On August 28, 2017, the Environmental Protection Agency (“EPA”) approved an emergency fuel waiver for areas for Louisiana affected by Hurricane Harvey. The waiver is an effort to minimize or prevent problems with the supply of gasoline. Sixteen parishes in the state are required to sell low Reid vapor pressure (“RVP”) gasoline,[i] having a maximum RVP of 7.8 pounds per square inch (“psi”), during the summer ozone season. The waiver temporarily lifts this requirement and allows higher RVP gasoline of 9.0 psi to be sold in these parishes through September 15, 2017. The sixteen parishes impacted by the emergency waiver are Ascension, East Baton Rouge, Iberville, Livingston, West Baton Rouge, Beauregard, Calcasieu, Jefferson, Lafayette, Lafourche, Orleans, Point Coupee, St. Bernard, St. Charles, St. James, and St. Mary.
EPA has also waived the requirement of 40 C.F.R. §80.27(d) for gasoline sold in these parishes. Under the waiver, gasoline with less than 9% ethanol by volume will qualify for the “special provisions for alcohol blends” requirement and the provisions that prohibit any person from blending gasoline unless certain conditions are met are temporarily lifted.
Authority for the waiver was exercised under the Section 211(c)(4)(C)(ii) of the Clean Air Act (“CAA”), 42 U.S.C. § 7545(c)(4)(C)(ii). EPA Administrator, Scott Pruitt, determined Hurricane Harvey to be an unforeseen “extreme and unusual fuel [ ] supply circumstance” that will prevent the distribution of an adequate supply of gasoline to consumers in the designated parishes. Administrator Pruitt further determined that the waiver is in the public interest.
As required by law, the EPA and the Department of Energy (“DOE”) are continuing to actively monitor the fuel supply situation in the midst of Hurricane Harvey. The EPA and DOE have the authority to act expeditiously if extreme and unusual circumstances exist in other areas of the state.
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[i] Reid Vapor Pressure (“RVP”) is a measure of gas volatility. EPA regulates the vapor pressure of gasoline sold at retail stations during the summer ozone season (June 1 to September 15) to reduce evaporative emissions from gasoline that contribute to ground-level ozone and diminish the effects of ozone-related health problems. Note that, on August 9, 2017, EPA proposed to relax the low RVP requirements for 11 of the 16 parishes covered under this emergency waiver. See 82 Fed. Reg. 37,184. However, this is just a proposal, not a final rule. Further, only 11 of the 16 parishes covered in the emergency waiver are covered under the August 9, 2017, proposal. As such, the emergency waiver is still needed.