711 F.3d 643
6th Cir.2013Background
- Clean Air Act NSR requires permits for major modifications; preconstruction projections determine permit need.
- Regulatory history: 1992 actual-to-future-actual test; 2002 actual-to-projected-actual test with reasonable-possibility recordkeeping.
- Remand in 2007 led to regulations defining 'reasonable possibility' and requiring monitoring/reporting when project may cause significant emissions.
- DTE Monroe Unit #2 project (2010) projected post-change emissions increases; claimed under demand growth exclusion; Michigan DEQ did not act.
- EPA issued a violation notice (June 2010); district court granted summary judgment for DTE, rejecting preconstruction enforcement.
- EPA appeals challenging district court’s reading; majority reverses and remands to allow enforcement of preconstruction projections under NSR.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether EPA may challenge a preconstruction projection before post-construction data. | EPA can enforce projections to ensure compliance with NSR rules. | District court correctly held no preconstruction enforcement unless post-construction data show a violation. | EPA may challenge preconstruction projections; remanded for proceedings consistent with this opinion. |
| Whether the project-and-report scheme operates as a prior-approval regime or a project-and-report framework. | Scheme allows enforcement without preapproval; projections must be made per regulations. | Preconstruction enforcement should be unavailable until post-construction data prove a violation. | Not a prior-approval scheme; EPA may enforce projections under the project-and-report framework. |
Key Cases Cited
- New York v. EPA, 413 F.3d 3 (D.C.Cir.2005) (remand over NSR recordkeeping and reasonable-possibility concerns)
- Wisconsin Electric Power Co. v. Reilly, 893 F.2d 901 (7th Cir.1990) (actual-to-potential test invalid for power plants)
- Alaska Dept. of Envtl. Conservation v. EPA, 540 U.S. 461 (Supreme Court 2004) (EPA supervisory authority over NSR construction/modification)
