Regulation of Fuels and Fuel Additives: Renewable Oxygenate Requirements for Reformulated Gasoline Publication: Federal Register Agency: Environmental Protection Agency Byline: Mary D. Nichols Date: 28 November 1994 Subjects: American Government • The Environment • Petroleum

[Federal Register Volume 59, Number 227 (Monday, November 28, 1994)]
[Unknown Section]
[Page ]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-29152]


[Federal Register: November 28, 1994]


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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 80

[AMS-FRL-5113-5]
RIN 2060-AE60


Regulation of Fuels and Fuel Additives: Renewable Oxygenate 
Requirements for Reformulated Gasoline

AGENCY: Environmental Protection Agency.

ACTION: Notice of judicial stay

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SUMMARY: In the 1990 amendments to the Clean Air Act (the Act), 
Congress required that the Environmental Protection Agency (EPA) 
promulgate regulations requiring the sale of reformulated gasoline 
(RFG) in certain ozone nonattainment areas and restricting the sale of 
non-reformulated, or conventional, gasoline. EPA issued a final rule 
for reformulated and conventional gasoline on December 15, 1993. On 
June 30, 1994, EPA revised these regulations to require that a certain 
minimum amount of the oxygenates used in reformulated gasoline be from 
renewable sources.
    A petition to review the renewable oxygenate requirements was filed 
with the Court of Appeals for the District of Columbia Circuit, and 
petitioners sought a stay of the renewable oxygenate requirements 
pending judicial review. On September 13, 1994, the court granted 
petitioners' request and stayed these requirements pending review.

DATES: Effective September 13, 1994, the amendments to 40 CFR part 80 
published on August 2, 1994 (59 FR 39258) are stayed.

ADDRESSES: Materials relevant to the renewable oxygenate final rule are 
contained in Public Docket A-93-49, located at Room M 1500, Waterside 
Mall (ground floor), U.S. Environmental Protection Agency, 401 M Street 
SW., Washington, DC 20460. Information relevant to this rulemaking may 
also be found in dockets A-91-02 and A-92-12, which are hereby 
incorporated by reference into docket A-93-49 for the purposes of this 
rulemaking. The docket may be inspected from 8 a.m. until 4 p.m. Monday 
through Friday. A reasonable fee may be charged by EPA for copying 
docket materials.

FOR FURTHER INFORMATION CONTACT: Ann Marie Cooney, Office of Mobile 
Sources, Field Operations and Support Division, Code 6406J, U.S.EPA, 
401 M Street, S.W., Washington D.C., 20460, tel. (202) 233-9013.

SUPPLEMENTARY INFORMATION: On June 30, 1994, EPA issued a final rule 
revising the regulations for the reformulated gasoline program.1 
That final rule establishes a performance standard for each refiner and 
importer of reformulated gasoline, requiring that a specified 
percentage of the oxygen content of their reformulated gasoline be from 
renewable oxygenates. The renewable oxygenate requirement is to be 
phased-in such that 15 percent of the oxygen content of the 
reformulated gasoline would have to be from renewable oxygenates in 
1995, increasing to 30 percent in 1996. The requirement was set as an 
annual average requirement, with provisions for credit generation and 
transfer between refiners and importers.
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    \1\59 FR 39258 (August 2, 1994).
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    On July 13, 1994 the American Petroleum Institute (API) and the 
National Petroleum Refiners Association (NPRA) filed a petition for 
review of these requirements in the United States Court of Appeals for 
the District of Columbia, under section 307(b) of the Clean Air Act. 
API and NPRA v. EPA, No. 94-1502. Petitioners subsequently filed a 
motion for a stay pending judicial review, and a motion for summary 
reversal or in the alternative for expedited consideration of the 
petition for review.
    On September 13, 1994 the court granted petitioners' motion for a 
stay pending judicial review. At the same time, the court denied 
petitioners' motion for summary reversal and expedited the schedule for 
judicial review. The court set a briefing schedule requiring completion 
of all briefing by January 12, 1995, and directed that the clerk set 
oral argument on the first available time after that date.
    Given the expedited schedule for judicial review, EPA believes that 
the court might issue a decision as early as the spring of 1995, 
although it could be later. In light of this schedule, and the upcoming 
beginning of the reformulated gasoline program, EPA believes it would 
be useful to provide certain basic information for all interested 
parties.
    First, it is important to note that the judicial stay only affects 
that part of the reformulated gasoline program relating to the required 
use of renewable oxygenates. It does not affect any other aspect of 
either the reformulated gasoline or conventional gasoline programs. The 
reformulated gasoline regulations will go into effect December 1, 1994, 
and the conventional gasoline regulations on January 1, 1995. The 
judicial stay only affects the regulations issued on June 30, 1994--all 
other regulations for reformulated and conventional gasoline will go 
into effect as previously announced.
    Second, if EPA's renewable oxygenate regulations are upheld on 
judicial review, EPA would expect to implement the renewable oxygenate 
program as expeditiously as practical. EPA would try to implement the 
program in a way that maximizes its benefits, taking into consideration 
various factors such as the benefits that would have been achieved 
absent a stay, the amount of renewable oxygenates voluntarily used in 
reformulated gasoline during the pendency of the stay, and other issues 
relevant to implementation of the program.
    EPA cannot, at this time, decide exactly how it will implement the 
renewable oxygenate program if it prevails on judicial review. The 
limits on EPA's discretion and the implementation options reasonably 
available will depend in large part on the facts and circumstances then 
in existence, as well as the timing and actual terms of the court's 
decision, to the extent it addresses implementation issues. However, to 
the extent feasible, EPA will at that time evaluate various options and 
will seriously consider providing credits to refiners and importers who 
voluntarily use renewable oxygenates during the term of the judicial 
stay.

    Dated: November 14, 1994.
Mary D. Nichols,
Assistant Administrator for Air and Radiation.
[FR Doc. 94-29152 Filed 11-25-94; 8:45 am]
BILLING CODE 6560-50-P