presented by piyush srivastav, president - ethanol ace presentation aug 2015.pdf · 2015-08-24 ·...

Emerging Environmental Topics

and

Air Quality Permitting:

Staying One Step Ahead

American Coalition for Ethanol

August 20, 2015

Presented by

Piyush Srivastav, President

NAQS Environmental Experts

ORGANIZATIONAL POSITION

• Our Vision: The preeminent leader in air quality, water quality, risk

management plans, and climate change.

• Our Purpose: Partner with clients to provide value added

environmental solutions that ensure:

– Regulatory Compliance

– Increased Operational Flexibility

– Successful Project Planning

– Liability Identification, Reduction

• Our Mission: Bridge the gap between industry and regulators by

engaging employees with undisputable expertise, excellent critical

thinking abilities, and strong communication skills.

SERVICES

• Permitting –

– Applications

– Strategies

– Draft Permits

– Permit Reviews

• Compliance Assistance

• Regulatory Analysis

• Emissions Inventories

• Compliance Certifications

• Deviation Reports

• Stack Testing Assistance

• Litigation Support

• Training

• Audits

• Compliance Management

• Executive Training

• Risk Management Planning

• GHG Inventories and

Management

• Strategic Project Planning

• Dispersion Modeling

SELECT CLIENTS

Partnering with a spectrum of clients

ranging from small municipalities to

Fortune 500 Companies

Cargill/Polyols

ABENGOA BIOENERGY

Topics

• Changes to NSPS Subpart DD and Proposed

Subpart DDa

• Effective Permitting

•

Subpart DD and Subpart DDa

Standards of Performance

for Grain Elevators


• Background

– Both Standards Apply to “grain elevators”.

– Can apply to ethanol plants if they have more than

2.5 million bushels of storage.

– “Affected sources” under the standards are the

grain handling equipment (receiving pits, conveyors,

dryers, etc.), not the storage bins

Changes to Subpart DD

• Proposed Rule to make changes to existing

Subpart DD published on July 9, 2014

• Facilities covered by Subpart DD are those

that commence “construction,

modification, or reconstruction after

August 3, 1978, and on or before July 9,

2014”.


• Revised Definitions– “Grain unloading station” includes the equipment from

the point grain is received “to a receiving hopper or to the grain handling equipment that connects the unloading station to the rest of the grain elevator.” By definition, the dust control equipment and aspiration systems for receiving activities are considered part of the unloading station.

– “Grain loading station” “means that portion of a grain elevator where the grain is transferred from the elevator to a truck, railcar, barge, or ship.” This definition also includes the dust control equipment and aspiration systems.


• Particulate Matter Standards

– Section 60.302(d)(1) now includes the following

language for barge or ship unloading stations,

“Where aspiration of the casing provides dust

control at the boot of the conveyor and a receiving

hopper is not used, the unloading leg must be

enclosed from the top to the center line of the

bottom pulley and ventilation to a control device

must be maintained on both sides of the leg.”

Proposed Subpart DDa

• Proposed Rule to establish new Subpart DDa also published on July 9, 2014

• Covers sources that are new, reconstructed, or modified after July 9, 2014

• The Proposed standard mirrors existing Subpart DD, with a few changes


• An additional method for determining

applicability that includes the storage

capacity of temporary storage facilities (TSFs)

• Ten percent opacity standards for barge or

ship unloading stations not using an

unloading leg and for column dryers using a

wire screen


• Particulate Matter (PM) and opacity standards

for affected facilities associated with TSFs

(except portable equipment) consistent with

those associated with permanent storage units

• Particulate Matter performance tests

conducted every 60 months, opacity tests

conducted annually, and weekly visual

inspections for affected facilities, and visual

inspections of fabric filters every 6 months


• Records for the new applicability calculation method, excess emissions events, fabric filter inspections, opacity tests, weekly visual inspections and particulate matter (PM) tests, and the type of grain processed during performance tests must be kept

• Requirement to submit electronic copies of performance tests reports to the EPA using the EPA’s electronic reporting tool (ERT)


• New definitions for ‘‘permanent storage

capacity,’’ ‘‘temporary storage facility,’’

‘‘wire screen column dryer,’’ and ‘‘en-masse

drag conveyor’’

• Establishing that the PM standards are

applicable at all times


• One Upside

– Some States that were including all of the

temporary storage capacity in their applicability

determinations are using the calculation

proposed in Subpart DDa.

– Will result in fewer regulated facilities in those

States.


• The comment period ended December

22, 2014

• Final rule projected for August 2015

Effective Permitting


• What is effective permitting?

– Effective Permitting covers the following:

– Pre-project activities, e.g., planning, application development, etc.

– Being active in the permit development stages

– Being active during the public notice process

– Not settling for what the permitting authority gives you, if it does not work for you or is not accurate

– What about existing permits?

– Using the services of a firm with air permitting expertise

DRAFT 2/14/2012


• Why is effective permitting important?

– Permitting can slow the implementation of the project

– A permit is a legally binding document

– The permit can hinder operational flexibility and increase liability

– Helps prevent permit conditions that are overly prescriptive and/or stringent

– Assures the permit conditions are consistent with the regulations

DRAFT 2/14/2012


• Pre-Project Activities

• Plan projects well in advance; allow time to

• Prepare the application

• Model the project

• Make adjustments to the project due to modeling or change in project scope

• Permitting is a very lengthy process

• Application preparation

• Permit development

• Public Notice


• Pre-Project Activities• Pre-Application Meeting

•Present and discuss the project with the agency

• Gets them familiar with the project

• They can advise if there are new developments that may impact the project

• They may be able to provide additional tips


• Being active in the permit development stages

– Prepare and Submit Draft Permit Documents

• Clearly explain the regulatory basis for proposed permit conditions

– Identify potential liabilities (i.e., stringent conditions that an agency may try to establish) and be prepared to address why there is no regulatory basis for such a condition



– Request opportunity to review agency draft

documents, including various iterations of the draft

documents

– Request meetings

– Provide comments in writing

– Request responses in writing to Agency conditions

that you disagree with and comment on



– Strategize which issues are worth sticking to, which

are open to compromise

– Keep focus on underlying regulatory requirements

– Use hypothetical scenarios during negotiation



– What to look for in draft permits

– An effective permit contains permit conditions that:

– Have a sound regulatory basis

– Provide operational flexibility

– Are clear

– Are concise

– Are enforceable




– An effective permit does NOT contain permit

conditions that are:

– Unnecessary

– More stringent than the regulations require

– Unclear

– These types of conditions inhibit operational flexibility

and increase liability




– Unnecessary permit conditions

–Redundant limits

– Pound per hour (lb/hr) AND lb/MMBtu limits

– Emission limits AND throughput limits (can be

exceptions)




– Unnecessary permit conditions (cont.)

– Conditions that are more prescriptive than the

regulations

– Spare bags requirement for baghouses

– Size (i.e. hp) of boiler or engine

– Specific material types

– Daily observations



– For Prevention of Significant Deterioration (PSD)

and Title V sources,

– Do not be afraid to involve and meet with the

EPA if no progress is being made with agency on

important issues


• Being active during the public notice process

– Comment during the formal public notice period

• If you disagree, voice your opinion even if it is

something discussed during the permit

development stage

• The assumption is: If you do not comment on an

issue, you are in agreement with the issue.

– Comment on response summary

• Same as above

DRAFT 2/14/2012


• Not settling for what the permitting authority

gives you

– You have the right to appeal a permit if you

believe a permitting authority has overstepped

their authority

– Appeal rules vary from state to state

• NE – Title 115, Chapter 7

• EPA Direct Delegation States - Environmental

Appeals Board (EAB)

DRAFT 2/14/2012


• Not settling for what the permitting authority

gives you

– Permit appeal

• In most states, the appeal must be based on issues

that were brought up during the public notice

process

• If appealing to the EAB, the appeal must be based

on issues that were brought up during the public

notice process

DRAFT 2/14/2012


• What about existing permits?

• Permit Revisions

– Much easier to provide input on conditions before

the permit is issued; however, permits can be

revised at the source’s request

– Evaluate potential value of permit revision

– Use data from previous testing

DRAFT 2/14/2012


• What about existing permits?

• Permit Revision (cont.)

– Submittal includes:

• Portions of the application

• Application fee (if necessary)

• Explanation and regulatory basis for proposed

revisions

• Revised draft permit documents

• Revised modeling (if necessary)

DRAFT 2/14/2012


• Using the services of a firm with air permitting

expertise throughout the process

• Air Quality (AQ) regulations are extensive

• Permitting can have pitfalls for someone not

familiar with the process

• The Environmental Manager (EM) at a source

cannot be expected to be familiar with all AQ

regulations and the permitting process

DRAFT 2/14/2012


• Using the services of a firm with air permitting

expertise throughout the process (cont.)

• The EM generally (almost always) wears more

than one hat

• Allows EM to concentrate on day to day

responsibilities

DRAFT 2/14/2012


• Summary

– Plan early

– Be active in the permit development stages

– Be active during the public notice process

– Do not settle

– Review existing permits

– Use the services of a firm with air permitting

expertise throughout the process

DRAFT 2/14/2012

Questions?

NAQS-Environmental Experts

QUESTIONS

Srivastav at:

402-310-5321 (cell)

Piyush Srivastav

[email protected]

402-489-1111 (office)

402-310-5321 (cell)