The Stationary Source Committee met Friday, April 27, 2001. Following is a summary of that meeting. The next meeting will be May 25, 2001, at 10:30 a.m., in Conference Room CC8.
RECOMMENDED ACTION:
Receive and file.
Ronald O. Loveridge
Chairman, Stationary Source Committee
Attendance
The meeting began at 10:35 a.m. Present were Norma Glover, acting Committee Chair; and Committee Member Jane Carney. Committee members Cynthia Verdugo-Peralta, Jon Mikels and Leonard Paulitz joined the meeting at 10:40. Absent was Ron Loveridge, Committee Chair.
ACTION ITEMS
Monthly Report on Home Rule Advisory Group
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Review Member Attendance
Dr. Elaine Chang, Deputy Executive Officer, Planning, Rule Development & Area Sources, presented this item. At the last meeting the Committee requested to see the member attendance records for the last fourteen months to review whether requirements are being met. Members must not miss more than three consecutive meetings or half of the scheduled meetings. Norma Glover will send a letter to one of the members who has exceeded the limit of missed meetings.
INFORMATIONAL ITEMS
Proposed Rule 1401 and Report on Potential Impacts for Rule 1402
Jill Whynot, Manager, Planning, Rule Development & Area Sources, presented this item. Rule 1401 is a new source review rule for new, modified and relocated permits with emission increases. Rule 1402 is for larger facilities that are in the state air toxics hot spot program. This amendment is to update the chemical list risk values and will go to the Board for consideration for adoption in June.
Rule 461 – Gasoline Transfer and Dispensing
Dr. Elaine Chang presented this item. Minor amendments would allow a facility to perform re-verification testing over the weekend, if they have failed the first test, provided they give notification ahead of time. This item will go to the Board for consideration in June.
Update on RECLAIM
Dr. Elaine Chang presented this RECLAIM status report. She reviewed the key rule revision components for power producing facilities and non-power producing facilities. Recent proposed changes include allowing natural gas power generation units to opt into the RECLAIM SOx market, that curtailment of production or limit on electricity generation would not be allowed as a compliance option in compliance plans and a third year deduction of allocation would be possible for power plants under the mitigation fee program.
EPA has one issue remaining where they prefer peaking units to remain outside of the RECLAIM program. ARB would like BARCT limits specified for power plants. Power plant operators continue to be concerned with the potential of future year deductions. The environmental community continues to be concerned that there will be further delays for the RECLAIM facilities to put on controls.
Staff is recommending expedited review of the compliance plans and development of source-specific NOx rules as a back-up strategy to avoid delay should additional controls be required for overall program compliance.
Jane Carney expressed concern over the need for the District to develop command-and-control rules and to adjust a market incentive program that should operate simply as a market system.
Ron Wilkniss, representative of Western States Petroleum Association and Charles Maguire, Manager of Exxon-Mobil refinery, commented on the RECLAIM amendments. They expressed concern over compliance plans reducing facility flexibility and suggested that all emitters, not just large sources, be required to submit quarterly updates to their compliance plans. Carol Coy, Deputy Executive Officer, Engineering and Compliance, responded that enforceability is a key compliance plan concept and that the current proposed rules allow facilities to submit revised plans whenever a facility wishes.
Rule 1631 – Pilot Credit Generation Program for Marine Vessels
Rule 1632 – Pilot Credit Generation Program for Hotelling Operations
Rule 1633 – Pilot Credit Generation Program for Truck/Trailer Refrigeration Units
Rule 2507 – Pilot Credit Generation Program for Agricultural Pumps
Jill Whynot presented this item, which was also presented at the Mobile Source Committee. These are proposed pilot credit rules for generation of NOx credits which can be used in RECLAIM. Staff continues to work closely with industry, environmental groups, ARB and EPA to resolve remaining issues. This item is scheduled to go to the Board for consideration in May.
WRITTEN REPORTS
Notice of Violation Penalty Summary
The Committee acknowledged the report attached to the agenda.
Rule Forecast Report
The Committee acknowledged the report attached to the agenda.
Other Business
Jane Carney requested an update on the back-up power generation issue. Carol Coy committed to agendize an update on the numbers and types of units in the District, information on the emissions potential for the upcoming summer, and current regulatory approaches at the next Committee meeting in May.
South Coast Air Quality Management District