Document XOj7Qj3YGE0yRabm2nXk6JE9J

Westlake March 31, 2025 U.S. Environmental Protection Agency 1200 Pennsylvania Ave. NW Washington, DC 20460 Email submission: airaction(a)epa.gov RE: Presidential Exemption: New Source Performance Standards for the Synthetic Organic Chemical Manufacturing Industry and National Emission Standards for Hazardous Air Pollutants (NESHAP) for the Synthetic Organic Chemical Manufacturing Industry (SOCMI) and Group I & II Polymers and Resins Industry: Westlake Vinyl's LLC (Calvert City Facility), a subsidiary of Westlake Corporation, ("Westlake") To Whom It May Concern, Westlake is seeking an exemption from the compliance obligations of the New Source Performance Standards for the Synthetic Organic Chemical Manufacturing Industry and the National Emission Standards for Hazardous Air Pollutants (NESHAP) for the Synthetic Organic Chemical Manufacturing Industry (SOCMI) and Group I & II Polymers and Resins Industry, collectively known as the 1ION Rule. We believe it is necessary and appropriate for the President to grant an exemption under Clean Air Act (CAA) Section 112(i)(4) for sources regulated by the final rule whether on an individual basis or collectively. If done collectively, we request that EPA include our regulated facility under that collective action. Westlake encourages the Administration to swiftly consider and issue such an action based on an understanding that both: 1) "availability" for the purposes of this section refers not only to the existence of technology capable of achieving compliance with the rule, but encompasses practical challenges with the timeframes necessary to plan, procure, and install required technologies and such activity cannot occur within the current compliance timeframe; and 2) national security encompasses not only military defense applications and infrastructure, but also economic security, a perspective that has been acknowledged by the President in Executive Orders and key security agencies like the Department of Defense. Indeed, as the White House has stated regarding domestic priorities, "economic security is national 2468 Industrial Parkway I Calvert City, Kentucky 42029 www-West la ke.com Sierra Club FOIA 2025-EPA-04883 ED_018388_00000042-00001 SC_EVERSPLIT0024946 Page 2 security."' As additional support on this point, we reference the separate joint coalition submission sent to EPA from the American Chemistry Council (ACC) and the American Fuel & Petrochemicals Manufacturers (AFPM) detailing the critical nature of ethylene oxide (EtO) as a building block to several supply chains throughout domestic manufacturing, and the potential risks to our nation's national security interests if continued production is jeopardized. Given the practical challenges associated with the planning, procurement, and installation of technologies within the current compliance timeframe, and considering the Administration's stance on economic security as a facet of national security, we believe it is both necessary and appropriate for the President to grant an exemption under Clean Air Act Section 112(i)(4). This exemption is sought for our regulated Calvert City Facility. We align our request with the perspective acknowledged by the President in Executive Orders and by key security agencies that economic security is indeed national security. This viewpoint is critical as our industry plays a foundational role in various domestic manufacturing supply chains, and any disruption could pose risks to our nation's security interests. The joint coalition submission from the American Chemistry Council (ACC) and the American Fuel & Petrochemicals Manufacturers (AFPM) further underscores the importance of HON regulated chemicals as crucial building blocks and the potential national security risks if production is hindered. As outlined in a letter submitted on behalf of industry by AFPM and ACC, Westlake agrees that CAA 112(i)(4) does not require that the President provide the bare minimum amount of time needed to obtain and install controls, and similarly requests that any exemption granted under this section be a length of 2 years with an option for EPA to consider a renewal for facilities for which compliance processes may run longer than 2 years. As previously outlined in Westlake's prior requests for extension of time as well as the joint coalition's comments on and petition for reconsideration of the HON Rule, we believe that the Administration has already been provided with sufficient information to support an exemption covering all regulated facilities or on a facility-specific basis. 'Ihis letter provides additional detail and support on the time-critical nature of the request for relief and to address EPA's request for information. We submit both in support of a category-wide grant, as well as to provide company-specific information if the President pursues a facility-specific exemption action. This letter serves to reinforce the urgency of our request and to respond to EPA's call for additional information. Details to support this request are summarized below. Specifically, our Calvert City Facility is subject to the HON Rule amendments and would face challenges in obtaining and implementing the technology required to come into compliance with the new standards by the compliance deadlines currently in place. The potential for delays in coming into compliance due to availability of equipment, long lead times in project planning, availability and coordination of resources including contractor resources and the time https://www.whitehouse.gov/presidential-actions/2025/02/america-first-investment-policyt 2468 Industrial Parkway I Calvert City, Kentucky 42029 www.West1ake.corn Sierra Club FOIA 2025-EPA-04883 ED_018388_00000042-00002 SC_EVERSPLIT0024947 Page I3 needed to undertake detailed planning and engineering for compliance projects could potentially lead to impact in production and possible decreases in production volumes or unit shut downs. First, Westlake's Calvert City Facility is likely subject to the HON's new EtO requirements in 40 C.F.R. 63, Subparts F, G, H, and I. The Site's units, which potentially have equipment "in ethylene oxide service," were constructed or reconstructed on or before April 25, 2023. Accordingly, the HON's compliance date for the new Section 112(d) requirements is July 15, 2027, (i.e., three years after the Rule's effective date) and the HON's compliance date for the Section 112(f) requirements is July 15, 2026, (i.e., two years after the Rule's effective date). In addition, Westlake's Calvert City Facility is also impacted by the removal of Startup, Shutdown and Malfunction (SSM) provisions, which will require certain HON process, storage vessel, surge control and bottoms receiver vents be captured and sent to control. This impact will require the Calvert City Facility to install an additional incinerator due to the additional process vent loads which will be required to be routed to control at all times. The current compliance dates for the new Section 112(f) EtO requirements and for control of all HON process vent, storage vessel, surge control and bottoms receiver vents are still insufficient for Westlake's Calvert City Facility to plan, purchase, and install emission control equipment that is needed to comply with the new HON Rule requirements. Next, as currently written, the HON Rule requires sources to implement fenceline monitoring requirements by July 15, 2026. See 40 C.F.R. 63.184. With a new fenceline monitoring program, Westlake must select contractors after a competitive bid process and then acquire an adequate supply of canisters, flow controllers, timers, and tubes in time for compliance. In addition, Westlake must rely on third-party laboratories for sample analysis, and there is only one laboratory accredited to run the required methods in accordance with the HON rule. The HON Rule also requires real-time sampling techniques if the root cause of an action level exceedance has not been determined within 30 days of determining the action level has been exceeded. Westlake must also source and select external contracts to employ real-time monitoring and appropriate staff. As summarized above, Westlake has no control over the availability of outside resources needed. Selection and use of contractors, laboratories, and real-time monitoring technologies will be conducted in combination with the entire source category, and there is expected to be a large rush on procuring the necessary equipment to meet these requirements. Therefore, Westlake may not be able to comply with this rule by the current compliance date due to factors outside our control. The HON rule requirements for pressure relief devices (PRDs) also presents specific technical feasibility challenges for Westlake. Processes are designed with these PRDs to ensure the safety of personnel and equipment, and they will need to be retained. Chlorinated compound producers, 2468 Industrial Parkway I Calvert City, Kentucky 42029 www.West la ke.com Sierra Club FOIA 2025-EPA-04883 ED_018388_00000042-00003 SC_EVERSPLIT0024948 Page HI such as Westlake, have different control requirements than other HON facilities. For instance, chlorinated compound producers utilize thermal oxidizers rather than flares for controlling emissions from PRDs because of the requirement to use post-combustion controls (e.g., scrubbers) for acid gases. These thermal oxidizers typically operate within a much narrower range of inlet flows and compositions than flares do. Also, there are concerns that in some cases (high flow PRD discharge rates) routing a particular PRD to an existing thermal oxidizer could result in a thermal oxidizer having a flame out that would in turn cause higher emissions than would result from the PRD venting to the atmosphere. The non-routine, infrequent, and episodic nature of PRD releases make it likely infeasible to install a control system capable of accommodating all the possible release scenarios at Westlake's impacted facilities which utilize thermal oxidizers. As a result, certain PRDs may necessarily have to be routed directly to the atmosphere at a safe location to ensure the safety of personnel and equipment, resulting in an unavoidable potential future violation of the new rule requirements. The new HON rule also imposes additional, burdensome monitoring for PRDs. Westlake estimates up to three hundred (300) PRDs may be affected by this requirement at our Calvert City Facility alone. In combination with all other facilities in the entire source category, there is expected to be a large rush on procuring the necessary equipment to meet these requirements from the entire industry. Due to the anticipated surge in demand, a shortage in supply is expected. Westlake has no control over the availability of outside resources needed. Therefore, Westlake may not be able to comply with this rule by the current compliance date. Westlake's Calvert City Facility is also subject to and impacted by the removal of Delay-ofRepair Provisions under 40 CFR 63.117(f); the removal of Total Resource Effectiveness (TRE) Concept under 40 CFR 63.117; Storage Vessel Provisions under 40 CFR 63.119 - 63.123; Process Wastewater Provisions under 40 CFR 63.132 - 63.147; and Heat Exchange System requirements under 40 CFR 63.104, each of which will require significant evaluation and identification of compliance methods involving testing and analysis which require key third party resources that may be limited or in greater demand while multiple companies undertake similar compliance efforts. In addition, these new IION rule requirements may potentially require installation of new equipment or implementation of potential new capital projects, which may only be identified after the time-intensive evaluation and compliance analysis work, which is already underway across industry and at Westlake. A summary listing of the key provisions of the HON rule which will impact the Westlake Calvert City Facility and from which Westlake seeks this exemption is provided below: 2468 Industrial Parkway I Calvert City, Kentucky 42029 www.Westlake.com Sierra Club FOIA 2025-EPA-04883 ED_018388_00000042-00004 SC_EVERSPLIT0024949 Page 15 Short description of provision Compliance Dates Delay of Repair for Heat Exchange Systems Maintenance Vent Provisions All provisions related to process vents in ethylene oxide service Removal of Total Resource Effectiveness All provisions related to for storage vessel vents in ethylene oxide service 1 ppmw ethylene oxide limit in process wastewater Pressure Relief Devices Requirements Delay of Repair provisions Fenceline monitoring provisions Removal of Startup, Shutdown, Malfunction Provisions Specific Citation 40 CFR 63.100(k) 40 CFR 63.104 40 CFR 63.113 k 40 CFR 63.113 -- 63.118 and 40 CFR 63.124 40 CFR 63.115( 40 CFR 63.119 -- 63.124 40 CFR 63.138(b)(3) 40 CFR 63.165(e) 40 CFR 63.171(f) 40 CFR 63.184 40 CFR 63 Westlake's HON regulated units at the Calvert City Facility produce foundational raw materials including vinyl chloride and ethylene di-chloride which are the building blocks for plastics used in industries which play fundamental roles in national security including the medical and healthcare, municipality infrastructure, agricultural, and automotive industries. National security interests broadly include any potential for disruption to public health and welfare, threats to water or food supplies and supply chain risk management along with the economic security previously noted in this request. Westlake's products serve as key raw materials for industries that play critical roles in the United States nationals security interests. The time needed and challenges involved in coming into compliance with the complex and voluminous new requirements under the HON rule could lead to potential decreases in production or possible outages at regulated facilities including Westlake's Calvert City Facility jeopardizing or impacting our downstream customers' industries. This letter serves to reinforce the urgency of our request and to respond to EPA's call for additional information. We are prepared to provide further company-specific details should the President consider facility-specific exemptions. We appreciate your attention to this matter and urge swift action. Sincerely, David IIuyck Sr. Director - Operations, Region 3 2468 Industrial Parkway I Calvert City, Kentucky 42029 WWW. Westlake.com Sierra Club FOIA 2025-EPA-04883 ED_018388_00000042-00005 SC_EVERSPLIT0024950 Page I6 cc: Aaron Szabo, Senior Advisor to the Administrator, Office of the Administrator o Szabo.Aaron@eria.gov; Abigale Tardif, Principal Deputy Administrator, Office of Air and Radiation o Tardif.Abigalepepa.gov; Sean Donahue, Principal Deputy General Counsel, Office of General Counsel o donahue.sean@epa.gov; Alex Dominguez, Deputy Assistant Administrator for Mobile Sources, Office of Air and Radiation o donninguez.alexander@epa.Rov; Peter Tsirigotis, Director, Office of Air Quality Planning and Standards o Tsirigotis.Peter@epa.gov; Penny Lassiter, Director, Sector Policies and Programs Division, Office of Air Quality Planning and Standards o Lassiter.PennyPepa.gov; Patrick Lessard, Refining and Chemical Group Leader, Office of Air Quality Planning and Standards o Lessard.Patrick@eba,gov; Andrew Bouchard, General Engineer, EPA Office of Air Quality Planning and Standards o Bouchard.AndrewPepa,gov 2468 Industrial Parkway I Calvert City. Kentucky 42O29 www-Westlake.com Sierra Club FOIA 2025-EPA-04883 ED_018388_00000042-00006 SC_EVERSPLIT0024951