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REGIONAL AIR QUALITY COUNCIL •1876•
Colon&Department
of Public Health
and Environment
December 27, 2005
MEMORANDUM
TO: Signatories to the Early Action Compact for Ozone for the Front Range
Metropolitan Area
Regional Air Quality Council
Jim Scherer, Chairman
Air Quality Control Commission
Robert E. Brady, Jr., Chairman
Colorado Department of Public Health and Environment
Douglas H. Benevento, Executive Director
Colorado Department of Transportation
Thomas Norton, Executive Director
Denver Regional Council of Governments
Will Toor, Chairman
U.S. Environmental Protection Agency. Region 8
Robert E. Roberts, Regional Administrator
Elbert County. Board of County Commissioners
Stephen F. Stutz, Chair
Larimer County. Board of County Commissioners
Kathay Rennels, Chair
Morgan County. Board of Commissioners
Michael Harms, Chair
Weld County. Board of County Commissioners
Rob Masden, Chair
RE: December 31,2005 Progress Report
In accordance with terms of the Early Action Compact for Ozone for the Front Range
Metropolitan Area, please find attached a report that documents progress in stakeholder
2006-0157
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development, securing of local control measures, public outreach and modeling/technical
planning activities, etc. This report meets the December 31, 2005 milestone specified in the
Compact.
n Lloyd, Exec ' = Director MaPgieLPerkin , Director
Regional Air Q al' Council Air Pollution Control Division
cc: Doug Lempke, Air Quality Control Commission
Lisa Silva, Air Pollution Control Division
Ann Skinner, Colorado Department of Transportation
Jeff May, Denver Regional Council of Governments
Dick Long, EPA Region 8
Tim Russ, EPA Region 8
Jerry Dilley, RAQC
•
Ozone Early Action Compact
Denver Metro Area
December 31,2005 Progress Report
December 27, 2005
Introduction
In December 2002 state and local agencies in the Denver area entered into an Ozone
Early Action Compact(EAC)with the Environmental Protection Agency(EPA). The
Compact is a Memorandum of Agreement between the Regional Air Quality Council
(RAQC), the Colorado Department of Public Health and Environment (CDPHE), the Air
Quality Control Commission(AQCC), the Denver Regional Council of Governments
(DRCOG),the Colorado Department of Transportation(CDOT), and EPA Region 8. The
EAC was amended in 2004 with additional signatories for Elbert, Larimer,Morgan and
Weld Counties,areas potentially affected by ozone nonattainment.
The Compact entails a commitment to develop and implement an Ozone Action Plan in
return for deferring any potential non-attainment designation for the EPA's 8-hour ozone
standard. The EAC outlines several planning milestones(including progress reports
every 6 months)that must be met, culminating in attainment of the 8-hour standard by
December 2007. The June 30, 2004 Progress Report was prepared demonstrating that an
Ozone Action Plan,emission control regulations, and supporting documentation had been
completed and adopted by the State authority, the Colorado AQCC. The adopted plan
and regulations were subsequently reviewed and approved by the Colorado State
Legislature and the bill approving the plan and regulations was signed into law by the
Governor of Colorado in May 2004.
The December 31, 2004 Progress Report addressed the disposition of comments received
from the EPA in August 2004 regarding recommendations for revisions to emission
control regulation, Mr Quality Regulation No.7,to provide clarity and ensure
approvability of the Ozone Action Plan,and a necessary change to the Ambient Air
Quality Standards regulation to define the 8-hour ozone control area.
The June 30, 2005 Progress Report addressed progress towards implementation of Ozone
Action Plan control strategies, the Denver Metro area's voluntary response to the 8-hour
ozone issue and planning activities in the North Front Range to ensure cooperation in
terms of possible Conformity issues and coordination of voluntary control programs, if
necessary.
This December 31,2005 Progress Report addresses progress towards completion of
milestones, the Denver Metro area's voluntary response in summer 2005 to the 8-hour
ozone issue and planning activities for 2006 and the activities and report of the Multi-
Jurisdictional 1/M Transition Committee in the North Front Range.
•
Updates on Activities Related to the EAC
Stakeholder meetings and other actions and activities that have occurred since the
June 30,2005.
Although not mentioned in the June 30, 2005 report,the APCD permit staff
sponsored a half day training on January 19, 2005 for the oil & gas industry on
the development and use of the required spread sheet report of production and
controls. Approximately 25 people were in attendance representing oil &gas well
drillers,operators of condensate tanks, and consultants and lawyers representing
various companies. Encana,Kerr-McGee&Duke Energy(among the largest
operators)were represented.
The RAQC board received an update from APCD staff at the regular board
meeting, August 4,2005,on the Colorado Clean Screen Program.
At the August 18, 2005 regular Commission meeting, the AQCC received
briefings on the following:
• An update by APCD staff on the Rocky Mountain National Park Initiative
which is concerned with visibility degradation, increasing tropospheric
ozone concentrations, and nitrogen/acidic deposition
• An update by APCD staff on ambient ozone concentrations along the
Front Range which addresses the impact on surface ozone concentrations
due to longer term build-up of ozone in the middle atmosphere.
• A presentation based on a study by NREL on the weekday/weekend
differences in Colorado Front Range air quality
APCD staff provided the AQCC and the Colorado Board of Health with an update
on Front Range ozone concentrations for the 2005 ozone season at the regular
Commission meeting, October 20,2005.
The Multi-Jurisdictional I/M Transition Committee, comprised of staff from the
City of Fort Collins,the North Front Range MPO,Pikes Peak Area Council of
Governments(PPACG), the Emissions Coalition of Colorado Springs,the
CDPHE and the RAQC,continued to meet to foster cooperation and coordination
along the north Front Range in terms of potential voluntary programs to replace
the I/M programs that are being removed in the City of Fort Collins, Colorado
Springs and Greeley. The committee has met four times since June 30, 2005 as
follows: August 3m, September 8th,October 5a', and November 2nd and presented
an Air Quality Strategy Evaluation Report,to the AQCC at the regular
Commission meeting on November 17, 2005
The RAQC board received an update at the regular board meeting,December 1,
2005, on the 2005 Ozone Outreach Campaign,the results of the 2005 public
awareness research survey, and the plans for the Ozone 2006 Outreach Campaign.
2
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Periodic Assessment
Language addressing periodic assessment of growth assumptions was
inadvertently omitted from the OAP approved by the AQCC in March 2003. In
their final review in early 2005, the EPA noticed the omissions and brought it to
the attention of the APCD. March 22, 2005, a letter of commitment to periodic
assessment of assumptions of emissions and modeling assumptions in the OAP
was sent to the EPA. AQCC action to revise the OAP to include a section
addressing periodic assessment took place at the regular AQCC meeting on
December 15,2005.
The AQCC revised the OAP to include periodic assessment of assumptions of
emissions and modeling assumptions at the regular Commission meeting,
December 15, 2005.
Updates or revisions to modeling,technical analysis or planning activities.
Summary of Modeling and Technical Analysis to Date
The technical analysis that supports the approved Ozone Action Plan was
completed in early March 2004 and was included in the submittal to the EPA in
fulfillment of the required March 31, 2004 milestone. The Technical Support
Document has been provided to EPA Region 8 on CD-ROM and is posted on the
Air Pollution Control Division's website,http://apcd.state.co.us/documents/eac/
All supporting reports are included in the Technical Support Document referenced
above, as well as on the RAQC website, www.ragc.org/ozone/EAC/ozone-
eac.htm. No additional modeling or analyses has been completed beyond which
is referenced in the original TSD.
A draft technical report by Environ that addressed model sensitivity was
submitted February 11, 2005 to the RAQC and APCD. The modeling platform
continues to demonstrate unresponsiveness to small refinements in the sensitivity
analyses, although it meets most of the EPA evaluation protocols.
The Ethanol Management Company sponsored a draft report by Environ dated
April 7, 2005 which sought to photochemically model the effects of the use of
ethanol blends in gasoline on ozone concentration in the Denver region. The
results of the analysis were negligible reductions/increases in ozone concentration
across the Front Range. However there continues to be uncertainty about the
results because of the importance of ethanol in increased evaporative emissions,
and the inability of current tools to precisely quantify evaporative emissions and
the lack of sensitivity to inventory changes in the modeling platform.
Planning
Periodic Assessment
Language addressing periodic assessment of growth assumptions was
inadvertently omitted from the OAP approved by the AQCC in March 2003. In
their final review in early 2005, the EPA noticed the omissions and brought it to
the attention of the APCD. March 22, 2005, a letter of commitment to periodic
assessment of assumptions of emissions and modeling assumptions in the OAP
was sent to the EPA. AQCC action to revise the OAP to include a section
addressing periodic assessment took place at the regular AQCC meeting on
December 15, 2005.
3
Assessment of Growth in Flash Emissions
APCD Planning Program and Technical Services Program staff initiated a review
in November 2005 of reported flash emissions from the condensate tanks at oil&
gas exploration facilities. The flash emissions are estimated based on application
of an established emissions factor applied to barrels of condensate developed
while pumping natural gas from wells. The review was based on the Stationary
Source Permit Program's Air Pollution Emissions Notice (APEN) program.
Because of lag lime in reporting and processing the reports, the most recent
complete year of data is 2004. However,based on an analysis of the available
data, the APCD staff has observed that the annual flash emissions growth trend
appears greater than originally assumed in the OAP analysis in 2002. Also, at the
same time the Colorado Oil and Gas Conservation Commission's data base
indicates that the oil &gas industry has reduced the wells in production in Weld
County during the summer months of 2005 from approximately 13,000 wells to
10,000 wells. Taking these two points into account indicates that a better
understanding of the production of condensate in 2005 is needed. Additionally,
information is needed concerning future operational characteristics of the oil and
gas industry.
Although the first report of VOC reductions required by Reg. 7 is not due until
April of'06,the APCD is requesting, in a letter, the daily summaries of operations
for the 2005 ozone season for review by the end of the year. A meeting with oil
and gas industry representatives will be scheduled in early 2006.
The APCD will assess the possible growth in flash emissions beyond original
assumptions and its impact on the modeling analysis and determine if the required
2007 reduction needs to be increased to meet the inventory used in the OAP
modeling for the 2007 control scenario.
Progress towards completion of the December 31,2005 EAC milestones
Technology based controls
Reid Vapor Pressure
The OAP approved by the AQCC on March 12, 2004 established an RVP limit of
8.1 psi for gasoline and the photo chemical modeling assumed the estimated 10
tpd VOC reduction in the 2007 controlled inventory.
In spring of 2004 the EPA decided not to extend the waiver to allow 9.0 psi RVP
in the region. As a result, the region was then required to provide gasoline
meeting the national RVP limit of 7.8 psi(8.8 psi for ethanol blends) starting with
the 2004 summer ozone season. The reduction using a 7.8 psi RVP in 2007 is
estimated at 13 tpd VOC (12 tpd from mobile sources and 1 tpd from service
stations).
4
Testing of fuel by the APCD in the summer ozone seasons of 2004 and 2005
indicates that the established limits are being achieved in the Denver metro area
as follows:
2004-clear gasoline 7.6 psi RVP, ethanol blend 8.5 psi RVP
2005 -clear gasoline 7.7 psi RVP, ethanol blend 8.6 psi RVP
Condensate Tank Emissions Controls
The condensate tank emissions are commonly referred to as flash emissions, and
are VOCs emitted during the condensate collection, storage,processing and
handling at oil and gas wells. In 2002 there were over 3000 condensate tanks
operating in the nine-county region,primarily in Weld County.
Revisions were made to AQ Regulation No. 7, as part of the OAP to require a
system wide 37.5%reduction in summer 2005 and a 47.5%reduction by the end
of 2005 in preparation for the 2006 summer ozone season. Control technology is
primarily flares, but some companies have installed vapor recovery systems. At a
meeting in May 2004, industry representatives indicated that they were prepared
to meet the interim and final requirements in Regulation No. 7.
The APCD permit engineers and field inspection engineers have provided training
(as noted above under stakeholder meetings) for the required reporting of
condensate production and controls. There have been some problems as might be
expected in the undertaking of such a massive operation. However, considering
the effectiveness of the installed controls and the rule effectiveness factor,it is
currently expected that the reduction in VOC emissions will meet or exceed the
55 tpd reduction assumed in the 2007 controlled inventory.
As noted above in the section on modeling,technical analysis and planning, a
letter to the effected companies has been sent requesting daily summaries of
system wide condensate production and controls 12/31/05. APCD staff will
assess the possible growth in condensate production beyond original assumptions
and its impact on the modeling analysis and determine if the required 2007
reduction needs to be increased to meet the inventory used in the OAP modeling
for the 2007 control scenario.
Controls for Stationary Engines
The OAP includes an amendment to AQ regulation No. 7 requiring installation of
control technology by May 1, 2005 for reciprocating internal combustion engines
(RICE) larger than 500 horsepower located in the 8-hour ozone control area. Rich
burn RICE shall be controlled with non-selective catalyst reduction and an air fuel
ratio controller. Lean burn RICE shall be controlled by oxidation catalyst
reduction. Existing lean burn RICE may be exempted upon demonstration that
cost of emissions controls exceed$5000/ton of VOC reduced.
5
At this time 192 engines have been identified in the 8-hour ozone control area,
although a complete breakout of lean burn vs rich burn is currently unavailable.
Of the 192 engines identified, 29 have received approved exemptions and 2 at
Denver International Airport have been converted to electricity. There are 11
engines owned by Kerr-McGee that may be out of compliance with the control
requirements of Regulation No. 7. These engines are the subject of an ongoing
enforcement action against the company. Therefore, on May 1, 2005 there were
152 engines controlled(192 -29 -11 = 152).
Specific compliance with the requirements of Regulation No. 7 will be verified
through the Division's ongoing inspection and compliance programs. It is
assumed that the compliance issues with Kerr-McGee will be resolved, and based
on lean burn RICE exemptions currently approved there will be a shortfall of
VOC reductions of approximately 0.8 tpd in 2007 from the stationary engine
control category. This shortfall is very slight and beyond the sensitivity of the
photochemical modeling. However, the 7.8 psi RVP requirement discussed above
provide an additional gain in reduction of 3 tpd of VOC.
Controls for Dehydrators
Regulation No. 7 was amended to require control of dehydrators with emissions
in excess of 15 tpy. Specific compliance with the requirements of Regulation No.
7 will be verified through the Division's ongoing inspection and compliance
programs. Controls added are reported through the APCD Permit Program MEN
process. Complete APEN summaries of 2005 will be available in March—April
of 2006.
Revisions to Regulation No. 11 —Automobile Inspection and Readjustment
Program
The OAP includes an amendment to Regulation No. 11 to reduce the coverage of
remote sensing clean screen area from 80%to 50%in order to reduce the
disbenefit of the program and to reflect the practical reality of coverage. No more
than 50%of the gasoline fleet will be evaluated with remote sensing during any
twelve month period after December 31, 2005. Also,hydrocarbon limits have
been established and gas cap pressure checks are included in Regulation No. 11.
The APCD reports that it is currently at about 10%coverage, well below the 50%
coverage which would further reduce the disbenefit originally estimated.
Therefore, the current estimated reduction of 9.1 tpd VOC and 0.3 tpd NOx in
2007 is expected to be achieved as a minimum.
Program-based measures
Ozone Outreach and Education Program
The Regional Air Quality Council(RAQC) launched the seventh year of its
Voluntary Ozone Reduction Program. The 2005 program built upon previous
6
years with the implementation of a large-scale awareness,education, and outreach
program entitled"Let's Take Care of Our Summer Air." This comprehensive
program was made possible with the help of numerous stakeholders from the
Front Range region, including local, state, and federal governments,businesses,
transportation organizations,non-profits, and citizens. The goal was to increase
awareness and understanding of ozone pollution and voluntary activities to help
reduce it throughout the region.
Although the voluntary Ozone Outreach and Education Program is important to
the region in helping to achieve compliance of the standard at the area air quality
monitors,the program is not included as an enforceable measure in the SIP and no
emissions reduction credit is taken for the program..
The program encompassed large-scale outreach, advertising,education, and
evaluation components in order to raise public awareness and education about
ozone issues and increase the number of people undertaking voluntary ozone
reduction steps. In addition, it assisted with the promotion of the RAQC's high-
emitting outreach project, the Repair Your Air Campaign.
Although the program is important to the region in helping to achieve compliance
of the standard at the area air quality monitors,the region has decided to take no
credit for the voluntary Ozone Outreach and Education Program in the OAP.
The four main components of the program—media advertising and outreach,
citizen outreach, local government outreach, and analysis and reporting—were
designed to complement the efforts of each component of the program to
maximize effectiveness. The results of this all encompassing program are
detailed below.
Media Outreach and Advertising
Program partners and contractors worked with staff to develop a simple,yet
memorable campaign to encourage citizens to take action to reduce ozone-
forming behaviors. The outcome was a colorful campaign that utilized television,
radio, and outdoor mediums to yield 2,200 media advertising spots. At least 50
news stories were generated as a result. See Table 1 below for more information.
Table 1: Results of Media Advertising Campaign
Paid Media Bonus Media Total
Television 543 308 851
Radio 676 115 791
Billboards 5 --- 5
Bus Boards --- 50 50
Pump Toppers 248 257 505
Print 3 --- 3
Total 1,475 730 2,205
7
Citizen Outreach
The RAQC hosted and participated in a number of community events to further
educate citizens about ozone pollution. These included over 20 spring Car Care
Fairs to perform over 500 free vehicle inspections,Mow Down Pollution events
to exchange over 50 pieces of gasoline-powered equipment for more earth
friendly options at eight area Home Depot stores, and participation in a number of
existing events, such as Denver Regional Council of Government's Bike to Work
Day. In addition,RAQC launched an ozone-dedicated web site in both English
and Spanish located at OzoneAware.org. The web site served as the main hub for
information about ozone pollution and the specific activities of the campaign. A
total of 6,500 new users visited the web site June 1 through August 31.
Local Government Outreach
Local governments continue to be an integral part of the RAQC's ozone reduction
efforts. During the 2005 ozone season, RAQC developed two unique programs to
encourage participation by area local governments. The first was a fleet gas cap
testing program to identify and replace faulty and missing gas caps. A total of
nine local governments participated, including Arvada, Broomfield, Denver,
Englewood, Federal Heights, Golden, Louisville,Northglenn, and Westminster.
The participating governments tested nearly 900 gas caps and found that 109
(over 12 percent) failed. The second was a sub-grant program to encourage and
increase ozone outreach and education efforts by providing small grants to a few
select governments that developed creative outreach proposals. Boulder County,
City and County of Denver, and Federal Heights received funding to increase and
enhance their outreach and education efforts relating to ozone pollution.
Analysis and Reporting
The RAQC worked with a professional public opinion research firm to conduct a
pre- and post-survey to determine the effectiveness of the increased outreach and
education efforts in affecting behavior change among the public. The RAQC
conducted pre-campaign research, which consisted of a telephone survey and two
focus groups, and post-campaign research,which included a telephone survey.
The results were positive; there appeared to be a meaningful increase in
awareness before and after the implementation of the large-scale education
campaign. For example, 18 percent of respondents reported awareness of the
Ozone Action Alert Program before implementation of the campaign; 43 percent
of respondents reported awareness of the program after the campaign. See Table
2 below.
8
Table 2: Awareness of Ozone Action Alert
43%
Aware of Ozone •Post-
Action Alert campaign
•Pre-campaign
18%
0% 20% 40% 60% 80% 100%
Percent of Respondents
Government Agency/Department with Authority and Responsibility for
Implementation of Control Measures
All technology-based controls are under the authority and responsibility of the
Colorado Department of Public Health and Environment Air Pollution Control
Division. Within the APCD the specific responsible programs and the respective
control measures are as follows:
• Stationary Source Program
o Condensate Tank Emissions Controls
o Controls for Stationary Engines
o Controls for Dehydrators
• Mobile Source Program
o Reid Vapor Pressure
o Revisions to Regulation No. 11 —Automobile Inspection and
Readjustment Program
The program-based measure—the Ozone Outreach and Education Program- is
under the authority and responsibility of the Regional Air Quality Council.
9
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