United States
                                Environmental Protection
                                Agency
                      Office of Enforcement
                      and Compliance
                      Assurance (2201A)
                                                                            EPA 300-N-99-014
C/EPA        Enforcement  Alert
 Volume 2, Number 9
 Office of Regulatory Enforcement
                               October 1999
     Proper Monitoring  Essential  to Reducing  'Fugitive
 Emissions'  Under Leak  Detection and Repair Programs
    The  Clean Air  Act requires
    refineries to develop and imple-
ment a  Leak Detection and Repair
(LDAR) program to control fugitive
emissions. Fugitive emissions occur
from valves, pumps, compressors,
pressure relief valves, flanges, con-
nectors and other piping components.
    Comparison monitoring con-
          About

    Enforcement Alert
   "Enforcement  Alert"  \
   published periodically by the
   Office   of    Regulatory
   Enforcement  to  inform and
   educate the public and regulated
   community   of  important
   environmental enforcement
   issues,  recent trends  and
   significant enforcement actions.

   This information should helpthe
   regulated community anticipate
   and prevent violations of federal
   environmental  law that could
   otherwise lead to enforcement
   action. Reproduction and wide
   dissemination of this newsletter
   is encouraged.

   See Page  4  for useful EPA
   Websites  and   additional
   resources.

   Eric V. Schaeffer
   Director, Office of
   Regulatory Enforcement

   Editor: Virginia Bueno
   (202) 564-8684
   bueno.virginia@epamail.epa.gov
   (Please email all address and
   name changes or subscription
   requests for this newsletter.)
ducted by the U.S. Environmental
Protection Agency's (EPA) National
Enforcement Investigations Center
(NEIC) shows that the number of
leaking valves and components is up
to 10 times greater than had been re-
ported by certain re-
fineries (see Table,   ^^^^^"
Page 2). EPA believes
this great disparity be-
tween what refineries
are reporting and what
EPA is finding may be
attributable to refiner-
ies not monitoring in
the manner prescribed
in 40  CFR  Part  60,
Appendix A, Method
21.
  Federal regulations
require refiners to rou-
tinely monitor for leaks
and to fix any equip-
ment found leaking.
Failure to  identify
leaking equipment re-
sults in necessary repairs not being
made and continuing fugitive emis-
sions of volatile organic chemicals
(VOCs) and other hazardous chemi-
cals. EPA estimates that the failure
to identify and repair leaks at petro-
leum refineries could be resulting in
additional VOC emissions of 80 mil-
lion pounds annually. VOCs contrib-
ute to ground-level ozone, a principal
component of smog, which can cause
significant health and environmental
problems.
         PA estimates
         that leaks not
          found  and
repaired   could   be
resulting in additional
volatile      organic
chemical emissions
of 80  million  pounds
annually.
 What the Law Requires
   Specific requirements for refinery
 fugitive emissions are identified in 40
 CFR Part 60, New Source Perfor-
 mance Standards (NSPS), and 40
            CFR Parts 61 and 63,
            National Emission
            Standards for Hazard-
            ous Air Pollutants
            (NESHAP).  Many
            State  and  local air
            agencies incorporate
            federal requirements
            but some have estab-
            lished more stringent
            requirements as au-
            thorized by law.  The
            various regulations re-
            quire  refineries to
            implement  an LDAR
            program to  reduce fu-
            gitive emissions from
            valves, pumps, com-
            pressors, pressure re-
^^^^^^_   lief valves, flanges,
            connectors, and other
 piping components.
   Valves are usually the single larg-
 est source of fugitive emissions. Emis-
 sions from any single piece of equip-
 ment are usually small. Based on the
 large number  of equipment compo-
 nents that can leak and are subject to
 LDAR requirements, however, cumu-
 lative emissions can be very large. To
 obtain a proper reading of emissions
 from leaking components the monitor-
 ing equipment must be calibrated cor-

           Continued on page 2
              This publication is found on the Internet at http://www.epa.gov/oeca/ore/enfalert

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                                         Enforcement Alert

Continued from
page 1

rectly and held at the
component interface
where leakage could oc-
cur (e.g., at the seal be-
tween the valve stem
and housing) for a suffi-
cient length  of time to
obtain a valid measure-
ment.

LDAR Prog rams
Should Consist of
Several
Processes
   LDAR programs are
generally comprised of
four  processes. Regula-
tions vary  but usually
require refineries to:
   •  Identify compo-
nents to be included in
the program;
   •  Conduct routine
monitoring of identified
components;
   •  Repair any leak-
ing components; and
   •  Report monitor-
ing results.
   Compliance issues associated with
each of these processes have resulted
in numerous  enforcement actions by
EPA Regional offices, State agencies,
or local air boards, depending on the
specific regulations. Common viola-
tions include:
   •  Failure to identify process
units and components that must be
monitored;
   •  Failure to follow prescribed
monitoring procedures;
   •  Use  of incorrect or expired
calibration gasses;
OCTOBER 1999    	
         Comparative Monitoring Results
Refinery
A
B
C
D
E
F
G
H
I
J
K
L
M
N
0
P
Q
Company
Monitoring:
Valves/Leaks
7,694/170
7,879/223
3,913/22
2,229/26
5,555/96
42,505/124
14,307/226
20,719/736
5,339/9
8,374/78
6,997/101
12,686/26
4,160/40
5,944/29
7,181/112
8,532/203
6,640/36
Total 170,717/2,266


NEIC
Monitoring:
Valves/Leaks
3,363/354
3,407/216
2,008/108
1,784/24
2,109/112
3,053/53
3,852/236
3,351/179
2,754/84
2,981/55
1,658/114
3,228/125
1,926/222
2,487/106
2,897/130
4,060/181
2,608/74
47,526/2,372

Leak Rate:
Company/
NEIC (%)
2.3/10.5
2.8/6.3
0.6/5.4
1.2/1.4
0.7/5.3
0.3/1.7
1.6/6.1
3.6/5.3
0.2/3.1
0.9/1.8
1.4/6.9
0.2/3.8
1.0/11.5
0.5/4.3
1.6/4.5
2.4/4.5
0.5/2.8
1. 3/5.0 (avg)

Emissions
Rate:
Company/
NEIC (Ib/hr)
38.8/106.6
44.0/73.5
18.3/90.1
15.5/17.1
50.7/125.8
154.7/382.3
122.2/369.7
332.2/469.7
16.9/76.6
50.8/78.5
56.1/201.2
34.9/84.0
25.7/192.2
26.1/112.3
60.8/140.9
98.8/167.5
30.5/87.5
1.177.0/
2,775.5
Potential
Emissions:
Undetected
Leaks (Ib/hr)
67.8
29.5
71.8
1.6
75.1
227.6
247.5
137.5
59.7
27.7
145.1
49.1
166.5
86.2
80.1
68.7
57.0
1,598.5

   •   Failure to repair components
within specified timeframes; and
   •   Failure to submit quarterly re-
ports and maintain appropriate cali-
bration and/or monitoring records.

Refinery Monitoring
Reports; What EPA is
Finding
   During the past  several years,
NEIC has monitored for leaking com-
ponents at refineries. For 17 facilities
investigated by  NEIC, the average
leak rate reported by the facilities was
1.3 percent. The average leak rate de-
termined by NEIC and confirmed by
the facilities was 5.0 percent. One ex-
planation for this difference in leak
rates may be found in a report pub-
lished by the Bay Area Air Quality
Management District ("Rule Effec-
tiveness Study"). The Bay Area Air
Quality Management District  deter-
mined that when valves were in-
spected at a distance of one centime-
ter (0.4 inches) from the component
instead of at the interface with the
component, as the regulations require,

            Continued on page 3

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                                          Enforcement Alert
Continued from page 2

57 percent of the leaking valves would
be missed when monitoring above the
500 ppm level.
   Fugitive emissions account for 22
percent of all emissions from non-re-
fineries but account for more than 55
percent of all refinery emissions iden-
tified in the 1996 Toxic Release In-
ventory (TRI). Since TRI includes
only "reportable" hydrocarbons, total
fugitive emissions were significantly
larger than the 3 3 million pounds then
identified by reporting refineries.
   The failure to identify leaks means
that they remain unrepaired and will
continue to release VOCs and hazard-
ous substances into the atmosphere.
Emission estimates using a 50/50 split
between components in gas/light liq-
uid service (see Table, Page 2) sug-
gest that these 17 refineries'  annual
fugitive emissions could be more than
6,000 tons per year greater than pre-
viously believed. Extrapolating this dif-
ference to all refineries larger than the
smallest refinery investigated by NEIC
also suggests that there may be an
additional 80 million pounds of VOCs
       EPA Policies for
    Reducing, Eliminating
         Penalties for
         Self-Policing
    EPA has adopted two policies
  designed to encourage the regu-
  lated community to comply with
  environmental laws.
    For more information, see
  EPA's Audit Policy Website at:
  http://www.epa.gov/oeca/
  auditpol.html, and the Small Busi-
  ness  Policy   at:     http://
  www.epa.gov/oeca/smbusi.html.
being emitted each year because re-
finery leaks are not being identified
properly and repaired promptly, as re-
quired by LDAR programs. Signifi-
cantly and as recognized by industry,
fugitive emissions can be reduced by
up to 90 percent if leaks are detected
and repaired in a timely manner.

Regulatory Impacts of
Inadequate Fugitive
Monitoring
   By not fully identifying all leaking
components, refineries are likely caus-
ing the unnecessary release of excess
hydrocarbons.  The impacts of these
additional hydrocarbon releases may
result in:
   •   Additional VOC emissions
that  could   worsen  local  or
transboundry smog problems;
   •   Under reporting of fugitive
emissions on the annual Toxic Report-
ing Inventory;
   •   Under reporting of various
TRI chemicals on annual Form R sub-
missions; and
   •   Delayed or denied permits for
expansion.
   Most LDAR regulations allow for
decreased monitoring frequency if cer-
tain performance standards are con-
sistently  achieved. Monitoring fre-
quency is decreased from quarterly to
annual monitoring if less than two per-
cent of the valves within a process
unit are found leaking. Conversely, if
greater than two percent of the valves
are found to be leaking, monitoring
must be  conducted quarterly.  EPA
monitoring showing a greater than two
percent leak rate has  resulted  in re-
fineries  reverting  back to quarterly
monitoring.
OCTOBER 1999
Improving Leak Detection
Monitoring Reliability
   Although not required under cur-
rent LDAR programs, several prac-
tices appear to improve the reliability
of monitoring data and LDAR com-
pliance:
   •   Energetic LDAR coordina-
tors (advocates) with the responsibil-
ity and authority to make things hap-
pen;
   •   Continuing education/re-
fresher programs for plant operators.
Plant operators can have a major im-
pact on LDAR compliance;
   •   Diligent and well-motivated
monitoring personnel;
   •   Use of a lower than required
leak definition. Several refineries use
a leak definition lower than the regu-
latory limit. For example, several re-
fineries use a500 ppm limit ratherthan
the regulatory limit of 10,000 ppm;
   •   More frequent monitoring
than required. Rather than monitor-
ing annually, some refineries monitor
quarterly. More frequent monitoring
also may permit lower emissions to
be reported on the annual Toxic Re-
porting Inventory and/or Form Rs; and
   •   Established  Quality Assur-
ance/Quality Control procedures. Sev-
eral refineries have initiated a program
to  check the monitoring results sub-
mitted by the monitoring team (in-
house or contractor).
   EPA's Office of Enforcement and
Compliance Assurance is encouraged
by efforts currently underway by the
National Advisory Committee on En-
vironmental Policy and Technology
(NACEPT)  petroluem  refining
workgroup to find more cost-effec-
tive ways to identify significant leaks

             Continued on page 4

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  c/EPA
    United States
    Environmental Protection Agency
    Office of Regulatory Enforcement
    2248A
    Washington, D.C. 20460

    Official Business
    Penalty for Private Use $300
Continued from page 3
through new technology that allows
for quick identification of the most sig-
nificant losses. Meanwhile, however,
the regulated industry is expected to
comply fully with existing LDAR re-
quirements.
   Contact Ken  Goring, National
Enforcement Investigations Cen-
ter,       (303)236-6658;Email:
garing.ken@epa.gov;  Tom Ripp,
Office of Compliance, Manufac-
turing, Energy and Transportation
Division,   (202564- 7003; Email:
ripp.tom@epamail.epa.gov; or Jim
Jackson, Office of Regulatory En-
forcement, Air Enforcement Divi-
sion,  (202)  564-2002;Email:
jackson.james@epamail.epa.gov.

ERA'S Y2K Enforcement
Policy
   EPA's "Y2K Enforcement Policy is
designed to encourage the expeditious
testing of computer associated hard-
ware and software that may be poten-
tially vulnerable to Y2K problems.
   Under this policy, which was pub-
lished in the Federal Register on March
10, 1999,  EPA intends to waive 100
percent of the civil penalties and rec-
ommend against criminal prosecution
for environmental violations resulting
from Y2K testing designed to  identify
and eliminate Y2K-related malfunctions.
To receive the policy's benefits (e.g.,
waiver of penalties due to testing), regu-
lated entities must address specific cri-
teria and conditions identified in the
policy.
   For   more  about  the   Y2K
Enforcement Policy,  contact Gary
Jonesi,   Office  of  Regulatory
Enforcement,  (202) 564-4002 or E-
mail: jonesi.gary@jepa.gov.
                                                                                     Useful  Websites
EPA's Technical Web site for
Information Transfer and  Sharing
Related to Air Pollution Topics:
http://www.epa.gov/ttn/

Toxics Release Inventory (TRI):
http://www.epa.gov/opptintr/tri/

EPA Home Page:
http://www.epa.gov/epahome

National Enforcement Investigations
Center:
http://www.epa.gov/oeca/oceft/neic/
index.html
EPCRA Hotline: 1-800-424-9346. For
callers in the DC area, please call
(703) 412-9810. Also, the TDD is (800)
553-7672.

Office  of  Regulatory Enforcement
http://www.EPA.gov/oeca/ore.html

EPA Compliance Assistance
Centers:  http://www.epa.gov/
oeca/mfcac.html

Small Business Gateway:
http://www.epa/gov/smallbusiness
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