United States      Officer Air.Quality      EPA-450/3-80-032a
Environmental Protection  Planning and Standards     November 1980
Agency         Research Triangle Park NC 27711
Air
Benzene Fugitive          Draft
Emissions —               EIS
Background Information
for Proposed Standards

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                               EPA-450/3-80-032a
Benzene  Fugitive  Emissions  —
     Background  Information
     for Proposed Standards
         Emission Standards and Engineering Division
          U S ENVIRONMENTAL PROTECTION AGENCY
             Office of Air, Noise, and Radiation
          Office of Air Quality Planning and Standards
          Research Triangle Park. North Carolina 27711

                  November 1980

            U.S. Invifomnental Protection Agency
            Region 5, Library (PL-12J)
            77 West Jackson Boulevard, 12th Plow
            Chicago, II  60604-3590

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This report has been reviewed by the Emission Standards and Engineering
Division of the Office of Air Quality Planning and Standards, EPA, and
approved for publication.  Mention of trade names or commercial products
is not intended to constitute endorsement or recommendation for use.
Copies of this report are available through the Library Services Office
(MD-35), U.S. Environmental Protection Agency, Research Triangle Park,
N.C. 27711, or from National Technical Information Services, 5285 Port
Royal Road, Springfield, Virginia 22161.
                    PUBLICATION NO.  EPA-450/3-80-032a
                  U,S. Environmental Protection Agency

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                    ENVIRONMENTAL PROTECTION AGENCY

                        Background Information
                               and Draft
                    Environmental Impact Statement
                    for Benzene Fugitive Emissions

                             Prepared by:
                                                             (Date)
UUII r^.  uuuuuwiii                            .
Director, Emission Standards and Engineering Division
U.S. Environmental Protection Agency
Research Triangle Park, NC  27711

1    The proposed national emission standard would limit fugitive
 '   emissions of benzene from existing  and new  petroleum  refining  and
     chemical manufacturing units.  The  proposed standard  implements
     Section 112 of the Clean Air Act and  is based on  the  Administrator s
     determination of  June 8, 1977,  (42  FR 29332) that benzene  presents
     a significant risk to human health  as a result  of air emissions
     from one or more  stationary source  categories,  and is therefore  a
     hazardous air pollutant.

2    Copies  of this document  have been  sent to  the  following:  Federal
  '   Departments  of Labor, Health and Human Services,  Defense,
     Transportation,  Agriculture, Commerce,  Interior,  and  Energy;  the
     National  Science Foundation; and Council  on Environmental  Quality,
     members of  the State and Territorial  Air  Pollution Program Adminis-
     trators;  the Association of  Local  Air Pollution Control Officials;
     EPA Regional  Administrators;  and  to other interested  parties.

 3.   The comment period for  review  of  this document is  75 days and is
     expected to begin on or about  December 15, 1980.

 4.    For additional  information contact:

     Ms. Susan R. Hyatt
      Standards Development Branch (MD-13)
      U.S. Environmental Protection Agency
      Research Triangle Park, NC  27711
      telephone:  (919) 541-5477

 4.   Copies of this document may be obtained from:

      U.S. EPA Library  (MD-35)
      Research Triangle Park, NC  27711

      National Technical  Information Service
      5285 Port  Royal  Road
      Springfield, VA  22161
                                   111

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                      TABLE OF CONTENTS


                                                                  Page

List of Tables	    xi

List of Figures   .  .,	    xvii

Chapter 1.  Summary	    1-1

     1.1  Statutory Authority	    1-1

     1.2  Regulatory Alternatives	    1-1

     1.3  Environmental Impact 	    1-2

          1.3.1  Air Quality Impact	    1-4

          1.3.2  Water, Solid Waste, and  Energy  Impacts  for
                 New and Existing Sources	    1-4

     1.4  Economic  Impact	    1-5

          1.4.1  Existing Sources	    1-5

          1.4.2  New Sources	    1-5

Chapter 2.  Introduction 	    2-1

Chapter 3.  Sources of Benzene Fugitive Emissions  in
            Petroleum Refining and Organic Chemical
            Operations	  .    3-1

     3.1  Introduction	    3-1

     3.2  Sources of Benzene Emissions 	    3-1

          3.2.1  Potential  Leak Sources	    3-2

          3.2.2  Other Potential   Sources  	    3-8

     3.3  Magnitude of Benzene Emissions  from  Refining
          and Organic Chemical  Production Operations  	    3-12

     3.4  References	    3-15

Chapter 4.  Emission Control Techniques   	    4-1

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                    TABLE OF CONTENTS (Continued)
                                                                Page
    4.1  Introduction ....................    4-1
    4.2  Leak Detection and Repair Programs  ........    4-2
         4.2.1  Definition of a Leak  ............    4-4
         4.2.2  Inspection Interval  .............    4-4
         4.2.3  Allowable Repair Time ............    4-6
         4.2.4  Visual Inspections   .............    4-6
         4.2.5  Other Leak Detection Techniques  .......    4-6
         4.2.6  Repair ....................   4~8
         4.2.7  Emission Control  Effectiveness of
                Leak  Detection and Repair  ..........   4-10
    4.3  Preventive  Programs   ................   4-11
         4.3.1  Pumps  ....................   4"n
         4.3.2  Valves   ...................   4'17
         4.3.3  Safety /Relief  Valves  ............   4-19
         4.3.4  Open-Ended  Valves  ..............   4-22
         4.3.5  Closed-Loop Sampling  ............   4-24
         4.3.6  Accumulator Vessel  Vents and Seal
                Oil  Degassing  System Vents  .........    4-26
     4.4  Process  Modifications  ...............    4-26
     4.5  References  .....................    4"28
Chapter 5.   Modification and Reconstruction  .........    5-1
     5.1  General  Discussion of Modification and
          Reconstruction Provisions  .............    5-1
          5.1.1  Modification
          5.1.2  Reconstruction

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                     TABLE OF CONTENTS (Continued)

                                                                 Page
     5.2  Applicability of Modification and
          Reconstruction Provisions  	   5-2
          5.2.1  Modification	   5-2
          5.2.2  Reconstruction	   5-3
Chapter 6.  Model Units and Regulatory Alternatives   	   6-1
     6.1  Introduction	   6-1
     6.2  Model Unit Parameters	   6-1
     6.3  Regulatory Alternatives   	   6-3
          6.3.1  Regulatory Alternative I   	   6-3
          6.3.2  Regulatory Alternative II  	   6-6
          6.3.3  Regulatory Alternative III   	   6-7
          6.3.4  Regulatory Alternative IV  	   6-7
          6.3.5  Regulatory Alternative V   	   6-8
          6.3.6  Regulatory Alternative VI  	   6-8
     6.4  References	   6-9
Chapter 7.  Environmental Impact 	   7-1
     7.1  Introduction	   7-1
     7.2  Air Quality  Impacts	   7-1
          7.2.1  Development of Benzene Emission  Levels   .  .  .   7-1
          7.2.2  Future Benzene Emissions   	    7-9
     7.3  Water  Pollution Impact 	   7-16
     7.4  Solid  Waste  Impact 	   7-20
     7.5  Energy Impact	   7-21

                                  vi

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                    TABLE  OF  CONTENTS  (Continued)

                                                                 Page

     7.6   Other Environmental  Concerns  ............    7~

          7.6.1  Irreversible  and Irretrievable
                 Commitment of Resources ...........    /~^i
          7.6.2  Environmental  Impact of Delayed
                 Regulatory Action ..............

                                                                 7-24
     7.7  References .....................
                                                                 O 1
Chapter 8.  Cost of Controls .................
                                                                 Q_1
     8.1  Introduction ....................

     8.2  Capital Cost Estimates  ...............   8~1

     8.3  Annualized Cost  Estimates   .............   8"7

          8.3.1  Derivation  of Annualized  Cost  Estimates  ...   8-7

          8.3.2  Cost-Effectiveness   .............   8~21

     8.4  Total  Industry  Impacts  ...............    8"37
                                                                  o 07
          8.4.1  Existing  Units ............ .  .  .  .

          8.4.2  New Units ..................    8"37

      8.5  Cost Comparison  ..................
                                                                  8-45
      8.6   References .....................

                                                                  9-1
 Chapter 9.   Economic Impact  .................

      9.1   Industry Characterization  .............   9-1

           9.1.1  General  Profile  ...............   9"1

           9.1.2  Production of Benzene, Ethylene,
                  and Benzene Derivatives  ...........   y~i

           9.1.3  Methods  of Manufacture   ...........   9~11

           9.1.4  Uses of  Benzene ...............    9"15

           9.1.5  Price  History  ................    9"25

                                  vii

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                     TABLE  OF  CONTENTS  (Continued)

                                                                 Page
          9.1.6  Market Factors  that  Affect  the
                 Benzene Industry  	    9-25
          9.1.7  Feedstock  Substitutions  for
                 Benzene Derivatives  	    9-25
          9.1.8  Future Trends	    9-27
     9.2  Microeconomic Impact  	    9-30
          9.2.1  Introduction	    9-30
          9.2.2  Industry Structure  	    9-30
          9.2.3  Demand Characteristics   	    9-34
          9.2.4  Supply Characteristics   	    9-39
          9.2.5  Economic Impact Methodology 	    9-44
          9.2.6  Model  Unit Impact Analysis	    9-48
     9.3  Macroeconomic Impact  	    9-55
          9.3.1  Summary	    9-55
          9.3.2  Inflationary  Impacts  	    9-55
          9.3.3  Energy Impacts	    9-57
          9.3.4  Employment Impacts  	    9-57
          9.3.5  Fifth  Year Annualized Costs 	    9-57
     9.4  References	    9-58
Appendix A. Evolution of the Background  Information Document .    A-l
Appendix B. Index to Environmental  Considerations	    B-l
Appendix C. Emission Source Test Data	    C-l
     C.I  Introduction	    C-2
                                 VI 1 1

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                    TABLE OF CONTENTS (Continued)


                                                                Page

                                                                C-2
    C.2  Data Summaries ...................

         C.2.1  Refinery Valve Maintenance Data  .......   c~2

         C.2. 2  Phillips Petroleum Company Data  .......   c-5

         C.2. 3  Shell Oil Company Data   ...........   c~5

         C.2. 4  Union Oil Company, San  Francisco
                Refinery Data  ................   L'5
         C.2. 5  Benzene-Producing  Units  E  and  F  .......    C-14

         C.2. 6  Ethyl ene  and  Cumene  Unit Data  ........    c-19

         C.2. 7  Exxon Chemical  Lompany Data  .........    c~19

         C 2.8  Benzene - producing  unit at  Refinery "E",
                Gulf Coast,  U.S ................    u-iy
          C.2. 9  Benzene - producing unit at the Amoco Texas
                 Refining Company, Texas City, Texas
                                                                 C-24
     C.3  References .....................

Appendix D. Emission Measurement and Continuous Monitoring .  .   D-l

     D.I  Emission Measurement Methods  ............   D"

     D.2  Continuous Monitoring Systems and Devices   .....   D-5

     D.3  Performance Test Method   ..............
                                                                 D-8
     D.4   References  ..................

Appendix  E. Methodology  for  Estimating  Leukemia  Mortality
     and  Maximum  Lifetime  Risk  from Exposure  to  Benzene
     Fugitive  Emissions  from Petroleum  Refineries  and
     Organic  Chemical  Plants .................

     E.I   Introduction ....................

     E.2   Summary and Overview of Health Effects .......
                                   IX

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                    TABLE OF CONTENTS  (Concluded)
                                                                 Page
          E.2.3   Health  Effects  at  Environmental  Exposure
                 Levels,
                                                                 E-4
     E.3   Population  Density  Around  Petroleum Refineries
          and  Organic Chemical  Plants	   E-5
     E.4   Population  Exposures, Mortalities,  and Risks ....   E-6
          E.4.1  Summary of Methodology for Calculating
                 Deaths	   E-6
          E.4.2  Estimates of Leukemia Deaths	   E-7
          E.4.3  Example of Leukemia Death Calculation ....   E-9
          E.4.4  Estimate of Leukemia Risk	   E-ll
          E.4.5  Validity of Estimates	   E-14
     E.5  References	   E-26
Appendix F.  Estimates of Benzene Emissions and Control Cost  of
     Product Accumulator Vessels 	   F-1
     F.I  Introduction	   F~2
     F.2  Estimate of Benzene  Emissions   	   F-2
          F.2.1  Uncontrolled  Estimates   	   F-2
          F.2.2  Controlled  Estimates	   F-2
          F.2.3  Nationwide  Estimates	   F-4
     F.3  Control Cost  Estimates	  .  •   F~4

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                            LIST OF TABLES


                                                                 Page

     Metric Conversion Table .................    Xv

1.1  Environmental  and Economic Impacts of Regulatory
     Alternatives .......................

3-1  Estimated Emission Factors for Nonmethane Hydrocarbons
     from Refining and Organic Chemical Industry Sources ...   J-lJ

3-2  Estimated Benzene Emissions from an Average Plant  . .  .  .   3-14

4-1  Percentage of Sources Predicted to be Leaking
     in an Individual Component Survey  ............   *-•*
4-2  Percent of Total Mass Emissions Affected at
     Various Action Levels ..................

4-3  Emission Correction Factors for Various  Inspection
     Intervals, Allowable Repair Times  and Action  Levels  .  .  .    4-.

6-1  Model Unit Equipment Containing Greater  Than
     10 Percent Benzene  ..................... b"^
6-2  Monitoring  Intervals  and  Equipment  Specifications
     for  Benzene  Fugitive  Regulatory Alternatives
 7-1   Controlled  VOC  Emission  Factors  for Regulatory
      Alternative II
 7-2   Controlled  VOC  Emission Factors for Regulatory
      Alternative III  .....................   7"3

 7-3   Controlled  VOC  Emission Factors for Regulatory
      Alternative IV   .....................   '"4
 7-4  Controlled VOC Emission Factors for Regulatory
      Alternative V ......................   7"b

 7-5  Calculation of Weighted Percent Benzene for Emission
      Sources in Model Units  ............             7~'

 7-6  Benzene Emissions (Kg/hr) by Source for the
      Regulatory Alternatives - Model Unit A ..........   /-i
 7-7  Benzene Emissions (Kg/hr) by Source for the
      Regulatory Alternatives - Model Unit B

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                      LIST OF TABLES (Continued)


                                                                 Page

7-8  Benzene Emissions (Kg/hr) by Source for the
     Regulatory Alternatives - Model Unit C	   7-12

7-9  Total National Benzene Emissions from Refining and
     Organic Chemical Processes in 1980	   7-13

7-10 Numbers of Units Estimated to Meet 1980 Demand
     for Benzene and Benzene Derivatives by Model Units   .  .  .   7-15

7-11 Cumulative Annual Number of Projected New Units and
     Replacements between 1981 and 1990	   7-17

7-12 Cumulative Annual Estimated Benzene Fugitive Emissions
     From New Units and Replacements Between 1981 and 1990  .  .   7-19

7-13 Energy Impact of Benzene Emission Reduction
     for Regulatory Alternatives 	   7-22

8-1  Model Unit Equipment Containing>10 Percent Benzene   .  .  .   8-2

8-2  Monitoring Intervals and Equipment Specifications
     For Benzene Fugitive Regulatory Alternatives   	   8-3

8-3  Capital Cost Data	   8-5

8-4  Capital Cost Estimates per Model Unit	   8-8

8-5  Monitoring and Maintenance Labor-Hour Requirements
     for Regulatory Alternative II  	   8-16

8-6  Monitoring and Maintenance Labor-Hour Requirements
     for Regulatory Alternative III  	   8-17

8-7  Monitoring and Maintenance Labor-Hour Requirements
     for Regulatory Alternative IV  	   8-18

8-8  Monitoring and Maintenance Labor-Hour Requirements
     for Regulatory Alternative V   	   8-19

8-9  Recovered Product Credits  	   8-20

8-10 Initial Survey Start-Up  Costs  for
     Regulatory Alternatives  II-IV  	   8-22

8-11 Annualized Control Cost  Estimates per Model  Unit   ....   8-26
                                 XII

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                      LIST OF TABLES  (Continued)

                                                                  Page
8-12 Benzene Emission Reductions  	    8-34
8-13 Cost-Effectiveness for Existing  Model Units  	    8-35
8-14 Cost-Effectiveness for New Model Units	    8-36
8-15 Nationwide Costs for the Existing  Industry	    8-38
8-16 Nationwide Costs for New Units  (Fifth Year  Impact).  .  .  .    8-39
8-17 Range of Control Costs for the Benzene Source
     Categories for Existing and  New  Units	    8-41
8-18 Costs for the Control of Total Benzene Emissions
     from the Maelic Anhydride Industry   	    8-42
8-19 Costs for the Control of Total Benzene Emissions
     from the Ethylbenzene-Styrene Industry   	    8-42
8-20 Total Costs for the Control  of Benzene Emissions
     from Producer Benzene Storage Tanks  and  Benzene
     Fugitive Sources  	    8-44
8-21 Total Costs for the Control  of Benzene Emissions
     from Consumer Benzene Storage Tanks  and  Benzene
     Fugitive Sources  	    8-44
9-1  Refineries and Organic Chemical   Manufacturing
     Sites with Benzene Fugitive  Emission Potential	    9-2
9-2  Number of Companies and Plant Sites  that
     Manufacture Benzene Derivatives  	    9-11
9-3  Summary of Production and Capacity for
     Benzene, Ethylene, and Benzene Derivatives   	    9-12
9-4  Ethylene Usage	    9-18
9-5  Monochlorobenzene Usage 	    9-19
9-6  Dichlorobenzenes Usage  	    9-19
9-7  Nitrobenzene Usage  	    9-20
9-8  Aniline Usage	    9-20
                                XI 11

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                      LIST OF TABLES (Continued)


                                                                 Page
                                                                 f
9-9  Ethyl benzene Usage	   9-21

9-10 Styrene Usage	   9-21

9-11 Linear Alkybenzene Usage  	   9-22

9-12 Cyclohexane Usage 	   9-22

9-13 Cumene Usage	   9-23

9-14 Maleic Anhydride Usage   	   9-23

9-15 Resorcinol Usage  	   9-24

9-16 Benzenesulfonic Acid Usage   	   9-24

9-17 Hydroquinone Usage   	   9-24

9-18 Price History for Benzene, Ethylene, and
     Benzene Derivatives  	   9-26

9-19 Alternative Processes for the Manufacture  of
     Benzene Derivatives  	   9-27

9-20 Projected Annual Growth  Rates for Demand of
     Benzene,  Ethylene, and  Benzene  Derivatives   	   9-28

9-21 Concentration Ratios for Benzene, Ethylene,  and
     Benzene Derivatives  	   9-32

9-22 Qualitative Evaluation  of Price Elasticity
     of  Demand	   9-40

9-23 Model  Unit Annual Revenues - Model  Unit A	     9-46

9-24 Model  Unit Annual Revenues - Model  Unit B	     9-47

9-25 Model  Unit Annual Revenues - Model  Unit C	     9-47

9-26 Total  Capital  Investment Required -
     New Model  Units	     9-49

9-27 Percentage  Price  Increases   	   9-52

9-28 Cumulative  Percentage  Price  Increases  	   9-54
                                   xiv

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                            LIST OF TABLES
 C-8  Effects on Emissions of Repairing Valves in the
      1,000 - 10,000 ppm Range
 C-9  Frequency of Leaks from Fugitive Emission Sources in
      Organic Chemical Units E and F
                                                                 Page
9-29 Percentage Increase in New Plant Capital
     Investment Required 	

C-l  Refinery Valve Maintenance Data 	   c'3

C-2  Leak Data for the Phillips Petroleum Company, Sweeny
     Refinery and Natural Gas Liquids Processing Complex,
     Sweeny, Texas 	

C-3  Phillips Sweeny Refinery Ethylene Unit  Block
     Valve Repairs 	

C-4  Summary of Phillips Sweeny Block Valve  Leak
     and  Repair Data  	

C-5  Leak and Repair  Data  for Refinery Valves  from
     the  Shell Oil Company, Martinez Manufacturing
     Complex, Martinez,  California  	

C-6  Leak and Repair  Data  for Refinery Valves  from
     the  Union Oil Company San  Francisco Refinery,
      Rodeo,  California 	 •  	

 C-7   Attempted  Repair Data for  Valves  from the Union-
      San  Francisco Refinery  	
                                                                  C-16
 C-10 Screening Data For Cumene Units  .............   c-20

 C-ll Screening Data For Ethylene Units  ............   °-21

 C-12 Screening Data For Cyclohexane  Unit  at  Exxon  Chemical
      Company, Baytown, Texas  .................

 E-l  Estimated Leukemia Deaths from  Benzene  Fugitive
      Emissions from Petroleum Refineries  and Organic
      Chemical Plants  Under  Current Control  Conditions .....    t-ib
  E-2   Example Calculation  of  Leukemia Deaths,  Plant 4 .....    E-25
                                    xv

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                      LIST OF TABLES (Concluded)

                                                                 Page

F-l  Calculation of Uncontrolled Benzene Emissions
     from Accumulator Vessels by Model  Unit  .........   F-3

F-2  National Benzene Emissions from Accumulator Vessels
     in 1980 for Regulatory Alternative I  ..........   F-5

F-3  Effect of Adding Accumulator Vessel Emissions
     on Baseline Risk ....................       F-6
F-4  Capital and Annual i zed Cost for Vent Systems for
     Accumulator Vessels by Model Unit  ...........       F-7

F-5  National Capital and Annual Costs  for Controlling
     Existing Accumulator Vessels   .............       F-8

F-6  Nationwide Costs for the Existing  Industry for
     Regulatory Alternatives III, IV, and V   ........       F-9
                                    xvi

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                            LIST OF FIGURES
                                                                 Page
                                                                 3-3
3-1  Simple Packed Seal   	
3-2  Basic Single Mechanical Seal  	   3"4
3-3  Globe Valve with Packed Seal  	   3'6
3-4  Diagram of a Spring-Loaded Relief Valve  	   3~7
3-5  Liquid-Film Compressor Shaft Seal 	   3'9
                                                                 4 14
4-1  Double Mechanical Seal   	
4-2  Seal less Canned Motor  Pump	
                                                                  4-18
4-3  Diaphragm  Valve  	
                                                                  4-20
4-4  Sealed Bellows  Valve   	
4-5  Rupture  Disk  Installation Upstream  of a Safety/Relief       ^^
     Valve  	
4-6  Simplified Closed-Vent System with  Dual Flares  	   4-23
4-7  Diagram  of Two  Closed-Loop Sampling Systems 	   4-25
9-1   Percentages of  Total  Benzene Production Consumed
     by Intermediate and Final Products   	
                                    xvii

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                        METRIC CONVERSION TABLE
     EPA policy is to express all  measurements in agency documents in
metric units.  Listed below are metric units used in this report with
conversion factors to obtain equivalent English units.  A list of
prefixes to metric units is also presented.
To Convert
Metric Unit
centimeter (cm)
meter  (m)
liter  (1)
               2
cubic  meter  (m )
cubic  meter  (m )
kilogram  (kg)
megagram  (Mg)
gigagram  (Gg)
gigagram  (Gg)
joule  (J)
gigajoule (GJ)
 Degree Celsius (°C)
 Cubic  meters/second
      (m3/sec)
Multiply By
Conversion Factor
0.39
3.28
0.26
264.2
6.29
2.2
1.1
2.2
1102
9.48 x  10"4
9.48 x  105
 (°C x  1.8) + 32

4.40
To Obtain
English Unit
inch (in.)
feet (ft.)
U.S. gallon (gal)
U.S. gallon (gal)
barrel  (oil)  (bbl)
pound  (Ib)
ton
million  pounds  (10   Ibs)
ton
British  thermal  unit (Btu)
British  thermal  unit (Btu)
Degree Fahrenheit (°F)
gallons/minute
      (gal/min)
 Prefix
 tera
 giga
 mega
 kilo
 centi
 milli
 micro
        PREFIXES

         Symbol
           T
           G
           M
           k
           c
           m
                                                        Multiplication
                                                            Factor
           10
             12
           10
           10
           10
3
-2
r3
,-6
                                   XVTM

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                             1.0  SUMMARY

1.1  STATUTORY AUTHORITY
     National  emission standards for hazardous air pollutants are
established in accordance with Section 112(b)(l)(B) of the Clean Air
Act (42 U.S.C. 7412), as amended.  Emission standards under Section 112
apply to new and existing sources of a substance that has been listed
as a hazardous air pollutant.  This study examines fugitive emission
sources in benzene service (containing 10 or more percent by weight
benzene) in petroleum refining and organic chemical manufacturing
industries.
1.2  REGULATORY ALTERNATIVES
     Six regulatory alternatives were developed by employing various
combinations of the available control techniques in the affected
industry.  Reflecting increasing levels of emission reduction, these
alternatives range from requiring no new controls to eliminating all
benzene fugitive emissions.
     Regulatory Alternative I represents a baseline emission level
that describes the industry in the absence of regulations for the
control of benzene fugitive emissions.  This alternative provides the
basis for incremental comparison of the other regulatory alternatives.
     Regulatory Alternative II would reflect emission controls equivalent
to the recommendations suggested by the Control Techniques Guideline
(CTG) document for refinery volatile organic compound emissions.
Periodic leak detection and repair would be required for most sources
as well as the installation of specified equipment for other sources.
This alternative would result in a 57 percent reduction in benzene
fugitive emissions from the baseline level.
                                  1-1

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Pumps and valves in liquid service would be monitored annually for
leaks.  Safety/relief valves, pipeline valves, open-ended valves, and
compressors in gas service would be monitored for leaks on a quarterly
basis.  Open-ended valves would be sealed with a cap, blind, plug, or
a second valve.
     Regulatory Alternative III would result in a 73 percent reduction
in emissions by increasing the frequency of leak detection and repair
and by requiring additional equipment.  Monthly leak detection and
repair would be required for pumps, valves, and compressors.  Open-ended
valves would be sealed with a cap, blind, plug, or a second valve.
Rupture disks would be installed on safety/relief valves, or as an
alternative, they would be vented to a flare.
     Regulatory Alternative IV would increase control efficiency to
77 percent by requiring additional specified equipment.  In addition
to the leak detection and repair and equipment requirements of
Alternative III, Regulatory Alternative IV would require the use of
mechanical  seal systems on pumps and compressors in benzene service.
In addition, degassing vents on pump seal oil reservoirs would be
required to be vented to a closed system.
     Regulatory Alternative V would effect a 90 percent control
efficiency by requiring the installation of mechanical  seals on pumps
and compressors, the installation of diaphragm or sealed bellows
valves on valves, and the sealing of open-ended valves.  Closed-purge
sampling systems would be installed and rupture disks would be installed
on safety/relief valves.
     Regulatory Alternative VI would result in a 100 percent control
efficiency for benzene fugitive emissions by prohibiting all production
and use of benzene in the affected industry.
1.3  ENVIRONMENTAL IMPACT
     Included in the evaluation of environmental impacts were estimates
of air quality, water, noise, and solid waste impacts.   Table 1-1
summarizes the environmental  impact assessments for each regulatory
alternative.
                                  1-2

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                      Table 1-1.   ENVIRONMENTAL AND ECONOMIC  IMPACTS OF REGULATORY ALTERNATIVES
 I
CO

Alternative
I (no
II
III
IV
V
VI
	 	 — . 	 	 — — 	
_ 	 ' 	
Air
Impact
action) 0
+2**
+2**
+3**
+3**
+4**
__ — —
Water
Impact
0
+1**
+1**
+1**
+1**
+1**
Solid Waste
Impact
0
0
0
0
0
0
Energy
Impact
0
+1**
+1**
+1**
+1**
_2**
Noise
Impact
0
0
0
0
0
0
Economic
Impact
0
+1**
0
_!**
_2**
_4**
	 . — . — — 	
         Key:     +  Beneficial Impact
                 -  Adverse Impact
0  No impact
1  Negligible Impact
2  Small Impact
3  Moderate Impact
4  Large Impact
  *  Short-Term Impact
 **  Long-Term Impact
***  Irreversible

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1.3.1  Air Quality Impact
     1.3.1.1  Existing sources.  For the existing industry including
about 240 production units, total  nationwide benzene fugitive emissions
are estimated to be 8,300 megagrams per year (Mg/Yr) for the baseline
alternative.  Regulatory Alternative II would reduce these emissions
57 percent, from 8,300 Mg/Yr to 3,600 Mg/Yr.  Alternative III would
reduce emissions to 2,200 Mg/yr, yielding a 73 percent reduction.
Alternative IV would yield a 77 percent reduction in benzene fugitive
emissions to a level of  1,900 Mg/yr.  Alternative V would reduce
emissions to 900 Mg/yr, yielding a 90 percent reduction in emissions
from the baseline.
     1.3.1.2  New sources.  For new sources through 1985 including
68 production units, total nationwide benzene fugitive emissions are
estimated to be about  2,500 Mg/yr  for Regulatory Alternative I  (baseline).
Regulatory  Alternative II  would reduce  these emissions to about
1,100 Mg/yr, a  56 percent  reduction through  1985.   Alternative  III
would reduce emissions from about  2,500 Mg/yr to about 700 Mg/yr, a
72 percent  reduction  through  1985.  Alternative  IV  would reduce  emissions
to about  500 Mg/yr, resulting  in an 80  percent reduction through 1985.
Alternative V would reduce emissions to about 200 Mg/yr, yielding a
92 percent  reduction  from  the  baseline  alternative  through  1985.
1.3.2  Water.  Solid Uaste. and Energy  Impacts for New and Existing
       Sources
     Since  none of  these alternatives  would  require any  additional
water  discharges,  there would  be no negative  impact on water quality.
There  is  potential  for a positive  benefit to  water  quality,  however,
due  to decreased  amounts of organic materials entering drains,  sewers,
and  waste water discharges because of  better leak  control.   This
benefit  would  increase with the stringency of the  alternative  because
each successive alternative  requires  additional  leak  control measures.
      There  would  be no significant solid  waste  or  noise  impact as  a
result of implementing any of the  regulatory alternatives.   Additionally,
since  the controls required  to implement  the alternatives  are  passive
 in nature,  there  would be no  significant  negative  energy impact.  In
 fact,  there would be  a slight energy  benefit from  the conservation  of
 raw materials  and products that results from the control  of leaks.

                                   1-4

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1.4  ECONOMIC IMPACT
     Industry total  capital  and annualized costs, including recovery
credits, were estimated for Regulatory Alternatives II, III, IV,
and V.  These estimates for new and existing sources are based on
second quarter 1979 dollars.  Table 1-1 summarizes the economic impacts
that result from these costs for each of the regulatory alternatives.
1.4.1  Existing Sources
     Regulatory Alternative II would  require a total capital investment
of $2.9 million and would result in an annualized savings  of $25 thousand.
Alternative  III would  require  a capital investment of  $9.7 million  and
an annualized cost  of  $2.1  million.   Alternative IV would  require a
capital  investment  of  $25.3 million and an  annualized  cost of  $5.5  mnllion.
Alternative  V would require a  capital  investment of  $242 million and
an annualized cost  of  $58.6 million.   It  should  be  noted  that  these
costs  are for the  entire  industry  and apply to  241 production  units.
      The annualized costs required to implement  Alternatives  II,  III,
 IV,  and V could cause  the average  prices  of benzene derivatives to
 rise by 0.04,  0.13, 0.37, and  4.1  percent,  respectively,  if full
 pass-through of the costs is  assumed.
 1.4.2  New Sources
      The costs of  implementing the alternatives are lower  for new
 sources than for existing  ones because no  retrofitting expenses are
 involved.  Regulatory Alternative II would  require a  fifth-year capital
 investment of  $820 thousand and would result in an annualized  savings
 of  $70  thousand in the fifth  year after  implementing  this alternative.
 Alternative III would require a fifth-year capital  investment  of
 $2.2  million and an annualized cost  of $420 thousand  after five years.
 Alternative IV would  require  a fifth-year  capital  investment  of
 $6.5 million and  an annualized cost  of  $1.3 million  after five years.
 Alternative V  would require a capital  investment of $48.4 million  and
 an  annualized  cost of $11.4 million  after  five  years.  These  cost
  estimates apply to 68 new production units built in the  fifth year
  after implementing each  alternative.
                                     1-5

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     The annualized costs of implementing Regulatory Alternatives II
through V for new sources (assuming full cost pass-through) could
cause the average price of benzene derivatives to rise from
0.03 percent for Alternative II to 3.3 percent for Alternative V.
                                   1-6

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                           2.  INTRODUCTION


2.1 BACKGROUND
     The Environmental Protection Agency proposed on October 10, 1979,

"Policies and Procedures for Identifying, Assessing, and Regulating

Airborne Substances Posing a Risk of Cancer" (44 FR 58642).  All

standards for carcinogens regulated under Section 112 of the Clean Air

Act are being developed in accordance with those proposed Policies and

Procedures.  The following is a Section quoted from the Policies and

Procedures which describes the procedures for establishing standards

once the decision has been made as to which pollutants are to be

regulated.

     (2)  The Proposed  EPA Approach  (44 FR 58642)

          The standard-setting policy proposed today requires,  as
     a minimum, the use of "Best Available Technology"  (BAT) to
     control emissions  from  source categories presenting significant
     risks to public  health.  The policy would also  require
     additional controls, as necessary, to eliminate "unreasonable
     residual risks"  remaining after the use of  BAT.  This approach
     is a judgmental  one, designed to protect the  public health
     with an ample margin of safety  from risks associated  with
     exposure to airborne carcinogens.   The  implementing procedure
     described  below  puts prime  emphasis on  public health, consistent
     with  Section  112,  but  permits consideration of economic
     impacts and benefits of the activity  in  setting standards
     for  each source  category.   Uncertainties in the assessments
     of  risks,  costs, and potential  benefits, as well  as the
     distributional  (equity) problems  of various situations,
     would  also be considered  in setting standards.

      (a)  Source Categories  Regulated

           The  first  step in establishing standards and  requirements
      for pollutants  listed  under Section 112 under this proposed
      policy is  the determination of which  categories of sources
      emitting  the  pollutants will  be regulated,  and in  what  order
                                 2-1

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regulations wi'l be developed.  Although a pollutant may
have been listed because emissions from a particular source
category pose a significant risk, other source categories
may also emit the pollutant in lesser amounts.  This may
occur, for example, because the sources process very little
of the substance, because the substance is present in only
trace amounts in the sources' raw materials, or because
sources have installed adequate controls on their own initia-
tive or in response to other regulatory requirements.

     The Administrator will therefore propose regulations
only for those source categories which may pose significant
risks to public health.  The determination of whether a
source category emitting a listed pollutant poses a significant
risk will be made on essentially the same basis as the
listing decision, except that the more detailed exposure
analysis and risk assessment then available will be used in
lieu of the preliminary information used in the listing
decision.  As in the listing decision, the risk assessment
will be used to indicate the existence of a significant risk
where the exposure analysis alone is insufficient, but will
not be used as evidence that a significant risk does not
exist where the exposure analysis indicates to the contrary.

(b) Priorities for the Development of Standards

     EPA anticipates that a substantial number of substances
will be listed as carcinogenic air pollutants under Section 112
in the near future.  It is also likely that many of these
substances will be emitted in significant quantities
from more than one source category.  As a result, EPA will
need to develop emission standards and other requirements
for a large number of source categories emitting these
substances.  At least until generic standards can be developed
for large groups of these sources, the resources that would
be necessary to complete this task immediately far exceed
those available to EPA for this purpose.  Today's proposal
therefore provides for the assignment of priorities to
significant source categories for the development of these
regulations, through publicly stated criteria and announced
decisions.

     Under today's proposal, source categories posing significant
risks will be assigned priority status  (high, medium, or
low) for further regulatory action (beyond generic standards)
on the basis of: (1) magnitude of projected total excess
cancer incidence associated with current and future source
emissions; (2) magnitude of cancer risks for the most exposed
individuals; (3) ease of expeditious standards development
and implementation; and  (4) feasibility of significant
improvements in controls.  In addition, significant sources
of more than one carcinogen may be given priority over
                           2-2

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single-pollutant sources, based on the sum of risks from the
emitted substances.

     A high priority will be assigned, for example, to a
source category constituting an important problem requiring
immediate attention, or where risks are somewhat lower but
an appropriate regulatory solution is both feasible and
readily available.  Source categories assigned medium priority
will generally be those that present lower risks and will be
scheduled for standard development as resources become
available.  Lower risk source categories for which the
extent of feasible control may be substantially limited will
be assigned low priority for regulation development.  Assign-
ment to the low priority category will generally mean that
active development of the regulations will not begin until
there  is  some change in  the factors which led to the assignment,
or until  higher priority actions have been completed.

 (c) Regulatory Options Analysis

     EPA  will perform detailed  analyses  to  identify  alternative,
technologically feasible control options  and  the economic,
energy, and environmental  impacts  that would  result  from
their  application.   Where  substitution is  determined  to  be  a
 feasible  option,  the benefits  of  continued  use  of  the  substance
or  process will  be considered.   These analyses  will  rely
 primarily on  the  procedures  and techniques  employed  by  EPA
 for developing  New Source  Performance Standards  under Section 111
 of  the Act.

      The  identification of feasible control  options will
 initially survey the existing control devices at the sources
 within a particular category to determine the best controls
 currently in use.  The potential  emission points of the
 listed pollutant at a particular kind of facility will  also
 be identified, as will  possible emissions of carcinogens
 other than the specific one under study.  EPA will, in
 addition, examine the applicability of available technologies
 which are not currently used by the  industry to control the
 pollutant of concern (technology transfer) but which have
 been  demonstrated in pilot tests or  other industrial applications
 Finally, the availability and adequacy of substitutes which
 would eliminate  some or all emissions of the pollutant  will
 be assessed.

       Once the technologically  feasible  control alternatives,
 which may range  from no further control  to a complete  ban  on
 emissions, have  been identified,  the environmental,  economic
 and energy impacts  of  these  options  will  be  determined.
 Considerations  in these impact assessments  will  include tor
 each  option:   the number  of  plant closures  predicted  and  the
 direct  impact  on employment  and  end  product prices;  the
                             2-3

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impact on growth and expansion of the industry; the resulting
changes in profitability; capital availability for control
equipment; the Impacts from the availability of substitute
products and foreign imports; the potential  increases in
national energy consumption; and the impacts on other environ-
mental media including increased water pollution and solid
waste disposal.  On the basis of these assessments, one of
the control options identified will be designated as the BAT
for the control of emissions from the sources in the category.
This level of control will be that technology, which in the
judgment of the Administrator, is the most advanced level of
control adequately demonstrated, considering economic,
energy, and environmental impacts.

     The control level designated  "best available technology"
may be  different for new and existing facilities in a category.
For practical purposes, this level of control for new sources
will, as a minimum, be equivalent  to that which would be
selected as the basis for a  New  Source Performance  Standard
(NSPS)  under Section  III.  The requirement of  "best available
control technology" for new  sources would consider  "economic
feasibility" and would not preclude new construction.

      The  selection  of BAT for existing sources may  require
consideration  of the  technological problems  associated  with
retrofit  and related  differences in the economic,  energy,
and environmental  impacts.   In practice, BAT for  existing
sources would  consider economic  feasibility  and would not
exceed  the most advanced  level of  technology that  at  least
most  members of an  industry  could  afford without  plant
closures.

 (d) Minimum Requirements  for Existing  Sources

      Final  Section  112 standards will  require existing
 sources in any regulated  source  category,  as a minimum, to
 limit their emissions to  the levels  corresponding  to  the use
 of "best available technology."    This  requirement is based
 on the Administrator's judgment  that  any  risks that could
 be avoided through  the use  of these  feasible control  measures
 are unreasonable.   Whether  BAT controls  are sufficient  to
 protect public health will  be determined  by a subsequent
 evaluation of  the  remaining risks.

 (e) Determination  of Unreasonable Residual  Risk For
     Existing Sources

      Following the identification of BAT for existing sources,
 the quantitative  risk assessment described earlier will be
 used to determine  the risks remaining after the application
 of BAT to the source category.   If the residual risks are
 not judged by the  Administrator to be unreasonable, further
                            2-4

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controls would not be required.  If, however, there is a
finding of unreasonable residual risk, a more stringent
alternative would be required.  Among the possible alterna-
tives would be the immediate application of more restrictive
emission standards, including those based on more extensive
use of substitutes, and scheduled or phased reductions in
permissible emissions.  The alternative selected would be
that necessary, in the Administrator's judgment, to eliminate
the unreasonable residual risks.

     Given the differences in the degree of certainty in
risk estimates, in the numbers  of people exposed, in benefits,
in the distribution of risks and benefits, in the cost of
controls, in the availability of substitutes, and in other
relevant factors,  it  is not possible  to state any precise
formula for determining unreasonable  residual risk.  The
determination will necessarily  be a matter of judgment for
each category involved.   Nevertheless, the process  followed
and the various factors  involved can  be outlined.

     The determination of unreasonable residual  risk will  be
based  primarily on public health, and will require  protection
with an ample margin  of  safety. To  the extent possible,
quantitative  or qualitative estimates of  various factors
will  be made  for  purposes of  comparison.   Among  these  are:
 (1)  the range  of  total expected cancer  incidence and  other
health effects  in  the existing  and  future  exposed  populations
through the anticipated  operating  life  of  existing  sources;
 (2)  the range  of  health  risks  to the  most  exposed  individuals;
 (3)  readily  identifiable benefits  of  the  substance  or activity;
 (4  the economic  impacts of  requiring additional control
measures;  (5)  the  distribution of  the benefits  of the activity
versus the  risks  it  causes;  and (6) other possible  health
 and  environmental  effects resulting from  the increased use
 of substitutes.
                             2-5

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        3.0  SOURCES OF BENZENE FUGITIVE EMISSIONS  IN PETROLEUM
               REFINING AND ORGANIC CHEMICAL OPERATIONS
3.1  INTRODUCTION
     Valves, pumps, flanges, and other pieces of equipment are used
extensively in the refining and organic chemical industries to move
streams of organic compounds to and from various process vessels.
Since this type of equipment can develop leaks, each individual  piece
is a potential source of organic compound emissions whenever it  handles
a process stream containing such compounds.  When a piece of equipment
handles a process stream containing benzene, it is  a potential source
of benzene emissions.
     This chapter will discuss the types of equipment that can be
sources of benzene fugitive emissions.  Estimates of uncontrolled
emission factors will also be presented, and the parameters which may
influence the emissions will be discussed.
3.2  SOURCES OF BENZENE EMISSIONS
     Benzene fugitive emission sources are pieces of equipment handling
streams that could potentially contain benzene.  These include sources
that develop leaks after some period of operation due to seal failure
as well as other sources that can emit benzene when used in specific
conditions in the production unit.  The sources that develop leaks due
to seal failure are those using a sealing mechanism to limit the escape
of organic compounds to atmosphere.  These include  pumps, pipeline
valves, safety/relief valves, flanges, agitators, and compressors.
     Other types of equipment are potential benzene fugitive emission
sources for reasons other than leaking seals.  These types of equipment
might have the potential for benzene emissions, for example, because
they vent organic materials that contain benzene to atmosphere.  These
types include process drains, sampling connections, open-ended valves,
                                  3-1

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wastewater separators, cooling  towers,  product  accumulator vessels,
safety/relief valves, and process unit  turnarounds.
3.2.1  Potential Leak Sources
     3.2.1.1  Pumps.  Pumps are used  extensively  in  the  refining and
organic chemical industries for the movement  of organic  fluids.
Centrifugal pumps are used most often in  these  industries, although
positive-displacement pumps, reciprocating  and  rotary  action  pumps,
and  the specialized canned, diaphragm pumps,  and  magnetically coupled
pumps are used for  some applications.   Except for the  canned, diaphragm,
and  magnetically coupled types, the pumps have  a  shaft that requires a
seal to isolate the pump's interior fluid from  atmosphere.  Packed
and  mechanical shaft seals are most commonly  used.   Proper installation
and  maintenance are required for all  seal types if they  are to function
properly and retain their ability to  seal.  The possibility of a leak
through this seal makes the pump a potential  source  of benzene emissions.
     3.2.1.1.1  Packed seal.  Figure  3-1  is a diagram  of a simple
packed seal.  Packed seals can  be used  on both  reciprocating  and
rotary action pumps.  This seal consists  of a stuffing box in the pump
casing filled with  specialized  packing  material that is  compressed
with a packing gland to fit closely around  the  shaft.  To prevent
buildup of frictional heat, lubrication is  required.   A  sufficient
amount of either the liquid being pumped  or another  liquid that  is
injected must be allowed to flow between  the  packing and the  shaft to
provide the necessary lubrication.  Degradation of this  packing  and/or
the  shaft seal face after a period of usage can be expected to eventually
result in leakage of organic compounds  to atmosphere.
     3.2.1.1.2  Mechanical seal.  Figure  3-2  is a diagram of  a basic
single mechanical seal.  The rotating seal-ring face and the  stationary
element face are lapped to a very high  degree of  flatness to  maintain
contact throughout  their entire mutual  surface  area.   As with packing,
the  faces must be lubricated; however,  because  of the  seal's  construction,
much less lubrication is needed.  There are many  variations to the
basic design, but all have the lapped seal  face between  a stationary
element and a rotating seal ring.  Again, if  the  seal  becomes imper-
fect due to wear, the organic compounds being pumped can leak between
the  seal  faces and can be emitted to atmosphere.

                                 3-2

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                          Pump stuffing box
CO
I


\
\
\
\
V. \

xxtxxx
/

X
r"
X





s
Fluid
 end
                                                                xPacking gland
                                         _X_\_A_X	4—Seal face

*~-
Y\><

r\
X

1
X
/
/
X


XK

*


>

^
X
X
X
X
X
X
                                                               ^~ Possible leak
                                                                      area
                                        Packing
                              Figure 3-1.  Simple Packed Seal
                                                         1

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                                  Gland gasket
co
i
             Pump stuffing box
                                                     Rotating
                                                     seal ring
.Gland ring
                                                                    .Insert packing
                                                                       Stationary
                                                                      /'element

                                                                      ~- Possible
                                                                           leak
                                                                           area
                         Figure 3-2.  Basic Single Mechanical Seal
                                                             1

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     3.2.1.2  Pipeline Valves.  One of the most common pieces of
equipment in a refinery or an organic chemical production unit is the
valve.  The types of valves commonly used are globe, gate, plug, ball,
relief, and check valves.  All except the safety/relief valve and
check valve are activated by a valve stem, whose motion may be rotational
or linear or both, depending on the specific design.  This stem requires
a seal to isolate the valve interior fluid from atmosphere.  The
possibility of a leak through this seal makes the valve a potential
source of benzene emissions.
     The most common type of valve stem seal in use is the packed
seal.  It consists of a stuffing box in the valve housing filled with
specialized packing material that is compressed with a packing gland
to fit closely around the stem.  Figure 3-3 is a diagram of a globe
valve with a packed seal.
     3.2.1.3  Safety/Relief Valves.  Safety/relief valves are required
by engineering codes for applications where the.pressure on a vessel
or a system may exceed the maximum allowed.  A spring-loaded safety/
relief valve, which is shown in Figure 3-4, is typically used for this
service.  The seal is a flat disk held in place on a seat by a spring
during normal system operation.  The possibility of a leak through
this seal  makes it a potential source of benzene emissions.  The
potential  causes for leaks are "simmering," a condition caused by the
system pressure being close to the valve set pressure, improper
reseating following a relieving operation, and corrosion or degradation
of the valve seat.
     3.2.1.4  Flanges.  Flanges are bolted, gasket-sealed junctions
used in joining pipe or equipment components, such as vessels, pumps,
valves, and heat exchangers, that may require isolation or removal.
The possibility of a leak through the gasket seal  makes flanges potential
sources of benzene emissions.
     Two primary causes of leakage are seal deformation, due to thermal
stress on the adjoining piping or equipment, and opening of the flange
without replacement of the gasket.
     3.2.1.5  Compressors.  Compressors, like pumps, can be both
centrifugal  and positive displacement types.  Compressors have a shaft
                                 3-5

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 HANDWHEEL
 STEM
PACKING NUT
 DISK
 BODY
                              PACKING
                              BONNET
                              SEAT
        Figure 3-3. Globe Valve with Packed Seal
                    3-6

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SEAT
                                          SPRPWG
                                            DISK
                                            MOZ.Z.LE
                     PROCESS  SIDE.
                                                            1
Figure 3-4.  Diagram of a Spring-Loaded  Safety/Relief Valve'
                          3-7

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that requires a seal to isolate the compressor interior gas  from
atmosphere.  The possibility of a leak through this seal makes  it  a
potential source of benzene emissions.  In addition to having seal
types like those used for pumps, centrifugal compressors can be equip-
ped with a liquid-film seal as shown  in Figure 3-5.  The seal is a
film of oil that flows between the rotating shaft and the  stationary
gland.  The oil that leaves the compressor from the pressurized system
side is under the system internal gas pressure and is contaminated
with the gas.  When this contaminated oil is returned to the open  oil
reservoir, process  gas and entrained  benzene can be released to atmosphere.
     3.2.1.6  Agitators.  Agitators are commonly used to stir or
blend chemicals in  organic chemical processes.  Like pumps and  compressors,
agitators may leak  organic chemicals  at the point where the agitator
shaft penetrates the vessel.  Consequently, seals are required  to
minimize leakage of process materials from agitators.   However,  in the
benzene operations  that are known to  utilize agitators, the agitated
vessels operate at  atmospheric pressure,  so there would be no  leakage
at the seal.  For this reason, agitators  are not considered to  be
a significant source of benzene fugitive  emissions.
3.2.2  Other Potential Sources
     3.2.2.1  Process Drains.  The operation of refinery and organic
chemical process units entails draining condensate water and flushing
water from process  equipment.  These  drains also receive liquid leak-
age, spills, and water used to cool pump  glands.  Because  most  of
these drains are open to atmosphere,  benzene in the wastewater  can be
emitted  to atmosphere.  However,  if leakage and spills  are minimized,
benzene  emissions from drains are expected  to  be slight.
     3.2.2.2  Sampling Connections.   The  operation of  process  units is
checked  periodically by routine analysis  of feedstocks  and products.
To obtain  representative samples  for  these  analyses,  sampling  lines
must  first be  purged.   If  this  flushing  liquid is  not  returned  to  the
process,  it could be drained  onto the ground or  into  a  process  drain,
where  it would  evaporate and  release  benzene  to  atmosphere.
      3.2.2.3  Open-Ended Valves.  Some  valves  are  installed in  a
system  so  that  they function  with  the downstream  line  open to  atmosphere.
                                  3-8

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  INNER
  BUSHING
INTERNAL
GAS
PRESSURE
                              OIL IN FROM RESERVOIR
         OUTER
         BUSHING
              CONTAMINATED
              OIL OUT
              TO RESERVOIR
OIL OUT
         ATMOSPHERE
      Figure 3-5.  Liquid-Film Compressor Shaft Seal
                           3-9

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Examples are purge valves, drain valves, and vent valves.   A faulty
valve seat or incompletely closed valve would result in leakage through
the valve and benzene emissions to atmosphere.
     3.2.2.4  Wastewater Separators.   Contaminated wastewater can
originate from several  sources including, but not limited  to, leaks,
spills, pump and compressor seal cooling and flushing, sampling,
equipment cleaning, stripped sour water, desalter water effluent, and
rain runoff.  Contaminated wastewater is collected in the  process
drain system and directed to the wastewater treatment system where oil
is skimmed in a separator, and the wastewater undergoes additional
treatment as required.   If it is present, benzene will be  emitted
wherever wastewater is  exposed to atmosphere due to evaporation of
benzene contained in the wastewater.   As such, the primary emission
points include surfaces of forebays and separators.  Data  are not
available to characterize uncontrolled emission rates for  wastewater
separators.
     3.2.2.5  Product Accumulator Vessels.  Product accumulator vessels
include overhead and bottoms receiver vessels utilized with fractionation
columns, and product separator vessels utilized in series  with reactor
vessels to separate reaction products.  Accumulator vessels can be
vented directly to atmosphere or indirectly to atmosphere  through a
blowdown drum or vacuum system.  When an accumulator vessel contains
benzene and vents to atmosphere, benzene emissions can occur.
     3.2.2.6  Vacuum-Producing Systems.  The vacuum-producing systems
attendant to vacuum distillation and other processes  (including Sulfolane
aromatic extraction) are potential sources of atmospheric  emissions of
benzene.  Two types of vacuum-producing systems could be used for
these processes:
     • Steam ejectors with contact condensers.
     • Steam ejectors with surface condensers.
     In the contact condenser, condensable organics and steam from the
vacuum still and the jet ejectors are condensed by intimately mixing
with cold water.  The condensable organics and water vapor flow to a
condenser hot well.  Benzene in the hot well can be evaporated and
emitted to atmosphere.   Any benzene that is not condensed  in the
                                 3-10

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barometric condenser can also be emitted directly to atmosphere.  In a
surface condenser, non-condensables and process steam from the vacuum
still, mixed with steam from the jets, are condensed by cooling water
in heat exchangers.  These potential pollutants, therefore, do not
come in contact with the cooling water.  Again, any benzene that  is
not condensed may be emitted to atmosphere.
     3.2.2.7  Cooling Towers.  Cooling  towers dissipate heat  to atmosphere
from the  recirculating water that  in turn  is used  to remove heat  from
such process equipment as  reactors, condensers, and heat  exchangers.
If a leak in the  process equipment occurs  and  if  the equipment is
operating at a  pressure higher  than that  of  the  recirculating water,
process material  can  be entrained  in  the  water stream.   This  material
can  be  evaporated and  released  to  atmosphere from the  cooling tower,
making  it a potential  source of benzene emissions.  Another source of
emissions is  the use  of benzene-contaminated process  water as a cooling
water source.   Uncontrolled emission  data are not available for cooling
towers.
      3.2.2.8  Process Unit Turnarounds.  Process units, such as reactors
 and fractionators, are periodically shut down and emptied for internal
 inspection and maintenance.  The  process of unit  shutdown, repair or
 inspection, and start-up  is termed a unit turnaround.  Purging the
 contents of a vessel  to provide a safe interior atmosphere for workmen
 is termed a vessel blowdown.
      In  a  typical process unit turnaround,  the liquid contents are
 pumped from the  vessel to some available  storage  facility.   The  vessel
 is then  depressurized, flushed with water,  steam, or  nitrogen, and
 ventilated.  Depending on the  facility configuration,  the vapor  con-
 tent of  the vessel may be vented  to  a  fuel  gas  system,  flared,  or
 released directly  to  atmosphere.   When vapors are released directly  to
 atmosphere with potential benzene emissions,  it is through a knock-out
  pot,  which removes condensable benzene,  and a blowdown stack, which is
 usually  remotely located  to ensure that combustible mixtures will not
  be released within the facility.   Data are not available to characterize
  uncontrolled  emission rates for process unit turnarounds.
                                   3-11

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     3.2.2.9  Safety/Relief Valve Discharges.  Safety/relief valves
are designed to release a product material from distillation columns,
pressure vessels, reactors, and other pressurized systems during
emergency or upset conditions.  Release of material  containing benzene
makes this equipment an emission source.  The frequency and duration
of releases, however, are dependent on the operating conditions of the
particular plant, and wide operational variations between plants can
occur.
3.3  MAGNITUDE OF BENZENE EMISSIONS FROM REFINING AND ORGANIC CHEMICAL
     PRODUCTION OPERATIONS
     Data are limited on the measurement of  benzene fugitive emissions
from  sources in the refining and organic chemical industries.  However,
recent testing efforts have generated a great deal of information  on
VOC emissions from refining operations.  Refinery benzene fugitive
emissions are assumed to be similar to the refinery VOC emissions  for
light liquid service equipment because of their similar vapor pressures.
It is straightforward, therefore, to  estimate refinery benzene fugitive
emissions from these data.  Since the majority of benzene fugitive
emissions in the organic chemical industry originates from  equipment
handling benzene and benzene-containing organic streams, the emission
factors developed from the refinery data  should apply to organic
chemical industry sources as  well.  Table 3-1 presents VOC  emission
factors for refining and organic chemical industry sources.  Benzene
emissions can be related to these VOC emission factors if it is assumed
that  the weight  percent  benzene  in the gaseous emissions from a leaking
piece of equipment is equivalent to the weight percent benzene in  the
product stream being handled  by  the equipment.
      To illustrate the usage  of  these factors, benzene emissions were
estimated for an example medium-sized production  operation.  Table 3-2
represents  an average number  of  pieces of equipment handling  benzene
in  a  chlorobenzene production unit, a reformate  benzene  extraction
unit, or a  linear alkylbenzene  production unit.   The  number of pieces
of  equipment multiplied  by the  appropriate  emission factor  from Table  3-1
yields  the  total benzene fugitive emissions  for  each  type of equipment.
                                  3-12

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             Table 3-1   ESTIMATED EMISSION FACTORS FOR NONMETHANE
       HYDROCARBONS FROM REFINING AND ORGANIC CHEMICAL INDUSTRY SOURCES
                                            Emission Factor Estimate
         Source Type                            (Kg/hr - sources)
      Pumps
      Pipeline Valves
         a.  Gas/Vapor Streams                      °'°21e
         b.  Liquid Streams                         °-010
      Safety/Relief Valvesb                         °-16
      cl                                            0.00026
      Flanges
                                                    0  44
      Compressors
       Process  Drains                                      c
       Sampling Connections                           °-015 c
       Open-Ended Valves                             °-0032
       Wastewater Separators                         ^
       Vacuum-Producing Systems                      NA
       Cooling Towers                                 Negligible
       Process Unit Turnarounds                      NA
       Product Accumulator Vessel Vents              1-23
       Safety/Relief Valve Discharges                NA

     NA - No factor available.
     aFrom  Reference 4  except  where otherwise noted.
     bGas Service  only.
     cThis  factor  was  derived  by the  following  equation:
                                        (Purge\           sampling
                                        Loss,]*    8^onnections       From
                                        See   I       1000 Bbl/hour      \KCT. o
                                       Ref. 5/     refinery  throughput  \     >
+ 0.0032 Kg/hour for one open-ended valve (Seat  Leakage,  see Ref.  7)  =  0.015 Kg/hour
      dFrom Reference  8
      Emission factor for refinery equipment in light liquid service.
                                       3-13

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Table 3-2.  ESTIMATED BENZENE EMISSIONS FROM AN AVERAGE PLANT'
  Equipment Type9
   Number of
Pieces Handling
   10  or More
Weight Percent
    Benzene
Uncontrolled
   Benzenee
  Emission
   (kg/hr)
Pumps
Pipeline Valves
Gas
Liquid
Safety/Relief Valves
Open-Ended Valves
Gas
Liquid
s+
Sample Connections
Flanges
Drains
Totals
15

91
168
9

9
96
26
600
15
1,003d
1.80

1.91
1.68
1.44

0.22
1.27
0.39
0.16
0.48
9.35
 Wastewater separators, vacuum-producing systems,  process unit
 turnarounds, cooling towers and safety/relief valve discharges
 have been excluded due to lack of emission  factors.


 Uncontrolled benzene emissions include emissions  for pipeline valves and
 open-ended valves: gas = 0.0242 kg/hr per open-ended valve and
 liquid = 0.0132 kg/hr per open-ended valve.

cNumber of sample connections is 25 percent  of the number of open-
 ended valves.
 Total equipment excludes sample connections since they are included
 in the total  number of open-ended valves.

   is assumes 100 percent benzene in the equipment.

                                  3-14

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3.4  REFERENCES

1    Erikson, D.G.  and V. Kalcevic. Emission Control Options for
 '    the Synthetic Organic Chemicals Manufacturing  Industry,
     Fugitive Emissions Report.  Hydroscience, Incorporated.
     Knoxville, TN.  For U.S. Environmental Protection Agency.
     Research Triangle Park, NC.  Draft Report for  EPA Contract
     No. 68-02-2577.  February 1979.  p. II-3, II-6.

2    Edwards, J.A.  Valves, Pipe and Fittings —A  Special Staff
     Report.  Pollution  Engineering.  6:22-30.  December  1974.

3.   Boland, R.F., et al.   Screening Study  for Miscellaneous
     Sources of Hyd^carbon  Emissions in Petroleum  Refineries.
     Monsanto Research Corporation.  Dayton,  OH.  For  U.b.
     Environmental Protection  Agency.   Research Triangle  Park,  NC.
     Report  No. EPA-450/3-76-041.   December 1976.

 4    VJetherold, R. and L.  Provost.   Emission  Factors and  Frequency
  '   of Leak Occurrence  for Fittings in Refinery  Process  Units.
     Radian  Corporation.  Austin,  TX.   For U.S.  Environmental
     Protection Agency.   Research  Triangle Park,  NC.  Report
     No. EPA-600/2-79-044.  February 1979.   p.  22.

 5     Burklin,  C.E.  Revision of Evaporative Hydrocarbon Emission
      Factors.   Radian Corporation.  Austin, TX.   For U.S.
      Environmental Protection Agency.   Research Triangle Park, NC.
      Report No.  EPA-450/3-76-039.   August  1976.   80 p.

 6.   Powell, D.,  et al.   Development of Petroleum  Refinery Plot
      Plans   Pacific Environmental Services, Incorporated.  Santa
      Monica, CA.   For U.S. Environmental Action Agency.
      Research Triangle  Park, NC.  Report No. EPA-450/3-78-025.
      June 1978.   180 p.

 7.   Wetherold, R.G., et  al..  Assessment of  Atmospheric  Emissions
      from Petroleum Refining:  Volume  3.   Appendix B.  Radian
      Corooration.  Austin, TX.  For U.S.  Environmental Protection
      AgeScy?  Industrial  Environmental  Research  Laboratory    Research
      Triangle Park, North Carolina.  (Final)  Report  No.  EPA-600/
      2-80-075C.   April  1980.   p.  266.

 8   Briggs, T. and V.P.  Patel.   Evaluation  of  Emissions from
      Benzene-Related  Petroleum Processing Operations.   PEDCo
      Environmental,  Incorporated.   Cincinnati,  OH.  For  U.S.
      Environmental  Protection Agency.   Research  Triangle Park, NC.
      Report No.  EPA-450/3-79-022.   October 1978.  p.  53
                                   3-15

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                   4.0  EMISSION CONTROL TECHNIQUES

4.1  INTRODUCTION
     As identified in Chapter 3, there are several categories of
potential  sources of benzene fugitive emissions in refining and organic
chemical operations.  These sources include:  (1) the cumulative total
of small continuous leaking emission sources caused by seal leakage in
pumps, valves, flanges, safety/relief valves, agitators, and compressors,
(2) continuous emissions from the operation of vacuum-producing systems,
drains, wastewater separators,  and  cooling  towers, and  (3)  intermittent
emissions from the operation of safety/relief valves, product  accumulator
vessel  vents, sampling  connections, open-ended  valves,  and  process
unit  turnarounds.
      Three  basic control  techniques can be  applied to  reduce  benzene
fugitive  emissions  from these  potential  sources.   These techniques
are as follows:
      •  Leak detection and repair programs  in which fugitive sources
 are located and  repaired at regular intervals.
      •  Preventive programs in which  potential  fugitive sources are
 eliminated by either retrofitting with specified controls or replacement
 with leakless equipment.
      •  Process modifications  that reduce or eliminate benzene fugitive
 emissions by reducing or eliminating the use of  benzene in production
 operations.
      This chapter will discuss  these control techniques and their
 effectiveness in reducing  benzene  fugitive emissions.  Technical
 aspects  of  retrofitting specified  controls and  leakless equipment  for
 the  industry will also  be  discussed.
       Four  of the  sources  described in  the  previous  chapter are not
  included in this  discussion  of emission control  techniques —wastewater
                                    4-1

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separators, cooling towers, process unit turnarounds, and agitators.
No reliable data on emission rates and control techniques are available
for cooling towers and process unit turnarounds, so these sources have
not been included in this chapter.  Wastewater separators are also not
included because emission information for controlled and uncontrolled
operations is not available.  Agitators are not considered to be a
significant source of benzene fugitive emissions.  As stated in
Chapter 3, agitated vessels in benzene operations operate at atmospheric
pressure; consequently, .no leakage is expected at the seal.  These
sources may be addressed in the future.
4.2  LEAK DETECTION AND REPAIR PROGRAMS
     The types of equipment that have the potential to be benzene
fugitive emission sources (i.e., pumps, valves, etc.) have been identi-
fied and discussed in Chapter 3.  When such a piece of equipment
develops a leak, the leak can be detected by using a portable VOC
detector (performance criteria for the instrument and a description of
the leak testing methods are given in Appendix D).  When the leak has
been located, it can be repaired through repair procedures, such as
tightening the packing for valves.
     Potential benzene fugitive emission sources at a given plant can
be monitored at regular intervals with the portable detector, and the
identified leaks can be repaired within a specified time limit.  This
approach is referred to as a leak detection and repair program, and it
may be used to effect various control efficiencies depending on the
action level  (VOC concentration in parts per million by volume that
defines a leak), leak detection interval, and allowable repair time
specified.
     Recently developed data can be used to predict the potential
number of leaks from the various equipment types.   For example,
Table 4-1 presents data on the percentage of pieces of equipment that
are predicted to be found leaking at various action levels during an
initial source screening survey.
                                  4-2

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Table 4-1 PERCENTAGE OF SOURCES  PREDICTED  TO  BE  LEAKING

          IN AN INDIVIDUAL COMPONENT SURVEY1
Equi pment
Typea
Pumps
Pipeline Valves
a. Gasc
b. Liquid
Safety/Relief Valves
Pipeline Flanges
Compressors
Process Drains
PrpHirtpd Percent of Sources Leaking0
>100,000ppmv
6
4
2
1
0
5
0
J 	 	 	 — —•— -
>50,000ppmv
9
5
4
2
0
10
1
>10,000ppmv
23
10
12
8
0
33
4
>1000ppmv
41
22
25
21
2
68
10
 aData are not available for open-ended valves, sampling  connections,
  wastewater separators, vacuum-producing systems,  and cooling towers.
  This type of information would not be  appropriate for  process unit
  turnarounds, product accumulator vessel vents,  and safety/relief valve
  over-pressure.

 bThe technical feasibility of repairing leaks in the 1000 - 10,000 ppm
  range and achieving an overall emission reduction has  not been demon-
  strated in field testing.

 cValves in gas service contain process  fluid in the gaseous state.
                          4-3

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4.2.1  Definition of a Leak
     In order to develop a leak detection plan for equipment leaks, an
equipment leak must first be defined.  The choice of the action level
for defining a leak is influenced by several considerations.  First,
the percent of total mass emissions that can potentially be controlled
by the leak detection and repair program can be affected by varying
the action level.  Table 4-2 gives the percent of total mass emissions
affected at various action levels for a number of equipment types.
From the table, it can be seen that, in general, a low action level
results in larger potential emission reductions.  However, the choice
of an appropriate leak definition is limited by the ability to repair
leaking components.
     The ability to repair leaking equipment from above 10,000 ppm  to
                                                        2
below 10,000 ppm has been demonstrated in field testing.   This repair
ability has not been demonstrated for a 1,000 ppm action level, however.
Available data do not support the conclusion that repairing leaks  in
the 1,000 to 10,000 ppm range would result  in an overall reduction  in
emissions.
     The nature of  repair techniques for pipeline valves,  for instance,
is such that attempts to repair  leaks below a certain  level by tightening
the packing gland may result in  an increase in emissions.   In practice,
valve packing material can become hard and  brittle after extended  use.
As the packing loses  its resiliency, the valve packing gland must  be
tightened to prevent  loss of product to atmosphere.   Excessive tightening,
however, may cause  cracks in the packing, thus exacerbating the leak
rate.
4.2.2  Inspection  Interval
     A leak detection plan may  include annual, quarterly,  monthly,  or
even weekly inspections.  The  length of time  between  inspections
should depend on the  expected  occurrence and  recurrence of leaks  after
a  piece  of  equipment  has  been  checked and/or  repaired.  This  interval
can  be related  to  the type  of  equipment and service  conditions, and
different  intervals can  be  specified for different  pieces  of  equipment.
      In  the  refinery  VOC  leak  Control Technique  Guideline  (CTG) document  ,
the  recommended  leak  detection  intervals  are:   annual  —  pump  seals,
                                   4-4

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              Table 4-2.   PERCENT OF TOTAL MASS EMISSIONS
                    AFFECTED AT VARIOUS ACTION LEVELS1
	 _ 	 — 	 — ' ••
	 	 	
1
Source Type
Pumps
i
Pipeline Valves
Gasc
Liquid
Safety/Relief Valves
Compressors
Percent of Mass Emissions Affected
at this Action Level3
100,000 ppmv
56


85
49
19
28
; n
Drains J


50,000 ppmv
68


92
62
33
48
8

10,000 ppmv
87


98
84
69
84
46


1 ,000 ppmv0
97 !


99
96
91
98
82


. 	 — 	 1— 	 — — 	 —
aThese figures relate the action level  to the percentage of total  mass
 emissions that can be expected from sources with concentrations at
 ?he source greater than the action level.  If these sources were
 rnstantlneously repaired to a zero leak rate and no new leaks occurred,
 then emissions could be expected to be reduced by this maximum theo-
 retical efficiency.

bThe technical feasibility of repairing leaks in the 1000 to 10,000 ppm
 range and achieving an overall emission reduction has not been demon-
 strated  in field  testing.

cValves  in gas service contain  process  fluid  in  the gaseous state.
                              4-5

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pipeline valves in liquid service, and process drains; quarterly —
compressor seals, pipeline valves in gas service,  and safety/relief
valves in gas service; weekly — visual  inspection of pump seals; and
no individual monitoring — pipeline flanges and other connections,
and safety/relief valves in liquid service.  The choice of the interval
affects the emission reduction achievable, since more frequent inspection
will result in earlier detection and repair of leaking sources.
4.2.3  Allowable Repair Time
     If a leak is detected, the equipment should be repaired within a
certain time period.  The allowable repair time should reflect an
interest in eliminating a source of benzene emissions, but it should
also allow the plant operator sufficient time to obtain necessary
repair parts and maintain some degree of flexibility in overall plant
maintenance scheduling.  Once again, the determination of this allowable
repair time will affect emission reductions by influencing the length
of time that leaking sources are allowed to continue to emit benzene.
4.2.4  Visual Inspections
     Visual  inspections can be performed to detect evidence of liquid
leakage from plant equipment.  When such evidence is observed, the
operator can use a portable VOC detector to measure the VOC concentra-
tion of the  source.  All liquid leaks will not necessarily result  in a
                                         3
reading of greater than the action level.   In a specific application,
visual inspections can be used to detect the failure of the outer  seal
of  a pump double mechanical seal system.  Observation of liquid  leaking
along the shaft  indicates an outer seal failure and signals the need
for seal repair.
4.2.5  Other Leak Detection Techniques
     Other leak  detection techniques have been proposed to supplement
the individual  component survey.  These techniques include unit  area
surveys  (walkthroughs) and fixed-point  leak detection systems.   In
theory, these techniques allow the operator to reduce the number of
components that  must  be  individually surveyed and hence reduce leak
detection labor  requirements.
     4.2.5.1  Unit Area  Survey.  A unit area  survey  entails measuring
the ambient  VOC  concentration within a  given  distance, for example,
                                   4-6

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one meter of all  equipment located on ground and other accessible
levels within a processing area.   These measurements are performed
with a portable VOC detector utilizing a strip chart recorder.
     The instrument operator walks a predetermined path to assure
total available coverage of a unit on both the upwind and downwind
sides of the equipment, noting on the chart record the location in a
unit where any elevated VOC concentrations are detected.  If an elevated
VOC concentration is recorded, the components in that area can be
screened individually to locate the  specific leaking equipment.
      It is estimated that 50 percent of all significant leaks in a
unit  are detected by the walkthrough survey, provided  that there are
only  a few pieces of leaking equipment, thus reducing  the VOC back-
ground concentration sufficiently  to allow  for  reliable detection.
      The major advantages of the  unit  area  survey  are  that leaks  from
accessible  leak  sources  near the  ground can be  located quickly and
that the leak  detection  manpower  requirements can  be  lower than  those
for the  individual  component  survey.  Some  of the  shortcomings of  this
method  are  that  VOC emissions  from adjacent units  can  cause  false  leak
indications; high  or intermittent winds  (local  meteorological  conditions)
can increase dispersion  of  VOC,  causing  leaks to be undetected;  elevated
equipment  leaks  are not  detected; and additional effort is  necessary
to locate  the specific leaking equipment (i.e., individual  checks in
areas where high concentrations  are found).
      4.2.5.2  Fixed-Point Monitoring Systems.   The basic concept of
 the fixed-point monitoring system is that sampling-point devices can
 be installed at specific sites within a process area to monitor for
 leaks automatically.  The ambient benzene concentration can be remotely
 and centrally indicated to the operator, who can  respond appropriately
 when elevated levels are recorded.  The monitoring sites would not
 include the entire area of the plant, but  only  areas  where equipment
 handling benzene is located.
      The approaches to  leak detection with fixed-point monitors differ
 in  the number and  placement of the  sample  points  and  in the manner  in
 which the  sample  is taken  and analyzed.  One approach is to  establish
                                    4-7

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the sample points near specific pieces of equipment, such as process
pumps and compressors.  A second approach is to establish the sample
points in a grid pattern throughout the process area.  When an elevated
concentration is noted, the operator performs an individual component
survey on equipment in that area to locate the leaking component.  In
addition to these variations in the location of the sampling points,
different types of systems can be used.  For example, the sampling can
be done on-site or the samples can be collected at the site and then
analyzed at a central  location (an automatic sequential system).
     One feature of the fixed-point monitor approach is that the
location of the monitor and the type of sampling and analysis can be
tailored to meet the requirements of individual plant sites and VOC.
Fixed-point monitors have the capability to sample for benzene
specifically by gas chromatography — flame ionization detection
(GC/FID) or infrared  (IR) analysis.  This allows the sources leaking
benzene to be located more easily.  However, this approach will require
the use of a portable VOC detector to locate the leak, particularly if
a gridded process-area monitoring approach is used.  Leak detection
efficiency for fixed-point monitoring systems is estimated to be 33
       5
percent  for facilities with a small number of recurring leaks, pro-
vided that major leaking equipment has been repaired, reducing the
benzene background concentration sufficiently to allow reliable detection.
     The fixed-point monitoring approach can also be utilized to
monitor the operation of individual pieces of equipment and detect
control device failures that would result in leaks.  In specific
applications, the barrier fluid system of a double pump seal can be
monitored with a sensing device to signal seal failure.  Also, in
cases where rupture disks are installed upstream of safety/relief
valves, leakage through the disk can be monitored if pressure gauges
and/or excess flow valves are installed between the disk and the
valve.
4.2.6  Repair
     When leaks are located by the leak detection methods described in
this section, the leaking component can then be repaired or replaced.
Many components can be serviced on-line.  This is generally regarded
                                  4-8

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as routine maintenance to keep operating equipment functioning  properly.
Equipment failure, as indicated by a leak not eliminated by  servicing,
requires isolation of the faulty equipment for either  repair or replacement.
     4.2.6.1  Pumps.  Most critical service  process  pumps  are backed
up with a spare so that they can be isolated for  repair.   Of those
pumps that are not backed up with  spares, some can be  corrected by
on-line repairs (e.g., tightening  the  packing).   However,  most leaks
that need correction  require that  the  pump  be  removed  from service for
seal repair.
     4.2.6.2  Valves.  Most  valve  leaks can  be reduced on-line by
tightening  the  packing gland for  valves with packed  seals  or by lubri-
cation  for  plug valves,  for  example.   Based on field observations, one
refinery  study  assumed  that  75 percent of leaking valves could be
repaired  on-line.
      Valves that  need to be  repacked or replaced to reduce  leakage
 must be isolated  from the process.  Control valves, 6 to  8  percent of
 the total  valves  in benzene service in the refining and organic chemical
 industries,4 can  usually be isolated.  Block valves,  which  are used  to
 isolate or by-pass equipment, normally cannot be isolated.   One  refiner
 estimates that 10 percent of  the  block valves can be  isolated.
      When leaking valves can  be corrected on-line,  repair servicing
 can be done  immediately after detection  of  the  leak.   When  the leaks
 can be corrected only by a  total  or  partial  shutdown, the temporary
 emissions could  be  larger than the continuous  emissions that would
 result from  not  shutting down the unit until  it was time  for a shutdown
 for other  reasons.   Simple  maintenance procedures,  such as packing
  gland  tightening and grease injection, can be applied to reduce emissions
  from  leaking valves until a shutdown is scheduled.   Leaks  that cannot
  be repaired  on-line can be  repaired  by drilling into the valve housing
  and  injecting  a  sealing compound.  This practice is growing in acceptance,
  especially for safety  concerns.
       4.2.6.3  Flanges.   One  refinery field study noted that most
  flange leaks could be sealed effectively on-line by  simply tightening
  the flange bolts.6  For a flange leak that requires  off-line  gasket
  seal  replacement, a total or partial  shutdown of the unit  would  probably
  be required because most flanges cannot be  isolated.
                                     4-9

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     For many of these cases, there are temporary flange repair methods
that can be used.  Unless a leak is major and cannot be temporarily
corrected, the temporary emission from shutting down a unit would
probably be larger than the continuous emissions that would result
from not shutting down the unit until time for a shutdown for other
reasons.
     4.2.6.4  Compressors.  Compressors usually are in critical service
but often spares are not provided.  Consequently, the compressors
would need to be bypassed, possibly by a partial or complete unit
shutdown, so that repairs can be made.  In most cases the shutdown for
repair of the leaking seal and the subsequent startup will  involve
flaring the process stream until operations are stabilized.  This can
result in the temporary emissions being larger than the continuous
emissions that would occur until the unit was shut down for other
reasons.
4.2.7  Emission  Control Effectiveness of Leak Detection and Repair
     The control efficiency achieved by a leak detection  and repair
program is dependent on several  factors, including the  action  level,
the inspection frequency, and the allowable repair time.
     Data are presented  in Table 4-2 that show the expected fraction
of  total emissions  from each type of source contributed by  those
sources with VOC concentrations  greater than  given action  levels.   If
a leak detection and repair  program  resulted  in repair  of  all  such
sources to 0 ppm, elimination of all sources  over  the  action  level
between inspections, and  instantaneous repair of  those  sources found
at  each inspection,  then  emissions could be  expected  to be  reduced  by
the amount reported  in Table 4-2.  However,  since  these conditions  are
not met in practice,  the  fraction  of emissions  from  sources with  VOC
concentrations  over  the  action  level  represents  the  theoretical  maximum
reduction  efficiency.  The approach  to estimation  of  emission  reduction
presented  here  is to  reduce  this theoretical  maximum  control  efficiency
by  accounting quantitatively for those factors  outlined above.
                                   4-10

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     This approach  can be expressed mathematically by the following
         9
equation:
          Reduction efficiency  =  AxBxCxD

Where:

     A =       Theoretical Maximum Control Efficiency = fraction of
               total mass emissions from sources with VOC concentra-
               tions greater than the action level (from Table 4-2).

     B =       Leak Occurrence and Recurrence Correction Factory
               correction factor to account for sources which start to
               leak between inspections  (occurrence) and for sources
               which  are  found to  be leaking, are  repaired and start
               to  leak again before the  next inspection  (recurrence),
               including  known leaks that could not  be repaired.

      C  =      Non-Instantaneous  Repair  Correction Factor  = correction
               factor to account  for emissions which occur between
               detection of a  leak and  subsequent repair,  since  repair
               is  not instantaneous.

      n  =      Imperfecc Repair  Correction Factor =  correction  factor
               to  account for the fact  that some  sources which  are
               repaired  are not  reduced to zero emission levels,  i-or
               computational  purposes,  all sources which are  repaired
               are assumed to be reduced to a 1000 ppm emission level.

 An implicit assumption here is that the leak detection program detects

 all of the sources with VOC concentrations greater than the action
 level that are present at the time of the inspection.  As an example

 of this technique, Table 4-3 gives values for the "B,»  "C" and  "D»
 correction factors for  various possible  inspection  intervals, allowable

 repair  times, and action levels.

 A.3  PREVENTIVE PROGRAMS
      Another  approach to  reducing  benzene fugitive  emissions from

 chemical  and  refinery operations  is to  replace components with  equip-
 ment which does not  leak.  This  approach is  referred  to as a preventive

  program.   This section  will  discuss the kinds  of equipment that could

  be applied  in such a program and the  advantages  and disadvantages of

  this equipment.

  4.3.1  Pumps
       As discussed in Chapter 3, pumps can be potential  benzene fugitive

  emission sources  because of leakage through the drive-shaft sealing
                                    4-11

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                                     Table 4-3.   EMISSION CORRECTION FACTORS FOR VARIOUS  INSPECTION
                                  INTERVALS,  ALLOWABLE  REPAIR TIMES AND ACTION LEVELS   (Reference 9)
ro
Leak Occurrence and
Recurrence Correction
Factorb
Inspection Interval
Source
Pumps
Pipeline Valves
Gasf
Liquid
Safety/Relief Valves9
Compressors
Drains
Yearly
0.800

0.800
0.800
0.800
0.800
0.800
Quarterly
0.900

0.900 k
0.900
0.900
0.900
0.900
Monthly
0.950

0.950
0.950
0.950
0.950
0.950
Non-Instantaneous
Repair Correction
FactorC
Allowable Repair
Time (Days)
15
0.979

0.979
0.979
0.979
0.979
0.979
5
0.993

0.993
0.993
0.993
0.993
0.993
1
0.999

0.999
0.999
0.999
0.999
0.999
Imperfect Repair
Correction
Factor^
Action Level
100,000
0.969

0.997
0.984
0.989
0,983
,.--
50,000
0.961

0.996
0.975
0.987
0,984
0.864
10
0.

0.
0.
0.
0,
0,
( ppmv )
,000
923

993
944
976
970
.906
1 ,000e
0.876

0.986
0.898
0.951
0,946
0.868
                             aNote  that these correction factors  taken individually do not correspond  exactly to the overall emission
                              reduction obtainable  by a leak detection and repair  program.  The overall effectless  of  the program is
                              determined by the product of all  correction factors.

                             Salues  are assumed and account for  sources that start to leak between inspections (oc^rence) and for
                              sources that are found to be leaking,  are repaired,  and start to leak again before the next  inspection
                              (recurrence), including known leaks that could not be repaired.

                             Accounts for emissions that occur between detection  of a leak and subsequent  repair.

                             Accounts for the fact that some sources  that are repaired are not reduced to  0 ppm emission  levels.  The
                              average repair factors at 1000 ppmv are  assumed.

                             eThe technical feasibility of  repairing leaks  in the 1000-10,000 ppm range and achieving an overall emission
                              reduction has not been demonstrated in field  testing.

                             fValves  in gas service carry  process fluids  in  the gaseous state.

                              Gas service  only.

-------
mechanism.  This kind of leakage can be reduced to a negligible level
through the installation of improved shaft sealing mechanisms, such as
dual mechanical seals, or it can be eliminated entirely by  installing
sealless pumps.
     a.a.1.1 Dual Mechanical Seals.  By design, dual mechanical
seals  (double or tandem) have a chamber between the  two seal  faces
that either is  flushed with a circulating  sealing  fluid that  allows
control of the  conditions under which  the  seal operates,  or is  flooded
with a barrier  fluid.  Double mechanical  seal  systems  have  two  seals
in  a back-to-back arrangement providing an enclosed  cavity.  The
barrier  fluid  between  the two seals  is circulated  through the cavity
to  lubricate and cool  the seals.   The  barrier  fluid  typically is
maintained  at  a pressure greater  than  the pump stuffing box pressure
 (Figure  4-1) so that any leakage  between  the seals would  be from the
 barrier  fluid  to the process  fluid.   Consequently, no benzene would be
 emitted  to  atmosphere as long as  the double mechanical seal system is
 operating properly.  Field  screening has  shown that the magnitude of
 emissions from new pumps equipped with double mechanical  seals is
 negligible as  long as the integrity of the seals is maintained.
 Double seals do fail after extended periods of use, however, and can
 develop leaks.
       Tandem mechanical  seal systems have  two mechanical  seals in a
 front-to-back  arrangement.   Like double seals, tandem seal systems
 utilize a barrier  fluid; however, the barrier fluid  pressure is maintained
 at a  pressure  lower than the pump stuffing  box pressure.   In this  ar-
 rangement, there is the possibility of leakage of the process  fluid
 into  the barrier fluid.  Leakage  into the barrier fluid  can  be  controlled
 by either  (1)  connecting the barrier  fluid  degassing  system  to  a
 control  device (i.e., enclosed combustion or  vapor  recovery) with  a
 closed  vent system or (2)  continuously replacing  the fluid with  fresh
 barrier  fluid  and  properly disposing  of  the contaminated barrier
 fluid.   One company,  however,  has reported mechanical problems associated
 with  lubrication  of the outside  seal, which cannot  operate in  a "dry"
  state.   When  the  outside  seal  fails,  it may not be  detected until  the
  inside  seal  fails, causing release of product.   In addition, a bearing
                                    4-13

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Possible leak into
   sealing fluid
         \
         \
                    Sealing-liquid
                       /  inlet
Fluid_
 end
                                  Sealing-liquid
                                      outlet









1
\ 	 YT- ' |i
\ >
\ \. L'
\ u 	 -\
\ , 	 !
\ r-T
\ i '
ri I N.I
JLJ I
~r=- — i l^ 1 r ' • i /> ^ — ^ VTl 1 — TT-1
1 	 .>>, ' n ] f — '// ut=t-r
-=n /—ICc ^ £=, ^ ^C
, 










Inner seal assembly
                                          N0uterseal assembl
              Figure 4-1.  Double Mechanical Seal

-------
failure, which usually affects the entire pump shaft, can damage or
destroy both tandem seals so that their effectiveness in reducing
emissions is no more than a single mechanical seal.
     The barrier fluid system between the dual seals may be a circulating
system, or it may rely on convection to circulate fluid within the
system.  While the main function of the barrier fluid is to keep the
pumped  fluid  away from the  environment, it can serve other functions
as well.  A barrier flu-d can provide  temperature control in  the
stuffing box.   Furthermore,  it  can  protect the pump seals from  the
atmosphere, as  in  the  case  of pumping  easily oxidizable materials  that
form  abrasive oxides  or  polymers  upon  exposure to  air.   A wide  variety
of  fluids  can be  used  as  barrier  fluids.   Some of  the  more  common  ones
which have been used  are water  (or steam),  glycols, methanol, oil, and
 heat  transfer fluid.   In cases  in which product  contamination cannot
 be  tolerated, clean product, a  product additive, or a product diluent
 may also be used.                                                  ..•,.*.
      Mechanical seals, single or dual, have limits on their applicability.
 They can be used only on shafts with a rotary motion.  Also, the   ^
 maximum service temperature is usually limited to  less than  260°C.
 In spite of  these limitations, dual mechanical seals can be  used in
 most  new pump  applications.4   Dual mechanical seals can  also be retro-
 fitted on many pumps  that  were designed  for single mechanical  seals
 and  packed seals.  In most cases,  the retrofit  involves  the  engineering
 required  for selection  of  a suitable  dual  seal  assembly, purchase  of
 the  seal,  and installation. For some existing  packed and  single
 mechanical  seal  pumps,  however,  the  entire  pump may have to be replaced
  because the  existing pump casing will not adequately house a dual
  mechanical  seal  assembly.   Data from industrial  sources indicate that
  this  situation may occur for about 10 percent of  all pumps in benzene
          12
  service.
        4312  Seal less Pumps.   The seal less or canned-motor pump  is
  designed so that the pump  casing and  rotor  housing are  interconnected.
  As shown in  Figure 4-2, the impeller, motor rotor, and  bearings are
  completely  enclosed  and all seals are eliminated. A  small  portion  of
  process  fluid is  pumped through  the  bearings and  rotor  to  provide
  lubrication and  cooling.
                                     4-15

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        DISCHARGE
                                COOLANT CIRCULATING TUBE
SUCTION
                                 STATOR LINER
                                            \
              IMPELLER
BEARINGS
                  Figure 4-2.  Seal-less Canned Motor Pump

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     Standard single-stage canned-motor pumps are available for flows
up to 160 cubic meters per second and heads up to 76 meters.  Two-stage
units are also available for heads up to 183 meters.  Canned-motor^
pumps are widely used in applications where leakage is a problem.
     The main design limitation of these pumps is that only clean
process fluids may be pumped without excessive bearing wear.  Since
the  process liquid is the bearing lubricant, abrasive solids cannot  be
tolerated.  Also, there is no potential for  retrofitting mechanical  or
packed  seal pumps for seal less operation.  Use of these pumps in
existing plants would require that existing  pumps be  replaced.
4.3.2   Valves
     As in  the case  of  pumps, valves  can  be  sources of  benzene  fugitive
emissions  because of leakage through  the  packing used to  isolate
process fluids from  atmosphere  (see  Chapter  3).   If the valve  stem can
be isolated from  the process fluid,  however, this emission source can
be eliminated.  There are two types  of valve designs in which  the stem
 is so  isolated, and  potential  for leakage around the stem is thus
 eliminated.  These valve types are the diaphragm valve and the sealed
 bellows valve.
      4.3.2.1  Diaphragm Valves.  The general configuration of a diaphragm
 valve  is shown in Figure 4-3.  The process fluid is  isolated from the
 valve  stem by a flexible elastomer diaphragm, thus eliminating  the
 potential  for leakage around the stem.  The position of the diaphragm
 is  regulated  by a plunger,  which is  in turn controlled by the  stem.
 The stem may  be actuated manually or  automatically by  standard  hydraulic,
 pneumatic, or electric actuators.
      These valves have excellent corrosion  resistance  characteristics
  and are reported to perform well in  control  valve  situations with
  minimal  maintenance.14  The design  problems associated with diaphragm
  valves are the temperature and  pressure  limitations of the elastomer
  used  for the diaphragm.   It has been found  that temperature extremes
  tend  to damage or destroy the diaphragm in  the valve.   Also,  operating
  pressure constraints may limit the application of diaphragm valves to
  low pressure operations.
                                     4-17

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             HANDWHEEL
            PLUNGER
              FLEXIBLE
              DIAPHRAGM
              SADDLE
              SHAPED
              SEAT
Figure 4-3.  Diaphragm Valve
       4-18

-------
     4.3.2.2  Sealed Bellows  Valves.   The basic design of a sealed
bellows valve is  shown in Figure 4-4.   The stem in this type of valve
is isolated from  the process  fluid by a metal  bellows.  The bellows is
generally welded  to the bonnet and disk of the valve, thereby effecting
isolation of the  stem.
     There are two main disadvantages to these valves.  First, they
are only available in globe and gate valve configurations.  Second,
the crevices of the bellows may be subject to corrosion under  severe
conditions if the bellows alloy is not carefully  selected.
     The main advantage  of these  valves  is that they  can  be designed
to withstand high temperatures  and pressures  so that  leak-free service
can be  provided  at  operating  conditions  beyond  the  limits of  diaphragm
valves.
4.3.3   Safety/Relief  Valves
     4.3.3.1 Rupture Disks.   A rupture  disk  can  be used upstream of a
safety/relief valve so that  under normal conditions it seals  the
system tightly but will  break when its set pressure is exceeded, at
which  time the safety/relief valve will  relieve the pressure.  Figure 4-5
 is a diagram of  a rupture disk and safety/relief valve installation.
 The installation is arranged to prevent disk fragments from lodging in
 the valve and preventing the valve from being reseated if the disk
 ruptures.  It is important that no pressure be allowed to build in the
 pocket between the disk and the safety/relief valve; otherwise, the
 disk will not function  properly.  A pressure gauge and bleed  valve can
 be used to prevent pressure buildup.  With the use of a  pressure
 gauge, it can be determined whether the disk  is  properly sealing  the
 system against  leaks.   It is  also necessary  to install  a block  valve
 upstream  of the  rupture disk  so  that  the  disk  can  be isolated and
 repaired  on-line  without  shutting down  the unit.  Alternately,  to
  prevent  possible  overpressure while  using a  block  valve, a parallel
  system of relief valves and  rupture  disks can be installed so that
  one rupture disk/relief valve is in  operation while the other is
  being repaired.
       Use of a  rupture disk  upstream of a safety/relief valve would
  eliminate leaks due to improper seating and  simmering of the relief
                                    4-19

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            STEM
                 YOKE
                    BELLOWS
Fiaure 4-4. Sealed Bellows Valve
         4-20

-------
                                  —-Tension-adjustment
                                        thimble
                                   .	Spring
             To
         atmospheric
            vent
                                            BLIND FLANGE
                                                       CONNECTION FOB
                                                       PRESSURE GAUGE
                                                       & BLEED VALVE
                                FROM SYSTEM
Figure  4-5.   Rupture  Disk  Installation Upstream of  a  Safety/Relief  Valve
                                    4-21

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valve.  Also, the disk can extend the life of a safety/relief valve by
protecting it against system materials that could be corrosive and
thereby cause seal degradation.
     4.3.3.2  Closed-Vent Systems.  A closed-vent system can be used
to collect and dispose of gaseous benzene emissions resulting from the
relieving of safety/relief valves.  Emissions from safety/relief
valve overpressure are typically intermittent, and their flow rates
during major upsets can be large.  The usual method of disposing of
these gases, if collected in a closed vent, would be by flaring.
Figure 4-6 is a diagram of a dual-flare system.  The smaller flare
operates more efficiently with routine smaller exhaust.  The larger
flare is normally on standby to handle large emergency exhausts.   It
is important to note that this type of control system would control
intermittent large releases of benzene as well as the continuous small
emissions from safety/relief valve leakage.
      By connecting safety/relief valve discharges to a closed-vent and
flare system, their emissions  can be  effectively controlled.   The
effectiveness of  benzene  destruction  will depend on the flare  design
and  turn-down capability.   The major  technical difficulties with
flares  occur in manifolding.   These  problems may be especially important
in existing  plants if  emissions  from  safety/relief valves  are  manifolded
to an existing flare  that was  not designed  for the  additional  flow.
In new  plant situations,  the flare can be designed  for expected flow
rates and  frequency  of safety/relief  valve  discharges.  Finally,
off-gases  from some  chemical processes could  not  be flared due to  the
presence  of  other hazardous compounds such  as  chlorine, which  would
not  be  destroyed  by  flaring.
      At present,  no  conclusive data  are  available  on  flare efficiency.
Calculations and  limited  test  data  show  efficiencies  ranging  from
60 percent for  low flow to  a large  flare to 90 to  99  percent for  large
flow to a large  flare.16"19  The presence of saturated organics or
aromatic  compounds may decrease efficiency since such compounds are
not  easily oxidized.
 4.3.4  0;»on-Ended Valves
      Caps, plugs, and double block  and bleed valves are devices for
 closing off the  ends of valves and  pipes.  When  installed downstream

                                   4-22

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                     PILOT
MAIM
HE.ADE.R-S>->
-IXJ	1
                                             V
              £L_E-VAT E-D  P V_ ARE.
                                                              •GROUMD
                                               DIVE.R.SIOM
        A  A A
                 SEAL  OIL-
       Figure  4-6.   Simplified Closed-Vent System with  Dual  Flares
                                    4-23

-------
of an open-ended valve, they are effective in preventing leaks through
the seat of the valve from reaching atmosphere.   Open-ended valves,
                                                      20
about 20 percent of the total valves handling benzene,   are used
mostly in intermittent service for sampling, venting, or draining.  If
a cap or plug is used downstream of a valve when it is not in use,
benzene emissions can be reduced.  No test data are available to
support a control efficiency for these devices.  However, the control
efficiency will depend on such factors as frequency of valve use,
valve seat leakage, and material that may be trapped  in the pocket
between the valve arid cap or plug and lost on removal of the cap  or
plug.  For the  purposes of emission calculations,  100 percent control
efficiency of these emissions has been assumed.  The  installation of  a
cap, plug, or second  valve does  not prevent  the leakage that may  occur
through the valve stem seal.  The attachment of a  second valve  down-
stream of  the open-ended  valve  provides  a double block  and  bleed
arrangement.   In this  system, it is important that the  upstream valve
be  closed  first.  Otherwise,  product  will remain in the line  between
the valves, and expansion of  this  product will  cause  leakage  through
the valve  stem  seals.
4.3.5   Closed-Loop  Sampling
     A  frequent operation in most  refining  and  organic  chemical production
operations is  to withdraw a  sample  of material  from the process for
analysis.   To  ensure that the sample  is  representative, purging of the
 sample  lines  and/or sample  container  is  often  required.  If this
 purging  is done to  atmosphere or to open drains,  or if  there are
 incidental handling losses,  benzene emissions  can  result.   A closed-loop
 sampling system is  designed so that the  purged VOC is returned to the
 system or sent to  a closed  disposal system and so  that  the handling
 losses are minimized.  Figure 4-7 gives  two examples of closed-loop
 sampling systems where the purged VOC is flushed from a point of
 higher pressure to one of lower pressure in the system and where
 sample-line dead space is minimized.   Other sampling systems are
 available that utilize partially evacuated  sampling  containers and
                               21
 require no line pressure drop.
                                   4-24

-------
         PROCESS. UME.
                                       •PR.OCE.SS LIME.
                                               COMTA1MER
   0
5AM PL, E.
Figure 4-7.  Diagram of Two Closed-Loop Sampling Systems
                           4-25

-------
     Reduction of emissions from the use of closed-loop sampling is
dependent on many highly variable factors, such as frequency of sampling
and amount of purge required.  For emission calculations, it has been
assumed that closed-loop sampling systems will  provide 100 percent
control efficiency.
4.3.6  Accumulator Vessel Vents and Seal Oil Degassing System Vents
     Benzene emissions from accumulator vessel  vents and seal oil
degassing system vents can be controlled by a closed-vent system.  The
flow rates of these gaseous emissions are of a much smaller magnitude
than those of safety/relief valves however.  These emissions could,
therefore, be vented to a closed combustion device, such as a process
heater or a boiler or to a vapor recovery device.  The operating
parameters of the combustion device will affect the overall control
efficiency of the closed-vent/combustion device system.  Combustion
temperature and residence time are the  critical parameters influencing
benzene destruction efficiency, and theoretical kinetic  calculations
indicate that a combustion temperature  of 760°C and a  0. 5 second
residence time will result in 100 percent benzene destruction efficiency.
     Organic compounds which, if combusted, would produce noxious  or
corrosive gases  (e.g., chlorobenzene) may be present  in  some  benzene-
containing  vapor streams.  In these situations, benzene  emissions  from
accumulator vessel vents and seal oil degassing vents  should  be controlled
by  a closed-vent/vapor recovery device  system.  The overall  benzene
control  efficiency of a  closed-vent/vapor  recovery  device  system is
dependent on  the benzene collection efficiency of the  vapor  recovery
device.   Vapor  recovery  devices,  such as  adsorbers, absorbers,  and
condensers  have  been  shown to range in  benzene collection  efficiency
from 90  to  99  percent depending  on  the  parameters of  the gas  stream  in
which  the benzene  is  contained  and  the  type of vapor  recovery device
utilized.   Therefore, the  overall  efficiency of  closed-vent/vapor
recovery device  systems  can  be  expected to  be  in  the  90 to  99 percent
range.
4.4  PROCESS  MODIFICATIONS
      In  some  instances,  benzene fugitive emissions  could be  eliminated
by process  modification.   For  some  chemical processes, feedstocks

                                   4-26

-------
other than benzene can be used, thus eliminating benzene from the

process.  The following are some examples of this kind of substitution:

     •  Maleic anhydride can be produced by oxidation of n-butane


rather than by oxidation of benzene.

     •  Cyclohexane can be extracted from refinery  products  rather

                                 2 5
than by hydrogenation of benzene.
                                     4-27

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4.5  REFERENCES

 1.  Wetherold, R.G. and L. Provost.  Emission Factors and Frequency
     of Leak Occurrence for Fittings in Refinery Process Units.
     Radian Corporation. Austin, TX.  For U.S. Environmental Protection
     Agency, Research Triangle Park, NC.  Report Number EPA-600/2-79-044.
     February, 1979.

 2.  Trip report from K. C. Hustvedt to J. F. Durham summarizing test
     data gathered at Phillips Petroleum Company's Sweeny, Texas,
     refinery.  March 14, 1979.
 3.  Hustvedt, K.C., R.A. Quaney, and W.E. Kelly.  Control of Volatile
     Organic Compound Leaks from Petroleum Refinery Equipment.  U.S.
     Environmental Protection Agency.  Research Triangle  Park,  NC.
     Report Number EPA-450/2-78-036.  June 1978.

 4.  Erikson, D.G. and V. Kalcevic.  Emissions Control Options  for  the
     Synthetic Organic Chemicals Manufacturing Industry,  Fugitive
     Emissions Report.  Hydroscience, Inc.   Knoxville, TN.   For U.S.
     Environmental Protection Agency.  Research Triangle  Park,  NC.
     Draft Report for EPA Contract  Number 68-02-2577.  February 1979.

 5.  Hustvedt, K.C. and R.C. Weber.  Detection of Volatile Organic
     Compound Emissions from Equipment Leaks.  Paper  presented  at
     71st Annual Air Pollution Control Association Meeting,  Houston,
     Texas, June 25-30, 1978.

 6.  Emissions from Leaking Valves,  Flanges, Pump and Compressor
     Seals, and Other Equipment  in  Oil Refineries.  Report Number LE-
     78-001.  State of California Air Resources Board.  April 24, 1978.

 7.  Letter from Johnson, J.M.,  Exxon Co., to Walsh,  R.T., EPA.   July  28,
     1977.  Comments on EPA draft document,  "Control  of Hydrocarbon
     from Miscellaneous Refinery Sources."

 8.  Teller, J.H., Advantages found in On-Line Leak Sealing. The Oil
     and Gas Journal.  77J29): 54-59.  July  16, 1979.

 9.  Tichenor, B.A., K.C. Hustvedt, and  R.C. Weber.   Controlling
     Petroleum Refinery Fugitive Emissions Via Leak Detection and
     Repair.  In  Proceedings:  Symposium on  Atmospheric  Emissions
     from Petroleum Refineries,  November 1979, Austin, TX.
     Report Number  EPA-600/9-80-013.  March  1980.   p.  421-440.

 10.  Letter from  Kronenberger, L.,  Exxon Company, to  Goodwin, D.R., EPA.
     February 2,  1977.   Response to EPA  request for  information on
     miscellaneous  hydrocarbon emission  sources from  refineries.

 11.  Edwards, J.E.  Valves,  Pipe and Fittings—A  Special  Staff
     Report.  Pollution  Engineering.  6^:24.   December 1974.
                                   4-28

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12   Booz  Allen and Hamilton, Inc.   Benzene Emission Control  Costs in
     Selected Segments of the Chemical Industry   Prepared for the
     Manufacturing Chemists Association. June 12, 19/8.

13.  Perry, John H.  Chemical Engineers Handbook   Robert Perry,
     Cecil Chilton, Sidney Kirkpatrick, eds.  McGraw-Hill Book
     Company.  New York.  1963.  p. 6-7.

14.  Telecon.  Hanover,  K.,  Rhom & Haas>;^e^
     Environmental Services,  Incorporated.  September  b,  iy/y.
     tee  of  leakless valves  in chloromethyl ether service.

15  Letter  from  Sienknecht,  P.J., Dow  Chemical, to Mclnnjs,
     Pacific Environmental Services,  Incorporated.   December
     Comments  on  leak-free technology for  control of  benzene
      emissions.
                                          ™*              *
      Hydroscience for flare efficiency.
 18-              '        so: E«^ 5
      flare stack.

 19   Straitz, J.  Flaring for Gaseous Control in the Petroleum
      Industry   National Air Oil.  Philadelphia, Pennsylvania.
      Presented  at Air Pollution Control Association.   Pittsburgh
      June  26-30, 1978.
       "Fugitive Emissions Report," February 1979.
       calculations for benzene.

       TnH,,<;tHal Process Profiles for Environmental Use:  Chapter 6.
       Ihe IndustrialTrganic Chemicals Industry.  Research Triangle
       institute   Research Triangle Park, NC.  Radian Corporation.
       Autn  TX.  ForU?S. Environmental Protection Agency   Cincinnati ,
       OH    Publication Number  EPA-600/2-27-023f .   February 1977.
       p. 6-125,  6-826.
                                     4-29

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24.   Gunn, T.C. and K. Ring.  CEH Marketing Research Report on Benzene.
     Chemical Economics Handbook.  Stanford Research Institute.  Menlo
     Park, CA.  May 1977.

25.   Blackford, J.L.  CEH Product Review on Cyclohexane.  Chemical
     Economics Handbook.  Stanford Research Institute.  Menlo Park,
     CA.  February 1977.
                                   4-30

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                 5.0  MODIFICATION AND RECONSTRUCTION

     The Environmental Protection Agency plans to propose and promulgate
general  provisions for Title 40 of the Code of Federal Regulation
(CFR) Part 61 that will be similar to the general provisions of 40 CFR
Part 60.  Provisions similar to 40 CFR 60.14 and 60.15 may be included
to establish that an  "existing source" can become a  "new source" if  it
is deemed modified or  reconstructed.  An "existing source," as defined
in 40 CFR 60.2(aa). is a facility of  the type for which standards have
been promulgated  and  the construction or modification of which was
begun prior  to the  proposal  date  of  the applicable standards.
     The  following  discussion  examines  the  applicability of modification/
reconstruction provisions  to refining and  organic  chemical  industry
operations  that  involve  benzene  fugitive  emissions.
 5.1   GENERAL DISCUSSION  OF MODIFICATION AND RECONSTRUCTION  PROVISIONS
 5.1.1   Modification
      "Modification" is defined in 40 CFR Part 61,  Section  61.02(j),  as
 any  physical or  operational change of a stationary source  which increases
 the  emission rate of any hazardous air pollutant or which  results in
 the  emission of  any hazardous air pollutant not previously emitted.
      Paragraph (j)(l) and  (2) list exceptions to the above definition
 of physical and operational changes  which are not considered modifications
 These  changes include:  (1) routine  maintenance, repair, and replacement;
  (2) an increase  in the production rate not exceeding the operating
 design capacity  of the source; and  (3) an  increase  in  the hours of
 operation.
  5.1.2  Reconstruction
      Under  provisions that may  be  added  to 40  CRF  Part 61,  an  existing
  source would  become  a new source upon  reconstruction,  irrespective  of
  any change  in emission  rate.   Generally,  reconstruction is  considered
                                   5-1

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to occur upon the replacement of components if the fixed capital cost
of the new components exceeds 50 percent of the fixed capital cost
that would be required to construct a comparable entirely new source,
and it is economically and technically feasible for the source to
comply with the applicable standards.  The final judgment on whether a
replacement constitutes reconstruction and when it is technologically
and economically feasible to comply with the applicable standards
would be made by the Administrator.  The Administrator's final
determinations may be made on the  following bases:   (1) comparison  of
the fixed capital costs of the  replacement components and a  comparable
entirely new  source;  (2)  the estimated  life of  the source after the
replacements  compared to  the life  of a  comparable entirely  new  source;
 (3) the  extent  to which  the  components  being  replaced  cause or  contribute
to  the  emissions  from the source;  and  (4)  any  economic  or  technical
limitations  on  compliance with  applicable  standards  which  are inherent
 in  the  proposed  replacements.
      The purpose of  this  provision will  be to  ensure that  an owner or
 operator does not perpetuate an existing source by  replacing all but
 vestigial  components,  support structures,  frames, housing,  etc.,
 rather than  totally  replacing  it in order  to  avoid  being  subject to
 applicable new source standards.
 5.2  APPLICABILITY OF MODIFICATION AND RECONSTRUCTION PROVISIONS
 5.2.1  Modification
      The replacement of a potential benzene fugitive emission source
 such as a pump or valve commonly  occurs in refineries and organic
 chemical plants.  These replacements may occur either to increase  the
 capacity of existing process units, or to convert production from  one
 chemical to  another chemical,  or  to replace worn-out or obsolete
 equipment.   If a component  is  replaced with an equivalent  component,
 the  benzene  fugitive emissions  from the source should  not  increase
 because the  number  of potential sources at the same benzene concen-
 tration  (handling the same  process  stream) remains  unchanged.   If  an
 existing component  is replaced with a  component  with  a higher  leak
  rate (i.e.,  a  mechanical  seal  replaced with  a packed  seal), however,
  benzene  fugitive  emissions  would  increase.
                                   5-2

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     In some cases a production unit in the organic chemical industry
can be converted from the production of one chemical to the production
of a second chemical.  If either the number of fugitive emission
sources or the percentage of benzene in the process streams of  the
second chemical increases during this conversion, the  level of  benzene
emissions from the unit could be expected to  increase.  However,
controls could be added in order to  reduce or maintain the  same emission
rates that existed prior to the conversion.
      In many cases,  there may be a desire to  increase  the  capacity  of
an existing plant.   This may be achieved by replacing  certain  process
equipment  (pumps, heat exchangers, reactors,  etc.)  with similar equip-
ment  but of larger capacity.   If this  replacement does not  increase
the number  of  fugitive emission sources  handling benzene,  the  level of
benzene  fugitive  emissions would not be  expected to increase.   However,
if the  number  of  sources were  increased  due  to  this replacement, then
benzene  emissions would  increase.
 5.2.2  Reconstruction
      The replacement of  equipment  within production units occurs on a
 routine basis.  In  certain cases,  these replacements can  require the
 expenditure of capital  that exceeds  50 percent of the fixed capital
 cost  of the production unit.   For example, replacement of existing
 pumps with more efficient, new pumps may exceed  50 percent of  the
 fixed capital  cost of a production unit.
                                   5-3

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             6.0  MODEL UNITS AND REGULATORY ALTERNATIVES

6.1  INTRODUCTION
     This chapter defines model units and alternative methods for
regulating benzene fugitive emissions from these units.  The model
units .characterize a range of existing processes that are  used  to
produce benzene as a finished product, that  use benzene  in  the  pro-
duction of other organic chemicals,  or that  use or  produce  benzene  or
benzene-containing streams in the manufacture  of organic chemicals.
Although  these  model unit  parameters may  vary  from  the  actual  parameters
that  exist at a particular facility, they are  the most  useful  means of
determining  and comparing  the  environmental  and  economic impacts of
regulatory alternatives.
      Regulatory alternatives are also defined  in  this chapter.  These
regulatory alternatives represent comprehensive programs for reducing
benzene fugitive emissions and provide varying degrees of emission
reduction.   The regulatory alternatives  will be applied in the analysis
of both new  and existing model  units.
 6.2  MODEL  UNIT PARAMETERS
      Production units in the refining and organic  chemical industries
 vary considerably in size, configuration, age, and complexity.  Because
 of variations  among production units, model unit parameters were
 selected to represent processes with varying  numbers of potential  leak
 sources.  These model units are not necessarily related to production
 capacity, but  approximate various  levels of process  complexity.   The
 technical parameters  of the three  model  units selected  are shown  in
 Table  6-1.
      The model  unit  parameters  displayed in the  table  were developed
 through  analyses  of  process  flow diagrams,  material  balances, and
 modular  equipment counts  for  various benzene-related production opera-
 tions.  Since  no  equipment  count data are available for vacuum-producing
                                   6-1

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Table 6-1.  MODEL UNIT EQUIPMENT CONTAINING  GREATER  THAN  10  PERCENT  BENZENE
Number of Components per Model Unit
Source Type
Pumps
Pipeline Valves, Gase
Pipeline Valves, Liquid6
Safety/Relief Valves, Gas
Open-Ended Valves, Gas
Open-Ended Valves, Liquid
Drains
Sample Connections
Ab
5
30
56
3
3
23
5
9
Bc
15
91
168
9
7
72
15
26
Cd
25
151
280
16,
12
119
25
44
     aVacuum-producing  systems  and  product accumulator vessel  vents, des-
      cribed  in  Sections  3.2.2  and  3.2.3, are not  included since  no equip-
      ment count data are available for  these sources.


     bRepresents an average  inventory  of equipment for production of
      benzene from toluene,  ethyl benzene, styrene, cumene, cyclohexane,
      benzene sulfonic  acid,  resorcinol, maleic  anhydride, or  1  ethylene
      production unit.


     °Represents an average  inventory  of equipment for production of
      benzene from extraction of reformate,  chlorobenzenes,  linear
      alkylbenzenes, or 2 or 3 ethylene  production units.


     dRepresents an average  inventory  of equipment for production of
      benzene from extraction of pyrolysis  gasoline,  nitrobenzene,
      hydroquinone, or  4 or  5 ethylene production  units.


     eNine percent of all pipeline  valves are automatic control valves.
                                   6-2

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systems and product accumulator vessel vents, these sources are  not
included in the model units.  These model units represent average
inventories of equipment handling process streams containing  greater
than 10 weight percent benzene for various operations  in the  refining
and organic chemical industries.  Model  A represents  an  average  inventory
of such equipment for units involved  in  the  production of benzene  from
toluene, ethylbenzene, styrene, cumene,  cyclohexane,  benzene  sulfonic
acid, resorcinol, or maleic anhydride; Model  B  represents units  involved
in the  production of benzene  from extraction of reformate,  chlorobenzene
or linear  alkylbenzene; Model  C represents  production of benzene from
extraction of  pyrolysis gasoline, nitrobenzene  or hydroquinone.
Ethylene production  may be  represented  by either Model A,  B,  or C,
depending  on  the  number of  ethylene  production  units  at the plant
site.   One ethylene  unit  would be  represented by Model A,  two or three
ethylene units would be  represented  by Model B, and four or five
ethylene units would be  represented  by Model C.  New units  would be
characterized by  the same set of  model  units.
      It is estimated that 62 percent of existing benzene-related
 production units  in the refining  and organic chemical industries would
 be represented by Model  A, 31 percent by Model B, and 7 percent by
 Model  C.   It  is  expected that new units would  follow  the same distribution

 6.3  REGULATORY  ALTERNATIVES
      The  regulatory alternatives in  this section represent feasible
 methods of controlling benzene fugitive emissions  from  refining and
 organic chemical process units.  Each regulatory alternative presents
 a comprehensive program  for  reduction of emissions from the  sources
 listed in Table 6-2 by combining the individual  control  techniques
 described in  Chapter 4.  Table 6-2  summarizes  the  requirements  of the
 regulatory alternatives.
 6.3.1  Regulatory Alternative I
       Regulatory  Alternative  I represents  a baseline  regulatory
 alternative.  The  baseline regulatory alternative  describes  the industry
 in  the absence of  additional regulatory requirements, and  it provides
 the  basis for incremental  comparison of the impacts of the other
 regulatory alternatives.
                                   6-3

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Table 6-2.  MONITORING INTERVALS AND EQUIPMENT SPECIFICATIONS
        FOR BENZENE FUGITIVE REGULATORY ALTERNATIVES
Regulatory Alternatives'
Source0 
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Table 6-2   MONITORING INTERVALS AND EQUIPMENT SPECIFICATIONS
        FOR BENZENE FUGITIVE REGULATORY ALTERNATIVES
 NOTES:

Regulatory Alternative I  (baseline)  includes  no new regulatory
 specifications and, hence, is not included in this table._  Regu-
 latory Alternative VI is  not included since it would require_that
 no benzene be emitted from sources  in the  refining and organic chemical
 industries.

Alternative II is equivalent to controls recommended in  the
 refinery CTG for fugitive VOC emissions.


cLiquid service safety/relief valves, flanges, wastewater separators,
 vacuum-producing systems, process unit turnarounds, and cooling
 towers are not routinely monitored.  Wastewater separators,
 vacuum-producing systems, process unit turnarounds, and cooling
 towers are not included  in  this  table since  there  are no available
 control  technologies  for  these sources.


 dFor  all  alternatives,  the sources would handle  organic streams
 with over  10  percent benzene by  weight.


 eFor  pumps,  instrument monitoring would  be supplemented with weekly
 visual  inspections for liquid  leakage.  If liquid is noted to be
 leaking  from  the pump seal, the  pump seal  will  be repaired.


 fA sensing device should  be installed between the  dual
  seals and should be monitored  to detect seal failure.


 Inspection applies to the valves.
                                6-5

-------
     As discussed in Chapter 4, a number of factors influence the
baseline emission level.   Examination of benzene control  programs at
individual  plants reveals a range of existing control  levels.  Many
plants rely on normal  maintenance procedures to control  fugitive
emissions from leaks.   Other plants may have developed a leak detection
and repair program in  response to OSHA regulation requirements, State
or local agency regulations, or emission offset provisions.  To
characterize baseline  conditions, however, a general description of
the entire industry is desirable, rather than a description of site-specific
or geographic-specific conditions.  Baseline conditions, therefore,
will be assumed to reflect normal existing plant maintenance procedures.
These conditions are reflected in the "as is" emission factors from
Table 3-1, which are used in the environmental impact analysis of the
baseline regulatory alternative in Chapter 7.
6.3.2  Regulatory Alternative  II
     A higher level of benzene fugitive emission control could be
achieved with Regulatory Alternative II than with the baseline level.
This Regulatory Alternative would require periodic  leak detection and
repair for most sources, and the installation of specified equipment
for other sources.  The requirements of this regulatory alternative
are based upon the recommendations of the refinery  VOC leak control
techniques guideline (CTG) document.
     Quarterly monitoring for  leaks would be required for  safety/relief
valves, pipeline and open-ended valves in gas service, and compressors.
Annual monitoring for leaks would be required for pumps, drains and
valves.  Weekly visual inspections of pump seals would be  required;
visual detection of a liquid leak would require that monitoring be
initiated to determine if the  action level were being exceeded, and
that the pump seal be subsequently repaired, if necessary.   Safety/relief
valve monitoring would also be required after over-pressure  relieving
to  detect improper reseating.  Finally, open-ended  valves  would be
required to be sealed with a cap, blind,  plug, or another  valve.
                                  6-6

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6.3.3  Regulatory Alternative III
     Regulatory Alternative III would provide for more restrictive
control than Regulatory Alternative II by increasing the frequency of
leak detection and repair for some sources and requiring the instal-
lation of specified control equipment for other sources.  Installation
of closed-loop sampling systems would be required;  rupture disks would
be required on gas service safety/relief valves that vent to atmosphere;
degassing vents on pump seal oil reservoirs would be required  to be
vented to a closed system; accumulator vessels would be  required to  be
vented to a closed system; and  open-ended valves would  be required  to
be sealed with a  cap,  blind, plug, or another valve.  Based  on a
preliminary cost  analysis,2  each of  these equipment specifications  is
expected  to have  similar  costs  for the  amount of  benzene emissions
reduced.
       Monthly monitoring  for detection  of  leaks  from pumps,  drains,
compressors,  and valves would  also  be required  in this  regulatory
alternative.   The purpose of the increased frequency of monitoring is
 to reduce emissions  from  residual  leaking  sources  (i.e., those sources
 that are found leaking and are repaired and recur  before the next
 inspection, and those sources that begin leaking between inspections).
 Weekly visual inspections of pump seals would be required as discussed
 for Regulatory Alternative  II.
 6.3.4  Regulatory Alternative  IV
      Regulatory  Alternative IV includes equipment  specifications that
 are expected to  have  greater costs  for the amount  of benzene  emissions
 reduced  than  for those included in  Regulatory Alternative III.  Mechan-
 ical  seal systems would  be  required  on pumps and compressors  in  this
 regulatory alternative in addition  to  the  equipment requirements  for
 the  sampling  systems, gas service safety/relief  valves, degassing
 vents,  accumulator  vessel  vents,  and open-ended  valves specified in
  Regulatory  Alternative  III.  Diaphragm and sealed-bellows  valves are
  not included because the expected  cost for the  amount  of benzene
  emissions  reduced,  based on a preliminary cost  analysis, was much
  greater than that for double seals.2  In addition to these equipment
  specifications, drains and valves would be required to be monitored
  for leaks each month, as in Regulatory Alternative III.
                                   6-7

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6.3.5  Regulatory Alternative V
     This regulatory alternative would require leakless emission
control  equipment for the sources listed in Table 6-2.  In addition to
the equipment specifications discussed for Regulatory Alternative IV,
this regulatory alternative would require installation of diaphragm or
sealed-bellows type valves, and would require drains to be enclosed.
All of these sources would, therefore, be controlled to the maximum
degree,  and leaks would virtually be eliminated from these sources.
6.3.6  Regulatory Alternative VI
     This regulatory alternative would require the elimination of all
benzene  fugitive emissions from the affected industry.  Although the
equipment specifications required in Regulatory Alternative V would
virtually eliminate such emissions from equipment handling greater
than 10  weight percent benzene, there would still be some emissions
from equipment handling less than 10 weight percent benzene.
     Three approaches to totally eliminating benzene fugitive emissions
were considered.  These are:  (1) to require the use of leakless technology
for all  equipment handling benzene-containing streams, (2) to require
the use  of substitute feedstocks, thus eliminating the use of benzene,
and (3)  to prohibit the production or consumption of benzene.
     The use of leakless technology could eliminate most benzene
fugitive emissions,, However, there would still be some benzene emissions
from spills and occasional equipment failure.
     The use of substitute feedstocks could be effective for some
operations; for example, n-butane could be used in the production of
maleic anhydride instead of using benzene.  This approach could not be
used for all benzene-consuming processes, however, since there are no
substitutes for benzene in some cases.
     The only approach that could totally eliminate benzene fugitive
emissions is the prohibition of all benzene-producing and consuming
processes.  This approach, however, would lead to the shutdown of all
refineries and a number of chemical plants because of the presence of
benzene  in refinery feedstocks and the lack of available substitutes
for benzene in many chemical plant operations.
                                 6-8

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6.4  REFERENCES

 '•
     U.S. Environmental Protection Agency   Research Triangle Park, N.C,
     Report Number EPA 450/2-78-036, June 1978. 72 p.

 2   Memo with attachments from Umlauf, 6.E., Pacific Environmental
     Services, Inc., to EPA Docket  (No. A-79-27).  December 1979.
                                    6-9

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                       7.0  ENVIRONMENTAL IMPACT

7.1  INTRODUCTION
     The environmental  impacts for the regulatory alternatives presented
in Chapter 6 are discussed in this chapter.  Both beneficial and
adverse impacts are assessed for air and water pollution, solid waste,
and energy use.  Included are the derivations of controlled benzene
emission factors for the designated sources.  Total benzene emissions,
incremental benzene emission reductions  for the regulatory  alternatives,
and projected  future benzene emissions are presented.  Other environ-
mental concerns are discussed, including irreversible and irretrievable
commitment of  resources  as well as the environmental impact of delayed
regulatory action.
7.2   AIR  QUALITY  IMPACTS
7.2.1  Development  of  Benzene  Emission Levels
      In  order  to  estimate the  impacts  of the  regulatory  alternatives
on benzene emission levels,  emission  factors  for  the model  units  are
determined for each regulatory alternative.   Controlled  VOC emission
factors for Alternatives II, III,  IV,  and V are presented in Tables 7-1
through 7-4.
      Alternative I  represents baseline emissions  and  includes no new
 regulatory specifications.  Regulatory Alternative VI  represents no
 allowable benzene fugitive emissions from sources in the refining and
 organic chemical  industries.  As discussed in Chapter 6, neither of
 these alternatives is being considered as a viable control  option.
      The factors used to estimate the emissions from sources controlled
 by a leak detection and repair program  are calculated for  each source
 using the methodology presented in Chapter 4.  The controlled emission
 factors are calculated  by multiplying the uncontrolled  factors for
 each source by a set  of correction factors, which account  for imperfect
                                   7-1

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 Table  7-1.   CONTROLLED  VOC  EMISSION FACTORS  FOR  REGULATORY  ALTERNATIVE  II
Source
Pumps
Valves1
Gas
Liquid
Gas Service
Safety/Relief
Devices
Drains
Compressors
Inspection
Interval
Yearly
Quarterly
Yearly
Quarterly
Yearly
Quarterly
Uncontrolled
Emission
Factorb
(Kg/hr)
0.12h
0.021
0.010h
0.16
0.032
0.44
I
Correction Factors
Ac
0.87
0.98
0.84
0.69
0.46
0.84
Bd
0.80
0.90
0.80
0.90
0.80
0.90
ce
0.98
0.98
0.98
0.98
0.98
0.98
Df
0.92
0.99
0.94
0.98
0.91
0.97
Control
Efficiency
(AxBxCxD)
0.63
0.86
0.62
0.60
0.33
0.72
Controlled
Emission
FactorS
(Kg/hr)
0.044
0.003
0.004
0.064
0.021
0.123
"From Table  6-2.
bFrom Table  3-1.
cTheoretical maximum control  efficiency — From Table 4-2.
 Leak occurrence and recurrence correction factor — Assumed to  be  0.80 for yearly inspection, 0.90 for
 quarterly  inspection, and 0.95 for monthly inspection.^
eNon-instantaneous repair correction  factor — for a 15-day maximum allowable repair time, the 7.5-day
 average repair time yields a 0.98 yearly correction factor: [365 - (15/2)] * 365 = 0.98.'
fImperfect  repair correction factor — From Table 4-3, calculated as 1 -  (f * F), where f = average      ,  2
 emission rate for sources at 1000 ppm and*F = average emission  rate for  sources greater than 10,000 ppm.  '
Controlled  emission factor = uncontrolled emission factor x [1  -  (A X B  X C X D)].
 Emission factor for light liquid  streams  is used.  (Reference 1)
 Emission factors for in-line  and  open-ended valves are identical,  since emissions from the open  end rfould be
 essentially eliminated by a cap,  plug, blind or second valve.
                                               7-2

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 Table 7-2.   CONTROLLED VOC  EMISSION FACTORS  FOR  REGULATORY ALTERNATIVE  III

Pumps
Valves
Gas
Liquid
Gas Service
Safety/Relief
Devices
Drains
Compressors
Inspection
Interval3
Monthly
Monthly
Monthly
None
Monthly
Monthly
Uncontrolled
Emission
Factor"
(Kg/hr)
0.12^
0.021
0.010J
0.15
0.032
0.44
Correction
Ac Bd
0.87 0.95
0.98 0.95
0.84 0.95
NA NA
0.46 0.95
0.84 0.95
Factors
P "f
C D
0.98 0.92
0.98 0.99
0.98 0.94
NA NA
0.98 0.91
0.98 0.97
Control
Efficiency
(AxBxCxD)
0.75
0.90
0.74
--
0.39
0.76
Controlled
Emission
FactorS
(Kg/hr)
0.030
0.002
0.003
0.0
0.020
0.106
aFrom Table  6-2.
bFrom Table  3-1.
cTheoretical  maximum  control efficiency — From Table  4-2.
                                                                                                      1,2
dLeak occurrence and recurrence correction factor  - Assumed to be 0.80 for yearly inspection, 0.90 for
 quarterly inspection, and 0.95 for monthly inspection/
Winstantaneous repair correction factor -  for a 15-day maximum allowable repair time^  the 7.5-day
 average repair  time yields a 0.98 yearly correction factor: [365 - (15/2)] * 365 = 0.98.'
fImperfect repair correction factor - From Table  4-3,  calculated as 1 - (f t F), where  f • average
 emission rate for sources at 1000 ppm and F =  average  emission rate for sources greater than 10,000 ppm.
9Controlled emission factor = uncontrolled'emission factor x [1 - (A X 8 X C X D)].
hFor pumps, instrument monitoring should  be  supplemented v/ith weekly visual inspections for  liquid leakage.
^Control equipment for this source is  specified in Table 6-2,  and about 100 percent control efficiency is
 assumed.  Therefore,  the  correction factors are not applicable, and there are essentially  no fugitive
 emissions from  the  source.
^Emission factor for light liquid streams  is  used.  (Reference  1)
Emission factors for in-line and open-ended  valves are identical, since emissions from the  open  end would be
 essentially eliminated  by a cap, blind,  plug or second valve.
                                                    7-3

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Table  7-3.    CONTROLLED  VOC  EMISSION  FACTORS  FOR  REGULATORY ALTERNATIVE  IV
Source
Pumps
ValvesJ
Gas
Liquid
Gas Service
Safety/Relief
Devices
Drains
Compressors
Inspection
Interval3
., h
None
Monthly
Monthly
h
None
Monthly
None
Uncontroll ec
Emission
Factorb
(Kg/hr)
0.121
0.021
0.0101
0.16
0.032
0.44
i
Correction Factors
Ac
NA
0.98
0.84
NA
0.46
NA
Bd CS
NA NA
0.95 0.98
0.95 0.98
. NA NA
0.95 0.98
NA NA
Control
f efficiency
DT (AxBxCxD)
NA
0.99 0.90
0.94 0.74
NA
0.91 0.39
NA
Controlled
Emission
Factor9
(Kg/hr)
0.0
0.002
0.003
0.0
0.020
0.0
"From Table 6-2.

 From Table 3-1 .

cTheoretical  maximum  control efficiency — From  Table 4-2. ^

 Leak occurrence  and  recurrence correction factor  — Assumed to be 0.80 for yearly inspection, 0.90 for
 quarterly inspection, and 0.95 for monthly inspection.'
Q
 Non-instantaneous  repair correction factor — for a 15-day maximum allowable  repair  time, the 7 5-day
 average repair time  yields a 0.98 yearly  correction factor: [365 - (15/2)]  T  365  = 0.98.2

 Imperfect repair correction factor — From Table 4-3, calculated as 1  - (f *  F),  where f = average
 emission rate for  sources at 1000 ppm and F = average emission rate for sources greater than 10,000 ppm

Controlled emission  factor = uncontrolled emission factor x [1 - (A X  B X  C X D)] .

 Control equipment  for this source is  specified in  Table  6-2, and about  100  percent control

 Sns f^Tt^ou'rcV0^"10" faCtOPS are "Ot a»P1icable>  »"< there « essentially  no

^mission factor  for light liquid  streams is used.  (Reference 1)

Emission factors for in-line and  open-ended valves are identical, since emissions  from the open end would be
 essentially  eliminated by a cap,  blind, pluq or second valve.
                                                                                                      '
                                             7-4

-------
 Table 7-4.   CONTROLLED VOC  EMISSION FACTORS  FOR  REGULATORY ALTERNATIVE  V
Source
Pumps
Valves j
Gas
Liquid
Gas Service
Safety/Relief
Devices
Drains
Compressors
Inspection
Interval2
None
None
None
'Noneh
M h
None
None
Uncontrolled
Emission
Factorb
(Kg/hr)
0.121
0.021
0.0101
0.16
0.032
0.44
Controlled
Correction Factors Control Emission
Ac
MA
NA
NA
NA
NA
NA
Bd
NA
NA
NA
NA
NA
NA
ce
NA
NA
NA
NA
NA
NA
Df (AxBxCxD) (Kg/hr)
NA -- 0.0
NA -- 0.0
NA — 0.0
NA -- 0.0
NA -- 0.0
NA -- 0.0
"From Table 6-2.
bFrom Table 3-1.
cTheoretical  maximum control efficiency — From  Table  4-2.
dLeak occurrence  and recurrence correction factor  — Assumed to be 0.80 for yearly inspection, 0.90 for
 quarterly inspection, and 0.95 for monthly inspection.^
eNon-instantaneous repair correction factor — for a 15-day maximum allowable repair time,  the 7.5-day
 average repair time yields a 0.98 yearly correction factor: [365 - (15/2)] * 365 = 0.98.2
^Imperfect repair correction factor — From Table  4-3, calculated as 1 - (f * F), where  f = average      , -
 emission rate for sources at 1000 ppm and*F = average emission rate for sources greater than 10,000 ppm.  '
^Controlled emission factor = uncontrolled emission factor x [1 - (A X B X C X D)3.
hControl eouipment for this source is  specified  in  Table  6-2, and about 100 percent control  efficiency is
 assumed.  Therefore,  the  correction  factors are not applicable, and there  are essentially  no fugitive
 emissions from the source.
 Emission  factor for  light  liquid streams is used. (Reference 1)
 -'Emission  factors for  in-line and open-ended valves are identical, since emissions from  the open end would  be
 essentially eliminated by a cap, plug, blind or second valve.
                                                7-5

-------
repair, non-instantaneous repair, and the occurrence or recurrence of
leaks between inspections.
     For each regulatory alternative and model unit, the number of
components handling greater than 10 percent benzene (Table 6-1) is
multiplied by the controlled VOC emission factor for each source
(Tables 7-1 through 7-4).  Summing the VOC emissions from these sources
yields a total VOC emission estimate for equipment in each model unit
handling greater than 10 percent benzene.  Since all sources do not
handle pure benzene, it  is necessary to convert the VOC emission
estimates to benzene emission estimates.  This is accomplished by
first  estimating an average percent benzene for equipment in each
process containing greater than  10 percent benzene by examining flow
diagrams and material balances.  Table 7-5 shows the resulting average
percent benzene for each  process.  Knowing the existing distribution
of  processes within each  model  unit category  (also  shown  in Table  7-5),
it  is  then possible to  calculate a weighted average percent benzene
for equipment  containing greater than  10 percent benzene  in each model
unit.   From  the table,  these  weighted  averages are  calculated  to  be
63, 55, and  75 percent  for model units  A,  B,  and C, respectively.
Application  of these  factors  to the  VOC  emissions yields  a  benzene
emission  estimate  for equipment containing greater  than  10  percent
benzene in  each model unit  and  for  each  regulatory  alternative.   An
example calculation  is  given  below  for pumps  containing  greater than
 10 percent  benzene in Model  Unit A  under Regulatory Alternative II.
 Benzene emissions from
 >10 percent benzene (Bz)
 Pumps in Model  Unit A
 Under Regulatory
 Alternative II  (kg/hr)
     />10 percent Bz Pumps'
=  5 (in Model  Unit A
     i(from Table 6-1)
      0.63
              \
Weighted factor
of percent benzene
in Model Unit A
(from Table 7-5)
                                        x  0.044
7Kg VOC per  hourx
per pump for
Regulatory
Alternative II
.(from Table 7-1)
\
          = 0.14 kg Benzene per hour from
           >10 percent Bz Pumps in Model
            Unit A, Regulatory Alternative II
                                  7-6

-------
Table 7-5.  CALCULATION OF WEIGHTED
        PERCENT BENZENE FOR
  EMISSION SOURCES IN MODEL UNITS
Number of
Units,
(1980)°
MODEL UNIT A
Ethylene (1 Unit)
Ethyl benzene
Benzene (Dealkylation)
Styrene
Cumene
Cyclohexane
Maleic Anhydride
Benzenesul fonic Acid
TOTAL
MODEL UNIT B
Benzene (Reformer)
Chlorobenzene
Ethylene (2 or 3 Units)
Al kyl benzenes
TOTAL
MODEL UNIT C
Benzene (Pyrolysis Gas)
Nitrobenzene

Hydroquinone
Ethylene (4 or 5 Units)
TOTAL

41
22
20
19
16
12
' 10
5
145

49 ,
12
7
4
72

12
10


_!_
24
Percent
of Total Average Percent Benzene
Mnrfpl for Equipment in Each
SSS Processa'c

28.3
15.2
13.8
13.1
n.o
8.3
6.9
3.4
100.0

68.0
16.7
9.7
5.6
100.0

50.0
41 .6
a ?

4.2

100.0

33
71
75
30
100
100
100
85
—

45
100
33
65
„ .

57
100
75

33
*_ —
Weighted
Percent
Benzene

9
IV
10
4
11
8
7
3
63

31
17
3
4
55

29
42
3

1
75
                7-7

-------
                Table  7-5.   CALCULATION  OF WEIGHTED
                       PERCENT  BENZENE FOR
          EMISSION SOURCES IN MODEL UNITS3 (Concluded)
NOTES
aThe Resorcinol  process is not included in this analysis.   Resorcinol
 is produced at only one facility in the country,  and  the  process
 would have only one feed pump and one control  valve in benzene
 service.  Although this equipment would be covered  by the regu-
 lation, this process is much smaller than the  smallest model  unit
 and, hence, would not significantly impact the analysis.   Calculations
 for all of the other processes are for designated sources handling
 greater than ten percent benzene.


blncludes plants under construction expected to be completed in
 1980.


cThe average percentage of benzene for designated sources  in each product
 process containing greater than 10 percent benzene is derived from
 observations of flow diagrams, material balances, and equipment counts
 for each manufacturing process.  For each of the products listed,
 the percentage of benzene represents a weighted average of the
 number of pieces of equipment and the concentrations of benzene in
 each product stream:
Weighted
Percent
Benzene
        Number of Pieces
          of Equipment
Concentration
in Each Stream
                       Total Pieces of Equipment
 Example:
Weighted
Percent
Benzene
If there are 5 pumps at 100 percent benzene and 5 pumps
at 50 percent benzene,  then the weighted average of
percent benzene for the equipment can be expressed as


  (5 x 100) + (5 x 50)  = 75 Percent

           10
                              7-8

-------
     Using  a  similar  technique,  it is  also possible to estimate
 benzene emissions  from  equipment handling  streams with less than
 10 percent  benzene.   VOC  emissions from these sources are calculated
 using the same  VOC emission  factors as  are used for equipment handling
 over 10 percent benzene.   The  average  percent benzene for sources
 containing  less than  10 percent  benzene is estimated by examining flow
 diagrams and  material balances.   For each  process,  benzene emissions
 from these  sources are  then  calculated.  A weighted average of the
 processes is  then  applied  to give  the  "residual"  benzene emissions
 from the equipment handling  less  than  10 percent  benzene for each
 model unit.   These emissions are  calculated  to be 0.35,  0.55,  and 0.48
 kilograms per hour for  Model Units  A,  B, and  C,  respectively.   It
 should be noted  that  these emissions would not be affected by this
 regulation  and,  therefore, are included  in the benzene emission totals
 for each of the  regulatory alternatives.
     Tables 7-6  through  7-8  present benzene emission estimates by
 source for  each  of the  model units  and  regulatory alternatives.   In
 general  for each model  unit, valves  and  pumps  containing greater than
 10 percent  benzene contribute about  half of the total  benzene  emissions
 from all  sources.  Table 7-9 presents total national  benzene emissions
 (megagrams  per year) for each alternative  based on  the number  of model
 units expected  to  be in operation  in 1980  and  the benzene  emission
 totals per model unit and regulatory alternative  from Tables 7-6
 through 7-8.
 7.2.2  Future Benzene Emissions
     In  order to assess potential future impacts  of  the  regulatory
alternatives,  benzene emissions are  projected  over a  ten-year  period
 (1981-1990).  To estimate future benzene emissions,  two  assumptions
are made:
     1.    The  average process unit  production  rate as  a  percentage of
          unit capacity for  all benzene products  remains the same  over
          the  projected ten-year period.
     2.    An increase in demand is accounted for  by  building new
          units, expanding the capacity of existing  units,  or  by
          renovating existing units.
                                 7-9

-------
       Table 7-6.   BENZENE  EMISSIONS  (kg/hr)  BY SOURCE FOR THE
              REGULATORY  ALTERNATIVES  - MODEL UNIT A
                                     Regulatory Alternative
 Source                       I        II        III        IV
Pumps
Valves
Gas
Liquid
0.38

0.40
0.36
0.14

0.06
0.14
0.10

0.04
0.11
0.00C

0.04
o.n
o.ooc

o.ooc
o.ooc
Safety/Relief Valves                              _          _        r
             (Gas)           0.30     0.12     0.00^      0.00L    0.00^

Open-ended Valves
     Gas                    0.05     0.01     0.00d      0.00d    O.QOj:
     Liquid                 0.19     0.06     0.04      0.04     0.00L

Drains                      0.10     0.07     0.06      0.06     0.00C

Sampling Connections        0.09     0.09     0.00C      0.00C    0.00C

Other Equipment5            0.35     0.35     0.35      0.35     0.35

Total                       2.22     1.04     0.70      0.60     0.35
Emissions (kg/hr)   	

aThe regulatory alternatives are summarized in Table 6-2.  Alternative I
 represents baseline emissions.
bOther equipment includes sources containing less than 10 percent benzene.
cControl equipment for this source is specified in Table 6-2, and about 100
 percent control efficiency is assumed.  Therefore,  there are essentially
 no fugitive emissions from the source.

Negligible emissions - less than 0.005 kg/hr.
                                  7-10

-------
        Table 7-7.  BENZENE EMISSIONS  (kg/hr) BY SOURCE FOR THE

                REGULATORY ALTERNATIVES  - MODEL UNIT B
                                       Regulatory  Alternative


  Source                        I        "        IH        IV
Pumps                         0.97     °-36     °'24     °-°°     °-°°

Valves                                                                _
     r,,                      1.03     0.15     0.10     0.10     0.00
     Sjuld                   0.9I     0.37     0.27     0.27     0.00C


^(Gas)16' Va1V6S          0.78     0.32     0.00C    0.00C    0.00C

Open-Ended Valves
     r,,                      o.oe     o.oi     o.oi     o.oi     o.oo
     Squid                   0.52     0.16     0.12     0.12     0.00C

                              0.26     0.17     0.15     0.15     0.00C
Drains

Sampling Connections

Other Equipment5            ' 0.55     0.55     0.55     0.55     0.55
0.21      0.21      0.00C    0.00C    0.00C
 ggionsjka/hr^            5.32      2.30      1 ^_^__Q^^

 aThe regulatory alternatives  are  summarized  in  Table  6-2.  Alternative  I
  represents baseline emissions.
 bOther equipment includes sources containing less than 10  percent benzene.
 Control  equipment for this source is specified In Table 6-2,  and about
  100 percent control efficiency is assumed.   Therefore, there  are
  essentially no fugitive emissions from the  source.
                                    7-11

-------
          Table 7-8.   BENZENE EMISSIONS (kg/hr)  E5Y  SOURCE  FOR THE
                 REGULATORY ALTERNATIVES - MODEL UNIT C
Regulatory Alternative3
Source
Pumps
Valves
Gas
Liquid
I
2.24

2.36
2.09
II
0.82

0.34
0.85
III
0.56

0.23
0.62
IV
0.00C

0.23
0.62
V
0.00C

0.00C
0.00C
Safety/Relief Valves
     (Gas)                    1.91      0.79     0.00C    0.00C    Q.OOC
Open-ended Valves

     Liquid                   1.17     6.36     6 ".26     6".26     0.66C
Gas                      0.22     0.03     0.02     0.02     0.00C
Drains                        0.60     0.39     0.35     0.35     0.00°

Sampling Connections          0.49     0.49     0.00C    0.00C    0.00C

Other Equipment             *0.48     0.48     0.48     0.48     0.48


Total
Emissions (kg/hr)	11.56     4.55     2.52     1.96     0.48

aThe regulatory alternatives are summarized in Table 6-2.   Alternative I
 represents baseline emissions.
 Other equipment includes benzene  sources containing  less than  .
 10 percent benzene.
°Control equipment for this source is specified in Table 6-2, and about
 100 percent control efficiency is assumed.  Therefore,  there are
 essentially no fugitive emissions from the source.
                                    7-12

-------
     Table  7-9   TOTAL NATIONAL BENZENE EMISSIONS FROM REFINING AND
                   ORGANIC  CHEMICAL  PROCESSES IN 1980^
                                                       Emission Reduction
                                                       From Alternative  I
 Regulatory
Alternative
    I'-

   ll

  III

   IV

    V
Emissions
(Mg/yr)b
8250
3570
2230
1860
860d
Mg/yr
	
4680
6020
6390
7390
_
Percent
	
57
73
77
90
111
 aAnv process that has equipment handling over 10 percent benzene streams is
  InclSded  in this analysis'  The emission totals include the emissions from
  pauiOTient over  10 percent and under 10 percent benzene for each of these
  Processes.  Benzene emissions per year are calculated from an assumed process
  operation of  8400 hours  per year.


 Calculated  for  each regulatory alternative as the  summation of the product
  of the annual emissions  (Mg/yr) from  each model unit and  the number of
  existing  refinery and  chemical units  that are T^^if^fo^^
  unit.   The  number of existing units operating in 1980 is as follows.

       Model  Unit A — 145
       Model  Unit B —  72
       Model  Unit C —  24


 Represents baseline emissions (the industry in  the absence of  new regu-
  lations).


 dResidual from equipment handling less than 10 percent benzene.
                                     7-13

-------
     In order to calculate benzene emission levels over the 10-year
period, a weighted growth rate for each model unit is calculated  based
on the number of existing units in the base year of the analysis
(1980), and the average annual growth rate for each production  process.
For each model unit. Table 7-10 lists the number of plants estimated
in operation in 1980 and the average annual growth rates  for each
product.  The weighted average annual growth rates for each model  unit
are approximately 6, 2, and 10 percent for Model Units A, B, and  C,
respectively.
     In the determination of future impacts of benzene fugitive emissions
from refineries and chemical plants, a distinction is made between new
unit growth and growth as a result of unit replacement.   For each
model unit, the weighted average annual growth rate calculated  in
Table 7-10 represents a net increase attributable to overall industrial
growth.  The number of units constructed in any year equals this  net
increase plus the number of units constructed to replace  ones  that
cease production due to obsolescence, deterioration, or other  factors.
     For each model unit, the number of new units (N) constructed in
any period (X years) is calculated from the number of existing  units
(E) in 1980 and the projected average annual growth rate  (i) for  the
model unit, using a rearrangement of the formula for simple interest
compounded annually, as follows:
                           N  = E(l + i)x - E
As an example, to calculate the projected  number of new Model  A units
constructed between 1981 and  1985, the above formula is applied as
follows:
                  N           =  14^  M  +   n^Tfi'l   -  14"S
                  'Mnoi  inoc    l*tJ  \JL.  ^  ,\j-J/uj   —  itj
                    L9ol-iyob

                              =  47 new  plants.
     Assuming an average unit life  of  20 years,  the  number of replacements
 (R) is calculated by the following:
                              R = rf " N'
 where N = the number of  new units and
     rf = a replacement  factor  as follows:
                           i T    1 ~     """   ^ */-)V\
                                  7-14

-------
        Table 7-10.   NUMBERS OF UNITS  ESTIMATED TO MEET  1980
                    DEMAND FOR BENZENE  AND BENZENE
                    DERIVATIVES BY MODEL UNITS

Model A
Ethyl ene (1 unit)
Ethyl benzene
Benzene (Dealkylation)
Styrene
Cumene
Cyclohexane
Maleic Anhydride
Benzenesulfonic Acid
Total
Model B
Benzene (Reformer)
Chlorobenzene
Ethylene (2 or 3 units)
Alky! benzenes
Total
Model C
Benzene (Pyrolysis Gas)
Nitrobenzene
Hydroquinone
Ethylene (4 or 5 units)
Total
Estimated
Number of
Units in
"Year 0"
(1980)
41
22
20
19
16
12
10
5
145"

49
12 *
7
4
72

12
10
1
1
24
Percent
of Total
Units
28.3
15.2
13.8
13.1
n.o
8.3
6.9
3.4
100.0

68.0
16.7
9.7
5.6
100.0

50.0
41.6
4.2
4.2
100.0
Average Annual
Growth Rate4-!*
(Percent)
5.5
6.0
3.7
6.0
7.5
5.0
11.0
0.0


1.5
1.5
5.5
2.0
—

14.1
6.0
0.0
5.5
-"•
Weighted Annual
Growth- Rate
(Percent;*
1.56
0.91
0.51
0.79
0.82
0.41
0.76
0.00
5.76

1.03
0.25
0.53
0.11
O2

7.05
2.50
0.00
0.23
9.78
*Does not include replacement of old units.
                                 7-15

-------
The results are presented in Table 7-11, which shows the projected
growth of new and replacement units over a 10-year period  (1981-1990).
     Using the benzene emission estimates for each regulatory
alternative and model unit from Tables 7-6 through 7-8, the expected
benzene emissions that will be contributed by new units and replace-
ments can be calculated by multiplying the benzene emissions by  the
number of new units and replacements estimated to be operating between
1981 and 1990 (Table 7-11).  For each alternative, emissions from
Model Units A, B, and C are summed to obtain the total benzene emissions
for the regulatory alternative.  Table 7-12 presents anticipated benzene
fugitive emissions for new units and replacements for each alternative
over the ten-year period.
7.3  WATER POLLUTION IMPACT
     Implementation of any of the regulatory alternatives  would  result
in slight positive benefits to water quality, depending on the specific
control requirements of the alternative.  The regulatory alternatives
would not cause the organic streams being handled by affected equipment
to contact water.  Neither would benzene emissions be physically
removed (as in the case of wet scrubber control  for particulates).
Rather, emissions are expected to be contained.  Therefore,  implementing
any of the benzene fugitive emissions alternatives would not adversely
impact water quality.  At  best, the quality of runoff water might
improve slightly due to the improved containment of benzene  and  other
volatile organic compounds.
     Specifically, provisions of Regulatory Alternative  II would
require leak detection and repair for some  liquid service  equipment.
Repair of this equipment would require that process liquids  be drained
or flushed, thus generating a small negative wastewater  impact.
     Alternative III would require that  sample purge material  be
returned to the system or  contained.  This  requirement would  result in
a  small positive wastewater impact, since  in some plants,  this material
is currently routed  to a drain system.
                                  7-16

-------
Table 7-11.  CUMULATIVE ANNUAL NUMBER OF PROJECTED
            NEW UNITS AND REPLACEMENTS
              BETWEEN 1981 AND 1990a
Year
1981
Newb
Replacement
1982
Newb
Replacement
1983
Newb
Replacement
1984
New
Replacement
1985
Newb
Replacement
1990
Newb
Reolacement

A

8
4

17
8

27
13

36
17

47
23

109
53
Model Unit
B

1
0

3
1

4
2

6
3

7
4

15
7

C

2
0

5
1

8
1

11
2

14
3

37
7
                         7-17

-------
                          NOTES  FOR  TABLE  7-11


Projections of new and  replacement  unit growth  over  a  10-year
period were based on the following:
Model
Unit
A
B
C
Number of
Existing Plants
(E) in 1980
145
72
24
Projected
Growth Rate (i)
(% per year)
5.76
1.92
9.78
Replacement
Factor
(rf)
0.674
0.688d
0.845
bProjected number of new plants (N) was determined  from the following:

                           N = E(l + i)X - E

     where E = number of existing plants in 1980

           i = projected average annual growth rate

           x =  Ayear from 1980 (1,2,3... 10)


cProjections of replacements were based on the replacement factor (rf)
                           rf = 1 -
                                          -TT
assuming an average unit life of 20 years.    Number of replacements
(r) is calculated from the following:

                              R=!L.N,
                                  rf

     where N = number of new plants
      and rf = replacement factor.

dThe replacement factor of 0.688 for Model Unit B reflects a 6 percent
annual growth rate over the last 20 years (1960-1980) rather than the
1.92 percent annual growth rate over the next 10 years.
                                  7-18

-------
           Table 7-12.  CUMULATIVE ANNUAL  ESTIMATED  BENZENE
                       FUGITIVE  EMISSIONS  FROM
                  NEW UNITS AND  REPLACEMENTS  BETWEEN
                        1981 and 1990  (Mg/year)


Year
1981
New
Replacement
Regulatory AT
ternative
I II III IV

388 165 101
74 35 23

84
20

V

36
12
1982
     New                            936     397      242    199      84
     Replacement                    291     127       80     67      32
1983
     New                            1458     617     377     309    130
     Replacement                    429     190     122     102     52
1984
     New                            2006     849      517   425    178
     Replacement                     645     282      178   149     72
1985
     New                            2547    1078      658   540    227
     Replacement                    898     391      247   206     98
1990
     New                           6292    2649     1606  1315    539
     Replacement                   1979     862      544   455    217
                                  7-19

-------
     Under Regulatory Alternative IV or V, a dual mechanical seal/
degassing vent arrangement would reduce product leakage from pumps and
thus result in a slight positive impact on water quality.   Implementation
of Regulatory Alternative IV could also result in a negative impact on
water quality from the operation of possible control devices which
"capture" fugitive VOC from the degassing vent.  If a carbon adsorption
device were used, for example, a wastewater stream containing suspended
solids and small quantities of dissolved organics would be  produced
during the carbon regeneration process if the carbon is regenerated at
the unit.  The use of a refrigeration process as the control device
would possibly result in a condensate containing dissolved  organics.
The wastewater flow rates would be quite small since the amount of VOC
being removed is small, and this wastewater would generally be suitable
for treatment in existing wastewater treatment systems.
7.4  SOLID WASTE IMPACT
     The regulatory alternatives will contain benzene in the vapor and
liquid states.  This contained material is not expected to  generate a
solid waste.  The solid wastes associated with the alternatives are
replaced mechanical seals, packing, rupture disks, and valves.  In
Regulatory Alternative II, capping open-ended valves would  result in
no solid waste  impacts.  Implementation of Regulatory Alternative III,
which requires  the installation of rupture disks on safety/relief
valves, a closed-loop sampling system, and seals on open-ended valves
and lines would have a negligible  impact.  For Regulatory Alternative
IV, dual mechanical seals would be retrofitted on pumps.  Existing
packing materials and single mechanical seals may not be reusable and
hence would be  discarded.  As the  dual seals wear out, they also would
be  replaced and the old  seals would be discarded.   This material would
have a very minor impact on the quantity  of solid waste generated by
the plant, however, since existing single  seals  would have  worn out
and been replaced also.  Therefore, Regulatory Alternative  IV would
have  a negligible negative  impact  on  solid waste.   In addition  to the
equipment specifications of Regulatory Alternative  IV, Regulatory
Alternative V would require that  diaphragm or  sealed-bellows type
valves be installed and  that  drains be enclosed.  The solid wastes
                                  7-20

-------
generated by the replacement of single mechanical seals and packing
material, as in Regulatory Alternative IV, and the disposal of
unrecyclable valves would have an insignificant impact on solid waste.
7.5  ENERGY IMPACT
     The controls necessary for the implementation of Regulatory
Alternatives II through V would require no significant increase in
energy consumption.  The application of dual  seals, however, would
require a minimal increase in energy usage over single seal operation
because of  the slight  increase in seal/shaft  friction and  because of
the energy  required to operate the fluid  flush system. Since the
product emissions do have an energy value, a  net  positive  energy
impact is expected.
     The average energy value  of  total VOC fugitive  emissions  from
the refining and organic  chemical industries  is  estimated  as
 8.62 x  106  joules/kg.15   Table 7-13 presents  the energy  savings  over
 a five-year period  that  result from the  VOC  fugitive emission  reductions
 associated  with  Regultory Alternatives II through V.   Since Regulatory
 Alternative V  represents  the most stringent  option,  it achieves  the
 greatest emission  reduction by reducing  uncontrolled fugitive  emissions
 by 72,700 Mg over  a five-year period.   These "recovered" VOC emissions
 have  a total  energy value of 627 terajoules  based on a heat value of
 8.62 x 106 joules/kg.   Assuming an energy value of 6.12 x 10  joules
 per barrel  of crude oil, the energy value of the recovered VOC fugitive
 emissions is approximately 102,400 barrels of crude oil  for the period
  1981 through 1985 under Regulatory Alternative V.  This represents an
  average annual savings of 20,480 barrels of  crude oil over the five-year
  period.
  7.6  OTHER ENVIRONMENTAL CONCERNS
  7.6.1  Irreversible and  Irretrievable Commitment of Resources
      Implementation of any of the regulatory alternatives  is  not
  expected to result in any irreversible or irretrievable commitment of
  resources.  As previously noted, the  regulatory  alternatives  should
  help to save  crude oil due  to  the energy savings  associated with  the
  reductions in  emissions.  Materials  used in  double  mechanical  pump
  seal mechanisms,  such as  tungsten carbide,  will  be  committed, but  the

                                   7-21

-------
                                                  Table  7-13.    ENERGY  IMPACT  OF  BENZENE  EMISSION
                                                       REDUCTION  FOR REGULATORY ALTERNATIVES
 I
r\5
ro



Year
1981
1982
1983
1984
1985
5-year
Total
Reduction from Baseline
Emissions Under Regula-
tory Alternatives3""
(1000 rig)
II III IV
7.93 10.2 10.8
8.59 11.0 11.7
9.16 11.8 12.5
9.82 12.6 13.4
10.5 13.5 14.3

46.0 59.1 62.7



V
12
13
14
15
16

72




5
%
6
5
5
6

7
Energy Value of
Reductions Under
tory

II
68.4
74.0
79.0
84.6
90.5

397
Emission
Requla-

Alternatives0
(109 Btu)
III
87.9
94.8
102
109
116

510

IV
93.1
101
108
116
123

541

V
108
117
125
134
143

627

Crude Oil
Emission
Equivalent of
Reductions'1

(1000 barrels - bbl )

II
11.2
12.1
12.9
13.8
14.8

64.8

III
14.4
15.5
16.7
17.8
19.0

83.4

IV
15.2 ,
16.5
17.6
19.0
20.1

88.4

V
17.6
19.1
20.4
21.9
23.4

102
                                Alternative  I represents baseline emissions.

                               Emission reduction calculated  from VOC emissions per model unit and regulatory alternative as well as the total number of
                                units projected to be in operation between  1981 and 1985.

                               cEnergy value of benzene is based on 8.62xl06 joules (from conversion of 17,986 Btu/lb given in Ref. 15,  p. 3-143).

                                Based on 6.12x10 joules/barrel  crude oil.

-------
amount of the material lost will be very slight, and although the
material is valuable, it is not particularly scarce.  Other materials
used to manufacture piping, valves, rupture disks and line caps are
not scarce and will not be committed in significant quantities for any
of the regulatory alternatives.
7.6.2  Environmental  Impact of  Delayed Regulatory Action
     As indicated above, implementation of any  regulatory alternative
would only have minor impacts on water and solid wastes.  Consequently,
delaying regulatory action will have essentially no impact on these
problems.  However, a delay in  implementing the alternatives will  have
a greater impact on air pollution  and associated energy  impacts.   The
air and energy impacts of delayed  standards are shown in Table 7-13.
The emission reductions and associated energy  savings shown would  be
lost at the rates  shown for each of the five years.
                                  7-23

-------
7.7  REFERENCES
 1.   Wetherold, R.G. and L. P. Provost.  Emission Factors and Frequency
     of Leak Occurrence for Fittings in Refinery Process Units.
     Radian Corp. Austin, TX.   For U.S. Environmental Protection
     Agency.  Research Triangle Park, N.C.  Report No. EPA-600/2-79-044.
     February 1979.

 2.   Tichenor, B.A., K.C. Hustvedt, and R.C. Weber.  Controlling
     Petroleum Refinery Fugitive Emissions Via Leak Detection and
     Repair.  In proceedings:   Symposium on Atmospheric Emissions  from
     Petroleum Refineries, Austin, TX.  November 6, 1979.   Report
     Number EPA-600/9-80-013.   March 1980.  p. 421-440.

 3.   Calculation of residual  benzene emissions from equipment
     containing  less than 10  percent benzene and calculation of
     benzene emissions by source for each model unit and regulatory
     alternative.   Docket Number A-79-27-II-B.

 4.   Soder, S.L.   CEH  Product Review on Styrene.   Chemical  Economics
     Handbook.   Stanford Research  Institute.  Menlo  Park,  CA.
     January 1977.

 5.   CEH  Product Review  on Cyclohexane.   Chemical  Economics Handbook.
     Stanford  Research Institute.   Menlo  Park, CA.   February 1977.

 6.   Gunn,  T.C., and K.  Ring.  CEH Marketing Research  Report on
     Benzene.  Chemical  Economics  Handbook.  Stanford  Research
     Institute.  Menlo Park,  CA.   May  1977.
  7.



  8.


  9.



 10.



 11.



 12.
CEH Product Review on Chlorobenzenes.  Chemical Economics
Handbook.  Stanford Research Institute.  Menlo Park, CA.
July 1977.

CEH Product Review on Ethylene.  Chemical Economics Handbook.
Stanford Research Institute.  Menlo Park, CA.  January  1978.
Cogswell, S.A.  CEH Product Review on Resorcinol.
Economics Handbook.  Stanford Research Institute.
CA.  October 1978.
Chemical
Menlo Park,
CEH Product Review on Aniline and Nitrobenzene.  Chemical
Economics Handbook.  Stanford Research  Institute.  Menlo
Park, CA.  January 1979.

CEH Product Review on Linear and Branched Alkylbenzenes.
Chemical Economics Handbook.  Stanford  Research  Institute.
Menlo Park, CA.  January  1979.

Al-Sayyari, S.A., and K.  Ring.  CEH  Product  Review on  Cumene.
Chemical Economics Handbook.  Stanford  Research  Institute.
Menlo Park, CA.  March  1979.
                                  7-24

-------
13   Ring, K., and S.A. Al-Sayyari.  CEH Product Review on Ethyl-
     benzene.  Chemical Economics Handbook.  Stanford Research
     Institute.  Menlo Park, CA.  March 1979.

14   Greene, R.  U.S. Benzene Markets to Face Slower Growth.
     Chemical Engineering.  85(3):62-64.  January 30, 1978.

15   Perry, J.H.  Chemical Engineer's Handbook.  Fourth edition.
     New York, McGraw-Hill Book Co., 1963. p. 3-143.
                                   7-25

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                         8.0  COST OF CONTROLS

8.1  INTRODUCTION
     In order to estimate the economic impact of the regulatory
alternatives on the petroleum refining and organic chemical manu-
facturing industries, it is first necessary to calculate the control
costs of the regulatory alternatives.  Installed capital costs and
annualized costs are estimated in this section for each model unit and
each regulatory alternative.  In order to assure a common cost basis,
cost data from the various sources have been corrected  to  1979 values
by means of appropriate cost inflation indicators from  the  "Economic
Indicators" sections of Chemical Engineering.  For background to this
analysis, it is helpful to review information presented in  Chapter 6
describing the model units and regulatory alternatives.  For example,
Table 8-1 restates the model unit equipment handling over  10 percent
benzene, and Table 8-2 reviews the inspection intervals and equipment
specifications for each regulatory alternative.
8.2 CAPITAL COST ESTIMATES
     Capital cost expenditures are required for  all  of  the regulatory
alternatives and model units.  These  costs will  be incurred for  the
purchase of monitoring instruments and control equipment.   Two monitoring
devices will be  purchased  at each unit,  regardless of  the  regulatory
alternative chosen.  This  minimum is  required to allow for backup  if
one  unit is inoperative.   Additional  capital  costs depend  on  the
number  of  pieces of  affected facilities  (potential leak sources) in
the  model  unit and  the types of  control  equipment specified for  the
regulatory alternative.   To  calculate these  additional  costs,  data
presented  in Table  8-3 were  accumulated  for  monitoring and control
equipment.
      Using the model  unit parameters given  in Table  8-1 and the
capital  cost  data  in Table 8-3,  capital  costs for each model  unit
                                  8-1

-------
  Table 8-1.  MODEL UNIT  EQUIPMENT CONTAINING >10 PERCENT BENZENE
Number of Components per
Source Type
Pumps
Pipeline Valves, Gas
Block
Control
Pipeline Valves, Liquidd
Block
Control
Safety/Relief Valves, Gas
Open-Ended Valves, Gas
Open-Ended Valves, Liquid
Drains
Sample Connections
Model Aa
5

27
3

51
5
3
3
23
5
9
Model Bb
15

83
8

153
15
9
7
72
15
26
Model Unit
Model Cc
25

138
13

256
24
16
12
119
25
44
Represents an average inventory of equipment for  production of
 ethylbenzene, styrene, cumene,  cyclohexane,  benzene sulforric
 acid, resorcinol, maleic anhydride, or 1  ethylene production
 unit.

 Represents an average inventory of equipment for  production of
 chlorobenzenes, linear alky!benzenes, or  2 or 3 ethylene produc-
 tion units.

Represents an average inventory of equipment for  production of
 benzene, nitrobenzene, hydroquinone, or 4 or 5 ethylene produc-
 tion units.

 From Hydroscience, 6 percent of all valves are control  valves;
 69 percent of all valves are process valves; so,  6 f 69 or 8.7
 percent of process valves are control valves (Ref.  2).
                                8-2

-------
                         Table  8-2.  MONITORING  INTERVALS AND  EQUIPMENT  SPECIFICATIONS
                                 FOR BENZENE  FUGITIVE  REGULATORY  ALTERNATIVES
CO
Regulatory Alternatives*
Source0 'd
1 . Pumps
2. Pipeline Valves
a. Gas Service
b. Liquid Service
3. Safety/Relief
Valves (Gas
Service)
4. Open-Ended Valves
a. Gas Service
b. Liquid Service
5. Drains
6. Sampling
Connections
7. Compressors
8. Product Accumu-
lator Vessel
Vents

Inspection
Interval
Yearly6
Quarterly
Yearly
Quarterly
Quarterly9
Yearly9
Yearly
None
Quarterly
None
,,b
Equipment
Specification
None
None
None
None
Caps, blinds,
or plugs
Caps, blinds,
or plugs
None
None
None
None

Inspection
Interval
Monthly6
Monthly
Monthly
None
Monthly9
Monthly9
Monthly
None
Monthly
None
III
Equipment
Specification
None
None
None
Rupture disks
or tie Into
existing flare
Caps, blinds,
or plugs
Caps, blinds,
or plugs
None
Closed-loop
sampling
None
Tie into
closed control
system
IV
Inspection
Interval
None8
Monthly
Monthly
None
Monthly9
Monthly9
Monthly
None
None
None
Equipment
Specification
Dual Seals
and controlled
degassing vent
None
None
Rupture disks
or tie into
existing flare
Caps, blinds,
or plugs
Caps, blinds,
or plugs
None
Closed-loop
sampling
Mechanical Seals
Tie Into
closed control
system
V
Inspection
Interval
None
None
None
None
None
None
None
None
None
None
Equipment
Specification
Dual Sealsf
and controlled
degassing vent
Diaphragm or
sealed bellows
valves
Diaphragm or
sealed bellows
valves
Rupture disks
or tie into
existing flare
Diaphragm or
sealed bellows
valve plus caps,
blinds, or plugs
Diaphragm or
sealed bellows
valve plus caps,
blinds, or plugs
drain systems
Closed-loop
sampl ing
Mechanical Seals
Tie into
closed control
system


-------
   Table 8-2.   MONITORING  INTERVALS  AND  EQUIPMENT  SPECIFICATIONS
     FOR BENZENE FUGITIVE  REGULATORY ALTERNATIVES  (Concluded)
NOTES:

aRegulatory Alternative I  (baseline)  includes  no new regulatory
 specifications and,  hence,  is not included in this table.   Regu-
 latory Alternative VI is  not included since it would require that
 no benzene be emitted from  refining  and organic chemical  industry
 sources.


Alternative II is equivalent to controls recommended in the .
 refinery CTG for fugitive VOC emissions.


cLiquid service safety/relief valves, flanges, wastewater separators,
 vacuum-producing systems, process unit turnarounds, and cooling
 towers are not routinely monitored.   Wastewater separators,
 vacuum-producing systems, process unit turnarounds, and cooling
 towers are not included in this table since there are no available
 control technologies for these sources.


dFor all alternatives, the sources would handle organic streams
 with over 10 percent benzene by weight.


eFor pumps, instrument monitoring would be supplemented with weekly
 visual  inspections for liquid  leakage.  If liquid is noted to be
 leaking from the pump seal,  the pump seal will be repaired.


 A  sensing device should  be  installed between  the  dual
 seals  and should be monitored  to detect seal  failure.


^Inspection applies to the valve.
                                 8-4

-------
                  Table 8-3.   CAPITAL COST DATA

                       (May 1979 Dollars)
   Item
Capital  Cost
1.   Monitoring Instrument

2.   Caps for Open-Ended Valves

3.   Double Mechanical  Seals
2 x 4,250  = $8,500

$50/cap

$590/pump (new)
$870/pump (retrofit)
4.  Barrier Fluid  Recirculation  $l,530/pump
    System for Double Seals
5.  Degassing Vents
 6.   Rupture  Disks  for Safety/
     Relief Valves
 7.   Closed-Loop  Sampling
     Connections

 8.   Sealed Bellows   Valves
1. 61 m of 5.1 cm
   carbon steel pipe
   (installed)
   $2,700

2. 3 x 5.1 cm valves
   (installed)
   $940

3. 1 x 5.1 cm flame
   arrestor
    (installed)
   $450

Total  =  $4,090/pump

$l,800/relief  valve
 (new)
$3,230/relief  valve
 (retrofit)

 $480(new or retrofit)
 33,700/valve
 (retrofit)
 $2,500/valve (new)
                                                         Reference
                                                         1
2, 3, 4C

2, 3, 4L
                         2, 3, 4L
                                                         2, 3, 4'
                                                         2, 3, 4C
                                                         2, 3,
 2,  3,  4,'13,  14
                                                                        a,e
 2,  3,  4'


 5
                                                                 a,d
                                  5-5

-------
            Table  8-3.   CAPITAL  COST  DATA  (Concluded)

                         (May  1979  Dollars)
Item
9. Sealed Drain Covers
10. Replacement Pump
Capital Cost
$1 ,000/drain
$3,000/pump
Reference
6f
NOTES:

  aPlant cost indices were used.

   Pump and compressor cost indices were used.

  cPiping, valve and fitting cost indices were  used.

   No retrofit penalty.

  eCost of rupture disks includes rupture disk, block valve, and
   replacement of relief valve.

  ^Consists of sealed drain cover and sealed pump drain line.

  gln retrofitting double seals,  it has been assumed  that 10 percent
   of the pumps will have to be replaced.  Thus, the  following
   numbers would have to be replaced:
       Model A — 1  Pump
       Model B — 2 Pumps
       Model C — 3 Pumps
                              8-6

-------
size are estimated. Table 8-4 includes capital costs in May 1979
dollar values for new and existing equipment handling more than 10
percent benzene by weight in their organic streams.  Regulatory
Alternative  I represents baseline emission control for units that are
assumed to need no additional controls and, as such, will  incur no
capital costs.  Regulatory Alternative II includes capital costs  for
the purchase of monitoring instruments and the installation of caps on
open-ended valves.  Capital  costs per model unit  (existing and new)
for Regulatory Alternative II are $10,300  (A), $13,800  (B), and $17,300
(C).   In addition  to  the controls for Regulatory  Alternative  II,
Regulatory Alternative  III provides  for  the installation  of rupture
disks  on gas-service  safety/relief valves  that vent  to  atmosphere and
the installation  of closed-loop  sampling connections.   Capital  costs
would  increase to the following  for  existing  units:   $24,300  (A),
 $55,400 (B), and  $90,100 (C).   For  new  units  capital  costs would  be
 $20,000 (A), $42,500  (B),  and $67,200 (C).  The  high cost of  retrofitting
 rupture disks  on  safety/relief  valves explains  the difference in
 capital costs  between existing  and  new units.  Regulatory Alternative IV
 specifies  that pumps  and compressors be equipped with mechanical  seals
 for which  degassing  vents  on pump seal  reservoirs are installed.
 Costs are given  for double seal  systems for pumps, even though Regulatory
 Alternatives IV and V specify dual  seals (double or tandem).   These
 costs added to the ones for Regulatory Alternative III include the
 following for existing units:   $56,900  (A),  $152,900 (B), and $252,500
 (C).    For new units capital  costs would be $51,200  (A),  $135,800  (B),
 and $222,600 (C).  Alternative  V, which requires leak-less emission
 control equipment and thus maximum control,  includes additional  control
 costs  for installing diaphragm  or sealed-bellows type valves as  well
 as sealing  drain  covers.  Capital costs for  each existing model  unit
 would  be increased to  the following:   $504,100  (A),  $1,512,200 (B),
 and $2,520,200  (C).   Capital costs  for  new model  units would  be
 $350,200 (A), $1.052,300  (B), and  $1,754,100 (C).
 8.3   ANNUALIZED  COST ESTIMATES
 8.3.1  Derivation of Annualized Cost Estimates
       Annualized  cost estimates  are  given in  six categories:
                                   8-7

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           Table 8-4.   CAPITAL COST ESTIMATES PER MODEL UNIT

                     (Thousands of May 1979 Dollars)

Capital Cost Item
Regulatory
I II
Al
III
ternative
IV

V

Model Unit A (Existing)
1. Monitoring Instrument
2. Caps for Open-Ended
Valves
3. Double Mechanical Seals
8.5
1.8
8.5
1.8
8.5
1.8
4.4
1.8
4.4
 4.  Barrier Fluid Recirculation
    System for Double
    Mechanical  Seals

 5.  Vents for Barrier Fluid
    Degassing Reservoirs

 6.  Replacement Pumps

 7.  Rupture Disks for Safety/
    Safety/Relief Valves

 8.  Closed Loop Sampling
    Connections

 9.  Sealed Bellows, Valves

10.  Hard Piping and Drain
    Covers
               9.7
                        7.7
 9.7
          7.7
                       20.5     20.5

                                 3.0
9.7
               4.3      4.3      4.3

                               447.7


                                50.0
        TOTAL
0.0   10.3    24.3
56.9    504.1
                               8-8

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Table 8-4.  CAPITAL COST ESTIMATES PER MODEL UNIT  (Continued)
               (Thousands of May 1979 Dollars)
Regulatory Alternative
Capital Cost Item I
Model Unit A (Mew)
1. Monitoring Instrument
2. Caps for Open-Ended
Valves
3. Double Mechanical Seals
4. Barrier Fluid Recirculation
System for Double
Mechanical Seals
5. Vents for Barrier Fluid
Degassing Reservoirs
6. Rupture Disks for Safety/
Safety/Relief Valves
7. Closed Loop Sampling
Connections
8. Sealed Bellows, Valves
9. Hard Piping and Drain
Covers
Tf\T & 1 (
II III IV

8.5 8.5 8.5
1.8 1.8 1.8
3.0
7.7
20.5
5.4 5.4
4.3 4.3


vn 10.3 20.0 51.2
V


1.8
3.0
7.7
20.5
5.4
4.3
302.5
50.0
350.2
                           8-9

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           Table 8-4.  CAPITAL COST ESTIMATES PER MODEL UNIT

                     (Thousands of May 1979 Dollars)
                                      Regulatory Alternative
 Capital Cost Item
       II
III
Model Unit B (Existing)

 1. Monitoring Instrument

 2. Caps for Open-Ended
    Valves

 3. Double Mechanical Seals

 4. Barrier Fluid Recirculation
    System for Double
    Mechanical  Seals

 5. Vents for Barrier Fluid
    Degassing Reservoirs

 6. Replacement Pumps

 7. Rupture Disks for
    Safety/Relief Valves

 8. Closed Loop Sampling
    Connections

 9. Sealed Bellows, Valves

10. Hard Piping and Drain
    Covers
       8.5     8.5
IV
         8.5
       5.3     5.3      5.3      5.3

                       13.1     13.1



                       23.0     23.0


                       61.4     61.4

                                 6.0


              29.1     29.1     29.1


              12.5     12.5     12.5

                              1346.8


                                15.0
        TOTAL
0.0   13.8    55.4    152.9   1512.2
                                8-10

-------
Table 8-4.  CAPITAL COST ESTIMATES PER MODEL UNIT  (Continued)
               (Thousands of May 1979 Dollars)
Regulatory Alternative
Capital Cost Item I
Model Unit B (New)
1. Monitoring Instrument
2. Caps for Open-Ended
Valves
3. Double Mechanical Seals
4. Barrier Fluid Recirculation
System for Double
Mechanical Seals
5. Vents for Barrier Fluid
Degassing Reservoirs
6. Rupture Disks for
Safety/Relief Valves
7. Closed Loop Sampling
Connections
8. Sealed Bellows, Valves
9. Hard Piping and Drain
Covers
TATAI 1
II III IV
_ 	 • 	 — 	

8.5 8.5 8.5
5.3 5.3 5.3
8.9
23.0
61.4
16.2 16.2
12.5 12.5


3.0 13.8 42.5 135.8
V


5.3
8.9
23.0
61.4
16.2
12.5
910.0
15.0
1052.3
                           8-11

-------
           Table 8-4.  CAPITAL COST ESTIMATES PER MODEL UNIT

                     (Thousands of May 1979 Dollars)
                                      Regulatory Alternative
 Capital Cost Item
       II
III
IV
Model Unit C (Existing)

 1. Monitoring Instrument

 2. Caps for Open-Ended
    Valves

 3. Double Mechanical Seals

 4. Barrier Fluid Recirculation
    System for Double
    Mechanical  Seals

 5. Vents for Barrier Fluid
    Degassing Reservoirs

 6. Replacement Pumps

 7. Rupture Disks for
    Safety/Relief Valves

 8. Closed Loop Sampling
    Connections

 9. Sealed Bellows, Valves

10. Hard Piping and Drain
    Covers
       8.5     8.5
         8.5
       8.8     8.8      8.8      8.8

                       21.8     21.8



                       38.3     38.3


                      102.3    102.3

                                 9.0
              51.7     51.7
                 51.7
              21.1     21.1     21.1

                              2242.2


                                25.0
        TOTAL
0.0   17.3    90.1    252.5   2520.0
                              8-12

-------
Table 8-4.  CAPITAL COST ESTIMATES PER MODEL  UNIT  (Concluded)
                (Thousands of May  1979 Dollars)
                                 Regulatory Alternative
 Capital Cost Item
            1 —    """"

Model Unit C (New)

 1. Monitoring Instrument

 2. Caps for Open-Ended
     va 1 ves

 3.  Double Mechanical  Seals

 4.  Barrier  Fluid Recirculation
     System for  Double
     Mechanical  Seals
7.  Closed Loop Sampling
   Connections

8.  Sealed Bellows, Valves

9.  Hard Piping and Drain
   Covers
    TOTAL
                                         n
                                           m
                                   8.5     8.5
                                                 <:i>i
                                                        IV




                                                        8.5


                                                        8.8

                                                       14.8



                                                       38.3
                                                             8>8


                                                             14'8


                                                             38>3
                                                             21 1


                                                           l
                             0.0   17.3    67.2    222.6    1754.1
                           8-13

-------
     (1) monitoring instrument annualized capital  charges, and material,
maintenance, and calibration expenses,
     (2) emissions control  equipment maintenance and capital charges,
     (3) leak detection labor,
     (4) repair labor,
     (5) administration and support, and
     (6) initial control program startup.
     Annualized capital charges include depreciation, interest, property
taxes, and  insurance.  Depreciation and interest are computed by the
use of a Capital Recovery Factor (CRF), based on the lifetime of the
equipment and the annual interest rate.  Property taxes and  insurance
are also included and  are estimated at 4 percent of the total capital
cost.  These items are calculated by means of the formula:
                              C = Cl + C2
where C = total annualized  costs; (^  = annual depreciation  and  interest
charges; and C2 = property  taxes and  insurance.  Now Cj and  C2  are
described as:
     C, = C x  (CRF)              and             C2 = Cc x  (n)
      JL     \*
     where:  C  = capital cost of the equipment
              \*
                    .  /1+-\n        where:   i  = annual  interest  rate  (10%)
             CRF  =  (l+i)n-l                n  = lifetime of  equipment,  years
                                                (n=6  for the monitoring
                                                instrument,  and  n=10  for
                                               control equipment)
      Annualized  leak detection  and  repair  labor  costs  are derived  by
means  of  the formula:
                               L  •  4  + 4
where L = total  annual leak detection and  repair labor costs; L^ -
 annual  leak detection cost; and  l_2  =  annual  repair  cost.   Now LI and
 L0 are  described  as:
                                  8-14

-------
     I  = (AxBxDxE)xN             and        LZ = FxGxE
where:    A = Number of model unit components affected
          B = Monitoring time, hours (leak detection)
          D = Times monitored per year
          E = Labor cost, $/hr = $15.50/hr
          F = Estimated number of leaks  per year
          G = Repair time,  hours (maintenance)
          N = Number of workers  involved in monitoring  =  2
      Annualized  administrative and  support costs  are  estimated  at 40
 percent  of the leak detection and repair labor  costs.
      Finally, the  cost  of  repairing  leaks found during  an initial unit
 survey  is also computed.   This cost  is  amortized  by employing a Capital
 Recovery Factor  using  the  control equipment  lifetime (10  years), and
 an  annual  interest rate of 10 percent.
      Tables  8-5  through 8-8 give annual  leak  detection and repair
 labor costs  (in  May 1979 values) for Regulatory Alternatives II through
 V.   Total  annual leak  detection  labor costs  range from $30 (Unit A,
 Regulatory  Alternative V)  to $4,850 (Unit C,  Regulatory Alternative III).
 Total annual  repair labor costs  range from $0  (Units A, B, and C,
 Regulatory Alternative V) to $5,750 (Unit C,  Regulatory Alternative III).
 Leak detection and repair labor costs do not follow a  linear relation-
 ship for increasing levels of benzene emission control.  Lower monitoring
 (leak detection) costs for Regulatory Alternative  V in comparison  with
 the  other Regulatory Alternatives result from  the  fact that  there
 would be virtually no  leaks  if  Regulatory Alternative  V  were applied.
 The  only monitoring performed is the weekly visual  inspection  of
 pumps.  Since this Regulatory Alternative represents  leakless  emission
 control, no repair labor  costs  would  be incurred.
      Estimates  of  credits  from  the  recovery  of benzene emissions have
 been made from  refining and  organic chemical  operations, based^on the
 market  price  of benzene as of May  1979 ($370/Mg  or $1.30/gal).
 Table  8-9  presents  the recovered  product credits derived from the
 market price  of the  recovered  product and the quantity of total VOC
  emissions  reduced as  a result of each regulatory alternative.
  Recovered  product credits range from $4,740 (Unit A, Regulatory
                                   8-15

-------
                                           Table  8-5.    MONITORING  AND  MAINTENANCE  LABOR-HOUR  REQUIREMENTS
                                                                   FOR REGULATORY  ALTERNATIVE  II
co
 i

Source
Type
Pumps
Valves
Gas
Liquid
Safety/
Relief
Valves
Drains
MONITORING
Number of
Components
Per Model
Unit
A
5
34
87
4
5
B
15
100
264
11
15
C
25
167
439
19
25
Type of
Monitoring
Instrument
Visual
Instrument
Instrument
Instrument
Instrument
Monitoring
Time a
Per Person
(Minutes)
5
0.5
It
1
1
3
1
Times
Monitored
Per Year
1
52
4
1
4
1
Mom" toring
Labor-Hours
Required
A
0.8
2.2
4.5
2.9
4.3
0.2
B
2.5
6.5
13.3
8.8
11.7
0.5
C
4.2
10.8
22.3
14.6
20.3
0.8
MAINTENANCE
Estimated
Number of
Leaksb
A
1
1
2
c
1
B
1
4
6
c
1
C
1
7
11
c
1
Repair
Time
(Hours)
80
1.13
1.13
0
4
Maintenance
Labor-Hours
Required
A
80
1
't
0
4
B
80
5
7
0
4
C
80
8
12
0
4
                                                                         Total Monitoring  ,.  g  43 3  73 0   Total  Maintanence
                                                                           Hours =        ——  —~  —~     Hnurs =
                                                                              v $15.50/hour
                                                                         Total Monitoring  230   670
                                                                           Dollars =      	  	•
  Hours
     x $15.50/hour
Total  Maintenance
  Dollars  =
                      87
                           96  104
1350  1490 1610
                                       Instrument monitoring requires a two-person team.   Visual monitoring requires one person.

                                       Recurrence factors of 0.6,  0.4, and 0.2  have been applied for monthly, quarterly, and annual
                                         instrument inspections.  It is assumed that 5 percent of leaks initially detected recur each
                                         month (0.5 x 12 = 0.6), that 10 percent  of leaks initially detected recur each quarter
                                         (.10 x 4  = 0.4), and that 20 percent of  leaks initially detected  recur annually  (.20 x 1  -  0.2)

                                       cThese leaks are repaired by routine maintenance at no incremental  increase in manpower requirements.
                                         Safety/relief valves  are normally reset during routine maintenance without a leak detection and
                                         repair program.  (Reference 8).

-------
                                           Table 8-6    MONITORING  AND MAINTENANCE  LABOR-HOUR REQUIREMENTS
                                                                FOR REGULATORY ALTERNATIVE  III
oo
 i
Source
Type
Pumps
/alves
Gas
Liquid
. 	 • 	
Safety/
Raltef
Valves
— — 	
Orains
MONITORING
Number of
Components
Per Model
Unit
A
5
34
87
4
I 5
B
15
100
264
11
15
C
25
167
439
19
25
Type of
Monitoring
Instrument
Visual
Instrument
Instrument
Instrument
Instrument
Monitoring
Time
Per Person
(Minutes)
5
0.5
1
1
8
1
Times
Monitored
Per Year
12
52
12
12
0
12
Total Monitoring
Hours »
x $15.50/hou
Monitoring
Labor-Hours
Required
A
10.0
2.2
13.6
34.8
0.0
2.0
B
30.0
6'.5
40.0
105.6
0.0
6.0
C
50.0
10.8
66.8
175.6
0.0
10.0
62.6 188.1 313.2
r
MAINTENANCE
Estimated
Number of
Leaksb
A
1
2
6
--
1
B
2
6
19
1
C
4
10
32
--
1
Repair
Time
(Hours)
80
1.13
1.13
0
4
Maintenance
La.bor-Hours
Required
A
80
2
7
0
4
B
160
7
21
0
4
C
320
11
36
0
4
Qi 1 Q? 17 1
Total Maintanence j£_ 1jlf_ zli
Hours =
                                                                           Total Monitoring  970   2920  4850     n iiV:.  -         _V"- Z^Z ^^~
                                                                             Dollars =      	  	 	    Dollars  -

                                      Instrument monitoring requires a two-person team.  Visual  monitoring requires one person.

                                      Recurrence factors of 0.6, 0.4 and 0.2 have been applied for monthly, quarterly, and annual instrument inspections.
                                       It is assumed that 5 percent of leaks initially detected recur each month (0.5 x 12 = 0.6), that 10 percent of leaks
                                       initially detected recur each quarter (.10 x 4 - 0.4), and that 20 percent of leaks initially detected recur annually
                                       (.20 x 1  * 0.2).

-------
                                             Table  8-7.   MONITORING  AND MAINTENANCE LABOR-HOUR  REQUIREMENTS
                                                                   FOR  REGULATORY  ALTERNATIVE  IV
00

oo




Source
Typs

_
?'jr:ps
Valves
Gas
Liquid
Safety/
Relief
Valves
drains
MONITORING


Number of
Components
Per Model
Unit

A




34
87

4

5
B




100
264

11

15
C




167
439

19

25


Type of
Monitoring
Instrument

Visual

Instrument
Instrument

Instrument

Instrument

Monitoring
Time a
Per Person
(Minutes)
5

0,5

t
1

8

1

Times
Monitored
Per Year
0

52

12
12

0

12

Monitoring
Labor-Hours
Required

A
0

2.2

13.6
34.8

0

2.0
B
0

C.5

40.0
105.6

0

6.0
C
n
u

10.8

66.8
175.6

0 '

10.0

MAINTENANCE

Estimated
Number of
Leaksb

A

o


2
6

0

1
B

n


6
19

0

1

C

o


10
32

0

1
Repair
Time
(Hours)

80


1.13
1.13

0

4
Maintenance
Labor-Hours
Required

A

0


2
7

0

4

6

.0


7
21

0

4

C

0


11
36

0

4
                                                                        Total Monitoring  52.6 158.1  263.2
                                                                           Hours «
                                                                            x $15.50/hour
                                                                        Total Monitoring 320 -   2450  4080
                                                                           Dollars =      	   	  	
Total  Maintanence
  Hours  =
    x  $15.50/hour,
Total  Maintenance
  Dollars =
                                                                                                                               13
                                                                                                                                    32   51
200   500  790
                                  ^Instrument monitoring requires a  two-person team.  Visual monitoring requires one person.

                                  bRecurrence factors  of 0.6, 0.4, and 0.2 have been applied for monthly, quarterly, and annual instrument inspections.
                                   It is assumed that  5 percent of leaks initially detected recur each month  (0.5 x 12 = 0.6), that  10 percent of leaks
                                   initially detected  recur each quarter (.10 x 4 = 0.4), and that 20 percent of leaks initially detected recur annually
                                  (.20 x i  = 0.2).

-------
                                     Table  8-8    MONITORING AND MAINTENANCE  LABOR-HOUR REQUIREMENTS
                                                        FOR REGULATORY ALTERNATIVE  V
CO
                                          Number of
                                         Components
                                          Per Model
                                           Unit
                 Monitoring
                 Labor-Hours
                  Required
Total Monitoring   2.2  6.5   10.8   Total Malntanence

               ,~~                 * !l5.50/hour
                               Total Maintenance
                 O   100   170    •  Dollars-.    .
                                                                   T 4. i
                                          .onitorin, requires . two-person t«. Visual Storing requires one p.rson.

-------
                                                    Table 8-9.    RECOVERED  PRODUCT CREDITS
oo
ro
o
I


11


III


IV


V


VI
	
tory
ative


1



Model Unit A
VOC
Emissions
(Mg/Year)
29.3
13.7
9.2
8.0
d
4.6
0.0
Emission
Reduction
From Recovery
Uncontrolled Credit
(Mg/Year) (Mg/Year)
	 	
15.6 12.8
20.} 15.5
21.3 16.8
24.7 19.3
29.3 	
Recovered
Product
Value
($/Year)
	
4,740
5,740
6,220
7,140
	
Model Unit B
VOC
Emissions
(Mg/Year)
82.9
36.0
22.6
18.9
8.8
0.0
Emission
Reduction
From
Uncontrolled
(Mg/Year)
	
46.9
60.3
64.0
74.1
82.9
Recovery
Credit
(Mg/Year)
	
38. G
46.5
50.3
57.9
	
Recovered
Product
Value
($/Year)
	
14,200
17,200
18,600
21,400
	
Model Unit C
VOC
Emissions3
(Mg/Year)
129.7
50.8
28.0
21.7
5.0d
0.0
Emission
Reduction
From
Uncontrolled
(Mg/Year)
	
78.9
101.7
108.00
124.7
129.7
Recovery
Credit0
(Mg/Yef.r)
	
64.1
77.4
83.7
96.5
	
Recovered
Product
Value
($/Year)
	
23,700
28,700
31,000
35,700
	
         aIncludes  emissions from equipment handling  less than 10 percent benzene.


         bDoes not  include emissions  from  safety/relief valves or drains, since these may not be  recovered.


         cThis value is obtained by multiplying the recovery credit in Mg per year by $37ii per Mg (second  quarter, 1979 value for benzene, Ref.  9).


         d"Residue" From uncontrolled equipment (less  than 10 percent benzene).

-------
Alternative II) to $35,700 (Unit C, Regulatory Alternative V) per
year, the credits being a function of model unit size and the
regulatory alternative.
     The anr.ualized costs associated with  the initial screening  survey
and the resultant leak repairs are detailed for Regulatory Alternatives  II,
III, and IV per model unit in Table 8-10.  Total repair  labor costs
ranging from $280 (Model  A, Regulatory  Alternative  IV) to $8,730
(Model C,  Regulatory Alternatives  II and  III) are multiplied  by  a  CRF
of  0.25  (10 years,  10  percent) to  yield annual  repair  labor  costs
ranging  from $70  (Model  A, Regulatory  Alternative  IV)  to $2,180
(Model C,  Regulatory Alternatives  II  and  III).
     Annualized  costs  for implementing  Regulatory  Alternatives  I
through  V  for  three model unit  sizes  are  given  in  Table  8-11.   Each
model  unit is  classified as  either existing  or  new.  Regulatory
Alternative I  is assumed to  need no additional  controls, thus there
are no annualized costs.  Annualized  control  costs for the existing
units  range from $8,100  (Model  A,  Regulatory Alternative II) to
 $644,700 (Model C,  Regulatory Alternative V).  For new units, which  do
 not incur the high retrofitting costs  of  existing units, the range is
 from $7,700 (Model  A,  Regulatory Alternative II) to $448,600 (Model  C,
 Regulatory Alternative V).
 8.3.2  Cost-Effectiveness
      A cost-effectiveness analysis was performed to determine which
 regulatory alternative  reduces  the greatest  benzene emissions at  the
 least cost.   Total annual costs due  to each  regulatory  alternative
 were  divided  by  the annual benzene emission  reduction achieved  under
 that  Regulatory  Alternative  to  generate  a cost-effectiveness  figure.
 Table 8-12  lists benzene emission reductions per  model  unit for each
 regulatory  alternative, while  Tables  8-13 and  8-14 present the cost-
 effectiveness for  the existing  and new model units,  respectively.
 Baseline  or uncontrolled benzene  emissions,  represented by Regulatory
 Alternative I, per model unit  are estimated to be 18.6 Mg/year (A),
  44.7  Mg/year (B),  and 97.1  Mg/year (C).   Under Regulatory Alternative  II,
  benzene emissions  from Model Unit A are  estimated to decrease  53
  percent from the baseline emissions (from 18.6 Mg/year to 8.7  Mg/year).
  Similarly, benzene emission reductions of 57 and  61 percent for Model
                                   8-21

-------
                                   Table 8-10.    INITIAL  SURVEY  START-UP  COSTS

                                            FOR REGULATORY ALTERNATIVE  II
oo
i
no



Source Type
'Pumps
Valves
Gas
Liquid
Safety/rel ief
Valves
Drains



Percent of
Number of Components Sources
per Model Unit Leaking in

— 	 • • 	 -• im uiui
A B C Survey
5 15 25 23

34 100 167 it)
87 264 439 12

4 11 19 8
5 15 25 4




Estimated
Number of Leaks Repair
.... ,_ . . _ TT mp
ABC (Hours)
1 3 6 80

3 10 17 1.13
10 32 53 1.13

a a a o
111 4
Total Hours
X
TOTAL

Repai

A
80

3
11

0
4
98
-
r Labor

B
240

11
36

0
4
291

Hours

C
480

19
60

0
4
563
$15.50/hour
1520
4510
8730
                                                                                        x  CRF  = 0.25

                                                                                          (10 year,  10  Percent)


                                                                          Annualizedb    =   380     1130    2180

-------
                                  Table 8-10.    INITIAL SURVEY START-UP COSTS
                                    FOR REGULATORY ALTERNATIVE III   (Continued)
CO


OJ
II
Source Type
	 . 	 — — 	 	 ^^=
Pumps
Valves
Gas
Liquid
Drains
— -••'i^_ - '"• "— • • ^~~~
1
Number of Percent
Components Sources
Per Unit Leaking in
_ ,. 	 Initial
ABC Survey
•~
5 15 25 23
34 100 167 * 10
87 ' 264 439 12
5 15 25 4
......
Number of Leaks Repair Repair Labor Hours
	 	 Time ~ 	 ~~ 	 ~ 	
ABC (Hours) ABC
1 3 6 80 80 240 480
3 10 17 1.13 3 11 19
10 32 53 1.13 11 36 60
	 • 	 •
1114 --4 44
	 ~
Total Hours = 98 291 563
x $15.50/hour
TOTAL = 1520 4510 8730
x CRF = 0.25 (10 year,
10 Percent)
Anm.alized5 = 380 1130 2180

-------
                                  Table 8-10.    INITIAL SURVEY START-UP COSTS
                                    FOR REGULATORY ALTERNATIVE IV  (Continued)
00
I
(X)
Number of Percent
Components . Sources
Per Unit Leaking in
T »*•; •»- •; -i i
• 	 • initial
Source Type ABC Survey
Valves
i»
Gas 34 100 167 10
liquid 87 ' 264 439 12
Drains 5 15 25 4
Estimated
Number of Leaks
A B C
3 10 17
10 32 53
1 1 1
Repair
Time
(Hours)
1.13
1.13
4
Total Hours =
X
TOTAL
X
Annual ized =
Repair Labor Hours
A B • C
3 11 19
11 36 60
-4 4 4
J18 11 .83
$15.50/hour
280 790 1290
CRF = 0.25 (10 year,
10 Percent)
70 200 320

-------
         Table 8-10.   INITIAL SURVEY START-UP COSTS (Concluded)
NOTES:

aLeaks  are repaired by routine maintenance at no incremental  increase
 in manpower requirements.  Safety/relief valves are normally reset
 during routine maintenance without a leak detection and repair program.


 Since  there are no one-time start-up costs, these numbers can be
 capitalized using the Capital Recovery Factor (CRF) method.
                                 8-25

-------
     Table 8-11.   ANNUALIZED  CONTROL  COST
          ESTIMATES  PER MODEL  UNIT3
        (Thousands of  May 1979 Dollars)

Model Unit;   A (Existing)
Cost I ten
Annual ized Capital Charges
1. Control Equipment
b
a. Instrument
b. Caps
c. Double Seals
• Seals
• Installationd
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumpr
g. Rupture Disks'
« Disks
• Installation
h. Closed-Loop Sampling^
i. Sealed-Bellow.5 Valves
j. Hard Piping9'1
2. Initial Leak Repair1
!I III IV


? . 0 2.0 2.0
(i '. 3 0.3 0.3

1 .7
0.2
1.2
T d
J . H
0.3 0.3
15 1.5
0.7 0.7


0.4 0.4 0.1
V


0.0
0.3

1 .7
0.2
1.2
3.4
o'.s
0.3
1 .5
0.7
72.9
0.8

0.0
 Operating Costs

   1. Maintenance Charges
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumps
g. Rupture Disks
h Closed-Loopi*Sampling
i. Sealed-Bellows Valves

2.









3.

Total
j. Hard Piping
Miscellaneous (Taxes, Insurance,
Administration)
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumps
g. Rupture Disks
h. Closed-Loop Sampling
i. Sealed-Bellows Valves
j. Hard Piping
Labor
a. Leak Detection Labor
b. Repair Labor
c. Administrative and Support
Before Credit
2.7 2.7
0.1 0.1
0.4
0.2



0.3 0.3
01 n i
.1 U.I



0.5
0.2



0.2 1.0
14 1 .4
0.6 1.0
0.0 8.1 13.1
2.7
0.1
0.2
0.3
0.8
0.4
0.2



0.3
0.1
n ?
u . c
n A
U .H
i n
1 U
0.5
0.2



0.8
0.2
0.4
20.2
0.0
0.1
0.2
0.3
0.8
0.1
0.4
0.2
17.9
0.2



0.0
0.1
0.2
0.4
1 0
0.2
o-'.s
0.2
99 a
L £ . H
0.3


0 0
0.0
0.0
129.0
                      8-26

-------
 Table  8-11.   ANNUALIZED  CONTROL  COST
ESTIMATES  PER MODEL  UNITa    (Continued)
      (Thousands  of May  1979  Dollars)
Model Unit:   A (New)
   Cost Item
                                            II    III      IV
Annualized Capital Charges

   1. Control Equipment

     a.  Instrument"                          2.0  2.0     2.0    0.0
     b.  Capst                               0.3  0.3     0.3    0.3
     c.  Double  Seals
         •  Seals                                          1-0    1.0
         •  Installation,                                   0.2    0.2
     d.  Seal  Oil System                                    1-2    1.2
     e.  Vents-Pumps and Compressors                          3.4    3.4
     f.  Rupture Disksf
         •  Disks                                  0.3     0.3    0.3
         •  Installation                            0.8     0.8    0.8
     g.  Closed-Loop Sampling9,                      0.7     0.7    0.7
     h.  Sealed-Bellows Valves"                                    "9.3
     i.  Hard  Piping9>'                                            °-°

   2. Initial Leak RepairJ                           0.0     0.0    0.0

Operating Costs

   1. Maintenance Charges









2.
a.
b.
c.
d.
e.
f.
g.
h.
i.
Instrument
Caps
Double Seals
Seal Oil System
Vents-Pumps and Compressors
Rupture Disks
Closed-Loop Sampling
Sealed-Bellows Valves
Hard Piping*
2.7 2.
0.1 0.



0
0


,7
,1



.2
.2


2.7
0.1
0.1
0.3
0.8
0.2
0.2


0.0
0.1
0.1
0.3
0.8
0.2
0.2
12.1
0.2
Miscellaneous (Taxes, Insurance,
Administration)









3.



Total
a.
b.
c.
d.
e.
f.
g.
h.
i .
Instrument
Caps
Double Seals
Seal Oil System
Vents-Pumps and Compressors
Rupture Disks
Closed-Loop Sampling
Sealed-Bellows Valves
Hard Piping
0.3 0
0.1 0



0
0


.3
.1



.3
.2


0.3
0.1
0.2
0.4
1.0
0.3
0.2


0.0
0.1
0.2
0.4
1 .0
0.3
0.2
15.1
0.3
Labor
a.
b.
c.
Leak Detection Labor
Repair Labor
Administrative and Support
Before Credit
0.2 1
1.4 1
0.6 1
0.0 7.7 11
.0
.4
.0
.6
0.8
0.2
0.4
18.2
0.0
0.0
0.0
89.6
                             8-27

-------
 Table 8-11.   ANNUALIZED CONTROL COST
ESTIMATES PER MODEL UNIT9   (Continued)
    (Thousands of May 1979 Dollars)
Model Unit- B (Existing)
Cost HPm I 'I I!I
Annual ized Capital Charges
1. Control Equipment
a. instrument5 2-« 2-°
b. Caps' °-8 °'8
c. Double Seals
« Seals
• Installation.
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumps6
g. P-upture Disks^
« Disks ''•'
» Installation *-3
h. Closed-Loop Samplinguh 2-'
i. Sealed-Bel lovts Valves
j. Hard Piping^'1
2. Initial Leak Repair^ 1-1 ] -1
Operating Costs
1. Maintenance Charges
? 7 27
a. "nstrument <-.i .
b. Caps °-2 °'2
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumps
g. Rupture Disks '•£
h. Closed-Loop Sampling u-b
i. Sealed-Belrtws Valves
j. Hard Piping
2. Miscellaneous (Taxes, Insurance,
Administration)
n i n i
a. [nstrument Jr'^ J:'^
b. Caps °'J
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. 'Replacement Pumps
g. Rupture Disks '•*
h. Closed-Loop Sampling u-°
i. Sealed-Bellows Valves
j. Hard Piping
3. Labor
a. Leak Detection Labor 0-7 2>9
b. Repair Labor '•b ^.u
c. Mministrative and Support °-y '-4
Total Before CredU °-° 10'5 26'9
IV


2.0
0.8

5.0
0. 7
3.7
9.9

i i
i . i
4.3
2.1

0.2


2.7
0.2
0.5
On
. y
0 C
L . J
1 ?
1 . C
0.5




0.3
0^3
07
. /
1 ?
1 . i-
2 -j

1 .4
0.6



2.5
0.5
K2
50.1
V


0.0
0.8

5.0
0.7
3.7
9Q
.y
i n
1 .U
1 . 1

4.3
2.1
219.5
0.0


0.4
0.2
0.5
n Q
u . y
o c
L. , J
n ?
U . L
1 2
0.5
c-i q
jj . y
0.6



0.0
0.3
0 7
1 2
3 1
0. 3
1 .4
0.6
67.3
0.8


0.0
0.0
o!o
386.7
                 8-28

-------
      Table  8-11.   ANNUALIZED CONTROL COST
     ESTIMATES  PER MODEL UNITa   (Continued)
           (Thousands  of  May 1979  Dollars)

Model Unit.   B  (New)
   Cost Item      	I       "    •"      IV     V

Annualized Capital Charges

   1. Control Equipment
         .  .     ..b                           2 0   2 0      2.0   0.0
     a.  Instrument                             •    Q_&      Q_8   „_„
     b.  Laps
     c.  Double  Seals                                        , „   ^ Q
        •  Seals                                           ,,',   n'c
         •  Installation,                                    "•?   "'°
     d.  Seal  Oil System                                     £•'   ,„
     e.  Vents-Pumps and Compressors                           '•'
     f.  Rupture Disksf                               ,      , ,   ,  ,
         •  Disks                                   I'}      \'\   \'\
         «  Installation                             <•*      '•*   '•*
     a.  Closed-Loop Samplingyh                       '•'      f''   '•
     h.  Sealed-Bellows Valves"                                    |q°'^
     i.  Hard Piping9.'                                            ^-*

   2.  Initial Leak RepairJ                       °-°   °-°      °'°   °'°

Operating Costs

   1. Maintenance Charges


2.








3.

Total
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Rupture Disks
g. Closed-Loop Sampling
h. Sealed-Bellows Valves
i. Hard Piping '
Miscellaneous (Taxes, Insurance,
Administration)
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Rupture Disks
g. Closed-Loop Sampling
h. Sealed-Bellows Valves
i. Hard Piping
Labor
a. Leak Detection Labor
b. Repair Labor
c. Administrative and Support
Before Credit
2.7 2.7
0.2 0.2
0.6
0.5



0.3 0.3
0.3 0.3



0.8
0.6



0.7 2.9
1.5 3.0
0.9 2.4
0.0 9.4 22.7
2.7
0.2
0.4
0.9
2.5
0.6
0.5



0.3
0.3
n d
U , H
1 9
1 . i.
•\ 1
J . 1
00
. O
0.6



2.5
0.5
1.2
44.3
0.0
0.2
0.4
0.9
2.5
0.6
0.5
36.4
0.6



0.0
0.3
0 4
1 2
•\ i
j . i
0 8
o'.6
£C C
HO . D
0.8


0.0
0.0
0.0
269.1
                            8-29

-------
 Table 8-11.   ANNUALIZED CONTROL COST
ESTIMATES PER MODEL UNIT3  (Continued)
   (Thousands of May 1979 Dollars)
Model

Unit: C (Existing)

Cost Item I

II III

IV

V
Annual i zed Capital Charges
1.












2.
Control Equipment
a. Instrument
b. Caps
c. Double Seals
• Seals
• Installation
d. Seal Oil Systemd
e. Vents-Pumps and Compressors
f. Replacement Pumps6
g. Rupture Disksf
• Disks
• Installation
h. Closed-Loop Sampling3,
i. Sealed-BelloKS Valves"
j. Hard Piping?-1
Initial Leak Repair-1

2 0 2.0
14 1.4







1.9
7.8
3.4


2.2 2.2

2.0
1 .4

8.3
1.2
6.2
16.7


1 .9
7.8
3.4


0.3

0.0
1.4

8.3
1.2
6.2
16.7
1 .4

1 .9
7.8
3.4
365.5
4.0
0.0
Operating Costs
1.










2.











3.



Total
Maintenance Charges
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumps
g. Rupture Disks,
n. Closed-Loop Sampling
i. Sea ied-Bel lows Valves
j. Hard Piping
Miscellaneous (Taxes, Insurance,
Administration)
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Replacement Pumps
g. Rupture Disks
h. Closed-Loop Sampling
i. Sealed-Bellows Valves
j. Hard Piping
Labor
a. Leak Detection Labor
b. Repair Labor
c. Administrative and Support
Before Credit

2.7 2.7
0.4 0.4




2.0
0.8




0.3 0.3
0.4 0.4




2.5
1 .1



1.1 4.9
1 5 5.8
1 1 4.3
13 2 43.9

2.7
0.4
0.9
1.6
4.1

2.0
0.8




0.3
0.4
1 .1
1.9
5.1

2.5
1 .1



4.1
0.8
2.0
81 .0

0.0
0.4
0.9
1 .6
4.1
0.4
2.0
0.8
89.7
1.0


0.0
0.4
1 .1
1 .9
5.1
0.5-
2. 5
1 .1
112.1
1 .3

0.0
0.0
0.0
644.7
                  8-30

-------
 Table 8-11.   ANNUALIZED CONTROL COST
ESTIMATES PER MODEL UNITa   (Concluded)
    (Thousands of May 1979 Dollars)
Model Unit: C (New)
Cost Item I
Annualized Capital Charges
1. Control Equipment
a. Instrument
b. Caps
c. Double Seals
• Seals
• Installationd
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Rupture Disks'




2.
• Disks
• Installation
g. Closed-Loop Samplingsh
h. Sealed-BelloKS Valves
i. Hard Piping^'1
Initial Leak RepairJ
II III
2.0 2.0
1.4 1.4
1 ."
4.
3.


0.0 0.
y
2
,4


0
IV

2.0
1.4
5.0
1.0
6.2
16.7
1 ."
4.
3.


0.
a
2
4


0
V
0.0
1.4
5.0
1.0
6.2
16.7
1 Q
1 .9
4.2
3.4
246.9
4.0
0.0
Operating Costs
1.








2.









3.



Total
Maintenance Charges
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Pumps and Compressors
f. Rupture Disks
g. Closed-Loop Sampling
h. Sealed-Bel Vows Valves
i. Hard Piping
Miscellaneous (Taxes, Insurance,
Administration)
a. Instrument
b. Caps
c. Double Seals
d. Seal Oil System
e. Vents-Punps and Compressors
f. Rupture Disks
g. Closed-Loop Samoling
h. Sealed-Bellows Valves
i. Hard Piping
Labor
a. Leak Detection Labor
b. Repair Labor
c. Administrative and Support
Before Credit

2.7 2.
0.4 0.



1.
0




0.3 0
0.4 0



1
1



1,1 4
1.6 5
1 .1 4
11.0 36

7
,4



.1
.8




.3
.4



.4
.1



.9
.8
.3
.1

2.
0.
0.
1.
4.
1 .
0.




0
0
0
1
s
1
1



4
0
2
70

7
4
6
6
,1
,1
.8




.3
.4
.7
.9
.1
.4
.1



.1
.8
.0
.9

0.0
0.4
0.6
1 .6
4.1
1 .1
0.8
60.6
1 .0


0.0
0.4
0.7
1 .9
5.1
1 .4
1.1
75.8
1 .3

0.0
0.0
0.0
448.6
                 8-31

-------
Table 8-11.  ANNUALIZED COST ESTIMATES PER MODEL UNIT  (Continued)

NOTES:

aCost Factors Used in Computing Annual Costs:   (Ref.  2,  pp.  IV-3  through  IV-10

     1.   Instrument
          a.   Capital Charges
               i.  Cost  =  2 x $4,250
              ii.  Operating Life = 6 Years
             iii.  Annual Interest = 10 Percent
              iv.  CRF = 0.23
               v.  Miscellaneous = 0.04
          b.   Materials and Maintenance
               i.  Cost  =  $2,700 Per Year

     2.   Control Equipment
                         4
          a.  Capital Charges
          b.  Operating Life  =  10 Years (2 yrs.  for double seal  &  rupture  di:
          c.  Annual  Interest  =  10 Percent
          d.  CRF  =  0.16 (0.58 for double seal  and  rupture disk)
          e.  Miscellaneous  =  0.04
          f.  Maintenance  = 0.05

     3.   Administration and Support  =  40 Percent  of  Leak
          Detection and Repair Labor Cost
  Cost  is  for Century Systems Corporation's Organic Vapor Analyzer
  (Model OVA-108).
 cUsed  to  seal open-ended  valves.
  Used  as  auxilliary for double seal.
                             "8-32

-------
Table 8-11.   ANNUALIZED COST ESTIMATES PER MODEL  UNIT  (Concluded)
NOTES:  (Concluded)

eln retrofitting double seals, it has been assumed that 10 percent
 of the pumps will need to be replaced.  Thus, the following
 numbers' of pumps would be replaced:
     Model A — 1 pump
     Model B — 2 pumps
     Model C — 3 pumps
fCost  includes rupture disk,  block valve, and replacement of safety/
 relief valve,
9Cost is  for new  or  retrofitted  installation.
hUsed for control  valves.
 Consists of  sealed  cover  on drain  with  line  leading  to  pump.
    ere equipment standards are applied,  as  in  Regulatory  Alternatives
  IV and V, the amount of .leak detection  and repair  labor  decreases.
 kBased on an average price of $370/Mg  (Ref.  9).
 lumbers in parentheses represent savings  (net credit).
                               8-33

-------
                                                 Table 8-12.   BENZENE EMISSION  REDUCTIONS
oo
 i
CO
-Pi.
Regulatory
Alternative
I
11
III
IV
V
VI

Model Unit
VOC Benzene
Emission Emission
(Hg/Year) (Mg/Year)
29.3
13.7
9.2
8.0
4.6
0.0
18.6
8.7
5.9
5.1
2.9
0.0
A
Benzene
Emission
Reduction0
(Mg/Year)
	
9.9
12.7
13.5
15.7
18.6

Model Unit
VOC Benzene
Emission3 Emission
(Mg/Year) (Mg/Year)
82.9
36.0
22.6
18.9
8.8
0.0
44.7
19.3
12.1
10.1
4.6
0.0
B
Benzene
Emission.
Reduction
{Mg/Year)
	
25.4
32.6
34.6
40.1
44.7

voc a
Emission
(Mg/Year)
129.7
50.8
28.0
21.7
5.0
0.0
Model Unit
Benzenea
Emission
(Mg/Year)
97.1
38.2
21.2
16.5
4.0
0.0
C
Benzene
Emission b
Reduction
(Mg/Year)
	
58.9
75.9
80.6
93.1
97.1
                      Calculations of VOC and benzene emissions for each model unit and  regulatory alternative are presented  in EPA

                       Docket Number A-79-27-II-B.
                      Benzene emission
reductions are calculated for  each model unit as the difference  between the benzene emissions  for
                      D C 11 i. C I IC CIIIIOOIIMI I V. «J U \* w I w I I -» •*••>. w.	.	              ^     / T T    \

                      the baseline alternative (I) and each  of  the other alternatives (II-VI).

-------
                                 Table  8-13.   COST-EFFECTIVENESS  FOR  EXISTING MODEL  UNITS
co
Regulatory Alternative
       i       ii'

Total  Capital Cost ($1.000)"

Total  Annualized Cost ($1,000)"
                                  ,c,d
         Total Annual Credit ($1.000)

         Net Annualized Cost ($1.000) '
         Total  Benzene Reduction
           (Kg/Year)
         Cost-Effectiveness9(Net Annualized
           Sl,000/Mg  Benzene)
                           •
            aFrom  Table 8-4.
                                            I      II     III      IV      V
                                            .
                                          0.0    10.3    24.3    56.9   504.1
                                          0.0
                                                  8.1    13.1    20.2   129.0
                                  0.0     (4.7)   (5.7)   (6.2)   (7.1)
                                          3.4     7.4    14.0   121.9
                                          9.9     12.7    13.5    15.7
                                          0.34    0.58    1.0    7.8
             each model  unit and regulatory alternative.
0.0     13.8    55.4   152.9  1512.2
	—	—	
0.0     10.5    26.9     50.1   386.7
	,	'
0.0    (14.2)  (17.2)   (18.6)  (21.4)
0.0     (3.7)    9.7    31.5   366.3
        _	   •

        25.4    32.6    34.6    40.1
                                                                                        0.0    0.30    0.91    9.1
  I       11      111     IV      V

0.0     17.3    90.1    252.5   2520.5
		•	

0.0     13.2    43.9    81.0    644.7
		—-	—
0.0    (23.7)  (28.7)  (31.0)     (35.7)
	—	
       (10.5)    15.2    50.0      609.0
       	•	*-—

        58.9     75.9    80.6
                                                                                                                             0.0     0.20    0.62       6.5
                                                                                                                                                   f°r

-------
                                   Table  8-14.   COST-EFFECTIVENESS  FOR  NEW  MODEL  UNITS
o — — — =~— —
Regulatory Alternative
Total Capital Cost ($l,000)a
Total Annualized Cost ($l,000)b
Total Annual Credit (Sl,000)c'd
d,e
Net Annualized Cost ($1,000)
Total Benzene Reduction
(Mg/year)
Cost-Effectiveness9(Net Am.ualized
Sl.OOO/Mg Benzene)
Model Umt
I II
0.0 10.3
0.0 7.7
0.0 (4.7)
0.0 3.0
	 9.9
	 0.30
III
20.0
11.6
(5.7)
5.9
12.7
0.46
A
IV
51.2
18.2
(6.2)
12.0
13.5
0.89

V
350.2
89.6
(7.1),
82.5
15.7
5.3
Model Unit
I II III
0.0 13.8 42.5
0.0 9.4 22.7
0.0 (14.2) (17.2)
0.0 (4.8) 5.5
	 25.4 32.6
0.0 0.17
B
IV
135.8
44.3
(18.6)
25.7
34.6
0.74

V
1052,3
269.1
(21.4)
247.7
40.1
6.2
Model Unit
I II
0.0 17.3
0.0 11.0
0.0 (23.7)
0.0 (12.7)
	 58.9
	 0.0
III
67.2
36.1
(28.7)
7.4
75.9
0.10
C
IV
222.6
70.9
(31.0)
39.9
80.6
0.50

V
1754.1
448.6
(35.7)
412. y
93.1
4.4
co
 i
CO
CTi
         dFrom Table 8-4.

         bhrom lable 8-11.

         cFrom Table 8-9  - Recovered  product credit is based on VOC emission reductions from the baseline Alternative I.


         lumbers in parentheses represent savings.                                                                                   n,Mo n Ql fnr
         "Net annual,zed  cost is calculated as the difference between the total armualized cost (Table 8-11) and the recovered product credit (Table 8-9) for

          each model unit and regulatory alternative.



                    by'dividing the  net annuitized cost ($1000) by the total benzene reduction for each model unit and regulatory alternative

-------
Units B and C, respectively, are estimated.  For Regulatory
Alternative III, emissions are expected to decrease 68, 73, and 78
percent for Model Units A, B, and C, respectively.  Reductions of 73,
77, and 83 percent are estimated for Model Units A, B, and C, respectively,
for Regulatory Alternative  IV.  Regulatory Alternative V, the most
stringent control level, is estimated to  reduce emissions from the
baseline level by 84 percent for Model A, 90 percent  for Model B, and
96 percent for Model C.  For existing units, the annualized cost-
effectiveness varies from  no cost  (Models B and C,  Regulatory
Alternative  II)  to  $9,100/Mg of  benzene  (Model B,  Regulatory
Alternative  V).   For new units,  the cost-effectiveness  ranges  from  no
cost (Models  B  and  C,  Regulatory  Alternative  II)  to $6,200/Mg  benzene
 (Model  B,  Regulatory Alternative V).
 8.4   TOTAL INDUSTRY IMPACTS
      The total  nationwide estimated costs, recovered product credits,
 and  benzene fugitive  emissions for the refining and organic chemical
 industries are presented in Table 8-15 for existing units and in
 Table 8-16 for new units.
 8.4.1  Existing Units
      For existing sources, which are estimated at  241 production
 units, economic impacts range from  a capital cost  of $2.9 million  for
 Regulatory Alternative II  to a capital  cost of $242 million for Regulatory
 Alternative V,  based on second quarter  1979 dollars.  These costs
 result  in annualized costs ranging from a net savings of  $25,000 for
 Regulatory  Alternative II  to an  annual  cost of $58.6 million  for
 Regulatory  Alternative V.   The  alternatives would result  in  nationwide
 benzene fugitive emissions ranging from 3,600 Mg/yr for Regulatory
 Alternative II  to  900 Mg/yr for Regulatory  Alternative  V.   These  rates
 compare with an uncontrolled  rate of 8,300 Mg/yr for Regulatory
 Alternative I.   The  resulting cost-effectiveness of the regulatory
  alternatives ranges  from a savings of $10/Mg for Regulatory Alternative II
  to  a cost of $7,900/Mg  for Regulatory Alternative V.
  8.4.2  New Units
       The costs and estimates in Table 8-16 represent fifth-year estimates
  based on the number of new model  units  predicted  to be operating  in
  1985.  Fifth-year impacts for an  estimated 68 production units ranged
                                    8-37

-------
                   Table 8-15.   NATIONWIDE  COSTS  FOR  THE
                             EXISTING  INDUSTRY
                            (May 1979  Dollars)
                                             REGULATORY  ALTERNATIVE
                                               II      III       IV
Total Capital Cost                    0.0     2.9     9.7      25.3     242
    ($ Million)

Total Annualized Cost                 0.0     2.2     4.9       8.5    62.0
    ($ Million)

Total Annual Credit                   0.0   (2.3)b  (2.8)b   (3.0)b  (3.4)b
     ($ Million)

Net Annualized Cost                   0.0   (0.03)b  2.1       5.5    58.6
   ($ Million)

Total Benzene                         8.3     3.6     2.2      1.9      0.9
Fugitive Emissions
  (1000 Mg/yr)

Total Benzene Fugitive                -—     4.7     6.0      6.4      7.4
Emission Reduction
(1000 Mg/yr)

Cost-Effectiveness                    —     0.0     0.4     0.9      7.9
Net Annual  Cost, $1000/
Mg Benzene  Reduced

^Calculated  by multiplying cost and emission estimates for each model unit
 and regulatory alternative (from Table 8-13) by the following numbers of
 existing model units:

               Model                        Number of Existing
               Unit                           Units in 1980

                A                                  145
                B                                   72
                C                                   24

 Numbers  in parentheses  represent savings.

cFrom Table 8-12,  calculated by multiplying emissions for each model unit
 and regulatory alternative by the  number of existing model units  in foot-
 note a.

                                     8-38

-------
                  Table 8-16.  NATIONWIDE COSTS FOR
                    NEW UNITS (FIFTH YEAR IMPACT)3
	 — 	 	 	

Total Capital Cost
($ Million)
Total Annual! zed Cost
($ Million)
Total Annual Credit
($ Million)
Net Annuall zed . Cost
($ Million)
Trt-hal RpnTPnP
REGULATORY
I II
0.0 0.8

0.0 0.6

0.0 (0.7)b

0.0 (0.07)b

2.5 1.1
ALTERNATIVE
III
2.2

1.2

(0.8)b

0.4

0.7
IV V '•,
6.5 48.4

2.2 12.4,

(0.9)b (1.0)*
3
1.3 11.4,

0.5 0.2 .
I \j t*CL I  wCIl«»wll%»     A
Fugitive Emissions
  (1000 Mg/yr)                                                              *

Total  Benzene Fugitive              —     1-5       ]'9      2>0       '  J
Emission Reduction                                                         T^
   (1000 Mg/yr)                                                           ••*.

Cost-Effectiveness                  —     °-°       °'2      °'7     5>  ;:
(Net Annual Cost, $1000/
Mg Benzene Reduced
Calculated  by multiplying cost and emission estimates for each model unit
 and  regulatory alternat^e (from Table 8-14) by the following numbers of
 new  model units predicted to  be in operation in 1985:
             ,.,««=,                        Number °f Ne*
             Unit                           Units  in  1985

             7~                               47
              B                                   7
              C
 b
'Numbers in parentheses represent savings.

cFrom Table 8-12, calculated by multiplying emissions for each model unit
 and regulatory alternative by the number of new model units in footnote
                                     8-39

-------
from a capital cost of $820 thousand for Regulatory Alternative  II
to a capital cost of $48.4 million for Regulatory Alternative V, based
on second quarter 1979 dollars.  These costs would result in annualized
costs ranging from a net savings of $70,000 for Regulatory Alternative II
to an annual cost of $11.4 million for Regulatory Alternative V.  The
alternatives would result in nationwide benzene fugitive emissions
ranging from 1,100 Mg/yr for Regulatory Alternative II to 200 Mg/yr
for Regulatory Alternative V.  These rates compare with an uncontrolled
rate of 2,500 Mg/yr for Regulatory Alternative I.  The resulting
cost-effectiveness for new sources ranges from a savings of $50/Mg  for
Regulatory Alternative II to a cost of $5,000/Mg for Regulatory Alternative  V.
8.5  COST COMPARISON
     The costs of controlling benzene fugitive emissions from the
refining and organic chemical industries are compared with other
benzene source categories in order to consider the total impact of  all
regulations (e.g., OSHA, air and water quality, solid waste) on the
entire benzene industry.  Control cost data for comparison with the
benzene fugitive sources are derived from capital and annual control
cost estimates that are presented in the proposed NESHAP documents  for
the above source categories.  "    Table 8-17 summarizes capital and
annual control cost data for benzene fugitive emissions from the refining
and organic chemical industries, the maleic anhydride and ethylbenzene-
styrene industries (process emissions), and benzene storage tanks from
consumers and producers.  In each category, ranges of control costs
are given for existing and/or new units, reflecting differences in
model units and control technologies.  In general, the range of capital
and annualized costs for the benzene fugitive sources (refining and
organic chemical industries) is much wider than the range for the
other sources.  Control costs for the maleic anhydride plants (existing)
appear to be the highest, followed by costs for controlling benzene
fugitive sources.
     Tables 8-18 and 8-19 present total control costs associated with
all emissions (i.e., process, fugitive, and storage) for existing and
new units representative of the maleic anhydride and ethylbenzene-styrene
                                 8-40

-------
    Table 8-17.   RANGE OF CONTROL  COSTS  FOR  THE  BENZENE SOURCE
              CATEGORIES FOR EXISTING AND  NEW UNITS

                      (Thousands of Dollars)
                           Total  Capital  Cost    Total  Annual  Cost3

Source Category             Existing     New      Existing     New


Refinery-organic chemical   xo-2502     10-1754   (11)-609 •   (13)-413
(Benzene Fugitives)


Maleic Anhydride            1160-1440   	      354-600     	
(Process Emissions)


Ethylbenzene-Styrene        268-555     	      (150)-45    	
(Process Emissions)


                12
Benzene Storage             7-2BQ       6-290     0.2-68      0-69
(Producers)

                ip                                                     u
Benzene Storage             16-249      15-249    2-68        (0.8)-6r
(Consumers)                        	^	


alncludes  recovered  credits.

bNumbers  in  parentheses  represent  savings.
                                 8-41

-------
Table 8-18.  COSTS FOR THE CONTROL OF TOTAL BENZENE EMISSIONS
          FROM THE MAELIC ANHYDRIDE INDUSTRY1U '^ »a

                   (Thousands of Dollars)
    Cost Item                Existing            New
Capital Cost
Annual Costb
1193-3018
359-725
31-1241
4-54
   alncludes control costs for benzene fugitive emissions
    from refineries and chemical plants.

    Includes recovered credits.
Table 8-19.  COSTS FOR THE CONTROL OF TOTAL BENZENE EMISSIONS
        FROM THE ETHYLBENZENE-STYRENE INDUSTRY11'^'a

                   (Thousands of Dollars)
Cost Item
Capital Cost
Annual Costb
Existing
301-2133
New
31-1241
4-54
   alncludes control costs for benzene fugitive emissions
    from refineries and chemical plants.

    Includes recovered credits.

   cNumber in parentheses represents savings.
                            8-42

-------
industries, respectively.  Total control cost data are given in
Table 8-20 for controlling benzene emissions from producer storage
tanks and fugitive sources, while similar costs are incurred for
benzene emission controls from consumer storage tanks and fugitive
sources, as shown in Table 8-21.
                                   8-43

-------
   Table 8-20.  TOTAL COSTS FOR THE CONTROL OF BENZENE EMISSIONS.
                      STORAGE TANKS AND BENZI
                      (Thousands of Dollars)
FROM PRODUCER BENZENE STORAGE TANKS AND BENZENE FUGITIVE SOURCES12'3
Cost Item
Capital Cost
Annual Costb
Existing
17-2792
00-677
New
16-2044
(13)-482
      alncludes control  costs for benzene fugitive emissions
       from refineries and chemical  plants.
       Includes recovered credits.
      cNumbers  in parentheses represent savings.
Table 8-21.  TOTAL COSTS FOR THE CONTROL OF BENZENE EMISSIONS FROM
  CONSUMER BENZENE STORAGE TANKS AND BENZENE FUGITIVE SOURCES12'9
                          4
                      (Thousands of Dollars)
       Cost Item               Existing             New

     Capital Cost              26-2751             25-2003
     Annual Cost5              (9)-677             (14)-475

      alncludes control costs for benzene fugitive emissions
       from refineries and chemical  plants.
       Includes recovered credits.
      cNumbersin parentheses represent  savings.
                              8-44

-------
 8.6   REFERENCES

  1.   Letter  from Amey,  G.C.,  Century Systems  Corporation,  to  Seme,
      J.C., PES, Incorporated.   October 17,  1979.   Cost data for VOC
      monitoring instrument.

  2.   Erickson, D.G.,  and V. Kalcevic.   Emissions  Control Options for
      the Synthetic Organic Chemicals  Manufacturing Industry.   Fugitive
      Emissions Report.  Hydroscience,  Incorporated.   Knoxville, TN.
      Prepared for U.S.  Environmental  Protection Agency,  Emission
      Standards and Engineering  Division.  Research Triangle Park,  NC.
      EPA Contract No. 68-02-2577.   February 1979.

  3.   Economic Indicators (for January  1979).   Chemical  Engineering.
      86(9):7.  April  23, 1979.

  4.   Economic Indicators (for April  and May 1979).   Chemical  Engineering.
      86(16):7.  July  30, 1979.

  5.   Telecon.  Mclnnis, J.R., PES,  Incorporated, with  Hetrick,  C.,
      Crane Chempum Division, Warrington,  PA.   August  24, 1979.

  6.   PES estimate.

  7.   Letter  from Crutchfield, B., Duriron Company,  Incorporated, to
     Mclnnis, J.R., PES, Incorporated.  August 31,  1979.   Cost  data
     for replacement  pump.

 8.  Letter  from Johnson, J., Exxon Company, to Walsh, R.T.,  EPA, CPB.
     July 28, 1977.   Response to EPA draft document,  "Control of
     Hydrocarbon from Miscellaneous Refinery Sources."

 9.  Current Prices of Chemicals and Related Materials.  Chemical
     Marketing Reporter.  215J21):43.  May 21, 1979.

10.  U.S.  Environmental  Protection Agency.  Draft  Preamble  for  National
     Emission Standard for Benzene Emissions from Maleic Anhydride
     Plants.   Emission Standards and Engineering Division,   Research
     Triangle Park, NC.   p.  19-20.

11.  U.S.  Environmental  Protection Agency.  Draft Preamble  for  National
     Emission Standard for Benzene Emissions from Ethylbenzene  -
     Styrene  Plants.   Emission Standards and Engineering Division.
     Research Triangle Park,  NC.  p. 18.

12.  Letter and  attached cost  tables from Ailor, D.C., Energy Systems
     Group  of TRW,  Incorporated, to Markwordt, D.W., EPA, CPB.  July 24,
     1979.
                                 8-45

-------
13.   Peters, M.S., and K. D. Timmerhaus.  Plant Design and Economics
     for Chemical Engineers.  Second edition.  New York, McGraw-Hill,
     1968.  p. 451-452.

14.   Hustvedt, K.C., R. A. Quaney, and W. E. Kelly.  Control of Volatile
     Organic Compound Leaks from Petroleum Refinery Equipment.  U.S.
     Environmental Protection Agency, Office of Air Quality Planning
     and Standards,,  Research Triangle Park, N.C.  Report No.
     EPA-450/2-78-Q36.  June 1978.  p. 4-6.
                                  8-46

-------
                        9.0  ECONOMIC IMPACT

9.1  INDUSTRY CHARACTERIZATION
9.1.1  General Profile
     Throughout the United States there are 74 petroleum refining and
organic chemical companies operating 131 plant sites that manufacture
                                   iic 32-33
benzene and derivatives of benzene. "  '  "    Table 9-1 lists the
companies alphabetically and shows their plant locations and capacities
as obtained from the most recent data available.  In addition, the
table includes 6 new plants under construction of 1 or more units, 14
existing plants undergoing expansion, 6 on standby or not currently in
operation, and  1 plant in the engineering phase of construction.
     Table 9-1  lists 32 companies that currently produce pure benzene
at 50 plant sites by 74 units (e.g., Sulfolane, UDEX).  Benzene is
also produced as an impure by-product in the manufacture of ethylene,
which is produced by 28 companies at 46 sites  and 58 units.  There are
50 companies  that manufacture benzene derivatives at 76 production
sites.  These derivatives, which consume benzene as a feedstock,  are
listed  in  Table 9-2.
     Benzene, ethylene, and  benzene-derivative production  is fairly
concentrated  geographically.  Over  85 percent  of the total  U.S.  benzene
capacity  is  located  in  two  states  and one  territory:  Texas  (61 percent),
Louisiana  (19 percent), and  Puerto  Rico  (7 percent).
9.1.2   Production  of  Benzene.  Ethylene. and  Benzene Derivatives
      Total 1977 U.S.  production of  benzene by  petroleum  refining  and
organic chemical  production  units  was estimated to  be 5260 gigagrams
 (Gg).16'26  Total  ethylene  production was  higher at 10,600 Gg,  while
 total  production  of  benzene derivatives was approximately 8700 Gg.
 Table 9-3 summarizes  1977 production and  capacity  data  for benzene,
 ethylene,  and benzene derivatives.
                                  9-1

-------
     Table 9-1.  REFINERIES AND  ORGANIC
        CHEMICAL MANUFACTURING SITES     ,  1t- -„ ,,
WITH BENZENE FUGITIVE EMISSION POTENTIAL1""15'^""'3'3

Benzene-Related


1.
2.
3.
4.
5.
6.

7.

8.

9.



10.

11.

12.


13.
14.
15.

16.


Plant
Allied Chemical
Allied Chemical
American Cyanamid
American Cyanamid
Amerada Hess
American Hoechst

American Hoechst

American Petrofina
(of Texas)
American Petrofina
(Cosden Oil)


American Petrofina
(Cosden Oil/Petrogas)
American Petrofina/
Union Oil of CA
Ashland Oil


Ashland Oil
Ashland Oil
Atlantic Richfield

Atlantic Richfield


City/State
Geismar, LA
Moundsville, WV
Bound Brook, NJ
Willow Island, WV
St. Croix, VI
Baton Rouge, LA

Bayport, TX

Port Arthur, TX

Big Spring, TX



Groves, TX

Beaumont, TX

Ashland, KY


Neal, WV
North Tonawanda, NY
Beaver Valley, PA
(Kobuta)
Channel view, TX

Products
At Site
Et
NiBz
NiBz
NiBzc
Bz
EtBz
St
EtBzd
std
Bz

Bz
Cyx
EtBz6
St
Et

Bz
Cyx
Bz
Cu
Cyx
MAN
Bz
St

BzC
Et (2 units)
K
Capacity
(Gg/yr)
340
25
48
34
217
526
ND9
469
409
67

194
35
20
41
9

73
88
214
181
ND9
27
77
200

107
1179
                      9-2

-------
         Table 9-1.  REFINERIES AND ORGANIC
            CHEMICAL MANUFACTURING SITES
WITH BENZENE FUGITIVE EMISSION POTENTIAL (CONTINUED)
Benzene-Related h

Plant
17. Atlantic Richfield
18. Atlantic Richfield
(ARCO/Polymers)

19. Atlantic Richfield
(ARCO/Polymers)
20. Charter
International
21. Chemetics International
22. Chemplex
23. Cities Service
24. Clark Oil
25. Coastal States Gas

26. Commonwealth Oil


27. Continental Oil
28. Continental Oil
29. Core-Lube
30. Corpus Christi
Petrochemicals
31. Cos-Mar, Inc.

32. Crown Central
33. Denka (Petrotex)
34. Dow Chemical

City/State
Wilmington, CA
Houston, TX


Port Arthur, TX

Houston, TX

Geismar, LA
Clinton, 10
Lake Charles, LA
Blue Island, IL
Corpus Christi , TX

Penuelas, PR


Baltimore, MD
Lake Charles, LA
Danville, IL
Corpus Christi , TX

Carrville, LA

Pasadena, TX
Houston, TX
Bay City, MI
Products
At Site
Bz
Et
Bzc
Et
EtBz
St
EtBz

Bz
EtBz
NiBz
Et
Bz
Et (2 units)
Cu
Bz
Cue
Bz
Cyx
EtBz6
LAB
Et
BSA
Bzd
j
Etd
EtBz
St
Bz
MAN
Bz
Et
Capacity
(Gq/yr)
40
45
140
227
61
54
114

17
i ^
16
173
227
83
400
50
234
64
618

73
122
302
ND9
100
544
690
r~ f\ f\
590
77
23
100
86
                           9-3

-------
         Table 9-1.  REFINERIES AND ORGANIC
            CHEMICAL MANUFACTURING SITES
WITH BENZENE FUGITIVE EMISSION POTENTIAL (CONTINUED)




35.



36.


37.
38.

39.
40.
41.
42.
43.


44.

45.



46.


47.
48.
49.


Plant
Dow Chemical



Dow Chemical


Dow Chemical
Dow Chemical

Dupont
Dupont
Dupont
Eastman Kodak
El Paso Natural Gas


El Paso Products/
Rexene Polyolefins
Exxon



Exxon


First Chemical
Georgia-Pacific
Getty Oil


City/State
Freeport, TX



Midland, MI


Orange, TX
Plaquemine, LA

Beaumont, TX
Gibbstown, NJ
Orange, TX
Longview, TX
Odessa, TX


Odessa, TX

Baton Rouge, LA



Bay town, TX


Pascagoula, MS
Houston, TX
Delaware City, DE
Benzene-Related
Products
At Site3
Bz
Et (5 units)
EtBz
St
ClBz
EtBz6
St
Et
Bzd
Et (2 units)
NiBz
NiBz
Et
Et
Et
EtBz
St
Et
stc
Bz
Et
EtBz
St
Bz
Cyx
Etc
NiBz
Cu
Bz
h
Capacity
(Gg/yr)
167
1136
794
658
129
249
181
375
200
545
159
110
374
580
NDg
125
68
236
47
234
816
NDg
NDg
200
147
36
152
340
37
                         9-4

-------
         Table 9-1.  REFINERIES AND ORGANIC
            CHEMICAL MANUFACTURING SITES
WITH BENZENE FUGITIVE EMISSION POTENTIAL (CONTINUED)
	 __———— —
~ Benzene-Related

50.
51.
52.
53.
54.
55.
56.
57.
58.


59.
60.
61.
62.

63,
64,
65
66
67
68

/-r\
Plant
Getty Oil
B.F. Goodrich
Goodyear Tire & Rubber
Gulf Coast Olefins
Gulf Oil
Gulf Oil
Gulf Oil
Gulf Oil Chemicals
Gulf Oil Chemicals


Hercules
Howe! 1
ICC Industries
, Independent Refining
Corp.
. Jim Walter Resources
. Kerr-McGee Corp.
. Koppers
. Koppers
. Koppers
. Marathon Oil

M n W -i t < r*Ui /^m T r* a 1
Ci tv/State

El Dorado, KA
Calvert City, KY
Bayport, TX
Taft, LA
Alliance, LA
Donaldsonville, LA
Philadelphia, PA
Cedar Bayou, TX
Port Arthur, TX


McGregor, TX
San Antonio, TX
Niagara Falls, NY
Winnie, TX

Birmingham, AL
Corpus Christi, TX
Bridgeville, PA
Cicero, IL
Petrol ia, PA
Texas City, TX

New Martinsville, WV
Products
At Site

Bz
Cu
Et
Hqn
r
Et
Bz
EtBz
St
Bz
Cu
Et (2 units)
Bzc
Cu
Cyx
Et (2 units)
ClBzf
Bz
ClBz
Bz

BSA
Bz
MAN
MAN
Rcnol
Bz
Cue
NiBz
. b
Capacity
(Gq/yr)

43
61
136
5
O 1 O
218
224
313
272
124
209
719
134
204
106
558
0.05
NO9
11
10
Q
NDy
53
15
1 r
16
O ">
23
95
61
                            9-5

-------
         Table 9-1.  REFINERIES AND ORGANIC
            CHEMICAL MANUFACTURING SITES
WITH BENZENE FUGITIVE EMISSION POTENTIAL (CONTINUED)




70.

71.



72.

73.
74.



75.
76.

77.
78.
79.
80.

81.
82.

83.
84.




Plant
Mobil Oil

Monsanto



Monsanto

Monsanto
Monsanto



Montrose Chemical
National Distillers
(U.S.I.)
Nease Chemical
Northern Petrochemical
01 in Corporation
Oxirane

Pennzoil (Atlas)
Phillips Petroleum

Phillips Petroleum
Phillips Petroleum




City/State
Beaumont, TX

Alvin, TX
(Chocolate Bayou)


Sauget, IL

St. Louis, MO
Texas City, TX



Henderson, NV
Tuscola, IL

State College, PA
Morris, IL
Brandenburg, KY
Channelview, TX

Shreveport, LA
Borger, TX

Pasadena, TX
Sweeny, TX


Benzene-Related
Products
At Site
Bz
Et
Cur
Etc
EtBz
LAB
ClBz
NiBz
MAN
Bz
Et
EtBz
St
ClBz
Et

BSAe
Et
Et
EtBz
St
Bzc
Cyx
EtBz
Et
Bz
Cyx
Et (3 units)
•
Capacity
(Gq/yr)
200
410
340
285
27
102
80
5
48
284
45
744
680
32
181

NDg
400
50
525
454
49
104
ND9
13
33
250
973
                         9-6

-------
          Table 9-1.  REFINERIES AND ORGANIC
            CHEMICAL MANUFACTURING SITES
WITH BENZENE FUGITIVE EMISSION POTENTIAL (CONTINUED)
Benzene-Related K

Plant
85. Phillips Puerto Rico

86. Puerto Rico Olefins
87. PPG
88. PPG
89. Quintana-Howell
90. Reichhold Chemicals
91. Reichhold Chemicals
92. Reichhold Chemicals
93. Rubicon
94. Shell Chemical
95. Shell Oil


96. Shell Chemical

97. Shell Oil
98. Shell Oil
99. Specialty Organics
100. Standard Chlorine
101. Standard Chlorine
102. Standard Oil (CA)/
Chevron Chemical
103. Standard Oil (CA)
Chevron
104. Standard Oil (CA)
Chevron
105. Standard Oil (IN)/
Amoco

City/State
Guayama, PR

Penuelas, PR
Natrium, WV
New Marti nsvi lie, WV
Corpus Christi , TX
Elizabeth, NJ
Morris, IL
Tuscaloosa, AL
Geismar, LA
Houston, TX
Deer Park, TX


Norco, LA

Odessa, TX
Wood River, IL
Irwindale, CA
Delaware City, DE
Kearny, NJ
El Segundo, CA

Pascagoula, MS

Richmond, CA

Alvin, TX

Products
At Site
Bz
Cyxc
Et
ClBz
ClBz
Bzc
MAN
MAN
BSA
NiBz
Et
Bzc
Cu
Et
Bzd
Etd
Bz
Bz
ClBz
ClBz
ClBz
Bz
Cu
Bz

Bz

Et (2 units)

Capacity
(Gq/yr)
367
212
454
NDg
64
23
14
20
ND9
170
590
301
326
681
133
681
40
150
2
125
7
77
45
ND9

ND9

907

                          9-7

-------
         Table 9-1.  REFINERIES AND ORGANIC
            CHEMICAL MANUFACTURING SITES
WITH BENZENE FUGITIVE EMISSION POTENTIAL (CONTINUED)

Benzene-Related


106.



107.

108.
109.




110.
111.
112.

113.
114.

115.
116.


117.

118.

119.


Plant
Standard Oil (IN)/
Amoco


Standard Oil (OH)/
BP Oil
Stauffer Chemical
Sun Oil




Sun Oil
Sun Oil
Sun Oil

Sun-Olin
Tenneco

Tenneco
Texaco


Texaco

Texaco/Jefferson
Chemical
Texaco/Jefferson
Chemical

City/ State
Texas City, TX



Marcus Hook, PA

Henderson, NV
Corpus Christi, TX




Marcus Hook, PA
Toledo, OH
Tulsa, OK

Claymont, DE
Chalmette, LA

Fords, NJ
Port Arthur, TX


Westville, NJ

Bellaire, TX

Port Neches, TX

Products
At Site
Bz
Cu
EtBz
St
Bz

BSA
Bz
Cu
Et
"EtBz
St
Bz
BzC
Bz
Cyxc
Et
Bz
EtBz
MAN
Bz
Cyxc
Et
Bz
Cu
Et

Et

i
Capacity
(Gq/yr)
284
14
386
381
27

4
127
113
9
61
54
97
164
80
83
109
33
16
12
150
117
454
117
64
240

238

                         9-8

-------
                 Table 9-1.  REFINERIES AND ORGANIC
                    CHEMICAL MANUFACTURING SITES
        WITH BENZENE FUGITIVE EMISSION POTENTIAL  (CONTINUED)
Benzene-Related h
Plant
120. Union Carbide


121. Union Carbide

122. Union Carbide

123. Union Carbide
124. Union Carbide
125. Union Carbide
126. Union Oil of CA
127. Union Pacific/
Champ! in

128. U.S. Steel
129. USS Chemicals
130. Vertac/Transvaal
131. Witco Chemical
aBSA = Benzenesulfonic
Bz = Benzene
ClBz = Chlorobenzene
Cu = Cumene
Cyx = Cyclohexane
Et = Ethyl ene
City/State
Institute, WV


Penuelas, PR

Seadrift, TX

Taft, LA
Texas City, TX
Torrance, CA
Lemont, IL
Corpus Christi , TX


Neville Island, PA
Houston, TX
Jacksonville, AR
Carson, CA
Acid
Products
At Site

EtBz
LAB
St
Bz
Cu
Et
Et
EtBz
St
Bzc
Et
Et
Et
Bz
Bz
j
Cud
Cyx
MAN
Et
ClBz
LAB
Hqn
LAB
MAN
NiBz
Rcnol
St
Capacity
(Gq/yr)

N°9
64
ND9
ND9
290
454
546
154
136
234
500
546
73
57
33
uu
65
38
227
nu
20
= Hydroquinone
= Linear Alkyl benzene
= Maleic Anhydride
= Nitrobenzene
= Resorcinol
= Styrene
EtBz = Ethyl benzene
                                   9-9

-------
              Table 9-1.  REFINERIES AND  SYNTHETIC  ORGANIC
                      CHEMICAL MANUFACTURING  SITES
          WITH BENZENE  FUGITIVE  EMISSION  POTENTIAL  (CONCLUDED)
 Annual  capacities  for  each  product  were  obtained  from  the  following
 sources (effective date  of  capacity in parentheses):

     BSA -  Ref.  3  (January 1977)
     Bz  - Refs.  3  (January 1977),  14
     ClBz - Refs.  4 (January 1977),  13, 14
     Cu  - Ref.  9 (January 1979),  13, 14
     Cyx -  Ref.  2  (November  1976), 3 (January 1977)
     Et  - Refs.  5  (1977 year-end), 15 (June 1979), 11,  13,  14, 33
     EtBz - Ref. 10 (January 1979)
     Hqn -  Capacity estimate from industry (1979)
     LAB -  Ref.  8 (June 1978)
     MAN -  Ref.  3  (January 1977)
     NiBz - Refs.  7, 32
     Rcnol  - Ref.  6
     St  - Refs.  1  (1977 year-end), 14
cProduct unit under expansion


 Product unit under construction


eProduct unit on standby or not currently in use
 Product unit in engineering phase
9No data available
                                     9-10

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           Table 9-2.   NUMBER OF COMPANIES AND PLANT SITES
                THAT MANUFACTURE BENZENE DERIVATIVES
Number of
Companies
8
8
15
10
4
9
12
8
1
4
1
Number of Sites
(and Units)
10
10
18
14
4
11
13
10
1
4
1
    Benzene Derivative
    Chlorobenzene
    Nitrobenzene
    Ethyl benzene
    Styrene
    Linear Alkylbenzene
    Cyclohexane
    Cumene
    Maleic Anhydride
    Resorcinol
    Benzenesulfonic Acid
    Hydroquinone
9.1.3  Methods of Manufacture
     9.1.3.1  Benzene.  Benzene is primarily manufactured by five
methods.  In most instances, benzene producers obtain the material
from which benzene is made from their own refining or manufacturing
operations.   In other cases, a benzene producer may buy benzene-
containing material from another  source.  Four of  the methods
 (extraction  from catalytic reformate, toluene dealkylation,  toluene
 disproportionate, and  processing  benzene  from  pyrolysis  gasoline)
 use  refinery products as the  feedstock;  coke-oven  light  oil, from
 which  benzene can  also  be  extracted,  is  a by-product  of  converting
 coal  into coke for steel manufacturing.   Of these  methods, extraction
 from catalytic reformate accounted  for  over half of the  1976 benzene
 supply.
      9.1.3.2  Ethylene.  Almost all commercial  ethylene is produced by
 pyrolysis of natural-gas liquids and petroleum fractions.  Although
 significant amounts of ethylene were once extracted from by-product
 refinery streams  (40 percent of the U.S. production in 1956), only

                                  9-11

-------
           Table 9-3.   SUMMARY  OF PRODUCTION  AND  CAPACITY  FOR
             BENZENE,  ETHYLENE,  AND  BENZENE DERIVATIVES1"10
Total U.S.
Capacity
Product (Gg 1977)
Benzene
Ethyl ene
Chlorobenzenes
Nitrobenzene
Ethyl benzene
Styrene
Linear
Alky! benzenes
Cyclohexane
Cumene
Maleic Anhydride
Resorcinol
Benzenesulfonic
Acid
Hydroquinone
7,008
15,100
440
441
5,070
3,741
308
1,395
1,653
236
16b
61 b
3b
Total U.S.
Production
(Gg 1977)
5,256a
10,600
234
252
2,829
2,694a
239
983
1,281
132
14a
48b
N.D.d
Capacity
Utilization
75 Percent
70 Percent
53 Percent
61 Percent
56 Percent
72 Percent
78 Percent
70 Percent
77 Percent
56 Percent
86 Percent0
79 Percent
M.D.d
Estimated from the percent capacity  utilization  for  the  product,
Represents 1977 capacity for one company.
cBased on benzene consumption estimated  for  1976.
 N.D. designates no data available.
                                    9-12

-------
about 2 percent of the current ethylene production is derived from
this source.  Most of the plants that are extracting ethylene from
refinery streams also produce ethylene by pyrolysis.
     Several alternative pyrolysis processes, primarily utilizing
feedstocks not currently in common use, are either being commercially
attempted on a limited scale or are in the developmental stage with
expectations of limited commercial application between  1980 and 1985.
Although these processes are all expected to be commercially proven
within five years, wide application will depend on demonstrated favor-
able process economics.  No significant impact on total olefins
production  is anticipated from  these  developmental processes for  at
least  10 years.17
     The primary difference between the domestic  and  foreign olefins
industries  has been  in the feedstocks used  for pyrolysis.   In  Japan
and  Europe  natural-gas liquids  have historically  been  scarce and
naphtha  has  been the predominant  feedstock.
     g.1.3.3   Chlorobenzene.   All  domestic  chlorobenzene  production  is
based  on direct  chlorination  of benzene.   The  principal chlorobenzene
product  is  monochlorobenzene  with smaller  amounts of ortho- and  para-
                                   18
dichlorobenzene  being co-produced.
     g.1.3.4  Nitrobenzene.   Nitrobenzene  is produced by  the direct
 nitration  of benzene with  a  mixture of nitric  acid,  sulfuric acid, and
 water.19'20  The reaction  vessels are specially built cast iron or
 steel  kettles fitted with  efficient agitators.   The kettles are
 jacketed and generally contain internal  cooling coils  for proper
 temperature control  of the strongly exothermic reaction.   Typically, a
 batch  process is employed; however,  newer plants use a continuous
 process.
      g.1.3.5  Ethylbenzene/Styrene.  More than 95 percent of domestic
 ethylbenzene production is by  benzene alkylation with  ethylene.  The
 remainder  is recovered by distillation from mixed xylene streams that
 result from naphtha  reforming  or  cracking  in petroleum refineries.
 More  than  99 percent of the ethylbenzene produced is used  as  an  inter-
 mediate for making  styrene, often in an integrated  ethylbenzene-styrene
 plant.  Except  for  a new plant brought on-stream in  July  1977 by
                                   9-13

-------
Oxirane Corporation, all  domestic styrene is produced by catalytic
dehydrogenation of ethyl benzene.  The Oxirane ethyl benzene oxidation
process is also used in Spain and Japan; however, most foreign styrene
                                                 21
production is by dehydrogenation of ethyl benzene.
     9.1.3.6  Linear Alkylbenzene.  Two major processes are used to
manufacture linear alkylbenzene (LAB) in the United States.  Approxi-
mately 67 percent is manufactured by three companies using the paraffin
chlorination process, and approximately 33 percent is manufactured by
one company using the olefin (paraffin dehydrogenation) process.  The
only significant foreign process not used in the United States uses as
feedstock the linear alpha olefins produced by Shell's wax cracking
process (Shell Nederland Chemie NV, Pernis, The Netherlands).  These
linear alpha olefins are alkylated with benzene at several locations
to produce LAB, but the LAB from linear alpha olefins produces a
                                                                    22
detergent with a slightly different balance of detergent  properties.
     9.1.3.7  Cyclohexane.  Two processes are used commercially to
manufacture cyclohexane:  catalytic hydrogenation  of benzene, which
accounts for approximately 85 percent of the cyclohexane  capacity  in
the United States;  and separation from  petroleum liquids, which con-
                                  23
stitutes the remaining 15 percent.
     9.1.3.8  Maleic Anhydride.  The two major processes  used to
manufacture maleic  anhydride (MAN) in the United States are  benzene
oxidation and butane oxidation.  Most major U.S. producers are employ-
ing the first method.  A  small  amount of MAN is  recovered as  a
by-product of phthalic anhydride production.  The  only  significant
foreign process for MAN production not  used  in the United States
starts with a butene mixture feedstock.  This process  is  operated  in
                 24
France and Japan.
     9.1.3.9  Cumene.  All commercial cumene is  produced  by  alkylating
benzene in the  vapor phase with propylene  in the  presence of a  phosphoric
acid catalyst.  An  excess of benzene  is maintained to  suppress  dialkyla-
                                                 20
tion,  oligomerization, and other  side reactions.     Essentially  all
                                                                      g
cumene produced is  consumed  in  the manufacture of  phenol  and  acetone.
                                  9-14

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     9.1.3.10  Resorcinol.  All  commercial resorcinol is produced by
the benzene sulfonation process, in which benzene is sulfonated to
m-disulfonic acid and treated with sodium sulfite to form sodium salt.
After the salt is fused with sodium hydroxide, dissolved in water, and
acidified with sulfuric acid, resorcinol  is obtained by solvent extrac-
tion.  Other processes have been developed, but such operations have
not been proved commercially successful.
     9.1.3.11  Benzenesulfonic Acid (BSA).  BSA can  be produced by
three methods:  sulfonation with sulfuric acid, oleum, or sulfur
trioxide.20  Sulfonation  with sulfuric  acid can be  accomplished by a
batch or continuous  process.  In the  batch process,  benzene and sulfuric
acid monohydrate are  added  to a  sulfonator, agitated,  and heated.  In
the continuous process, sulfuric acid is  steadily fed  to  the  sulfonator
simultaneously with  benzene, which  has  been previously fed  through a
vaporizer-superheater.  The mixture flows through the  reactor and  is
discharged  from  the  bottom.
     Sulfonation with oleum is  accomplished by charging  liquid benzene
to a pre-sulfonator  and feeding 9.5 percent oleum over a period of
time.   The mixture is pumped to vapor-feed sulfonators where  benzene
vapor  is added until  a desired  residual-acid  level  is  attained.  The
BSA mixture flows  from the bottom of  the reactor to storage.
      In the third  sulfonation  method, benzene reacts with sulfur
 trioxide in liquid sulfur dioxide, which is evaporated until  a certain
 temperature is  attained.   Benzene is  then added, the temperature is
 raised, and sulfur dioxide is removed by an air  stream.
      9.1.3.12  Hvdroguinone.  In the manufacture of hydroquinone,
 benzene (or recycled cumene) is alkylated with propylene to yield four
 intermediate products:   p-diisopropylbenzene  (p-DIPB), o-DIPB, m-DIPB,
 and triisopropylbenzene  (TIPB).  The p-DIPB is purified and  oxidized
 to a dihydroperoxide.  Addition of sulfuric acid effectively  splits
 the intermediate  into hydroquinone and  acetone.  The  other intermediates
 are reacted with  benzene to yield  cumene, which  is  recycled  back  to
 the alkylation  process.25   This method  is used  by  the only U.S.  producer
 of hydroquinone.
                                   9-15

-------
     Hydroquinone can also be manufactured by oxidizing aniline to
form p-benzoquinone, which is reduced, filtered to remove iron oxide,
and distilled.  The distilled product is dissolved in dilute sulfuric
acid with a decolorizing agent and then filtered.  A small  amount of
sodium hydrosulfite is added to the filtrate from which the hydroquinone
             20
crystallizes.
9.1.4  Uses of Benzene
     The companies that produce benzene often consume it in the manufacture
of another product.,  According to the International Trade Commission,
captive consumption accounted for 55 percent of production in 1976 and
                                 ?fi
54 percent of production in 1977.    Captive consumption is relatively
dependent on benzene price, since the prices of products made from
benzene usually follow the same trends as benzene prices.
     As a feedstock material, benzene presents a complex picture
because of the diverse number of chemicals derived from it.  Benzene
derivatives  find their largest uses in consumer goods, which account
for 25 percent of the benzene produced in the U.S.  This area comprises
packaging, toys, sporting goods, disposables, novelties, and other
small items.  The major benzene derivatives used for these products
include styrenics such as polystyrene, epoxy resins, acrylonitrile-
butadiene-styrene  (ABS) and styrene acrylonitrile  (SAN).  The other
major end-uses are  household goods and transportation, each taking 17
percent of the benzene consumption.   Household goods — furniture,
appliances,  carpeting —use nylon fibers and  resins,  ABS, polystyrene,
phenolics, and epoxies, among others.  Plastics, fibers, elastomers,
and  rubber are used  in  boats and  airplanes, as well  as in  trucks  and
             27
automobiles.
      Figure  9-1  depicts the usage  and percentages  of total benzene
production that  is  consumed by  intermediate and  final  products.   The
products  that demand over half  of  the benzene  production are  ethyl-
benzene  and  styrene.  Tables 9-4  through  9-17  list the usage  of  ethylene
and  benzene  derivatives.  As  shown  in the tables,  some of  these  products
are  consumed almost entirely  (often  captively) as  intermediates  in the
manufacture  of another  product.   In  such  cases,  the  use  and consumption
of the  second-generation  product  have been  included  for  reference.
                                  9-16

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                       Figure 9-1.
Percentages  of Total  Benzene Production  Consumed by
Intermediate and Final Products  (1976)*3
                                    I	CUMENE/PHENOL (17%)-
I
^-J
                       BENZENE
                                       -ETHYLBENZENE/STYRENE  (51%)-
                                       -CYCLOHEXANE  (15%)-
                                     	ANILINE (4%)-
                                             -POLYSTYRENE  (28%)
                                              - molded plastic
                                              - packaging
                                             -STYRENE COPOLYMER RESINS (9%)
                                              - construction
                                              - automobiles
                                              - appliances
                                             • SBR elastomers  (5%)
                                              - tires

                                             -PHENOLIC RESINS  (9%)
                                              - plywood adhesives
                                             -CAPROLACTAM  & BISPHENOL (5%)
                                              - epoxy
                                              - polycarbonate
                                              - nylon 6
                                             -NYLON FIBERS
                                              - nylon  66
                                              - nyIon  6
& RESINS  (14%)
                                             -RIGID POLYURETHANE (2%)
                                              - construction
                                              - insulation
                                              - refrigerators
                                              - transport equipment
                                              - marine products
                                              - packaging
                                             •RUBBER CHEMICALS (2%)
                        *Percentages  are from 1976  data  for benzene apparent consumption.

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       Table 9-4.  ETHYLENE USAGE17
                               Percent of
                               Consumption
   End Use                       (1976)
Low-Density Polyethylene          27.4
High-Density Polyethylene         14.7
Ethylene Oxide                    18.6
Vinyl Chloride                    12.0
Ethylebenzene, Styrene             9.1
Ethyl Alcohol                      3.5
Aliphatic Alcohols                 2.5
Acetaldehyde                       2.6
Vinyl Acetate '                    2.2
Ethyl Chloride                     1.4
Alpha Olefins                      1.5
Other                              4.5
                                 100.0
                     9-18

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                                      18
   Table 9-5.   MONOCHLOROBENZENE USAGE10
                               Percent of
                              Consumption
   End Use                       (1977)
Solvents                          30
Nitrochlorobenzene
  (Agricultural Products)         35
DDT, Silicones, etc.              15
Diphenyl Oxide                    10
Rubber Intermediates              10
                                     I O
   Table 9-6.  DICHLOROBENZENES USAGE10
                               Percent of
                               Consumption
   End Use                       (1976)

            o-Dichlorobenzene
 3,4,Dichloroaniline, etc.         65
 TDI*  Process  Solvent              15
 Solvents                          10
 Dye Manufacture                     5
 Pesticides, etc.                    5
            £-Dichlorobenzene

 Space Deodorant                   90
 Intermediate  for  Pesticides       10

*Toluene Diisocyanate

                     9-19

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        Table  9-7.   NITROBENZENE  USAGE7
                                 Percent  of
                                Consumption
     End  Use                        (1978)


 Aniline                             98
 Solvent, Dichloroaniline            2
          Table 9-8.   ANILINE USAGE7
                                 Percent of
                                Consumption
     End Use                       (1978)
  MDI*                              52

  Rubber Chemicals                  29

  Dyes                               4

  Hydroquinone                       3

  Drugs, Pesticides                 12

*p,p'-Methylene Diphenyldi isocyanate
                       9-20

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     Table  9-9.   ETHYLBENZENE  USAGE
                                   20
  End Use
                               Percent of
                              Consumption
                                 (1976)
Styrene
Solvent
                                  99
       Table 9-10.  STYRENE
                                 20
                                 ""
   End Use
                               Percent of
                               Consumption
                                 (1976)
Polystyrene   ^
Styrene Copolymer Resins
Styrene-Butadiene Elastomers
Unsaturated Polyester Resins
Miscellaneous
Exports
                                  54
                                  17
                                   9
                                   6
                                   1
                      9-21

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    Table 9-11.   LINEAR ALKYLBENZENE USAGE8
                                 Percent of
                                Consumption
     End Use                        (1977)
  Linear Alkylbenzene
    Sulfonates*                     90
  Export                            10

*Detergent Surfactant.
      Table 9-12.  CYCLOHEXANE USAGE22
                                 Percent of
                                 Consumption
     End Use    ,                  (1977)


  Adi pic Acid                       53
  Exports                           18
  Caprolactam                       23

  1,6,-Hexamethylenedi ami ne
     (HMDA)                           3

  Miscellaneous                      3
                       9-22

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        Table 9-13.  CUMENE USAGE9
                                Percent of
                               Consumption
   End  Use        	(1976)

 Phenol  and Acetone                  99
 a-Methylstyrene,  Solvent             1
                                       ?4
    Table 9-14.   MALEIC ANHYDRIDE  USAGE^
                                Percent of
                               Consumption
  End Use    	(1975)

Unsaturated Polyester Resins       51.1
Fumaric Acid                        6-4
Agricultural Chemicals             10.0
Alkyd Resins                        I-3
Lubricating Additives               7.8
Copolymers                          5.3
Reactive plasticizers               3.6
Maleic Acid                         3.8
Chlorendic Anhydride and
  Acid                              !•!
Surface-Active Agents               2.9
Other                               5-7
                      9-23

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       Table 9-15.  RESORCINOL USAGE6
                                Percent of
                                Consumption
    End Use                        (1977)

 Rubber Products                   59.6
 Wood Adhesive Resins              25.5
 Miscellaneous                     14.9
   Table  9-16.   BENZENESULFONIC ACID  USAGE3
                                 Percent  of
      End  Use                    Consumption
  Phenol         '                    N.D.*
  Dyes                              N.D.*
 *N.D. designates  no  data  available.
       Table 9-17.   HYDROQUINONE  USAGE3
                                 Percent of
       End Use                  Consumption

  Rubber Antioxidant                N.D.*
  Photographic Developer            N.D.*
  Dye Intermediates                 N.D.*
*N.D. designates no data available.

                      9-24

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9.1.5  Price History
     In spite of price controls through August 1976, benzene prices as
well as benzene derivative prices rose at a greater rate than prices
of most other chemicals in response to the higher cost of crude oil.
Even with a decline in demand in 1975, benzene prices continued a
general upward movement.3  Table 9-18 gives the price history of
benzene, ethylene, and benzene derivatives since 1974.  Market experts
forecast a continuing upward trend in benzene prices.    Increases  in
the cost of crude oil along with other market functions (discussed  in
Section 9.1.6 below) are responsible for  a large portion of  benzene
price  increases.
9.1.6  Market Factors that Affect the Benzene Industry.
     Benzene is contained in materials that have other uses.  Therefore,
the chemical uses of benzene must be profitable  enough to  justify
recovering  benzene  from  these materials.   Whether  the  benzene will  be
produced depends on  a number of  factors,  such as  the  value of the
material in which benzene is contained  (reformate,  pyrolysis gasoline,
toluene, coke-oven  light oil),  the  value  of  benzene before it  is
recovered,  processing costs, operating  costs, and  the value of  benzene
 in relation to  benzene  substitutes.
9.1.7   Feedstock  Substitutions  for  Benzene Derivatives
      The price  of benzene has  increased considerably since the
 beginning  of 1979.   As  the  cost of  benzene rises, greater incentive is
 provided for developing and using alternative feedstocks for the
 production of benzene derivatives.   For some products, such as  nitro-
 benzene, there are no feedstock substitutes; consequently, increased
 benzene costs must be passed through to the customer.  For other
 products,  however, alternative processes using feedstocks other than
 benzene are available, and it is possible that production by such
 alternative processes will increase.
       Table 9-19 lists some alternative processes by which benzene
 derivatives may be produced in  the United States.  Most of  the sub-
 stitute feedstocks used in these processes are derived from petroleum
 or natural gas, however, so that the economics of  the alternative
 processes  are  still tied to the cost of  crude oil  and natural  gas.
                                   9-25

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                  Table  9-18.  PRICE HISTORY FOR BENZENE,
                   ETHYLENE, AND BENZENE DERIVATIVES 28
Unit
Product
Benzene
Ethyl ene
Chlorobenzenes
Nitrobenzene
Aniline
Ethylbenzene0
Styrene
Linear Alkyl benzene
Cyclohexane ,
Cumene
Maleic Anhydride
Benzenesulfonic Acid/Phenol6
Resorcinol
Hydroquinone
May
1979
0.
0.
0.
N.
0.
N.
0.
0.
0.
0.
0.
0.
3.
3.
37
31
30
D.a
79
D.a
63
75
46
40
88
68
09
39
Price History
1978
0
0
0
0
0
N
0
0
0
0
0
0
2
3
.22
.29
.27
.51
.75
.D.a
.43
.65
.27
.31
.68
.46
.87
.39
1977
0
0
0
0
0
0
0
0
0
0
0
0
2
3
.24
.27
.27
.51
.75
.15
.46
.58
.29
.31
.82
.59
.72
.30
(Dollars/Kilogram)
1976
0
0
N
0
0
N
N
0
0
0
0
N
N
N
.23
.25
.D.a
.51
.71
.D.a
.D.a
.56
.27
.31
.82
.D.a
.D.a
.D.a
1975
0
0
0
0
0
N
N
0
0
0
0
N
N
N
.23
.19
.29
.42
.71
.D.a
.D.a
.25
.27
.35
.82
.D.a
.D.a
.D.a
1974
0.23
0.17
0.25
0.21
0.24
0.13
N.D.a
0.25
0.27
N.D.a
0.35
N.D.a
N.D.a
N.D.a
aN.D. designates no data available.
bSince 97 to 98 percent of nitrobenzene production goes  into aniline
 manufacture, aniline prices have been provided for comparison.
cPrices are not generally available  for ethylbenzene because greater
 than 99 percent of production is captively consumed.
dSince most ethylbenzene production  is consumed in styrene manufacture,
 styrene prices have been provided for comparison.
eSince benzenesulfonic acid (BSA) is used in the production of phenol  and
 not as a final product, no price data are available for BSA,   Prices
 given are for phenol.


                                     9-26

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              Table 9-19.  ALTERNATIVE PROCESSES FOR THE
                  MANUFACTURE OF BENZENE DERIVATIVES
                                                               Reference
Benzene Derivative       Alternative Processes                  Number
Cumene                  Separation from petroleum liquids
Cyclohexane             Separation from petroleum liquids           2
Ethyl benzene            Extraction from mixed xylene streams       20
Maleic Anhydride        Oxidation of n-butane; by-product of      3,20
                        phthalic anhydride production (xylene
                        derivative)
Styrene                 Propylene oxide coproduct; extraction       1
                        from pyrolysis gasoline; production
                        from toluene and ethylene via stilbene

9.1.8  Future Trends
     9.1.8.1  Projected Growth Rates.  Table 9-20 depicts projected
growth rates for benzene, ethylene, and benzene derivatives through
1983.  Demand for benzene produced from all sources  (extraction from
catalytic reformate, toluene dealkylation, toluene disproportionate,
and  processing benzene from pyrolysis gas) is expected to grow at 5 to
5.5  percent per year through 1985.  The gap between  production and
capacity is expected to narrow from the 1977 value of 32 percent to
                                           ?7 2Q 30
about 20 percent by the end of this period.   ''    Production capac-
ity  is expected to reach 8359 Gg by 1985.27'31  During this forecast
period, demand for benzene from catalytic  reforming  is likely to
increase over 1977 requirements at about 1 percent annually, while
toluene dealkylation production is expected to grow  at approximately
3.4  percent per year.  Benzene from pyrolysis gas extraction and
dealkylation is expected to increase 14 percent per  year, providing
                                       27
the  largest new source of the aromatic.
     Styrene manufacture is expected to continue to  be the  biggest
consumer of benzene, requiring over 50 percent of the benzene market,
followed by cumene/phenol and cyclohexane.  Benzene  production capac-
ity  is exoected to be satisfactory through 1982-83,  with only minimal
                                                              27
needs  for additional capacity beyond this  point until 1986-87.
                                 9-27

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    Table 9-20.   PROJECTED ANNUAL GROWTH RATES FOR DEMAND OF
    :ENE,  ETHYLENE.  AND BENZENE DERIVATIVES1-'0'  17-T9,  21-24, 27
        Product
   Projected
Average Annual
Percent Growth
 (1977  -  1983)
 Benzene

 Ethylene

 Chlorobenzenes

 Nitrobenzenes

 Ethylebenzene/Styrene

 Linear Alky!benzene

 Cyclohexane

 Cunene

 Maleic Anhydride

 Resorcinol

 Benzenesulfonic Acid

 Hydroauinone
     5.5a

     5.5

     1.5

     6.0

     6.0

     2.0

     5.0

     7.5

    11.0

     N.D.1

     N.D.

     N.D.1
Growth rate for benzene is estimated at 5 to 5.5 percent per
year through 1985.

N.D. designates no data available.
                               9-28

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     Although capacity may  pose  no  problem,  benzene may grow scarce as
the demand for unleaded  gasoline  increases  into  the early 1980's.
Although the total demand for  gasoline  is growing  slowly or not at
all, the unleaded portion is increasing  rapidly.   With  increased
unleaded gas production, refiners need  a higher  clear-pool  octane.
The result is an increase in the  amounts of  aromatics needed in gaso-
line (see Section 9.1.6  above).29'31
     9.1.8.2  Replacement Rate of Equipment.   The  replacement rate  of
benzene-manufacturing equipment is  low  since companies  tend  to  refur-
bish their equipment on  a continuous basis rather  than  replace  it.
This practice is characteristic of  refining and  organic  chemical
operations.
     9.1.8.3  Planned Expansions of Capacity.  Table 9-1  includes
plants that are undergoing expansions of capacity  through  1980.  An
additional  capacity of 1119 Gg per year  is estimated for  all  benzene-
producing companies, 1407 Gg per year for all  ethylene plants,  and
1432 Gg per year for all  plants that manufacture benzene derivatives.
     Expansions of capacity will  take place primarily at  present plant
locations by means of purchase or construction of  new equipment.
Capacity expansions are expected to be located mainly in Texas  and
Louisiana.
                                 9-29

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9.2  MICROECONOMIC IMPACT
9.2.1  Introduction
     In the following sections the microeconomic impacts of applying the
regulatory alternatives are detailed.   Such impacts are discussed in terms
of both the potential price, as well as capital availability, impacts of
each alternative.
     With regard to the maximum price increases, Regulatory Alternatives  II,
III, IV, and V could cause average benzene derivative prices to rise  .04,
.13, .37, and 4.12 percent, respectively.  Concerning the burden  imposed  by
the capital control costs, the average percentage  increases in capital
investment required of new  units are .07, .20,  .59, and 4.47 for Regulatory
Alternative  II  through V.
     The conclusions noted above are based upon observations regarding the
market structure and competitive nature of the  industry, as well  as the
demand and supply outlook for benzene and  its derivatives.  Specific  con-
clusions concerning potential price and investment  impacts, resulted  from
assessing the responses of individual model  units   to the capital control
and annualized costs presented in Chapter  8.
     In the sections which follow, the industry  structure  (Section 9.2.2),
demand characteristics  (Section 9.2.3), and  supply characteristics  (Section
9.2.4) are examined  so  that  industry responses  to  control costs may be
assessed.  Section 9.2.5  details the methodology employed  in deriving the
conclusions noted  in Section  9.2.6, while  Section  9.3 addresses  potential
macroeconomic impacts.
9.2.2   Industry  Structure
     As  noted in Section  9.1.1, there are  currently 74  domestic  producers of
benzene  and the  eleven  derivatives  of benzene  dealt with  in  this  analysis.
Benzene  in its  pure  form is  produced by  32 companies, and  benzene,  obtained
as a by-product  in the  manufacture  of ethylene, is produced  by  28 companies.
The  eleven derivatives  of benzene  are produced by  50 companies.   Production
capacity  for  benzene,  ethylene, and the  benzene derivatives  is  concentrated
in Texas  and  Louisiana.
     Many  of  the firms  that  produce benzene  and benzene derivatives are
diversified,  and involved in industrial  sectors other  than  organic  chemi-
cals.  Some  of the firms rank among  the  largest in  the world.   Oil companies
                                      9-30

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play a particularly important role in the production of benzene and some
of its derivatives.  One industry source estimates that oil companies pre-
sently account for about 85 percent of domestic production capacity for
benzene.34
     As is the case with most chemicals, the production of benzene and its
derivatives tends to be dominated by a relatively small number of firms.  The
degree of dominance in the various product areas is  illustrated by the con-
centration ratios presented in Table 9-21.  For each chemical, the table
shows the precentages of production capacity accounted for by the top two and
top four companies (for benzene and ethylene, percentages for the top eight
are also given, because of the greater number of firms-involved).  In the
case of benzene, the top two companies account for 18  percent of production
capacity, while the top four companies account for 34  percent.  The eight-
firm ratio is 58 percent.  For ethylene, which has a total of 28 producers,
the two- and four-firm ratios are 23 and 43 percent, respectively.  The  ratio
at the  eight-firm  level is 68 percent.  With respect to the  eleven benzene
derivatives, the numbers of  producers  range from one to fifteen.   In  the
cases  of  hydroquinone and  resorcinol,  there is only  one producer  involved
in each, and the concentration ratios  are  therefore  100 percent.   For the
other  derivatives, the two-firm  ratios  range from  34 percent  for  cumene  (12
firms)  to  73  percent for line'ar  alkylbenzene  (4  firms).   The  four-firm ratios
range  from 59 percent for  ethyl benzene (15 firms)  to 100  percent  for  linear
alkylbenzene.
      Many  of  the firms  that  produce  benzene and  benzene  derivatives  are
vertically integrated organizations  which  capitvely  consume  much  or  even all
of  their  output in the  manufacture  of  other products.   For example,  it is
estimated  that  approximately 54  percent  of the  benzene produced domestically
 in  1977 was  consumed  captively.26  In  product  areas  where the degree of
 captive use  is  high,  the merchant market  for  the chemical in question tends
 to  be dominated by a  small  number of high volume sellers.
      The existing  market  structures  for benzene, ethylene, and benzene deri-
 vatives are  reinforced  by  the existence of significant barriers to entry.
 Over the years, there has  been a trend in the chemical industry towards
 constructing larger and larger plants  in order to take advantage of both
 new technologies as well  as economies  of scale.   Important economies can be
                                      9-31

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                 Table 9-21.   CONCENTRATION  RATIOS3 FOR
               BENZENE,  ETHYLENE,  AND BENZENE  DERIVATIVES

Chemical
Benzene
Ethyl enec
Benzenesulfonic Acid
Chlorobenzene
Cumene
Cyclohexane
Ethyl benzene
Hydroquinone
Linear Alkyl benzene
Maleic Anhydride
Nitrobenzene
Resorcinol
Styrene
# of
f i rms
32
28
4
8
12
9
15
1
4
8
8
1
10
Concentration
2 firm
18
23
d
56
34
54
35
100
73
41
47
100
45
ratio (%)
4 firm
34
43
100
87
63
72
59
-
100
67
82
-
74
aRatios calculated from production capacity data presented in Table 9-1.
 The two (four) firm ratios indicate the percentage of total  productive
 capacity controlled by the two (four) largest producers of each chemical
 Ratio for top 8 firms is 58 percent.
GRatio for top 8 firms is 68 percent.

 Productive capacity data not available.
                                   9-32

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realized in areas such as the purchase of raw materials, spreading overhead,
and achieving lower capital requirements per unit of capacity.  The effect  of
these economies is evidenced by the fact that as plant  sizes  have  increased,
unit costs have declined.  What this situation means to a new firm hoping to
enter a merchant market  is that in order to compete with the  same  unit costs,
it must be able to achieve the same scale of production, thus requiring
the considerable financial resources needed to construct a large facility.
Secondly, in order to justify such an investment, the firm must be able
to capture a sizeable share of the market.  The barriers to entry can be
heightened further by the presence of captive consumption, which reduces
the potential of the merchant market.
     It should be noted that despite the trend toward larger  plants, the
chemical industry does have a number of smaller plants which  operate effec-
tively in their respective product markets.  But, in general, these tend to
be older plants, which may be fully depreciated.  Often, such small plants
provide chemicals for captive use.  Given the importance of assured supplies
of raw materials in the  chemical  industry, many firms would be reluctant to
abandon internal sources of supply to gain favorable, but relatively small
decreases in costs.35
     When new firms do begin production of a chemical,  it is  frequently
for purpose of vertical  integration.  In these cases, the manufacture of a
chemical is initiated in order to supply the firm's  internal  demand for an
intermediate chemical.   Another possible avenue for  the entry of new firms
is through technological change,  which may provide an immediate cost advan-
tage.  This has not been that important in recent years, however.35
     The market structures for benzene and benzene derivatives may be charac-
terized as oligopolistic, that is, a small number of participating firms
and/or high concentration  ratios, with recognition on the part of  partici-
pating firms that their  decisions are interdependent.   In general, price
changes tend to be initiated by a price leader  (or leaders);  however, the
price  increases may be withdrawn  if the other participants in the  product
market do not follow the  lead.  Prices are usually set  as simple percentage
markups over costs, or on  the basis of target rates  of  return.36
     In many industries,  price  is the most important factor  in competition,
although  in the chemical  industry its importance tends  to be  reduced by three
                                      9-33

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factors:  1) joint product cost accounting; 2) low price elasticity of
demand; and 3) the consumer's interest in an uninterrupted supply.37   jn
the case of the first factor, the basic point is that it is often diffi-
cult for chemical firms to assign costs to any single product because  of
the complex, interrelated nature of chemical production processes, in which
both variable and fixed costs must be apportioned between several different
products manufactured at a single plant.  Given this type of situation, the
price of a particular product can become almost an arbitrary matter as  long
as the combined prices of the joint products yield the firm's desired  return.
The second factor, low price elasticity of demand, reduces the  importance  of
price competition since it implies that product demand tends to be insensi-
tive to changes in price.  The basic reason for low price elasticity of
demand is the absence of substitutes to which customers could switch in the
face of price increases.  As will be discussed in Section 9.2.3.13, the price
elasticity of demand for benzene and benzene derivatives tends to be low.
With regard to the third factor, the consumer's interest in an uninterrupted
supply, it generally is the case that consumers of chemical products are more
sensitive to interruptions in supply than increases in price.  This tendency
is reflected in the fact that most chemicals are sold under long-term con-
tracts which insure the customer of a secure supply.   In periods when there
are supply shortages, producers generally grant preferential treatment to
their long-term customers.  This policy has the effect of discouraging
customers from switching suppliers when small differentials in price occur.
9.2.3  Demand Characteristics
     9.2.3.1  Benzene.   At the present time, the largest uses for benzene
are ethyl benzene/styrene (51%),  cumene/phenol (17%),  cyclohexane (15%), and
nitrobenzene/aniline (4%) as noted in Figure 9-1.   The major end uses for
these benzene derivatives are in packaging, consumer goods, toys, and dispo-
sables, which account for about  25 percent of the benzene produced domesti-
cally.   Other major areas of end use are transportation and household goods,
each of which accounts  for about 17 percent of benzene consumption.27  in
1977,  about 54 percent  of the benzene produced domestically was captively
consumed.
     Between 1950 and 1974,  the consumption of benzene increased cyclically
at an average annual  rate of about 9 percent.  In 1975, consumption plummeted
                                     9-34

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by more than 30 percent,  and while 1976 witnessed a substantial recovery,
consumption was still  below the peak levels attained in 1973 and 1974.
     Continued growth in demand is expected, but at a lower rate compared to
earlier years.  It is estimated that the demand for benzene from all sources
(extraction from catalytic reformate, toluene dealkylation, toluene dispro-
portionate, and processing from pyrolysis gas) will grow at  a rate of  from
5 to 5.5 percent per year between 1977 and  1985.39  Ethylbenzene/styrene is
expected to continue to  be the  largest use  of benzene, followed by  cumene/
phenol and  cyclohexane.
     Production capacity is  expected to  remain  adequate  through 1982-83;
however, benzene may become  scarce  as  the  demand for  unleaded  gasoline
increases.  As  noted in  Section 9.1.8.1, the  total  demand  for  gasoline is
growing  slowly  or  not  at all,  while the  demand  for unleaded  gasoline  is
increasing rapidly.  With increased production  of  unleaded gasoline,  the
amount of  aromatics  needed  by  refiners will increase.
      9.2.3.2   Benzenesulfonic_Acld.  Benzenesulfonic acid  is primarily used
 in the production  of phenol, with lesser amounts consumed  in the manufacture
 of dyes, or as catalysts.  No data on past consumption or future demand are
 available.  According  to one source,38 the product will  continue to be  used
 in the commercial  production of phenol, however no appreciable increase  in
 consumption for this use is Anticipated.  Dye and catalyst use are also
 expected to remain small.
       9.2.3.3  Chlorobenzene.  The  principal chlorobenzene product  is  mono-
 chlorobenzene, with smaller amounts of  ortho-and  para-dichlorobenzene being
 co-produced.  The consumption  of monochlorobenzene declined from a high of
 174 Gg  in  1960 to an  estimated  159-163  Gg  in 1976.  This  drop was  due to:
  1) the  replacement of monochlorobenzene by cumene as  an intermediate  in the
  production of  phenol, and  2)  the  decline  in  the production  of the  pesticide
  DDT.  The demand  for  monochlorobenzene  is  expected to  increase,  but  at  an
  annual  rate  of no more  than two percent through  1981.4   For chlorobenzenes
  as a  whole,  demand  is projected to grow at a rate of 1.5  percent per year
  through 1983 (refer to Section 9.1.8).
       9.2.3.4  Cumene.  Nearly all  of the  cumene produced  is used in the
  manufacture of phenol and acetone.  Roughly half of domestic production is
  sold on the merchant  market.   During the 1960's,  the production of cumene
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increased at a rate of about 25 percent per year as it replaced benzene
sulfonation and chlorination as an intermediate step in the production of
phenol.  Because most of the domestically-produced phenol is currently made
from cumene, the production growth rate has slackened somewhat, and it is
anticipated that production will tend to approximate the growth trend for
phenol.9  It is anticipated that the demand for cumene will increase at
an average annual  rate of 7.5 percent through 1983 (refer to Section 9.1.8).
     9.2.3.5  Cyclohexane.  Most of the cyclohexane consumed in the U.S. is
used in the production of nylon fibers and resins  (these are the principal
end uses for adipic acid, caprolactam, and 1,6-hexamethylenediamine, which
are made from cyclohexane).  Between 1971 and 1974, total consumption of
cyclohexane increased at an average annual rate of 5.9 percent, from 814 Gg
to 966 Gg.  In 1975,  consumption fell  by 12.7 percent to 844 Gg.  The follow-
ing year, there was a reversal, with consumption  increasing by 13.4 percent
to 957 Gg.2  The demand for this chemical is projected to  grow at an
average annual rate of 5.0  percent  (refer to Section  9.1.8).
     9.2.3.6  Ethyl benzene.  Virtually all ethylbenzene  is consumed captively
in the production of  styrene.   Over the period  1960-1972, consumption of
ethylbenzene  increased at an average annual  rate  of 10.8 percent.  From  1972
through 1974, domestic consumption  remained  essentially  constant, due to
shortages of benzene  in 1973 'and early 1974, and  a decline in  the demand for
styrene  in  late 1974.  Mirroring the general recession,  consumption in  1975
fell by  21.5  percent  from the  1974  level.  In the  following year, there was
an  increase of 34.9 percent.10   It  is  estimated that  demand for ethylben-
zene will  grow at an  average annual  rate of  6  percent  through  1983  (refer
to  Section  9.1.8).
     9.2.3.7  Hydroquinone.  Hydroquinone  is produced in the U.S. by  only  one
firm,  and  is  used primarily as  a  rubber antioxidant.   It is also  used as  a
photographic  developer, dye intermediate,  and  in  other specialty  applications
which  capitalize upon its  antioxidant  properties.   No historical  data on
demand are  available.  Projections  of  future demand are  also unavailable.
Some sources  have  indicated that  the  product has  good growth prospects;
however,  no domestic  firms  other than  Goodyear (the only domestic producer
at  present)  have  shown  any  interest.   It  is  reported  that  Goodyear  plans
to  increase the  output  of its  plant.38
                                      9-36

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     9.2.3.8  Lin^ar_AJkylbenzene.  The dominant use for linear alkylbenzenes
(LAB) is as a ravTmaterial in the production of linear alkylbenzene sulfonates
(LAS).   LAS are currently the principal surfactants for home laundry and dish-
washing detergents.  In 1977, the domestic consumption of LAB for production
of LAS amounted to 216 Gg.  This was 6.4 percent more than the 203 Gg consumed
in 1975.  The future demand for LAB is completely dependent upon the fortunes
of LAS.8  One projection  calls for a growth in  demand on the order of 2
percent per year through  1983 (refer to Section 9.1.8).
     9.2.3.9  Maleic Anhydride.  The largest use for maleic anhydride is in
the  production of  unsaturated polyester resins, with secondary uses  in the
production  of fumaric  acid and agricultural chemicals.  Most of the  output
of domestic producers  is  sold on  the merchant market.  Between 1968  and  1973,
U.S. consumption of maleic anhydride increased  at  an average annual  rate of
over 9  percent, going  from 83 Gg  to  128 Gg.  Most  of this  growth was due to
increased  use for  the  manufacture of unsaturated polyester resins.   In the
following year, growth dropped to 7  percent because of feedstock  shortages
and  the onset of a general business  recession.   In 1975, when  the  full  impact
of the  recession was  felt, consumption declined by 28  percent  to  a  level of
98 Gg.40   Since that  time, consumption has risen,  and  it  is estimated  that
demand  will  grow at  a rate of  11  percent  per year  through  1983 (refer  to
Section 9.1.8).  The  demand  for  maleic anhydride will  continue to be keyed
to  its  use in  the  manufacture  of unsaturated  polyester resins.  According  to
one  industry source,  major  gains from  unsaturated  polyester fibers may be
 developing in  the  auto markets.   Depending on  their timing and the condition
 of  the economy,  auto market  gains could give  unsaturated polyester resins  a
 major boost in the next  several  years.41
      9.2.3.10   Nitrobenzene.  Approximately 98 percent of the nitrobenzene
 consumed in the U.S.   is  used in the manufacture of aniline.  In turn,  the
 major uses of aniline are in the manufacture of p,p'-methylene diphenyldi-
 isocyanate (MDI)   (52%) and the manufacture of  rubber-processing chemicals
 (28-29%).  Most of the nitrobenzene used  for aniline is captively consumed.
 From 1975 to 1978, the production of  nitrobenzene  increased at an annual rate
 of  over 5  percent, going from 439 Gg  to 510 Gg.7   It is estimated that
 demand will increase  at  an  average  annual rate of  6 percent through 1983
 (refer to  Section 9.1.8).
                                       9-37

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     9.2.3.11  R_eso_rc_i_nol_.   Resorcinol  is produced in the U.S. by only one
company, and is consumed mainly in the production of resorcino!-formaldehyde
resins, which are used as high-performance adhesives in the rubber and wood
products industries.  From 1964 to 1974, domestic consumption of resorcinol
increased from 5 Gg to 11 Gg, yielding an average annual growth of approxi-
mately 7 percent.  In 1975, the recession brought a sharp drop in consumption
which was not overcome until 1977.6  Future growth in demand will depend
greatly upon events in the tire industry, the main consumer of resorcinol.
Projections of future demand are not available.
     9.2.3.12  Styrene.   At the present time, nearly all of the styrene
produced in the U.S. is  consumed in the manufacture of polymers (polystyrene,
54%; styrene copolymer resins, 17%; sytrene-butadiene elastomers, 9%, unsatu-
rated polyester resins,  6%).  Over the years 1960-1972, the consumption of
styrene increased at an  average annual  rate of 10 to 11 percent.  In 1973 and
1974, growth rates declined substantially, and in 1975, consumption declined
18 percent from the level of the previous year.  The lower growth rates in
1973 and 1974 were a reflection of lower styrene production growth rates
brought about by shortages of benzene.   The drop in consumption in 1975 was
due to the general economic recession.   By late 1975, market conditions began
to improve, and demand rebounded in 1976 to slightly exceed the levels exper-
ienced in 1972-1974.  It is anticipated that polystyrene will continue to
be the dominant end-use for styrene.  Growth in this area, however, can be
expected to slacken since many markets for polystyrene are maturing, and the
product is facing increasing competition from other materials such as paper
and other resins.1  It is estimated that the demand for styrene will grow
at an average annual rate of 6 percent through 1983 (refer to Section 9.1.8).
     9.2.3.13  Price Elasticity of Demand for Benzene and Benzene Derivatives.
Price elasticities of demand for benzene and the benzene derivatives must
be evaluated in order to determine the sensitivities of the markets for these
products to price increases which could result from the implementation of the
regulatory alternatives  outlined in Chapter 6.  Data on price elasticity is
an important input to the model unit  analysis (presented in Section 9.2.6),
since it provides a basis for determining the ability of firms to pass the
costs of regulation to the consumers of benzene and its derivatives.
                                     9-38

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     The price elasticities of demand for benzene and the benzene derivatives
were assessed through the use of a qualitative approach involving the exami-
nation of four different screening factors.  This methodology is based on
one which was originally employed in a study prepared by Energy Resources
Co., Inc. for the EPA's Office of Solid Waste.35  For each of the chemi-
cals, the following were examined:

     •    Historical and projected growth  in demand  - High rates of  growth,
          especially during periods  of price increases, are  indicative of  a
          low price  elasticity of demand.
     •   ' Level  of captive  consumption - This  is  indicative  of  the  degree  to
          which  the  product  is  insulated from  the competitive  pressures  of
          the merchant  market.   A relatively high level  suggests that the
          chemical  is  less  subject to  price considerations.
      •    Potential  for substitution - The availability  of direct  or indirect
          substitutes  increases  the  price  elasticity of  demand.
      •    Level  of  foreign competition -  A high level  of import competition
           increases  the extent  to which  consumers can switch to foreign
           supplies  when the prices  of domestic products  increase.

      As part of the evaluative  procedure,  recognition was given to the fact
 that all of the chemical products considered are used mainly as primary
 feedstocks  or intermediates.  Because of heavy investments  in  existing pro-
 cesses, consumers of primary feedstocks and intermediates have a stake in the
 continued availability of these inputs.   Generally, there is a tendency on
 the part of such consumers to be more sensitive  to  supply interruptions than
 they are to price increases.  To the extent that this is  the case,  the price
 elasticity of demand will tend to be reduced.  The  sensitivity of  chemical
 consumers to price  increases can also be  reduced by non-price  factors such
 as  product quality, effectiveness in use,  and  stability  of  supply.
      The results of the qualitative analysis  are presented  in  Table 9-22.   In
 all cases, the  price  elasticity of  demand  is  determined  to  be  low.
 9.2.4   Supply  Characteristics
      At present it  appears  the  existing  benzene  and benzene derivative  pro-
 ductive capacity,  augmented  by  projected  additions  to capacity (Table 7-9)
                                       9-39

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                                                                  Table  9-22.   QUALITATIVE  EVALUATION
                                                                     OF  PRICE  ELASTICITY  OF DEMAND

Product
Benzene
.




Benzenesulfonic Acid





Chlorobenzene








Evaluative factors ~ " — —
Demand growth8
1950-1974. 9% per year.
Decline of more than 30%
1n 1975. Recovery followed.
Projected 5-5.5% per year
over period 1977-1985.
Continuing upward move-
ment of prices.


No data available on
historical or projec-
ted demand growth.
Small amount of growth
anticipated.

Principal chlorobenzene
product is monochloro-
benzene. From 1960-
1976, demand for mono-
chlorobenzene declined
from 174 Gg to 159-163
Gg. For chlorobenzenes
as whole, growth pro-
jected at 1.5% per year
over period 1977-1985.
Prices have been rela-
tively stable in recent
years.
Captive consumption
Substantial. Estimated
to be more than 50% of
production.





No data available, but
captive consumption
appears to be important.



Much of monochloro-
benzene production
consumed captively.
Ortho-8 para-dichloro-
benzenes mainly sold.






Potential for substitution
Main uses are ethylbenzene/
styrene, cumene/phenol , &
cyclohexane. No good sub-
stitutes for benzene as
raw material for these.
Some indirect substitution
possible-e.g. substitution
of polyester fibers for
nylon fibers.
Main use is an intermediate
in production of phenol.
Only one domestic producer
by this route. Dominant
route to phenol is via
cumene.
No direct substitutes
available in current
applications. Some
indirect substitution
at end-product level
may be possible in
future.






Foreign
competition
Imports small.





None





Imports
negl i gible.








P«-
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                                                                    Table 9-22.   QUALITATIVE EVALUATION
                                                                       OF PRICE  ELASTICITY OF DEMAND
                                                                                (Continued)
                      Product
                Cumene
 i
-P.
Cyclohexane
                Ethyl benzene
                                                                                   Evaluative factors
                               Demand  growth
                          During 1960's,  about 25*
                          per year.   With matura-
                          tion of phenol  markets,
                          growth has  slowed  some-
                          what.   Growth projected
                          at 7.5% per year over
                          period 1977-1983.   Up-
                          ward movement 1n prices.
1971-1974,  5.9*  per year.
Decline in  consumption
1n 1975, followed by
reversal 1n 1976.   Growth
projected at 5%  per year
over period 1977-1983.
Prices continuing to
move upward.
                          1960-1972, 10.8% per
                          year.  Consumption con-
                          stant from 1972 to 1974.
                          Big drop 1n 1975, fol-
                          lowed by reversal In
                          1976.  Future growth
                          projected at 6% per
                          year through 1983.
                          Price not a factor
                          since most ethyl benzene
                          consumed captlvely.
                                                                         Captive consumption
                               About  50%  consumed
                               captlvely.
Mainly sold on
merchant market.
                                Virtually all pro-
                                duction captlvely
                                consumed for styrene.
                                                                                                   Potential for substitution
                          Other routes to phenol
                          exist, but cumene 1s
                          preferred.
Limited substitution
possible.  Adipic acid
can be made from phenol,
but this is not an
economic substitute.
Several other routes are
available in production
of HMD.  Acrylic and
polyester fibers can be
substituted for nylon.
                          No substitute  for  ethyl-
                          benzene  in  production  of
                          styrene.
                                                                                                                        Foreign
                                                                                                                      competition
                              Substantial amounts
                              of cumene are
                              imported.
                                                                                                                                  Imports  negligible.
                                                                                                                                  Imports negligible.
                                                                                                             Price  elasticity
                                                                                                                of  demand	
                                                                                                                                                        Low
                                                                                                                                                         Low
                                                                                                                                                         Low

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                                                            Table  9-22.   QUALITATIVE EVALUATION
                                                               OF  PRICE  ELASTICITY OF DEMAND
                                                                        (Continued)
Product
Hydroquinone
Linear Alkylbenzene
Maleic Anhydride
Evaluative factors
Demand growth
No historical data
available. Projec-
tions also unavail-
able. May have growth
prospects. Only one
domestic producer at
present.
1975-1977. slightly
more than 3% per year.
Estimated growth of 25!
per year over period
1977-1983. Price has
risen somewhat in
recent years.
1968-1973, over 9% per
year. In 1974, growth
slowed to 7%. In 1975,
consumption dropped
2&%. Recovery since
then. Growth projec-
ted at 11% per year
over period 1977-1983.
Price has increased
greatly since 1974,
and is continuing upward.
Captive consumption
Both captive use
& sale on merchant
market. Breakdown
unknown.
Both captive use
and sale on merchant
market. Breakdown
unknown.
Produced mainly for
merchant market.
Potential for substitution
No substitutes.
Main use is 1n
production of linear
alkylbenzene sulfon-
ates. No substitu-
tion possible in this
use.
No direct substitutes
in production of un-
saturated polyester
resins, fumarlc add,
and agricultural
chemicals.
Foreign
competition
Not a factor
Imports
negligible.
Imports
negligible.
Price elasticity
of demand
Low
Low
Low
 I
-F*
ro

-------
-p.
GO
                                                           Table  9-22.   QUALITATIVE  EVALUATION
                                                              OF  PRICE  ELASTICITY  OF DEMAND
                                                                       (Concluded)


Product
Nitrobenzene
Resorcinol
Styrene

Evaluative factors 	 	 	 r

1975-1978, 5% per year.
Projected growth of 6%
per year over period
1977-1983. Price has
been gradually increasing.
1964-1974, about 7% per
year. In 1975, sharp
drop in consumption,
which was not overcome
until 1977. Projection
of future demand not
available. Price has
been advancing.
1960-1972, 10-11% per
year. Drop in growth
rates in 1973 & 1974.
In 1975, consumption
declined 18% from pre-
vious year. Reversal
of downward trend in
1976. Growth projected
at 6% per year through
1983.
Captive consumption
Most consumed captively
in manufacture of
aniline.
Degree of captive use
not known. Appears
that sale on the mer-
chant market 1s impor-
tant.
Captive use estimated
to be around 60%.
Potential for substitution
Aniline can be produced
from ammolysis of chloro-
benzene, but this source
dependent on surplus of
chlorine & sales of by-
product ammonium chloride.
No substitutes.
No good substitutes for
styrene available at
present time.

competition
Imports
negliaible.
Imports
negligible.
Imports
negligible.
Price elasticity
of demand
Low
Low
Low
	 	 — - — 	 	
       aSee discussion in Sections 9.2.3.1 to 9.2.3.12 for sources of these data.

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will be capable of satisfying the growth in demand as discussed in the pre-
vious section.  Therefore, while the price of benzene and its derivatives
may rise due to increments in crude oil prices, there is no reason to suspect
additional price pressure due to supply based market disruptions over the
forecast period.
     It is, however, important to note two elements which will have a strong
influence upon the future proportions of benzene derived from the major
petroleum sources.  First, the demand for the octane enhancing qualities of
petroleum reformate will increase with the rising demand for unleaded gaso-
line.  It has been projected42 that the unleaded proportion of the total
gasoline supply will reach about 75 percent by 1985.  Second, the supply of
benzene from pyrolysis gasoline  (a by-product of ethylene production) will
increase as new, larger ethylene plants, using heavier feedstocks, come
on-stream.42  While the former may restrict the availability of petroleum
reformate as a benzene feedstock, the  latter should  increase the benzene
producing capabilities of ethylene sources.  The combined effect of these
market developments will serve to increase that portion of the total  supply
of  benzene attributed to pyrolysis gasoline, while the portion contributed
through petroleum reformate will decline.
9.2.5  Economic Impact Methodology
     9.2.5.1  Model Units  and Economic Impacts.  In the following sections
the economic  implications of  applying  the regulatory alternatives upon the
industry, as  represented  by the  model  units defined in Chapter 6, are
discussed.  Impacts are estimated in terms of  the increased capital  require-
ments of, and the potential price increases associated with, each model  unit
under the various regulatory  alternatives.
     Concerning capital availability impacts,  the extent to which the capital
control costs may increase the total investment required for  new plants,  has
been estimated.   With  regard  to  prices, separate analyses have  been  completed
for both  existing and  new plants, thus recognizing the  difference  in  net
annual!zed  control  costs  for  both types of plants.   While the  methodology
employed  in the determination of economic  impacts  is detailed  below,  the
results of  this analysis  are  presented in Section 9.2.6.
     9.2.5.2   Price  Impacts Under Full  Cost Pricing.   In the  estimation  of
maximum potential product price  increases  resulting  from the  alternatives,  the
                                      9-44

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full  pass through of control costs, to the consumers of benzene and  its
derivatives, has been assumed for all regulatory alternatives.  This  full
cost pricing assumption is  supported by the low price elasticity  of  demand
conclusions detailed in Section 9.2.3.13.  The methodology  employed  in the
estimation of price impacts  is detailed below while  the price  impacts them-
selves are presented in Section 9.2.6.1.
     Price  increases for  each chemical produced at  each model  unit   have  been
estimated  by expressing the net annualized costs of  control  for  each model
unit  and  regulatory alternative  (Table 8-11) as a  percentage  of  the annual
total revenue of each model  unit.    These  percentages  are therefore  indicators
of the percentage  increase  in model  unit   revenues  (and thus product prices)
required  if  the  net  earnings (post  control)  of  each plant are to remain
unaffected.  While  the  net  annualtzed  cost  estimates are  presented in Section
8.2.3, the total annual  revenues  of each  model  unit  have been estimated
based on  annual  output  and  price  estimates  as  shown in Tables 9-23 through
9-25, and described below.
      In  the estimation  of output,  the capacity  of  each model unit  has  been
taken as  the mean  capacity  of existing plants.   The capacities noted in
Tables  9-23 through 9-25 are therefore the mean capacities of those  plants
 summarized in  Table 9-1.  Since Table 9-1 does  not distinguish between the
 three major sources of benzene, the mean benzene capacity of these  units
 has been derived from separate industry surveys.3'43
      With regard to new  vs. existing plant capacities, it  has been  assumed
 that the mean capacities of new plants will equal  the mean  capacities of
 those plants currently in  operation.  While economies of  scale have in the
 past and  may in the future  favor the construction  of larger plants,  this
 assumption, in effect, yields conservative estimates  of  new plant annual
 revenues.
      The  annual output  of  each plant has been  estimated  based on the assump-
 tion that  the model units   will  operate  at  a rate  equivalent  to  the total
 capacity  utilization rate  of all  similar plants within the industry. The
 derivation  of capacity  utilization rates  for each  chemical  is displayed in
 Table 9-3 while capacity utilization  rates  for the individual  benzene  sources
 have been derived  from  industry  projections.27
                                       9-45

-------
                      Table 9-23.   MODEL UNIT
                   ANNUAL REVENUES -  MODEL  UNIT A
                         (May 1979 Dollars)
Chemical Capacity
(Gg/yr}_
Benzene
(toluene dealkylation)
Ethyl benzene/Styrene
Cumene
Cyclohexane
Benzenesulfonic Acid
Resorcinol
Maleic Anhydride
Ethyl ene
(1 unit)
153a
282d
160
120
4
16
23
323
Capacity Output
Utilization (Kg/yr)
.64e
.72
.77
.70
.79
.86
.56
.70
97,920,000
203,000,000
123,200,000
84,000,000
3,160,000
13,760,000
12,880,000
226,100,000
Price0
($/Kg)
.37
.63
.40
.46
.68
3.09
.88
.31
Total
Revenue
$ 36,230,0
$127,890,0
$ 49,280,0
$ 38,640,0
$ 2,149,0
$ 42,518,0
$ 11,334,0
$ 70,091,0
Reference  43,  pp.  2-6.       *
""Derived  from Table 9-3.
:As  presented in  Table  9-18.
^Capacity presented is  for  styrene.
Reference  27,  p. 64.
                                   9-46

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                        Table 9-24.  MODEL UNIT
                     ANNUAL REVENUES - MODEL UNIT B
                            (May 1979 Dollars)
Chemical
Benzene
(extraction)
Chlorobenzene
Capacity
(Gg/yr)
80a
46
Linear Alky! benzene 77
Ethylene
(2-3 units)
Reference 43,
Derived from
cAs presented
Reference 27,
755
pp. 2-6.
Table 9-3.
in Table 9-18.
p. 64.
Capacity
Utilization
.83d
.53
.78
.70


Output
(Kq/yr)
66,400,000
24,400,000
60,000,000
528,500,000


Price0
($/Kq)
.37
.30
.75
.31
-

Total
Revenue
$ 24,600,000
$ 7,300,000
$ 45,000,000
$163,800,000
-

Table 9-25. MODEL UNIT
ANNUAL REVENUES - MODEL UNIT C
(May 1979 Dollars)
Chemical
Benzene
(pyrolysis gas
Nitrobenzene
Hydroquinone
Ethylene
(4-5 units)
Capacity
(Gq/yr)
) 107a
63d
5
1136
Capacity
Utilization
.76e
.61
.69
.70
Output
(Kq/yr)
81,320,000
38,430,000
3,450,000
795,200,000
Price0
($/Kq)
.37
.79
3.39
.31
Total
Revenue
$ 30,100,000
$ 30,400,000
$ 11,700,000
$246,500,000
 Reference 3.
bDerived from Table 9-3,  except for hydroquinone which is  based upon the mean
 capacity utilization of all  plants in Table 9-3.
cAs presented in Table 9-18.
 Capacity presented is for Aniline.
Reference 27, p. 64.
                                  9-47

-------
     The total  annual  revenue of each model unit  has been estimated accord-
ing to the output of each plant (in kilograms) and the price per kilogram of
each chemical,  as noted in Table 9-18.  The total revenues calculated in
Tables 9-23 through 9-25 are those used as the base for the estimation of
maximum product price increases.
     9.2.5.3  Capital Availability and Model  Unit  Investment.  All of the
previously discussed regulatory alternatives  require capital expenditures for
both monitoring instruments  and control equipment.  To allow the assessment
of the  burden of these  additional capital  expenditures, upon those  firms
considering investment  in new  plants, the  capital control  cost  estimates  for
each model unit  have been  compared  to the total  investment  represented  by
each model unit.
     Estimates of  total  plant  investments  (including process  units, construc-
tion and  start-up  costs,  and working capital) were  obtained  through several
sources  including:   trade journal  summaries of construction  activity;  industry
representatives; and  vendor/licensor descriptions of process and budgetary
economics.
      In all  cases  the  investment  estimates obtained from the above noted
sources were  for plant  capacities other  than the mean  model   unit  capacities
noted  in 9-23  through  9-25.  For this reason, observed investments were
adjusted according to  the power capacity rule:44

           Cost of A _ .-Capacity A-,'7
           Cost of B   Capacity BJ

 In addition,  all investment totals  have been  expressed in May  1979 dollars,
 through adjustment according to the Chemical  Engineering  "Plant Cost Index".45
      Table 9-26 presents a  summary  of the  investment totals used in the
 estimation of capital  availability  impacts.   For each plant the total capital
 investment represents  the  required  investment  in both plant and working
 capital, where working  capital requirements  are  estimated as 15 percent  of
 the investment  in plant.44
 9.2.6  Model  Unit Impact  Analysis
      9.2.6.1  Price Impacts..   With  the exception of  Regulatory Alternative V
 (i.e.,  leakless emission control  equipment)  the  full  cost pricing  policies
                                       9-48

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                      Table 9-26.  TOTAL CAPITAL
                INVESTMENT REQUIRED - NEW MODEL UNITS
                    (Millions of May 1979 Dollars)
                             (Continued)

Chemical Capacity
(Gq/vr)
Model Unit A
Benzene
(toluene dealkylation)
Ethyl benzene/Sty rene
Cumene
Cyclohexane
Benzenesulfonic Acid
Resorcinol
Maleic Anhydride
Ethylene
(1 unit)
153
282 '
160
120
4
16
23
323 >
Investment
In Plant0
$ 14.6
56.7
21.2
9.9
3.8
9.7
20.8
384.5
Investment In Total Capital
Working Capital Investment
$ 2.2
8.5
3.2
1.5
.6
1.5
3.1
57.7
$ 16.8
65.2
24.4
11.4
4.4
11.2
23.9
442.2
Model Unit B

Benzene
(extraction)
Chlorobenzene
Linear Alkylbenzene
Ethylene
(2-3 units)
80
46
77

775
31.4
11.7
13.8

709.6
4.7
1.8
2.0

106.4
36.1
13.5
15.8

816.0
                                   9-49

-------
                     Table 9-26.  TOTAL CAPITAL
               INVESTMENT REQUIRED - NEW MODEL UNITS
                   (Millions of May 1979 Dollars)
                             (Concluded)

Chemical
Model Unit C
Benzene
(pyrolysis gasoline)
Ni trobenzene/Ani 1 ine
Hydroquinone
Ethylene
(4-5 units)
Capaci ty
(Gg/yr)
107
63
5
1136
Investment
In Plantc
$ 6.8
32.5
22.0
946.8
Investment In
Working Capital
$ 1.0
4.9
3.3
142.0
Total Capital
Investment
$ 7.8
37.4
25.3
1,088.8
Capacity in items of styrene, investment totals are for an integrated
ethylbenzene/styrene facility in which all ethyl benzene is consumed in
the manufacture of styrene.

Capacity in terms of aniline*, investment totals are for an integrated nitro-
benzene/aniline facility in which all nitrobenzene is consumed in the manu-
facture of aniline.

Original plant investment observations were obtained from the following sources

    Benzene (toluene dealkylation) - Ref. 46
    Benzene (extraction) - Ref. 52
    Benzene (pyrolysis gasoline) - Ref. 55
    Benzenesulfonic Acid - Ref. 49
    Chlorobenzene - Ref. 53
    Cumene - Ref. 47
    Cyclohexane - Ref. 48
    Ethyl benzene/Styrene - Ref. 56
    Ethylene - Ref. 51
    Hydroquinone - Ref. 57
    Linear Alkylbenzene - Ref. 54
    Maleic Anhydride - Ref. 50
    Nitrobenzene/Aniline - Ref. 52
    Resorcinol - Ref.49
                                  9-50

-------
pursued by manufacturers of benzene and its derivatives will  have minimal
impacts upon the prices of those chemicals.  In the tables which follow, the
maximum price changes resulting from the alternatives are summarized.  Since
the alternatives impact derivative chemicals (e.g., styrene, cumene) as
well as chemicals used as inputs in the manufacture of derivatives (e.g.,
benzene, ethylene) the full cost pricing assumption requires that two forms
of price impacts be distinguished, that is,

     •     Price  increases attributable to  the  impacts  of  the alternatives
           upon  individual chemicals and;
     •     Price  increases attributable to  both the  impacts of  the alterna-
           tives  upon  individual  chemicals  as well  as  those resulting  from
           the  pass-through  of  benzene  and  ethylene  price  increases  to
           derivatives.

      Maximum price  increases which  can  be  attributed  to the  pass-through of
 control  costs  to individual  chemicals  are  summarized  in Table  9-27.   As
 noted in Section 9.2.5.2,  the  percentage  price increase  (based upon  May,
 1979  prices) for each chemical  under  each  regulatory  alternative has been
 estimated through the expression of net  annualized costs  (Table 8-11)  as a
 percentage of  the appropriate model  unit  revenue as  determined in  Tables
 9-23  through 9-25.
      The relatively low price  increases  noted  in Table 9-27  can be  attri-
 buted to both  low annual control costs in conjunction with relatively high
 product recovery credits.  However, under Regulatory Alternative V, control
 costs seriously outweigh  the value of recovered product to the extent that
 imposition  of this alternative could, under full cost pricing,  increase
 the price of several chemicals by more than 5 percent.   For all chemicals
 included, the potential price increases for the  products of new plants are
 slightly  lower  than  those for existing plants.   This  is  so, since the net
 annualized  control costs for .new plants are lower.
      Price  increases  attributable to  both impacts  upon individual chemicals,
 as well  as  the  pass  through of  benzene and ethylene  price increases to the
 manufacturers of derivatives,  are  referred to  as  "cumulative price  increases,"
 The  cumulative  price increases  are perhaps of greatest concern since  they
                                       9-51

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                                        Table  9-27.
PERCENTAGE PRICE INCREASES
(May 1979 Prices)
I
cn
rv>
Existing
Chemical
Model Unit A
Benzene (toluene dealkylation)
Ethyl benzene/Styrene3
Cumene
Cyclohexane ^
Benzenesulfonic Acid/Phenol
Resorcinol
Maleic Anhydride
Ethylene (1 unit)
Model Unit B
Benzene (extraction)
Chlorobenzene
Linear Alkyl benzene
Ethylene (2-3 units)
Model Unit C
Benzene (pyrolysis gasoline)
Ni trobenzene/Ani 1 i nec
Hydroquinone
Ethylene (4-5 units)
Plants

Regulatory Alternative
II
.01
!oi
.01
.16
.01
.03
(.02)
(.05)
(.01)
(.03)
(.03)
(.09)
III
.02
.01
.02
.02*
.34
.02
.07
.01
.04
.13
.02
.01
.05
.05
.13
.01
IV
.04
.01
.03
.04
.65
.03
.12
.02
.13
.43
.07
.02
.17
.16
.43
.02
V
.34
.10
.25
.32
5.67
.29
1.08
.17
1.48
5.00
.81
.22
2.02
2.00
5.21
.25

New Plants
Requlatory Alternative
II
.01
!oi
.01
.14
.01
.03
(.02)
(.07.)
(.01)
(.04)
(.04)
(.11)
(.01)
III
.02
!oi
.02
.27
.01
.05
.01
.02
.08
.01
.02
.02
.06
IV
.03
.01
.02
.03
.56
.03
.11
.02
.10
.35
.06
.02
.13
.13
.34
.02
V
.23
.06
.17
.21
3.84
.19
.73
.12
1.01
3.39
.55
.15
1.37
1.36
3.53
.17
        *Price increase for Styrene

        DPrice increase for Phenol

        "Price increase for Aniline

-------
represent the maximum price increases of benzene derivatives which may result
from the full cost pricing policies of manufacturers.  Accordingly, cumula-
tive price increases of any benzene derivative can be traced to the costs to
control fugitive benzene emissions during the manufacture of both benzene as
well as the  benzene derivative.
     Cumulative price increases have been summarized  in Table 9-28.  They
have been determined through the  addition of the appropriate percentage  price
increases noted in Table 9-27.  For  example the projected increase  in  cumene
prices  under Regulatory Alternative  III  (.07%) was calculated through  the
addition  of  the increase  in  benzene  price from  Model  Unit  C, Alternative  III
(.05%)  and the  increase  in  cumene price  from  Model  Unit A, Alternative  III
(.02%).
     The percentage  increases  noted  in Table  9-28  are conservative for three
major  reasons.  Primarily,  the addition of  percentage increases implies  that
benzene is  the  single input in the manufacture  of  benzene  derivatives.  In
 reality, the contribution of inputs  that will  be  unaffected by the alternatives
will  minimize the effect of benzene price increases  upon the final prices
 of benzene  derivatives.   Second,  the highest increases in  benzene prices
 (generally  that from Pyrolysis Gasoline - Model Unit  C) were used in the
 calculation of cumulative price  increases.   In reality, the manufacture
 of derivatives through the u^e of benzene from Model Units A and B (i.e.,
 Toluene Dealkylation and Solvent Extraction) will entail the pass through
 of lower price increases.  This  is  especially true  for Regulatory Alterna-
 tives  IV and V.  Finally, the  recovered product credits used in  the deter-
 mination of net  annualized  costs are  based upon current market  prices.
 Recognizing the  past  and  projected  future  trends  in petroleum  and petroleum
 based product  prices,  it  is  quite possible that the value  of  product  re-
 covered under  each  regulatory alternative  will, over the  forecast period,
  increase at a  rate higher than the rate of increase in annualized control
  costs  thus essentially reducing the net annualized cost   of each alternative.
       9.2.6.2  Capital  Availability Impacts.   Each of the  previously discussed
  regulatory alternatives requires capital expenditures for monitoring instruments
  and other  control  equipment.  The need for such equipment requires that poten-
  tial   investors in new plants must obtain additional capital financing  above  that
  which would be required in the  absence of regulation.  In those  cases  where
                                        9-53

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          Table  9-28.   CUMULATIVE  PERCENTAGE  PRICE  INCREASES
                           (May  1979  Prices)

Chemical
Ethylbenzene/Styrene
Cumene
Cyclohexane
Benzenesulfonic Acid/Phenol
Resorcinol
Maleic Anhydride
Chlorobenzene
Linear Alkylbenzene
Nitrobenzene/Aniline0
Hydroquinone
Regulatory Alternative
II
.03
.02
.02
.17
.02
.04
(-04)
.00
(.02)
(-08)
III
.07
.07
.07
.39
.07
.12
.18
.07
.10
.18
IV
.20
.20
.21
.82
.20
.29
.60
.24
.33
.60
V
2.37
2.27
2.34
7.69
2.31 -
3.10
7.02
2.83
4.02
7.23
 Price increase for Styrene
 Price increase for Phenol
CPrice increase for Aniline
                                    9-54

-------
the additional  capital  control costs represent a significant increase in total
capital  requirements, potential investors could, as a result of difficulties
in obtaining additional financing, abandon plans for new plant construction.
     In order to estimate the extent to which the imposition of the regula-
tory alternatives could cause significant increases in the capital require-
ments of new plants, the capital control costs of each regulatory alternative
have been expressed as a percentage of the total investment required of each
model unit.   Estimates of model unit   investment requirements have been made
through the sources and methodology described in Section 9.2.5.3, while the
capital control  costs  associated with each model unit and  regulatory alter-
native are  presented in Table  8-4.
     Table  9-29  summarizes the  additional percentages of invested capital
required of new  model  units.    With  regard to the  increased capital  require-
ments of Regulatory Alternative   II,  III  and IV, these  increases  are  generally
low  and cannot  be  considered  potential  obstructions to  new plant  construction.
Regulatory  Alternative V  (i.e.,  leakless  emission  control  equipment),  however,
entails much  larger increases in required investments,  and its  imposition
could  preclude  future  plant  construction.   This is  especially true  in the
case of  benzene production by way of pyrolysis  gasoline.   In  this case the
capital  control  costs  under  Regulatory  Alternative  V,  could increase the
total  capital  requirements for such units by 22.49 percent.
 9.3   MACROECONOMIC IMPACT
 9.3.1   Summary
      From the analysis detailed in Section  9.2, it can be concluded that Regu-
 latory Alternatives II, III  and IV, will have very little effect either on pro-
 duct prices or  the capital investment  requirements of related plants.  In addi-
 tion, since market conditions,  price inelastic demand, and low maximum potential
 price increases will  allow the  full pass through of control  costs, it can be
 conluded that the profitability or market positions of individual manufacturers
 will not be altered.  Regulatory Alternative V, however,  holds the  possibility
 of  significantly  increased prices  (for the  products of existing  and  new plants)
 and increased  capital  investment  requirements  for  new  plants.
 9.3.2  Inflationary Impacts
       Since the  maximum potential  price increases (Regulatory Alternatives  II,
  III,  and  IV)  for  benzene  and its  derivatives  are  low  (Table  9-28),  price
                                       9-55

-------
                  Table 9-29.  PERCENTAGE INCREASE IN
                 NEW PLANT CAPITAL INVESTMENT REQUIRED
     Chemical                         Regulatory Alternative	
	ii	m	iv	v

Model Unit A

Benzene (toluene dealkylation)    .06      .12      .30      2.08
Ethylbenzene/Styrene              .02      .04      .09       .54
Cumene                            .04      .08      .21      1.44
Cyclohexane                       .09      .18      .45      3.07
Benzenesulfonic Acid              .23      .45     1.16      7.96
Resorcinol                        .09      .18      .46      3.13
Maleic Anhydride                  -04      .08      .21      1.47
Ethylene  (1 unit)                <-01     <.01      .01       .08

Model Unit B

Benzene (extraction)              .04      .12      .38      2.91
Chlorobenzene                     -10      .31     1.01      7.79
Linear Alky!benzene               -09      .27      .86      6.66
Ethylene  (2-3 units)             <-01      .01      .02       .13

Model Unit C
 i ..  —	-i.....111...-..-...                 ^

Benzene (pyrolysis gasoline)      .22      .86     2.85     22.49
Nitrobenzene/Aniline              .05      .18      .60      4.69
Hydroquinone                      .07      .27      .88      6.93
Ethylene  (4-5 units)             <-01      .01      .02       .16
                                     9-56

-------
increases at the level  of consumer products will be imperceptible.  There-
fore, the application of these regulatory alternatives will not contribute
to inflation as measured by the Consumer Price Index.
9.3.3  Energy Impacts
     As noted in Section 7.5, each regulatory alternative  requires passive
controls on equipment handling benzene streams.  Under these conditions, no
increase in energy consumption is expected.
9.3.4  Employment Impacts
     Full cost  pricing, on the part of individual manufacturers,  will  insure
that the profitability of existing plants will  not  be affected by the  stan-
dard.  In addition, the very  low  increases  in capital investment  requirements
for  new  plants  (Regulatory Alternatives  II,  I"  and IV) will not  inhibit the
construction  of new facilities.   Under these conditions,  the alternatives will
not  result  in  either plant closures or reductions  in  output, and  thus  the
level  of employment  in  the industry will  be unaffected.
9.3.5  Fifth  Year Annualized  Costs
      Annualized costs  in  the  fifth year  following  promulgation (1985), have
been estimated for  each  regulatory alternative, and under no  alternative  do
such costs  exceed the  $100 million criterion specified  in E.O.  12044.   Fifth
year annualized cost  totals  have been estimated by summing the annualized
 costs (Table 8-11)  applicable4 to existing,  new, and replacement plants
 presented  in Table  7-9.   Fifth year  annualized cost totals for  Regulatory
Alternatives III,  IV and V are $2.7,  $7.3, and $74.1 million dollars,  while
 Regulatory Alternative-II would, if  implemented, result in annualized cost
 reductions due to relatively high product recovery.
                                       9-57

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9.4  REFERENCES
      1.   Soder,  S.L.   CEH  Product Review on Styrene.   Chemical
          Economics  Handbook.   Stanford Research Institute.   Menlo
          Park,  CA.   January 1977.  27 p.

      2.   Blackford, J.L.  CEH Product Review on Cyclohexane.  Chemical
          Economics  Handbook.   Stanford Research Institute.   Menlo Park,
          CA.  February 1977.  29 p.

      3.   Gunn,  T.C.,  and  K. Ring.  CEH Marketing Research Report on
          Benzene.   Chemical Economics Handbook.  Stanford Research
          Institute.  Menlo Park, CA.  May 1977.  66 p.

      4.   Klapproth, E.M.  CEH Product Review on Chlorobenzenes.
          Chemical  Economics Handbook.  Stanford Research Institute.
          Menlo Park,  CA.   July 1977.  10 p.

      5.   Soder, S.L.  et al.  CEH Product Review on Ethylene.  Chemical
          Economics Handbook.  Stanford Research Institute.  Menlo Park,
          CA.   January 1978.  108 p.

      6.   Cogswell, S.A.  CEH Product Review on Resorcinol.  Chemical
          Economics Handbook.  Stanford Research Institute.  Menlo
          Park, CA.  October 1978.   11 p.

      7.  Klapproth, E.M. CEH Product Review on Aniline  and  Nitrobenzene.
          Chemical  Economics Handbook.   Stanford Research Institute.   Menlo
          Park, CA.  January 1979.   10 p.

      8.  Bradley,  R.F.  CEH Product Review on  Linear  and Branched
          Alkylbenzenes.  Chemical  Economics Handbook.   Stanford
          Research  Institute.   Menlo Park,  CA.  January  1979.   16 p.

      9.  Al-Sayyari,  S.A., and  K.  Ring.  CEH  Product  Review on
          Cumene.   Chemical Economics  Handbook.  Stanford Research
          Institute.   Menlo Park,  CA.  March 1979.   16 p.

      10.  Ring,  K., and S.A. Al-Sayyari.  CEH  Product  Review on
          Ethyl benzene.  Chemical  Economics Handbook.  Stanford
          Research  Institute.   Menlo Park,  CA.   March  1979.   14  p.

      11.  Hydrocarbon  Processing,  Section 2:   World-Wide HPI Con-
          struction Boxscore.   June 1978.  p.  4-17.

      12.  Hydrocarbon  Processing,  Section 2:   World-Wide HPI Con-
          struction Boxscore.   October 1978.   p.  3-18.

      13.  Hydrocarbon  Processing, Section 2:   World-Wide HPI Con-
          struction Boxscore.   February  1979.   p.  3-16.

      14.  Hydrocarbon  Processing, Section 2:   World-Wide HPI Con-
          struction Boxscore.   June 1979.  p.  3-13.
                                  9-58

-------
15   Wett  T   Ethylene Report - Ethylene Capacity Outruns Demand
     Growth!  OH  and Gas Journal.  77(36):59-64.  September
     1979.

16.  Chemical Economics Handbook of Current Indicators - Supplemental
     Data.  Stanford Research Institute.  Menlo Park, CA.  April
     1979. p. 225-226.

17.  Standifer, R.L.  Emission Control Options for the Synthetic
     Organic Chemicals Manufacturing  Industry, Ethylene  Product
     Report  (Draft).  Hydroscience, Inc., Knoxville, TN    For
     U S. Environmental Protection Agency,  Emission  Standards  and
     Engineering Division.  Research  Triangle Park,  NC.  July
     1978.   200 p.

18.  Dylewski, S.W.   Emission Control  Options for the  Synthetic
     Organic Chemicals Manufacturing  Industry, Chlorobenzenes
     Product Report  (Draft).  Hydroscience, Inc., Knoxville, TN
     For U.S.  Environmental  Protection Agency, Emission  Standards
     and Engineering  Division.   Research Triangle Park,  NC.
     August 1978.   90 p.

 19.   Emission  Control  Options  for the Synthetic  Organic  Chemical
     Manufacturing Industry,  Nitrobenzene Product Report (Draft).
      Hydroscience, Inc.,  Knoxville,  TN.  For U.S. Environmental
      Protection  Agency,  Emission Standards  and  Engineering Division.
      Research  Triangle Park, NC.  January 1979.   65 p.

      Industrial  Process Profiles for Environmental Use:   Chapter 6.
      The Industrial  Organic Chemicals Industry.   Research Triangle
      Institute.   Research Triangle Park, NC.  Radian Corporation.
      Austin  TX   For U.S. Environmental Protection Agency.
      Cincinnati] OH?  Publication No. EPA-600/2-27-023f.  February
      1977.  1014 p.

 21   Hobbs, F.D., and J.A. Key.  Emission  Control Options for the
      Synthetic Organic Chemicals Manufacturing  Industry,  Ethylbenzene
      and Styrene  Product  Report  (Draft).   Hydroscience, Inc.,
      Knoxville  TN.  For  U.S.  Environmental Protection  Agency,
      Emission Standards and Engineering  Division.   Research
      Triangle Park,  NC.   May 1978.   73  p.

  22   Peterson,  C.A.   Emission  Control  Options for the Synthetic
      Organic  Chemicals Manufacturing Industry,  Linear Alkylbenzene
      Product  Report  (Draft).   Hydroscience,  Inc., Knoxville,  TN.
      For U.S. Environmental  Protection Agency,  Emission Standards
      and Engineering Division.   Research Triangle Park, NL.
      September  1978.   137 p.

  23   Blackburn,  J.W.  Emission Control Options  for the  Synthetic
      Organic  Chemicals  Manufacturing Industry,  Cyclohexane Product
       Report (Draft).  Hydroscience, Inc.,  Knoxville, TN.  For
       U S.  Environmental  Protection Agency, Emission Standards and
       Engineering Division.  Research Triangle Park, NC.  May
       1977.  78 p.
20
                              9-59

-------
24.  Lawson,  J.  F.   Emission Control  Options for the Synthetic Organic
     Chemicals Manufacturing Industry,  Maleic Anhydride Product Report (Draft).
     Hydroscience,  Inc.,  Knoxville,  TN.   For U.S.  Environmental Protection
     Agency,  Emission Standards and  Engineering Division.   Research Triangle
     Park, NC.  March 1978.  120 p.

25.  Letter from J. A. Pearson, Goodyear Tire and Rubber Co., to D. R.
     Goodwin, EPA,  ESED.   July 9, 1979.   With attached article:  Olzinger,
     A. H.  New Route to Hydroquinone.   Chemical Engineering.  June 9, 1975.
     p. 50-51.

26.  Synthetic Organic Chemicals, United States Production and Sales, 19-77.
     U.S. International Trade Commission.  U.S. Government Printing Office.
     Washington, DC.  USITC Publication No. 920.  1978.

27.  U.S. Benzene Markets to Face Slower Growth.  Chemical Engineering.
     85(3):62-64.  January 30, 1978.

28.  Current Prices of Chemicals and Related Materials.  Chemical Marketing
     Reporter.   (Issues from the first week of January, July and December,
     1974-1979 and May 21, 1979.)

29.  Chemicals and Gasoline Compete for Aromatics.  Chemical Week.  124(16):31.
     April 18, 1979,

30.  Ethylene Oversupply Could Last Until 1980.  Chemical and  Engineering
     News.  55(14): 10.  April 4, 1977.

31.  Aromatics Seen Entering Slow-Growth Era as Energy, Government Strictures
     Hobble Trade.  Chemical Marketing Reporter.  213.(24):11.  June 12, 1978.

32.  CE  Construction  Alert.  Chemical Engineering.  86_(23):136.  October  22,
     1979.

33.  Hydrocarbon Processing, Section 2:  World-Wide HPI Construction  Boxscore.
     October  1979.  p. 13.

34.  Lurie, M.   Oil and Chemicals:  Era  of  Peaceful Coexistence?   Chemical
     Week.  _125_(16): 70-92.  October 1979.

35.  Energy Resources Co.,  Inc.  Economic  Impact Analysis of Anticipated
     Hazardous Waste  Regulations on the  Industrial Organic Chemicals,  Pesti-
     cides, and  Explosives  Industries.   U.S. Environmental Protection Agency.
     Washington, DC.   Final Report SW-158c.  1978.  p. 85.

36.  Reference 35,  p.  87.

37.  Reference 35,  p.  87-88.

38.  Reference 3,  p.  35.

39.  "Refer to Section-9.1.8.1.
                                      9-60

-------
 40.   Blackford,  J.  L.   CEH  Product  Review on  Maleic Anhydride.   Chemical
      Economics  Handbook.   Stanford  Research  Institute.   Menlo Park,  CA.
      July,  1976.   35  p.
 41.   As  Polyester Goes,  So Goes Maleic.   Chemical  Weeks.   123(22) : 21-22.
      November,  1978.
 42.   Is  Benzene Losing to Gas Tanks?  Chemical  Week.  123(4) :26.  July,
      1978.
 43.   Evaluation of Emissions from Benzene-Related          ,
      Operations, PEDCo Environmental, Inc., EPA Report No. 450/3-79-OZZ.
      October 1978, p. 7.
 44.   Part 1, Research-Project Evaluations.  Hydrocarbon Processing.  Decem-
      ber, 1976.  p. 137.
 45.   CE Cost Indexes Maintain 13-Year Ascent.  Chemical Engineering.  85(11):
      189.  May 8, 1978.
 46.   Economics of the Petrochemical  Industry.  Hyplan Consulting Group.  June
      1978.  p. 32.
 47.   CE Construction Alert.  Chemical Engineering.  86J23) :136.  October 22,
      1979.

 48.  Oil  and Gas Journal.   64(44) :46.  October 31, 1966.

 49.  How  Synthetic  Phenol  Processes  Compare.  Oil  and Gas  Journal.  64(1):
      83-88.  January  1966.
 50.  Hydrocarbon  Processing, Section 2:   World-Wide HPI  Construction  Box-
      score.   56(2) :18.   February  1977.

• 51.  Ethylene:   Makke It or Buy  It?   Chemical  Engineering  Progress.   74(12):
      17.   December 1978.
  52.  Worldwide Construction.   Oil  and Gas Journal.   75_(41):127.   October
      1977.

  53.  Chemical  Week.  95J5):23.   August 1964.

  54.  Worldwide Construction.   Oil  and Gas Journal.  65(3):79-81.   January
       1967.
  55.   Hydrocarbon Processing.   1977 Petrochemical Handbook Issue.   November
       1977.  p. 132.
  56.   CE  Construction Alert.  Chemical Engineering.  81(20) :105.  September
       1974.
  57.   CE  Construction Alert.  Chemical Engineering.  77_(7):123.  April  1970.


                                  9-61

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        APPENDIX A



EVOLUTION OF THE BACKGROUND



   INFORMATION DOCUMENT
              A-l

-------
                    APPENDIX A - EVOLUTION OF THE
                    BACKGROUND INFORMATION DOCUMENT
     Date

August 9-12, 1976
November 3-4, 1976
November 8-10, 1976
November 16-17, 1976




February 8-14, 1977



April  19-20,  1977



May  1977


June 8,  1977


April  1978


April  26-28,  1978


June 1978
          Nature of Action

Plant visit to Los Angeles Air Pollution
Control District and four Los Angeles area
petroleum refineries (Fletcher Oil and Re-
fining Company, Atlantic Richfield Watson
Petroleum Refinery, Shell Oil Company Wilmington,
Champlin Wilmington Refinery) to obtain
background information on miscellaneous
sources of hydrocarbon emissions from petroleum
refineries.

Meetings with Exxon Company, USA and Shell
Oil Company to discuss EPA request for information
on hydrocarbon emission  sources and controls.

Plant  visits to four New Orleans, Louisiana,
petroleum refineries (Murphy, Gulf, Tenneco,
and Shell) to obtain background information
on miscellaneous  sources of  hydrocarbon
emissions in petroleum refineries.

Meetings with Standard Oil of California  and
Union  Oil of California  to discuss EPA requests
for information on  hydrocarbon emission
sources and controls.

Emission source testing  at Atlantic Richfield
Watson Petroleum  Refinery, Carson, California,
and Newhall Refining Company, Newhall, California.

Plant  vist to  "Refinery  A,"  Corpus Christi,
Texas, to gather  information for  Control
Techniques Guideline  (CTG) documents.

First  draft CTG,  "Control of Hydrocarbons
from Miscellaneous  Refinery  Sources."

Benzene listed  as hazardous  air  pollutant in
Federal  Register  (42  FR  29332).

Second draft  CTG, "Control  of VOC leaks  from
Petroleum  Refining Equipment."

Radian/IERL  Symposium  on refinery emissions,
Jekyll Island,  Georgia.

Publication  of final  CTG,  "Control  of Volatile
Organic Compound  Leaks from Petroleum Refinery
Equipment."
                                    A-2

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June 29, 1978
June 30, 1978
July 6,  1978
July  13,  1978
 July 14,  1978
 November 13-17, 1978
 December 1978 -
   January 1979


 March 5-8, 1979
 March 7, 1979



 May  31,  1979




 June-July  1979

 June 20, 1979
Plant visit to Phillips Petroleum Company,
Sweeny, Texas, to collect information on
emissions from benzene-related petroleum
refinery operations.

Plant visit to Exxon Chemical Company, Baytown,
Texas, to collect information on emissions
from benzene-related petroleum refinery
operations.

Plant visit to Sun  Petroleum Products Company,
Toledo, Ohio, to observe and discuss BTX  and
THD units.

Plant visit to Gulf Oil Refinery, Philadelphia,
Pennsylvania, to collect information on
emissions from benzene-related petroleum
refinery operations (UDEX and toluene dealkylation
unit).

Plant  visit to Sun  Petroleum Products Company,
Marcus  Hook,  Pennsylvania,  to collect infor-
mation  on  emissions from benzene-related
petroleum  refinery  operations.

Plant  visit  and  emission  source  testing  at
Sun Petroleum Products Company,  Toledo,  Ohio,
of BTX and HDA units.
 Telephone survey of refineries to obtain
 information on accumulator vessel vent emissions.

 Plant visit and emission source testing at
 Phillips Petroleum Company, Sweeny, Texas,
 refinery.

 Plant visit to Phillips Petroleum Company,
 Sweeny, Texas, refinery and NGL Processing
 Center.

 Completion of technical portion of
 preliminary draft background  document
 and distribution to  industry, environmental
 groups, and other interested  persons.

 Public  comments on draft  background document.

 Visit  to  Chevron Company,  U.S.A.,  El  Segundo,
 California,  refinery to discuss  fugitive  VOC
 emissions.
                                     A-3

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June 21, 1979



July 19, 1979


October 10, 1979


March 1980




April 16, 1980




July 14, 1980
Visit to Atlantic Richfield Company, Carson,
California, refinery to discuss fugitive VOC
emissions.

Chemical Manufacturers Association Fugitive
Emission Seminar, Washington, D.C.

Carcinogen Policy proposed in Federal Register
(44 FR 58642).

Completion of Benzene Fugitives preliminary
draft background document and distribution to
NAPCTAC, industry, environmental groups,
and other  interested persons.

Meeting of the National Air  Pollution
Control Techniques Advisory  Committee to
review the Benzene Fugitive  Emissions
Standard,  Raleigh, N.C.

Meeting between  EPA and the  American
Petroleum  Institute to discuss  proposed
performance and  equipment specifications
of Benzene Fugitive Emissions  Standard,
Durham, N.C.
                                    A-4

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                              APPENDIX  B

                 INDEX TO ENVIRONMENTAL CONSIDERATIONS

     This appendix consists of a reference system which is cross
indexed with the October 21. 1974, Federal RecQster (39 FR 37419)
containing the Agency guidelines for the preparation of Environmental
Impact Statements.  This index can be used to identify sections of
the document which contain data and information germane to any portion
of the Federal Register guidelines.
                                 B-l

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                              APPENDIX B
             INDEX TO ENVIRONMENTAL IMPACT CONSIDERATIONS
Agency Guidelines for Preparing
Regulatory Action Environmental
Impact Statements (39 FR 37419)
  Location Within the Background
    Information Document (BID)
1. Background and Description

       Summary of the Regulatory
         Alternatives
       Statutory Authority
        Industry Affected
        Sources Affected
        Availability  of  Control
          Technology
 2.  Regulatory  Alternatives

      Regulatory  Alternative  I
        No Action (Baseline)

        Environmental  Impacts
        Costs
The regulatory alternatives are
summarized in Chapter 1,
Section 1.2.

Statutory authority is given in
Chapter 1, Section 1.1, and
Chapter 2.

A description of the industry
to be affected is given in
Chapter 9, Section 9.1.

Descriptions of the various
sources to be affected are
given in Chapter 3, Section 3.2.

Information on the availability
of control technology is  given
in Chapter 4.
 Environmental  effects  of Regulatory
 Alternative  I  are  considered in
 Chapter  7.

 Costs  associated with  Regulatory
 Alternative  I  are  considered in
 Chapter  8.
                                                          (Continued)
                                B-2

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        INDEX TO ENVIRONMENTAL IMPACT CONSIDERATIONS (Continued)
Agency Guidelines for Preparing
Regulatory Action Environmental
Impact Statements (39 FR 37419)
  Location Within the Background
    Information Document (BID)
     Regulatory Alternative II

       Environmental  Impacts
        Costs




      Regulatory  Alternative III

        Environmental  Impacts
        Costs




      Regulatory Alternative IV

        Environmental Impacts




        Costs
Environmental effects associated
with Regulatory Alternative II
emission control systems are
considered in Chapter 7.

The cost impact of Regulatory
Alternative  II emission control
systems is considered in
Chapter 8.
The environmental effects  associated
with Regulatory  Alternative  III
emission  control  systems are
considered  in  Chapter  7.

The cost  impact  of  Regulatory
Alternative III  emission control
systems  is  considered  in
Chapter  8.
 The environmental  effects associated
 with Regulatory Alternative IV
 emission control  systems are
 considered in Chapter 7.

 The cost impact of Regulatory
 Alternative IV emission control
 systems is considered in
 Chapter 8.
                                                     (Continued)
                                 B-3

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        INDEX TO ENVIRONMENTAL IMPACT CONSIDERATIONS (Concluded)
Agency Guidelines for Preparing
Regulatory Action Environmental
Impact Statements (39 FR 37419)
  Location Within the Background
    Information Document (BID)
     Regulatory Alternative V

       Environmental Impacts
       Costs




      Regulatory Alternative VI

       Environmental  Impacts
        Costs
The environmental effects associated
with Regulatory Alternative V
emission control systems are
considered in Chapter 7.

The cost impact of Regulatory
Alternative V emission control
systems is considered in
Chapter 8.
The implementation of  this  alter-
native would require the  elimination
of benzene  use  and production.
Benzene  emissions would be  zero.

This  alternative could not  be
implemented without closing all
plants  in several industries.
This  would  not  be feasible, and
hence costs were not  evaluated.
                                B-4

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       APPENDIX C
EMISSION SOURCE TEST DATA
             C-l

-------
                 APPENDIX C - EMISSION SOURCE TEST DATA

C.I  INTRODUCTION
     A survey was conducted by EPA to collect data from refineries
throughout the United States on leak detection and repairs of equipment
emitting volatile organic compounds (VOC) in excess of a defined action
level.  This appendix summarizes the results of data from seven sources:
(1) one reference summarizing valve repair data from four U.S. refineries;
(2) Phillips Petroleum Company, Sweeny, Texas;  (3) Shell Oil  Company,
Martinez, California; (4) Union Oil Company  of  California, San Francisco
refinery, Rodeo, California;  (5) benzene-producing Units E and F  from  a
U.S. petroleum refinery;  (6)  ethylene and cumene  units at organic  chemical
manufacturing plants; (7) cyclohexane unit at Exxon Chemical  Company,
Baytown, Texas;  (8) benzene-producing unit at refinery "E," Gulf  Coast,
U.S.; and (9) benzene-producing unit at AMOCO refinery.  For  most  data
sources, the number of pieces of equipment checked and the number  of
equipment having leaks in excess of a defined action level  (usually
 10,000  ppm) were determined.  When available, repair data were  collected
so that the number of equipment repairs and  non-repairs  could be  summarized.
      Data collected by Monsanto Research  Corporation  (MRC)  concerning
 fugitive emissions from  synthetic  organic  chemical plant monochlorobenzene
 units  are not  summarized in this  appendix.   This  data  were  never  published
 in final  form  because of the following:   (1) the  data  exhibited  very
 wide  confidence  intervals;  (2)  the experimental design,  which was developed
 for testing  several  units,  was  not appropriate  for application to the
 one unit  tested; (3)  the statistical  treatment  of the  data  was questionable;
 and (4) the  quality  assurance and control  procedures  were  poorly  documented.
 C.2  DATA SUMMARIES
                                       2
 C.2.1  Refinery  Valve Maintenance Data
      Table  C-l presents  the results  of maintenance data for gas service
 and light liquid valves  from four U.S. petroleum refineries.   The number
                                     C-2

-------
              Table C-l.  REFINERY VALVE MAINTENANCE DATA
Action Level:  >10,000 ppm
Distance from Source:  0 cm
Instrument:  Bacharach "TLV Sniffer"
    I.  Hydrocarbon Leaks Greater Than or Equal to 10,000 ppmv

                   Number of Valves                     Percent  of
                   for which Main-   Number of Valves   Emission
                   tenance was       After Maintenance Reduction
  Source Type      Attempted          (<10,000 ppm)    (Leak Rate)


Gas Service Valves

 Undirected
   Maintenance           8                7               53

 Directed     .
   Maintenance           7                6               92
Light Liquid Valves

 Undirected
   Maintenance3          4                2               79

 Directed      .
   Maintenance           4                2               92
 aAs a result of undirected maintenance,valves were tightened, but
  no concentration data were recorded  during maintenance.


 bAs a result of directed maintenance,valves were  tightened until
  emissions  were below  10,000  ppm.
                                 C-3

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        Table C-l.   REFINERY VALVE MAINTENANCE (Concluded)
Action Level: >10,000 ppm
Distance from Source:  0 cm
Instrument:  Bacharach "TLV Sniffer"
           II.  Hydrocarbon Leaks Less Than 10,000 ppmv
  Source Type
Number of Valves                     Percent of
for which Main-  Number of Valves     Emission
tenance was       With Increased        Rate
Attempted         Emissions Rate      Reduction
Gas Service Valves

  Undirected
    Maintenance

  Directed     b
    Maintenance
                         1


                         0
66


54
 Light  Liquid  Valves

   Undirected
     Maintenance           7

   Directed     ,
     Maintenance          10
                          1


                          2
56


76
 aValves repaired after undirected maintenance were tightened, but
  no concentration data were recorded during repair.

 bValves repaired after directed maintenance were tightened until
  emissions were below 10,000 ppm.

 Source: Reference  2
                                  C-4

-------
of valves on which maintenance was attempted and the number of valves
for which screening values after maintenance were below 10,000 ppmv are
shown as well as the percentage reduction in leak rates (Ib/hr).  Main-
tenance data for leaks less than 10,000 ppmv are also given in Table
C-l, showing the number of valves on which maintenance was attempted  and
the'number  of valves with increased emissions after maintenance.
     Maintenance for the  valves was classified  as directed or  undirected.
Directed maintenance valves were  those that  were  tightened and screened
until  no further  reduction  in hydrocarbon emissions  could be  detected by
the  screening  instrument.   Undirected  maintenance valves  were tightened,
but  no concentration  data were recorded during  valve maintenance.
C 2  2  Phillips Petroleum Company Data
      Equipment leak testing was performed at various units in the Phillips
 Petroleum Company Sweeny Refinery and Petrochemical Complex,  Sweeny,
 Texas  in March, 1979.  All tests were conducted using the Century
 instrument Company's Organic Vapor Analyzer (Model OVA - 108) with
 readings being recorded as the maximum concentration at  the seal interface.
 The number of  pieces of equipment leaking at or above 10,000  ppm is
 shown  in Table C-2 by equipment type  and unit  tested.  Table  C-3 presents
 block  valve repair data  from the ethylene unit of  Phillips Sweeny  Refinery,
 and Table  C-4  summarizes the repair data.
 C.2.3   Shell  Oil  Company Data
       Data  were obtained  from the  refinery valve  emissions  study at Shell
  Oil  Company's  Martinez  Manufacturing  Complex,  Martinez,  California.
  Over 9 000 valves were  checked for hydrocarbon leaks.   An action level
  of  10,000 ppm or greater was used to define a valve leak.   A summary of
  leaking valves and repair status is presented in Table C-5.   No data
  were available for detection and repair of leaks from other  refinery
  equipment or  for testing methods used in the  study.  g
  C 2 4  Union  Oil Company, San Francisco Refinery Data
   " '  Leak detection and repair data  are presented  in Tables  C-6 through
  C-8 for refinery valves at  Union Oil  Company's  San  Francisco facility in
  Rodeo, California.  All emission measurements were  taken 1  cm from  the
  valves, using a  VOC  detector (Model  OVA -  108).   Valves leaking at  or
   above 3,000  or 10,000  ppm by volume  hydrocarbon were  Identified,  and
   repairs were attempted.   Table  C-6 summarizes the number of valves
                                       C-5

-------
  Table C-2.   LEAK DATA FOR THE PHILLIPS PETROLEUM COMPANY,  SWEENY
 REFINERY AND NATURAL GAS LIQUIDS PROCESSING COMPLEX, SWEENY,  TEXAS
Action Level:  >10,000 ppm
Instrument:  "OVA-108" VOC detector
Distance from Source:   Maximum concentration at seal  interface
I. Equipment Type
Valves
Pumps
Compressor Seals
Drains
Control Valves
Open-Ended Lines
TOTALS
Number of
Equipment
Checked
2,564
190
33
150
68
420
3,425
Number of
Leaking
Equipment
222
41
1
9
13
39
325
Percent of
Equipment
Type
Leaking
8.7
21.6
3.0
6.0
19.1
9.3
                                                      Continued  ..
                                 C-6

-------
       Table C-2   LEAK DATA FOR THE PHILLIPS  PETROLEUM  COMPANY,  SWEENY
REFINERY AND NATURAL GAS LIQUIDS PROCESSING COMPLEX,  SWEENY,  TEXAS (Concluded)



     Action Level:   >10,000 ppm
     Instrument:  "OVA-108" VOC detector                  .
     Distance from Source:   Maximum concentration at  seal  interface
     II.   Units Tested
                                  Number of    Number of      Percent
Unit
Number
, -;. i. ~..i.— -i i — •*•
4
9
10B
11
12
15
Unit
Name
-_ __ _ ' '"" '
FCCU Gas
Concentration
Crude
Distillation
NGL Manufacturing
High End Point *
Reformer
Ethyl ene
Manufacturing
Hexane
Equipment
Checked
-
297
443
178
847
1,096
564
Leaking
Equipment
18
8
13
61
170
55
i_eaKin<
Unit Te
=====
6.1
1.8
7.3
7.2
15.5
9.8
                 TOTALS
3,425
                                                  325
      Source:  Reference 3
                                       C-7

-------
                      Table C-3.  PHILLIPS SWEENY REFINERY ETHYLENE UNIT BLOCK VALVE REPAIRS

Action Level:  >10,000 ppm      Instrument:   "OVA-108"  VOC detector
Distance from Source:  Maximum concentration at seal  interface
Tag
Number
32



o 28
oo
16
10
7
4
367
366
364
362
Initial
Reading
>1 0,000
>10,000
>1 0,000
>1 0,000
>1 0,000
>10,000
>1 0,000
>1 0,000
>1 0,000
>1 0,000
>10,000
>1 0,000
>10,000
Date
Screened
__.. , . ., _-_.,....
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
03/05/79
03/05/79
03/05/79
03/05/79
Maintenance
Attempted
No
No
No
Yes
Yes
Yes
Yes
Yes
Yes
Yes
No
Yes
Yes
Undirected Directed Maintenance Readings
Maintenance
Reading 12 3
>10,000 1,100
>10,000 >10,000 >10,000
>10,000 >10,000 >10,000
2,000 100
2,000
>10,000 >10,000 >10,000 700
100
>10,000 >10,000
200
500

NCb
>10,000 >1 0,000
Comments
Only checked one valve
with tag — meter lines
Only checked one valve
with tag
Only checked one valve
with tag


Repaired when valve was
backseated

Bolts all the way down


Bolts need replacing

Leak at gland, not stem -
*-i/-ivn^/-\r*T/"\m nva\/£in"!~~inn nr^nr
                                                                                         seating of gland

-------
                     Table C-3.   PHILLIPS  SWEENY  REFINERY  ETHYLENE  UNIT BLOCK VALVE REPAIRS (Continued)
o
                                         Undirected   Directed Maintenance Readings
 Tag    Initial     Date    Maintenance   Maintenance   	—
Number  Reading9  Screened   Attempted      Reading        1         2         3
 360    >10,000   03/05/79

 359    >10,000   03/05/79

 None    >10,000   03/05/79




 358    >10,000   03/05/79

 361    >10,000   03/05/79


 None    >10,000   03/05/79


 356    >10,000   03/05/79
Yes

Yes

No
Yes

Yes


No


Yes
   2,000

   4,000

»10,000
354
352
65
64
/ _1 _
>1 0,000
>1 0,000
>1 0,000
>10,000
« J \
03/05/79
03/05/79
03/06/79
03/06/79

Yes
Yes
Yes
Yes

900
NCb
3,000
1,000
XL 0,000
                                                            »1 0,000
                                                  NC
                                                 >10,000     >10,000
                                                 >10,000     >10,000
                                                  NIT
                                                              >10,000    7,000
                                                                                                        Comments
Mistagged originally so no
initial repair attempted —
tightened bolts — needs
new packing
                                              Leak reduced but needs new
                                              packing

                                              Near No. 361 — needs new
                                              packing

                                              Was not leaking before
                                              maintenance  (mistagged)
                                                                                         Leak detected by soap
                                                                                         solution — missed by
                                                                                         instrument operator

-------
                     Table C-3.   PHILLIPS SWEENY  REFINERY  ETHYLENE  UNIT  BLOCK VALVE  REPAIRS  (Concluded)
o
I
o
Tag
Number
• — --'—_..;_.--•- -"- ' :
315
311
316
313
312
314
Initial
Reading
>10,000
NCb
>1 0,000
>10,000
>10,000
XL 0,000
Date Mi
Screened >
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
03/06/79
aintena
Attempt
Yes
Yes
Yes
Yes
Yes
No
- 	 — 	
Undirected Directed Maintenance Readings
Maintenance
Reading 123
._.
3,000
NCb
>10,000 2,000
>10,000 >10,000
1ft
>10,000 >10,000 5,000
>1 0,000
_ 	 = —
T =
Comments

Drain still >10,000

All the
packing
All the
packing
Bad bol
replaci
: .•==

way down on
way down on
ts — need
ng
       *A11  readings  are in parts per million  by volume calibrated to  hexane  using  OVA-108  detector,


       3NC  =  No change detected in reading  above  ambient  level.
       Source: Reference  3

-------
 Table C-4.   SUMMARY OF PHILLIPS SWEENY BLOCK VALVE LEAK AND REPAIR DATA
Action Level:  >10,000 ppm
Instrument:  "OVA-108" VOC detector                  1ntprfare
Distance from Source:  Maximum concentration at seal interface


1.  Total number of valves with VOC >10,000 ppm             121
    from unit survey
2.  Total number of valves tested for                       46
    maintenance effectiveness
                          % Tested                           38%
UNDIRECTED MAINTENANCE9
3.   Total number  subjected  to  repair  attempts                37
4.   Successful  repairs  (VOC <10,000 ppm)                     22
                          %  Repaired

Follow-up           h
DIRECTED MAINTENANCE"
 5.   Number  of valves unrepaired by undirected    c          14
     maintenance subjected to  directed maintenance

 6.   Number  repaired by follow-up directed                    5
     maintenance
                          % of unsuccessful repaired         36%
                          by directed maintenance

 7.   Total number repaired based on undirected               27
     maintenance subset (3) above
                          % repaired                         73%


 8.  Total number of  repairs including leaks                 29
     not  found  before initial maintenance
                          Total  %  repaired                   63%
                          Total  %  not repaired               37%

 aValves  repaired through undirected  maintenance  were tightened,  but no
  concentration data  were recorded during  repair.
 bValves  repaired through directed maintenance  were tightened  until  VOC
  emissions  were  below 10,000  ppmv.
 cValves not repaired are valve stems found emitting volatile  organic
  compounds  (VOC) at or above  10,000  ppmv.

  Source:   Reference 2

                                      C-ll

-------
 Table C-5.  LEAK AND REPAIR DATA FOR REFINERY VALVES FROM THE SHELL
 OIL COMPANY, MARTINEZ MANUFACTURING COMPLEX, MARTINEZ, CALIFORNIA3
Equipment:  Valves
Action Level: > 10,000 ppm
Instrument:  "OVA-108" VOC detector
Distance from Source:  1 cm
  Valves checked                    9,277

  Valves leaking                      293

    (Percent of valves checked)

  In-service valve repairs
    attempted                         230

  Successful repairs                  199
    (Percent of repairs attempted)    (87%)

    successful repairs0                31
    (Percent of repairs attempted)    (13%)
   Two sets of emission measurements taken before and after
   repair during March and April 1979.

   Successful repairs resulted in valves leaking below 10,000 ppm.

  cUnsuccessful repairs are valves still leaking at or above
   10,000 ppm after repair.

  Source:  Reference 4
                                C-12

-------
  Table C-6.   LEAK AND REPAIR DATA FOR REFINERY  VALVES  FROM  THE
   UNION OIL  COMPANY SAN FRANCISCO REFINERY,  RODEO,  CALIFORNIA
Equipment:   Valves
Total Checked:   5,815
Instrument:  "OVA-108" VOC detector
Distance from Source:  1 cm
                                    Action Level (ppm)

Leaking valves
In-service repairs attempted
Qn/roccf ill rpnairs*
>3,000
300
158
107
>10,000
215
125
74
    (Percent of repairs  attempted
      that were successful)

  Valves with increased  emissions
    after repair

    (Percent of repairs  attempted
      with increased emissions)
(68%)


  17


(11%)
(59%)


  7


 (6%)
  *Successful repairs resulted in valves leaking below 10,000 ppm.

   Source: Reference 5
                                C-13

-------
"successfully repaired" that resulted in emissions below each action
level and the number of valves with increased emissions after repair.
In cases where emissions were reduced, packing adjustments were made on
the valves.  Table C-7 presents the number of valves before repair at
different action levels and the number of valves having increased emissions
after repair.  The effects on emissions of repairing valves in the 1,000
through 10,000 ppm range are shown in Table C-8.  Emissions from refinery
valves within 12 different units and lines are represented.  Total
emissions (Ib/hr) from valves after repair increased 5 percent.
C.2.5  Benzene-Producing Units E and F
     Units E and F are part of an intermediate size integrated petroleum
refinery located in the North Central United States.  Testing was conducted
during November 1978 as part of an EPA test program to gather data on
leaking sources (defined by a VOC concentration at the leak interface
of >10,000 ppmv).
     An attempt was made to screen all potential leak sources (generally
excluding flanges) on an individual component basis with a portable
organic vapor analyzer.  Normally all pumps were examined, and approxi-
mately 33 to 85 percent of valves carrying VOC were screened.  All tests
were performed with a Century Systems Corporation Organic Vapor Analyzer,
Model 108, with the probe placed as close to the source as possible.
     Unit E is an aromatics extraction unit that produces benzene,
toluene, and xylene by extraction from refined petroleum feedstocks.
Unit E is a new unit, and special attention was given during the design
and start-up to minimize equipment leaks.  All valves were repacked
before start-up, adding 2 to 3 times the original packing.  All pumps  in
benzene service had double mechanical seals with a barrier fluid.
     Unit F produces benzene by hydrodealkylation of toluene.  Unit  F
was originally designed to produce a different chemical, but it was
redesigned to produce benzene.
     Table C-9 presents the results of the screening study for Units E
and F.  Equipment tested included valves, open-ended lines, pump seals,
and control valves.  Unit E had fewer leaks at or above 10,000 ppmv  than
Unit F.
                                    C-14

-------
          Table  C-7.   ATTEMPTED  REPAIR  DATA  FOR  VALVES
              FROM  THE UNION-SAN FRANCISCO REFINERY
Instrument:   "OVA-108" VOC detector
Distance from Source:   1 cm
Action Level
(ppm)
0 - 999
1,000 - 9,999
>10,000
Source: Reference
Total Number
of Valves
Before Repair
0
33
125
5
Total Number
of Valves
With Increased
Emissions
After Repair
0
10
7

Percent of
Valves With
Increased
Emissions
—
30
6

                                  C-15

-------
   Table C-8.   EFFECTS ON EMISSIONS OF  REPAIRING VALVES IN THE
                    1,000 - 10,000 PPM RANGE

           (Union-San  Francisco Refinery, 4/10/79 Data)

Instrument:  "OVA-108" VOC detector
Distance from Source:   1 cm
BEFORE REPAIR
ppmv Ib/hr
5,000
3,000
5,000
5,000
4,000
8,000
4,000
5,000
4,000
1,000
7,000
9,000
5,000
4,000
3,000
2,000
5,000
9,000
8,000
3,000
4,000
5,000
0.04
0.03
0.04
0.04
0.03
0.05
0.03
0.04
0.03
0.01
0.05
0.06
0.04
0.03
0.03
0.02
0.04
0.06
0.05
0.03
0.03
0.04
AFTER REPAIR
ppmv Ib/hr
10,000
300
100
1,000
7,000
1,000
400
100,000
1,500
1,000
4,000
4,500
400
2,000
2,000
400
1,000
700
10,000
30,000
10,000
10,000
0.06
0.01
c
0.01
0.05
0.01
0.01
0.30
0.02
0.01
0.03
0.04
0.01
0.02
0.02
0.01
0.01
0.01
0.06
0.13
0.06
0.06
                                 C-16

-------
Table C-8.  EFFECTS ON EMISSIONS OF REPAIRING VALVES IN THE
                  1,000  -  10,000  PPM RANGE
        (Union-San Francisco Refinery, 4/10/79 Data)
                        (Concluded)
       BEFORE REPAIR                   AFTER REPAIR
    ppmv
                         b
lb/hr           ppmv           1b/hr
                                                        b
5,000
7,000
8,000
4,000
6,000
4,000
4,000
3,000
— ^==^=====
0.04
0.05
0.05
0.03
0.04
0.03
0.03
0.03
8,000
1,500
2,000
1,500
10,000
9,000
1,500
100
=========
0.05
0.02
0.02
0.02
0.06
0.06
0.02
c
           TOTALS
 !.12                           1.19  (+5%)
 aSource:   Reference 5
 Emission rate calculations are derived from a correlation of
  ppmv and lb/hr and not from actual emission rate testing.
 cRate is less than 0.005 Ib/hr.
                              C-17

-------
            TABLE C-9.   FREQUENCY OF LEAKS FROM FUGITIVE
                EMISSION SOURCES IN SYNTHETIC ORGANIC
                       CHEMICAL UNITS E AND F

Equipment Type
Uni
BTX
Number of
Sources
Tested
t Ea'b
Recovery
% with
Screening
Values
£10,000 ppmv
Unit Fa
Toluene
,b
HDA
% with
Number of Screening
Sources Values
Tested >10,000 ppmv

Valves
Open-ended lines
Pump Seals
Control Valves
715
33
33C
53
1.1
0.0
3.0
4.0
427
28
30
44
7.0
11.0
10.0
11.0
aSource: Reference 6

bNo data were available for compressor seals, safety/relief valves,
 or flanges.
**
 Pump seals in benzene service have double mechanical seals.
                                    C-18

-------
C.2.6  Ethvlene and Cumene Units at Organic Chemical Manufacturing
       Plants7
     Three ethylene units and two cumene units were screened for fugitive
emissions as part of a program to develop data on the frequency of
occurrence of fugitive emissions from various sources in the organic
chemical manufacturing industry.  Each source was screened by measuring
the maximum repeatable concentration of total hydrocarbons (expressed  in
parts  per million by volume) detected at the source with a portable
hydrocarbon detector  (i.e.,  Century  Systems Models  OVA-108 or OVA-128).
Sources  were  screened by  a two-person team at an  average rate of
 1.7 minutes per source  (including  instrument calibration and  repair).
Tables C-10 and C-ll  present the screening data  by  source  for the  cumene
 and  ethylene  units.                                               8
 C.2.7  Cvclohexane  Unit  at  Exxon Chemical  Company.  Bavtown.  Texas
      Data were supplied  by  Exxon Chemical  Company concerning  fugitive
 emissions at  its cyclohexane unit.   Sources  were "bagged"  to measure
 emissions.   The clean air apparatus was combined into a single unit to
 expedite sampling by reducing set-up time.  Calibration of the rotameter
 for measuring gas flow was performed using a positive displacement wet
 gas meter.
       The total number of valves, pumps and compressor seals, and safety/
 relief  valves were sampled.  For valves, however, a soap solution was
 used  to determine leaking components.
       Calculations were made to  translate the flow  rate and concentration
 data  into leak  rates for each component sampled  from each source type.
 Confidence limits were calculated  at 99.8 percent, higher than normal
 for  engineering  applications.   No  action  level  was specified.
       Table C-12 presents numbers  of screened  sources,  percentage  of
  sources leaking,  average emission  factors,  and  99.8  percent  confidence
  intervals.                                                      g
  C.2.8  Benzene-producing Unit at Refinery "E."  Gulf  Coast,  U.S.
       Leaks  were measured from seals, valves,  control  valves, and  drains
  of the aromatics extraction (BTX) unit at refinery "E."  A portable
  hydrocarbon  analyzer was used to determine the localized VOC concentration
  near individual sources and the ambient VOC levels in the unit processing
  areas.  Ambient VOC concentrations along the refinery perimeter were
                                      C-19

-------
                                      Table C-10.  SCREENING DATA FOR CUMENE UNITS
Action Level: slO.OOO ppmv
Distance from Source:  Unspecified
Instrument:  OVA-108 or OVA-128
Source
Flanges
Process
Drains
i
o Open-Ended
Valves
Safety/Relief
Valves
Pipeline
Valves
Pumps
Service9
Gas
Liquid
Gas
Liquid

Gas
Liquid
'Gas
Gas
Liquid
Liquid
Number of
Screened Sources
367
568
6
31

6
15
1
448
799
25
Number of
Sources > 10,000
ppmv
19
9
0
1

0
2
1
63
84
4
Percentage of
Sources Leaking
> 10, 000 ppmv
5.2
1.6
0.0
3.2

0.0
13.3
100.0
14.1
10.5
16.0
95% Confidence
Interval
3.2-8.1
0.7-3.0
0.0-45.9
0.1-16.7

0.0-45.9
1.7-40.5
2.5-100
11.1-17.8
8.5-12.8
4.5-36.1
 aLight  liquid  service  only.

  Data were  collected on two  cumene  units.
  is  a weighted average of the two units.

 Source:   Reference 7
The percentage of sources with total  hydrocarbon concentrations  >10,000 ppmv

-------
                                     Table C-ll.  SCREENING DATA FOR ETHYLENE UNITS*
Action Level: >10,000 ppmv
Distance from Source:  Unspecified
Instrument:  OVA-108 or OVA-128

Source

Flanges
Process
Drains

o
^ Open- Ended
1-1 Valves

Safety/Relief
Valves

Pipeline
Valves

Pumps
Compressors
a
i
Service

Gas
Liquid

Gas
Liquid

Gas
Liquid
Gas
Liquid
Gas
Liquid
Liquid
Gas
~\ n f^± t*is4 SXM 4* ti i
Number of
Sources Screened

627
407

8
407

305
214
51
11
6294
4176
78
17
hA/tA a+hwlano imi+C Poi
Number of
Sources > 10, 000
ppmv
39
25

1
4

37
41
2
1
932
969
20
1
-rontano nf ^niirrp^ Wlt.h t.i
Percentage of
Sources Leaking
>1 0,000 ppmv
6.2
6.1

12.5
1.0

12.1
19.2
3.9
9.1
14.8
23.2
25.6
5.9
nt.al hvdrnrarhnn r.nncenl
95% Confidence
Interval

4.5-8.5
4.0-8.9

0.3-52.6
0.3-2.5

8.7-16.4
11.8-21.1
0.5-13.5
0.2-41.3
13.9-15.8
21.8-24.7
16.4-36.8
0.2-28.7
trations > 10. 000
  ppmv  is  a  weighted average of  the  three  units.
  Light liquid  service only.
 Source:   Reference 7

-------
               Table C-12.  SCREENING DATA FOR CYCLOHEXANE UNIT  AT  EXXON  CHEMICAL  COMPANY,  BAYTOWN,  TEXAS
Action Level:  Unspecified

o
1
ro

Source
Valves
Gas
Liquid
Safety/Relief
Valves
Pumps
Liquid
Compressors
Number of
Screened Sources
136
100
15
8
NA
Percentage of
Sources Leaking
32
15
87
83
100
Emission Factor
(kg/hr)
0.017.
0.008°
0.064
0.255
0.264
99.8% Confidence
Interval (kg/hr)
0.008-0.035.
0.003-0.007
0.013-0.500
0.082-0.818
0.068-1.045
 aSource  handles  light  liquid only, cyclohexane unit does not handle heavy streams.  Total vapor pressure is 3 psia or
  higher.
 bNote  that  the mean  emission factor does not fall within the 99.8 percent confidence interval.  This discrepancy existed
  in  the  Exxon report (reference  8).
 Source:   Reference  8

-------
also measured  and  recorded.   Walkthrough  surveys  were conducted,  but due
to high  background  readings,  the  results  for the  BTX  unit  could not
easily be evaluated.   Individual  component  surveys  were  conducted at
5 cm from the  potential  leak  source.   Previous  studies have  indicated
that a concentration of  1,000 ppmv  at  5 cm  is approximately  equivalent
to a concentration  of  10,000  ppmv at 0 cm.    For the BTX  unit, 6 percent
of the 122 components  surveyed were found leaking at  greater than 1,000 ppm
VOC emission concentration.
C.2.9  Benzene-producing Unit at  the Amoco  Texas  Refining  Company,
       Texas City,  Texas
     Leaks were measured form seals, valves, control  valves,  and  drains
of the aromatics extraction (BTX) unit at the Amoco Refining  Company,
Texas City, Texas.  A  portable hydrocarbon  analyzer was  used  to determine
the localized  VOC concentration near individual  sources  and  the ambient
VOC levels in  the unit processing areas.  Individual  component  surveys
were conducted at 5 cm from the potential  leak  source.   Previous  studies
have indicated that a  concentration of 1,000 ppm  at 5 cm is approxi-
mately equivalent to a concentration of 10,000  ppm at 0 cm.     Of all
the equipment  tested in the unit, 4.2 percent of  the  total valves and
15 percent of the pump seals were found to  have concentrations  greater
than 1,000 ppm at 5 cm.
                                    C-23

-------
C.3  REFERENCES

1.   Memorandum from B.A.  Tichenor, CPB/ESED/OAQPS/EPA, to K.C. Hustvedt,
     CPB/ESED/OAQPS/EPA, dated October 27, 1980.  SOCMI Fugitive Emission
     Sampling by Monsanto Research Corporation - Final Report.

2.   U. S. Environmental Protection Agency.  Air Pollution Emission
     Test, Petroleum Refinery Fugitive Emissions, Phillips Petroleum
     Company, Sweeny, Texas, December, 1979.  EMB Report 78-OCM-12E.
     Office of Air and Waste Management, Office of Air Quality Planning
     and Standards, Research Triangle Park, North Carolina.

3.   Equipment Summary from Phillips Petroleum Company, Sweeny, Texas.
     March 14, 1979.

4.   Valve Repair Summary and Memo from R.M. Thompson, Shell Oil Company,
     Maritnez Manufacturing Complex, Martinez, California, to Milton
     Feldstein, Bay Area Quality Management District. April 26, 1979.

5.   Valve Repair Summary and Memo from F.R. Bottom!ey, Union Oil Company,
     Rodeo, California, to Milton Feldstein, Bay Area Quality Management
     District.  April 10, 1979.

6.   Hustvedt, K.C.  Trip report to J.F. Durham, Chief, Petroleum Section,
     U.S. Environmental Protection Agency.  January S, 1979 (Plants  E
     and F).

7.   Blacksmith, J.R., Harris, G.E., and Langley, G.J.  Frequency of
     Leak Occurrence for Fittings in Synthetic Organic Chemical Plant
     Process Units.  Final Report.  Radian  Corporation, Austin, Texas.
     For U.S.  Environmental Protection Agency,  Industrial  and  Environmental
     Research  Laboratory, Research Triangle Park, North Carolina.
     September 1980.

8.   Letter from Cox, J.B., Exxon Chemical  Company, to Walsh,  R.T.,  EPA,
     CPB.  March 21, 1979.  Fugitive emissions  from cyclohexane unit.

9.   Kelly, W. and  K.C. Hustvedt.   Emission Test Report, Miscellaneous
     Refinery  Equipment VOC Sources at Refinery  "E",  Gulf  Coast,  United
     States.   December, 1979.  EMB  Report  78-OCM-12F.  Emission Standards
     and  Engineering Division, Office of Air Quality  Planning  and  Standards,
     U.S. Environmental Protection Agency,  Research Triangle  Park,  North
     Carolina.

10.  Hustvedt, K.C., R.A. Quaney, and VI.E.  Kelly.   Control  of  Volatile
     Organic Compound Leaks from  Petroleum Refinery Equipment.  U.S.
     Environmental  Protection Agency.  Research  Triangle Park,  North
     Carolina.  Report  Number EPA 450/2-78-036,  June  1978.  72 p.

11.  Memorandum from K.C. Hustvedt, EPA/CPB, to  File  1.2.3.7.
     November  12,  1980.  Screening  Data Summaries for Testing  at  Amoco,
     Texas City, Texas  (October  1977).

                                    C-24

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       APPENDIX D
  EMISSION MEASUREMENT
AND CONTINUOUS MONITORING
           D-l

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       APPENDIX D ~ EMISSION MEASUREMENT AND CONTINUOUS MONITORING

D.I  EMISSION MEASUREMENT METHODS
     To develop data in support of standards for the control of fugitive
emissions, EPA conducted leak surveys at six petroleum refineries and
three organic chemical  manufacturing plants.  The resulting leak
determination procedures contained in Reference Method 21 were developed
during the course of this test program.
     Prior to the first test, available methods for measurement of
fugitive leaks were reviewed, with emphasis on methods that would provide
data on emission rates from each source.  To measure emission  rates,
each individual  piece of equipment must be  enclosed in a  temporary  cover
for emission containment.   After containment, the leak rate can be
determined using concentration change and flow measurements.   This
                                            IP
procedure has  been  used  in  several studies,  *  and  has been demonstrated
to be  a feasible method  for research purposes.   It  was not  selected for
this study because  direct measurement of emission rates  from  leaks  is a
time-consuming and  expensive  procedure, and is not  feasible or practical
for  routine  testing.
     Procedures  that yield  qualitative  or semi-quantitative  indications
of leak rates  were  then  reviewed.   There are  essentially two  alternatives:
leak detection by  spraying  each  component leak  source  with  a  soap solution
and  observing  whether  or not bubbles were formed;  and,  the  use of a
portable  analyzer  to  survey for  the  presence  of  increased organic compound
concentration  in the  vicinity of a leak source.   Visual, audible, or
olefactory  inspections are  too subjective  to be  used  as  indicators of
 leakage  in  these applications.  The use of  a portable  analyzer was
 selected  as  a  basis for the method because  it would have been difficult
 to establish a leak definition based on bubble formation rates.  Also,
 the  temperature  of the component, physical  configuration, and relative
 movement of parts often interfere with bubble formation.
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     Once the basic detection principle was selected, it was then
necessary to define the procedures for use of the portable analyzer.
Prior to performance of the first field test, a procedure was  reported
that conducted surveys at a distance of 5 cm from the components.   This
information was used to formulate the test plan for  initial  testing.
In addition, measurements were made at distances of  25  cm and  40 cm on
three perpendicular lines around  individual sources.  Of the three
distances,  the most repeatable indicator  of the presence of  a  leak  was  a
measurement at 5 cm, with a  leak  definition concentration of 100 or
1000 ppmv.   The localized meteorological  conditions  affected dispersion
significantly at greater  distances.   Also,  it  was  more  difficult to
define  a  leak at greater  distances  because  of  the  small changes from
ambient concentrations observed.   Surveys were conducted  at 5 cm from
the  source  during  the  next  three  facility tests.
      The procedure was distributed for comment in  a draft control
 techniques  guideline  document.5   Many commentors  felt that a measurement
 distance of 5 cm  could not be accurately repeated  during screening
 tests.   Since the concentration  profile is rapidly changing between 0
 and about  10 cm from the source,  a small variance from 5 cm could
 significantly affect the concentration measurement.  In response to
 these comments, the procedures were changed so that measurements were
 made at the surface of the interface, or essentially 0 cm.  This change
 required that the leak definition level  be increased.  Additional
 testing at two refineries and three chemical  plants was performed  by
 measuring  volatile organic  concentrations at  the  interface  surface.
      A complication that this change  introduces is  that a  small mass
 emission rate leak ("pin-hole leak")  can be totally captured  by the
 instrument and a  high concentration  result will be  obtained.   This
 has  occurred occasionally  in EPA tests,  and  a solution to  this problem
 has  not  been found.
       The calibration  basis  for  the analyzer  was  evaluated.  It was
  recognized that  there are  a number of potential  vapor stream components
  and compositions  that can  be expected.   Since all analyzer types do not
                                   D-3

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respond equally to different compounds, it was necessary to establish a
reference calibration material.  Based on the expected compounds and the
limited information available on instrument response factors, hexane was
chosen as the reference calibration gas for EPA test programs.  At the
5 cm measurement distance, calibrations were conducted at approximately
100 or 1000 ppmv levels.  After the measurement distance was changed,
calibrations at 10,000 ppmv levels were required.  Commentors pointed
out that hexane standards at this concentration were not readily avail-
able commercially.  Consequently, modifications were incorporated to
allow alternate standard preparation procedures or alternate calibration
gases in the test method recommended in the Control Techniques  Guideline
Document for Petroleum Refinery Fugitive  Emissions.  Since  that time,
additional  studies have begun  to develop  response factor data for two
instrument  types.  Based on preliminary results, it appears that methane
is  a more representative reference calibration material at  10,000 ppmv
levels.  Based  on this conclusion, and the  fact  that methane standards
are readily available  at the necessary calibration  concentrations,  the
recommended calibration material for  this regulation was changed to
methane.
      The alternative  of  specifying a  different calibration  material  for
each  type stream  and  normalization factors  for each instrument  type was
not intensively investigated.   There  are  at least  four instrument  types
available that might be  used  in this  procedure,  and there  are a large
number of potential  stream compositions  possible.   The amount of prior
 knowledge necessary  to develop and  subsequently  use such  factors would
make  the interpretation  of results  prohibitively complicated.  Based on
 EPA test results, the number of concentration measurements in the range
 where a variability  of two or three  would change the decision as to
 whether or  not a leak exists is small  in comparison to the total number
 of potential leak soirees.
      An alternative  approach to leak detection was evaluated by EPA
 during field testing.  The approach used was an area survey, or walkthrough,
 using a portable analyzer.  The unit area was surveyed by  walking through
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the unit positioning the instrument probe within 1 meter of all valves
and pumps.  The concentration readings were recorded on a portable strip
chart recorder.  After completion of the walkthrough, the local wind
conditions were used with the chart data to locate the approximate
source of any increased ambient concentrations.  This procedure was
found to yield mixed results.  In some cases, the majority  of  leaks
located by individual component testing  could be located by walkthrough
surveys.  In other  tests, prevailing dispersion conditions  and local
elevated  ambient concentrations complicated or  prevented the  interpre-
tation of the  results.  Additionally,  it was  not possible  to  develop  a
general criteria specifying  how much  of  an  ambient  increase at a  distance
of 1  meter is  indicative  of  a 10,000  ppm concentration  at  the leak
source.   Because of the  potential  variability in  results  from site to
site, routine  walkthrough surveys  were not selected as  a  reference or
alternate test procedure.
D.2  CONTINUOUS MONITORING SYSTEMS AND DEVICES
      Since the leak determination procedure is not a typical emission
measurement  technique,  there are no continuous monitoring  approaches
 that are directly applicable.  Continual surveillance is achieved by
 repeated monitoring or screening of all affected potential leak  sources.
 A continuous monitoring system or device could serve as an indicator
 that a leak has developed between inspection intervals.   EPA  performed a
 limited evaluation of fixed-point monitoring systems for  their effective-
 ness in leak detection.  The systems  consisted of  both remote sensing
 devices with  a central readout and a  central analyzer  system  (gas
 chromatograph) with remotely collected  samples.  The results  of  these
 tests  indicated that fixed  point  systems  were  not  capable of  sensing all
 leaks that  were found by individual  component  testing.   This  is  to  be
 expected  since these systems are  significantly affected  by local dispersion
 conditions  and would require either  many  individual  point locations, or
 very low detection sensitivities  in  order to achieve similar results to
 those obtained using  an  individual  component survey.
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     It is recommended that fixed-point monitoring systems not be
required since general specifications cannot be formulated to assure
equivalent results, and each installation would have to be evaluated
individually.
D.3  PERFORMANCE TEST METHOD
     The recommended benzene fugitive emission detection procedure  is
Reference Method 21.  This method incorporates the use of a portable
analyzer to detect the presence of volatile organic vapors at the
surface of the interface where direct leakage to  atmosphere could  occur.
The approach of this  technique assumes  that if an organic leak  exists,
there will be an increased vapor concentration in the  vicinity  of  the
leak, and that the measured  concentration  is  generally proportional to
the mass  emission  rate of  the organic compound.
     An additional procedure provided  in  Reference Method 21  is for the
determination of "no  detectable emissions."   The  portable VOC analyzer
is  used to determine  the  local ambient  VOC concentration  in  the vicinity
of  the  source to be  evaluated, and  then a measurement  is  made at the
surface of the  potential  leak  interface.   If  a  concentration  change of
less than 2  percent  of the leak definition is observed,  then  a "no
detectable emissions" condition exists.  The  definition  of  2  percent of
the leak  definition  was  selected  based on the readability of  a meter
scale  graduated  in 2 percent increments from  0 to 100 percent of scale,
and not necessarily on the performance of emission sources.  "No
detectable emissions" would exist when the observed concentration  change
 between local  ambient and leak interface surface measurements is less
 than 200 ppmv.
      The test procedure does not detect benzene  specifically;  instead,
 the volatile organic compound concentration is measured.  There is
 commercially available one  type of portable analyzer  that has  the  capa-
 bility of measuring benzene by chromatographic techniques.  However, the
 addition of the requirement that benzene  be measured  specifically  would
 require more time and more  extensive testing support.  Measurement of
                                   D-6

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benzene would not yield additional information since the affected
facilities are those in which benzene is transported and a measure  of
organic vapor leakage is indicative of a benzene  leak.
     Reference Method 21 does not include a specification of  the
instrument calibration basis or a definition  of a leak  in terms of
concentration.  Based on the results  of  EPA field tests and  laboratory
studies, methane  is  recommended as the reference  calibration  basis  for
benzene fugitive  emission  sources in  the refining and  organic chemical
manufacturing  industries.
     There  are  at least  four types of detection  principles  currently
available  in  commercial  portable  instruments.  These are flame ionization,
catalytic  oxidation, infrared  absorption (NDIR),  and photoionization.
Two types  (flame  ionization and catalytic oxidation) are known to be
available  in  factory mutual certified versions for use in hazardous
atmospheres.
      The  recommended test procedure includes a set of design and
 operating specifications and evaluation procedures by which an analyzer's
 performance can be evaluated.   These parameters  were selected based on
 the allowable tolerances for data collection, and not  on EPA  evaluations
 of the performance of individual instruments.  Based&on manufacturers'
 literature specifications  and reported  test  results,   commercially
 available analyzers can meet these requirements.
       The estimated  purchase cost for an analyzer ranges  from about
 $1,000 to $5,000 depending on  the type  and  optional  equipment.   The cost
 of an annual monitoring program  per  unit,  including semiannual  instrument
 tests and  reporting is  estimated to  be  from  $3,000  to $4,500.  This
 estimate  is  based on  EPA  contractor  costs  experienced during previous
 test  programs.   Performance of monitoring  by plant  personnel may result
  in lower  costs.   The  above estimates do not include any costs associated
 with  leak repair after detection.
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D.4  REFERENCES

1    Joint District, Federal, and State Project for the Evaluation
     of Refinery Emissions.  Los Angeles County Air Pollution Control
     District, Nine Reports.  1957-1958.

2    Wetherold, R. and L. Provost.  Emission Factors and  Frequency
     of Leak Occurrence for Fittings in Refinery Process  Units.
     Radian Corporation.  Austin, TX.   For U.S. Environmental Protection
     Agency.  Research Triangle Park, NC.  Report Number  EPA-600/2-79-044.
     February 1979.

3.   Telecon.  Harrison, P.,  Meteorology  Research,  Inc.  with Hustvedt,
     K.C.,  EPA, CPB.  December 22, 1977.

4    Miscellaneous  Refinery  Equipment VOC  Sources  at ARCO,  Watson
     Refinery, and  Newhall  Refining Company.   U.S.  Environmental
     Protection Agency,  Emission  Standards  and Engineering  Division.
     Research  Triangle Park,  NC.   EMB  Report Number 77-CAT-6.
     December  1979.

 5.   Hustvedt,  K.C.,  R.A.  Quaney, and  W.E.  Kelly.   Control  of Volatile
     Organic  Compound Leaks from Petroleum Refinery Equipment.   U.S.
      Environmental  Protection Agency.   Research Triangle Park,  NC.
      QAQPS Guideline Series.  Report Number EPA-450/2-78-036.  June 1978.

 6    Letter from McClure,  H.H., Texas Chemical Council,  to Barber, VI.,
      EPA, OAQPS.   June 30, 1980.
                                   D-8

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                            APPENDIX E
METHODOLOGY FOR ESTIMATING LEUKEMIA MORTALITY AND MAXIMUM LIFETIME
METHODOLOGY hOK "*^™       FUGmvE BENZENE EMISSIONS FROM


        PETROLEUM REFINERIES AND SYNTHETIC ORGANIC CHEMICAL

                        MANUFACTURING PLANTS

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                                APPENDIX E

    METHODOLOGY FOR ESTIMATING LEUKEMIA MORTALITY AND MAXIMUM LIFETIME

           RISK FROM EXPOSURE TO FUGITIVE BENZENE EMISSIONS FROM

            PETROLEUM REFINERIES AND SYNTHETIC ORGANIC CHEMICAL

                           MANUFACTURING PLANTS
E.I  INTRODUCTION
     The purpose of this appendix is to describe the methodology used in

estimating leukemia mortality and maximum lifetime risk attributable to

population exposure to fugitive benzene emissions from petroleum refineries

and synthetic organic chemical manufacturing plants.  The appendix is

presented in three parts:
          Part E.2, Summary and Overview of Health Effects, summarizes and
          references reported health effects from benzene exposure.   The
          major reported health effect is leukemia.  Mortalities cited in
          the BID include only the -estimated leukemia deaths attributable
          to exposure to benzene emissions from existing petroleum refiner-
          ies and synthetic organic chemical plants although other, some-
          times fatal, effects are known to result from benzene exposure.

          Part E.3, Population Density Around Petroleum Refineries and
          Synthetic Organic Chemical Plants, describes -the method used to
          estimate the population at risk; i.e., persons residing within
          20 km of existing petroleum refineries and synthetic organic
          chemical plants.

          Part E.4, Population Exposures, Mortalities, and Risks, describes
          the methodology for estimating fugitive  benzene emissions from
          model plants,  calculating expected population exposures, and
          estimating number of leukemia deaths  and maximum risk of leukemia
          attributable to fugitive benzene emissions from 133 existing U.S.
          petroleum refineries and synthetic organic chemical plants.
   i
 E.2  SUMMARY AND  OVERVIEW OF  HEALTH EFFECTS
 E.2.1   Health Effects Associated with Benzene Exposure

     A  large number of occupational studies over the past  50 years have

 provided  evidence of  severe  health effects  in humans from  prolonged  inhala-
                                   E-l

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tion exposure to benzene.   Some 300 studies   of the health effects of
benzene have recently been reviewed and analyzed in terms  of application to
low-level ambient benzene exposures that might occur in a  population resid-
ing near a source of benzene emissions.
     The reviewers concluded that benzene exposure by inhalation is strongly
implicated in three pathological conditions  that may be of public health
concern at environmental exposure levels:
          Leukemia (a cancer of the blood-forming system),
          Cytopenia (decreased levels of one or more of the formed elements
          in the circulating blood), and
          Chromosomal aberrations.
     Leukemia is a neoplastic proliferation and accumulation of white blood
cells in blood and bone marrow.  The four main types are acute and chronic
myelogenous leukemia and acute and chronic lymphocytic leukemia.  The
causal relationship between benzene exposure and acute myelogenous leukemia
and its variants in humans appears established beyond reasonable doubt.
     The term "pancytopenia" refers to diminution of all formed elements of
the blood and includes  the individual cytopenias:  anemia,  leukopenia,
thrombocytopenia, and aplastic anemia.   In mild cases, symptoms of pancyto-
penia are such  nonspecific complaints as lassitude, dizziness, malaise, and
shortness of breath.  In severe cases, hemorrhage may be observed, and
death may occasionally  occur because of  hemorrhage or massive infection.
Patients with pancytopenia may  subsequently develop fatal,  acute  leukemia.
     Chromosomal aberrations include chromosome breakage and rearrangement
and the  presence of abnormal cells.  These aberrations may  continue  for
long periods in hematopoietic  and  lymphoid cells.  Ample evidence  exists
that benzene causes chromosomal aberrations in  somatic cells of animals and
                          p
humans exposed  to benzene.   The  health  significance of these aberrations
is  not fully understood.  However,  aberrant cells  have been observed in
individuals  exposed to  benzene who  have  later  developed leukemia.   Some
types  of chromosomal  aberrations  may be  heritable.  Quantitative  estimates
of  heritable genetic  damage due to  benzene cannot  be made  from  data  on  the
frequency of somatic  mutations, although this  damage may  be occurring at
concentrations  as  low as  1  ppm in  air.
                                  E-2

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     The review1 concluded that man may be the only species  yet observed to
be susceptible to benzene-induced leukemia.   Evidence for production of
leukemia in animals by benzene injection was considered nonconclusive.
Moreover, benzene exposure by oral  dosing, skin painting, or inhalation has
not been shown to produce leukemia or any other type of neoplastic diseases
in test animals, although other effects, including pancytopenia, have been
widely observed.
E.2.2  Benzene Exposure Limits
     It should be noted that where the health effects described above have
been associated with benzene exposure, the exposure has been at occupa-
tional levels.  That is, the benzene exposure levels associated with the
effects have been high (10 ppm up to hundreds of parts per million of
benzene, except  in a few cases of exposures to 2 to 3 ppm benzene) or they
have been  unknown.
     Benzene exposure was first  associated with health effects  in occupa-
tional  settings,  so initial  attempts to  limit benzene exposures were aimed
at occupational  exposures.   With recognition  of the toxic effects of ben-
zene and  its greatly expanded  use  after  1920, several occupational  exposure
limits  were established  in the United  States.3  These  limits,  originally  in
the  range  of  75 to 100 ppm,  were successively lowered  as  more  information
on benzene toxicity became kgown.
      For example,  the American Conference of  Governmental Industrial Hygien-
ists  (ACGIH)  recommended a benzene threshold  limit value of 100 ppm in
1946,  50 ppm  in 1947,  35 ppm in  1948,  25 ppm  in 1949,  and 10 ppm  in 1977.  '
The  National  Institute  for Occupational  Safety  and Health (NIOSH)  recommended^
an exposure  limit of  10  ppm  in 1974 and revised  it downward to 1  ppm in 1976.
The  current  Occupational Safety  and Health Administration (OSHA)  permissible
 exposure limit is 10  ppm6 (a lower limit of 1 ppm is currently in litigation*)
      Occupational exposure  limits  were initially  established to protect
 workers from adverse  changes in the blood and blood-forming tissues.   The

      *A benzene standard with a limit of 1 ppm was proposed by OSHA May 27,
 1977  (42 FR 27452) and promulgated February 10,  1978 (43 FR 5918).  This
 standard was struck down October 5, 1978, by the U.S.  Fifth Circuit Court
 of Appeals.   The U.S.  Department of Labor appealed the decision,  and the
 Supreme Court  agreed to hear arguments on the case^during its fall, 19/9,
 term.  No decision has been announced at this writing.
                                    E-3

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most recently recommended or pending limits of 1 ppm and 1.0 ppm are based
                                   5U
                                    ,4
                                                            c          7
on the conclusion that benzene is leukemogenic in man (NIOSH  and OSHA )  or
a suspected carcinogen in man (ACGIH ).
E.2.3  Health Effects at Environmental  Exposure Levels
     Little information is available on health effects of nonoccupational
exposures of the general populace to benzene.   Virtually all  of the studies
     1 2
cited '   were on the working population (mostly males) exposed to higher
than ambient benzene levels on a work cycle.   Applying these  studies to
chronic  (24 hours per day) low-level exposure to the general  population
(including infants, the ill, and the elderly) requires extrapolation.
     The recent analysis of benzene health effects  concluded that the
evidence of increased risk of leukemia in humans on exposure  to benzene for
various  time periods and concentrations was overwhelming but  that data were
not adequate for deriving a dose-response curve.
     However, EPA's Carcinogen Assessment Group (CAG), acknowledging the
absence  of a clear dose-response relationship, has estimated  the risk of
                                                                   2
leukemia in the general population from low-level  benzene exposure.   Data
from three epidemiological studies of leukemia in workers (mostly adult
white males) were used to estimate the risk of developing leukemia.  The
annual risk factor derived for benzene-induced leukemia was 0.34 deaths per
year per 10  ppb-person years of exposure.
     A no-threshold linear model was used to extrapolate this estimated
risk to  the low levels (below 5 to 10 ppb) to which some populations may be
exposed.  For example, if 3 million persons are chronically exposed to I
ppb benzene, the model predicts there will  be 1.02 leukemia deaths (3 x
0.34) per year in that population.  Use of a "linear" model means that the
model would predict the same number of leukemia deaths among  3 million
people exposed to 1 ppb benzene as among 1 million people exposed to 3 ppb.
     The risks factor (0.34 deaths per year per 10  ppb-person years) was
used in  estimating the number of leukemia deaths attributable to benzene
emissions from petroleum refineries and synthetic organic chemical plants.
Other effects of benzene exposure (including deaths from causes other than
leukemia) were not included in the estimated number of deaths.   The risk
factor equated one leukemia case to one death (that is, each  case was
presumed fatal).
                                  E-4

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     Several  sources of uncertainty exist in applying the risk factor.
First,  the retrospective occupational exposure estimates may be inaccurate.
CAG calculated the 95-percent confidence intervals for this risk factor to
be 0.17 to 0.66 deaths per 106 ppb-person years if exposure estimates in
the three studies extrapolated are precisely correct, and 0.13 to 0.90 if
exposure estimates are off by a factor of 2.  Second, the composition of
the exposed populations around petroleum refineries and synthetic organic
chemical plants may vary from that of the populations used as a basis for
the CAG estimate; the risk factor assumes that the susceptibility to leuke-
mia associated with a cohort of white male workers is the same as that
associated with the general population, which includes women, children, the
aged,  nonwhites, and the ill.  Third, the true dose-response relationship
for benzene exposure may not be a linear no-threshold relationship at the
low concentrations  to which the general population may be exposed..   Fourth,
the risk  factor includes only leukemia deaths and not other health risks.
No quantitative estimate of the uncertainty  in the risk  factor due to the
latter three  factors  has been attempted.
E.3  POPULATION DENSITY AROUND  PETROLEUM REFINERIES  AND  SYNTHETIC ORGANIC
     CHEMICAL PLANTS
     The  population "at  risk" to  benzene exposure was considered to  be
persons residing  within  20 km of  petroleum  refineries and synthetic  organic
chemical  plants.   Populations residing within radial  distances  of  1, 5,  10,
and  20 km from each plant  were  estimated from an existing population file.
This  file consists of a grid of 1-km2 cells covering the continental United
 States, each with an assigned population.   The population assigned to each
 cell  was the 1975 estimated population,  extrapolated from the 1960 and 1970
 populations of the census  enumeration district in which each cell  occurs,
 assuming that the population is uniformly distributed within each  of the
 256,000 census enumeration districts.  The population around each  plant was
 determined by summing the populations of all cells occurring in annular
 areas at radial distances from the plant center of 0.5 to 1 km, 1 to 5 km,
 5 to  10  km, and 10 to 20  km.  The estimated total populations exposed as a
 function of distance from the plant  site are reported in Reference  8, Table
 A-5.
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     There are some uncertainties in the above method.  First, the assump-
tion of uniform population distribution, both within enumeration districts
and annular areas, may not be precisely correct.  For urban areas the
assumption is probably reasonably valid, but there is some uncertainty  for
rural areas 10 to 20 km from the site.   Another area of uncertainty is  the
use of 1960 and 1970 population data.  However, these are the  latest avail-
able in the form required.  No attempt, was made to quantify the range of
variability in the population figures.
E.4  POPULATION EXPOSURES, MORTALITIES, AND RISKS
E.4.1  Summary of Methodology for Calculating Deaths
     The locations and descriptions of all 133 known U.S.  benzene-using and
                                       Q
benzene-producing plants were compiled.   From these data, a basic "model"
plant was developed.  The model plant was assumed to be an intermediate-size
processing complex along the Texas-Louisiana Gulf Coast, with  20 benzene-
emitting units placed at various plant locations.     Fugitive  benzene
emission rates from equipment leaks at these sources were estimated from
data available at the time this analysis was performed.
     The omnidirectional and maximum annual average benzene concentrations
in ambient air resulting from each benzene-emitting process were determined
to a distance of 20 km outsi.de the model plant boundary, according to the
Industrial Source Complex (ISC) dispersion model,  urban mode I.10  Omni-
directional annual average benzene concentrations  are averages for all
directions from the source.   They take into account changes in wind direc-
tion throughout the year and so are lower than maximum annual  averages,
which are the concentrations downwind from the plant in the prevailing  wind
direction.
     Houston meteorological  data for the 1973-1975 period were used in  the
dispersion model.   This period was considered representative of poor disper-
sion conditions in the area, in order to develop a potential  worst-case
situation.
     Ambient air benzene concentrations were estimated originally based on
available data for benzene emission rates from petroleum refineries.   These
concentrations were proportioned with recently developed data on benzene
                                                                     Q
emission rates from refineries and synthetic organic chemical  plants.
                                  E-6

-------
     Several  variations of the original  model  plant were  developed on the
basis of different combinations of units currently operating in the 133 exist-
ing plants.   Ambient air benzene concentrations  at several  distances from
each model  plant were determined by summing the  benzene concentrations (at
each distance) contributed by all the processes  incorporated into each
particular model variation.8'9  The result was a range of 56 models, each
of which closely resembled an existing plant.   Each model was then matched
with an appropriate plant, on the basis of unit operations.
     The population around each actual plant location was then correlated
with its modeled benzene concentrations to yield a benzene dose to that
population in ppb-person years.  The methods for determining populations
are described in Part  E.3 of this appendix.
     From health effects data,  the EPA Carcinogen Assessment Group  derived
a  leukemia risk estimate of 0.34 deaths per year per 106 ppb-person years
from exposure to benzene.  The  methodology for estimating the  leukemia risk
factor  is described  in Part E.2.3 of this appendix.
     The leukemia  deaths per year attributable to  exposure  to  fugitive ben-
zene emissions  from  petroleum  refineries  and  synthetic organic chemical
manufacturing plants were estimated  by  multiplying  0.34  x 10   deaths  per
year per ppb-person  year  exposure  times the exposure  in  "ppb-person years,"
as described in  Part E.4.2. ,The leukemia deaths  so calculated are  summar-
ized in Table E-l  for  each plant, with  a  total  for all plants  of 0.42
deaths  per year.
E.4.2   Estimates  of Leukemia  Deaths
     The  general  equation for estimating  the  number of leukemia  deaths
 attributable to fugitive  benzene emissions from a particular plant (e.g.,
Plant X) is:8

   D  =                                        b+2 -   b+2
    x
        i = 0.5-1.0
                     (RX1/3.2) (2)(n)(p,)(a)(D.b+2 - D.b+2)/(b+2) ,      (1)
                                        '21
 in which
               D  = estimated number of leukemia deaths per year from fugi-
                x   tive benzene emissions from the plant (e.g., Plant X).
                                   E-7

-------
               R = the  risk  factor  (0.34 deaths per year per 10   ppb-person
                  years).

              p. = density of  population at  risk,  in  area  (i)  around  Plant
               1   X.

     D.   and  D.  = distances from plant to outer  edge (D.  ) and  inner
      i2       il                                         i2
                  edge (D.  )  of area  i (e.g., for the area 5-10 km from
                          h
                  the  plant,  D.  = 10 km and D.   = 5 km).
                               i2              T!
         (1/3.2) = factor converting ug/m3 to ppb, the units  in  which R
                  is  expressed.

         a and b = values describing the dispersion pattern of benzene in.
                  air around  Plant X, according  to the equation Bj = a D-,
                  in  which  B. is  the  benzene concentration at distance D^
                  from the  plant.   Values  of a  and b are  unique to  each
                  annular area i  around each model plant.

               i = the particular  area in which  p. occurs  (i  progresses
                  from the  area 0.5 to 1.0  km from the plant to the  area
                  10  to 20  km from the plant).

               I = summation of deaths per year  from  all areas (i).

     This equation  is  a mathematically rigorous  method for estimating the

exposure to the population within  any  area  between  i-, and  ip km from the
plant, taking into  account that with constant population density (p.) more

people reside near the outer edge  of the  area than near the  inner edge, and
that the benzene concentration (B^) decreases with distance  from the  plant.
The equation is derived in Reference 8.
     Values of a and b were calculated for  each  annular area  for each model
plant as follows:
                                ln(B. /B. )
                              -      2  nl   .                           (2)
                                ln(Di /Di )



                              a = B, /(D, )b ,                           (3)
in which Bi-, is the benzene concentration at the inner edge of area i
                   n         B
(i.e., at distance  i-i), and  i'2 is the benzene concentration at the outer
                                  E-8

-------
edge of area i (i.e., at distance Di2).   Bi values for each distance (D.)
from each model plant are listed in Reference 8.
     Population density (p.) for a particular annular area around a partic-
ular plant is obtained by dividing the total population in that area (P^
by the area in square kilometers; i.e.:
                                         2 - D      .                   (4)
     In summary, Pi values for each plant and annular area are listed in
Reference 8.  For each annular space around a particular plant,  12 and  ^
values are  taken from Reference 8.  BI values at all distances (D^ are
also taken  from Reference 8.  Values of b, a, and p. are calculated from
Equations 2, 3, and 4 for each annular area.  Then, with Equation 1, expo-
sures  in ug/m3-person years  are calculated for each annular area, divided
by  3.2 to convert pg/m3  to ppb, the units in which R is expressed, and
multiplied  by R to yield the number of deaths in each annular  area.  These
deaths are  summed to give Dv, the annual  leukemia deaths attributable to
                           /\
benzene  emissions from  Plant X.
     The total  estimated number of leukemia  deaths per year attributable to
benzene  emissions  from  all plants was  determined by the equation:
           Total  estimated  number  _
           of leukemia  deaths/yr  (Dt)   =  DI  + D£  +  .  .  . +  D133  .        W

      The total  numbers  of  estimated leukemia deaths  attributable to  fugitive
 benzene  emissions from petroleum  refineries and synthetic  organic chemical
 manufacturing plants are given  in the last column  of Table E-l on a  plant-
 by-plant basis, in deaths  per year, assuming current control  conditions for
 benzene emissions.   The number of deaths expected under each of the  control
 alternatives can also be derived with the same methodology.
 E.4.3  Example of Leukemia  Death Calculation
      Plant no.  4 was chosen for  an example calculation of the number of
 leukemia deaths attributable to  plant fugitive benzene emissions.  For a
 determination of the number of deaths according to Equation 1,  numerical
 values are needed for R, a, p.,  Di2, Di1} and b.  In turn, for  a determina-
 tion of p. from Equation 4, the  numerical value of PI must be known for
                                    E-9

-------
 each  annular  area.   For a determination of  b  and  a  from  Equation  2  and
                                B        B
 Equation  3, numerical values of  ip and  i'2  must be  known  for  each dis-
 tance.
      Calculations are shown in Table E-2.   The values  in  the  first  three
 lines of  Table  E-2 are common to all plants.  They  show  the distances at
 which concentrations and populations were measured  and the  risk factor  (R).
 Line  4 shows  the population (Pp in each annular  ring, obtained from
 Table A-5,  Reference 8, for Plant 4.
      Lines  5  and 6 show the benzene concentrations  at  various distances
 from  the  plant  for the applicable model.  Table A-l,  Reference  8, indicates
 that  Model  2  is used for Plant 4.  From Table A-2,  Reference  8, the benzene
 concentrations  at each distance are found for Model 2.
      Note that  concentrations for 1, 5, and 10 km apply  to  the  outer edge
 (  i2)  of  one  ring and the inner edge (Bi;L)  of the adjacent  ring.  Note  also
 that  the  concentrations at 0.1 km are not used in these  calculations.   The
 population within 1  km of a plant is assumed  to reside in the area  0.5  to
 1  km  from the plant.
      Lines  7  through 11 show the calculations.  These are shown below for
 the outer ring.  From Equation 4:

      P,- = PjE/TK0^  - °i2)] ~ 4,515,175/n(202 - 102) = 4,791  .

 From  Equation 2:

      b =  ln(Bi2/Bi1)/ln(Di2/Di1) = ln(0.0251/0.0695)/ln(20/10) = -1.469 .

 From  Equation 3:

     a =  Bi2/°i2b = 0.0251/C20)"1-469 = 2.048 .

All the values needed for using Equation 1 are now available, so:

Deaths for 10- to 20-km ring only = (R/3.2)2npia(Di^+2 - DiJ+2)/(b+2) ,

D10_20 =  (0.34 x 10~5/3.2)2n(4,791)(2.048X200'531 - 10°'531)/0.531  , and
                                  E-10

-------
D      = 0.0182 (0.018623 if decimals are retained during calculations)  .

     The same calculations are made for ranges 0.5 to 1 km,  l^to 5 km,  and
5 to 10 km.   The total annual leukemia deaths for the plant (Dx) are the
sum of the deaths for each ring; i.e.:

     Deaths for Plant 4 (U4) = K^^ + ^.5 + &5-10 + U10-20) '

     D. = 0.001391 + 0.010064 + 0.011609 + 0.018623  .

     D4 = 0.041687 deaths/yr  .

     Deaths attributable  to  fugitive  benzene  emissions from any of the 133
plants may be  calculated  in  the same  manner.
 E.4.4   Estimate  of Leukemia  Risk
     The  estimated leukemia  deaths  shown  in  Table  E-l  are based on estimates
 of  mean annual  average  benzene  concentrations around petroleum  refineries
 and synthetic  organic chemical  manufacturing plants.   Because atmospheric
 dispersion patterns  are not  uniform,  some population groups will  receive
 above-average  benzene exposures and will  therefore incur a  higher risk  (or
 probability)  of developing leukemia.
      Maximum annual  risk is  the estimated probability  to a  person,  who  is
 constantly exposed  to the highest maximum annual average benzene  concentra-
 tion in the  ambient  air around a  particular source for a year,  of develop-
 ing leukemia because of exposure  to benzene emissions  from that source.
 Maximum lifetime risk is estimated by multiplying the maximum annual risk
 by 70 years.
      The maximum lifetime risk of leukemia was calculated for this person,
 who is assumed to reside at the point of highest maximum annual average
 benzene concentration outside the model plant with  the greatest benzene
 emissions.  This was found  to be Model 14 (Table A-2, Reference 8), repre-
 senting a plant manufacturing  nitrobenzene  and  chlorobenzene.  Model 14 was
 matched to one  existing  plant-the Monsanto  facility  at Sauget,  Illinois.
 The maximum risk of  leukemia associated  with these  emissions is  calculated
 as follows.
       First, the fugitive benzene  emissions  from both  of these  units are
 determined'(Reference  9, Table 1-1):   15.79 kg/hr benzene  from the  nitro-
                                    E-ll

-------
benzene unit and 9.49 kg/hr from the chlorobenzene unit.   These units are
then assumed to be located in the positions occupied by the highest and
second highest benzene-emitting units in the model plant, in order to be
consistent with the original  model and so ensure a corresponding maximum
benzene concentration and location.    These are Groups 18-1, 2, and 3, and
17-1, 2, and 3 (Table 1, Reference 10), with 0.124 g/sec total fugitive
benzene emissions from Group 18 and 0.0858 g/sec from Group 17.
     The maximum annual average benzene concentrations associated with
fugitive emissions from Groups 18 and 17 are then taken from Table 3,
Reference 10.  For both groups, the highest maximum concentrations occur at
                                             _1     O
0.1 km outside the plant boundary:  8.74 x 10   ug/m  benzene due to emis-
                                  -1     3
sions from Group 18, and 9.46 x 10   ug/m  from Group 17.  These emissions,
however, are based on the basic model plant emission rates stated in the
preceding paragraph (0.124 and 0.0858 g/sec) and must be scaled up, propor-
tionately to reflect the benzene emission rates actually estimated for the
nitrobenzene and chlorobenzene units (15.79 and 9.49 kg/hr).  This process
is carried out as follows.
FOR NITROBENZENE
     Fugitive benzene emissions estimated
     from nitrobenzene unit (Reference 9,
     Table 1-1)
     Fugitive benzene emissions from
     Group 18 (from Table 1, Reference 10)
     Maximum annual average benzene
     concentration due to Group 18
     (from Table 3, Reference 10)
     Maximum annual average benzene
     concentration from nitrobenzene
     unit emissions in Location 18
FOR CHLOROBENZENE
     Fugitive benzene emissions estimated
     from chlorobenzene unit from  (from
     Table  1-1, Reference 9)
= 15.79 kg/hr (4.39 g/sec)
= 0.124 g/sec
  8.74 x lo'1 ug/m3
= (8.74 x 10"1)(4.39/0.124)
= 30.94 ug/m3
= 9.49 kg/hr (2.64 g/sec)
                                   E-12

-------
    Fugitive benzene emissions from
    Group 17 (from Table 1, Reference 10)      = 0.0858 a/sec

    Maximum annual average benzene
    concentration due to Group 17                         -1     3
    (from Table 3, Reference 10)               = 9-46 x 10   Mg/m

    Maximum annual average benzene



                                               = 29.11 ug/m3


    Summing maximum  concentrations  from  both processes gives:


    Maximum annual average benzene                           _          ,3
    concentration from  Model  plant  14          = 30.94+29.11 -  60.05 ug/m  .

    This figure is converted  from pg/m3  to  ppb by  dividing  by  3.2,  so

    Maximum annual average benzene
    concentration from  Model  plant  14          = 60.05/3.2  - 18.7  ppb.

    This figure,  18.7 ppb,  indicates that the  person most exposed  to

benzene from any of  the  133 plants resides 0.1  km  from the boundary of

Model  plant 14 and receives an exposure of 18.7 ppb continuously,  or for

1 person year  annually.   By applying the risk factor  of 0.34 x 10    deaths

per year per ppb-person year to this exposure,  the annual risk can be

calculated, viz:            *

     Maximum annual     = (Q 34 x 10"6 deaths per year/ppb-person year) x
     risk of leukemia    ^7 ppb-person years),  or
     Maximum annual    = 6 36
     risk  of leukemia
      Because  lifetime  risk  is  expressed  as  a probability  to one person of

 dying of  leukemia,  the units  have  been deleted  for  convenience.  Technically,

 the  number represents  deaths  per year for one person.   The  lifetime  risk of

 leukemia,  assuming  a 70-year  lifespan, is simply  70 times the  annual  risk,
 or:
      Maximum lifetime  = (6 36 x 10"5)(70) = 4.45 x 10"4.
      risk of leukemia
                                   E-13

-------
The risk associated with emissions from any specific plant or model plant
may be calculated in the same manner.
E.4.5  Validity of Estimates
     Several uncertainties exist in the estimated number of leukemia deaths
and the maximum leukemia risk.   Primary sources of uncertainty are in the:
          Risk factor (R),
          Populations at risk,
          Estimated benzene concentrations around plants, and
          Benzene exposure calculations.
     Uncertainties in the risk factor (R) are discussed in Part E.2.3, and
uncertainties in populations "at risk" (P.) are discussed in Part E.3.  The
other factors are discussed below.
     E.4.5.1  Estimated Benzene Concentrations.  The estimated benzene
concentrations are derived from several factors, as follows:
          Configuration of the model plant,
          Emission rates from the model plant, and
          Dispersion patterns of the emissions.
     Uncertainties associated with these factors could not be quantified,
but their qualitative effects on the estimated number of leukemia deaths
are discussed below.
     The configuration of the model plant assumes a petroleum refinery of
                  2
given area (2.5 km ), with equipment at specific locations and an effective
emission height for all fugitive emissions of 2.5 m.  Current fugitive
                                                      Q
emissions from existing plant processes were estimated  and uniform emission
rates assumed.  When the basic model plant was applied to existing plant
emissions, it was assumed that benzene concentrations in air varied in
direct proportion to plant emissions.
     Several sources of uncertainty occur in this model.   First, it is
unlikely that any plant duplicates the model plant precisely, so variation
in locations of units within plant boundaries may be expected.   Second, the
model used 1973-1975 weather data from Houston (a coastal city) to project
dispersion patterns for all existing plants, and did not take into account
the effects of terrain.  Thus,  when applied to hilly, inland areas, the
model may introduce inaccuracies.   Third, the model assumes there is no
                                  E-14

-------
loss of benzene from atmospheric reactions or ground level  absorption.   If
such losses occur,  the actual  concentration of benzene will be less than
the estimated values.   Fourth, the model  was originally developed for
refineries and has  been applied to synthetic organic chemical  manufacturing
facilities as well.
     A final source of uncertainty is that the model measures  benzene
dispersion only to 20 km.  If the linear risk model2 is accurate, exposures
at distances greater than 20  km, however small, may be important.  If such
exposures occur, the estimated number of deaths would be higher than esti-
mated here.
     It is estimated that benzene concentrations predicted by the disper-
sion model are accurate  to within a factor  of 2,10  barring large inaccur-
acies  in  estimated benzene emission rates.
     E.4.5.2   Benzene  Exposure  Calculations.  Benzene  exposure calculations
assume  that  persons at  specific  locations  are exposed  100  percent  of the
time to the  benzene concentrations estimated to occur  at each location.
The assumption of continuous  exposure to  residents  introduces some  uncer-
tainty, both in  estimated  number of  leukemia deaths and  in maximum leukemia
risk.   No numerical estimates of potential  variation are available.  Further-
more,  the maximum  lifetime  risk assumes  that a  particular  plant  operates  at
full  capacity for  70  years.  >
      There is a discrepancy between  the  methods  used to  measure  distance
from  the  plant for  benzene concentrations and for populations.   Benzene
concentrations are  measured from the plant boundary, and geographic rings
of population are  measured from the  plant center.   This  discrepancy intro-
 duces some imprecision in the "ppb-person years"  benzene exposure calculations
 used to estimate the number of leukemia deaths.   The maximum lifetime  risk
 estimate is not affected.
                                    E-15

-------
                    TABLE E-l   ESTIMATED LEUKEMIA DEATHS FROM FUGITIVE BENZENE EMISSIONS FROM
                     PETROLEUM REFINERIES AND SYNTHETIC ORGANIC CHEMICAL MANUFACTURING PLANTS
                                       UNDER CURRENT CONTROL CONDITIONS8
 I
t—'
cr>
Plant
code
no.
Region
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
Region
15.
16.
17.
18.
Company (by region)
II
American Cyanamid
DuPont
Reichhold
Standard Chlorine
Tenneco
Texaco
Allied Chemical9
Ashland Oil
ICC Industries
Commonwealth Oil
Phillips Puerto Rico
Puerto Rico Olefins
Union Carbide
Amerada Hess
III
Getty
Standard Chlorine
Sun-Olin
Continental Oil

State

NJ
NJ
NJ
NJ
NJ
NJ
NY
NY
NY
PR
PR
PR
PR
VI

DE
DE
DE
MD
Location
City

Boundbrook
Gibbstown
„ Elizabeth
Kearny
Fords
Westville
Solvay
North Tonawanda
Niagara Falls
Penuelas
Guyana
Penuelas
Penuelas
St. Croix

Delaware City
Delaware City
Claymont
Baltimore

County

Somerset
Glouchester
Union
Hudson
Middlesex
Glouchester
Onondaga
Niagara
Niagara
—
—
—
—
—

New Castle
New Castle
New Castle
Baltimore
Model
number

10
10
9
2
9
30
2
21
2
45
46
4
25
24

23
2
4
8
Leukemia
deaths per
year from
benzene,
exposure

0.009642
0.018525
0.004384
0.041687
0.001759
0.014268
0.002042
0.000130
0.004375
0.004001
0.004001
0.000575
0.004516
0.001568

0.001063
0.001999
0.001184
0.008464

-------
                                          TABLE  E-l  (continued)
Plant
code
no.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.
32.
33.
Region
34.
35.
36.
37.
38.
Company (by region)
Atlantic Richfield
Gulf Oil
Koppers
Koppers
Nease Chemical
Standard Oil
(Ohio)/BP Oil
Sun Oil
U.S. Steel
Allied Chemical
American Cyanamid
Ashland Oil
Mobay Chemical
PPG
PPG
Union Carbide
IV
Jim Walter Resources
Reichhold Chemicals
Ashland Oil
B. F. Goodrich
01 in Corporation

State
PA
PA
PA
PA
PA
PA
1
PA
PA
WV
WV
WV
WV
WV
WV
WV
AL
AL
KY
KY
KY
Location
City
Beaver Valley
Philadelphia
Bridgeville
Petrol i a
State College
Marcus Hook
»
Marcus Hook
Neville Island
Moundsville
Willow Island
Neal
New Marti nsvi lie
Natrium
New Martinsville
Institute
Birmingham
Tuscaloosa
Ashland
Calvert City
Brandenburg

County
Beaver
Philadelphia
Allegheny
Butler
Centre
Delaware
Delaware
Allegheny
Marshall
Pleasants
Wayne
Wetzel
Marshall
Wetzel
Kanawha
Jefferson
Tuscaloosa
Boyd
Marshall
Mead
Model
number
12
52
9
11
1
48
56
9
10
10
9
10
2
2
19
1
1
49
4
4
Leukemia
deaths per
year from
benzene.
exposure
0.000258
0.029612
0.001924
0.000050
0.000281
0.005566
0.006708
0.001681
0.002003
0.000916
0.000166
0.000671
0.000153
0.000375
0.001677
0.001945
0.000288
0.002214
0.000040
0.000049
See footnotes at end of table.
(continued)

-------
                                          TABLE E-l (continued)
Plant
code
no.
39.
40.
Region
41.
42.
43.
44.
7 45.
i—1
00
46.
47.
48.
49.
50.
51.
52.
53.
Region
54.
55.
Company (by region)
Chevron
First Chemical
V
Clark Oil
Core- Lube
Koppers
Monsanto
National Distiller
(U.S.I.)
Northern Petrochemicals
Reichhold Chemicals
Shell Oil
Standard Oil ,
(Indiana)/Amoco
Union Oil (California)
Dow Chemical
Dow Chemical
Sun Oil
VI
Vertac/Transvaal
Allied Chemical

State
MS
MS
IL
IL
IL
IL
IL
IL
IL
IL
IL
IL
MI
MI
OH
AR
LA
Location
City
Pascagoula
Pascagoula
Blue Island
Danville
Cicero
Sauget
Tuscola
Morris
Morris
Wood River
Joliet
Lemont
Bay City
Midland
Toledo
Jacksonville
Geismar

County
Jackson
Jackson
Cook
Vermilion
Cook
St. Clair
Douglas
Grundy
Grundy
Madison
Will
Cook
Bay
Midland
Lucas
Pulaski
Ascension
Model
number
21
10
3
1
9
14
4
4
9
21
9
23
26
13
56
2
4
Leukemia
deaths per
year from
benzene.
exposure
0.000690
0.002044
0.001235
0.000262
0.007317
0.037257
0.000033
0.000081
0.000076
0.001555
0.000367
0.002669
0.003289
0.002391
0.006263
0.000045
0.000090
See footnotes at end of table.
(continued)

-------
TABLE E-l (continued)
Plant
code
no. Company (by region)
56.
57.
58.
59.
60.
61.
62.
63.
64.
65.
66.
67.
68.
69.
70.
71.
72.
73.
See
American Hoechst
Cities Service
Continental Oil
Cos-Mar, Inc.
Dow Chemical
Exxon
Gulf Coast Olefins
Gulf Oil
Gulf Oil
Pennzoil United (Atlas
Processing)
Rubicon
Shell Oil
Tenneco
Union Carbide
Sun Oil
American Hoechst
American Petrofina of
Texas
American Petrofina
(Cosden Oil)
footnotes at end of table.

State
LA
LA
LA
LA
LA
LA
LA
LA
LA
LA
LA
LA
LA
LA
OK
TX
TX
TX

Location
City
Baton Rouge
Lake Charles
Lake Charles
Carrville
Plaquemine
»
Baton Rouge
Taft
Alliance
Donaldsonville
Shreveport
Geismar
Norco
Chalmette
Taft
Tulsa
Bayport
Port Arthur
Big Spring


County
East Baton
Rouge
Calcasieu
Calcasieu
Iberville
Iberville
East Baton
Rouge
St. Charles
Plaquemines
Ascension
Caddo
Ascension
St. Charles
St. Bernard
St. Charles
Tulsa
Harris
Jefferson
Howard

Model
number
20
42
4
20
5
40
4
48
20
23
10
4
33
26
54
c
22
53

Leukemia
deaths per
year from
benzene,
exposure
0.001632
0.000784
0.000166
0.000166
0.000008
0.006369
0.000088
0.000084
0.000179
0.003908
0.000772
0.000103
0.004497
0.000538
0.005978
0.000000
0.000616
0.001444
(continued)

-------
                                               TABLE E-l  (continued)
 I
ro
o
Plant
code
no.
74.
75.
76.
77.
78.
79.
80.
81.
82.
83.
84.
85.
86.
87.
88.
89.
90.
91.
Comp. ny (by region)
American Petrofina/
Union Oil of California
Amoco Chemicals1
Atlantic Richfield
Atlantic Richfield
(ARCO/Polymers)
Atlantic Richfield
(ARCO/Polymers)
Charter International
Coastal States Gas
Corp.;? Ihristi
Petrochemicals
Cosden Oil
Crnwn Central
DENKA (Petrotex)
Oow Chemical
Dow Chemical
DuPont
DuPont
Eastman Kodak
El Paso Natural Gas
El Paso Products/
Rexene Polyolefins

State
TX
TX
TX
TX
TX
TX
TX
TX
TX
TX
TX
TX
TX
TA
TX
TX
TX
TX
Location
City
Beaumont
Chocolate Bayou
Channel view
Houston
Port Arthur
Houston
Corpus Christi
Corpus Christi
Groves
Pasadena
Houston
Freeport
Orange
Beaumont
Orange
Longview
Odessa
Odessa

County
Jefferson
Brazoria
Harris
Harris
Jefferson
Harris
Nueces
Nueces
Jefferson
Harris
Harris
Brazoria
Orange
Jefferson
Orange
- Gregg
Ector
Ector
Modela
number
39
4
27
47
6
43
44
c
4
56
9
29
4
10
4
4
18
17
Leukemia
deaths per
year from
benzene.
exposure
0.002130
0.000026
0.003569
0.011300
0.000359
0.008574
0.000800
0.000000
0.000002
0.007757
0.001650
0.001087
0.000055
0.002980
0.000148
0.000168
0.001083
0.000587
      See footnotes at end of table.
(continued)

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TABLE E-l (continued)
Nant
dl I o
code
no.
92.
93.
94.
95.
96.
97.
98.
99.

100.

101.
102.
103.

104.
105.
106.
107.
108.
109.
110.
111.
See fo


Company (by region)
Exxon
Georgia-Pacific Corp.
Goodyear Tire and Rubber
Gulf Oil Chemicals
Gulf Oil Chemicals
Hercules
Howe 11
Independent Refining
Corp.
Kerr-McGee Corp.
(Southwestern)
Marathon Oil
Mobil Oil
Monsanto

Monsanto
Oxirane
Phillips Petroleum
Phillips Petroleum
Quintana-Howell
Shell Chemical
Shell Oil
Shell Oil
otnotes at end of table.


State
TX
TX
TX
TX
TX
TX
TX
TX

TX

TX
TX
TX

TX
TX
TX
TX
TX
TX
TX
TX


Location
City
Baytown
Houston
Bayport
Cedar Bayou
Port Arthur
McGregor
San Antonio
Winnie

Corpus Christi

Texas City
Beaumont
Alvin (Chocolate
Bayou)
Texas City
Channel view
Borger
Sweeny
Corpus Christi
Houston
Deer Park
Odessa

-

County
Harris
Harris
Harris
Brazoria
Jefferson
McLennan
Bexar
Chambers

Nueces

Galveston
Jefferson
Brazoria

Galveston
Harris
Hutchinson
Brazoria
Nueces
Harris
Harris
Ector


Model
i Q
number
32
3
7
5
36
c
23
23

21

35
55
15

28
6
16
38
48
4
31
56

Leukemia
deaths per
year from
benzene.
exposure
0.002130
0.000419
0.003867
0.000011
0.002375
0.000000
0.004469
0.000116

0.002053

0.002177
0.003353
0.000192

0.002497
0.000926
0.000868
0.000241
0.001794
0.000365
0.004345
0.001633
(continued)

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                                                 TABLE  E-l (continued)
 I
ro
ro
Plant
code
no.
112.
113.

114.
115.
116.
117.
118.
119.
120.
121.
Region
122.
123.
124.
Region
125.
126.
127.
128.


129.
Company (by region)
Standard Oil (Indiana)1
Standard Oil
(Indiana)/Amoco
Sun Oil
Texaco
Texaco/Jefferson Chemical
Texaco/Jefferson Chemical
Union Carbide
Union Carbide
Union Pacif ic/Champl in
USS Chemicals
VII
Chemplex
Getty Oil
Monsanto
IX
Atlantic Richfield
Chevron
Specialty Organics
Standard Oil of
California (Chevron
Chemical)
Union Carbide

State
TX
TX

TX
TX
TX
TX
TX
TX
TX
TX

10
KA
MO

CA
CA
CA
CA


CA
Location
City
Alvin
Texas City

Corpus Christi
Port Arthur
Bellaire
Port Neches
Seadrift
Texas City
Corpus Christi
Houston

Clinton
El Dorado
St. Louis

Wilmington
Richmond
Irwindale
El Segundo


Torrance

County
Brazoria
Galveston

Nueces
Jefferson
Harris
•Jefferson
Calhoun
Galveston
Nueces
Harris

Clinton
Butler
St. Louis

Los Angeles
Contra Costa
Los Angeles
Los Angeles


Los Angeles
Model
number3
5
34

51
37
4
4
18
4
50
4

4
35
9

41
23
2
35


4
Leukemia
deaths per
year from
benzene,
exposure
0.000036
0.003654

0.002155
0.003038
0.000165
0.000004
0.000046
0.000322
0.005486
0.000308

0.000068
0.000562
0.003600

0.015754
0.003862
0.011570
0.015163


0.002377

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                                               TABLE E-l (continued)
CO
— — -.. • • - '•-'• ' ' -^^
Plant
code
no. Company (by region)
130. Witco Chemical
131. Montrose Chemical
132. Stauffer Chemical
133. Phillips
	 — — — — — 	 —
Location
State city
CA Carson
NV Henderson
NV Henderson
TX Pasadena
Total deaths

County
Los Angeles
Clark
Clark
Harris

Leukemia
deaths per
year from
Model benzeneb
number exposure
8 0.003025
2 0.001527
1 0.000445
4 0.000070
— 	 	 • — j
0.420656
	 	 — 	 	 	 „
aModel used to estimate benzene concentrations around plant.
br  f-H nr. limit, of 95 oercent are obtained by multiplying and dividing figures shown by 2.64.  This
 resuH  in a 95-percent confiSence interval that assumes the estimated concentrations to which the
 workers were exposed, as discussed in the CAG report,2 are within a factor of 2.

cModels were not assigned to three plants still under construction.
                                        al places due to rounding.  Total deaths for some plants differ
                                         8, due to correction of a minor mathematical error.
       organic  chemical  manufacturing plants are not quantified.

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                                    TABLE E-l  (concluded)
fThis total  has been revised since  three of  the plants  in the table should be deleted (see footnotes
 g-i).  This revision represents  a  decrease  of 0.6 percent from the previous total of 0.4^09! deaths
 per year.

9Industry sources indicate that Allied  Chemical's (Solvay, N.Y.) chlorobenzene unit is no longer in
 operation.   Therefore, the plant should be  deleted  from the table.

Standard Oil of Indiana's maleic anhydride  unit at  Joliet, Illinois, should be deleted since it is
 using butane as a feedstock instead of benzene.
                                         i*
^he Amoco Chemical plant at Chocolate  Bayou, Texas, and Standard Oil of  Indiana  at Alvin, Texas
 (Plant No.  112) are the same plant (2  ethylene units).  Therefore, the Chocolate Bayou plant should
 be deleted fr^n the table.

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                            TABLE E-2.   EXAMPLE CALCULATION OF LEUKEMIA DEATHS, PLANT 4
                                                                                              Source of data
                GIVEN DATA
                                  D,
  1  Distance to outer  ring edge,  i2(km)

                                                 1            5           10            20        Refs.  8,  10

                                                 0.5           i             5            10        Refs.  8,  10
 £_l_/I^V*v^li%rf^-»"-— 	—      t~r   -r  -    ^                                                           /"
 3  R,  Hs. facto, (deaths/ppb-person »r>     0.34 x  ID"6   0.34 x  if6   0.34  x  10'    IK34 x  M    Ref  2
 4  PopuUtion in .nnul.r ring  (persons)         7,963       271,100     1,025,093     4,515,175   Ref.  8
   2  Distance  to  inner  ring  edge,   i-^km)
5  Benzene cone,  at outer ring edge,
   Bi2(ug/m3)
6  Benzene cone,  at inner ring edge,
                                                    24
                                                    45
                                                             0.189
                                                             1.24
                                                                            0.0695
                                                                            0.189
ro
en
              CALCULATIONS
              	            2
 1   Population density,  pi  (persons/km )

      Pi  = F
 8   b:   b = ln(Bi2/b11)/ln(ui2/lli1)
            B. //D. Ab
 9   a:   a =  !/>/( i2J

10   Deaths per year in each ring =
                                                  3,380
                                                             3,596
                                                                         4,351
                                                                                      0.0251    Ref. 8, Table A-2
                                                                                                for Model 2a
                                                                                      0.0695    Ref. 8, Table A-2
                                                                                                for Model 2a
                                                                                         4,791     Equation 4
                 BBDD
                                               -0.982       -1-169       -1-443        -1.469      Equation  2

                                                 1.240         1-240         1.929         2.048      Equation  3

                                               0.001393     0.010064    0.011609     0.018623   Equation  1
   11  Total  deaths  in all  rings  -
         D
                                                                    0.041687"
                                                                                                    lEquation 1
                                         n Tab!e
bThis total appears in Tab!e E-l of this appendix.
                                                                  8,  and in Table E-l of this
                                                      It a!so appears in Tab.e A-4, Reference 8, as 41,686.54

-------
E.5  REFERENCES

 1.   U.S.  Environmental  Protection Agency.   Assessment of Health Effects of
     Benzene Germane to  Low Level  Exposure.   EPA-600/1-78-061.  September
     1978.

 2.   U.S.  Environmental  Protection Agency.   Carcinogen Assessment Group
     (R.  Albert, Chairman).   Population Risk to Ambient Benzene Exposures.
     January 1980.

 3.   National Institute  for Occupational Safety and Health.  Criteria for a
     Recommended Standard—Occupational Exposure to Benzene.  HEW Publica-
     tion Number (NIOSH)74-137.   1974.

 4.   American Conference of Governmental Industrial Hygienists.  Threshold
     Limit Values for Chemical Substances and Physical Agents in the Work-
     room Environment with Intended Changes for 1977.   1977.

 5.   National Institute  for Occupational Safety and Health.  Revised Recom-
     mendation for an Occupational Exposure Standard for Benzene.  August
     1976.

 6.   Occupational Safety and Health Administration.  Occupational Safety
     and Health Standards, 29 CFR 1910.1000, Table 1-2.  Publication 2206.
     1976.

 7.   42 FR 27452.  May 27, 1977.

 8.   Suta, B. E.  Assessment of Human Exposures to Atmospheric Benzene from
     Petroleum Refineries and Synthetic Organic Chemical Manufacturing
     Plants.  SRI Internatiopal,  Center for Resource and Environmental
     Systems Studies Report No.  118.   February 1980.

 9.   Memorandum from Mclnnis, J.  R.,  Pacific Environmental Services, Inc.,
     to Warren, John L., Research Triangle Institute,  April 1, 1980,
     with "Summary of Methodology for Determining Ambient Benzene Concen-
     trations due to Benzene Fugitive Emissions."

10.   H. E.  Cramer Co., Inc.   Dispersion-Model Analysis of the Air Quality
     Impact of Benzene Emissions  from a Petroleum Refinery.  EPA Contract
     Number 68-02-2507.   October  1978.
                                  E-26

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APPENDIX F
    F-l

-------
           APPENDIX F -  ESTIMATES OF BENZENE EMISSIONS AND
             CONTROL COSTS OF PRODUCT ACCUMULATOR VESSELS

F.I  INTRODUCTION
     Product accumulator vessels were discussed in Chapter 3 as a
potential source of benzene fugitive emissions.  Controlling accumulator
vessels by routing the emissions to a closed-vent system was discussed
in Chapter 4.  No estimates of benzene emissions from or control costs
for accumulator vessels have been included  in  Chapters  7 and 8  because
of uncertainties in the number of uncontrolled vents  and lack of data
on benzene emission rates  from uncontrolled vents.
     The  purposes  of  this  analysis  are  (1)  to  estimate  the additional
benzene  emission and  control costs  of accumulator  vessels  and  (2)  to
describe  the effect  of  adding  these estimates  to  the  ones  from  all
other  sources.
F.2   ESTIMATE  OF BENZENE  EMISSIONS
F.2.1   Uncontrolled Estimates
      Benzene emissions  from accumulator vessels  can be estimated by a
method similar to  the one described in  Chapter 7.   The number of
accumulator vessels per model  unit  (containing greater t^in 10 percent
 benzene) was estimated  by examining flow diagrams and ,na .eriil  balances
 for various benzene processes.
      The uncontrolled VOC emission  factor  estimated for accumulator
 vessels is multiplied by the number of vessels in each model unit  and
 the weighted factor of percent benzene in  each model unit to obtain
 the uncontrolled benzene emission  rate.  Table F-l shows  the calculation
 of the uncontrolled emissions from accumulator vessels by model unit.
 F.2.2.  Controlled Estimates
       Assuming that 95 percent of accumulator  vessels  are  already
 controlled by a closed-vent system, the  controlled emission  rates for
  ,he baseline  alternative  (I)  are estimated by multiplying the  uncon-
 trolled  rates by  0.05  (1-0.95).  It is  not necessary to  estimate
 benzene  emissions  from  accumulator vessels for  Regulatory Alternatives III,
 IV,  and V,  since  100 percent  control efficiencies are already  specified
 for  each.   The  controlled emissions  for each  model  unit under  Regulatory
                                  F-2

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                          Table F-l.  CALCULATION OF UNCONTROLLED BENZENE
                          EMISSIONS FROM ACCUMULATOR VESSELS BY MODEL UNIT
Model
Unit
A '
B
C
Number of
Vessels Per
Unit
1
2
2
Uncontrolled
VOC Emission
x Factor9
(Kg VOC/hr)
1.23
1.23
1.23
Weighted
x Percent
Benzene15
0.63
0.55
* 0.75
Conversion
Factor
8.4
8.4
8.4
Uncontrolled
* Benzene Emission Rate
(Mg/yr)
6.5
11.4
15.5
'Source-  Brings, T. and V.P.  Patel.   Evaluation of Emissions  from Benzene-Related Petroleum Processing
 Source.  Briggs       PEDCo Environmental,  Inc. Cincinnati  OH   For U.S-Environmental  Protection
          Agency.  Research Triangle  Park,  N.C.  Report No.  EPA-450/3-79-022.   October 1978.


 Weighted average benzene concentration for the processes  represented by each model  unit.

-------
Alternative I are calculated to be 0.33 Mg/yr for Model Unit A, 0.57 Mg/yr
for Model Unit B, and 0.78 Mg/yr for Model Unit C.
F.2.3  Nationwide Estimates
     Nationwide benzene emissions from accumulator vessels are estimated
by multiplying the controlled emissions from each model unit by the
number of existing units operating in 1980.  The resulting nationwide
total under Regulatory Alternative I is presented in Table F-2.
     The national accumulator vessel emissions are then added  to  the
national baseline emissions from all other sources as  shown  in Table  7-9
to yield a combined emission estimate of  8,360 Mg/yr.  Adding  the
accumulator vessel emissions increases the nationwide  total  by less
than 2 percent.  Furthermore, the increase in excess incidence of
lukemia deaths for the baseline alternative would change  only  slightly
by adding accumulator vessel emissions.   The baseline  incidence  would
increase from 0.6300 deaths per year to 0.6384, a change  of  1.3  percent
per year, as shown in Table F-3.
F.3  CONTROL COST ESTIMATES
     Capital and annual costs were  calculated for accumulator  vent
systems  for each model unit as  presented  in Table F-4.  Nationwide costs
for  controlling  existing accumulator vessels, as  shown in Table  F-5,  are
based on the assumption that  5  percent of existing  accumulator vessels
are  uncontrolled and are tied  into  existing control  devices.
     When costs  for  controlling  accumulator vessels  are  added  to the
nationwide  costs for controlling  all other sources  (Chapter  8, Table 8-15),
the  total costs  increase only  slightly.   Table  F-6  presents  the  total
capital  and  (net) annualized  costs  for Regulatory Alternatives III
through  V after  accumulator vessel  costs  are  added.
                                 F-4

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Table F-2.  NATIONAL BENZENE EMISSIONS FROM
       ACCUMULATOR VESSELS IN 1980 FOR
          REGULATORY ALTERNATIVE I
Model
Units
A
B
C
Benzene
Emissions
Per Unit
(Mg/yr)
0.33
• 0.57
0.78
Number of Units
Expected in Operation
(1980)
145
72
24
Total Benzene
Emissions
Per Unit
(Mg/yr)
47.9
41.0
.18.7
                                 Nationwide
                                    Total     =    107.6
                      F-5

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                Table F-3.  EFFECT OF ADDING ACCUMULATOR
                     VESSEL  EMISSIONS ON BASELINE RISK
                               Nationwide Benzene
                                 Emission Total
                                    (Mg/yr)
                                            Excess  Incidence of
                                              Leukemia  Deaths
                                                (deaths/yr)
Other Sources (exluding
Accumulator Vessels)
Other Sources
Vessels
-i- Accumulator
                       8250
8360
                                                               0.6300
                                                               0.6384
    aRisk for "Other Sources" represents a mid-range of excess incidence
     of leukemia for the baseline regulatory alternative.


    Calculated by multiplying 8360 by 0.63.
                               8250
                                     F-6

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           Table F-4.  CAPITAL AND ANNUALIZED
      COSTS FOR VENT SYSTEMS FOR ACCUMULATOR VESSELS
                       BY MODEL UNIT
Model Unit3 Capital Cost, $
A 2700
B 5400
C 5400
Annual i zed Cost, $
675
1350
1350
aModel A has 1  accumulator vessel  per unit,  and  Model  Units  B  and  C
 have 2 vessels each.


bCapital cost is based on 61  meters of 5.1  cm carbon steel  pipe,
 $2700 installed per vent.
                      t
cAnnualized cost based on a 10-year expected life and 10 percent
 interest; CRF = 0.16, Maintenance = 0.05,  Miscellaneous =  0.04,
 Total = 0.25.
                                F-7

-------
                 Table F-5.  NATIONAL CAPITAL AND
                   ANNUAL COSTS FOR CONTROLLING
                  EXISTING ACCUMULATOR VESSELS
Capital Cost
Model Unit ($1000)
A 19.6
B 19.5
r 6.5
Total 45.6
Annuali zed Cost
($1000)
4.9
4.9
1.7 -
11.5
aAssumes that 5 percent of existing accumulator vessels  are
 uncontrolled and are tied into existing control  devices.
 Thus, the national capital costs for Model  Unit A would be:

   145 (number of existing, units) x $2700 (control cost  per
   unit) x 0.05 (5 percent uncontrolled) = $19,575.


bAnnualized cost based on a 10-year expected life and 10
 percent interest; CRF = 0.16, Maintenance = 0.05, Miscellaneous
 0.04, Total = 0.25.
                                F-8

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                     Table F-6.  NATIONWIDE COSTS FOR THE EXISTING  INDUSTRY  FOR
                             REGULATORY ALTERNATIVES III, IV,  AND V
Regulatory Alternative
         III
         IV
         V
-==========^^
Capital Cost
($ Million)
Accumulator
Vessels
0.05
0.05
0.05
Other
Sources*
9.7
*
25.3
242
New
Total
— . 	 — 	
9.8
25.4
242.1
Annual!
($ Mi
Accumulator
Vessels
0.01
O.O1
0 01
	 — 	 	
zed Cost
llion)
Other
Sources*
2.1
5.5
58.6
	 . — • 	 	 	

New
Total
2.11
5.51
58.61
-- — • 	 —-
- — — — ' 	
        *0ther sources are ones for which control  costs «ere .stl.tod  in  Chapter  8  (Table  8-15).

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TECHNICAL REPORT DATA
(Please read Instructions on the reverse before completing)
1. REPORT NO.
EPA-450/3-30-032a
4. TITLE AND SUBTITLE
Benzene Fugitive Emissions
2.
- Background Information for
Proposed Standard
7. AUTHOR(S)
9. PERFORMING ORGANIZATION NAME Af>
U.S. Environmental Protectii
Office of Air Quality Plann
Emission Standards and Engii
Research Triangle Park, Nor
ID ADDRESS
Dn Agency
ing and Standards
leering Division
bh Carolina 27711
12. SPONSORING AGENCY NAME AND ADDRESS
•

3. RECIPIENT'S ACCESSION-NO.
5. REPORT DATE
November 1980
6. PERFORMING ORGANIZATION CODE
8. PERFORMING ORGANIZATION REPORT NO.
10. PROGRAM ELEMENT NO.
11. CONTRACT/GRANT NO.
68-02-3060 77-5J
13. TYPE OF REPORT AND PERIOD COVERED
Final
14. SPONSORING AGENCY CODE
EPA 200/04
15. SUPPLEMENTARY NOTES
16. ABSTRACT
      A  national emission  standard for petroleum  refining  and  organic  chemical  manu-
  facturing  industries  is being proposed under authority  of Section  112 of  the  Clean
  Air Act (42 U.S.C.  7412,  as amended).  The purpose of the proposed standard is to
  minimize benzene  fugitive emissions  in these industries.   The document provides
  background information for the proposed  standard.  Control  technologies and five
  regulatory alternatives are evaluated in terms of environmental  and economic  impacts
  on both new and existing  emission sources.  Included in the evaluation of environ-
  mental  impacts are  estimates of  air  quality, water, noise,  and solid  waste impacts.
  Included in the evaluation of economic impacts are estimates  of total capital  and
  annualized costs, including recovery credits.

17. KEY WORDS AND DOCUMENT ANALYSIS
a. DESCRIPTORS
Air Pollution
Petroleum Refining
Organic Chemical Industry
Performance Standards
18. DISTRIBUTION STATEMENT
Unlimited - Available to the public free of
charge from: U.S. EPA Library (MD-35),
Research Triangle Park, NC 27711
b.lDENTIFIERS/OPEN ENDED TERMS
Air Pollution Control
19. SECURITY CLASS (This Report)
Unclassified
20. SECURITY CLASS (This page)
Unclassified
c. COSATI Field/Group
13 B
21. NO. OF PAGES
292
22. PRICE
EPA Form 2220-1 (9-73)

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