Regulatory Impact

.3 The main provisions of the new Large Combustion Plant Directive for existing plants

This section presents a brief summary of the main provisions of the new LCPD for existing plant, which are set out in Art 4(3), Art 4(4) and Art 4(6). In summary, Member States are required to achieve significant emission reductions by 1 January 2008 at the latest by either of the following two compliance options identified in Art 4(3):

Option 1 - Compliance with the emission limit values (ELVs)

Under this approach, compliance with the new LCPD for existing plants will be achieved if the operation of all existing plants is within the ELVs stated in Part A of Annexes III to VII in respect of SO₂, NO_x and dust, and where appropriate Arts 5, 7 and 8, by the applicable compliance dates. The ELVs are summarised in Table 1 of this guidance document.

Existing plants may be exempt from the ELVs, however, under the limited operating life derogation (Art 4(4)). This derogation will apply if "the operator of an existing plant undertakes, in a written declaration submitted by 30 June 2004 at the latest to the competent authority, not to operate the plant for more than 20,000 operational hours starting from 1 January 2008 and ending no later than 31 December 2015;"

The measurement requirements to assess compliance against the ELVs are presented in Art 14, and include the requirement that none of the calendar monthly mean values exceed the ELVs, excluding start-up and shut-down periods.

Option 2 – Implementation of a National Plan

As an alternative to the ELV approach, Member States can implement a National Plan referred to in Art 4(6). This would apply to existing plants in operation in the year 2000 with the exception of those that opt for the limited operating life derogation (Art 4(4)) as described above.

The National Plan "shall reduce the total annual emissions of nitrogen oxides (NO_x), sulphur dioxide (SO₂) and dust from existing plants to the levels that would have been achieved by applying the emission limit values referred to in paragraph 3 [i.e. those in part A of Annexes III to VII, and, where appropriate, applying Arts 5, 7 and 8, as summarised in Table 1 of this guidance document] to the existing plants in operation in the year 2000, (including those existing plants undergoing a rehabilitation National Plan in 2000, approved by the competent authority, to meet emission reductions required by national legislation) on the basis of each plant’s actual annual operating time, fuel used and thermal input, averaged over the last five years of operation up to and including 2000".

In addition, "The closure of a plant included in the national emission reduction plan shall not result in an increase in the total annual emissions from the remaining plants covered by the plan."

Details are presented on the development and implementation of a National Plan, in particular a National Plan "shall comprise objectives and related targets, measures and timetables for reaching these objectives and targets, and a monitoring mechanism."

Emission limit values for existing plant

The emission limit values applicable to both compliance options for existing plants are summarised in Table 1.

Table 1 – Emission limit values for existing plants

Notes
1. The ELVs for existing plants are calendar monthly mean values, see Art 14. The reference oxygen contents are 6% for solid fuels and 3% for liquid and gaseous fuels.
2. Plants greater or equal to 400MWth, which do not operate more than the following number of hours a year (rolling average over a period of 5 years), shall be subject to an ELV for SO₂ of 800mg/m³:

• until 31 December 2015, 2000 hours; and
• from 1 January 2016, 1500 hours.

3. Where the ELVs cannot be met due to the characteristics of the fuel, a rate of desulphurisation of at least 60% shall be achieved in the case of plants with a rated thermal input of <= 100MWth, 75% for plants > 100MWth and <= 300MWth and 90% for plants > 300MWth. For plants > 500MWth, a desulphurisation rate of at least 94% shall apply or of at least 92% where a contract for the fitting of FGD or lime injection equipment has been entered into, and work on its installation has commenced, before 1 January 2001.

4. Until 31 December 2015 plants >500MWth which from 2008 do not operate more than 2000 hours per year (rolling average over a period of 5 years) shall, in the case of plant subject to a National Plan, have their contribution to the National Plan assessed on the basis of an ELV of 600mg/Nm³. From 1 January 2016 such plants, which do not operate more than 1500 hours per year (rolling average over a period of 5 years), shall be subject to an ELV for NO_x of 450mg/Nm³.

5. Until 1 January 2018 in the case of plants that in the 12 month period ending on 1 January 2001 operated on, and continue to operate on, solid fuels whose volatile content is <10%, 1200mg/Nm³ shall apply.

6. An ELV of 100mg/Nm³ may be applied to existing plants >= 500MWth burning solid fuel with a heat content of less than 5800kJ/kg, a moisture content > 45% by weight, a combined moisture and ash content > 60% by weight and a calcium oxide content > 10%.

7. An ELV of 100mg/Nm³ may be applied to plants <500MWth burning liquid fuel with an ash content > 0.06%.

8. Special provisions apply to multi-firing units using two or more fuels as detailed in Art 8. These are briefly summarised as follows:

i. In the case of plants with a multi-firing unit involving the simultaneous use of two or more fuels (Art 8(1)), ELVs shall be set firstly by taking the ELV of each fuel and pollutant; secondly by determining the fuel-weighted ELVs, obtained by multiplying the individual ELV by the thermal input delivered by each fuel, the product of multiplication being divided by the sum of the thermal inputs delivered by all fuels; and thirdly by aggregating the fuel-weighted ELVs.

II. In multi-firing units using the distillation and conversion residues from crude-oil refining for own consumption, alone or with other fuels (Art 8(2)), the provisions for the fuel with the highest ELV (the determinative fuel) shall apply, notwithstanding point (i) above, if during the operation of the combustion plant the proportion contributed by that fuel to the sum of the thermal inputs delivered by all fuels is at least 50%. Where the proportion of the determinative fuel is lower than 50%, the ELV is determined as described in Art 8(2), second paragraph.

III. As an alternative to point (ii), an average ELV for SO₂ may be applied (irrespective of the fuel combination used) of 1,000mg/Nm³, averaged over all existing plants within the refinery (Art 8(3)).

IV. In the case of plants with a multi-firing unit involving the alternative use of two or more fuels (Art 8(4)), the ELVs corresponding to each fuel used shall be applied.

Relationship between the National Plan under the new LCPD and other key policies

The implementation of a National Plan under the new LCPD will need to take into consideration other key policies, briefly detailed as follows:

IPPC Directive (Directive 96/61/EC)

The key provisions of the new LCPD as set out in Art 4(3) (the application of emission limit values or the implementation of a National Plan); Art 4(4) (the limited operating life derogation) and Art 4(6) (National Plan) are all preceded by text stating: Without prejudice to Directive 96/61/EC (the IPPC Directive). Furthermore Art 4(6) specifically states that "The national emission reduction plan may under no circumstances exempt a plant from the provisions laid down in relevant Community legislation, inter alia Directive 96/61/EC."

Under Art 5 of the IPPC Directive, existing installations will have to operate in accordance with the requirements of the IPPC Directive by 30 October 2007, i.e. they will need to have implemented Best Available Techniques (BAT) for achieving a high level of protection to the environment as a whole. Best available techniques are "available", according to the definition, if they are developed on a scale which allows implementation in the relevant industrial sector, under economically and technically viable conditions, taking into consideration the costs and advantages, whether or not the techniques are used or produced inside the Member State in question, as long as they are reasonably accessible to the operator (Art 2(11)). It can be said, however, that the notion of BAT is by nature dynamic and sufficiently flexible to allow the operator and the authorities to take into account constraints resulting from basic choices in the process or plant layout characterising an existing installation, and to respect cost-efficiency considerations.

Air Quality Framework Directive (Directive 96/62/EC)

The key provisions of the new LCPD are also preceded by text stating: Without prejudice to Directive 96/62/EC (the Air Quality Framework Directive). This directive establishes a framework under which the EU set limit values or target values for specified pollutants, including sulphur dioxide, nitrogen dioxide, particulate matter, lead, carbon monoxide, benzene, ozone, polyaromatic hydrocarbons, cadmium, arsenic, nickel and mercury. These are implemented via specific air quality daughter directives.

National Emission Ceilings Directive (Directive 2001/81/EC)

Art 4(6) of the new LCPD states that the implementation of a National Plan should take into consideration, amongst other things, a Member State’s obligations under the National Emission Ceilings Directive (NECD), Directive 2001/81/EC. The NECD sets ceilings for annual national emissions from Member States of SO₂, NO_x, volatile organic compounds (VOC) and ammonia (NH₃) to be attained by 2010. It covers emissions from combustion plants and all other emission sources of pollutants arising as a result of human activities, except from international maritime traffic and aircraft emissions beyond the landing and take-off cycle.

Sulphur Content of Liquid Fuels Directive (Directive 1999/32/EC)

The Sulphur Content of Liquid Fuels Directive (SCLFD) sets maximum sulphur content limits for heavy fuel oil and gas oil. Of most relevance to LCPs are the provisions for heavy fuel oil, which include a sulphur content limit of 1.0 % by mass from 1 January 2003. A derogation is allowable on the condition that the air quality standards for SO₂ laid down in Directive 80/779/EEC or in any Community legislation which repeals and replaces these standards and other relevant Community provisions are respected and the emissions do not contribute to critical loads being exceeded in any Member State. In such cases, a Member State may authorise the use of heavy fuel oils with a sulphur content of between 1.0 and 3.0 % by mass.

Subject to appropriate monitoring of emissions by competent authorities, the sulphur content limits in the above paragraph shall not apply to heavy fuel oils used:

1. in combustion plants which fall within the scope of the original Large Combustion Plant Directive (88/609/EEC), which are considered new plants in accordance with the definition given in Art 2(9) of that Directive [i.e. licensed on or after 1 July 1987] and which comply with the SO₂ emission limits for such plants set out in Art 4 of and Annex IV to that Directive;
2. in other combustion plants, which do not fall under the scope of (a), where the emissions of SO₂ from the plant are less than or equal to 1700 mg/Nm³ at an oxygen content in the flue gas of 3 % by volume on a dry basis; and
3. for combustion in refineries, where the monthly average of emissions of SO₂ averaged over all plants in the refinery (excluding combustion plants which fall under the scope of (a)), irrespective of the type of fuel or fuel combination used, are within a limit to be set by each Member State, which shall not exceed 1700 mg/Nm³.

The provisions in the above paragraph shall be reviewed and, if appropriate, revised in the light of the revision of Directive 88/609/EEC, i.e. the new Large Combustion Plant Directive.