ÿWPCCb !*$‡Aâ-"ÑâæˆBc«3$Ô®0{+Õ3c!¨mL̚ܪWnìFÕäëìÔB z¡)~g¢¥…>V½“5åádäÚýALåþh3Rr~OÍgÐK{AtUô†{Ó^¡aqhòÑ¿\Xª5­ä’ )\Ïš.q›ª¬nË;È+ÇgØÛ侤½b2òIw2YÂtûWþB´¦4ÿ–šÙ™Ë·Ò0E[‘Õó³½ÌHŒ©ãYšªœâ¡'a˜Ê{‹í:™£ë)Üiô1}}rŠ‘ÒéʪÃfÁ|üDçF>åí–;r¬<¥Â±1Tÿc×_¶(€>ìY7غÛs,WúLî,î¥0V]fÆ8°ÍïÅ[^xu$ˆ Ic•±¾‡¿À§@x(Ò¯à™¿®å¬Z¶A“6…ǥˇúú¢c.’ Ì1&I,ò¼¿gÇCñeŽ•OÁDËcF<,M¬ô°ó_°âøwÙðõÑëáÊj–´-µˆ·è bbP]?F8§„¢¸0Þ3dÅT5 !ˆ÷m?B&÷Ûá½JÖ{LqS¨3”/CÛгg"AH,Àm"¥­fZ›šGi6[FTn@‰ ”Þè¬0è“þX­iuÍù!*ãa#!NUNo %½ 0(Ã^ ëw ÷4  $ m& UF= Mƒ 0D‡ MË NÏ 0—DÑ l ( .© 0Æ`× 0ª7 ^ á 0Ní U1N; U>‰ U(Ç }ï 9lá¥†ê˜ 1u‚#‚#‚#‚#m÷#… d% 0ié1é1é1^ R2 ^2Qk4 ¼8 0-cÐ8s 39393939 0w¦CåD 0ŠH 0 ŒH 0´,I 0ÇàI 0Û§J 0ï‚K 0DqL 1‰µMµM^ >N^ JN^ VN^ bN 0AnN³¯N^ bQbQbQ^ nQ4zQ 0T®R 0 hS 0|jSzæS^ `T^ lTlTyxT^ ñ[^ ý[ý[ý[0 \9\ BO\O\O\cl\l\l\l\PÏa^ b^ +b^ 7b˜HP LaserJet 6L (PCL)ðð,,,,ðð0(ÈhH  Z6Times New Roman RegularX($¡¡s¹(c€#zn(:\3|xÿU‹ÿÀÀÀ<4šÛ 9Z+‹.Courier New Regular(3¯$§§Ý ƒ!ÝÝ  Ý(#Ã$òòÚ  Ú0Ú  Úóó bÑÑÑ  ÑÑ8€ ì  XXdÖXXdð8ÑѰ` Ñ  PSD NSR NOxWEPCOnonroutine$nonapplicabilitys:official bccFooteWoolumsBlakelyMathurWestlakeTURBINEREP WPD $Ñ  ÑÑ  ÑÑ ° Ñ` 4:Default TextDefault Text Style<77 4:InitialStyleÔ‡XÔÔ‡XXÔÔ  ÔÔ‡XÔÔ‡XXÔÔ  Ôks¹(c(ÍO$——ÔÿÔòòóóÔÿÔ'Ör Z‹6Times New Roman Regularô\  `&Times New Roman%ä2¼A`Helv sÝ ƒ&¢¼$Ýà  àÚ  Ú3Ú  Ú.€€Ý  ÝÔ_ÔÔ‡Xå$XXXÔThere€is€a€rule€of€law€that€exclusions€from€generally€applicable€regulations€should€be€Ð ° Ðconstrued€narrowly.€€òòSeeóó€òòÔ_ÔAuerÔ_Ô€v.€Robbinsóó,€519€U.S.€452,€462-63€(1986)€(recognizing€general€ruleÐ œì Ðof€construction€for€regulations);€òòsee€alsoóó€òòÔ_ÔOððNealÔ_Ô€v.€Barrow€Countyóó,€980€F.2d€674,€677€(11òòthóó€Cir.Ð ˆØ Ð1993)€(where€statute€does€not€provide€for€exemption,€regulations€providing€for€one€should€beÏnarrowly€construed).ò òó ó€€Similarly,€Ô#†Xå$XXXå$P#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$Ì#ÔÔ‡Xå$XXXå$Ôregulatory€provisions€should€be€read€in€conjunction€with€theÐ `° Ðstatutes€from€which€they€are€derived€and€with€other€similar€provisions.€€Thus,€Ô#†Xå$XXXå$#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ð#ÔÔ‡Xå$XXXå$Ôjust€as€otherÐ L œ Ðexclusions€from€the€new€source€provisions€are€limited€to€narrow€circumstances,€one€should€readÏthe€exclusion€for€routine€activity€similarly.€€òòSeeóó,€òòe.g.óó,€40€C.F.R.€ðððð€52.21(b)(2)(iii)(òòbóó)-(òòeóó)Ð $ t Ð(governing€the€use€of€alternative€fuels€when€the€source€is€ordered€to€do€so€pursuant€to€certainÏfederal€laws,€when€the€fuel€is€derived€from€municipal€solid€waste,€when€allowed€by€existingÏpermit,€or€when€the€source€was€capable€of€accommodating€it€before€January€6,€1975€and€is€notÏprohibited€from€using€it€by€a€subsequent€federally€enforceable€permit€term);€52.21(b)(2)(iii)(òògóó)Ð Ô$  Ð(excluding€changes€in€ownership€of€the€stationary€source).Ô#†Xå$XXXå$2#ÔÔ‡Xå$XXXå$Ô /Ý ƒ&¢¼$Ýà  àÚ  Ú7Ú  Ú.€€Ý  ÝÔ_ÔÔ‡Xå$XXXÔIn€addition€to€the€guidance€discussed€above,€EPAððs€narrow€interpretation€of€theÐ ° Ðexclusion€for€routine€activity€is€evident€from€a€passage€in€itsÔ#†Xå$XXXå$P#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$8#ÔÔ‡)Xå$XXXå$ÔÔ‡)ôå$XX)Xå$Ô€brief€to€the€Seventh€Circuit€inÐ œì ÐòòWEPCOóó.€€That€brief€generally€reiterates€the€points€addressed€in€the€applicability€determinationÐ ˆØ Ðthat€was€the€subject€of€the€litigation,€but€elaborates€with€a€helpful€example.€€EPA€analogizedÏindustrial€facilities€to€automobiles,€emphasizing€that€the€ð ðregulatory€exception€for€routine,Ïmaintenance,€repair€and€replacement€was€meant€to€cover€such€things€as€an€oil€change,€replacing€aÏbroken€headlamp€or€worn-out€tires,€changing€the€Ô_ÔsparkplugsÔ_Ô,€or€other€similar€activities,ðð€ratherÏthan€permitting€the€replacement€of€such€items€as€the€engine€or€transmission.€€Respondentððs€BriefÏat€51,€òòWEPCO€v.€Reillyóó,€893€F.2d€901€(7òòthóó€Cir.€1990)€(Nos.€88-3264€&€89-1339).Ô#†ôòõX)ôå$z#ÔÔ‡ôòõõôòÔÔ#†Xå$Xõôò™#Ô ×Ý ƒ&¢¼$Ýà  àÚ  Ú8Ú  Ú.€€Ý  ÝÔ_ÔThe€UARG€comments€submitted€by€Detroit€Edison€in€support€of€its€applicabilityÏdetermination€request€pertain€to€the€ongoing€ð ðNSR€Reformðð€rulemaking.€€òòSeeóó€61€Fed.€Reg.Ð œì Ð38250€(1996).€€The€views€expressed€here€regarding€the€UARG€Comments€pertain€only€to€thisÏapplicability€determination€and€are€without€prejudice€to€the€ultimate€outcome€of€the€pendingÏrulemaking. Ý ƒ&¢¼$Ýà  àÚ  Ú12Ú  Ú.€€Ý  ÝÔ_ÔThe€submissions€also€refer€to€an€article€written€by€EPA€staff.Ô‡Xå$XXXÔ€This€document€warrantsÐ ° Ðno€discussion;€it€does€not€represent€Agency€opinion,€as€noted€in€the€cited€article.€€òòSeeóó€JamesÐ œì ÐÔ_ÔDeMockerÔ_Ô€et.€al,€Extended€Lifetimes€for€Coal-fired€Power€Plants:€Effect€Upon€Air€Quality,ÏòòPublic€Utilities€Fortnightlyóó€at€30€n.*€(Mar.€20,€1986).€€Moreover,€the€article€is€silent€on€theÐ tÄ Ðquestion€at€issue€here€--€when€certain€activity€is€routine€--€and€therefore€would€not€be€relevantÏeven€if€it€did€speak€for€EPA.Ô#†Xå$XXXå$#ÔÔ‡Xå$XXXå$Ô àÝ ƒ&¢¼$Ýà  àÚ  Ú13Ú  Ú.€€Ý  ÝÔ_ÔIn€addition,€Ô‡Xå$XXXÔthe€UARG€Comments€claim€that€a€ð ðkeyðð€factor€in€the€D.C.€CircuitððsÐ ° Ðrecent€vacatur€of€the€fossil-fuel€boiler€NSPS€for€modified€units€was€that€some€EPA€officesÏviewed€quite€a€bit€of€ð ðmaintenanceðð€activity€as€potentially€covered€by€the€modification€provisionÏand€others€thought€that€few,€if€any,€changes€would€trigger€the€NSPS.€€UARG€Comments€at€3€n.8.€ÏResearch€has€revealed€no€support€for€this€assertion.€€The€courtððs€order€in€the€case€is€brief€andÏdoes€not€suggest€a€reason€for€its€disposition€of€the€matter,€except€that€the€court€believed€that€theÏNSPS€for€modified€boilers€was€ð ðseriously€deficient.ðð€€òòLignite€Energy€Council€v.€EPAóó,€No.Ð 8 ˆ Ð98-1525€(D.C.€Cir.€Sept.€21,€1999).€ÌÝ‚4ÿÝÝ  ÝÝ‚4eÝÝ  ÝÔ#†Xå$XXXå$^#ÔÔ‡Xå$XXXå$Ô3#37=CIQYag­­1.a.i.(1)(a)(i)1)a) cÝ ƒ&¢¼$Ýà  àÚ  Ú11Ú  Ú.€€Ý  ÝÔ_ÔòòÔ‡Xå$XàXÔUnited€States€General€Accounting€Office,€Pub.€No.€GAO/RCED-90-200,Ð ° ÐElectricity€Supply:€Older€Plantsðð€Impact€on€Reliability€and€Air€Qualityóó€(1990).€€Ô#†Xå$XXXå$T#ÔÔ‡Xå$XXXå$Ô { Ý ƒ&¢¼$Ýà  àÚ  Ú1Ú  Ú.€€Ý  ÝÔ_ÔÔ‡Xå$XXXÔDetroit€Edison€suggests€that€the€Dense€Pack€replacement€project€is€also€exempt€fromÐ ° ÐPSD€as€a€pollution€control€project,€Ô  Ôòòsee,€e.g.óó,€40€C.F.R.€ðð€52.21(b)(2)(iii)(òòhóó),€because€the€sourceÐ œì Ðanticipates€that€the€project€will€decrease€the€unitsðð€emissions€on€a€per„unit„of„output€basis.€ÏDecember€10€Letter€at€2;€March€16€Letter€at€3.€€This€claim€is€not€substantiated€in€any€of€DetroitÏEdisonððs€correspondence€with€the€Agency.€€Our€analysis€above€accordingly€focuses€on€DetroitÏEdisonððs€primary€claim€„„€that€its€activity€is€routine.€€At€the€same€time,€however,€EPA€does€notÏwant€to€give€the€impression€that€it€tacitly€agrees€with€Detroit€Edisonððs€claimed€exemption;€to€theÏcontrary,€the€Dense€Pack€replacement€project€does€not€meet€the€definition€of€ð ðpollution€controlÏprojectðð€in€the€regulations.€€òòSeeóó€€40€C.F.R.€ðð52.21(b)(2)(iii)(òòhóó),€(b)(32).€€€Moreover,€virtually€anyÐ  ` Ðmajor€capital€improvement€project€at€an€existing€source€is€designed€in€part€to€increase€efficiencyÏof€production,€and€this€will€in€turn€almost€always€have€the€collateral€effect€of€reducing€emissionsÏper€unit€of€production,€even€though€it€may€provide€an€economic€incentive€to€increase€totalÏproduction,€with€the€net€result€that€actual€emissions€of€air€pollution€to€the€atmosphere€couldÏincrease€significantly.€€There€is€nothing€in€the€statutory€terms€or€structure€or€in€EPAððs€regulationsÏwhich€suggests€that€such€major€changes€should€be€accorded€exempt€status€under€the€NSRÏprogram.€€To€the€contrary,€major€capital€investments€in€industrial€equipment,€where€they€couldÏresult€in€an€increase€in€emissions,€appear€to€be€precisely€the€type€of€change€at€an€existing€sourceÏthat€Congress€intended€should€be€subject€to€PSD€and€nonattainment€area€NSR€permitting.€€òòSeeóóÐ \¬ ÐPrevention€of€Significant€Deterioration€and€Nonattainment€New€Source€Review;€Proposed€Rule,Ï61€Fed.€Reg.€38250,€38262€(July€23,€1996)€(ð ðNSR€Reformðð€proposed€rulemaking).€òò€See€alsoóóÐ 4„ ÐòòPuerto€Rican€Cement€Co.€v.€EPAóó,€889€F.2d€292,€297„98€(1òòstóó€Cir.€1989)€(modification€ofÐ  p Ðemissions€unit€that€decreases€emissions€per€unit€of€output,€but€may€result€in€sufficient€productionÏincrease€such€that€actual€emissions€will€increase,€is€subject€to€PSD).Ô‡ôòõXXå$ÔÔ#†ôòõõôòP#ÔÔ‡ôòõõôòÔÔ#†ôòõõôòõ #ÔÔ‡ôy¤õõôòÔ€Ô#†ôòõõôy¤7 #ÔÔ‡ôòõõôòÔÔ#†Xå$Xõôò³ #Ô€Conversely,€Ô_ÔnonroutineÔ_Ô€andÐ øH Ðotherwise€Ô_ÔnonexcludedÔ_Ô€changes€of€any€type,€regardless€of€whether€they€are€projects€such€as€theÏDense€Pack€intended€to€increase€production€efficiency,€or€even€the€complete€replacement€of€anÏentire€industrial€plant,€are€excluded€from€PSD€coverage€so€long€as€they€do€not€result€inÏsignificant€emissions€increases.€€òòSee€infra€note€4óó.(%2¢¼$¤.Ý ƒ!ÝÝ  Ýà  àÚ  Ú0Ú  Ú.€€Š\©(  Ý ƒ&¢¼$Ýà  àÚ  Ú10Ú  Ú.€€Ý  ÝÔ_ÔFor€example,€past€piecemeal€repairs€and€replacement€of€individual€rotor€blades€atÏMonroe€presumably€restored€some€portion€of€the€efficiency€lost€since€the€last€scheduled€outage.€ÏWhile€not€the€subject€of€this€determination,€it€appears€that€those€activities€ð!ð€which€as€explainedÏabove€were€far€different€from€the€proposed€Dense€Pack€upgrade€ð!ð€are€more€likely€to€be€properlyÏcharacterized€as€excluded€ð ðroutine€restorations.ðð GÝ ƒ&¢¼$Ýà  àÚ  Ú15Ú  Ú.€€Ý  ÝÔ_ÔWe€are€aware,€as€Detroit€Edison€states€in€its€initial€applicability€determinationÏrequest,€that€EPA€Region€VII€previously€has€suggested€that€a€utility€undertaking€a€change€to€aÏpart€of€the€source€other€than€the€boiler€may€not€be€entitled€to€take€advantage€of€the€provision€thatÏallows€for€a€forecast€of€future€emissions€without€committing€to€a€present€limitation€on€theÏsourceððs€potential€to€emit.€€We€have€reviewed€Region€VIIððs€discussion€of€the€matter€and€theÏapplicable€regulations,€and€we€conclude€that€Detroit€Edison€may€use€this€provision€to€calculateÏfuture€emissions€from€the€boilers,€even€though€it€is€making€changes€at€the€turbines.€€The€plainÏlanguage€of€the€regulation€is€categorical;€irrespective€of€where€a€change€takes€place,€the€post„¼change€emissions€of€the€electric€utility€steam€generating€unit€ð!ð€which€certainly€includes€the€boilerÏð!ð€must€be€determined€using€the€ð ðrepresentative€actual€annual€emissionsðð€approach.€€òòSeeóó€40Ð ü L  ÐC.F.R.€ðð€52.21(b)(21)(v).AHIJ(;3£$´´Ô2#ÔÚ  Ú0Ú  Ú.Ô3  Ôà0  à i Ý ƒ&¢¼$Ýà  àÚ  Ú2Ú  Ú.€€Ý  ÝÔ_ÔIn€this€determination,€EPA€refers€interchangeably€to€the€ð ðPSDðð€and€ð ðNSRðð€programs.€ÏThere€are€multiple€sets€of€PSD€and€NSR€regulations,€governing€the€general€(or€ð ðminorðð)€programÏand€the€programs€for€major€sources€in€attainment€and€nonattainment€areas,€and€governing€thoseÏprograms€where€EPA€is€the€permitting€authority€and€those€where€the€state€is€the€permittingÏauthority.€€Ô  ÔFor€ease€of€use,€this€document€refers€to€only€the€applicable€requirements€here,€40ÏC.F.R.€ðð€52.21.€€Those€requirements€apply€where,€as€here,€the€state€does€not€Ô_ÔhaveÔ_Ô€an€approvedÏPSD€program€in€its€state€implementation€plan€and€the€federal€PSD€program€regulations€applyÏinstead.€€òòSee€id.óó€ðð€52.1180.€€EPA€has€delegated€implementation€of€the€PSD€program€to€Michigan,Ð $ t Ðwhich€issues€federal€PSD€permits€on€EPAððs€behalf.€€òòSeeóó€òòid.óó€ðð€52.21(u).€€It€bears€noting,€however,Ð  ` Ðthat€EPA€regulations€governing€approved€PSD€programs€and€NSR€programs€for€nonattainmentÏareas€also€contain€an€identically€worded€exclusion€for€routine€activity.€€In€addition,€theÏregulations€governing€EPAððs€new€source€performance€standards€(NSPS)€contain€a€similarÏexemption€for€routine€activity.€€Accordingly,€Ô‡Xå$XXXÔthe€discussion€below€does€not€differentiate€betweenÐ À  Ðthe€two€programs,€and€relies€upon€relevant€NSPS€precedents€as€instructive€in€the€NSR€program.€ÏòòSeeóó€57€Fed.€Reg.€at€32316€(noting€that€physical/operational€change€step€ð ðis€largely€the€same€forÐ ˜è  ÐNSPS€and€NSRðð).€€The€most€significant€difference€between€the€programsðð€definition€of€ð ðphysicalÏchangeðð€is€that€the€NSR€regulations€do€not€require€a€source€to€affirmatively€seek€an€applicabilityÏdetermination€to€be€exempt€as€a€routine€change,Ô#†Xå$XXXå$S#ÔÔ‡Xå$XXXå$Ô€òòÔ#†Xå$XXXå$·#ÔÔ‡Xå$XXXå$Ôid.óó€at€32332,€but€the€NSPS€regulations€plainlyÐ \¬ Ðdo.€€40€C.F.R.€ðð€60.14(e)(1)€(Ô#†Xå$XXXå$ý#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$¦#ÔÔ‡Xå$XXXå$Ôactivity€is€exempt€if€it€is€ð ð[Ô_Ôm]aintenanceÔ_Ô,€repair,€and€replacementÐ H˜ Ðwhich€the€Administrator€determines€to€be€routine€for€a€source€categoryðð).€€In€all€respects€relevantÏto€this€determination,€however,€the€regulations€are€identical.Ô#†Xå$XXXå$è#ÔÔ‡Xå$XXXå$Ô(Oé;$µµà0  àÔ2#ÔÚ  ÚaÚ  Ú.Ô3  Ôà0` (#(#à ÛÝ ƒ&¢¼$Ýà  àÚ  Ú6Ú  Ú.€€Ý  ÝÔ_ÔÔ‡Xå$XXXÔSpecifically,€WEPCO€proposed€to€modify€its€facility€in€a€way€that€would€replaceÐ ° Ðnumerous€major€components€of€the€facility€(including€the€steam€drums),€would€requireÏpre-approval€from€the€state€utility€commission,€would€significantly€enhance€the€efficiency€andÏcurrent€production€capacity€of€the€plant€and€extend€its€useful€life,€would€rarely€be€repeatedÏduring€a€unitððs€life,€and€would€cost€a€substantial€amount€of€money,€over€half€of€which€wasÏdesignated€as€capital€costs.€€òòId.óó€at€4-6.€€On€review,€the€Seventh€Circuit€upheld€this€portion€ofÐ L œ ÐEPAððs€determination€in€its€entirety.€€òòSeeóó€òòWEPCOóó,€893€F.2d€at€910-13.Ô#†Xå$XXXå$P#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$4#ÔÔ‡Xå$XXXå$Ô€€Ô#†Xå$XXXå$v#ÔÔ‡Xå$XXXå$Ô€€(b·¤$¶¶à0  àà0` (#(#àÔ2#ÔÚ  ÚÚ  Ú.Ô3  Ôà0¸ ` (#` (#à(xir$··à0  àà0` (#(#àà0¸ ` (#` (#àÔ2#Ô(Ú  Ú0Ú  Ú)Ô3  Ôà0¸ (#¸ (#à(ŒÜ$¸¸à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àÔ2#Ô(Ú  ÚaÚ  Ú)Ô3  Ôà0h(#(#à(ŸF$¹¹à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àÔ2#Ô(Ú  ÚÚ  Ú)Ô3  Ôà0Àh(#h(#à(³Àô$ººà0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àà0Àh(#h(#àÔ2#ÔÚ  Ú0Ú  Ú)Ô3  Ôà0À(#À(#à(ǵ{$»»à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àà0Àh(#h(#àà0À(#À(#àÔ2#ÔÚ  ÚaÚ  Ú)Ô3  Ôà0p(#(#à(F$ïïà0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àà0Àh(#h(#àà0À(#À(#àà0p(#(#àÔ2#ÔÙ ÙÚ  ÚÚ  ÚÙ Ù)Ô3  Ôà0Èp(#p(#àÙ Ù-2456789xB¬Gaeimquy}Bullet ListBullets ListŒŠª(áiŒª(á­m¬(á–m¬(á(Vm$˜˜Ìà0  àà ° à ©Ý ƒ&¢¼$Ýà  àÚ  Ú4Ú  Ú.€€Ý  ÝÔ_ÔÔ‡FXå$XXXÔòòSee,€e.g.,€Alabama€Power€Co.€v.€Costleóó,€636€F.2d€323,€401€(D.C.€Cir.€1979)€(requiringÐ ° ÐEPA€to€allow€replacement€of€depreciated€capital€goods€without€a€PSD€permit€where€no€increaseÏin€emissions€at€the€source€would€result,€due€to€offsetting€decreases,€because€ð ðCongress€wished€toÏapply€the€permit€process€.€.€.€only€where€industrial€changes€might€increase€pollution€in€an€area,Ïnot€where€an€existing€plant€changed€its€operations€in€ways€that€produced€no€pollution€increase).ððÔ#†Xå$XXFXå$P#ÔÔ‡Xå$XXXå$Ô7o¬(á瘫(á *Ý ƒ&¢¼$Ýà  àÚ  Ú5Ú  Ú.€€Ý  ÝÔ_ÔòòSee,€e.g.,óó€Comments€of€Ô_ÔNRDCÔ_Ô€on€NSR€Reform€proposed€rulemaking€(63€Fed.€Reg.Ð ° Ð39857,€Notice€of€Availability,€July€24,€1998),€EPA€Docket€No.€A„90„37,€Oct.€8,€1998.(,!ù$™™à0  àà0` (#(#àà  à(@›‚$ššà0  àà0` (#(#àà0¸ ` (#` (#àà ` à(TÅþ$››à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà ¸ àhttp://www.epa.gov/region07/programs/artd/air/nsr/nsrpg.htm,m¬(ám¬(á oÝ ƒ&¢¼$Ýà  àÚ  Ú14Ú  Ú.€€Ý  ÝÔ_ÔÔ‡PXå$XXXÔUnder€current€regulations,€changes€to€a€unit€that€are€not€routineò òó ó€nor€subject€to€one€ofÐ ° Ðthe€other€NSR€exemptions€are€considered€to€be€of€such€significance€that€pre„change€emissionsÏshould€not€be€relied€on€in€projecting€post„change€emissions.€€For€such€units,€ð ðnormalÏoperationsððrefers€to€operations€after€the€change,€and€are€deemed€not€to€have€begun.€€TheÏregulations€initially€presume€that€such€units€will€operate€year„round€at€full€capacity,€but€a€sourceÏowner€is€free€to€overcome€the€presumption€by€agreeing€to€limit€its€potential€to€emit€to€any€levelÏdesired€through€enforceable€restrictions€on€operations€or€the€use€of€pollution€controls.€€ò òÔ#†Xå$XXPXå$Q#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$;#ÔÔ‡^Xå$XXXå$Ôó óForÐ 8 ˆ Ðexample,€if€limiting€the€potential€to€emit€results€in€an€insignificant€change€in€emissions,€theÏsource€can€avoid€PSD€applicabilityò òó ó.Ô#†Xå$XX^Xå$}#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$c#ÔÔ‡PXå$XXXå$Ô€€òòSeeóó€63€Fed.€Reg.€39858€(July€24,€1998)€(Notice€ofÐ  ` ÐAvailability)ò òòòÔ#†Xå$XXPXå$¥#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$H#ÔÔ‡_Xå$XXXå$Ôó óóó;€see€also€45€Fed.€Reg.€52676,€52688„89.Ô#†Xå$XX_Xå$Š#ÔÔ‡Xå$XXXå$Ôò òÔ#†Xå$XXXå$ú#ÔÔ‡`Xå$XXXå$Ôó ó€€If€business€plans€later€change€and€theÐ ü L  Ðowner€desires€to€relax€those€restrictions€and€obtain€a€PSD€permit€at€that€later€time,€it€may€do€so.€ÏòòSeeóó€45€FR€52689;€54€FR€27274,€27280Ô#†Xå$XX`Xå$?#ÔÔ‡Xå$XXXå$Ô.#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ e>#ÔDetroit€Edison€has€not€provided€any€information€to€suggest€thatÐ  p Ðindividual€facilities€in€the€industry€frequently€conduct€a€complete€replacement€of€the€highÏpressure€section€of€a€utility€steam€turbineÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$‚?#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$Ä?#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ @#Ô,€relying€instead€on€two€claims:€€(1)€that€utilitiesÐ øH Ðcommonly€perform€turbine€maintenance€activity;€and€(2)€that€it€estimates€that€projects€ð ðsimilarððÏto€the€Dense€Pack€have€been€performed€at€a€number€of€utilities.€€Neither€of€these€claimsÏaddresses€the€central€question€ð!ð€whether€it€is€industry€practice€that€a€typical€facility€willÏfrequentlyÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$¼A#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$þA#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ @B#Ô€conduct€the€project€in€question.€€òòóóÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$«B#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$íB#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ /C#ÔThe€only€available€information€„„€Detroit€EdisonððsÐ ¨ø Ðexperience€ð!ð€suggests€that€projects€like€the€Dense€Pack€are€performedÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$D#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ED#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ‡D#Ô€infrequently€at€individualÐ ”ä Ðsources;€this€project€has€never€been€performed€previously€at€Monroe€and€will€greatly€increase€theÏtime€between€ð ðoverhaulsðð€of€the€high€pressure€section.ÌÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$˜E#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ÚE#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ F#ÔÌòòÌCostÌòòóóóóò òÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$tF#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$¶F#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ øF#ÔÔ‡Xå$XXXå$Ôó óÌÔ#†Xå$XXXå$:G#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$€G#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ÂG#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ H#ÔÔ‡Xå$XXXå$Ôà  àDetroit€Edison€expects€the€Dense€Pack€project€to€cost€approximately€$12€million.Ô#†Xå$XXXå$FH#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$äH#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$&I#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ hI#ÔÔ‡Xå$XXXå$Ô€€DetroitÐ $X" ÐEdison€has€estimated€that€replacement€of€the€current€blades€with€blades€of€the€same€designÏwould€cost€approximately€$2€million€per€unit.Ô#†Xå$XXXå$ªI#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$’J#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ÔJ#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ K#ÔÔ‡Xå$XXXå$Ô€€Generally€speaking,€a€new€plant€costsÐ à%0!$ Ðapproximately€$2,000€per€kilowatt.€€Therefore,€a€new€750€megawatt€unit€would€cost€about€$1.5Ïbillion.ÌÔ#†Xå$XXXå$XK#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$`݌РР ÐŒÝ  ÝÝ‚4ÿÝÝ  ÝÝ‚4Ô`ÝÝ  Ý݃4Ô`ï`ÝŒÌŒÝ  ÝÝ‚4ÿÝÝ  ÝÝ‚42aÝÝ  Ýà  àIf€a€physical€change€or€change€in€the€method€of€operation€is€not€ð ðroutine,ðð€it€still€does€notÏtrigger€PSD€unless€it€results€in€a€significant€net€emissions€increase.€€This€Ô#†Xå$XXXå$_#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ Kb#ÔÔ‡@Xå$XXXå$Ôinvolves€comparingÐ ”ä Ðrecent€pre„change,€Ô#†Xå$XX@Xå$b#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ c#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$Kc#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ c#ÔÔ‡LXå$XXXå$Ôor€ð ðbaselineððÔ#†Xå$XXLXå$Ïc#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$$d#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$fd#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ¨d#ÔÔ‡MXå$XXXå$Ô,Ô#†Xå$XXMXå$êd#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$-e#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$oe#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ±e#ÔÔ‡@Xå$XXXå$Ô€actual€emissions€to€a€projection€of€future€actual€emissionsÐ €Ð Ðfollowing€the€change.Ô#†Xå$XX@Xå$óe#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$›f#ÔÔ‡Xå$XXXå$Ô€Ô#†Xå$XXXå$Ýf#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ g#ÔÔ‡?Xå$XXXå$Ô€A€sourceððs€pre„changeÔ#†Xå$XX?Xå$bg#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$½g#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$ÿg#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ Ah#ÔÔ‡?Xå$XXXå$Ô€level€of€actual€emissions€from€a€given€unit€is€ð ðtheÐ l¼ Ðaverage€rate,€in€tons€per€year,€at€which€the€unit€actually€emitted€the€pollutant€during€a€two„yearÏperiod€which€precedes€the€[date€of€the€change]€and€which€is€representative€of€normal€sourceÏoperation.ðð€€òòId.óó€ðð€52.21(b)(21)(ii).€€This€figure€must€be€compared€to€the€sourceððs€post„changeÐ 0"€  Ðemissions;€however,€because€NSR€is€a€preconstruction€program,€one€must€project€the€unitððsÏfuture€emissions.€€For€units€that€are€not€ð ðelectric€utility€steam€generating€units,ðð€EPAððs€rulesÏrequire€that€for€units€that€have€ð ðnot€begun€normal€operations,ðð€€i.e.,€units€that€will€undertake€aÏnon„excluded€physical€or€operational€change,€the€post„change€emissions€ð ðshall€equal€theÏpotential€to€emit€of€the€unit,ðð€which€is€the€ð ðmaximum€capacity€of€a€stationary€source€to€emit€aÏpollutant€under€its€physical€and€operational€design,ðð€but€which€also€accounts€for€pollutionÏâ âcontrols€and€permit€restrictions€that€limit€lawful€emissions€to€a€level€below€the€maximumÐ ¤(ô#' Ðphysical€capacity.€€òòId.óó€ðð€52.21(b)(4).׃O×Ý ƒ#ÃÝòòÚ  Ú14Ú  ÚóóÝ  Ý×  ×Ô#†Xå$XX?Xå$ƒh#ÔÔ‡Xå$XXXå$Ô€€Ô#†Xå$XXXå$m#ÔÔ‡CXå$XXXå$ÔIf€a€particular€change€would,€standing€alone,€increaseÐ ° Ðâ âactual€emissions€by€more€than€a€ð ðsignificantðð€amount,€òòseeóó€òòid.óó€ðð€52.21(b)(23),€the€change€isÐ œì Ðsubject€to€PSD,€unless€other€activity€at€the€source€renders€the€net€emissions€effect€of€the€changeÏinsignificant€when€considered€together€with€contemporaneous€(generally€within€the€past€fiveÏyears)€emissions€increases€and€decreases€at€the€source.€€òòSeeóó€òòid.óó€ðð€52.21(b)(3)€(defining€ð ðnetÐ `° Ðemissions€increaseðð).݃42aMaÝŒÌŒÝ  ÝÔ#†Xå$XXCXå$ám#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$}p#ÔÔ‡Xå$XXXå$ÔÌÝ‚4ÿÝÝ  ÝÝ‚4ßpÝÝ  Ýà  àFor€electric€utility€steam€generating€units,Ô#†Xå$XXXå$¿p#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ sq#ÔÔ‡QXå$XXXå$Ô€the€post„change€emission€increase€calculationÔ#†Xå$XXQXå$µq#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$%r#ÔÔ‡Xå$XXXå$ÔÐ $ t Ðis€governed€by€regulations€adopted€in€1992€(57€Fed.€Reg.€32314,€July€21,€1992),€commonlyÏreferred€to€as€the€ð ðWEPCO€rule.ðð€€Although€the€WEPCO€rule€did€not€change€the€regulatoryÏprovision€that€establishes€a€unitððs€pre„change€emissions,€EPA€announced€that€it€would€view€anyÏconsecutive€two„year€period€during€the€preceding€five€years€as€presumptively€reflective€ofÏð ðnormal€source€operations.ðð€€òòSeeóó€57€Fed.€Reg.€at€32324„25.€€In€addition,€EPA€amended€theÐ À  Ðregulations€regarding€a€utility€unitððs€post„change€emissions€in€two€ways.€€First,€the€rules€allowÏutilities€to€project€future€emissions€resulting€from€a€particular€change€without€committing€to€aÏpermit€restriction€limiting€the€unitððs€potential€to€emit€to€a€level€below€its€maximum€capacity€toÏemit€a€pollutant,׃+  ×Ý ƒ#ÃÝòòÚ  Ú15Ú  ÚóóÝ  Ý×  ×€and€they€provide€that€emissions€increases€independent€of€the€physical€orÐ pÀ Ðoperational€change€may€be€discounted€from€the€post„change€emissions€of€the€unit.€€A€utilityÐ \¬ Ðmaking€a€particular€change,€instead€of€accepting€permit€restrictions€on€the€potential€of€theÏchanged€unit€to€emit€a€particular€pollutant,€may€avoid€PSD€if€its€projection€of€ð ðrepresentativeÏactual€annual€emissionsðð€following€the€change€is€not€significantly€greater€than€its€pre„changeÏemissions,€but€only€if€the€source€ð ðmaintains€and€submits€to€the€Administrator€[or€relevant€stateÏpermitting€authority]€on€an€annual€basis€for€a€period€of€5€years€from€the€date€the€unit€resumesÏregular€operation,€information€demonstrating€that€the€physical€or€operational€change€did€notÏresult€in€an€emissions€increase.ðð€€òòE.g.óó,€40€C.F.R.€ðð€52.21(b)(21)(v).€€Second,€in€evaluating€theÐ 8 ˆ Ðsourceððs€claimed€exemption€from€PSD,€the€permitting€authority€must€ð ð[c]onsider€all€relevantÏinformation,€including,€but€not€limited€to,€historical€operational€data,€the€companyððs€ownÏrepresentations,€filings€with€the€State€or€Federal€regulatory€authorities,€and€compliance€plansÏunder€title€IV€of€the€Clean€Air€Act.€.€.€.ðð€€òòId.óó€ðð€52.21(b)(33)(i).€€The€permitting€authority€mustÐ è 8  Ðdiscount€any€increase€ð ðthat€could€have€been€accommodated€during€the€representative€baselineÏperiod€and€is€attributable€to€an€increase€in€projected€capacity€utilization€at€the€unit€that€isÏunrelated€to€the€particular€change,€including€any€increased€utilization€due€to€the€rate€of€electricityÏdemand€growth€for€the€utility€system€as€a€whole.ðð€€òòId.óó€ðð€52.21(b)(33)(ii).€€Nevertheless,€if€anÐ ˜è  Ðemissions€increase€could€not€have€occurred€ð ðbut€for€the€physical€or€operational€change,ðð€theÏincrease€must€be€considered€to€result€from€the€change.€€òòSeeóó€57€Fed.€Reg.€at€32327.݃4ßpúp݌РpÀ ÐŒÝ  ÝÝ‚4ÿÝÝ  ÝÝ‚4ç}ÝÝ  Ý݃4ç}~ÝŒÌŒÝ  ÝÝ‚4ÿÝÝ  ÝÝ‚4E~ÝÝ  Ýà  àWhere€the€end€result€of€an€emissions€increase€analysis€for€electric€utilities€is€a€projectionÏaccepted€by€the€permitting€authority€that€emissions€would€not€increase€as€a€consequence€of€aÏparticular€change,€the€rules€call€for€an€initial€determination€that€the€change€would€not€be€a€majorÏmodification€subject€to€PSD.€€òòSeeóó€Letter€from€David€P.€Howekamp,€Air€Division,€Reg.€IX,€toÐ  \ ÐRichard€K.€McQuain,€HEI€Power€Corp.,€at€1„2€(undated)€(describing€WEPCO€rule€as€conferringÏconditional€exemption€from€PSD€where€projected€emissions€increase€is€insignificant).€€However,Ïif€the€information€that€the€source€must€submit€for€the€requisite€number€of€years€following€theÏchange€demonstrates€that€emissions€have€in€fact€increased€as€a€result€of€the€change,€the€sourceÏbecomes€subject€to€PSD€at€that€time.€€òòSeeóó€40€C.F.R.€ðð€52.21(b)(21)(v);€57€Fed.€Reg.€at€32325€(ð ðIfÐ ¨ø Ð.€.€.€the€reviewing€authority€determines€that€the€sourceððs€emissions€have€in€fact€increasedÏsignificantly€over€baseline€levels€as€a€result€of€the€change,€the€source€would€become€subject€toÏPSD€requirements€at€that€time.ðð)݃4E~`~ÝŒÌŒÝ  ÝÌÔ#†Xå$XXXå$gr#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ Eƒ#Ôò òÔ  ÔB.€€Analysis€of€Significant€Net€Emissions€Increase€at€the€Monroe€PlantÔ ŠƒÔó ó€Ð D!” ÐÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$„#ÔÔ‡Xå$XXXå$ÔÌà  àBecause€the€Dense€Pack€project€would€be€a€physical€change€to€a€major€stationary€source,ÏDetroit€Edison€must€estimate€whether€the€change€would€result€in€a€significant€net€emissionsÏincrease€to€determine€whether€it€must€undergo€PSD€review.€€40€C.F.R.€ðð€52.21(b)(2)(i).€ÏAccording€to€the€submission,€Detroit€Edison€asserts€that€emissions€will€not€increase€as€a€result€ofÏthe€project.€€As€discussed€below,€EPA€accepts€for€purposes€of€this€determination€DetroitÏEdisonððs€representation€that€emissions€will€not€increase€as€a€result€of€the€project,€and€concludesÏthat€the€Dense€Pack€upgrade€will€not€trigger€PSD,€provided€that,€Ô#†Xå$XXXå$I„#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ‡#ÔÔ‡=Xå$XXXå$Ôprior€to€beginning€constructionÔ#†Xå$XX=Xå$M‡#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$®‡#ÔÔ‡Xå$XXXå$Ô,Ð ¨(ø#' Ðthe€company€validates€its€representation€by€developing€and€submitting€to€the€permitting€agency€aÏcalculation€of€ð ðbaselineðð€actual€emissions€and€a€projection€of€future€actual€emissions€followingÏthe€project.Ð l+¼&* Їà  àDetroit€Edison€maintains€that€emissions€will€not€increase€as€a€result€of€this€projectÏbecause€it€concludes€that€one€of€two€consequences€will€follow€the€upgrade.€€First,€Detroit€EdisonÏclaims€that€because€the€change€would€increase€efficiency,€it€would€allow€increased€electricityÏgeneration€using€the€same€amount€of€coal,€boiler€heat€input€and€steam€flow€while€producing€theÏsame€level€of€emissions€as€currently€emitted.€€Alternatively,€Detroit€Edison€claims€the€projectÏwould€enable€it€to€generate€the€same€amount€of€electricity€it€currently€generates€using€less€coal,Ïboiler€heat€input€and€steam€flow,€resulting€in€reduced€emissions.€€Detroit€Edison€rejects€the€thirdÏpossibility€„„€that€it€would€use€the€units€more,€and€increase€emissions€at€the€plant,€as€a€result€ofÏthe€blade€replacement.€€Detroit€Edison€states€that€these€units€already€are€at€the€top€of€the€loadingÏorder€and€had€a€capacity€factor€of€approximately€85%€for€1998.€€Thus,€the€company€asserts,€anyÏincrease€in€use€would€be€the€result€of€demand€or€unforeseen€outages,€which€could€and€wouldÏhave€occurred€regardless€of€whether€or€not€Detroit€Edison€proceeds€with€the€Dense€Pack€project.€ÏThe€company€has€not,€however,€provided€any€specific€projections€of€future€operations€andÏemissions€to€EPA€to€support€its€claims€regarding€emissions€levels.Ì€Ìà  àEPA€disagrees€that€the€dispatch€position€of€the€Monroe€plant€necessarily€means€that€theÏDense€Pack€project€would€not€result€in€increased€use,€and€hence,€increased€emissions.€€Given€theÏinformation€provided€by€the€company€showing€that€there€is€some€fluctuation€in€annual€use€andÏthat€Units€1€and€4€are€not€operated€at€their€maximum€physical€capacity,€the€fact€that€Monroe€is€atÏthe€top€of€the€loading€order€is€insufficient€to€demonstrate€that€the€significant€increase€inÏefficiency€associated€with€the€Dense€Pack€project,€and€the€corresponding€decrease€in€the€cost€ofÏproducing€electricity,€would€not€result€in€increased€use€and€emissions.€€The€possibility€thatÏDetroit€Edison€would€take€advantage€of€Monroeððs€increased€efficiency€to€sell€additional€power€inÏderegulated€utility€markets€beyond€its€regular€service€area€is€an€additional€reason€that€the€DenseÏPack€project€may€well€lead€to€increased€emissions.€€Accordingly,€based€on€the€informationÏprovided,€EPA€cannot€agree€at€this€time€that€any€future€increased€emissions€at€the€Monroe€plantÏdue€to€increased€use€should€be€attributed€to€demand€growth€(as€that€term€is€used€in€the€PSDÏregulations)€or€other€factors€not€causally€related€to€the€Dense€Pack€project.ÌÌà  àEPA€notes€in€this€regard€that€the€large€size€of€the€Monroe€units€means€that€only€a€smallÏincrease€in€use€could€result€in€emissions€increases€that€are€significant€for€PSD€purposes.€€ForÏexample,€if€Detroit€Edison€decides€to€run€the€Monroe€plant€even€1%€more€due€to€the€improvedÏefficiency,€the€resulting€increase€in€emissions€would€be€well€above€the€significance€threshold.€€Ô#†Xå$XXXå$ð‡#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ­”#ÔIfÐ 0"€  Ða€one€to€five€percent€increase€in€operation€were€to€result€from€the€Dense€Pack€project,€increasesÏon€the€order€of€160„800€tons€of€NOx€and€400„2000€tons€of€SO2€would€occurÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$°•#ÔÔ‡Xå$XXXå$Ô,€each€of€whichÐ $X" Ðwould€be€considered€ð ðsignificant,ðð€and€trigger€PSD€absent€sufficient€offsetting€contemporaneousÏemission€reductions.€€See€40€C.F.R.€ðð€52.21(b)(23)(i)€(defining€40€tons€per€year€emissionÏincreases€for€sulfur€dioxide€and€nitrogen€oxides€as€ð ðsignificantðð).ÌÌà  àÔ#†Xå$XXXå$ò•#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ r—#ÔÔ‡>Xå$XXXå$ÔIn€determining€whether€a€nonexempt€physical€or€operational€change€at€an€electric€utilityÐ ¤(ô#' Ðsteam€generating€unit€will€result€in€a€significant€net€emissions€increase,€tÔ#†Xå$XX>Xå$´—#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$¯˜#ÔÔ‡Xå$XXXå$Ôhe€applicable€PSDÐ )à$( Ðregulations€at€40€C.F.R.€ðð€52.21(b)(21)(v)€and€(b)(33)€call€for€a€calculation€of€pre„changeÏð ðbaselineðð€actual€emissions€and€a€projection€of€future€actual€emissions€for€the€two€year€Ô_ÔperiodÐ h+¸&* Ðafter€the€change€(or€another€two€year€period€that€is€more€representative€of€normal€post„changeÏoperations).€€Detroit€Edison€has€not€supplied€such€a€projection,€perhaps€in€reliance€on€its€positionÏthat€the€Dense€Pack€project€would€be€exempted€as€routine.€€The€company€has€represented,Ïhowever,€that€ð ðthe€Dense€Pack€would€not€result€in€an€increase€in€the€number€of€hours€these€unitsÏare€expected€to€be€operated.ðð€€EPA€has€no€specific€information€disputing€that€assertion,€and€so€isÏwilling€to€accept€Detroit€Edisonððs€representation.€€Nevertheless,€until€the€company€provides€theÏcalculation€and€projection€called€for€by€the€regulations€to€verify€its€projection€of€no€increase€inÏactual€emissions,€our€determination€is€provisional.€€Detroit€Edison€should€submit€these€figures€toÏthe€Michigan€Department€of€Environmental€Quality€prior€to€the€beginning€of€construction.ÌÌà  àThe€PSD€regulations€also€require€Detroit€Edison€to€maintain€and€submit€to€the€delegatedÏpermitting€agency,€for€a€period€of€5€years€from€the€date€the€units€resume€regular€operationÏfollowing€completion€of€the€Dense€Pack€project,€information€demonstrating€that€the€project€didÏnot€result€in€an€emissions€increase.€€To€adequately€track€post„change€emissions,€EPA€expects€thatÏthis€information€must€include€records€on€annual€fuel€use,€hours€of€operation,€and€fuel€sulfurÏcontent.€€In€making€these€calculations,€Detroit€Edison€may€exclude€emissions€increases€that€areÏcaused€by€other€factors,€for€example,€emissions€increases€that€it€demonstrates€are€due€toÏvariability€in€control€technology€performance€or€coal€characteristics.€€In€addition,€whenÏcalculating€emission€increases,€under€current€regulations€Detroit€Edison€may€exclude€that€portionÏof€its€emissions€attributable€to€increased€use€at€the€unit€due€to€the€growth€in€electrical€demand€forÏthe€utility€system€as€a€whole€since€the€baseline€period.€€òòSeeóó€40€Ô_ÔC.F.R.Ô_Ô€ðð€52.21(b)(33)(ii).Ð  p ÐÌà  àFinally,€EPA€notes€that€regardless€of€whether€PSD€review€is€triggered€due€to€the€DenseÏPack€project,€Detroit€Edison€remains€responsible€for€compliance€with€all€other€applicable€federal,Ïstate,€and€local€air€pollution€regulations.à À àà  àÐ Ð  ÐÌò òÔ  ÔVI.€€ConclusionÔ £Ôò òó ó€Ð ¨ø ÐÌÔ#†Xå$XXXå$ñ˜#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ n£#Ôà  àÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$¼£#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$þ£#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ @¤#Ôó óFor€the€reasons€delineated€above,€EPA€concludes€that€the€changes€proposed€by€DetroitÐ „Ô ÐEdison€would€not€be€routine.€€Detroit€Edisonððs€submissions€do€not€demonstrate€that€projects€suchÏas€the€Dense€Pack€are€frequent,€inexpensive,€or€done€for€the€purpose€of€maintaining€the€facility€inÏits€present€condition.€€Therefore,€the€Agency€determines€that€the€Dense€Pack€upgrade€would€be€aÏð ðphysical€change,ðð€as€that€term€is€used€in€the€NSR€regulations.€€Ô‡Xå$XXXå$ÔÔ#†Xå$XXXå$]¦#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$Ÿ¦#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ á¦#ÔEPA€disagrees€with€DetroitÐ 4"„  ÐEdisonððs€claims€that€the€Dense€Pack€project€is€eligible€for€the€exclusion€from€PSD€permitting€forÏroutine€maintenance,€repair,€and€replacement.€€The€determination€of€whether€a€proposed€physicalÏchange€is€ð ðroutineðð€is€a€case„specific€determination€which€takes€into€consideration€the€nature,Ïextent,€purpose,€frequency,€cost€of€the€work,€as€well€as€other€relevant€factors.€After€carefullyÏreviewing€all€the€available€information,€in€light€of€the€relevant€factors,€EPA€has€determined€thatÏthe€proposed€project€would€not€be€ð ðroutine.ððÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$s©#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$µ©#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ÷©#Ôò òà À àÐ ¼' #& ÐÌà  àó óÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$mª#ÔÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$¯ª#ÔÔ‡XÖ XXXå$ÔÔ#†Xå$XXXÖ ñª#ÔThe€PSD€regulations€(under€the€provisions€commonly€known€as€the€ð ðWEPCO€ruleðð)Ð ”)ä$( Ðallow€a€source€undertaking€a€nonroutine€change€that€could€affect€emissions€at€an€electric€utilityÏsteam€generating€unitò òó ó€to€lawfully€avoid€the€major€source€permitting€process€by€using€the€unitððsò òÐ l+¼&* Ðò òó óó órepresentative€actual€annual€emissions€to€calculate€emissions€followingò òò òó óó ó€the€change.€€DetroitÐ ° ÐEdison€contends€that€representative€actual€annual€emissions€following€the€Dense€Pack€projectÏwill€not€be€greater€than€its€pre„change€actual€emissions,€because€the€project€will€not€result€inÏincreased€use€of€the€units.€€Therefore,€Detroit€Edison€may€avoid€major€PSD€permitting€to€theÏextent€it€documents€its€pre„change€baseline€emissions€and€submits€information€following€theÏchange€to€confirm€its€pre„change€projection.€€If€Detroit€Edison€fails€to€comply€with€the€reportingÏrequirements€of€the€WEPCO€rule€or€if€the€submitted€information€indicates€that€emissions€haveÏincreased€as€a€consequence€of€the€change,€it€will€be€required€to€obtain€a€PSD€permit€for€theÏDense€Pack€projectÔ‡Xå$XXXå$ÔÔ#†Xå$XXXå$©¯#ÔÔ‡Xå$XXXå$Ô.Ô#†Xå$XXXå$ë¯#ÔÔ‡ X¬^XXXå$ÔññÐ  ` ÐÌà  àà ` àà ¸ àà  àÐ  Ò "  ÐÑ8€ ¬^ XXdÖXdì8ÑÌÔ#†Xå$XX X¬^C°#Ô