The Clean Air Act

Overview of the Clean Air Act tool kit: multiple strategies cathedral: not put together at one time

Clean Air Act (1970) principles: by medium control by technology major delegation of authority to the EPA and to the federal government agency-forcing deadlines “cooperative federalism”

1977 amendments mid-course corrections that reacted to failures of 1970 law established program for attainment areas

1990 amendments more complex; more tools and innovations “fix” of hazardous air pollutants creation of emissions trading program established national permitting program added requirements in non-attainment areas

Did you know… Even with all these tools, the CAA doesn’t regulate the air we breathe percent of the time? Why?

Major provisions Two major titles: Title 1: stationary sources –sources that emit air pollutants from stacks Title 2: mobile sources –direct federal regulation of automobile emissions/fuel

National Ambient Air Quality Standards (NAAQS) centerpiece of CAA Sec. 108: EPA set standards for criteria pollutants Sec. 109: Set NAAQS under a rule-making process, reviewed every 5 years primary standards: protective of human health, without regard for cost Secondary standards: protective of welfare

Still… Despite great progress in air quality improvement, approximately 146 million people nationwide lived in counties with pollution levels above the NAAQS in Out of the 230 nonattainment areas identified during the 1990 Clean Air Act Amendments designation process, 124 areas remain. (EPA)

setting tougher standards difficult to do: usually accomplished only after court order Example: ozone and particulate standards EPA ordered to set new standards Supreme Court upheld EPA standards Whitman v. American Trucking Assn. (2001) States must comply

Current and Revised Standards for Ozone Ozone old primary standard: the daily maximum 1-hour average concentration measured by a continuous ambient air monitor must not exceed 0.12 ppm more than once per year, averaged over 3 consecutive years. New standard: the 3-year average of the fourth-highest daily maximum 8-hour average of continuous ambient air monitoring data over each year must not exceed 0.08 ppm.

New ozone standard will increase the number of people living in non- attainment areasozoneareas

State Implementation Plans (SIPs) (Section 110): states develop a plan to get “clean” air (EPA approves) State sets specific emission limitations for sources within Air Quality Control Regions (AQCR) show “attainment and maintenance” of NAAQS through monitoringmonitoring AQCR (counties) attainment or nonattainment

Example Rush Limbaugh, new Governor of Wisconsin, wants to attract more industry to the state. can he: vary the NAAQS between AQCRs? be successful in challenging EPA’s NAAQS based upon asthmatics and the elderly? vary the emission limitations for VOCs for companies?

Old versus new sources CAA is much more forgiving of existing sources If a new company that is a major source, or existing company is modified, additional burdens

What must new sources do? Meet the New Source Performance Standards Meet the New Source Review for attainment or non-attainment areas

New Source Performance Standards (NSPS) 60 categories of sources established by EPA according to industry type each category must use adequately demonstrated technology taking into account cost and energy requirements facilities must comply with both NSR and NSPS

New sources in Non-Attainment Areas If a major new sources (10 to 100 tpy of criteria pollutant), must get a state permit Permit condition right to build on emissions control AND reductions OFFSETS (at least 1:1.1) Lowest Achievable Emission Rate (LAER)

New sources in PSD (attainment) areas 1977 amendments If a major source, must get a state permit and demonstrate that will not violate PSD increments use Best Available Control Technology

Example What must you do if you are a new source? How does location affect your decision?

National Emissions Standards for Hazardous Air Pollutants (NESHAPs) Sec. 112: EPA regulates air toxins apply to local areas (such as around chemical plants) : health-based standard in 20 years, EPA managed to regulate only 7 HAPs

NESHAPs (1990): technology based List of 189 air toxins EPA must come up with Maximum Achievable Control Technology standards facilities must comply if emit 10 tpy of any one air toxic, or 25 tpy of any combination Mercury standard

Acid rain trading provisions (1990) innovative approach to reduce emissions of sulfur dioxide from power plants “cap and trade” system: nationwide cap on total SO2 emissions=8.95 million tpy; 50% reduction over 1980 levels marketable allowance=1 ton of SO2 (based upon historic emissions)

Acid rain program Phase I: 110 power plants “big dirties” 1995 Phase II: rest of power plants 2000 buy, sell or trade allowances through private or public sales (CBOT every March) Allowances are fully marketable commodities.

Volume of allowances

Results reduction in SO2 with lower costs Monitoring system to ensure compliance No “grandfathered” sources Lots of players in auctionauction regional transfer of pollution issues—New York

Title V: National Permit System single document that includes air emission from one source result is a compendium of all emission limitations

Title VI: Stratospheric Ozone Protection codification of the Montreal Protocol signed by 162 countries in 1987 Class I substances CFCs; halons phased out by year 2000 Bush (Sr.) administration accelerated phaseout-- no production as of 1996 Class II substances: HCFCs phased out by year 2030, some Class II substances by 2003

Clean Air Act: Title Two

Mobile sources of air pollution Nation’s largest single source of air pollution

Mobile Source Controls Two strategies: control tailpipe emissions (1970 strategy) change fuel (1990 CAAA)

Tighter tailpipe controls 1970 Act: 90% of CO and hydrocarbons by 1975 series of extensions: 1981 achieved reductions 1990 Act: further reductions

Reformulated Gasoline Programs Year-round RFG: since 1995, “severe” or “extreme” ozone nonattainment areas (90 counties) must use RFG that is at least 2% oxygen by weight (ethanol and MTBE).90 counties MTBE controversy and state bansstate bans Transportation conformity requirements

Transportation control measures employee commute options employers of 100 or more in 9 worst ozone nonattainment areas reduce work-related trips by 25%. controversial: subsequent legislation allows states to remove ECO requirements from SIPs, as long as can demonstrate they will obtain equivalent reductions