82_FR_48133 82 FR 47936 - Air Plan Approval; South Carolina; Cross-State Air Pollution Rule

82 FR 47936 - Air Plan Approval; South Carolina; Cross-State Air Pollution Rule

ENVIRONMENTAL PROTECTION AGENCY

Federal Register Volume 82, Issue 197 (October 13, 2017)

Page Range47936-47940
FR Document2017-22128

The Environmental Protection Agency (EPA) is taking final action to approve portions of a revision to the South Carolina State Implementation Plan (SIP) concerning the Cross-State Air Pollution Rule (CSAPR). South Carolina submitted a draft version of this SIP revision for parallel processing on May 26, 2017, and a final version on September 5, 2017. Under CSAPR, large electricity generating units (EGUs) in South Carolina are subject to Federal Implementation Plans (FIPs) requiring the units to participate in CSAPR's federal trading program for annual emissions of nitrogen oxides (NO<INF>X</INF>) and one of CSAPR's two federal trading programs for annual emissions of sulfur dioxide (SO<INF>2</INF>). This action approves the State's regulations requiring large South Carolina EGUs to participate in new CSAPR state trading programs for annual NO<INF>X</INF> and SO<INF>2</INF> emissions integrated with the CSAPR federal trading programs and incorporates them into South Carolina's SIP, replacing the corresponding FIP requirements. These CSAPR state trading programs are substantively identical to the CSAPR federal trading programs, with the State retaining EPA's default allowance allocation methodology and EPA remaining the implementing authority for administration of the trading program. Under the CSAPR regulations, approval of these portions of the SIP revision automatically eliminates South Carolina units' obligations to participate in CSAPR's federal trading programs for annual NO<INF>X</INF> and SO<INF>2</INF> emissions under the corresponding CSAPR FIPs addressing interstate transport requirements for the 1997 Annual Fine Particulate Matter (PM<INF>2.5</INF>) national ambient air quality standards (NAAQS). Approval of these portions of the SIP revision satisfies South Carolina's good neighbor obligation for the 1997 Annual PM<INF>2.5</INF> NAAQS. EPA is not acting on any other portion of the September 5, 2017 submittal.

Federal Register, Volume 82 Issue 197 (Friday, October 13, 2017)
[Federal Register Volume 82, Number 197 (Friday, October 13, 2017)]
[Rules and Regulations]
[Pages 47936-47940]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-22128]



[[Page 47935]]

Vol. 82

Friday,

No. 197

October 13, 2017

Part VI





Environmental Protection Agency





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40 CFR Part 52





Air Plan Approval; South Carolina; Cross-State Air Pollution Rule; 
Final Rule

Federal Register / Vol. 82 , No. 197 / Friday, October 13, 2017 / 
Rules and Regulations

[[Page 47936]]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R04-OAR-2017-0364; FRL-9969-27-Region 4]


Air Plan Approval; South Carolina; Cross-State Air Pollution Rule

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is taking final 
action to approve portions of a revision to the South Carolina State 
Implementation Plan (SIP) concerning the Cross-State Air Pollution Rule 
(CSAPR). South Carolina submitted a draft version of this SIP revision 
for parallel processing on May 26, 2017, and a final version on 
September 5, 2017. Under CSAPR, large electricity generating units 
(EGUs) in South Carolina are subject to Federal Implementation Plans 
(FIPs) requiring the units to participate in CSAPR's federal trading 
program for annual emissions of nitrogen oxides (NOX) and 
one of CSAPR's two federal trading programs for annual emissions of 
sulfur dioxide (SO2). This action approves the State's 
regulations requiring large South Carolina EGUs to participate in new 
CSAPR state trading programs for annual NOX and 
SO2 emissions integrated with the CSAPR federal trading 
programs and incorporates them into South Carolina's SIP, replacing the 
corresponding FIP requirements. These CSAPR state trading programs are 
substantively identical to the CSAPR federal trading programs, with the 
State retaining EPA's default allowance allocation methodology and EPA 
remaining the implementing authority for administration of the trading 
program. Under the CSAPR regulations, approval of these portions of the 
SIP revision automatically eliminates South Carolina units' obligations 
to participate in CSAPR's federal trading programs for annual 
NOX and SO2 emissions under the corresponding 
CSAPR FIPs addressing interstate transport requirements for the 1997 
Annual Fine Particulate Matter (PM2.5) national ambient air 
quality standards (NAAQS). Approval of these portions of the SIP 
revision satisfies South Carolina's good neighbor obligation for the 
1997 Annual PM2.5 NAAQS. EPA is not acting on any other 
portion of the September 5, 2017 submittal.

DATES: This rule is effective November 13, 2017.

ADDRESSES: EPA has established a docket for this action under Docket 
Identification No. EPA-R04-OAR-2017-0364. All documents in the docket 
are listed on the www.regulations.gov Web site. Although listed in the 
index, some information may not be publicly available, i.e., 
Confidential Business Information 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 through 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: Ashten Bailey, 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. Bailey can be reached by telephone at (404) 562-9164 or 
via electronic mail at [email protected].

SUPPLEMENTARY INFORMATION:

I. Background on CSAPR and CSAPR-Related SIP Revisions

    EPA issued CSAPR in July 2011 to address the requirements of Clean 
Air Act (CAA or Act) section 110(a)(2)(D)(i)(I) concerning interstate 
transport of air pollution.\1\ As amended (including the 2016 CSAPR 
Update),\2\ CSAPR requires 27 Eastern states to limit their statewide 
emissions of SO2 and/or NOX in order to mitigate 
transported air pollution unlawfully impacting other states' ability to 
attain or maintain four NAAQS: The 1997 Annual PM2.5 NAAQS, 
the 2006 24-hour PM2.5 NAAQS, the 1997 8-hour ozone NAAQS, 
and the 2008 8-hour ozone NAAQS. The CSAPR emissions limitations are 
defined in terms of maximum statewide ``budgets'' for emissions of 
annual SO2, annual NOX, and/or ozone season 
NOX by each covered state's large EGUs. The CSAPR state 
budgets are implemented in two phases of generally increasing 
stringency, with the Phase 1 budgets applying to emissions in 2015 and 
2016 and the Phase 2 (and CSAPR Update) budgets applying to emissions 
in 2017 and later years. As a mechanism for achieving compliance with 
the emissions limitations, CSAPR establishes five federal emissions 
trading programs: A program for annual NOX emissions, two 
geographically separate programs for annual SO2 emissions, 
and two geographically separate programs for ozone-season 
NOX emissions. CSAPR also establishes FIP requirements 
applicable to the large EGUs in each covered state. Currently, the 
CSAPR FIP provisions require each state's units to participate in up to 
three of the five CSAPR trading programs.
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    \1\ Federal Implementation Plans; Interstate Transport of Fine 
Particulate Matter and Ozone and Correction of SIP Approvals, 76 FR 
48208 (August 8, 2011) (codified as amended at 40 CFR 52.38 and 
52.39 and subparts AAAAA through EEEEE of 40 CFR part 97).
    \2\ 81 FR 74504 (October 26, 2016). The CSAPR Update was 
promulgated to address interstate pollution with respect to the 2008 
ozone NAAQS and to address a judicial remand of certain original 
CSAPR ozone season NOX budgets promulgated with respect 
to the 1997 ozone NAAQS. 81 FR at 74505. The CSAPR Update 
established new emission reduction requirements addressing the more 
recent NAAQS and coordinated them with the remaining emission 
reduction requirements addressing the older NAAQS, so that starting 
in 2017, CSAPR includes two geographically separate trading programs 
for ozone season NOX emissions covering EGUs in a total 
of 23 states. See 40 CFR 52.38(b)(1)-(2).
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    CSAPR includes provisions under which states may submit and EPA 
will approve SIP revisions to modify or replace the CSAPR FIP 
requirements while allowing states to continue to meet their transport-
related obligations using either CSAPR's federal emissions trading 
programs or state emissions trading programs integrated with the 
federal programs.\3\ Through such a SIP revision, a state may replace 
EPA's default provisions for allocating emission allowances among the 
state's units, employing any state-selected methodology to allocate or 
auction the allowances, subject to timing conditions and limits on 
overall allowance quantities. In the case of CSAPR's federal trading 
programs for ozone season NOX emissions (or an integrated 
state trading program), a state may also expand trading program 
applicability to include certain smaller EGUs.\4\ If a state

[[Page 47937]]

wants to replace CSAPR FIP requirements with SIP requirements under 
which the state's units participate in a state trading program that is 
integrated with and identical to the federal trading program even as to 
the allocation and applicability provisions, the state may submit a SIP 
revision for that purpose as well. However, no emissions budget 
increases or other substantive changes to the trading program 
provisions are allowed. A state whose units are subject to multiple 
CSAPR FIPs and federal trading programs may submit SIP revisions to 
modify or replace either some or all of those FIP requirements.
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    \3\ See 40 CFR 52.38, 52.39. States also retain the ability to 
submit SIP revisions to meet their transport-related obligations 
using mechanisms other than the CSAPR federal trading programs or 
integrated state trading programs.
    \4\ States covered by both the CSAPR Update and the 
NOX SIP Call have the additional option to expand 
applicability under the CSAPR NOX Ozone Season Group 2 
Trading Program to include non-electric generating units that would 
have participated in the former NOX Budget Trading 
Program.
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    States can submit two basic forms of CSAPR-related SIP revisions 
effective for emissions control periods in 2017 or later years.\5\ 
Specific conditions for approval of each form of SIP revision are set 
forth in the CSAPR regulations. Under the first alternative--an 
``abbreviated'' SIP revision--a state may submit a SIP revision that 
upon approval replaces the default allowance allocation and/or 
applicability provisions of a CSAPR federal trading program for the 
state.\6\ Approval of an abbreviated SIP revision leaves the 
corresponding CSAPR FIP and all other provisions of the relevant 
federal trading program in place for the state's units.
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    \5\ CSAPR also provides for a third, more streamlined form of 
SIP revision that is effective only for control periods in 2016 and 
is not relevant here. See 40 CFR 52.38(a)(3), (b)(3), (b)(7); 
52.39(d), (g).
    \6\ 40 CFR 52.38(a)(4), (b)(4), (b)(8); 52.39(e), (h).
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    Under the second alternative--a ``full'' SIP revision--a state may 
submit a SIP revision that upon approval replaces a CSAPR federal 
trading program for the state with a state trading program integrated 
with the federal trading program, so long as the state trading program 
is substantively identical to the federal trading program or does not 
substantively differ from the federal trading program except as 
discussed previously with regard to the allowance allocation and/or 
applicability provisions.\7\ For purposes of a full SIP revision, a 
state may either adopt state rules with complete trading program 
language, incorporate the federal trading program language into its 
state rules by reference (with appropriate conforming changes), or 
employ a combination of these approaches.
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    \7\ 40 CFR 52.38(a)(5), (b)(5), (b)(9); 52.39(f), (i).
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    The CSAPR regulations identify several important consequences and 
limitations associated with approval of a full SIP revision. First, 
upon EPA's approval of a full SIP revision as correcting the deficiency 
in the state's implementation plan that was the basis for a particular 
set of CSAPR FIP requirements, the obligation to participate in the 
corresponding CSAPR federal trading program is automatically eliminated 
for units subject to the state's jurisdiction without the need for a 
separate EPA withdrawal action, so long as EPA's approval of the SIP is 
full and unconditional.\8\ Second, approval of a full SIP revision does 
not terminate the obligation to participate in the corresponding CSAPR 
federal trading program for any units located in any Indian country 
within the borders of the state, and if and when a unit is located in 
Indian country within a state's borders, EPA may modify the SIP 
approval to exclude from the SIP, and include in the surviving CSAPR 
FIP instead, certain trading program provisions that apply jointly to 
units in the state and to units in Indian country within the state's 
borders.\9\ Finally, if at the time a full SIP revision is approved EPA 
has already started recording allocations of allowances for a given 
control period to a state's units, the federal trading program 
provisions authorizing EPA to complete the process of allocating and 
recording allowances for that control period to those units will 
continue to apply, unless EPA's approval of the SIP revision provides 
otherwise.\10\
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    \8\ 40 CFR 52.38(a)(6), (b)(10)(i); 52.39(j).
    \9\ 40 CFR 52.38(a)(5)(iv)-(v), (a)(6), (b)(5)(v)-(vi), 
(b)(9)(vi)-(vii), (b)(10)(i); 52.39(f)(4)-(5), (i)(4)-(5), (j).
    \10\ 40 CFR 52.38(a)(7), (b)(11)(i); 52.39(k).
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    On July 28, 2015, the United States Court of Appeals for the 
District of Columbia Circuit (D.C. Circuit) issued a decision on a 
number of petitions related to CSAPR, which found that EPA required 
more emissions reductions than may have been necessary to address the 
downwind air quality problems to which some states contribute. The 
court remanded several CSAPR emission budgets to EPA for 
reconsideration, including the Phase 2 SO2 trading budget 
for South Carolina.\11\ However, South Carolina has proposed to 
voluntarily adopt into their SIP a CSAPR state trading program that is 
integrated with the federal trading program and includes a state-
established SO2 budget equal to the state's remanded Phase 2 
SO2 emission budget.\12\ EPA notes that nothing in the 
court's decision affects South Carolina's authority to seek 
incorporation into its SIP of a state-established budget as stringent 
as the remanded federally-established budget or limits EPA's authority 
to approve such a SIP revision. The CSAPR regulations provide each 
covered state with the option to meet its transport obligations through 
SIP revisions replacing the federal trading programs and requiring the 
state's EGUs to participate in integrated CSAPR state trading programs 
that apply emissions budgets of the same or greater stringency. Under 
the CSAPR regulations, when such a SIP revision is approved, the 
corresponding FIP provisions are automatically withdrawn.
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    \11\ EME Homer City Generation, L.P. v. EPA (EME Homer City II), 
795 F.3d 118 (D.C. Cir. 2015). The D.C. Circuit also remanded 
SO2 budgets for Alabama, Georgia, and Texas. The court 
also remanded Phase 2 ozone-season NOX budgets for eleven 
states, including South Carolina.
    \12\ See memo entitled ``The U.S. Environmental Protection 
Agency's Plan for Responding to the Remand of the Cross-State Air 
Pollution Rule Phase 2 SO2 Budgets for Alabama, Georgia, 
South Carolina and Texas'' from Janet G. McCabe, EPA Acting 
Assistant Administrator for Air and Radiation, to EPA Regional Air 
Division Directors (June 27, 2016), available at https://www.regulations.gov/document?D=EPA-HQ-OAR-2016-0598-0003. The memo 
directs the Regional Air Division Directors to share the memo with 
state officials. EPA also communicated orally with officials in 
Alabama, Georgia, South Carolina, and Texas in advance of the memo.
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    In the CSAPR rulemaking, EPA determined that air pollution 
transported from South Carolina would unlawfully affect other states' 
ability to attain or maintain the 1997 Annual PM2.5 
NAAQS.\13\ South Carolina units meeting the CSAPR applicability 
criteria were consequently made subject to FIP provisions requiring 
participation in CSAPR federal trading programs for annual 
SO2 and annual NOX emissions.\14\ On May 26, 
2017, South Carolina submitted to EPA a draft SIP revision including 
provisions that, if all portions were approved, would incorporate into 
South Carolina's SIP CSAPR state trading program regulations that would 
replace the CSAPR regulations for the two federal trading programs with 
regard to South Carolina units.
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    \13\ See 76 FR at 48213. The NPRM contains a more detailed 
summary of EPA's determinations with regard to South Carolina in the 
CSAPR and the CSAPR Update rulemakings.
    \14\ 40 CFR 52.38(a)(2), (b)(2); 52.39(c); 52.2140; 52.2141.
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    In a notice of proposed rulemaking (NPRM) published on August 10, 
2017 (82 FR 37389), EPA proposed to approve the portions of South 
Carolina's May 26, 2017, draft SIP submittal designed to replace the 
CSAPR federal annual SO2 and NOX trading 
programs. Because South Carolina submitted the draft SIP revision for 
parallel processing, EPA's August 10, 2017, proposed rulemaking

[[Page 47938]]

was contingent upon South Carolina providing a final SIP revision that 
was substantively the same as the draft SIP revision. See 82 FR 37389. 
Comments on the NPRM were due on or before September 11, 2017. EPA 
received no adverse comments on the proposed action.
    South Carolina submitted the final version of its SIP revision on 
September 5, 2017.\15\ The September 5, 2017, SIP submittal had no 
substantive changes from the May 26, 2017, draft. Please refer to the 
NPRM for more detailed information regarding the SIP revision and the 
Agency's rationale for today's final rulemaking.
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    \15\ Both the draft and final SIP revisions are provided in the 
docket for this action.
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II. Incorporation by Reference

    In this rule, EPA is finalizing regulatory text that includes 
incorporation by reference. In accordance with requirements of 1 CFR 
51.5, EPA is finalizing the incorporation by reference of South 
Carolina Regulation 61-62.97, entitled ``Cross-State Air Pollution Rule 
(CSAPR) Trading Program,'' state effective on August 25, 2017. EPA has 
made, and will continue to make, these materials generally available 
through www.regulations.gov and/or at the EPA Region 4 Office (please 
contact the person identified in the FOR FURTHER INFORMATION CONTACT 
section of this preamble for more information). Therefore, these 
materials have been approved by EPA for inclusion in the State 
implementation plan, have been incorporated by reference by EPA into 
that plan, are fully federally enforceable under sections 110 and 113 
of the CAA as of the effective date of the final rulemaking of EPA's 
approval, and will be incorporated by reference by the Director of the 
Federal Register in the next update to the SIP compilation.\16\
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    \16\ 62 FR 27968 (May 22, 1997).
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III. Final Actions

    EPA is approving the portions of South Carolina's September 5, 
2017, final SIP submittal concerning the establishment for South 
Carolina units of CSAPR state trading programs for annual 
NOX and SO2 emissions and adopting into the SIP 
the state trading program rules codified in South Carolina regulation 
61-62.97 (``Cross-State Air Pollution Rule (CSAPR) Trading Program''). 
These South Carolina CSAPR state trading programs will be integrated 
with the federal CSAPR NOX Annual Trading Program and the 
federal CSAPR SO2 Group 2 Trading Program, respectively, and 
are substantively identical to the federal trading programs. South 
Carolina units therefore will generally be required to meet 
requirements under South Carolina's CSAPR state trading programs 
equivalent to the requirements the units otherwise would have been 
required to meet under the corresponding CSAPR federal trading 
programs. Under the State's regulations, the State will retain EPA's 
default allowance allocation methodology and EPA will remain the 
implementing authority for administration of the trading programs. EPA 
is approving these portions of the SIP revision because they meet the 
requirements of the CAA and EPA's regulations for approval of a CSAPR 
full SIP revision replacing a federal trading program with a state 
trading program that is integrated with and substantively identical to 
the federal trading program.
    EPA promulgated the FIP provisions requiring South Carolina units 
to participate in the federal CSAPR NOX Annual Trading 
Program and the federal CSAPR SO2 Group 2 Trading Program in 
order to address South Carolina's obligations under CAA section 
110(a)(2)(D)(i)(I) with respect to the 1997 PM2.5 NAAQS in 
the absence of SIP provisions addressing those requirements. Approving 
the portions of South Carolina's SIP submittal adopting CSAPR state 
trading program rules for annual NOX and SO2 
substantively identical to the corresponding CSAPR federal trading 
program regulations (or differing only with respect to the allowance 
allocation methodology) corrects the same deficiency in the SIP that 
otherwise would be corrected by those CSAPR FIPs. Under the CSAPR 
regulations, upon EPA's full and unconditional approval of a SIP 
revision as correcting the SIP's deficiency that is the basis for a 
particular CSAPR FIP, the obligation to participate in the 
corresponding CSAPR federal trading program is automatically eliminated 
for units subject to the state's jurisdiction (but not for any units 
located in any Indian country within the state's borders).\17\ EPA's 
approval of the portions of South Carolina's SIP submittal establishing 
CSAPR state trading program rules for annual NOX and 
SO2 emissions therefore results in automatic termination of 
the obligations of South Carolina units to participate in the federal 
CSAPR NOX Annual Trading Program and the federal CSAPR 
SO2 Group 2 Trading Program. Further, when promulgating the 
FIP provisions requiring South Carolina units to participate in those 
two CSAPR trading programs, EPA found that those FIP requirements would 
fully satisfy South Carolina's obligation pursuant to CAA section 
110(a)(2)(D)(i)(I) to prohibit emissions which will significantly 
contribute to nonattainment or interfere with maintenance of the 1997 
PM2.5 NAAQS in any other state.\18\ This approval of 
portions of South Carolina's SIP revision as correcting the SIP's 
deficiency that was the basis for those FIP requirements therefore 
likewise fully satisfies the state's transport obligation with respect 
to the 1997 PM2.5 NAAQS.
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    \17\ 40 CFR 52.38(a)(6); 52.39(j); see also 52.2140(a)(1); 
52.2141(a).
    \18\ See 76 FR at 48210.
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    As noted in EPA's NPRM, the Phase 2 SO2 budget 
established for South Carolina in the CSAPR rulemaking was remanded to 
EPA for reconsideration.\19\ With the approval of these portions of the 
SIP revision as proposed, South Carolina has fulfilled its obligations 
to provide a SIP that addresses the interstate transport provisions of 
CAA section 110(a)(2)(D)(i)(I) with respect to the 1997 
PM2.5 NAAQS. Thus, EPA no longer has an obligation to (nor 
does EPA have the authority to) address those transport requirements 
through implementation of a FIP, and approval of these portions of the 
SIP revision eliminates South Carolina units' obligations to 
participate in the federal CSAPR NOX Annual Trading Program 
and the federal CSAPR SO2 Group 2 Trading Program. 
Elimination of South Carolina units' obligations to participate in the 
federal trading programs includes elimination of the requirements to 
comply with the federally-established Phase 2 budgets capping 
allocations of CSAPR NOX Annual allowances and CSAPR 
SO2 Group 2 allowances to South Carolina units under those 
federal trading programs. As approval of these portions of the SIP 
revision eliminates requirements to comply with South Carolina's 
remanded federally-established Phase 2 SO2 budget and 
eliminates EPA's authority to subject units in South Carolina to a FIP, 
it is EPA's opinion that this action addresses the judicial remand of 
South Carolina's federally-established Phase 2 SO2 
budget.\20\
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    \19\ EME Homer City II, 795 F.3d at 138.
    \20\ Although the court in EME Homer City II remanded South 
Carolina's Phase 2 SO2 budget because it determined that 
the budget was too stringent, nothing in the court's decision 
affects South Carolina's authority to seek incorporation into its 
SIP of a state-established budget as stringent as the remanded 
federally-established budget or limits EPA's authority to approve 
such a SIP revision. See 42 U.S.C. 7416, 7410(k)(3).

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[[Page 47939]]

IV. 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 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).

This rule for South Carolina does not have Tribal implications as 
specified by Executive Order 13175 (65 FR 67249, November 9, 2000), 
because it does not have substantial direct effects on an Indian Tribe. 
The Catawba Indian Nation Reservation is located within the state of 
South Carolina. Pursuant to the Catawba Indian Claims Settlement Act, 
S.C. Code Ann. 27-16-120, ``all state and local environmental laws and 
regulations apply to the [Catawba Indian Nation] and Reservation and 
are fully enforceable by all relevant state and local agencies and 
authorities.'' However, the rules proposed for approval exclude units 
in Indian country from the applicable requirements of the rules and 
exclude federal trading provisions related to EPA's process for 
allocating and recording allowances from Indian country NUSAs. EPA 
notes this action will not 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 December 12, 2017. 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. 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: September 29, 2017.
Onis ``Trey'' Glenn, III,
Regional Administrator, Region 4.

    40 CFR part 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 A--General Provisions


Sec.  52.38  [Amended]

0
2. Amend Sec.  52.38, paragraph (a)(8)(iii) by removing the words 
``Alabama and Georgia'' and adding the words ``Alabama, Georgia, and 
South Carolina'' in its place.


Sec.  52.39   [Amended]

0
3. Amend Sec.  52.39 paragraph (m)(3) by removing the words ``Alabama 
and Georgia'' and adding the words ``Alabama, Georgia, and South 
Carolina'' in its place.

Subpart PP--South Carolina

0
4. Amend Sec.  52.2120 in the table in paragraph (c) by adding in 
numerical order an entry for ``Regulation No. 62.97'' to read as 
follows:


Sec.  52.2120  Identification of plan.

* * * * *
    (c) * * *

[[Page 47940]]



                                                  Air Pollution Control Regulations for South Carolina
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                                                                State
          State citation                Title/subject      effective date             EPA approval date                   Federal Register notice
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                                                                      * * * * * * *
Regulation No. 62.97..............  Cross-State Air             8/25/2017  10/13/2017............................  [Insert Federal Register citation]
                                     Pollution Rule
                                     (CSAPR) Trading
                                     Program.
 
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[FR Doc. 2017-22128 Filed 10-12-17; 8:45 am]
BILLING CODE 6560-50-P



                                                  47936             Federal Register / Vol. 82, No. 197 / Friday, October 13, 2017 / Rules and Regulations

                                                  ENVIRONMENTAL PROTECTION                                Identification No. EPA–R04–OAR–                        CSAPR requires 27 Eastern states to
                                                  AGENCY                                                  2017–0364. All documents in the docket                 limit their statewide emissions of SO2
                                                                                                          are listed on the www.regulations.gov                  and/or NOX in order to mitigate
                                                  40 CFR Part 52                                          Web site. Although listed in the index,                transported air pollution unlawfully
                                                  [EPA–R04–OAR–2017–0364; FRL–9969–27–                    some information may not be publicly                   impacting other states’ ability to attain
                                                  Region 4]                                               available, i.e., Confidential Business                 or maintain four NAAQS: The 1997
                                                                                                          Information or other information whose                 Annual PM2.5 NAAQS, the 2006 24-hour
                                                  Air Plan Approval; South Carolina;                      disclosure is restricted by statute.                   PM2.5 NAAQS, the 1997 8-hour ozone
                                                  Cross-State Air Pollution Rule                          Certain other material, such as                        NAAQS, and the 2008 8-hour ozone
                                                                                                          copyrighted material, is not placed on                 NAAQS. The CSAPR emissions
                                                  AGENCY:  Environmental Protection
                                                                                                          the Internet and will be publicly                      limitations are defined in terms of
                                                  Agency (EPA).
                                                                                                          available only in hard copy form.                      maximum statewide ‘‘budgets’’ for
                                                  ACTION: Final rule.
                                                                                                          Publicly available docket materials are                emissions of annual SO2, annual NOX,
                                                  SUMMARY:   The Environmental Protection                 available either electronically through                and/or ozone season NOX by each
                                                  Agency (EPA) is taking final action to                  www.regulations.gov or in hard copy at                 covered state’s large EGUs. The CSAPR
                                                  approve portions of a revision to the                   the Air Regulatory Management Section,                 state budgets are implemented in two
                                                  South Carolina State Implementation                     Air Planning and Implementation                        phases of generally increasing
                                                  Plan (SIP) concerning the Cross-State                   Branch, Air, Pesticides and Toxics                     stringency, with the Phase 1 budgets
                                                  Air Pollution Rule (CSAPR). South                       Management Division, U.S.                              applying to emissions in 2015 and 2016
                                                  Carolina submitted a draft version of                   Environmental Protection Agency,                       and the Phase 2 (and CSAPR Update)
                                                  this SIP revision for parallel processing               Region 4, 61 Forsyth Street SW.,                       budgets applying to emissions in 2017
                                                  on May 26, 2017, and a final version on                 Atlanta, Georgia 30303–8960. EPA                       and later years. As a mechanism for
                                                  September 5, 2017. Under CSAPR, large                   requests that if at all possible, you                  achieving compliance with the
                                                  electricity generating units (EGUs) in                  contact the person listed in the FOR                   emissions limitations, CSAPR
                                                  South Carolina are subject to Federal                   FURTHER INFORMATION CONTACT section to                 establishes five federal emissions
                                                  Implementation Plans (FIPs) requiring                   schedule your inspection. The Regional                 trading programs: A program for annual
                                                  the units to participate in CSAPR’s                     Office’s official hours of business are                NOX emissions, two geographically
                                                  federal trading program for annual                      Monday through Friday 8:30 a.m. to                     separate programs for annual SO2
                                                  emissions of nitrogen oxides (NOX) and                  4:30 p.m., excluding federal holidays.                 emissions, and two geographically
                                                  one of CSAPR’s two federal trading                      FOR FURTHER INFORMATION CONTACT:                       separate programs for ozone-season NOX
                                                  programs for annual emissions of sulfur                 Ashten Bailey, Air Regulatory                          emissions. CSAPR also establishes FIP
                                                  dioxide (SO2). This action approves the                 Management Section, Air Planning and                   requirements applicable to the large
                                                  State’s regulations requiring large South               Implementation Branch, Air, Pesticides                 EGUs in each covered state. Currently,
                                                  Carolina EGUs to participate in new                     and Toxics Management Division, U.S.                   the CSAPR FIP provisions require each
                                                  CSAPR state trading programs for                        Environmental Protection Agency,                       state’s units to participate in up to three
                                                  annual NOX and SO2 emissions                            Region 4, 61 Forsyth Street SW.,                       of the five CSAPR trading programs.
                                                  integrated with the CSAPR federal                       Atlanta, Georgia 30303–8960. Ms. Bailey                   CSAPR includes provisions under
                                                  trading programs and incorporates them                  can be reached by telephone at (404)                   which states may submit and EPA will
                                                  into South Carolina’s SIP, replacing the                562–9164 or via electronic mail at                     approve SIP revisions to modify or
                                                  corresponding FIP requirements. These                   bailey.ashten@epa.gov.                                 replace the CSAPR FIP requirements
                                                  CSAPR state trading programs are                        SUPPLEMENTARY INFORMATION:                             while allowing states to continue to
                                                  substantively identical to the CSAPR                                                                           meet their transport-related obligations
                                                  federal trading programs, with the State                I. Background on CSAPR and CSAPR-                      using either CSAPR’s federal emissions
                                                  retaining EPA’s default allowance                       Related SIP Revisions                                  trading programs or state emissions
                                                  allocation methodology and EPA                             EPA issued CSAPR in July 2011 to                    trading programs integrated with the
                                                  remaining the implementing authority                    address the requirements of Clean Air                  federal programs.3 Through such a SIP
                                                  for administration of the trading                       Act (CAA or Act) section                               revision, a state may replace EPA’s
                                                  program. Under the CSAPR regulations,                   110(a)(2)(D)(i)(I) concerning interstate               default provisions for allocating
                                                  approval of these portions of the SIP                   transport of air pollution.1 As amended                emission allowances among the state’s
                                                  revision automatically eliminates South                 (including the 2016 CSAPR Update),2                    units, employing any state-selected
                                                  Carolina units’ obligations to participate                                                                     methodology to allocate or auction the
                                                  in CSAPR’s federal trading programs for                    1 Federal Implementation Plans; Interstate          allowances, subject to timing conditions
                                                  annual NOX and SO2 emissions under                      Transport of Fine Particulate Matter and Ozone and     and limits on overall allowance
                                                  the corresponding CSAPR FIPs                            Correction of SIP Approvals, 76 FR 48208 (August       quantities. In the case of CSAPR’s
                                                                                                          8, 2011) (codified as amended at 40 CFR 52.38 and
                                                  addressing interstate transport                         52.39 and subparts AAAAA through EEEEE of 40           federal trading programs for ozone
                                                  requirements for the 1997 Annual Fine                   CFR part 97).                                          season NOX emissions (or an integrated
                                                  Particulate Matter (PM2.5) national                        2 81 FR 74504 (October 26, 2016). The CSAPR         state trading program), a state may also
                                                  ambient air quality standards (NAAQS).                  Update was promulgated to address interstate           expand trading program applicability to
                                                                                                          pollution with respect to the 2008 ozone NAAQS
                                                  Approval of these portions of the SIP                   and to address a judicial remand of certain original
                                                                                                                                                                 include certain smaller EGUs.4 If a state
                                                  revision satisfies South Carolina’s good                CSAPR ozone season NOX budgets promulgated
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                                                  neighbor obligation for the 1997 Annual                 with respect to the 1997 ozone NAAQS. 81 FR at            3 See 40 CFR 52.38, 52.39. States also retain the

                                                  PM2.5 NAAQS. EPA is not acting on any                   74505. The CSAPR Update established new                ability to submit SIP revisions to meet their
                                                                                                          emission reduction requirements addressing the         transport-related obligations using mechanisms
                                                  other portion of the September 5, 2017                  more recent NAAQS and coordinated them with the        other than the CSAPR federal trading programs or
                                                  submittal.                                              remaining emission reduction requirements              integrated state trading programs.
                                                  DATES: This rule is effective November                  addressing the older NAAQS, so that starting in           4 States covered by both the CSAPR Update and

                                                  13, 2017.                                               2017, CSAPR includes two geographically separate       the NOX SIP Call have the additional option to
                                                                                                          trading programs for ozone season NOX emissions        expand applicability under the CSAPR NOX Ozone
                                                  ADDRESSES: EPA has established a                        covering EGUs in a total of 23 states. See 40 CFR      Season Group 2 Trading Program to include non-
                                                  docket for this action under Docket                     52.38(b)(1)–(2).                                       electric generating units that would have



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                                                                      Federal Register / Vol. 82, No. 197 / Friday, October 13, 2017 / Rules and Regulations                                                      47937

                                                  wants to replace CSAPR FIP                                a full SIP revision. First, upon EPA’s                       budget.12 EPA notes that nothing in the
                                                  requirements with SIP requirements                        approval of a full SIP revision as                           court’s decision affects South Carolina’s
                                                  under which the state’s units participate                 correcting the deficiency in the state’s                     authority to seek incorporation into its
                                                  in a state trading program that is                        implementation plan that was the basis                       SIP of a state-established budget as
                                                  integrated with and identical to the                      for a particular set of CSAPR FIP                            stringent as the remanded federally-
                                                  federal trading program even as to the                    requirements, the obligation to                              established budget or limits EPA’s
                                                  allocation and applicability provisions,                  participate in the corresponding CSAPR                       authority to approve such a SIP
                                                  the state may submit a SIP revision for                   federal trading program is automatically                     revision. The CSAPR regulations
                                                  that purpose as well. However, no                         eliminated for units subject to the state’s                  provide each covered state with the
                                                  emissions budget increases or other                       jurisdiction without the need for a                          option to meet its transport obligations
                                                  substantive changes to the trading                        separate EPA withdrawal action, so long                      through SIP revisions replacing the
                                                  program provisions are allowed. A state                   as EPA’s approval of the SIP is full and                     federal trading programs and requiring
                                                  whose units are subject to multiple                       unconditional.8 Second, approval of a                        the state’s EGUs to participate in
                                                  CSAPR FIPs and federal trading                            full SIP revision does not terminate the                     integrated CSAPR state trading
                                                  programs may submit SIP revisions to                      obligation to participate in the                             programs that apply emissions budgets
                                                  modify or replace either some or all of                   corresponding CSAPR federal trading                          of the same or greater stringency. Under
                                                  those FIP requirements.                                   program for any units located in any                         the CSAPR regulations, when such a SIP
                                                     States can submit two basic forms of                   Indian country within the borders of the                     revision is approved, the corresponding
                                                  CSAPR-related SIP revisions effective                     state, and if and when a unit is located                     FIP provisions are automatically
                                                  for emissions control periods in 2017 or                  in Indian country within a state’s                           withdrawn.
                                                  later years.5 Specific conditions for                     borders, EPA may modify the SIP                                 In the CSAPR rulemaking, EPA
                                                  approval of each form of SIP revision                     approval to exclude from the SIP, and                        determined that air pollution
                                                  are set forth in the CSAPR regulations.                   include in the surviving CSAPR FIP                           transported from South Carolina would
                                                  Under the first alternative—an                            instead, certain trading program                             unlawfully affect other states’ ability to
                                                  ‘‘abbreviated’’ SIP revision—a state may                  provisions that apply jointly to units in                    attain or maintain the 1997 Annual
                                                  submit a SIP revision that upon                           the state and to units in Indian country                     PM2.5 NAAQS.13 South Carolina units
                                                  approval replaces the default allowance                   within the state’s borders.9 Finally, if at                  meeting the CSAPR applicability criteria
                                                  allocation and/or applicability                           the time a full SIP revision is approved                     were consequently made subject to FIP
                                                  provisions of a CSAPR federal trading                     EPA has already started recording                            provisions requiring participation in
                                                  program for the state.6 Approval of an                    allocations of allowances for a given                        CSAPR federal trading programs for
                                                  abbreviated SIP revision leaves the                       control period to a state’s units, the                       annual SO2 and annual NOX
                                                  corresponding CSAPR FIP and all other                     federal trading program provisions                           emissions.14 On May 26, 2017, South
                                                  provisions of the relevant federal                        authorizing EPA to complete the process                      Carolina submitted to EPA a draft SIP
                                                  trading program in place for the state’s                  of allocating and recording allowances                       revision including provisions that, if all
                                                  units.                                                    for that control period to those units                       portions were approved, would
                                                     Under the second alternative—a                         will continue to apply, unless EPA’s                         incorporate into South Carolina’s SIP
                                                  ‘‘full’’ SIP revision—a state may submit                  approval of the SIP revision provides                        CSAPR state trading program
                                                  a SIP revision that upon approval                         otherwise.10                                                 regulations that would replace the
                                                  replaces a CSAPR federal trading                             On July 28, 2015, the United States                       CSAPR regulations for the two federal
                                                  program for the state with a state trading                Court of Appeals for the District of                         trading programs with regard to South
                                                  program integrated with the federal                       Columbia Circuit (D.C. Circuit) issued a                     Carolina units.
                                                  trading program, so long as the state                     decision on a number of petitions                               In a notice of proposed rulemaking
                                                  trading program is substantively                          related to CSAPR, which found that                           (NPRM) published on August 10, 2017
                                                  identical to the federal trading program                  EPA required more emissions                                  (82 FR 37389), EPA proposed to approve
                                                  or does not substantively differ from the                 reductions than may have been                                the portions of South Carolina’s May 26,
                                                  federal trading program except as                         necessary to address the downwind air                        2017, draft SIP submittal designed to
                                                  discussed previously with regard to the                   quality problems to which some states                        replace the CSAPR federal annual SO2
                                                  allowance allocation and/or                               contribute. The court remanded several                       and NOX trading programs. Because
                                                  applicability provisions.7 For purposes                   CSAPR emission budgets to EPA for                            South Carolina submitted the draft SIP
                                                  of a full SIP revision, a state may either                reconsideration, including the Phase 2                       revision for parallel processing, EPA’s
                                                  adopt state rules with complete trading                   SO2 trading budget for South Carolina.11                     August 10, 2017, proposed rulemaking
                                                  program language, incorporate the                         However, South Carolina has proposed
                                                  federal trading program language into its                 to voluntarily adopt into their SIP a                          12 See memo entitled ‘‘The U.S. Environmental

                                                  state rules by reference (with                            CSAPR state trading program that is                          Protection Agency’s Plan for Responding to the
                                                  appropriate conforming changes), or                                                                                    Remand of the Cross-State Air Pollution Rule Phase
                                                                                                            integrated with the federal trading                          2 SO2 Budgets for Alabama, Georgia, South Carolina
                                                  employ a combination of these                             program and includes a state-                                and Texas’’ from Janet G. McCabe, EPA Acting
                                                  approaches.                                               established SO2 budget equal to the                          Assistant Administrator for Air and Radiation, to
                                                     The CSAPR regulations identify                                                                                      EPA Regional Air Division Directors (June 27,
                                                                                                            state’s remanded Phase 2 SO2 emission                        2016), available at https://www.regulations.gov/
                                                  several important consequences and
                                                                                                                                                                         document?D=EPA-HQ-OAR-2016-0598-0003. The
                                                  limitations associated with approval of                     8 40  CFR 52.38(a)(6), (b)(10)(i); 52.39(j).               memo directs the Regional Air Division Directors to
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                                                                                                              9 40  CFR 52.38(a)(5)(iv)–(v), (a)(6), (b)(5)(v)–(vi),     share the memo with state officials. EPA also
                                                  participated in the former NOX Budget Trading             (b)(9)(vi)–(vii), (b)(10)(i); 52.39(f)(4)–(5), (i)(4)–(5),   communicated orally with officials in Alabama,
                                                  Program.                                                  (j).                                                         Georgia, South Carolina, and Texas in advance of
                                                     5 CSAPR also provides for a third, more                   10 40 CFR 52.38(a)(7), (b)(11)(i); 52.39(k).              the memo.
                                                  streamlined form of SIP revision that is effective           11 EME Homer City Generation, L.P. v. EPA (EME              13 See 76 FR at 48213. The NPRM contains a more
                                                  only for control periods in 2016 and is not relevant      Homer City II), 795 F.3d 118 (D.C. Cir. 2015). The           detailed summary of EPA’s determinations with
                                                  here. See 40 CFR 52.38(a)(3), (b)(3), (b)(7); 52.39(d),   D.C. Circuit also remanded SO2 budgets for                   regard to South Carolina in the CSAPR and the
                                                  (g).                                                      Alabama, Georgia, and Texas. The court also                  CSAPR Update rulemakings.
                                                     6 40 CFR 52.38(a)(4), (b)(4), (b)(8); 52.39(e), (h).
                                                                                                            remanded Phase 2 ozone-season NOX budgets for                  14 40 CFR 52.38(a)(2), (b)(2); 52.39(c); 52.2140;
                                                     7 40 CFR 52.38(a)(5), (b)(5), (b)(9); 52.39(f), (i).   eleven states, including South Carolina.                     52.2141.



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                                                  47938              Federal Register / Vol. 82, No. 197 / Friday, October 13, 2017 / Rules and Regulations

                                                  was contingent upon South Carolina                      substantively identical to the federal                participate in those two CSAPR trading
                                                  providing a final SIP revision that was                 trading programs. South Carolina units                programs, EPA found that those FIP
                                                  substantively the same as the draft SIP                 therefore will generally be required to               requirements would fully satisfy South
                                                  revision. See 82 FR 37389. Comments                     meet requirements under South                         Carolina’s obligation pursuant to CAA
                                                  on the NPRM were due on or before                       Carolina’s CSAPR state trading                        section 110(a)(2)(D)(i)(I) to prohibit
                                                  September 11, 2017. EPA received no                     programs equivalent to the requirements               emissions which will significantly
                                                  adverse comments on the proposed                        the units otherwise would have been                   contribute to nonattainment or interfere
                                                  action.                                                 required to meet under the                            with maintenance of the 1997 PM2.5
                                                     South Carolina submitted the final                   corresponding CSAPR federal trading                   NAAQS in any other state.18 This
                                                  version of its SIP revision on September                programs. Under the State’s regulations,              approval of portions of South Carolina’s
                                                  5, 2017.15 The September 5, 2017, SIP                   the State will retain EPA’s default                   SIP revision as correcting the SIP’s
                                                  submittal had no substantive changes                    allowance allocation methodology and                  deficiency that was the basis for those
                                                  from the May 26, 2017, draft. Please                    EPA will remain the implementing
                                                                                                                                                                FIP requirements therefore likewise
                                                  refer to the NPRM for more detailed                     authority for administration of the
                                                                                                                                                                fully satisfies the state’s transport
                                                  information regarding the SIP revision                  trading programs. EPA is approving
                                                                                                          these portions of the SIP revision                    obligation with respect to the 1997
                                                  and the Agency’s rationale for today’s
                                                                                                          because they meet the requirements of                 PM2.5 NAAQS.
                                                  final rulemaking.
                                                                                                          the CAA and EPA’s regulations for                        As noted in EPA’s NPRM, the Phase
                                                  II. Incorporation by Reference                          approval of a CSAPR full SIP revision                 2 SO2 budget established for South
                                                     In this rule, EPA is finalizing                      replacing a federal trading program with              Carolina in the CSAPR rulemaking was
                                                  regulatory text that includes                           a state trading program that is integrated            remanded to EPA for reconsideration.19
                                                  incorporation by reference. In                          with and substantively identical to the               With the approval of these portions of
                                                  accordance with requirements of 1 CFR                   federal trading program.                              the SIP revision as proposed, South
                                                  51.5, EPA is finalizing the incorporation                  EPA promulgated the FIP provisions                 Carolina has fulfilled its obligations to
                                                  by reference of South Carolina                          requiring South Carolina units to                     provide a SIP that addresses the
                                                  Regulation 61–62.97, entitled ‘‘Cross-                  participate in the federal CSAPR NOX                  interstate transport provisions of CAA
                                                  State Air Pollution Rule (CSAPR)                        Annual Trading Program and the federal                section 110(a)(2)(D)(i)(I) with respect to
                                                  Trading Program,’’ state effective on                   CSAPR SO2 Group 2 Trading Program in                  the 1997 PM2.5 NAAQS. Thus, EPA no
                                                  August 25, 2017. EPA has made, and                      order to address South Carolina’s                     longer has an obligation to (nor does
                                                  will continue to make, these materials                  obligations under CAA section
                                                                                                                                                                EPA have the authority to) address those
                                                  generally available through                             110(a)(2)(D)(i)(I) with respect to the
                                                                                                                                                                transport requirements through
                                                  www.regulations.gov and/or at the EPA                   1997 PM2.5 NAAQS in the absence of
                                                                                                          SIP provisions addressing those                       implementation of a FIP, and approval
                                                  Region 4 Office (please contact the
                                                                                                          requirements. Approving the portions of               of these portions of the SIP revision
                                                  person identified in the FOR FURTHER
                                                                                                          South Carolina’s SIP submittal adopting               eliminates South Carolina units’
                                                  INFORMATION CONTACT section of this
                                                                                                          CSAPR state trading program rules for                 obligations to participate in the federal
                                                  preamble for more information).
                                                  Therefore, these materials have been                    annual NOX and SO2 substantively                      CSAPR NOX Annual Trading Program
                                                  approved by EPA for inclusion in the                    identical to the corresponding CSAPR                  and the federal CSAPR SO2 Group 2
                                                  State implementation plan, have been                    federal trading program regulations (or               Trading Program. Elimination of South
                                                  incorporated by reference by EPA into                   differing only with respect to the                    Carolina units’ obligations to participate
                                                  that plan, are fully federally enforceable              allowance allocation methodology)                     in the federal trading programs includes
                                                  under sections 110 and 113 of the CAA                   corrects the same deficiency in the SIP               elimination of the requirements to
                                                  as of the effective date of the final                   that otherwise would be corrected by                  comply with the federally-established
                                                  rulemaking of EPA’s approval, and will                  those CSAPR FIPs. Under the CSAPR                     Phase 2 budgets capping allocations of
                                                  be incorporated by reference by the                     regulations, upon EPA’s full and                      CSAPR NOX Annual allowances and
                                                  Director of the Federal Register in the                 unconditional approval of a SIP revision              CSAPR SO2 Group 2 allowances to
                                                  next update to the SIP compilation.16                   as correcting the SIP’s deficiency that is            South Carolina units under those federal
                                                                                                          the basis for a particular CSAPR FIP, the             trading programs. As approval of these
                                                  III. Final Actions                                      obligation to participate in the                      portions of the SIP revision eliminates
                                                     EPA is approving the portions of                     corresponding CSAPR federal trading                   requirements to comply with South
                                                  South Carolina’s September 5, 2017,                     program is automatically eliminated for               Carolina’s remanded federally-
                                                  final SIP submittal concerning the                      units subject to the state’s jurisdiction             established Phase 2 SO2 budget and
                                                  establishment for South Carolina units                  (but not for any units located in any                 eliminates EPA’s authority to subject
                                                  of CSAPR state trading programs for                     Indian country within the state’s                     units in South Carolina to a FIP, it is
                                                  annual NOX and SO2 emissions and                        borders).17 EPA’s approval of the                     EPA’s opinion that this action addresses
                                                  adopting into the SIP the state trading                 portions of South Carolina’s SIP                      the judicial remand of South Carolina’s
                                                  program rules codified in South                         submittal establishing CSAPR state                    federally-established Phase 2 SO2
                                                  Carolina regulation 61–62.97 (‘‘Cross-                  trading program rules for annual NOX                  budget.20
                                                  State Air Pollution Rule (CSAPR)                        and SO2 emissions therefore results in
                                                  Trading Program’’). These South                         automatic termination of the obligations                18 See  76 FR at 48210.
                                                  Carolina CSAPR state trading programs                   of South Carolina units to participate in
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                                                                                                                                                                  19 EME   Homer City II, 795 F.3d at 138.
                                                  will be integrated with the federal                     the federal CSAPR NOX Annual Trading                     20 Although the court in EME Homer City II

                                                  CSAPR NOX Annual Trading Program                        Program and the federal CSAPR SO2                     remanded South Carolina’s Phase 2 SO2 budget
                                                  and the federal CSAPR SO2 Group 2                       Group 2 Trading Program. Further,                     because it determined that the budget was too
                                                                                                          when promulgating the FIP provisions                  stringent, nothing in the court’s decision affects
                                                  Trading Program, respectively, and are                                                                        South Carolina’s authority to seek incorporation
                                                                                                          requiring South Carolina units to                     into its SIP of a state-established budget as stringent
                                                    15 Both the draft and final SIP revisions are
                                                                                                                                                                as the remanded federally-established budget or
                                                  provided in the docket for this action.                   17 40 CFR 52.38(a)(6); 52.39(j); see also           limits EPA’s authority to approve such a SIP
                                                    16 62 FR 27968 (May 22, 1997).                        52.2140(a)(1); 52.2141(a).                            revision. See 42 U.S.C. 7416, 7410(k)(3).



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                                                                    Federal Register / Vol. 82, No. 197 / Friday, October 13, 2017 / Rules and Regulations                                              47939

                                                  IV. Statutory and Executive Order                       practicable and legally permissible                   purposes of judicial review nor does it
                                                  Reviews                                                 methods, under Executive Order 12898                  extend the time within which a petition
                                                     Under the CAA, the Administrator is                  (59 FR 7629, February 16, 1994).                      for judicial review may be filed, and
                                                  required to approve a SIP submission                    This rule for South Carolina does not                 shall not postpone the effectiveness of
                                                  that complies with the provisions of the                have Tribal implications as specified by              such rule or action. This action may not
                                                  Act and applicable Federal regulations.                 Executive Order 13175 (65 FR 67249,                   be challenged later in proceedings to
                                                  See 42 U.S.C. 7410(k); 40 CFR 52.02(a).                 November 9, 2000), because it does not                enforce its requirements. See section
                                                  Thus, in reviewing SIP submissions,                     have substantial direct effects on an                 307(b)(2).
                                                  EPA’s role is to approve state choices,                 Indian Tribe. The Catawba Indian                      List of Subjects in 40 CFR Part 52
                                                  provided that they meet the criteria of                 Nation Reservation is located within the
                                                  the CAA. Accordingly, this action                       state of South Carolina. Pursuant to the                Environmental protection, Air
                                                  merely approves state law as meeting                    Catawba Indian Claims Settlement Act,                 pollution control, Incorporation by
                                                  Federal requirements and does not                       S.C. Code Ann. 27–16–120, ‘‘all state                 reference, Intergovernmental relations,
                                                  impose additional requirements beyond                   and local environmental laws and                      Nitrogen dioxide, Ozone, Particulate
                                                  those imposed by state law. For that                    regulations apply to the [Catawba Indian              matter, Reporting and recordkeeping
                                                  reason, this action:                                    Nation] and Reservation and are fully                 requirements, Sulfur oxides.
                                                     • Is not a significant regulatory action             enforceable by all relevant state and
                                                                                                                                                                  Dated: September 29, 2017.
                                                  subject to review by the Office of                      local agencies and authorities.’’
                                                                                                                                                                Onis ‘‘Trey’’ Glenn, III,
                                                  Management and Budget under                             However, the rules proposed for
                                                                                                          approval exclude units in Indian                      Regional Administrator, Region 4.
                                                  Executive Orders 12866 (58 FR 51735,
                                                  October 4, 1993) and 13563 (76 FR 3821,                 country from the applicable                               40 CFR part 52 is amended as follows:
                                                  January 21, 2011);                                      requirements of the rules and exclude
                                                     • does not impose an information                     federal trading provisions related to                 PART 52—APPROVAL AND
                                                  collection burden under the provisions                  EPA’s process for allocating and                      PROMULGATION OF
                                                  of the Paperwork Reduction Act (44                      recording allowances from Indian                      IMPLEMENTATION PLANS
                                                  U.S.C. 3501 et seq.);                                   country NUSAs. EPA notes this action
                                                     • is certified as not having a                       will not impose substantial direct costs              ■ 1. The authority citation for part 52
                                                  significant economic impact on a                        on Tribal governments or preempt                      continues to read as follows:
                                                  substantial number of small entities                    Tribal law.
                                                                                                             The Congressional Review Act, 5                        Authority: 42.U.S.C. 7401 et seq.
                                                  under the Regulatory Flexibility Act (5
                                                  U.S.C. 601 et seq.);                                    U.S.C. 801 et seq., as added by the Small             Subpart A—General Provisions
                                                     • does not contain any unfunded                      Business Regulatory Enforcement
                                                  mandate or significantly or uniquely                    Fairness Act of 1996, generally provides              § 52.38    [Amended]
                                                  affect small governments, as described                  that before a rule may take effect, the
                                                                                                          agency promulgating the rule must                     ■ 2. Amend § 52.38, paragraph (a)(8)(iii)
                                                  in the Unfunded Mandates Reform Act
                                                                                                          submit a rule report, which includes a                by removing the words ‘‘Alabama and
                                                  of 1995 (Pub. L. 104–4);
                                                     • does not have Federalism                           copy of the rule, to each House of the                Georgia’’ and adding the words
                                                  implications as specified in Executive                  Congress and to the Comptroller General               ‘‘Alabama, Georgia, and South Carolina’’
                                                  Order 13132 (64 FR 43255, August 10,                    of the United States. EPA will submit a               in its place.
                                                  1999);                                                  report containing this action and other               § 52.39    [Amended]
                                                     • is not an economically significant                 required information to the U.S. Senate,
                                                  regulatory action based on health or                    the U.S. House of Representatives, and                ■ 3. Amend § 52.39 paragraph (m)(3) by
                                                  safety risks subject to Executive Order                 the Comptroller General of the United                 removing the words ‘‘Alabama and
                                                  13045 (62 FR 19885, April 23, 1997);                    States prior to publication of the rule in            Georgia’’ and adding the words
                                                     • is not a significant regulatory action             the Federal Register. A major rule                    ‘‘Alabama, Georgia, and South Carolina’’
                                                  subject to Executive Order 13211 (66 FR                 cannot take effect until 60 days after it             in its place.
                                                  28355, May 22, 2001);                                   is published in the Federal Register.
                                                     • is not subject to requirements of                  This action is not a ‘‘major rule’’ as                Subpart PP—South Carolina
                                                  Section 12(d) of the National                           defined by 5 U.S.C. 804(2).
                                                  Technology Transfer and Advancement                        Under section 307(b)(1) of the CAA,                ■ 4. Amend § 52.2120 in the table in
                                                  Act of 1995 (15 U.S.C. 272 note) because                petitions for judicial review of this                 paragraph (c) by adding in numerical
                                                  application of those requirements would                 action must be filed in the United States             order an entry for ‘‘Regulation No.
                                                  be inconsistent with the CAA; and                       Court of Appeals for the appropriate                  62.97’’ to read as follows:
                                                     • does not provide EPA with the                      circuit by December 12, 2017. Filing a
                                                                                                                                                                § 52.2120    Identification of plan.
                                                  discretionary authority to address, as                  petition for reconsideration by the
                                                  appropriate, disproportionate human                     Administrator of this final rule does not             *       *    *      *     *
                                                  health or environmental effects, using                  affect the finality of this action for the                (c) * * *
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                                                  47940                 Federal Register / Vol. 82, No. 197 / Friday, October 13, 2017 / Rules and Regulations

                                                                                              AIR POLLUTION CONTROL REGULATIONS FOR SOUTH CAROLINA
                                                                                                                                               State
                                                                 State citation                             Title/subject                                            EPA approval date                 Federal Register notice
                                                                                                                                           effective date


                                                           *                        *                       *                              *                       *                           *                       *
                                                  Regulation No. 62.97 ...................     Cross-State Air Pollution Rule                     8/25/2017     10/13/2017 ........................   [Insert Federal Register
                                                                                                 (CSAPR) Trading Program.                                                                                citation]

                                                             *                          *                       *                          *                        *                           *                     *



                                                  *      *         *       *      *
                                                  [FR Doc. 2017–22128 Filed 10–12–17; 8:45 am]
                                                  BILLING CODE 6560–50–P
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Document Created: 2017-10-13 04:33:59
Document Modified: 2017-10-13 04:33:59
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesThis rule is effective November 13, 2017.
ContactAshten Bailey, 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. Bailey can be reached by telephone at (404) 562-9164 or via electronic mail at [email protected]
FR Citation82 FR 47936 
CFR AssociatedEnvironmental Protection; Air Pollution Control; Incorporation by Reference; Intergovernmental Relations; Nitrogen Dioxide; Ozone; Particulate Matter; Reporting and Recordkeeping Requirements and Sulfur Oxides

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