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Federal Register / Vol. 72, No.

189 / Monday, October 1, 2007 / Proposed Rules 55723

Executive Order 12866, and because the because it does not affect the level of addresses the requirements of EPA’s
Agency does not have reason to believe protection provided to human health or Clean Air Interstate Rule (CAIR),
the environmental health or safety risks the environment. The proposed rule promulgated on May 12, 2005 and
addressed by this action present a amendment is deregulatory and does subsequently revised on April 28, 2006,
disproportionate risk to children. allow relaxation of the control measures and December 13, 2006. EPA is
H. Executive Order 13211: Actions That on sources. However, this is not proposing to determine that the SIP
Significantly Affect Energy Supply, expected to lead to increased ozone revision fully implements the CAIR
Distribution, or Use formation since the compounds being requirements for New York. EPA will
exempted have been determined to have also withdraw the CAIR Federal
This rule is not subject to Executive negligible photochemical reactivity. Implementation Plans (CAIR FIPs)
Order 13211, ‘‘Actions Concerning concerning sulfur dioxide (SO2),
Regulations That Significantly Affect List of Subjects in 40 CFR Part 51
nitrogen oxides (NOX) annual, and NOX
Energy Supply, Distribution, or Use’’ (66 Environmental protection, ozone season emissions for New York
FR 28355, May 22, 2001) because it is Administrative practice and procedure, pending final approval of New York’s
not likely to have a significant adverse Air pollution control, Ozone, Reporting SIP revision. The CAIR FIPs for all
effect on the supply, distribution, or use and recordkeeping requirements, states in the CAIR region were
of energy. Further, we have concluded Volatile organic compounds. promulgated on April 28, 2006 and
that this rule is not likely to have any subsequently revised on December 13,
Dated: September 25, 2007.
adverse energy effects. 2006.
Stephen L. Johnson,
I. National Technology Transfer Administrator. The SIP revision that EPA is
Advancement Act For reasons set forth in the preamble, proposing to approve will also satisfy
Section 12(d) of the National part 51 of chapter I of title 40 of the New York’s 110(a)(2)(D)(i) obligations to
Technology Transfer and Advancement Code of Federal Regulations is proposed submit a SIP revision that contains
Act of 1995 (‘‘NTTAA’’), Public Law to be amended as follows: adequate provisions to prohibit air
104–113, section 12(d), (15 U.S.C. 272 emissions from adversely affecting
note) directs EPA to use voluntary PART 51—REQUIREMENTS FOR another state’s air quality through
consensus standards in its regulatory PREPARATION, ADOPTION, AND interstate transport.
activities unless to do so would be SUBMITTAL OF IMPLEMENTATION CAIR requires states to reduce
inconsistent with applicable law or PLANS emissions of SO2 and NOX that
otherwise impractical. Voluntary significantly contribute to and interfere
1. The authority citation for part 51, with the maintenance of the national
consensus standards are technical subpart F, continues to read as follows:
standards (e.g., materials specifications, ambient air quality standards for fine
Authority: 42 U.S.C. 7401, 7411, 7412, particulates and/or ozone in any
test methods, sampling procedures, and 7413, 7414, 7470–7479, 7501–7508, 7601,
business practices) that are developed or downwind state. CAIR establishes state
and 7602. budgets for SO2 and NOX and requires
adopted by voluntary consensus
standards bodies. The NTTAA directs § 51.100 [Amended] states, which EPA has concluded
EPA to provide Congress, through OMB, 2. Section 51.100 is amended at the contribute to nonattainment in
explanations when the Agency decides end of paragraph (s)(1) introductory text downwind states, to submit SIP
not to use available and applicable by removing the words ‘‘and revisions that implement these budgets.
voluntary consensus standards. This perfluorocarbon compounds which fall States have the flexibility to choose the
rulemaking does not involve technical into these classes:’’ and adding in their control measures to adopt to achieve the
standards. Therefore, EPA is not place a semi-colon and the words ‘‘; budgets, including participating in the
considering the use of any voluntary propylene carbonate; dimethyl EPA-administered cap-and-trade
consensus standards. carbonate; and perfluorocarbon programs. In the SIP revision that EPA
compounds which fall into these is proposing to approve, New York
J. Executive Order 12898: Federal would meet CAIR requirements by
Actions To Address Environmental classes:’’.
participating in the EPA-administered
Justice in Minority Populations and [FR Doc. E7–19324 Filed 9–28–07; 8:45 am] cap-and-trade programs addressing SO2,
Low-Income Populations. BILLING CODE 6560–50–P NOX annual, and NOX ozone season
Executive Order (EO) 12898 (59 FR emissions.
7629 (Feb. 16, 1994)) establishes Federal DATES: Comments must be received on
executive policy on environmental ENVIRONMENTAL PROTECTION
AGENCY or before October 31, 2007.
justice. Its main provision directs
federal agencies, to the greatest extent ADDRESSES: Submit your comments,
40 CFR Part 52 identified by Docket ID No. EPA–R02–
practicable and permitted by law, to
make environmental justice part of their [Docket No. EPA–R02–OAR–2007–0913; OAR–2007–0913, by one of the
mission by identifying and addressing, FRL–8474–9] following methods:
as appropriate, disproportionately high 1. www.regulations.gov: Follow the
and adverse human health or Approval and Promulgation of on-line instructions for submitting
environmental effects of their programs, Implementation Plans; New York: comments.
policies, and activities on minority Clean Air Interstate Rule 2. E-mail: Werner.Raymond@epa.gov.
populations and low-income AGENCY: Environmental Protection 3. Fax: (212) 637–3901.
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populations in the United States. Agency (EPA). 4. Mail: EPA–R02–OAR–2007–0913,


The EPA has determined that this ACTION: Proposed rule. Raymond Werner, Chief, Air Programs
proposed rule will not have Branch, Environmental Protection
disproportionately high and adverse SUMMARY: EPA is proposing to approve Agency, Region 2 Office, 290 Broadway,
human health or environmental effects a revision to the New York State 25th Floor, New York, New York
on minority or low-income populations Implementation Plan (SIP) that 10007–1866.

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55724 Federal Register / Vol. 72, No. 189 / Monday, October 1, 2007 / Proposed Rules

5. Hand Delivery or Courier: Raymond www.regulations.gov or in hard copy at In its SIP revision, New York would
Werner, Chief, Air Programs Branch, the Air Programs Branch, meet CAIR requirements by requiring
Environmental Protection Agency, Environmental Protection Agency, certain electric generating units (EGUs)
Region 2 Office, 290 Broadway, 25th Region 2 Office, 290 Broadway, 25th to participate in the EPA-administered
Floor, New York, New York 10007– Floor, New York, New York 10007– State CAIR cap-and-trade programs
1866. Such deliveries are only accepted 1866. EPA requests that if at all addressing SO2, NOX annual, and NOX
during the Regional Office’s normal possible, you contact the person listed ozone season emissions. EPA is
hours of operation. The Regional in the FOR FURTHER INFORMATION proposing to determine that the SIP, as
Office’s official hours of business are CONTACT section to schedule your revised, will meet the applicable
Monday through Friday, 8:30 to 4:30, inspection. The Regional Office’s requirements of CAIR. Any final action
excluding federal holidays. official hours of business are Monday on the SIP will be taken by the Regional
Instructions: Direct your comments to through Friday, 8:30 to 4:30, excluding Administrator for Region 2. In the event
Docket ID No. EPA–R02–OAR–2007– federal holidays. the proposed approval is finalized, the
0913. EPA’s policy is that all comments Administrator of EPA will also issue a
FOR FURTHER INFORMATION CONTACT: If
received will be included in the public final rule to withdraw the FIPs
you have questions concerning today’s
docket without change and may be concerning SO2, NOX annual, and NOX
proposal, please contact Kenneth
made available on-line at http:// ozone season emissions for New York.
Fradkin, Air Programs Branch,
www.regulations.gov, including any This action will delete and reserve 40
Environmental Protection Agency,
personal information provided, unless CFR 52.1684 and 40 CFR 52.1685,
the comment includes information Region 2 Office, 290 Broadway, 25th
relating to the CAIR FIP obligations for
claimed to be Confidential Business Floor, New York, New York 10007–
New York. The withdrawal of the CAIR
Information (CBI) or other information 1866. The telephone number is (212)
FIPs for New York is a conforming
whose disclosure is restricted by statute. 637–3702. Mr. Fradkin can also be
amendment that must be made once the
Do not submit through http:// reached via electronic mail at
SIP is approved because EPA’s authority
www.regulations.gov or e-mail, Fradkin.kenneth@epa.gov.
to issue the FIPs was premised on a
information that you consider to be CBI SUPPLEMENTARY INFORMATION: deficiency in the SIP for New York.
or otherwise protected. The http:// Once the SIP is fully approved, EPA no
Table of Contents
www.regulations.gov Web site is an longer has authority for the FIPs. Thus,
‘‘anonymous access’’ system, which I. What Action Is EPA Proposing To Take? EPA will not have the option of
means EPA will not know your identity II. What Is the Regulatory History of CAIR
maintaining the FIPs following the full
and the CAIR FIPs?
or contact information unless you SIP approval. Accordingly, EPA does
III. What Are the General Requirements of
provide it in the body of your comment. CAIR and the CAIR FIPs? not intend to offer an opportunity for a
If you send an e-mail comment directly IV. What Are the Types of CAIR SIP public hearing or an additional
to EPA without going through http:// Submittals? opportunity for written public comment
www.regulations.gov, your e-mail V. Analysis of New York’s CAIR SIP on the withdrawal of the FIPs.
address will be automatically captured Submittal In addition, EPA is also proposing
and included as part of the comment A. State Budgets for Allowance Allocations approval of a revision to New York’s SIP
that is placed in the public docket and B. CAIR Cap-and-Trade Programs to address the requirements of section
made available on the Internet. If you C. Applicability Provisions for Non-EGU 110(a)(2)(D)(i) of the Clean Air Act
submit an electronic comment, EPA NOX SIP Call Sources (CAA). This section of the Act requires
D. NOX Allowance Allocations
recommends that you include your each state to submit a SIP that prohibits
E. Allocation of NOX Allowances From
name and other contact information in Compliance Supplement Pool emissions that could adversely affect
the body of your comment and with any F. Individual Opt-In Units another state. The SIP must prevent
disk or CD–ROM you submit. If EPA G. Satisfying Section 110(a)(2)(D)(i) of the sources in the state from emitting
cannot read your comment due to Clean Air Act pollutants in amounts that will: (1)
technical difficulties and cannot contact H. What Other Clarifications Should New Contribute significantly to downwind
you for clarification, EPA may not be York Make in Its Program? nonattainment of the NAAQS, (2)
able to consider your comment. VI. Proposed Actions interfere with maintenance of the
Electronic files should avoid the use of VII. Statutory and Executive Order Reviews NAAQS, (3) interfere with provisions to
special characters and any form of I. What Action Is EPA Proposing To prevent significant deterioration of air
encryption and should be free of any Take? quality, and (4) interfere with efforts to
defects or viruses. For additional protect visibility.
information about EPA’s public docket EPA is proposing to approve a
revision to New York’s SIP that was II. What Is the Regulatory History of the
visit the EPA Docket Center homepage
adopted on August 28, 2007 and CAIR and the CAIR FIPs?
at http://www.epa.gov/epahome/
dockets.htm. submitted on September 17, 2007. New The Clean Air Interstate Rule (CAIR)
Docket: All documents in the York’s revision addresses the Clean Air was published by EPA on May 12, 2005
electronic docket are listed in the Interstate Rule (CAIR) and obligations (70 FR 25162). In this rule, EPA
http://www.regulations.gov index. under 110(a)(2)(D)(i) for the 8-hour determined that 28 states and the
Although listed in the index, some ozone and fine particle (PM2.5) National District of Columbia contribute
information is not publicly available, Ambient Air Quality Standards significantly to nonattainment and
i.e., CBI or other information whose (NAAQS). New York had submitted an interfere with maintenance of the
disclosure is restricted by statute. earlier version of the revision on March national ambient air quality standards
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Certain other material, such as 30, 2007. EPA is proposing to approve (NAAQS) for fine particles (PM2.5) and/
copyrighted material, is not placed on the September revision only since it or 8-hour ozone in downwind states in
the Internet and will be publicly contains the version of New York’s the eastern part of the country. As a
available only in hard copy form. CAIR rulemaking that was adopted by result, EPA required those upwind
Publicly available docket materials are New York’s Environmental Control states to revise their SIPs to include
available either electronically in http:// Board (ECB) on August 28, 2007. control measures that reduce emissions

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Federal Register / Vol. 72, No. 189 / Monday, October 1, 2007 / Proposed Rules 55725

of SO2, which is a precursor to PM2.5 CAIR FIPs also allow states to submit choose to meet the CAIR requirements
formation, and/or NOX, which is a abbreviated SIP revisions that, if by selecting an option that requires
precursor to both ozone and PM2.5 approved by EPA, will automatically EGUs to participate in the EPA-
formation. For jurisdictions that replace or supplement certain CAIR FIP administered CAIR cap-and-trade
contribute significantly to downwind provisions (e.g., the methodology for programs. For such states, EPA has
PM2.5 nonattainment, CAIR sets annual allocating NOX allowances to sources in provided two approaches for submitting
state-wide emission reduction the state), while the CAIR FIP remains and obtaining approval for CAIR SIP
requirements (i.e., budgets) for SO2 and in place for all other provisions. revisions. States may submit full SIP
annual state-wide emission reduction On April 28, 2006, EPA published revisions that adopt the model CAIR
requirements for NOX. Similarly, for two additional CAIR-related final rules cap-and-trade rules. If approved, these
jurisdictions that contribute that added the States of Delaware and SIP revisions will fully replace the CAIR
significantly to 8-hour ozone New Jersey to the list of states subject FIPs. Alternatively, states may submit
nonattainment, CAIR sets state-wide to CAIR for PM2.5, and without making abbreviated SIP revisions. These SIP
emission reduction requirements for any substantive changes to the CAIR revisions will not replace the CAIR FIPs;
NOX for the ozone season (May 1st to requirements, announced EPA’s final however, the CAIR FIPs provide that,
September 30th). Under CAIR, states decisions on reconsideration of five when approved, the provisions in these
may implement these reduction issues, including certain technical, abbreviated SIP revisions will be used
requirements by participating in the allocation, compliance, cost- instead of or in conjunction with, as
EPA-administered cap-and-trade effectiveness, and timing issues, as well appropriate, the corresponding
programs or by adopting any other as a decision specific to Florida. provisions of the CAIR FIPs (e.g., the
control measures. III. What Are the General Requirements NOX allowance allocation
CAIR provides an explanation of what methodology).
of CAIR and the CAIR FIPs?
states must include in SIPs to address A state submitting a full SIP revision
the requirements of section 110(a)(2)(D) CAIR established state-wide emission
may either adopt regulations that are
of the CAA with regard to interstate budgets for SO2 and NOX and is to be
substantively identical to the model
transport with respect to the 8-hour implemented in two phases. The first
rules or incorporate by reference the
ozone and PM2.5 NAAQS. EPA made phase of NOX reductions starts in 2009
model rules. CAIR provides that states
national findings, effective on May 25, and continues through 2014, while the
may only make limited changes to the
2005, that the states had failed to submit first phase of SO2 reductions starts in
model rules if the states want to
SIPs meeting the requirements of 2010 and continues through 2014. The
participate in the EPA-administered
section 110(a)(2)(D). The SIPs were due second phase of reductions for both
trading programs. A full SIP revision
in July 2000, three years after the NOX and SO2 starts in 2015 and
may change the model rules only by
promulgation of the 8-hour ozone and continues thereafter. CAIR requires
altering their applicability and
PM2.5 NAAQS. These findings started a states to implement the budgets by
allowance allocation provisions to:
2-year clock for EPA to promulgate a either: (1) Requiring EGUs to participate
1. Include NOX SIP Call trading
Federal Implementation Plan (FIP) to in the EPA-administered cap-and-trade
sources that are not EGUs under CAIR
address the requirements of section programs; or (2) adopting other control
in the CAIR NOX ozone season trading
110(a)(2)(D). Under CAA section measures of the state’s choosing and
program;
110(c)(1), EPA may issue a FIP anytime demonstrating that such control
2. Provide for state allocation of NOX
after such findings are made and must measures will result in compliance with
annual or ozone season allowances
do so within two years unless a SIP the applicable state SO2 and NOX
using a methodology chosen by the
revision correcting the deficiency is budgets.
The May 12, 2005 and April 28, 2006 State;
approved by EPA before the FIP is
promulgated. CAIR rules provide model rules that 3. Provide for state allocation of NOX
On April 28, 2006, EPA promulgated states must adopt (with certain limited annual allowances from the compliance
FIPs for all states covered by CAIR in changes, if desired) if they want to supplement pool (CSP) using the state’s
order to ensure the emissions reductions participate in the EPA-administered choice of allowed, alternative
required by CAIR are achieved on trading programs. methodologies; or
schedule. Each CAIR state is subject to With two exceptions, only states that 4. Allow units that are not otherwise
the FIPs until the state fully adopts, and choose to meet the requirements of CAIR units to opt individually into the
EPA approves, a SIP revision meeting CAIR through methods that exclusively CAIR SO2, NOX annual, or NOX ozone
the requirements of CAIR. The CAIR regulate EGUs are allowed to participate season trading programs under the opt-
FIPs require EGUs to participate in the in the EPA-administered trading in provisions in the model rules.
EPA-administered CAIR SO2, NOX programs. One exception is for states An approved CAIR full SIP revision
annual, and NOX ozone season trading that adopt the opt-in provisions of the addressing EGUs’ SO2, NOX annual, or
programs, as appropriate. The CAIR FIP model rules to allow non-EGUs NOX ozone season emissions will
SO2, NOX annual, and NOX ozone individually to opt into the EPA- replace the CAIR FIP for that state for
season trading programs impose administered trading programs. The the respective EGU emissions.
essentially the same requirements as, other exception is for states that include V. Analysis of New York’s CAIR SIP
and are integrated with, the respective all non-EGUs from their NOX SIP Call Submittal
CAIR SIP trading programs. The trading programs in their CAIR NOX
integration of the FIP and SIP trading ozone season trading programs. New York has submitted regulations
programs means that these trading in its SIP revision, Title 6 of the New
IV. What Are the Types of CAIR SIP
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programs will work together to create York Code of Rules and Regulations
effectively a single trading program for Submittals? (NYCRR), Parts 243, 244, and 245, to
each regulated pollutant (SO2, NOX States have the flexibility to choose implement the CAIR Cap-and-Trade
annual, and NOX ozone season) in all the type of control measures they will Programs in New York. The SIP revision
states covered by the CAIR FIP or SIP use to meet the requirements of CAIR. also addresses outstanding obligations
trading program for that pollutant. The EPA anticipates that most states will under 110(a)(2)(D)(i). The acceptability

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55726 Federal Register / Vol. 72, No. 189 / Monday, October 1, 2007 / Proposed Rules

of New York’s submittal is discussed subparts A through I. While the fired boiler or stationary, fossil-fuel-
below. provisions of the NOX annual and fired combustion turbine serving at any
ozone-season model rules are similar, time, since the later of November 15,
A. State Budgets for Allowance
there are some differences. For example, 1990 or the start-up of the unit’s
Allocations
the NOX annual model rule (but not the combustion chamber, a generator with
The CAIR NOX annual and ozone NOX ozone season model rule) provides nameplate capacity of more than 25
season budgets were developed from for a Compliance Supplement Pool MWe producing electricity for sale.
historical heat input data for EGUs. (CSP), which is discussed below and States have the option of bringing in,
Using these data, EPA calculated annual under which allowances may be for the CAIR NOX ozone season program
and ozone season regional heat input awarded for early reductions of NOX only, those units in the State’s NOX SIP
values, which were multiplied by 0.15 annual emissions. As a further example, Call trading program that are not EGUs
lb/mmBtu, for phase 1, and 0.125 lb/ the NOX ozone season model rule as defined under CAIR. EPA advises
mmBtu, for phase 2, to obtain regional reflects the fact that the CAIR NOX states exercising this option to add the
NOX budgets for 2009–2014 and for ozone season trading program replaces applicability provisions in the State’s
2015 and thereafter, respectively. EPA the NOX SIP Call trading program after NOX SIP Call trading rule for non-EGUs
derived the State NOX annual and ozone the 2008 ozone season and is to the applicability provisions in 40 CFR
season budgets from the regional coordinated with the NOX SIP Call 96.304 of EPA’s model trading rule.
budgets using state heat input data program. The NOX ozone season model Under this option, the CAIR NOX ozone
adjusted by fuel factors. rule provides incentives for early season program must cover all large
The CAIR State SO2 budgets were emissions reductions by allowing industrial boilers and combustion
derived by discounting the tonnage of banked, pre-2009 NOX SIP Call turbines, as well as any small EGUs (i.e.
emissions authorized by annual allowances to be used for compliance in units serving a generator with a
allowance allocations under the Acid the CAIR NOX ozone-season trading nameplate capacity of 25 MWe or less)
Rain Program under title IV of the CAA. program. In addition, states have the that the state currently requires to be in
Under CAIR, each allowance allocated option of continuing to meet their NOX the NOX SIP Call trading program.
in the Acid Rain Program for the years SIP Call requirement by participating in
in phase 1 of CAIR (2010 through 2014) New York has chosen to expand the
the CAIR NOX ozone season trading applicability provisions of the CAIR
authorizes 0.5 ton of SO2 emissions in program and including all their NOX SIP
the CAIR trading program, and each NOX ozone season trading program to
Call trading sources in that program. include all non-EGUs currently in the
Acid Rain Program allowance allocated The provisions of the CAIR SO2
for the years in phase 2 of CAIR (2015 State’s NOX SIP Call trading program.
model rule are also similar to the
and thereafter) authorizes 0.35 ton of provisions of the NOX annual and ozone D. NOX Allowance Allocations
SO2 emissions in the CAIR trading season model rules. However, the SO2
program. Under the NOX allowance allocation
model rule is coordinated with the methodology in the CAIR model trading
In today’s action, EPA is proposing ongoing Acid Rain SO2 cap-and-trade
approval of New York’s SIP revision rules and in the CAIR FIP, NOX annual
program under CAA title IV. As
that adopts the budgets established for and ozone season allowances are
discussed in Section V.A. above, the
the State in CAIR. The Statewide CAIR allocated to units that have operated for
SO2 model rule uses the title IV
NOX ozone season budget is 20,632 tons five years, based on heat input data from
allowances for compliance, with each
of NOX ozone season emissions for a three-year period that are adjusted for
allowance allocated for 2010–2014
phase 1 (2009–2014) and 17,193 tons for fuel type by using fuel factors of 1.0 for
authorizing only 0.50 ton of emissions
phase 2 (2015 and thereafter), plus an coal, 0.6 for oil, and 0.4 for other fuels.
and each allowance allocated for 2015
additional 10,459 tons of NOX ozone The CAIR model trading rules and the
and thereafter authorizing only 0.35 ton
season emissions for both phases 1 and CAIR FIPs also provide a new unit set-
of emissions. Banked title IV allowances
2 to account for NOX ozone season allocated for years before 2010 can be aside from which units without five
emissions from ‘‘non-EGU’’ units from used at any time in the CAIR SO2 cap- years of operation are allocated
the New York NOX SIP Call trading and-trade program, with each such allowances based on the units’ prior
program (see V.B. below). The total NOX allowance authorizing 1 ton of year emissions.
ozone season budget is therefore 31,091 emissions. Title IV allowances are to be States may establish in their SIP
tons of NOX ozone season emissions for freely transferable among sources submissions a different NOX allowance
CAIR phase 1 and 27,652 tons for CAIR covered by the Acid Rain Program and allocation methodology to allocate
phase 2. The Statewide CAIR NOX sources covered by the CAIR SO2 cap- allowances to sources in the states if
annual budget is 45,617 for CAIR phase and-trade program. certain requirements are met. Primarily,
1 and 38,014 for CAIR phase 2 for NOX In the SIP revision, New York chooses the timing of the submission of NOX
annual emissions. The Statewide CAIR to implement its CAIR budgets by annual and NOX ozone season CAIR
SO2 trading program budget is 135,139 requiring EGUs to participate in EPA- units’ allocations to the Administrator
for phase 1 (2010–2014) and 94,597 for administered cap-and-trade programs for recordation and the total amount of
phase 2 (2015 and thereafter) tons for for SO2, NOX annual, and NOX ozone NOX annual and NOX ozone season
SO2 emissions. New York’s SIP revision season emissions. New York has allowances allocated for each control
sets these budgets as the total amount of adopted a full SIP revision that adopts, period must be consistent with the
allowances available for allocation for with certain allowed changes discussed applicable requirements in 40 CFR
each year under the EPA-administered below, the CAIR model cap-and-trade 51.123(o) and (aa). In adopting
cap-and-trade programs. rules for SO2, NOX annual, and NOX alternative NOX allowance allocation
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ozone season emissions. methodologies, states have flexibility


B. CAIR Cap-and-Trade Programs with regard to:
The CAIR NOX annual and ozone- C. Applicability Provisions for Non-EGU 1. The cost to recipients of the
season model trading rules both largely NOX SIP Call Sources allowances, which may be distributed
mirror the structure of the NOX SIP Call In general, the CAIR model trading for free or auctioned;
model trading rule in 40 CFR part 96, rules apply to any stationary, fossil-fuel- 2. The frequency of allocations;

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Federal Register / Vol. 72, No. 189 / Monday, October 1, 2007 / Proposed Rules 55727

3. The basis for allocating allowances, York is allocating ten percent of trading programs. In order to qualify to
which may be distributed, for example, emission allowances to the Energy opt into a CAIR trading program, a unit
based on historical heat input or electric Efficiency and Renewable Energy must vent all emissions through a stack
and thermal output; and Technology (EERET) Account, which and be able to meet monitoring,
4. The use of allowance set-asides will be administered by the New York recordkeeping, and recording
and, if used, their size. State Energy Research and Development requirements of 40 CFR part 75. Owners
New York has chosen to replace the Authority (NYSERDA). Allowances will and operators seeking to opt a unit into
provisions of the CAIR NOX annual and be sold or distributed in order to a CAIR trading program must apply for
ozone-season model trading rules provide funds to be used to support a CAIR opt-in permit. If the unit is
concerning the allocation of NOX annual programs that encourage and foster issued a CAIR opt-in permit, the unit
and ozone-season allowances with its energy efficiency measures and becomes a CAIR unit, is allocated
own methodology. renewable energy technologies and allowances, and must meet the same
New York’s allocation methodology is cover reasonable costs associated with allowance-holding and emissions
based on the highest heat input (EGUs the administration and evaluation of monitoring and reporting requirements
and non-EGUs) experienced by a CAIR these programs by NYSERDA. Any as other units subject to the CAIR
unit for any single control period among EERET allowances that are not sold or trading program. The opt-in provisions
the three most recent control periods, distributed by NYSERDA within 12 provide for two methodologies for
for which data is available. The number months of the initial allocation to the allocating allowances for opt-in units,
of allocations to be allocated to each EERET account, will flow back to the one methodology that applies to opt-in
unit will not exceed the unit’s control New York Department of Environmental units in general and a second
period potential to emit (CPPTE), which Conservation and be redistributed to methodology that allocates allowances
is defined as the maximum capacity of existing CAIR units. only to opt-in units that the owners and
a CAIR NOX unit to emit NOX under its operators intend to repower before
physical and operational design during E. Allocation of NOX Allowances From
Compliance Supplement Pool January 1, 2015.
a control period. All fuel types are
States have several options
weighed evenly without adjustment of The CAIR establishes a compliance
concerning the opt-in provisions. States
heat input data for fuel type. supplement pool (CSP) to provide an
New York is establishing new CAIR may adopt the CAIR opt-in provisions
incentive for early reductions in NOX
NOX Ozone Season and CAIR NOX entirely or may adopt them but exclude
annual emissions. The CSP consists of
annual set-aside accounts for units one of the methodologies for allocating
200,000 CAIR NOX annual allowances
commencing operation on/or after May allowances. States may also decide to
of vintage 2009 for the entire CAIR
1, 2003 for CAIR NOX Ozone Season adopt none of the opt-in provisions.
region, and a state’s share of the CSP is
units, and on/or after January 1, 2003 for based upon the projected magnitude of New York has chosen to allow non-
CAIR NOX annual units. The new unit the emission reductions required by EGUs to opt into the CAIR NOX annual,
set-aside accounts will consist of five CAIR in that state. States may distribute CAIR NOX ozone season, and CAIR SO2
percent of the statewide CAIR NOX CSP allowances, one allowance for each trading programs. New York’s program
ozone season and NOX annual budgets ton of early reduction, to sources that allows for both opt-in allocation
for both phases of the CAIR program. make NOX reductions during 2007 or methods as indicated in the model rule
Therefore, the new unit set-aside 2008 beyond what is required by any for opt-in units in general and for opt-
includes 1,554 CAIR NOX ozone-season applicable state or Federal emission in units that the owners and operators
allowances during phase 1, and 1,382 limitation. States also may distribute intend to repower before January 1,
CAIR NOX ozone-season allowances CSP allowances based upon a 2015.
during phase 2; and 2,280 CAIR NOX demonstration of need for an extension G. Satisfying Section 110(a)(2)(D)(i) of
annual allowances during phase 1 and of the 2009 deadline for implementing the Clean Air Act
1,900 CAIR NOX annual allowances emission controls.
during phase 2 . The CAIR annual NOX model trading Section 110(a)(2)(D)(i) of the CAA
If the number of requests for rule establishes specific methodologies requires each state to submit a SIP that
allowances exceeds the number of for allocations of CSP allowances. States prohibits emissions that could adversely
allowances in the new set-aside may choose an allowed, alternative CSP affect another state. The SIP must
account, New York will reserve allocation methodology to be used to prevent sources in the state from
allowances in the order in which allocate CSP allowances to sources in emitting pollutants in amounts that will:
approvable requests were submitted. the states. (1) Contribute significantly to
Requests will be considered As a result of emission reductions downwind nonattainment of the
simultaneous if received in the same already achieved in New York, the state NAAQS, (2) interfere with maintenance
calendar quarter. Should approvable will not receive any CSP allowances. of the NAAQS, (3) interfere with
requests in excess of the set-aside be Therefore, New York will not modify provisions to prevent significant
submitted in the same quarter, New the provisions of the CAIR NOX annual deterioration of air quality, and (4)
York will reserve allowances for those model trading rule concerning the interfere with efforts to protect
units in an amount proportional to the allocation of allowances from the CSP. visibility.
allowances requested. Any unused EPA issued guidance on August 15,
allowances from the set-aside will flow F. Individual Opt-In Units 2006, relating to SIP submissions to
back to existing sources as additional The opt-in provisions of the CAIR SIP meet the requirements of section
allocations in proportion to their model trading rules allow certain non- 110(a)(2)(D)(i). As discussed below,
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original allocation. EGUs (i.e., boilers, combustion turbines, New York’s SIP revision is consistent
New York will distribute all and other stationary fossil-fuel-fired with the guidance and the statute.
allowances at no cost with the exception devices) that do not meet the New York addresses the first two of
of allowances held in the Energy applicability criteria for a CAIR trading these four elements by complying with
Efficiency and Renewable Energy program to participate voluntarily in the requirements of CAIR. New York
Technology (EERET) Account. New (i.e., opt into) one or more of the CAIR satisfies these requirements either by

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55728 Federal Register / Vol. 72, No. 189 / Monday, October 1, 2007 / Proposed Rules

relying on the existing CAIR FIPs, or unit definitions. New York will revise mandate or significantly or uniquely
through approval of this SIP revision. the definition of ‘‘fossil fuel fired’’ no affect small governments, as described
The third element New York later than the effective date of the NOX in the Unfunded Mandates Reform Act
addresses is prevention of significant CAIR program. of 1995 (Pub. L. 104–4).
deterioration (PSD). In accordance with This proposal also does not have
the guidance issued on August 15, 2006, VI. Proposed Actions tribal implications because it would not
states may continue to rely on their EPA is proposing to approve New have a substantial direct effect on one or
existing Nonattainment New Source York’s full CAIR SIP revision submitted more Indian tribes, on the relationship
Review (NNSR) and PSD permitting on September 17, 2007. Under this SIP between the Federal Government and
programs to prevent significant revision, New York is choosing to Indian tribes, or on the distribution of
deterioration of air quality within their participate in the EPA-administered power and responsibilities between the
own boundaries and in adjacent states. cap-and-trade programs for SO2, NOX Federal Government and Indian tribes,
New York has met the obligation by annual, and NOX ozone season as specified by Executive Order 13175
confirming that the federal PSD and emissions. The SIP revision meets the (65 FR 67249, November 9, 2000). This
state NNSR permitting programs remain applicable requirements in 40 CFR proposed action also does not have
in effect and continue to apply for the 51.123(o) and (aa), with regard to NOX Federalism implications because it
State’s major stationary sources. In annual and NOX ozone season would not have substantial direct effects
addition, New York is currently in the emissions, and 40 CFR 51.124(o), with on the states, on the relationship
rulemaking process for part 231, New regard to SO2 emissions. EPA is between the national government and
Source Review for New and Modified proposing to determine that the SIP as the states, or on the distribution of
Facilities, which will be submitted to revised will meet the requirements of power and responsibilities among the
EPA as expeditiously as possible for CAIR. If EPA approves New York’s SIP various levels of government, as
approval and inclusion in the SIP. Part revision, the Administrator of EPA will specified in Executive Order 13132 (64
231 will include 8-hour ozone and PM2.5 also issue, without providing an FR 43255, August 10, 1999). This action
PSD and NNSR permitting requirements opportunity for a public hearing or an merely proposes to approve a state rule
for major sources in the state. Part 231 additional opportunity for written implementing a Federal standard and
will also use PM10 as a surrogate for public comment, a final rule to will result, as a consequence of that
PM2.5 in the PSD and NNSR programs. withdraw the CAIR FIPs concerning approval, in the Administrator’s
With respect to the fourth element, SO2, NOX annual, and NOX ozone withdrawal of the CAIR FIP. It does not
visibility protection, and consistent season emissions for New York. This alter the relationship or the distribution
with EPA’s August 15, 2006 guidance, it action will delete and reserve 40 CFR of power and responsibilities
is not possible at this time for New York 52.1684 and 40 CFR 52.1685. established in the Clean Air Act. This
to accurately determine whether there is EPA is also proposing that this proposed rule also is not subject to
interference with measures in another revision adequately addresses the Executive Order 13045 ‘‘Protection of
state’s SIP designed to protect visibility. required elements of 110(a)(2)(D)(i) with Children from Environmental Health
New York will need to address the the exception of the visibility protection Risks and Safety Risks’’ (62 FR 19885,
visibility protection requirements once requirement. This requirement will be April 23, 1997), because it would
the regional haze SIP is completed and re-evaluated after the regional haze SIP approve a state rule implementing a
submitted to EPA in December of 2007. is completed and submitted to EPA in Federal Standard.
December 2007. In reviewing SIP submissions, EPA’s
H. What Other Clarifications Should
VII. Statutory and Executive Order role is to approve state choices,
New York Make in Its Program?
Reviews provided that they meet the criteria of
New York should incorporate the the Clean Air Act. In this context, in the
definition of ‘‘fossil-fuel fired’’ under Under Executive Order 12866 (58 FR absence of a prior existing requirement
the NOX SIP Call into its CAIR NOX 51735, October 4, 1993), this action is for the state to use voluntary consensus
ozone season regulation. This revision not a ‘‘significant regulatory action’’ and standards (VCS), EPA has no authority
should specify that the definition therefore is not subject to review by the to disapprove a SIP submission for
applies only for purposes of Office of Management and Budget. For failure to use VCS. It would thus be
determining applicability for units that this reason, this action is also not inconsistent with applicable law for
are not CAIR NOX Ozone Season units subject to Executive Order 13211, EPA, when it reviews a SIP submission,
under the applicability criteria in 40 ‘‘Actions Concerning Regulations That to use VCS in place of a SIP submission
CFR 96.304. In the final New York CAIR Significantly Affect Energy Supply, that otherwise satisfies the provisions of
ozone season regulation, the definition Distribution, or Use’’ (66 FR 28355, May the Clean Air Act. Thus, the
for ‘‘Fossil fuel fired’’ contained in 243– 22, 2001). This action merely proposes requirements of section 12(d) of the
1.2(43)(ii), does not include this cross- to approve state law as meeting Federal National Technology Transfer and
reference to the applicability in 243– requirements and would impose no Advancement Act of 1995 (15 U.S.C.
1.4(a)(3). additional requirements beyond those 272 note) do not apply. This proposed
New York agrees with EPA’s imposed by state law. Accordingly, the rule would not impose an information
interpretation of the definition of ‘‘fossil Administrator certifies that this collection burden under the provisions
fuel fired.’’ As indicated in the proposed rule would not have a of the Paperwork Reduction Act of 1995
September 17, 2007 SIP revision, New significant economic impact on a (44 U.S.C. 3501 et seq.).
York has committed to revise the substantial number of small entities
definition of ‘‘Fossil fuel fired’’ in its under the Regulatory Flexibility Act (5 List of Subjects in 40 CFR Part 52
jlentini on PROD1PC65 with PROPOSALS

NOX CAIR ozone season regulation as U.S.C. 601 et seq.). Because this action Environmental protection, Air
discussed above. New York has proposes to approve pre-existing pollution control, Electric utilities,
committed to modify the definition requirements under state law and would Intergovernmental relations, Nitrogen
simultaneous with revision of its CAIR not impose any additional enforceable oxides, Ozone, Particulate matter,
regulations to address EPA’s proposed duty beyond that required by state law, Reporting and recordkeeping
rulemaking revising the cogeneration it does not contain any unfunded requirements, Sulfur dioxide.

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Federal Register / Vol. 72, No. 189 / Monday, October 1, 2007 / Proposed Rules 55729

Authority: 42 U.S.C. 7401 et seq. Animal Importation Regulations, 1600 DEPARTMENT OF COMMERCE
Dated: September 21, 2007. Clifton Road, NE., (E03), Atlanta, GA
Alan J. Steinberg, 30333. Comments will be available for National Oceanic and Atmospheric
public inspection Monday through Administration
Regional Administrator, Region 2.
[FR Doc. E7–19346 Filed 9–28–07; 8:45 am] Friday, except for legal holidays, from 9
a.m. until 5 p.m. at 1600 Clifton Road, 50 CFR Part 635
BILLING CODE 6560–50–P
NE., Atlanta, GA 30333. Please call [Docket No. 070803437–7439–01]
ahead to 1–866–694–4867 and ask for a
representative in the Division of Global RIN 0648–AV93
DEPARTMENT OF HEALTH AND
Migration and Quarantine to schedule Atlantic Highly Migratory Species;
HUMAN SERVICES
your visit. Atlantic Commercial Shark
Centers for Disease Control and Written comments may also be Management Measures
Prevention submitted electronically via the Internet
at http://www.regulations.gov or via e- AGENCY: National Marine Fisheries
42 CFR Part 71 mail to Service (NMFS), National Oceanic and
animalimportcomments@cdc.gov. Atmospheric Administration (NOAA),
RIN 0920–AA03 Commerce.
Electronic comments may be viewed at
Foreign Quarantine Regulations, http://www.cdc.gov/publiccomments/. ACTION: Proposed rule; request for
Proposed Revision of HHS/CDC comments.
An electronic copy of the rule can be
Animal-Importation Regulations found at: http://www.regulations.gov. SUMMARY: This proposed rule would
AGENCY: Centers for Disease Control and establish the 2008 first trimester season
FOR FURTHER INFORMATION CONTACT:
Prevention (CDC), Department of Health quotas for large coastal sharks (LCS),
Robert Mullan, M.D., Centers for Disease
and Human Services (HHS). small coastal sharks (SCS), and pelagic
Control and Prevention, Division of
ACTION: Advance notice of proposed sharks based on over- or underharvests
Global Migration and Quarantine, (404)
rulemaking; extension of public from the 2007 first trimester season.
639–4537. This proposed action would provide
comment period.
SUPPLEMENTARY INFORMATION: On July advance notice of quotas and season
SUMMARY: On July 31, 2007, CDC 31, 2007, CDC published an advanced dates for the Atlantic commercial shark
published an advanced notice of notice of proposed rulemaking fishery. It would also ensure the
proposed rulemaking (ANPRM), (ANPRM), ‘‘Foreign Quarantine measures in this action are in place
‘‘Foreign Quarantine regulations, Regulations, Proposed Revision of HHS/ until they are replaced by those
Proposed Revision of HHS/CDC Animal- CDC Animal-Importation Regulations’’ implemented under Amendment 2 to
Importation Regulations,’’ (72 FR 41676) (72 FR 41676). In that Federal Register the Highly Migratory Species (HMS)
to begin the process of revising HHS/ Notice, CDC provided a 60-day public Fisheries Management Plan (FMP) even
CDC Animal Importation Regulations comment period. Written comments if Amendment 2 is finalized after the
that cover dogs and cats (42 CFR 71.51), were to be received on or before October start of the second trimester season
and to consider extending these 1, 2007. Since the Notice was published, (May 1, 2008). As such, this action
regulations to cover domesticated CDC has received requests asking for an constitutes the regulatory action to
ferrets. The ANPRM will also address extension of the public comment period determine quotas and season lengths for
the importation of African rodents (42 beyond the 60 days originally provided. LCS, SCS and pelagic sharks for the
CFR 71.56) into the United States. HHS/ These requests have been made by 2008 second trimester season.
CDC is also considering the need for national groups that represent DATES: Comments on this proposed rule
additional regulations to prevent the organizations that will be affected by the may be submitted at the public hearing
introduction of zoonotic diseases into proposed rule. In consideration of these (oral or written), via email, mail, or fax
the United States. CDC provided a 60- concerns, CDC is extending the by October 31, 2007.
day pubic comment period, with written A public hearing will be held from 7–
comment period by 60 days (until
comments to be received on or before 9 p.m. on October 3, 2007.
December 1, 2007) to give all interested
October 1, 2007. CC has received ADDRESSES: You may submit comments,
organizations and persons the
requests asking for an extension of the identified by [0648–AV93], by any one
opportunity to comment fully.
comment period. In consideration of of the following methods:
these requests, CDC is extending the Commenters should be aware that
• Electronic Submissions: Submit all
comment period an additional 60 days, CDC’s general policy for comments and
electronic public comments via the
with a new closing date of December 1, other submissions from members of the
Federal eRulemaking Portal http://
2007. public is to make these submissions
www.regulations.gov
DATES: Written comments on the available for public viewing on the
• Fax: 301–713–1917, Attn:[LeAnn
advance notice of proposed revision of Internet as they are received and
Southward Hogan]
HHS/CDC Animal Importation without change, including any personal • Mail: 1315 East West Highway,
Regulations must be submitted on or identifiers or contact information. Silver Spring, MD 20910
before December 1, 2007. Please refer to CDC has posted the ANPRM and Please mark on the outside of the
SUPPLEMENTARY INFORMATION for related materials on its Web site at envelope ‘‘Comments on Proposed Rule
additional information. http://www.cdc.gov/ncidod.dq. for 2008 First Trimester Season Lengths
jlentini on PROD1PC65 with PROPOSALS

ADDRESSES: Written comments may Dated: September 20, 2007. and Quotas’’.
submitted to the following address: U.S. Instructions: All comments received
Michael O. Leavitt,
Department of Health and Human are a part of the public record and will
Services, Centers for Disease Control Secretary. generally be posted to http://
and Prevention, Division of Global [FR Doc. 07–4852 Filed 9–27–07; 12:07 pm] www.regulations.gov without change.
Migration and Quarantine, ATTN: BILLING CODE 4163–18–M All Personal Identifying Information (for

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