ENVIRONMENTAL PROTECTION AGENCY
<CFR>40 CFR Part 52</CFR>
<DEPDOC>[EPA-R05-OAR-2021-0761; FRL-12258-01-R5]</DEPDOC>
<SUBJECT>
Air Plan Approval; Indiana; Indiana NO
<E T="0735">X</E>
Emissions Monitoring
</SUBJECT>
<HD SOURCE="HED">AGENCY:</HD>
Environmental Protection Agency (EPA).
<HD SOURCE="HED">ACTION:</HD>
Proposed rule.
<SUM>
<HD SOURCE="HED">SUMMARY:</HD>
The Environmental Protection Agency (EPA) is proposing to approve under the Clean Air Act (CAA) a request from the Indiana Department of Environmental Management (IDEM) to revise the Indiana State Implementation Plan (SIP) to incorporate revisions to nitrogen oxides (NO
<E T="52">X</E>
) emissions monitoring, reporting and record keeping requirements for new and existing large non-Electric Generating Units (non-EGUs) affected by the NO
<E T="52">X</E>
SIP Call. This SIP revision would approve monitoring, reporting, and record keeping requirements that are permissible as alternatives under Federal rules for these sources for purposes of the NO
<E T="52">X</E>
SIP Call.
</SUM>
<EFFDATE>
<HD SOURCE="HED">DATES:</HD>
Comments must be received on or before May 21, 2025.
</EFFDATE>
<HD SOURCE="HED">ADDRESSES:</HD>
Submit your comments, identified by Docket ID No. EPA-R05-OAR-2021-0761 at
<E T="03">https://www.regulations.gov,</E>
or via email to
<E T="03">arra.sarah@epa.gov.</E>
For comments submitted at
<E T="03">Regulations.gov</E>
, follow the online instructions for submitting comments. Once submitted, comments cannot be edited or removed from the docket. EPA may publish any comment received to its public docket. Do not submit to EPA's docket at
<E T="03">https://www.regulations.gov</E>
any information you consider to be Confidential Business Information (CBI), Proprietary Business Information (PBI), or other information whose disclosure is restricted by statute. Multimedia submissions (audio, video, etc.) must be accompanied by a written comment. The written comment is considered the official comment and should include discussion of all points you wish to make. EPA will generally not consider comments or comment contents located outside of the primary submission (
<E T="03">i.e.,</E>
on the web, cloud, or other file sharing system). For additional submission methods, please contact the person identified in the
<E T="02">FOR FURTHER INFORMATION CONTACT</E>
section. For the full EPA public comment policy, information about CBI, PBI, or multimedia submissions, and general guidance on making effective comments, please visit
<E T="03">https://www.epa.gov/dockets/commenting-epa-dockets.</E>
<FURINF>
<HD SOURCE="HED">FOR FURTHER INFORMATION CONTACT:</HD>
Cecilia Magos, Air and Radiation Division (AR18J), Environmental Protection Agency, Region 5, 77 West Jackson Boulevard, Chicago, Illinois 60604, (312) 886-7336,
<E T="03">magos.cecilia@epa.gov.</E>
The EPA Region 5 office is open from 8:30 a.m. to 4:30 p.m., Monday through Friday, excluding Federal holidays.
</FURINF>
<SUPLINF>
<HD SOURCE="HED">SUPPLEMENTARY INFORMATION:</HD>
Throughout this document whenever “we,” “us,” or “our” is used, we mean EPA.
<HD SOURCE="HD1">I. Background of SIP Submission</HD>
CAA section 110(a)(2)(D)(i)(I), often called the “good neighbor” provision, requires each State to include provisions in its SIP to prohibit emissions from within that State that will significantly contribute to nonattainment or interfere with maintenance of a National Ambient Air Quality Standard (NAAQS) in a downwind State. On October 27, 1998 (63 FR 57356), EPA published the NO
<E T="52">X</E>
SIP Call, which addressed the good neighbor provision for the 1979 ozone NAAQS by requiring eastern States, including Indiana, to submit SIPs that prohibit excessive emissions of ozone season NO
<E T="52">X</E>
by implementing statewide NO
<E T="52">X</E>
emissions budgets. The NO
<E T="52">X</E>
SIP Call was designed to mitigate the impact of transported NO
<E T="52">X</E>
emissions, one of the precursors of ozone. As a component of the NO
<E T="52">X</E>
SIP Call, EPA developed the NO
<E T="52">X</E>
Budget Trading Program (NBTP), a regional allowance trading program. States could meet most of their obligations under the NO
<E T="52">X</E>
SIP Call by requiring certain sources to participate in the NBTP, namely EGUs with capacity greater than 25 megawatts and large non-EGUs, such as boilers and combustion turbines, with a rated heat input greater than 250 million British thermal units (MMBtu) per hour. The NO
<E T="52">X</E>
SIP Call also identified potential reductions from Portland cement kilns and stationary internal combustion engines.
To implement the requirements of the NO
<E T="52">X</E>
SIP Call for Indiana, on November 8, 2001 (66 FR 56465), EPA published an action approving into the SIP the original version of IDEM's rules at 326 Indiana Administrative Code (IAC) 10-3, which established source-by-source emission rate limits and monitoring requirements for Portland cement kilns and blast furnace gas-fired boilers, and 326 IAC 10-4, which required EGUs and certain other non-EGUs in the State to participate in the NBTP. EPA subsequently approved revised portions of these rules into the SIP. On December 11, 2003 (68 FR 69025), EPA approved Indiana rule revisions that changed the regulatory approach selected by the State for blast furnace gas-fired boilers at two sources, making such units subject to the NBTP at 326 IAC 10-4 instead of the source-by-source emission rate limits at 326 IAC 10-3. On October 1, 2007 (72 FR 55664), EPA approved into the SIP 326 IAC 10-5, which addressed emissions from stationary internal combustion engines, as well as associated revisions to 326 IAC 10-3 and 326 IAC 10-4, in fulfillment of the “Phase II” requirements of the NO
<E T="52">X</E>
SIP Call.
On May 12, 2005 (70 FR 25162), EPA published the Clean Air Interstate Rule (CAIR), which required eastern States, including Indiana, to submit SIPs that prohibited emissions consistent with annual and ozone season NO
<E T="52">X</E>
budgets and annual sulfur dioxide (SO
<E T="52">2</E>
) budgets. CAIR addressed the good
neighbor provision for the 1997 ozone NAAQS and 1997 fine particulate matter (PM
<E T="52">2.5</E>
) NAAQS and was designed to mitigate the impact of transported NO
<E T="52">X</E>
emissions, a precursor of both ozone and PM
<E T="52">2.5</E>
, as well as transported SO
<E T="52">2</E>
emissions, another precursor of PM
<E T="52">2.5</E>
. Upon implementation of the CAIR trading program for ozone season NO
<E T="52">X</E>
in 2009, EPA discontinued administration of the NBTP, but the requirements of the NO
<E T="52">X</E>
SIP Call continued to apply.
To meet the requirements of CAIR, IDEM promulgated rules at 326 IAC 24-1, 326 IAC 24-2, and 326 IAC 24-3 that required EGUs to participate in the CAIR annual SO
<E T="52">2</E>
and annual and ozone season NO
<E T="52">X</E>
trading programs. Participation by EGUs in the CAIR trading program for ozone season NO
<E T="52">X</E>
emissions addressed the State's obligation under the NO
<E T="52">X</E>
SIP Call for those units. IDEM also opted to incorporate large non-EGUs previously regulated under 326 IAC 10-4 into 326 IAC 24-3, to meet the obligations of the NO
<E T="52">X</E>
SIP Call with respect to those units through the CAIR trading program as well. On October 22, 2007 (72 FR 59480) EPA published an action approving portions of 326 IAC 24-1, 326 IAC 24-2, and 326 IAC 24-3 into the Indiana SIP. On November 29, 2010 (75 FR 72956), EPA published an action approving additional sections of and revisions to 326 IAC 24-1, 326 IAC 24-2, and 326 IAC 24-3 into the Indiana SIP, fully addressing the requirements of CAIR, along with associated revisions to 326 IAC 10-3 and 326 IAC 10-4. The approved revision to 326 IAC 10-4 added a “sunset” clause to all requirements for Indiana's large EGUs and large non-EGUs under the NBTP in coordination with the implementation start date for the CAIR ozone season NO
<E T="52">X</E>
trading program.
CAIR was remanded to EPA by the D.C. Circuit in
<E T="03">North Carolina</E>
v.
<E T="03">EPA,</E>
531 F.3d 896 (D.C. Cir. 2008),
<E T="03">modified on reh'g,</E>
550 F.3d 1176. On August 8, 2011 (76 FR 48208), acting on the D.C. Circuit's remand, EPA published the Cross-State Air Pollution Rule (CSAPR), replacing CAIR and addressing the good neighbor provision for the 1997 ozone NAAQS, 1997 PM
<E T="52">2.5</E>
NAAQS, and 2006 PM
<E T="52">2.5</E>
NAAQS. Through Federal Implementation Plans (FIPs), CSAPR required EGUs in eastern States, including Indiana, to meet annual and ozone season NO
<E T="52">X</E>
budgets and annual SO
<E T="52">2</E>
budgets implemented through new trading programs. CSAPR also contained provisions that would sunset CAIR-related obligations on a schedule coordinated with the implementation of the CSAPR compliance requirements. After delays caused by litigation, EPA started implementing the CSAPR trading programs in 2015, simultaneously discontinuing administration of the CAIR trading programs. Participation by a State's EGUs in the CSAPR trading program for ozone season NO
<E T="52">X</E>
generally addressed the State's NO
<E T="52">X</E>
SIP Call obligations for EGUs. However, CSAPR did not initially contain provisions allowing States to incorporate large non-EGUs into that trading program to meet the ongoing requirements of the NO
<E T="52">X</E>
SIP Call for non-EGUs.
On October 26, 2016 (81 FR 74504), EPA published the CSAPR Update to address the good neighbor provision for the 2008 ozone NAAQS by establishing new statewide budgets in eastern States for ozone season NO
<E T="52">X</E>
emissions. As under the original CSAPR, participation by a State's EGUs in the new CSAPR trading program for ozone season NO
<E T="52">X</E>
ge
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