80 FR 44292 - Approval and Promulgation of Implementation Plans for the State of Alabama: Cross-State Air Pollution Rule

ENVIRONMENTAL PROTECTION AGENCY

Federal Register Volume 80, Issue 143 (July 27, 2015)

The Environmental Protection Agency (EPA) is taking direct final action to approve the State of Alabama's March 27, 2015, State Implementation Plan (SIP) revision, submitted by the Alabama Department of Environmental Management (ADEM). This SIP revision provides Alabama's state-determined allowance allocations for existing electric generating units (EGUs) in the State for the 2016 control periods and replaces the allowance allocations for the 2016 control periods established by EPA under the Cross-State Air Pollution Rule (CSAPR). The CSAPR addresses the ``good neighbor'' provision of the Clean Air Act (CAA or Act) that requires states to reduce the transport of pollution that significantly affects downwind nonattainment and maintenance areas. In this direct final action, EPA is approving Alabama's SIP revision, incorporating the state-determined allocations for the 2016 control periods into the SIP, and amending the regulatory text of the CSAPR Federal Implementation Plan (FIP) to reflect this approval and inclusion of the state-determined allocations. The CSAPR FIPs for Alabama remain in place until such time as the State decides to replace the FIPs with a SIP revision to allocate trading program allowances for control periods 2017 and beyond. EPA is taking direct final action to approve Alabama's SIP revision because it meets the requirements of the CAA and the CSAPR requirements to replace EPA's allowance allocations for the 2016 control periods. This action is being taken pursuant to the CAA and its implementing regulations.

[Federal Register Volume 80, Number 143 (Monday, July 27, 2015)]
[Rules and Regulations]
[Pages 44292-44297]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-18217]



[[Page 44292]]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R04-OAR-2015-0313; FRL-9931-24-Region 4]


Approval and Promulgation of Implementation Plans for the State 
of Alabama: Cross-State Air Pollution Rule

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is taking direct 
final action to approve the State of Alabama's March 27, 2015, State 
Implementation Plan (SIP) revision, submitted by the Alabama Department 
of Environmental Management (ADEM). This SIP revision provides 
Alabama's state-determined allowance allocations for existing electric 
generating units (EGUs) in the State for the 2016 control periods and 
replaces the allowance allocations for the 2016 control periods 
established by EPA under the Cross-State Air Pollution Rule (CSAPR). 
The CSAPR addresses the ``good neighbor'' provision of the Clean Air 
Act (CAA or Act) that requires states to reduce the transport of 
pollution that significantly affects downwind nonattainment and 
maintenance areas. In this direct final action, EPA is approving 
Alabama's SIP revision, incorporating the state-determined allocations 
for the 2016 control periods into the SIP, and amending the regulatory 
text of the CSAPR Federal Implementation Plan (FIP) to reflect this 
approval and inclusion of the state-determined allocations. The CSAPR 
FIPs for Alabama remain in place until such time as the State decides 
to replace the FIPs with a SIP revision to allocate trading program 
allowances for control periods 2017 and beyond. EPA is taking direct 
final action to approve Alabama's SIP revision because it meets the 
requirements of the CAA and the CSAPR requirements to replace EPA's 
allowance allocations for the 2016 control periods. This action is 
being taken pursuant to the CAA and its implementing regulations.

DATES: This direct final rule is effective September 25, 2015 without 
further notice, unless EPA receives adverse comment by August 26, 2015. 
If EPA receives such comments, it will publish a timely withdrawal of 
the direct final rule in the Federal Register and inform the public 
that the rule will not take effect.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R04-
OAR-2015-0313, by one of the following methods:
    1. www.regulations.gov: Follow the on-line instructions for 
submitting comments.
    2. Email: [email protected].
    3. Fax: (404) 562-9019.
    4. Mail: ``EPA-R04-OAR-2015-0313,'' Air Regulatory Management 
Section (formerly Regulatory Development Section), Air Planning and 
Implementation Branch, Air, Pesticides and Toxics Management Division, 
U.S. Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960.
    5. Hand Delivery or Courier: Ms. Lynorae Benjamin, Chief, Air 
Regulatory Management Section, Air Planning and Implementation Branch 
(formerly Air Planning Branch), Air, Pesticides and Toxics Management 
Division, U.S. Environmental Protection Agency, Region 4, 61 Forsyth 
Street SW., Atlanta, Georgia 30303-8960. Such deliveries are only 
accepted during the Regional Office's normal hours of operation. The 
Regional Office's official hours of business are Monday through Friday, 
8:30 a.m. to 4:30 p.m., excluding Federal holidays.
    Instructions: Direct your comments to Docket ID No. EPA-R04-OAR-
2015-0313. 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 whose disclosure is 
restricted by statute. Do not submit through www.regulations.gov or 
email, information that you consider to be CBI or otherwise protected. 
The www.regulations.gov Web site is an ``anonymous access'' system, 
which means 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 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, EPA recommends that 
you include your name and other contact information in the body of your 
comment and with any disk or CD-ROM you submit. If EPA cannot read your 
comment due to technical difficulties and cannot contact you for 
clarification, EPA may not be able to consider your comment. Electronic 
files should not have special characters or any form of encryption, and 
be free of any defects or viruses. For additional information about 
EPA's public docket visit the EPA Docket Center homepage at http://www.epa.gov/epahome/dockets.htm.
    Docket: All documents in the electronic docket are listed in the 
www.regulations.gov index. Although listed in the index, some 
information is not publicly available, i.e., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, is not placed on the Internet and will be 
publicly available only in hard copy form. Publicly available docket 
materials are available either electronically in www.regulations.gov or 
in hard copy at the Air Regulatory Management Section, Air Planning and 
Implementation Branch, Air, Pesticides and Toxics Management Division, 
U.S. Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960. EPA requests that if at all possible, you 
contact the person listed in the FOR FURTHER INFORMATION CONTACT 
section to schedule your inspection. The Regional Office's official 
hours of business are Monday through Friday, 8:30 a.m. to 4:30 p.m., 
excluding Federal holidays.

FOR FURTHER INFORMATION CONTACT: Twunjala Bradley, Air Regulatory 
Management Section, Air Planning and Implementation Branch, Air, 
Pesticides and Toxics Management Division, U.S. Environmental 
Protection Agency, Region 4, 61 Forsyth Street SW., Atlanta, Georgia 
30303-8960. Ms. Twunjala Bradley can be reached by phone at (404) 562-
9352 or via electronic mail at [email protected].

SUPPLEMENTARY INFORMATION: 

I. What action is EPA taking?

    EPA is taking direct final action to approve Alabama's March 27, 
2015, SIP revision submitted by ADEM that narrowly modifies the 
allocations of allowances established by EPA under the CSAPR FIPs for 
existing EGUs for the 2016 control periods.\1\ The CSAPR allows a 
subject state, instead of EPA, to allocate allowances under the 
SO2, NOX annual, and NOX ozone season 
trading programs to existing EGUs in the State for the 2016 control 
periods provided that the state meets certain regulatory

[[Page 44293]]

requirements.\2\ EPA issued the CSAPR on August 8, 2011, to address CAA 
section 110(a)(2)(D)(i)(I) requirements concerning the interstate 
transport of air pollution and to replace the Clean Air Interstate Rule 
\3\ (CAIR), which the United States Court of Appeals for the District 
of Columbia Circuit (D.C. Circuit) remanded to EPA for replacement.\4\ 
EPA found that emissions of SO2 and NOX in 28 
eastern, midwestern, and southern states contribute significantly to 
nonattainment or interfere with maintenance in one or more downwind 
states with respect to one or more of three air quality standards--the 
annual PM2.5 NAAQS promulgated in 1997 \5\ (15 micrograms 
per cubic meter ([micro]g/m\3\), the 24-hour PM2.5 NAAQS 
promulgated in 2006 \6\ (35 [micro]g/m\3\), and the 8-hour ozone NAAQS 
promulgated in 1997 \7\ (0.08 parts per million). The CSAPR identified 
emission reduction responsibilities of upwind states, and also 
promulgated enforceable FIPs to achieve the required emission 
reductions in each of these states through cost effective and flexible 
requirements for power plants.
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    \1\ Federal Implementation Plans: Interstate Transport of Fine 
Particulate Matter and Ozone and Correction of SIP Approvals; August 
8, 2011 (76 FR 48208).
    \2\ The CSAPR is implemented in two Phases (I and II) with Phase 
I referring to 2015 and 2016 control periods, and Phase II 
consisting of 2017 and beyond control periods.
    \3\ Rule To Reduce Interstate Transport of Fine Particulate 
Matter and Ozone Clean Air Interstate Rule; Revisions to Acid Rain 
Program; Revisions to the NOX SIP Call; May 12, 2005 (70 
FR 25162).
    \4\ North Carolina v. EPA, 531 F.3d 896 (D.C. Cir. 2008), 
modified on reh'g by 550 F.3d 1176.
    \5\ National Ambient Air Quality Standards for Particulate 
Matter; July 18, 1997 (62 FR 36852).
    \6\ National Ambient Air Quality Standards for Particulate 
Matter; October 17, 2006 (71 FR 61144).
    \7\ National Ambient Air Quality Standards for Ozone; July 18, 
1997 (62 FR 38856).
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    Alabama is subject to the FIPs that implement the CSAPR and require 
certain EGUs to participate in the EPA-administered federal 
SO2, NOX annual, and NOX ozone season 
cap-and trade programs. Alabama's March 27, 2015, SIP revision 
allocates state-determined allowances under the CSAPR to existing EGUs 
in the State for the 2016 control periods only, utilizing the same 
methodology EPA established to allocate unit-specific allowances under 
the CSAPR FIPs, but allowing for modifications to specific aspects of 
the allocation methodology to address the State's and source owners/
operators unique implementation situations. Alabama's SIP revision 
includes state-determined allocations for the CSAPR NOX 
(annual and ozone season) and SO2 trading programs, and 
complies with the 2016 allocation SIP requirements set forth at 40 CFR 
52.38 and 52.39. Under these regulations, a state may replace EPA's 
CSAPR allowance allocations for existing EGUs for the 2016 control 
periods provided that the state submits a SIP revision containing those 
allocations to EPA no later than April 1, 2015 that meets the 
requirements in 40 CFR 52.38 and 52.39.
    Through this action, EPA is approving Alabama's March 27, 2015, SIP 
revision, incorporating the allocations into the SIP, and amending the 
CSAPR FIP's regulatory text for Alabama at 40 CFR 52.54 and 52.55 to 
reflect this approval and inclusion of the state-determined allowance 
allocation for the 2016 control periods. EPA is not making any other 
changes to the CSAPR FIPs for Alabama in this action. The CSAPR FIPs 
for Alabama remain in place until such time the State decides to 
replace the FIPs with a SIP revision to allocate trading program 
allowances for control periods 2017 and beyond. EPA is taking direct 
final action to approve Alabama's March 27, 2015, SIP submission 
because it complies with the CAA and the CSAPR. Below is a summary of 
the provisions allowing a state to submit SIP revisions to EPA to 
modify the 2016 allowance allocations. For more detailed information on 
the CSAPR, refer to the August 8, 2011, preamble and other subsequent 
related rulemakings referenced throughout this rulemaking.

II. 2016 CSAPR SIPs

    The CSAPR allows states to make 2016 allowance allocations through 
submittal of a complete SIP revision that is narrower in scope than an 
abbreviated or full SIP submission states use to replace the FIPs and/
or to make allocation decisions for 2017 and beyond. Pursuant to the 
CSAPR, a state may adopt and include in a SIP revision for the 2016 
control period a list of units and the amount of allowances allocated 
to each unit on the list, provided the list of units and allocations 
meets specific requirements set forth in 40 CFR 52.38(a)(3) and (b)(3) 
and 52.39(d) and (g) for NOX and SO2, 
respectively. See 40 CFR 52.38 and 52.39. If these requirements are 
met, the Administrator will approve the allowance allocation provisions 
replacing the provisions in 40 CFR part 97 for the State. SIP revisions 
under this expedited process may only allocate each state budget minus 
the new unit set-aside and the Indian country new unit set-aside. For 
states subject to multiple trading programs, options are available to 
submit 2016 state-determined allocations for one or more of the 
applicable trading programs while leaving unchanged the EPA-determined 
allocations for 2016 in the remaining applicable trading programs.\8\
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    \8\ States can also submit SIP revisions to replace EPA-
determined, existing unit allocations with state-determined 
allocations for control periods after 2016 via a separate process 
described at 40 CFR 52.38(a)(4), (a)(5), (b)(4), and (b)(5) and 
52.39(e), (f), (h) and (i). See also Preamble of the CSAPR and 
Interim Final Rule (76 FR 48208 and 79 FR 71663).
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    In developing this procedure, EPA set deadlines for submitting the 
SIP revisions for 2016 allocations and for recordation of the 
allocations that balanced the need to record allowances sufficiently 
ahead of the control periods with the desire to allow state flexibility 
for 2016 control periods. These deadlines allow sufficient time for EPA 
to review and approve these SIP revisions, taking into account that EPA 
approval must be final and effective before the 2016 allocations can be 
recorded and the allowances are available for trading. The CSAPR set an 
October 17, 2011 deadline for states to notify EPA of their intent to 
submit these SIP revisions modifying allowance allocations for the 
second control periods (except with respect to the changes established 
in the Supplemental Rule) and replace the provisions of the CSAPR FIPs 
(40 CFR part 97) with regard to the State and the control periods in 
2016 with a list of EGUs and the amount of allowances allocated to 
each. See 40 CFR 52.38 and 52.39.\9\
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    \9\ Alabama informed EPA of their intention in a letter dated 
September 16, 2011. For the five states (Iowa, Michigan, Missouri, 
Oklahoma, and Wisconsin) covered in the Supplemental Rule in the 
case of ozone season NOX, March 6, 2012, was the date by 
which notifications of intentions to submit state allocations were 
due to the Administrator. See 76 FR 80760, 79 FR 71663 and 40 CFR 
52.38(b)(3)(v). Note that the March 6, 2012 deadline for such 
notifications was modified by the December 3, 2014 Interim Final 
Rule to March 6, 2015. See 79 FR 71671.
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    Twelve states, including Alabama, notified EPA by the deadline of 
their intentions to submit their 2013 allocation SIPs to EPA by April 
1, 2012, for the second control periods.\10\ However, pursuant to EPA's 
December 3, 2014, Interim Final Rule, the deadline to submit these SIPs 
was tolled for three years, in effect requiring states, including 
Alabama, to submit a 2016 state-determined allocation SIP by April 1, 
2015, for the CSAPR 2016 control periods.\11\ Each state may submit a 
SIP to allocate state-determined allowances for the 2016 control 
periods provided it

[[Page 44294]]

meets the following requirements pursuant to 40 CFR 52.38 and 52.39:
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    \10\ The docket for this action contains Alabama's September 16, 
2011 letter notifying EPA of its intention to submit a SIP revision.
    \11\ In the case of ozone season NOX, SIP revisions 
to address 2016 allocations for the five states covered by the 
Supplemental Rule are due by October 1, 2015. See 40 CFR 
52.38(b)(3)(v)(B).
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     Notify the EPA Administrator by October 17, 2011, of 
intent to submit state allocations for the 2016 control periods 
(formerly 2013) in a format specified by the Administrator. See 40 CFR 
52.38(a)(3)(v)(A), 52.38(b)(3)(v)(A), 52.39(d)(5)(i), and 
52.39(g)(5)(i).
     Submit to EPA the state-determined allocation list SIP 
revision modifying allowance allocations for the 2016 control periods 
no later than April 1, 2015. See 40 CFR 52.38(a)(3)(v)(B), 
52.38(b)(3)(v)(B), 52.39(d)(5)(ii), and 52.39(g)(5)(ii).
     Provide a 2016 state-determined allocation list only for 
units within the State that commenced commercial operation before 
January 1, 2010. See 40 CFR 52.38(a)(3)(i), 52.38(b)(3)(i), 
52.39(d)(1), and 52.39(g)(1).
     Ensure the sum of the state-determined allocations are 
equal to or are less than the total state budget for 2016 minus the sum 
of the new unit set-aside and the Indian country new unit set-aside. 
See 40 CFR 52.38(a)(3)(ii), 52.38(b)(3)(ii), 52.39(d)(2), and 
52.39(g)(2).
     Submit the 2016 state-determined allowance allocation list 
as a SIP revision electronically to EPA in the format specified by the 
Administrator. See 40 CFR 52.38(a)(3)(iii), 52.38(b)(3)(iii), 
52.39(d)(3), and 52.39(g)(3).
     Confirm that the SIP revision does not provide for any 
changes to the listed units or allocations after approval of the SIP 
revision by EPA and does not provide for any change to any allocation 
determined and recorded by the Administrator under subpart AAAAA, 
BBBBB, CCCCC, or DDDDD of 40 CFR part 97. See 40 CFR 52.38(a)(3)(iv), 
52.38(b)(3)(iv), 52.39(d)(4), and 52.39(g)(4).
    Additionally, these narrow SIP revisions for the 2016 state-
determined allocations are required to comply with SIP completeness 
elements set forth in 40 CFR part 51, appendix V (i.e., conduct 
adequate public notice of the submission, provide evidence of legal 
authority to adopt SIP revisions, and ensure the SIP is submitted to 
EPA by the State's Governor or his/her designee). If a qualified state 
(i.e., one of the twelve states that met the October 17, 2011, 
notification deadline) submits to EPA a 2016 CSAPR SIP by April 1, 
2015, meeting all the above-described requirements and EPA approves the 
SIP submission by October 1, 2015, EPA will record state-determined 
allocations for 2016 by October 1, 2015, into the Allowance Management 
System (AMS). Alabama's March 27, 2015, SIP submission addresses the 
aforementioned requirements allowing a state to allocate 2016 CSAPR 
allowances for the annual and ozone season NOX and Group 2 
SO2 trading programs. EPA's analysis of Alabama's SIP 
submission is explained below in section III.

III. What is EPA's analysis of Alabama's SIP submission?

    On March 27, 2015, Alabama submitted a SIP revision intended to 
replace the CSAPR FIP allocations of Transport Rule (TR) NOX 
annual, TR NOX Ozone season, and TR SO2 Group 2 
allowances for the 2016 control periods. For approval, this SIP 
revision must meet the specific requirements found in 40 CFR 
52.38(a)(1) through (3), (b)(1) through (3), and 52.39(a), (c), and (g) 
described above. The following is a list of criteria under 40 CFR 52.38 
and .39, described in Part II of this document, and the results of 
EPA's analysis of Alabama's SIP revision:
    A. A complete SIP revision must be submitted to EPA no later than 
April 1, 2015 (40 CFR 52.38(a)(3)(v)(B), 52.38(b)(3)(v)(B), and 
52.39(g)(5)(ii)).
    EPA has reviewed the March 27, 2015 submittal from Alabama and 
found it to be complete. This submittal satisfies the applicable 
elements of SIP completeness set forth in appendix V to 40 CFR part 51.
    B. Notification from a State to EPA must be received by October 17, 
2011, or March 6, 2015, in the case of ozone season NOX SIP 
revisions for states covered by the December 27, 2011 Supplemental Rule 
(76 FR 80760), of its intent to submit a complete SIP revision for 2016 
existing unit allocations (40 CFR 52.38(a)(3)(v)(A), 52.38(b)(3)(v)(A), 
52.39(d)(5)(i), and 52.39(g)(5)(i)).
    On September 16, 2011, Alabama notified EPA via a letter of the 
State's intent to submit complete SIP revisions for allocating TR 
NOX Annual, TR NOX Ozone season, and TR 
SO2 Group 2 allowances to existing units (i.e., units that 
commenced commercial operation before January 1, 2010). Although the 
letter indicates that that the State intended to submit the SIP 
revisions by the April 2, 2012 \12\ deadline addressing the allocation 
of TR allowances for the 2013 control periods, these dates have been 
tolled by three years in the Interim Final Rule (79 FR 71663, December 
3, 2014. See footnote 5.). The September 16, 2011 letter submitted by 
Alabama notifying EPA of the State's intent to submit revised CSAPR 
SIPs submittal satisfies the requirements of 40 CFR 52.38(a)(3)(A), 
52.38(b)(3)(A), and 52.39(g)(5)(i).
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    \12\ The original requirement to submit a complete SIP to EPA 
was by April 1, 2012 (as per 40 CFR 52.38(a)(3)(v)(B)). However, 
April 1, 2012 was a Sunday, thus, the notification from the State 
indicates that the State intended to submit the SIP revisions by 
April 2, 2012, rather than April 1, 2012.
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    C. The SIP revision should include a list of TR NOX 
Annual, TR NOX Ozone Season, TR SO2 Group 1 or 
Group 2 units, whichever is applicable, that are in the State and 
commenced commercial operation before January 1, 2010 (40 CFR 
52.38(a)(3)(i), 52.38(b)(3)(i), 52.39(d)(1), and 52.39(g)(1)).
    As part of Alabama's SIP revision, the State submitted a list of 
units to be allocated TR NOX Annual, TR NOX Ozone 
Season, and TR SO2 Group 2 allowances for the 2016 control 
periods. The list identifies the same units as were identified in the 
notice of data availability (NODA) published by EPA on December 3, 2014 
(79 FR 71674). Hence, EPA has determined that each unit on the list 
submitted by Alabama as part of the SIP revision is located in the 
State of Alabama and had commenced commercial operation before January 
1, 2010.
    D. The total amount of TR NOX annual, TR NOX 
Ozone Season, or TR SO2 Group 1 or Group 2 allowance 
allocations, whichever is applicable, must not exceed the amount, under 
40 CFR 97.410(a), 97.510(a), 97.610(a), 97.710(a), whichever is 
applicable for the State and the control periods in 2016, of TR 
NOX Annual, TR NOX Ozone Season, TR 
SO2 Group 1 or Group 2 trading budget minus the sum of the 
new unit set-aside and Indian country new unit set-aside (40 CFR 
52.38(a)(3)(ii), 52.38(b)(3)(ii), 52.39(d)(2), and 52.39(g)(2)).
    The CSAPR established the budgets and new unit set-asides for 
Alabama for the 2016 control periods as 72,691 tons for TR 
NOX annual emissions and 1,454 tons for TR NOX 
Annual new unit set-aside; 31,746 tons for TR NOX ozone 
season emissions and 635 tons for the TR NOX ozone season 
new unit set-aside; 216,033 tons for TR SO2 Group 2 
emissions and 4,321 for the TR SO2 Group 2 new unit set-
aside. Alabama's SIP revision, for approval in this action, does not 
affect these budgets, which are total amount of allowances available 
for allocation for the 2016 control periods under the EPA-administered 
cap-and-trade program under the CSAPR FIPs. In short, the abbreviated 
SIP revision only affects allocations of allowances under the 
established budgets.
    The Alabama SIP revision allocating TR NOX annual 
allowances for the 2016 control period does not exceed the budget under 
40 CFR 97.410(a) minus

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the new unit set-aside (72,691 tons - 1,454 = 71,237).\13\ The Alabama 
SIP revision allocates 71,234 TR NOX annual allowances to 
existing units in the State. EPA will place the 1,457 unallocated 
allowances from the Alabama CSAPR 2016 budget into the TR 
NOX annual new unit set-aside for the 2016 control period.
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    \13\ The State of Alabama does not have a budget under 40 CFR 
97.410(a) for a NOX Annual Indian Country new unit set-
aside for the 2016 control period.
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    The Alabama SIP revision allocating TR NOX ozone season 
allowances for the 2016 control period does not exceed the budget under 
Sec.  97.510(a) minus the new unit set-aside (31,746 tons - 635 tons = 
31,111).\14\ The Alabama SIP revision allocates 31,107 TR 
NOX ozone season allowances to existing units in the State. 
EPA will place the 639 unallocated allowances from the Alabama CSAPR 
2016 budget into the TR NOX ozone season new unit set-aside 
for the 2016 control period.
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    \14\ The State of Alabama does not have a budget under 40 CFR 
97.510(a) for a NOX Ozone Season Indian Country new unit 
set-aside for the 2016 control period.
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    The Alabama SIP revision allocating TR SO2 Group 2 
allowances for the 2016 control period exceeds, by a very small number 
of allowances (three) due to rounding, the budget under Sec.  97.710(a) 
minus the new unit set-aside (216,033 tons - 4,321 tons = 211,712).\15\ 
The Alabama SIP revision allocates 211,715 TR SO2 Group 2 
allowances to existing units in the State. However, EPA notes that 
proportionately, three allowances is a tiny fraction of the overall new 
unit set-aside budget for new Group 2 SO2 units in Alabama 
(approximately 0.07%). In addition, for 2015, none of the 4,318 Group 2 
SO2 allowances available to allocate to new units have been 
allocated due to a dearth of qualifying new units in Alabama, and it 
appears highly likely this will be the case again in 2016 (i.e., it is 
very likely these allowances will not be needed by new units in Alabama 
in 2016). EPA therefore does not believe the extra three allowances 
allocated to Alabama's existing CSAPR units in 2016 should weigh 
negatively in EPA's evaluation of the State's 2016 CSAPR SIP submittal, 
and will enter 4,318 allowances from the Alabama CSAPR 2016 budget into 
the TR SO2 Group 2 new unit set-aside for the 2016 control 
period.\16\
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    \15\ The State of Alabama does not have a budget under 40 CFR 
97.710(a) for a Group 2 SO2 Indian Country new unit set-
aside for the 2016 control period.
    \16\ The quantities of allowances to be allocated through this 
process may differ slightly from the amounts set forth in 40 CFR 
97.410(a), 97.510(a), 97.610(a), and 97.710(a) because of rounding 
in the spreadsheet of CSAPR FIP allowance allocations to existing 
units.
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    E. The list should be submitted electronically in the format 
specified by the EPA (40 CFR 52.38(a)(3)(iii), 52.38(b)(3)(iii), 
52.39(d)(3), and 52.39(g)(3)).
    On March 27, 2015, EPA received an email submittal from Alabama in 
the format requested.
    F. The SIP revision should provide a permanent allocation for the 
units on the list for 2016 (40 CFR 52.38(a)(3)(iv), 52.38(b)(3)(iv), 
and 52.39(g)(4)).
    The Alabama SIP revision does not provide for any changes to the 
listed units or allocations after approval of the SIP revision and do 
not provide for any change to any allocation determined and recorded by 
the Administrator under subpart AAAAA, BBBBB, or DDDDD of 40 CFR part 
97.
    For the reasons discussed above, Alabama's SIP submission complies 
with the 2016 SIP allocation requirements as codified at 40 CFR 52.38 
and 52.39 and established in the CSAPR FIPs. Through this action, EPA 
is approving Alabama's March 27, 2015, SIP revision, incorporating the 
allocations into the SIP, and amending the CSAPR FIPs' regulatory text 
for Alabama at 40 CFR 52.54 and 52.55 to reflect this approval and 
inclusion of the state-determined allowance allocation for the 2016 
control periods. EPA is not making any other changes to the CSAPR FIPs 
for Alabama in this action. EPA is taking final action to approve 
Alabama's March 27, 2015, SIP revision because it is in accordance with 
the CAA and its implementing regulations.

IV. Final Action

    EPA is taking final action to approve Alabama's March 27, 2015, 
CSAPR SIP revision that provides Alabama's state-determined allowance 
allocations for existing EGUs in the State for the 2016 control periods 
to replace the allowance allocations for the 2016 control periods 
established by EPA under CSAPR. Consistent with the flexibility given 
to states in the CSAPR FIPs at 40 CFR 52.38 and 52.39, Alabama's SIP 
revision allocates state-determined allowances to existing EGUs in the 
State under the CSAPR's NOX annual and ozone season and 
SO2 Group 2 trading programs. Alabama's SIP revision meets 
the applicable requirements in 40 CFR 52.38 for NOX annual 
and NOX ozone season emissions, and 40 CFR 52.39 for Group 2 
SO2 emissions. EPA is approving Alabama's SIP revision 
because it is in accordance with the CAA and its implementing 
regulations.
    EPA is publishing this rule without prior proposal because the 
Agency views this as a noncontroversial submittal and anticipates no 
adverse comments. However, in the proposed rules section of this 
Federal Register publication, EPA is publishing a separate document 
that will serve as the proposal to approve the SIP revision should 
adverse comments be filed. This rule will be effective September 25, 
2015 without further notice unless the Agency receives adverse comments 
by August 26, 2015.
    If EPA receives such comments, then EPA will publish a document 
withdrawing the final rule and informing the public that the rule will 
not take effect. All public comments received will then be addressed in 
a subsequent final rule based on the proposed rule. EPA will not 
institute a second comment period. Parties interested in commenting 
should do so at this time. If no such comments are received, the public 
is advised that this rule will be effective on September 25, 2015 and 
no further action will be taken on the proposed rule.

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. See 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
action merely approves 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

[[Page 44296]]

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 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).
    The SIP is not approved to apply on any Indian reservation land or 
in any other area where EPA or an Indian tribe has demonstrated that a 
tribe has jurisdiction. In those areas of Indian country, the rule does 
not have tribal implications as specified by Executive Order 13175 (65 
FR 67249, November 9, 2000), nor will it impose substantial direct 
costs on tribal governments or preempt tribal law.
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business Regulatory Enforcement Fairness Act of 1996, generally 
provides that before a rule may take effect, the agency promulgating 
the rule must submit a rule report, which includes a copy of the rule, 
to each House of the Congress and to the Comptroller General of the 
United States. EPA will submit a report containing this action and 
other required information to the U.S. Senate, the U.S. House of 
Representatives, and the Comptroller General of the United States prior 
to publication of the rule in the Federal Register. A major rule cannot 
take effect until 60 days after it is published in the Federal 
Register. This action is not a ``major rule'' as defined by 5 U.S.C. 
804(2).
    Under section 307(b)(1) of the CAA, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by September 25, 2015. Filing a petition for 
reconsideration by the Administrator of this final rule does not affect 
the finality of this action for the purposes of judicial review nor 
does it extend the time within which a petition for judicial review may 
be filed, and shall not postpone the effectiveness of such rule or 
action. Parties with objections to this direct final rule are 
encouraged to file a comment in response to the parallel notice of 
proposed rulemaking for this action published in the proposed rules 
section of this Federal Register, rather than file an immediate 
petition for judicial review of this direct final rule, so that EPA can 
withdraw this direct final rule and address the comment in the proposed 
rulemaking. This action may not be challenged later in proceedings to 
enforce its requirements. See section 307(b)(2).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Intergovernmental relations, Nitrogen dioxide, Ozone, 
Particulate matter, Reporting and recordkeeping requirements, Sulfur 
oxides.

    Dated: July 15, 2015.
Heather McTeer Toney,
Regional Administrator, Region 4.
    40 CFR parts 52 is amended as follows:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

0
1. The authority citation for part 52 continues to read as follows:

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

Subpart B--Alabama

0
2. Section 52.50(e) is amended by adding an entry for ``Cross State Air 
Pollution Rule--State-Determined Allowance Allocations for the 2016 
control periods'' at the end of the table to read as follows:


Sec.  52.50  Identification of plan.

* * * * *
    (e) * * *

                                                     EPA Approved Alabama Non-Regulatory Provisions
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                State
     Name of nonregulatory SIP      Applicable geographic  submittal date/            EPA approval date                         Explanation
             provision              or nonattainment area  effective date
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
                                                                      * * * * * * *
Cross State Air Pollution Rule--    Alabama..............       3/27/2014  7/27/2015 [Insert Federal Register
 State-Determined Allowance                                                 citation].
 Allocations for the 2016 control
 periods.
--------------------------------------------------------------------------------------------------------------------------------------------------------


0
3. Section 52.54 is amended by adding paragraphs (a)(3) and (b)(3) to 
read as follows:


Sec.  52.54  Interstate pollutant transport provisions; What are the 
FIP requirements for decreases in emissions of nitrogen oxides?

    (a) * * *
    (3) Pursuant to Sec.  52.38(a), Alabama's state-determined 
NOX annual allowance allocations established in the March 
27, 2015, SIP revision replace the unit level NOX annual 
allowance provisions of the CSAPR FIP at 40 CFR 97.411(a) for the State 
for the 2016 control period with a list of NOX annual units 
that commenced operation prior to January 1, 2010, in the State and the 
amount of state-determined NOX annual allowances allocated 
to each unit on such list, for the 2016 control period as approved by 
EPA on July 27, 2015 [Insert citation of publication].
    (b) * * *
    (3) Pursuant to Sec.  52.38(b), Alabama's state-determined 
NOX ozone season allocations established in the March 27, 
2015, SIP revision replace the unit level NOX ozone season 
allowance provisions of the CSAPR FIP at 40 CFR 97.511(a) for the State 
for the 2016 control period with a list of NOX ozone season 
units that commenced operation prior to January 1, 2010, in the State 
and the amount of state-determined NOX ozone season 
allowances allocated to each unit on such list, for the 2016 control 
period as approved by EPA on July 27, 2015 [Insert citation of 
publication].

0
4. Section 52.55 is amended by adding paragraph (c) to read as follows:


Sec.  52.55  Interstate pollutant transport provisions; What are the 
FIP requirements for decreases in emissions of sulfur dioxide?

* * * * *
    (c) Pursuant to Sec.  52.39(g), Alabama's state-determined Group 2 
SO2

[[Page 44297]]

allowance allocations established in the March 27, 2015, SIP revision 
replace the unit level Group 2 SO2 allowance provisions of 
the CSAPR FIP at 40 CFR 97.711(a) for the State for the 2016 control 
period with a list of Group 2 SO2 units that commenced 
operation prior to January 1, 2010, in the State and the amount of 
state-determined SO2 allowances allocated to each unit on 
such list, for the 2016 control period as approved by EPA on July 27, 
2015 [Insert citation of publication].

[FR Doc. 2015-18217 Filed 7-24-15; 8:45 am]
 BILLING CODE 6560-50-P