when the 
PM2.5 NAAQS were promulgated in 1997. The EPA rather 
retained the annual and 24-hour NAAQS for PM10 as if 
PM2.5 was a new pollutant even though the EPA had already 
developed air quality criteria for PM generally. See 75 FR 64864 
(October 20, 2010).
    \5\ The EPA interprets 166(a) to authorize the EPA to promulgate 
pollutant-specific PSD regulations meeting the requirements of 
section 166(c) and 166(d) for any pollutant for which the EPA 
promulgates a NAAQS after 1977.
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    In addition to PSD increments for the PM2.5 NAAQS, the 
PM2.5 PSD Increment--SILs--SMC Rule amended the definition 
at 40 CFR 51.166 and 52.21 for ``major source baseline date'' and 
``minor source baseline date'' to establish the PM2.5 NAAQS 
specific dates (including trigger dates) associated with the 
implementation of PM2.5 PSD increments. See 75 FR 64864. In 
accordance with section 166(b) of the CAA, the EPA required the states 
to submit revised implementation plans adopting the PM2.5 
PSD increments to the EPA for approval within 21 months from 
promulgation of the final rule (by July 20, 2012). Each state was 
responsible for determining how increment consumption and the setting 
of the minor source baseline date for PM2.5 would occur 
under its own PSD program. Regardless of when a state begins to require 
PM2.5 increment analysis and how it chooses to set the 
PM2.5 minor source baseline date, the emissions from sources 
subject to PSD for PM2.5 for which construction commenced 
after October 20, 2010, (major source baseline date) consume the 
PM2.5 increment and therefore should be included in the 
increment analyses occurring after the minor source baseline date is 
established for an area under the state's revised PSD SIP program.
(b) What are PSD SILs and SMC?
    The EPA's PM2.5 PSD Increment--SILs--SMC Rule also 
established SILs and SMC for the PM2.5 NAAQS to address air 
quality modeling and monitoring provisions for fine particle pollution 
in areas protected by the PSD program. The SILs and SMC are numerical 
values that represent thresholds of insignificant, i.e., de minimis, 
modeled source impacts or monitored (ambient) concentrations, 
respectively. The de minimis principle is grounded in a decision 
described by the court case Alabama Power Co. v. Costle, 636 F.2d 323, 
360 (D.C. Cir. 1980). In this case reviewing the EPA's 1978 PSD 
regulations, the court recognized that ``there is likely a basis for an 
implication of de minimis authority to provide exemption when the 
burdens of regulation yield a gain of trivial or no value.'' 636 F.2d 
at 360. The EPA established such values for PM2.5 in the 
PM2.5 PSD Increment--SILs--SMC rule to be used as screening 
tools by a major source subject to PSD to determine the subsequent 
level of analysis and data gathering required for a PSD permit 
application for emissions of PM2.5. See 75 FR 64864. As part 
of the response to comments in the PM2.5 PSD Increment--
SILs--SMC Rule final rulemaking, the EPA explained that the agency 
considers that the SILs and SMC used as de minimis thresholds for the 
various pollutants are useful tools that enable permitting authorities 
and PSD applicants to screen out ``insignificant'' activities; however, 
the fact remains that these values are not required by the Act as part 
of an approvable SIP program.
(c) SILs-SMC Litigation
    The PM2.5 SILs and SMC were subject to litigation before 
the U.S. Court of Appeals. (Sierra Club v. EPA, Case No. 10-1413, D.C. 
Circuit). In response to the litigation, the EPA filed a brief on April 
6, 2012, which contained a request that the Court vacate and remand to 
the EPA portions of two PSD PM2.5 rules (40 CFR 51.166 and 
40 CFR 52.21) addressing the PM2.5 SILs so that the EPA 
could voluntarily correct errors in those provisions. On January 22, 
2013, the Court granted the EPA's request for vacature and remand of 
the PM2.5 SILs provisions and also vacated parts of 40 CFR 
51.166 and 40 CFR 52.21 that established the PM2.5 SMC, 
finding that the EPA was precluded from using the PM2.5 SMC 
to exempt permit applicants from the statutory requirement to compile 
preconstruction monitoring data. As a result of the Court's decision, 
States should avoid including language in SIP revision submittals that 
are the same as or have similar effects as the vacated PM2.5 
SILs and SMC language in 40 CFR 51.166 and 52.21. As stated previously, 
neither the PM2.5 SILs nor the PM2.5 SMC are 
required elements of the PSD SIP for PM2.5.

[[Page 28904]]

    New Mexico's July 26, 2013, SIP revision submittal includes 
revisions to 20.11.61 NMAC that incorporate the amendments to the PSD 
regulations consistent with the changes in the 2010 PM2.5 
PSD Increment--SILs--SMC Rule. Consistent with the January 2013 
vacature and remand by the U.S. Court of Appeals for the D.C. Circuit 
(the D.C. Circuit), the SIP revision submittal also correctly excludes 
those amendments from the EPA's 2010 Rule that established the 
PM2.5 SILs and SMC. Therefore, the EPA finds that these 
revisions in the July 2013 submittal are consistent with the 2010 
rulemaking and subsequent Court decision and meet the requirements of 
section 110 and part C of the CAA.
iii. Summary of the EPA's 2012 PM2.5 NSR Implementation Rule
    On October 12, 2012, the EPA finalized amendments to its rules for 
the CAA NSR permitting program regarding the definition of ``regulated 
NSR pollutant.'' This rulemaking clarified when condensable particulate 
matter should be measured. The final rule continued to require that 
condensable particulate matter be included as part of the emissions 
measurements for regulation of PM2.5/PM10. As a 
result of the EPA's final 2012 NSR PM2.5 Rule, the 
inadvertent requirement that measurements of condensable particulate 
matter emissions be included as part of the measurement and regulation 
of ``particulate matter emissions'' was removed.
    New Mexico's July 26, 2013, SIP revision submittal includes a 
revision to the definition of ``regulated NSR pollutant.'' 
Specifically, the SIP revision revises this definition found at 
20.11.61.7(WW) NMAC to include the clarifying language related to the 
condensable particulate matter portion accounted for in 
PM2.5 and PM10 emissions. The EPA notes that as 
part of the July 2013 SIP revision submittal, New Mexico did not remove 
the requirement for condensable particulate matter emissions to be 
included in particulate matter emissions. Therefore, the definition of 
``regulated NSR pollutant'' at 20.11.61.7(WW) NMAC is more stringent 
than the federal definition. See 40 CFR 51.166(b)(49). The EPA finds 
that the revisions to the definition of ``regulated NSR pollutant'' in 
the July 26, 2013, submittal meet the federal requirements in that the 
definition is more stringent than the federal definition.
iv. Summary of the EPA's 2011 Fugitives Interim Rule
    On March 8, 2011, the EPA issued an interim rule to stay a December 
2008 rule known as the Fugitives Emissions Rule. The 2008 Rule 
established new provisions for how fugitive emissions should be treated 
for NSR permitting. The EPA's 2011 interim rule replaced the stay 
issued by the EPA on March 31, 2010, which inadvertently covered 
portions of the NSR permitting requirements that should not have been 
stayed. The 2011 rulemaking stayed the 2008 Fugitive Emissions Rule as 
originally intended and reverted the regulatory text back to the 
language that existed prior to those amendments, which the EPA is 
reconsidering in response to a 2009 Natural Resources Defense Council 
petition for reconsideration of the 2008 Fugitive Emissions Rule.
    New Mexico's July 26, 2013, SIP revision submittal includes 
revisions to 20.11.61 NMAC that incorporate the amendments to the PSD 
regulations consistent with the changes in the 2011 Fugitives Interim 
Rule. The EPA finds that these revisions in the July 2013 submittal are 
consistent with the 2011 rulemaking and meet the requirements of 
section 110 and part C of the CAA.
v. Summary of the the EPA's 2011 Biomass Deferral Rule
    On July 20, 2011, the EPA promulgated the Biomass Deferral Rule, 
which deferred, for a period of three years, the application of the PSD 
and title V permitting requirements to CO2 emissions from 
bioenergy and other biogenic stationary sources. See 76 FR 43490. On 
July 12, 2013, the U.S. Court of Appeals for the D.C. Circuit issued 
its decision to vacate the Biomass Deferral Rule. See Center for 
Biological Diversity v. EPA (D.C. Cir. No. 11-1101).
    New Mexico's July 26, 2013, SIP revision submittal includes 
revisions to 20.11.61 NMAC that incorporate the 2011 Biomass Deferral 
Rule into the Albuquerque-Bernalillo County PSD program. However, as 
discussed in this proposed rulemaking, New Mexico's March 4, 2015, SIP 
Submittal contains revisions to update the PSD program to remove the 
biomass deferral, which was vacated in 2013. The EPA finds that the 
combined revisions from the July 2013 and March 2015 submittals are 
consistent with current PSD regulations with respect to the vacated 
Biogas Referral Rule and meet the requirements of section 110 and part 
C of the CAA.
vi. Summary of the the EPA's 2012 Tailoring Rule and GHG PALs Rule
    On June 3, 2010, the EPA issued a final rule, known as the 
Tailoring Rule, which phased in permitting requirements for GHG 
emissions from stationary sources under the CAA PSD and title V 
permitting programs (75 FR 31514). For Step 1 of the Tailoring Rule, 
which began on January 2, 2011, PSD or title V requirements applied to 
sources of GHG emissions only if the sources were subject to PSD or 
title V ``anyway'' due to their emissions of non-GHG pollutants. These 
sources are referred to as ``anyway sources.'' Step 2 of the Tailoring 
Rule, which began on July 1, 2011, applied the PSD and title V 
permitting requirements under the CAA to sources that were classified 
as major, and, thus, required to obtain a permit, based solely on their 
potential GHG emissions and to modifications of otherwise major sources 
that required a PSD permit because they increased only GHG above 
applicable levels in the EPA regulations.
    On July 12, 2012, the EPA promulgated the final ``Prevention of 
Significant Deterioration and Title V Greenhouse Gas Tailoring Rule 
Step 3 and GHG Plantwide Applicability Limits'' (GHG Tailoring Rule 
Step 3 and GHG PALs).\6\ 77 FR 41051. In the Tailoring Rule Step 3 
portion of this rule, the EPA decided against further phase in of the 
PSD and title V requirements to apply to sources emitting lower levels 
of greenhouse gas emissions. Thus, the thresholds for determining PSD 
applicability based on emission of greenhouse gases remained the same 
as established in Step 2 of the Tailoring Rule. The Step 3 portions of 
the EPA's July 12, 2012, final rule are not relevant to today's 
proposed action on the New Mexico SIP revision.
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    \6\ For a complete history of the EPA's rulemakings related to 
GHG emissions please review the following final actions:
    ``Endangerment and Cause or Contribute Findings for Greenhouse 
Gases Under Section 202(a) of the Clean Air Act.'' 74 FR 66496 
(December 15, 2009).
    ``Interpretation of Regulations that Determine Pollutants 
Covered by Clean Air Act Permitting Programs.'' 75 FR 17004 (April 
2, 2010).
    ``Light-Duty Vehicle Greenhouse Gas Emission Standards and 
Corporate Average Fuel Economy Standards; Final Rule.'' 75 FR 25324 
(May 7, 2010).
    ``Prevention of Significant Deterioration and Title V Greenhouse 
Gas Tailoring Rule; Final Rule.'' 75 FR 31514 (June 3, 2010).
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    The GHG PALs portion of the July 12, 2012, final rule promulgated 
revisions to the EPA regulations under 40 CFR part 52 for establishing 
PALs for GHG emissions. For a full discussion of the EPA's rationale 
for the GHG PALs provisions, see the notice of final rulemaking at 77 
FR 41051. A PAL

[[Page 28905]]

establishes a site-specific plantwide emission level for a pollutant 
that allows the source to make changes at the facility without 
triggering the requirements of the PSD program, provided that emissions 
do not exceed the PAL level. Under the EPA's interpretation of the 
federal PAL provisions, such PALs are already available under PSD for 
non-GHG pollutants and for GHGs on a mass basis, and the EPA revised 
the PAL regulations to allow for GHG PALs to be established on a carbon 
dioxide equivalent (CO2e) basis as well. See 77 FR 41052. 
The EPA finalized these revisions in an effort to streamline federal 
and SIP PSD permitting programs by allowing sources and permitting 
authorities to address GHGs using a PAL in a manner similar to the use 
of PALs for non-GHG pollutants. See 77 FR 41051, 41052.

II. The EPA's Evaluation

    New Mexico's July 26, 2013, and March 4, 2015, SIP revision 
submittals include amendments to the Albuquerque-Bernalillo County PSD 
program found in 20.11.61 NMAC to incorporate changes to federal PSD 
provisions resulting from the following EPA rulemakings: 2008 NSR 
PM2.5 Rule, 2010 PM2.5 PSD Increment--SILs--SMC 
Rule, 2012 PM2.5 PSD Implementation Rule, 2011 Fugitives 
Interim Rule, 2011 Biomass Deferral Rule, and 2012 GHG Tailoring Rule 
Step 3 and GHG PALs Rule. The July 26, 2013, SIP revisions also 
contains additional non-substantive revisions to 20.11.61 NMAC 
including formatting revisions, inclusion of acronyms, and rewording of 
provisions to make this Part consistent with other provisions of the 
NMAC.
    On June 23, 2014, the United States Supreme Court, in Utility Air 
Regulatory Group v. Environmental Protection Agency,\7\ issued a 
decision addressing the application of PSD permitting requirements to 
GHG emissions. The Supreme Court said that the EPA may not treat GHGs 
as an air pollutant for purposes of determining whether a source is a 
major source (or modification thereof) required to obtain a PSD permit. 
The Court also said that the EPA could continue to require that PSD 
permits, otherwise required based on emissions of pollutants other than 
GHGs, contain limitations on GHG emissions based on the application of 
Best Available Control Technology (BACT). The Supreme Court decision 
effectively upheld PSD permitting requirements for GHG emissions under 
Step 1 of the Tailoring Rule for ``anyway sources'' and invalidated PSD 
permitting requirements for Step 2 sources.
---------------------------------------------------------------------------

    \7\ 134 S.Ct. 2427 (2014).
---------------------------------------------------------------------------

    In accordance with the Supreme Court decision, on April 10, 2015, 
the D.C. Circuit issued an amended judgment vacating the regulations 
that implemented Step 2 of the Tailoring Rule, but not the regulations 
that implement Step 1 of the Tailoring Rule. A copy of the judgment is 
included in the docket to this rulemaking.\8\ The amended judgment 
preserves, without the need for additional rulemaking by the EPA, the 
application of the Best Available Control Technology (BACT) requirement 
to GHG emissions from sources that are required to obtain a PSD permit 
based on emissions of pollutants other than GHGs (``anyway'' sources). 
The D.C. Circuit's judgment vacated the regulations at issue in the 
litigation, including 40 CFR 51.166(b)(48)(v), ``to the extent they 
require a stationary source to obtain a PSD permit if greenhouse gases 
are the only pollutant (i) that the source emits or has the potential 
to emit above the applicable major source thresholds, or (ii) for which 
there is a significant emissions increase from a modification.''
---------------------------------------------------------------------------

    \8\ Original case is Coalition for Responsible Regulation v. 
EPA, D.C. Cir., No. 09-1322, 06/26/20, judgment entered for No. 09-
1322 on 04/10/2015.
---------------------------------------------------------------------------

    The EPA may need to take additional steps to revise federal PSD 
rules in light of the Supreme Court decision and recent D.C. Circuit 
judgment. In addition, the EPA anticipates that many states will revise 
their existing SIP-approved PSD programs. The EPA is not expecting 
states to have revised their existing PSD program regulations at this 
juncture. However, the EPA is evaluating PSD program submissions to 
assure that the state's program correctly addresses GHGs consistent 
with both decisions.
    New Mexico's existing approved SIP for the Albuquerque-Bernalillo 
County PSD program contains the greenhouse gas permitting requirements 
required under 40 CFR 51.166, as amended in the Tailoring Rule. As a 
result, the Albuquerque-Bernalillo County's SIP-approved PSD permitting 
program continues to require that PSD permits (otherwise required based 
on emissions of pollutants other than GHGs) contain limitations on GHG 
emissions based on the application of BACT when sources emit or 
increase greenhouse gases in the amount of 75,000 tons per year (tpy), 
measured as carbon dioxide equivalent. Although the SIP-approved 
Albuquerque-Bernalillo County PSD permitting program may also currently 
contain provisions that are no longer necessary in light of the D.C. 
Circuit's judgment or the Supreme Court decision, this does not prevent 
the EPA from approving the submission addressed in this rule. New 
Mexico's July 26, 2013, and March 4, 2015, SIP submissions do not add 
any greenhouse gas permitting requirements that are inconsistent either 
decision.
    Likewise, this revision does add to the New Mexico SIP for the 
Albuquerque-Bernalillo County PSD program elements of the EPA's July 
12, 2012, rule implementing Step 3 of the phase in of PSD permitting 
requirements for greenhouse gases described in the Tailoring Rule, 
which became effective on August 13, 2012. Specifically, the 
incorporation of the Step 3 rule provisions will allow GHG-emitting 
sources to obtain PALs for their GHG emissions on a CO2e 
basis. The GHG PAL provisions, as currently written, include some 
provisions that may no longer be appropriate in light of both the D.C. 
Circuit's judgment and the Supreme Court decision. Since the Supreme 
Court has determined that sources and modifications may not be defined 
as ``major'' solely on the basis of the level of greenhouse gases 
emitted or increased, PALs for greenhouse gases may no longer have 
value in some situations where a source might have triggered PSD based 
on greenhouse gas emissions alone. However, PALs for GHGs may still 
have a role to play in determining whether a modification that triggers 
PSD for a pollutant other than greenhouse gases should also be subject 
to BACT for greenhouse gases. These provisions, like the other GHG 
provisions discussed previously, may be revised at some future time. 
However, these provisions do not add new requirements for sources or 
modifications that only emit or increase greenhouse gases above the 
major source threshold or the 75,000 tpy greenhouse gas level in 
section 52.21(b)(49)(iv). Rather, the PALs provisions provide increased 
flexibility to sources that wish to address their GHG emissions in a 
PAL. Since this flexibility may still be valuable to sources in at 
least one context described above, we believe that it is appropriate to 
approve these provisions into the New Mexico SIP at this juncture.
    As discussed in this rulemaking and the accompanying TSD, the EPA 
finds that the revisions to the Albuquerque-Bernalillo County PSD 
program contained in the July 26, 2013, and March 4, 2015, SIP revision 
submittals are consistent with the aforementioned the EPA rulemakings 
and meet the associated federal requirements. The

[[Page 28906]]

EPA therefore proposes to find the proposed SIP revisions to be fully 
approvable.

III. Proposed Action

    The EPA is proposing to approve revisions to the Albuquerque-
Bernalillo County PSD program that were submitted by New Mexico as a 
SIP revision on July 26, 2013, and March 4, 2015. We are proposing 
approval of the portions of the July 26, 2013, and March 4, 2015, 
submittals that revised the following sections under 20.11.61:
     20.11.61.2 NMAC--Scope,
     20.11.61.5 NMAC--Effective Date,
     20.11.61.6 NMAC--Objective,
     20.11.61.7 NMAC--Definitions,
     20.11.61.10 NMAC--Documents,
     20.11.61.11 NMAC--Applicability,
     20.11.61.12 NMAC--Obligations of Owners or Operators of 
Sources,
     20.11.61.14 NMAC--Control Technology Review and Innovative 
Control Technology,
     20.11.61.15 NMAC--Ambient Impact Requirements,
     20.11.61.18 NMAC--Air Quality Analysis and Monitoring 
Requirements,
     20.11.61.20 NMAC--Actuals Plantwide Applicability Limits 
(PALs),
     20.11.61.23 NMAC--Exclusions from Increment Consumption,
     20.11.61.24 NMAC--Sources Impacting Federal Class I Areas-
Additional Requirements,
     20.11.61.27 NMAC--Table 2-Significant Emission Rates,
     20.11.61.29 NMAC--Table 4-Allowable PSD Increments, and
     20.11.61.30 NMAC--Table 5-Maximum Allowable Increases for 
Class I Variances.
    The EPA has determined that these revisions to the New Mexico SIP's 
Albuquerque-Bernalillo County PSD program are approvable because the 
submitted rules are adopted and submitted in accordance with the CAA 
and are consistent with the EPA regulations regarding PSD permitting. 
The EPA is proposing this action under section 110 and part C of the 
Act.
    The EPA is severing from our proposed approval action the revisions 
to 20.11.60 NMAC submitted on July 26, 2013, which are revisions to the 
Albuquerque-Bernalillo County NNSR Program and will be addressed in a 
separate action.

IV. Incorporation by Reference

    In this rule, the EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, the EPA is proposing to incorporate by 
reference the New Mexico regulations discussed in section III. of this 
preamble. The EPA has made, and will continue to make, these documents 
generally available electronically through www.regulations.gov and/or 
in hard copy at the appropriate EPA office (see the ADDRESSES section 
of this preamble for more information).

V. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the Act and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, the EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
action merely proposes to approve state law as meeting Federal 
requirements and does not impose additional requirements beyond those 
imposed by state law. For that reason, this action:
     Is not a ``significant regulatory action'' subject to 
review by the Office of Management and Budget under Executive Orders 
12866 (58 FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 
2011);
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA; and
     Does not provide the EPA with the discretionary authority 
to address, as appropriate, disproportionate human health or 
environmental effects, using practicable and legally permissible 
methods, under Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, this rule is not proposed to apply on any Indian 
reservation land or in any other area where the EPA or an Indian tribe 
has demonstrated that tribe has jurisdiction. In those areas of Indian 
country, the proposed rule does not have tribal implications and will 
not impose substantial direct costs on tribal governments or preempt 
tribal law as specified by Executive Order 13175 (65 FR 67249, November 
9, 2000).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Carbon monoxide, 
Incorporation by reference, Intergovernmental relations, Lead, Nitrogen 
dioxide, Ozone, Particulate matter, Reporting and recordkeeping 
requirements, Sulfur oxides, Volatile organic compounds.

    Authority: 42 U.S.C. 7401 et seq.

    Dated: April 24, 2015.
Ron Curry,
Regional Administrator, Region 6.
[FR Doc. 2015-11780 Filed 5-19-15; 8:45 am]
 BILLING CODE 6560-50-P



                                                                           Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Proposed Rules                                             28901

                                                    Executive Order 12898: Federal Actions                  included a request for parallel                       comment, the EPA recommends that
                                                    To Address Environmental Justice in                     processing of the submitted 2015                      you include your name and other
                                                    Minority Populations and Low-Income                     revisions. These submittals contain                   contact information in the body of your
                                                    Population                                              revisions to address the requirements of              comment along with any disk or CD–
                                                      Executive Order 12898 (59 FR 7629                     the EPA’s May 2008, July 2010, and                    ROM submitted. If the EPA cannot read
                                                    (Feb. 16, 1994)) establishes federal                    October 2012 PM2.5 PSD                                your comment due to technical
                                                    executive policy on environmental                       Implementation Rules and to                           difficulties and cannot contact you for
                                                    justice. Its main provision directs                     incorporate revisions consistent with                 clarification, the EPA may not be able to
                                                    federal agencies, to the greatest extent                the EPA’s March 2011 Fugitives Interim                consider your comment. Electronic files
                                                    practicable and permitted by law, to                    Rule, July 2011 Greenhouse Gas (GHG)                  should avoid the use of special
                                                    make environmental justice part of their                Biomass Deferral Rule, and July 2012                  characters and any form of encryption
                                                    mission by identifying and addressing,                  GHG Tailoring Rule Step 3 and GHG                     and should be free of any defects or
                                                    as appropriate, disproportionately high                 PALs Rule. The EPA is proposing to                    viruses.
                                                                                                            find that these revisions to the New                     Docket: The index to the docket for
                                                    and adverse human health or
                                                                                                            Mexico SIP meet the Federal Clean Air                 this action is available electronically at
                                                    environmental effects of their programs,
                                                                                                            Act (the Act or CAA) and EPA                          www.regulations.gov and in hard copy
                                                    policies, and activities on minority
                                                                                                            regulations, and are consistent with EPA              at EPA Region 6, 1445 Ross Avenue,
                                                    populations and low-income
                                                                                                            policies. We are proposing this action                Suite 700, Dallas, Texas. While all
                                                    populations in the United States.
                                                      EPA lacks the discretionary authority                 under section 110 and part C of title I               documents in the docket are listed in
                                                    to address environmental justice in this                of the Act. The EPA is not approving                  the index, some information may be
                                                    proposed rulemaking.                                    these rules within the exterior                       publicly available only at the hard copy
                                                                                                            boundaries of a reservation or other                  location (e.g., copyrighted material), and
                                                    List of Subjects in 40 CFR Part 52                      areas within any Tribal Nation’s                      some may not be publicly available at
                                                      Environmental protection, Air                         jurisdiction.                                         either location (e.g., CBI).
                                                    pollution control, Approval and                         DATES: Written comments should be                     FOR FURTHER INFORMATION CONTACT: Ms.
                                                    promulgation of implementation plans,                   received on or before June 19, 2015.                  Ashley Mohr, (214) 665–7289,
                                                    Incorporation by reference,                             ADDRESSES: Submit your comments,
                                                                                                                                                                  mohr.ashley@epa.gov. To inspect the
                                                    Intergovernmental relations, Nitrogen                   identified by Docket No. EPA–R06–                     hard copy materials, please schedule an
                                                    dioxide, Ozone, Reporting and                           OAR–2013–0616, by one of the                          appointment with Ms. Ashley Mohr or
                                                    recordkeeping requirements, and Sulfur                  following methods:                                    Mr. Bill Deese at (214) 665–7253.
                                                    dioxide.                                                   • www.regulations.gov: Follow the                  SUPPLEMENTARY INFORMATION:
                                                      Dated: May 8, 2015.                                   online instructions.                                  Throughout this document wherever
                                                    Alexis Strauss,                                            • Email: Ms. Ashley Mohr at                        ‘‘we,’’ ‘‘us,’’ or ‘‘our’’ is used, we mean
                                                                                                            mohr.ashley@epa.gov.                                  the EPA.
                                                    Acting Regional Administrator, Region IX.
                                                                                                               • Mail or delivery: Ms. Ashley Mohr,               Table of Contents
                                                    [FR Doc. 2015–12243 Filed 5–19–15; 8:45 am]
                                                                                                            Air Permits Section (6PD–R),
                                                    BILLING CODE 6560–50–P
                                                                                                            Environmental Protection Agency, 1445                 I. Background
                                                                                                            Ross Avenue, Suite 1200, Dallas, Texas                   A. New Mexico’s SIP Submittals
                                                                                                                                                                     B. Relevant EPA Rulemakings
                                                                                                            75202–2733.
                                                    ENVIRONMENTAL PROTECTION                                                                                      II. The EPA’s Evaluation
                                                                                                               Instructions: Direct your comments to              III. Proposed Action
                                                    AGENCY                                                  Docket ID No. EPA–R06–OAR–2013–                       IV. Incorporation by Reference
                                                    40 CFR Part 52                                          0616. The EPA’s policy is that all                    V. Statutory and Executive Order Reviews
                                                                                                            comments received will be included in
                                                    [EPA–R06–OAR–2013–0616; FRL–9927–23–                    the public docket without change and                  I. Background
                                                    Region 6]                                               may be made available online at                          The Act at section 110(a)(2)(C)
                                                                                                            www.regulations.gov, including any                    requires states to develop and submit to
                                                    Approval and Promulgation of
                                                                                                            personal information provided, unless                 the EPA for approval into the State
                                                    Implementation Plans; New Mexico;
                                                                                                            the comment includes information                      Implementation Plan (SIP),
                                                    Revisions to the New Source Review
                                                                                                            claimed to be Confidential Business                   preconstruction review and permitting
                                                    (NSR) State Implementation Plan (SIP)
                                                                                                            Information (CBI) or other information                programs applicable to certain new and
                                                    for Albuquerque-Bernalillo County;
                                                                                                            the disclosure of which is restricted by              modified stationary sources of air
                                                    Prevention of Significant Deterioration
                                                                                                            statute. Do not submit information                    pollutants for attainment and
                                                    (PSD) Permitting
                                                                                                            through www.regulations.gov or email,                 nonattainment areas that cover both
                                                    AGENCY:  Environmental Protection                       if you believe that it is CBI or otherwise            major and minor new sources and
                                                    Agency (EPA).                                           protected from disclosure. The                        modifications, collectively referred to as
                                                    ACTION: Proposed rule.                                  www.regulations.gov Web site is an                    the New Source Review (NSR) SIP. The
                                                                                                            ‘‘anonymous access’’ system, which                    Clean Air Act (CAA) NSR SIP program
                                                    SUMMARY:   The Environmental Protection                 means that the EPA will not know your                 is composed of three separate programs:
                                                    Agency (EPA) is proposing to approve                    identity or contact information unless                Prevention of Significant Deterioration
                                                    two revisions to the New Mexico State                   you provide it in the body of your                    (PSD), Nonattainment New Source
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                                                    Implementation Plan (SIP) to update the                 comment. If you send an email                         Review (NNSR), and Minor NSR. PSD is
                                                    Albuquerque-Bernalillo County                           comment directly to the EPA without                   established in part C of title I of the
                                                    Prevention of Significant Deterioration                 going through www.regulations.gov,                    CAA and applies in areas that meet the
                                                    (PSD) SIP permitting program consistent                 your email address will be                            National Ambient Air Quality Standards
                                                    with federal requirements. New Mexico                   automatically captured and included as                (NAAQS)—‘‘attainment areas’’—as well
                                                    submitted the Albuquerque-Bernalillo                    part of the comment that is placed in the             as areas where there is insufficient
                                                    County PSD SIP permitting revisions on                  public docket and made available on the               information to determine if the area
                                                    July 26, 2013, and March 4, 2015, which                 Internet. If you submit an electronic                 meets the NAAQS—‘‘unclassifiable


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                                                    28902                    Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Proposed Rules

                                                    areas.’’ The NNSR SIP program is                         program. This means that the EPA is                   revisions were approved by the EPA on
                                                    established in part D of title I of the                  proposing approval of the submitted                   September 19, 2012. See 77 FR 58032.
                                                    CAA and applies in areas that are not in                 revisions at the same time that the                   New Mexico’s July 26, 2013, SIP
                                                    attainment of the NAAQS—                                 public comment and rulemaking                         revision submittal incorporates the final
                                                    ‘‘nonattainment areas.’’ The Minor NSR                   process is taking place at the state and              remaining amendment to 20.11.61
                                                    SIP program addresses construction or                    local level. These proposed revisions to              NMAC to be consistent with the
                                                    modification activities that do not emit,                part 61 are being made in response to                 revisions to the federal rules at 40 CFR
                                                    or have the potential to emit, beyond                    comments the EPA provided on the July                 51.166(i)(5) contained in the EPA’s 2008
                                                    certain major source thresholds, and                     26, 2013, SIP submittal. Specifically, the            rulemaking. Specifically, the July 2013
                                                    thus do not qualify as ‘‘major’’ and                     March 2015 parallel processing request                SIP submittal amends 20.11.61 NMAC
                                                    applies regardless of the designation of                 contains proposed revisions to Section                to include an additional exemption that
                                                    the area in which a source is located.                   7—Definitions and Section 11—                         gives the department discretion to
                                                    The EPA regulations governing the                        Applicability. New Mexico’s parallel                  exempt a stationary source from air
                                                    criteria that states must satisfy for EPA                processing request was made in                        monitoring requirements for a particular
                                                    approval of the NSR programs as part of                  accordance with paragraph 2.3.1 of                    pollutant. The EPA finds that New
                                                    the SIP are contained in 40 CFR                          appendix V to 40 CFR part 51. As part                 Mexico’s July 26, 2013, SIP revision
                                                    51.160—51.166.                                           of this proposed rulemaking, the EPA is               submittal is consistent with the 2008
                                                                                                             addressing the proposed revisions to the              NSR PM2.5 Rule for PSD and meets the
                                                    A. New Mexico’s SIP Submittals
                                                                                                             New Mexico SIP contained in the March                 requirements of section 110 and part C
                                                      Since the EPA’s last SIP approval on                   4, 2015, parallel processing request. As              of the CAA.
                                                    September 19, 2012, of PSD SIP                           required by paragraph 2.3.2 of appendix
                                                    requirements for Albuquerque-                                                                                  ii. Summary of the EPA’s 2010 PM2.5
                                                                                                             V to 40 CFR part 51, the EPA will not                 PSD Increment—SILs—SMC Rule
                                                    Bernalillo County,1 the State of New                     take final action on the proposed
                                                    Mexico has submitted two revisions to                    revisions contained in the March 4,                      On October 20, 2010, the EPA
                                                    the Albuquerque-Bernalillo County PSD                    2015, submittal until the final SIP                   finalized the PM2.5 PSD Increment—
                                                    program: (1) A SIP revision submittal                    revision submittal containing these                   SILs—SMC Rule to provide additional
                                                    dated July 26, 2013, which affects                       revisions to the Albuquerque-Bernalillo               regulatory requirements under the PSD
                                                    sixteen sections under 20.11.61 NMAC;                    County PSD program as a final adoption                SIP program regarding the
                                                    and (2) a request for parallel processing                is received from New Mexico.                          implementation of the PM2.5 NAAQS for
                                                    of a SIP revision dated March 4, 2015,                                                                         NSR. See 75 FR 64864. As a result, the
                                                                                                             Therefore, the EPA is proposing to
                                                    which affects two sections under                                                                               PM2.5 PSD Increment—SILs—SMC Rule
                                                                                                             approve the SIP revision request after
                                                    20.11.61 NMAC.                                                                                                 required states to submit SIP revisions
                                                                                                             the completion of the state public
                                                                                                                                                                   to adopt the required PSD increments by
                                                    i. Summary of the January 26, 2013, SIP                  process and final submittal. More
                                                                                                                                                                   July 20, 2012. Specifically, the SIP rule
                                                    Submittal                                                information regarding the anticipated
                                                                                                                                                                   requires a state’s submitted PSD SIP
                                                                                                             timeline of the state’s rulemaking
                                                       The July 26, 2013, SIP submittal                                                                            revision to adopt and submit for the
                                                                                                             process is contained in the TSD
                                                    contains revisions to adopt and                                                                                EPA approval the PM2.5 increments
                                                                                                             accompanying this proposed action.
                                                    implement: (1) the EPA’s 2008 NSR                                                                              pursuant to section 166(a) of the CAA to
                                                    PM2.5 Rule, (2) the EPA’s 2010 PM2.5                     B. Relevant EPA Rulemakings                           prevent significant deterioration of air
                                                    PSD Increment—Significant Impact                                                                               quality in areas meeting the NAAQS.
                                                                                                             i. Summary of the EPA’s 2008 NSR
                                                    Levels (SILs)—Significant Monitoring                                                                           States could also discretionarily choose
                                                                                                             PM2.5 Rule
                                                    Concentration (SMC) Rule, (3) the EPA’s                                                                        to adopt and submit for EPA approval
                                                    2012 PM2.5 NSR Implementation Rule,                         On May 8, 2008, the EPA finalized the              SILs used as a screening tool (by a major
                                                    (4) the EPA’s 2011 Fugitives Interim                     NSR PM2.5 Rule to implement the PM2.5                 source subject to PSD) to evaluate the
                                                    Rule, (5) the EPA’s 2011 Biomass                         NAAQS. See 73 FR 28321. As a result                   impact a proposed major source or
                                                    Deferral Rule, and (6) the EPA’s 2012                    of the EPA’s final NSR PM2.5 Rule, states             modification may have on the NAAQS
                                                    GHG Tailoring Rule Step 3 and GHG                        were required to submit applicable SIP                or PSD increment and a SMC, (also a
                                                    PALs Rule. The July 2013 submittal                       revisions to the EPA no later than May                screening tool) used by a major source
                                                    from New Mexico also contains other                      16, 2011, to address this Rule’s PSD and              subject to PSD to determine the
                                                    non-substantive revisions to the                         NNSR SIP requirements. With respect to                subsequent level of data gathering
                                                    Albuquerque-Bernalillo County PSD                        PSD permitting, the SIP revision                      required for a PSD permit application
                                                    program that are not directly associated                 submittals are required to meet the                   for emissions of PM2.5. More detail on
                                                    with the incorporation of the EPA Rules.                 following PSD SIP requirements to                     the PM2.5 PSD Increment—SILs—SMC
                                                    As part of this proposed rulemaking, the                 implement the PM2.5 NAAQS: (1)                        Rule can be found in the EPA’s October
                                                    EPA is addressing these non-substantive                  Require PSD permits to address directly               20, 2010, final rule. See 75 FR 64864.
                                                    revisions and the substantive revisions                  emitted PM2.5 and precursor pollutants;
                                                                                                             (2) establish significant emission rates              (a) What are PSD increments?
                                                    to the New Mexico SIP that were
                                                    submitted to adopt and implement the                     for direct PM2.5 and precursor pollutants                Under section 165(a)(3) of the CAA, a
                                                    six aforementioned rulemakings by the                    (including SO2 and NOX); and (3)                      PSD permit applicant must demonstrate
                                                    EPA.                                                     account for gases that condense to form               that emissions from the proposed
                                                                                                             particles (condensables) in PM2.5 and                 construction and operation of a facility
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                                                    ii. Summary of the March 4, 2015, SIP                    PM10 emission limits in PSD permits.                  ‘‘will not cause, or contribute to, air
                                                    Submittal                                                   Prior to the adoption of the revisions             pollution in excess of any maximum
                                                       On March 4, 2015, New Mexico                          included in the July 26, 2013, SIP                    allowable increase or allowable
                                                    submitted a request for the parallel                     submittal, the Albuquerque-Bernalillo                 concentration for any pollutant.’’ In
                                                    processing of additional SIP revisions to                County Air Board adopted revisions to                 other words, when a source applies for
                                                    the Albuquerque-Bernalillo County PSD                    20.11.61 NMAC to incorporate all but                  a PSD SIP permit to emit a regulated
                                                                                                             one of the amendments consistent with                 pollutant in an attainment or
                                                      1 See   77 FR 58032.                                   the EPA’s 2008 NSR PM2.5 Rule. These                  unclassifiable area, the permitting


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                                                                            Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Proposed Rules                                           28903

                                                    authority implementing the PSD SIP                       64864. As described in the PM2.5 PSD                 program. The SILs and SMC are
                                                    must determine if emissions of the                       Increment—SILs—SMC Rule, pursuant                    numerical values that represent
                                                    regulated pollutant from the source will                 to the authority under section 166(a) of             thresholds of insignificant, i.e., de
                                                    cause significant deterioration in air                   the CAA the EPA promulgated                          minimis, modeled source impacts or
                                                    quality. Significant deterioration occurs                numerical increments for PM2.5 as a new              monitored (ambient) concentrations,
                                                    when the amount of the new pollution                     pollutant 4 for which the NAAQS were                 respectively. The de minimis principle
                                                    exceeds the applicable PSD increment,                    established after August 7, 1977,5 and               is grounded in a decision described by
                                                    which is the ‘‘maximum allowable                         derived 24-hour and annual PM2.5                     the court case Alabama Power Co. v.
                                                    increase’’ of an air pollutant allowed to                increments for the three area                        Costle, 636 F.2d 323, 360 (D.C. Cir.
                                                    occur above the applicable baseline                      classifications (Class I, II and III) using          1980). In this case reviewing the EPA’s
                                                    concentration 2 for that pollutant. PSD                  the ‘‘contingent safe harbor’’ approach.             1978 PSD regulations, the court
                                                    increments prevent air quality in                        See 75 FR 64864 at 64869 and table at                recognized that ‘‘there is likely a basis
                                                    attainment and unclassifiable areas from                 40 CFR 51.166(c)(1).                                 for an implication of de minimis
                                                    deteriorating to the level set by the                      In addition to PSD increments for the              authority to provide exemption when
                                                    NAAQS. Therefore, an increment is the                    PM2.5 NAAQS, the PM2.5 PSD                           the burdens of regulation yield a gain of
                                                    mechanism used to estimate ‘‘significant                 Increment—SILs—SMC Rule amended                      trivial or no value.’’ 636 F.2d at 360.
                                                    deterioration’’ of air quality for a                     the definition at 40 CFR 51.166 and                  The EPA established such values for
                                                    pollutant in an area.                                    52.21 for ‘‘major source baseline date’’             PM2.5 in the PM2.5 PSD Increment—
                                                       For PSD baseline purposes, a baseline                 and ‘‘minor source baseline date’’ to                SILs—SMC rule to be used as screening
                                                    area for a particular pollutant emitted                  establish the PM2.5 NAAQS specific                   tools by a major source subject to PSD
                                                    from a source includes the attainment or                 dates (including trigger dates) associated           to determine the subsequent level of
                                                    unclassifiable/attainment area in which                  with the implementation of PM2.5 PSD                 analysis and data gathering required for
                                                    the source is located as well as any                     increments. See 75 FR 64864. In                      a PSD permit application for emissions
                                                    other attainment or unclassifiable/                      accordance with section 166(b) of the                of PM2.5. See 75 FR 64864. As part of the
                                                    attainment area in which the source’s                    CAA, the EPA required the states to                  response to comments in the PM2.5 PSD
                                                    emissions of that pollutant are projected                submit revised implementation plans                  Increment—SILs—SMC Rule final
                                                    (by air quality modeling) to result in an                adopting the PM2.5 PSD increments to                 rulemaking, the EPA explained that the
                                                    ambient pollutant increase of at least 1                 the EPA for approval within 21 months                agency considers that the SILs and SMC
                                                    mg/m3 (annual average). See 40 CFR                       from promulgation of the final rule (by              used as de minimis thresholds for the
                                                    51.166(b)(15)(i) and (ii). Under the                     July 20, 2012). Each state was                       various pollutants are useful tools that
                                                    EPA’s existing regulations, the                          responsible for determining how                      enable permitting authorities and PSD
                                                    establishment of a baseline area for any                 increment consumption and the setting                applicants to screen out ‘‘insignificant’’
                                                    PSD increment results from the                           of the minor source baseline date for                activities; however, the fact remains that
                                                    submission of the first complete PSD                     PM2.5 would occur under its own PSD                  these values are not required by the Act
                                                    permit application and is based on the                   program. Regardless of when a state                  as part of an approvable SIP program.
                                                    location of the proposed source and its                  begins to require PM2.5 increment
                                                    emissions impact on the area. Once the                   analysis and how it chooses to set the               (c) SILs-SMC Litigation
                                                    baseline area is established, subsequent                 PM2.5 minor source baseline date, the
                                                    PSD sources locating in that area need                                                                           The PM2.5 SILs and SMC were subject
                                                                                                             emissions from sources subject to PSD                to litigation before the U.S. Court of
                                                    to consider that a portion of the                        for PM2.5 for which construction
                                                    available increment may have already                                                                          Appeals. (Sierra Club v. EPA, Case No.
                                                                                                             commenced after October 20, 2010,                    10–1413, D.C. Circuit). In response to
                                                    been consumed by previous emissions                      (major source baseline date) consume
                                                    increases. In general, the submittal date                                                                     the litigation, the EPA filed a brief on
                                                                                                             the PM2.5 increment and therefore                    April 6, 2012, which contained a
                                                    of the first complete PSD permit                         should be included in the increment
                                                    application in a particular area is the                                                                       request that the Court vacate and
                                                                                                             analyses occurring after the minor                   remand to the EPA portions of two PSD
                                                    operative ‘‘baseline date.’’ 3 On or before              source baseline date is established for
                                                    the date of the first complete PSD                                                                            PM2.5 rules (40 CFR 51.166 and 40 CFR
                                                                                                             an area under the state’s revised PSD                52.21) addressing the PM2.5 SILs so that
                                                    application, emissions generally are
                                                                                                             SIP program.                                         the EPA could voluntarily correct errors
                                                    considered to be part of the baseline
                                                    concentration, except for certain                        (b) What are PSD SILs and SMC?                       in those provisions. On January 22,
                                                    emissions from major stationary                                                                               2013, the Court granted the EPA’s
                                                                                                               The EPA’s PM2.5 PSD Increment—                     request for vacature and remand of the
                                                    sources. Most emissions increases that                   SILs—SMC Rule also established SILs
                                                    occur after the baseline date will be                                                                         PM2.5 SILs provisions and also vacated
                                                                                                             and SMC for the PM2.5 NAAQS to
                                                    counted toward the amount of                                                                                  parts of 40 CFR 51.166 and 40 CFR
                                                                                                             address air quality modeling and                     52.21 that established the PM2.5 SMC,
                                                    increment consumed. Similarly,                           monitoring provisions for fine particle
                                                    emissions decreases after the baseline                                                                        finding that the EPA was precluded
                                                                                                             pollution in areas protected by the PSD
                                                    date restore or expand the amount of                                                                          from using the PM2.5 SMC to exempt
                                                    increment that is available. See 75 FR                     4 The EPA generally characterized the PM
                                                                                                                                                                  permit applicants from the statutory
                                                                                                                                                          2.5
                                                                                                             NAAQS as a NAAQS for a new indicator of PM.          requirement to compile preconstruction
                                                      2 Section 169(4) of the CAA provides that the          The EPA did not replace the PM10 NAAQS with the      monitoring data. As a result of the
                                                    baseline concentration of a pollutant for a particular   NAAQS for PM2.5 when the PM2.5 NAAQS were            Court’s decision, States should avoid
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                                                    baseline area is generally the same air quality at the   promulgated in 1997. The EPA rather retained the     including language in SIP revision
                                                    time of the first application for a PSD permit in the    annual and 24-hour NAAQS for PM10 as if PM2.5
                                                    area.                                                    was a new pollutant even though the EPA had          submittals that are the same as or have
                                                      3 Baseline dates are pollutant specific. That is, a    already developed air quality criteria for PM        similar effects as the vacated PM2.5 SILs
                                                    complete PSD application establishes the baseline        generally. See 75 FR 64864 (October 20, 2010).       and SMC language in 40 CFR 51.166
                                                    date only for those regulated NSR pollutants that          5 The EPA interprets 166(a) to authorize the EPA
                                                                                                                                                                  and 52.21. As stated previously, neither
                                                    are projected to be emitted in significant amounts       to promulgate pollutant-specific PSD regulations
                                                    (as defined in the regulations) by the applicant’s       meeting the requirements of section 166(c) and
                                                                                                                                                                  the PM2.5 SILs nor the PM2.5 SMC are
                                                    new source or modification. Thus, an area may have       166(d) for any pollutant for which the EPA           required elements of the PSD SIP for
                                                    different baseline dates for different pollutants.       promulgates a NAAQS after 1977.                      PM2.5.


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                                                    28904                  Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Proposed Rules

                                                       New Mexico’s July 26, 2013, SIP                      iv. Summary of the EPA’s 2011                         vi. Summary of the the EPA’s 2012
                                                    revision submittal includes revisions to                Fugitives Interim Rule                                Tailoring Rule and GHG PALs Rule
                                                    20.11.61 NMAC that incorporate the                                                                               On June 3, 2010, the EPA issued a
                                                    amendments to the PSD regulations                         On March 8, 2011, the EPA issued an
                                                                                                                                                                  final rule, known as the Tailoring Rule,
                                                    consistent with the changes in the 2010                 interim rule to stay a December 2008
                                                                                                                                                                  which phased in permitting
                                                    PM2.5 PSD Increment—SILs—SMC Rule.                      rule known as the Fugitives Emissions
                                                                                                                                                                  requirements for GHG emissions from
                                                    Consistent with the January 2013                        Rule. The 2008 Rule established new                   stationary sources under the CAA PSD
                                                    vacature and remand by the U.S. Court                   provisions for how fugitive emissions                 and title V permitting programs (75 FR
                                                    of Appeals for the D.C. Circuit (the D.C.               should be treated for NSR permitting.                 31514). For Step 1 of the Tailoring Rule,
                                                    Circuit), the SIP revision submittal also               The EPA’s 2011 interim rule replaced                  which began on January 2, 2011, PSD or
                                                    correctly excludes those amendments                     the stay issued by the EPA on March 31,               title V requirements applied to sources
                                                    from the EPA’s 2010 Rule that                           2010, which inadvertently covered                     of GHG emissions only if the sources
                                                                                                            portions of the NSR permitting                        were subject to PSD or title V ‘‘anyway’’
                                                    established the PM2.5 SILs and SMC.
                                                                                                            requirements that should not have been                due to their emissions of non-GHG
                                                    Therefore, the EPA finds that these
                                                                                                            stayed. The 2011 rulemaking stayed the                pollutants. These sources are referred to
                                                    revisions in the July 2013 submittal are
                                                                                                            2008 Fugitive Emissions Rule as                       as ‘‘anyway sources.’’ Step 2 of the
                                                    consistent with the 2010 rulemaking
                                                                                                            originally intended and reverted the                  Tailoring Rule, which began on July 1,
                                                    and subsequent Court decision and meet
                                                                                                            regulatory text back to the language that             2011, applied the PSD and title V
                                                    the requirements of section 110 and part
                                                                                                            existed prior to those amendments,                    permitting requirements under the CAA
                                                    C of the CAA.                                                                                                 to sources that were classified as major,
                                                                                                            which the EPA is reconsidering in
                                                    iii. Summary of the EPA’s 2012 PM2.5                    response to a 2009 Natural Resources                  and, thus, required to obtain a permit,
                                                    NSR Implementation Rule                                 Defense Council petition for                          based solely on their potential GHG
                                                                                                            reconsideration of the 2008 Fugitive                  emissions and to modifications of
                                                       On October 12, 2012, the EPA                         Emissions Rule.                                       otherwise major sources that required a
                                                    finalized amendments to its rules for the                                                                     PSD permit because they increased only
                                                                                                              New Mexico’s July 26, 2013, SIP                     GHG above applicable levels in the EPA
                                                    CAA NSR permitting program regarding
                                                                                                            revision submittal includes revisions to              regulations.
                                                    the definition of ‘‘regulated NSR
                                                                                                            20.11.61 NMAC that incorporate the                       On July 12, 2012, the EPA
                                                    pollutant.’’ This rulemaking clarified
                                                                                                            amendments to the PSD regulations                     promulgated the final ‘‘Prevention of
                                                    when condensable particulate matter
                                                                                                            consistent with the changes in the 2011               Significant Deterioration and Title V
                                                    should be measured. The final rule
                                                                                                            Fugitives Interim Rule. The EPA finds                 Greenhouse Gas Tailoring Rule Step 3
                                                    continued to require that condensable
                                                                                                            that these revisions in the July 2013                 and GHG Plantwide Applicability
                                                    particulate matter be included as part of
                                                                                                            submittal are consistent with the 2011                Limits’’ (GHG Tailoring Rule Step 3 and
                                                    the emissions measurements for
                                                                                                            rulemaking and meet the requirements                  GHG PALs).6 77 FR 41051. In the
                                                    regulation of PM2.5/PM10. As a result of
                                                                                                            of section 110 and part C of the CAA.                 Tailoring Rule Step 3 portion of this
                                                    the EPA’s final 2012 NSR PM2.5 Rule,                                                                          rule, the EPA decided against further
                                                    the inadvertent requirement that                        v. Summary of the the EPA’s 2011                      phase in of the PSD and title V
                                                    measurements of condensable                             Biomass Deferral Rule                                 requirements to apply to sources
                                                    particulate matter emissions be                                                                               emitting lower levels of greenhouse gas
                                                    included as part of the measurement                        On July 20, 2011, the EPA
                                                                                                            promulgated the Biomass Deferral Rule,                emissions. Thus, the thresholds for
                                                    and regulation of ‘‘particulate matter                                                                        determining PSD applicability based on
                                                    emissions’’ was removed.                                which deferred, for a period of three
                                                                                                                                                                  emission of greenhouse gases remained
                                                                                                            years, the application of the PSD and
                                                       New Mexico’s July 26, 2013, SIP                                                                            the same as established in Step 2 of the
                                                                                                            title V permitting requirements to CO2                Tailoring Rule. The Step 3 portions of
                                                    revision submittal includes a revision to               emissions from bioenergy and other
                                                    the definition of ‘‘regulated NSR                                                                             the EPA’s July 12, 2012, final rule are
                                                                                                            biogenic stationary sources. See 76 FR                not relevant to today’s proposed action
                                                    pollutant.’’ Specifically, the SIP revision             43490. On July 12, 2013, the U.S. Court
                                                    revises this definition found at                                                                              on the New Mexico SIP revision.
                                                                                                            of Appeals for the D.C. Circuit issued its               The GHG PALs portion of the July 12,
                                                    20.11.61.7(WW) NMAC to include the                      decision to vacate the Biomass Deferral               2012, final rule promulgated revisions
                                                    clarifying language related to the                      Rule. See Center for Biological Diversity             to the EPA regulations under 40 CFR
                                                    condensable particulate matter portion                  v. EPA (D.C. Cir. No. 11–1101).                       part 52 for establishing PALs for GHG
                                                    accounted for in PM2.5 and PM10                                                                               emissions. For a full discussion of the
                                                                                                               New Mexico’s July 26, 2013, SIP
                                                    emissions. The EPA notes that as part of                                                                      EPA’s rationale for the GHG PALs
                                                                                                            revision submittal includes revisions to
                                                    the July 2013 SIP revision submittal,                                                                         provisions, see the notice of final
                                                                                                            20.11.61 NMAC that incorporate the
                                                    New Mexico did not remove the                           2011 Biomass Deferral Rule into the                   rulemaking at 77 FR 41051. A PAL
                                                    requirement for condensable particulate                 Albuquerque-Bernalillo County PSD
                                                    matter emissions to be included in                      program. However, as discussed in this
                                                                                                                                                                    6 For a complete history of the EPA’s rulemakings

                                                    particulate matter emissions. Therefore,                                                                      related to GHG emissions please review the
                                                                                                            proposed rulemaking, New Mexico’s                     following final actions:
                                                    the definition of ‘‘regulated NSR                       March 4, 2015, SIP Submittal contains                   ‘‘Endangerment and Cause or Contribute Findings
                                                    pollutant’’ at 20.11.61.7(WW) NMAC is                   revisions to update the PSD program to                for Greenhouse Gases Under Section 202(a) of the
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                                                    more stringent than the federal                         remove the biomass deferral, which was                Clean Air Act.’’ 74 FR 66496 (December 15, 2009).
                                                    definition. See 40 CFR 51.166(b)(49).                                                                           ‘‘Interpretation of Regulations that Determine
                                                                                                            vacated in 2013. The EPA finds that the               Pollutants Covered by Clean Air Act Permitting
                                                    The EPA finds that the revisions to the                 combined revisions from the July 2013                 Programs.’’ 75 FR 17004 (April 2, 2010).
                                                    definition of ‘‘regulated NSR pollutant’’               and March 2015 submittals are                           ‘‘Light-Duty Vehicle Greenhouse Gas Emission
                                                    in the July 26, 2013, submittal meet the                consistent with current PSD regulations               Standards and Corporate Average Fuel Economy
                                                    federal requirements in that the                                                                              Standards; Final Rule.’’ 75 FR 25324 (May 7, 2010).
                                                                                                            with respect to the vacated Biogas                      ‘‘Prevention of Significant Deterioration and Title
                                                    definition is more stringent than the                   Referral Rule and meet the requirements               V Greenhouse Gas Tailoring Rule; Final Rule.’’ 75
                                                    federal definition.                                     of section 110 and part C of the CAA.                 FR 31514 (June 3, 2010).



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                                                                              Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Proposed Rules                                           28905

                                                    establishes a site-specific plantwide                     sources’’ and invalidated PSD                         contain provisions that are no longer
                                                    emission level for a pollutant that                       permitting requirements for Step 2                    necessary in light of the D.C. Circuit’s
                                                    allows the source to make changes at the                  sources.                                              judgment or the Supreme Court
                                                    facility without triggering the                              In accordance with the Supreme                     decision, this does not prevent the EPA
                                                    requirements of the PSD program,                          Court decision, on April 10, 2015, the                from approving the submission
                                                    provided that emissions do not exceed                     D.C. Circuit issued an amended                        addressed in this rule. New Mexico’s
                                                    the PAL level. Under the EPA’s                            judgment vacating the regulations that                July 26, 2013, and March 4, 2015, SIP
                                                    interpretation of the federal PAL                         implemented Step 2 of the Tailoring                   submissions do not add any greenhouse
                                                    provisions, such PALs are already                         Rule, but not the regulations that                    gas permitting requirements that are
                                                    available under PSD for non-GHG                           implement Step 1 of the Tailoring Rule.               inconsistent either decision.
                                                    pollutants and for GHGs on a mass                         A copy of the judgment is included in                    Likewise, this revision does add to the
                                                    basis, and the EPA revised the PAL                        the docket to this rulemaking.8 The                   New Mexico SIP for the Albuquerque-
                                                    regulations to allow for GHG PALs to be                   amended judgment preserves, without                   Bernalillo County PSD program
                                                    established on a carbon dioxide                           the need for additional rulemaking by                 elements of the EPA’s July 12, 2012, rule
                                                    equivalent (CO2e) basis as well. See 77                   the EPA, the application of the Best                  implementing Step 3 of the phase in of
                                                    FR 41052. The EPA finalized these                         Available Control Technology (BACT)                   PSD permitting requirements for
                                                    revisions in an effort to streamline                      requirement to GHG emissions from                     greenhouse gases described in the
                                                    federal and SIP PSD permitting                            sources that are required to obtain a PSD             Tailoring Rule, which became effective
                                                    programs by allowing sources and                          permit based on emissions of pollutants               on August 13, 2012. Specifically, the
                                                    permitting authorities to address GHGs                    other than GHGs (‘‘anyway’’ sources).                 incorporation of the Step 3 rule
                                                    using a PAL in a manner similar to the                    The D.C. Circuit’s judgment vacated the               provisions will allow GHG-emitting
                                                    use of PALs for non-GHG pollutants.                       regulations at issue in the litigation,               sources to obtain PALs for their GHG
                                                    See 77 FR 41051, 41052.                                   including 40 CFR 51.166(b)(48)(v), ‘‘to               emissions on a CO2e basis. The GHG
                                                                                                              the extent they require a stationary                  PAL provisions, as currently written,
                                                    II. The EPA’s Evaluation                                                                                        include some provisions that may no
                                                                                                              source to obtain a PSD permit if
                                                       New Mexico’s July 26, 2013, and                        greenhouse gases are the only pollutant               longer be appropriate in light of both the
                                                    March 4, 2015, SIP revision submittals                    (i) that the source emits or has the                  D.C. Circuit’s judgment and the
                                                    include amendments to the                                 potential to emit above the applicable                Supreme Court decision. Since the
                                                    Albuquerque-Bernalillo County PSD                         major source thresholds, or (ii) for                  Supreme Court has determined that
                                                    program found in 20.11.61 NMAC to                         which there is a significant emissions                sources and modifications may not be
                                                    incorporate changes to federal PSD                        increase from a modification.’’                       defined as ‘‘major’’ solely on the basis
                                                    provisions resulting from the following                      The EPA may need to take additional                of the level of greenhouse gases emitted
                                                    EPA rulemakings: 2008 NSR PM2.5 Rule,                     steps to revise federal PSD rules in light            or increased, PALs for greenhouse gases
                                                    2010 PM2.5 PSD Increment—SILs—SMC                         of the Supreme Court decision and                     may no longer have value in some
                                                    Rule, 2012 PM2.5 PSD Implementation                       recent D.C. Circuit judgment. In                      situations where a source might have
                                                    Rule, 2011 Fugitives Interim Rule, 2011                   addition, the EPA anticipates that many               triggered PSD based on greenhouse gas
                                                    Biomass Deferral Rule, and 2012 GHG                       states will revise their existing SIP-                emissions alone. However, PALs for
                                                    Tailoring Rule Step 3 and GHG PALs                        approved PSD programs. The EPA is not                 GHGs may still have a role to play in
                                                    Rule. The July 26, 2013, SIP revisions                    expecting states to have revised their                determining whether a modification that
                                                    also contains additional non-substantive                                                                        triggers PSD for a pollutant other than
                                                                                                              existing PSD program regulations at this
                                                    revisions to 20.11.61 NMAC including                                                                            greenhouse gases should also be subject
                                                                                                              juncture. However, the EPA is
                                                    formatting revisions, inclusion of                                                                              to BACT for greenhouse gases. These
                                                                                                              evaluating PSD program submissions to
                                                    acronyms, and rewording of provisions                                                                           provisions, like the other GHG
                                                                                                              assure that the state’s program correctly
                                                    to make this Part consistent with other                                                                         provisions discussed previously, may be
                                                                                                              addresses GHGs consistent with both
                                                    provisions of the NMAC.                                                                                         revised at some future time. However,
                                                       On June 23, 2014, the United States                    decisions.
                                                                                                                 New Mexico’s existing approved SIP                 these provisions do not add new
                                                    Supreme Court, in Utility Air Regulatory                                                                        requirements for sources or
                                                    Group v. Environmental Protection                         for the Albuquerque-Bernalillo County
                                                                                                              PSD program contains the greenhouse                   modifications that only emit or increase
                                                    Agency,7 issued a decision addressing                                                                           greenhouse gases above the major
                                                    the application of PSD permitting                         gas permitting requirements required
                                                                                                              under 40 CFR 51.166, as amended in the                source threshold or the 75,000 tpy
                                                    requirements to GHG emissions. The                                                                              greenhouse gas level in section
                                                    Supreme Court said that the EPA may                       Tailoring Rule. As a result, the
                                                                                                              Albuquerque-Bernalillo County’s SIP-                  52.21(b)(49)(iv). Rather, the PALs
                                                    not treat GHGs as an air pollutant for                                                                          provisions provide increased flexibility
                                                    purposes of determining whether a                         approved PSD permitting program
                                                                                                              continues to require that PSD permits                 to sources that wish to address their
                                                    source is a major source (or                                                                                    GHG emissions in a PAL. Since this
                                                    modification thereof) required to obtain                  (otherwise required based on emissions
                                                                                                                                                                    flexibility may still be valuable to
                                                    a PSD permit. The Court also said that                    of pollutants other than GHGs) contain
                                                                                                                                                                    sources in at least one context described
                                                    the EPA could continue to require that                    limitations on GHG emissions based on
                                                                                                                                                                    above, we believe that it is appropriate
                                                    PSD permits, otherwise required based                     the application of BACT when sources
                                                                                                                                                                    to approve these provisions into the
                                                    on emissions of pollutants other than                     emit or increase greenhouse gases in the
                                                                                                                                                                    New Mexico SIP at this juncture.
                                                    GHGs, contain limitations on GHG                          amount of 75,000 tons per year (tpy),                    As discussed in this rulemaking and
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                                                    emissions based on the application of                     measured as carbon dioxide equivalent.                the accompanying TSD, the EPA finds
                                                    Best Available Control Technology                         Although the SIP-approved                             that the revisions to the Albuquerque-
                                                    (BACT). The Supreme Court decision                        Albuquerque-Bernalillo County PSD                     Bernalillo County PSD program
                                                    effectively upheld PSD permitting                         permitting program may also currently                 contained in the July 26, 2013, and
                                                    requirements for GHG emissions under                        8 Original case is Coalition for Responsible
                                                                                                                                                                    March 4, 2015, SIP revision submittals
                                                    Step 1 of the Tailoring Rule for ‘‘anyway                 Regulation v. EPA, D.C. Cir., No. 09–1322, 06/26/
                                                                                                                                                                    are consistent with the aforementioned
                                                                                                              20, judgment entered for No. 09–1322 on 04/10/        the EPA rulemakings and meet the
                                                      7 134   S.Ct. 2427 (2014).                              2015.                                                 associated federal requirements. The


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                                                    28906                  Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Proposed Rules

                                                    EPA therefore proposes to find the                      in section III. of this preamble. The EPA                In addition, this rule is not proposed
                                                    proposed SIP revisions to be fully                      has made, and will continue to make,                  to apply on any Indian reservation land
                                                    approvable.                                             these documents generally available                   or in any other area where the EPA or
                                                                                                            electronically through                                an Indian tribe has demonstrated that
                                                    III. Proposed Action
                                                                                                            www.regulations.gov and/or in hard                    tribe has jurisdiction. In those areas of
                                                       The EPA is proposing to approve                      copy at the appropriate EPA office (see               Indian country, the proposed rule does
                                                    revisions to the Albuquerque-Bernalillo                 the ADDRESSES section of this preamble                not have tribal implications and will not
                                                    County PSD program that were                            for more information).                                impose substantial direct costs on tribal
                                                    submitted by New Mexico as a SIP                                                                              governments or preempt tribal law as
                                                    revision on July 26, 2013, and March 4,                 V. Statutory and Executive Order
                                                                                                                                                                  specified by Executive Order 13175 (65
                                                    2015. We are proposing approval of the                  Reviews
                                                                                                                                                                  FR 67249, November 9, 2000).
                                                    portions of the July 26, 2013, and March                   Under the CAA, the Administrator is
                                                    4, 2015, submittals that revised the                    required to approve a SIP submission                  List of Subjects in 40 CFR Part 52
                                                    following sections under 20.11.61:                      that complies with the provisions of the                Environmental protection, Air
                                                       • 20.11.61.2 NMAC—Scope,                             Act and applicable Federal regulations.               pollution control, Carbon monoxide,
                                                       • 20.11.61.5 NMAC—Effective Date,                    42 U.S.C. 7410(k); 40 CFR 52.02(a).                   Incorporation by reference,
                                                       • 20.11.61.6 NMAC—Objective,                         Thus, in reviewing SIP submissions, the               Intergovernmental relations, Lead,
                                                       • 20.11.61.7 NMAC—Definitions,                       EPA’s role is to approve state choices,               Nitrogen dioxide, Ozone, Particulate
                                                       • 20.11.61.10 NMAC—Documents,                        provided that they meet the criteria of               matter, Reporting and recordkeeping
                                                       • 20.11.61.11 NMAC—Applicability,                    the CAA. Accordingly, this action                     requirements, Sulfur oxides, Volatile
                                                       • 20.11.61.12 NMAC—Obligations of                    merely proposes to approve state law as               organic compounds.
                                                    Owners or Operators of Sources,                         meeting Federal requirements and does                   Authority: 42 U.S.C. 7401 et seq.
                                                       • 20.11.61.14 NMAC—Control                           not impose additional requirements
                                                    Technology Review and Innovative                        beyond those imposed by state law. For                  Dated: April 24, 2015.
                                                    Control Technology,                                     that reason, this action:                             Ron Curry,
                                                       • 20.11.61.15 NMAC—Ambient                              • Is not a ‘‘significant regulatory                Regional Administrator, Region 6.
                                                    Impact Requirements,                                    action’’ subject to review by the Office              [FR Doc. 2015–11780 Filed 5–19–15; 8:45 am]
                                                       • 20.11.61.18 NMAC—Air Quality                       of Management and Budget under                        BILLING CODE 6560–50–P
                                                    Analysis and Monitoring Requirements,                   Executive Orders 12866 (58 FR 51735,
                                                       • 20.11.61.20 NMAC—Actuals                           October 4, 1993) and 13563 (76 FR 3821,
                                                    Plantwide Applicability Limits (PALs),                  January 21, 2011);                                    ENVIRONMENTAL PROTECTION
                                                       • 20.11.61.23 NMAC—Exclusions                           • Does not impose an information                   AGENCY
                                                    from Increment Consumption,                             collection burden under the provisions
                                                       • 20.11.61.24 NMAC—Sources                           of the Paperwork Reduction Act (44                    40 CFR Parts 52 and 81
                                                    Impacting Federal Class I Areas-                        U.S.C. 3501 et seq.);                                 [EPA–R03–OAR–2015–0029; FRL–9928–00–
                                                    Additional Requirements,                                   • Is certified as not having a                     Region 3]
                                                       • 20.11.61.27 NMAC—Table 2-                          significant economic impact on a
                                                    Significant Emission Rates,                             substantial number of small entities                  Approval and Promulgation of Air
                                                       • 20.11.61.29 NMAC—Table 4-                          under the Regulatory Flexibility Act (5               Quality Implementation Plans;
                                                    Allowable PSD Increments, and                           U.S.C. 601 et seq.);                                  Pennsylvania; Redesignation Request
                                                       • 20.11.61.30 NMAC—Table 5-                             • Does not contain any unfunded                    and Associated Maintenance Plan for
                                                    Maximum Allowable Increases for Class                   mandate or significantly or uniquely                  the Pittsburgh-Beaver Valley
                                                    I Variances.                                            affect small governments, as described                Nonattainment Area for the 1997
                                                       The EPA has determined that these                    in the Unfunded Mandates Reform Act                   Annual and 2006 24-Hour Fine
                                                    revisions to the New Mexico SIP’s                       of 1995 (Pub. L. 104–4);                              Particulate Matter Standard
                                                    Albuquerque-Bernalillo County PSD                          • Does not have Federalism
                                                    program are approvable because the                      implications as specified in Executive                AGENCY:  Environmental Protection
                                                    submitted rules are adopted and                         Order 13132 (64 FR 43255, August 10,                  Agency (EPA).
                                                    submitted in accordance with the CAA                    1999);                                                ACTION: Proposed rule.
                                                    and are consistent with the EPA                            • Is not an economically significant
                                                    regulations regarding PSD permitting.                   regulatory action based on health or                  SUMMARY:   The Environmental Protection
                                                    The EPA is proposing this action under                  safety risks subject to Executive Order               Agency (EPA) is proposing to approve
                                                    section 110 and part C of the Act.                      13045 (62 FR 19885, April 23, 1997);                  the Commonwealth of Pennsylvania’s
                                                       The EPA is severing from our                            • Is not a significant regulatory action           December 22, 2014 request to
                                                    proposed approval action the revisions                  subject to Executive Order 13211 (66 FR               redesignate to attainment the Pittsburgh-
                                                    to 20.11.60 NMAC submitted on July 26,                  28355, May 22, 2001);                                 Beaver Valley nonattainment area
                                                    2013, which are revisions to the                           • Is not subject to requirements of                (Pittsburgh Area or Area) for the 1997
                                                    Albuquerque-Bernalillo County NNSR                      section 12(d) of the National                         annual and 2006 24-hour fine
                                                    Program and will be addressed in a                      Technology Transfer and Advancement                   particulate matter (PM2.5) National
                                                    separate action.                                        Act of 1995 (15 U.S.C. 272 note) because              Ambient Air Quality Standards
                                                                                                            application of those requirements would               (NAAQS or standards). EPA is also
mstockstill on DSK4VPTVN1PROD with PROPOSALS




                                                    IV. Incorporation by Reference                          be inconsistent with the CAA; and                     proposing to determine that the Area
                                                      In this rule, the EPA is proposing to                    • Does not provide the EPA with the                continues to attain the 1997 annual and
                                                    include in a final EPA rule regulatory                  discretionary authority to address, as                2006 24-hour PM2.5 NAAQS. In
                                                    text that includes incorporation by                     appropriate, disproportionate human                   addition, EPA is proposing to approve
                                                    reference. In accordance with                           health or environmental effects, using                as a revision to the Pennsylvania State
                                                    requirements of 1 CFR 51.5, the EPA is                  practicable and legally permissible                   Implementation Plan (SIP) the
                                                    proposing to incorporate by reference                   methods, under Executive Order 12898                  associated maintenance plan that was
                                                    the New Mexico regulations discussed                    (59 FR 7629, February 16, 1994).                      submitted with the redesignation


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Document Created: 2018-02-21 10:29:59
Document Modified: 2018-02-21 10:29:59
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesWritten comments should be received on or before June 19, 2015.
ContactMs. Ashley Mohr, (214) 665-7289, [email protected] To inspect the hard copy materials, please schedule an appointment with Ms. Ashley Mohr or Mr. Bill Deese at (214) 665-7253.
FR Citation80 FR 28901 
CFR AssociatedEnvironmental Protection; Air Pollution Control; Carbon Monoxide; Incorporation by Reference; Intergovernmental Relations; Lead; Nitrogen Dioxide; Ozone; Particulate Matter; Reporting and Recordkeeping Requirements; Sulfur Oxides and Volatile Organic Compounds

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