February 10, 2017

John Filippelli
Director, Clean Air and Sustainability Division
U.S. Environmental Protection Agency Region 2
290 Broadway
New York, NY 10007-1866

Re: PSD Permit Extension for Proposed Energy Answers Arecibo Project

Dear Director Filippelli,

On behalf of Amigos del Río Guaynabo, Ciudadanos en Defensa del Ambiente, Comité Basura
Cero Arecibo, Madres de Negro de Arecibo, and Sierra Club de Puerto Rico, we write to confirm
that EPA Region 2 will comply with EPA policy and honor its determination, set forth in a letter
dated October 1, 2015, that unless Energy Answers Arecibo commence construction of its
project, the Prevention of Significant Deterioration (PSD) permit it obtained is effective only
until April 10, 2017.

As you know, Energy Answers Arecibo is proposing to construct a municipal solid waste
incinerator in Arecibo, Puerto Rico. EPA Region 2 issued a final PSD permit for the project on
April 10, 2014. With no construction on the horizon, Energy Answers requested an extension of
that permit, and on October 1, 2015, you signed a letter granting an 18 month extension and
extending the effective date of Energy Answers’ PSD permit until April 10, 2017.1

In that letter, you cited EPA’s Guidance on Extension of Prevention of Significant Deterioration
(PSD) Permits under 40 CFR 52.21(r)(2) (Extension Memorandum) in stating that “in the event
that Energy Answers does not commence construction by April 10, 2017, Region 2 is not
inclined to grant another extension.” This determination is consistent with the Extension
Memorandum setting forth EPA’s policy on PSD permit extensions, which indicates that:

[I]n most cases a request for a second extension of the commencement of
construction deadline should include a substantive re-analysis and update of PSD
requirements. . . . Generally, the benefits of conducting an updated substantive
review of the PSD requirements after 36 months from the initial issuance of the

1
Letter from John Filippelli, Director, EPA Region 2 Clean Air and Sustainability Division, to Patrick
Mahoney, President, Energy Answers, LLC (Oct. 1, 2015), available at
https://www.epa.gov/sites/production/files/2015-10/documents/energy_answers-
final_permit_extension_letter_.pdf (last visited Feb. 9, 2017).
TH
NORTHEAST 48 WALL STREET, 19 FLOOR NEW YORK, NY 10005

T: 212.845.7376 F: 212.918.1556 NEOFFICE@EARTHJUSTICE.ORG WWW.EARTHJUSTICE.ORG
PSD permit would outweigh the considerations . . . that favor an initial extension
without such analysis.2

We fully expect Region 2 to comply with this EPA policy and its own October 1, 2015
determination.

Please do not hesitate to contact Hannah Chang at 212-845-7382 or hchang@earthjustice.org
with any questions or concerns.

Sincerely,

Hannah Chang
Jonathan Smith
Earthjustice

Kenneth Rumelt
Vermont Law School Envtl. & Natural Res. Law Clinic

2
Memorandum from Stephen D. Page, Director, Office of Air Quality Planning and Standards, to
Regional Air Division Directors, Regions 1-10, Guidance on Extension of Prevention of Significant
Deterioration (PSD) Permits under 40 CFR 52.21(r)(2) (Jan. 31, 2014), available at
https://www.epa.gov/sites/production/files/2015-07/documents/extend14.pdf (last visited Feb. 9, 2017).

2