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        f Swies           Office of Transportation                                 EPA420-F-05-029
    Environmental Protect   and Ajf Qua|jty                                        Ju|y

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                      The U.S. Environmental Protection Agency (EPA) is issuing a Direct
                      Final Rule to correct, amend, and revise certain provisions of the Clean
                      Highway and Nonroad Diesel Rules to                entities in the
                      fuel distribution system with program implementation and compliance.
                      Background
                      In January 2001 and in June 2004, EPA finalized the Clean Diesel Trucks and
                      Buses Rule and the Clean Nonroad Diesel Rule, respectively, with more
                      stringent standards for new diesel engines and fuels. The rules require the use
                      of lower sulfur fuels beginning in 2006 for highway diesel fuel, and 2007 for
                      nonroad diesel fuel. These fuels will enable the use of aftertreatment technolo-
                      gies for new diesel engines, which can reduce harmful emissions by 90 percent
                      or more. Aftertreatment technologies will start phasing into the diesel sector
                      beginning in 2007 for highway and 2011 for nonroad. These programs will
                      yield enormous long-term benefits for public health and the environment.
                                   Of
                      Thi s rulemaking includes the following items:
                      « The correction of several typographical errors and other minor additions
                        and/or deletions that will help to clarify portions of the regulations and
                        facilitate compliance.

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  Modification of the designate and track
  provisions text to include provisions for
  companies that perform more than one
  function in the fuel distribution system.
  Allow refiners and importers better access
  to early credits for highway diesel fuel by
  allowing them to claim credit for the entire
  volume of ultra-low sulfur diesel fuel
  (LJLSD) delivered (rather than  sold) into
  the distribution system prior to the June 1,
  2006, start date.
            Of
Amendments
« The correction of errors, and minor addi-
  tions and deletions will help to clarify
  portions of the regulations to better facilitate
  compliance with the Clean Highway and
  Nonroad Diesel rules.
* The modification of the designate and track
  regulations will help to ensure that compa-
  nies who perform multiple operations will
  have accurate fuel volume balances in
  compliance with the designate and track
  regulations.
« The current limitations imposed on the
  generation of early credits, coupled with the
  cost of early ULSD production, create an
  economic disincentive for refiners and
  importers to produce thi s fuel for use in
  testing the fuel distribution system. Allowing
  refiners and importers better access to early
  credits would provide additional economic
  incentive for early production of ULSD
  and, hence, supply the fuel necessary to test
  the ability of the distribution system to
  effectively deliver the fuel on specification.
Costs
EPA.anticipates that costs associated with
these technical amendments will be negligible.
For
You can access additional documents on this
Direct Final Rule on the Office of Transporta-
tion and Air Quality (OTAQ) Web site at:

  www.epa.gov/otaq/regs/fuel s/diesel/
  diesel.htm

Additional information on the Highway Diesel
and Nonroad Diesel Rules is available at:

• Highway Diesel Rule: www.epa.gov/otaq/
  diesel.htm
  o Preamble: www.epa.gov/otaq/regs/
    hd2007/frm/frdslpre.pdf
  o Regulations: www.epa.gov/otaq/regs/
    hd2007/frm/frdslreg.pdf

• Nonroad Diesel Rule: www.epa.gov/
  nonroad-diesel/2004fr.htm
  o Preamble and Regulations:
    www.epa.gov/otaq/url-fr/fr29jn04.pdf

Additional information on EPA's National
Clean Diesel Campaign, which covers volun-
tary programs, regulatory programs, and
regional initiatives and partnerships, is avail-
able at:

  www.epa.gov/cleandiesel

You can also contact the OTAQ Library for
document information at:

  U.S. Environmental Protection Agency
  OTAQ Library
  2000 Traverwood Drive
  Ann Arbor, MI 48105
  (734)214-4311 & 214-4434
  E-mail: Group_AALibrary@epa.gov

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