

[Federal Register: August 17, 2007 (Volume 72, Number 159)]
[Rules and Regulations]               
[Page 46161-46164]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr17au07-12]                         

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

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 62

[EPA-R06-OAR-2006-1028; FRL-8455-3]

 
Approval and Promulgation of State Plan for Designated Facilities 
and Pollutants: Louisiana; Clean Air Mercury Rule (CAMR)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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

SUMMARY: EPA is taking direct final action to approve the State Plan 
submitted by Louisiana on October 25, 2006. The plan addresses the 
requirements of EPA's Clean Air Mercury Rule (CAMR), promulgated on May 
18, 2005 and subsequently revised on June 9, 2006. EPA is taking direct 
final action determining that the submitted State Plan fully implements 
the CAMR requirements for Louisiana.
    CAMR requires States to regulate emissions of mercury (Hg) from 
large coal-fired electric generating units (EGUs). CAMR establishes 
State budgets for annual EGU Hg emissions and requires States to submit 
State Plans that ensure that annual EGU Hg emissions will not exceed 
the applicable State budget. States have the flexibility to choose 
which control measures to adopt in order to achieve the budgets, 
including participating in the EPA-administered CAMR cap-and-trade 
program. In the State Plan that EPA is approving, Louisiana would meet 
CAMR requirements by participating in the EPA administered cap-and-
trade program addressing Hg emissions.

DATES: This rule will be effective on October 16, 2007 unless the EPA 
receives adverse comments by September 17, 2007. If we receive such 
comments, we will publish a timely withdrawal in the Federal Register 
to notify the public that this direct final rule will not take effect.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R06-
OAR-2006-1028, by one of the following methods:

[[Page 46162]]

     Federal eRulemaking Portal: http://www.regulations.gov. 

Follow the on-line instructions for submitting comments.
     U.S. EPA Region 6 ``Contact Us'' Web site: http://epa.gov/region6/r6coment.htm
 Please click on ``6PD'' (Multimedia) and select 

``Air'' before submitting comments.
     E-mail: Matthew Loesel at loesel.matthew@epa.gov.
     Fax: Mr. Matthew Loesel, Air Permits Section (6PD-R), at 
fax number 214-665-7263.
     Mail: Mr. Matthew Loesel, Air Permits Section (6PD-R), 
Environmental Protection Agency, 1445 Ross Avenue, Suite 1200, Dallas, 
Texas 75202-2733.
     Hand or Courier Delivery: Mr. Matthew Loesel, Air Permits 
Section (6PD-R), Environmental Protection Agency, 1445 Ross Avenue, 
Suite 1200, Dallas, Texas 75202-2733. Such deliveries are accepted only 
between the hours of 8 a.m. and 4 p.m. weekdays except for legal 
holidays. Special arrangements should be made for deliveries of boxed 
information.
    Instructions: Direct your comments to Docket ID No. EPA-R06-OAR-
2006-1028. EPA's policy is that all comments received will be included 
in the public docket without change and may be made available online at 
http://www.regulations.gov, including any personal information provided, 

unless the comment includes information claimed to be Confidential 
Business Information (CBI) or other information the disclosure of which 
is restricted by statute. Do not submit information through 
http://www.regulations.gov, or e-mail information that you consider to be CBI 

or otherwise protected. The http://www.regulations.gov Web site is an 

``anonymous access'' system, which means EPA will not know your 
identity or contact information unless you provide it in the body of 
your comment. If you send an e-mail comment directly to EPA without 
going through http://www.regulations.gov, your e-mail 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, 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 EPA cannot read your comment due to 
technical difficulties and cannot contact you for clarification, 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. For additional information about EPA's public 
docket visit the EPA Docket Center at http://www.epa.gov/epahome/dockets.htm
.

    Docket: All documents in the electronic docket are listed in the 
http://www.regulations.gov index. Although listed in the index, some 

information is not publicly available, i.e., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, is not placed on the Internet and will be 
publicly available only in hard copy form. Publicly available docket 
materials are available either electronically in http://www.regulations.gov or 

in hard copy at the Air Permitting Section (6PD-R), Environmental 
Protection Agency, 1445 Ross Avenue, Suite 700, Dallas, Texas 75202-
2733. The file will be made available by appointment for public 
inspection in the Region 6 FOIA Review Room between the hours of 8:30 
a.m. and 4:30 p.m. weekdays except for legal holidays. Contact the 
person listed in the FOR FURTHER INFORMATION CONTACT paragraph below to 
make an appointment. If possible, please make the appointment at least 
two working days in advance of your visit. There will be a 15 cent per 
page fee for making photocopies of documents. On the day of the visit, 
please check in at the EPA Region 6 reception area at 1445 Ross Avenue, 
Suite 700, Dallas, Texas.
    The State submittal is also available for public inspection at the 
State Air Agency listed below during official business hours by 
appointment:
    Louisiana Department of Environmental Quality, Office of 
Environmental Quality Assessment, 602 N. Fifth Street, Baton Rouge, 
Louisiana 70802.

FOR FURTHER INFORMATION CONTACT: If you have questions concerning 
today's proposal, please contact Mr. Matthew Loesel, Air Permitting 
Section (6PD-R) U.S. EPA, Region 6, Multimedia Planning and Permitting 
Division (6PD), 1445 Ross Avenue, Dallas, TX 75202-2733, telephone 
(214) 665-8544; fax number 214-665-7263; or electronic mail at 
loesel.matthew@epa.gov.


SUPPLEMENTARY INFORMATION: Throughout this document wherever ``we,'' 
``us,'' or ``our'' is used, we mean the EPA.

Table of Contents

I. What Does This Action Do?
II. What Is the Regulatory History of CAMR?
III. What Are the General Requirements of CAMR State Plans?
IV. How Can States Comply With CAMR?
V. Analysis of Louisiana's CAMR State Plan Submittal
    A. State Budgets
    B. CAMR State Plan
VI. Final Action
VII. Statutory and Executive Order Reviews

I. What Does This Action Do?

    EPA is taking direct final action to approve Louisiana's State 
Plan, submitted on October 25, 2006. In its State Plan, Louisiana would 
meet CAMR requirements by requiring certain coal-fired EGUs to 
participate in the EPA-administered cap-and-trade program addressing Hg 
emissions. EPA is taking direct final action on all of the provisions 
in the State Plan.
    EPA is publishing this rule without prior proposal because we view 
this as a non-controversial amendment and anticipate no adverse 
comments. However, in the ``Proposed Rules'' section of today's Federal 
Register, we are publishing a separate document that will serve as the 
proposed rule to approve the State Plan if relevant adverse comments 
are received on this direct final rule. We will not institute a second 
comment period on this action. Any parties interested in commenting 
must do so at this time. For further information about commenting on 
this rule, see the ADDRESSES section of this document.
    If EPA receives adverse comment, we will publish a timely 
withdrawal in the Federal Register informing the public that the rule 
will not take effect. We would address all public comments in a 
subsequent final rule based on the proposed rule. Please note that if 
we receive adverse comment on an amendment, paragraph, or section of 
this rule and if that provision may be severed from the remainder of 
the rule, we may adopt as final those provisions of the rule that are 
not the subject of an adverse comment.

II. What Is the Regulatory History of CAMR?

    CAMR was published by EPA on May 18, 2005 (70 FR 28606, ``Standards 
of Performance for New and Existing Stationary Sources: Electric 
Utility Steam Generating Units; Final Rule''). In this rule, acting 
pursuant to its authority under section 111(d) of the Clean Air Act 
(CAA), 42 U.S.C. 7411(d), EPA required that all States and the District 
of Columbia (all of which are referred to herein as States) meet 
Statewide annual budgets limiting Hg emissions from coal-fired EGUs (as 
defined in 40 CFR 60.24(h)(8)) under Clean Air Act (CAA) section 
111(d). EPA required all States to submit State Plans with control 
measures that ensure that total, annual Hg emissions from the coal-
fired EGUs located in the respective States do not exceed the 
applicable statewide annual EGU mercury budget. Under CAMR,

[[Page 46163]]

States may implement and enforce these reduction requirements by 
participating in the EPA-administered cap-and-trade program or by 
adopting any other effective and enforceable control measures.
    CAA section 111(d) requires States, and, along with CAA section 
301(d) and the Tribal Air Rule (40 CFR part 49), allows Tribes granted 
treatment as States (TAS), to submit State Plans to EPA that implement 
and enforce the standards of performance. CAMR explains what must be 
included in State Plans to address the requirements of CAA section 
111(d). The State Plans were due to EPA by November 17, 2006. Under 40 
CFR 60.27(b), the Administrator will approve or disapprove the State 
Plans.

III. What Are the General Requirements of CAMR State Plans?

    CAMR establishes Statewide annual EGU Hg emission budgets and is to 
be implemented in two phases. The first phase of reductions starts in 
2010 and continues through 2017. The second phase of reductions starts 
in 2018 and continues thereafter. CAMR requires States to implement the 
budgets by either: (1) Requiring coal-fired EGUs to participate in the 
EPA-administered cap-and-trade program; or (2) adopting other coal-
fired EGU control measures of the respective State's choosing and 
demonstrating that such control measures will result in compliance with 
the applicable State annual EGU Hg budget.
    Each State Plan must require coal-fired EGUs to comply with the 
monitoring, recordkeeping, and reporting provisions of 40 CFR part 75 
concerning Hg mass emissions. Each State Plan must also show that the 
State has the legal authority to adopt emission standards and 
compliance schedules necessary for attainment and maintenance of the 
State's annual EGU Hg budget and to require the owners and operators of 
coal-fired EGUs in the State to meet the monitoring, recordkeeping, and 
reporting requirements of 40 CFR part 75.

IV. How Can States Comply With CAMR?

    Each State Plan must impose control requirements that the State 
demonstrates will limit Statewide annual Hg emissions from new and 
existing coal-fired EGUs to the amount of the State's applicable annual 
EGU Hg budget. States have the flexibility to choose the type of EGU 
control measures they will use to meet the requirements of CAMR. EPA 
anticipates that many States will choose to meet the CAMR requirements 
by selecting an option that requires EGUs to participate in the EPA-
administered CAMR cap-and-trade program. EPA also anticipates that many 
States may chose to control Statewide annual Hg emissions for new and 
existing coal-fired EGUs through an alternative mechanism other than 
the EPA-administered CAMR cap-and-trade program. Each State that 
chooses an alternative mechanism must include with its plan a 
demonstration that the State Plan will ensure that the State will meet 
its assigned State annual EGU Hg emission budget.
    A State submitting a State Plan that requires coal-fired EGUs to 
participate in the EPA-administered CAMR cap-and-trade program may 
either adopt regulations that are substantively identical to the EPA 
model Hg trading rule (40 CFR part 60, subpart HHHH) or incorporate by 
reference the model rule. CAMR provides that States may only make 
limited changes to the model rule if the States want to participate in 
the EPA-administered trading program. A State Plan may change the model 
rule only by altering the allowance allocation provisions to provide 
for State-specific allocation of Hg allowances using a methodology 
chosen by the State. A State's alternative allowance allocation 
provisions must meet certain allocation timing requirements and must 
ensure that total allocations for each calendar year will not exceed 
the State's annual EGU Hg budget for that year.

V. Analysis of Louisiana's CAMR State Plan Submittal

A. State Budgets

    In today's action, EPA is taking direct final action to approve 
Louisiana's State Plan that adopts the annual EGU Hg budgets 
established for the State in CAMR, 0.601 tons for EGU Hg emissions in 
2010-2017 and 0.237 tons for EGU Hg emissions in 2018 and thereafter. 
Louisiana's State Plan sets these budgets as the total amount of 
allowances available for allocation for each year under the EPA-
administered CAMR cap-and-trade program.

B. CAMR State Plan

    The Louisiana State Plan requires coal-fired EGUs to participate in 
the EPA-administered CAMR cap-and-trade program. The State Plan 
incorporates by reference the EPA model Hg trading rule (40 CFR part 
60, subpart HHHH) in its entirety.
    Louisiana's State Plan requires coal-fired EGUs to comply with the 
monitoring, recordkeeping, and reporting provisions of 40 CFR part 75 
concerning Hg mass emissions. Louisiana's State Plan also demonstrates 
that the State has the legal authority to adopt emission standards and 
compliance schedules necessary for attainment and maintenance of the 
State's annual EGU Hg budget and to require the owners and operators of 
coal-fired EGUs in the State to meet the monitoring, recordkeeping, and 
reporting requirements of 40 CFR part 75. As part of its State Plan, 
Louisiana provided a demonstration through citation of legal authority 
to adopt and implement the regulations.

VI. Final Action

    The public was provided the opportunity to comment at public 
hearings on June 28, 2006, August 24, 2006 and September 25, 2006, on 
Louisiana's adoption of 40 CFR part 60--Subpart HHHH, and Louisiana's 
Proposed Section 111(d) Plan for Coal-Fired Electric Steam Generating 
Units prior to submittal to EPA for approval. EPA specifically stated 
at 40 CFR 60.24(h)(6)(i) that if a State adopts regulations 
substantively identical to 40 CFR part 60--subpart HHHH or incorporates 
the subpart by reference into its State regulations, that the allowance 
system under the State plan is automatically approved as meeting the 
requirements of establishing emissions standards and compliance 
schedules of the CAMR requirements. The State must also demonstrate 
that it has the legal authority to take such action and to implement 
its responsibilities under the regulations. Louisiana has adopted 
regulations substantively identical to 40 CFR part 60--subpart HHHH, 
and provided a demonstration of legal authority in the section 111(d) 
plan submittal, therefore EPA finds that the plan may be automatically 
approved. This action will be effective on October 16, 2007 without 
further notice.

VII. Statutory and Executive Order Reviews

    Under Executive Order 12866 (58 FR 51735, October 4, 1993), this 
action is not a ``significant regulatory action'' and therefore is not 
subject to review by the Office of Management and Budget. For this 
reason, this action is also not subject to Executive Order 13211, 
``Actions Concerning Regulations That Significantly Affect Energy 
Supply, Distribution, or Use'' (66 FR 28355, May 22, 2001). This action 
merely approves state law as meeting Federal requirements and imposes 
no additional requirements beyond those imposed by state law. 
Accordingly, the Administrator certifies that this rule

[[Page 46164]]

will not have a significant economic impact on a substantial number of 
small entities under the Regulatory Flexibility Act (5 U.S.C. 601 et 
seq.). Because this rule approves pre-existing requirements under State 
law and does not impose any additional enforceable duty beyond that 
required by state law, it does not contain any unfunded mandate or 
significantly or uniquely affect small governments, as described in the 
Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4).
    This rule also does not have tribal implications because it will 
not have a substantial direct effect on: One or more Indian tribes, the 
relationship between the Federal Government and Indian tribes, or the 
distribution of power and responsibilities between the Federal 
Government and Indian tribes, as specified by Executive Order 13175 (65 
FR 67249, November 9, 2000). This action also does not have Federalism 
implications because it does not have substantial direct effects on the 
States, the relationship between the national government and the 
States, or the distribution of power and responsibilities among the 
various levels of government, as specified in Executive Order 13132 (64 
FR 43255, August 10, 1999). This action merely approves a state rule 
implementing a Federal standard, and does not alter the relationship or 
the distribution of power and responsibilities established in the Clean 
Air Act. The EPA interprets Executive Order 13045, ``Protection of 
Children from Environmental Health Risks and Safety Risks'' (62 FR 
19885, April 23, 1997), as applying only to those regulatory actions 
that concern health or safety risks such that the analysis required 
under section 5-501 of the Executive Order has the potential to 
influence the regulation. This rule is not subject to Executive Order 
13045 because it would approve a state program. Executive Order 12898 
(59 FR 7629 (February 16, 1994)) establishes federal executive policy 
on environmental justice. Because this rule merely approves a state 
rule implementing a Federal standard, EPA lacks the discretionary 
authority to modify today's regulatory decision on the basis of 
environmental justice considerations.
    In reviewing State plans, EPA's role is to approve State choices, 
provided that they meet the criteria of the Clean Air Act. In this 
context, in the absence of a prior existing requirement for the State 
to use voluntary consensus standards (VCS), EPA has no authority to 
disapprove a State plan for failure to use VCS. It would thus be 
inconsistent with applicable law for EPA, when it reviews a State plan 
to use VCS in place of a State plan that otherwise satisfies the 
provisions of the Clean Air Act. Thus, the requirements of section 
12(d) of the National Technology Transfer and Advancement Act of 1995 
(15 U.S.C. 272 note) do not apply. This rule does not impose an 
information collection burden under the provisions of the Paperwork 
Reduction Act of 1995 (44 U.S.C. 3501 et seq.).
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business Regulatory Enforcement Fairness Act of 1996, generally 
provides that before a rule may take effect, the agency promulgating 
the rule must submit a rule report, which includes a copy of the rule, 
to each House of the Congress and to the Comptroller General of the 
United States. EPA will submit a report containing this rule and other 
required information to the U.S. Senate, the U.S. House of 
Representatives, and the Comptroller General of the United States prior 
to publication of the rule in the Federal Register. A major rule cannot 
take effect until 60 days after it is published in the Federal 
Register. This action is not a ``major rule'' as defined by 5 U.S.C. 
804(2).
    Under section 307(b)(1) of the Clean Air Act, petitions for 
judicial review of this action must be filed in the United States Court 
of Appeals for the appropriate circuit by October 16, 2007. Filing a 
petition for reconsideration by the Administrator of this final rule 
does not affect the finality of this rule for the purposes of judicial 
review nor does it extend the time within which a petition for judicial 
review may be filed, and shall not postpone the effectiveness of such 
rule or action. This action may not be challenged later in proceedings 
to enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 62

    Environmental protection, Air pollution control, Intergovernmental 
relations, Reporting and recordkeeping requirements.

    Authority: This action is issued under the authority of section 
111 of the Clean Air Act, as amended, 42 U.S.C. 7412.

    Dated: August 8, 2007.
Lawrence Starfield,
Acting Regional Administrator, Region 6.

0
40 CFR part 62 is amended as follows:

PART 62--[AMENDED]

0
1. The authority citation for part 62 continues to read as follows:

    Authority: 42 U.S.C. 7401 et seq.

Subpart T--Louisiana

0
2. Section 62.4620 is amended by adding paragraphs (b)(7) and (c)(8) to 
read as follows:


Sec.  62.4620  Identification of plan.

* * * * *
    (b) * * *
    (7) Control of mercury emissions from coal-fired electric steam 
generating units and coal-fired electric generating units as defined in 
40 CFR 60.24(h)(8): Clean Air Act Section 111(d) Plan for Coal-Fired 
Electrical Steam Generating Units, submitted by the Louisiana 
Department of Environmental Quality on October 25, 2006 (LAC 
33:III.3003.A).
    (c) * * *
    (8) Coal-fired electric steam generating units and coal-fired 
electric generating units as defined in 40 CFR 60.24(h)(8).

0
3. Subpart T is amended by adding a new undesignated center heading 
followed by new Sec. Sec.  62.4680 and 62.4681 to read as follows:

MERCURY EMISSIONS FROM COAL-FIRED ELECTRIC STEAM GENERATING UNITS


Sec.  62.4680  Identification of sources.

    The plan applies to Coal-fired electric steam generating units and 
coal-fired electric generating units as defined in 40 CFR 60.24(h)(8) 
including the following existing coal-fired electric generating units:
    (a) Big Cajun 2 (Unit 1) at New Roads, LA.
    (b) Big Cajun 2 (Unit 2) at New Roads, LA.
    (c) Big Cajun 2 (Unit 3) at New Roads, LA.
    (d) Rodemacher (Unit 2) at Lena, LA.
    (e) R.S. Nelson (Unit 6) at Westlake, LA.
    (f) Dolet Hills at Mansfield, LA.


Sec.  62.4681  Effective date.

    The effective date for the portion of the plan applicable to 
mercury budget units at coal-fired electric steam generating units and 
coal-fired electric generating units as defined in 40 CFR 60.24(h)(8) 
is effective October 16, 2007.

[FR Doc. E7-16171 Filed 8-16-07; 8:45 am]

BILLING CODE 6560-50-P
