NOTICE OF
VIOLATION
Via Certified Mail #: |
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Via Certified Mail #: |
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To: |
Yves
Willems, President |
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National
Registered Agents, Inc. |
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Carmeuse
Lime, Inc. |
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Registered
Agent |
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11
Stanwix St. - 21st Floor |
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150
West Market Street Suite 800 |
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Pittsburg,
PA 15222 |
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Indianapolis,
IN 46204 |
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Case No. 2015-23817-A
The Indiana Department of Environmental
Management (“IDEM”) has reason to believe that Carmeuse Lime, Inc. (“Respondent”)
has violated air pollution rules 326 IAC 2-7, 326 IAC 3-6-3, 326 IAC 7-4.1-6 and
Part 70 permits. The violations are
based on the following:
1.
Respondent owns and operates Carmeuse Lime,
Inc. with Plant I.D. No. 089-00112 located at 1 North Carmeuse Drive in Gary,
Lake County, Indiana (the “Site”).
2. Pursuant to Condition D.1.2 of Part 70
Operating Permit (“Title V”) No. 089-33762-00112 issued on May 19, 2014, and
326 IAC 7-4.1-6, Respondent shall not exceed the sulfur dioxide (“SO2”)
emission limits of 34 pounds per hour (“lb/hr”) per kiln and 1.483 pounds per ton of lime (“lb/ton”) based on a one (1) hour average from Rotary Kiln
EU-5 when five (5) kilns are in operation.
Respondent exceeded the SO2 emission limits for Rotary Kiln EU-5 while
firing 100% coal and processing dolomitic lime as indicated by the stack test
performed on June 25, 2014, with the stack test report received by IDEM on
August 18, 2014. Stack test results
reported emissions of 39 lb/hr
and 2.080 lb/ton, exceeding the limits of 34 lb/hr and 1.483 lb/ton, in violation of Condition D.1.2 of Title V Permit
No. 089-33762-00112 and 326 IAC 7-4.1-6.
3. Pursuant to Condition C.16 of Title V
Permit No. 089-33762-00112, when the results of a stack test exceed the level
specified the Respondent shall retest to demonstrate compliance no later than one-hundred
and eighty (180) days after the date of the test.
Respondent failed to conduct a retest of Rotary Kiln EU-5 for SO2
while firing 100% coal and processing dolomitic lime following the June 25,
2014, test in violation of Condition C.16 of Title V Permit No.
089-33762-00112.
4. Pursuant to Condition C.9 of Title V
Permit No. 089-33762-00112 and 326 IAC 3-6-3(b), the owner or operator of a
source or emissions unit shall conduct all emission tests under conditions of
worst case emissions.
Respondent failed to conduct Kiln EU-5 SO2
emission testing while processing dolomitic lime, the conditions of worst case
emissions, on October 21, 2011. The
October 2011 Kiln EU-5 testing was conducted while processing high calcium
limestone only, in violation of Condition C.9 of Title V Permit No.
089-33762-00112 and 326 IAC 3-6-3(b).
5. Pursuant to 326 IAC 2-7-10.5, an owner or operator of a Part 70 source
proposing to modify existing emission units or otherwise modify the source as
described in 326 IAC 2-7-10.5 shall submit a request for a modification approval. Any modification with a potential to
emit greater than or equal to twenty-five (25) tons per year of sulfur dioxide
(SO2) shall be processed as a significant source modification.
Respondent failed to submit a source
modification request prior to commencing the processing of dolomitic limestone,
a modification with a potential to emit greater than twenty-five (25) tons per
year of SO2, in violation of 326 IAC 2-7-10.5.
6. Pursuant to 326 IAC 2-7-4, the owner or
operator of each Part 70 source has a duty to submit a complete permit
application. Any applicant who fails to
submit any relevant facts shall, upon becoming aware of the failure, promptly
submit the supplementary facts. In
addition, an applicant shall provide additional information as necessary to
address any requirements that become applicable to the source after the date
the applicant filed a complete application but prior to release of a draft Part
70 permit.
Respondent failed to provide complete
information for initial Title V permit application No. 089-6140-00112 regarding
the sulfur contents of dolomitic limestone, high calcium limestone, dolomitic
quicklime, high calcium quicklime, and the accompanying flue dusts. This information was needed to correctly
write the SO2 mass balance calculations condition used to
demonstrate compliance with 326 IAC 7-4-1.1 and later with 326 IAC 7-4.1-6. The respondent’s failure to provide complete
information resulted in the issuance of a deficient Title V permit, in
violation of 326 IAC 2-7-4.
7. Pursuant to 326 IAC 7-4.1-6 effective
June 24, 2005, Carmeuse Lime shall comply with SO2 emission limits
for Rotary Kilns 1 through 5 as follows:
(1) When three (3) or fewer kilns are in operation
at the same time, the sulfur dioxide emissions are not to exceed:
(A) two and ninety-four
thousandths (2.094) pounds per ton of lime based on a one (1) hour average; and
(B) forty-eight (48) pounds per hour per operating
kiln.
(2) When four (4) kilns are in operation at the
same time, the sulfur dioxide emissions are not to exceed:
(A) one and seven hundred
forty-five thousandths (1.745) pounds per ton of lime based on a one (1) hour
average; and
(B) forty (40) pounds per hour per operating kiln.
(3) When five (5) kilns are in operation at the
same time, the sulfur dioxide emissions are not to exceed:
(A) one and four hundred
eighty-three thousandths (1.483) pounds per ton of lime based on a one (1) hour
average; and
(B)
thirty-four (34) pounds per hour per operating kiln.
Respondent failed to comply with the pounds
per ton of lime based on a one (1) hour average and pounds per hour limits when
processing dolomitic limestone, in violation of 326 IAC 7-4.1-6.
8. Pursuant to 326 IAC 2-7-4(c), the owner
or operator of each Part 70 source has a duty to submit a complete permit
application including other specific information that may be necessary to implement
and enforce other applicable requirements of the CAA, including but not limited
to 326 IAC 7-4.1-6.
Respondent provided inaccurate information in
the application for Renewal Title V Permit 089-27040-00112, issued November 16,
2009. The application received October
29, 2008, requested to replace the SO2 mass balance calculation
methodology with an approach using the sulfur content of the stone and fuel fed
to the kiln and the SO2 scrubbing factor based on the most recent
stack test for each kiln. The
application did not provide any indication that the scrubbing factor is
dependent on the type of limestone fed, and stated that based on current stack
test data the average scrubbing factor was 94.5%. The application included a page showing how
the scrubbing factor for each kiln had been determined; all of the measured SO2
values used were from stack tests conducted with high calcium limestone. Kiln 5 is primarily used to process dolomitic
limestone, and Kilns 1 and 2 process both.
The inherent SO2 scrubbing efficiency for dolomitic limestone
processing has been demonstrated to be lower than the scrubbing efficiency for
high calcium limestone, which results in higher SO2 emissions.
The application also provided an
equation to calculate hourly SO2 emissions which divided the daily
emissions by 24 hours per day, rather than using the actual hours of operation
for each kiln, producing erroneously low lb/hr results for days when a kiln did not operate 24 hours.
Carmeuse also submitted inaccurate information
in comments for the draft permit, received September 10, 2009. The comments included a revised SO2
quarterly reporting form for Rotary Kilns EU-1 through EU-5 including a monthly
averaging of the SO2 emissions (lb/hr) from all five kilns.
The SO2 limits are stated in 326 IAC 7-4.1-6 to be per kiln.
Respondent provided inaccurate
information resulting in the issuance of a deficient Title V permit, in
violation of 326 IAC 2-7-4(c).
9. Pursuant to Condition D.1.7(a) of Renewal
Title V Permit No. 089-27040-00112 and subsequent permits and 326 IAC 7-4.1-6,
to determine the calendar month SO2 emissions from each kiln the Respondent
shall use the equations in Condition D.1.7(a)(2) and (3) to determine the
scrubbing factor for each kiln and the calendar month SO2 emissions
from each kiln. Respondent shall
recalculate the scrubbing factor within ninety (90) days after receiving the
results of each new kiln performance test for SO2.
Respondent failed to use the stack test
conducted with the worst case emissions to calculate the scrubbing factors for
the kilns producing dolomitic lime, resulting in recording and quarterly
reporting of erroneously low SO2 emissions, in violation of Permit Condition
D.1.7(a) of Renewal Title V Permit No. 089-27040-00112 and subsequent permits
and 326 IAC 7-4.1-6.
10. Pursuant to Conditions B.24 and C.17 of Significant
Permit Modifications No. 089-23750-00112 and No. 089-23753-00112; Conditions
B.24 and C.18 of Renewal Title V Permit No. 089-27040-00112, Minor Permit
Modification No. 089-28935-00112, and Minor Permit Modification No.
089-29009-00112; Conditions B.23 and C.17 of Minor Permit Modification No.
089-32761-00112 and subsequent permits; 326 IAC 2-1.1-7; 326 IAC 2-6-4(c) and
326 IAC 2-7-19, the Respondent shall submit an annual emission statement
containing estimated actual emissions, and shall pay an annual fee including forty-one
dollars and twenty-five cents ($41.25) per ton for each ton of regulated air
pollutant emitted. The annual emission
statement submitted during the previous calendar year and other available information
shall be the basis for determining total tons of actual emissions of each
regulated pollutant.
Respondent failed to use dolomitic lime
scrubbing factors for the tons of dolomitic lime included in annual emission
statements, resulting in lower reported SO2 emissions from the
production of dolomitic lime and the underpayment of annual fees, in violation
of Permit Conditions currently identified as B.23 and C.17, 326 IAC 2-1.1-7,
326 IAC 2-6-4(c), and 326 IAC 2-7-19.
In
accordance with IC 13-30-3-3, the Commissioner herein provides notice that
violations may exist and offers an opportunity to enter into an Agreed Order
providing for the actions required to correct the violations and, as necessary
and appropriate, for the payment of a civil penalty. The Commissioner is not required to extend
this offer for more than sixty (60) days.
As provided in IC 13-30-3-3, an alleged violator may enter into an Agreed
Order without admitting that the violations occurred. IDEM encourages settlement by Agreed Order,
thereby resulting in quicker correction of the environmental violations and
avoidance of extensive litigation. Timely
settlement by Agreed Order may result in a reduced civil penalty. Also, settlement discussions will allow the
opportunity to present any mitigating factors that may be relevant to the
violations.
If an Agreed Order is not entered into within sixty (60) days of receipt
of this Notice of Violation, the Commissioner may issue a Notice and Order
under IC 13-30-3-4 containing the actions that must be taken to correct the
violations and requiring the payment of an appropriate civil penalty. Pursuant to IC 13-30-4-1, the Commissioner
may assess penalties of up to $25,000 per day for each violation.
Please
contact Vickie Cordell at (317) 234-2366 within fifteen (15) days after receipt
of this Notice to discuss resolution of this matter.
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For
the Commissioner: |
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Date: |
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Signed
August 9, 2017 |
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Phil
Perry, Chief Compliance
and Enforcement Branch Office
of Air Quality |
cc: Chris Imbrogno,
Carmeuse Lime
Rochelle Marceillars,
US EPA Region 5
Lake County Health Department
Randall Hoffman, Compliance and
Enforcement Manager, NWRO