EPA’s Air Priorities

1. EPA’s Air Priorities • GA AWMA • Regulatory Update Conference May 1, 2014 • Beverly Banister • Air, Pesticides and Toxics Management Division • U.S. Environmental Protection Agency, Region 4

2. EPA Regulatory Updates • Clean Air • National Ambient Air Quality Standard (NAAQS) Update • Mercury Air Toxics Standard • Boiler Rule • Startup, Shutdown and Malfunction (SSM) SIP Call • Interstate Transport Rule • Tier 3 Vehicle Emission and Fuel Standards Program • Action on Climate Change • President’s Action Plan on Climate Change • Reducing Carbon Pollution from Power Plants • Additional Climate Change Activities • Enforcement • EPA’s National Enforcement Initiatives • NSR/PSD • Air Toxics • Energy Extraction • Next Generation Compliance

3. NAAQS Reviews: Status Updates(as of March 2014)

4. 2010 SO2 NAAQS 2008 Ozone NAAQS Implementation • Revised Primary 8-hr Ozone Standard in 2008 (.075 ppm/8-hr) • EPA designations for the 2008 Ozone NAAQS effective on July 20, 2012 • Litigation on certain final area designations • Petition seeking redesignation of areas designated as attainment to nonattainment • 2008 Ozone NAAQS SIP Requirements Rule • Proposed May 29, 2013 (78 FR 34178) • Anticipate final rule in Fall 2014 • Attainment plans and demonstrations due July 2015 (Moderate) or July 2016 (Serious and above)

5. 2010 SO2 NAAQS Current Ozone NAAQS Review • Litigation over current Ozone NAAQS Review • EPA Tentative Dates • Proposal date – January 15, 2015 • Final date – November 15, 2015 • Dates Requested by Litigants • Proposal date – December 1, 2014 • Final date – October 1, 2015 • Dates subject to resolution of deadline suit

6. 2012 PM2.5 NAAQS Designations Timeline

7. 2010 SO2 NAAQS 2010 SO2 NAAQS Implementation • Revised Primary SO2 Standard: June 2010 (75 ppb/1-hr) • SO2 Area Designations and Implementation Strategy released February 2013 • Designations and Implementation Guidance and Assistance • Issued PSD permit modeling guidance documents applicable to the 1-hr SO2 NAAQS on August 23, 2010 and March 1, 2011 • Technical Assistance Documents for modeling and monitoring issued December 2013 • For more information including strategy and guidances visit: • http://www.epa.gov/airquality/sulfurdioxide/implement.html

8. 2010 SO2 NAAQS 2010 SO2 NAAQS Area Designations • Initial nonattainment area designations based on violating monitors, were effective October 4, 2013 • 29 areas in 16 states designated • Attainment plans due April 2015 • Judicial challenges filed for three areas designated NA and regarding EPA’s approach to designations in general • Strategy includes two additional future rounds of initial designations based on modeling (2017) and monitoring (2020) data to be submitted by states • Deadline suits filed by Sierra Club and several states requesting court to order EPA to issue final designations for all remaining areas with timeframes ranging from a couple months to 2 years from date of order

9. 2010 SO2 NAAQS 2010 SO2 NAAQS Implementation • SO2 Data Requirements Rule • Objective is to provide information to EPA in an orderly fashion to inform initial area designations for areas not designated in 2013 • Proposal issued April 17, 2014 and final in late 2014 • 1-hr SO2 NAAQS Nonattainment SIP Elements Guidance • Objective is to provide assistance to areas developing their nonattainment area plans • Draft provided for air agency review in October 31, 2013 • Issued in April 2014 • Status of next SO2 NAAQS Review (primary and secondary) • At the beginning stages of the review

10. Mercury Air Toxics Standard (MATS) December 21, 2011: EPA final standards to limit mercury, acid gases and other toxic pollution from new and existing electric generating units (EGUs) Applicability: Units >25 MW that burn coal or oil for the purpose of generating electricity for sale and distribution through the national electric grid to the public Existing sources: Can have up to 4 years to comply with MATS Pathway for reliability: Critical units to obtain a schedule with up to an additional year to achieve compliance December 2013: DC Circuit Court of Appeals hears challenges to MATS April 15, 2014: The DC Circuit issued its ruling upholding MATS http://www.epa.gov/mats/ and http://ferc.gov/media/news-releases/2012/2012-2/05-17-12-E-5.asp

11. Boiler Rule Updates • February 28, 2014 -EPA filed a motion asking the U. S. Circuit Court of Appeals for the District of Columbia to give the agency time to update a small set of standards that apply to less than 0.5% of all existing boilers and incinerators as well as some standards that affect new incinerators and boilers • March 21, 2011 - EPA promulgated final rules • December 20, 2012 - EPA finalized a specific set of adjustments to the standards • Will avoid up to 8,100 premature deaths, 5,100 heart attacks, and 52,000 asthma attacks • Cost effective, with EPA estimating that Americans will receive $13 to $29 in health benefits for every dollar spent to meet the final standards • Reminders: • March 21, 2014: Compliance date for area source boilers under the Boiler MACT • January 31, 2016: Compliance date for major source boilers

12. Startup, Shutdown, and Malfunction (SSM) SIP Call • 6/30/11– Sierra Club petitioned EPA for rulemaking regarding SSM provisions in State Implementation Plans (SIPs). • Nationally - 39 states & 7 locals noted in the petition • Includes all 8 Southeastern States & 4 locals • Settlement set schedule for proposed/final rules, SIP call • 2/12/13 Proposed rule: • 36 states submit their revised state plans to the Agency. • Revised SIPs will require industrial facilities to follow air pollution rules during SSM. • 5/14/14 – Deadline for EPA action on final rule completion date • States will have 18 months to submit SIPs following effective date of final rule

13. Interstate Pollution Transport Update 2010 SO2 NAAQS • U.S. Supreme Court granted EPA’s petition for review of the D.C. Circuit’s decision in EME Homer City which vacated the Cross State Air Pollution Rule (CSPAR) • Oral argument was held on December 10, 2013 • CSAPR requires states to significantly improve air quality by reducing power plant emissions that contribute to ozone and/or fine particle pollution in other states • On April 29, 2014, the Supreme Court reversed the DC Circuit opinion and remanded it back to the appeals court for further proceedings “Today’s Supreme Court decision is a resounding victory for public health and a key component of EPA’s efforts to make sure all Americans have clean air to breathe. It serves to support the ongoing work to see that air quality in downwind states continues to improve.  The Court’s finding also underscores the importance of basing the agency’s efforts on strong legal foundations and sound science. This is a big win for the nation’s public health and a proud day for the agency.” Gina McCarthy, EPA Administrator

14. March 3, 2014 - EPA Finalizes Tighter Vehicle and Fuel Standards to Reduce Emissions • Starting in 2017, Tier 3 sets new vehicle emissions standards and lowers the sulfur content of gasoline, considering the vehicle and its fuel as an integrated system • Emission reductions from the Tier 3 program will lead to immediate air quality improvements that are critically important for States to attain and maintain the existing health-based NAAQS Tier 3 Vehicle Emission and Fuel Standards Program http://www.epa.gov/otaq/tier3.htm

15. Addressing Climate Change: President’s Action Plan on Climate Change http://www.whitehouse.gov/share/climate-action-plan • June 25, 2013: President announced his plan to cut carbon pollution and prepare the U.S. for the impacts of climate change • Reduce carbon emissions from power plants • Build a 21st Century transportation sector • Develop post-2013 fuel economy standards for heavy-duty vehicles • Cut energy waste from our homes, businesses, and factories • Help states and cities prepare for the impacts of climate change • Lead global efforts to address climate change

16. Reducing Carbon Pollution From New Power Plants • New power plants—111(b) • Proposal: September 20, 2013 • Public comment period: Extended by 60 days to May 9, 2014 • Proposed standards of performance only apply to new electric utility generating units >25 MW. • EPA standards of performance for: • Natural gas fired stationary combustion turbines • 1,000 lbs CO2/MWh-gross for large units (>850 mmBtu/hr) • 1,100 lb CO2/MWh-gross for smaller units (≤850 mmBtu/hr) • Fossil fuel-fired utility boilers and Integrated Gasification Combined Cycle units • 1,100 lb CO2/MWh-gross over a 12-month operating month period, or • 1,000-1500 lb CO2/MWh-gross over a 7-year period http://www2.epa.gov/carbon-pollution-standards

17. Reducing Carbon Pollution From Existing Power Plants • Existing power plants—111(d) • Proposed Guidelines: June 2014 • Final Guidelines: June 2015 • State Plans due: June 2016 • EPA will issue proposed Federal guidelines in June 2014. In preparation, EPA has: • Worked in partnership with states • Built on states’ leadership and experience with programs that reduce GHGs • Begun the process of developing guidelines using an open and transparent regulatory process • Engaged the public, industry, states and key groups through listening sessions throughout the country http://www2.epa.gov/carbon-pollution-standards

18. Final Mobile Source Emission and CAFE Standards Extends passenger vehicle program to model year 2017 through 2025 Average163 grams CO2 per mile, 54.5 mpg in model year 2025 CAFE standards for medium-sized and heavy trucks Our program will continue to on standards already in place for model years 2014-18 2012 Climate Change Indicators Report EPA has compiled an updated set of 26 indicators tracking signs of climate change Additional Climate Change Activities www.epa.gov/climatechange 19

19. EPA’s National Enforcement Initiatives Cutting Air Pollution That Affects Communities’ Health: MACT Standards Reducing Widespread Pollution from Largest Sources : New Source Review and Prevention of Significant Deterioration Sector Focus--Utilities, Cement, Glass and Acid Sectors Clean Water: Keeping raw sewage and contaminated stormwater out of waters; Preventing animal waste from contaminating surface and groundwater Clean Communities: protect people from exposure to hazardous chemicals and require polluters to pay for cleanup of contaminated sites Reducing Pollution from Mineral Processing Assuring Energy Extraction Sector Compliance with Environmental Laws

20. Next Generation Compliance • More effective rules • Advanced monitoring technology • Electronic reporting • Increased transparency • Innovative enforcement

21. The Changing Paradigm of Air Monitoring 2010 SO2 NAAQS Snyder et al., ES&T, August 2013 http://pubs.acs.org/doi/abs/10.1021/es4022602 • The air pollution monitoring paradigm is rapidly changing due to recent advances in: • The development of portable, lower-cost air pollution sensors reporting data in near-real time at a high-time resolution, • Increased computational and visualization capabilities, and • Wireless communication/infrastructure.

22. Thank you! Questions?