Joe Shine Air Permits Division Texas Commission on Environmental Quality

Joe ShineAir Permits Division

Texas Commission on Environmental QualityOil and Gas Facilities Workshop 2013

Hot Topics in Oil & Gas PermittingJoe Shine

Air Permits DivisionTexas Commission on Environmental Quality

Oil and Gas Facilities Workshop 2013

Topics for

Discussion

Application ContentQ2

Enhanced Application Review AIROGAlternate Operating Scenarios (AOS)Small Crude Site RegistrationsePermits

Topics for Discussion

Not-Quite-Scorching-But-Still-Pretty-

Hot-Topics

1. Cover letter

2. Core Data Form

3. PI-7, PI-7-Cert, or PI-1S

4. Copy of check or ePay voucher

Application Admin. Documents Preferred Order

• Emission limitations for Title V applicability

• Federal applicability

• Control/destruction efficiency claims

• Operating hours

When Do I Need to Certify?

1. Introduction2. Process and flow diagram3. Summary of emissions4. Emission calculations5. Impact analysis/NAAQS6. Applicability7. Lab analysis8. Maps9. Tables

Application Technical Documents Preferred Order

Summary of Emissions

1. Introduction2. Process and flow diagram3. Summary of emissions4. Emission calculations5. Impact analysis/NAAQS6. Applicability7. Lab analysis8. Maps9. Tables

Application Technical Documents Preferred Order

• Guidance at www.TexasOilandGasHelp.org

• Three criteria–Reservoir/formation–API gravity–Process/treatment

AnalysisSite Specific/Representative

1. Introduction2. Process and flow diagram3. Summary of emissions4. Emission calculations5. Impact analysis/NAAQS6. Applicability7. Lab analysis8. Maps9. Tables

Application Technical Documents Preferred Order

Q2

• Purpose

• AIROG notification

Enhanced ApplicationReview

E.A.R

• E-mail notification– Questions:

AIROGIn an effort to process your registration request more efficiently, please respond to the following:

1. To confirm if the company agrees to receive the response letter electronically and that no hard copy will need to be sent. All completed projects can be viewed at: https://webmail.tceq.state.tx.us/gw/webpub.

2. If the company has implemented the project.

3. If the company is waiting on a response from the TCEQ before starting construction.

4. If you have any updates to the project listed above, please send them in now.

• Purpose

• AIROG notification

• Expectations

• Reply

Enhanced ApplicationReview(continued)

E.A.R

AIROG

• Reply to E.A.R. questions• Electronic submittals• Questions• Updates to projects

What can you use AIROG for?

Alternate Operating Scenarios

Alternate Operating Scenarios

• Definition

• What are they?

• What aren’t they?

• How are they authorized?

Lily Site

CompressorG

asSales

Crude Tank 1 Tank 2

VRU

Flar

e

Separator

Incoming Product

Crude PipelineG

as

AOS Example 1

Gas

Gas

to a

tmos

pher

eCompressor Sales

Crude Tank 1 Tank 2

VRU

Flar

e

Separator

Incoming Product

Crude PipelineG

as

Closedfor

Repairs

VRU

CompressorG

asSales

Crude Tank 1 Tank 2

Flar

e

Separator

Incoming Product

Crude PipelineG

as

AOS Example 2

Closedfor

Repairs

Gas

AOS Example 3

CompressorG

asSales

Crude Tank 1 Tank 2

VRU

Flar

e

Separator

Incoming Product

Crude PipelineG

as

Closedfor

Repairs Degassing

Summary

CompressorG

asSales

Crude Tank 1 Tank 2

VRU

Flar

e

Separator

Incoming Product

Crude PipelineG

as

Small Crude Oil Sites

Small Crude Oil Sites

• Must be a production site primarily for crude oil

• Equipment–Atmospheric separators– Storage tanks– Loading

Small Crude Oil Sites

Must meet all of the following:

1. 10 bbl/day crude oil

2. 150 bbl/day water

3. Max 10,000 ppm H2S (1/4 mile limit)

4. Loading: submerged and dedicated normal

5. Minimum vent heights (> 20 feet)

Small Sites Default EmissionsESTIMATED EMISSIONS

EPN/Emission Source

VOC NOX CO PM10, 2.5 Benzene H2Slbs/hr tpy lbs/hr tpy lbs/hr tpy lbs/hr tpy lbs/hr tpy lbs/hr tpy

Fugitives 0.42 1.85 <0.01 0.02 <0.01 0.01Crude Oil Tanks (10 bpd)

1.52 6.65 0.02 0.07 0.10 0.44

Produced Water Tanks (150 bpd, 5% hydrocarbon)

1.20 4.95 0.01 0.05 0.08 0.33

Crude Oil Loading(8,000 gph*/153,300 gpy**)

29.60 0.28 0.30 <0.01 0.40 <0.01

Produced Water Loading(8,000 gph/2,229,500 gpy)

0.30 0.04 <0.01 <0.01 <0.01 <0.01

TOTAL ANNUAL EMISSIONS (TPY):

13.77 0.14 0.78

MAXIMUM OPERATING SCHEDULE:

Hours/Day 24 Days/Week

7 Weeks/Year 52 Hours/Year 8,760

VOC H2S

Fixed Roof Crude Oil Tank

Hourly Emissions(lbs/hr)

2 E-6 * (X bbl/day) *(Y ppm H2S)

Annual Emissions(tpy)

8.76 E-6* (X bbl/day) *(Y ppm H2S)

Small Crude Oil SitesCalculation Formulas

• Current projects in ePermitting

–Historical notification

–New/existing notifications

–New/existing Level 1 and 2 registrations

–New/existing Non-rule Standard Permit registrations

ePermitting

• New projects in ePermitting–New/revision §106.352(l)–New/existing Standard Permit §116.620–New §106.263–APD certifications–Well completion/flowback notification

ePermitting(continued)

Summary• Application Content

• Q2

• Enhanced Application Review

• AIROG

• Alternate Operating Scenarios (AOS)

• Small Crude Site Registrations

• ePermits

Where to Find More Information

Air Permits Main Line: (512) 239-1250

[email protected]

www.texasoilandgashelp.org

Permitting of Greenhouse Gases

Tasha BurnsAir Permits Division

Texas Commission on Environmental QualityAdvanced Air Permitting Seminar 2013

House Bill 788

Process to gain authority

Proposed timeline

Applicability

Introduction

Signed by Governor June 14th Effective immediately

Amended THSC §382.0621

New THSC §382.05102

HB 788

TCEQ rulemaking

TCEQ SIP revision submittal

EPA SIP approval

EPA FIP removal

Process to Gain Authority

‘Concept’ phase

Proposal phase Public comment period

Adoption phase

TCEQ Rulemaking

Anticipated rulemaking timeline October 23, 2013 – proposal

November 8 to December 9 – public comment period

March 26, 2014 - adoption

TCEQ Timeline

EPA SIP approval & FIP removal Propose approval of SIP revisions

Public comment period

Adopt approval of SIP revision & remove FIP

EPA Process

Parallel Processing

Rule Proposal

SIP Proposal

Rule Adoption

SIP Adoption

FIP Removal

TCEQ Permitting

GHGs

Oct 23 March 26 30 days

Parallel Processing

TCEQ Permitting GHGs

39 – Public Notice

55 – Contested Case Hearings

101 – General Air Quality Rules

106 – Permits by Rule

Affected 30 TAC Chapters

116 – Control of Air Pollution by Permits for New Construction or Modification

122 – Federal Operating Permits Program

Affected 30 TAC Chapters

GHGs

Aggregate group

carbon dioxide

methane

nitrous oxide

hydrofluorocarbons

perfluorocarbons

sulfur hexafluoride

GHG tpy multiplied by the GWP

(4000 tpy methane)(21)

= 84,000 CO2e

CO2e

No “call-in”

Tailored thresholds consistent with EPA

Title V

PSD

Applicability

Potential to Emit 100 tpy or more GHGs on mass

basis, and

100,000 tpy or more CO2e

Title V Applicability

Mass basis (condition 1)

25,000 tpy CO2

5,000 tpy methane

1,000 tpy N2O

= 31,000 tpy GHGs

Title V Applicability Example

CO2e (condition 2)

(25,000 tpy CO2)(1 GWP)

(5,000 tpy methane)(21 GWP)

(1,000 tpy N2O)(310 GWP)

= 440,000 tpy CO2e

Title V Applicability Example

Does Title V apply?

Mass = 31,000 tpy

100 tpy or more, and

CO2e = 440,000

100,000 tpy or more CO2e

Title V Applicability Example

YES!

EPA’s approach to GHGs PSD major source

Subject to regulation

PSD Applicability

Calculation Help EPA’s website for Subpart W –

Petroleum and Natural Gas Systems.

Applicability

Process to gain authority

~ Summer 2014 or later

Consistent with EPA

November 8 to December 9 comment period

Summary

Questions?

Sign up for e-mail updates

Contact Tasha Burns 512-239-5868

[email protected]

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