[Federal Register Volume 81, Number 19 (Friday, January 29, 2016)]
[Proposed Rules]
[Pages 4987-5006]
[FR Doc No: 2016-01669]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 98

[EPA-HQ-OAR-2015-0764; FRL-9941-80-OAR]
RIN 2060-AS73

Greenhouse Gas Reporting Rule: Leak Detection Methodology
Revisions and Confidentiality Determinations for Petroleum and Natural
Gas Systems

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The EPA is proposing revisions and confidentiality
determinations for the petroleum and natural gas systems source
category of the Greenhouse Gas Reporting Program (GHGRP). In
particular, the EPA is proposing to add new monitoring methods for
detecting leaks from oil and gas equipment in the petroleum and natural
gas systems source category consistent with the leak detection methods
in the recently proposed new source performance standards (NSPS) for
the oil and gas industry. The EPA is also proposing to add emission
factors for leaking equipment to be used in conjunction with these
monitoring methods to calculate and report greenhouse gas (GHG)
emissions resulting from equipment leaks. Further, the EPA is proposing
reporting requirements and confidentiality determinations for nine new
or substantially revised data elements.

DATES:
    Comments. Comments must be received on or before February 29, 2016.
Under the Paperwork Reduction Act (PRA), comments on the information
collection provisions are best assured of consideration if the Office
of Management and Budget (OMB) receives a copy of your comments on or
before February 29, 2016.
    Public hearing. The EPA does not plan to conduct a public hearing
unless requested. To request a hearing, please contact the person
listed in the following FOR FURTHER INFORMATION CONTACT section by
February 5, 2016. If requested, the hearing will be conducted on
February 16, 2016, in the Washington, DC area. The EPA will provide
further information about the hearing on the GHGRP Web site, http://www.epa.gov/ghgreporting/index.html if a hearing is requested.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-HQ-
OAR-2015-0764 to the Federal eRulemaking Portal: http://

www.regulations.gov. Follow the online instructions for submitting
comments. Once submitted, comments cannot be edited or withdrawn. The
EPA may publish any comment received to its public docket. Do not
submit electronically any information you consider to be Confidential
Business Information (CBI) or other information whose disclosure is
restricted by statute. Multimedia submissions (audio, video, etc.) must
be accompanied by a written comment. The written comment is considered
the official comment and should include discussion of all points you
wish to make. The EPA will generally not consider comments or comment
contents located outside of the primary submission (i.e., on the web,
cloud, or other file sharing system). For additional submission
methods, the full EPA public comment policy, information about CBI or
multimedia submissions, and general guidance on making effective
comments, please visit http://www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Carole Cook, Climate Change Division,
Office of Atmospheric Programs (MC-6207A), Environmental Protection
Agency, 1200 Pennsylvania Ave. NW., Washington, DC 20460; telephone
number:<PHONE_NUMBER>; fax number:<PHONE_NUMBER>; email address:
<EMAIL_ADDRESS>For technical information, please go to the
GHGRP Web site, http://www.epa.gov/ghgreporting/index.html. To submit a
question, select Help Center, followed by ``Contact Us.''
    Worldwide Web (WWW). In addition to being available in the docket,
an electronic copy of this proposal will also be available through the
WWW. Following the Administrator's signature, a copy of this action
will be posted on the EPA's GHGRP Web site at http://www.epa.gov/ghgreporting/index.html.

SUPPLEMENTARY INFORMATION:
    Regulated Entities. These proposed revisions affect entities that
must submit annual GHG reports under the GHGRP (40 CFR part 98). This
proposed rule would impose on entities across the U.S. a degree of
reporting consistency for GHG emissions from the petroleum and natural
gas sector of the economy and therefore is ``nationally applicable''
within the meaning of section 307(b)(1) of the Clean Air Act (CAA).
Although the EPA concludes that the rule is nationally applicable, the
EPA is also making a determination, for purposes of CAA section
307(b)(1), that this action is of nationwide scope and effect and is
based on such a determination. (See CAA section 307(b)(1) (a petition
for review may be filed in the United States Court of Appeals for the
District of Columbia ``if such action is based on a determination of
nationwide scope or effect and if in taking such action the
Administrator finds and publishes that such action is based on such a
determination'').) Further, the Administrator has determined that rules
codified in 40 CFR part 98 are subject to the provisions of CAA section
307(d). (See CAA section 307(d)(1)(V) (the provisions of section 307(d)
apply to ``such other actions as the Administrator may determine'').)
These are proposed amendments to existing regulations. If finalized,
these amended regulations would affect owners or operators of petroleum
and natural gas systems that directly emit GHGs. Regulated categories
and entities include, but are not limited to, those listed in Table 1
of this preamble:

           Table 1--Examples of Affected Entities by Category
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                                                   Examples of affected
            Category                NAICS \a\           facilities
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Petroleum and Natural Gas                486210  Pipeline transportation
 Systems.                                         of natural gas.
                                         221210  Natural gas
                                                  distribution.
                                         211111  Crude petroleum and
                                                  natural gas
                                                  extraction.
                                         211112  Natural gas liquid
                                                  extraction.
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\a\ North American Industry Classification System.

    Table 1 of this preamble is not intended to be exhaustive, but
rather provides a guide for readers regarding facilities likely to be
affected by this action. Other types of facilities than those listed in
the table could also be subject to reporting requirements. To determine
whether you are affected by this action, you should carefully examine
the applicability criteria found in 40 CFR part 98, subpart A and 40
CFR part 98, subpart W. If you have questions regarding the
applicability of this action to a particular facility, consult the
person listed in the preceding FOR FURTHER INFORMATION CONTACT section.
    Acronyms and Abbreviations. The following acronyms and
abbreviations are used in this document.

CAA Clean Air Act
CBI confidential business information
CFR Code of Federal Regulations
CH4 methane
CO2 carbon dioxide
DOT Department of Transportation
EPA U.S. Environmental Protection Agency
FERC Federal Energy Regulatory Commission
FR Federal Register
GHG greenhouse gas
GHGRP Greenhouse Gas Reporting Program
GRI Gas Research Institute
ICR Information Collection Request
LDAR leak detection and repair
LNG liquefied natural gas
NAICS North American Industry Classification System
NSPS new source performance standards
NTTAA National Technology Transfer and Advancement Act
OGI Optical gas imaging
OMB Office of Management and Budget
PRA Paperwork Reduction Act
RFA Regulatory Flexibility Act
U.S. United States
UMRA Unfunded Mandates Reform Act
VOC volatile organic compounds
WWW Worldwide Web

    Organization of This Document. The following outline is provided to
aid in locating information in this preamble.

I. Background
    A. Organization of This Preamble
    B. Background on the Proposed Action
    C. Legal Authority
    D. How would these amendments apply to 2016 and 2017 reports?
II. Revisions and Other Amendments
    A. Why are we proposing to add new monitoring methods for
detecting leaks?
    B. How would the proposed amendments differ from the current
subpart W requirements for emissions from equipment leaks?
    C. How did we select the proposed leaker emission factors?
III. Proposed Confidentiality Determinations
    A. Overview and Background
    B. Approach to Proposed CBI Determinations
    C. Proposed Confidentiality Determinations for Data Elements
Assigned to the ``Unit/Process Operating Characteristics That Are
Not Inputs to Emission Equations'' Data Category
    D. Request for Comments on Proposed Confidentiality
Determinations
IV. Impacts of the Proposed Amendments to Subpart W
V. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Review and
Executive

Order 13563: Improving Regulation and Regulatory Review
    B. Paperwork Reduction Act (PRA)
    C. Regulatory Flexibility Act (RFA)
    D. Unfunded Mandates Reform Act (UMRA)
    E. Executive Order 13132: Federalism
    F. Executive Order 13175: Consultation and Coordination With
Indian Tribal Governments
    G. Executive Order 13045: Protection of Children From
Environmental Health Risks and Safety Risks
    H. Executive Order 13211: Actions That Significantly Affect
Energy Supply, Distribution, or Use
    I. National Technology Transfer and Advancement Act (NTTAA)
    J. Executive Order 12898: Federal Actions To Address
Environmental Justice in Minority Populations and Low-Income
Populations

I. Background

A. Organization of This Preamble

    The first section of this preamble provides background information
regarding the proposed amendments. This section also discusses the
EPA's legal authority under the CAA to promulgate and amend 40 CFR part
98 of the Code of Federal Regulations, Mandatory Greenhouse Gas
Reporting (hereafter referred to as ``part 98'') as well as the legal
authority for making confidentiality determinations for the data to be
reported. Section II of this preamble contains information on the
proposed revisions to 40 CFR part 98, subpart W (hereafter referred to
as ``subpart W''). Section III of this preamble discusses proposed
confidentiality determinations for the reporting of new and
substantially revised data elements. Section IV of this preamble
discusses the impacts of the proposed amendments to subpart W. Finally,
section V of this preamble describes the statutory and executive order
requirements applicable to this action.

B. Background on the Proposed Action

    On October 30, 2009, the EPA published part 98 for collecting
information regarding GHGs from a broad range of industry sectors (74
FR 56260). Although reporting requirements for petroleum and natural
gas systems were originally proposed to be part of part 98 (75 FR
16448, April 10, 2009), the final October 2009 rulemaking did not
include the petroleum and natural gas systems source category as one of
the 29 source categories for which reporting requirements were
finalized. The EPA re-proposed subpart W in 2010 (79 FR 18608; April
12, 2010), and a subsequent final rulemaking was published on November
30, 2010, with the requirements for the petroleum and natural gas
systems source category at 40 CFR part 98, subpart W (75 FR 74458)
(hereafter referred to as ``the final subpart W rulemaking'').
Following promulgation, the EPA finalized several actions revising
subpart W (76 FR 22825, April 25, 2011; 76 FR 53057, August 25, 2011;
76 FR 59533, September 27, 2011; 76 FR 80554, December 23, 2011; 77 FR
51477, August 24, 2012; 78 FR 25392, May 1, 2013; 78 FR 71904, November
29, 2013; 79 FR 70352, November 25, 2014; 80 FR 64262, October 22,
2015).
    On March 28, 2014, the Obama Administration released the
President's Climate Action Plan--Strategy to Reduce Methane Emissions.
The strategy summarizes the sources of methane (CH4)
emissions, commits to new steps to cut emissions of this potent GHG,
including both voluntary and regulatory programs aimed at reducing
CH4 emissions, and outlines the Administration's efforts to
improve the measurement of these emissions. The strategy builds on
progress to date and takes steps to further cut CH4
emissions from several sectors, including the oil and natural gas
sector.\1\ In this strategy, the EPA was specifically tasked with
continuing to review GHGRP regulatory requirements to address potential
gaps in coverage, improve methods, and ensure high quality data
reporting. On January 14, 2015, the Obama administration provided
additional direction to the EPA to ``explore potential regulatory
opportunities for applying remote sensing technologies and other
innovations in measurement and monitoring technology to further improve
the identification and quantification of emissions'' in the oil and
natural gas sector, such as the emissions submitted as part of GHGRP
annual reporting.\2\
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    \1\ Climate Action Plan--Strategy to Reduce Methane Emissions.
The White House, Washington, DC, March 2014. Available at http://www.whitehouse.gov/sites/default/files/strategy_to_reduce_methane_emissions_2014-03-28_final.pdf. Docket
Item No. EPA-HQ-OAR-2014-0831-0007.
    \2\ FACT SHEET: Administration Takes Steps Forward on Climate
Action Plan by Announcing Actions to Cut Methane Emissions. The
White House, Office of the Press Secretary, January 14, 2015.
Available at https://www.whitehouse.gov/the-press-office/2015/01/14/fact-sheet-administration-takes-steps-forward-climate-action-plan-anno-1.
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    Multiple studies have found that once leaks are detected, the vast
majority can be repaired with a positive return to the operator. Often
in these cases, a majority of emissions come from a minority of
sources. Use of advanced monitoring methods, such as optical gas
imaging (OGI), to detect these leaks as soon as practicable has several
benefits: It reduces the amount of methane and other atmospheric
pollutants that are emitted into our atmosphere, it reduces company
losses of valuable commodities like methane, and improves operational
and safety practices so that leaks can be identified and fixed more
efficiently in the future.
    Additionally, as part of the agency's broad-based strategy under
the President's Climate Action Plan, the EPA proposed NSPS for oil and
natural gas affected facilities for which owners or operators commence
construction, modification or reconstruction after September 18, 2015
(40 CFR part 60, subpart OOOOa (80 FR 56593)) (hereafter referred to as
the ``NSPS subpart OOOOa''). As part of the proposed NSPS subpart OOOOa
requirements, well site and compressor station affected sources would
be required to implement a fugitive emissions monitoring and repair
program for the first time.\3\ For these proposed affected sources, the
NSPS subpart OOOOa would require the monitoring of fugitive emissions
components, which includes equipment such as valves, pumps, connectors,
and pressure relief devices, for fugitive emissions and the subsequent
repair of those fugitive emissions components. The EPA also proposed
the use of OGI to identify fugitive emissions from the proposed NSPS
subpart OOOOa affected sources.\4\ \5\ Currently, GHGRP subpart W
sources that are part of the Onshore Petroleum and Natural Gas
Production and Onshore Petroleum and Natural Gas Gathering and Boosting
segments, which include certain well sites and compressor stations,
calculate equipment leak emissions based on a count of equipment rather
than from leak surveys. As a result, emissions from leak surveys at
well sites or compressor stations in these segments that would be
conducted as a result of NSPS subpart OOOOa compliance would not be
reflected in calculations for GHGRP subpart W reporting in the current
rule. In addition, for industry segments that do have GHGRP leak survey
requirements, including the Onshore Natural Gas Transmission
Compression, Underground Natural Gas Storage,

Liquefied Natural Gas (LNG) Storage, and LNG Import and Export
Equipment segments, augmenting GHGRP methods with methods proposed in
the NSPS subpart OOOOa would avoid the need for sources that are
subject to both programs to conduct two different sets of leak/fugitive
emission surveys.
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    \3\ Natural gas processing plants subject to 40 CFR part 60,
subpart OOOO are already required to monitor for volatile organic
compound (VOC) emissions from equipment leaks; NSPS subpart OOOOa
would include requirements to monitor for VOC and CH4
emissions from equipment leaks using the same methods as 40 CFR part
60, subpart OOOO.
    \4\ The proposal identified EPA Method 21 as a monitoring method
that may also be used to verify repair of leaks, and the EPA
requested comment on the use of Method 21 for leak surveys as well.
    \5\ See 80 FR 56593, 56667 (September 18, 2015).
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    As another part of the EPA's response to the President's Climate
Action Plan, in July 2015 the EPA proposed the voluntary Natural Gas
STAR Methane Challenge Program (hereafter referred to as ``Methane
Challenge Program''), which would provide a new mechanism through which
companies could make and track ambitious commitments to reduce
CH4 emissions.\6\ While tremendous progress has been made
during the last 20 years through the Natural Gas STAR Program,
significant opportunities remain to reduce CH4 emissions,
improve air quality, and capture and monetize this valuable energy
resource. The Methane Challenge Program would create a platform for
leading companies to go above and beyond existing voluntary action and
make meaningful and transparent commitments to yield significant
CH4 emissions reductions in a quick, flexible, and cost-
effective way. The Methane Challenge Program plans to leverage the
significant amount of data reported by facilities to the GHGRP, plus
voluntarily supplied supplemental data (as needed), to serve as the
basis for tracking specific company actions. This proposed rulemaking
would create a mechanism for Methane Challenge Program participants to
track their voluntary leak detection and repair efforts.\7\
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    \6\ See the Natural Gas STAR Methane Challenge Program Proposal
Web site, http://www3.epa.gov/gasstar/methanechallenge/, for more
information.
    \7\ The Methane Challenge Program plans to phase-in a proposal
related to mitigation options for equipment leaks/fugitive emissions
at a later date.
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    As a result of the proposed NSPS subpart OOOOa requirements for
fugitive emissions monitoring and repair, plus voluntarily implemented
leak detection and repair (LDAR) programs that companies may be
undertaking through the Methane Challenge Program or other voluntary
efforts, more facilities would have site-specific information on the
types and number of components with fugitive emissions or leaks from
each leak detection/monitoring survey. These data could be used to
improve facility-level GHG emission estimates and track facility-level
GHG emission reductions from equipment leaks for a variety of subpart W
industry segments, including: Onshore Petroleum and Natural Gas
Production; Onshore Petroleum and Natural Gas Gathering and Boosting;
Onshore Natural Gas Processing; Onshore Natural Gas Transmission
Compression; Underground Natural Gas Storage; LNG Storage; and LNG
Import and Export Equipment.\8\
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    \8\ As proposed, NSPS subpart OOOOa would not cover components
in the Natural Gas Distribution subpart W segment, so no additional
information on fugitive emissions is expected from this segment
beyond information already collected by subpart W. However, it is
possible that future voluntary programs could result in improved
information on fugitive emissions for this segment.
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    In this action, the EPA is proposing to amend subpart W to add new
monitoring methods for detecting leaks from oil and gas equipment as
well as to add emission factors to estimate emissions from leaking
components (hereafter referred to as ``leaker emission factors'') for
multiple industry segments. The new monitoring methods would augment
the equipment leak requirements in subpart W with the fugitive
emissions detection methods proposed for the NSPS subpart OOOOa. If the
NSPS subpart OOOOa is amended in the future to incorporate other
emerging technologies and/or major advances in fugitive monitoring,
then the subpart W requirements will be updated by reference as well.
Under these proposed amendments, facilities with an NSPS subpart OOOOa
affected well site or compressor station fugitive emissions source
would use the data derived from the proposed NSPS subpart OOOOa
fugitive emissions requirements along with the subpart W equipment leak
survey calculation methodology and leaker emission factors to calculate
and report their GHG emissions to the GHGRP. These proposed revisions
would also provide the opportunity for other sources at subpart W
facilities not covered by the proposed NSPS subpart OOOOa fugitive
emissions standards (e.g., sources subject to state regulations and
sources participating in the Methane Challenge Program or other
voluntarily implemented program) to voluntarily use the proposed leak
detection methods to calculate and report their GHG emissions to the
GHGRP.
    The amendments in this proposed rulemaking would advance the EPA's
goal of maximizing rule effectiveness. For example, these amendments
would align the monitoring requirements in subpart W with those in the
NSPS subpart OOOOa, reducing burden for entities subject to the
fugitive leak detection requirements in both programs. In addition,
this proposed rulemaking provides clear calculation and reporting
requirements in subpart W for the proposed new leak detection method,
thus enabling government, regulated entities, and the public to easily
identify and understand rule requirements.
    The EPA is seeking comment only on the issues specifically
identified in this proposed rulemaking. We will not consider comments
that are outside the scope of this proposed rulemaking, such as
comments on the proposed requirements of the NSPS subpart OOOOa or the
proposed Methane Challenge Program, in this rulemaking process.

C. Legal Authority

    The EPA is proposing these rulemaking amendments under its existing
CAA authority provided in CAA section 114. As stated in the preamble to
the 2009 final GHG reporting rulemaking (74 FR 56260, October 30,
2009), CAA section 114(a)(1) provides the EPA broad authority to
require the information proposed to be gathered by this rulemaking
because such data would inform and are relevant to the EPA's carrying
out a wide variety of CAA provisions. See the preambles to the proposed
(74 FR 16448, April 10, 2009) and final GHG reporting rulemaking (74 FR
56260, October 30, 2009) for further information.
    In addition, the EPA is proposing confidentiality determinations
for proposed new data elements in subpart W under its authorities
provided in sections 114, 301, and 307 of the CAA. Section 114(c) of
the CAA requires that the EPA make information obtained under section
114 available to the public, except where information qualifies for
confidential treatment. The Administrator has determined that this
proposed rulemaking is subject to the provisions of section 307(d) of
the CAA.

D. How would these amendments apply to 2016 and 2017 reports?

    The EPA is planning to address the comments we receive on these
proposed changes and finalize the proposed amendments before the end of
2016. The EPA expects that the final amendments would be published at
the same time as or soon after the final NSPS subpart OOOOa is
published to ensure that these amendments are aligned. Owners or
operators of facilities in the petroleum and natural gas system
industry segments that conduct equipment leak detection surveys between
the effective date of these final amendments and the end of 2016 would
use that information along with information satisfying the provisions
of the final amendments to subpart W (including final leaker emission
factors)

to calculate and report their 2016 reporting year equipment leak
emissions. Starting with the 2017 reporting year, owners or operators
of the petroleum and natural gas system industry segments that conduct
equipment leak detection surveys any time during the year would be
required to use that information along with information satisfying the
provisions of the final amendments to subpart W (including final leaker
emission factors) to calculate and report their annual equipment leak
emissions.

II. Revisions and Other Amendments

A. Why are we proposing to add new monitoring methods for detecting
leaks?

    As noted in section I.B of this preamble, we are proposing to add
new monitoring methods for detecting leaks and to add leaker emission
factors to align the equipment leak requirements in subpart W with the
fugitive emissions monitoring methods proposed for the NSPS subpart
OOOOa. These proposed additions would refine the site-specific
equipment leak emission estimates provided under the GHGRP for
facilities conducting fugitive emissions monitoring. The proposed
amendments would also allow facilities to use a consistent method to
demonstrate compliance with multiple EPA programs. This proposal would
limit burden for subpart W facilities with affected sources that would
also be required to comply with the proposed NSPS subpart OOOOa by
allowing them to use data derived from the implementation of the NSPS
subpart OOOOa to calculate emissions for the GHGRP rather than
requiring the use of different monitoring methods or requiring the use
of population emission factors even though additional information using
a direct leak detection method is available.
    In addition, these proposed amendments are responsive to comments
received on previous subpart W rulemaking efforts. For example, as part
of the amendments proposed on December 9, 2014 (79 FR 73148), we
received comments generally requesting that reporters be allowed to use
information that provides the best representation of emissions from
specific sources, including monitoring for equipment leaks, rather than
prescribing one specific calculation method across the industry
segment. As noted in section I.B of this preamble, reporters in the
Onshore Petroleum and Natural Gas Production and Onshore Petroleum and
Natural Gas Gathering and Boosting industry segments currently must use
facility equipment counts and population emission factors to estimate
equipment leak emissions. These proposed amendments would allow
reporters in those segments to use the information from a leak survey
conducted on their equipment to calculate and report GHG emissions to
the GHGRP, which may provide more accurate estimates than the current
method used for their equipment leak emissions. In the same December
2014 proposed rulemaking, we specifically requested comment on the use
of advanced innovative monitoring methods for compliance with subpart W
monitoring requirements (see 79 FR 73158). Commenters from several
environmental organizations supported the addition of such methods;
industry commenters generally stated that optical remote sensing or
real time monitoring methods should not be required in subpart W, but
they noted that if owners or operators already use these methods, then
they should be allowed to use the results as alternatives to other
required subpart W monitoring requirements.\9\ While the use of OGI for
leak detection was not the primary focus of this request for comment,
allowing facilities to use facility-specific OGI monitoring methods as
an alternative to the other required methods in subpart W is consistent
with the comments we received on advanced innovative monitoring
methods. Where a site-specific OGI monitoring program is used (such as
those proposed in the NSPS subpart OOOOa), the facility will have
specific information on the number and type of components with active
leaks. We consider it reasonable to allow reporters to use this
information to estimate their reported emissions.
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    \9\ U.S. EPA, Office of Atmospheric Programs, Climate Change
Division. Response to Public Comments on the Greenhouse Gas
Reporting Rule: 2015 Revisions and Confidentiality Determinations
for Petroleum and Natural Gas Systems. September 2015. Docket Item
No. EPA-HQ-OAR-2014-0831-0189.
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B. How would the proposed amendments differ from the current subpart W
requirements for emissions from equipment leaks?

    As a first step, the EPA is proposing to add OGI as specified in
the proposed NSPS subpart OOOOa to the list of methods for detecting
equipment leaks in 40 CFR 98.234(a). Subpart W currently includes an
OGI method in this list of methods (see 40 CFR 98.234(a)(1)), but the
current subpart W OGI method is not consistent with the OGI method in
the proposed NSPS subpart OOOOa. As part of the NSPS subpart OOOOa, the
EPA is proposing that the OGI monitoring of fugitive emissions
components be carried out through the development and implementation of
monitoring plans, which would specify the measures for locating
fugitive emissions components and the detection technology to be used.
Specifically, the proposed NSPS subpart OOOOa would require affected
facilities to develop a corporate-wide fugitive emissions monitoring
plan that describes the OGI instrument and how the OGI survey would be
conducted to ensure that fugitive emissions can be imaged effectively
pursuant to specified criteria in the proposed rulemaking, as well as a
site-specific fugitive emissions monitoring plan that includes a
sitemap and defines the path the operator will take to ensure all
fugitive emissions components are monitored. The proposed addition of
this specific OGI method to subpart W as 40 CFR 98.234(a)(6) would
align the methods in the two rulemakings and allow subpart W facilities
to directly use information derived from the implementation of the
fugitive emissions monitoring conducted under the NSPS subpart OOOOa to
calculate and report emissions to the GHGRP. Consistent with that goal,
the EPA expects that the final amendments to subpart W would reference
the final version of the method(s) in the NSPS subpart OOOOa, including
any changes made to the NSPS subpart OOOOa in response to comments on
the proposed method.
    We request comment on whether there are other methods for detecting
equipment leaks that should be added to subpart W, either because they
are commonly used across the industry or because they would align the
subpart W methods with the methods in another federal, state, or local
regulation.
    The EPA is also proposing to provide the opportunity to use the
leak survey monitoring and calculation methodology to additional
reporters in subpart W. For example, in the Onshore Petroleum and
Natural Gas Production and the Onshore Petroleum and Natural Gas
Gathering and Boosting industry segments, subpart W presently requires
reporters to count the number of equipment components of each type
(e.g., valve, connector, open-ended line, or pressure relief valve) or
to count the number of major production equipment at the facility and
then estimate the number of equipment components of each type using
default average component counts for each piece of equipment in Tables
W-1B and W-1C of subpart W. The resulting equipment component counts
are then multiplied by default ``population emission factors'' in Table
W-1A of subpart W to calculate emissions from equipment

leaks. These population emission factors represent an average emission
rate for each equipment component of a certain type, based on the
fugitive emissions rates observed during the study that is the basis
for the factors.
    Some studies have found that the majority of a facility's mass
emissions from equipment leaks come from a small percentage of
equipment components that have high leak rates.\10\ In general, the
implementation of a program to identify and repair leaking equipment
components (e.g., an LDAR program) or fugitive emissions components
will tend to reduce emissions once the leaking components are repaired.
Therefore, a facility with an ongoing monitoring and repair program
will have fewer pieces of equipment with high leak rates and lower
equipment leak emissions than prior to implementation of the program.
However, no emission reduction will be observed in the subpart W
emission estimates if the reporter continues to use equipment component
counts and the default population emission factors in subpart W.
Therefore, to track changes in emissions in the data reported to the
GHGRP from year to year (e.g., to show reduced emissions for facilities
implementing a regulatory or voluntary LDAR program or a fugitive
emissions monitoring and repair program), we are proposing that
facilities that conduct leak surveys use the actual number of leaks
identified and the proposed leaker emission factors to determine their
equipment leak emissions instead of the default population emission
factors.
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    \10\ See, for example, Epperson, D., et al., ``Equivalent leak
definitions for Smart LDAR (leak detection and repair) when using
optical imaging technology.'' J Air Waste Manag Assoc, 57:9, 1050-
1060 (2007).
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    Specifically, facilities with affected sources that are required to
conduct fugitive emissions monitoring to comply with the proposed NSPS
subpart OOOOa would be required to count the actual number of
components with fugitive emissions identified through implementation of
the NSPS subpart OOOOa as leaks for purposes for subpart W and use
those counts with the leak survey calculation methodology in subpart W
to determine equipment leak emissions for those components. If
equipment leak surveys are conducted for other purposes, and the other
sources and/or facilities are using one of the methods in 40 CFR
98.234(a), the reporter would have the option to use either the number
of leaks with the equipment leak survey methodology in subpart W or the
facility component counts with the population emission factors. The
EPA's intent with this provision is to allow flexibility for Onshore
Petroleum and Natural Gas Production and Onshore Petroleum and Natural
Gas Gathering and Boosting reporters whose leak survey method may not
align exactly with one of the existing methods in subpart W or the NSPS
subpart OOOOa proposed method to continue to use component counts as
needed. However, the EPA would expect that any reporter conducting leak
surveys that align with the proposed method (or any existing leak
detection method in subpart W), whether required by the NSPS subpart
OOOOa or part of a voluntary program such as the Methane Challenge
Program, would use those results for their subpart W annual reporting,
because the additional burden of completing the emissions calculation
after a leak survey has been conducted would be similar to using the
existing subpart W facility equipment count and population emission
factor method and the results would be more representative of the
number of leaks at the facility than the existing subpart W method. We
request comment on whether there are other situations for which subpart
W should require a reporter to use the results of equipment leak
surveys conducted using one of the methods in subpart W (e.g., if the
survey is conducted pursuant to a federal regulation other than the
NSPS subpart OOOOa or pursuant to a state regulation).
    To quantify emissions from the leaking components, subpart W
includes leaker emission factors for each segment using the equipment
leak survey methodology. In contrast to the population emission
factors, which are multiplied by the total facility component counts,
leaker emission factors are multiplied by the actual number of leaks
identified by the leak survey for each component type. Subpart W does
not currently include leaker emission factors for: (1) The Onshore
Petroleum and Natural Gas Production industry segment; (2) the Onshore
Petroleum and Natural Gas Gathering and Boosting industry segment; (3)
storage wellheads in gas service in the Underground Natural Gas Storage
industry segment; (4) LNG storage components in gas service in the LNG
Storage industry segment; or (5) LNG terminals components in gas
service for the LNG Import and Export Equipment industry segment. In
this rulemaking, we are proposing a new set of leaker emission factors
for these sources/segments. For industry segments that already include
a set of leaker emission factors, we are proposing to expand that set
of leaker emission factors to include certain additional components to
fully encompass the fugitive emissions components as defined in the
proposed NSPS subpart OOOOa. See section II.C of this preamble for more
information on the development of the proposed leaker emission factors.
    The EPA is also proposing to add new reporting requirements for
facilities conducting equipment leak surveys to report equipment leak
emissions under subpart W. Reporters in the Onshore Petroleum and
Natural Gas Production and the Onshore Petroleum and Natural Gas
Gathering and Boosting industry segments that begin reporting emissions
using the leak survey methodology would be required to report the
information currently listed in 40 CFR 98.236(q)(1) and (2), including
the number of equipment leak surveys, component type, number of leaking
components, average time the components were assumed to be leaking, and
annual carbon dioxide (CO2) and CH4 emissions.
These data elements are already required to be reported by facilities
conducting leak detection surveys in the Onshore Natural Gas
Processing, Onshore Natural Gas Transmission Compression, Underground
Natural Gas Storage, LNG Storage and LNG Import and Export Equipment
industry segments; however, facilities in those segments conducting
equipment leak surveys using the OGI method as specified in the NSPS
subpart OOOOa would begin reporting leaks for component types with
proposed new leaker emission factors. Table 2 provides a summary of the
equipment leak methodologies that would be available to each industry
segments covered by subpart W under these proposed amendments.

                           Table 2--Proposed Equipment Leak Requirements for Subpart W
----------------------------------------------------------------------------------------------------------------
                                                        Subpart W--Calculation Methodology
                                 -------------------------------------------------------------------------------
                                  Components subject to the NSPS subpart    Components not subject to the NSPS
  Subpart W--Industry Segments                     OOOOa                               subpart OOOOa
                                 -------------------------------------------------------------------------------
                                      Calculation       Method for leak       Calculation       Method for leak
                                      methodology        detection \a\        methodology        detection \b\
----------------------------------------------------------------------------------------------------------------
Onshore Petroleum and Natural     Leak survey (40     OGI as specified    Leak survey (40     Any method in 40
 Gas Production; Onshore           CFR 98.233(q)).     in the proposed     CFR 98.233(q));     CFR 98.234(a).
 Petroleum and Natural Gas                             NSPS subpart        OR                 N/A.
 Gathering and Boosting.                               OOOOa.             Population count
                                                                           (40 CFR
                                                                           98.233(r)).
----------------------------------------------------------------------------------------------------------------
Onshore Natural Gas Processing..  Leak survey (40     Method 21.........  Leak survey (40     Any method in 40
                                   CFR 98.233(q)).                         CFR 98.233(q))      CFR 98.234(a).
                                                                           \c\.
----------------------------------------------------------------------------------------------------------------
Onshore Natural Gas Transmission  Leak survey (40     OGI as specified    Leak survey (40     Any method in 40
 Compression; Underground          CFR 98.233(q)).     in the proposed     CFR 98.233(q))      CFR 98.234(a).
 Natural Gas Storage: Storage                          NSPS subpart        \d\.
 stations, gas service.                                OOOOa.
----------------------------------------------------------------------------------------------------------------
Underground Natural Gas Storage:  Leak survey (40     OGI as specified    Leak survey (40     Any method in 40
 Storage wellheads, gas service.   CFR 98.233(q)).     in the proposed     CFR 98.233(q));     CFR 98.234(a).
                                                       NSPS subpart        OR                 N/A.
                                                       OOOOa.             Population count
                                                                           (40 CFR
                                                                           98.233(r)).
----------------------------------------------------------------------------------------------------------------
LNG Storage: LNG Service; LNG     Leak survey (40     OGI as specified    Leak survey (40     Any method in 40
 Import and Export Equipment:      CFR 98.233(q)).     in the proposed     CFR 98.233(q)).     CFR 98.234(a).
 LNG Service.                                          NSPS subpart
                                                       OOOOa.
----------------------------------------------------------------------------------------------------------------
LNG Storage: Gas Service; LNG     Leak survey (40     OGI as specified    Leak survey (40     Any method in 40
 Import and Export Equipment:      CFR 98.233(q)).     in the proposed     CFR 98.233(q));     CFR 98.234(a).
 Gas Service.                                          NSPS subpart        OR                 N/A.
                                                       OOOOa.             Population count
                                                                           (40 CFR
                                                                           98.233(r)) \e\.
----------------------------------------------------------------------------------------------------------------
Natural Gas Distribution:         N/A...............  N/A...............  Leak survey (40     Any method in 40
 Transmission-distribution                                                 CFR 98.233(q)).     CFR 98.234(a).
 transfer stations.
----------------------------------------------------------------------------------------------------------------
Natural Gas Distribution: Below   N/A...............  N/A...............  Population count    N/A.
 grade metering-regulating                                                 (40 CFR
 stations and Distribution Mains                                           98.233(r)).
 and Services.
----------------------------------------------------------------------------------------------------------------
\a\ The methods in this column are the methods in the proposed NSPS subpart OOOOa. The final amendments to
  subpart W would reference the final version of the method(s) in the NSPS subpart OOOOa, including any changes
  made to the NSPS subpart OOOOa in response to comments on the proposed method.
\b\ ``Any method in 40 CFR 98.234(a)'' means any of the following methods: OGI as specified in 40 CFR 60.18 (40
  CFR 98.234(a)(1)), Method 21 (40 CFR 98.234(a)(2)), Infrared laser beam illuminated instrument (40 CFR
  98.234(a)(3)), Acoustic leak detection device (40 CFR 98.234(a)(5)), or OGI as specified in the proposed NSPS
  subpart OOOOa (40 CFR 98.234(a)(6)).
\c\ Reporting is required for emissions from valves, connectors, open-ended lines, pressure relief valves, and
  meters but is optional for pumps.
\d\ Reporting is required for emissions from valves, connectors, open-ended lines, pressure relief valves, and
  meters but is optional for flanges, instruments, and other components.
\e\ Reporting is only required for emissions from vapor recovery compressors if this option is chosen.

    In addition, the EPA is proposing to add three new reporting
requirements for facilities conducting equipment leak surveys in all of
the above segments as well as the Natural Gas Distribution segment.
First, facilities in those segments would be required to report the
method(s) in 40 CFR 98.234(a) used to conduct the survey(s). Second,
facilities would be required to indicate whether any of their component
types are subject to the NSPS subpart OOOOa. Finally, facilities would
be required to indicate whether they elected to use the equipment leak
survey methodology for any of their component types.

C. How did we select the proposed leaker emission factors?

    As a first step, the EPA is proposing to align the subpart W
equipment components with the proposed NSPS subpart OOOOa definition of
``fugitive emissions component,'' to the extent practical. A ``fugitive
emissions component'' is proposed by the NSPS subpart OOOOa to include
any component that has the potential to emit fugitive emissions of
CH4 or volatile organic compounds (VOC) at a well site or
compressor station site, including but not limited to valves,
connectors, pressure relief devices, open-ended lines, access doors,
flanges, closed vent systems, thief hatches or other openings on
storage vessels, agitator seals, distance pieces, crankcase vents,
blowdown vents, pump seals or diaphragms, compressors, separators,
pressure vessels, dehydrators, heaters, instruments, and meters. We are
not proposing to consider devices that vent as part of normal
operations, such as natural gas-driven pneumatic controllers or natural
gas-driven pumps, as fugitive emissions components, as the natural gas
discharged from the device's vent is not considered a fugitive
emission. Emissions originating from a location other than the vent,
such as the seals around the bellows of a diaphragm pump, would be
considered fugitive emissions.
    Some of the components listed in the NSPS subpart OOOOa proposed
definition of fugitive emissions component are already included as part
of the subpart W equipment leaks calculation methodology, while other
fugitive emissions components are specifically addressed in other
calculation methodologies in subpart W.

For example, subpart W includes specific calculation methodologies for
centrifugal and reciprocating compressors. If emissions from these
certain compressor sources are observed during an OGI survey and these
emissions are included as leaks in the subpart W equipment leak
emissions calculation, then emissions from these sources could be
double-counted. Therefore, we compared the list of components in the
NSPS subpart OOOOa proposed definition of fugitive emissions component
with the current methodologies in subpart W to identify which fugitive
emissions components are already covered by an existing requirement in
subpart W and which fugitive emissions components would be specifically
covered as an equipment leak component in subpart W when using the OGI
method as specified in the proposed NSPS subpart OOOOa.
    Based on this evaluation, we determined that the subpart W
calculation methodology for storage tanks already generally includes
emissions from thief hatches or other openings on storage vessels.
Similarly, the subpart W methodologies for gas-liquid separators
include all potential emissions from these sources. Therefore, these
sources are not considered equipment leak components in the proposed
amendments to subpart W. We request comment on whether the EPA should
consider separate approaches for controlled storage tanks and
uncontrolled storage tanks.
    We also evaluated the subpart W compressor emission calculation
methodologies to identify sources of overlap between these
methodologies and the fugitive emission components included in the
proposed NSPS subpart OOOOa. As noted previously, subpart W has
specific calculation methodologies for centrifugal and reciprocating
compressors. For centrifugal compressors, emission sources include wet
seal oil degassing vent (for centrifugal compressors with wet seals),
blowdown valve leakage, and isolation valve leakage. For reciprocating
compressors, emission sources include reciprocating compressor rod
packing vents, blowdown valve leakage, and isolation valve leakage. For
compressors in the Onshore Petroleum and Natural Gas Production and the
Onshore Petroleum and Natural Gas Gathering and Boosting industry
segments, the compressor methods only cover emissions from the
centrifugal compressor wet seal oil degassing vent and from the
reciprocating compressor rod packing vent. Thus, for these industry
segments, blowdown valve leakage and isolation valve leakage are
proposed to be included as equipment leaks. For the Natural Gas
Processing, Onshore Natural Gas Transmission Compression, Underground
Natural Gas Storage, LNG Storage, and LNG Import and Export Equipment
segments, subpart W requires reporters to make ``as found'' or
continuous measurements for compressor emission sources, so the
reporters will have either direct measurement data or site-specific
emission factors by which to calculate emissions from all of the
compressor sources listed above. Therefore, we are proposing to exclude
these sources from the equipment leak calculation requirements.
    We are also proposing that for purposes of subpart W, all other
fugitive emissions components as defined in the proposed NSPS subpart
OOOOa not specifically identified above (e.g., storage tanks, gas-
liquid separators, and compressor sources with explicit calculation
methods in subpart W) would be considered equipment components when
conducting an equipment leak survey using the OGI method as specified
in the proposed NSPS subpart OOOOa.
    We note that some studies have identified unusually large fugitive
emissions from some sources while conducting OGI or other advanced
innovative monitoring studies. Often in these cases, a majority of
emissions come from a minority of sources. This means that some sources
have emissions significantly higher than would be calculated using
average emission factors and average component types. Sources included
in the subset of a data set that contribute to the majority of
emissions are sometimes referred to as ``super emitters.'' \11\ These
``super emitters'' may include emissions from a number of different
components, including thief hatches and holes that develop in equipment
or vessels due to corrosion. As noted previously, these emission
sources are already generally included in the subpart W calculation
methodology for storage tanks, but for most other emission source
types, we are proposing to include holes and other openings as part of
the equipment leak requirements. We request comment on ways to more
accurately account for these and other ``super emitting'' sources in
the proposed calculation methods for equipment leaks.
---------------------------------------------------------------------------

    \11\ For example: Subramanian, R., et al., 2015, ``Methane
Emissions from Natural Gas Compressor Stations in the Transmission
and Storage Sector: Measurements and Comparisons with the EPA
Greenhouse Gas Reporting Program Protocol,'' Environ. Sci. Technol.,
vol. 49, pp. 3252-3261, February 10, 2015.
---------------------------------------------------------------------------

    Next, we reviewed available literature studies in order to
determine appropriate leaker emission factors separately for the
relevant industry segments. For the Onshore Petroleum and Natural Gas
Production industry segment, we first evaluated the EPA/Gas Research
Institute (GRI) data set on which the current subpart W population
emission factors are based. The EPA/GRI data set is based on surveys
conducted using EPA Method 21 with a leak defined as a monitor reading
of 10,000 ppmv or higher. We also evaluated more recent studies
conducted at natural gas production facilities. As described in greater
detail in the memorandum entitled ``Technical Support for Leak
Detection Methodology Revisions and Confidentiality Determinations for
Petroleum and Natural Gas Systems'' in Docket ID No. EPA-HQ-OAR-2015-
0764, we concluded that the EPA/GRI data set provides sufficient data
to develop leaker emission factors for this industry segment and that
using this data set for the leaker emission factors provides
consistency with the population emission factors used by reporters that
do not conduct leak detection surveys. Due to differences in the
monitoring methods, it is possible that the average emissions rate of a
leak identified using EPA Method 21 may be different from the average
emissions rate of a leak identified using OGI. While the OGI study data
generally yielded larger leaker factors than those developed from the
EPA/GRI data set, we found that leaker emission factors determined from
more recent OGI study data for natural gas production facilities agreed
reasonably well with the leaker emission factors developed from the
EPA/GRI data set, suggesting that the EPA/GRI leaker emission factor
estimates are still valid for this industry segment. Furthermore, the
EPA/GRI data set is more robust for some components than some of the
other studies, and the resulting leaker emission factors are well-
established. We request comment on the basis for the leaker emission
factors for the Onshore Petroleum and Natural Gas Production industry
segment (i.e., whether it is appropriate to use solely the EPA/GRI
data, use solely data from OGI monitoring studies, composite all
available data to develop the leaker emission factors, or use other
study data).
    For the Onshore Petroleum and Natural Gas Gathering and Boosting
industry segment, the more recent OGI studies again suggested that the
average

leaker emissions may be somewhat higher than those developed from the
EPA/GRI data set for most components. However, when we considered only
those component types that had a high number of measurements, there was
generally reasonable agreement between the emission factors developed
from the more recent OGI studies and those developed from the EPA/GRI
data set. It is unclear if the differences noted are due to differences
in the leak detection method, differences in the industry components or
both. However, after reviewing the available data, we determined it was
appropriate to use the leaker emission factors developed from the EPA/
GRI data set for the Onshore Petroleum and Natural Gas Gathering and
Boosting industry segment, so that the Onshore Petroleum and Natural
Gas Production and Onshore Petroleum and Natural Gas Gathering and
Boosting industry segments would share a common set of leaker factors,
consistent with the use of the same population emission factors for
these industry segments. We request comment on the basis for the leaker
emission factors for the Onshore Petroleum and Natural Gas Gathering
and Boosting industry segment.
    The Onshore Natural Gas Processing industry segment has leaker
emission factors in subpart W for most traditional equipment leak
components. Based on the proposed NSPS subpart OOOOa, the fugitive
emissions monitoring requirements for this industry segment would be
limited to ``equipment,'' which includes pumps, pressure relief
devices, open-ended lines, valves, flanges and other connectors.
Subpart W currently includes leaker emission factors in Table W-2 for
all of these equipment component types except pumps. Therefore, we are
proposing to add a leaker emission factor for pumps to Table W-2 based
on the data set used to develop the existing leaker emission factors
for the Onshore Natural Gas Processing industry segment. We request
comment on the basis for the leaker emission factors for pumps in the
Onshore Natural Gas Processing industry segment.
    The NSPS subpart OOOOa proposed definition of fugitive emissions
components includes a number of other components that are not the
traditional ``equipment'' covered by traditional EPA Method 21
monitoring programs. In many cases, these additional components are not
already included in other calculation methodologies in subpart W and
should be considered within the subpart W equipment leak calculation
methodologies. Therefore, we determined it necessary to develop
additional leaker emission factors to augment the existing leaker
emission factors in Tables W-3 through W-6 of subpart W in order to
harmonize the subpart W equipment leak calculations with the proposed
requirements in the NSPS subpart OOOOa. First, we reviewed the existing
leaker emission factors in Tables W-3 through W-6 compared to the
proposed definition of ``fugitive emissions components'' in the
proposed NSPS subpart OOOOa to identify any discrepancies. Based on
this review, we identified certain fugitive emissions components for
which new leaker emission factors were needed. Therefore, we are
proposing new leaker emission factors for flanges and ``other''
fugitive components and proposing to expand the existing leaker
emission factor for meters to also include instruments in Tables W-3
and W-4 for the Onshore Natural Gas Transmission Compression and
Underground Natural Gas Storage industry segments, respectively. We are
also proposing to add leaker emission factors for traditional equipment
components for storage wellheads for equipment in gas service within
Table W-4. We are proposing to add these same leaker emission factors
for traditional equipment components in gas service for LNG storage
components within Table W-5 and for LNG terminal components within
Table W-6.
    Consistent with the approach used for developing the new leaker
emission factors for the Onshore Petroleum and Natural Gas Production
and Onshore Petroleum and Natural Gas Gathering and Boosting segments,
we used the same historic data sets upon which the existing leaker
emission factors were developed to develop leaker emission factors for
these additional components. For more detail regarding the development
of these additional leaker emission factors for the Onshore Natural Gas
Transmission Compression, the Underground Natural Gas Storage, the LNG
Storage, and the LNG Import and Export Equipment industry segments, see
the memorandum ``Technical Support for Leak Detection Methodology
Revisions and Confidentiality Determinations for Petroleum and Natural
Gas Systems'' in Docket ID No. EPA-HQ-OAR-2015-0764. We request comment
on the basis for the proposed new leaker emission factors for these
industry segments.

III. Proposed Confidentiality Determinations

A. Overview and Background

    In this proposed rulemaking, we are proposing confidentiality
determinations for nine new or substantially revised data elements
proposed to be reported by the following segments: Onshore Petroleum
and Natural Gas Production; Onshore Petroleum and Natural Gas Gathering
and Boosting; Onshore Natural Gas Processing; Onshore Natural Gas
Transmission Compression; Underground Natural Gas Storage; LNG Storage;
LNG Import and Export Equipment, and Natural Gas Distribution. These
data elements include new or substantially revised reporting
requirements for existing facilities already reporting under subpart W.
The data elements are: (1) The number of complete equipment leak
surveys performed during the calendar year; (2) whether any equipment
leak component types are subject to the NSPS subpart OOOOa; (3) whether
a reporter elected to report to subpart W using the equipment leak
survey methodology; (4) the method(s) in 40 CFR 98.234(a) used to
conduct the leak survey; (5) component type; (6) the number of each
type of component identified as leaking; (7) the average time each type
of surveyed components is assumed to be leaking and operational; (8)
annual CO2 emissions by component type; and (9) annual
CH4 emissions by component type.
    The final confidentiality determinations the EPA has previously
made for the remainder of the subpart W data elements are unaffected by
these proposed amendments and continue to apply. For information on
confidentiality determinations for the GHGRP and subpart W data
elements, see: 75 FR 39094, July 7, 2010; 76 FR 30782, May 26, 2011; 77
FR 48072, August 13, 2012; 79 FR 63750, October 24, 2014; 79 FR 70385,
November 25, 2014; and 80 FR 64262, October 22, 2015. These proposed
confidentiality determinations would be finalized after considering
public comment. The EPA plans to finalize these determinations at the
same time the proposed amendments described in this rulemaking are
finalized.

B. Approach to Proposed CBI Determinations

    We are applying the same approach as previously used for making
confidentiality determinations for data elements reported under the
GHGRP. In the ``Confidentiality Determinations for Data Required Under
the Mandatory Greenhouse Gas Reporting Rule and Amendments to Special
Rules Governing Certain Information Obtained Under the Clean Air Act''
(hereafter referred to as ``2011 Final CBI Rulemaking'') (76 FR 30782,
May 26,

2011), the EPA grouped part 98 data elements into 22 data categories
(11 direct emitter data categories and 11 supplier data categories)
with each of the 22 data categories containing data elements that are
similar in type or characteristics. The EPA then made categorical
confidentiality determinations for eight direct emitter data categories
and eight supplier data categories and applied the categorical
confidentiality determination to all data elements assigned to the
category. Of these data categories with categorical determinations, the
EPA determined that four direct emitter data categories are comprised
of those data elements that meet the definition of ``emissions data,''
as defined at 40 CFR 2.301(a), and are, therefore, not entitled to
confidential treatment under section 114(c) of the CAA.\12\ The EPA
determined that the other four direct emitter data categories and the
eight supplier data categories do not meet the definition of ``emission
data.'' For these data categories that are determined not to be
emission data, the EPA determined categorically that data in three
direct emitter data categories and five supplier data categories are
eligible for confidential treatment as CBI, and that the data in one
direct emitter data category and three supplier data categories are
ineligible for confidential treatment as CBI. For two direct emitter
data categories, ``Unit/Process `Static' Characteristics that Are Not
Inputs to Emission Equations'' and ``Unit/Process Operating
Characteristics that Are Not Inputs to Emission Equations,'' and three
supplier data categories, ``GHGs Reported,'' ``Production/Throughput
Quantities and Composition,'' and ``Unit/Process Operating
Characteristics,'' the EPA determined in the 2011 Final CBI Rulemaking
that the data elements assigned to those categories are not emission
data, but the EPA did not make categorical CBI determinations for them.
Rather, the EPA made CBI determinations for each individual data
element included in those categories on a case-by-case basis taking
into consideration the criteria in 40 CFR 2.208. The EPA did not make a
final confidentiality determination for data elements assigned to the
inputs to emission equation data category (a direct emitter data
category) in the 2011 Final CBI Rulemaking. However, the EPA has since
proposed and finalized an approach for addressing disclosure concerns
associated with inputs to emissions equations.\13\
---------------------------------------------------------------------------

    \12\ Direct emitter data categories that meet the definition of
``emission data'' in 40 CFR 2.301(a) are ``Facility and Unit
Identifier Information,'' ``Emissions,'' ``Calculation Methodology
and Methodological Tier,'' and ``Data Elements Reported for Periods
of Missing Data that are not Inputs to Emission Equations.''
    \13\ Revisions to Reporting and Recordkeeping Requirements, and
Confidentiality Determinations Under the Greenhouse Gas Reporting
Program; Final Rule. (79 FR 63750, October 24, 2014).
---------------------------------------------------------------------------

    For this rulemaking, we are proposing to assign nine new or revised
data elements to the appropriate direct emitter data categories created
in the 2011 Final CBI Rulemaking based on the type and characteristics
of each data element.\14\ Note that subpart W is a direct emitter
source category, thus, no data are assigned to any supplier data
categories.
---------------------------------------------------------------------------

    \14\ For a description of the types and characteristics of the
data elements in each of these data categories, please see
``Proposed Confidentiality Determinations for Data Required Under
the Mandatory Greenhouse Gas Reporting Rule and Proposed Amendment
to Special Rules Governing Certain Information Obtained Under the
Clean Air Act; Proposed Rule'' (75 FR 39094; July 7, 2010).
---------------------------------------------------------------------------

    For the seven data elements that the EPA has assigned in this
proposed rulemaking to a direct emitter category with a categorical
determination (data elements (1) through (5), (8), and (9), as listed
in section III.A of this preamble), the EPA is proposing that the
categorical determination for the category be applied to the proposed
new or revised data element. For the proposed categorical assignment of
the data elements in the eight categories with categorical
determinations, see the memorandum ``Data Category Assignments and
Confidentiality Determinations for All Data Elements in the Proposed
`Leak Detection Methodology Revisions and Confidentiality
Determinations for Petroleum and Natural Gas Systems' '' in Docket ID
No. EPA-HQ-OAR-2015-0764.
    For the two data elements assigned to ``Unit/Process Operating
Characteristics that Are Not Inputs to Emission Equations'' (data
elements (6) and (7), as listed in section III.A of this preamble), we
are proposing confidentiality determinations on a case-by-case basis
taking into consideration the criteria in 40 CFR 2.208, consistent with
the approach used for data elements previously assigned to this data
category. For the proposed categorical assignment of these data
elements, see the memorandum ``Data Category Assignments and
Confidentiality Determinations for All Data Elements in the Proposed
`Leak Detection Methodology Revisions and Confidentiality
Determinations for Petroleum and Natural Gas Systems' '' in Docket ID
No. EPA-HQ-OAR-2015-0764. For the results of our case-by-case
evaluation of these data elements, see section III.C of this preamble.

C. Proposed Confidentiality Determinations for Data Elements Assigned
to the ``Unit/Process Operating Characteristics That Are Not Inputs to
Emission Equations'' Data Category

    The EPA is proposing to assign two proposed new or substantially
revised data elements for subpart W to the ``Unit/Process Operating
Characteristics That Are Not Inputs to Emission Equations'' data
category because the proposed new or substantially revised data
elements share the same characteristics as the other data elements
previously assigned to the category in earlier EPA rulemakings (see 77
FR 48072, August 13, 2012; and 79 FR 70352, November 25, 2014). We are
proposing confidentiality determinations for these proposed new or
substantially revised data elements based on the approach set forth in
the 2011 Final CBI Rulemaking for data elements assigned to this data
category. In that rulemaking, the EPA determined categorically that
data elements assigned to this data category do not meet the definition
of emission data in 40 CFR 2.301(a); the EPA then made individual,
instead of categorical, confidentiality determinations for these data
elements. For more information on how the confidentiality
determinations apply to specific industry segments, see the memorandum
``Data Category Assignments and Confidentiality Determinations for All
Data Elements in the Proposed `Leak Detection Methodology Revisions and
Confidentiality Determinations for Petroleum and Natural Gas Systems'
'' in Docket ID No. EPA-HQ-OAR-2015-0764.
    As with all other data elements assigned to this data category, the
proposed new or substantially revised data elements do not meet the
definition of emissions data in 40 CFR 2.301(a). The EPA then
considered the confidentiality criteria at 40 CFR 2.208 in making our
proposed confidentiality determinations. Specifically, we focused on
whether the data are already publicly available from other sources and,
if not, whether disclosure of the data is likely to cause substantial
harm to the business' competitive position. Table 3 of this preamble
lists the data elements that the EPA proposes to assign to the ``Unit/
Process Operating Characteristics That Are Not Inputs to Emission

Equations'' data category, the proposed confidentiality determination
for each data element, and our rationale for each determination.

   Table 3--Proposed Confidentiality for Data Elements Assigned to the
``Unit/Process Operating Characteristics That Are Not Inputs to Emission
                        Equations'' Data Category
------------------------------------------------------------------------
                                                         Proposed
                                                      confidentiality
          Citation               Data element        determination and
                                                         rationale
------------------------------------------------------------------------
Sec.   98.236(q)(2)(ii).....  For each component  Not CBI. The term
                               type that is        ``equipment leaks''
                               located at your     refers to those
                               facility, total     emissions which could
                               number of the       not reasonably pass
                               surveyed            through a stack,
                               component type      chimney, vent, or
                               that were           other functionally-
                               identified as       equivalent opening.
                               leaking in the      Leaking components at
                               calendar year       a facility may have a
                               (``xp'' in          correlation to the
                               Equation W-30).     level of maintenance
                                                   at a facility.
                                                   However, there is no
                                                   direct correlation
                                                   between the level of
                                                   maintenance and
                                                   process efficiency,
                                                   i.e., a higher number
                                                   of leaks in one
                                                   facility do not
                                                   indicate that the
                                                   processes have been
                                                   running longer or
                                                   more frequently than
                                                   those processes at
                                                   another facility that
                                                   has a lower number of
                                                   leaks. Furthermore,
                                                   Department of
                                                   Transportation (DOT)
                                                   and Federal Energy
                                                   Regulatory Commission
                                                   (FERC) regulations
                                                   require natural gas
                                                   distribution
                                                   companies and
                                                   transmission pipeline
                                                   companies,
                                                   respectively, to
                                                   conduct periodic leak
                                                   detection and fix any
                                                   leaking equipment.
                                                   The number of leaks
                                                   detected and fixed is
                                                   reported to the DOT
                                                   and is publicly
                                                   available. Finally,
                                                   40 CFR part 60,
                                                   subparts KKK and OOOO
                                                   require natural gas
                                                   processing facilities
                                                   to monitor for VOC
                                                   leaks and report them
                                                   to the EPA, and
                                                   proposed 40 CFR part
                                                   60, subpart OOOOa
                                                   would require
                                                   reporting for each
                                                   component with
                                                   visible emissions at
                                                   affected well sites
                                                   and compressor
                                                   station sites. The
                                                   EPA is proposing that
                                                   this data element is
                                                   not confidential; and
                                                   that it will be
                                                   considered non-CBI.
Sec.   98.236(q)(2)(iii)....  For each component  Not CBI. This proposed
                               type that is        data element would
                               located at your     provide information
                               facility, average   on the amount of time
                               time the surveyed   operational
                               components are      components were found
                               assumed to be       to be leaking. This
                               leaking and         information would
                               operational, in     provide little
                               hours (average of   insight into
                               ``Tp,z'' from       maintenance practices
                               Equation W-30).     at a facility because
                                                   it would not identify
                                                   the cause of the
                                                   leaks or the nature
                                                   and cost of repairs.
                                                   Therefore, this
                                                   information would not
                                                   be likely to cause
                                                   substantial
                                                   competitive harm to
                                                   reporters. For this
                                                   reason, we are
                                                   proposing the average
                                                   time operational
                                                   components were found
                                                   leaking be designated
                                                   as ``not CBI.''
------------------------------------------------------------------------

D. Request for Comments on Proposed Confidentiality Determinations

    For the CBI component of this rulemaking, we are specifically
soliciting comment on the following issues. First, we specifically seek
comment on the proposed data category assignments, and application of
the established categorical confidentiality determinations to data
elements assigned to categories with such determinations. If a
commenter believes that the EPA has improperly assigned certain new or
substantially revised data elements to any of the data categories
established in the 2011 Final CBI Rulemaking, please provide specific
comments identifying which of these data elements may be mis-assigned
along with a detailed explanation of why you believe them to be
incorrectly assigned and in which data category you believe they
belong. In addition, if you believe that a data element should be
assigned to one of the two direct emitter data categories that do not
have a categorical confidentiality determination, please also provide
specific comment along with detailed rationale and supporting
information on whether such a data element does or does not qualify as
CBI.
    We also seek comment on the proposed individual confidentiality
determinations for the two new or substantially revised data elements
assigned to the ``Unit/Process Operating Characteristics That Are Not
Inputs to Emission Equations'' data category.
    By proposing confidentiality determinations prior to data reporting
through this proposal and rulemaking process, we provide reporters an
opportunity to submit comments, in particular comments identifying data
they consider sensitive and their rationales and supporting
documentation; this opportunity is the same opportunity that is
afforded to submitters of information in case-by-case confidentiality
determinations made in response to individual claims for confidential
treatment not made through a rulemaking. It provides an opportunity to
rebut the agency's proposed determinations prior to finalization. We
will evaluate the comments on our proposed determinations, including
claims of confidentiality and information substantiating such claims,
before finalizing the confidentiality determinations. Please note that
this will be a reporter's only opportunity to substantiate a
confidentiality claim for the data elements identified in this
rulemaking. Upon finalizing the confidentiality determinations of the
data elements identified in this rulemaking, the EPA will release or
withhold these data in accordance with 40 CFR 2.301, which contains
special provisions governing the treatment of part 98 data for which
confidentiality determinations have been made through rulemaking.
    When submitting comments regarding the confidentiality
determinations we are proposing in this rulemaking, please identify
each individual data element you do or do not consider to be CBI or
emission data in your comments. Please explain specifically how the
public release of that particular data element would or would not cause
a competitive disadvantage to a facility. Discuss how this data element
may be different from or similar to data that are already publicly
available. Please submit information identifying any publicly available
sources of information containing the specific data elements in
question. Data that are already available through other sources would
likely be found not to qualify for CBI protection. In your comments,
please identify the manner and location in which each specific data
element you identify is publicly available, including a citation. If
the data are physically published, such as in a book, industry trade
publication, or federal agency

publication, provide the title, volume number (if applicable),
author(s), publisher, publication date, and International Standard Book
Number (ISBN) or other identifier. For data published on a Web site,
provide the address of the Web site and the date you last visited the
Web site and identify the Web site publisher and content author.
    If your concern is that competitors could use a particular data
element to discern sensitive information, specifically describe the
pathway by which this could occur and explain how the discerned
information would negatively affect your competitive position. Describe
any unique process or aspect of your facility that would be revealed if
the particular data element you consider sensitive were made publicly
available. If the data element you identify would cause harm only when
used in combination with other publicly available data, then describe
the other data, identify the public source(s) of these data, and
explain how the combination of data could be used to cause competitive
harm. Describe the measures currently taken to keep the data
confidential. Avoid conclusory and unsubstantiated statements, or
general assertions regarding potential harm. Please be as specific as
possible in your comments and include all information necessary for the
EPA to evaluate your comments.

IV. Impacts of the Proposed Amendments to Subpart W

    As discussed in section II of this preamble, the EPA is proposing
amendments to subpart W that would add equipment leak monitoring
methods and would revise recordkeeping and reporting requirements for
reporters in the following industry segments: Onshore Petroleum and
Natural Gas Production, Onshore Petroleum and Natural Gas Gathering and
Boosting, Onshore Natural Gas Processing, Onshore Natural Gas
Transmission Compression, Underground Natural Gas Storage, LNG Storage,
LNG Import and Export Equipment, and Natural Gas Distribution.
Reporters in these industry segments would be required to use the
results of fugitive emissions component monitoring required under the
proposed NSPS subpart OOOOa or could voluntarily use the results of
leak detection surveys that are conducted following a leak detection
method listed in subpart W to determine the number of leaking
components of a given type that are present at the facility. Facilities
would use these results along with the proposed leaker emission factors
to determine their emissions.
    The proposed amendments to subpart W are not expected to
significantly increase burden. We estimated that the additional costs
to reporters in the Onshore Petroleum and Natural Gas Production and
the Onshore Petroleum and Natural Gas Gathering and Boosting industry
segments to transition their existing equipment leak recordkeeping,
calculating, and reporting systems to use the proposed leaker emission
factor approach would be approximately $50,000 per year for all
reporters, or about $200 per reporter. Reporters in the other industry
segments in subpart W would only need to add a few new emission factors
to their existing systems rather than transitioning their
recordkeeping, calculating, and reporting systems, so we do not
estimate any additional burden for these facilities. See the
memorandum, ``Assessment of Impacts of the Proposed Leak Detection
Methodology Revisions to Subpart W'' in Docket ID No. EPA-HQ-OAR-2015-
0764 for additional information.

V. Statutory and Executive Order Reviews

    Additional information about these statutes and Executive Orders
can be found at http://www2.epa.gov/laws-regulations/laws-and-executive-orders.

A. Executive Order 12866: Regulatory Planning and Review and Executive
Order 13563: Improving Regulation and Regulatory Review

    This action is not a significant regulatory action and was
therefore not submitted to the OMB for review.

B. Paperwork Reduction Act (PRA)

    The information collection activities in this proposed rule have
been submitted for approval to the OMB under the PRA. The Information
Collection Request (ICR) document that the EPA prepared has been
assigned EPA ICR number 2300.19. You can find a copy of the ICR in the
docket for this rule, and it is briefly summarized here.
    This action proposes to increase burden related to recordkeeping
and reporting requirements for reporters in two industry segments:
Onshore Petroleum and Natural Gas Production and Onshore Petroleum and
Natural Gas Gathering and Boosting. The changes to recordkeeping and
reporting requirements for the other industry segments in this proposed
rulemaking are not expected to increase burden. Impacts associated with
the proposed changes to the recordkeeping and reporting requirements
are detailed in the memorandum ``Assessment of Impacts of the Proposed
Leak Detection Methodology Revisions to Subpart W'' (see Docket ID No.
EPA-HQ-OAR-2015-0764).
    Data collected must be made available to the public unless the data
qualify for CBI treatment under the CAA and EPA regulations. All data
determined by the EPA to be CBI are safeguarded in accordance with
regulations in 40 CFR chapter 1, part 2, subpart B.
    Respondents/affected entities: The respondents in this information
collection include owners and operators of petroleum and natural gas
systems facilities that report their GHG emissions from equipment leaks
to the EPA to comply with subpart W.
    Respondent's obligation to respond: The respondent's obligation to
respond is mandatory under the authority provided in CAA section 114.
    Estimated number of respondents: Approximately 251 respondents per
year.
    Frequency of response: Annual.
    Total estimated burden: 502 hours (per year). Burden is defined at
5 CFR 1320.3(b).
    Total estimated cost: $50,000 (per year).
    An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information unless it displays a
currently valid OMB control number. The OMB control numbers for the
EPA's regulations in 40 CFR are listed in 40 CFR part 9.
    Submit your comments on the agency's need for this information, the
accuracy of the provided burden estimates and any suggested methods for
minimizing respondent burden to the EPA using the docket identified at
the beginning of this rule. You may also send your ICR-related comments
to OMB's Office of Information and Regulatory Affairs via email to
<EMAIL_ADDRESS>Attention: Desk Officer for the EPA.
Since OMB is required to make a decision concerning the ICR between 30
and 60 days after receipt, OMB must receive comments no later than
February 29, 2016. The EPA will respond to any ICR-related comments in
the final rule.

C. Regulatory Flexibility Act (RFA)

    I certify that this action would not have a significant economic
impact on a substantial number of small entities under the RFA. The
small entities directly regulated by this proposed rule include small
businesses in the petroleum and natural gas industry. The EPA has
determined that some small businesses would be affected because their
production processes emit GHGs exceeding the reporting threshold. This
action includes proposed amendments

that may result in a small burden increase on some subpart W reporters,
but the EPA has determined that the cost of less than $200 per reporter
is not a significant increase. Details of this analysis are presented
in ``Assessment of Impacts of the Leak Detection Methodology Revisions
and Confidentiality Determinations for Petroleum and Natural Gas
Systems'' in Docket ID No. EPA-HQ-OAR-2015-0764.

D. Unfunded Mandates Reform Act (UMRA)

    This action does not contain an unfunded mandate of $100 million or
more as described in UMRA, 2 U.S.C. 1531-1538, and does not
significantly or uniquely affect small governments. This action would
impose no enforceable duty on any state, local, or tribal governments
or the private sector.

E. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not have
substantial direct effects on the states, on the relationship between
the national government and the states, or on the distribution of power
and responsibilities among the various levels of government.

F. Executive Order 13175: Consultation and Coordination With Indian
Tribal Governments

    This action has tribal implications. However, it will neither
impose substantial direct compliance costs on tribal governments, nor
preempt tribal law. This regulation would apply directly to petroleum
and natural gas facilities that emit greenhouses gases. Although few
facilities that would be subject to the rule are likely to be owned by
tribal governments, the EPA sought opportunities to provide information
to tribal governments and representatives during the development of the
proposed and final subpart W that was promulgated on November 30, 2010
(75 FR 74458).
    The EPA consulted with tribal officials under the EPA Policy on
Consultation and Coordination with Indian Tribes early in the process
of developing this regulation to permit them to have meaningful and
timely input into its development. A summary of that consultation is
provided in section IV.F of the preamble to the re-proposal of subpart
W published on April 12, 2010 (75 FR 18608), and section IV.F of the
preamble to the subpart W 2010 final rule published on November 30,
2010 (75 FR 74458).

G. Executive Order 13045: Protection of Children From Environmental
Health Risks and Safety Risks

    The EPA interprets Executive Order 13045 as applying only to those
regulatory actions that concern environmental health or safety risks,
that the EPA has reason to believe may disproportionately affect
children, per the definition of ``covered regulatory action'' in
section 2-202 of the Executive Order. This action is not subject to
Executive Order 13045 because it does not concern an environmental
health risk or safety risk.

H. Executive Order 13211: Actions That Significantly Affect Energy
Supply, Distribution, or Use

    This action is not subject to Executive Order 13211, because it is
not a significant regulatory action under Executive Order 12866.

I. National Technology Transfer and Advancement Act (NTTAA)

    This rulemaking does not involve technical standards.

J. Executive Order 12898: Federal Actions To Address Environmental
Justice in Minority Populations and Low-Income Populations

    The EPA believes the human health or environmental risk addressed
by this action would not have potential disproportionately high and
adverse human health or environmental effects on minority, low-income
or indigenous populations because the amendments would not affect the
level of protection provided to human health or the environment.
Instead, the proposed amendments address information collection and
reporting and verification procedures.

List of Subjects in 40 CFR Part 98

    Environmental protection, Administrative practice and procedure,
Greenhouse gases, Incorporation by reference, Reporting and
recordkeeping requirements.

    Dated: January 21, 2016.
Gina McCarthy,
Administrator.

    For the reasons stated in the preamble, title 40, chapter I, of the
Code of Federal Regulations is proposed to be amended as follows:

PART 98--MANDATORY GREENHOUSE GAS REPORTING

0
1. The authority citation for part 98 continues to read as follows:

    Authority:  42 U.S.C. 7401 et seq.

Subpart W--Petroleum and Natural Gas Systems

0
2. Sec.  98.232 is amended by:
0
a. Adding paragraphs (d)(8) and (e)(8);
0
b. Revising paragraph (f)(5);
0
c. Adding paragraphs (f)(6) through (8);
0
d. Revising paragraphs (g)(3) and (4);
0
e. Adding paragraphs (g)(5) and (6);
0
f. Revising paragraphs (h)(4) and (5); and
0
g. Adding paragraphs (h)(6) and (7).
    The revisions and additions read as follows:

Sec.  98.232  GHGs to report.

* * * * *
    (d) * * *
    (8) Equipment leaks from pumps that are subject to 40 CFR part 60,
subpart OOOOa. You may also elect to report emissions from pumps if you
survey them using a leak detection method described in Sec.  98.234(a)
and are not subject to 40 CFR part 60, subpart OOOOa.
    (e) * * *
    (8) Equipment leaks from all equipment leak component types, except
those listed in paragraph (e)(7) of this section, that are subject to
40 CFR part 60, subpart OOOOa. You may also elect to report emissions
from these equipment leak component types if you survey them using a
leak detection method described in Sec.  98.234(a) and are not subject
to 40 CFR part 60, subpart OOOOa.
    (f) * * *
    (5) Equipment leaks from valves, connectors, open ended lines,
pressure relief valves, and meters associated with storage stations.
    (6) Equipment leaks from all equipment leak component types
associated with storage stations, except those listed in paragraph
(f)(5) of this section, that are subject to 40 CFR part 60, subpart
OOOOa. You may also elect to report emissions from these equipment leak
component types if you survey them using a leak detection method
described in Sec.  98.234(a) and are not subject to 40 CFR part 60,
subpart OOOOa.
    (7) Equipment leaks from valves, connectors, open-ended lines, and
pressure relief valves associated with storage wellheads.
    (8) Equipment leaks from all equipment leak component types
associated with storage wellheads, except those listed in paragraph
(f)(7) of this section, that are subject to 40 CFR part 60, subpart
OOOOa. You may also elect to report emissions from these equipment leak
component types if you survey them using a leak detection

method described in Sec.  98.234(a) and are not subject to 40 CFR part
60, subpart OOOOa.
    (g) * * *
    (3) Flare stack emissions.
    (4) Equipment leaks from valves, pump seals, connectors, and other
equipment leak sources in LNG service.
    (5) Equipment leaks from vapor recovery compressors that are not
subject to 40 CFR part 60, subpart OOOOa.
    (6) Equipment leaks from all equipment leak component types in gas
service that are subject to 40 CFR part 60, subpart OOOOa. You may also
elect to report emissions from these equipment leak component types if
you survey them using a leak detection method described in Sec.
98.234(a) and are not subject to 40 CFR part 60, subpart OOOOa.
    (h) * * *
    (4) Flare stack emissions.
    (5) Equipment leaks from valves, pump seals, connectors, and other
equipment leak sources in LNG service.
    (6) Equipment leaks from vapor recovery compressors that are not
subject to 40 CFR part 60, subpart OOOOa.
    (7) Equipment leaks from all equipment leak component types in gas
service that are subject to 40 CFR part 60, subpart OOOOa. You may also
elect to report emissions from these equipment leak component types if
you survey them using a leak detection method described in Sec.
98.234(a) and are not subject to 40 CFR part 60, subpart OOOOa.
* * * * *
0
3. Sec.  98.233 is amended by revising paragraph (q) and the first two
sentences of paragraph (r)(1) introductory text to read as follows:

Sec.  98.233  Calculating GHG emissions.

* * * * *
    (q) Equipment leak surveys. (1) Applicability. (i) Except as
specified in paragraph (q)(1)(iv) of this section, you must use any of
the methods described in Sec.  98.234(a) to conduct leak detection(s)
of equipment leaks from all equipment leak component types listed in
Sec.  98.232(d)(7), (e)(7), (f)(5), (g)(4), (h)(5), and (i)(1), and you
must calculate equipment leak emissions for these equipment leak
component types using the procedures specified in paragraph (q)(2) of
this section.
    (ii) Except as specified in paragraph (q)(1)(iv) of this section,
equipment component types in Sec.  98.232(c)(21), (d)(8), (e)(8),
(f)(6), (f)(7), (f)(8), (g)(6), (h)(7), and (j)(10) that are subject to
40 CFR part 60, subpart OOOOa are subject to the equipment leak
emissions calculation procedures in paragraph (q)(2) of this section.
    (iii) Except as specified in paragraph (q)(1)(iv) of this section,
you may elect to comply with this paragraph (q) (i.e., use any of the
methods described in Sec.  98.234(a) to conduct leak detections, and
use the procedures specified in paragraph (q)(2) of this section to
calculate emissions) for any equipment leak component types in Sec.
98.232(c)(21), (d)(8), (e)(8), (f)(6), (f)(7), (f)(8), (g)(6), (h)(7),
and (j)(10) that are not subject to paragraph (q)(1)(ii) of this
section.
    (iv) This paragraph (q) applies to component types in streams with
gas content greater than 10 percent CH4 plus CO2
by weight. Component types in streams with gas content less than or
equal to 10 percent CH4 plus CO2 by weight are
exempt from the requirements of this paragraph (q) and do not need to
be reported. Tubing systems equal to or less than one half inch
diameter are exempt from the requirements of this paragraph (q) and do
not need to be reported.
    (2) Emission calculation methodology. For industry segments listed
in Sec.  98.230(a)(2) through (9), if equipment leaks are detected for
component types listed in paragraphs (q)(1)(i) through (iii) of this
section, then you must calculate equipment leak emissions per component
type per reporting facility using Equation W-30 of this section and the
requirements specified in paragraphs (q)(2)(i) through (xi) of this
this section. For the industry segment listed in Sec.  98.230(a)(8),
the results from Equation W-30 are used to calculate population
emission factors on a meter/regulator run basis using Equation W-31 of
this section. If you chose to conduct equipment leak surveys at all
above grade transmission-distribution transfer stations over multiple
years, ``n,'' according to paragraph (q)(2)(x)(A) of this section, then
you must calculate the emissions from all above grade transmission-
distribution transfer stations as specified in paragraph (q)(2)(xi) of
this section.
[GRAPHIC] [TIFF OMITTED] TP29JA16.000

Where:

Es,p,i = Annual total volumetric emissions of
GHGi from specific component type ``p'' (in accordance
with paragraphs (q)(1)(i) through (iii) of this section) in standard
(``s'') cubic feet, as specified in paragraphs (q)(2)(ii) through
(x) of this section.
xp = Total number of specific component type ``p''
detected as leaking in any leak survey during the year. A component
found leaking in two or more surveys during the year is counted as
one leaking component.
EFs,p = Leaker emission factor for specific component
types listed in Table 1E and Table W-2 through Table W-7 of this
subpart.
GHGi = For onshore petroleum and natural gas production
facilities and onshore petroleum and natural gas gathering and
boosting facilities, concentration of GHGi,
CH4, or CO2, in produced natural gas as
defined in paragraph (u)(2) of this section; for onshore natural gas
processing facilities, concentration of GHGi,
CH4 or CO2, in the total hydrocarbon of the
feed natural gas; for onshore natural gas transmission compression
and underground natural gas storage, GHGi equals 0.975
for CH4 and 1.1 x 10-\2\ for CO2 ;
for LNG storage and LNG import and export equipment, GHGi
equals 1 for CH4 and 0 for CO2; and for
natural gas distribution, GHGi equals 1 for
CH4 and 1.1 x 10-\2\ CO2.
Tp,z = The total time the surveyed component ``z'',
component type ``p'', was assumed to be leaking and operational, in
hours. If one leak detection survey is conducted in the calendar
year, assume the component was leaking for the entire calendar year.
If multiple leak detection surveys are conducted in the calendar
year, assume a component found leaking in the first survey was
leaking since the beginning of the year; assume a component found
leaking in the last survey of the year was leaking from the
preceding survey through the end of the year; assume a component
found leaking in a survey between the first and last surveys of the
year was leaking since the preceding survey; and sum times for all
leaking periods. For each leaking component, account for time the
component was not operational (i.e., not operating under pressure)
using an engineering estimate based on best available data.

    (i) You must conduct either one leak detection survey in a calendar
year or multiple complete leak detection surveys in a calendar year.
The leak detection surveys selected must be conducted during the
calendar year.

    (ii) Calculate both CO2 and CH4 mass
emissions using calculations in paragraph (v) of this section.
    (iii) Onshore petroleum and natural gas production facilities must
use the appropriate default whole gas leaker emission factors for
components in gas service, light crude service, and heavy crude service
listed in Table W-1E of this subpart.
    (iv) Onshore petroleum and natural gas gathering and boosting
facilities must use the appropriate default whole gas leaker factors
for components in gas service listed in Table W-1E of this subpart.
    (v) Onshore natural gas processing facilities must use the
appropriate default total hydrocarbon leaker emission factors for
compressor components in gas service and non-compressor components in
gas service listed in Table W-2 of this subpart.
    (vi) Onshore natural gas transmission compression facilities must
use the appropriate default total hydrocarbon leaker emission factors
for compressor components in gas service and non-compressor components
in gas service listed in Table W-3 of this subpart.
    (vii) Underground natural gas storage facilities must use the
appropriate default total hydrocarbon leaker emission factors for
storage stations in gas service listed in Table W-4 of this subpart.
    (viii) LNG storage facilities must use the appropriate default
methane leaker emission factors for LNG storage components in gas
service listed in Table W-5 of this subpart.
    (ix) LNG import and export facilities must use the appropriate
default methane leaker emission factors for LNG terminals components in
LNG service listed in Table W-6 of this subpart.
    (x) Natural gas distribution facilities must use Equation W-30 of
this section and the default methane leaker emission factors for
transmission-distribution transfer station components in gas service
listed in Table W-7 of this subpart to calculate component emissions
from annual equipment leak surveys conducted at above grade
transmission-distribution transfer stations. Natural gas distribution
facilities are required to perform equipment leak surveys only at above
grade stations that qualify as transmission-distribution transfer
stations. Below grade transmission-distribution transfer stations and
all metering-regulating stations that do not meet the definition of
transmission-distribution transfer stations are not required to perform
equipment leak surveys under this section.
    (A) Natural gas distribution facilities may choose to conduct
equipment leak surveys at all above grade transmission-distribution
transfer stations over multiple years ``n'', not exceeding a five year
period to cover all above grade transmission-distribution transfer
stations. If the facility chooses to use the multiple year option, then
the number of transmission-distribution transfer stations that are
monitored in each year should be approximately equal across all years
in the cycle.
    (B) Use Equation W-31 of this section to determine the meter/
regulator run population emission factors for each GHGi. As
additional survey data become available, you must recalculate the
meter/regulator run population emission factors for each
GHGi annually according to paragraph (q)(2)(x)(C) of this
section.
[GRAPHIC] [TIFF OMITTED] TP29JA16.001

Where:

EFs,MR,i = Meter/regulator run population emission factor
for GHGi based on all surveyed above grade transmission-
distribution transfer stations over ``n'' years, in standard cubic
feet of GHGi per operational hour of all meter/regulator
runs.
Es,p,i,y = Annual total volumetric emissions at standard
conditions of GHGi from component type ``p'' during year
``y'' in standard (``s'') cubic feet, as calculated using Equation
W-30 of this section.
p = Seven component types listed in Table W-7 of this subpart for
transmission-distribution transfer stations.
Tw,y = The total time the surveyed meter/regulator run
``w'' was operational, in hours during survey year ``y'' using an
engineering estimate based on best available data.
CountMR,y = Count of meter/regulator runs surveyed at
above grade transmission-distribution transfer stations in year
``y''.
y = Year of data included in emission factor ``EFs,MR,i''
according to paragraph (q)(2)(x)(C) of this section.
n = Number of years of data, according to paragraph (q)(8)(i) of
this section, whose results are used to calculate emission factor
``EFs,MR,i'' according to paragraph (q)(2)(x)(C) of this
section.

    (C) The emission factor ``EFs,MR,i'', based on annual
equipment leak surveys at above grade transmission-distribution
transfer stations, must be calculated annually. If you chose to conduct
equipment leak surveys at all above grade transmission-distribution
transfer stations over multiple years, ``n,'' according to paragraph
(q)(2)(x)(A) of this section and you have submitted a smaller number of
annual reports than the duration of the selected cycle period of 5
years or less, then all available data from the current year and
previous years must be used in the calculation of the emission factor
``EFs,MR,i'' from Equation W-31 of this section. After the
first survey cycle of ``n'' years is completed and beginning in
calendar year (n+1), the survey will continue on a rolling basis by
including the survey results from the current calendar year ``y'' and
survey results from all previous (n-1) calendar years, such that each
annual calculation of the emission factor ``EFs,MR,i'' from
Equation W-31 is based on survey results from ``n'' years. Upon
completion of a cycle, you may elect to change the number of years in
the next cycle period (to be 5 years or less). If the number of years
in the new cycle is greater than the number of years in the previous
cycle, calculate ``EFs,MR,i'' from Equation W-31 in each
year of the new cycle using the survey results from the current
calendar year and the survey results from the preceding number years
that is equal to the number of years in the previous cycle period. If
the number of years, ``nnew'', in the new cycle is smaller
than the number of years in the previous cycle, ``n'', calculate
``EFs,MR,i'' from Equation W-31 in each year of the new
cycle using the survey results from the current calendar year and
survey results from all previous (nnew-1) calendar years.
    (xi) If you chose to conduct equipment leak surveys at all above
grade transmission-distribution transfer stations over multiple years,
``n,'' according to paragraph (q)(2)(x)(A) of this section, you must
use the meter/regulator run population emission

factors calculated using Equation W-31 of this section and the total
count of all meter/regulator runs at above grade transmission-
distribution transfer stations to calculate emissions from all above
grade transmission-distribution transfer stations using Equation W-32B
in paragraph (r) of this section.
    (r) * * * This paragraph (r) applies to emissions sources listed in
Sec.  98.232(c)(21), (f)(7), (g)(5), (h)(6), and (j)(10) that are not
subject to the requirements in paragraph (q) of this section, and it
applies to emission sources listed in Sec.  98.232(i)(2), (i)(3),
(i)(4), (i)(5), (i)(6), and (j)(11). To be subject to the requirements
of this paragraph (r), the listed emissions sources also must contact
streams with gas content greater than 10 percent CH4 plus
CO2 by weight. Emissions sources that contact streams with
gas content less than or equal to 10 percent CH4 plus
CO2 by weight are exempt from the requirements of this
paragraph (r) and do not need to be reported. * * *
* * * * *
0
4. Sec.  98.234 is amended by revising paragraph (a) introductory text
and the paragraph (a)(1) heading and adding paragraph (a)(6) to read as
follows:

Sec.  98.234  Monitoring and QA/QC requirements.

* * * * *
    (a) You must use any of the methods described in paragraphs (a)(1)
through (5) of this section to conduct leak detection(s) of through-
valve leakage from all source types listed in Sec.  98.233(k), (o), and
(p) that occur during a calendar year. You must use any of the methods
described in paragraphs (a)(1) through (6) of this section to conduct
leak detection(s) of equipment leaks from component types listed in
Sec.  98.233(q)(1)(i) and (iii) that occur during a calendar year. To
conduct leak detection(s) of equipment leaks from component types
listed in Sec.  98.233(q)(1)(ii), you must use the method described in
paragraph (a)(6) of this section.
    (1) Optical gas imaging instrument as specified in 40 CFR 60.18. *
* *
* * * * *
    (6) Optical gas imaging instrument as specified in 40 CFR 60.5397a.
Use an optical gas imaging instrument for equipment leak detection in
accordance with Sec.  60.5397a(b) through (e) and (g) through (i) of
this chapter and paragraphs (a)(6)(i) through (v) of this section.
    (i) For the purposes of this subpart, any fugitive emission from a
fugitive emissions component, as defined in 40 CFR part 60, subpart
OOOOa, that is detected by the optical gas imaging instrument is a
leak.
    (ii) For the purposes of this subpart, the term ``fugitive
emissions component'' in Sec.  60.5397a(b) through (i) of this chapter
means ``equipment leak component.''
    (iii) For the purpose of complying with Sec.  98.233(q)(1)(iii),
the phrases ``the collection of fugitive emissions components at well
sites and compressor stations'' and ``each collection of fugitive
emissions components at a well site and each collection of fugitive
emissions components at a compressor station'' in Sec.  60.5397a(b) and
(g) of this chapter mean ``the collection of equipment leak components
for which you elect to comply with Sec.  98.233(q)(1)(iii).''
    (iv) The requirements in Sec.  60.5397a(c)(4) and (5) of this
chapter to include procedures and timelines for repair in your
monitoring plan do not apply to equipment leak components for which you
elect to comply with Sec.  98.233(q)(1)(iii).
    (v) For the purpose of complying with Sec.  98.233(q)(1)(iii), the
reference in Sec.  60.5397a(g) to ``the initial survey'' does not
apply.
* * * * *
0
5. Sec.  98.236 is amended by:
0
a. Redesignating paragraphs (a)(1)(xiv) through (xvii) as paragraphs
(a)(1)(xv) through (xviii), respectively;
0
b. Adding paragraph (a)(1)(xiv);
0
c. Redesignating paragraphs (a)(9)(x) and (xi) as paragraphs (a)(9)(xi)
and (xii), respectively;
0
d. Adding paragraph (a)(9)(x);
0
e. Revising paragraph (q)(1) introductory text;
0
f. Adding paragraphs (q)(1)(iii) through (v); and
0
g. Revising the first sentence of paragraph (q)(2) introductory text.
    The revisions and additions read as follows:

Sec.  98.236  Data reporting requirements.

* * * * *
    (a) * * *
    (1) * * *
    (xiv) Equipment leak surveys. Report the information specified in
paragraph (q) of this section.
* * * * *
    (9) * * *
    (x) Equipment leak surveys. Report the information specified in
paragraph (q) of this section.
* * * * *
    (q) * * *
    (1) You must report the information specified in paragraphs
(q)(1)(i) through (v) of this section.
* * * * *
    (iii) Indicate whether any equipment leak component types were
subject to 40 CFR part 60, subpart OOOOa.
    (iv) Indicate whether you elected to comply with Sec.
98.233(q)(1)(iii).
    (v) Report each type of method described in Sec.  98.234(a) that
was used to conduct leak surveys.
    (2) You must indicate whether your facility contains any of the
component types subject to Sec.  98.233(q) that are listed in Sec.
98.232(c)(21), (d)(7), (d)(8), (e)(7), (e)(8), (f)(5), (f)(6), (f)(7),
(f)(8), (g)(4), (g)(5), (g)(6), (h)(5), (h)(6), (h)(7), (j)(10), or
(i)(1), for your facility's industry segment. * * *
* * * * *
0
6. Add Table W-1E of subpart W of part 98 in numerical order to read as
follows:

  Table W-1E of Subpart W of Part 98--Default Whole Gas Leaker Emission
  Factors for Onshore Petroleum and Natural Gas Production and Onshore
            Petroleum and Natural Gas Gathering and Boosting
------------------------------------------------------------------------
                                                             Emission
                                                           factor  (scf/
                  Equipment components                         hour/
                                                            component)
------------------------------------------------------------------------
        Leaker Emission Factors--All Components, Gas Service \1\
------------------------------------------------------------------------
Valve...................................................             4.9
Flange..................................................             4.1
Connector (other).......................................             1.3
Open-Ended Line \2\.....................................             2.8
Pressure Relief Valve...................................             4.5
Pump Seal...............................................             3.7

Other \3\...............................................             4.5
------------------------------------------------------------------------
    Leaker Emission Factors--All Components, Light Crude Service \4\
------------------------------------------------------------------------
Valve...................................................             3.2
Flange..................................................             2.7
Connector (other).......................................             1.0
Open-Ended Line.........................................             1.6
Pump....................................................             3.7
Agitator Seal...........................................             3.7
Other \3\...............................................             3.1
------------------------------------------------------------------------
    Leaker Emission Factors--All Components, Heavy Crude Service \5\
------------------------------------------------------------------------
Valve...................................................             3.2
Flange..................................................             2.7
Connector (other).......................................             1.0
Open-Ended Line.........................................             1.6
Pump....................................................             3.7
Agitator Seal...........................................             3.7
Other \3\...............................................             3.1
------------------------------------------------------------------------
\1\ For multi-phase flow that includes gas, use the gas service emission
  factors.
\2\ The open-ended lines component type includes blowdown valve and
  isolation valve leaks emitted through the blowdown vent stack for
  centrifugal and reciprocating compressors.
\3\ ``Others'' category includes any equipment leak emission point not
  specifically listed in this table, except for the following: It
  excludes thief hatches and all other potential emission points in gas
  service on atmospheric storage tanks, all potential emission points in
  gas service on gas-liquid separators, wet seal oil degassing vents
  from centrifugal compressors, and rod packing vents from reciprocating
  compressors.
\4\ Hydrocarbon liquids greater than or equal to 20[deg]API are
  considered ``light crude.''
\5\ Hydrocarbon liquids less than 20[deg]API are considered ``heavy
  crude.''

0
7. Revise Table W-2 of subpart W of part 98 to read as follows:

  Table W-2 to Subpart W of Part 98--Default Total Hydrocarbon Emission
               Factors for Onshore Natural Gas Processing
------------------------------------------------------------------------
                                                             Emission
                                                           factor (scf/
          Onshore natural gas processing plants                hour/
                                                            component)
------------------------------------------------------------------------
       Leaker Emission Factors--Compressor Components, Gas Service
------------------------------------------------------------------------
Valve \1\...............................................           14.84
Connector...............................................            5.59
Open-Ended Line.........................................           17.27
Pressure Relief Valve...................................           39.66
Meter...................................................           19.33
------------------------------------------------------------------------
     Leaker Emission Factors--Non-Compressor Components, Gas Service
------------------------------------------------------------------------
Valve \1\...............................................            6.42
Connector...............................................            5.71
Open-Ended Line.........................................           11.27
Pressure Relief Valve...................................            2.01
Meter...................................................            2.93
Pump....................................................             3.4
------------------------------------------------------------------------
\1\ Valves include control valves, block valves and regulator valves.

0
8. Revise Table W-3 of subpart W of part 98 to read as follows:

  Table W-3 to Subpart W of Part 98--Default Total Hydrocarbon Emission
        Factors for Onshore Natural Gas Transmission Compression
------------------------------------------------------------------------
                                                             Emission
                                                           factor (scf/
      Onshore natural gas transmission compression             hour/
                                                            component)
------------------------------------------------------------------------
       Leaker Emission Factors--Compressor Components, Gas Service
------------------------------------------------------------------------
Valve \1\...............................................           14.84
Connector...............................................            5.59
Flange..................................................            5.59
Open-Ended Line.........................................           17.27
Pressure Relief Valve...................................           39.66
Meter or Instrument.....................................           19.33
Other \2\...............................................             4.1
------------------------------------------------------------------------
     Leaker Emission Factors--Non-Compressor Components, Gas Service
------------------------------------------------------------------------
Valve \1\...............................................            6.42
Connector...............................................            5.71
Flange..................................................            5.71
Open-Ended Line.........................................           11.27
Pressure Relief Valve...................................            2.01
Meter or Instrument.....................................            2.93
Other \2\...............................................             4.1
------------------------------------------------------------------------
                Population Emission Factors--Gas Service
------------------------------------------------------------------------
Low Continuous Bleed Pneumatic Device Vents \3\.........            1.37
High Continuous Bleed Pneumatic Device Vents \3\........           18.20
Intermittent Bleed Pneumatic Device Vents \3\...........            2.35
------------------------------------------------------------------------
\1\ Valves include control valves, block valves and regulator valves.
\2\ Other includes any potential equipment leak emission point in gas
  service that is not specifically listed in this table, except it
  excludes thief hatches and all other potential emission points in gas
  service on transmission storage tanks, and it excludes compressor
  emission points that are subject to Sec.   98.233(o) or (p).
\3\ Emission Factor is in units of ``scf/hour/device.''

0
9. Revise Table W-4 of subpart W of part 98 to read as follows:

  Table W-4 to Subpart W of Part 98--Default Total Hydrocarbon Emission
               Factors for Underground Natural Gas Storage
------------------------------------------------------------------------
                                                             Emission
                                                           factor (scf/
             Underground natural gas storage                   hour/
                                                            component)
------------------------------------------------------------------------
          Leaker Emission Factors--Storage Station, Gas Service
------------------------------------------------------------------------
Valve \1\...............................................           14.84
Connector...............................................            5.59
Flange..................................................            5.59
Open-Ended Line.........................................           17.27
Pressure Relief Valve...................................           39.66
Meter and Instrument....................................           19.33
Other \2\...............................................             4.1
------------------------------------------------------------------------
       Population Emission Factors--Storage Wellheads, Gas Service
------------------------------------------------------------------------
Connector...............................................            0.01
Valve...................................................             0.1
Pressure Relief Valve...................................            0.17
Open-Ended Line.........................................            0.03
------------------------------------------------------------------------
         Leaker Emission Factors--Storage Wellheads, Gas Service
------------------------------------------------------------------------
Valve \1\...............................................             4.5
Connector...............................................             1.2
Flange..................................................             3.8
Open-Ended Line.........................................             2.5
Pressure Relief Valve...................................             4.1

Other \2\...............................................             4.1
------------------------------------------------------------------------
       Population Emission Factors--Other Components, Gas Service
------------------------------------------------------------------------
Low Continuous Bleed Pneumatic Device Vents \3\.........            1.37
High Continuous Bleed Pneumatic Device Vents \3\........           18.20
Intermittent Bleed Pneumatic Device Vents \3\...........            2.35
------------------------------------------------------------------------
\1\ Valves include control valves, block valves and regulator valves.
\2\ Other includes any potential equipment leak emission point in gas
  service that is not specifically listed in this table except that it
  does not include compressor emission points that are subject to Sec.
  98.233(o) or (p).
\3\ Emission Factor is in units of ``scf/hour/device.''

0
10. Revise Table W-5 of subpart W of part 98 to read as follows:

 Table W-5 to Subpart W of Part 98--Default Methane Emission Factors for
                   Liquefied Natural Gas (LNG) Storage
------------------------------------------------------------------------
                                                             Emission
                                                           factor (scf/
                       LNG storage                             hour/
                                                            component)
------------------------------------------------------------------------
      Leaker Emission Factors--LNG Storage Components, LNG Service