ILLINOIS POLLUTION CONTROL BOARD
January 30, 1973
WESTERN ILLINOIS POWER COOPERATIVE, INC.
)
Petitioner,
V.
)
PCB72—441
ENVIRONMENTAL PROTECTION AGENCY,
)
Respondent.
Theodore Rammelkamp, Esq., of Jacksonville, Illinois, for Petitioner;
Delbert Haschemeyer, Esq., Assistant Attorney General, for Respondent.
OPINION AND ORDER OF THE BOARD (by Mr. Lawton):
On November 13, 1972, Western Illinois Power Cooperative,
Inc. (“WIPCO”) filed a petition for variance from Rule 2-2.53
of the Rules and Regulations Governing the Control of Air
Pollution, remaining in effect pursuant to Section 49 (c) of
the Environmental Protection Act. This particulate emissions
regulation remains in effect until May 30, 1975, when it will
be superseded by Rule 203 (g) of the Pollution Control BOard
Air Pollution Regulations.
WIPCO is an Illinois not-for-profit corporation engaged in
the business of producing, generating and selling electric power
at its Pearl station generating plant located in Pike County
near the town of Pearl. The plant is a 22 megawatt coal burning
steam turbine power plant consisting of one unit fired by four
burners, and is equipped with a mechanical multiple cyclone
dust collector. The boiler unit exhausts into one stack which
is 203 feet in height (Petitioner’s Exh. 1).
WIPCO is organized under the rules and regulations of the
Rural Electrification Administration (REA) of the United States
Department of Agriculture (R. 10-11). WIPCO was formed in 1960
by 7 electric distribution cooperatives in western Illinois to
provide electric energy to them on a wholesale basis, which they
would then distribute to the ultimate consumer (R. 11). WIPCO
serves 19 or 20 counties in a predominantly rural portion of
Illinois (R. 11). Under the Rural Electrification Act, WIPCO is
prohibited from serving urban areas over 1,500 in population unless
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that area does not have central generating station service
(R. 12). WIPCO serves no industrial customers; the majority
of its customers are farmers and a few small grain elevators
(R. 11, 112, 113).
The Pearl facility, designed in 1964, includes a mechanical
dust collector to remove particulates from the exhaust gases
(R. 13)
.
The facility, with the dust collector, became commer-
cially operable early in 1967 (R. 13). The computed efficiency
of the collector was either 85 (Petitioner’s Exh. 1) or 90
(R. 13), and using the 90 computed efficiency, WIPCO’s calcula-
tions indicated that it would meet the particulate regulations
of the Air Pollution Control Board (R. 13)
The Environmental Protection Agency indicated to WIPCO in
April of 1972 that it believed WIPCO was not in compliance with
the particulate emission rule (R. 15)
.
WIPCO then arranged to
have stack tests performed by Burns and McDonnell Engineering
Company, which tests, performed June 5 and 6, 1972, confirmed
that the Petitioner was probably in violation of Rule 2-2.53
(R. 15; Petitioner’s Exh. A)
.
WIPCO’s feasibility studies indi-
cated that installation of a wet scrubber, rather innovative
equipment for coal fired electrical generating plants (R. 17, 70)
at the Pearl station would reduce particulate emissions to a level
below both Rule 2-2.53 and Rule 203 (g). The wet scrubber will
provide the additional benefit of reducing SO2 emissions (R. 17).
On October 16, 1972, WIPCO received approval of the project from
REA (R, 16). The stack tests also indicated that the mechanical
collector had an operating efficiency of 74.8 (Petitioner’s
Exh. 1).
Even before being informed of possible violations by the
Agency, WIPCO had begun serious discussions with REA for money to
upgrade the Pearl facility to meet the tightened requirements of
Rule 203 (g) (R. 13-14). On December 11, 1972, REA informed
WIPCO that $1,000,000 would be available to WIPCO to proceed with
its pollution control program (R. 16)
.
At the time of hearing,
WIPCO was preparing specifications for bids on the equipment, and
hoped to have its specifications approved by REA by February of
1973 at which time the bidding process would begin (R. 65,66)
Contracts to purchase and install the equipment are expected to
be entered into by May, 1973 (Petitioner’s Exh. L)
.
The total
estimated capital cost of the wet scrubber is approximately $600,000
(R. 18)
,
and the estimated additional operating cost to WIPCO for
the wet scrubber is $67,400 (R. 19, Petitioner’s Exh. G).
At
the
same time that WIPCO is pursuing its long term control
program,
it
is attempting to
reduce particulate emissions by blend-
ing low ash petroleum coke with coal,
They have been so blending
fuels since August of 1972. Burns and McDonnell Engineering
Company estimated that this process will reduce the particulate
emission rate of 1.960 lbs. per million BTtJ of heat input to
1.51 lbs., and will reduce the SO~emission rate from 8.235 lbs.
per million BTU of heat input to ~.5 lbs. This estimated reduc-
tion of approximately 25 has not been verified by stack testing,
and the emissions will still be in excess of the .8 lbs. of parti—
culates per million BTTJ of input allowed by Rule 2—2.53.
Alternative methods
of complying with Rule 2-2.53 have been
investigated by WIPCO, and were deemed unsuitable.
Mr. Donald B.
Bringman, General Manager of WIPCO, stated that use of gas or
oil is not a feasible alternative because gas is not available to
WIPCO, and oil is impracticable as the Pearl facility cannot be
fired with oil (R,
19)
.
To modify the boilers to fire with oil
would cost approximately $250,000 for capital improvements and
approximately $600,000 for operating costs (R. 20)
WIPCO also investigated the possibility
of purchasing power
from Springfield,
Illinois.
WIPCO presently has a 15 megawatt
line to the City of Springfield (R. 23). Because WIPCO
generates
approximately 25 megawatts for its customers, it could not get
all the power necessary
from
the 15 megawatt transmission line
from Springfield
(R. 23), even if Springfield had the capacity
available to transmit continuously 15 megawatts to WIPCO. Bringman
doubted that Central Illinois Light Company would
sell power to
Springfield for Springfield in turn to sell to WIPCO (R. 24).
Bringman also doubted that Central Illinois Public Service Company
would interconnect with WIPCO as long as WIPCO was interconnected
with Springfield (R. 25).
He
further stated that even if those
utilities
would sell power, the negotiations would take as long as
one year, and construction of necessary transmission facilities
at
least six months (R. 61)
WIPCO also considered
the use
of its two other small generating
facilities,
a three megawatt diesel electric generating plant
near
Winchester, Illinois,
and an eight megawatt diesel electric generating
plant near Pittsfield,
Illinois.
The units on these plants range
from 18 to 35 years old, and are used on a peak basis or emergency
basis only (R. 27).
These facilities,
although having the capability
of firing on gas, would have to be oil fired because of the
gas short-
age (H. 28). Mr. Bringman estimated that the additional cost of
using these two diesel facilities for their total 11 watt capacity,
assuming their reliability (which he believed very questionable
(R.28)), would increase costs approximately
10
per kilowatt hour (R,28)
Mr. Bringroan testified
that
the principal impact on WIPCO
and its customers of obtaining power from some other source would
be the additional cost to WIPCO of approximately $1,250,000 per year
(H. 29).
He also stated that if WIPCO could purchase all the
power for
its
customers rather than continuing to generate
it,
the Pearl facility would be closed down. Closure would render
the facility’s 21 employees unemployed, resulting in a payroll
loss to
the
community of nearly $250,000 CR. 29).. If the Pearl
facility were closed down, WIPCO would also be unable to pay its
debt obligations on it to REA, an amount of $280.000 per year
(R. 30)
The environmental consequences of the Pearl facility appear
minimal. The facility is located in a sparcely populated area
with no towns in excess of 500 people within a 10 mile radius
(Petitioner’s Exhibit 0). Mr. Bringman testified that he knew of
no other particulate emission sources in the area except
automobiles, agricultural operations, and field and trash fires (R.33).
He also had received no complaints regarding the Pearl facility (R.66).
Ambient air quality in the vicinity of the Pearl facility is
well within federal ambient air quality standards CR. 79-80,
Petitioner’s Exhibit G). The Petitioner’s consulting engineer
stated that the same is true for SO2 concentrations in the area of
the Pearl facility CR. 81). However, the ambient air quality
levels for particulates and 302 were calculated by WIPCO on the
basis of contribution of those contaminants solely by the Pearl
facility and did not consider any other emission sources CR. 81).
Balancing the hardships to WIPCO and its customers, the
minimal environmental impact of the Pearl facility, and WIPCO’s
diligence in pursuing a solution to its problems, we believe that
WIPCO
is entitled to a variance from 2-2.53 of the Rules and
Regulations Governing the Control of Air Pollution. The only
issue remaining is the length of time needed by WIPCO to bring the
Pearl facility into compliance. WIPCO requested a variance until
Nay
30, 1975, yet its own Exhibit L indicates WIPCO expects the
scrubber to be operational by July, 1974. WIPCO’s witnesses
testified that the project could be complete by the end of 1974
(R. 41, 51, 105). The Agency recommended that a variance be granted
for
one
year subject to extension to April, 1974, stating that the
Petitioner can install the necessary control equipment by that date.
Since the Board is restricted by law to granting variances not to
exceed one year, WIPCO would have to seek extension of whatever
variance this Board grants. The evidence on the length of time
necessary to install the equipment is conflicting, but does
indicate that the equipment should be operational well before May
30, 1975. We feel that July 31, 1974 should be considered a dead-
line, and that WIPCO should continue to expedite the installation
of the control equipment. In order to keep apprised of the
progress that WIPCO will be making, we will require progress reports~
regarding completion of its control program.
This opinion constitutes the findings of fact and conclusions
of law of the Board.
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IT IS THE ORDER of the Pollution Control Board:
1. WIPCO’s petition for variance from Rule 2-2.53 of the
Rules and Regulations Governing the Control of Air
Pollution as respects its Pearl facility is granted to
January 30, 1974, pending installation of abatement equipment
to bring its operation into compliance with the relevant
air regulations by July 31, 1974.
2. The variance granted in paragraph 1 above is subject
to the following conditions:
(a) WIPCO shall submit quarterly reports to the Agency
indicating its progress towards completion of its control
program, said progress reports to begin not more than 30
days from the date of this Order;
(b) WIPCO shall continue to blend fuels to minimize
emissions from the Pearl facility, and shall include in its
quarterly reports the types of fuel
used and the percentages
of each;
Cc) WIPCO shall post, within 30 days from the date of
this Order, a performance bond with the Agency in a form
acceptable to the Agency, in the amount of $250,000 to
guarantee installation of the abatement equipment by July 31,
1974. Provision shall also be made for the forfeiture of
$10,000 to the State of Illinois in the event WIPCO is not
in compliance with the relevant regulations with respect to
particulate emissions by.said date. Bond shall be filed
with the Illinois Environmental Protection Agency, Fiscal
Services Division,2200 Churchill Drive, Springfield, Illi-
nois 62706.
Cd) This variance may be extended upon the filing of a
petition and demonstration by petitioner that it is pursuing
its abatement program pursuant to this Order.
I, Christan Moffett, Clerk of the Illinois Pollution Control Board,
certify that the above Opinion and Order was adopted on the ~
day of January, 1973, by a vote of
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