BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
DYNEGY
MIDWEST GENERATION, INC.
(WOOD
RIVER POWER STATION),
Petitioner,
v.
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY,
Respondent.
)
)
)
)
)
) PCB09-__
)
(Permit Appeal - Air)
)
)
)
)
NOTICE OF FILING
To:
John Therriault, Assistant Clerk
Illinois Pollution Control Board
James
R. Thompson Center
Suite 11-500
100 West Randolph
Chicago, Illinois 60601
Alec Messina, General Counsel
Division
of Legal Counsel
Illinois Environmental Protection Agency
1021 North Grand Avenue, East
P.O. Box 19276
Springfield, Illinois 62794-9276
PLEASE TAKE NOTICE that we have today filed with the Office
of the Clerk of the
Pollution Control Board
APPEAL OF CONSTRUCTION PERMIT and the
APPEARANCES
OF KATHLEEN C. BASSI, STEPHEN J. BONEBRAKE, and
SHELDON A. ZABEL, copies of which are herewith served upon you.
__
L..."
_
Dated: July 21, 2008
Electronic Filing - Received, Clerk's Office, July 21, 2008
* * * * * PCB 2009--006 * * * * *
Kathleen C. Bassi
Stephen
J. Bonebrake
Sheldon A. Zabel
SCHIFF HARDIN LLP
Attorneys for Dynegy Midwest Generation, Inc.
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606
312-258-5567
FAX: 312-258-5600
kbassi@schiffhardin.com
CERTIFICATE OF SERVICE
I, the undersigned, certify that on this 21st day of July, 2008, I have served electronically
the attached
APPEAL OF CONSTRUCTION PERMIT and the APPEARANCES OF
KATHLEEN C. BASSI, STEPHEN J. BONEBRAKE, and SHELDON A. ZABEL, upon the
following persons:
John Therriault, Assistant Clerk
Illinois Pollution Control Board
James
R. Thompson Center
Suite 11-500
100 West Randolph
Chicago, Illinois 60601
and by first-class mail with postage thereon fully prepaid and affixed to the following persons:
Alec Messina, General Counsel
Division
of Legal Counsel
Illinois Environmental Protection Agency
1021 North Grand Avenue, East
P.O. Box 19276
Springfield, Illinois 62794-9276
~~~~4~)-
Kathle~SSl
Kathleen C. Bassi
Stephen
J. Bonebrake
Sheldon
A. Zabel
SCHIFF HARDIN LLP
Attorneys for Dynegy Midwest Generation, Inc.
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606
312-258-5567
FAX: 312-258-5600
kbassi@schiffhardin.com
CH2\2608740.1
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
DYNEGY MIDWEST GENERATION, INC.
(WOOD
RIVER POWER STATION),
Petitioner,
v.
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY,
Respondent.
)
)
)
)
)
)
)
)
)
)
)
)
PCB 09-
(Permit Appeal- Air)
APPEARANCE
I hereby file my appearance in this proceeding, on behalf of Dynegy Midwest
Generation, Inc., (Wood River Power Station).
Ka~C.Bassl
C:6~
Schiff Hardin LLP
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606
(312) 258-5500
Dated: July 21, 2008
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
DYNEGY MIDWEST GENERATION, INC.
(WOOD
RIVER POWER STATION),
Petitioner,
v.
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY,
Respondent.
)
)
)
)
)
)
)
)
)
)
)
)
PCB(Permit09-
--
Appeal- Air)
APPEARANCE
I hereby file my appearance in this proceeding, on behalf of Dynegy Midwest
Generation, Inc., (Wood River Power Station).
Steph
Schiff ardin LLP
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606
(312) 258-5500
Dated: July 21, 2008
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
DYNEGY MIDWEST GENERATION, INC.
(WOOD
RIVER POWER STATION),
Petitioner,
v.
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY,
Respondent.
)
)
)
)
)
)
)
)
)
)
)
)
PCB 09-
--
(Permit Appeal- Air)
APPEARANCE
I hereby file my appearance in this proceeding, on behalf of Dynegy Midwest
Generation, Inc., (Wood River Power Station).
Sheldon
A. Zabe
Schiff Hardin
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606
(312) 258-5500
Dated: July 21, 2008
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
DYNEGY MIDWEST GENERATION, INC.
(WOOD
RIVER POWER STATION),
Petitioner,
v.
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY,
Respondent.
)
)
)
)
)
)
)
)
)
)
)
)
PCB 09-
(Permit Appeal- Air)
APPEAL OF CONSTRUCTION PERMIT FOR THE INSTALLATION OF A
SORBENT
INJECTION SYSTEM AT WOOD RIVER POWER STATION, UNIT 5
NOW COMES Petitioner, DYNEGY MIDWEST GENERATION, INC. (WOOD RIVER
POWER STATION) ("Petitioner" or "Dynegy"), pursuant to Section 40(a)(1)
of the Illinois
Environmental Protection Act ("Act") (415 ILCS 5/40(a)(1)) and 35 Ill.Adm.Code § 105.200
et
seq.,
and requests a hearing before the Board to contest the decisions contained in the
construction permit
l
issued to Petitioner on June 12, 2008, pursuant to Section 39(a) of the Act
(415 ILCS 5/39(a)) and 35 Ill.Adm.Code § 201.142 ("permit" or "construction permit") and
attached hereto as Exhibit
1. 35 Ill.Adm.Code §§ 105.21 O(a) and (b). Petitioner received the
construction permit on June 17,2008.
See
Exhibit 1. Pursuant to Sections 39(a) and 40(a)(1) of
the Act, 35 Ill.Adm.Code §§ 105.206(a) and 105.208(a), this Petition is timely filed with the
Board.
1 Application No. 08020011.
-1-
In support of its Petition to appeal Conditions 2(b)(iii), 2(b)(vi), 4, 5(b), 7(a), 7(b)(i)(A)
and (B), 7(b)(ii), and
11 of the construction permit issued June 12, 2008, for Unit 5 of the Wood
River Power Station, Petitioner states as follows:
I. BACKGROUND
(35 IIl.Adm.Code § 105.304(a»
1.
The Wood River Power Station ("Wood River"), Illinois Environmental
Protection Agency ("Agency") I.D. No. 119020AAE, is an electric generating station owned and
operated by Dynegy Midwest Generation, Inc. The Wood River electrical generating units
("EGUs") went online between roughly 1954 and 1964. The Wood River Power Station is
located at
# 1 Chessen Lane, Alton, Madison County, Illinois 62002. Madison County is
attainment for all National Ambient Air Quality Standards except fine particulate matter
("PM2.5") and ozone. Madison County is part
of the Metro-East/St. Louis PM2.5 and ozone
nonattainment areas. Dynegy employs approximately 98 people at Wood River.
2.
Dynegy operates two coal-fired boilers at Wood River, but only one boiler, Unit
5, is the subject
of this appealed construction permit. Unit 5, whose principal fuel is coal, fires
natural gas
as auxiliary fuel during startup and for flame stabilization. Certain alternative fuels
may be utilized in Unit 5 as well. Unit 5 operates an electrostatic precipitator ("ESP") to control
particulate matter emissions and, to control nitrogen oxides ("NOx"), utilizes low
NOx burners
and over-fired air. Wood River operates associated coal handling, coal processing, and ash
handling equipment and systems in conjunction with Unit
5.
3.
Wood River is a major source subject to the Clean Air Act Permitting Program
("CAAPP") (415 ILCS 5/39.5). The Agency issued a CAAPP permit to Dynegy for Wood River
on September 29, 2005. Subsequently, on November
2, 2005, Dynegy timely appealed the
CAAPP permit for Wood River at PCB 06-074. The Board accepted the appeal for hearing on
-2-
November 17,2005. On February 16,2006, the Board found that the CAAPP permit is stayed.
Order,
Dynegy Midwest Generation, Inc. (Wood River Power Station)
v.
Illinois Environmental
Protection Agency,
PCB 06-074 (February 16,2006), p. 2. Wood River is subject to the federal
Acid Rain Program at Title
IV of the Clean Air Act and has been issued a Phase II Acid Rain
Permit.
4.
Dynegy entered into a Consent Decree in the matter of the
United States of
America, et al.
v.
Dynegy Midwest Generation, et aI.,
Case No. 99-833-MJR in the United States
District Court for the Southern District
of Illinois (the "Consent Decree"). Applicable provisions
in the Consent Decree must be reflected in permits issued to Dynegy. Among other things, the
Consent Decree requires Unit 5 to meet a stringent particulate matter emissions limit
of 0.030
Ib/mmBtu. Dynegy'soperation
of the Wood River Power Station must comply with the
provisions
of the Consent Decree as well as with applicable law and regulations. However, the
Consent Decree does not require the sorbent injection system that is the subject
of this appealed
construction permit and so is not a factor in this permit.
5.
Relevant to this appeal, PM emissions from Unit 5 are currently controlled by an
ESP with a flue gas conditioning system. The permit at issue here authorizes the construction
and operation
of a sorbent injection system to reduce emissions of mercury pursuant to the
Multiple Pollutant Standard ("MPS")
of 35 Ill.Adm.Code § 225.233. Dynegy opted in to the
MPS on November 26,2007.
II. REQUEST FOR PARTIAL STAY OF THE PERMIT
6.
Historically, the Board has granted partial stays in permit appeals where a
petitioner has so requested.
See, e.g., Dynegy Midwest Generation, Inc. (Baldwin Energy
Complex)
v.
Illinois Environmental Protection Agency,
PCB 08-066 (May 15, 2008) (granted
-3-
stay of the portions of the permit contested by Dynegy);
Dynegy Midwest Generation, Inc.
(Havana Power Station)
v.
Illinois Environmental Protection Agency,
PCB 07-115 (October 4,
2007) (same);
Dynegy Midwest Generation,
Inc. (Vermilion Power Station)
v.
Illinois
Environmental Protection Agency,
PCB 06-194 (October 19,2006) (granted stay
"of the portions
of the permit Dynegy contests");
Midwest Generation, LLC, Will County Generating Station
v.
Illinois Environmental Protection Agency,
PCB 06-156 (July 20, 2006) (granted stay of the
effectiveness
of contested conditions of a construction permit);
Hartford Working Group
v.
Illinois Environmental Protection Agency,
PCB 05-74 (November 18, 2004) (granted stay of the
effectiveness
of Special Condition 2.0 of an air construction permit);
Community Landfill
Company and City
ofMorris
v.
Illinois Environmental Protection Agency,
PCB 01-48 and 01-49
(Consolidated) (October 19, 2000) (granted stay
of effectiveness of challenged conditions for
two permits
of two parcels of the landfill);
Allied Tube
&
Conduit Corp.
v.
Illinois
Environmental Protection Agency,
PCB 96-108 (December 7, 1995) (granted stay
of the
effectiveness
of Conditions 4(a), 5(a), and 7(a) of an air permit).
7.
Dynegy will suffer irreparable harm and the environment will not receive the
benefit
of the pollution control facilitated by the sorbent injection system if Dynegy is not
allowed to construct and operate the sorbent injection system for Unit 5 at the Wood River
Power Station. Dynegy'srequest for stay
of the contested language would provide the necessary
and appropriate authorizations to install and operate the sorbent inj ection system in a manner to
protect the environment while allowing Dynegy to exercise its right to an appeal under Section
40(
a) of the Act.
8.
Dynegy requests in this instance that the Board exercise its inherent discretionary
authority to grant a partial stay
of the construction permit, staying only those conditions or
-4-
portions of conditions indicated in Exhibit 2,
i.e.,
Conditions 2(b)(iii), 2(b)(vi), 4, 5(b), 7(a),
7(b)(i)(A) and (B), 7(b)(ii), and 11. In the alternative,
if the Board believes that it must stay the
entirety
of an appealed condition rather than only the portions of the condition where so
indicated in Exhibit 2, Dynegy requests that the Board stay the entirety
of each of the conditions
identified in Exhibit 2 except for Conditions 2(b)(iii), 7(b)(ii), and 11.
III. ISSUES ON APPEAL
(35 IlI.Adm.Code §§ l05.210(c»
9.
The conditions on appeal are as follows:
A.
Condition 2(b)(vi) - Sunset on authorization to operate the boiler.
10.
A general problem with the permit is that the Agency is using this construction
permit as the vehicle to implement the mercury requirements
of 35 Ill.Adm.Code 225.Subpart B
("Subpart B") contrary to the provisions
of Subpart B. Subpart B provides that the rule will be
implemented through CAAPP permits, not construction permits.
See
35 Ill.Adm.Code §
225.210(a). The Agency has included requirements in the permit that reflect Subpart B generally
without regard to the specific subject
of the construction activity for which Dynegy submitted its
application. Generally speaking, Condition 2 addresses operation
of the boiler, not of the sorbent
injection system. To the extent that the sorbent injection system affects operation
of the boiler,
Dynegy does not disagree with the Agency that such conditions are appropriate. However, when
the conditions address operation
of the boiler in a fashion that exceeds the scope of the activity
for which the permit was issued, Dynegy objects.
11.
Condition 2(b)(vi) prohibits Dynegy from operating the boiler past January
1,
2015, or once Dynegy complies with the general mercury emission limitations of Subpart B.
Dynegy acknowledges that this is a requirement
of Subpart B and of the MPS; however, this
requirement is not relevant to Dynegy'srequest to install and operate a sorbent injection system.
-5-
Dynegy has an independent obligation to comply with applicable regulations. Omission of this
particular condition would not relieve Dynegy
of its requirement to comply with the Subpart B
mercury emission limitations by January 1,2015. Likewise, inclusion
of this condition does not
obligate Dynegy to comply with the mercury limitations by January 1,2015. Condition 2(b)(vi)
exceeds the scope
of Dynegy'srequest to construct and operate a sorbent injection system.
12.
The condition is meaningless and inappropriate and should be deleted from the
permit. Dynegy requests that the Board stay Condition 2(b)(vi), as set forth in Exhibit 2, during
the pendency
of this appeal.
B.
Condition 4 - Instrumentation to Record the Rate of Sorbent Injection
13.
Condition 4 requires that Dynegy install and operate instrumentation that will
measure and record the rate
of sorbent injection. This condition exceeds the scope of the
applicable regulation,
35 Ill.Adm.Code § 225.233(c)(5). The pertinent provisions of Section
225.233(c)(5) are as follows:
A)
For the first 36 months that injection
of sorbent is required, it must
maintain records
of the usage of sorbent, the exhaust gas flow rate from
the EGU, and the sorbent feed rate, in pounds per million actual cubic
feet
of exhaust gas at the injection point, on a weekly average;
B)
After the first 36 months that injection
of sorbent is required, it must
monitor activated sorbent feed rate to the EGU, flue gas temperature at
the point
of sorbent injection, and exhaust gas flow rate from the EGU,
automatically recording this data and the sorbent carbon feed rate, in
pounds per million actual cubic feet
of exhaust gas at the inj ection point,
on an hourly average.
35 Ill.Adm.Code § 225.233(c)(5)(A)-(B). (Emphasis added.) According to the regulation,
Dynegy is not required to "install and operate instrumentation" that will measure and record the
sorbent injection rate until three years after installation, or some time in 2012.
-6-
14.
Therefore, Condition 4 exceeds the scope of the Agency's authority and should be
deleted or modified to reflect the requirements
of the rule. Dynegy requests that the Board stay
Condition
4, as set forth in Exhibit 2, during the pendency of this appeal.
C.
Condition 5(b) - Recordkeeping Required Before the Dates Set Forth in the
Regulation and Recordkeeping
of Mercury Data, Including Coal Analyses
15.
Condition 5(b) says, "During the period before the Permittee is required to keep
records pursuant to 35 lAC Part 225 Subpart B
...." The Agency has authority to require of
sources only what the Environmental Protection Act or the Board'sregulations grant it authority
to require. This requirement exceeds the scope
of the Agency'sauthority and is, therefore,
illegal.
16.
Moreover, the records that Condition 5(b) requires prior to the dates set forth in
the applicable regulations include coal supply data. Condition 5(b)(i) requires records
of
otherwise existing mercury emissions data and does not impose an independent requirement to
collect data, but Condition 5(b)(ii) requires the collection
of data to characterize the mercury
content
of the coal supply. While the data collected pursuant to Condition 5(b)(ii) can be as little
as a single sample from the current coal supplier, coal supply data is relevant only when Dynegy
must comply with the mercury emission limitations,
i.e.,
beginning January 1, 2015, and then
only
if Dynegy chooses to comply by reducing mercury from input coal by 90%.
See 35
Ill.Adm.Code § 225.233(d).
17.
For these reasons, Dynegy appeals Condition 5(b) and requests that the Board
stay Condition 5(b), as set forth in Exhibit 2, during the pendency
of this appeal.
D.
Conditions 7(a) and (b)(ii) - Deviation Reporting
18.
Condition 7(a) requires that Dynegy report deviations from the requirements of
the permit. Deviation reporting is a function of CAAPP permitting, not of Part 201, construction
-7-
permitting. Although this construction permit will, indeed, serve as an operating permit for the
sorbent inj ection system authorized by the permit until such time as the pertinent provisions are
transferred to the CAAPP permit, this construction permit is not a CAAPP permit.
It
is not
subject to any
of the CAAPP requirements for permitting. Requiring deviation reporting exceeds
the scope
of the Agency'sauthority. For this reason, Dynegy appeals Condition 7(a) and
requests that the Board stay the condition, as set forth in Exhibit 2, during the pendency
of this
appeal. Dynegy appeals Condition 7(b)(ii) to the extent it references Condition 7(a) and requests
that the Board stay those portions
of Condition 7(b)(ii), as set forth in Exhibit 2, during the
pendency
of this appeal.
2
E.
Conditions 7(b)(i)(A) and (B) - Reporting When Boiler Continues Operation
During Malfunction or Breakdown
of the Sorbent Injection System
19.
Condition 7(b) requires notification and reporting when Dynegy continues
"operation
of the affected boiler ... during a malfunction or breakdown with a violation of 35
lAC 225.233(c)(2)
...." Section 225.233(c)(2) sets forth sorbent injection requirements for
sources in the MPS. However, the timeframes provided in Conditions 7(b)(i)(A) and (B) do not
correspond with the timeframes contained in Section 225.233(c)(5), which dictate the averaging
periods applicable to the rate
of sorbent injection.
See
paragraph 13 above. For example,
Condition 7(b)(i)(A) requires notification and reporting
if the "violation exceeds or may exceed
24 hours." Condition 7(b)(i)(B) refers to incidents that are 72 hours or more in duration.
Dynegy does not know how to calculate these provisions in light
of the weekly averaging
provisions
of Section 225.233(c)(5).
2
If the Board finds that it cannot stay only a portion of Condition 7(b)(ii), then Dynegy requests that it not
stay the entirety
of the condition.
-8-
20.
For these reasons, Dynegy appeals Conditions 7(b)(i)(A) and (B) and requests that
the Board stay Condition 7(b)(i)(A) and (B), as set forth in Exhibit 2, during the pendency
of this
appeal.
F.
Condition 2(b)(iii) - References to Appealed Conditions 5(b)
and 7(b)
21.
Condition 2(b)(iii) references Conditions 5(b) and 7(b), both
of which are
appealed here. Dynegy appeals those cross-references, consistent with its appeals
of Conditions
5(b) and 7(b). Dynegy requests that the Board stay Condition 2(b)(iii), as set forth in Exhibit 2,
during the pendency
of this appeal; however, if the Board determines that it cannot stay only a
portion
of a condition, then Dynegy does not request that Condition 2(b)(iii) be stayed.
G.
Condition
11 - Authority to Operate the Boiler
22.
Condition
11 grants Dynegy the authority to operate the boiler but does not
specifically grant Dynegy the authority to operate the sorbent injection system, though such
authority is implied. Dynegy applied to construct and operate a sorbent injection system.
It
already has the necessary permits authorizing operation of the boiler. This additional
authorization seems duplicative, and the authority to operate seems misplaced. The authority
granted here should be to operate the sorbent injection system. For this reason, Dynegy appeals
Condition
11 but does not request that Condition 11 be stayed.
WHEREFORE, for the reasons set forth above, Dynegy appeals Conditions 2(b)(iii),
2(b)(vi), 4, 5(b), 7(a), 7(b)(i)(A) and (B), 7(b)(ii), and
11 of the construction permit issued June
12, 2008, for the Wood River Power Station. Additionally, Dynegy requests that the Board stay
all or the portions
of the conditions appealed above except for Condition 11, as set forth in
Exhibit
2. In the event the Board believes it cannot stay part of a condition, Dynegy requests that
-9-
the Board stay all the conditions appealed above except for Conditions 2(b)(iii), 7(b)(ii) and 11.
Dynegy will extend its current practices of recordkeeping and reporting to the new sorbent
injection system, as appropriate, and will,
of course, comply with all requirements of the Board's
regulations applicable to the new sorbent injection system during the pendency
of this appeal.
Operation
of the sorbent injection system will benefit air quality by reducing the amount of
mercury emitted to the environment.
Respectfully submitted,
DYNEGY MIDWEST GENERATION, INC.
(WOOD RIVER POWER STATION)
by:
~~.
One 0 Its Attorneys
Dated: July 21, 2008
SCHIFF HARDIN, LLP
Sheldon
A. Zabel
Kathleen
C. Bassi
Stephen
1. Bonebrake
6600 Sears Tower
233 South Wacker Drive
Chicago, Illinois 60606
312-258-5500
Fax: 312-258-2600
kbassi@schifthardin.com
-10-
EXHIBIT 1
Construction Permit
Issued to
Dynegy Midwest Generation (Wood River Power Station)
(June
12, 2008)
1021 NORTH CRAND AVENUE EAST, P.O. Box 19.506, SPRiNCFIELD, IlliNOIS 62794-9506 -l 217) 7B2-2113
ILLINOIS ENVIR(.)NMENTAL PROTECTION AGENCY
•
.
y.'',','.',,:.'.•.','.'.:
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.
'e.' •..•.. .:......•, .•, .•.••.• ;
w
ROD R. Bl./\GOJEVICH,
C.~OVERNOR
DOUGLAS
P.
SCOTT, DIRECTOR
217/782-2113
CONSTRUCTION PERMIT
PERt1ITTEE
Dynegy Midwest Generation, Inc.
Attn: Rick Diericx
Operations Environmental Compliance
604 Pierce Blvd
O'Fallon, Illinois 62269
~ication_No
..
~_:
08020011
I.D. No.: 119020AAE
~licant~s De~.~atio~:
Date Received: February 5/ 2008
Subject: Sorbent Injection System for Unit 5
Date Issued:
June 12, 2008
Location: Wood River Generating Station, #1 Chessen Lane, Alton
Permit is hereby granted to the above-designated Permittee to CONSTRUCT
equipment consisting of a sorbent injection system to control mercury
emissions for the Unit 5 boiler, as described in the above referenced
application. This Permit is subject to standard conditions attached hereto
and the following special condition(s):
1a.
This Permit authorizes construction of sorbent injection system (the
affected system) for the existing coal-fired boiler for Unit 5 (the
affected boiler). The new sorbent injection system would be used to
control mercury emissions to comply with 35 lAC Part 225, Subpart B,
Control Of Mercury Emissions From Coal-Fired Electric Generating Units,
by injecting sorbent, i.e., halogenated activated carbon, into the
ductwork prior to the particulate control device on the affected
boiler.
b.
i.
This permit is issued based on this project being an emissions
control project, whose purpose and effect will be to reduce
emissions of mercury from the affected boiler and which will not
significantly increase emissions of other PSD pollutants. As
such, the terms and conditions of the existing permits will
continue to govern emissions and operation of the affected boiler
or generating unit except as specifically indicated in this
permit..
ii.
This permit is issued based on the storage and handling of
activated carbon for the affected system qualifying as
insignificant activity, with annual emissions of PM in the
absence of control equipment that would be no more than 0.44
tons, so that this activity need not be addressed by this permit.
c.
Ot.her than the use of the sorbent injection system on the affected
boiler, this permit does not authorize any modifications to the
affected boiler or the generating unit, which would increase its
capacity or potential emissions.
PRINTED ON RECYCl.ED PAPER
Page 2
2a.
For the affected boiler, beginning on the applicable dates specified by
35 lAC Part 225, Subpart B, the Permittee shall comply with applicable
requirements in this rule for control of mercury emissions and
associated requirements in this rule for sampling, monitoring,
recordkeeping, and reporting.
Note: For the affected boiler, the Permittee has notified the Illinois
EPA that it intends to comply with 35 lAC Part 225 Subpart B by means
of the Multi-Pollutant Standards (MPS) , 35 lAC 225.233, which has a
compliance date of July 1, 2009 for units, like the affected boiler,
which is not equipped with a scrubber or fabric filter.
b.
Subject to the following provisions, if an affected boiler is complying
with 35 lAC Part 225 by means of 35 lAC
225.233(c),
the Control
Technology Requirements for Control of Emissions of Mercury under the
Multi-Pollutant Standards, the Permittee is authorized to continue
operation of the boiler in violation of the applicable requirements of
35 lAC 225.233(c) (2) in the event of a malfunction or breakdown of the
sorbent injection system for the boiler or the associated sorbent
storage and handling system. This authorization is provided pursuant
to 35 lAC 201.149, 201.161 and 201.262, as the Permittee has applied
for such authorization, generally explaining why such continued
operation would be required to provide essential service and describing
the measures that would be taken to minimize emissions from any
malfunctions and breakdowns.
i.
This authorization only allows such continued operation of an
affected boiler as necessary to provide essential service and
does not extend to continued operation solely for the economic
benefit of the Permittee.
ii.
Upon occurrence of a violation of 35 lAC 225.233(c) (2) due to
malfunction or breakdown, the Permittee shall as soon as
practicable repair the sorbent injection system, take actions to
reduce the magnitude of the violation or excess emissions, or
undertake other actions so that the violation ceases.
iii. The Permittee shall fulfill applicable recordkeeping and
reporting requirements of Conditions 5(b) and 7(b). For these
purposes, time shall be measured from the start of a particular
incident. The absence of a violation for a short period shall
not be considered to end an incident if violations resume. In
such circumstances, the incident shall be considered to continue
until corrective actions are taken so that violations cease or
the Permittee takes the affected boiler out of service.
iv.
Following notification to the Illinois EPA for a malfunction or
breakdown of the affected system, the Permittee shall comply with
all reasonable directives of the Illinois EPA with respect to
such incident, pursuant to 35 lAC 201.263.
Electronic Filing - Received, Clerk's Office, July 21, 2008
* * * * * PCB 2009--006 * * * * *
Page 3
v.
This authorization does not relieve the Permittee from the
continuing obligation to minimize emissions during malfunction or
breakdown. As provided by 35 rAC 201.265, an authorization in a
permit for continued operation with a violation during
malfunction or breakdown does not shield the Permittee from
enforcement for any such violation and only constitutes a prima
facie defense to such an enforcement action provided that the
Permittee has fully complied with all terms and conditions
connected with such authorization.
vi.
For the affected boiler, this authorization will end on January
I, 2015, or such earlier date that the Permittee begins complying
with 35 lAC Part 225 Subpart B by a means other than 35 lAC
225.233(c), e.g., compliance by means of the Emission Standards
for Mercury under the Multi-Pollutant Standards, 35 lAC
22S.233(d) .
c.
For storage and handling of sorbent, the Permittee shall comply with
applicable standards in 35 lAC Part 212 for opacity and particulate
matter emissions that apply to the new process emission units
associated with the affected system.
3.
At all times, the Permittee shall, to the extent practicable, maintain
and operate the affected system including storage and handling of
sorbent, in a manner consistent with good air pollution control
practice for minimizing emissions from the affected boiler and the
source.
4.
The Permittee shall install, operate, and maintain instrumentation on
the affected system to measure and record the rate of sorbent
injection.
Sa.
The Permittee shall maintain the following records for the affected
system on the affected boiler:
i.
Records for the system that, at a minimum, when the affected
boiler is in operation, identify the sorbent that is being used
and each period of time when the affected system was not being
operated or was not able to meet the applicable sorbent injection
rate, with explanation, e.g., blockage of the sorbent supply
system.
ii.
Maintenance and repair records for the affected system that, at a
minimum, list the activities performed, with date and
description.
b.
During the period before the Permittee is required to keep records
pursuant to 35 rAC Part 22S Subpart B, the Permittee shall maintain
records of the following:
i.
Data for mercury emissions of the affected boiler collected by
the Permittee ( if any, including
bl..lt
not lim! ted to emission rate
Electronic Filing - Received, Clerk's Office, July 21, 2008
* * * * * PCB 2009--006 * * * * *
Page 4
(micrograms per cubic meter, pounds per hour, or pounds per
million Btu) and mercury control efficiency, with identification
and description of the mode of operation of the affected boiler
and the affected system.
ii.
Data for the mercury and heat content of the current coal supply
to the affected boiler, with supporting data for the associated
sampling and analysis methodology, so as to have data to
characterize the mercury content of the coal supply.
6.
The Permittee shall retain all records required by this permit at the
source for at least 5 years from the date of entry and these records
shall be readily accessible to the Illinois EPA for inspection and
copying, upon request.
7a.
The Permittee shall notify the Illinois EPA of deviations from the
requirements of this permit as follows unless otherwise specified in
the current CAAPP permit for the source. These notifications shall
include a description of the deviation and the probable causes, a copy
of relevant records, a description of the corrective actions taken, and
a description of the preventative measures taken to avoid similar
future occurrences.
i.
When 35 IAC Part 225, Subpart B, becomes applicable, i.e., on and
after July 1, 2009, notifications for deviations shall be
submitted with the periodic reports required by Subpart B, except
as provided by Condition 7(b) (i).
ii.
Before 35 lAC Part 225, Subpart B, becomes applicable,
notifications for deviations from the requirements of this permit
shall be submitted with the quarterly monitoring reports required
for the affected boiler.
b.
Pursuant to 35 lAC 201.263, the Permittee shall provide the following
notifications and reports to the Illinois EPA for incidents when
operation of the affected boiler continue during a malfunction or
breakdown with a violation of 35 IAC 225.233(c) (2), as addressed by
Condition 2(b).
i.
A.
The Permittee shall immediately notify the Illinois EPA's
Regional Office, by telephone (voice, facsimile or
electronic) if the duration of a violation exceeds or may
exceed 24 hours.
(Otherwise, if the duration of the
violation is no more than 24 hours, the Permittee need only
report the incident in accordance with Condition 7(b) (ii).)
B.
Upon conclusion of any incident that is 72 hours or more in
duration, the Permittee shall submit a written follow-up
notice to the Illinois EPA, Compliance Section and Regional
Office, within 15 days providing a detailed description of
the incident and its cause(s), an explanation why continued
operation was necessary, the length of time during which
Page 5
operation continued under such conditions, the measures
taken by the Permittee to minimize and correct deficiencies
with chronology, and when the repairs were completed or the
affected boiler was taken out of service.
ii.
The Permittee shall submit periodic reports to the Illinois EPA
that include the following information for incidents during the
reporting period in which an affected boiler continued to operate
during malfunction or breakdown with violation of 35 lAC
225.233(c) (2). These reports shall be submitted with the
periodic reports submitted for the boiler pursuant to Condition
7 (a) .
A.
A listing of such incidents, in chronological order, that
includes:
(1) the date, time, and duration of each
incident, (2) the identity of the affected boiler involved
in the incident, and (3) whether a follow-up notice was
submitted for the incident pursuant to Condition
7(b) (i) (B), with the date of the notice.
B.
The detailed information for each such incident required
pursuant to Condition 7(a) (as each incident constitutes a
deviation) and Condition 7(b) (i) (B). For this purpose, the
Permittee need not resubmit information provided in a prior
report for an incident, as identified above, but may elect
to supplement the prior submittal.
C.
The aggregate duration of all incidents during the
reporting period (hours).
D.
If there have been no such incidents during the reporting
period, this shall be stated in the report.
8.
The Permittee shall notify the Illinois EPA when the affected system on
the affected boiler starts operation.
9.
The Illinois EPA has determined that this project, as described in the
application, will not constitute a modification of the affected boiler
under the federal New Source Performance Standards, 40 CFR Part 60, as
the project has the primary function of reducing emissions and is not
considered a modification pursuant to 40 CPR 60.14(e) (5).
10.
Two copies of required reports and notifications shall be sent to the
Illinois EPA's Compliance section at the following address unless
otherwise indicated:
Illinois Environmental Protection Agency
Division of Air pollution Control
Compliance Section (#40)
P.O. Box 19276
1021 North Grand Avenue East
Springfield, Illinois 62794-9276
Page 6
and one copy shall be sent to the Illinois EPA's regional office at the
following address unless otherwise indicated:
Illinois Environmental Protection Agency
Regional Office/Division of Air Pollution Control
2009 Mall Street
Collinsville, Illinois 62234
11.
The affected boiler may be operated with the sorbent injection system
pursuant to this construction permit until an operating permit becomes
effective that addresses operation of the boiler with this system.
If
you
have any questions on this permit, please call Kunj Patel at
217/782-2113.
Edwin C. Bakowski, P.E.
Acting Manager, Permit Section
Division of Air Pollution Control
ECB:CPR:KMP:psj
cc:
Region 3
Date Issued:
EXHIBIT 2
CONSTRUCTION PERMIT
PERMITTEE
Dynegy Midwest Generation., Inc.
Attn: Rick Diericx
Operations Environmental Compliance
604 Pierce Blvd
O'Fallon, Illinois 62269
I.D. No.:
119020AAE
Date Received:
February 5, 2008
System for Unit 5
Application No.:
08020011
Applicant's Designation:
Subject: Sorbent Injection
Date Issued:
June 12, 2008
Location: Wood River Generating Station, #1 Chessen Lane, Alton
Permit is hereby granted to the above-designated Permittee to CONSTRUCT
equipment consisting of a sorbent injection system to control mercury
emissions for the Unit 5 boiler, as described in the above referenced
application. This Permit is subject to standard conditions attached hereto
and the following special condition(s):
1a.
This Permit authorizes construction of sorbent injection system (the
affected system) for the existing coal-fired boiler for Unit 5 (the
affected boiler). The new sorbent injection system would be used to
control mercury emissions to comply with 35 lAC Part 225, Subpart B,
Control Of Mercury Emissions From Coal-Fired Electric Generating Units,
by injecting sorbent, i.e., halogenated activated carbon, into the
ductwork prior to the particulate control device on the affected
boiler.
b.
i.
This permit is issued based on this project being an emissions
control project, whose purpose and effect will be to reduce
emissions of mercury from the affected boiler and which will not
significantly increase emissions of other PSD pollutants. As
such, the terms and conditions of the existing permits will
continue to govern emissions and operation of the affected boiler
or generating unit except as specifically indicated in this
permit.
ii.
This permit is issued based on the storage and handling of
activated carbon for the affected system qualifying as
insignificant activity, with annual emissions of PM in the
absence of control equipment that would be no more than 0.44
tons, so that this activity need not be addressed by this permit.
c.
Other than the use of the sorbent injection system on the affected
boiler, this permit does not authorize any modifications to the
Page 2
affected boiler or the generating unit, which would increase its
capacity or potential emissions.
2a.
For the affected boiler, beginning on the applicable dates specified by
35 lAC Part 225, Subpart B, the Permittee shall comply with applicable
requirements in this rule for control of mercury emissions and
associated requirements in this rule for sampling, monitoring,
recordkeeping, and reporting.
Note: For the affected boiler, the Permittee has notified the Illinois
EPA that it intends to comply with 35 lAC Part 225 Subpart B by means
of the Multi-Pollutant Standards (MPS), 35 lAC 225.233, which has a
compliance date of July 1, 2009 for units, like the affected boiler,
which is not equipped with a scrubber or fabric filter.
b.
Subject to the following provisions, if an affected boiler is complying
with 35 lAC Part 225 by means of 35 lAC 225.233(c), the Control
Technology Requirements for Control of Emissions of Mercury under the
Multi-Pollutant Standards, the Permittee is authorized to continue
operation of the boiler in violation of the applicable requirements of
35 lAC 225.233(c) (2) in the event of a malfunction or breakdown of the
sorbent injection system for the boiler or the associated sorbent
storage and handling system. This authorization is provided pursuant to
35 lAC 201.149, 201.161 and 201.262, as the Permittee has applied for
such authorization, generally explaining why such continued operation
would be required to provide essential service and describing the
measures that would be taken to minimize emissions from any
malfunctions and breakdowns.
i.
This authorization only allows such continued operation of an
affected boiler as necessary to provide essential service and
does not extend to continued operation solely for the economic
benefit of the Permittee.
ii.
Upon occurrence of a violation of 35 lAC 225.233(c) (2) due to
malfunction or breakdown, the Permittee shall as soon as
practicable repair the sorbent injection system, take actions to
reduce the magnitude of the violation or excess emissions, or
undertake other actions so that the violation ceases.
iii. The Permittee shall fulfill applicable recordkeeping and
reporting requirements of Conditions 5(b) and 7(b). For these
purposes, time shall be measured from the start of a particular
incident. The absence of a violation for a short period shall not
be considered to end an incident if violations resume. In such
circumstances, the incident shall be considered to continue until
corrective actions are taken so that violations cease or the
Permittee takes the affected boiler out of service.
iv.
Following notification to the Illinois EPA for a malfunction or
breakdown of the affected system, the Permittee shall comply with
Page 3
all reasonable directives of the Illinois EPA with respect to
such incident, pursuant to 35 lAC 201.263.
v.
This authorization does not relieve the Permittee from the
continuing obligation to minimize emissions during malfunction
or breakdown. As provided by 35 lAC 201.265, an authorization
in a permit for continued operation with a violation during
malfunction or breakdown does not shield the Permittee from
enforcement for any such violation and only constitutes a
prima facie defense to such an enforcement action provided
that the Permittee has fully complied with all terms and
conditions connected with such authorization.
vi.
For the affected boiler, this authorization 'dill end on ,January
1, 2015, or such earlier date that the
Perm~ttee
begins complying
\lith 35 lAC Part 225 Subpart B by a means other than 35 lAC
225.233(c), e.g., compliance
by
means of the Emission Standards
for
P.~ercury
under the HuJ_ti Pollutant Standards, 35
.I1\C
225.233 (d)
.
c.
3.
Sa.
For storage and handling of sorbent, the Permittee shall comply with
applicable standards in 35 lAC Part 212 for opacity and particulate
matter emissions that apply to the new process emission units
associated with the affected system.
At all times, the Permittee shall, to the extent practicable, maintain
and operate the affected system including storage and handling of
sorbent, in a manner consistent with good air pollution control
practice for minimizing emissions from the affected boiler and the
source.
The Permittee shall install, opcr3te, and maintc.:.in '::"nstc.lmentation on
the affe3ted system to measure and record the rate of sorbent
injection.
The Permittee shall maintain the following records for the affected
system on the affected boiler:
i.
Records for the system that, at a minimum, when the affected
boiler is in operation, identify the sorbent that is being used
and each period of time when the affected system was not being
operated or was not able to meet the applicable sorbent injection
rate, with explanation, e.g., blockage of the sorbent supply
system.
ii.
Maintenance and repair records for the affected system that, at a
minimum, list the activities performed, with date and
description.
b.
Dur'::"ng the period before the Permittee '::"s required to ]lcep records
pursuant to 35 lAC Part 225 Subpart B, the Perm'::"ttee shall maintain
record;] cf the
fc2-1m,~
Page 4
i.
Data for mercury emissions of the affected boiler collected by
the Permittee, if any, including but not limited to emi3sion rate
(micrograms per
cub~c
meter, pounds per hour, or pounds per
million Btu) and mercury control efficiency, \lith identification
and
descr~ption
of the mode of
operat~on
of the affected boiler
and the affected system.
ii.
Data for the mercury and heat content of the current coal supply
to the affected boiler, '""ith supporting data for tl":.c associated
sampling and analysis mcthodology, so as to haT.To data to
characterize the mercury content of the coal supply.
6.
The Permittee shall retain all records required by this permit at the
source for at least 5 years from the date of entry and these records
shall be readily accessible to the Illinois EPA for inspection and
copying, upon request.
7 a.
The Permittee sha.2-1 not i fy the
:::l.2-ino~
s EPIt of deviations from the
:r.equireFnen.ts of this pe:r.rH.:i...t as foJ.l.mJS unless othenrise specified in
the
C~Jrrent
Cl\:Z\PP permit for the source. These notifications shall
include a description of the deviation and the probable causes, a copy
of relevant records, a description of the corrective actions taken, and
a description of the preventative measures taken to avoid oimilar
future occurrences.
i.
When 35 lAC Part 225, Subpart B, becomes applicable, i.e., on and
after July 1, 2009, notifications for deviations shall be
submitted T.Jith t:Le periodic reports
req~Jired
by Subpart B, except
as provided by Condition 7 (b) (i)
.
ii.
Before 35 lAC Part 225, Subpart B, becomes applicable,
notifications for deviations from the requirements of thi3 permit
sha.2-1 be submitted ;;ith the quarterly
rnon~toring
reports required
for the affected boiler.
b.
Pursu.:.::.nt to 35 IItC 201.263, the Permittee shall prOVlQC the follm:ing
notifications and reports to the Illinois EPA for incidents \ilien
operation of the affected boiler continue during a malfunction or
breakdc.nn: ",'ith a ';liolation of 35 TIlC 225.233 (e) (2), as addressed by
conditien 2 (b)
.
i.
A.
The Permittee shall iff!fflediatcly notify the :::llinoio EPA's
Regional office,
by
telephone (voice, facsimile or
electronic) if the duration of a violation elcceeds or may
e:::eeed 24 hours.
(Othen,:"se, if the duration of the
violation is no more than 24 hour3, the Permittee need only
report the incident in accordance r,Jith Condition 7 (b) (i i ) . )
B.
Upon conclusion of any incident that is 72 hours or more in
dar tion, the Permittee shall
s~Jbmit
a v:ritten follO'iJ \:.p
not ce to the
Ill~nois
EPA, Compliance Section and Regional
Off ce, r,ifithin 15 days providing a detailed description of
Page 5
the incident:. and ::. ts ca'-.lSC (s), an
e}{p:~.anat::
.. on 'v1hy
conL~
.. nued
operatioL ',DD nec.:essary, the length of time daring '':hich
operation continued under such
sondit~ons,
the measures
t:.:kCR by the Permittee to m::'nim::'ze GRd correct deficieLcieD
',;ith chronology, and r,:hen the repairs 'dere comp' eted or the
affested boj.. ler r,ws taken out:: of
se:P;F~ce.
ii.
The Permittee shall submit periodic reports to the Illinois EPA
that include the following information for incidents during the
reporting period in which an affected boiler continued to operate
during malfunction or breakdown with violation of 35 lAC
225.233 (c) (2). These reports sha.l.J. be submitted 'dith the periodic
reports submitted for the boiler pursuant to Condition
7(a).
A.
A listing of such incidents, in chronological order, that
includes:
(1) the date, time, and duration of each
incident, (2) the identity of the affected boiler involved
in the incident, and (3) whether a follow-up notice was
submitted for the incident pursuant to Condition
7 (b) (i) (E), with the date of the notice.
B.
.g;.fl.e
detailed information for each such incident required
pursuant to Condition 7(a) (as each incident constitutes a
de'liat.ion) and Conditio::-t
"7
(b) (i) (IS).
For this purpose, the
Permittee need not resubmit information provided in a prior
report for an incident, as identified above, but may elect
to supplement the prior submittal.
C.
The aggregate duration of all incidents during the
reporting period (hours).
D.
If there have been no such incidents during the reporting
period, this shall be stated in the report.
8.
The Permittee shall notify the Illinois EPA when the affected system on
the affected boiler starts operation.
9.
The Illinois EPA has determined that this project, as described in the
application, will not constitute a modification of the affected boiler
under the federal New Source Performance Standards, 40 CFR Part 60, as
the project has the primary function of reducing emissions and is not
considered a modification pursuant to 40 CFR 60.14(e) (5).
10.
Two copies of required reports and notifications shall be sent to the
Illinois EPA's Compliance Section at the following address unless
otherwise indicated:
Illinois Environmental Protection Agency
Division of Air Pollution Control
Compliance Section (#40)
P.O. Box 19276
1021 North Grand Avenue East
Page 6
Springfield, Illinois 62794-9276
and one copy shall be sent to the Illinois EPA's regional office at the
following address unless otherwise indicated:
Illinois Environmental Protection Agency
Regional Office/Division of Air Pollution Control
2009 Mall Street
Collinsville, Illinois 62234
11.
The affected boiler may be operated with the sorbent injection system
pursuant to this construction permit until an operating permit becomes
effective that addresses operation of the boiler with this system.
If you have any questions on this permit, please call Kunj Patel at 217/782-
2113.
Edwin C. Bakowski, P.E.
Date Issued:
Acting Manager, Permit Section
Division of Air Pollution Control
ECB:CPR:KMP:psj
cc:
Region 3
CH2\2608728.1
