Clean Air Interstate Rule (CAIR)

CAIR Requirements for SIPsOffice of Air and Radiation

March 2005

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Overview of New Part 51 Sections

• 51.123 CAIR SIP revision for NOx

• 51.124 CAIR SIP revision for SO2

• 51.125 State reporting for CAIR

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• Structure --– (a) and (b) -- finding and requirement that certain States

must submit a SIP revision to eliminate NOx in amounts that contribute significantly to one or more other States for PM2.5 or ozone

– (c)(1) list of PM2.5 and ozone States– (c)(2) list of PM2.5 States– (c)(3) list of ozone States– (d) SIP revision requirements including 18 month deadline– (e) -- (o) annual NOx requirements– (q) -- (bb) ozone season NOx requirements– (cc) definitions– (dd) Provisions for NH

51.123 -- CAIR NOx requirements

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• SIPs must contain control measures and demonstration that the State’s annual EGU NOx budget and annual non-EGU NOx reduction requirement, as applicable, are met.

• Annual EGU NOx Budgets are given• Procedures for calculating annual non-EGU

reduction requirements are given for States choosing to get a portion of reductions from non-EGUs (uses baseline emissions projections in CAIR baselines TSD)

• Specifies State CSPs and distribution requirements

51.123 (e)--(o) CAIR Annual NOx requirements

51.123(e)

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51.123(f)

• Enforcement methods (compliance monitoring, violations, authority)

• Emissions cap required for EGUs, large non-EGU boilers and turbines, others (unless not practicable)

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51.123(g), non-EGU reduction eligibility criteria

• Not required by State or federal government as of date of submission of SIP revision

• Historic uncontrolled baseline with Part 75 monitoring or of the same quality (to the maximum extent possible)

• 2009 and 2015 uncontrolled projected baseline

• 2009 and 2015 controlled projected baseline• Goal is to ensure reductions are real

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51.123(h)--(n) “general” SIP requirements

• Addresses data availability, compliance monitoring, legal authority, resources, etc.

• This includes the requirement for Part 75 monitoring for sources controlled under this part– All EGUs and large boilers and turbines– All others unless not possible--contains

specs for alternatives

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51.123(o) -- Use of Model Rule

• Automatic approval of revision if substantively identical except as specified:– may decline opt-ins– may decline suggested allocation

methodology– do not necessarily have to be in any of the

other EPA-administered programs• Other variations must be reviewed and are not

automatically approved

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• Nearly identical to 51.123(e)• SIPs must contain control measures and

demonstration that the State’s ozone season EGU NOx budget and ozone season non-EGU NOx reduction requirement, as applicable, are met.

• Ozone Season EGU NOx Budgets are given• Procedures for calculating ozone season non-EGU

reduction requirements are given for States choosing to get a portion of reductions from non-EGUs (uses baseline emissions projections in CAIR baselines TSD)

• Allows the use of 2003-2008 NOx SIP Call allowances

51.123 (q)--(bb) CAIR Ozone Season NOx requirements

51.123(q)

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51.123(r)

• enforcement methods (compliance monitoring, violations, authority)

• Cap required for EGUs, large non-EGU boilers and turbines, others (unless not practicable)

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51.123(s), non-EGU reduction eligibility criteria

• Parallels 51.123 (g)• Baselines, projected uncontrolled, projected

controlled• Cannot include control measures already

adopted or implemented at the time of the SIP revision

• Requires Part 75 monitoring for EGUs and large boilers and turbines

• Requires Part 75 or comparable for all others

51.123(u)

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51.123(aa) -- Use of Model Rule

• Automatic approval of revision if substantively identical except as specified:– expand applicability to include non-EGUs

subject to NOx SIP Call trading– may decline opt-ins– may decline suggested allocation methodology– do not necessarily have to be in any of the

other EPA-administered programs• Other variations must be reviewed and are not

automatically approved

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51.123(bb) -- Interaction with 51.121

• For States that use the CAIR ozone season NOx model rule, trading sources are no longer subject o the NOx SIP Call provided:– The CAIR ozone season EGU NOx budget is less than

the NOx SIP Call EGU NOx budget– If not, then the State must use its NOx SIP Call

budget instead

• Rhode Island can participate in the CAIR ozone season NOx trading program through use of the model rule

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51.123(dd) -- Provisions for NH

• New Hampshire can participate in the CAIR ozone season NOx trading program through use of the model rule

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• Structure --– (a) and (b) -- finding and requirement that certain States

must submit a SIP revision to eliminate SO2 in amounts that contribute significantly to one or more other States for PM2.5

– (c) list of PM2.5 States– (d) SIP revision requirements including 18 month deadline– (e) -- (p) annual SO2 requirements– (q) definitions

51.124 -- CAIR SO2 requirements

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• SIPs must contain control measures and demonstration that the State’s annual EGU SO2 budget and annual non-EGU SO2 reduction requirement, as applicable, are met.

• Annual EGU SO2 Budgets are given• Procedures for calculating annual non-EGU

reduction requirements are given for States choosing to get a portion of reductions from non-EGUs

51.124 (e)--(p) CAIR Annual SO2 requirements

51.124(e)

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51.124(f)

• enforcement methods (compliance monitoring, violations, authority)

• Cap required for EGUs, large non-EGU boilers and turbines, others (unless not practicable)

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51.124(g), non-EGU reduction eligibility criteria

• Not required by State or federal government as of date of submission of SIP revision

• Historic uncontrolled baseline with Part 75 monitoring or comparable

• 2009 and 2015 uncontrolled projected baseline

• 2009 and 2015 controlled projected baseline

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51.124(h)--(n) “general” SIP requirements

• Addresses data availability, compliance monitoring, legal authority, resources, etc.

• This includes the requirement for Part 75 monitoring for sources controlled under this part– All EGUs and large boilers and turbines– All others unless not possible--contains

specs for alternatives

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51.124(o) -- Use of Model Rule

• Automatic approval of revision if substantively identical except as specified:– may decline opt-ins– do not necessarily have to be in the EPA-

administered NOx programs• Other trading program variations must be

reviewed and are not automatically approved

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51.124(p) -- Retirement of Excess SO2 Allowances

• For States not using the CAIR SO2 model rule:– SIP must include a mechanism to each year

permanently retire excess Acid Rain allowances

– Procedure for determining excess is included

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Frequency --Annually, all sources that are controlled under 51.123 or 51.124.Triennially, all sources in the State.

Content --PM States must report annual SO2 and NOx emissions.Ozone States must report ozone season and summer daily NOx emissions.

Timing --First reporting year: 2008Due: 17 months after the end of the calendar year

Special Case --States do not have to provide annual reporting of pollutants for sources using Part 75 and reporting to EPA.

Part 51.125 -- State reporting relating to SO2 and NOx emission budgets

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Part 51 amendments

• 51.121 NOx SIP Call amended to reflect that EPA will not administer after 9/30/2008 and that States will need to change rules accordingly.

• 51.122 The 2007 NOx emissions report is no longer required.

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Summary

• One SIP revision for CAIR• Automatic approval for trading programs that

are substantively identical to the model rules• We’ll all work together to get there