Document EvOKqerpE497VKZyoGpqVm2Og

KINDER MORGAN December 7, 2 with dministrator 17cv01906 Sierra Club v. EPA ED_001523B_00002232-00001 KINDE~ORGAtf im largest natural gas transmission network in North America Own or operate ~70,000 miles of natural gas pipeline Connected to every important natural gas resource play in the U.S. Largest independent transporter of petroleum products in North America - Transport ~2.1 MMBbl/d Largest transporter of CO2 in North America - Transport -1.3 Bcf/d of CO2 largest independent terminal operator in North America Own or operate ~155 terminals ~152 MMBbls liquids capacity Handle ~53 MMtons of dry bulk products Own 16 Jones Act vessels Only Oilsands pipeline serving the West Coast - Transports ~300 MBbl/d to Vancouver I Washington State; planned expansion takes capacity to 890 MBbl/d 17cv01906 Sierra Club v. EPA NATURAL GAS PIPELINES NATURAL GAS STORAGE NATURAL GAS PROCESSING LNG TERMINALS PRODUCTS PIPELINES CO2 PIPELINES /\ TERMINALS *II PRODUCTS PIPELINE TERMINALS TRANSMIX FACILITIES '..) CO2 SOURCE FIELDS A CO2 OIL FIELDS *...... JONES ACT TANKERS KM HEADQUARTERS CRUDE I LIQUIDS PIPELINES II CRUDE/ LIQUIDS PIPELINE TERMINALS 2 ED_001523B_00002232-00002 U.S. E A- Oil ~~ KINDE~ORGAN as Emission tandards 11 KM Supports and Plans to Comment on the Notice of Data Availability 11 Delay of Repair Requiring repairs and replacement of leaking components after unscheduled and emergency vent blowdowns and compressor station shutdowns is not feasible in many cases for safe and reliable pipeline operations KM supports the proposed language developed by INGAA and GPA Midstream 11 LDAR requirement should be Annual for Compressor Stations Consistent with GHGRP Subpart W requirements KM data indicates benefits of LOAR do not increase with increased frequency of inspection 17cv01906 Sierra Club v. EPA 3 ED_001523B_00002232-00003 mer1 can ing Beetle I/JS lR.stt, ~ ~ 1111 Impact to current process Environmental issue Holding up midstream and upstream projects Agency coordination 1111 Pending delisting petition status Lawsuit pending 1111 Permitting Process 1111 Habitat Management Plan Overly broad Buying credits is only way to comply Lengthy, costly process 1111 Requested Policy Changes Delist or put specific guidanc out for staff 17cv01906 Sierra Club v. EPA KINDE~ORGAN 4 ED_001523B_00002232-00004 . I I r I KINDE~ORGAN 111 EPA should participate in NEPA process reflecting National Policy. National Policy is to support energy infrastructure to increase production of fossil fuels. EPA should be a constructive participant as a cooperating agency in scoping; commenting internally on non-public drafts and then filing supporting comments of the draft and final NEPA documents recognizing a pro-growth national policy. 111 EPA should insist that states with delegated EPA statutory authority implement that authority consistent with the National Policy of supporting energy infrastructure and development of fossil fuels. EPA should enforce clear deadlines to issue requested permits under the Clear Air Act, the Clean Water Act and other statutory or regulatory programs. 17cv01906 Sierra Club v. EPA 5 ED_001523B_00002232-00005 KINDE~ORGAN Superfund/ E L ediment Cleanup IL~~~awaf~~sibas' Interpretation and Implementation Issues 1111 EPA not following detailed Sediment Guidance consistently at "mega" sediment sites. Sediment Guidance includes: "Principles of Managing Contaminated Sediment Risks at Hazardous Waste Sites", EPA Feb. 12, 2002;and Office of Land and Emergency Management (OLEM) Directive 9200.1-130, Jan. 9, 2017; 1111 EPA has not appliedAdaptive Management principles in remedy selection process. Included in Sediment Guidance and intended to be used at complex sediment sites. Application would result in reduction in RI/FS process scope and length, acceleration of remedy selection and implementation, and performance monitoring. Massive and intrusive dredging remedies cannot be the standard remedy. Source control and background contamination must be addressed as critical to remedy selection. 1111 EPA does not applyCERCLA, the NCP and Agency Guidance uniformly across all regions. CERCLA/NCP require remedies be "cost effective"= cost of remedy proportional to its effectiveness. Enforce the recommendations of the EPA Superfund Task Force (July 2017) 1111 Only use CERCLA for the protection of human, health and environment. Example - Requiring navigational dredging as part of remedy for Lower Passaic (estimated to be 30% of the ROD implementation costs). 1111 Potentially Responsible Party (PRP) Matters Must consistently use EPA mechanisms for ID of all PRPs, orphan share funding, enforcement of recalcitrant PRPs, and ending special settlements with government, municipal or quasi-government. Elevate decisions in dispute resolution to AA of OLEM from Region's Superfund Director. 17cv01906 Sierra Club v. EPA 6 ED_001523B_00002232-00006 KINDE~ORGAN i I I I I I 17cv01906 Sierra Club v. EPA 7 ED_001523B_00002232-00007 U. . E KINDE~ORGAN iI as Emission tandards 111 Delay of Repair: INGAA/GPA Midstream Proposed Language fix 60.5397a(h)(2) If the repair or replacement is technically infeasible, would require a vent blowdown, a compressor station shutdown, a well shutdown or well shut-in, or would be unsafe to repair during operation of the unit, the repair or replacement must be completed during the next scheduled compressor station shutdown for maintenance, well shutdown, well shut-in, after an unscheduled, planned or emergency >1ent blowdown or within 2 years, whichever is earlier. Delay of repair will be allowed beyond the next scheduled compressor station shutdown for maintenance if (a) replacement parts cannot be acquired before the next scheduled shutdown for maintenance or (b) the delay is attributable to other good cause that makes a sooner repair impracticable and/or would lead to excess emissions. The operator must document: the location and nature of the leak. the date the leak was added to the delay of repair list. the basis for delaying the repair, the date replacement parts were ordered, the vendor providing the parts. and the anticipated delivery date. Replacement parts must be promptly ordered after determining it is necessary to delay the repair and the repair must be completed within 30 business days of receipt of the replacement parts, during the next scheduled maintenance shutdown after the parts are received if the repair requires a shutdown. or within 30 business days after the cause of delay ceases to exist. 111 Duplicative of GHGRP Subpart W Requirements OOOOa and GHGRP Subpart W requirements are duplicative and EPA further complicated Subpart W reporting for OOOOa sources. KM requests OOOOa and GHGRP data collection and reporting be streamlined. Specifically, if a source reports under OOOOa, then forego reporting GHGRP data into EGGRT. 17cv01906 Sierra Club v. EPA 8 ED_001523B_00002232-00008 U. " KINDE~ORGAN i I s m1 ss1 on tandards 111 Modification to a Compressor Station Definition Causes confusion when work is done on compressors. Compressors do not have horsepower ratings 60.5365aU) The collection of fugitive emissions components at a compressor station, as defined in 60.5430a, is an affected facility. For purposes of 60.5397a, a "modification" to a compressor station occurs when: (1) An additional compressor is installed at a compressor station; or (2) One or more compressors at a compressor station is replaced one or more compressors of greater total horsepower than the compressor(s) being replaced. en one or more compressors is replaced by one or more compressors of an equal or smaller total horsepower than the compressor(s) being replaced, installation of the replacement compressor(s) does not trigger a modification of the compressor station for purposes of 60.5397a. If EPA retains a similar modification definition, clarify the intent 11 Other technical issues - Examples include: Leak Thresholds Final rule allows for Method 21 @ 500 ppm as a threshold Cubic Feet/minute leak rate would preferred; threshold should be based on latest research Third Party Ancillary Equipment: LOAR scope should be limited to the collection of fu itive gv tR~ f emission components at well sites or compressor stations which are owned o roducer or compressor station owner/operator. or leased ing resurvey timeframe requirements in 60.5397a(h)3 and 60.5397a(h)3i: Suggested language: 60.5397a(h)3 Each repaired or replaced fugitive emissions component must be resurveyed as soon as practicable, but no later than 30 days after being repaired, to ensure that there are no fugitive emissions. (i) For repairs that cannot be made during the monitoring survey when the fugitive emissions are initially found, the operator may resurvey the repaired fugitive emissions components using either Method 21 or optical gas imaging \1.iithin 30 days of finding such fugitive emissions 17cv01906 Sierra Club v. EPA 9 ED_001523B_00002232-00009 KINDE~ORGAN ational mbient 1 r uality Standards ( ) 111 AERMOD and One-Hour NAAQS Issues {NO2, SO2) The current model is not capable of demonstrating compliance with 1 hr standard. The model over predicts for low stacks. EPA should issue a guidance to states and regulated community to not require one-hour modeling until the model is fixed. Support existing coordination between Pipeline Research Council International (PRCI), INGAA and EPA presentingfixes to EPA. 111 NAAQS Reform presented in 10/25/2017 response to EO 13783 KM supports EPA reform efforts on NAAQS. Concerns with the timing of implementations of NAAQS within the required 5 year review period. Within 5 year review period, often technology does not exist to comply with lower standard. The frequency of NAAQS revisions result in overlapping requirements to be implemented in a short time frame, resulting in uncertainty for planned and permitted facilities. Frequent revisions of standards result in a backlog of SIPs to be reviewed and delays SIP approval by EPA. https://www.epa.gov/sites/production/files/2017-1O/documents/eo-13783-final-report-10-25-2017.pdf 10 17cv01906 Sierra Club v. EPA ED_001523B_00002232-00010 KINDE~ORGAN E egulations should dhere to Plain riting ct 11 Plain Writin Act of 2010 Requires clear government communication that the pu ic can understand and use 11 E.O. 13563 states [our regulatory system] must ensure that regulations are accessible, consistent, written in plain language, and easy to understand 11 EPA should apply plain language requirements to air quality regulations for guidance 11 KM takes compliance very seriously When regulations are written in an overly complicated fashion, operators are vulnerable to enforcement due to interpretation nuances even when they are committed to doing the right thing Making regulations difficult to understand is counterproductive 11 Examples where EPA has not adhered to this law 40 CFR Part 63 Subpart ZZZZ compliance requirements for reciprocating engines differ dependent on specific makes/models/dates of engines EPA and operators have had to develop several documents to guide compliance. The guidance itself is difficult to follow KM recommends streamlining rules to the extent possible, especially in cases where the complexity outweighs any environmental benefit Plain Writing Act of 201 O (October 13, 201 O} Executive Order 13563 - Improving Regulation and Regulatory Review {January 18, 2011) https://www.epa.gov/stationary-engines/implementation-tools-neshap-reciprocating-internal-combustion-engines 17cv01906 Sierra Club v. EPA 11 ED_001523B_00002232-00011 KINDE~ORGAN Sta up, hut down and Malfunction emissions 111 EPA should withdraw the startup, shutdown, malfunction {SSM) SIP Call. EPA should revisit actions taken in response to a 2008 Court decision and broadly implement work practice standards for SSM events. The SIP Call was not based on a finding of air quality impacts or that the removal of the SSM exemption would enable meeting air quality standards. 111 EPA should develop regulations that broadly implement work practices during SSM events for NSPS and NESHAPs for combustion sources. EPA should document the emission standard compliance limitations associated with the original rulemaking for NSPS and NESHAPs. If EPA does not establish work practices during SSM, then amend the regulations to define emission standards that can be achieved during an SSM event 111 Proposed amendments to Start up, Shut Down and Malfunction were moved to the inactive regulatory agenda July 20, 2017. Longer than 12 months for regulatory action. Sierra Club v. Envtl. Prot. Agency, 551 F.3d 1019, 1021 (D.C. Cir. 2008). EPA Docket ID EPA-HQ-OAR-2012-0322-0477 17cv01906 Sierra Club v. EPA 12 ED_001523B_00002232-00012 KINDE~ORGAN E 's nee in always in policy 111 Remove the 1995 Once in always in policy EPA proposed to codify an alternative approach in January 2007, but did not issue a final rule. The 1995 memo should be withdrawn and replaced with a new policy that allows a major source to become an area source at any time. EPA should revisit codifying an alternative to the 1995 memorandum which discourages owners and operators from reducing HAP emissions from existing sources because a major HAP source retains major source status even if emissions are decreased below major source thresholds. The opportunity to become a minor source provides owners and operators the ability to reduce regulatory burdens and incentivizes companies to reduce HAP emissions. 111 Proposed amendments to the General Provisions to the NESHAP to replace the 1995 Once in Always In Policy were moved to the inactive regulatory agenda July 20, 2017. Longer than 12 months for regulatory action. Memo from John S. Seitz, Director, EPA OAQPS, to Regional Offices, regarding Potential to Emit for MACT Standards-- Guidance on Timing Issues (May 16, 1995) 72 Fed. Reg. 69 (Jan. 3, 2007) 13 17cv01906 Sierra Club v. EPA ED_001523B_00002232-00013 merican Bu ing eetle ~~awzr'~:rmiVlffleUPiiGtlll11JS KINDE~ORGAN 11 Project permitting requires an Incidental Take Permit (ITP) through the Oil and Gas Industry Conservation Plan (ICP) 11 The ICP requires Individual Project Packages containing: Species Assessment and Mitigation Calculations; ABB Survey Information; !Pac Results; Maps and Description of Area of IPP Approval; ICP Implementation Funding; and Mitigation Funding. 11 Mitigation funding can add $16.35 per linear foot to a pipeline project II Permit processing takes 45-60 days Requested Policy Changes if no Delisting 11 USFWS respond within 2 weeks to the permittee providing the name and contact information of the permit manager 11 USFWS act within 30 days to request additional information 11 USFWS adhere to a 30-day deadline for final permit action (to run concurrently with the 30-day timeline for information request if no information is requested), similar to how the USAGE operates under the Nationwide Permit program 17cv01906 Sierra Club v. EPA 14 ED_001523B_00002232-00014 merican Burying Beetle IL V~ KINDE~ORGAN 111 July 1989: Listed as endangered species by the USFWS September 1991: Recovery Plan published by USFWS - Delisting criteria absent, contributing to current delisting problem 111 August 2015: American Stewards of Liberty (ASL), the Independent Petroleum Association of America (IPAA), and the Texas Public Policy Foundation (TPPF) file Delisting Petition 111 March 2016 : USFWS determines delisting may be warranted, state they will include findings in their 12-month review, due August 2016 111 August 2016: USFWS fails to publish any findings 111 September 2017: ASL, IPAA, and TPPF sues the USFWS for violation of section 4(b)(3)(8) of the Endangered Species Act (ESA) based on USFWS' failure to render a timely 12-month finding 17cv01906 Sierra Club v. EPA 15 ED_001523B_00002232-00015 KINDE~ORGAN upe und/ L edi ent I anup IL0V461r~.ict/Jllrf4/~~~ Kinder Morgan endorses the recommendations made in the referenced documents: .. Recommendations of the Lower Passaic River Study Area Cooperating Parties Group to the Superfund Task Force June 13, 2017. .. Testimony of Steven C. Nadeau Partner, Environmental Practice Group Honigman Miller Schwartz and Cohn LLP Hearing on "Oversight of CERCLA Implementation" Before the House of Representatives Committee on Energy and Commerce, Subcommittee on Environment and the Economy July 13, 2016 http://docs.house.gov/meetings/lF/IF18/20160713/105195/HHRG-114IF18-Wstate-NadeauS-20160713.pdf 17cv01906 Sierra Club v. EPA 16 ED_001523B_00002232-00016