CANDACE CARRAWAY OFFICE OF AIR QUALITY PLANNING AND STANDARDS US EPA JUNE 2013 General Permits and Permits by Rule 1

Major Topics 2  Review the basics of general permits (GPs) and permits by rule (PBR)  Pros and cons of these permits  How these permits fit into the Tribal NSR rule  Status report on EPA’s development of these permits  Review of an excerpt from a proposed PBR

Types of Minor Source Permits EPA Can Issue Under the Tribal NSR Rule 3  Source specific permit (including synthetic minor permit)  General permit  Permit by rule (to be added)

Basics on General Permits (GPs) and Permits by Rule (PBR)  Provide for protection of air quality while simplifying the permit process for similar minor sources  In the minor NSR context, these are preconstruction permits that cover pollution sources that have similar pieces of equipment and similar control requirements  Both contain a standard set of requirements that apply to specific equipment or activities 4

What Do GPs and PBR Have in Common?  Generally intended to cover smaller sources of emissions  Facility must obtain permit before construction and comply with terms when operating  They are optional; facility can choose to go through the regular minor NSR permitting process instead 5

What Do GPs and PBR Have in Common?  Development:  Standardized terms and conditions are developed for a category of sources or pollutant-emitting activity  Public notice and comment occurs before EPA finalizes the permit  A final GP or PBR is final agency action  Permit terms:  Emission limits/requirements for control equipment, monitoring, record keeping and reporting requirements, etc. 6

What Do GPs and PBR Have in Common?  Process for obtaining coverage:  Source applies for coverage under the “umbrella” of the pre-established GP or PBR  Application requires less information than for a source-specific permit  Source must submit a copy of its request for coverage to the Tribe when it submits the request to the reviewing authority 7

What Do GPs and PBR Have in Common? 8  Approval and notification:  Reviewing authority will issue an approval of the request for coverage if source qualifies  Reviewing authority will notify the public if it issues an approval of the request for coverage  Public can challenge whether sources qualifies for the GP or PBR, but may not challenge the terms and conditions of the permit

Comparison of GPs and PBR  General permits:  More complex operations  Permit applications from individual sources may require more source-specific information than application for PBR  Reviewing authority needs to conduct more involved review to evaluate whether individual source meets criteria in GP 9

Comparison of GPs and PBR  Permits by rule:  More standardized and easier to implement because they require less information from individual sources applying for a permit  Well suited for Sources that emit few criteria pollutants Less complex operations  Permit conditions governing source operation, monitoring and recordkeeping are pre-defined in the rule 10

Pros and Cons of GPs and PBR  Significantly reduce the time, expense and complexity related to the preparation and review of permit applications  Allow permit staff to devote more time to permits for facilities with more complex permit requirements  Permits can be issued relatively quickly saving facilities time and money  Provide a guaranteed control plan and maximum allowable emissions rate for sources that qualify  Public may be unaware of their review opportunities until the facility applies for coverage, which is too late to comment on the permit itself 11

Connection to Permit Application Deadlines in Tribal Minor NSR Rule  Minor sources that commence construction or any stationary source that undertakes a minor modification on or after must obtain a minor NSR preconstruction permit  EPA intends for sources to be able to seek coverage under a general permit once it is effective  Plan to clarify requirements under the Tribal NSR rule  Currently rule says that sources covered by a general permit must obtain a permit within 6 months of publication or , whichever is earlier 12

Tribal NSR Update: Bundle #1 (6 categories)  Categories  Gas dispensing facilities  Auto body and miscellaneous surface coating  Petroleum dry cleaners  Rock crushing facilities  Hot mix asphalt plants  Landfills  Proposal target date: Summer 2013  Final target date: Fall

Tribal NSR Update: Bundle #2 (6 categories)  Categories:  Boilers  Engines  Printing Operations (including degreasing/solvent cleaning)  Stone Quarrying and Processing  Concrete Batch Plant  Saw Mills  Proposal target date: Fall 2013  Final target date: February

Tribal NSR Update: Bundle #3 15  Category: Oil and gas operations and production  Target date proposal: TBD  Target date final: September 2014

Reconsideration of Policy on General Permits for Synthetic Minors  Current policy is not to allow the use of general permits to create synthetic minor sources  In Bundle #1 permit package, we plan to discuss and seek comment on reconsideration of policy on use of general permits to create synthetic minors 16

Public Involvement Process 17  To establish PBR, EPA will conduct a rulemaking (with opportunity for public comment and to request a hearing)  To establish GPs, EPA will conduct a rulemaking (with opportunity for public comment and to request a hearing) or will provide notice and 30-day comment period and opportunity to request a hearing

Excerpt from Ohio Proposed PBR 18  Identifies source category and criteria for applicability  Lists emission limitations, conditions for operation and requirements for record keeping and reporting  Facilities apply by sending notification form to Ohio EPA stating the source meets the PBR criteria and will operate according to the PBR conditions  To address public notice concerns, state lists PBR sources in data base

Summary 19  Two options for minor NSR permits in Indian country are:  Source specific permits (including synthetic minors)  General permits  Plan to create a third option: permits by rule  General permits and permits by rule:  Cover pollution sources that have similar pieces of equipment and similar control requirements  Have a simplified application and issuance process  Include a standardized set of requirements that apply to specific equipment or activities  Have public review of the permit when the rule or permit is drafted