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1 1 (September 25, 2018)

handle is hein.crs/govcjvs0001 and id is 1 raw text is: ~* or 101 ' Researh Servi kM- EPA Proposes New Permitting Test for Power Plant Modifications September 25, 2018 In August, 2018, the U.S. Environmental Protection Agency (EPA) proposed the Affbrdabie Clean Energy (ACE) Rule to address greenhouse gas (GHG) emissions from existing coal-fired power plants, replacing the Obama Administration's Clean Power Plan. (See this companion Sidebar for discussion of the proposed ACE Rule.) As part of the ACE Rule, EPA proposed a new test for determining whether New Source Review (NSR) would apply to a modification of an existing power plant. According to EPA, by requiring preconstruction permits for modifications that would increase emissions above a regulatory threshold, NSR helps to assure that new or modified industrial facilities are as clean as possible and advances in pollution control occur concurrently with industrial expansion. Currently, NSR only applies to modifications that significantly increase annual emissions. Under the proposed ACE Rule, NSR would only apply to power plant modifications that would increase hourly pollutant emissions rates regardless of whether they would increase annual emissions. (H.R. 3128 and S. 2761 include proposals for similar NSR hourly rate applicability tests.) The proposed ACE Rule hourly emissions rate test raises legal questions regarding the scope of EPA's discretion to define what types of modifications are subject to NSR. This Sidebar discusses EPA's legal justification for its proposed hourly emissions rate test and legal challenges to EPA's previous efforts to reform the NSR permitting program by limiting the modifications that would be subject to NSR. Background on the Clean Air Act's New Source Review Permitting Program The CAA regulates newly constructed or modified stationary sources of air pollution, such as manufacturing facilities and power plants, through the NSR permitting program and the New Source Performance Standards (NSPSs). Under the NSR program, a permit is required before construction may begin on a new stationary source that has the potential to emit more than a specified level of regulated pollutants. A permit is also required before an existing stationary source may be modified. Section I I(a)(4) of the CAA defines modification as any physical change in, or change in the method of operation of, a stationary source which increases the amount of any air pollutant emitted by such source or which results in the emission of any air pollutant not previously emitted. This statutory definition governs both NSPSs and NSR programs, which impose technology-based emission limits and other air pollution controls. Congressional Research Service https://crsreports.congress.gov LSB10199 CRS Lega Sidebar Prepaed for Membei-s and Cornnittees o4 Co nqqress ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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