State of California
AIR RESOURCES BOARD

Los Angeles Hilton
Wilshire Room
930 Wilshire Boulevard
Los Angeles, CA 90017

April 29, 1977
10:00 a.m.
AGENDA
Page

77-10-1 Minutes of the November 23, 1976 Board Meeting

77-10-2 Consideration of Model Upset/Breakdown Regulations. 1

77-10-3 Proposed Model Rule to Control the Sulfur Content of 52
Fuels Burned in the South Coast Air Basin by
January 1, 1981.

77-10-4 Status Report on the Rules for Controlling SOx 91
Emissions in the South Coast Air Basin.

77-10-5 Consideration of Proposed Model Rules for Controlling 167
NOx Emissions from Electrical Power Generating Plants
in the South Coast Air Basin.

77-10-6 Status Report on Rules for Controlling NOx Emissions 262
from Non-Electrical Power Generating Steam Boilers and
Process Heaters in the South Coast Air Basin.

77-10-7 Other Business -
a. Executive Session - Personnel & Litigation
b. Research Proposals

ITEM NO.: 77-10-2

Consideration of Model Upset/Breakdown Regulations.

RECOMMENDATION

Adopt Resolution 77-17, thereby approving a Model Upset/Breakdown
Rule (with attached Hearing Board Standards and Guidelines).

SUMMARY

On December 15, 1976, the staff reported a number of deficiencies
with respect to existing local air pollution control district
upset/breakdown rules and regulations, and prepared a draft
suggested rule for adoption by local districts to remove the
deficiencies. The Board directed the staff to conduct a public
workshop and consult with EPA on the draft suggested rule, then
report back with a model rule for approval by the Board. In this
item, the staff reports on the comments received at the workshop
and from EPA, and proposed approval of a model Upset/Breakdown
Rule (with Hearing Board Standards and Guidelines) which reflects
such comments. If approved, the model rule will be forwarded to
basinwide control councils and districts for adoption.

ATTACHMENTS: Resolution 77-17
Proposed Model Upset/Breakdown Rule (and Hearing
Board Standards and Guidelines)
Staff Report 77-10-2
Table 1 - Upset/Breakdown Rules in December 15
Staff Report
December 15 Suggested Upset/Breakdown Rule
Letters from Humboldt, Santa Barbara and PG&E
December 23 Letter on Workshop
Sample Hearing Board Findings and Order
Suggested Hearing Board Order

ITEM NO.: 77-10-3

Proposed Model rule to Control the Sulfur Content of Fuels Burned
in the South Coast Air Basin by January 1, 1981.

RECOMMENDATION

Approve the proposed model rule for the South Coast Air Basin
(Attachment 2) which requires control of SO2 emissions equal to
the level associated with the burning of fuel with a sulfur
content of 0.1 percent by weight effective January 1, 1981.

SUMMARY

The California 24-hour sulfate standard of 25 micrograms per
cubic meter is violated in the South Coast Air Basin frequently
by wide margins. With the increasing curtailment of natural gas,
ambient sulfate levels are projected to increase in the future.

In August 1976 the Board directed the staff to develop rules to
reduce sulfur dioxide (SO2) emissions in the South Coast Air
Basin. Such rules, other than the 0.1%S rule discussed herein,
are the subject of another staff report. In February of this
year, the Board acted to limit the sulfur content of fuels burned
by power plants in the South Coast Air Basin to 0.25 weight
percent, thereby halving the SO2 emissions from power plants.
However, the reduction in emissions that would result from the
rules being developed by the staff and the 0.25%S rule would not
be sufficient to offset the anticipated future increases in SO2
emissions in the South Coast Air Basin. For this reason, the
staff believes that the Board should approve a model rule
controlling the sulfur contents of fuels which reflects long term
air quality needs. The selection of January 1, 1981 for the
implementation of the rule provides sufficient lead time for
electric utilities and industry to choose between the available
approaches to compliance.

Implementation of the 0.1%S rule proposed herein would reduce
future SO2 emissions by about 45 percent and would have an
incremental cost-effectiveness ration of 0.82 to 1.92 dollars per
pound of SO2 reduced. Investment costs would be about 990 to
1060 million 1977 dollars and the annual cost would be about 120
to 280 million 1977 dollars. there would be some adverse
environmental impacts related to energy use, emissions, and waste
disposal. A positive impact would be the estimated employment
need for approximately 3000 persons.

If this action is not taken, SO2 emissions will rise with
subsequent further increases in ambient sulfate concentrations
and poor visibility. Alternatives to this action would be the
procurement of large quantities of natural gas or the
displacement of SO2 sources from the Basin. Neither of these
appears likely.

ITEM NO.: 77-10-4

Status of Proposed Model Rules for the Control of Sulfur Oxides
Emissions in the South Coast Air Basin.

RECOMMENDATION

None. This is an informational report.

SUMMARY

At its August 24, 1976 meeting, the Board directed the staff to
develop rules for controlling sulfur dioxide (SO2) emissions in
the South Coast Air Quality Management District, Ventura County,
and the southern portion of Santa Barbara County. Preliminary
suggested rules were developed by the staff and were the subject
of a February 23, 1977 workshop. This is an informational report
on the status of the development of these rules.

During the subsequent to the workshop comments were received on
each of the four SO2 rules: 1) sulfur content of fuels; 2)
sulfur emissions from marine vessels; 3) sulfur processing
facilities; and 4) concentration of sulfur compounds. Concern
was expressed regarding the limited time frame allowed to respond
to the rules. It was stated that additional time was needed to
provide the staff detailed data and information necessary for
full assessment of the technological feasibility and economic
reasonableness of the proposals.

ITEM NO.: 77-10-5

Consideration of Proposed Model Rule for the Control of Oxides of
Nitrogen Emissions from Electric Power Generating Plants in the
South Coast Air Basin.

RECOMMENDATION

Direct the staff to schedule a public hearing to consider
approval of a model rule substantially similar to the model rule
proposed in Attachment IV unless the utility companies in the
south Coast Air Basin make a firm commitment to obtain and
provide to the staff needed data and information within six
months.

SUMMARY

California's one-hour ambient air quality standard for nitrogen
dioxide of 0.25 ppm is being frequently violated in the South
Coast Air Basin. With the increasing curtailment of natural gas
and increasing electrical power demand, ambient NO2 levels will
increase, if power plant NOx emissions are not further
controlled.

In February, a workshop was conducted to obtain comments on the
staff's preliminary suggested rules for controlling NOx emissions
from power plants. Following the workshop, the staff met with
each of the five utilities serving the South Coast Air Basin to
obtain additional comments. The general consensus of the
utilities was that more time would be needed to assess fully the
impact of the proposed rules on each of the company's units and
on each company's system as a whole in terms of technical
feasibility and economic reasonableness.

Based on the evaluation of these comments, the staff believes
that the Board should delay approval of the proposed model rule
if the affected utilities make a formal commitment to the Board
to obtain and provide to the staff the needed information within
six months. If such a commitment is not obtained, then the Board
should direct the staff to schedule a public hearing to approve a
model rule substantially similar to the one proposed.

ITEM NO.: 77-10-6

Status of Proposed Model Rules for the Control of Oxides to
Nitrogen Emissions from Non-Electric Power Generating Steam
Boilers and Process Heaters in the South Coast Air Basin.

RECOMMENDATION

None. This is an informational report.

SUMMARY

The California one hour ambient air quality standard for nitrogen
dioxide (NO2) of 0.25 parts per million is frequently violated in
the South Coast Air Basin by wide margins. Projected trends of
oxides of nitrogen (NOx) emissions illustrate that attainment of
the NO2 ambient air quality standard will be impossible without
further control of NOx emissions.

At its August 24, 1976 meeting, the Board directed the staff to
develop rules for controlling NOx emissions in the South Coast
Air Basin as it was constituted then. Preliminary suggested
rules on this subject were developed by the staff and discussed
at a workshop on February 24, 1977. This is an information
report on the status of the development of the subject rule which
applies to non-electric power generatin