1997 ANNUAL REPORT
Air Quality

Stringent Federal Air Quality Standards Adopted

Air quality issues continued to be the driving force behind environmental policy decisions in the West as regulatory and legislative proposals impacted every aspect of the petroleum industry in 1997. As a result, WSPA, its committees and its member companies responded with a variety of proactive measures.

The U.S. Environmental Protection Agency (EPA) adopted its revised National Ambient Air Quality Standards (NAAQS) for ozone and particulate matter which will require expensive and aggressive controls to reach compliance. The new NAAQS incorporate a dual standard for particulate matter (PM) introducing controls on extremely fine particulate matter or PM 2.5, while maintaining existing PM10 regulations. In addition, the new NAAQS lower the level of allowable ozone, placing substantial pressure on stationary and mobile sources to reduce emissions further.

While the revised NAAQS were under consideration by the EPA, WSPA, the American Petroleum Institute, thousands of other businesses and representatives of state and local governments made plain their opposition. Most opponents attempted to convince the EPA at least to delay adoption until the completion of research to determine what the actual health benefits would be and what new control technologies would be required by the revised NAAQS.

Some progress has been made in encouraging the EPA to employ flexibility in implementing the NAAQS in the West in recognition of the current emission reduction programs in the region. WSPA and its member companies plan to continue to work with EPA in the search for the least disruptive implementation strategies.

Limits on Diesel Exhaust Emissions Sought

The California Environmental Protection Agency (Cal-EPA) is seeking to list diesel exhaust as a toxic air contaminant, spurred in part by a recent study concluding that emissions from heavy-duty diesel engines were much greater than earlier estimates.

The California Air Resources Board (CARB) will review Cal-EPA’s decision regarding diesel, which is expected to be announced in 1998. If CARB approves the decision, control measures for sources of diesel exhaust emissions could be developed soon after. WSPA has joined a coalition of industries to provide scientific and economic information to the governor’s office and the legislature addressing the Cal-EPA proposal.

Meanwhile, many environmentalists and health advocates are placing substantial pressure on regulatory agencies to promote policies that could lead to an outright ban on diesel. These groups have continually disregarded industry proposals designed to reduce emissions from diesel engines. WSPA and the coalition are working to find and advocate more sensible ways of reducing emissions from diesel-powered engines, while at the same time opposing unnecessary further regulation of diesel fuel.

Reforming Smog Check II

Reform of California’s Smog Check II program presented a variety of challenges to the petroleum industry throughout 1997. As one example, it became obvious early on that the voluntary vehicle retirement program authorized in 1995 was competing for the same gross polluting vehicles targeted by the scrappage program under Smog Check II. WSPA was successful in negotiating CARB and Bureau of Automotive Repair support of legislation that would have merged both programs. The legislation passed, but the necessary merger language was deleted.

WSPA has also worked with several technical and legislative groups to develop a funding mechanism for Smog Check II implementation. Funding has been referenced in enacted legislation, but the dollar amount and the exact method to be used to disperse the funds remains unclear. With so many reform problems still unresolved, additional effort will be required in 1998.

Striving for Federal, State Regulatory ‘Equivalency’

The industry this year succeeded in opening a dialogue with the EPA on the issue of equivalency among federal, state and local air quality regulations. But more discussions and negotiations will be necessary if a satisfactory conclusion is to be reached.

WSPA’s efforts focused on streamlining the overlapping reporting requirements of Maximum Available Control Technology (MACT) regulations, generated by Title III of the Clean Air Act, with those of state and local regulations. In addition, WSPA and its committees advocated EPA recognition of the state and local variance processes under the federal operating permit (Title V) program.

1997 WSPA Annual Report
Air Quality