20070221-IR-326070089FNA DEVELOPMENT OF NEW RULES CONCERNING VOLATILE ORGANIC COMPOUNDS EMISSIONS FROM PORTABLE FUEL CONTAINERS  

TITLE 326 AIR POLLUTION CONTROL BOARD

FIRST NOTICE OF COMMENT PERIOD

LSA Document #07-89

The Indiana Department of Environmental Management (IDEM) is soliciting public comment on the development of new rules concerning volatile organic compound (VOC) emissions from portable fuel containers (PFCs). IDEM seeks comment on the affected citations listed and any other provisions of Title 326 that may be affected by this rulemaking.

Under the Clear Air Act, the United States Environmental Protection Agency (U.S. EPA) is responsible for:

(1) establishing ambient air quality standards to protect the public health and welfare;

(2) determining which areas of the country have air quality that does not meet those standards; and

(3) overseeing states' efforts to develop and implement plans to improve air quality in those areas.

In the April 30, 2004, Federal Register (69 FR 23858), the U.S. EPA published air quality designations and classifications for all areas in the United States for the 8-hour ozone National Ambient Air Quality Standard (8-hour standard), including the designation of 24 Indiana counties, entirely or in part, as nonattainment with the standard. The nonattainment designations became effective on June 15, 2004. The 8-hour ozone nonattainment designations have essentially replaced the former remaining 1-hour ozone nonattainment designations. Each state must put control measures into place in order to bring these areas into attainment by June 15, 2009. Indiana has submitted several ozone redesignation requests to U.S. EPA for approval and plans to submit requests for the remaining counties in the near future. Additional VOC control measures will ensure that these counties will continue to be in compliance with the 8-hour standard for ground level ozone after they have been redesignated and will also help minimize Indiana's contribution to other states' nonattainment areas.

Because VOCs contribute to the formation of ground level ozone, it is important to control VOCs in order to comply with the 8-hour ozone standard. In an effort to assist states in the Midwest Regional Planning Organization (MRPO) in the development of state implementation plans (SIPs) to comply with the federal requirements, the Lake Michigan Air Directors Consortium (LADCO) has been working with states to identify and recommend regional controls that would help states bring areas back into attainment with the 8-hour ozone standard. The MRPO includes Illinois, Indiana, Michigan, Ohio, and Wisconsin.

The MRPO states have discussed applying certain VOC control measures to all counties in the region in order to provide a general benefit to all MRPO nonattainment areas. LADCO has evaluated potential reductions from various regulatory options that could be adopted on a multistate basis in the region. Based on discussions with other states in the MRPO and information provided by LADCO, IDEM proposes to implement a rule to reduce VOC emissions from PFCs as part of a larger regional effort. This rule is part of a larger group of VOC control rules that have been agreed to by the LADCO states to address regional ozone and particulate matter nonattainment. Other VOC control rules will include automobile refinishing, architectural and industrial maintenance (AIM) coatings, consumer products, degreasing, and stage I vapor recovery.

PFCs are designed for transporting and storing fuel from a retail distribution point to a point of use and for eventually dispensing fuel into equipment. Otherwise known as "gas cans", PFCs come in a variety of shapes and sizes and are made from either metal or plastic. PFCs are commonly used to refuel a wide variety of equipment and vehicles such as lawnmowers, chainsaws, boats, and motorcycles.

The following five design and use characteristics of PFCs result in VOC emissions:

1. VOC emissions occurring while refilling the PFC. Vapor displacement emissions result when fuel vapor is displaced from the gas can during refueling at a service station. VOC emissions from spilled gasoline also results from over-filling.

2. VOC emissions occurring during transit. VOC emissions occur from fuel spilled during the transport of PFCs.

3. VOC emissions during storage due to temperature fluctuations. Diurnal VOC emissions result when fuel vapors escape into the air through any possible openings while the container is subjected to the daily cycle of increasing and decreasing ambient temperatures.

4. VOC emissions during storage due to permeation. Fuel stored long enough in a plastic container can eventually result in fuel molecules infiltrating and saturating the container material, allowing VOC emissions to escape through the walls of the container.

5. VOC emissions occurring while dispensing fuel from PFCs. Vapor displacement emissions result when fuel vapor is displaced from equipment being refueled. VOC emissions also result from fuel spilled during refueling with PFCs.

VOC emissions from PFCs in Indiana are estimated by the U.S. EPA to be 6,375 tons per year as of 2005. Approximately two-thirds of total VOC emission from PFCs are comprised of diurnal emissions.

The California Air Resources Board (CARB) adopted a rule on September 11, 2000, regulating PFCs sold in California. All PFCs sold in California after January 1, 2001, are required to have the following features to reduce potential VOC emissions:

1. Spill-proof container and spout design.

2. Automatic shut-off feature to prevent overfilling.

3. Automatic closing feature to ensure the container is sealed when not in use.

4. Secondary ventilation hole eliminated.

5. New plastics to reduce vapor permeation through container walls.

CARB estimates that these standards will reduce VOC emissions from PFCs by 75 percent. This VOC emission reduction estimate is based in part on an assumption that the average useful life of a PFC is five years, and that as preregulation containers wear out, are lost, or damaged, they will be replaced with the new compliant PFCs.

Delaware, Maine, Maryland, Pennsylvania, New York, Connecticut, Massachusetts, New Jersey, Rhode Island, Vermont, Virginia, Washington D.C., and Texas have all adopted PFC regulations modeled after the California rule.

In 2005, CARB amended their original PFC regulation to address problems identified with the original program. The amendments included a provision to address the potential use of kerosene containers and utility jugs as fuel storage containers. The 2005 amendments also addressed consumer concerns about spillage resulting from the automatic shut-off spout design requirements.

In the March 29, 2006, Federal Register (71 FR 15803), the U.S. EPA published a proposed national regulation to reduce hazardous air pollutant emissions from mobile sources. As part of this proposed mobile sources rule, U.S. EPA proposed standards that would limit VOC emissions from PFCs. The requirements of the proposed federal program are very similar to the recently revised California program. Rather than requiring physical design specifications, the U.S. EPA proposes a federal standard limiting evaporation and permeation of VOCs from PFCs to 0.3 grams/gallon/day. In comparison, the CARB rule maintains a 0.4 grams/gallon/day VOC emission limit.

Federal requirements of the proposed national regulation would apply to PFCs manufactured on or after January 1, 2009. U.S. EPA expects that manufacturers will be able to meet both U.S. EPA and CARB requirements with a single product for sale in all 50 states. U.S. EPA expects very little difference in the long term emission reductions provided by the federal program and those provided by the CARB program.

This rulemaking will consider implementation of a PFC VOC emission reduction program based on CARB's program. In combination with similar efforts in other MRPO states, this rule will reduce VOC emissions from PFCs in Indiana and will contribute to a regional control of VOC that will assist many counties in the MRPO states to reach and maintain attainment with the 8-hour ozone standard. A rule based on either CARB's program or on the proposed EPA rule would apply to manufacturers, dealers, and retailers manufacturing, distributing, and selling PFCs in Indiana.

Neither the CARB program nor the proposed EPA rule would require Indiana residents to discontinue the use of existing noncompliant PFCs. Compliance with new standards for owners of existing PFCs is voluntary; 100% compliance will only be achieved through attrition as pre-regulation containers wear out, are lost, or damaged, and are replaced with the new compliant PFCs.

Upon completion of this rule, it will be submitted to U.S. EPA for approval into the SIP and, along with other regional and state measures, will guide air pollution control efforts in Indiana.