Ohio Air Pollution Particulate Matter Rule Updates
Summary
The Environmental Protection Agency (EPA) is approving revisions to Ohio's particulate matter rules into the Ohio State Implementation Plan (SIP) under the Clean Air Act (CAA). The revisions to Ohio's particulate matter rules remove provisions for facilities or emissions units that have permanently shut down, update facility names and addresses, and make nonsubstantive revisions to the language of the rules. EPA proposed to approve this action on April 15, 2024, and received two comments.
Compliance Requirements
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EPA is approving the revisions to OAC 3745-17 that Ohio submitted on January 18, 2024, with the exception of selected sections of OAC 3745-17-03 as clarified by Ohio on February 21, 2024; Specifically, EPA is approving Ohio rules 3745-17-01, 3745-17-03 [with the exception of the phrase in 3745-17-03(B)(1)(a) reading 'Except as provided in paragraph (B)(1)(b) of this rule' and 3745-17-03(B)(1)(b)], 3745-17-04, 3745-17-07, 3745-17-08, 3745-17-09, 3745-17-10, 3745-17-11, 3745-17-12, 3745-17-13, and 3745-17-14; The revisions to Ohio's particulate matter rules remove provisions for facilities or emissions units that have permanently shut down; Update facility names and addresses in particulate matter regulations; Make nonsubstantive revisions to the language of the rules; Renumbering of emissions units for facilities that have combined operations; Modification of wording for phrases that Ohio wishes to rephrase; EPA is not acting on the alternate set of opacity limits mentioned in OAC Rule 3745-17-03
Deadline: 2023-08-25(Effective August 25, 2023)
Market Impacts
Approval of Ohio's revised particulate matter rules into State Implementation Plan, removing provisions for permanently shut down facilities, updating facility names/addresses, and making nonsubstantive language revisions; Continued enforcement of particulate matter restrictions on visible emissions, fugitive dust, incinerators, fuel burning equipment, and industrial processes with specific county-level requirements
Validated Company Impacts
NUCOR CORP
Nucor operates steel mills and manufacturing facilities that produce particulate matter emissions subject to Ohio's air quality regulations, with operations likely falling under OAC Chapter 3745-17 jurisdiction. The company's steel production processes involving electric arc furnaces, fuel burning equipment, and industrial operations would be directly affected by particulate matter compliance requirements and facility reporting updates. The federal rule addresses particulate matter regulations and environmental compliance in Ohio, which does not align with any of the company's disclosed risk factors. The company's risks focus on commodity pricing, interest rates, and foreign currency exposure, with no mention of environmental regulations, air quality compliance, or operational risks related to emissions control.
XCEL ENERGY INC
Xcel Energy operates multiple electric generation facilities that burn fossil fuels, which are subject to particulate matter regulations under the Clean Air Act. The company's power plants in Ohio would be directly affected by these particulate matter rule revisions, particularly those with emissions units subject to OAC Chapter 3745-17 compliance requirements. The federal rule addresses particulate matter regulations and environmental compliance requirements in Ohio, which has no alignment with the company's disclosed cybersecurity risk factors. The company's only identified risk category is technology cybersecurity, while the rule focuses on air quality regulations and facility operations management.
CABOT CORP
Cabot Corp operates chemical manufacturing facilities that produce carbon black, which involves industrial processes subject to particulate matter regulations under Ohio's OAC Chapter 3745-17. As a manufacturer with potential emissions from fuel burning equipment and industrial operations, the company would be directly affected by particulate matter compliance requirements in Ohio jurisdictions where it operates. The federal rule addresses particulate matter regulations and compliance requirements for industrial facilities in Ohio, which has no alignment with the company's sole identified risk of information technology systems failures. There is no overlap between air pollution regulatory compliance and IT system operational risks.
Duke Energy CORP
Duke Energy operates electric generation facilities in Ohio that are subject to particulate matter regulations under OAC Chapter 3745-17. As a major utility with fossil fuel power plants, the company's emissions units and compliance reporting would be directly affected by the rule's updates to facility information and removal of provisions for shut-down units. The rule focuses on particulate matter regulations in Ohio, which has minimal alignment with the company's disclosed risk factors. While the company has regulatory compliance risks related to EPA Rule 111 and coal combustion residuals, these address different environmental regulations (carbon emissions and waste management) rather than particulate matter controls specific to Ohio operations.
STEEL DYNAMICS INC
Steel Dynamics operates steel production facilities using electric arc furnaces in Ohio, which are subject to particulate matter regulations under OAC Chapter 3745-17. The company's industrial manufacturing processes directly align with the rule's focus on controlling visible emissions and fugitive dust from industrial operations. The federal rule addresses particulate matter regulations and environmental compliance in Ohio, which does not align with any of the company's disclosed risk factors. The company's risks focus on cost volatility, import competition, pricing fluctuations, interest rates, and technology dependence, with no mention of environmental compliance, air quality regulations, or operational emissions concerns.
Talen Energy Corp
Talen Energy operates power generation facilities that are subject to particulate matter regulations and emission requirements, directly aligning with Ohio's OAC Chapter 3745-17 rules governing visible emissions, fuel burning equipment, and industrial processes. As a power generator with facilities potentially subject to air quality regulations, the company would be affected by updates to facility naming, address changes, and particulate matter compliance requirements in jurisdictions where it operates. The federal rule addresses particulate matter regulations affecting industrial facilities in Ohio, which does not align with the company's primary risk factors focused on electricity market operations, weather impacts, and financial hedging. The company's limited regulatory compliance risks (only 2 identified) show no specific connection to air quality or particulate matter regulations, indicating minimal relevance to this environmental rule.
WASTE MANAGEMENT INC
Waste Management operates landfill facilities and waste incineration operations in Ohio that are subject to particulate matter regulations under OAC Chapter 3745-17. The company's waste disposal operations, particularly landfill gas emissions and incinerator activities, directly fall under the particulate matter control requirements that this rule governs. The rule focuses on particulate matter regulations for industrial facilities in Ohio, which does not align with the company's disclosed risk factors related to renewable fuels, RINs market volatility, recycling commodities, and interest rate exposure. The company's regulatory compliance risks center on RFS program changes and renewable energy investments, not air quality particulate matter regulations.