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Federal Register / Vol. 86, No. 127 / Wednesday, July 7, 2021 / Rules and Regulations
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administering CAIR trading programs with respect to emissions occurring after December 31, 2014.5
To comply with CSAPR, Alabama adopted SO2 and NOX CSAPR trading program rules, including budgets, in ADEM Administrative Code Chapters 33535 and 33538. On August 31, 2016, EPA approved Alabamas CSAPR
annual SO2 and annual NOX trading program rules into the SIP.6 See 81 FR
59869. Because EPA stopped administering the CAIR trading programs after 2014, the approved CAIR
rules in the States SIP have not been implemented for several years.
Furthermore, ADEM repealed all CAIR
and CAIR-related regulations from Alabama Administrative Code Chapters 33531, 33535, and 33538 on December 9, 2011.7 Even though the CAIR programs were not being implemented in Alabama, ozone season NOx emissions have remained well below the NOX SIP Call budget levels.
After litigation that reached the Supreme Court, the D.C. Circuit generally upheld CSAPR but remanded several state budgets to EPA for reconsideration. EME Homer City Generation, L.P. v. EPA, 795 F.3d 118, 12930 D.C. Cir. 2015. EPA addressed the remanded ozone season NOX
budgets in the Cross-State Air Pollution Rule Update for the 2008 Ozone NAAQS CSAPR Update, which also partially addressed eastern states good neighbor obligations for the 2008 ozone NAAQS. See 81 FR 74504 October 26, 2016. The air quality modeling for the CSAPR Update demonstrated that Alabama contributes significantly to nonattainment and/or interferes with maintenance of the 2008 ozone NAAQS
in other states. The CSAPR Update reestablished an option for most states to meet their ongoing obligations for non-EGUs under the NOX SIP Call by including the units in the CSAPR
Update trading program.
The CSAPR Update trading program replaced the original CSAPR trading program for ozone season NOX for most covered states. On October 6, 2017, EPA
approved Alabamas CSAPR Update ozone season NOX trading program rules 5 See 79 FR 71663 December 3, 2014 and 81 FR
13275 March 14, 2016.
6 In the 2016 action, EPA did not act on the portion of Alabamas SIP submittal intended to replace Alabama units obligations to participate in CSAPRs federal trading program for ozone-season NOx emissions.
7 Although CAIR-related regulations were repealed from ADEM Administrative Code on December 11, 2011, the repeal of the regulations was not effective until February 20, 2015. EPA is now proposing to remove the repealed regulations from the SIP.

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for EGUs into the States SIP.8 See 82 FR
46674. Alabamas EGUs participate in the CSAPR Update trading program, generally also addressing the states obligations under the NOX SIP Call for EGUs. However, Alabama elected not to include its large non-EGUs in the CSAPR Update ozone season trading program. Because Alabamas large nonEGUs no longer participate in any CSAPR or CSAPR Update trading program for ozone season NOx emissions, the NOX SIP Call regulations at 40 CFR 51.121r2 as well as antibacksliding provisions at 40 CFR
51.905f and 40 CFR 51.1105e require these non-EGUs to maintain compliance with NOX SIP Call requirements in some other way.
Under 40 CFR 51.121f2 of the NOx SIP Call regulations, where a States SIP
contains control measures for EGUs and large non-EGU boilers and combustion turbines, the SIP must contain enforceable limits on the ozone season NOx mass emissions from these sources.
In addition, under 40 CFR 51.121i4
of the NOx SIP Call regulations as originally promulgated, the SIP also had to require these sources to monitor emissions according to the provisions of 40 CFR part 75, which generally entails the use of continuous emission monitoring systems CEMS. Alabama triggered these requirements by including control measures in its SIP for these types of sources, and the requirements have remained in effect despite the discontinuation of the NOX
Budget Trading Program after the 2008
ozone season. On March 8, 2019, EPA
revised some of the regulations that were originally promulgated in 1998 to implement the NOX SIP Call.9 The revision gave states covered by the NOX
SIP Call greater flexibility concerning the form of the NOx emissions monitoring requirements that the states must include in their SIPs for certain emissions sources. The revision amended 40 CFR 51.121i4 to make Part 75 monitoring, recordkeeping, and reporting optional, such that SIPs may establish alternative monitoring requirements for SIP Call budget units that meet the general requirements of 40
CFR 51.121f1 and i1. Under the updated provision, a states implementation plan still needs to include some form of emissions monitoring requirements for these types of sources, consistent with the NOX SIP
8 This action approved CSAPR and CSAPR
Update-related provisions of Alabama SIP
submissions dated October 26, 2015, and May 19, 2017.
9 See Emissions Monitoring Provisions in State Implementation Plans Required Under the NOX SIP
Call, 84 FR 8422 March 8, 2019.

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Calls general enforceability and monitoring requirements at 51.121f1 and i1, respectively, but states are no longer be required to satisfy these general NOX SIP Call requirements specifically through the adoption of 40 CFR part 75 monitoring requirements.
After evaluating the various options available following EPAs March 8, 2019, revision to the NOX SIP Call requirements, ADEM revised its regulations to address NOX SIP Call requirements and adopt alternative monitoring options for certain large non-EGUs. The changes require large non-EGUs in the State to address the NOX SIP Calls requirements for enforceable limits on ozone season NOX
mass emissions in a manner that does not rely on the administration of an interstate trading program. In addition, Alabama had previously revised its regulations to remove NOX Budget Trading Program and CAIR trading program provisions after EPA stopped administering those programs. Alabama also revised its regulations nonsubstantively to renumber the regulation titled, New Combustion Sources from Rule 33538.14 to Rule 33538.05.
The February 27, 2020, SIP revision submitted by ADEM requests approval into the SIP of all of these rule changes.
For a comprehensive discussion of EPAs analysis and rationale for approval of the States submittal, please refer to EPAs March 3, 2021, notice of proposed rulemaking. See 86 FR 12305
March 3, 2021. EPA received no comments on the proposed approval of Alabamas SIP.
II. Incorporation by Reference In this document, EPA is finalizing regulatory text that includes incorporation by reference. In accordance with requirements of 1 CFR
51.5, EPA is finalizing the incorporation by reference of Alabama Administrative Code Rule 33538.71, NOX Budget Program, which reestablishes enforceable limits on ozone season NOX
mass emission for certain units as required by EPAs NOX SIP Call regulations, and conditionally approving Rule 33538.72, NOX
Budget Program Monitoring and Reporting, which establishes alternative emission monitoring requirements for the units, both state effective on April 13, 2020. Further, EPA is approving the renumbering of Rule 33538.14, New Combustion Sources to 33538.05, New Combustion Sources, state effective January 16, 2012. Also in this document, EPA is finalizing the removal of provisions from the Alabama State
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