NOTICE OF VIOLATION

 

 

Via Certified Mail #:

 

 

Via Certified Mail #:

 

 

To:

Yves Willems, President

 

National Registered Agents, Inc.

 

Carmeuse Lime, Inc.

 

Registered Agent

 

11 Stanwix St. - 21st Floor

 

150 West Market Street Suite 800

 

Pittsburg, PA  15222

 

Indianapolis, IN  46204

 

 

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.

 

 

 

For the Commissioner:

 

 

 

 

 

 

 

 

Date:

 

 

Signed August 9, 2017

 

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

http://www.in.gov/idem/enforcement/