1. Environmental Protection Division Air Quality Update Georgia EPD Jimmy Johnston Georgia Environmental Protection Division August 5, 2011

2. Environmental Protection Division Topics NAAQS Revisions and Impact on Georgia Nonattainment Re-designations Revisions to VOC Regulations Calendar Year 2010 Fee Structure Permitting –GHG –PSD Permitting Guidance

4. Pollutant NAAQS Prom. Date Governor’s Rec. Due to EPA Designations Effective (approximate date) Attainment Plans Due (3 yrs after NAAQS promulgation) Attainment Dem. Due Attainment Date Notes & Impacts to GA PbOct 2008Oct 2009 Nov 2010/2011 (extra time for new monitors) Oct 2011 June 2012/2013 Nov 2015/2016 1. Required to Add 1 monitor at Cartersville Steel Mill. 2. Columbus Monitor relocated. 3. Waiver requested for Plant Bowen monitor. 3. All areas in GA meeting this standard. NO 2 (primary) Jan 2010Jan 2011Feb 2012Jan 2013Aug 2013Feb 2017 1. Required to add 3 roadside NO2 monitors (2 in Atlanta and 1 in Augusta) by Jan. 2013 2. All areas in GA meeting this standard 3. Permitting new NO2 (combustion sources) more difficult. 4. Roadside monitors could show nonattainment SO 2 (primary) June 2010June 2011July 2012June 2013Jan 2014July 2017 1. All areas in GA meeting this standard 2. 110(a) SIP expected to require us to model all large SO2 sources. Could result in industry/utility SO2 reductions. 3. Permitting new SO2 sources more difficult. Ozone2011?2012???? 1. Expect standard to be 65ppb or 70ppb 2. More nonattainment areas: Macon, Athens, North GA affected at 70, more at 65, all at 60. 3. Some areas classified as “moderate” or above by EPA required to implement I/M programs. 4. Proposed rule may require more monitors by 2012 (Whitfield, Floyd, Hall, Houston, Dougherty, Liberty, Lowndes, Coffee) COAug 2011 Not applicable 1. Designations not Required if Standard Remains as is. 2. Proposal to add roadside CO monitors in Atlanta) by January 1, 2013 PM 2.5 (2011) Oct 2011Oct 2012Dec 2013Oct 2014Dec 2016 Dec 2018/2023 Preliminary indications are that standard will become more stringent again. NO 2 /SO 2 Secondary March 2012 Not applicable 1Designations not Required if Standard Remains as is. Anticipated NAAQS Implementation Milestones

5. Ozone NAAQS Promulgation Date – 2011? Governor’s Recommendation Due to EPA – 2012? Designations Effective – 2013? –Based on 2010-12 data? 110(a) SIPs Due – 2014? (3 years after NAAQS promulgation) –Transport Rule II (son of CSAPR?) may satisfy interstate transport element Attainment Demonstrations Due – 2016? –not required for marginal areas Attainment Dates: –Marginal: 2016? –Moderate: 2019? –Serious: 2022? Environmental Protection Division

6. Ozone Ambient Monitoring Data Monitor200820092010 ‘08-’10 DV 2011 to date ‘11 crtical 60657075 Augusta 0.0770.0650.0720.071 0.0440.0590.0740.089 Evans 0.0750.0640.0680.069 0.071 0.0490.0640.0790.094 Columbus 0.0730.0650.0680.069 0.066 0.0480.0630.0780.093 Macon 0.0800.0700.0710.074 0.078 0.0400.0550.0700.085 Ft. Mountain 0.0770.0690.073 0.0390.0540.0690.084 Dawsonville 0.0750.0670.0730.072 0.066 0.0410.0560.0710.086 Summerville 0.0680.0650.067 0.062 0.0490.0640.0790.094 Leslie 0.0680.0600.0690.066 0.0520.0670.0820.097 Brunswick 0.0670.0570.0660.063 0.0580.0730.0880.103 Savannah 0.0670.0620.065 0.063 0.0540.0690.0840.099 Athens 0.0770.0670.0730.072 0.075 0.0410.0560.0710.086 Atlanta 0.0860.0770.0800.081 0.084 0.0240.0390.0540.069 Gwinnett 0.0810.0730.0720.075 0.082 0.0360.0510.0660.081 Conyers 0.0900.0700.0760.079 0.0350.0500.0650.080 McDonough 0.0860.0740.0780.079 0.0290.0440.0590.074 Douglasville 0.0800.0720.0740.075 0.073 0.0350.0500.0650.080 Decatur 0.0870.0770.0750.080 0.0290.0440.0590.074 Newnan 0.0750.065 0.068 0.069 0.0510.0660.0810.096 Kennesaw 0.0790.0760.0790.078 0.077 0.0260.0410.0560.071 Yorkville 0.0730.0670.0710.070 0.073 0.0430.0580.0730.088

7. SO2 NAAQS Final SO2 NAAQS in FR (75 FR 35520) on June 22, 2010 (signed June 2, 2010) Governor’s Recommendations Submitted to EPA - June 2011 –Recommends that all counties be designated attainment Designations Effective – July 2012 110(a) “Infrastructure” SIPs Due – June 2013 Environmental Protection Division

8. SO2 NAAQS –Section 110(a)(1) “Infrastructure SIP” In final rule preamble, EPA says: Traditionally, for areas that were designated ‘‘attainment’’ or ‘‘unclassifiable’’, we accepted State submissions of prevention of significant deterioration (PSD) permitting programs and other ‘‘infrastructure’’ SIP elements contained in CAA section 110(a)(2) as being sufficient to satisfy the section 110(a)(1) SIP submission requirement. (75 FR 35552) Environmental Protection Division

9. SO2 NAAQS –Section 110(a)(1) “Infrastructure SIP” We currently anticipate that our projected post-designation implementation approach would look to robust CAA section 110(a)(1) SIPs, ….for the new SO2 NAAQS would serve as substantive ‘‘attainment’’ SIPs. …states must use “refined air quality modeling” on “any individual sources with the potential to emit 100 or more tons per year of SO2, and other sources that may also cause or contribute to violations of the new SO2 NAAQS.” …We expect to develop guidance for the States’ use on how best to identify and assess the impact of sources that may have this potential. … we intend to provide an opportunity for notice and comment on this guidance before finalizing it.– (75 FR 35553) Environmental Protection Division

10. PM 2.5 – 2007-2009 Design Value (µg/m3) Highest Monitor in Area standard

11. Environmental Protection Division Ozone – 4 th Highest 8-Hour Value Highest Monitor in Area 2008 standard 1997 standard

12. NAAQS Have Been Attained Floyd County PM 2.5 Nonattainment Area –Clean Data Determination Finalized 4/5/2011 Macon PM 2.5 Nonattainment Area –Clean Data Determination Finalized 6/2/2011 Chattanooga PM 2.5 Nonattainment Area –Clean Data Determination Finalized 5/31/2011 Atlanta Nonattainment Areas –Ozone – Clean Data Determination Finalized 6/23/2011 –PM2.5 – EPA replied to Clean Data Determination request on 4/26/2011, waiting on FR notices Environmental Protection Division

13. Redesignation 6/29/2011 - EPD withdrew the Chattanooga, Floyd County, and Macon Attainment SIPs EPD Developing Maintenance Plans/Re-designation Requests Attainment-Year Inventory Projected Future-Year Inventories Motor Vehicle Emissions Budget Verification of Continued Attainment Contingency Plan Environmental Protection Division

14. Redesignation One Specific Part D Provision for Ozone Moderate Ozone Nonattainment Areas still needs EPA Approval –VOC Reasonably Available Control Technology (RACT) Plan

15. Maintenance Plan Submittal & Approval Propose Maintenance Plan –30 day public notice & comment period –Public hearing Submit Maintenance Plan & Redesignation Request to EPA EPA Approval –6 Months for Completeness Determination –12 Months after Completeness Determination to Approve –EPA proposes approval in Federal Register with opportunity for comment –EPA publishes final approval in Federal Register

16. Advantages of Redesignation No additional nonattainment requirements, such as: –Additional controls –3% per year “rate of progress” reductions for ozone Nonattainment New Source Review provisions can be removed –Ozone nonattainment NSR provisions will likely remain However, Transportation Conformity Still Applies

17. New and Revised VOC Rules Group II CTG Rules –Surface Coating of Flat Wood Paneling - revision to existing GA rule –Graphic Arts Systems1 - revision to existing GA rule –Industrial Cleaning Solvents – new GA rule –Offset Lithography & Letterpress – revision to existing rule Environmental Protection Division

18. New and Revised VOC Rules Group III CTG Rules –Large Appliance Surface Coating - revision to existing GA rule –Metal Furniture Coating - revision to existing GA rule –Paper Coating - revision to existing GA rule Environmental Protection Division

19. New and Revised VOC Rules Group IV CTG Rules –Surface Coating of Miscellaneous Metal Parts and Products– revision to existing GA rule –Surface Coating of Miscellaneous Plastic Parts and Products – new GA rule – Auto and Light-Duty Truck Manufacturing– revision to existing GA rule –Fiberglass Boat Manufacturing – new GA rule –Use of Miscellaneous Industrial Adhesives Use – new GA rule –Pleasure Craft – negative declaration (i.e., no known affected sources) Environmental Protection Division

20. New and Revised VOC Rules 20 County Atlanta Ozone Nonattainment Area Stakeholder Process Almost Complete for Group IV Stakeholder Process About to Begin for Groups II and III All Rules and Rule Changes will Go Through Formal Rulemaking at Same Time If Atlanta Re-designated to Attainment for Ozone Standard Prior to Compliance Date for New & Revised Rules – New Requirements No Longer Applicable Environmental Protection Division

21. Calendar Year 2010 Permit Fees Dollar per Ton Rates: –Increased to $35.84 for Coal-Fired Electric Generating Units –Remains $34 for All Other Sources Fixed “Ton” Amounts Set for NOx. SO 2, and PM from Coal-Fired Electric Generating Units Title V Minimum Fee Increased from $3500 to $4100 Synthetic Minor Fee Increased from $1500 to $1700 NSPS Fee Remains at $1500 Fee Reports Due September 1, 2011 Environmental Protection Division

22. GHG Permitting PSD and Title V Deferral for CO2 emissions from Bioenergy and Other Biogenic Sources Applies in Georgia. Synthetic Minor permit applications for GHGs need to be submitted by October 1, 2011 Title V sources application deadlines: –For sources already subject to Title V, report GHG PTE (greater than, or less than, 100,000 tpy CO2e) in any application submitted after July 1, 2011 –July 1, 2012 for 100,000 tpy CO2e sources that are not currently Title V sources. Environmental Protection Division

23. GA EPD PSD Guidance Specific Processes for Submitting Modeling Protocols, Pre-Application Meetings, and PSD Applications –Incorporates references to recently-issued EPA PSD guidance Promotes Submission of Complete PSD Applications and Timely Permit Issuance Based on Draft Guidance Prepared by Georgia Industry Environmental Coalition Draft Guidance from EPD Expected by End of Summer, 2011 Environmental Protection Division

24. Contact Information Jimmy Johnston 404-363-7014 jimmy.johnston@gaepd.org www.georgiaair.org