Federal Leadership in Environmental, Energy, and Economic Performance
On October 5, 2009, President Obama issued Executive Order 13154, which instructs federal agencies to set or achieve various emissions reduction and energy and environmental benchmarks by 2015, 2020, and 2030. The order requires agencies to set GHG emissions reduction targets for 2020 within 90 days, and requires OMB to set a federal government target for 2020 within 120 days. The order also sets out required reductions in vehicle fleet petroleum use and requires increases in water and energy efficiency and in recycling and waste diversion rates. The order also mandates adoption of certain contract and procurement practices designed to promote energy and water efficiency and environmentally-preferable products.
Finalized by EPA on September 22, 2009, this rule requires reporting of GHG emissions from large sources in the United States, and is intended to collect data to inform future policy decisions. The rule requires suppliers of fossil fuels or industrial greenhouse gases, manufacturers of vehicles and engines, and facilities that emit 25,000 metric tons or more per year of GHG to submit annual reports to EPA. The gases covered are carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFC), perfluorocarbons (PFC), sulfur hexafluoride (SF6), and other fluorinated gases including nitrogen trifluoride (NF3) and hydrofluorinated ethers (HFE). The rule requires reporters to begin monitoring on January 1, 2010, and the first reports will be due on March 31, 2011.
California Motor Vehicle Greenhouse Gas Waiver Request
The Clean Air Act allows California to enact air pollution standards for motor vehicles stricter than those of federal government. EPA must approve a waiver before California’s rules may go into effect. The California Air Resources Board requested a waiver in December 2005. The request was denied by EPA on March 6, 2008. The California Air Resources Board requested that EPA reconsider its waiver denial in January 2009, and on January 26, 2009, President Obama directed EPA to determine whether denial of the waiver was appropriate. In a notice dated February 6 and published in the Federal Register on February 12, EPA announced it would reconsider the waiver application. After public hearing and comment, EPA granted a waiver on June 30, 2009.
The comment period for this rule closed on June 23, 2009. In Massachusetts v. EPA, 549 U.S. 497 (2007), the Supreme Court found that greenhouse gases are air pollutants covered by the Clean Air Act. The Court held that the EPA Administrator must determine under section 202(a) of the Clean Air Act whether or not emissions of greenhouse gases from new motor vehicles cause or contribute to air pollution which may reasonably be anticipated to endanger public health or welfare. On April 17, 2009, the Administrator signed a proposal with two distinct findings, the first an “endangerment finding” for six greenhouse gases—carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6)—and the second a “cause or contribute” finding for the combined emissions of CO2, CH4, N2O, and HFCs from new motor vehicles and motor vehicle engines.
The comment period for this rule closed on September 25, 2009. The current national Renewable Fuel Standard program (RFS1) was established under the Energy Policy Act of 2005. The proposed rule makes changes to the Renewable Fuel Standard program as required by the Energy Independence and Security Act of 2007. The revised statutory requirements establish new specific volume standards for cellulosic biofuel, biomass-based diesel, advanced biofuel, and total renewable fuel that must be used in transportation fuel each year. The revised statutory requirements also include new definitions and criteria for both renewable fuels and the feedstocks used to produce them, including new greenhouse gas emission thresholds for renewable fuels. The regulatory requirements for RFS will apply to domestic and foreign producers and importers of renewable fuel. The revised annual standard is known as RFS2.
Underground Injection Control Program for Geologic Sequestration of CO2
In July 2008, EPA published the Federal Requirements Under the Underground Injection Control (UIC) Program for Carbon Dioxide Geologic Sequestration Wells Proposed Rule for public review and comment. The comment period for this rule closed on December 24, 2008. However, EPA published a Notice of Data Availability and Request for Comment on August 31, 2009. The comment period for this Notice closes on October 15, 2009.
Sec. 202 GHG Regulation of Cars and Light Duty Trucks
Proposed jointly by EPA and the National Highway Traffic Safety Administration (NHTSA) on September 15, the proposed rule would create a National Program of GHG emission standards and Corporate Average Fuel Economy (CAFE) standards. EPA is proposing greenhouse gas emissions standards under the Clean Air Act, and NHTSA is proposing CAFE standards under the Energy Policy and Conservation Act. The standards apply to passenger cars, light-duty trucks, and medium-duty passenger vehicles, covering model years 2012 through 2016.
Reconsideration of PSD Permitting Guidance
EPA has requested public comments on its reconsideration of a December 18, 2008 interpretive memorandum from then-Administrator Stephen L. Johnson. The memorandum discussed when the Clean Air Act's PSD program would apply to a pollutant such as carbon dioxide. Comments must be received on or before December 7, 2009.
Regulation of Large Sources Under Revised PSD Threshold
On September 30, 2009, EPA announced a proposed rule (the "tailoring rule") focused on large facilities emitting over 25,000 tons of greenhouse gases annually. These facilities would be required to obtain permits that would demonstrate usage of best practices and technologies to minimize emissions. The rule proposes new GHG emission thresholds that define when Clean Air Act permits under the New Source Review (NSR) and title V operating permits programs would be required for new or existing facilities. The proposed thresholds would cover approximately 70% of national GHG emissions from stationary sources. The proposal addresses six GHGs: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFC), perfluorocarbons (PFC), and sulfur hexafluoride (SF6). EPA is proposing carbon dioxide equivalent (CO2e) as the preferred metric for determining GHG emissions rates for any combination of these six GHGs, but has requested comments on alternative measures. The proposed rule was published on October 27. Comments are due on or before December 28, 2009.
