New Source Review (NSR) identifies the conditions a regulated source must meet in order to lawfully construct. NSR is generally required for new facilities being proposed on previously undeveloped land or at previously unpermitted locations (referred to as New Source Construction), as well as for substantial physical changes or changes in the method of operation that are being proposed at existing facilities.
There are three types of New Source Review (NSR) permitting requirements. A source may have to meet one or more of the following permitting requirements:
- A Prevention of Significant Deterioration (PSD) permit is required for a new PSD major source or for a major modification to an existing PSD major source in areas designated as attainment or unclassifiable under the National Ambient Air Quality Standards (NAAQS). Requirements include Best Available Control Technology (BACT), an air quality analysis, an additional impacts analysis, and public participation. The rules are found at Title 326, Article 2, Rule 2 of the Indiana Administrative Code (326 IAC 2-2 [PDF]). IDEM’s PSD program is authorized by U.S. EPA.
- A Nonattainment NSR (Emission Offset (EO)) permit is are required for a new EO major source or a major modification to an existing EO major source in areas designated as nonattainment for one or more of the National Ambient Air Quality Standards (NAAQS). Requirements include compliance with Lowest Achievable Emission Rate (LAER) and emission offsets. The rules are found at 326 IAC 2-3 [PDF]. IDEM’s Nonattainment NSR (EO) program is authorized by U.S. EPA. Indiana has additional information on nonattainment areas.
- A minor source permit for sources that do not require a PSD or Nonattainment NSR (Emission Offset (EO)) permit. In Indiana, these types of permits are often referred to as a “construction permits”. “Construction permits” for new sources are regulated under 326 IAC 2-5.1-3 [PDF]. “Construction permits” for modifications to an existing permitted source are regulated under 326 IAC 2-7-10.5 (Part 70 Permits; Source modifications), 326 IAC 2-6.1-6 (MSOP; Permit revisions), and 326 IAC 2-8-11.1 (FESOP; Permit revisions) [PDF]. IDEM’s minor source permit programs are authorized by U.S. EPA.
Additional background information is available concerning NSR rules. IDEM’s NSR Reform Manual includes basic terminology and overviews of Actual-To-Project Actual (APTA) Applicability and Plantwide Applicability Limitation (PAL) for applicants.