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Revised Summary of Express Terms - 6 NYCRR Part 570

Liquefied Natural Gas

This rulemaking is proposed by the New York State Department of Environmental Conservation (DEC) to adopt 6 NYCRR Part 570, the statewide regulations that would implement safe siting, operating, and transportation requirements in New York State (the State) for Liquefied Natural Gas (LNG) facilities under Article 23, Title 17 of the Environmental Conservation Law (ECL). Adoption of Part 570 would allow DEC to permit the siting, construction, and operation of LNG facilities in response to the renewed interest in locating LNG facilities (particularly heavy-duty truck fueling facilities) in the State. Part 570 also addresses the transportation of LNG and the statutory requirement that intrastate transportation only occur along approved routes. The following summarizes proposed 6 NYCRR Part 570.

Section 570.1: Introduction

Section 570.1 sets out the general purpose, applicability, definitions, exemptions, severability, and enforcement provisions of Part 570. The purpose of this section is to ensure the orderly and efficient administration of ECL Article 23, Title 17 at LNG facilities throughout the State. Consistent with Title 17, this Part does not regulate compressed natural gas or liquefied petroleum gas. These regulations do not require permits for vehicles or vessels that are fueled by LNG but do regulate dispensing facilities (fueling stations) that store LNG.

Section 570.2: Permit Requirements and Application Procedures

Section 570.2 applies to the permit requirements and application procedures for LNG facilities, including an explanation of the permit application process; contents of an application; criteria for siting; permit issuance, duration and renewal; public participation guidelines; modification of permit and change of ownership; permit suspension or revocation; and permit application fees and costs. This section also outlines the required procedures to obtain a permit. This section includes an upper limit of 70,000 gallons on the total amount of LNG that will be allowed to be stored at a permitted facility.

Section 570.3: Site Inspections, Recordkeeping, and Training of Local Fire Department Personnel

Section 570.3 applies to site inspections, recordkeeping, and training of local fire department personnel. Applicants for permits shall offer emergency training for local fire department staff, and such equipment and personnel as may be required. Compliance with training and inspection requirements can either be determined by DEC's personnel or third parties who are qualified to monitor compliance. This section also specifies which records must be maintained at all LNG facilities, and which must be either maintained at the facility or provided to DEC within three business days of DEC's request.

Section 570.4: Transportation of LNG

Section 570.4 explains the intrastate and interstate transportation requirements of LNG within the State.
The regulations prohibit the intrastate transportation of LNG unless the intrastate transportation route has been certified as set forth in subdivision 570.4(a). In reviewing the requirement within the ECL for certified routes (ECL section 23-1713), the State Department of Transportation has determined that since certified routes are not established for other hazardous materials, it would be impracticable to establish certified routes for LNG from sources within the State. For that reason, intrastate transportation of LNG would not be allowed under Part 570. Consistent with ECL Article 23 Title 17, the proposed regulations do not require certification of routes from out-of-state sources of LNG.

Section 570.5: Pre-Existing Facilities

Section 570.5 sets forth the requirement for pre-existing facilities to comply with the rules and regulations of this Part and the procedures outlined in the LNG Statute. There are three facilities which fit this situation: National Grid's Holtsville and Greenpoint facilities, and Con-Edison's Astoria plant. These facilities operate pursuant to DEC Orders issued in 1979.

Section 570.6: Permanent Closure of Out-of-Service LNG Storage Tanks

Section 570.6 establishes the requirements for the permanent closure of out-of-service LNG storage tanks, referring to engineering guidelines and procedures that must be complied with to ensure proper closure.

Section 570.7: Financial Assurance

Section 570.7 states that financial assurance, the form and amount of which will be established by DEC, may be required to ensure proper closure of LNG facilities.

Section 570.8: Reporting of LNG Spills

Section 570.8 explains the requirements for reporting a spill of LNG at a permitted facility. Spills of one gallon or more, or lesser amounts that result in a fire or explosion, must be reported.

Section 570.9: Effect on Moratorium

Section 570.9 pertains to the existence of a moratorium on the siting of LNG facilities in cities with populations of one million or more. It emphasizes that the LNG regulations will not affect any statutory moratorium. In May 2013, the moratorium was extended to April 1, 2015.

Section 570.10: References

Section 570.10 provides a listing of reference materials that are cited in 6 NYCRR Part 570, including those that are incorporated by reference, and explains how they can be obtained for inspection and/or purchasing.


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