TITLE 326 AIR POLLUTION CONTROL DIVISION

The Indiana Department of Environmental Management (IDEM) has developed draft rule language for amendments to rules at 326 IAC 2-11-2 and 326 IAC 8-4-6 concerning Stage II vapor recovery system requirements. IDEM seeks comment on the affected citations listed and any other provisions of Title 326 that may be affected by this rulemaking.

First Notice of Comment Period: December 12, 2012, Indiana Register (DIN: 20121212-IR-326120636FNA).

Under Section 182(b)(3) of the Clean Air Act (CAA), a Stage II vapor recovery system (Stage II) is required to be used at gasoline dispensing facilities that sell more than 10,000 gallons of gasoline per month or 50,000 gallons of gasoline per month in the case of independent small business marketers of gasoline located in ozone nonattainment areas classified as serious, severe, or extreme. Stage II is designed to control gasoline vapors, which are emitted when partially empty gas tanks are filled with liquid gasoline that can react with sunlight, nitrogen oxides, and other volatile organic compounds to form ozone.

The United States Environmental Protection Agency (U.S. EPA) published onboard refueling vapor recovery (ORVR) standards in the Federal Register (FR) on April 6, 1994 (59 FR 16262). ORVR consists of an activated carbon canister installed on a vehicle into which vapors are routed from the vehicle fuel tank during refueling. The vapors are captured by the activated carbon canister and prevented from escaping the fuel tank fill pipe by use of a seal. The ORVR standards were implemented on a progressive schedule, and, by 2006, all new gasoline-powered vehicles with a gross vehicle weight rating of less than 14,000 pounds were equipped with ORVR technology. U.S. EPA estimates that by the end of 2012, more than 71 percent of vehicles on the road were equipped with ORVR.

Section 202(a)(6) of the CAA provides U.S. EPA discretionary authority to revise or waive the Stage II requirements in Section 182(b)(3) for areas classified under Section 181 as serious, severe, or extreme for ozone, as appropriate, if it is determined that ORVR is in widespread use. On May 16, 2012, U.S. EPA determined that ORVR technology is in widespread use throughout the motor vehicle fleet for purposes of controlling motor vehicle refueling emissions (77 FR 28772). Since 2006, ORVR has been a required control on nearly all new highway vehicles. Stage II and ORVR emission control systems are redundant, and U.S. EPA has determined that emission reductions from ORVR are equitable and will soon surpass the emission reductions achieved by Stage II requirements. U.S. EPA has thus waived the requirement for states to implement Stage II at gasoline dispensing facilities in nonattainment areas classified as serious and above for the ozone national ambient air quality standards (NAAQS), providing certain conditions are met.

Using the guidance provided by U.S. EPA, "Guidance on Removing Stage II Gasoline Vapor Control Programs from State Implementation Plans and Assessing Comparable Measures", EPA-457/B-12-001, August 7, 2012, IDEM conducted an emissions inventory analysis to develop a revision to the State Implementation Plan to phase out or remove Stage II requirements in the former serious ozone nonattainment areas (Clark County and Floyd County), and severe ozone nonattainment areas (Lake County and Porter County). To meet existing federal requirements, Stage II cannot be removed if it would interfere with attainment of the NAAQS, reasonable further progress toward attainment, or any other applicable requirement of the CAA. IDEM's analysis determined that these requirements could be met by removing Indiana's Stage II requirements in 2016. IDEM is proposing removal of the Stage II vapor recovery system requirements for Clark, Floyd, Lake, and Porter counties on April 1, 2016, to coincide with the start of the ozone season.

This rulemaking will amend rules concerning permitting by rule for specific source categories, including gasoline dispensing operations at 326 IAC 2-11-2, reflect the addition of new applicability language in 326 IAC 8-4-1, and include rules concerning petroleum sources, including gasoline dispensing facilities at 326 IAC 8-4-6. Specifically, applicability of Stage II vapor recovery requirements and references will be revised in a manner consistent with U.S. EPA guidance and the results of IDEM's analysis specific to Indiana. IDEM is requesting comment on the removal of the Stage II vapor recovery requirements effective April 1, 2016.

No element of the draft rule imposes either a restriction or a requirement on persons to whom the draft rule applies that is not imposed under federal law. U.S. EPA waived the Stage II vapor recovery system requirements effective May 16, 2012, allowing states the autonomy to remove the requirements from state rules.

Removal of Stage II vapor recovery system requirements will reduce costs for gas station owners and operators installing new equipment after April 1, 2016. This rule additionally could require gas station owners to remove the Stage II vapor recovery systems sooner than would otherwise have been planned, resulting in an unplanned cost to gas station owners and operators.

No work group is planned for the rulemaking. If you feel that a work group or other informal discussion on the rule is appropriate, please contact Christine Pedersen, Rules Development Branch, Office of Legal Counsel at (317) 233-5684 or (800) 451-6021 (in Indiana).

IDEM requested public comment from December 12, 2012, through January 11, 2013, on alternative ways to achieve the purpose of the rule and suggestions for the development of draft rule language. IDEM received comments from the following parties by the comment period deadline:

Indiana Petroleum Marketers & Convenience Store Association (IPCA)

Following is a summary of the comments received and IDEM's responses thereto:

Comment: IPCA is responding on behalf of its members. IPCA represents over 135 companies who own, operate, and supply fuel to the majority of retail fueling establishments throughout Indiana. IPCA and its members support the rulemaking as proposed. (IPCA)

Response: IDEM appreciates IPCA's participation and comments in this rulemaking.

This notice requests the submission of comments on the draft rule language, including suggestions for specific revisions to language to be contained in the draft rule. Comments may be submitted in one of the following ways:

(1) By mail or common carrier to the following address:

LSA Document #12-636 Stage II Vapor Recovery

Christine Pedersen

Rules Development Branch

Office of Legal Counsel

Indiana Department of Environmental Management

100 North Senate Avenue

Mail Code 61-50

Indianapolis, IN 46204-2251

(2) By facsimile to (317) 233-5967. Please confirm the timely receipt of faxed comments by calling the Rules Development Branch at (317) 234-6530.

(3) By electronic mail to cpedersen@idem.in.gov. To confirm timely delivery of submitted comments, please request a document receipt when sending the electronic mail. PLEASE NOTE: Electronic mail comments will NOT be considered part of the official written comment period unless they are sent to the email address indicated in this notice.

(4) Hand delivered to the receptionist on duty at the thirteenth floor reception desk, Office of Legal Counsel, Indiana Government Center North, 100 North Senate Avenue, Indianapolis, Indiana.

Regardless of the delivery method used, in order to properly identify each comment with the rulemaking action it is intended to address, each comment document must clearly specify the LSA document number of the rulemaking.

All comments must be postmarked, faxed, or time stamped no later than December 27, 2013. Hand-delivered comments must be delivered to the appropriate office by 4:45 p.m. on the above-listed deadline date.

Additional information regarding this action may be obtained from Christine Pedersen, Rules Development Branch, Office of Legal Counsel, (317) 233-5684 or (800) 451-6027 (in Indiana).

SECTION 1. 326 IAC 2-11-2 IS AMENDED TO READ AS FOLLOWS:

Affected: IC 13-15; IC 13-17

Sec. 2. (a) This section applies to retail or commercial gasoline dispensing operations that:

(b) To limit potential to emit as provided in section 1(c) of this rule, the following conditions are applicable to sources depending on their location: gasoline dispensing operations shall comply with the following conditions during an average month based on the last twelve (12) months:

(c) Sources Gasoline dispensing operations electing to comply with this rule must be able to demonstrate compliance no not later than thirty (30) days after receipt of a written request by the department or the U.S. EPA, as follows:

SECTION 2. 326 IAC 8-4-1 IS AMENDED TO READ AS FOLLOWS:

Affected: IC 13-15; IC 13-17

Sec. 1. (a) All sections of this rule apply to sources of the types described in this rule located in the following counties:

(b) Sections 4 through 7 and 9 of this rule apply to sources of the types described in this rule located in the following counties:

(c) Sections 2 through 5 and 7 through 9 of this rule apply to all new sources of the types described in this rule as of January 1, 1980.

(d) Section 6(a) and 6(b) of this rule apply to any gasoline storage tank at a gasoline dispensing facility with a monthly gasoline throughput of ten thousand (10,000) gallons per month or greater.

(e) Until April 1, 2016, either section 6(c) or 6(d) of this rule applies apply to gasoline dispensing facilities as described in section 6(c)(1) of this rule and located in the following counties:

(f) Section 6(d) of this rule applies to gasoline dispensing facilities described in section 6(c)(1) of this rule that decommission Stage II recovery systems prior to April 1, 2016.

SECTION 3. 326 IAC 8-4-6 IS AMENDED TO READ AS FOLLOWS:

Affected: IC 13-12-3-1

Sec. 6. (a) The following definitions apply throughout this section:

(b) Stage I vapor recovery system requirements at gasoline dispensing facilities are as follows:

(c) Until April 1, 2016, stage II vapor recovery system requirements at gasoline dispensing facilities are as follows:

(d) Until April 1, 2016, a stage II vapor recovery system must be maintained in accordance with subsection (c), unless the owner or operator decommissions the stage II vapor recovery system as follows:

(e) Stage II vapor recovery systems are not required after April 1, 2016.

(d) (f) Upon request by the department, the owner or operator of a gasoline dispensing facility that claims to be exempt from the requirements of this section shall submit records to the agency within thirty (30) calendar days from the date of the request that demonstrate that the gasoline dispensing facility is in fact exempt.

*This document is *These documents are incorporated by reference. Copies are available for review and copying at the Indiana Department of Environmental Management, Office of Air Quality, Legal Counsel, Indiana Government Center North, Tenth Thirteenth Floor, 100 North Senate Avenue, Indianapolis, Indiana 46204.

Notice of Public Hearing

DIN: 20131127-IR-326120636SNA

Composed: Apr 19,2024 2:19:35AM EDT

A PDF version of this document.