Environmental Permitting, Regulatory Developments

Proposal Would Drop Rescission Date from PSD Permitting

Referencing an opinion by the U.S. Supreme Court, the EPA is proposing to remove a restriction on when a Clean Air Act (CAA) Prevention of Significant Deterioration (PSD) permit may be rescinded. Specifically, the proposal would remove from 40 CFR 52.21(w) the provision indicating that a stationary source may request to have its PSD permit rescinded, either in its entirety or partially, provided the permit is based on rules in effect on or before July 30, 1987.

The Agency notes that while the CAA establishes requirements for the permitting of construction of new major sources or modifications of such sources, it does not specify how long a permit is to remain in effect or whether there are circumstances under which a New Source Review (NSR) permit (which includes both PSD permits and nonattainment NSR permits) may be invalidated or rescinded. The EPA has interpreted this silence to mean that a permit should remain in effect for as long as the new or modified source continues to operate.

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