E, Sc o t t P ru itt A d m in istr a to r
September 6. 2017
The Honorable Rick Scot! Governor o f Florida PL 05 The Capitol 400 South Monroe Street Tallahassee. Florida 32399-0001
Re: 2017 Fuel Wai ver Concerning the Use o f Red Dyed 15 ppm Non-Road Diesel Locomotive and Marine Fuel in the State o f Florida
Dear Governor Scott:
On September 5, 2017. 1 received a request for a waiver under the Clean Air Act (CAA) made on your behalf to allow the use o f red dyed 15 parts per million (ppm) non-road locomotive and marine (NRLM) diesel fuel in diesel-powered highway vehicles in the State o f Florida forecasted to be directly impacted by Hurricane Irma and already impacted by Hurricane Harvey, In your request you explained that given the unprecedented magnitude of Hurricane Irma, and the variability of'meteorological models that show potentially devastating impacts to multiple population centers throughout the state, planning is underway to address evacuation logistics, flooding, seaport and other transportation sector impacts, and associated fuel supply interruptions. Further, your request stated that this limited waiver is needed because there is not a sufficient supply o f highway diesel fuel for vehicles that are operated for emergency response, disaster recovery operations and impending evacuations.1 In addition, state and federal governments have declared states o f emergency for Florida, mandatory evacuation orders have been issued for parts o f Florida, and large-scale evacuations have already begun from Monroe County and other areas in southern Florida.
As you know, regulations promulgated under the CAA require the use of Ultra Low Sulfur Diesel (U1..SD) fuel meeting 15 ppm sulfur specifications in diesel-powered highway vehicles. The regulations also require diesel fuel used in highw ay vehicles to be free o f visible evidence o f dye
* For the purpose of this letter, the term '`highway vehicle'' means "motor vehicle" as defined in Section 216 of the CAA, 42 U.S.C 7550(2) and highway diesel fuel means "motor vehicle diesel fuel" defined at 40 C.F.R. &0,2(y).
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solvent red 164 (which has a characteristic red color in diesel fuel), except for motor vehicle diesel fuel that is used in a manner that is tax exempt under section 4082 of'the internal Revenue Code. See 40 C.F.R. 80,520, The fuel supply situation in Florida and along evacuation routes remains impacted due to Hurricane Harvey, and the evacuations now underway due to Hurricane Irma have and will continue to deplete already constrained supplies o f compliant highway diesel fuel in the State of Florida.
The U.S. Environmental Protection Agency, in consultation with the II.S. Department of Energy, has evaluated the Impact of fuel supplies as the result o f disruptions to the fuel distribution system. Based on this evaluation, the ERA has determined, and the DOE concurs, that it is necessary to take the following action to minimize or prevent disruption o f the supply o f diesel fuel for diesel-powered highway vehicles in the State,
1 have determined that an "extreme and unusual fuel [ ] supply circumstance" exists that will prevent the distribution of an adequate supply of compliant fuel for use in diesel-powered highway vehicles in the State of Florida that are needed for emergency response and evacuations due to Hurricane Irma. CAA 21 l(c)(4)(C)(u)(l), 42 U.S.C. 7545(e)(4)(C)(ii)(I). This extreme and unusual fuel circumstance is the result o f two hurricanes, natural disasters that could not reasonably have been foreseen or prevented, and is not attributable to a lack o f prudent planning on the part o f suppliers o f the fuel to the State, CAA 211 (e>(4)(C)(ii)(lI), 42 U.S.C, 7545(e)(4)(C)(ii)(lI), Furthermore, f have determined that it is in the public interest to grant this waiver and that this waiver applies to the smallest geographic area necessary to address the fuel supply circumstances, CAA 21 l(e)(4)(C)(ri)(IIi) and (ul}(i), 42 U.S.C, 7545(c)(4)(C)(ii)(ill) and (hiXl),
Therefore, to minimize or prevent disruptions to the supply o f fuel for diesel-powered highway vehicles that are operated for emergency response and evacuations, I am issuing this limited waiver o f the highway diesel fuel red dye requirements. Under this waiver, the EPA will allow the sale, distribution and use of red dyed NRLM diesel fuel in the State of Florida for use in highway diesel vehicles, but the diesel fuel must meet the 15 ppm standard set forth at 40 C.F.R. 80.520.
This waiver is effective immediately and will continue through September 22, 2017, Diesel fuel distributed under this waiver may not be introduced into terminal storage tanks from winch diesel is dispensed into trucks for distribution to retail outlets after September 22,2017, Any diesel meeting the conditions o f this waiver that is stored in terminal storage tanks for distribution to retail outlets and wholesale purchaser-consumers in Florida on September 22, 2017, may be distributed and sold until the supply is depleted. Likewise, retailers and wholesale purchaserconsumers in the State may continue selling or dispensing diesel fuel that meets the conditions o f this waiver after September 22, 2017, until their supplies are depleted. This waiver applies only to the applicable federal requirements cited above. Please note that the EPA does not have authority to waive any requirements by the II.S. Department o f the Treasury and this waiver does not extend to applicable Internal Revenue Service regulations.
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The EPA will continue to work with the DOE and affected states to monitor the impact o f Hurricane Irma on the fuel supply situation. This waiver applies only to the applicable federal requirements cited above. Other state or local requirements or restrictions related to this matter may need to be addressed by the appropriate authorities. Should conditions warrant, this waiver may be modified, terminated or extended as warranted. If you have questions you may call me, or your staff may call Phillip A. Brooks at (202) 564-0652.
Respectful ly yours,
E. Scott Pruitt
ec: 'Hie Honorable Rick Perry, Secretary o f Energy The Honorable Steven Temer Mnuehin, Secretary o f the Treasury Jeffery P. Koemer, Director. Florida Division o f Air Resource Management John P. Moriarty, Acting Associate Chief Counsel, Internal Revenue Service
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