EPA Announces $1.3 Million Settlement for Permian Basin Company

 USEPA News Release:

DALLAS, TEXAS (July 13th, 2023) – The U.S. Environmental Protection Agency issued a Consent Agreement and Final Order (CAFO) to Callon Permian LLC for emissions from tanks, flares, and other equipment that EPA identified using a helicopter equipped with a special infrared camera that detects hydrocarbon leaks. Callon LLC will perform corrective actions at thirteen of the company’s oil and gas facilities in the West Texas Permian Basin, resulting in an estimated reduction of over 1.2 million pounds of volatile organic compound (VOCs) emissions. VOCs contribute to the formation of ozone (smog), which can result in health problems such as asthma, lung infections, bronchitis and cancer. There also are climate change co-benefits achieved through this settlement in the form of an estimated reduction of over 4.6 million pounds of methane emissions. Methane is a potent climate pollutant that also impacts human health. 

“This settlement will help protect residents of the Permian Basin from hazardous emissions and sends a strong message to facilities in the area that violate the health standards outlined in the Clean Air Act,” said Regional Administrator Dr. Earthea Nance. “By using state-of-the art technology and helicopter surveillance, we are able to detect these hazardous emissions over a large geographic area. EPA will continue to deliver cleaner air for communities by holding companies accountable through enforcement and compliance.” 

The company failed to comply with requirements for flares, tanks, and combustors as well as general requirements of the federally approved Texas State Implementation Plan (SIP).

The CAFO requires several actions from Callon Permian LLC, including site-specific corrective actions, inspections, equipment upgrades, and permitting and operations reviews. The settlement also requires the company to conduct optical gas imaging surveys at each of their facilities, tank pressure monitoring, and combustion control device monitoring to ensure future compliance. Lastly, Callon Permian LLC must pay a $1,285,000 penalty to resolve the alleged violations.

Connect with the Environmental Protection Agency Region 6 on Facebook, Twitter, or visit our homepage.

 From EPA Press Office:

EPA Regional Administrator Adam Ortiz Statement on Bay Settlement

PHILADELPHIA, (July 12, 2023) – In a court filing today, EPA and plaintiffs asked for dismissal of a 2020 lawsuit in which plaintiffs claim EPA violated the Clean Water Act by failing to hold Pennsylvania accountable for not meeting commitments to reduce pollution to the Chesapeake Bay.

On July 10, all the parties executed the final settlement agreement resolving all claims brought by the plaintiffs. 

The plaintiffs include five governmental parties (Delaware, D.C., Maryland, Virginia, and Anne Arundel Co., MD), two citizens groups (Chesapeake Bay Foundation and Maryland Watermen’s Association), and two individual plaintiffs who own livestock in Virginia (Robert Whitescarver and Jeanne Hoffman).

EPA Regional Administrator Adam Ortiz has issued this statement:

“This settlement closes a chapter of division and allows EPA, the Chesapeake Bay Foundation and other parties involved to continue giving our full attention to the work needed to accelerate restoration of the Chesapeake Bay and its vast watershed.  We’re all in this together and, thanks to the Biden Administration, will seize the momentum we have with unprecedented funding going to Pennsylvania and other Bay states and building on the strong partnership we now have with Pennsylvania’s agricultural leaders and farming community.   The opportunities in front of us set the Chesapeake Bay Program partnership up for success as we emerge stronger in this next chapter.”

For further information: r3press@epa.gov

 EPA Press Office:

Biden-Harris Administration Proposes to Strengthen Lead Paint Standards to Protect Against Childhood Lead Exposure

WASHINGTON (July 12, 2023) — Today, the U.S. Environmental Protection Agency (EPA) announced a proposal to strengthen requirements for the removal of lead-based paint hazards in pre-1978 buildings and child care facilities, known as abatement activities, to better protect children and communities from the harmful effects of exposure to dust generated from lead paint, advancing President Biden’s whole-of-government approach to protecting families and children from lead exposure. If finalized, this rule is estimated to reduce the lead exposures of approximately 250,000 to 500,000 children under age six per year.

 

Aligning with the Federal Action Plan on reducing lead exposure to children, these stronger standards would go further to protect children from the dangers of lead exposure, in support of the Biden-Harris Administration’s historic investment to reduce lead exposure and EPA’s strategy to address the significant disparities in lead exposure along racial, ethnic and socioeconomic lines.

 

EPA Deputy Administrator Janet McCabe, EPA Assistant Administrator for Chemical Safety and Pollution Prevention Michal Freedhoff and EPA Region 2 Administrator Lisa Garcia announced the proposal alongside elected officials and community leaders in Newark, New Jersey, one of the nation’s leading cities in reducing lead exposure.

 

“The Biden-Harris Administration is taking a whole-of-government approach to ensuring that the most vulnerable among us — our children — are protected from exposure to lead,” said EPA Deputy Administrator Janet McCabe. “This proposal to safely remove lead paint along with our other efforts to deliver clean drinking water and replace lead pipes will go a long way toward protecting the health of our next generation of leaders. I am proud to stand alongside the City of Newark, New Jersey, and all our partners across the United States in our critical efforts to reduce childhood lead exposures.”

 

“There is no safe level of lead. Even low levels are detrimental to children’s health, and this proposal would bring us closer to eradicating lead-based paint hazards from homes and child care facilities across the U.S once and for all,” said Assistant Administrator for the Office of Chemical Safety and Pollution Prevention Michal Freedhoff.

 

“The City of Newark is honored to be selected by the EPA as the location for their important announcement of these new actions to protect Americans everywhere – and especially children – from the dangers of lead in paint,” said Newark Mayor Ras J. Baraka. “We moved mountains in Newark to remove lead from every water line throughout the city because we value the health and wellbeing of every resident and understand that no amount of lead exposure is acceptable. We are grateful to the EPA and the Biden Administration for strengthening regulations for lead removal we’re committed to supporting their efforts.”

 

If finalized, the proposed rule would strengthen EPA’s regulations under section 402 of the Toxic Substances Control Act (TSCA) by revising the dust-lead hazard standards (DLHS), which identify hazardous lead in dust on floors and window sills, and the dust-lead clearance levels (DLCL), the amount of lead that can remain in dust on floors, window sills and window troughs after lead removal activities.

 

Today’s proposal would reduce the DLHS from 10 micrograms per square foot (µg/ft²) for floors and 100 µg/ft² for window sills to any reportable level greater than zero in recognition of the fact that there is no level of lead in dust that has been found to be safe for children. Today’s proposal would lower the DLCL from 10 µg/ft² to 3 µg/ft² for floors, from 100 µg/ft² to 20 µg/ft² for window sills, and from 400 µg/ft² to 25 µg/ft² for window troughs, which are the lowest post-abatement dust-lead levels that the Agency believes can be reliably and effectively achieved.

 

Property owners, lead-based paint professionals and government agencies use the DLHS to identify dust-lead hazards in residential and childcare facilities built before 1978. If a lead-based paint activity such as abatement is performed, EPA's Lead-Based Paint Activities Program requires individuals and firms performing the abatement to be certified and follow specific work practices. Following such an abatement, testing is then required to ensure dust lead levels are below the DLCL before an abatement can be considered complete.

 

Historically, EPA’s DLHS and DLCL have been set at the same levels. This action proposes to decouple the DLHS and the DLCL, which were last updated in 2019 and 2021, respectively. This is being done in accordance with a May 2021 Ninth Circuit Court of Appeals opinion, which explains that DLHS must be based solely on health factors, while the DLCL must consider the additional factors of safety, effectiveness and reliability. Today’s proposal aligns the DLHS and DLCL with the best available science, further strengthening EPA’s efforts to protect children from lead hazards.

 

Although the federal government banned lead-based paint for residential use in 1978, it is estimated that 31 million pre-1978 houses still contain lead-based paint, and 3.8 million of them have one or more children under the age of 6 living there, creating health and developmental risks for children. Lead-contaminated dust is one of the most common causes of elevated blood lead levels in children. Lead dust commonly occurs when lead-based paint deteriorates or is disturbed. Due to normal behaviors such as crawling and hand-to-mouth activities, young children are at particularly at risk of higher exposure to ingesting lead-containing dust. Lead exposure can pose a significant health and safety threat to children and can cause irreversible and life-long health effects, including behavioral problems, lower IQ, slowed growth and more.

 

Communities of color and those of lower socioeconomic status are often at greater risk of lead exposure because deteriorated lead-based paint is more likely to be found in lower-income areas. Additionally, communities of color can also face greater risk due to the legacy of redlining, historic racial segregation in housing, and reduced access to environmentally safe and affordable housing. Eliminating lead-based paint and the proposal announced today reflect EPA’s commitment to advancing environmental justice.

 

EPA will accept public comments on the proposal for 60 days following publication via docket EPA-HQ-OPPT-2023-0231 at www.regulations.gov.

 

Learn more about EPA’s dust-lead hazard standards and clearance levels.

 

What they are saying about EPA’s proposal

“When children are exposed to lead, their health can be irreversibly affected through impacts to their brain and nervous systems and delays in their growth and development,” said U.S. Senator Robert Menendez. “This is why I have fought tirelessly to ensure children across the U.S., and all Americans, are further protected from the dangers of lead exposure, especially those in underserved communities that are more likely to find lead-based paint and dust in their homes and neighborhoods. I applaud the Biden-Harris Administration for strengthening these critical health and safety standards to complement our historic investment of $4 billion to protect children from exposure to lead, and secure a healthier and happier future for them.”

 

“New Jersey families should not have to worry about lead exposure in their homes and childcare facilities harming their children,” said U.S. Senator Cory Booker. Lead exposure is an environmental injustice that threatens the health and development of children, often in low-income, Black and Brown communities like mine in Newark. I am grateful to the EPA for taking important steps to keep our children safe.”

 

“No child in Newark, the Eighth Congressional District, or anywhere in our country should be at risk of lead exposure because of residential and commercial buildings that pre-date modern lead paint regulations,” said U.S. Representative Rob Menendez. “As Newark continues to grow, the EPA’s new lead paint standards will help working families be assured that the homes they live in and the child care facilities they utilize are safe from lead hazards. I applaud the Biden Administration’s commitment to the public health of our communities and our children.”

 

“I am proud to hear the EPA is taking direct action to protect children from dangerous exposure to lead paint,” said U.S. Representative Donald M. Payne, Jr. “Lead exposure is one of the greatest threats to children’s health across the country. I have been a strong advocate for efforts to reduce children’s exposure to lead, especially in drinking water. I introduced the Test for Lead Act to make sure states had a plan to deal with lead contamination in school drinking water to be eligible for federal drinking water funds. These new standards show that the Biden-Harris Administration has stepped up to reduce children’s lead paint exposure, especially in low-income areas. American families should be able to send their children to schools or childcare facilities that are clean and free of lead contamination.”       

 

“Lead-based paint poses the greatest risk of lead exposure, especially in our most vulnerable communities, where lead-based paint is often found in older or deteriorating buildings,” said Sean Moriarty, Deputy Commissioner for the New Jersey Department of Environmental Protection. “The NJDEP commends and supports the USEPA for this proposal, which in addition to the federal and state investment in Lead Service Line replacement, will go a long way toward protecting the health and safety of New Jersey’s residents.”

 

“There is no level of blood lead that is safe for children.  Lead exposure disproportionately affects young children, causing serious medical and behavioral issues into adulthood. We know that low-income communities and communities of color are most at risk from lead exposure due to systemic inequities,” said Debbie Mans, co-chair, Steering Committee, Lead-Free NJ. “We applaud the USEPA for taking this important step in reducing lead exposure in homes across New Jersey, bringing us closer to ensuring our children are free from lead poisoning.”

 

Upcoming Lead-Based Paint Virtual Workshop

EPA and U.S. Department of Housing and Urban Development (HUD) are also planning a virtual public workshop for October to hear stakeholder perspectives on specific topics related to low levels of lead in existing paint, including the potential health effects, the relationship between lead-based paint and dust-lead, possible exposure pathways, and technologies for detection, measurement, and characterization of low levels of lead in paint. EPA and HUD are also interested in any available information on lead-based paint characteristics and medical evidence related to low levels of lead in paint. EPA and HUD will use information shared during the workshop to inform their joint effort to revisit the federal definition of lead-based paint and revise it, if necessary.

 

Additional information on the Lead-Based Paint Virtual Workshop

 EPA Press Office:

United States Announces Settlement with J.R. Simplot to Improve Hazardous Waste Management and Reduce Emissions at Idaho Facility

Fertilizer Manufacturer Will Spend Nearly $150 Million To Reduce Environmental Impacts From Operations and Pay $1.5 Million Civil Penalty

WASHINGTON (July 11, 2023) – The U.S. Environmental Protection Agency and the U.S. Department of Justice today announced a settlement with J.R. Simplot Company involving Simplot’s Don Plant manufacturing facility located near Pocatello, Idaho.

 

The settlement resolves allegations primarily under the Resource Conservation and Recovery Act (RCRA) at the facility, including that Simplot failed to properly identify and manage certain waste streams as hazardous wastes. The settlement requires Simplot to implement process modifications designed to enable greater recovery and reuse of phosphate, a valuable resource. The settlement also requires Simplot to ensure that financial resources will be available when the time comes for environmentally sound closure of the facility. Simplot will also pay a civil penalty of $1.5 million.

 

“This is an important settlement which reduces the environmental impacts from one of the leading fertilizer manufacturers,” said Acting Assistant Administrator Larry Starfield of the EPA Office of Enforcement and Compliance Assurance. “This settlement advances EPA’s goals by creating environmentally beneficial waste management practices and ensures that the U.S. taxpayer will not be responsible for future costs associated with closure of this facility. Additionally, this settlement ensures that any future expansion of Simplot’s operations will be conducted according to strict requirements to minimize impacts to surrounding communities, including the Fort Hall Indian Reservation.” 

 

“After our 2020 settlement with Simplot’s phosphoric acid and fertilizer plant in Wyoming, we are pleased to reach this settlement with Simplot’s other major phosphoric acid and fertilizer operation at the Don Plant in Pocatello, Idaho,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “This proposed consent decree will comprehensively address the waste management, air emissions and reporting issues EPA identified with respect to the Don Plant’s operations.”

 

“This settlement will bring important benefits to Idaho and the communities that have been affected by the Don Plant’s operations,” said Josh Hurwit, U.S. Attorney for the District of Idaho. “We are grateful that our state partner, the Idaho Department of Environmental Quality, helped formulate and will oversee work that Simplot will fund to mitigate the impacts of its phosphate operations on water quality and the environment along the Portneuf River, working in cooperation with both the Shoshone-Bannock Tribes and the City of Pocatello.”

 

Simplot’s Don Plant facility manufactures phosphate products for agriculture and industry, including phosphoric acid and phosphate fertilizer, through processes that generate large quantities of acidic wastewater and a solid material called phosphogypsum. The phosphogypsum is deposited in a large pile known as a gypstack, and acidic wastewater is discharged to the gypstack. The gypstack, which has a capacity to hold several billion gallons of acidic wastewater, was fully lined in 2017 in accordance with a previous consent orders Simplot entered into with the State of Idaho and the United States.

 

The settlement also resolves alleged violations of the Clean Air Act (CAA) that relate to fluoride emissions from the facility, and of the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) and the Emergency Planning and Community Right-to-Know Act (EPCRA) that relate to reporting and notification requirements for hazardous substances and toxic chemicals.

 

Under the settlement, Simplot agrees to implement specific waste management measures it has valued at nearly $150 million. Significantly, these measures include extensive new efforts to recover and reuse the phosphate content within these wastes and avoid their disposal in the gypstack. Simplot will implement requirements that ensure gypstack stability and containment that will protect the environment even should climate change result in more severe weather events. The settlement also includes a detailed plan setting the terms for the future closure and long-term care of the gypstack. The settlement requires Simplot to immediately secure and maintain approximately $108 million in dedicated financing to ensure that funding will be available when the facility is eventually closed.

 

Simplot also agrees to cease operation of the facility’s cooling towers no later than June 27, 2026, and replace them with one or more newly constructed cooling ponds, which will significantly reduce fluoride emissions to the air. Additionally, Simplot agrees to submit revised Toxic Release Inventory forms for the years 2004-2013 that include estimates of certain metal compounds manufactured, processed or otherwise used at the facility.

 

In addition to paying the $1.5 million civil penalty, Simplot is providing $200,000 in funding for environmental mitigation work that will be administered by the Idaho Department of Environmental Quality in conjunction with the City of Pocatello and the Shoshone-Bannock Tribes. The mitigation work will address habitat degradation on the Portneuf River that has resulted in part from excess phosphorus releases, especially from the facility’s formerly unlined gypstack.

 

EPA previously required through judicial and administrative settlements at 14 phosphate fertilizer facilities across the U.S. extensive injunctive relief, requiring the companies to establish financial assurance and bring their operations into compliance with RCRA.

 

A consent decree formalizing the settlement was lodged today in the U.S. District Court for Idaho and is subject to a 30-day public comment period and approval by the federal court. Read the consent decree on the Department of Justice website.

 EPA Press Release:

EPA and HUD Seeking Presenters for Virtual Workshop on Revisiting Definition of Lead-Based Paint

WASHINGTON (July 11, 2023) — On October 17 and 18, 2023, the U.S. Environmental Protection Agency (EPA) and the U.S. Department of Housing and Urban Development (HUD) will hold a virtual public workshop to receive stakeholder input on the detection, measurement and characterization of lead-based paint to support efforts to reduce lead exposure. EPA and HUD will use information received during the workshop to inform their joint effort to revisit the federal definition of lead-based paint and propose and finalize a revised definition, if necessary.

 

The workshop will cover several topics related to low levels of lead in existing paint, including the potential health effects, the relationship between lead-based paint and dust-lead, possible exposure pathways (e.g., renovation and maintenance, deteriorating paint and direct ingestion), and emerging detection and measurement technologies used to quantify lead in paint. Additionally, EPA and HUD also seek any available new information on lead-based paint characteristics and medical evidence related to low levels of lead in paint to help with EPA and HUD’s reevaluation of the definition of lead-based paint. The information shared will increase awareness of exposure pathways that must be considered, inform models that examine the exposure to lead at various concentrations and provide greater context for the impacts a lower definition may have.

 

“Too many children are still at risk of lead exposure, particularly in underserved communities,” said EPA Office of Chemical Safety and Pollution Prevention Assistant Administrator Michal Freedhoff. “As EPA and HUD work together to reduce childhood lead exposure, we need to follow the science to ensure our definition of lead-based paint works to protect our communities and children.” 

 

“With children spending so much of their time at home, a significant part of achieving environmental justice for American families is ensuring that the housing they live in is healthy and safe,” said Matthew Ammon, Director, HUD Office of Lead Hazard Control and Healthy Homes. “Determining whether to revise the definition of residential lead-based paint is a critical part of achieving HUD’s lead safety goals.”

 

EPA and HUD define lead-based paint as paint with lead levels greater than or equal to one milligram per square centimeter (mg/cm²), or more than 0.5% by weight. Although lead-based paint was banned for residential use in 1978, many homes built before 1978 still contain lead-based paint, the most significant source of childhood lead exposure. EPA and HUD have prioritized addressing the dangers of childhood lead exposure through EPA’s 2022 Lead Strategy and HUD’s 2022-2026 Strategic Plan Focus Areas, both of which commit to reducing exposure to lead in homes with lead-based paint. EPA enforces the definition through its Lead Renovation, Repair and Painting (RRP) program and Lead-Based Paint Activities (LBPA) program and HUD through its Lead-Safe Housing Rule (LSHR).

 

Register to present or attend

EPA and HUD are seeking presenters with specific expertise for this workshop, as noted above. Please review the abstract submission guidelines, which include potential presentation topics, before applying. Abstracts for 15 to 20-minute presentations will be accepted until August 4. To apply to present at the workshop, please email EPA-workshops@icf.com.

 

EPA and HUD encourage their state, local and Tribal regulatory partners; LBPA, RRP and LSHR experts and professionals; paint manufacturers; lead detection and measurement technology developers and manufacturers; lead test kit developers and users; environmental and community organizations; property owners and managers; real estate agents; testing firms and laboratories; academic institutions; and members of the public to attend the workshop. Attendees will have an opportunity to submit questions for the presenters and panelists. EPA will accept attendance registrations until September 29.

 

Visit EPA’s 2023 Lead-Based Paint Technical Workshop page for more information, including abstract submission guidelines and instructions for registering to attend the workshop.

 EPA Press Office:

Join EPA in Rochester to Share Your Views on Great Lakes Restoration and Protection

Contact: Michael Basile, basile.michael@epa.gov (646)369-0055

NEW YORK (July 11, 2023) - The U.S. Environmental Protection Agency (EPA) invites you to join a public session on the Great Lakes Restoration Initiative (GLRI) and protection priorities at the Rochester Museum and Science Center on Wednesday July 19, 2023, from 6:00 p.m. to 8:00 p.m.

“The Great Lakes are a national treasure and a vital source of drinking water, recreation, and economic opportunity for millions of people,” said Regional Administrator Lisa F. Garcia. “Our team wants to hear from you on how we can work together to protect and restore this precious resource for current and future generations. Your input will help shape our work in the Great Lakes.”

The GLRI is the largest investment in the Great Lakes in two decades. It is a collaborative effort of 16 federal agencies, including EPA, to address the most significant environmental concerns in the Great Lakes ecosystem and to accelerate progress toward long-term goals.

EPA and its partners are developing an updated action plan for the GLRI, covering 2025-2029.

The action plan will guide restoration and protection activities for the next five years. As part of this process, EPA and its partners want to hear from you on:

• How to improve the action plan over previous versions
• What key priorities to include in the action plan
• How to better incorporate environmental justice and the impacts of climate change in the action plan

At the public session, you will have an opportunity to:

• Learn about the GLRI and its achievements
• Interact directly with EPA staff and ask questions
• Provide your comments and feedback

For more information on the GLRI, please visit the program’s website.

To learn more about the development of the GLRI Action Plan, please visit here.

For more information about this session please reach out to Michael Basile, EPA Public Affairs at (646)369-0055 or basile.michael@epa.gov.

Follow EPA Region 2 on Twitter and visit our Facebook page. For more information about EPA Region 2, visit our website.

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 EPA Press Office:

Biden-Harris Administration Takes Latest Step in National Phasedown of Climate-damaging Hydrofluorocarbons

Final rule will implement 40% reduction starting in 2024 while advancing U.S. manufacturing and innovation

WASHINGTON (July 11, 2023) – Today, the U.S. Environmental Protection Agency (EPA) announced the latest action to phase down the use of climate super-pollutant hydrofluorocarbons (HFCs), issuing a final rule to implement a 40% reduction below historic levels from 2024 through 2028. The rule aligns with the bipartisan American Innovation and Manufacturing (AIM) Act’s goals to reduce the production and consumption of these climate-damaging chemicals by 85% by 2036 and help avoid up to 0.5 °C of global warming by 2100.

 

The final rule builds on the success of the 10% phasedown step implemented for 2022 and 2023, by establishing a similar allowance methodology to provide regulatory certainty to industry and stakeholders, ensuring the most efficient implementation under the ongoing phasedown. 

 

“This rulemaking is a critical next step in the Biden-Harris Administration’s ambitious plans to phase down climate super-pollutants and ensure the United States leads the way as countries around the world implement the Kigali Amendment,” said Joe Goffman, Principal Deputy Assistant Administrator of EPA’s Office of Air and Radiation. “The U.S. HFC phasedown program, bolstered by domestic innovation to develop alternative chemicals and equipment, is paving the way for the United States to tackle climate change and strengthen global competitiveness.”

 

“President Biden has brought together a broad coalition of American manufacturers to work on next-generation technologies across refrigeration, HVAC systems, and more – helping us cool without contributing more to global warming,” said Ali Zaidi, White House National Climate Advisor. “With today’s final rule, this Administration is continuing to deliver win-wins for climate action and U.S. manufacturing competitiveness while ensuring that American workers reap the benefits of a growing global market for HFC alternatives.”

 

“As an original co-author of the bipartisan AIM Act, I applaud this action by EPA, which moves us closer to our goal of an 85 percent reduction in HFCs by 2036,” said U.S. Senator Tom Carper (Del.), Chairman of the Senate Environment and Public Works Committee. “By phasing down the use of these super pollutants, we can both address climate change and support domestic manufacturing — a win-win. I commend the Biden-Harris Administration for their work to ensure that our nation remains a global leader in the fight against climate change and production of the next generation of refrigerants.”

 

“Phasing down hydrofluorocarbons is a critical component of our national climate action strategy,” Congressman Paul Tonko said. “That’s why I was proud to help lead the bipartisan AIM Act to seize this powerful opportunity to spur economic growth, protect consumers, and address these climate super pollutants. I applaud the Biden Administration’s latest action to keep this program on track by providing HFC producers and users the certainty they need to navigate this next stage of the phasedown. And I encourage additional steps under the law to further position U.S. manufacturers as the worldwide leaders in the clean energy economy of the future.”

 

“The Alliance appreciates the prompt and timely completion of the HFC allowance rule for the 2024 through 2028 period,” said Kevin Fay, Executive Director of the Alliance for Responsible Atmospheric Policy, “as this allows continued US leadership in the efficient global phasedown of HFCs, and smooths the transition to low-global warming potential chemicals and user technologies here and around the globe. The industry is appreciative of the attention and support provided by the EPA and the Biden Administration in this cooperative effort.”

 

“This latest allocation rule is a critical step in the implementation of the AIM Act schedule for phasing down hydrofluorocarbon refrigerants,” said AHRI President & CEO Stephen Yurek. “Our industry appreciates the work of the EPA and the timely issuance of this rule, as we prepare for the next HFC reduction step-down next January.”

 

“This demonstrates EPA’s commitment to stay on track to deliver on the Kigali Amendment goals and protect our planet from destructive superpollutants,” said Avipsa Mahapatra, Climate Campaign Lead at the Environmental Investigation Agency. “The U.S. is demonstrating leadership not just at home but also in international discussions at the Montreal Protocol to prevent illegal trade and unnecessary emissions, through robust implementation and enforcement of the HFC phasedown.”

 

The United States began this historic phasedown on January 1, 2022, with a reduction of HFC production and imports to 10% below historic baseline levels. Since then, allowances are needed to import and produce HFCs. Starting in 2024 the phasedown will be 40% below historic levels, a significant decrease in the number of available production and consumption allowances compared to previous years. HFC allowances for calendar year 2024 will be allocated by September 29, 2023. The phasedown schedule under this program is consistent with the schedule laid out in the Kigali Amendment to the Montreal Protocol, which the United States ratified in October 2022.

 

In addition to setting up an allowance allocation program, the HFC Phasedown Program has established robust enforcement mechanisms to ensure a level playing field for U.S. companies complying with the phasedown requirements. Since January 2022, the Interagency Task Force on Illegal HFC Trade, co-led by EPA and the Department of Homeland Security, has prevented illegal HFC shipments equivalent to more than 1 million metric tons of carbon dioxide (CO₂) at the border, which is equivalent to the CO₂ emissions from over 206,000 homes’ electricity use for one year.

 

EPA also applies administrative consequences, such as revocation and retirement of allowances, for noncompliance that can be in addition to any civil or criminal enforcement action. EPA has finalized administrative consequences retiring more than 6.5 million metric tons of carbon dioxide equivalent (CO₂e) for calendar years 2022 and 2023 for companies that misreported data or imported HFCs without the requisite number of allowances.

 

EPA is planning two additional regulatory actions under the AIM Act in 2023. The first is a final rule placing restrictions on the use of HFCs in certain sectors to facilitate sector-based transitions to alternative chemicals, and the second is a proposed rule establishing certain requirements for the management of HFCs and HFC substitutes in equipment, such as air conditioners.

 

HFCs are a class of potent greenhouse gases commonly used in refrigeration and air conditioning, aerosols, and foam products. Their climate impact can be hundreds to thousands of times stronger than the same amount of carbon dioxide. 

 

Learn more about HFCs.