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November 22, 2002: EPA Rule Weakens New Source Review

2002-11-22

Companies charged with violating New Source Review [Source: Clear the Air]The Environmental Protection Agency finalizes a rule that makes four important changes to the New Source Review (NSR) section of the Clean Air Act. Critics say the changes will help polluting industries maintain the status quo.
Plant-wide Applicability Limits (PALs) - This change will allow a facility to set a Plant-wide Applicability Limit (PAL) based on its average emissions over the previous ten years. A facility will be exempted from the New Source Review process when it upgrades or expands its operations if those changes do not cause the plant’s emissions to exceed its PAL. Critics complain that the change does not require plants to reduce their overall emissions when a facility expands or modifies operations.
Pollution Control and Prevention Projects - Facilities will be permitted to undertake certain environmentally beneficial activities without having to apply for NSR permits.
Clean Unit Provision - Plants that voluntarily install “best available pollution controls” will be afforded “clean unit” status and exempted from NSR provisions for a period of 15 years. The change is retroactive to 1990.
Emissions Calculation Test Methodology - Facilities will be permitted to use a more lenient method when determining if a plant upgrade has increased its emissions. With the exception of power plants, facilities will be permitted to select any 24-month period during the previous decade to serve as its baseline for determining pre-modification emission levels. The EPA also announces that it intends to revise the “Routine Maintenance, Repair and Replacement” exemption so that any modifications whose costs do not exceed a certain level would be exempt from the NSR provisions requiring plants to install pollution controls and conduct impact assessments on the ambient air quality when upgrading or replacing equipment. [Clean the Air, n.d. pdf file; Environmental Protection Agency, 11/22/2002; EarthVision Environmental News, 11/25/2002; ENSR International, 12/24/2004]