Section R18-2-402. General

A.      The preconstruction review requirements of this Article shall apply to the construction of any new major source or any proj- ect at an existing major source.

B.       The requirements of R18-2-403 through R18-2-410 apply to the construction of a major source or a major modification of

Department of Environmental Quality – Air Pollution Control

any existing stationary source, except as this Article otherwise provides.

C.      No person shall begin actual construction of a new major source or a major modification subject to the requirements of R18-2-403 through R18-2-410 without first obtaining a pro- posed final permit from the Director, pursuant to R18-2- 307(A)(2), stating that the major source or major modification shall meet those requirements.

D.      The requirements of this Article apply to projects at major sources in accordance with the following principles.

1.        Except as otherwise provided in subsection (E), a project is a major modification for a regulated NSR pollutant if it causes both a significant emissions increase and a signifi- cant net emissions increase. The project is not a major modification if it does not cause a significant emissions increase. If the project causes a significant emissions increase, then the project is a major modification only if it also results in a significant net emissions increase.

2.        The procedure for calculating before beginning actual construction whether a significant emissions increase will occur depends upon the types of emissions units being modified as set forth in subsections (D)(3) through (6). The procedure for calculating before beginning actual construction whether a significant net emissions increase will occur at the major source is set forth in the definition of net emissions increase in R18-2-101. Regardless of any such preconstruction projections, a major modifica- tion results if the project causes a significant emissions increase and a significant net emissions increase.

3.        Actual-to-projected-actual applicability test for projects that only involve existing emissions units. A significant emissions increase of a regulated NSR pollutant is pro- jected to occur if the sum of the difference between the projected actual emissions and the baseline actual emis- sions, for each existing emissions unit, equals or exceeds the significant amount for that pollutant.

4.        Actual-to-potential applicability test for projects that only involve new emissions units. A significant emissions increase of a regulated NSR pollutant is projected to occur if the sum of the difference between the potential to emit from each new emissions unit following completion of the project and the baseline actual emissions of these units before the project equals or exceeds the significant amount for that pollutant.

5.        [Reserved.]

6.        Hybrid applicability test for projects that involve both new emissions units and existing emissions units. A sig- nificant emissions increase of a regulated NSR pollutant is projected to occur if the sum of the emissions increases for each emissions unit, using the method specified in subsection (D)(4), as applicable with respect to each emissions unit, equals or exceeds the significant amount for that pollutant.

E.       Any major source with a PAL for a regulated NSR pollutant shall comply with R18-2-412.

F.       This subsection applies with respect to any regulated NSR pol- lutant emitted from projects at existing emissions units at a major stationary source (other than projects at a source with a PAL) in circumstances where there is a reasonable possibility, within the meaning of subsection (F)(6) of this Section, that a project that is not a part of a major modification may result in a significant emissions increase of such pollutant and the owner or operator elects to use the method specified in R18-2- 401(20)(b)(i) through (iv) of the definition of projected actual emissions for calculating projected actual emissions.

1.        Before beginning actual construction of the project, the owner or operator shall document and maintain a record of the following information:

a.         A description of the project;

b.        Identification of the emissions unit(s) with emis- sions of a regulated NSR pollutant that could be affected by the project;

c.         A description of the applicability test used to deter- mine that the project is not a major modification for any regulated NSR pollutant, including the baseline actual emissions, the projected actual emissions, the amount of emissions excluded under R18-2- 401(20)(b)(iii) of the definition of projected actual emissions and an explanation for why such amount was excluded; and

d.        Any netting calculations, if applicable.

2.        If the emissions unit is an existing electric utility steam generating unit, before beginning actual construction, the owner or operator shall provide a copy of the information set out subsection (F)(1) to the Director. Nothing in this subsection shall be construed to require the owner or operator of such a unit to obtain any determination from the Director before beginning actual construction.

3.        The owner or operator shall monitor the emissions of any regulated NSR pollutant that could increase as a result of the project and that is emitted by any emissions unit iden- tified in subsection (F)(1)(b); and calculate and maintain a record of the annual emissions, in tons per year on a cal- endar year basis, for a period of five years following resumption of regular operations after the change, or for a period of 10 years following resumption of regular opera- tions after the change if the project increases the design capacity or potential to emit of that regulated NSR pollut- ant at such emissions unit. For purposes of this subsec- tion, fugitive emissions (to the extent quantifiable) shall be monitored if the emissions unit is part of a section 302(j) category or if the emissions unit is located at a major stationary source that belongs to a section 302(j) category.

4.        The owner or operator shall submit a report to the Direc- tor if for a calendar year the annual emissions, in tons per year, from the project identified in subsection (F)(1)(a) exceed the sum of the baseline actual emissions, as docu- mented and maintained under subsection (F)(1)(c), by a significant amount for that regulated NSR pollutant, and if the emissions differ from the preconstruction projection as documented and maintained under subsection (F)(1)(c). The owner or operator shall submit the report to the Director within 60 days after the end of the calendar year. The report shall contain the following:

a.         The name,  address and telephone  number of the major source;

b.        The annual emissions as calculated pursuant to sub- section (F)(3); and

c.         Any other information that the owner or operator wishes to include in the report, such as an explana- tion as to why the emissions differ from the precon- struction projection.

5.        Notwithstanding subsection (F)(4), if any existing emis- sions unit identified in subsection (F)(1)(b) is an electric utility steam generating unit, the owner or operator shall submit a report to the Director within 60 days after the end of each calendar year during which the owner or operator must generate records under subsection (F)(3). The report shall document the unit’s post-project annual

Department of Environmental Quality – Air Pollution Control

emissions during the calendar year that preceded submis- sion of the report.

6.        A “reasonable possibility” under subsection (F) occurs when the owner or operator calculates the project to result in one of the following:

a.         A projected actual  emissions increase of at least 50% of the amount that is a significant emissions increase (without reference to the amount that is a significant net emissions increase) for the regulated NSR pollutant.

b.        A projected actual emissions increase that, added to the amount of emissions excluded under subsection R18-2-401(20)(b)(iv) of the definition of projected actual emissions, sums to at least 50% of the amount that is a significant emissions increase (without ref- erence to the amount that is a significant net emis- sions increase) for the regulated NSR pollutant. For a project for which a reasonable possibility occurs only within the meaning of subsection (F)(6)(b), and not also within the meaning of subsection (F)(6)(a), subsections (F)(2) through (5) do not apply to the project.

G.      An application for a permit or permit revision under this Arti- cle, other than a PAL permit pursuant to R18-2-412, shall not be considered complete unless the application demonstrates that:

1.        The requirements in subsection (H) are met;

2.        The more stringent of the applicable new source perfor- mance standards in Article 9 of this Chapter or the exist- ing source performance standards in Article 7 of this Chapter are applied to the proposed new major source or major modification of a major source;

3.        The visibility requirements contained in R18-2-410 are satisfied;

4.        All applicable provisions of Article 3 of this Chapter are met;

5.        The new major source or major modification will be in compliance with whatever emission limitation, design, equipment, work practice or operational standard, or combination thereof is applicable to the source or modifi- cation. The degree of emission limitation required for control of any pollutant under this Article shall not be affected in any manner by:

a.         Stack height in excess of GEP stack height except as provided in R18-2-332; or

b.        Any other dispersion technique, unless implemented prior to December 31, 1970;

6.        The new major source or major modification will not exceed the applicable standards for hazardous air pollut- ants contained in this Chapter;

7.        The new major source or major modification will not exceed the limitations, if applicable, on emission from nonpoint sources contained in Article 6 of this Chapter;

8.        A stationary source that will emit five or more tons of lead per year will not violate the ambient air quality stan- dards for lead contained in R18-2-206;

9.        The new major source or major modification will not have an adverse impact on visibility, as determined according to R18-2-410.

H.      Except for assessing air quality impacts within Class I areas, the air impact analysis required to be conducted as part of a permit application shall initially consider only the geographi- cal area located within a 50 kilometer radius from the point of greatest emissions for the new major source or major modifi- cation. The Director, on his own initiative or upon receipt of written notice from any person shall have the right at any time

to request an enlargement of the geographical area for which an air quality impact analysis is to be performed by giving the person applying for the permit or permit revision written notice thereof, specifying the enlarged radius to be so consid- ered. In performing an air impact analysis for any geographi- cal area with a radius of more than 50 kilometers, the person applying for the permit or permit revision may use monitoring or modeling data obtained from major sources having compa- rable emissions or having emissions which are capable of being accurately used in such demonstration, and which are subjected to terrain and atmospheric stability conditions which are comparable or which may be extrapolated with reasonable accuracy for use in such demonstration.

I.        Unless the requirement has been satisfied pursuant to Article 3 of this Chapter, the Director shall comply with following requirements:

1.        Within 60 days after receipt of an application for a permit or permit revision subject to this Article, or any addition to such application, the Director shall advise the applicant of any deficiency. The date of receipt of the application shall be, for the purpose of this Section, the date on which the Director received all required information. The permit application shall not be deemed complete if the Director fails to meet the requirements of this subsection.

2.        A copy of any notice required by R18-2-330 shall be sent to the permit applicant, to the Administrator, and to the following officials and agencies having cognizance over the location where the proposed major source or major modification would occur:

a.         The air pollution control officer, if one exists, for the county wherein the proposed or existing source that is the subject of the permit or permit revision appli- cation is located;

b.        The county manager for the county wherein the pro- posed or existing source that is the subject of the permit or permit revision application is located;

c.         The city or town managers of the city or town which contains, and any city or town the boundaries of which are within 5 miles of, the location of the pro- posed or existing source that is the subject of the permit or permit revision application;

d.        Any regional land use planning agency with author- ity for land use planning in the area where the pro- posed or existing source that is the subject of the permit or permit revision application is located; and

e.         Any state, Federal Land Manager, or Indian govern- ing body whose lands may be affected by emissions from the proposed source or modification.

3.        The Director shall take final action on the application within one year of the proper filing of the completed application. The Director shall notify the applicant in writing of his approval or denial.

4.        The authority to construct and operate a new major source or major modification under a permit or permit revision issued under this Article shall terminate if the owner or operator does not commence the proposed con- struction or major modification within 18 months of issu- ance or if, during the construction or major modification, the owner or operator suspends work for more than 18 months. The Director may extend the 18-month period upon a satisfactory showing that an extension is justified. This provision does not apply to the time period between construction of the approved phases of a phased construc- tion project; each phase must commence construction within 18 months of the projected and approved com- mencement date.

Department of Environmental Quality – Air Pollution Control

Historical Note

Amended effective August 6, 1976 (Supp. 76-4). Former Section R9-3-402 repealed, new Section R9-3-402 adopted effective May 14, 1979 (Supp. 79-1). Amended and adopted by reference Open Burning Guidelines for Air Pollution Control effective September 22, 1983 (Supp. 83-5). Former Section R9-3-402 renumbered without change as Section R18-2-402 (Supp. 87-3). Sec- tion R18-2-402 renumbered to R18-2-602, new Section R18-2-402 adopted effective November 15, 1993 (Supp.

93-4). Amended by final rulemaking at 18 A.A.R. 1542,

effective August 7, 2012 (Supp. 12-2).