Learn more about Environmental Law at Schiff Hardin. For more information, contact one of the following attorneys: Amy Antoniolli Kathleen C. Bassi Stephen J. Bonebrake Renee Cipriano Daniel J. Deeb Jeremy R. Hojnicki Bina Joshi Kathryn M. Long David M. Loring Jane E. Montgomery Joshua R. More Mary Ann Mullin Paul M. Previde Gabriel M. Rodriguez Andrew N. Sawula Sarah D. Youngblood Schiff Hardin Offices One Atlantic Center, Suite 2300 1201 West Peachtree Atlanta, GA 30309 225 Franklin Street, Suite 2600  Boston, MA 02110  233 S Wacker Drive Suite 6600 Chicago, IL 60606 One Westminster Place Suite 200 Lake Forest, IL 60045 900 Third Avenue New York, NY 10022 One Market, Spear Tower 32nd Floor San Francisco, CA 94105 1666 K Street, NW Suite 300 Washington, DC 20006 - - - - - - - - - Join our mailing list. Forward this update to a friend or colleague. - - - - - - - - -

U.S. EPA Continues Its Pursuit Of Greenhouse Gas Regulation

As the Senate debates greenhouse gas legislation, the United States Environmental Protection Agency pushes forward with mandated actions to address climate change. The first action, the so-called Tailoring Rule, which was proposed on October 27 (74 Fed. Reg. 55292), sets a new applicability threshold of 25,000 metric tons per year of CO₂e (carbon dioxide equivalent) for major source permitting actions under the Clean Air Act. The second action, published today (74 Fed. Reg. 56260), implements the Congressionally mandated nationwide Greenhouse Gas Reporting Rule.

Tailoring Rule

The Tailoring Rule as proposed affects the scope of the Clean Air Act Prevention of Significant Deterioration (PSD) program for pre-construction and pre-modification review, and the "Title V" permitting program. Under the Tailoring Rule, sources of 25,000 metric tons per year or more of CO₂e will be considered "major sources" for PSD review purposes. Thus, sources that might not otherwise have been subject to PSD review will now be subject and all sources undergoing PSD review will be required to assess and in some instances implement Best Available Control Technology (BACT) to address CO₂e. In addition, the Tailoring Rule subjects sources of 25,000 metric tons per year or more of CO₂e to Title V permitting requirements. If finalized, these provisions will not be triggered until the anticipated mobile source greenhouse gas rule goes into affect, expected to be in March 2010.

Greenhouse Gas Reporting Rule

All sources within specified categories that emit 25,000 metric tons of CO₂e are required to report CO₂e emissions for the calendar year 2010 before March 30, 2011. The rule will be effective in 60 days, or December 29, 2009. Of particular importance is the fact that, with the publication of this rule, anyone who cannot install the required monitoring equipment before April 1, 2010 must seek written approval for an extension of time beyond April 1, 2010. The written requests will be due on or before January 28, 2010. For additional information about the reporting rule, please see our recent environmental publications.

RECENT ENVIRONMENTAL PUBLICATIONS

"Greenhouse Gas Emissions a Nuisance, Yes or No?" Environmental Update (October 23, 2009)
"USEPA Tightens Emissions Standards for Coal Preparation Plants and Processing Facilities," Environmental Update (October 13, 2009)
"Greenhouse Gas Emissions a Nuisance? Second Circuit Rules Utilities Subject to Carbon Emissions Suit," Environmental Update (September 23, 2009)
"U.S. EPA issues Mandatory Greenhouse Gas Reporting Final Rule," Environmental Update (September 22, 2009)
"EPA Grants Additional Partial Stay of the PM_2.5 Implementation Regulation," Environmental Update (September 22, 2009)

ABOUT SCHIFF HARDIN LLP

Schiff Hardin's diverse environmental practice advises clients engaged in a wide variety of industries and commercial endeavors such as electric generation, natural gas distribution and production, chemical manufacturing, auto and auto parts manufacturing, consumer goods manufacturing, real estate development and investments by financial institutions and equity investors.