The US Environmental Protection Agency wants to finalize a low-sulfur nonroad diesel rule by summer. That means industry and other interested parties, including heavy-duty diesel engine makers, environmentalists, state air regulators, and public interest groups are scurrying to have their voices heard one last time on the issue at EPA and the White House.
Having their say
A dozen organizations representing environmentalists, public interest groups, and state air regulators wrote EPA Administrator Mike Leavitt Dec. 22. They wanted to meet "as soon as possible to share our thoughts and suggest ways to improve the proposal's public health and environmental benefits."
The groups generally supported EPA's April 2003 proposal issued under prior administrator Christine Todd Whitman. The pending rule requires most fuel suppliers to sell a 500 ppm sulfur product in mid-2007, followed by a 15 ppm standard in 2010 (OGJ, Mar. 24, 2003, p. 34).
EPA initially favored a tougher rule that required all nonroad diesel fuels to meet a 15 ppm sulfur limit by mid-2008, but the agency later reversed its ruling after refiners met with the White House's Office of Management and Budget.
The resulting proposal gave refiners the flexibility they were seeking, but EPA must take steps to ensure industry does not backslide on promised clean air targets, environmentalists cautioned.
To that end, the groups urged EPA to adopt a final rule that does not delay or weaken a related 2007 highway diesel rule "through the structure of the fuel requirements, emissions trading, or otherwise."
The groups also want EPA to tell refiners to make enough ultralow- sulfur diesel (15 ppm) to supply both the highway diesel program and the nonroad rules.
EPA's final rule also should be fully phased in by yearend 2012 and reduce sulfur levels in locomotive and marine diesel fuel to 15 ppm, consistent with other nonroad diesel fuel, the groups said.
The proposed rule never spelled out what the sulfur content should be for fuels used in boats and trains.
Similarly, EPA should propose tougher emission standards for locomotive and marine diesel engines, the group said.
Industry view
Industry wants to refine the rule, too.
The American Petroleum Institute said it is "hopeful" EPA will follow their suggestion to set a 500 ppm rather than a 15 ppm sulfur level for locomotive and marine diesel fuels. API also wants the agency to enforce the rule through an electronic terminal tracking method rather than the refinery baseline system now in the proposed rule.
Government and stakeholder sources familiar with EPA's thinking predicted EPA will adopt API's proposal to switch monitoring further downstream to the terminal level. But industry is on shakier ground on the locomotive and railroad sulfur levels; the agency is said to be leaning toward a 15 ppm standard.
Analysts say at least three big diesel suppliers—ChevronTexaco Corp., Sunoco Inc., and BP PLC—can already meet that ultralow-sulfur level.