Notice of Change/Withdrawal

DEPARTMENT OF ENVIRONMENTAL PROTECTION
Departmental
RULE NO: RULE TITLE
62-296.480: Implementation of Federal Clean Air Mercury Rule
NOTICE OF CHANGE
Notice is hereby given that the following changes have been made to the proposed rule in accordance with subparagraph 120.54(3)(d)1., F.S., published in Vol. 32 No. 21, May 26, 2006 issue of the Florida Administrative Weekly.

These changes were presented to and approved by the DEP Environmental Regulation Commission at the rule hearing held June 29, 2006.

62-296.480 Implementation of Federal Clean Air Mercury Rule.

(1) Definitions. For purposes of this rule, the terms “Hg,” “Hg allowance,” “Hg Budget Trading Program,” ”Hg Budget source,” and “Hg Budget unit” shall have the meanings given at Rule 62-210.200, F.A.C. All provisions of 40 CFR Part 60 cited within this rule are from 40 CFR Part 60, Subpart HHHH, adopted and incorporated by reference in Rule 62-204.800, F.A.C. Notwithstanding the first sentence of this paragraph, for For purposes of the verbatim application of the cited provisions of 40 CFR Part 60, Subpart HHHH, as modified by the substitute language set forth in this rule, the definitions contained within such subpart shall apply, with the understanding that the term “permitting authority” shall mean the Department, the term “State” shall mean the State of Florida, and the phrase “permitting authority’s title V operating permits regulations” shall mean Chapter 62-213, F.A.C.

(2) No change.

(3) Hg Allowance Transfers from the Department.

(a) Pursuant to the provisions of 40 CFR 60.4151(b), the Department shall establish a general account in its name and, for control periods 2012 2010 through 2017, allocate to such account Hg allowances equal to 25 percent of the amount of ounces (i.e., tons multiplied by 32,000 ounces/ton) of Hg emissions in the State trading budget under 40 CFR 60.4140, rounded to the nearest whole allowance.

(b) If, at the end of any of the control periods 2012 2010  through 2017, a Hg Budget unit equipped with add-on Hg emission controls, a flue gas desulfurization system, or a combination flue gas desulfurization/selective catalytic reduction system reports Hg emissions in excess of the Hg allowances it was allocated for the control period in accordance with 40 CFR 60.4142(a) and (b), the Department, pursuant to the provisions of 40 CFR 60.4160 and by the allowance transfer deadline for the control period, shall transfer Hg allowances from its general account to the compliance account of the Hg budget unit in the amount by which the Hg emissions reported by the reporting deadline in accordance with 40 CFR 60.4170 through 60.4176 exceed the Hg allowances the unit was allocated for the control period in accordance with 40 CFR 60.4142(a) and (b), provided that:

1. The designated representative of the Hg Budget unit requests such transfer and certifies that dDuring such control period the add-on Hg emission control equipment, flue gas desulfurization system, or combination flue gas desulfurization/selective catalytic reduction system was operated at all times except for periods of unit or emission control equipment outage necessitated by maintenance operations or emergency conditions; and

2. No change.

(c) On or after May 1 of each control period, the Department shall determine how many Hg allowances of prior control period vintage remain in its general account. The Department shall make these allowances available to new Hg Budget units in accordance with the following procedure:

1. If the Department allocates allowances for the control period pursuant to 40 CFR 60.4142 (c)(4)(iv) After allocating all available allowances pursuant to 40 CFR 60.4142(c)(4)(iv), the Department shall compute, for each Hg Budget unit that receives Hg allowances pursuant to such paragraph and for all such units in total, the shortfall between the number of Hg allowances requested, as determined pursuant to 40 CFR 60.4142(c)(4), (i), and the number of Hg allowances allocated pursuant to 40 CFR 60.4142(c)(4)(iv).

2. through 4. No change.

(d) No change.

(4) Hg Budget Trading Program. Except as otherwise provided herein, all provisions of the following sections of 40 CFR Part 60, Subpart HHHH, shall apply verbatim.

(a) through (c) No change.

(d) Hg Allowance Allocations, 40 CFR 60.4140 through 60.4142, provided that substitute language, as set forth below, shall apply in lieu of the indicated provisions.

1. through 2. No change.

3. In lieu of the language at 40 CFR 60.4142(a)(1), substitute:

“The baseline heat input (in MMBtu) used with respect to Hg allowance allocations under paragraph (b) of this section for each Hg Budget unit will be:

(i) For units commencing operation before January 1, 2000: the average of the 3 highest amounts of the unit’s adjusted control period heat input for 2000 through 2004; for units commencing operation on or after January 1, 2000, and before January 1, 2007: the average of the 3 highest amounts of the unit’s adjusted control period heat input over the first 5 calendar years following the year in which the unit commenced operation, or the average of the 2 highest amounts of the unit’s adjusted control period heat input over the first 4 calendar years following the year in which the unit commenced operation, or the maximum adjusted control period heat input over the first 1 to 3 calendar years following the year in which the unit commenced operation, depending on the maximum number (1 to 5) of such calendar years of data available to the permitting authority for determination of allowance allocations pursuant to sections 60.4141(a) or 60.4141(b)(1); with the adjusted control period heat input for each year calculated as the sum of the following:

(A) Any portion of the unit's control period heat input for the year that results from the unit's combustion of lignite, multiplied by 3.0;

(B) Any portion of the unit's control period heat input for the year that results from the unit's combustion of subbituminous coal, multiplied by 1.25; and

(C) Any portion of the unit's control period heat input for the year that is not covered by paragraph (a)(1)(i)(A) or (B) of this section, multiplied by 1.0.

(ii) For units commencing operation on or after January 1, 2007: the average of the 3 highest amounts of the unit’s total converted control period heat input over the first 5 calendar years following the year in which the unit commenced operation, or the average of the 2 highest amounts of the unit’s total converted control period heat input over the first 4 calendar years following the year in which the unit commenced operation, or the maximum total converted control period heat input over the first 1 to 3 calendar years following the year in which the unit commenced operation, depending on the maximum number (1 to 5) of such calendar years of data available to the permitting authority for determination of allowance allocations pursuant to section 60.4141(b)(1).

(iii) Notwithstanding paragraphs (a)(1)(i) and (ii), for For any unit that is permanently retired and has not operated during the most recent five-year period for which the permitting authority has data upon which to base allowance allocations: zero (0).”

4. In lieu of the language at 40 CFR 60.4142(b)(1), substitute:

“For each control period in 2012 2010 through 2017, the permitting authority will allocate to all Hg Budget units in the State that have a baseline heat input (as determined under paragraph (a) of this section) a total amount of Hg allowances equal to 70 percent of the amount of ounces (i.e., tons multiplied by 32,000 ounces/ton) of Hg emissions in the State trading budget under section 60.4140 (except as provided in paragraph (d) of this section).  For each control period in 2010, 2011, and 2018 and thereafter, the permitting authority will allocate to all Hg Budget units in the State that have a baseline heat input (as determined under paragraph (a) of this section) a total amount of Hg allowances equal to 95 percent of the amount of ounces (i.e., tons multiplied by 32,000 ounces/ton) of Hg emissions in the State trading budget under section 60.4140 (except as provided in paragraph (d) of this section).”

(5) through (9) No change.

10. In lieu of the language at 40 CFR 60.4142(d), substitute:

“If, after completion of the procedures under paragraph (c)(4) of this section for a control period, any unallocated Hg allowances remain in the new unit set-aside for the control period, the permitting authority will allocate to each Hg unit that was allocated Hg allowances under paragraph (b) of this section an amount of Hg allowances equal to the total amount of such remaining unallocated Hg allowances, multiplied by the unit’s allocation under paragraph (b) of this section, divided by 70 percent of the amount of ounces (i.e., tons multiplied by 32,000 ounces/ton) of Hg emissions in the State trading budget under section 60.4140 for control periods 2012 2010 through 2017, or 95 percent of the amount of ounces (i.e., tons multiplied by 32,000 ounces/ton) of Hg emissions in the State trading budget under section 60.4140 for control periods 2010, 2011, and 2018 and thereafter, and rounded to the nearest whole allowance using such rounding convention that results in allocation of the precise number of allowances remaining in the new unit set-aside.”

(e) through (g) No change.

Specific Authority 403.061, 403.087 FS. Law Implemented 403.031, 403.061, 403.087 FS. History–New________.

 

THE PERSON TO BE CONTACTED REGARDING THE NOTICE OF CHANGE: Larry George, Department of Environmental Protection, Division of Air Resource Management, 2600 Blair Stone Road, Mail Station 5500, Tallahassee, Florida 32399-2400, (850)921-9555