Texas Register, Volume 32, Number 23, Pages 3077-3422, June 8, 2007 Page: 3,174
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Counties, the TCEQ has developed this eight-hour ozone
SIP revision in accordance with 42 USC, 7410. Hence, this
rulemaking and HGB SIP revision is part of the first step in
addressing the eight-hour ozone standard for the area.
The one-hour ozone NAAQS, which preceded the eight-hour
ozone standard, was revoked June 15, 2005 (69 FR 23951).
However, the one-hour ozone control strategies in the HGB area
will remain in place. This set of strategies is extensive and will
continue to reduce the amount of ozone precursors and ozone
in the HGB airshed. On September 6, 2006 (71 FR 52656),
EPA published approval of the HGB nonattainment area's one-
hour ozone attainment demonstration and associated rules. The
approval was published in six parts, covering the rules for the
control of highly-reactive volatile organic compounds (HRVOC),
the HRVOC emission cap and trade (HECT) program, the mass
emission cap and trade (MECT) program for nitrogen oxides
(NOx), the one-hour ozone attainment plan, the emissions credit
banking and trading program, and the discrete emission credit
banking and trading program. For a more complete background
on the one-hour ozone SIP revisions please see Chapter 1 of the
eight-hour ozone SIP revision that has been submitted for adop-
tion concurrent with this rule package (Project Number 2006-
027-SIP-NR).
In this rulemaking, the commission is adopting a revision to the
definition of diesel fuel in 114.6(7) and 114.319 concerning af-
fected counties and compliance dates as they are used in Sub-
chapter H (relating to Low Emission Fuels). These revisions
require that any fuel that is commonly or commercially known,
sold, or represented as Marine Distillate fuel X (DMX), Marine
Distillate fuel A (DMA), or Marine Gas Oil (MGO) that may ul-
timately be used to power a diesel-fueled compression-ignition
engine located on a marine vessel in any of the counties listed
in 114.319(b)(2), specifically: Brazoria, Chambers, Fort Bend,
Galveston, Harris, Liberty, Montgomery, and Waller Counties,
meet the low emission diesel fuel (LED) requirements. The com-
mission has been made aware that certain owners or operators
of marine vessels have been switching from regulated Grade
No. 1-D and Grade No. 2-D diesel fuel (LED-compliant fuels) to
diesel fuels commonly known as DMX, DMA, or MGO to avoid
the LED regulations of Chapter 114. By regulating these ma-
rine fuels, the commission will be able to reduce NOx by an esti-
mated 0.9 tons per day (tpd) in the HGB nonattainment counties
as listed in 114.319(b)(2).
DMX, DMA, Grade No. 1-D, and Grade No. 2-D diesel fuels
are all light distillates that share many fuel parameters. There-
fore, the commission does not anticipate major difficulties in the
process of either changing vessel fuels back to LED-compliant
Grade No. 1-D or Grade No. 2-D or having DMX or DMA marine
fuels use approved additives as tested and approved under the
methods of 114.315.
The grades of marine fuel that are included in this adoption are
normally only used by harbor craft vessels (e.g., crew and sup-
ply boats, charter fishing vessels, commercial fishing vessels,
ferry or excursion vessels, pilot vessels, towboats or push boats,
tug boats, and work boats). Ocean-going vessels will not be
included in these regulations because they typically use heav-
ier marine residual fuels such as Marine Distillate fuel B (DMB),
Marine Distillate fuel C (DMC), or other marine residual fuels that
have a higher viscosity; therefore, they do not share the charac-
teristics of lighter 1-D and 2-D diesel fuels.
The TCEQ participated in a Houston-Galveston Area Council
(HGAC) stakeholder meeting in March 2006 to discuss potentialcontrol strategies. The TCEQ also conducted an informational
meeting October 5, 2006, to present the rule concepts and an-
swer questions.
SECTION BY SECTION DISCUSSION
The adopted change to 114.6 amends the definition of diesel
fuel to include marine grades of fuel commonly known as DMX,
DMA, or MGO in accordance with the active version of Interna-
tional Organization for Standardization (ISO) 8217. Currently,
the definition only refers to Grade No. 1-D and Grade No. 2-D
diesel fuels. This change in definition, along with the change to
114.319 concerning affected counties, will require DMX, DMA,
or MGO grades of marine fuel to be compliant with the LED reg-
ulations in the eight-county HGB area. By including these fuels
in the LED regulation, the commission will reduce NOx and other
emissions in the HGB ozone nonattainment area. These reduc-
tions will help this area make positive progress towards attain-
ment of the ozone NAAQS.
The adopted change to 114.319 adds a new subsection (d) to
include a compliance schedule for the introduction of LED-com-
pliant diesel fuels commonly known as DMX, DMA, or MGO to
the HGB area. The compliance schedule provides sufficient time
for refiners to make modifications that may be necessary to pro-
duce a compliant LED fuel and provides sufficient time for fa-
cilities downstream of the refiner to deplete existing inventories
of noncompliant fuels. Compliance is phased in to ensure ade-
quate supply of compliant fuels will be available at the retail level
by January 1, 2008. A revision is also made to subsection (a) to
refer to the schedule as added in subsection (d).
FINAL REGULATORY IMPACT ANALYSIS DETERMINATION
The commission reviewed the adopted rulemaking considering
the regulatory analysis requirements of Texas Government
Code, 2001.0225, and determined that the rulemaking does
not meet the definition of a "major environmental rule." A major
environmental rule means a rule, the specific intent of which is
to protect the environment or reduce risks to human health from
environmental exposure, and that may adversely affect in a
material way the economy, a sector of the economy, productivity,
competition, jobs, the environment, or the public health and
safety of the state or a sector of the state. The specific purpose
of the adopted amendments to 114.6 and 114.319 is to subject
certain grades of marine fuels used in the HGB nonattainment
counties to the LED program requirements. These grades of
marine fuels have been added as part of the strategy to reduce
emissions of NOx. This adopted rulemaking is anticipated to
positively affect human health and the environment by reducing
NOx emissions that help form ozone and not adversely affect
the economy or productivity in any material manner. Moreover,
the adopted rules would make positive progress towards at-
tainment of the federally established eight-hour ozone standard
in the HGB area. Therefore, the adopted rulemaking does not
constitute a major environmental rule and thus is not subject to
a formal regulatory analysis.
In addition, the adopted amendments to Chapter 114 are not
subject to the regulatory analysis provisions of Texas Govern-
ment Code, 2001.0225(b), because the adopted rulemaking
does not meet any of the four applicability requirements. Texas
Government Code, 2001.0225 only applies to a major environ-
mental rule, the result of which is to: 1) exceed a standard set
by federal law; 2) exceed an express requirement of state law,
unless the rule is specifically required by federal law; 3) exceed
a requirement of a delegation agreement or contract between32 TexReg 3174 June 8, 2007 Texas Register
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Texas. Secretary of State. Texas Register, Volume 32, Number 23, Pages 3077-3422, June 8, 2007, periodical, June 8, 2007; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth97400/m1/96/?rotate=0: accessed July 16, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting UNT Libraries Government Documents Department.