Recently, Donald Trump issued four executive orders extending Clean Air Act – NESHAP compliance deadlines for a number of specific facilities that provide medical equipment sterilization, burn coal to make electricity, manufacture certain synthetic chemicals, or mine taconite. The big headline is the EPA announcing plans to rescind the ‘endangerment finding’ that allows climate regulation. However, at the same time coal combustion residuals rules are being changed. This Regulatory Alert contains language from the four executive orders, which includes a list of the specific facilities that have been granted extensions to comply. In each order, the President finds that the technology required is not available and that it is in the interest of national security to provide the extensions.
Normally there is a notice-and-comment rulemaking under the Administrative Procedures Act to extend deadlines. If the courts allow the President to continue invoking national security we may see more such executive orders modifying regulations. Follow SCS Engineers on social media to read our SCS Technical Bulletins, which summarize regulatory proposals and changes for public and private entities.
As the regulatory landscape continues to evolve, proactive planning is critical to preserving flexibility, value, and mitigating risk. We encourage businesses to consult with environmental engineers and consultants and their legal counsel to navigate these changes for continued sustainable success.
NESHAP – EtO Rule
On April 5, 2024, the Environmental Protection Agency published a final rule, pursuant to section 112 of the Clean Air Act, 42 U.S.C. 7412, titled National Emission Standards for Hazardous Air Pollutants: Ethylene Oxide Emissions Standards for Sterilization Facilities Residual Risk and Technology Review, 89 FR 24090 (EtO Rule). The EtO Rule imposes new emissions-control requirements on commercial sterilization facilities.
Certain stationary sources subject to the EtO Rule, as identified in Annex I of this proclamation, are exempt from compliance with the EtO Rule for a period of 2 years beyond the EtO Rule’s relevant compliance dates (Exemption). This Exemption applies to all compliance deadlines established under the EtO Rule applicable to the stationary sources listed in Annex I, with each such deadline extended by 2 years from the date originally required for such deadline. The effect of this Exemption is that, during each such 2-year period, these stationary sources will remain subject to the emissions and compliance obligations in effect prior to the issuance of the EtO Rule. In support of this Exemption, I (Trump) hereby make the following determinations:
The technology to implement the EtO Rule is not available. Such technology does not exist in a commercially viable form sufficient to allow implementation of and compliance with the EtO Rule by the compliance dates set forth in the EtO Rule. It is in the national security interests of the United States to issue this Exemption for the reasons stated in paragraphs 1 and 3 of this proclamation. Link
ANNEX I
International Sterilization Laboratory
Affected Facility/Source: Groveland Facility, Florida
Becton Dickinson and Company
Affected Facility/Source:
KPR US, LLC d/b/a Kendall Patient Recovery
Affected Facility/Source: Augusta Facility, Georgia
MedXL, LLC
Affected Facility/Source: Ardmore Facility, Oklahoma
Aligned Medical Solutions
Affected Facility/Source:
Professional Contract Sterilization, Inc.
Affected Facility/Source: Taunton Facility, Massachusetts
Sterigenics U.S., LLC
Affected Facility/Source:
Cosmed Group, Inc.
Affected Facility/Source:
Arthrex
Affected Facility/Source: Ave Maria Facilities (2), Florida
Cook Incorporated
Affected Facility/Source: Ellettsville North Facility, Indiana
ALCON Research Ltd.
Affected Facility/Source: ALCON Advance Optic Device Center, North Facility, West Virginia
Affected Facility/Source: Allentown Manufacturing Facility, Pennsylvania
DeRoyal Industries, Inc.
Affected Facility/Source:
Sterilization Services of Georgia, Inc.
Affected Facility/Source: Atlanta Facility, Georgia
Sterilization Services of Virginia, Inc.
Affected Facility/Source: Richmond Facility, Virginia
Trinity Sterile, Inc.
Affected Facility/Source: Trinity Sterile, Inc., Maryland
LivaNova USA, Inc.
Affected Facility/Source: LivaNova Arvada Facility, Colorado
Covidien LP
Affected Facility/Source: Covidien North Haven Facility, Connecticut
Medtronic Xomed LLC
Affected Facility/Source: Jacksonville Facility, Florida
Medtronic Puerto Rico Operations Company, Inc.
Affected Facility/Source:
Advanced Product Solutions
Affected Facility/Source: Columbia Facility, Alabama
Affected Facility/Source: Salinas, Puerto Rico
Steri-Tech, Inc.
NESHAP – MATS Rule
On May 7, 2024, the Environmental Protection Agency published a final rule, pursuant to section 112 of the Clean Air Act, 42 U.S.C. 7412, titled National Emissions Standards for Hazardous Air Pollutants: Coal- and Oil-Fired Electric Utility Steam Generating Units Review of the Residual Risk and Technology Review, 89 FR 38508 (Rule), which amended the preexisting Mercury and Air Toxics Standards (MATS) rule to make it more stringent. The Rule’s effective date was July 8, 2024. Id. Its compliance date is July 8, 2027, 3 years after its effective date. See 89 FR 38519.
Certain stationary sources subject to the Rule, as identified in Annex I of this proclamation, are exempt from compliance with the Rule for a period of 2 years beyond the Rule’s compliance date — i.e., for the period beginning July 8, 2027, and concluding July 8, 2029 (Exemption). The effect of this Exemption is that, during this 2-year period, these stationary sources are subject to the compliance obligations that they are currently subject to under the MATS as the MATS existed prior to the Rule. In support of this Exemption, I (Trump) hereby make the following determinations:
a. The technology to implement the Rule is not available. Such technology does not exist in a commercially viable form sufficient to allow implementation of and compliance with the Rule by its compliance date of July 8, 2027.
b. It is in the national security interests of the United States to issue this Exemption for the reasons stated in paragraphs 1 and 3 of this proclamation. Link
ANNEX I
Affected Facility/Source: Cardinal Unit 1, Unit 2, and Unit 3, Ohio
Tri-State Generation and Transmission Association
Affected Facility/Source: Craig Generating Station Unit 2 and Unit 3, Colorado
City Water, Light and Power
Affected Facility/Source: Dallman Unit 4, Illinois
Cardinal Operating Company
NESHAP – HON Rule
On May 16, 2024, the Environmental Protection Agency published a final rule titled New Source Performance Standards for the Synthetic Organic Chemical Manufacturing Industry and National Emission Standards for Hazardous Air Pollutants for the Synthetic Organic Chemical Manufacturing Industry and Group I & II Polymers and Resins Industry, 89 FR 42932 (HON Rule). The HON Rule imposes new emissions-control requirements on certain chemical manufacturing facilities, some of which were promulgated pursuant to section 112 of the Clean Air Act, 42 U.S.C. 7412.
Certain stationary sources subject to the HON Rule, as identified in Annex I of this proclamation, are exempt from compliance with those aspects of the HON Rule that were promulgated under section 112 of the Clean Air Act, 42 U.S.C. 7412 for a period of 2 years beyond the HON Rule’s relevant compliance dates (Exemption). This Exemption applies to all compliance deadlines established under the HON Rule applicable to the stationary sources listed in Annex I, with each such deadline extended by 2 years from the date originally required for such deadline. The effect of this Exemption is that, during each such 2-year period, these stationary sources will be subject to the emissions and compliance obligations that they are currently subject to under the applicable standard as that standard existed prior to the HON Rule. In support of this Exemption, I (Trump) hereby make the following determinations:
a. The technology to implement the HON Rule is not available. Such technology does not exist in a commercially viable form sufficient to allow implementation of and compliance with the HON Rule by the compliance dates in the HON Rule.
b. It is in the national security interests of the United States to issue this Exemption for the reasons stated in paragraphs 1 and 3 of this proclamation. Link
ANNEX I
NESHAP – Taconite Rule
On March 6, 2024, the Environmental Protection Agency published a final rule, pursuant to section 112 of the Clean Air Act, 42 U.S.C. 7412, titled National Emission Standards for Hazardous Air Pollutants: Taconite Iron Ore Processing, 89 FR 16408 (Taconite Rule). The Taconite Rule imposes new emissions-control requirements on taconite iron ore processing facilities.
Certain stationary sources subject to the Taconite Rule, as identified in Annex I of this proclamation, are exempt from compliance with the Taconite Rule for a period of 2 years beyond the Taconite Rule’s relevant compliance dates (Exemption).The technology to implement the Taconite Rule is not currently available, and it is necessary to issue this Exemption now because long design, permitting, and construction lead times mean that regulated entities will not be able to meet the relevant compliance deadlines absent compliance relief. This Exemption applies to all compliance deadlines established under the Taconite Rule, with each such deadline extended by 2 years from the date originally required for such deadline. The effect of this Exemption is that, during each such 2-year period, these stationary sources are subject to the emissions and compliance obligations that they are currently subject to under the applicable standard as that standard existed prior to the Taconite Rule. In support of this Exemption, I (Trump) hereby make the following determinations:
a. The technology to implement the Taconite Rule is not available. Such technology does not exist in a commercially viable form sufficient to allow implementation of and compliance with the Taconite Rule by the compliance dates in the Taconite Rule.
b. It is in the national security interests of the United States to issue this Exemption for the reasons stated in paragraphs 1 and 3 of this proclamation. Link
ANNEX I
CERLCA Jurisdiction and PRP Definition
A recent Meyers | Nave publication discusses the Supreme Court’s April 20, 2020 decision in Atlantic Richfield Co. v. Christian. The firm suggests the decision adds another layer of complexity to the Comprehensive Environmental Response, Compensation, and Liability Act – CERCLA, liability issue. The decision opens the door for state courts to hear claims that challenge EPA-defined approved clean-ups and has the potential to expand the “potentially responsible party” – PRP class for current “owners” of a “facility.”
The Court’s decision introduces new considerations into CERCLA liability analysis and settlement strategy. The Court’s holding will have many immediate ramifications, including the following:
Clean Water Act Developments
In April, the courts and federal agencies announced major developments significantly affecting regulation under the Clean Water Act – CWA and how the CWA may be applied in the future.
Each of these developments could have far-reaching implications for regulations under the CWA. Assuming the 2020 Rule withstands legal challenges, it is seen as favorable for industry and other regulated entities, while the two judicial decisions are perceived as problematic for such entities. Davis Graham & Stubbs describes each development in more detail in the firm’s recently published article.
MATS Supplemental Cost Finding and Clean Air Act RTR
On April 16, 2020, the U.S. Environmental Protection Agency (EPA) finalized the 2016 Supplemental Cost Finding for the Mercury and Air Toxics Standards – MATS, for coal- and oil-fired power plants, consistent with a 2015 U.S. Supreme Court decision. The agency also completed the Clean Air Act-required residual risk and technology review – RTR, for MATS. According to the EPA power plants are already complying with the standards that limit emissions of mercury and other hazardous air pollutants (HAPs), and this final action leaves those emission limits in place and unchanged.
However, with this final action, EPA is not removing coal- and oil-fired power plants from the list of affected source categories for regulation under section 112 of the Clean Air Act, consistent with existing case law. Those power plants remain subject to and must comply with the mercury emissions standards of the MATS rule, which remains fully in effect notwithstanding the revised cost-benefit analysis.
In addition, EPA has completed the required RTR for MATS and determined no changes to the rule are needed to further reduce residual risk. The RTR satisfies the statutory requirements set out by Congress in the Clean Air Act. More information is available on EPA’s Mercury and Air Toxics Standards website.
Proposal to Retain NAAQS for Particulate Matter
On April 14, 2020, the U.S. Environmental Protection Agency – EPA announced its proposal to retain, without changes, the National Ambient Air Quality Standards – NAAQS for particulate matter (PM) including both fine particles (PM2.5) and coarse particles (PM10).
According to the EPA because of Clean Air Act programs and efforts by state, local and tribal governments, as well as technological improvements, average PM2.5 concentrations in the U.S. fell by 39 percent between 2000 and 2018 while average PM10 concentrations fell by 31 percent during the same period.
EPA states it is following the principles established to streamline the NAAQS review process and to fulfill the statutory responsibility to complete the NAAQS review within a 5-year timeframe. More information about the rule can be found at EPA’s: National Ambient Air Quality Standards (NAAQS) for Particulate Matter (PM) Pollution website.
EPA will accept public comment for 60 days after the proposed standards are published in the Federal Register. EPA plans to issue the final standards by the end of 2020.
U.S. Greenhouse Gas Emissions and Sinks Inventory Announcement
The Environmental Protection Agency’s annual report, “Inventory of U.S. Greenhouse Gas Emissions and Sinks: 1990-2018,” provides a comprehensive look at U.S. emissions and removals by source, economic sector, and greenhouse gas – GHG. The gases covered by this inventory include carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride, and nitrogen trifluoride. The inventory also calculates carbon dioxide emissions that are removed from the atmosphere by “sinks,” e.g., through the uptake of carbon and storage in forests, vegetation, and soils.
On April 13, 2020, the EPA’s comprehensive annual report on nationwide GHG emissions released to the public. It shows that since 2005, national GHG emissions have fallen by 10%, and power sector emissions have fallen by 27%.
“While there was a small rise in emissions due to weather and increased energy demand from the prior year in this report, based on preliminary data, we expect next year’s report to show that the long-term downward trend will continue,” said EPA Administrator Andrew Wheeler.
According to the announcement, annual trends are responsive to weather variability and economic conditions. Year-over-year, national GHG emissions were 3% higher in 2018 than the prior year, due to multiple factors, including increased energy consumption from greater heating and cooling needs due to a colder winter and hotter summer in 2018 compared to 2017.
According to environmental and research groups, driving the drop’s long-term downward trend is chiefly due to a shift away from coal power generation. The 2019 drop was driven by a nearly 10 percent fall in emissions from the power sector, the biggest decline in decades [Rhodium Climate Service]. Utilities are closing coal plants in favor of cheaper natural gas and renewable energy.
Emissions from industry rose slightly last year, and are now greater than those from coal-fired power plants, most driven by a strong economy. Emissions from buildings were up, and emissions from other sectors of the economy collectively grew by more. The shift to lower-carbon energy is largely restricted to the electricity sector, and in order to meet international and state goals, state policies continue to target other sectors that collectively make up a majority of U.S. emissions.
More information is available at EPA’s website Inventory of U.S. Greenhouse Gas Emissions and Sinks.
For more information about potential impacts to waste, energy, or manufacturing please contact your nearest SCS Engineer’s office or your Project Manager.