EPA Good Neighbor Plan

Federal Implementation Plan Addressing Regional Ozone Transport for the 2015 Ozone National Ambient Air Quality Standard Published in Federal Register

On April 6, 2022, EPA published the proposed “Federal Implementation Plan Addressing Regional Ozone Transport for the 2015 Ozone National Ambient Air Quality Standard” in the Federal Register. EPA is proposing this rule under the “good neighbor” or “interstate transport” provision of the Clean Air Act (CAA or Act). The proposed rule, referred to by EPA as the Good Neighbor Plan, includes several key components discussed below.

  1. Beginning May 1, 2023, the Cross-State Air Pollution Rule (CSAPR) NOx Group 3 Ozone Season Trading Program (40 CFR Part 97, Subpart GGGGG) would be expanded from the current twelve (12) affected States to 25 States. The ozone season is defined as May 1 through September 30. The States would include: Alabama, Arkansas, Delaware, Illinois, Indiana, Kentucky, Louisiana, Maryland, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Jersey, New York, Ohio, Oklahoma, Pennsylvania, Tennessee, Texas, Utah, Virginia, West Virginia, Wisconsin and Wyoming. Delaware, Nevada, Utah and Wyoming are new to CSAPR.
  2. Initially, the proposed State ozone season budgets would be at the level of NOx reductions achievable through currently available measures such as consistent operation of existing emission controls on electric generating units (EGUs). Beginning in 2026, State ozone season budgets would be set at levels achieved by the installation of modern selective catalytic reduction (SCR) controls at the approximately 30% of the large coal-fired EGUs that are not equipped with these controls. Additionally, beginning in 2025, the State ozone season budgets will be updated annually to reflect new EGU retirements, newly constructed units and operational changes.
  3. In 2024, a daily NOx emission rate limit would be in effect for large coal-fired EGUs with existing controls and in 2027 for large coal-fired EGU’s installing new controls.
  4. Effective May 1, 2026, non-EGUs in 25 states would be required to meet NOx emission limits during the ozone season. NOx emission limits would apply to the units in the specific industries listed below.
    • Reciprocating internal combustion engines in Pipeline Transportation of Natural Gas,
    • Kilns in Cement and Cement Product Manufacturing,
    • Furnaces in Glass and Glass Product Manufacturing,
    • High-emitting, large boilers in Basic Chemical Manufacturing, Petroleum and Coal Product Manufacturing,
    • High-emitting, large boilers in Pulp, Paper and Paperboard Mills
Figure 1. States covered by the proposed “Good Neighbor Plan.”

A copy of the proposed rule is available here. EPA will hold a virtual public hearing on April 21, 2022. Comments on the proposed rule must be received on or before June 6, 2022.

VIM will continue to monitor and evaluate the impact of this far-reaching regulation. Stay tuned for future updates as they become available.