[Federal Register Volume 87, Number 93 (Friday, May 13, 2022)]
[Rules and Regulations]
[Pages 29228-29232]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-10212]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R08-OAR-2021-0931; FRL-9541-02-R8]


Air Plan Conditional Approval; Colorado; Revisions to Regulation 
Number 7 and Oil and Natural Gas RACT Requirements for 2008 8-Hour 
Ozone Standard for the Denver Metro/North Front Range Nonattainment 
Area

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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[[Page 29229]]

SUMMARY: The Environmental Protection Agency (EPA) is conditionally 
approving portions of State Implementation Plan (SIP) revisions 
submitted by the State of Colorado on May 14, 2018 and May 13, 2020. 
The revisions are to Colorado Air Quality Control Commission 
(Commission or AQCC) regulations of ozone precursor and hydrocarbon 
emissions from oil and gas operations, and address Colorado's SIP 
obligation to require reasonably available control technology (RACT) 
for sources covered by the 2016 oil & natural gas control techniques 
guidelines (CTG or CTGs) for Moderate nonattainment areas under the 
2008 ozone National Ambient Air Quality Standard (NAAQS). These 
revisions address the final pieces of the May 14, 2018 and May 13, 2020 
submittals that we have not previously acted on. The EPA is taking this 
action pursuant to the Clean Air Act (CAA).

DATES: This rule is effective June 13, 2022.

ADDRESSES: The EPA has established a docket for this action under 
Docket ID No. EPA-R08-OAR-2021-0931. All documents in the docket are 
listed on the http://www.regulations.gov website. 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, is not placed on the 
internet and will be publicly available only in hard copy form. 
Publicly available docket materials are available through http://www.regulations.gov, or please contact the person identified in the FOR 
FURTHER INFORMATION CONTACT section for additional availability 
information.

FOR FURTHER INFORMATION CONTACT: Abby Fulton, Air and Radiation 
Division, EPA, Region 8, Mailcode 8ARD-IO, 1595 Wynkoop Street, Denver, 
Colorado 80202-1129, telephone number: (303) 312-6563, email address: 
[email protected].

SUPPLEMENTARY INFORMATION: Throughout this document ``we,'' ``us,'' and 
``our'' means the EPA.

I. Background

    The background for this action is discussed in detail in our 
February 17, 2022 proposal.\1\ We proposed to conditionally approve 
various revisions to the Colorado SIP that were submitted to the EPA in 
two separate SIP submittals, which the EPA received on May 14, 2018, 
and May 13, 2020. In particular, we proposed to conditionally approve 
into the SIP certain Reg. 7 rules to meet the 2008 8-hour ozone NAAQS 
oil and gas CTG RACT requirements for Moderate nonattainment areas that 
were not acted on in our July 3, 2018,\2\ February 24, 2021,\3\ and 
November 5, 2021 \4\ rulemakings. The proposal describes the background 
for this action, explains the revisions in detail, and the explains 
rationale for the EPA's proposed actions.
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    \1\ 87 FR 8997.
    \2\ Final Rule, Approval and Promulgation of State 
Implementation Plan Revisions; Colorado; Attainment Demonstration 
for the 2008 8-Hour Ozone Standard for the Denver Metro/North Front 
Range Nonattainment Area, and Approval of Related Revisions, 83 FR 
31068, 31069-31072.
    \3\ Final Rule, Approval and Promulgation of Implementation 
Plans; Colorado; Revisions to Regulation Number 7 and RACT 
Requirements for 2008 8-Hour Ozone Standard for the Denver Metro/
North Front Range Nonattainment Area, 86 FR 11125, 11126-11127.
    \4\ Final Rule, Approval and Promulgation of Implementation 
Plans; Colorado; Revisions to Regulation Number 7;
    Aerospace, Oil and Gas, and Other RACT Requirements for the 2008 
8-Hour Ozone Standard for the Denver Metro/North Front Range 
Nonattainment Area, 86 FR 61071, 61072.
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II. Comments

    There were no comments received on the proposal.

III. Final Action

    The EPA is conditionally approving revisions to Sections XII.J.1 of 
Reg. 7 from the State's May 14, 2018 submittal and Part D, Sections 
I.D., I.E., I.F., and I.J.1. of Reg. 7 from the State's May 13, 2020 
submission as shown in Table 1.
    The EPA is conditionally approving revisions to Reg. 7, Part D, 
Sections I.E.3. (including subsections (a)(i) through (iii)) and 
I.J.1.g.through i. Additionally, the EPA is conditionally approving 
Colorado's determination that Reg. 7, Part D satisfies RACT 
requirements for the Colorado ozone SIP for the 2016 oil and natural 
gas CTG. Under section 110(k)(4) of the Act, the EPA may approve a SIP 
revision based on a commitment by a state to adopt specific enforceable 
measures by a date certain, but not later than one year after the date 
of approval of the plan revision. On October 20, 2021, Colorado 
submitted a letter committing to adopt and submit specific revisions by 
June 30, 2022.\5\ Specifically, the State has committed to add 
requirements for performance testing of certain combustion devices 
consistent with the EPA's oil and gas CTG by using the same frequency, 
testing protocol, and recordkeeping requirements that will apply to 
storage vessels and wet seal centrifugal compressors required to be 
controlled under the EPA's oil and gas CTG (i.e., storage vessels that 
have the potential for VOC emissions equal to or greater than 6 tpy). 
Now that we are finalizing our conditional approval, Colorado must 
adopt and submit the specific revisions it has committed to by June 30, 
2022 in order for the conditional approval to convert to full approval. 
We note that the Colorado AQCC adopted the revisions as outlined in the 
commitment letter on December 17, 2021, and we anticipate that the 
State will meet its deadline to submit these measures as SIP revisions. 
However, if Colorado does not comply with its commitment by June 30, 
2022, if we find Colorado's SIP submission provided to fulfill the 
commitment to be incomplete, or if we disapprove the SIP submission, 
this conditional approval will convert to a disapproval. If any of 
these occur and our conditional approval converts to a disapproval, 
that will constitute a disapproval of a required plan element under 
part D of title I of the Act, which will start an 18-month clock for 
sanctions \6\ and the two-year clock for a federal implementation 
plan.\7\
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    \5\ Although CAA section 110(k)(4) allows the EPA to make a 
conditional approval based on a commitment to act within one year of 
the final conditional approval, Colorado has committed to act on a 
much more accelerated schedule.
    \6\ See CAA section 179(a)(2).
    \7\ See CAA section 110(c)(1)(B).

      Table 1--List of Colorado Revisions to Reg. 7 That the EPA Is
                         Conditionally Approving
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Revised Sections in May 14, 2018 and May 13, 2020 Submittals for
 Conditional Approval:
    May 14, 2018 Submittal:
        XII.J.1.
    May 13, 2020 Submittal:
        Part D, Sections I.D.-D.3.a.(i), I.D.3.b.-b.(i), I.D.3.b.(ii),
         I.D.3.b.(v), I.D.3.b.(vii), I.D.3.b.(ix), I.D.4.-I.E.1.a.,
         I.E.2.-.c.(ii), I.E.2.c.(iv)-c.(viii), I.F.-1.d., I.F.1.g.-
         g.(xii), I.F.1.h.-F.2.a., I.F.2.c.-c.(vi), I.F.3.-3.a, I.F.3.c.-
         c.(i)(C), and I.J.1.-j. (renumbering).

[[Page 29230]]

 
Revised Sections from Colorado's Oct. 20, 2021 Commitment Letter:
    Part D, Sections I.E.3.-a.(iii), I.J.1.g.-h., I.J.1.i., and
     I.J.1.i.(i)(E)-(F).
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IV. Consideration of Section 110(l) of the CAA

    Under section 110(l) of the CAA, the EPA cannot approve a SIP 
revision if the revision would interfere with any applicable 
requirement concerning attainment and reasonable further progress 
toward attainment of the NAAQS, or any other applicable requirement of 
the Act. In addition, section 110(l) requires that each revision to an 
implementation plan submitted by a state be adopted by the state after 
reasonable notice and public hearing.
    The Colorado SIP revisions that the EPA is conditionally approving 
do not interfere with any applicable requirements of the Act. The Reg. 
7 revisions submitted by the State on May 13, 2018 and May 14, 2020 are 
intended to strengthen the SIP and to serve as RACT for certain sources 
for the Colorado ozone SIP. Colorado's submittals provide adequate 
evidence that the revisions were adopted after reasonable public 
notices and hearings. Therefore, CAA section 110(l) requirements are 
satisfied.

V. Environmental Justice Considerations

    Executive Order 12898 (Federal Actions To Address Environmental 
Justice in Minority Populations and Low-Income Populations, 59 FR 7629, 
Feb. 16, 1994) directs federal agencies to identify and address 
``disproportionately high and adverse human health or environmental 
effects'' of their actions on minority populations and low-income 
populations to the greatest extent practicable and permitted by law.
    To identify potential environmental burdens and susceptible 
populations in the DMNFR area, a screening analysis was conducted using 
the EJScreen \8\ tool to evaluate environmental and demographic 
indicators within the area, based on available data from the Census 
Bureau's American Community Survey. The results of this assessment are 
discussed in detail in our February 17, 2022 proposal.\9\
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    \8\ EJSCREEN is an environmental justice mapping and screening 
tool that provides the EPA with a nationally consistent dataset and 
approach for combining environmental and demographic indicators; 
available at https://www.epa.gov/ejscreen/what-ejscreen.
    \9\ 87 FR 8997.
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    As explained in our February 17, 2022 proposal, we believe that 
this action will not have disproportionately high or adverse human 
health or environmental effects on communities with environmental 
justice concerns, and will contribute to the increased protection of 
those residing, working, attending school, or otherwise present in 
those areas.

VI. Incorporation by Reference

    In this document, the EPA is finalizing regulatory text in an EPA 
final rule that includes incorporation by reference. In accordance with 
requirements of 1 CFR 51.5, the EPA is incorporating by reference 
Colorado AQCC Regulation 7 pertaining to the control of ozone via ozone 
precursors and control of hydrocarbons from oil and gas emissions. The 
EPA has made, and will continue to make, these materials generally 
available through www.regulations.gov and at the EPA Region 8 Office 
(please contact the person identified in the FOR FURTHER INFORMATION 
CONTACT section of this preamble for more information). Therefore, 
these materials have been approved by the EPA for inclusion in the SIP, 
have been incorporated by reference by the EPA into that plan, are 
fully federally enforceable under sections 110 and 113 of the CAA as of 
the effective date of the final rulemaking of the EPA's conditional 
approval, and will be incorporated by reference in the next update to 
the SIP compilation.\10\
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    \10\ 62 FR 27968 (May 22, 1997).
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VII. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the Act and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, the EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
action merely approves state law as meeting Federal requirements and 
does not impose additional requirements beyond those imposed by state 
law. For that reason, this action:
     Is not a ``significant regulatory action'' subject to 
review by the Office of Management and Budget under Executive Orders 
12866 (58 FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 
2011);
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, described in the Unfunded Mandates 
Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA; and
     Does not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).

In addition, the SIP is not approved to apply on any Indian reservation 
land or in any other area where EPA or an Indian tribe has demonstrated 
that a tribe has jurisdiction. The rule does not have tribal 
implications and will not impose substantial direct costs on tribal 
governments or preempt tribal law as specified by Executive Order 13175 
(65 FR 67249, November 9, 2000).
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business Regulatory Enforcement

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 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 action 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 July 12, 2022. Filing a 
petition for reconsideration by the Administrator of this final rule 
does not affect the finality of this action 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 52

    Environmental protection, Air pollution control, Carbon monoxide, 
Greenhouse gases, Incorporation by reference, Intergovernmental 
relations, Lead, Nitrogen dioxide, Ozone, Particulate matter, Reporting 
and recordkeeping requirements, Sulfur oxides, Volatile organic 
compounds.

    Dated: May 9, 2022.
KC Becker,
Regional Administrator, Region 8.

    40 CFR part 52 is amended as follows:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

0
1. The authority citation for part 52 continues to read as follows:

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

Subpart G--Colorado

0
2. Add Sec.  52.319 to subpart G to read as follows:


Sec.  52.319   Conditional approval.

    (a) The EPA is conditionally approving portions of the Colorado SIP 
revisions submitted on May 14, 2018 and May 13, 2020. The conditional 
approval is based upon the October 20, 2021 commitment from the State 
to submit a SIP revision consisting of rule revisions that will cure 
the identified deficiencies by June 30, 2022. If the State fails to 
meet its commitment, the conditional approval will be treated as a 
disapproval with respect to the rules and CTG category for which the 
corrections are not met. The following are conditionally approved:
    (1) Regulation number 7, Section XII.J.1. from the May 14, 2018 
submittal and Part D, Sections I.D.-D.3.a.(i), I.D.3.b.-b.(i), 
I.D.3.b.(ii), I.D.3.b.(v), I.D.3.b.(vii), I.D.3.b.(ix), I.D.4.-
I.E.1.a., I.E.2.-c.(ii), I.E.2.c.(iv)-c.(viii), I.F.-1.d., I.F.1.g.-
g.(xii), I.F.1.h.-F.2.a., I.F.2.c.-c.(vi), I.F.3.-3.a, I.F.3.c.-
c.(i)(C), and I.J.1.-j. from the May 13, 2020 submittal.
    (2) Colorado's determination that Reg. 7, Part D satisfies 2008 
ozone NAAQS SIP RACT requirements for the following category, ``Control 
Techniques Guidelines for the Oil and Natural Gas Industry'' EPA-453/B-
16-001, October 2016.
    (b) [Reserved]

0
3. In Sec.  52.320:
0
a. In the table in paragraph (c), revise the entry for ``I. Volatile 
Organic Compound Emissions from Oil and Gas Operations'' under the 
heading ``5 CCR 1001-09, Regulation Number 7, Control of Ozone Via 
Ozone Precursors and Hydrocarbons via Oil and Gas Emissions, (Emissions 
of Volatile Organic Compounds and Nitrogen Oxides), Part D, Oil and 
Natural Gas Operations''; and
0
b. In the table in paragraph (e), under the subheading ``Denver 
Metropolitan Area'', add an entry for ``Reasonably Available Control 
Technology for the 2008 8-Hour Ozone National Ambient Air Quality 
Standard (NAAQS) State Implementation Plan (RACT SIP)'' after the entry 
``2008 Ozone Moderate Area Attainment Plan''.
    The revision and addition read as follows:


Sec.  52.320   Identification of plan.

* * * * *
    (c) * * *

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                                        State
              Title                   effective    EPA  effective       Final rule              Comments
                                        date             date         citation/date
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                                                  * * * * * * *
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   5 CCR 1001-09, Regulation Number 7, Control of Ozone Via Ozone Precursors and Hydrocarbons via Oil and Gas
Emissions, (Emissions of Volatile Organic Compounds and Nitrogen Oxides), Part D, Oil and Natural Gas Operations
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I. Volatile Organic Compound            2/14/2020       6/13/2022  [insert Federal      Previous SIP approval 2/
 Emissions from Oil and Gas                                         Register             13/2008. Substantive
 Operations.                                                        citation], 5/13/     changes to Section XII;
                                                                    2022.                state-only provisions
                                                                                         excluded, approved 7/3/
                                                                                         2018. Substantive
                                                                                         changes approved 11/25/
                                                                                         2021 except no action
                                                                                         on Sections I.D., I.E.,
                                                                                         I.F. and I.J.1.
                                                                                         Conditional approval of
                                                                                         Sections I.D., I.E.,
                                                                                         I.F., and I.J.1. 5/13/
                                                                                         2022.
 
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[[Page 29232]]

    (e) * * *

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                                         State
               Title                   effective    EPA  effective   Final rule citation/         Comments
                                         date             date               date
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                                                  * * * * * * *
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                                            Denver Metropolitan Area
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                                                  * * * * * * *
Reasonably Available Control            11/21/2017       6/13/2022  [insert Federal        Previous SIP
 Technology for the 2008 8-Hour                                      Register citation],    approvals 7/03/2018,
 Ozone National Ambient Air                                          5/13/2022.             2/24/202, and 11/05/
 Quality Standard (NAAQS) State                                                             2021. Conditional
 Implementation Plan (RACT SIP).                                                            approval of oil and
                                                                                            gas RACT 5/13/2022.
 
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[FR Doc. 2022-10212 Filed 5-12-22; 8:45 am]
BILLING CODE 6560-50-P


