Stationary Sources No Longer Major Sources for Title V/PSD Purposes Based Solely on GHG Emissions

February 01, 2016

Click here for the January 2016 Environmental Regulatory Alert

LDEQ proposes to delete the major source threshold for greenhouse gases (GHGs), i.e., 100,000 tons per year (tpy) of carbon dioxide equivalents (CO2e), from the definitions of "major source" and "major stationary source," in its regulations governing Part 70 (Title V) operating permits and prevention of significant deterioration (PSD). Stationary sources would no longer be considered a “major source” for Title V or PSD purposes based solely on GHG emissions. Louisiana’s current regulations treating GHG as a pollutant for purposes of defining a “major source” were based on federally promulgated Clean Air Act regulations, which have been invalidated by the U.S. Supreme Court decision in Utility Air Regulatory Group v. EPA, decided June 23, 2014. (See, http://www.supremecourt.gov/opinions/13pdf/12-1146_4g18.pdf)
 
Any facility that had been permitted as a major source based solely on GHG emissions can now apply to the LDEQ to convert its Part 70 permit into a minor source permit. LDEQ Air Permitting is processing these requests and has already granted some requests.
 
Be aware that after this deletion, while not a basis for “major source” determinations, a facility’s GHG emissions are still relevant during the permitting process. As explained by EPA in its July 24, 2014 memo, Next Steps and Preliminary Views on the Application of Clean Air Act Permitting Programs to Greenhouse Gases Following the Supreme Court's Decision, the Supreme Court in Utility Air Regulatory Group v. EPA upheld application of the best available control technology (BACT) requirements to GHG emissions from new and modified sources that trigger PSD permitting obligations on the basis of their emission of air pollutants other than GHGs (also known as “Step 1” or “anyway sources”). EPA clarifies that Step 1 sources remain subject to the PSD BACT requirements for GHGs, as well as other pollutants, if they emit those pollutants at or above certain thresholds:

New Step 1 sources - EPA intends to continue applying the PSD BACT requirements to GHG emissions if the source emits or has the potential to emit 75,000 tpy or more of GHGs on a CO2e basis.

Modified Step 1 sources - EPA plans to continue applying the PSD BACT requirements to GHGs if both of the following circumstances are present: 1) the modification is otherwise subject to PSD for a pollutant other than GHGs; and 2) the modification results in a GHG emissions increase and a net GHG emissions increase equal to or greater than 75,000 tpy CO2e and greater than zero on a mass basis.

 
Hearing Date: February 25, 2016 
Comment Deadline:  March 3, 2016
PROPOSED RULE: AQ358
Definitions of Major Source and Major Stationary Source Relative to Greenhouse Gases
LAC 33:III.502 and 509  
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Louisiana proposes to adopt federal electronic manifest system for hazardous waste shipments.
 
LDEQ’s proposed rule allows Louisiana’s hazardous waste generators, transporters and treatment, storage and disposal (TSD) facilities to use EPA’s national e-manifest system, greatly reducing the use of paper and required copies for tracking shipments of hazardous waste in Louisiana.
 
Hearing Date and Comment Deadline: February 25, 2016
PROPOSED RULE: HW117ft
Hazardous Waste Electronic Manifest
LAC 33:V.109, 1107, 1301, 1307 and 1516

In keeping with Taylor Porter’s commitment to its environmental clients to actively monitor the latest state and federal regulatory developments, our firm is pleased to share a monthly Environmental Regulatory Alert. For any further information or to contact Taylor Porter environmental attorneys, visit our Environmental and Regulatory Litigation practice area page.

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