No. 42109 (Amendment): Rule R307-504. Oil and Gas Industry:Tank Truck Loading

(Amendment)

DAR File No.: 42109
Filed: 09/14/2017 04:58:17 PM

RULE ANALYSIS

Purpose of the rule or reason for the change:

The purpose of this rule amendment is to implement a permit-by-rule system for oil and gas wells. The permit-by-rule system will replace the current minor source permitting system implemented by the Division. This amendment reflects the current Best Available Control Technology (BACT) that is required for gas and oil well facilities that currently apply for a permit to operate. Therefore, to ensure that the permit-by-rule rules are equivalent to current permitting requirements this rule was amended to reflect BACT.

Summary of the rule or change:

The rule requires facilities with emission controls for tank systems to control emissions from truck loading into the tank systems emission controls.

Statutory or constitutional authorization for this rule:

• Subsection 19-2-104(1)(a)

Anticipated cost or savings to:

the state budget:

This rule does not have a cost or savings to the state budget because this rule regulates oil and gas sources.

local governments:

This rule does not have a cost or savings to local governments because this rule regulates oil and gas sources.

small businesses:

This proposed rule will not result in a cost or savings to small businesses in Utah. This rule requires well sites that are subject to the new Rule R307-506 to implement volatile organic compound (VOC) emission controls for the loading of liquids containing VOCs at well sites. The rule generally applies to well sites that need to have a permit. A permit would require the same VOC emission controls that are contained in these proposed amendments. Therefore, there is no additional cost for small businesses as a result of these amendments. (EDITOR'S NOTE: The proposed new Rule R307-506 is under Filing No. 42111 in this issue, October 1, 2017, of the Bulletin.)

persons other than small businesses, businesses, or local governmental entities:

No--This rule does not have a cost or savings to "other persons" because the rule impacts owners or operators of oil and gas wells. The owners and operators of these wells are all businesses.

Compliance costs for affected persons:

No additional compliance costs are anticipated. This rule requires well sites that are subject to the new Rule R307-506 to implement volatile organic compound (VOC) emission controls for the loading of liquids containing VOCs at well sites. The rule generally applies to well sites that need to have a permit. A permit would require the same VOC emission controls that are contained in these proposed amendments. Therefore, there is no additional cost for affected persons as a result of these amendments.

Comments by the department head on the fiscal impact the rule may have on businesses:

After conducting a thorough analysis, it was determined that these proposed changes will not result in a fiscal impact to businesses in Utah. This rule requires well sites that are subject to the new Rule R307-506 to implement volatile organic compound (VOC) emission controls for the loading of liquids containing VOCs at well sites. The rule generally applies to well sites that need to have a permit. A permit would require the same VOC emission controls that are contained in these proposed amendments. Therefore, there is no additional cost for businesses as a result of these amendments.

Alan Matheson, Executive Director

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Environmental Quality
Air QualityRoom Fourth Floor
195 N 1950 W
SALT LAKE CITY, UT 84116-3085

Direct questions regarding this rule to:

• Mat Carlile at the above address, by phone at 801-536-4116, by FAX at 801-536-4136, or by Internet E-mail at [e-mail]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

11/15/2017

Interested persons may attend a public hearing regarding this rule:

• 10/25/2017 01:00 PM, TriCounty Health, 133 S 500 E, Vernal UT
• 10/19/2017 01:00 PM, Department of Environmental Quality, 195 N 1950 W, Board Room 1015, Salt Lake City, UT

This rule may become effective on:

01/04/2018

Authorized by:

Bryce Bird, Director

RULE TEXT

R307. Environmental Quality, Air Quality.

R307-504. Oil and Gas Industry: Tank Truck Loading.

R307-504-1. Purpose.

R307-504 establishes control requirements for the loading of liquids containing volatile organic compounds (VOCs) at oil or gas well sites.

 

R307-504-2. Definitions.

[(1) ]The definitions in 40 CFR 60, Subpart OOOO Standards of Performance for Crude Oil and Natural Gas Production, Transmission and Distribution that [is]are incorporated by reference in R307-210 apply to R307-504.

[(2) ]"Bottom Filling" means the filling of a tank through an inlet at or near the bottom of the tank designed to have the opening covered by the liquid after the pipe normally used to withdraw liquid can no longer withdraw any liquid.

[(3) ]"Submerged Fill Pipe" means any fill pipe with a discharge opening which is entirely submerged when the liquid level is six inches above the bottom of the tank and the pipe normally used to withdraw liquid from the tank can no longer withdraw any liquid.

"Vapor Capture Line" means a connection hose, fitted with a valve that can be connected to tanker trucks during truck loading operations, used to collect VOC emissions from truck loading operations. The other end of the vapor capture line is connected to an existing tank battery or enclosed vapor combustor for the destruction of VOC emissions.

[(4) ]"Well production facility" means all equipment at a single stationary source directly associated with one or more oil wells or gas wells.

 

R307-504-3. Applicability.

(1) R307-504-4(1) applies to any person who loads or permits the loading of any intermediate hydrocarbon liquid or produced water at a well production facility after January 1, 2015.

(2) R307-504-4(2) applies to owners and operators that are required to control emissions from storage vessels in accordance with R307-506.

 

R307-504-4. Tank Truck Loading Requirements.

(1) Tank trucks used for intermediate hydrocarbon liquid or produced water shall be loaded using bottom filling or a submerged fill pipe.

(2) VOC emissions during truck loading operations shall be controlled at all times using a vapor capture line. The vapor capture line shall achieve no less than 70% capture efficiency and 98% destruction efficiency (95% efficiency from VOC control device and 3% from auto ignitor requirements of R307-503) resulting in an overall control efficiency of no less than 68.6%. An equivalent control technology can be utilized if approved by the director and capable of meeting or exceeding a 68.6% overall control efficiency.

 

KEY: air pollution, oil, gas

Date of Enactment or Last Substantive Amendment: [October 7, 2014]2017

Authorizing, and Implemented or Interpreted Law: 19-2-104(1)(a)

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