1. Greenhouse Gas Tailoring Rule aka GHG Permitting Rule

2. Brief History or How We Got to This Point  EPA made Endangerment Finding – Dec 09  GHG Mandatory Reporting Rule – Oct 09  Mobile Source GHG Rule – Apr 10

3. What Are Greenhouse Gases? –Carbon dioxide (CO 2 ) (GWP=1) –Methane (CH 4 ) (GWP=21) –Nitrous oxide (N 2 O) (GWP=310) –Hydrofluorocarbons (HFCs) (GWP=12 to 11,700) –Perfluorocarbons (PFCs) (GWP= 6,500 to 9,200) –Sulfur hexafluoride (SF 6 ) (GWP=23,900)

4. CO 2 Equivalent  All GHGs have an Global Warming Potential (GWP)  GWP ranges from 1 to 23,900  Example: –Methane GWP is 21 –If you emit 5,000 tons of CH4, –Multiply by GWP of 21 –CO 2 e emissions of 105,000 tons

5. Impact on Permitting  Current permitting thresholds: –PSD:  250 tpy  100 tpy for listed sources –Title V:  100 tpy  EPA estimated 6 million sources would need Title V permit  EPA estimated 15,550 sources under Tailoring Rule

6. Permitting Thresholds  Effective Jan 2, 2011 (Phase 1) –“Anyway” sources (for existing pollutants) –100,000 tpy CO2e for PSD and Title V –Applies to any existing source in permitting program modifying by 75,000 tpy CO2e  Effective July 1, 2011 (Phase 2) –Applies to any new or existing source of CO2e over 100,000 tpy (75,000 tpy for modifications)

7. Phase-In Step 3  EPA rulemaking nlt July 1, 2012 –Consider inclusion of additional sources –Would be effective July 1, 2013 –EPA says not below 50,000 tpy (for at least 6 yrs)  EPA to explore wide range of streamlining options  Possibly permanently exclude certain sources from PSD, Title V or both

8. What About the Future?  No small sources before April 30, 2016 or later  EPA to study issue within 5 years looking at admin burden if small sources pulled into program  Additional rulemaking nlt April 30, 2016

9. What is Utah Doing?  Reviewing federal program  Existing statutes appear to allow us to permit GHG  Reviewing state rules for necessary changes  Stakeholder process this fall  Tight timeline

10. QUESTIONS?