U.S. EPA Proposes Revisions to Project Emissions Accounting Under New Source Review

The U.S. Environmental Protection Agency (EPA) is proposing revisions to the New Source Review (NSR) permitting program that would make it more difficult to net out of NSR requirements by changing how to calculate the net emissions resulting from a facility modification. EPA also proposes to define the term “project” more narrowly to prevent sources from aggregating changes to net out of major NSR requirements. The proposal would revise reforms adopted only four years earlier during the Trump administration that had provided additional flexibility to sources making changes to their operations.

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EPA Proposes Change to Treatment of Fugitive Emissions in New Source Review

On October 13, 2022, the U.S. Environmental Protection Agency (EPA) released a proposed rule changing the treatment of fugitive emissions in determining whether a modification is major under the New Source Review (NSR) provisions of the Clean Air Act. The proposed rule — which modifies NSR regulations that have been stayed since 2009 — would require all major sources to consider fugitive emissions when determining whether a proposed change would constitute a major modification. Regulated entities considering changes to their existing facilities should monitor the progress of this rule and consider commenting.

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