CLEp<i
JUN
24
2009
ps,i1;
d
OFFICE
OF
THE
SECRETARY
OF STATE
JESSE WHITE•
Secretary of
State
June 19, 2009
POLLUTION
CONTROL
BOARD
JOHI’.T
THERRIAULT
ASSISTANT
CLERK
100 W RANDOLPH
ST,
STE 11-500
CHICAGO,
IL
60601
Dear JOHN
THERRIAULT
ASSISTANT
CLERK
Your rules
Listed below met
our
codification standards
and have been
published in
Volume
33,
Issue 26 of the
Illinois Register,
dated
6/26/2009.
PROPOSED RULES
Nitrogen Oxides
Emissions
35 111. Adm.
Code
217
8880
Point of
Contact: Nancy
Miller
If you have any
questions, you
may contact
the Administrative
Code
Division
at
(217)
782 - 7017.
Index
Department - Administrative
Code Division - 111 East
Monroe Springfield,
IL 62756
ILLINOIS REGISTER
I
POLLUTION CONTROL BOARD
NOTICE
OF PROPOSED AMENDMENT
CLEç
c;:IEt
1)
Heading
of the Part: Nitrogen Oxides
Emissions
iUN2h
F
2Oüg
OFIQ,
2)
Code
Citation:
35 Iii.
Adm.
Code
217
fl
COfl
01
8oaj
3)
Section
Number:
Proposed
Action:
217.751
New
4)
Statutory
Authority:
Implementing Section 10 and authorized
by
Sections 27 and 28
of
the Environmental Protection Act [415 ILCS 5/10, 27, and 28)
5)
A Complete Description of the Subjects and Issues Involved:
The Board’s May
7,
2009 opinion and order in In the Matter of: Nitrogen Oxide
(NOx)
Trading
Program Sunset Provisions
for Electric Generating Units
(EGU’s):
New 35 Ill.
Adm. Code 217.751, R09-20 discusses in detail the amendments to Part 217.Subpart
W
proposed in this rulemaking.
On May 7, 2009, the Illinois Pollution Control Board authorized first notice publication,
without comment on the merits, of an Illinois Environmental Protection Agency (IEPA)
proposal
that
would
sunset the provisions of
the Nitrogen
Oxides (NOx) Trading Program
rules for electrical generating units (EGUs). JEPA filed this proposal with the Board on
April 21, 2009, along with a motion for expedited review requesting immediate first
notice
publication and the scheduling
of
hearings
as soon as possible.
In its statement of reasons, the JEPA states that Illinois adopted both the NOx rules
at 35
Ill. Adm. Code 217 and the Clean Air Interstate Rule (CAIR)
at 35 Iii. Adm. Code 225
after adoption of similar rules by the United States Environmental Protection Agency
(USEPA). USEPA has approved
both sets
of rules
for inclusion in the State
Implementation Plan (SIP) for ozone attainment. As do the USEPA rules, the CAIR
provisions, as set forth in 35 Iii. Code 225.Subpart E, include a trading program for
control of NOx emissions during the ozone season that replaces the provisions in Part
217. Subpart
W for EGUs
beginning with the 2009 control period (May 1 through
September
30)
and thereafter.
But, due to a
federal
court
ruling
concerning the federal CAIR rules in North Carolina v.
USEPA, 531 F.3d
896
(C.A.D.C.
Cir.
2008),
USEPA must take additional action
concerning its rules. To solve the problem, in 40 CFR 51.123(bb)(1)(i),USEPA
has
provided that states such as Illinois with approved CAIR programs may revise their
applicable
SIP so
that
the
provisions
of the NOx, SIP Call
Trading
Program do not apply
to affected EGUs.
cr
J$4122
33
ILLINOIS
REGISTER
POLLUTION CONTROL BOARD
NOTICE OF PROPOSED AMENDMENT
IEPA’s
proposal requesting the Board to amend the Illinois rules is the first
step to
revision of
the SIP. If the Board adopts a final rule
in
this rulemaking,
IEPA will submit
the rule to
USEPA for approval and inclusion in the SIP.
EGUs currently
must comply with two sets of rules for the 2009 ozone season and
beyond: the
Illinois Clean Air Interstate Rule (CAIR) requirements at Part 225
and
the
Illinois
NOx Trading Program at Part 217. To address and remove the
duplication, this
rulemaking proposes to sunset the provisions of the NOx Trading Program, by
adding
a
new Part 217.75 1 to sunset the
rules beginning with the 2009 ozone control season.
6)
Published
studies or reports, and sources of underlying data, used to compose
this
rulemaking:
The Agency stated that it
relied on the following documents in preparing its
proposal
to
the Board:
a.
Illinois
Environmental Protection Act (415 ILCS 5 et. seq.)
b.
The
Clean Air Act, as amended in 1990 (42 U.S.C. §7401 et seq.);
c.
Rule to Reduce Interstate Transport of
Fine Particulate Matter and Ozone
(Clean Air Interstate Rule); Revisions to Acid Rain Program; Revisions to
the NOx SIP
Call; Final Rule,
70
Fed.
Reg.
25162 (May 12, 2005);
d.
Approval
and
Promulgation of Air Quality Implementation Plans; Illinois;
Oxides of Nitrogen Regulations, 66 Fed.
Reg. 56454 (November
8,
2001)
e.
Approval of Implementation Plans of Illinois;
Clean Air
Interstate Rule,
72 Fed. Reg. 58528
(October
16,
2007);
f.
North
Carolina v. USEPA, 531 F.3d 896 (C.A.D.C. Cir. 2008); and
g.
North Carolinav. USEPA, 550 F.3d 1176 (C.A.D.C. Cir. 2008).
7)
Will this proposed amendment replace an emergency rule currently in effect?
No.
8)
Does this
rulemaking contain an automatic repeal date? No.
9)
Does this
proposed
amendment
contain
incorporations by
reference?
No.
ILLINOIS REGISTER
POLLUTION CONTROL BOARD
NOTICE
OF
PROPOSED
AMENDMENT
10)
Are there any
other proposed rules pending
on this Part? Yes
Section
Numbers:
Proposed Action:
Illinois Register Citation:
217.386
Amend
32 Ill. Reg. 17075; Oct. 31,
2008
217.388
Amend
32 Ill. Reg. 17075; Oct. 31,
2008
217.390
Amend
32 Ill. Reg. 17075; Oct.
31, 2008
217.392
Amend
32
Ill. Reg. 17075; Oct.
31, 2008
217.394
Amend
32 Ill. Reg. 17075; Oct. 31, 2008
217.396
Amend
32111. Reg. 17075; Oct. 31, 2008
217.100
Amended
33 111. Reg. 6921;
May22, 2009
217.104
Amended
33
Iii. Reg. 6921; May22, 2009
2 17.121
Repealed
33 Ill. Reg. 6921; May 22,
2009
217.141
Amended
33
Ill. Reg. 6921; May 22, 2009
217.150
New Section
33 Ill. Reg. 6921;
May22, 2009
217.152
New Section
33 Ill. Reg. 6921; May22, 2009
217.154
New Section
33
Ill. Reg. 6921; May22, 2009
2 17.155
New
Section
33 111. Reg. 6921; May
22, 2009
217.156
New Section
33 111. Reg. 6921; May22, 2009
217.157
New Section
33
Ill. Reg. 6921; May22, 2009
217.158
New Section
33 Iii. Reg. 6921;
May22, 2009
217.160
New Section
33 Ill. Reg. 6921; May22, 2009
2 17.162
New Section
33 Ill. Reg. 6921; May 22, 2009
217.164
New Section
33 Ill. Reg.
6921;
May
22, 2009
217.165
New Section
33 Ill. Reg. 6921; May 22, 2009
217.166
New Section
33
Ill.
Reg.
6921; May 22, 2009
217.180
New Section
33 111. Reg. 6921; May 22, 2009
217.182
New Section
33111. Reg. 6921;
May22, 2009
217.184
New Section
33
111. Reg. 6921; May22, 2009
217.185
New Section
33 111. Reg. 6921; May22, 2009
217.186
New Section
33 Ill. Reg. 6921;
May22, 2009
217.200
New Section
33 Ill. Reg. 6921;
May22, 2009
217.202
New Section
33 Ill. Reg.
6921; May22, 2009
217.204
New Section
33
Ill.
Reg.
6921; May22, 2009
217.220
New Section
33
Ill. Reg. 6921; May22, 2009
217.222
New Section
33 Ill. Reg. 6921; May22, 2009
217.240
New Section
33 Ill. Reg. 6921; May22, 2009
217.242
New Section
33 Ill. Reg. 6921; May
22, 2009
217.244
New Section
33
Ill.
Reg.
6921; May 22, 2009
217.340
New Section
33 Ill. Reg. 6921; May22, 2009
217.342
New Section
33111. Reg. 6921; May22, 2009
ILLINOIS REGISTER
POLLUTION CONTROL BOARD
NOTICE OF PROPOSED AMENDMENT
217.344
2 17.345
217.Appendix H
New Section
New Section
New Section
33 Ill. Reg.
6921; May22, 2009
33 Ill. Reg.
6921; May22, 2009
33 Ill. Reg.
6921; May22, 2009
11)
Statement of Statewide Policy Objectives: This proposed rule does not
create or enlarge
a State
mandate, as defined in Section 3(b) of the State Mandates Act. [30
ILCS
805/3(b)
(2004)].
12)
Time, Place, and
Manner in which interested persons may comment on this proposed
rulemaking:
The Board
will accept written public comment on this proposal for 45 days
after
the date
of publication in the Illinois
Register.
Comments
should reference Docket R09-20 and be
addressed to:
Clerk’s Office
Illinois Pollution Control Board
100 W.
Randolph St., Suite 11-500
Chicago, IL 60601
The Board
will also accept sworn testimony and oral public comment at the
hearings
scheduled as followed:
Thursday, June
18, 2008, 1:00 p.m.
JAMES R.
THOMPSON CENTER
Room 11-512
100W. Randolph—Room
11-512
Chicago, IL
60601
Thursday, July 23, 2009 1:00 p.m.
IEPA OFFICE BUILDING
Room
1244N, First Floor
1021 N. Grand Avenue East
Springfield, IL 62794
Procedural details concerning the order of hearings and
requirements concerning pre
filing of testimony are detailed in a May 13, 2009 hearing officer
order.
Interested persons may request copies of the Board’s
opinion and orders and hearing
officer orders in
Docket R09-20
by
calling the Clerk’s office at 312-814-3620, or
download
from the Board’s Web site
at
www.ipcb.state.il.us.
For more information, contact Kathleen Crowley at
312/814-6929 or email at
crowlek@ipcb.state.il.us.
ILLINOIS
REGISTER
POLLUTION CONTROL BOARD
NOTICE OF PROPOSED AMENDMENT
13)
Initial Regulatory
Flexibility Analysis:
A)
Types of small businesses, small
municipalities
and not for profit corporations
affected: Any of the 229 electrical generating units that are subject to the NOx
Trading Program and that identify themselves as small businesses, small
municipalities, or not-for-profit corporations.
B)
Reporting, bookkeeping
or
other procedures required
for compliance:
None
C)
Types of Professional skills necessary for compliance: None.
14)
Regulatory Agenda on which this rulemaking was summarized: July 2006 (30 Ill. Reg.
11906-08).
This rulemaking
was not
included in either of
the two most
recent regulatory
agendas because the need for the rulemaking is the result of recent federal court decisions
concerning USEPA rules. This caused uncertainty associated with the CAIR Trading
program that was adopted by both USEPA and Illinois to
replace
the one that
is the
subject of this proposal. This is explained in item 5), above.
15)
Does this amendment require the
review
of the
Procurement Policy
Board as
specified
in
Section 5-25 of the lllinois Procurement Code?
[30
ILCS 500/5-25] No
The full text of the
Proposed
Amendment
begins on the next
page:
ILLINOIS
REGISTER
POLLUTION CONTROL BOARD
NOTICE OF PROPOSED
AMENDMENT
TITLE 35: ENVIRONMENTAL
PROTECTION
SUBTITLE B: AIR POLLUTION
CHAPTER I: POLLUTION CONTROL
BOARD
SUBCHAPTER C: EMISSION
STANDARDS
AND
LIMITATIONS
FOR STATIONARY SOURCES
PART 217
NITROGEN OXIDES EMISSIONS
SUBPART A: GENERAL PROVISIONS
Section
217.100
Scope
and Organization
217.101
Measurement Methods
217.102
Abbreviations and Units
2 17.103
Definitions
217.104
Incorporations by Reference
SUBPART B: NEW FUEL COMBUSTION EMISSION SOURCES
Section
217.12 1
New Emission Sources
SUBPART C: EXISTING FUEL
COMBUSTION EMISSION SOURCES
Section
2
17.141
Existing
Emission Sources in
Major
Metropolitan Areas
SUBPART K: PROCESS EMISSION SOURCES
Section
217.301
Industrial Processes
SUBPART
0:
CHEMICAL MANUFACTURE
Section
217.381
Nitric Acid Manufacturing Processes
SUBPART Q: STATIONARY RECIPROCATING INTERNAL COMBUSTION
ENGINES AND TURBINES
Section
217.386
Applicability
217.388
Control and Maintenance Requirements
ILLINOIS REGISTER
POLLUTION CONTROL BOARD
NOTICE OF PROPOSED AMENDMENT
2
17.390
Emissions
Averaging Plans
217.392
Compliance
2
17.394
Testing and
Monitoring
2 17.396
Recordkeeping and Reporting
SUBPART T: CEMENT KILNS
Section
217.400
Applicability
217.402
Control Requirements
217.404
Testing
2 17.406
Monitoring
2 17.408
Reporting
217.410
Recordkeeping
SUBPART U:
NO
CONTROL AND TRADING PROGRAM FOR
SPECIFIED
NO
GENERATING UNITS
Section
217.450
Purpose
217.452
Severability
217.454
Applicability
217.456
Compliance Requirements
2
17.458
Permitting Requirements
2
17.460
Subpart U
NO
Trading Budget
2 17.462
Methodology for Obtaining
NO
Allocations
217.464
Methodology for Determining
NO
Allowances from the New Source Set-Aside
217.466
NO
Allocations Procedure for Subpart U Budget Units
217.468
New Source Set-Asides for “New” Budget Units
2
17.470
Early Reduction Credits (ERCs) for Budget Units
2 17.472
Low-Emitter Requirements
2 17.474
Opt-In
Units
2 17.476
Opt-In Process
2
17.478
Opt-In Budget Units: Withdrawal from
NO
Trading
Program
217.480
Opt-In Units: Change in Regulatory Status
217.482
Allowance Allocations to Opt-In Budget Units
SUBPART V: ELECTRIC POWER GENERATION
Section
217.52 1
Lake of Egypt Power Plant
2 17.700
Purpose
ILLJNOIS REGISTER
POLLUTION CONTROL
BOARD
NOTICE OF PROPOSED AMENDMENT
217.702
Severability
217.704
Applicability
217.706
Emission Limitations
217.708
NO
Averaging
217.710
Monitoring
217.712
Reporting and Recordkeeping
SUBPART W:
NO
TRADING PROGRAM FOR ELECTRICAL
GENERATING
UNITS
Section
217.750
Purpose
217.75 1
Sunset
Provisions
217.752
Severability
217.754
Applicability
2 17.756
Compliance
Requirements
217.758
Permitting Requirements
217.760
NO
Trading Budget
217.762
Methodology for Calculating
NO
Allocations for Budget Electrical
Generating Units (EGUs)
2
17.764
NO
Allocations for Budget EGUs
2
17.768
New Source Set-Asides for “New” Budget EGUs
217.770
Early Reduction Credits for Budget EGUs
217.774
Opt-In Units
217.776
Opt-In Process
217.778
Budget Opt-In Units: Withdrawal from
NO
Trading Program
2 17.780
Opt-In Units: Change in Regulatory Status
2
17.782
Allowance Allocations to Budget Opt-In Units
SUBPART X: VOLUNTARY
NO
EMISSIONS REDUCTION PROGRAM
Section
217.800
Purpose
2
17.805
Emission Unit Eligibility
217.810
Participation Requirements
217.8 15
NO
Emission Reductions and the Subpart X
NO
Trading Budget
217.820
Baseline Emissions Determination
2
17.825
Calculation of Creditable
NO
Emission Reductions
2
17.830
Limitations on
NO
Emission Reductions
217.835
NO
Emission Reduction Proposal
2
17.840
Agency Action
ILLINOIS REGISTER
POLLUTION CONTROL BOARD
NOTICE OF
PROPOSED
AMENDMENT
217.845
Emissions Determination
Methods
217.850
Emissions Monitoring
217.855
Reporting
217.860
Recordkeeping
217.865
Enforcement
217.APPENDIX A
Rule into Section Table
217.APPENDIX B
Section into Rule Table
217.APPENDIX
C
Compliance Dates
217.APPENDIX D
Non-Electrical Generating Units
217.APPENDIX E
Large
Non-Electrical
Generating Units
217.APPENDIX
F
Allowances for Electrical Generating Units
21 7.APPENDIX G
Existing Reciprocating Internal Combustion Engines
Affected by the
NO
SIP Call
Authority:
Implementing Sections 9.9 and 10 and authorized by Sections 27 and
28.5 of
the
Environmental
Protection Act [415 ILCS
5/9.9,
10, 27 and 28.5 (2004)].
Source:
Adopted as Chapter 2: Air Pollution, Rule 207: Nitrogen Oxides Emissions,
R71-23,
4
PCB 191,
April 13, 1972, filed and effective April 14, 1972; amended at 2 Ill. Reg. 17,
p.
101,
effective April 13, 1978;
codified
at 7
Ill.
Reg. 13609; amended in
R01-9 at 25 Ill. Reg. 128,
effective December 26, 2000; amended in R01-1 1 at 25 Ill. Reg. 4597,
effective March 15, 2001;
amended in
R0l-16 and R01-17 at 25 Ill. Reg. 5914, effective April 17, 2001; amended in R07-
18
at 31111. Reg. 14271,
effective September 25, 2007;
amended in
R07-19, at 33 Ill. Reg.
effective
amended in R08-19, at 33 Ill. Reg.
, effective
in
R09-20
at
33 Ill. Reg.
, effective
SUBPART W:
NO
TRADING PROGRAM FOR ELECTRICAL
GENERATING UNITS
Section 217.751 Sunset
Provisions
The provisions of
this
Subpart
W shall not apply for
any control period
in 2009 or thereafter.
Noncompliance
with the provisions of this Subpart that
occurred
prior
to
2009 is
subject
to the
applicable
provisions of this Subpart.
(Source: Added at 33 Ill. Reg.
effective
)