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Scop Scoping ing Mee eetin ing for Di Distric ict Rule les 4306 4306 an and d 4320 4320 Bo Boil ilers, , St Stea eam Gen Gener erat ators, an and d Process Hea Heaters Great eater than han 5.0 5.0 MMBt Btu/hr hr


  1. Scop Scoping ing Mee eetin ing for Di Distric ict Rule les 4306 4306 an and d 4320 4320 Bo Boil ilers, , St Stea eam Gen Gener erat ators, an and d Process Hea Heaters Great eater than han 5.0 5.0 MMBt Btu/hr hr December 5, 2019 webcast@valleyair.org

  2. Rule le 4306 4306 an and Rule le 4320 4320 Overvie iew • These rules apply to any gaseous fuel- or liquid fuel- fired boiler, steam generator, or process heater with a total rated heat input greater than 5 MMBtu per hour • Boilers are external combustion equipment used to produce hot water or steam • Process heaters are combustion equipment that transfer heat from combustion gases to liquid or gas process streams • Steam generators are external combustion equipment that convert water to steam; most commonly used in thermally enhanced crude oil production Image credit: US EPA, 2013 2

  3. Wh Wher ere do do Boi oilers, St Stea eam Gene Generators, , and nd Proc ocess Hea Heaters Op Operate? ? • These units are used at the following facility types in the Valley: –Oil and gas production facilities –Petroleum refineries –Food processing operations –Schools, Universities –Correctional facilities –Hospitals –Livestock husbandry operations (dairies, cattle feedlots, etc.) –Electrical utilities –Manufacture and industrial facilities 3

  4. Current R Rule le 4306 4306 an and Rule le 4320 4320 Requir ireme ments • Rule 4306 establishes specific NOx limits for many categories of boiler/steam generator/process heater units –NOx limits must be met in order to legally operate in the District –Facilities generally control emissions from these sources through combustion modification or exhaust gas treatment • Rule 4320 establishes more strict NOx limits for units in this source category. Operators are given three options to comply: –Meet the specified emission limits, or –Pay an emissions fee annually to the District, or –Comply with the low- use provision (fuel limit of ≤ 1.8 billion Btu/ yr) • Through these rules, NOx emissions from these sources already reduced by 96% 4

  5. Boiler lers, s, St Steam m Ge Gene nerators, and , and Process ess Hea eater ers > 5 5 MMB MMBtu tu/hr hr Em Emissi ssions I s Invent entory ( (tons per ns per da day) Annual nnual A Average rage Year ar 201 013 2017 17 201 019 2020 2022 2023 2024 1.24 1.15 1.12 1.10 1.06 1.04 1.02 PM2.5 PM2 1.80 1.47 1.39 1.35 1.26 1.22 1.18 NOx Ox 5

  6. Addi ddition onal E l Emission R n Reduct eductions N Need eeded • Valley’s challenges in meeting federal air quality standards unmatched due to unique geography, meteorology, and topography • Substantial emission reductions needed to achieve PM2.5 standards – need to go beyond already strict limits • Commitment in 2018 PM2.5 Plan to evaluate further emissions reduction opportunities from sources including boilers, steam generators, and process heaters –Reduce NOx emissions by lowering the NOx emission limits and lowering the more stringent Advanced Emission Reduction Option (AERO) limit for specific classes and categories of units 6

  7. Potent ntial E Emissio ion R n Reduc eductio ion n Op Opportunit unities • Boilers and process heaters > 5.0 MMBtu/hr to ≤ 20 MMBtu/hr – Lower current emissions limitations of 6 ppmv (enhanced) and 9 ppmv (standard) to a new limitation as low as 2.5 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment • Boilers and process heaters > 20 MMBtu/hr – Lower current emissions limitations of 5 ppmv (enhanced) and 7 ppmv (standard) to a new limitation as low as 2 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment • Oil field steam generators > 5.0 MMBtu/hr to ≤ 20 MMBtu/hr – Lower current emissions limitations of 6 ppmv (enhanced) and 9 ppmv (standard) to a new limitation as low as 3.5 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment 7

  8. Potent ntial E Emissio ion R n Reduc eductio ion n Op Opportunit unities (c (cont ont’d) • Oil field steam generators > 20 MMBtu/hr – Lower current emissions limitations of 5 ppmv (enhanced) and 7 ppmv (standard) to a new limitation as low as 2 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment • Oil field steam generators < 50% PUC quality gas – Lower current emissions limitations of 12 ppmv (enhanced initial) and 9 ppmv (enhanced final) to a new limitation as low as 3.5 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment • Petroleum refinery boilers/process heaters > 5.0 MMBtu/hr to ≤ 20 MMBtu/hr – Lower current emissions limitations of 9 ppmv to a new limitation as low as 3 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment 8

  9. Potent ntial E Emissio ion R n Reduc eductio ion n Op Opportunit unities (c (cont ont’d) • Petroleum refinery boilers/process heaters > 20 to ≤ 110 MMBtu/ hr – Lower current emissions limitations of 6 ppmv to a new limitation as low as 3 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment • Petroleum refinery boilers/process heaters > 110 MMBtu/hr – Lower current emissions limitations of 5 ppmv to a new limitation as low as 3 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment • Petroleum refinery boilers/process heaters < 50% PUC quality gas – Lower current emissions limitations of 9 ppmv to a new limitation as low as 3 ppmv, with Advanced Emission Reduction Option to allow for advanced technology development and deployment 9

  10. Time Timelin ine f for r Rule le Ame mendme ment Pr Process Anticipated Public Process Action Date Implementation Emission Begins Begins Reductions To be refined through 2019 2020 2024 rulemaking process 10

  11. Socioe Socioecono nomic ic Im Impact Ana Analysis for or Rule le 4306 4306 an and Rule le 4320 4320 • Socioeconomic Impact Analysis will be conducted by independent consultant to analyze impacts of proposed regulation on Valley economy • Recent Request for Proposals (RFP) to select consultant –RFP closed November 27, 2019 –District staff expect to select a consultant by end of 2019 –Analysis to begin Quarter 1, 2020 • Results of analysis to be publicly available and included with proposed rule amendment package 11

  12. Ne Next xt S Steps ps: Pu Public blic En Engag ageme ment Pr Process f for Rule le 4306 an 4306 and Rule le 4320 A 4320 Ame mendme ments 2020 Scoping Public Publication of Governing Meeting Workshop Proposed Rule Board Public Hearing Public Participation and Comment Invited throughout Process 12

  13. Cont Contact Cont ontac act: Ross Badertscher Mail Mail: San Joaquin Valley APCD 1990 E. Gettysburg Ave Fresno, CA 93726 Phon Phone: (559) 230- 5812 Fa Fax: (559) 230-6064 Email Email: ross.badertscher@valleyair.org Li List stser serv: http://lists.valleyair.org/mailman/listinfo/ boilers_and_heaters 13

  14. Op Open n Di Disc scus ussio ion a n and nd In Input ut webcast@valleyair.org 14

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