EPA420-F-95-017
                                  January 23, 1995
  RFG/Anti-Dumping
 Questions and Answers
    January 23,1995
    Energy and Fuels Division
     Office of Mobile Sources
U.S. Environmental Protection Agency

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       RFG/ANTI-DUMPING QUESTIONS AND ANSWERS, JANUARY 23,1995
       The following are responses to most of the questions received by the Environmental
Protection Agency (EPA) through January 9, 1995, concerning the manner in which the EPA
intends to implement and assure compliance with the reformulated gasoline and anti-dumping
regulations at 40 CFR Part 80. This document was prepared by EPA's Office of Air and
Radiation, Office of Mobile Sources, and Office of Enforcement and Compliance Assurance,
Office of Regulatory Enforcement, Air Enforcement Division.

       Regulated parties may use this document to aid in achieving compliance with the
reformulated gasoline (RFG) and anti-dumping  regulations. However, this document does not in
any way alter the requirements of these regulations.  While the answers provided in this
document represent the Agency's interpretation  and general plans for implementation of the
regulations at this time, some of the responses may change as additional information becomes
available or as the Agency further considers certain issues.

       This guidance document does not establish or change legal rights or obligations.  It does
not establish binding rules or requirements and is not fully  determinative of the issues addressed.
Agency decisions in any particular case will be made applying the law and regulations on the
basis of specific facts and actual action.

       While we have attempted to include answers to all questions received by January 9, 1995,
the necessity for policy decisions and/or resource constraints may have prevented the inclusion
of certain questions. Questions not answered in this document will be answered in a subsequent
document.  Questions that merely require a justification of  the regulations, or that have
previously been answered or discussed either in a previous  Question and Answer document or
the Preamble to the regulations have been omitted.
                                    Topics Covered
Sampling and Testing Procedures
Downstream Blending Issues
January 23, 1995

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                      SAMPLING AND TESTING PROCEDURES

1.      Question: How should storage tanks be sampled for RFG?

   Answer: Section 80.65(e)(l) of the regulations states that "[e]ach refiner or importer shall
determine the value of each of the [reformulated gasoline] properties for each batch of
reformulated gasoline it produces or imports prior to the gasoline leaving the refinery or import
facility, by collecting and analyzing a representative sample of gasoline taken from the batch."
"Batch of reformulated gasoline" is defined at  80.2(gg) as "a quantity of reformulated gasoline
which is homogeneous with regard to those properties which are specified for reformulated
gasoline certification."

       Samples that accurately  represent batch properties are necessary in order to determine if
RFG standards are being met. Therefore, the first concern of batch sampling is to determine
whether or not the tank contents are homogeneous.

       Gravity analyses of upper, middle, and lower samples is an appropriate means of
establishing tank homogeneity.  EPA would consider a tank to be homogeneous where the
maximum difference in tested gravities between any two samples from different tank strata is no
greater than 0.6  API, unless there is reason to believe the tank contents are not mixed in spite of
such gravity test results. For example, if samples from a storage tank have noticeably different
colors, the gasoline in the tank should not be considered homogeneous even if the samples have
gravity tests that are within the  0.6  API range. If a question remains about whether the contents
of a storage tank are fully mixed following gravity testing the party could resolve the
homogeneity issue by conducting tests on the upper, middle and lower tank samples for benzene
and oxygen. (Tank homogeneity could be established using benzene and oxygen tests on upper,
middle and lower tank samples  without the need for gravity testing.) EPA would consider a
tank to be homogeneous if the maximum difference in benzene tests is 0.10 vol% and the
maximum difference in oxygen tests is 0.15 wt%.  The benzene and oxygen testing to establish
homogeneity (as opposed to certification testing) could use a non-regulatory method such as
mid-infrared analysis.

       Where it is found that tank contents  are not homogeneous, further mixing should be
performed before collecting a representative sample for reformulated gasoline analysis.

       Product stratification should also be avoided downstream of refiner or importer facilities,
because samples must meet the  downstream "per gallon" standards, and stratification could result
in  a portion of the gasoline in a  tank being out of compliance with "per gallon" standards. For
further discussion of homogeneity, see the Independent Sampling and Testing Section, Question
20 of the July 1, 1994 Question and Answer Document).

       Storage tanks should be  sampled according to 40 CFR part 80, Appendix D, using the
method that will best represent the contents of the tank or batch. EPA expects the refiner,
importer, or independent laboratory to use its best professional judgment in determining the

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procedures that are necessary in order to best represent a given batch within the guidelines of
Appendix D.

       EPA preference for sampling storage tanks is a "running" or "all-levels" sample collected
from an un-confmed (no gauge tube) roof port. A "running" or "all levels"  sample collected from
a perforated gauge tube is the next best choice. In no case should a sample be collected from a
solid gauge tube.

       EPA prefers to collect "running" samples as opposed to "all-levels" samples for two
reasons.  First, assuming both "all-levels and "running" samples are collected with uniform
lowering and retrieval rates, the "running" procedure achieves better representation of the tank
contents than the "all-levels" procedure. This occurs because with the "running" procedure, one
half of the sample is collected when lowering the apparatus, and the column sampled is
undisturbed at that point.  The second reason is that "running" samples are easier to collect than
"all-levels" samples because the sample collector is not required to stopper the sample bottle.

       If a tank cannot be bottle sampled from the top, then tap sampling is an appropriate
substitute. For best representation, a single composite should be  collected by proportionally
filling the sample container from all available taps. If homogeneity is well documented,  the
entire sample may be collected from a single tap. If a refinery or importer tank has no roof
sampling port or sampling taps, then a pipeline sample is the only other sampling means  that is
possible. Pipeline sampling is discussed in Question 2 of this section.

       In the case of downstream quality assurance sampling from a storage tank which does not
have a roof sampling port or taps for sampling, a sample collected from a truck or barge that has
just loaded from that tank is marginally acceptable. The truck or barge should be completely
empty before loading, and a "running" sample should be collected from the truck or barge
compartment.

       Appendix D contains general instructions and precautions that must be  followed when
choosing sampling equipment and containers, and when collecting samples. RVP is the most
sensitive reformulated gasoline property, relative to sampling, and therefore precautions to
prevent loss of "light ends" must be followed carefully. Also, sampling containers must be clean
and rinsed well with the gasoline to be sampled in order that the sample is not contaminated, for
example, with trace amounts of heavy metals. When collecting tap samples, the tap and
connecting piping must be completely flushed, and the sample container must be bottom filled
strictly according to the procedure outlined in Appendix D. Always label the container as soon
as possible, and note the location of the sampling point and method of collection.
                         DOWNSTREAM BLENDING ISSUES

[NOTE: The following is an update to Question 16 in the Downstream Blending Section
(Section IX-B) of the July 1,1994 Question and Answer Document, and as updated in the

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August 29, October 3, and November 21 Question and Answer Documents. This update
adds an option for transmix processors who produce RFG from distillate-RFG mixtures.]
IX-B-16. Question: What options are available to pipelines for dealing with interface material,
i.e., mixtures of two different types of product that result when the different products are
adjacent during pipeline movement?

      Answer: Interface Mixtures Involving RFG or RBOB

      First, the pipeline must minimize the instances of prohibited mixing, through the
            sequencing together of product types that may be legally mixed, to the greatest
            extent possible.

      Second, in those instances where illegal interface mixing occurs, the entire interface must
            be added to the product that will most ensure no adverse environmental
            consequences of the mixing. For example:

            a.     Interface mixtures of RFG or RBOB and conventional gasoline must be
                        classified as conventional gasoline.

            b.     Interface mixtures of VOC-controlled RFG and non-VOC-controlled RFG
                        must be classified as non-VOC-controlled RFG.1

            c.     Interface mixtures of VOC-controlled RFG for Region 1 and VOC-
                        controlled RFG for Region 2 must be classified as VOC-controlled
                        RFG for Region 2 or as non-VOC-controlled RFG.

            d.     Interface mixtures of OPRG-designated RFG and non-OPRG-designated
                        RFG must be classified as non-OPRG-designated RFG.

            e.     Interface mixtures of VOC-controlled, OPRG RFG and non-VOC-
                        controlled, non-OPRG RFG must be classified as non-VOC-
                        controlled, non-OPRG RFG.
      1  The  mixing of VOC-controlled RFG with  non-VOC-controlled
RFG  is not prohibited during the transition period prior to May  1
each year  (prior to  June  1 each year  for  retail  outlets),  and
subsequent to  September 15 each year.   During the VOC transition
period,  however,  mixtures of VOC-controlled RFG  and  non-VOC-
controlled RFG nevertheless must be classified as non-VOC-
controlled unless the resulting mixture meets the applicable VOC
downstream standard  (as discussed in  the  Transition  section of
this document),  and  during the  VOC-control  period such mixtures
also must be classified as non-VOC-controlled RFG.

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              f.      Interface mixtures of RBOB and RFG must be classified as RBOB.

              g.      Interface mixtures of any-oxygenate RBOB and ether-only RBOB must be
                           classified as ether-only RBOB.

              h.      Interface mixtures of generic RBOB (i.e., any-oxygenate or ether-only
                           RBOB) and refiner-specific RBOB (under  80.69(a)(l)) must be
                           classified as refiner-specific RBOB.

       Third, the pipeline must retain documents that reflect the nature of any illegal interface
              mixing and that the interface was classified in the proper manner, and must make
              these documents available to EPA upon request.

Interface Mixtures Involving Conventional Gasoline and Not Involving RFG

       In the case of interface mixtures that do not involve RFG or RBOB, pipelines may follow
their historical practices, and will not be treated as a refiner based on such interface mixtures,so
long as:

       First, the interface to be blended is generated through pipeline operations, i.e., the
blending does not involve blendstocks that are present for the purpose of blending.

       Second, the conventional gasoline involved meets all standards and requirements that
apply to conventional gasoline, including the volatility standards and the substantially similar
requirements;

       Third, the volumes of interface are recorded and made available for EPA inspections.

       For example, in the case of interface mixtures that involve conventional gasoline and
blendstocks (natural gasoline, raffinate, naphtha, etc.), if a pipeline historically has used midpoint
cuts for this type of interface the pipeline could continue this practice without meeting the
"refiner"  requirements as a result of any blendstock that would be mixed with conventional
gasoline through this process.  It would not be appropriate, however, to classify all blendstock-
conventional gasoline interface mixtures as conventional gasoline, i.e., to "clean cut" the
interface into the conventional  gasoline, because this practice would result in a net increase in
conventional gasoline volume.

       Interface mixtures that include neither RFG nor conventional gasoline are not impacted
by the RFG/anti-dumping regulations.

       Transmix

       EPA understands there  are certain types of interface mixtures that cannot be easily added
to either of the adjoining products that produced the interface.  This primarily is the case of

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interface mixtures of gasoline and distillate, commonly called "transmix." EPA further
understands that the current pipeline industry practice is to transport transmix via pipeline or
barge to a facility designed to separate the gasoline and distillate portions. The owner or
operator of such a facility is called a "transmix processor," and is a refiner under the RFG and
anti-dumping programs.

       Transmix Processors

       Gasoline produced which is classified as conventional gasoline
       In the case of conventional gasoline produced from transmix by a transmix processor, the
following option is available:

       First, the transmix used must be a mixture of distillate and gasoline - either RFG or
              conventional gasoline.  If the transmix is a mixture of distillate and blendstock,
              the blendstock will never have been accounted-for, and the transmix processor
              must meet the anti-dumping refiner standards and requirements for any gasoline
              produced using this transmix.

       Second, no additional blendstocks may be used. If blendstocks are used, in  addition to
              the transmix, the transmix processor must meet the anti-dumping refinery
              standards and requirements for this blendstock in the same manner as any other
              blender-refiner.  A transmix processor could, of course, blend gasoline produced
              through the process with other finished gasoline without invoking the anti-
              dumping requirements, e.g., premium grade gasoline could be blended to improve
              octane.

       Gasoline produced which is classified as RFG

       In the case of RFG produced from transmix by a transmix processor, the following option
is available:

       First, the transmix processor must meet the requirements that apply to refiners, including
the requirement to meet refiner RFG standards under  80.41 and 80.65(c) (with the limited
exception described below), sampling and testing under  80.65(e), independent sampling and
testing under  80.65(f), record keeping under  80.74, reporting under  80.75, and attest
engagements under  80.125 through 80.128.

       Second, the transmix used must be a combination of distillate and RFG, and may not be a
mixture of distillate and conventional gasoline. The transmix processor must obtain documents
from the transferor of the transmix which certify the gasoline portion of the transmix is RFG, and
must retain these documents in the manner specified under  80.74.

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       Third, the transmix processor must meet all RFG standards specified in  80.41 (a) or (b),
and the standard for T-90 under  80.41(h)(2)(i) (in the case of transmix processor with the
statutory baseline, an annual average T-90 that is equal to or less than 332 F). The transmix
processor need not meet the simple model standards for sulfur and olefms under  80.41(h)(2)(i)
for the RFG produced from transmix. If the transmix processor uses any blendstocks in addition
to the transmix, however, the sulfur and olefm standards must be met for these blendstocks.

       The distinction between the treatment of a transmix processor who produces RFG versus
conventional gasoline is appropriate because the gasoline produced by a transmix processor is
not identical to the gasoline that went into the transmix. The changes in gasoline quality through
transmix processing are simply less critical for conventional gasoline than for RFG.

       In the case of RFG produced by a transmix processor following the procedures described
in this Answer, however, the
RFG will meet all refiner standards which are applicable downstream of the refinery level. Even
though a transmix processor who produces RFG is not held to the refiner standard for sulfur and
olefms (for which there are no downstream standards), EPA believes a transmix processing
operation does cause significant changes in the sulfur and olefm levels from the levels of the
RFG portion of the transmix received by the processor.
       Transmix Blending

       EPA understands that in certain limited situations where transmix cannot be transported
via pipeline to a transmix processor, current pipeline industry practice is to add the transmix to
gasoline in very small quantities - 0.25 percent or less of the gasoline volume - and to test the
resulting gasoline to ensure it remains on-spec.2 This practice would be treated as illegal
blending under the RFG and anti-dumping programs, unless the blender meets all applicable
refiner standards and requirements.

       In the case of transmix added to conventional gasoline:

       First, the transmix must result from normal pipeline operations.

       Second, the transmix must be present in a terminal from which there is no out-bound
             pipeline or water transportation by which the transmix could be transported to a
             transmix processor, or the pipeline's historical practice at the terminal (the practice
       2  The  transmix is added to  gasoline  instead  of  to
distillate,  because  the  consequences  of  any  motor vehicle
driveability problems  resulting from  distillate  being  mixed with
gasoline  are less serious  than the consequences  of  explosions
that  could result from gasoline being mixed  with distillate.

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             beginning at least before January, 1994) has been to blend transmix into
             conventional gasoline without further processing.

       Third, the transmix is blended at a rate no greater than the historical rate the pipeline can
             document was used by the pipeline, and pipeline documents the current rate of
             transmix blending.

       In the case of transmix added to RFG:

       First, the transmix must result from pipeline operational necessity.

       Second,  the transmix must be present in a terminal from which there is no out-bound
             pipeline or water transportation by which the transmix could be transported to a
             transmix processor.

       Third, conventional gasoline must not be among the slate of products that arrive at the
             terminal (transmix must be blended with conventional gasoline if possible).

       Fourth, the blending rate of transmix to RFG must be no greater than 0.25 percent by
             volume.

       Fifth, the transmix must be blended with RFG in a batch mode, so that a sample may be
             collected of the entire batch.

       Sixth, the transmix-RFG blend must be sampled and tested, and the resulting blend must
             meet all applicable RFG downstream standards, before any of the blended
             gasoline leaves the terminal.

       Seventh, the pipeline must retain documents that reflect the rate of transmix blending and
             the results of all testing on the transmix-RFG blend, and must make these
             documents available to EPA upon request.

       As an alternative to blending the transmix in a batch mode with  sampling and testing
before any of the RFG blended with transmix leaves the terminal, the transmix may be blended
with RFG in line provided that the pipeline carries out the following program to ensure the
transmix will not cause any adverse environmental consequences.

       First, the pipeline must conduct a program of laboratory testing, in which samples of
transmix are mixed with RFG to determine the effects of the transmix on the RFG. In this
program, the transmix samples must to the greatest extent possible represent the full range of the
transmix types that are typically blended by the pipeline, and the RFG must to the greatest extent
possible represent the full range of the types of RFG into which transmix will be blended by the
pipeline. These different transmixes  and gasolines must be blended at the maximum rate of
transmix blending the pipeline intends to use, but a maximum of 0.25% transmix by volume.

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       Second, the RFG must be tested for each RFG parameter (RVP, oxygen, benzene, sulfur,
olefins, aromatics, E200, and E300), and the RFG transmix blend must be tested for each of these
parameters, using the testing methods specified at  80.46.

       Third, the results of all of the laboratory tests must show that the maximum change in
properties of the RFG for any RFG-transmix blend is not more than the ranges specified at
 80.65(e)(2)(i).

       Fourth, the pipeline must conduct RFG-transmix blending as described in steps 5 and 6 of
the first RFG-transmix procedure, above, for a period of 30 days, and the results of the blending
must show that the maximum change in properties of the RFG for any RFG-transmix blend is not
more than the ranges specified at  80.65(e)(2)(i).

       Fifth, the  pipeline must conduct monthly tests of the RFG-transmix blended, and the
results of the blending must show that the maximum change in properties of the RFG for any
RFG-transmix blend is not more than the ranges specified at  80.65(e)(2)(i).

       The procedures outlined above for transmix blending would be applicable to terminals as
well as pipelines.
January 23, 1995

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