Mobile Source Committee Update

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OTC/MANE VU Fall Meeting November 15th, 2012 Washington, DC OZONE TRANSPORT COMMISSION Mobile Source Committee Update 1

Overview 1. Mobile Sources Cause 40-60% of the Ozone in the Eastern US 2. State Authority: Focus on In-Use Fleet 3. Low Sulfur Gasoline 4. Committee Work 1. Success Stories 2. Aftermarket Catalytic Converters 3. Diesel Inspections and Maintenance 5. Federal Measures 2

USEPA Analysis: Approach 2011 USEPA Analysis Used the CAMx Model Modeling projected from a 2002 base to 2016 Includes benefits from the proposed transport rule Contributions were calculated for monitors > 70 ppb Caveats: Modeling does not reflect latest base year and projected emissions inventories Conclusion Modeling is dated, but informative 3

2011 USEPA Analysis: Percent Contribution Based on US Emissions 19% CHI CLE DET STL Mobile is Important in All Regions! 24% 9% 20% NE Corridor 28% Onroad Nonroad Point Area Can/Mex 1% 8% 20% 19% 5% 0% 8% 14% ATL 5% 2% 10% 16% 45% 19% Fire/Biogenics Boundary Cond. 14% 14% 4

What Can OTC States Do? EPA CA OTC States New Onroad Vehicle Standards CALEV and ZEV Fuels for Onroad vehicles Limited In Use Onroad Vehicles I/M Aftermarket Parts Idling Fleet Turnover VMT 5

What Can OTC States Do? EPA CA OTC States New Nonroad Equipment / Engine Standards Adopt the CA Program e.g. Spark Ignition Engines >= 50 hp Fuels for Nonroad Use Limited In Use Nonroad Equipment / Engines I/M Idling Fleet Turnover Repowering 6

Lower Sulfur Gasoline Lowering sulfur in gasoline allows pollution controls on cars and trucks to operate more effectively Will significantly reduce NO X and other emissions from all gasoline-powered vehicles by limiting NO X creep associated with sulfur buildups in catalyst Emission reductions from the in-use fleet would be achieved concurrent with the introduction of the cleaner fuel, without the need for fleet turnover Cost effective way to achieve large reductions inside and outside of the OTR 7 7

Success Stories Goal: A source for OTC states of successful projects to reduce emissions from mobile sources Though PM focused, many projects provide NO X benefits Projects with biggest NO X benefits: Tugboat repowering Locomotive repowering and Idling reduction Vehicle Idling Funding Sources: DERA (Diesel Emissions Reduction Act) ARRA (American Recovery & Reinvestment Act) Voluntary or Required Actions General Conformity VALE (Voluntary Airport Low Emissions) Port Plan 8

Aftermarket Catalyst Recommendation EPA s policy was set in 1986 and has not been updated to reflect improvements in technologies & emission standards OTC submitted a finalized recommendation for an updated catalyst program to EPA in April, 2011 9

Aftermarket Catalyst White Paper Goal: To improve the emission benefit analysis of the catalyst program in the OTR. Process: I/M program data from 6 OTR States Developed model to estimate for entire OTR Used test data from MECA to estimate emission benefits Calculated Emission Reductions: NO X NMHC CO Annual (tpy) 10,000 2,000 27,000 Daily (tpd) 30 6 74 10

Diesel I/M Lead: NESCAUM Heavy Duty Workgroup Goal: Proposal to USEPA for SIP Credit for I/M Programs Results in Emission Reductions of: Oxides of Nitrogen (NO X ) Fine Particulate Matter (PM 2.5 ) Methodology: MOVES includes deterioration Deterioration mitigated through maintenance and deterrence through I/M Translates to emissions benefits Activities: Gathered & analyzed studies that quantify effect of repairs Developed white paper Working with OTAQ Determining if additional data is needed 11

Status of OTC Federal Measure Asks OTC Request Action Status Mar 2009 June 2009 Nov 2009 Ships - Emission Control Area Catalyst Replacements (April 2011 OTC Program Design Recommendation) Onroad Mobile Gasoline and Diesel Sources (November 2010 Statement on Tier 3) Locomotive Engines Marine Engines ½ ½

Status of Federal Measure Commitments Date Action Status Dec 2010 2011 2012 2014 RFS2 Anti-Backsliding E15 Partial Waiver Decision MY 2001-2006 Motor Vehicles Heavy Duty Truck Greenhouse Gas Standards Clean Vehicles 75 ppb Ozone NAAQS Regulatory Impact Analysis

Emission Control Areas (ECA) USEPA & International Maritime Organization (IMO) Action NO X and SO 2 requirements on ship near shore 2015: 1000 ppm Maximum Sulfur Fuel 2016: New Engine Standards Tier 3 (80% reduction) 2010: Existing Engines 15-20% NO X reductions Cruise line industry is seeking exemption to the ECA regulation 14

Improvement in Summertime Average 8 hour Average Ozone Concentrations in 2020 Resulting from the Proposed Emission Control Area

Emission Control Area Ozone Benefits in 2020

Emission Control Area PM Benefits in 2020 17

Summary Mobile Sources will contribute to a large portion of the air pollution problem in the OTR OTC States are limited by statute as to how they can address mobile source pollutions Several actions have the potential to decrease emissions substantially Low Sulfur Gasoline Aftermarket Catalytic Converter Program Improvements We must push forward to look for reductions through other improved Federal programs 18