Acid Rain Division; Acid Rain Provisions

ENVIRONMENTAL PROTECTION AGENCY

[FRL-5848-1]

Acid Rain Division; Acid Rain Provisions

AGENCY: Environmental Protection Agency.

ACTION: Notice.

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[[Page 34450]]

SUMMARY: EPA today announces the allocation of allowances to small

diesel refineries for desulfurization of fuel during 1996. The

eligibility for and calculation of allowances to small diesel

refineries is in accordance with Section 410(h) of the Clean Air Act,

implemented at 40 CFR Part 73, subpart G.

FOR FURTHER INFORMATION CONTACT: Kathy Barylski, EPA Acid Rain Division

(6204J), 401 M St., SW, Washington DC; telephone (202) 233-9074.

Information is also available through the Acid Rain Division website at

http://www.epa.gov/acidrain.

SUPPLEMENTARY INFORMATION: EPA's Acid Rain Program was established by

Title IV of the Clean Air Act Amendments of 1990 (CAAA) to reduce acid

rain in the continental United States. The Acid Rain Program will

achieve a 50 percent reduction in sulfur dioxide (SO2)

emissions from utility units. The SO2 reduction program is a

flexible market-based approach to environmental management. As part of

this approach, EPA allocates ``allowances'' to affected utility units.

Each allowance is a limited authorization to emit up to one ton of

SO2. At the end of each calendar year, each unit must hold

allowances in an amount equal to or greater than its SO2

emissions for the year. Allowances may be bought, sold, or transferred

between utilities and other interested parties. Those utility units

whose annual emissions are likely to exceed their allocations may

install control technologies or switch to cleaner fuels to reduce

SO2 emissions or buy additional allowances.

Section 410(h) of the Clean Air Act provides allowances for small

diesel refineries that desulfurize diesel fuel from October 1, 1993

through December 31, 1999. Small refineries are not otherwise affected

by the Acid Rain Program and do not need the allowances to comply with

any provision of the Clean Air Act. Thus, the allowances serve as a

financial benefit to small diesel refineries desulfurizing diesel fuel.

The following table lists allowances to be allocated to eligible

refineries for desulfurization of diesel fuel during calendar year

1996.

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Refiner Refinery/location Allocation

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Big West Oil........................ Flying J, Utah........ 1389

Cenex............................... Laurel, Montana....... 1500

Crysen.............................. Woods Cross, Utah..... 820

Frontier............................ Cheyenne, Wyoming 1500

Giant............................... Ciniza, New Mexico.... 1479

Giant Ref., New Mexico 1235

Holly............................... Lea, New Mexico 1500

Navajo, New Mexico.... 1500

Montana Refining, 306

Montana.

Hunt................................ Tuscaloosa, Alabama... 1500

Kern................................ Bakersfield, 1500

California.

La Gloria........................... Tyler, Texas.......... 1500

Lion................................ El Dorato, Arkansas 1500

Paramount........................... Paramount, California. 581

Pennzoil............................ Atlas, Louisiana...... 1500

Products, Texas....... 696

Pride............................... Abilene, Texas........ 1315

Sinclair............................ Little America, 1500

Wyoming.

Sinclair, Wyoming 1500

Tulsa, Oklahoma....... 1500

U.S. Oil & Refining................. Tacoma, Washington 1082

Witco............................... Golden Bear, 112

California.

Wyoming Refining.................... Newcastle, Wyoming 563

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A total of 27,578 allowances are allocated to 17 refiners, which

produced 55,721 thousand barrels of desulfurized diesel fuel. These

allowances have a compliance year of 1997.

Requests for allowances for desulfurization during 1997 are due no

later than April 1, 1998. Allowances allocated in 1998 will have a

compliance year of 1998.

Dated: June 11, 1997.

Brian J. McLean,

Director, Acid Rain Division.

[FR Doc. 97-16737 Filed 6-25-97; 8:45 am]

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