Ariz. Admin. Code § R3-7-751 - Arizona CBG Requirements

A. General fuel property and performance requirements. In addition to the other requirements of this Article and except as provided in subsection (B), all Arizona CBG shall meet the following requirements and for any fuel property not specified, shall meet the requirements in ASTM D4814. The dates in this Section are compliance dates for the owner or operator of a motor fuel dispensing site or a fleet vehicle fueling facility.

1. Sulfur: 95 ppm by weight (max).

2. Aromatics: 50% by volume (max).

3. Olefins: 25% by volume (max).

4. E200: 70-30% volume.

5. E300: 100-70% volume.

6. Maximum vapor pressure:

a. October: 9.0 psi.

b. November 1 - March 31: 9.0 psi.

c. April: 10.0 psi.

d. May: 9.0 psi.

e. June 1 - September 30: 7.0 psi.

f. A gasoline-ethanol blend in the CBG-covered area is subject to the 1 psi vapor pressure waiver, as described in R3-7-708(D)(2), during April only.

7. Oxygen and oxygenates:

a. Minimum content:

i. November 1 - March 31: 10% ethanol by volume or 12.5% isobutanol by volume. If a petition under A.R.S. § 3-3493(C) is in effect: 2.7% oxygen by weight as approved by the associate director.

ii. April 1 - October 31: 0% by weight (any oxygenate).

b. The maximum oxygen content shall not exceed 5.8% by weight for ethanol and shall not exceed the amount allowed by EPA waivers under Section 211(f) of the Clean Air Act for other oxygenates. Additionally, the oxygen content shall comply with the requirements of A.R.S. § 3-3491 and § 3-3492.

c. Arizona CBG shall not contain more than 0.3 volume percent MTBE nor more than 0.1 weight percent oxygen from all other ethers or alcohols listed in A.R.S. § 3-3491.

8. Arizona CBG shall meet the Federal Complex Model VOC emissions reduction percentage May 1 through September 15: 27.5% (Federal Complex Model settings: Summer, Area Class B, Phase 2).

B. Winter requirements. In addition to the other requirements of this Article, the owner or operator of a motor fuel dispensing site or a fleet vehicle fueling facility shall ensure that beginning November 1 through March 31 of each year, all Arizona CBG meets the following fuel property requirements.

1. Sulfur: 80 ppm by weight (max),

2. Aromatics: 30% by volume (max),

3. Olefins: 10% by volume (max),

4. 90% Distillation Temp. (T90): 330° F (max),

5. 50% Distillation Temp. (T50): 220° F (max),

6. Vapor Pressure: 9.0 psi (max), and

7. Oxygenate:

a. Minimum oxygenate content - 10% ethanol by volume or 12.5% isobutanol by volume;

b. Maximum oxygen content - 5.8% oxygen by weight, and shall comply with the requirements of A.R.S. § 33492; and

c. Alternative minimum ethanol or isobutanol content may be used if approved by the associate director under A.R.S. § 3-3493(C).

C. Fuel ethanol and other oxygenate specifications. A person that uses fuel ethanol or other oxygenates as a blending component with AZRBOB or Arizona CBG shall ensure that the fuel ethanol or other oxygenates meet the following requirements:

1. A sulfur content not exceeding 10 ppm by weight;

2. The fuel ethanol or other oxygenate must be composed solely of carbon, hydrogen, nitrogen, oxygen, and sulfur;

3. For fuel ethanol, only gasoline previously certified under 40 CFR Part 80 (including previously certified blendstocks for oxygenate blending), gasoline blendstocks, or natural gas liquids may be used as denaturants; and

4. For fuel ethanol, the concentration of all denaturants is limited to a maximum of 3.0 volume percent.

C. Certification as Type 1 Arizona CBG or Type 2 Arizona CBG. A registered supplier shall certify Arizona CBG or AZRBOB under R3-7-752, using the test methods specified in R3-7-759 . Type 1 Arizona CBG or Type 2 Arizona CBG shall be certified with the addition of 10 volume percent ethanol or an oxygen content of 2.7% by weight for other oxygenates. A PM alternative gasoline formulation shall be certified with an oxygen content of 1.8 to 2.2% by weight as outlined in subsection (I).

D. General elections. Except as provided in subsection (E), a registered supplier shall make an initial election, and a subsequent election each time a change occurs, before beginning to transport Arizona CBG or AZRBOB. A registered supplier shall make the election with the associate director on a form or in a format prescribed by the associate director. The election shall state:

1. Whether the registered supplier (at each point where the Arizona CBG or AZRBOB is certified) will supply Arizona CBG or AZRBOB that complies with Type 1 Arizona CBG, Type 2 Arizona CBG, or the PM alternative gasoline formulation requirements and, if the registered supplier will supply Arizona CBG or AZRBOB that complies with the PM alternative gasoline formulation requirements, whether the registered supplier will certify using the CARB Phase 2 model; and

2. For each applicable fuel property or performance standard in the election under subsection (D)(1), whether the Arizona CBG or AZRBOB will comply with the average standards or per-gallon standards. A registered supplier shall not elect to comply with average standards unless the registered supplier is in compliance with R3-7-760 . A registered supplier shall not elect to comply with Type 1 Arizona CBG average standards in Table 1, columns B and C, from September 16 through October 31 and February 1 through April 30.

D. In addition to the standards in subsections (A) and (B), Type 1 Arizona CBG and Type 2 Arizona CBG shall be certified meeting the following standards:

1. Type 1 standards. For each fuel property, Type 1 Arizona CBG shall comply with the following per gallon standards, and shall be certified using the Federal Complex Model:

a. VOC Emission Reduction: 27.5% (min) May 1 through September 15.

b. NOx Emission Reduction: 5.5% (min) May 1 through September 15.

c. NOx Emission Reduction: 0.0% (min) September 16 through October 31 and February 1 through April 30.

2. Type 2 standards. For each fuel property, Type 2 Arizona CBG shall comply with the following maximum per gallon standards or a PM alternative gasoline formulation:

a. Maximum per gallon standards.

i. Sulfur: 40 ppm by weight (max).

ii. Aromatics: 25.0% by volume (max).

iii. Olefins: 6.0% by volume (max).

iv. 90% distillation temperature (T90): 300 °F (max).

v. 50% distillation temperature (T50): 210 °F (max).

b. PM alternative gasoline formulation. The PM alternative gasoline formulation shall meet the requirements of subsections (G) through (I), and the per gallon standards in R3-7-751(A) beginning April 1 through October 31 of each year, and R3-7-751(B) beginning November 1 through March 31 of each year.

E. Winter elections. Beginning November 1 through March 31 of each year, a registered supplier shall ensure that all Arizona CBG or AZRBOB complies with Type 2 Arizona CBG requirements or the PM alternative gasoline formulation requirements under Table 2. A registered supplier shall make an initial election, and a subsequent election each time a change occurs, before beginning to transport Arizona CBG or AZRBOB. A registered supplier shall make the election with the associate director on a form or in a format prescribed by the associate director. The election shall state:

1. Whether the registered supplier (at each point where the Arizona CBG or AZRBOB is certified) will supply Arizona CBG or AZRBOB that complies with the Type 2 Arizona CBG or the PM alternative gasoline formulation requirements; and

2. For each applicable fuel property, whether the Arizona CBG or AZRBOB will comply with the average standards or per-gallon standards.

E. A registered supplier may produce Type 1 Arizona CBG from December 1 through March 31 but the registered supplier shall not distribute the Arizona CBG to a motor fuel dispensing site within the CBG-covered area before April 1. A registered supplier may produce and distribute Type 2 Arizona CBG year-round.

F. A registered supplier may elect and produce Type 1 Arizona CBG from December 1 through March 31 but the registered supplier shall not distribute the Arizona CBG to a motor fuel dispensing site within the CBG-covered area before April 1.

F. November 1 through March 31 of each year, a registered supplier shall ensure that all Arizona CBG or AZRBOB complies with Type 2 Arizona CBG requirements or the PM alternative gasoline formulation requirements.

G. Certification as Type 1 Arizona CBG or Type 2 Arizona CBG. A registered supplier shall certify Arizona CBG or AZRBOB under R3-7-752 as meeting all requirements of the election made in subsection (D) or (E). For each fuel property, Type 1 Arizona CBG shall comply with the requirements in either column A or columns B through D of Table 1, and shall be certified using the Federal Complex Model, which is incorporated by reference in R3-7-702 . For each fuel property, Type 2 Arizona CBG shall comply with the requirements of columns A and B (averaging option), or column C in Table 2 or a PM alternative gasoline formulation. The PM alternative gasoline formulation shall meet the requirements of subsections (H), (I), and (J), and column A of Table 2. A registered supplier may shall certify Arizona CBG or AZRBOB using an equivalent the test method methods that the Division approves using the criteria stated specified in R3-7-759 .

G. Certification and use of the Predictive Model Procedures for PM alternative gasoline formulations.

1. Except as provided in subsection (I), a registered supplier shall use the PM as provided in the Predictive Model Procedures.

2. A registered supplier shall certify a PM alternative gasoline formulation with the associate director on a form prescribed by, or in a format acceptable to, the associate director, of:

a. The PM alternative specifications that apply to the final blend; and

b. The numerical values for percent change in emissions for oxides of nitrogen and hydrocarbons determined in accordance with the Predictive Model Procedures.

3. A registered supplier shall deliver the certification required under subsection (G)(2) to the associate director within 3 business days of transporting the PM alternative gasoline formulation. The registered supplier shall have a written process that is followed to verify the PM alternative gasoline formulation meets the applicable PM alternative specifications prior to transport.

4. If a registered supplier notifies the associate director under subsection (G)(3) that a final blend of Arizona CBG is sold or supplied from a production or import facility as a PM alternative gasoline formulation, all final blends of Arizona CBG or AZR-BOB subsequently sold or supplied from that production or import facility are subject to the same PM alternative specifications until the registered supplier either:

a. Designates a final blend at that facility as a PM alternative gasoline formulation subject to different PM alternative specifications; or

b. Chooses to certify a final blend at that facility subject to a flat limit compliance option.

H. Certification and use of Predictive Model for alternative PM gasoline formulations.

1. Except as provided in subsections (H)(4) and (J), a registered supplier shall use the PM as provided in the Predictive Model Procedures.

2. A registered supplier shall certify a PM alternative gasoline formulation with the associate director by either:

a. Submitting to the associate director a complete copy of the documentation provided to the executive officer of CARB according to 13 California Code of Regulations, Section 2264 and subsection (J); or

b. Notifying the associate director, on a form prescribed by or in a format acceptable to the associate director, of:

i. The PM alternative specifications that apply to the final blend, including for each specification whether it is a PM flat limit or a PM averaging limit; and

ii. The numerical values for percent change in emissions for oxides of nitrogen and hydrocarbons determined in accordance with the Predictive Model Procedures.

3. A registered supplier shall deliver the certification required under subsection (H)(2) to the associate director before transporting the PM alternative gasoline formulation.

4. Restrictions for elections to sell or supply final blends as PM alternative gasoline formulations.

a. A registered supplier shall not make a new election to sell or supply from its production or import facility a final blend of Arizona CBG as a PM alternative gasoline formulation if the registered supplier has an outstanding requirement under subsection (K) to provide offsets for fuel properties at the same production or import facility.

b. If a registered supplier elects to sell or supply from its production or import facility a final blend of Arizona CBG as a PM alternative gasoline formulation subject to a PM averaging compliance option for one or more fuel properties, the registered supplier shall not elect any other compliance option, including another PM alternative gasoline formulation, if an outstanding requirement to provide offsets for fuel properties exists under the provisions of subsection (K). This subsection does not preclude a registered supplier from electing another PM alternative gasoline formulation if:

i. The PM flat limit for one or more fuel properties is changed to a PM averaging limit, or a single PM averaging limit for which there is no outstanding requirement to provide offsets is changed to a PM flat limit;

ii. There are no changes to the PM alternative specifications for remaining fuel properties; and

iii. The new PM alternative formulation meets the criteria in the Predictive Model Procedures.

c. If a registered supplier elects to sell or supply from the registered supplier's production or import facility a final blend of Arizona CBG as a PM alternative gasoline formulation, the registered supplier shall not use a previously assigned designated alternative limit for a fuel property to provide offsets under subsection (K).

d. If a registered supplier notifies the associate director under subsection (D) or (E) that a final blend of Arizona CBG is sold or supplied from a production or import facility as a PM alternative gasoline formulation, all final blends of Arizona CBG or AZRBOB subsequently sold or supplied from that production or import facility are subject to the same PM alternative specifications until the registered supplier either:

i. Designates a final blend at that facility as a PM alternative gasoline formulation subject to different PM alternative specifications; or

ii. Elects, under subsection (D) or (E), a final blend at that facility subject to a flat limit compliance option or an averaging compliance option.

H. Prohibited activities regarding PM alternative gasoline formulations. A registered supplier shall not sell, offer for sale, supply, or offer to supply from the registered supplier's production or import facility Arizona CBG that is reported as a PM alternative gasoline formulation under R3-7-752 if any of the following occur:

1. The PM alternative specifications do not meet the criteria for approval in the Predictive Model Procedures, or

2. The gasoline fails to conform to any PM flat limit in the PM alternative specifications. A registered supplier may not use an average compliance option in the PM alternative specifications.

I. Oxygen content requirements for PM alternative gasoline formulations. A registered supplier shall ensure that from November 1 through March 31, all alternative PM gasoline formulations comply with oxygen content requirements for the CBG-covered area. Regardless of the oxygen content, a registered supplier shall certify the final alternative PM gasoline formulation using the PM with a minimum oxygen content of 1.8% by weight and a maximum oxygen content of 2.2% by weight. A registered supplier may use the CARBOB Model as a substitute for the preparation of a ethanol hand blend and use the fuel qualities calculated under the CARBOB Model for compliance and reporting purposes.

1. The elected PM alternative specifications do not meet the criteria for approval in the Predictive Model Procedures,

2. The registered supplier is prohibited by subsection (H)(4)(a) from electing to sell or supply the gasoline as a PM alternative gas

oline formulation,

3. The gasoline fails to conform with any PM flat limit in the PM alternative specifications election, or

4. With respect to any fuel property for which the registered supplier elects a PM averaging limit:

a. The gasoline exceeds the applicable PM average limit in Table 2, column B, and no designated alternative limit for the fuel property is established for the gasoline in accordance with subsection (H)(2); or

b. A designated alternative limit for the fuel property is established for the gasoline in accordance with subsection (H)(2), and either the gasoline exceeds the designated alternative limit for the fuel property or the designated alternative limit for the fuel property exceeds the PM averaging limit and the exceedance is not fully offset in accordance with subsection (K).

J. Rounding of values shall be conducted following 40 CFR 1090.50.

K. Offsetting fuel properties and performance standards. A registered supplier that elects to comply with the averaging standards for any of the fuel properties or performance standards contained in Tables 1 and 2, or the PM, shall, from a single production or import facility, complete physical transfer of certified Arizona CBG or AZRBOB in sufficient quantity to offset the amount by which the Arizona CBG or AZRBOB exceeds the averaging standard according to the following schedule:

1. A registered supplier that elects to comply with the averaging standards contained in Table 2 or the PM shall offset each exceeded average standard within 90 days before or after beginning to transport any final blend of Arizona CBG or AZRBOB from the production or import facility;

2. A registered supplier that elects to comply with the averaging standard for the VOC Emission Reduction Percentage in Table 1, column B, shall offset an exceedance of the standard that occurs from May 1 through September 15 during that same period; and

3. A registered supplier that elects to comply with the averaging standard for the NOx Emission Reduction Percentage contained in Table 1, column B, shall offset an exceedance of the standard that occurs from May 1 through September 15 during that same period.

L. Consequence of failure to comply with averages.

1. In addition to a penalty under R3-7-762, if any, a registered supplier that fails to comply with a requirement of subsection (K) shall meet the applicable per-gallon standards contained in Table 1, Table 2, or an alternative PM gasoline formulation, for a probationary period as follows:

a. For a registered supplier that elects to comply with the standards contained in Table 1, the probationary period begins on the first day of the next averaging season and ends on the last day of that averaging season if the conditions of subsection (L)(2) are met;

b. For a registered supplier that elects to comply with the standards contained in Table 2 or the PM, the probationary period begins no later than 90 days after the registered supplier determines, or receives a notice from the associate director, that the registered supplier did not comply with the requirements of subsection (K). Before the probationary period begins, the registered supplier shall notify the associate director in writing of the beginning date of the probationary period. The probationary period ends 90 days after its beginning date.

2. A registered supplier shall not produce or import Arizona CBG or AZRBOB under an averaging compliance election until:

a. The registered supplier submits a compliance plan to the associate director that includes:

i. An implementation schedule for actions to correct noncompliance, and

ii. Reporting requirements that document implementation of the compliance plan,

b. The associate director approves the plan,

c. The registered supplier implements the plan, and

d. The registered supplier achieves compliance.

3. If a registered supplier fails to comply with the requirements of subsection (K) within one year of the end of a probationary period under subsection (L)(1), the registered supplier shall comply with applicable per-gallon standards for a subsequent probationary period of two years, or until the conditions in subsection (L)(2) are satisfied, whichever is later.

a. If a registered supplier elects to comply with the Table 1 standards, the probationary period begins on the first day of the next averaging season.

b. If a registered supplier elects to comply with the Table 2 standards or the PM, the probationary period begins no later than 90 days after the registered supplier determines, or receives notice from the associate director, that the registered supplier did not comply with the requirements of subsection (K). Before the probationary period begins, the registered supplier shall notify the associate director in writing of the beginning date of the probationary period.

4. If a registered supplier fails to comply with the requirements of subsection (K) within one year after the end of a probationary period provided under subsection (L)(3), the registered supplier shall permanently comply with applicable per-gallon standards.

M. Effect of VOC survey failure. Each time a VOC survey conducted under R3-7-760 shows excess VOC emissions in the CBG-covered area, the VOC emissions performance reduction in R3-7-751(A)(8) and the minimum per-gallon VOC emission reduction percentage in Table 1, column C shall be increased by an absolute 1.0 percent, not to exceed the VOC percent emissions reduction percentage per-gallon standard in Table 1, column A.

N. Effect of NOx survey failure. Each time a NOx survey conducted under R3-7-760 shows excess NOx emissions in the CBG-covered area, the NOx average emission reduction percentage applicable to the period of May 1 through September 15 in Table 1, column B shall be increased by an absolute 1.0 percent.

O. Subsequent survey compliance. If the minimum VOC or average NOx emissions reduction percentage has been made more stringent according to subsection (M) or (N) and all emissions reduction surveys for VOC or NOx for two consecutive years show emissions within the applicable adjusted reduction percentage in the CBG-covered area, the applicable VOC or NOx emissions adjusted reduction percentage shall be reduced by an absolute 1.0 percent beginning in the year following the year in which the second compliant survey is conducted. Each emissions reduction percentage adjusted under this subsection shall not be decreased below the following:

1. >27 percent for the VOC emissions reduction percentage, May 1 through September 15, Table 1, column C; and

2. >6.8 percent for the NOx emissions reduction percentage, May 1 through September 15, Table 1, column B.

P. Subsequent survey failures. If a VOC or NOxx emissions reduction percentage is made less stringent under subsection (O) and a subsequent VOC or NOxx survey shows excess VOC or NOxx emissions in the CBG-covered area:

1. For a VOC survey failure, the Federal Complex Model VOC emissions reduction percentage in R3-7-751(A)(8) and the minimum per gallon VOC emission reduction percentage in Table 1, column C shall be increased by an absolute 1.0 percent, not to exceed the VOC percent emissions reduction percentage per gallon standard in Table 1, column A;

2. For a NOxx survey failure, the NOxx average emission reduction percentage applicable May 1 through September 15 in Table 1, column B shall be increased by an absolute 1.0 percent; and

3. If the VOC or NOx emission reduction percentage is increased under subsection (P)(1) or (2), the VOC or NOx emission reduction percentage shall not be made less stringent regardless of the result of subsequent surveys for VOC or NOx emissions.

Q. Effective date for adjusted standards. If a performance standard is adjusted by operation of subsection (M), (N), (O), or (P), the effective date for the change is the beginning of the next averaging season for which the standard is applicable.

R. The use of oxygenates other than ethanol under subsection (A)(7)(a)(i) and (B)(7)(a) is prohibited until EPA approves a revision to the state implementation plan allowing the use of oxygenates other than ethanol.

Notes

Ariz. Admin. Code § R3-7-751

Adopted by final rulemaking at 23 A.A.R. 2280, effective 10/2/2017. Amended by final rulemaking at 24 A.A.R. 2666, effective 11/10/2018. Amended by final rulemaking at 29 A.A.R. 442, effective 3/5/2023.