
[Federal Register Volume 78, Number 172 (Thursday, September 5, 2013)]
[Proposed Rules]
[Pages 54606-54612]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-21626]



[[Page 54606]]

-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Parts 60 and 63

[EPA-HQ-OAR-2008-0708, FRL-9900-76-OA]
RIN 2060-AR90


National Emission Standards for Hazardous Air Pollutants for 
Reciprocating Internal Combustion Engines; New Source Performance 
Standards for Stationary Internal Combustion Engines

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of reconsideration of final rule; request for public 
comment.

-----------------------------------------------------------------------

SUMMARY: On January 30, 2013, the EPA finalized amendments to the 
national emission standards for hazardous air pollutants for stationary 
reciprocating internal combustion engines and the standards of 
performance for stationary internal combustion engines. Subsequently, 
the EPA received three petitions for reconsideration of the final rule. 
The EPA is announcing reconsideration of and requesting public comment 
on three issues raised in the petitions for reconsideration, as 
detailed in the Supplementary Information section of this notice of 
reconsideration. The EPA plans to issue a final decision on these 
issues as expeditiously as possible. The EPA is seeking comment only on 
the three issues. The EPA will not respond to any comments addressing 
any other issues or any other provisions of the final rule or any other 
rule. The EPA is not proposing any changes to its regulations in this 
notice of reconsideration.

DATES: Comments. Comments must be received on or before November 4, 
2013, or 30 days after date of public hearing if later.
    Public Hearing. If anyone contacts us requesting to speak at a 
public hearing by September 25, 2013, a public hearing will be held on 
October 7, 2013. If you are interested in attending the public hearing, 
contact Ms. Pamela Garrett at (919) 541-7966 to verify that a hearing 
will be held.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-HQ-
OAR-2008-0708, by one of the following methods:
     www.regulations.gov: Follow the on-line instructions for 
submitting comments.
     Email: a-and-r-docket@epa.gov.
     Fax: (202) 566-1741.
     Mail: Air and Radiation Docket and Information Center, 
Environmental Protection Agency, Mailcode: 2822T, 1200 Pennsylvania 
Ave. NW., Washington, DC 20460. Please include a total of two copies. 
The EPA requests a separate copy also be sent to the contact person 
identified below (see FOR FURTHER INFORMATION CONTACT).
     Hand Delivery: Air and Radiation Docket and Information 
Center, U.S. EPA, Room 3334, 1301 Constitution Avenue NW., Washington, 
DC. Such deliveries are only accepted during the Docket's normal hours 
of operation, and special arrangements should be made for deliveries of 
boxed information.
    Instructions: Direct your comments to Docket ID No. EPA-HQ-OAR-
2008-0708. The EPA's policy is that all comments received will be 
included in the public docket without change and may be made available 
on-line at www.regulations.gov, including any personal information 
provided, unless the comment includes information claimed to be 
Confidential Business Information (CBI) or other information whose 
disclosure is restricted by statute. Do not submit information that you 
consider to be CBI or otherwise protected through www.regulations.gov 
or email. The www.regulations.gov Web site is an ``anonymous access'' 
system, which means the EPA will not know your identity or contact 
information unless you provide it in the body of your comment. If you 
send an email comment directly to the EPA without going through 
www.regulations.gov, your email address will be automatically captured 
and included as part of the comment that is placed in the public docket 
and made available on the Internet. If you submit an electronic 
comment, the EPA recommends that you include your name and other 
contact information in the body of your comment and with any disk or 
CD-ROM you submit. If the EPA cannot read your comment due to technical 
difficulties and cannot contact you for clarification, the EPA may not 
be able to consider your comment. Electronic files should avoid the use 
of special characters, any form of encryption, and be free of any 
defects or viruses.
    Public Hearing: If a public hearing is held, it will be held at the 
EPA's campus located at 109 T.W. Alexander Drive in Research Triangle 
Park, NC or an alternate site nearby.
    Docket: All documents in the docket are listed in the 
www.regulations.gov index. The EPA also relies on documents in Docket 
ID Nos. EPA-HQ-OAR-2002-0059, EPA-HQ-OAR-2005-0029, EPA-HQ-OAR-2005-
0030, and EPA-HQ-OAR-2010-0295, and incorporated those dockets into the 
record for this action. Although listed in the index, some information 
is not publicly available, e.g., CBI or other information whose 
disclosure is restricted by statute. Certain other material, such as 
copyrighted material, will be publicly available only in hard copy. 
Publicly available docket materials are available either electronically 
in www.regulations.gov or in hard copy at the Air and Radiation Docket, 
EPA/DC, EPA West, Room 3334, 1301 Constitution Ave. NW., Washington, 
DC. The Public Reading Room is open from 8:30 a.m. to 4:30 p.m., Monday 
through Friday, excluding legal holidays. The telephone number for the 
Public Reading Room is (202) 566-1744, and the telephone number for the 
Air Docket is (202) 566-1742.

FOR FURTHER INFORMATION CONTACT: Ms. Melanie King, Energy Strategies 
Group, Sector Policies and Programs Division (D243-01), Environmental 
Protection Agency, Research Triangle Park, North Carolina 27711; 
telephone number: (919) 541-2469; facsimile number: (919) 541-5450; 
email address: king.melanie@epa.gov.

SUPPLEMENTARY INFORMATION:
    Organization of this Document. The following outline is provided to 
aid in locating information in the preamble.

I. General Information
    A. What is the source of authority for the reconsideration 
action?
    B. What entities are potentially affected by the reconsideration 
action?
    C. What should I consider as I prepare my comments for the EPA?
II. Background
III. Discussion of the Issues Under Reconsideration
    A. Timing for Compliance With the ULSD Fuel Requirement for 
Emergency Engines
    B. Timing and Required Information for the Reporting Requirement 
for Emergency Engines
    C. Criteria for Operation for up to 50 Hours per Year for Non-
Emergency Situations
IV. Solicitation of Public Comment and Participation
V. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Review and 
Executive Order 13563: Improving Regulation and Regulatory Review
    B. Paperwork Reduction Act
    C. Regulatory Flexibility Act
    D. Unfunded Mandates Reform Act
    E. Executive Order 13132: Federalism
    F. Executive Order 13175: Consultation and Coordination With 
Indian Tribal Governments
    G. Executive Order 13045: Protection of Children From 
Environmental Health Risks and Safety Risks
    H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use
    I. National Technology Transfer and Advancement Act

[[Page 54607]]

    J. Executive Order 12898: Federal Actions To Address 
Environmental Justice in Minority Populations and Low-Income 
Populations

I. General Information

A. What is the source of authority for the reconsideration action?

    The statutory authority for this action is provided by sections 112 
and 307(d)(7)(B) of the Clean Air Act (CAA) as amended (42 U.S.C. 7412 
and 7607(d)(7)(B)).

B. What entities are potentially affected by the reconsideration 
action?

    Categories and entities potentially regulated by this action 
include:

------------------------------------------------------------------------
                                                  Examples of regulated
            Category                NAICS \1\            entities
------------------------------------------------------------------------
Any industry using a stationary            2211  Electric power
 reciprocating internal                           generation,
 combustion engine.                               transmission, or
                                                  distribution.
------------------------------------------------------------------------
\1\ North American Industry Classification System.

    This table is not intended to be exhaustive, but rather provides a 
guide for readers regarding entities likely to be affected by this 
action. To determine whether your engine is regulated by this action, 
you should examine the applicability criteria in 40 CFR 63.6585, 40 CFR 
60.4200, and 40 CFR 60.4230. If you have any questions regarding the 
applicability of this action to a particular entity, consult the person 
listed in the preceding FOR FURTHER INFORMATION CONTACT section.

C. What should I consider as I prepare my comments for the EPA?

    Submitting CBI. Do not submit this information to the EPA through 
regulations.gov or email. Clearly mark the part or all of the 
information that you claim to be CBI. For CBI information in a disk or 
CD ROM that you mail to the EPA, mark the outside of the disk or CD ROM 
as CBI and then identify electronically within the disk or CD ROM the 
specific information that is claimed as CBI. In addition to one 
complete version of the comment that includes information claimed as 
CBI, a copy of the comment that does not contain the information 
claimed as CBI must be submitted for inclusion in the public docket. 
Information so marked will not be disclosed except in accordance with 
procedures set forth in 40 CFR part 2. Send or deliver information 
identified as CBI to only the following address: Ms. Melanie King, 
c[sol]o OAQPS Document Control Officer (Room C404-02), U.S. EPA, 
Research Triangle Park, NC 27711, Attention Docket ID No. EPA-HQ-OAR-
2008-0708.
    Docket. The docket number for this notice of reconsideration is 
Docket ID No. EPA-HQ-OAR-2008-0708.
    World Wide Web (WWW). In addition to being available in the docket, 
an electronic copy of this notice of reconsideration will be posted on 
the WWW through the Technology Transfer Network Web site (TTN Web). 
Following signature, the EPA will post a copy of this notice of 
reconsideration on the TTN's policy and guidance page for newly 
proposed or promulgated rules at http://www.epa.gov/ttn/oarpg. The TTN 
provides information and technology exchange in various areas of air 
pollution control.

II. Background

    On January 30, 2013, the EPA promulgated amendments to the national 
emission standards for hazardous air pollutants (NESHAP) for stationary 
reciprocating internal combustion engines (RICE) and the standards of 
performance (``NSPS'') for stationary internal combustion engines (ICE) 
(78 FR 6674). Following promulgation of the January 30, 2013, final 
rule, the EPA received three petitions for reconsideration pursuant to 
section 307(d)(7)(B) of the CAA. The EPA received a petition dated 
March 29, 2013, from Calpine Corporation and PSEG Power LLC. The EPA 
received a petition dated April 1, 2013, from the Delaware Department 
of Natural Resources and Environmental Control (DE DNREC). Finally, the 
EPA received a petition dated April 1, 2013, from Clean Air Council, 
Citizens for Pennsylvania's Future, Conservation Law Foundation, 
Environmental Defense Fund, Natural Resources Defense Council, Pace 
Energy and Climate Center, Sierra Club and West Harlem Environmental 
Action, Inc. (Clean Air Council et al.). The petitions are available 
for review in the rulemaking docket, see document numbers EPA-HQ-OAR-
2008-0708-1505, EPA-HQ-OAR-2008-0708-1506 and EPA-HQ-OAR-2008-0708-
1507. On June 28, 2013, the EPA issued letters to the petitioners 
granting reconsideration on three specific issues raised in the 
petitions for reconsideration and indicating that the agency would 
issue a Federal Register notice regarding the reconsideration process. 
This action requests comment on the three issues for which the EPA 
granted reconsideration.

III. Discussion of the Issues Under Reconsideration

    The EPA finalized the NESHAP for several subcategories of existing 
stationary RICE on March 3, 2010, (75 FR 9648) and August 20, 2010 (75 
FR 51570). The EPA received petitions for reconsideration and judicial 
review of the 2010 RICE NESHAP rulemakings. The EPA finalized 
amendments to the RICE NESHAP on January 30, 2013, (78 FR 6674) to 
address certain issues raised in the petitions for reconsideration and 
judicial review of the 2010 RICE NESHAP, and also revised the NSPS for 
stationary ICE for consistency with the RICE NESHAP.
    The January 30, 2013, amendments established, among other things, 
fuel and reporting requirements for certain emergency engines used for 
emergency demand response and system reliability. The amendments also 
established conditions under which emergency engines could be used for 
up to 50 hours per calendar year in situations where the engine is 
dispatched by the local transmission and distribution system operator 
to mitigate local transmission and/or distribution limitations so as to 
avert potential voltage collapse or line overload that could lead to 
the interruption of power supply in a local area or region. The EPA 
received petitions for reconsideration of certain aspects of these 
requirements, and granted reconsideration of the following three issues 
to provide an additional opportunity for public comment:
     Timing for compliance with the ultra low sulfur diesel 
(ULSD) fuel requirement for emergency compression ignition (CI) engines 
that operate or are contractually obligated to be available for more 
than 15 hours per calendar year for the purposes specified in 40 CFR 
63.6640(f)(2)(ii) and (iii) (emergency demand response and deviations 
of voltage or frequency of 5 percent or more), or that operate for the 
purpose specified in 40 CFR 63.6640(f)(4)(ii) (local system 
reliability).

[[Page 54608]]

     Timing and required information for the reporting 
requirement for emergency engines that operate or are contractually 
obligated to be available for more than 15 hours per calendar year for 
the purposes specified in 40 CFR 63.6640(f)(2)(ii) and (iii), or that 
operate for the purpose specified in 40 CFR 63.6640(f)(4)(ii), and the 
timing and required information for the analogous reporting requirement 
in the ICE NSPS.
     Conditions in 40 CFR 60.4211(f)(3)(i), 60.4243(d)(3)(i) 
and 63.6640(f)(4)(ii) for operation for up to 50 hours per calendar 
year in non-emergency situations as part of a financial arrangement 
with another entity.

These issues are discussed in more detail in the following sections.

A. Timing for Compliance With the ULSD Fuel Requirement for Emergency 
Engines

    The January 30, 2013, final rule included provisions that require 
existing stationary emergency CI RICE with a site rating of more than 
100 brake horsepower (HP) and a displacement of less than 30 liters per 
cylinder that operate or are contractually obligated to be available 
for more than 15 hours per year (up to a maximum of 100 hours per year) 
for the purposes specified in 40 CFR 63.6640(f)(2)(ii) and (iii) 
(emergency demand response and deviations of voltage or frequency of 5 
percent or more), or that operate for the purpose specified in 40 CFR 
63.6640(f)(4)(ii) (local system reliability), to use diesel fuel 
meeting the specifications of 40 CFR 80.510(b) beginning January 1, 
2015, except that any existing diesel fuel purchased (or otherwise 
obtained) prior to January 1, 2015, may be used until depleted. The 
specifications of 40 CFR 80.510(b) require that diesel fuel have a 
maximum sulfur content of 15 parts per million and either a minimum 
cetane index of 40 or a maximum aromatic content of 35 volume percent; 
this fuel is referred to as ULSD fuel. The EPA included the ULSD fuel 
requirement in the final rule in response to public comments expressing 
concerns about the emissions from emergency engines. As indicated in 
the January 30, 2013, final rule, the EPA believes that requiring 
cleaner fuel for these stationary emergency CI engines will 
significantly limit or reduce the emissions of regulated air pollutants 
emitted from these engines, further protecting public health and the 
environment. Information provided to the EPA by commenters \1\ showed 
that the use of ULSD will significantly reduce emissions of air toxics, 
including metallic hazardous air pollutants (HAP) (e.g., nickel, zinc, 
lead) and benzene.
---------------------------------------------------------------------------

    \1\ See document number EPA-HQ-OAR-2008-0708-1459 in the 
rulemaking docket.
---------------------------------------------------------------------------

    The EPA added this fuel requirement beginning in January 2015, 
rather than upon initial implementation of the NESHAP for existing CI 
engines in May 2013, to provide sources with appropriate lead time to 
institute these new requirements and make any physical adjustments to 
engines (including fuel seals) and other facilities like tanks or other 
containment structures, as well as any needed adjustments to contracts 
and other business activities, that may be necessitated by these new 
requirements. If these sources had been required to comply with the 
ULSD fuel requirement by their May 3, 2013, initial compliance date, 
they would have had only three months of lead time between promulgation 
and compliance. Although the EPA does not have information specifying 
the percentage of existing stationary emergency CI engines currently 
using residual fuel oil or non-ULSD distillate fuel, the most recent 
U.S. Energy Information Administration data available for sales of 
distillate and residual fuel oil to end users \2\ show that significant 
amounts of non-ULSD are still being purchased by end users that 
typically operate stationary combustion sources, including stationary 
emergency CI engines. For the reasons indicated above, the EPA 
determined that additional lead time was warranted for these engines.
---------------------------------------------------------------------------

    \2\ U.S. Energy Information Administration. Distillate Fuel Oil 
and Kerosene Sales by End Use. Available at http://www.eia.gov/dnav/pet/pet_cons_821use_dcu_nus_a.htm.
---------------------------------------------------------------------------

    The petitions for reconsideration from the DE DNREC and Clean Air 
Council et al. requested that the requirement to use ULSD fuel for 
certain emergency engines take effect beginning on the May 3, 2013, 
compliance date. The DE DNREC indicated in the petition that ULSD is 
already widely available and is likely the only diesel fuel available 
in most areas. The petition for reconsideration from Clean Air Council 
et al. disagreed with the EPA that significant lead time is needed for 
facilities to come into compliance with the ULSD fuel requirement and 
indicated that the EPA had offered no evidence that adjustments would 
be necessary to operate engines on ULSD.
    The EPA does not agree with the petitioners that there was no 
evidence in the record that adjustments may be necessary. According to 
the memo in the rulemaking docket titled, ``Summary of Ultra Low Sulfur 
Diesel Issues with Stationary Internal Combustion Engines'' (document 
number EPA-HQ-OAR-2008-0708-0003), experience with the transition to 
ULSD for mobile CI engines showed that differences in the aromatic 
content of ULSD may require replacement of gaskets and seals to prevent 
fuel system leaks. Also, as discussed previously, information from the 
Energy Information Administration indicated that a significant 
percentage of diesel fuel being purchased is not ULSD. Thus, the record 
does reflect that significant lead time is necessary for facilities to 
come into compliance with the ULSD requirement.
    In addition, because the EPA included the requirement to use ULSD 
in the final rule in response to comments, the EPA believed it was 
appropriate to provide regulated parties sufficient time to conform to 
it, and the EPA did not believe that the 3 months advocated by 
petitioners was appropriate given the record information described 
above. Therefore, the EPA does not at this time agree that delaying the 
start of the ULSD fuel requirement until 2015 is inappropriate.
    However, in consideration of the fact that the public lacked the 
opportunity to comment on the timing of the ULSD fuel requirement, the 
EPA has granted reconsideration to provide an opportunity for public 
comment on the timing for compliance with the ULSD fuel requirement for 
emergency CI engines that operate or are contractually obligated to be 
available for more than 15 hours per calendar year for the purposes 
specified in 40 CFR 63.6640(f)(2)(ii) and (iii) (emergency demand 
response and deviations of voltage or frequency of 5 percent or more), 
or that operate for the purpose specified in 40 CFR 63.6640(f)(4)(ii) 
(local system reliability). The EPA specifically solicits comment on 
whether it would be reasonable to implement the requirement to use ULSD 
fuel earlier than January 1, 2015. The EPA requests comment on whether 
the use of ULSD is already widespread and whether facilities will need 
to make any physical adjustments to engines (including fuel seals) and 
other facilities like tanks or other containment structures, as well as 
any needed adjustments to contracts and other business activities, to 
comply with these new requirements.

B. Timing and Required Information for the Reporting Requirement for 
Emergency Engines

    The January 30, 2013, final rule added a new provision to the RICE 
NESHAP that requires stationary emergency RICE

[[Page 54609]]

with a site rating of more than 100 brake HP and a displacement of less 
than 30 liters per cylinder that operate or are contractually obligated 
to be available for more than 15 hours per year (up to a maximum of 100 
hours per year) for the purposes specified in 40 CFR 63.6640(f)(2)(ii) 
and (iii) (emergency demand response and deviations of voltage or 
frequency of 5 percent or more), or that operate for the purpose 
specified in 40 CFR 63.6640(f)(4)(ii) (local system reliability), to 
report the following information annually to the EPA, beginning with 
operation during the 2015 calendar year:
     Company name and address where the engine is located.
     Date of the report and beginning and ending dates of the 
reporting period.
     Engine site rating and model year.
     Latitude and longitude of the engine in decimal degrees 
reported to the fifth decimal place.
     Hours operated for emergency demand response and 
deviations of voltage or frequency of 5 percent or greater below 
standard, including the date, start time, and end time for engine 
operation for those purposes.
     Number of hours the engine is contractually obligated to 
be available for emergency demand response and deviations of voltage or 
frequency of 5 percent or greater below standard.
     Hours spent for operation for local system reliability, 
including the date, start time and end time for engine operation for 
that purpose, the entity that dispatched the engine and the situation 
that necessitated the dispatch of the engine.
     If there were no deviations from the fuel requirements (if 
any) that apply to the engine, a statement that there were no 
deviations from the fuel requirements during the reporting period.
     If there were deviations from the fuel requirements that 
apply to the engine (if any), information on the number, duration, and 
cause of deviations, and the corrective action taken.

A similar reporting requirement was also added to the ICE NSPS. This 
information is necessary to determine whether these engines are 
operating in compliance with the regulations and will assist the EPA 
and other interested stakeholders in assessing the impacts of the 
emissions from these engines. We included this reporting requirement in 
the final rule in response to public comments expressing concerns about 
the impacts of emissions from emergency engines. The EPA specified in 
the final rule that the first report must cover the calendar year 2015 
and must be submitted no later than March 31, 2016. Subsequent annual 
reports for each calendar year must be submitted no later than March 31 
of the following calendar year. The EPA did not require reporting of 
operation prior to 2015 for two reasons: (1) To give the EPA time to 
develop the electronic reporting tool that facilities will use to 
submit this information and stakeholders will use to view the submitted 
information; and (2) to give facilities sufficient lead time to 
institute the necessary infrastructure to record and compile the 
information so that it can be submitted electronically to the EPA in 
the correct format. The petition for reconsideration from Clean Air 
Council et al. requested that the reporting requirement begin with the 
2013 calendar year, with the first report due in early 2014. 
Alternatively, Clean Air Council et al. requested that if the first 
report is not submitted until 2016, the report should include 
information on operation in 2013 and 2014, in addition to the 
information for 2015 that is already required. The petitioners also 
requested that the report include the type and amount of diesel fuel 
used in the engine. The petitioners indicated that collecting this 
information would enhance the EPA's ability to assess the health 
impacts of the emissions from the engines.
    The EPA does not believe the petitioners have provided sufficient 
justification for the revisions in lead time provided in their request, 
and the EPA continues to believe that a lead time until the 2015 
calendar year is appropriate, for the reasons stated above. The EPA 
also does not agree with the petitioners that the report should include 
the type and amount of diesel fuel used in the engine, because of the 
burden that would place on affected facilities. The sulfur content of 
the fuel in the tanks would be changing over time as the existing 
higher sulfur fuel is replaced with ULSD, and a facility would have to 
periodically sample its fuel tanks in order to determine the current 
sulfur content of the fuel. Facilities may need to install equipment 
such as fuel flow meters in order to determine the amount of diesel 
fuel used in their engines.
    However, in consideration of the fact that the public lacked the 
opportunity to comment on the timing and required information for the 
reporting requirement, the EPA has granted reconsideration to provide 
an opportunity for public comment on the timing and required 
information for the reporting requirement for emergency engines that 
operate or are contractually obligated to be available for more than 15 
hours per calendar year for the purposes specified in 40 CFR 
63.6640(f)(2)(ii) and (iii), or that operate for the purpose specified 
in 40 CFR 63.6640(f)(4)(ii). The EPA requests comment on whether owners 
and operators of these engines should be required to report operation 
for the period between the compliance date and January 2015, and when 
it would be reasonable to submit the report. The EPA also solicits 
comment on whether the rule should require reporting of the amount and 
type of diesel fuel used in the engine. The EPA requests information on 
whether such a requirement would place an unreasonable burden on 
affected facilities.

C. Criteria for Operation for Up to 50 Hours per Year for Non-Emergency 
Situations

    The proposed amendments to the RICE NESHAP and ICE NSPS (June 7, 
2012; 77 FR 33812) specified two situations under which emergency 
engines could be used for up to 100 hours per calendar year in non-
emergency situations as part of a financial arrangement with another 
entity. The EPA proposed that owners and operators of stationary 
emergency engines could operate the engines when the Reliability 
Coordinator has declared an Energy Emergency Alert (EEA) Level 2 as 
defined in the North American Electric Reliability Corporation (NERC) 
Reliability Standard EOP-002-3, Capacity and Energy Emergencies, or 
during periods where there is a deviation of voltage or frequency of 5 
percent or more below standard voltage or frequency. Public commenters 
indicated that the proposed EEA Level 2 and 5 percent voltage or 
frequency deviation triggers did not account for situations when the 
local balancing authority or transmission operator for the local 
electric system has determined that electric reliability is in 
jeopardy, and recommended that the EPA include additional situations 
where the local transmission and distribution system operator has 
determined that there are conditions that could lead to a blackout for 
the local area. The comments indicated that rural distribution lines 
are not configured in a typical grid pattern, but instead have 
distribution lines that can run well over 50 miles from a substation 
and regularly extend 15 miles or longer. During periods of 
exceptionally heavy stress within the region or sub-region, electricity 
from regional power generators may not be available because of 
transmission constraints, according to the

[[Page 54610]]

commenter. The comments indicated that in many cases, there may be only 
one transmission line that feeds the rural distribution system, and no 
alternative means to transmit power into the local system. In response 
to those comments and in recognition of the unique challenges faced by 
the local transmission and distribution system operators in rural 
areas, the revisions to the RICE NESHAP and ICE NSPS finalized on 
January 30, 2013, specified limited circumstances under which 
stationary emergency engines located at area sources of HAP could 
operate for up to 50 hours per year in non-emergency situations as part 
of a financial arrangement with another entity. The final amendments 
specified that up to 50 hours per calendar year can be used for non-
emergency situations to supply power as part of a financial arrangement 
with another entity if all of the following conditions are met:
     The engine is located at an area source of HAP;
     the engine is dispatched by the local balancing authority 
or local transmission and distribution system operator;
     the dispatch is intended to mitigate local transmission 
and/or distribution limitations so as to avert potential voltage 
collapse or line overloads that could lead to the interruption of power 
supply in a local area or region;
     the dispatch follows reliability, emergency operation or 
similar protocols that follow specific NERC, regional, state, public 
utility commission or local standards or guidelines;
     the power is provided only to the facility itself or to 
support the local transmission and distribution system; and
     the owner or operator identifies and records the entity 
that dispatches the engine and the specific NERC, regional, state, 
public utility commission or local standards or guidelines that are 
being followed for dispatching the engine.

The EPA added these provisions to the final RICE NESHAP and ICE NSPS in 
response to public comments on situations where the local transmission 
and distribution system operator has determined that there are 
conditions that could lead to a blackout for the local area where the 
ready availability of emergency engines is critical to system 
reliability.
    The petitions for reconsideration from Clean Air Council et al. and 
from Calpine and PSEG expressed concern that the conditions specified 
in the final rule for operation in non-emergency situations to supply 
power as part of a financial arrangement with another entity were too 
indistinct and expansive and would be difficult to enforce, which could 
lead to engines operating when there is no discernible threat to the 
grid. The petition from Calpine and PSEG expressed concern that the 
final rule did not provide any guidance for determining whether the 
dispatch of an engine is intended to mitigate local transmission and/or 
distribution limitations so as to avert potential voltage collapse or 
line overloads that could lead to the interruption of power supply in a 
local area or region. The petition from Clean Air Council et al. 
recommended that the EPA more clearly delineate the situations under 
which the engines could run to ensure that the engines are only 
dispatched during genuine grid emergencies, while still allowing local 
grid operators to address legitimate reliability concerns. The 
petitions did not provide suggestions as to what criteria the 
petitioners believe would be appropriate.
    Due to the public's inability to comment on this issue, the EPA has 
granted reconsideration of the conditions in 40 CFR 60.4211(f)(3)(i), 
60.4243(d)(3)(i) and 63.6640(f)(4)(ii) for operation for up to 50 hours 
per calendar year in non-emergency situations as part of a financial 
arrangement with another entity, as well as the corresponding 
provisions in the ICE NSPS. The EPA welcomes comments on these 
provisions, including whether the provisions are necessary or 
appropriate and also whether the specific provisions delineating the 
situations where such use is permitted are appropriate as finalized or 
should be revised. If a commenter suggests revisions to the provisions, 
the commenter should provide detailed information supporting any such 
revision.

IV. Solicitation of Public Comment and Participation

    The EPA seeks full public participation in arriving at its final 
decisions. At this time, the EPA is not proposing any specific 
revisions to the final RICE NESHAP or the ICE NSPS. However, the EPA 
requests public comment on the three issues under reconsideration. The 
EPA is seeking comment only on the three issues. The EPA will not 
respond to any comments addressing any other issues or any other 
provisions of the final rule or any other rule.
    Specifically, the EPA requests comment on the timing for compliance 
with the ULSD fuel requirement for existing emergency CI engines that 
operate or are contractually obligated to be available for more than 15 
hours per calendar year for the purposes specified in 40 CFR 
63.6640(f)(2)(ii) and (iii) (emergency demand response and deviations 
of voltage or frequency of 5 percent or more, or that operate for the 
purpose specified in 40 CFR 63.6640(f)(4)(ii) (local system 
reliability). The EPA requests comment on whether affected engines 
should be required to comply with the ULSD fuel requirement earlier 
than January 1, 2015. In particular, the EPA invites comment on whether 
the lead time for a January 15, 2015, implementation date is 
unreasonably long, or conversely, if the lead time for an 
implementation date prior to January 1, 2015, would be unreasonably 
short.
    The EPA requests comment on the timing and required information for 
the reporting requirement for emergency engines that operate or are 
contractually obligated to be available for more than 15 hours per 
calendar year for the purposes specified in 40 CFR 63.6640(f)(2)(ii) 
and (iii), or that operate for the purpose specified in 40 CFR 
63.6640(f)(4)(ii), and the timing and required information for the 
analogous reporting requirement in the ICE NSPS. The EPA requests 
comment on whether the reporting should begin with operation in the 
2015 calendar year, and whether the rule should require reporting of 
the amount and type of diesel fuel used in the engine.
    Finally, the EPA requests comment on the conditions in 40 CFR 
60.4211(f)(3)(i), 60.4243(d)(3)(i) and 63.6640(f)(4)(ii) for operation 
for up to 50 hours per calendar year in non-emergency situations as 
part of a financial arrangement with another entity. The EPA is 
particularly seeking comment on whether the criteria could be more 
clearly defined to eliminate any ambiguity regarding the situations 
under which engines can operate and to further limit the operation to 
situations where the reliability of the local system is threatened.

V. Statutory and Executive Order Reviews

A. Executive Order 12866: Regulatory Planning and Review and Executive 
Order 13563: Improving Regulation and Regulatory Review

    This action is not a ``significant regulatory action'' under the 
terms of Executive Order 12866 (58 FR 51735, October 4, 1993) and is 
therefore not subject to review under Executive Orders 12866 and 13563 
(76 FR 3821, January 21, 2011).

[[Page 54611]]

B. Paperwork Reduction Act

    This action does not impose any new information collection burden. 
The EPA is not proposing any new information collection activities 
(e.g., monitoring, reporting, recordkeeping) as part of this action. 
With this action, the EPA is seeking additional comments on three 
aspects of the final NESHAP and NSPS for stationary RICE (78 FR 6674, 
January 30, 2013). The Office of Management and Budget (OMB) has 
previously approved the information collection requirements contained 
in the existing regulations under the provisions of the Paperwork 
Reduction Act, 44 U.S.C. 3501 et seq. and has assigned OMB control 
number 2060-0548. The OMB control numbers for the EPA's regulations in 
40 CFR are listed in 40 CFR part 9.

C. Regulatory Flexibility Act

    The Regulatory Flexibility Act generally requires an agency to 
prepare a regulatory flexibility analysis of any rule subject to notice 
and comment rulemaking requirements under the Administrative Procedure 
Act or any other statute unless the agency certifies that the rule will 
not have a significant economic impact on a substantial number of small 
entities. Small entities include small businesses, small organizations, 
and small governmental jurisdictions.
    For purposes of assessing the impacts of this action on small 
entities, small entity is defined as: (1) A small business as defined 
by the Small Business Administration's regulations at 13 CFR 121.201; 
(2) a small governmental jurisdiction that is a government of a city, 
county, town, school district or special district with a population of 
less than 50,000; and (3) a small organization that is any not-for-
profit enterprise which is independently owned and operated and is not 
dominant in its field.
    After considering the economic impacts of this action on small 
entities, I certify that this action will not have a significant 
economic impact on a substantial number of small entities. This action 
will not impose any new requirements. This action seeks comment on 
three aspects of the final NESHAP and NSPS for stationary RICE without 
proposing any changes to the rules. We continue to be interested in the 
potential impacts of this action on small entities and welcome comments 
on issues related to such impacts.

D. Unfunded Mandates Reform Act

    This action contains no federal mandates under the provisions of 
Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), 2 U.S.C. 
1531-1538 for state, local, or tribal governments or the private 
sector. The action imposes no enforceable duty on any state, local or 
tribal governments or the private sector. Therefore, this action is not 
subject to the requirements of sections 202 or 205 of the UMRA.
    This action is also not subject to the requirements of section 203 
of UMRA because it contains no regulatory requirements that might 
significantly or uniquely affect small governments. This action 
requests comment on three aspects of the final NESHAP and NSPS for 
stationary RICE without proposing any changes to the rules.

E. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not have 
substantial direct effects on the states, on the relationship between 
the national government and the states, or on the distribution of power 
and responsibilities among the various levels of government, as 
specified in Executive Order 13132. This action seeks comment on three 
aspects of the final NESHAP and NSPS for stationary RICE without 
proposing any changes to the rule. Thus, Executive Order 13132 does not 
apply to this action.

F. Executive Order 13175: Consultation and Coordination With Indian 
Tribal Governments

    This action does not have tribal implications, as specified in 
Executive Order 13175 (65 FR 67249, November 9, 2000). This action will 
not have substantial direct effects on tribal governments, on the 
relationship between the federal government and Indian tribes, or on 
the distribution of power and responsibilities between the federal 
government and Indian tribes, as specified in Executive Order 13175. 
Thus, Executive Order 13175 does not apply to this action.

G. Executive Order 13045: Protection of Children From Environmental 
Health Risks and Safety Risks

    The EPA interprets Executive Order 13045 (62 FR 19885, April 23, 
1997) as applying to those regulatory actions that concern health or 
safety risks, such that the analysis required under section 5-501 of 
the Order has the potential to influence the regulation. This action is 
not subject to Executive Order 13045 because it is based solely on 
technology performance and not on health or safety risks.

H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use

    This action is not subject to Executive Order 13211 (66 FR 28355 
(May 22, 2001)), because it is not a significant regulatory action 
under Executive Order 12866.

I. National Technology Transfer and Advancement Act

    Section 12(d) of the National Technology Transfer and Advancement 
Act (NTTAA) of 1995 (Pub. L. 104-113, Section 12(d), 15 U.S.C. 272 
note) directs the EPA to use voluntary consensus standards (VCS) in its 
regulatory activities, unless to do so would be inconsistent with 
applicable law or otherwise impractical. The VCS are technical 
standards (e.g., materials specifications, test methods, sampling 
procedures and business practices) that are developed or adopted by VCS 
bodies. The NTTAA directs the EPA to provide Congress, through OMB, 
explanations when the agency does not use available and applicable VCS.
    This action does not involve technical standards. Therefore, the 
EPA did not consider the use of any VCS.

J. Executive Order 12898: Federal Actions To Address Environmental 
Justice in Minority Populations and Low-Income Populations

    Executive Order 12898 (59 FR 7629 (Feb. 16, 1994)) establishes 
federal executive policy on environmental justice. Its main provision 
directs federal agencies, to the greatest extent practicable and 
permitted by law, to make environmental justice part of their mission 
by identifying and addressing, as appropriate, disproportionately high 
and adverse human health or environmental effects of their programs, 
policies, and activities on minority populations and low-income 
populations in the United States.
    The EPA has determined that this action will not have 
disproportionately high and adverse human health or environmental 
effects on minority or low-income populations because it does not 
affect the level of protection provided to human health or the 
environment. This action seeks comment on three aspects of the final 
NESHAP and NSPS for stationary RICE without proposing any changes to 
the rule.

List of Subjects

40 CFR Part 60

    Administrative practice and procedure, Air pollution control,

[[Page 54612]]

Intergovernmental relations, Reporting and recordkeeping requirements.

40 CFR Part 63

    Administrative practice and procedure, Air pollution control, 
Hazardous substances, Intergovernmental relations, Reporting and 
recordkeeping requirements.

    Dated: August 29, 2013.
Gina McCarthy,
Administrator.
[FR Doc. 2013-21626 Filed 9-4-13; 8:45 am]
BILLING CODE 6560-50-P


