Region 9 Tribal Air Quality Conference Regional Haze Rulemakings: Western Regional Air Partnership Annex July 25, 2002

1. Region 9 Tribal Air Quality ConferenceRegional Haze Rulemakings:Western Regional Air PartnershipAnnexJuly 25, 2002

2. Presentation Overview • Background • WRAP Annex • WRAP & Tribal views on Annex • Integration w/ “Clear Skies”

3. Background • July 1, 1999 regional haze Rule requires States and provides for Tribes to establish goals for improving visibility in 156 Class I areas. • Regional haze is caused by fine particles or gases (primarily SO2, NOx) that form particles. • Sources causing regional haze include power plants, auto emissions, burning, etc.

4. Background (cont.) States are required and Tribes may establish ambitious reasonable progress, long-term goals to reach natural background conditions in 60 years. Regional Planning Organizations have been established to assist in developing milestones to address regional haze pollutants.

5. Background (cont.) • State and Tribal long-term goals are to be reassessed and revised in 2018 and every 10 years thereafter. • In setting these goals, States and Tribes should address all types of manmade emissions including stationary, mobile sources, and area sources. • Regional haze milestones coincide with PM2.5 milestones.

6. Tribal Opportunities To work with other Tribes and States to remedy a regional problem. To establish or augment your monitoring program to characterize visibility impairment. To establish or strengthen air program to address visibility impairment issues.

7. WRAP Annex In September 2000, the WRAP submitted to EPA a plan containing recommendations for implementing the stationary source portion of regional haze rule in the west. The member tribes are: Pueblo of Acoma, Campo Band of Kumeyaay Indians, Cortina Indian Rancheria, Hopi Tribe, Hualapai Nation of the Grand Canyon, Nez Perce Tribe, Northern Cheyenne Tribe, Salish and Kootenai Confederated Tribes, Pueblo of San Felipe, and Shoshone-Bannock Tribes of Fort Hall.

8. WRAP Annex (cont.) • The plan contains a set of recommended regional emission reduction measures for SO2; one of the primary visibility impairment pollutants. • The plan also includes a backstop emissions trading program for member States and Tribes to ensure that the emission milestones are achieved.

9. WRAP Annex (cont.) • The rule contains SO2 emission reduction milestones for each year between 2003 and 2018. • The rule also contains an annual process to determine whether the voluntary emission reduction measures meet the milestones. • There is an emission pool of 20,000 tons set aside for tribal sources.

10. WRAP Annex (cont.) Comment Period Rule was proposed on April 25, 2002. Public hearing was held June 4, 2002 in Phoenix, AZ Public comment period closed July 5. WRAP Submitted Comments July 3 Per consensus of IOC Includes comments on Tribal set aside and model Tribal Implementation Plans, developed by the tribes. Available on WRAP web site

11. Recent Court Decision on RHR • American Corn Growers vs. EPA – May 24, 2002 • Upheld general structure/Goals of RHR • Invalidated BART Provisions • Held EPA infringed on states authority • Can’t require states to consider visibility impacts from BART sources on cumulative basis when setting controls for individual sources

12. WRAP Implementation Activities for Annex • Establishment of Workgroup for MOU & Model Rule • MTF/AMC Workshop (5/21-5/22/02) • MOU/Model Rule Workshop Aug/Sept. • Follow-up meetings? • NTEC – working with ICF on analysis to provide info for tribal set-aside allocation decision • Decision itself years off – 2007-08?

13. Court Decision (Cont.) • Does not appear to affect Annex • Annex is voluntary and method of setting cap was determined by WRAP, not EPA • EPA letter to WRAP June 7 • “EPA believes strongly that the . . . WRAP Process is fully consistent with the Court’s Ruling.” • State/Enviro/NTEC intervenors have petitioned for rehearing en banc.

14. The Annex vs. the “Clear Skies Initiative” (CSI) Issue: How does Annex cap on Western SO2 emissions fit with national cap proposed in CSI?

15. WRAP on Annex & “CSI” • Consensus of WRAP: Any national program must preserve integrity of Annex • Annex Milestones as a “hard” cap for the 9-state region • including interim milestones • Allowance set-asides for tribes, renewable energy, and new sources • Backstop nature of program • States and tribes retain the ability to address localized visibility impairment problems at Class I

16. WRAP on Annex & CSI • IOC Discussion Paper -- 2 concepts for integrating programs • Annex is the national SO2 program for the West • National program has regional cap for West per Annex milestones • Available on web site, comments and ideas sought

17. WRAP on Annex & CSI • No WRAP Consensus on: • Nox levels for West • Hg levels & trading of Hg • Inclusion of CO2 • Effect on other programs (e.g., NSR)

18. Tribal Letter to Bush on CSI • From Gov. Chino (Acoma) on behalf of WRAP member tribes • Commends President for commitment to honoring Annex • Calls for CSI to address transport/local issues • Opposes termination of NSR • Calls for re-examination of Nox & Hg levels (to make more stringent)

19. For More Information Bill Grantham @ bgrantham@ntec.org or call: 505-242-2175 ext. 103 Bob Gruenig @ bgruenig@ntec.org or call: 505-242-2175 ext. 106 You can also check out the NTEC website at: www.ntec@ntec.org