1. Alabama Air Update Ron Gore August, 2011

2. State Issues Have all our GHG rules for construction and operating permits in place Title V emissions fees stable in $38.00 to $41.00/ton range for next few years Construction permit fees likely to go up 19% by end of CY11

3. Continued Efforts by environmental groups to regulate residual risks from air toxics Difficulty in retaining and hiring staff due to pay increase freeze and legislation ALL AREAS OF ALABAMA NOW MEET ALL CURRENT OZONE AND PM2.5 STANDARDS

4. Ozone New standard imminent

9. Lauderdale Franklin Colbert DeKalb Jackson Madison Limestone Lamar Blount Cullman Winston Marion Morgan Marshall Lawrence Tuscaloosa St. Clair Cherokee Etowah Jefferson Walker Fayette Bibb Hale Greene Sumter Pickens Cleburne Calhoun Tallapoosa Perry Coosa Chilton Randolph Talladega Clay Shelby Montgomery Autauga Elmore Dallas Marengo Choctaw Chambers Lowndes Macon Lee Russell Bullock Wilcox Washington Clarke Monroe Butler Crenshaw Pike Barbour Henry Dale Coffee Covington Conecuh Escambia Mobile Baldwin Geneva Houston Secondary Ozone Standard 2008-2010 Counties with a O3 monitor 8 8 5 7 8 7 4 3 11 6 7 6 10 Units are in ppm-hours Proposed range 7-15 ppm-hours

10. PM2.5 New standard imminent

11. These same counties would also be over a 24-hour NAAQS of 25 µg/m3.

12. SO 2 NAAQS 160 + Sources with potential emissions > 100TPY 60 + Sources with actual emissions > 100TPY ??? Clusters of sources How to prioritize modeling?

13. NO 2 NAAQS Awaiting results of monitoring 3 or 4 years down the road

14. Other Issues Opacity lawsuit against EPA Continuing short-circuiting of SIP process by EPA Awaiting approval of attainment plans for annual and 24-hour PM2.5 NAAQS for Birmingham area (i.e., formal re-designation to attainment status) Trying to sunset Low RVP gasoline in Birmingham