Response to Comments on HAR Amendments - PowerPoint Presentation

Slide1

Response to Comments on HAR Amendments

Clean Air Branch

Greenhouse Gas Rules Stakeholders Meeting10/18/2013 Slide2

State GHG Requirements

In 2007, Act 234 was enacted.Act 234 required:

Statewide GHG limit set to 1990 levels. To be achieved by 2020.DOH to adopt GHG rules to ensure GHG limit is met.

Background

Slide3

Federal GHG Requirements

In 2007, GHG emissions became regulated. In 2009,

Mandatory GHG Reporting Rules.In 2010, Tailoring Rule regulates GHG emissions under PSD and Title V. In 2013, President’s Climate Action Plan directs EPA to issue GHG rules for power plants.

Background

Slide4

Public Comment Period

Public hearings in November 2012. Comment period extended from 12/7/2012 to

1/14/2013. 18 testifiers submitted oral testimony at the hearings. 23 commenters submitted written comments .

Introduction

Slide5

Results of Comments R

eceived

GHG cap revised from 25% to 16%.Public participation for GHG reduction plan approvals. Deadline for GHG reduction plans extended to 12 months.Landfills with controls exempt from GHG cap.No retroactive GHG fees.Revised definition of “subject to regulation”

Introduction

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Comments Addressed

Scope of AuthorityLife Cycle AssessmentFacility Wide GHG Cap

GHG Emissions Reduction PlanPartneringMWC & MSW Landfills exemptionGHG FeesBACT ThresholdDefinition of “Subject to Regulation”

Comments Addressed

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Scope of Authority

Two separate sources of authority:General powers under 342B-3, HRS and specific powers under 342b-12.

Subpart VI, 342B, HRS (Act 234).

Scope of Authority Slide8

Act 234 Hawaii’s Global Warming Solution Law (2007)

Sets a Statewide GHG Emissions Limit to

reduce GHG emissions from 2010 levels to 1990 levels by 2020.

Scope of Authority Slide9

Life Cycle Assessment (LCA)

DOH will not apply LCA at this time.Neither EPA nor any other state

nationwide applies LCA to stationary sources. DOH recognizes the merits of LCA.

LCA

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Facility-Wide GHG Emissions Cap

Cap changed from 25% to 16%.

Alternate cap based on GHG Control Assessment. Alternate Baseline Year.Facility-wide GHG Cap

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GHG Cap change from 25% to 16% (A)

Parameter

Initial 25% Percent ReductionRevised 16% Percent Reduction2010 affected facility actual emissionsQuestionable DOH emission estimates for 3 facilities Used GHGRP values instead of DOH estimates 2010 affected facility actual emissions Questionable GHGRP value reported for 4th facilityUsed EPA emission factors for 4th facilityState-wide 2010 emissionsBased on 2007 estimated emissionsBased on 2010 emissions projected2010 affected facility actual emissions from MWC operationsNoNo2010 affected facility actual emissions from MSW landfillsYesNo

Facility-wide GHG Cap

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Facility-wide GHG Cap

GHG Cap change from 25% to 16% (A)Slide13

Facility-wide GHG Cap

GHG Cap change from 25% to 16% (A)Slide14

Alternate Cap and GHG Control Assessment (B)

Facility must

conduct a GHG control assessment.Similar to BACT analysis. Director may approve an alternate cap.Cap will be incorporated into facility’s air permit.

Facility-wide GHG Cap

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Alternate GHG Cap Baseline Year (C)

2010 is the default baseline year.May propose an alternate baseline year

Methods to determine alternate baseline year are in HAR. Facility-wide GHG Cap Slide16

GHG Emission Reduction Plan

Director’s Discretion and Public Participation.

GHG Emission Reduction Plan Deadline.

GHG Emission Reduction Plan Slide17

Director’s Discretion and Public Participation (A)

Provisions for public participation are in HAR 11-60.1-205.Provisions for contested case hearings are in HAR 11-60.1-206.

GHG Emission Reduction Plan Slide18

GHG Emission Reduction Plan Deadline (B)

Extended deadline to 12 months from the effective date of the rules.

Provisions for extending the deadline.GHG Emission Reduction Plan Slide19

Proposed Control Strategy – Partnering

Partnering sources propose emissions above or below the facility-wide cap.

Each partner agrees to a revised emission level.Revised GHG emissions cap placed in permit.Each partner responsible for meeting its own cap.

Proposed Control Strategy - Partnering

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MWC & MSW Landfill Exemptions

MWC operations

MWC reduce waste going into landfills.GHGs from MWC have minor effect on reduction levels. MSW Landfills with controlsLandfill controls significantly reduce GHG emissions.GHG from landfills with controls have minor effect on reduction levels.

MWC Operations and MSW Landfills Slide21

BACT Applicability Threshold

State BACT threshold remains at 40,000 tpy CO2e.

State threshold is lower than 75,000 tpy CO2e federal threshold.Lower state threshold will regulate emission growth from new sources.BACT Applicability Threshold

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GHG Fees

Draft rules were amended to charge fees only after rules adoption.

Fees for GHG starts in 2015.GHG Fees Slide23

Definition of “Subject to Regulation”

Consistent with federal definition Temporary exemption of biogenic

CO2 emissions removed.

Definition

of Subject to Regulation Slide24

Where is Project Now?

GHG Rules are being circulated for approval

DOH will send notification to all commenters after rules are adopted.ConclusionSlide25

Questions ?

Additional information

Clean Air Branch (808) 586-4200www.health.hawaii.gov/cab/ConclusionSlide26

GHG Rules Emission Reduction

Covered (EPA GHGRP & DOH Data)

“Missing”2010 Statewide Total Stationary (ICF)

1990 Statewide Total Stationary (ICF)

Required Stationary Reduction

S = Small

Large (> 100k CO2e Short Ton/yr)

S

Affected

E = Exempted

E

Key Input Revisions

Large Covered

2010 Statewide Total

Drives

“Missing”

E

S

X 12%

=

Uncontrolled

Uncontrolled

Growth

“Missing”

E

S

X 12%

+

Affected

=

Affected Source % Reduction

Total Required Reduction