LLiNOIS

ENVIRONMENTAL

PROTECTION

AGENCY

1021

NORTH

GRAND

A\/ENUE

EAST, P.O.

Box

19276,

SPRINGFIELD,

ILLINOIS

62794-9276

— (

217)

782-3397

JAMES

R.

THOMPSON

CENTER,

100

WEST

RANDOLPH,

SUITE

11-300,

CHICAGO,

IL 60601

— (312)

814-6026

ROD R.

BLAGOJEVICH,

GOVERNOR

DOUGLAS

P. SCOTT,

DIRECTOR

July

24,

2008

Fred

W.

McCluskey

Certified

Mail

Vice

President

Return

Receipt

Requested

Technical

Services

7004

2510

0001

8618

8777

Midwest

Generation

LLC

440

One

S.

Financial

LaSalle

Place

St.

J

E1’

t

0

i

i

Suite

3500

Chicago,

Illinois

60605

IEPA

08-GR-01

Re:

Midwest

Generation

LLC,

Crawford

Power

Station,

Unit

8

Grant

of

Provisional

Variance

Request

Dear

Mr.

McCluskey:

On July

24,

2008,

the

Illinois

Environmental

Protection

Agency

(“Illinois

EPA”)

received

from

Midwest

Generation,

LLC

(“Midwest

Generation”),

Crawford

Power

Station,

a

request

for

a 30-day

provisional

variance

for

Unit

8 from

the

requirement

under

35

Ill. Adm.

Code

225.615

to

inject

sorbent

at

any

particular

rate,

including

at the

minimum rate

of

5.0 lbs

per

million

actual

cubic

feet of

flue

gas

flow

specified

by

Section

225.6

15(g)(3)(A).

The

request

was

accepted

for

review

pursuant

to the

requirements

of

the

Illinois

Environmental

Protection

Act

(“Act”)

and

applicable

regulations.

The

Illinois

EPA

has

evaluated

the

request

in

accordance

with

the

requirements

of

Sections.

35,36,

and

7

of the.Ac.t.and

theIllinois

EPA’s.regulations.set

forth.at.

35

ilL

Adm.

Code

Part

1 80

The Illinois

EPA

is ‘granting

Midwest

Generation’s:request

for

provisional

variance,

subject

to

the conditions

delineated

below,

due

to the

short-term

nature

of

the

relief

and

because

the

request

and

supporting

documentation

have

demonstrated

that

an

arbitrary

and

unreasonable

hardship

would

result

in

the

event

of a

denial.

The

Illinois

EPA

is

granting

Midwest

Generation

relief

from

the

aforementioned

regulatory

requirement

under

Section

225.615

for a

30-day

period,

as

requested

by

Midwest

Generation.

Specifically,

this

relief

is granted

until

August

23,

2008,

at

which

time

this

grant

and

its

terms

expire.

This

action

affording

relief

is

based,

in

principal

part,

upon

Midwest

Generation’s

rcpresentation

that no

significant

adverse

environmental

effect

is

expected

as

a

result

of the

requested

relief.

The requested

relief

shall

extend

to

Midwest

Generation’s

Crawford

Power

Station,

Unit

8, subject

to the

following

conditions:

ROCKFORD

—4302

North

Main Street,

Rockford,

IL

61103 —

(815) 987-7760

DES

PLAINES

—9511

W.

Harrison

St., Des

Plaines,

IL

60016

—(847)

294-4000

ELGIN

—

505 South

State,

Elgin,

IL 60123

—

(847)

608-3131

PEORIA —5415

N.

University

St.,

Peoria,

IL 61614

— (309)

693-5463

BUREAU

OF

LAND

- PEORIS

.620

N.

University

St.,

Peoria,

IL

61614—

(309)

693-5462

0

CHAMPAIGN

—2125

South

First Street,

Champaign,

IL

61820—

(217)

278-5800

SPRINGFIELD

—4500

S.

Sixth

Street Rd.,

Springfield,

IL 62706

—(217)

786-6892

COLLINSVILLE

—2009

MalI

Street, Collinsville, IL 62234

—(618)

346-5120

MARION

—2309

W.

Main

St:, Suite

116,

Marion,

IL

62959

—(618)

993-7200

PRINTED

ON

RECYCLED

PAPER

---

1.

Midwest

Generation

shall

submit

to the

Illinois

EPA

a

report

containing

all

data

collected

throughout

the

term

of this

provisional

variance

regarding

the

identity

of

each

sorbent

that

is injected,

the

associated

sorbent

injection

rate(s) with

dates

and

hours,

the

corresponding

instantaneous

and

6-minute

average

opacity

measurements,

and

load.

2.

Midwest

Generation

shall

submit

to

the

Illinois

EPA

a

report

detailing

the

relationship

between

the

sorbent

injection

rates

and

opacity

measurements

during

the

term

of

this

provisional

variance

and

any

related

conclusions

of

Midwest

Generation

or

its representatives.

3.

Midwest

Generation

shall

submit

to

the

Illinois

EPA

a

discussion

of

how

Crawford

Power

Station

Unit

8

achieved

compliance

within

the

term

of

the

provisional

variance

and

how

it

will

ensure

compliance

prospectively.

4.

Reports

and

information

required

under

paragraphs

1,

2, and

3 above

shall

be

submitted

within

15

days

after

the

term

of

the

provisional

variance

to:

David

Bloomberg,

Manager

Bureau

of

Air

Compliance

Unit

Illinois

Environmental

Protection

Agency

1021

N.

Grand

Ave.

East

P.O.

Box

19276

Springfield,

IL

62794-9276

The

Illinois EPA

requests

that

Midwest

Generation,

following

receipt

of this

provisional

variance,

submit

a

certification

to the

Illinois

EPA

signifying

its

acceptance

of

the

terms

and

conditions

expressed

herein.

The

certification

should

be mailed

to the

Illinois

EPA

within

3

days

of the

date

of

this

provisional

variance

and

should

be

signed

by

the

owner

or

operator,. as

follows:

Certification

I

(We),

have

read

the

terms

and

conditions

of

the

Illinois

EPA’s

provisional

variance,

dated

July

24,

2008,

and,

I

(we)

hereby

accept and

agree

to

abide

by

the

terms

and

conditions

expressed

therein.

The

certification

should

be

mailed,

by

certified

mail,

to

the

undersigned.

Siñc

‘

ely,

/Zq

.

Robert

A.

Messina

Chief

Legal

Counsel

2

---

ILLINOIS ENVIRONMENTAL PROTECTION

AGENCY

1021

NORTH GRAND AVENUE EAST, P.O. Box 19276, SPRINGFIELD, ILLINOIS 62794-9276

— (

217)

782-3397

JAMES R.

THOMPSON CENTER, 100 WEST RANDOLPH, SUITE 11-300, CHICAGO, IL

60601

— (312)

814-6026

ROD R.

BLAGOJEVICH,

GOVERNOR

DOUGLAS P. SCOTT, DIRECTOR

July 24, 2008

ECEVED

CLERK’S

OFFICE

John Therriault

JUL 2

82008

Assistant

Clerk

Illinois Pollution

Control Board

100

West Randolph

St., Suite 11-500

Chicago, IL

60601

Re:

Notice of Grant

of Provisional

Variance

Midwest Generation

LLC, Crawford

Power

Station,

Unit

8

Dear Mr. Therriault:

Attached please

find a copy of

a provisional

variance

that the

Illinois

Environmental

Protection Agency

(“Illinois EPA”)

granted to

Midwest

Generation

LLC,

Crawford

Power

Station, in Cook

County. As

you may know,

the Illinois

Environmental

Protection

Act requires the

Illinois EPA

to promptly file

a copy

of its provisional

variance

decisions

with the Illinois Pollution

Control

Board. See,

415 ILCS

5/37(b). This letter

and

attachment should adequately

fulfill

the Illinois

EPA’s statutory

obligation.

Thank you for

your attention

to this matter.

Siierely

1,

Robert

1

Messina

.Dq

Chief Legal Counsel

ROCKFORD —4302

North Main Street, Rockford, IL 61103 — (815) 987-7760

•

Dts PLAINES

9511 W.

Harrison St., Des Plaines, IL 60016

—(847) 294-4000

ELGIN — 595

South

State,

81gm, IL 60123

— (847)

608-3131

•

PEORIA — 5415 N. University St., Peoria, IL 61614—

(309)

693-5463

BUREAU OF LAND

- PEORIA — 7620 N. University St., Peoria,

IL

61614—

(309)

693-5462

•

CHAMPAIGN —2125

South

First

Street, Champaign, IL 61820—

(217)

278-5800

SPRINGFIELD —4500 S.

Sixth Street Rd., Springfield, IL 62706

—

(217) 786-6892

•

COLLINSVILLE —2009

MaIl

Street, Collinsville, IL 62234

—(618) 346-5120

MARION — 2309

W. Main St., Suite 116, Marion, IL 62959 — (618) 993-7200

PRINTED ON RECYCLED PAPER