AUG—13—2009
14:42
IL PETROLEUM COUNCIL
217 523
5131
P.02/03
Illinois
petroleum
council
oAVIIA
$YXVTA
400W.
Monroe, Suite
205 • Springfield,
IL 62704
• 217/544.7404 • FAX
217/523-5131
Emcvøsi
August
13, 2009
1
CEIVED
CLERK’S
OFFICE
Mr. Timothy Fox,
Hearing Officer
AUG
13
20fl9
Illinois
Pollution Control
Board
James
it Thompson
Center
STATE
OF
ILLtNOIS
100
W.
Randolph
?oIIut,on
Controa
doard
Suitell-S00
Chicago,
Illinois
60601
1
‘Z...
RE:
Rulemaking
R2006-22,
In the
Matter of: NOx
Trading
Program:
Amendments
to 35
Ill. Adm. Code
Part
217; Response
to
Motions
by the Illinois
Environmental
Regulatory Group
Mr.
Fox:
I am writing on
behal
bE
the Illinois
Petroleum Council in response to the
Illinois
Pollution
Control Board’s
(“Board”)
August 6, 2009
Order
requesting
responses to the
Illinois Environmental
Regulatory Group’s (“IERG”)
Motion for
Emergency Rule and
Motion
for
Expedited
Action
on IERO’s
Alternative
Proposal
(collectively
“Motions”).
We would like
to offer our
support
for the Motions,
and
urge the Board to
consider
the
following
in ruling
on
the
Motions:
1,
We
believe
it is in the best interest
of
business
in Illinois to
adopt
rules,
such
as the
emergency rule and
alternative
proposal described
in the
Motions,
that require NOx
allowances
to be distributed for the
2009
ozone
season, as
well
as
subsequent control periods.
2.
Our
membership includes
companies that are owners
or operators
of
budget
units subject to the
current
Subpart
U. 35 III. Admin.
Code Part
217.Subpart
U.
3.
We
understand
that no sources
subject to
the current Subpart
U
have
received allocations of NOx
allowances
for
the 2009 ozone season,
nor for
any
subsequent years.
4.
We
understand that the current
version of Subpart U is a
valid and
enforceable
regulation
in Illinois
that
requires
subject sources
to
hold
NOx
allowances for each
ton of NOx
emitted during the ozone
season
by
November 30
of
the applicable
year.
5.
We
understand that the USEPA
is
no
longer issuing allowances
for the
NOx
Budget Trading
Program,
as would be required
to
satisfy
the above
described
requirement.
AUG—13—2009
14:42
IL PETROLEUM
COUNCIL
217
523
5131
P.03/03
6.
We
understand that
NOx allowances could
potentially
be
obtained
through
the purchase of Clean
Air Interstate
Rule (“CAW”)
NOx
allowances,
although we
arc uncertain
whether
those
allowances
would be
legally
sufficient to
satisfy the Subpart tJ
requirement
to
hold
NOx SIP
Call
allowances.
Nor, even
if
sufficient,
could our
members demonstrate
compliance
with
the requirement,
due to their inability
to
obtain
CATR
compliance
accounts
from the
LJSEPA
Clean Air
Markets
Division
(“CAMD”),
absent a federally
approved trading
program in
Jilinois.
7.
We
are concerned
that our
members, through
no fault of
their
own,
may be in
violation of both
the law and
their Clean
Air Act Permit
Program
(“CAAPP”)
permits,
if
Immediate
action
is not taken to remedy
the
above
described circumstances,
The potential
for
violation of an applicable
regulation
and/or
CAAPP
permit condition
could subject
them to federal,
state,
or
third-party
enforcement
actions, in addition
to being
required
to
disclose
the
potential
liability
on Securities and Exchange
Commission filings.
The Illinois Petroleum
Council
appreciates the
opportunity
to
provide
this
response.
In light of
the
above,
we request
that
the
Board grant
TERG’s
Motion
ror
Emergency Rule
in
order
to require that 2009
NOx
allowances
he
distributed
to
impacted
sources, and
grant
JERG’s
Motion
for
Expedited
Action on TERG’s
Alternative Proposal
in
order
to bring
NOx SIP Call budget
units
into the
CAW
NOx
Ozone
Season
Trading
Program
for the 2010
control period and
beyond.
Respectfully
submitted,
By:
David
A.
Sykuta
David
A.
Sykuta
Executive
Director
Illinois
Petroleum
Council
400
W. Monroe Street,
Suite
205
Springfield,
1L 62704
217-544-7404
TOTAL
P.03