1. Delivering sustainable solutions in a more competitive world GHG Mandatory Reporting Rule – Implications for PSD Review for GHG September 2012 Ramesh Narasimhan ERM

2. Delivering sustainable solutions in a more competitive world Mandatory GHG Reporting Challenges Determining Facility Boundaries Contractor Sources and/or Data Mandatory Measurements for Input Data Required Quality Assurance for Measurements Adapting to Rule Changes and EPA Guidance

3. Delivering sustainable solutions in a more competitive world Applicable to Subparts C, P, Y, etc. Compensate Gas Flow from Actual to Standard Conditions per §98.3(i) Local vs. Remote Location Pressure and Temperature Transmitters Existing Corrections may not be Local Identify Remote Locations Perform Local Measurements Develop Statistical Correlations Lessons Learned for Flow Meter Data

4. Delivering sustainable solutions in a more competitive world Fuel Gas Tier 3 - Data Flow Map

5. Delivering sustainable solutions in a more competitive world Fuel Flow Compensation

6. Delivering sustainable solutions in a more competitive world PSD Implications of GHG MRR – Major Source Determination Compressor Blowdowns Compressor Emergency Generator NG Pneumatics Condensate Tank Gas Turbine IN Current Air Permit OUT Current Air Permit Gas Turbine IN GHG MRR If >25k mt CO 2 e Out GHG MRR E.g. Facility NG Transmission Compressor Station PSD Major Source Determination for GHG Subject to Subpart C and Subpart W

7. Delivering sustainable solutions in a more competitive world PSD Implications of GHG MRR PSD Major Source Determination (i.e. PTE >100k tpy CO 2 e) Convert actual emissions to potential Emissions Can federally enforceable conditions or synthetic limitations be applied to stay minor? Tailoring Rule guidance on determining PTE Input Data for Historical GHG Baseline Company records versus measured data Address changes in measurement accuracy GHG MRR Monitoring and Calculation Methods Compliance Demonstration of GHG BACT Limits

8. Delivering sustainable solutions in a more competitive world Company Records, Instruments, Measurements Apply Rule Interpretations Raw Data Collection Analyze and Aggregate Data Missing Data Substitution GHG Emissions Calculations Report Emissions to Agency and Use for PSD Evaluation Implement QA/QC Program and Training Implement Data Management Program Accuracy from Bottom-up Manage Compliance Risk Efficiency Accuracy

9. Delivering sustainable solutions in a more competitive world ERM Contact Information Ramesh Narasimhan Ramesh.narasimhan@erm.com 504.846.9215 Air and Climate Change Consultants +200 in North America