The New Jersey Department of Environmental Protection (DEP) is proposing a new rule and amendments to N.J.A.C. 7:27-19, the Control and Prohibition of Air Pollution from Oxides of Nitrogen. The proposed rule is predominately focused on addressing NOx emissions reduction shortfalls in New Jersey's Ozone SIP. The DEP is using the OTC Model Rule as a basis for the proposed rule and many of the amendments. The proposed rule and amendments cover a wide variety of technologies including boilers and other indirect fired heat exchangers. However, this analysis will focus only on the stationary engines, emergency engines, combustion turbines, and distributed generation portion of the rule. The proposed amendments identify any commercial fuel burning equipment with a maximum rated heat input of 1 MMBtu per hour (approx. 100 kW) or greater to the burning chamber as a significant source that requires preconstruction permits and a operating certificate. The state would like to exert greater control over the use of stationary diesel generators.
Engines smaller than 500 brake horsepower (bhp) are not regulated under the existing rules. Under the proposed rule, new and modified stationary reciprocating engines with a maximum rated power output of 50 bhp or greater, if used for generating electricity, are being added to the list of categories of significant sources that must have a preconstruction permit, operating certificate, and meet NOx emission limits. Emissions limits for existing engines greater than 200 bhp would be reduced for diesel operation to 2.3 grams of NOx/bhp-hr and for gas operation to 1.5 grams of NOx/bhp-hr. Existing engines which are greater than 200 bhp (or a group of engines that are collectively over 200 bhp) have 16 months from the enactment of this rule to meet the emissions limits below. Existing engines less than 200 bhp will not be subject to any NOx emission limit, but must maintain their operating certificate.
| Fuel/Engine Type | Maximum Allowable NOx Emission Rate (grams per bhp-hr) |
|---|---|
| Spark-Ignited Rich Burn | 1.5 |
| Spark-Ignited Lean Burn | 1.5 or an emission rate which is equivalent to 80% NOx reduction from the uncontrolled NOx emission level |
| Compression Ignition Diesel Fuel | 2.3 |
| Compression Ignition Dual-Fuels | 2.3 |
New or modified engines greater than or equal to 50 bhp on or after 16 months from the effective date of this rule will be subject to stricter NOx emission limits. New engines will be limited to 0.70 grams of NOx per bhp-hr and modified engines must meet this rate or an emissions rate that is equivalent to a 90% reduction from the uncontrolled NOx emission level.
The OTC model rule requires injection timing retard (ITR) on emergency generators. The DEP felt that the costs of retrofitting emergency generators did not justify the amount of emissions reductions that would be achieved. However, emergency generators will be subject to new regulations requiring record keeping. The owner or operator of an emergency engine must keep a log book detailing the engine's use. These records must be maintained for a period of five years.
The existing NOx rule regulates emission rates for stationary combustion turbines with maximum gross heat input rate of at least 30 MMBtu/hr (approx. 3 MW). The proposed rule lowers the threshold from 30 MMBtu/hr to 25 MMBtu/hr and thus any combustion turbine greater than 25 MMBtu/hr is subject to the proposed emission rates below. These new limits are output-based and are slightly more stringent than the previous input-based limits. Owners or operators of any facility, equipment or source operation subject to the new or more stringent NOx emission limits has 16 months from the operative date of the amendments to implement a NOx control plan. The proposed maximum allowable NOx emission rates are based on the OTC Model Rule for Additional NOx Control Measures.
| Type of Turbine | Type of Fuel | Maximum Allowable NOx Emission Rate |
|---|---|---|
| Combined Cycle or Regenerative Cycle Combustion Turbine | Gas |
1.3 lbs/MWh |
Oil |
2.0 lbs/MWh |
|
| Simple Cycle Combustion Turbine | Gas |
2.2 lbs/MWh |
Oil |
3.0 lbs/MWh |
In an effort to "promote DG" the DEP is providing exemptions from this rule for certain types of DG technologies.
The DEP is proposing to expand the type and size of fuel cells that are exempt from permitting in an effort to promote their adoption by industries in New Jersey. Specifically, a fuel cell of any generating capacity fueled by hydrogen without a fuel processor, or a fuel cell less than 5,000 kW fueled by methane, or a fuel cell less than 500 kW fueled by other fuels, would be an insignificant source and would not need a preconstruction permit or an operating certificate.
A Microturbine, which the DEP defines as a combustion turbine with an electrical output of 25 kW to 500 kW is considered an insignificant source if it can be verified to emit less than 0.40 lbs/MWh for NOx and 0.25 lbs/MWh for CO.
Under the proposed new N.J.A.C. 7:27-8.2 (f)1ii, any piece of electric generating equipment, other than a fuel cell system or microturbine, that has less than 500 kW electric generating capacity and that has been verified to emit less than the emissions limitations below, would be considered an insignificant source and would not need a preconstruction permit or operating certificate.
| NOx | CO | PM | SO2 |
|---|---|---|---|
| 0.40 lbs/MWh | 0.25 lbs/MWh | 0.10 lbs/MWh | 0.01 lbs/MWh |
Verification of compliance with these emissions limitations would be demonstrated by either certification from the manufacturer or a process under the EETV Act or TARP. The Technology Acceptance and Reciprocity Partnership (TARP) is a workgroup of the Environmental Council of States (ECOS). The workgroup was formed to promote the reciprocal evaluation, acceptance, and approval of innovative environmental technologies. The Energy and Environmental Technology Verification Act (EETV) was passed by the legislature authorizing the DEP to develop and implement an innovative energy and environmental technology and certification process. The DEP will use stack testing as a last resort.
A public hearing will be conducted on Thursday, October 28, 2004 at 12:30 p.m. until the close of comments and again at 6:00 p.m. until the close of comments.
Hearing Location:
Department of Environmental Protection
Public Hearing Room
1st Floor, East Wing
401 East State Street
Trenton, New Jersey
Comments on the proposed rule may be submitted until the close of business on Friday, November 19, 2004. The DEP requests that commenters submit comments on disk or CD as well as on paper. Send written comments to:
Alice A. Previte, Esq.
Attention: DEP Docket No. 18-04-08/245
New Jersey Department of Environmental Protection
Office of Legal Affairs
PO Box 402
Trenton, NJ 08625-0402