vvEPA
                United States
                Environmental Protection
                Agency
                     Air and Radiation
                     (6205J)
EPA 430-F-93-057
December 1993
Stratospheric  Ozone Protection
Final.  Rule Summary
               THE ACCELERATED PHASEOUT  OF
                OZONE-DEPLETING SUBSTANCES
              Background

In July 1992,  EPA issued  its final rule
implementing section 604 of the Clean Air Act
Amendments of 1990. That section limits the
production  and consumption  of ,a  set  of
chemicals known to deplete the  stratospheric
ozone layer.   EPA controls production  and
consumption by issuing allowances or permits
that  are expended  in  the production  and
importation  of these  chemicals.    These
allowances can be traded.

The July 1992 rule required producers of class
I  substances  (chlorofluorocarbons,  halons,
carbon tetrachloride,,and methyl chloroform) to
gradually reduce  their  production of these
chemicals and to phase them out completely as
of  January  1,  2000  (2002  for  methyl
chloroform).  In addition to these production
limits, the rule required a similar reduction in
consumption, defined as production plus imports
minus exports.

On February 11,   1992, the  United States,
responding  to  recent  scientific,  findings,
announced  that   the   production   of
chlorofluorocarbons  (CFCs), halons, carbon
tetrachloride, and methyl chloroform would be
accelerated and that these substances would be
phased out by December 31, 1995. It was also
                          stated that the  U.S.  would consider  recent
                          evidence suggesting the possible need to phase
                          out methyl bromide.  At the same time, the
                          Agency received petitions from environmental
                          and industry groups to accelerate the phaseout
                          of these chemicals.

                          In addition, the fourth meeting of the Parties to
                          the Montreal Protocol took place in Copenhagen
                          in November 1992.  At this meeting, the Parties
                          made a number of decisions which'are reflected
                          in  this  final  regulation.   This  regulation
                          implements the United States' obligation to the
                          recent agreements made in Copenhagen by the
                          Parties to  the Protocol and implements the
                          accelerated  phaseout   of  ozone-depleting.
                          substances  while responding to  the petitions
                          received by the Agency from environmental and
                          industry groups.

                          The Parties to the Protocol agreed to accelerate
                          the phaseout of CFCs, carbon tetrachloride, and
                          methyl chloroform  to the end of 1995 and
                          halons to the end of 1993.  In  addition, the
                          Parties agreed to add hydrobromofluorocarbons
                          the the class I list and phase them out  by the
                          end  of  1995.   In accordance  with  these
                          agreements, this   regulation  schedules the
                          phaseout of these chemicals by these dates.
  066

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The   recent  United   Nations   Environment
Programme  (UNEP)   Scientific  Assessment
identified methyl bromide, widely used as a soil
fumigant,  as  a  significant  ozone-depleting
compound. The parties set an ozone depletion
potential of 0.7 for this chemical.  Starting in
1994, this  regulation freezes the production and
consumption of this chemical  at 1991 levels
through the year 2000.  The Agency is obligated
under the Clean Air Act to phase this  chemical
out by the year 2001.

           The Final Regulation

Specifically, EPA is reducing production and
consumption  levels  and  phasing   out  the
production and consumption of the major ozone-
dep^leting  chemicals.    In addition,  methyl
bromide and the HBFCs are added to the list of
class I substances and  scheduled for phaseout.
The phaseout schedule, in terms of percentage
of baseline production allowed, is presented on
the following page.               ,

The  Parties also agreed  in  Copenhagen to
completely phase  out  the  production  and
consumption   of   hydrochlorofiuorocarbons
(HCFCs) by the year 2030.  Production and
consumption would be  limited to a cap equal to
3.1   percent  of CFCs consumed in  1989,
weighted by ozone-depletion potential, plus the
consumption of HCFCs in  the same year,  also
weighted by  ozone-depletion potential. Parties
would reduce this cap  by specified reductions,
culminating in a complete phaseout by 2030.
Although  less  harmful  than  CFCs, these
chemicals do deplete the ozone layer and, if left
unchecked, would contribute to this problem.

The  Agency intends  to meet these limits by
accelerating  the  phaseout  of  HCFC-141b,
HCFC-142b and HCFC-22. These are the most
damaging  of the HCFCs.  By eliminating these
chemicals  by the  specified dates, the Agency
believes that it will meet the requirements of the
cap approved by the Parties.  The controls on
HCFC-141b, HCFC-142b and HCFC-22 are
specified on the following page.

In addition  to  the  above phaseout schedule
changes, the final  regulation implements  a
number of additional amendments to the existing
phaseout regulations as follows:

•    The final rule now permits an exemption
      from the  allowance requirements for the
      production of ozone-depleting chemicals
      if such   production is inadvertent or
      coincidental  during  a  manufacturing
      process.   Also,  these inadvertent or
      coincidentally produced chemicals are not
      considered  controlled  substances or
      products  if they  are  present in  trace
      quantities as1 a result of the use of these
      chemicals as a process agent.

•     The  regulation  permits production of
      controlled substances for transformation
      or destruction outside of the  production
      and consumption allowance requirements
      if the destruction is achieved by one of
      the processes approved by the Parties to
      the'Montreal  Protocol.   The following
      processes have been approved:

            1)  liquid injection incineration
            2)  reactor cracking
            3)  gaseous/fume oxidation
            4)  rotary kiln incineration
           •5)  cement kilns

•     The  transshipment of  bulk  controlled
      chemicals from  one foreign  country to
      another,  through'the United States, will
      not count as  consumption under  these
      regulations by the United States.

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Accelerated Phaseout Schedule for Class I Ozone-Bepleting Substances
Date
(Jan. l>
1994 -
1995 ,
1994
im
i99B
1999
2000
mi
sCFC$
- 255 !
25%-, -
v 096 * !
>' ®% '* !
" 05£ ,:
-; 051 :
03$^ .
0*v'
Hftktts
* 0%
; ^% ,
\- OS
= OS
; &#*
I- 0^
! -01
I ^%
C^rlx«i, \
Tetraehloiidb ;
50% , !
„ 15% ' !
, o^ ;
' 0^ !
0% !
, o^ M
0% -
m>.
Me&yl
CSUoroforai
, 50*
30%
$&
i - a* *
! 0»-
! * Of
: ' ' 0%'
1 - 0%
Melbyl
Bromide
100ft
109%
100%
106%
100%
' 100%
100%
0%
HBFCs
100%
100% -
0%
0*'
0%
, 0%,
0%
0%
vIkd&Brated P&*ss0«tSchedule for Class H Qzeae-Peptetfag Substances
Date

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          The  import and export of recycled  or
          used controlled substances will no lopger
          be considered consumption by the United
          States.                            :

          The   regulation  implements   a   new
          definition of importer to ensure that the
          owner, not necessarily the "importer of
          record," is  responsible for the import.

          The regulation simplifies and reduces the
          reporting andrecordkeepingrequirements
          for  companies  dealing  in controlled
          substances.

          The   regulation   exempts  controlled
          substances  used for feedstock  purposes
          from the requirements. No allowances
          are needed  when producing or importing
          these substances for feedstock uses.
•     Finally, this regulation includes various
      trade provisions required by the Montreal
   -.  Protocol to encourage countries to join
      the Protocol by prohibiting trade of bulk
      controlled  substances  and   products
      containing  controlled  substances  with
      non-parties.

              Effective Date

The effective date of this regulation is January
1,  1994.

          For More Information

The Stratospheric Ozone Information Hotline is
able to provide copies of the rule as published
in  the Federal Register on December 10, 1993.
The Federal Register is  available in university
and government libraries.    If you wish  to
receive  a copy  of the final rule  from  the
Hotline, please call 1-800-296-1996.
vvEPA
    United States
    Environmental Protection
    Agency
    (6205-J)      -
    Washington, DC 20460

    Official Business"
    Penalty for Private Use
    $300 •.••-.

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