House File 2273

                                       HOUSE FILE       
                                       BY  SHOULTZ


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to mercury emissions for certain coal combustion
  2    electrical generators.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 6047YH 80
  5 tm/gg/14

PAG LIN

  1  1    Section 1.  Section 455B.131, Code 2003, is amended by
  1  2 adding the following new subsections:
  1  3    NEW SUBSECTION.  0A.  "Affected unit" means any emissions
  1  4 unit that generates electricity in the state and combusts coal
  1  5 in an amount greater than ten percent of its total heat input
  1  6 on a rolling twelve=month basis.
  1  7    NEW SUBSECTION.  3A.  "Alternative emissions limit" means a
  1  8 mercury emissions limit established by the commission for an
  1  9 affected unit.
  1 10    NEW SUBSECTION.  4A.  "Calendar quarter" means the calendar
  1 11 periods each year beginning January 1 and ending March 31,
  1 12 beginning April 1 and ending June 30, beginning July 1 and
  1 13 ending September 30, and beginning October 1 and ending
  1 14 December 31.
  1 15    NEW SUBSECTION.  6A.  "Fluidized bed combustion unit" means
  1 16 a combustion unit in which fuel is introduced into a layer of
  1 17 solid particles kept in turbulent motion by air that is forced
  1 18 into the layer from below, resulting in a thorough mixing and
  1 19 intimate contact of the fuel and other reactants.
  1 20    NEW SUBSECTION.  6B.  "Inlet conditions" means the
  1 21 concentration of mercury in the flue gas exiting the
  1 22 combustion source prior to application of any air pollution
  1 23 control device or, in the case of a fluidized bed combustion
  1 24 unit, the concentration of mercury input to the combustion
  1 25 source based on representative fuel sampling and analysis, as
  1 26 determined by the commission.
  1 27    NEW SUBSECTION.  7A.  "Mercury" means mercury and mercury
  1 28 compounds in either a gaseous or particulate form.
  1 29    Sec. 2.  Section 455B.133, Code 2003, is amended by adding
  1 30 the following new subsection:
  1 31    NEW SUBSECTION.  11.  On or before July 1, 2012, the
  1 32 commission shall conduct a review of the mercury emissions
  1 33 limits applicable to all affected units in the state.  On or
  1 34 after July 1, 2012, the commission may adopt rules imposing
  1 35 mercury emissions limits that are more stringent than the
  2  1 emissions requirements provided in section 455B.133A.
  2  2    Sec. 3.  NEW SECTION.  455B.133A  MERCURY EMISSIONS FROM
  2  3 ELECTRICITY GENERATION UNITS.
  2  4    1.  a.  On and after July 1, 2008, the owner or operator of
  2  5 an affected unit shall do one of the following as determined
  2  6 by the owner or operator of the affected unit:
  2  7    (1)  Meet an emissions rate of equal to or less than six=
  2  8 tenths pounds of mercury per one trillion British thermal
  2  9 units of heat input.
  2 10    (2)  Meet a mercury emissions rate equal to a ninety
  2 11 percent reduction of mercury from the measure inlet conditions
  2 12 for the affected unit.
  2 13    b.  Compliance with the requirements of this subsection
  2 14 shall be demonstrated in accordance with the provisions of
  2 15 subsection 3.
  2 16    2.  a.  If the owner or operator of an affected unit
  2 17 properly installs and operates control technology designed to
  2 18 achieve the mercury emissions rate requirement of subsection
  2 19 1, and such technology fails to achieve the emissions rate,
  2 20 the owner or operator shall notify the department of such
  2 21 failure not later than February 2, 2009.  The owner or
  2 22 operator shall submit each quarterly stack test from the
  2 23 affected unit to the department for evaluation and
  2 24 establishment of an alternative emissions limit for the
  2 25 affected unit based upon the optimized performance of the
  2 26 properly installed and operated control technology.  The
  2 27 department shall establish an alternative emissions limit for
  2 28 any such affected unit not later than April 1, 2010.
  2 29    b.  Upon the establishment of an alternative emissions
  2 30 limit for an affected unit pursuant to paragraph "a", the
  2 31 department shall incorporate the alternative emissions limit
  2 32 into the air permit required under Title V of the federal
  2 33 Clean Air Act for the affected unit.  Thereafter, upon any
  2 34 application for renewal of such permit, the department shall
  2 35 conduct a review of the affected unit's alternative emissions
  3  1 limit and may impose a more stringent alternative emissions
  3  2 limit based upon any new data regarding the demonstrated
  3  3 control capabilities of the type of control technology
  3  4 installed and operated at such affected unit.
  3  5    c.  If the owner or operator of an affected unit properly
  3  6 installs and operates control technology designed to achieve
  3  7 the mercury emissions rate requirement established in
  3  8 subsection 1, but the technology fails to achieve the
  3  9 emissions requirement, and the owner or operator notifies the
  3 10 department of such failure not later than February 1, 2009,
  3 11 the owner or operator of the affected unit shall demonstrate
  3 12 compliance with the requirements of subsection 1 for the
  3 13 period beginning July 1, 2008, and ending on the date of the
  3 14 issuance of an alternative emissions limit by operating and
  3 15 maintaining the affected unit, including any associated air
  3 16 pollution control equipment, in a manner consistent with good
  3 17 air pollution control practices for minimization of mercury
  3 18 emissions, as determined by the department.  In determining
  3 19 whether the owner or operator of the affected unit is
  3 20 operating and maintaining the affected unit in a manner
  3 21 consistent with good air pollution control practices for the
  3 22 minimization of mercury emissions, the department may review
  3 23 the emissions monitoring results and operating and maintenance
  3 24 procedures of the affected unit and may inspect the affected
  3 25 unit.
  3 26    3.  a.  Any stack test used to demonstrate compliance with
  3 27 the mercury emissions rate requirements of subsection 1 or
  3 28 used in the establishment or compliance with an alternative
  3 29 emissions limit shall be based on the average of the stack
  3 30 tests conducted during the two most recent calendar quarters
  3 31 for an affected unit and shall be conducted on a calendar
  3 32 quarter basis in accordance with method 29 of the United
  3 33 States environmental protection agency for the determination
  3 34 of metal emissions from stationary sources, as set forth in 40
  3 35 C.F.R. } 60, appendix A, as amended, or any other alternative
  4  1 method approved by the United States environmental protection
  4  2 agency or the department.  The stack tests shall be conducted
  4  3 while combusting coal or coal blends that are representative
  4  4 of the coal or coal blends combusted at the affected unit
  4  5 during the calendar quarter represented by the stack test.
  4  6    b.  If the department determines that continuous emission
  4  7 monitors for mercury in flue gases are commercially available
  4  8 and can perform in accordance with national institute of
  4  9 technology standards, or other methodology approved by the
  4 10 United States environmental protection agency, the owner or
  4 11 operator of an affected unit shall properly install and
  4 12 operate the continuous emission monitors and shall not be
  4 13 required to conduct stack testing on a calendar quarter basis.
  4 14 When reporting compliance with the mercury emissions rate
  4 15 requirement of subsection 1 or 2, as applicable, the owner or
  4 16 operator of an affected unit shall use an average of the
  4 17 continuous emission monitor data recorded at the affected unit
  4 18 during the most recent calendar quarter.
  4 19    4.  The owner or operator of an affected unit shall, for
  4 20 each calendar quarter, report to the department the results of
  4 21 any stack test or average of the continuous emission monitor
  4 22 data, as applicable, used to demonstrate compliance with the
  4 23 provisions of this section.  The reports shall be submitted on
  4 24 such forms as may be prescribed by the department.
  4 25    5.  The provisions of this section, when implemented by the
  4 26 department, shall not suspend any underlying procedures or
  4 27 requirements as set forth in this chapter.
  4 28                           EXPLANATION
  4 29    This bill relates to mercury emissions for certain coal
  4 30 combustion electrical generators.
  4 31    The bill provides that, on or before July 1, 2012, the
  4 32 environmental protection commission shall conduct a review of
  4 33 the mercury emissions limits applicable to all affected units
  4 34 in the state.  The bill provides that, on or after July 1,
  4 35 2012, the environmental protection commission may adopt rules
  5  1 imposing mercury emissions limits that are more stringent than
  5  2 the emissions requirements provided for in this bill for the
  5  3 time prior to July 1, 2012.  The bill provides that an
  5  4 "affected unit" means any emissions unit that generates
  5  5 electricity in the state and combusts coal in an amount
  5  6 greater than 10 percent of its total heat input on a rolling
  5  7 12=month basis.
  5  8    The bill provides that, on and after July 1, 2008, the
  5  9 owner or operator of an affected unit shall do one or more of
  5 10 the following as determined by the owner or operator of the
  5 11 affected unit:
  5 12    1.  Meet an emissions rate of equal to or less than six=
  5 13 tenths pounds of mercury per one trillion British thermal
  5 14 units of heat input.
  5 15    2.  Meet a mercury emissions rate equal to a 90 percent
  5 16 reduction of mercury from the measure inlet conditions for the
  5 17 affected unit.
  5 18    The bill provides that, if the owner or operator of an
  5 19 affected unit properly installs and operates control
  5 20 technology designed to achieve these mercury emissions rate
  5 21 requirements of the bill and such technology fails to achieve
  5 22 the emissions rate, the owner or operator shall notify the
  5 23 department of natural resources of such failure not later than
  5 24 February 2, 2009.  The bill provides that the owner or
  5 25 operator shall submit each quarterly stack test from the
  5 26 affected unit to the department for evaluation and
  5 27 establishment of an alternative emissions limit for the
  5 28 affected unit based upon the optimized performance of the
  5 29 properly installed and operated control technology.  The bill
  5 30 provides that the department shall establish an alternative
  5 31 emissions limit for any such affected unit not later than
  5 32 April 1, 2010.
  5 33    The bill provides that, upon the establishment of an
  5 34 alternative emissions limit, the department shall incorporate
  5 35 the alternative emissions limit into the air permit required
  6  1 under Title V of the federal Clean Air Act for the affected
  6  2 unit.  The bill provides that, upon any application for
  6  3 renewal of such permit, the department shall conduct a review
  6  4 of the affected unit's alternative emissions limit and may
  6  5 impose a more stringent alternative emissions limit.
  6  6    The bill provides that, if the owner or operator of an
  6  7 affected unit properly installs and operates control
  6  8 technology designed to achieve the mercury emissions rate
  6  9 requirements of the bill, but the technology fails to achieve
  6 10 the emissions requirement, and the owner or operator notifies
  6 11 the department of such failure not later than February 1,
  6 12 2009, the owner or operator of the affected unit shall
  6 13 demonstrate compliance with the mercury emissions rate
  6 14 requirements for the period beginning July 1, 2008, and ending
  6 15 on the date of the issuance of an alternative emissions limit
  6 16 by operating and maintaining the affected unit, including any
  6 17 associated air pollution control equipment, in a manner
  6 18 consistent with good air pollution control practices for
  6 19 minimization of mercury emissions, as determined by the
  6 20 department.
  6 21    The bill provides that any stack test used to demonstrate
  6 22 compliance with the mercury emissions rate requirements of
  6 23 this bill or used in the establishment or compliance with an
  6 24 alternative emissions limit shall be based on the average of
  6 25 the stack tests conducted during the two most recent calendar
  6 26 quarters for an affected unit and shall be conducted on a
  6 27 calendar quarter basis in accordance with certain federal
  6 28 procedures or any other alternative method approved by the
  6 29 United States environmental protection agency or the
  6 30 department.
  6 31    The bill provides that, if the department determines that
  6 32 continuous emission monitors for mercury in flue gases are
  6 33 commercially available and can perform in accordance with
  6 34 national institute of technology standards, or other
  6 35 methodology approved by the United States environmental
  7  1 protection agency, the owner or operator of any affected unit
  7  2 shall properly install and operate the continuous emission
  7  3 monitors and shall not be required to conduct stack testing on
  7  4 a calendar quarter basis.
  7  5    The bill provides that the owner or operator of any
  7  6 affected unit shall, for each calendar quarter, report to the
  7  7 department the results of any stack test or average of the
  7  8 continuous emission monitor data, as applicable, used to
  7  9 demonstrate compliance with the provisions of the bill.
  7 10 LSB 6047YH 80
  7 11 tm/gg/14