Rule2026-01406

Air Plan Approval; Indiana; Regional Haze Plan for the Second Implementation Period

Primary source

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Published
January 26, 2026
Effective
February 25, 2026

Issuing agencies

Environmental Protection Agency

Abstract

The Environmental Protection Agency (EPA) is approving the Regional Haze State Implementation Plan (SIP) revision for Indiana submitted by the Indiana Department of Environmental Management (IDEM or Indiana) on December 29, 2021, as satisfying applicable requirements under the Clean Air Act (CAA) and EPA's Regional Haze Rule (RHR) for the program's second implementation period. Indiana's SIP submission addresses the requirement that States must periodically revise their long-term strategies for making reasonable progress towards the national goal of preventing any future, and remedying any existing, anthropogenic impairment of visibility, including regional haze, in mandatory Class I Federal areas. Indiana's SIP submission also addresses other applicable requirements for the second implementation period of the regional haze program. EPA is taking this action pursuant to sections 110 and 169A of the CAA.

Full Text

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<title>Federal Register, Volume 91 Issue 16 (Monday, January 26, 2026)</title>
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[Federal Register Volume 91, Number 16 (Monday, January 26, 2026)]
[Rules and Regulations]
[Pages 3057-3066]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-01406]



[[Page 3057]]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R05-OAR-2021-0963; FRL-12589-02-R5]


Air Plan Approval; Indiana; Regional Haze Plan for the Second 
Implementation Period

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is approving the 
Regional Haze State Implementation Plan (SIP) revision for Indiana 
submitted by the Indiana Department of Environmental Management (IDEM 
or Indiana) on December 29, 2021, as satisfying applicable requirements 
under the Clean Air Act (CAA) and EPA's Regional Haze Rule (RHR) for 
the program's second implementation period. Indiana's SIP submission 
addresses the requirement that States must periodically revise their 
long-term strategies for making reasonable progress towards the 
national goal of preventing any future, and remedying any existing, 
anthropogenic impairment of visibility, including regional haze, in 
mandatory Class I Federal areas. Indiana's SIP submission also 
addresses other applicable requirements for the second implementation 
period of the regional haze program. EPA is taking this action pursuant 
to sections 110 and 169A of the CAA.

DATES: This final rule is effective on February 25, 2026.

ADDRESSES: EPA has established a docket for this action under Docket ID 
No. EPA-R05-OAR-2021-0963. All documents in the docket are listed on 
the <a href="https://www.regulations.gov">https://www.regulations.gov</a> website. Although listed in the index, 
some information is not publicly available, i.e., Confidential Business 
Information (CBI), Proprietary Business Information (PBI), or other 
information whose disclosure is restricted by statute. Certain other 
material, such as copyrighted material, is not placed on the internet 
and will be publicly available only in hard copy form. Publicly 
available docket materials are available either through <a href="https://www.regulations.gov">https://www.regulations.gov</a> or at the Environmental Protection Agency, Region 
5, Air and Radiation Division, 77 West Jackson Boulevard, Chicago, 
Illinois 60604. This facility is open from 8:30 a.m. to 4:30 p.m., 
Monday through Friday, excluding Federal holidays. We recommend that 
you telephone Charles Hatten, Environmental Engineer, at (312) 886-6031 
before visiting the Region 5 office.

FOR FURTHER INFORMATION CONTACT: Charles Hatten, Air and Radiation 
Division (AR-18J), Environmental Protection Agency, Region 5, 77 West 
Jackson Boulevard, Chicago, Illinois 60604, (312) 886-6031, 
<a href="/cdn-cgi/l/email-protection#f49c958080919ada979c9586989187b4918495da939b82"><span class="__cf_email__" data-cfemail="a1c9c0d5d5c4cf8fc2c9c0d3cdc4d2e1c4d1c08fc6ced7">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA.

Table of Contents

I. Background
II. Public Comment Process
III. Summary of Public Comments and EPA's Responses
    A. Comments Received
    B. Comments and Responses That Are Not Specific to EPA's Uniform 
Rate of Progress (URP) Policy
    C. Comments and Responses That Are Specific to EPA's URP Policy
    D. EPA's Final Approval
IV. Final Action
V. Statutory and Executive Order Reviews

I. Background

    On December 29, 2021, IDEM submitted a revision to its SIP to 
address regional haze requirements for the second implementation 
period. IDEM made this SIP submission to satisfy the requirements of 
the CAA's regional haze program pursuant to CAA sections 169A and 169B 
and 40 CFR 51.308.
    On June 18, 2025 (90 FR 25944), EPA proposed to approve the Indiana 
regional haze SIP revision. In the notice of proposed rulemaking 
(NPRM), EPA proposed to find that Indiana's Regional Haze SIP 
submission satisfied the regional haze requirements for the second 
implementation period contained in 40 CFR 51.308(f). As described 
further in EPA's proposed approval, IDEM utilized technical analyses 
and its source selection methodology to target the sources with the 
highest potential to impair visibility at mandatory Class I areas.\1\ 
IDEM's initial list of twenty candidate sources for a four-factor 
analysis represented the majority of Indiana's emissions that may 
influence visibility impacts on out-of-state Class I areas. IDEM 
further refined that list by excluding eleven electric generating units 
(EGUs) that either had existing effective controls or that were not 
expected to continue operating beyond 2028. IDEM then proceeded with 
site-specific four-factor analyses for the remining nine non-EGU 
facilities identified through this process. A detailed analysis of 
Indiana's plan and EPA's evaluation are contained in the NPRM, dated 
June 18, 2025 (90 FR 25944), as well as the Technical Support Document 
(TSD), dated April 22, 2025, and will not be restated here.
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    \1\ There are no Class I areas in Indiana. However, the RHR 
requires SIPs to address Class I areas located outside the state 
that may be affected by emissions from within the state.
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II. Public Comment Process

    The public review and comment period on EPA's NPRM opened June 18, 
2025, and was originally scheduled to close on July 18, 2025. On June 
26, 2025, EPA received a comment letter from the National Parks 
Conservation Association, the Coalition to Protect America's National 
Parks, and the Sierra Club (Comment 1) requesting that EPA provide an 
additional 30 days for public comment on the NPRM. On July 16, 2025 (90 
FR 31923), EPA published a NPRM extending the public review and comment 
period to August 18, 2025.
    During the review and comment period, EPA received relevant 
comments from the following individuals, businesses, agencies, and 
organizations: an individual identified as Kurtis K. (Comment 2); three 
anonymous commenters (Comments 3, 4, and 5); IDEM (Comment 6); Power 
Generators Air Coalition (Comment 7); Ameren Missouri, American 
Electric Power Company, Inc. on behalf of its operating companies, and 
Nebraska Public Power District (collectively referred as the 
``Utilities for Reasonable Progress'') (Comment 8); Ohio Valley 
Electric Corporation (OVEC) and Indiana-Kentucky Electric Corporation 
(IKEC) (Comment 9); Abrams Environmental Law Clinic, Artists for 
Environmental Restoration, Inc., Citizens Climate Lobby-Evansville 
Chapter, Conservation Law Center, Environmental Advocacy Center at the 
Northwestern Pritzker School of Law, Faith in Place, Hessville Dune 
Dusters, Izaak Walton League-Indiana Division, Izaak Walton League-
Porter County Chapter, Just Transition Northwest Indiana, National 
Parks Conservation Association, Owen-Putnam Friends of the Forest, Save 
the Dunes, Sierra Club-Hoosier Chapter, and Tri-State Creation Care 
(collectively referred to as ``Community Organizations'') (Comment 10); 
Mid-Atlantic/Northeast Visibility Union (MANEVU) regional planning 
organization (Comment 11); and National Parks Conservation Association, 
Sierra Club, Environmental Law & Policy Center, Coalition to Protect 
America's National Parks, Conservation Law Center, Save the Dunes, and 
the Indiana Division of the Izaak Walton League of America 
(collectively referred to as the

[[Page 3058]]

``Conservation Groups'') (Comments 12 through 23).

III. Summary of Public Comments and EPA's Responses

A. Comments Received

    All comments received are included in the rulemaking docket for 
this action. In the December 19, 2025, Response to Comments document 
(RTC), which is included in the docket for this rulemaking, EPA 
provides summaries of and detailed responses to all significant 
comments that further explain the basis for our final action.
    In addition to the request to extend the public comment period, EPA 
received comments on the NPRM addressing several topics including, but 
not limited to, additional emissions monitoring, increased public 
engagement, climate resilience, visibility trends, public health, 
economic benefits, enforceability of retirements, existing effective 
controls, four-factor analyses,\2\ cost considerations, Best Available 
Retrofit Technology (BART), and impacts on local communities. 
Additionally, EPA received several comments regarding EPA's URP 
policy.\3\
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    \2\ Under CAA 169A(g)(1), the four statutory factors are the 
costs of compliance, the time necessary for compliance, the energy 
and non-air quality environmental impacts of compliance, and the 
remaining useful life of any potentially affected sources. See also 
40 CFR 51.308(f)(2)(i). An evaluation of potential control options 
for sources of visibility impairing pollutants based on applying the 
four statutory factors in CAA section 169A(g)(1) is referred to as a 
``four-factor'' analysis.
    \3\ A change in Agency policy was introduced in the approval of 
West Virginia's regional haze plan. See the April 18, 2025, (90 FR 
16478) proposed rule) and the July 7, 2025, (90 FR 29737) final 
rule.
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    EPA acknowledges the seven comments that were generally supportive 
of the proposed action and EPA's URP policy from Kurtis K. (Comment 2), 
two anonymous commenters (Comments 3-4), IDEM (Comment 6); PGen 
(Comment 7), Utilities for Reasonable Progress (Comment 8), as well as 
OVEC and IKEC (Comment 9). Comments received from the Community 
Organizations, MANEVU, and the Conservation Groups were generally 
opposed to EPA's proposed action: Comments 10--23. The comments, while 
summarized below, are available in full in the docket for this 
rulemaking and are addressed in EPA's December 19, 2025, RTC. The 
comments and EPA's responses summarized here are divided into two 
sections for those that are and are not specific to EPA's URP policy.

B. Comments and Responses That Are Not Specific to EPA's URP Policy

    Comment and Response 2: Comments from Kurtis K., while supportive 
of EPA's proposed action, suggested additional emissions monitoring at 
three facilities and increased public engagement.
    As addressed in the RTC, EPA notes that the type of emissions 
monitoring suggested is already provided for in the federally 
enforceable title V permits and considered in the visibility modeling 
efforts for the three facilities mentioned in the comment. As to 
providing for public engagement after SIP implementation, EPA notes 
that the RHR provides for public comment on SIP revisions and the 
progress of the SIP, generally every five years.
    Comments and Responses 3, 4, 6, 7, 8, and 9: Comments received from 
two anonymous commenters, IDEM, PGen, Utilities for Reasonable 
Progress, as well as OVEC and IKEC supported EPA's proposed action. EPA 
acknowledges their support for EPA's proposed approval.
    Comment and Response 10: The Community Organizations asserted that 
EPA's proposed approval will allow pollution to continue harming the 
air quality, public health, and economy of local and national parks and 
communities.
    As addressed in the RTC, Indiana has taken appropriate steps to 
reduce pollution that affects air quality in the affected Class I 
areas, including meaningful sulfur dioxide (SO<INF>2</INF>) and 
nitrogen oxides (NO<INF>X</INF>) emission reductions since the 
beginning of the second implementation period in 2019. Most of these 
emissions reductions have already occurred during the second 
implementation period and will continue to improve visibility in all 
Class I areas affected by emissions from Indiana. EPA notes that the 
visibility program prescribed by CAA sections 169A and 169B and 
implemented in 40 CFR 51.308 is not a public health-based program, and 
impacts on park tourism and local economies are not considerations 
within the Regional Haze statute or rule.
    Comment and Response 11: MANEVU raised several items for EPA's 
consideration relating to changing circumstances since the time that 
MANEVU sent its ``Asks'' to Indiana on November 5, 2021, during the 
State's regional haze planning efforts. MANEVU observed that the Lake 
Michigan Air Directors Consortium (LADCO) has documented that modeled 
levels of nitrate in the winter have apparently been underestimated, 
and that declining trends in visibility impairment appear to have 
``flattened'' in recent years. As a result, MANEVU asserted that 
additional measures will be needed in the future ``to reinvigorate 
robust visibility improvements.''
    As discussed in the RTC, EPA provides further explanation of 
LADCO's modeling and notes that MANEVU did not address a specific 
regulation or provision in question or recommend a different action on 
Indiana's 2021 SIP submission from what EPA proposed.
    Comment and Response 12: The Conservation Groups assert that 
reducing haze pollution from Indiana facilities will improve visibility 
in Class I areas \4\ and result in economic, public health, and 
environmental benefits.
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    \4\ Areas statutorily designated as mandatory Class I Federal 
areas consist of national parks exceeding 6,000 acres, wilderness 
areas and national memorial parks exceeding 5,000 acres, and all 
international parks that were in existence on August 7, 1977. CAA 
162(a). There are 156 mandatory Class I areas. The list of areas to 
which the requirements of the visibility protection program apply is 
in 40 CFR part 81, subpart D. Class I Federal areas are hereinafter 
referred to as ``Class I areas''.
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    As addressed in the RTC, concerns regarding public health, park 
visitation, and local economies are not considerations within the 
Regional Haze statute or rule.
    Comment and Response 13: The Conservation Groups argue that EPA's 
proposal to approve the Indiana SIP Revision violates the CAA and RHR. 
In this regard, the Conservation Groups assert: (a) that EPA's reliance 
on permit limits and consent decrees, past emission reductions, and 
ongoing emission reductions to approve Indiana's 2021 SIP Revision is 
arbitrary and capricious; and (b) that Indiana failed to include 
federally enforceable measures in the 2021 SIP Revision for source 
retirements.
    As detailed in the RTC, EPA disagrees with the Conservation Groups' 
assertions. Indiana did not rely on any planned EGU retirements, past 
emission reductions, reductions in utilization, or ongoing emission 
reductions that are not already federally enforceable as necessary to 
make reasonable progress in the second implementation period. As such, 
Indiana did not request any additional measures for the second 
implementation period be incorporated into the regulatory portion of 
Indiana's SIP at 40 CFR 52.770.
    Comment and Response 14: The Conservation Groups assert that 
Indiana unreasonably refused to conduct four-factor analyses for 
sources that the State claimed are effectively controlled. The 
Conservation Groups argue that neither the CAA nor the RHR allows 
States to

[[Page 3059]]

eliminate sources from the four-factor statutory analysis on the basis 
that they are effectively controlled. The Conservation Groups contend 
that Indiana's demonstrations of existing effective controls are flawed 
and that reasonable controls or upgrades are available for these 
facilities at some of the State's largest sources of regional haze-
causing emissions, including Duke-Gibson, Alcoa-Warrick Power Plant, 
AEP-Rockport, IKEC-Clifty Creek, and Duke-Cayuga.
    As further discussed in the RTC, EPA addresses this comment as well 
as comments regarding each of these five facilities below under 
Comments and Responses 14a to 14f, respectively.
    Comment and Response 14a: Existing Effective Control 
Demonstrations. As described in more detail in the RTC, EPA disagrees 
with the notion that CAA sections 169A(b)(2) and (g)(1) and the RHR 
prohibit States from foregoing a four-factor analysis based on a State 
determination that a source is effectively controlled. As outlined in 
the 2017 RHR preamble, ``the EPA has consistently interpreted the CAA 
to provide States with the flexibility to conduct four-factor analyses 
for specific sources, groups of sources or even entire source 
categories, depending on State policy preferences and the specific 
circumstances of each State.'' \5\ However, within the bounds of the 
flexibility afforded to States, EPA also stated that States must 
``exercise reasoned judgment when choosing which sources, groups of 
sources or source categories to analyze.'' \6\ In the 2019 Guidance, 
section 3(f), EPA explained when it may be appropriate to forgo a four-
factor analysis for sources with existing effective control measures 
and provided examples where a full four-factor analysis would likely 
result in the conclusion that no further controls are necessary.\7\ EPA 
evaluated Indiana's Regional Haze SIP submission and concludes that 
IDEM's source selection methodology, thresholds, and justification for 
not conducting a four-factor analysis on all sources for this second 
implementation period are reasonable. EPA also concludes that IDEM 
sufficiently demonstrated that the sources selected for further 
evaluation at the facilities listed under this comment below are 
effectively controlled for the second implementation period.
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    \5\ 82 FR 3088, January 10, 2017.
    \6\ 82 FR 3088, January 10, 2017.
    \7\ See section 3(f) of EPA's ``Guidance on Regional Haze State 
Implementation Plans for the Second Implementation Period,'' EPA 
Office of Air Quality Planning and Standards, Research Triangle 
Park, August 20, 2019 (2019 Guidance) which is publicly available at 
<a href="https://www.epa.gov/sites/default/files/2019-08/documents/8-20-2019_-_regional_haze_guidance_final_guidance.pdf">https://www.epa.gov/sites/default/files/2019-08/documents/8-20-2019_-_regional_haze_guidance_final_guidance.pdf</a>.
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    Comment and Response 14b: Duke-Gibson. The Conservation Groups 
assert that excluding Duke-Gibson Unit 5 from LADCO's emissions 
projections in the 2028 visibility modeling was arbitrary and unlawful 
since there is no legal requirement preventing the unit from continuing 
to operate beyond 2028. The Conservation Groups further state that the 
existing NO<INF>X</INF> and SO<INF>2</INF> emission controls on Duke-
Gibson Units 1, 2, 3, 4, and 5 are underperforming and that upgrades to 
the existing controls would likely be feasible and cost-effective.
    As described in further detail in the RTC, EPA disagrees with this 
comment and notes that the assumptions used in modeling future 
projections were based on the best available information at the time. 
Although there is no current legal obligation for Unit 5 to retire, EPA 
continues to find that IDEM has sufficiently demonstrated that Units 1, 
2, 3, 4, and 5 are effectively controlled for the second implementation 
period and that a four-factor analysis would not likely result in the 
conclusion that further controls are necessary for reasonable progress. 
In this regard, consistent with the 2019 Guidance, IDEM showed that the 
SO<INF>2</INF> emission rates for all units are below the 2012 Mercury 
and Air Toxics Standards (MATS) for coal-fired EGUs. Additionally, 
NO<INF>X</INF> emission rates are below the 0.08 pounds per million 
metric British thermal units (lbs/MMBtu) level for EGUs with optimized 
selective catalytic reduction (SCR) under the Revised Cross-State Air 
Pollution Rule (CSAPR) Update,\8\ flue gas desulfurization (FGD) 
control efficiencies are greater than 90 percent, and SCR control 
efficiencies are greater than 80 percent.
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    \8\ See 86 FR 23054, 23088, April 30, 2021.
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    Comment and Response 14c: Alcoa-Warrick Power Plant. The 
Conservation Groups argue that Indiana should conduct a four-factor 
analysis on Alcoa-Warrick Power Plant's Units 1, 2, 3, and 4.
    As described in further detail in the RTC, EPA disagrees with this 
comment and notes that IDEM has sufficiently demonstrated that Alcoa-
Warrick Power Plant Units 1, 2, 3 and 4 are effectively controlled for 
the second implementation period. All four units are subject to BART 
emission limitations from the first implementation period on a 
pollutant-specific basis and continue to operate BART controls. Thus, 
as described in the 2019 Guidance, although BART-eligible sources 
should not be categorically excluded from further analysis in each 
planning period, the source is currently operating controls to meet 
BART emission limits, and it is unlikely that there will be further 
available reasonable controls. Based on the information provided in 
Indiana's SIP submission and the BART analysis, IDEM appropriately 
demonstrated that a full four-factor analysis would likely result in 
the conclusion that no further controls are necessary.
    Comment and Response 14d: AEP-Rockport. The Conservation Groups 
state that the existing NO<INF>X</INF> and SO<INF>2</INF> emission 
controls on AEP-Rockport Units 1 and 2 are underperforming and that a 
four-factor analysis should have been performed.
    As further explained in the RTC, EPA disagrees with this comment 
and maintains that IDEM has sufficiently demonstrated that AEP-Rockport 
MB1 and MB2 are effectively controlled for the second implementation 
period. In this regard, as described in the 2019 Guidance, IDEM showed 
that with the recent installation of enhanced dry sorbent injection 
(DSI) and SCR on MB2, the SO<INF>2</INF> emission rates for both 
boilers are below the 0.2 lbs/MMBtu level for coal-fired EGUs in the 
2012 MATS, and NO<INF>X</INF> emission rates are below the 0.08 lbs/
MMBtu level for units with SCR under the Revised CSAPR Update.
    Comment and Response 14e: IKEC-Clifty Creek. The Conservation 
Groups argue that additional cost-effective NO<INF>X</INF> and 
SO<INF>2</INF> emission controls are likely to exist for IKEC-Clifty 
Creek's six EGUs and that a four-factor analysis should have been 
performed.
    As described in greater detail in the RTC, EPA disagrees with this 
comment and maintains that IDEM has sufficiently demonstrated that 
IKEC-Clifty Creek Units 1-6 are effectively controlled for the second 
implementation period as described in the 2019 Guidance, with FGDs 
achieving 98 percent SO<INF>2</INF> control efficiency, SCRs and 
overfire air achieving 70-90 percent NO<INF>X</INF> control on an 
annual basis, and actual SO<INF>2</INF> emission rates for all six 
units below the 2012 MATS level for coal-fired EGUs. Additionally, IDEM 
has thoroughly documented NO<INF>X</INF> emissions that are 
progressively constrained on an annual basis under the Revised CSAPR 
Update Rule and the lack of potential controls for NO<INF>X</INF> that 
IDEM considers cost-effective.
    Comment and Response 14f: Duke-Cayuga. The Conservation Groups 
argue that Indiana should be required to conduct a four-factor analysis 
on Duke-Cayuga's two coal-fired EGUs Units 2

[[Page 3060]]

and 3 and that cost-effective options for additional NO<INF>X</INF> 
emission controls would likely be cost-effective.
    As explained in greater detail in the RTC, EPA disagrees with this 
comment and maintains that IDEM has sufficiently demonstrated that 
Duke-Cayuga Units 2 and 3 are effectively controlled for the second 
implementation period. In this regard, as described in the 2019 
Guidance, IDEM documented FGD systems achieving 95 percent control 
efficiency, SO<INF>2</INF> rates that are below MATS for coal fired 
units, and NO<INF>X</INF> emissions that are controlled by low-
NO<INF>X</INF> burners with separated over fire air and SCR achieving 
88 percent control efficiency.
    Comment and Response 15: The Conservation Groups contend that EPA 
neglected its duty to review Indiana's source-specific four-factor 
analyses. The Conservation Groups also argue that IDEM did not 
rigorously analyze controls that the Conservation Groups maintain are 
likely cost effective and, in so doing, did not appropriately require 
additional control measures for any of the nine sources IDEM evaluated 
to reduce emissions to make reasonable progress. The nine sources 
include: (a) Lone Star Industries, Inc.-Greencastle dba Buzzi Unicem 
USA; (b) Cleveland-Cliffs Steel, LLC-Indiana Harbor East and Indiana 
Harbor West; (c) Cleveland-Cliffs Steel, LLC-Burns Harbor; (d) U.S. 
Steel-Gary Works; (e) SABIC Innovative Plastics-Mt. Vernon, LLC; (f) 
Warrick Newco LLC, formerly Alcoa Warrick Operations, LLC; (g) 
Cokenergy, LLC; and (h) Heidleberg Materials US Cement LLC-Mitchell 
Plant, formerly Lehigh Cement Company, LLC-Mitchell Plant.
    As further explained in the RTC and as outlined in our NPRM and 
April 22, 2025, TSD, EPA carefully evaluated Indiana's 2021 SIP 
submission along with the comments from the Federal Land Managers 
(FLMs) consultation and the State's public notice period, as well as 
the State's responses to those comments. Based on the complete record, 
EPA explained its decision to approve the SIP and took comment on the 
proposed approval in the NPRM. EPA recognizes that IDEM worked directly 
with the sources to conduct extensive site-specific technical work and 
provide full documentation in support of its 2021 SIP to submit 
complete four-factor analyses evaluating potential feasible and 
reasonable control measures. In the NPRM and April 22, 2025, TSD, EPA 
documented the existing controls, permit limitations, control options, 
potential reductions, and potential costs for new controls that the 
State relied upon in its four-factor analyses. In making its 
determinations, IDEM properly considered the four statutory factors 
along with projected 2028 visibility conditions for Class I areas 
influenced by emissions from Indiana sources, emission reductions that 
have occurred, and current control technologies in concluding no 
additional controls were necessary to make reasonable progress.
    Comment and Response 15a: Lone Star Industries, Inc.-Greencastle 
dba Buzzi Unicem USA. The Conservation Groups state that IDEM's four-
factor analysis should have also evaluated SCR and lacked documentation 
with the consideration of selective non-catalytic reduction for the 
remaining useful life and interest rate in the cost calculations. The 
Conservation Groups also contend that Indiana reached its conclusions 
before the FLM consultation period and the public comment period.
    As explained in detail in the RTC, EPA disagrees and notes that 
IDEM did consider SCR in determining feasible control options. For each 
control option evaluated, IDEM also provided extensive site-specific 
documentation, including an explanation of the control technologies, 
applicability, the limitations, expected removal efficiencies and 
performance, as well as considerations for cost analyses for both 
capital and operating costs and the relationship with reduction 
efficiency.
    Further, EPA disagrees with the Conservation Groups' allegations 
that IDEM failed to incorporate FLM comments in its planning. EPA 
believes IDEM genuinely and consistently portrayed its intentions by 
clearly stating, ``it is important to address the FLMs comments as 
thoroughly as possible to show that Indiana has seriously evaluated the 
selected sources . . .'' \9\ EPA finds in this final rulemaking that 
Indiana has satisfied the consultation and public notice requirements 
of 40 CFR 51.102 and 51.308(i).
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    \9\ Appendix P, p.3 of Indiana's 2021 SIP submission.
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    Comment and Response 15b: Cleveland-Cliffs Steel, LLC-Indiana 
Harbor East and Indiana Harbor West. In addition to the potential 
controls examined in the four-factor analyses, the Conservation Groups 
assert that IDEM should have evaluated additional emission controls for 
the No. 5 Boiler House, Blast Furnace Stoves, Lime Kilns, and Walking 
Beam Furnaces.
    As described in further detail in the RTC, EPA disagrees with this 
comment and notes that IDEM explained that Indiana Harbor East and 
Indiana Harbor West identified control measures that were commercially 
demonstrated on similar applications by searching air permits for other 
iron and steel mills and other similar sources, the Nucor 2010 Best 
Available Control Technology (BACT) analysis,\10\ as well as EPA's 
Reasonably Available Control Technology (RACT), BACT, and Lowest 
Achievable Emission Rate (LAER) Clearinghouse (RBLC).\11\ The RBLC 
contains case-specific information on the ``best available'' air 
pollution technologies that have been required to reduce the emission 
of air pollutants from stationary sources. EPA maintains that IDEM's 
approach produced an extensive list of control measures relevant to the 
industry that had proven effective for certain applications and 
identified a thorough set of control measures for evaluation.
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    \10\ Nucor Steel Louisiana ``Consolidated Environmental 
Management Inc.-Nucor Steel Louisiana, Best Available Control 
Technology Analyses,'' March 1, 2010 (Nucor 2010 BACT).
    \11\ EPA's RBLC is available through <a href="https://cfpub.epa.gov/rblc/index.cfm?action=Home.Home">https://cfpub.epa.gov/rblc/index.cfm?action=Home.Home</a> and <a href="https://www.epa.gov/catc/ractbactlaer-clearinghouse-rblc-basic-information">https://www.epa.gov/catc/ractbactlaer-clearinghouse-rblc-basic-information</a>.
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    Regarding the cost analyses, IDEM and Cleveland-Cliffs Steel, LLC 
provided a thorough explanation, justification, and documentation of 
the cost parameters used in four-factor analyses as well as in its 
responses to the comments from the FLMs that appropriately considered 
site-specific factors. The Conservation Groups provided their own cost 
calculations, but their estimates did not include site-specific 
factors.
    Comment and Response 15c: Cleveland-Cliffs Steel, LLC-Burns Harbor. 
In addition to the emission control options examined in the four-factor 
analysis, the Conservation Groups assert that IDEM should have 
evaluated additional options for the Coke Batteries, Coke Ovens, and 
Coke Oven Gas Export Line as well as provided better documentation for 
parameters such as the remaining useful life and interest rate in the 
cost calculations.
    As discussed further in the RTC, EPA disagrees with this comment 
and notes that IDEM provided sufficient documentation and identified 
control measures that were commercially demonstrated on similar 
applications by searching air permits for other iron and steel mills 
and other similar sources, the Nucor 2010 BACT analysis, as well as 
EPA's RBLC. EPA notes that IDEM's approach produced an extensive list 
of control measures relevant to the industry that had proven effective 
for certain applications and identified a thorough set of control 
measures for evaluation. For the Coke Batteries, Coke Ovens, and Coke 
Oven Gas Export Line,

[[Page 3061]]

the four-factor analysis search found no examples where SCR or wet 
scrubbers had been installed and successfully operated to control 
NO<INF>X</INF> and SO<INF>2</INF> emissions under similar physical and 
operating conditions to those at Burns Harbor.\12\
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    \12\ For lists obtained during the search of EPA's RBLC and air 
permits, see appendices A and B of appendix B of appendix I to 
Indiana's 2021 SIP submission.
---------------------------------------------------------------------------

    Although the Conservations Groups assert that the cost analyses 
lacked documentation, IDEM and Cleveland-Cliffs Steel, LLC provided a 
thorough explanation, justification, and documentation of the cost 
parameters used in the four-factor analysis and in its responses to the 
comments from the FLMs.
    Comment and Response 15d: U.S. Steel-Gary Works. In addition to the 
emission control options examined in the four-factor analysis, the 
Conservation Groups assert that IDEM should have evaluated SCR for the 
84'' Strip Mill Reheat Furnace and used different values in the cost 
analysis for low-NO<INF>X</INF> burners on the Waste Heat Boilers 1 and 
2.
    As described in more detail in the RTC, EPA disagrees with this 
comment. EPA notes that IDEM identified control measures that were 
commercially demonstrated on similar applications by searching air 
permits for other iron and steel mills and other similar sources, the 
Nucor 2010 BACT analysis, and EPA's RBLC. However, IDEM's search did 
not find a SCR that had been installed and successfully operated on a 
similar source and under similar operating conditions as Gary Works.
    Regarding the cost analyses for low-NO<INF>X</INF> burners for 
Waste Heat Boiler 1, although the Conservations Groups provided their 
own cost calculations using different parameters, EPA notes that IDEM 
and U.S. Steel-Gary Works provided a thorough explanation, 
justification, and documentation of the cost parameters used in the 
four-factor analysis \13\ and in its responses to the comments from the 
FLMs \14\ that appropriately considered site-specific factors that the 
Conservation Groups' estimates did not.
---------------------------------------------------------------------------

    \13\ See section 13.10, 13.11, 13.12 and appendices I and J of 
Indiana's 2021 SIP submission.
    \14\ See appendix S to Indiana's 2021 SIP submission.
---------------------------------------------------------------------------

    Comment and Response 15e: SABIC Innovative Plastics-Mt. Vernon, 
LLC. The Conservation Groups assert that IDEM's four-factor analysis 
lacked consideration of all emission sources besides the Co-generation 
Unit and COS Vent Oxidizer as well as appropriate assumptions for costs 
and remaining useful life.
    As detailed further in the RTC, EPA disagrees with this comment and 
notes that of the emission sources listed in the facility's title V 
permit,\15\ the Co-generation Unit accounted for the largest portion of 
the facility's total potential to emit NO<INF>X</INF> at 39 percent. 
Based on this, EPA agrees that IDEM appropriately focused its 
evaluation of potential emission reduction for NO<INF>X</INF> on the 
Co-generation Unit rather than the emissions from the other boilers and 
units. Although the Conservation Groups assert that IDEM did not 
provide underlying calculations and supporting information, EPA notes 
that the four-factor analysis provided a solid basis for calculating 
the total capital investment and cost effectiveness and documentation 
was provided in Section 15 and appendices I and J of Indiana's 2021 SIP 
submission.
---------------------------------------------------------------------------

    \15\ Title V Permit 129-45722-00002 for SABIC Innovative 
Plastics-Mt. Vernon, LLC issued June 16, 2023, is publicly available 
at <a href="https://permits.air.idem.in.gov/45722f.pdf">https://permits.air.idem.in.gov/45722f.pdf</a>.
---------------------------------------------------------------------------

    Comment and Response 15f: Warrick Newco LLC, formerly Alcoa Warrick 
Operations, LLC. The Conservation Groups assert that the four-factor 
analysis should have evaluated NO<INF>X</INF> emissions as well as 
SO<INF>2</INF> emissions and provided better documentation for figures 
used in the cost calculations.
    As discussed in further detail in the RTC, EPA disagrees with this 
comment and notes that NO<INF>X</INF> emissions from Alcoa Warrick 
Operations, LLC represented the lowest levels of all the sources that 
IDEM evaluated for a four-factor analysis. As such, IDEM's decision at 
the time to focus resources on addressing potential controls in the 
second implementation period for only SO<INF>2</INF> was well reasoned. 
EPA also determined that IDEM provided sufficient relevant 
documentation for the economic and emissions information used in the 
four-factor analysis.
    Comment and Response 15g: Cokenergy, LLC. The Conservation Groups 
claim that the four-factor analysis was not a four-factor analysis, but 
rather a recitation of studies and projects, and should have also 
evaluated DSI and upgrades to other existing systems.
    As further addressed in the RTC, EPA disagrees with this comment 
and notes that the summaries of the previous studies and projects 
served to develop a set of technically feasible control options for 
evaluation and that the four-factor analysis then addressed each of the 
statutory four factors in turn. Although the Conservation Groups assert 
that several other specific options should have been addressed, many of 
those suggested by the Conservation Groups were considered during the 
course of the studies mentioned above, including evaluations of 
installing or upgrading DSI, spray dryer absorbers, and atomizers. EPA 
notes that these options, along with the other options evaluated, 
represented a reasonable selection of control options.
    Comment and Response 15h: Heidleberg Materials US Cement LLC-
Mitchell Plant, formerly Lehigh Cement Company, LLC-Mitchell Plant. The 
Conservation Groups note that IDEM selected this source for a four-
factor analysis but did not complete one.
    As described in additional detail in the RTC, EPA notes that, 
pursuant to an amended Federal consent decree,\16\ Lehigh will be 
permanently ending operations of Kilns 1, 2, and 3 by the end of 2025. 
In the future, Lehigh will be installing and operating SCR and meeting 
the NSPS for Portland Cement Plants (40 CFR 60, subpart F) for any new 
kilns.
---------------------------------------------------------------------------

    \16\ See USA, State of Indiana, State of Iowa, State of 
Maryland, State of New York, Pennsylvania Department of 
Environmental Protection, Jefferson County Board of Health, and Bay 
Area Air Quality Management District v. Lehigh Cement Company, LLC 
and Lehigh White Cement Company, LLC, Civil Action No. 5:19-cv-
05688-JFL in United States District Court, Eastern District of 
Pennsylvania. The initial and amended consent decrees are available 
in the docket and at <a href="https://www.justice.gov/enrd/consent-decree/file/1223121/dl">https://www.justice.gov/enrd/consent-decree/file/1223121/dl</a>; <a href="https://www.justice.gov/enrd/consent-decree/file/1352971/dl">https://www.justice.gov/enrd/consent-decree/file/1352971/dl</a>.
---------------------------------------------------------------------------

    Comment and Response 16: The Conservation Groups argue that source-
specific BART determinations in the first implementation period need to 
be reassessed. Under 42 U.S.C. 7491(b)(2)(A), the Conservation Groups 
state that the CAA established BART as a mandatory part of ``each 
applicable implementation plan'' for ``each'' BART-eligible source that 
emits ``any'' air pollutant which may cause or contribute to ``any'' 
impairment of visibility in ``any'' Class I area.
    As explained further in the RTC, EPA disagrees that States are 
required to conduct BART analyses anew in the second regional haze 
implementation period and onward. Specifically, EPA disagrees that its 
second implementation period regulations require a BART analysis for 
second implementation period SIPs. Pursuant to 40 CFR 51.308(e)(5), 
once Indiana satisfied the BART requirements in the first 
implementation period, Indiana's BART-eligible sources were then 
subject to the long-term strategy requirements in 40 CFR 51.308(f) for 
the second

[[Page 3062]]

implementation period. As stated throughout our proposal and this final 
action, EPA finds that Indiana properly met the long-term strategy 
requirements of 40 CFR 51.308(f) in the second implementation period.
    Comment and Response 17: The Conservation Groups assert that EPA 
should analyze the impact of Indiana regional haze pollution on local 
communities since the same pollutants contributing to regional haze 
also contribute disparately to public health impacts on people residing 
closest to the sources. The Conservation Groups state that people 
living in these communities tend to be exposed to higher levels of 
particulate matter and NO<INF>X</INF> and tend to have less access to 
quality health care to treat the impacts of environmental pollution.
    As discussed in more detail in the RTC, with respect to public 
health concerns, the primary national ambient air quality standards 
provide public health protection. In contrast, the visibility program, 
prescribed by CAA sections 169A and 169B and implemented in 40 CFR 
51.308, is not a health-based program. EPA is acting upon Indiana's 
2021 Regional Haze SIP submission as required by regional haze 
regulations at 40 CFR 51.308.
    Comment and Response 23: The Conservation Groups commented that EPA 
must withdraw its proposal to approve Indiana's 2021 SIP Revision and 
disapprove it.
    For the reasons stated in the NPRM, EPA's April 22, 2025, TSD, 
EPA's December 19, 2025, RTC, this notice of final rulemaking, and the 
foregoing summary of responses to comments in this docket, EPA 
disagrees that Indiana failed to satisfy the requirements of the CAA 
and RHR. EPA also disagrees that EPA's proposed approval of Indiana's 
2021 SIP Revision was fundamentally flawed in such a way as to make it 
ineffective at achieving reasonable progress in the second 
implementation period. Thus, as proposed in the NPRM, EPA is finalizing 
its approval of Indiana's 2021 SIP Revision as satisfying the 
applicable requirements under the CAA and RHR for the program's second 
implementation period.

C. Comments and Responses That Are Specific to EPA's URP Policy

    EPA received several comments regarding EPA's URP policy. Comments 
from IDEM (Comment 6), PGen (Comment 7), Utilities for Reasonable 
Progress (Comment 8), and OVEC and IKEC (Comment 9) were supportive of 
EPA's URP policy. Comments from the Community Organizations (Comment 
10b), MANEVU (Comment 11a) and the Conservation Groups (Comments 18-22) 
were opposed to EPA's URP policy.
    In this final action, EPA is affirming that it is now the Agency's 
policy that, where visibility conditions for a Class I Federal area 
impacted by a State are below the URP and the State has considered the 
four statutory factors, the State will have presumptively demonstrated 
reasonable progress for the second implementation period for that area. 
EPA acknowledges that this final action reflects a change in policy as 
to how the URP should be used in the evaluation of regional haze second 
implementation period SIPs but believes that this policy better aligns 
with the purpose of the statute and RHR: achieving ``reasonable'' 
progress towards natural visibility.
    As described in the approval of West Virginia's regional haze plan 
(90 FR 29737, July 7, 2025), EPA has discretion and authority to change 
its policy. In FCC v. Fox Television Stations, Inc., the U.S. Supreme 
Court plainly stated that an agency is free to change a prior policy 
and ``need not demonstrate . . . that the reasons for the new policy 
are better than the reasons for the old one; it suffices that the new 
policy is permissible under the statute, that there are good reasons 
for it, and that the agency believes it to be better.'' 556 U.S. 502, 
515 (2009) (referencing Motor Vehicle Mfrs. Ass'n of United States, 
Inc. v. State Farm Mut. Auto. Ins. Co., 463 U.S. 29 (1983)). See also 
Perez v. Mortgage Bankers Assn., 135 S. Ct. 1199 (2015).
    The Class I areas impacted by emissions from Indiana sources are 
all below the 2028 URP, and IDEM's SIP submission demonstrated that the 
State took into consideration the four reasonable progress factors 
listed in CAA 169A(g)(1) \17\ with respect to an adequate number of 
emissions sources. Thus, EPA determines that Indiana's SIP revision is 
fully approvable under the Agency's new URP policy. Indeed, we think 
this policy better aligns with the statutory goal because it recognizes 
the considerable improvements in visibility impairment that have been 
made by a wide variety of State and Federal programs in recent decades.
---------------------------------------------------------------------------

    \17\ The four statutory factors required to be taken into 
consideration in determining reasonable progress are: the costs of 
compliance, the time necessary for compliance, and the energy and 
non-air quality environmental impacts of compliance, and the 
remaining useful life of any existing source subject to such 
requirements. CAA section 169(g)(1).
---------------------------------------------------------------------------

    In developing the regulations required by CAA section 169A(b), EPA 
established the concept of the URP for each Class I area. The URP is 
determined by drawing a straight line from the measured 2000 to 2004 
baseline conditions (in deciviews) for the 20 percent most impaired 
days at each Class I area to the estimated natural conditions (in 
deciviews) for the 20 percent most impaired days in 2064. From this 
calculation, a URP value can be calculated for each year between 2004 
and 2064. EPA developed the URP to address the diverse concerns of 
Eastern and Western States and account for the varying levels of 
visibility impairment in Class I areas around the country while 
ensuring an equitable approach nationwide. For each Class I area, 
States must calculate the URP for the end of each planning period 
(e.g., in 2028 for the second implementation period).\18\ 40 CFR 
51.308(f)(1)(vi)(A). States may also adjust the URP to account for 
impacts from anthropogenic sources outside the United States and/or 
impacts from certain wildland prescribed fires. 40 CFR 
51.308(f)(1)(vi)(B). Then, for each Class I area, States must compare 
the reasonable progress goal (RPG) for the 20 percent most impaired 
days to the URP for the end of the planning period. If the RPG is above 
the URP, then an additional ``robust demonstration'' requirement is 
triggered for each State that contributes to that Class I area. 40 CFR 
51.308(f)(3)(ii)(B).
---------------------------------------------------------------------------

    \18\ We note that RPGs are a regulatory construct that we 
developed to address the statutory mandate in CAA section 
169B(e)(1), which required our regulations to include ``criteria for 
measuring `reasonable progress' toward the national goal.'' Under 40 
CFR 51.308(f)(3)(ii), RPGs measure the progress that is projected to 
be achieved by the control measures a State has determined are 
necessary to make reasonable progress. Consistent with the 1999 RHR, 
the RPGs are unenforceable, though they create a benchmark that 
allows for analytical comparisons to the URP and mid-implementation-
period course corrections if necessary. 82 FR 3091-3092 (January 10, 
2017).
---------------------------------------------------------------------------

    In the 2017 RHR Revisions, EPA addressed the role of the URP as it 
relates to a State's development of its second implementation period 
SIP. 82 FR 3078 (January 10, 2017). Specifically, in response to 
comments suggesting that the URP should be considered a ``safe harbor'' 
that relieves States of any obligation to consider the four statutory 
factors, EPA explained that the URP was not intended to be such a safe 
harbor. Id. at 3099. ``Some commenters stated a desire for 
corresponding rule text dealing with situations where RPGs are equal to 
(`on') or better than ('below') the URP or glidepath. Several 
commenters stated that the URP or glidepath should be a `safe harbor,' 
opining that States should be permitted to analyze whether projected 
visibility

[[Page 3063]]

conditions for the end of the implementation period will be on or below 
the glidepath based on on-the-books or on-the-way control measures, and 
that in such cases a four-factor analysis should not be required.'' Id.
    Other comments indicated a similar approach, such as ``a somewhat 
narrower entrance to a `safe harbor,' by suggesting that if current 
visibility conditions are already below the end-of-planning-period 
point on the URP line, a four-factor analysis should not be required.'' 
Id. EPA stated in its response that we did not agree with either of 
these recommendations. ``The CAA requires that each SIP revision 
contain long-term strategies for making reasonable progress, and that 
in determining reasonable progress States must consider the four 
statutory factors. Treating the URP as a safe harbor would be 
inconsistent with the statutory requirement that States assess the 
potential to make further reasonable progress towards natural 
visibility goal in every implementation period.'' Id.
    Importantly, EPA's recently adopted policy does not make the URP a 
safe harbor. The policy merely creates a presumption that the State's 
second implementation period SIP is making reasonable progress for a 
Class I Federal Area if the State has taken into consideration the four 
statutory factors of 169A(g)(1) and that area is below the URP. This is 
consistent with the CAA and RHR.
    Comment and Response 11a: Instead of relying on the RPGs, MANEVU 
asserts EPA's URP policy is not permissible and that EPA is now using 
the URP as the determinative metric, to ignore the extensive work of 
the States, the FLMs, and the public in developing the RPGs.
    As discussed further in the RTC, EPA disagrees with MANEVU's 
comment. EPA's URP policy does not ignore the results of a State's 
four-factor analysis if a Class I area is below the URP. Consistent 
with EPA's discussion under the preamble of the 2017 RHR, the URP 
continues to serve as a regulatory planning metric to inform States' 
decision making when considering the four statutory factors. EPA's URP 
policy recognizes the considerable improvements in visibility 
impairment that have been made by State and Federal programs resulting 
from decades of work and interaction between members of State and 
Federal agencies and the public.
    Comment and Response 18: The Conservation Groups argue that EPA's 
URP Policy violates the CAA's visibility provisions. The Conservation 
Groups raise several issues pertaining to EPA's URP policy: (a) EPA's 
URP policy violates the plain language of the CAA, (b) EPA's 
contemporaneous understanding of the CAA reflects the best reading of 
the statute, (c) the context of the CAA's visibility provisions 
confirms the best reading of the statute, and (d) the purpose of the 
CAA's visibility provisions confirms the best reading of the statute.
    EPA disagrees with each of these comments, including the 
Conservation Groups' position that the URP policy articulated in our 
proposed approval of Indiana's regional haze SIP submission is 
inconsistent with the CAA. The Conservation Groups' reading of the 
statute is not the best, and they misconstrue the recently adopted 
policy in several ways. EPA notes that the comments and responses on 
each above point are presented in detail in the RTC document.
    EPA's new URP policy is consistent with the CAA. Pursuant to CAA 
169A(a)(4), Congress explicitly delegated to EPA the authority to 
promulgate regulations regarding reasonable progress towards meeting 
the national goal. In determining the measures necessary to make 
reasonable progress, Congress mandated ``tak[ing] into consideration 
the cost of compliance, the time necessary for compliance, and the 
energy and nonair quality environmental impacts of compliance, and the 
remaining useful life of any existing source subject to such 
requirement.'' CAA 169A(g)(1).
    EPA emphasizes that just because a Class I area is below the URP 
does not mean that a State is relieved of its obligations under the CAA 
and the RHR to make reasonable progress. In other words, the URP is not 
a ``safe harbor,'' as that phrase has sometimes been used, because EPA 
still must review a State's determination whether additional control 
measures are necessary to make reasonable progress, determine whether 
the State submitted those measures for incorporation into the SIP, and 
evaluate whether the measures are consistent with other provisions in 
the CAA.
    As required by the statute, Indiana took into consideration the 
four statutory factors in CAA section 169A(g)(1) and determined that no 
additional controls were necessary to make reasonable progress at the 
sources selected. CAA section 169A(b)(2) only requires SIPs to include 
``such emission limits, schedules of compliance and other measures as 
may be necessary to make reasonable progress'' (emphasis added). IDEM 
concluded that it was not necessary to incorporate any new emission 
limits, schedules of compliance, or other measures into its SIP in 
light of the progress already made.
    Comments and Responses 10 and 19: Both the Community Organizations 
and Conservation Groups argued that EPA's URP policy is inconsistent 
with the RHR.
    As discussed in the RTC, EPA disagrees with the commenters' 
position that the URP policy is inconsistent with the RHR. This comment 
tracks many of the issues commenters raised with respect to their 
allegations that EPA's recently adopted URP policy is inconsistent with 
the CAA. Under the URP policy, and consistent with 40 CFR 51.308(f)(2), 
States are still required to identify measures necessary for reasonable 
progress by considering the four statutory factors set forth in CAA 
169A(g)(1) and to submit measures necessary for reasonable progress to 
EPA to be reviewed for approvability into the SIP. The URP policy does 
not create an exemption to either of these provisions.
    Comment and Response 20: The Conservations Groups comment that 
EPA's articulation and application of its new URP policy is unclear and 
incoherent. In this regard, the Conservation Groups argue: (a) Mere 
consideration of the four factors is inconsistent with the CAA and the 
RHR and is fundamentally irrational, (b) EPA fails to explain why a 
four-factor analysis must be rational when, under the URP policy, its 
result does not matter and EPA does not substantively review it, and 
(c) EPA further muddies the waters by considering other factors in an 
arbitrary and capricious way.
    As discussed in detail in the RTC for Responses 20a, 20b, and 20c, 
EPA disagrees with the Conservation Groups' arguments mentioned above 
regarding EPA's application of the URP policy being unclear and 
incoherent. EPA's recently adopted policy is consistent with the CAA 
and is not arbitrary or capricious. The Conservation Groups incorrectly 
assert that the URP policy ignores the results of a State's four-factor 
analysis if a Class I area is below the URP. Just because a Class I 
area is below the URP does not mean that a State is relieved of its 
obligations under the CAA and the RHR to make reasonable progress. EPA 
must still review a State's determination whether additional control 
measures are necessary to make reasonable progress, determine whether 
the State submitted those measures for incorporation into the SIP, and 
evaluate whether the measures are consistent with other provisions in 
the CAA.
    Comment and Response 21: The Conservation Groups assert that

[[Page 3064]]

announcing and applying EPA's new URP policy in state-specific regional 
actions violates the procedural requirements of the CAA under 306(a)(2) 
regarding consistency among Regional Offices in implementing the CAA. 
The Conservation Groups argue that EPA's URP policy unlawfully departs 
from national policy and is inconsistent with actions across EPA 
regions.
    EPA disagrees with the Conservation Groups' position here as 
further explained in the RTC. EPA's change in policy is consistent with 
FCC v. Fox Television, 556 U.S. 502 (2009). Under FCC v. Fox, an 
agency's change in policy is permissible if the agency acknowledges the 
change, believes it to be better, and ``show[s] that there are good 
reasons for the new policy.'' 556 U.S. at 515. We stated our reasons 
for implementing the recently adopted URP policy in the final action 
approving the West Virginia SIP for the second implementation period. 
90 FR 29737 (Jul. 7, 2025). The reasons for the recently adopted policy 
were more fully articulated in section V, The EPA's Rationale for 
Proposing Approval, of that proposal. 90 FR 16478 (Apr. 18, 2025). 
Therefore, EPA has sufficiently justified the change in policy under 
FCC v. Fox.
    The decision in FCC v. Fox turned primarily on whether the FCC's 
change in policy would lead to the FCC ``arbitrarily punishing parties 
without notice of the potential consequences of their action.'' 556 
U.S. at 517. The changed policy is prospective, which addresses the 
primary concern in FCC v. Fox. Additionally, the recently adopted URP 
policy ``aligns with the purpose of the statute and RHR, which is 
achieving `reasonable' progress, not maximal progress, toward Congress' 
natural visibility goal.'' 90 FR 16478, at 16483. Furthermore, we note 
that the legislative history of CAA section 169A is consistent with our 
change in policy. The reconciliation report for the 1977 CAA amendments 
indicates that the term ``maximum feasible progress'' in section 169A 
was changed to ``reasonable progress'' in the final version of the 
legislation passed by both chambers. See Legislative History of the CAA 
Amendments of 1977 Public Law 95-95 (1977), H.R. Rep. No. 95-564, at 
535.
    EPA notes that EPA's Regional Consistency regulations at 40 CFR 
part 56, and in particular 40 CFR 56.5(b), are not relevant to this 
action. 40 CFR 56.5(b) requires that a ``responsible official in a 
Regional office shall seek concurrence from the appropriate EPA 
Headquarters office on any interpretation of the Act, or rule, 
regulation, or program directive when such interpretation may result in 
application of the act or rule, regulation, or program directive that 
is inconsistent with Agency policy'' (emphasis added). As we expressly 
indicated in the proposal for this action, the approval is consistent 
with the change in agency policy, first announced in Air Plan Approval; 
West Virginia; Regional Haze State Implementation Plan for the Second 
Implementation Period. 90 FR 16478 (Apr. 18, 2025). Therefore, there is 
no obligation under the EPA's Regional Consistency regulations for 
anyone in the region to seek concurrence from EPA Headquarters to take 
action consistent with EPA policy. The lack of relevance of these 
regulations to this action accounts for the lack of materials related 
to compliance with the Regional Consistency process in the docket for 
this rulemaking.
    The Conservation Groups also argue that EPA's URP policy 
effectively revises the RHR and raises the question of whether it has 
nationwide scope and effect.
    EPA disagrees with the Conservation Groups' comment here as further 
explained in the RTC. EPA notes that this action is ``locally or 
regionally applicable'' under CAA section 307(b)(1) because it applies 
only to a SIP submission from a single State, Indiana. See Oklahoma v. 
EPA, 605 U.S. 609, 620 (2025) (a SIP is ``a state-specific plan'' and 
``the CAA recognizes this limited scope in enumerating a SIP approval 
as a locally or regionally applicable action''); see also, Am. Rd. & 
Transp. Builders Ass'n, 705 F.3d 453, 455 (D.C. Cir. 2013) (describing 
EPA action to approve a single SIP under CAA section 110 as the 
``[p]rototypical'' locally or regionally applicable action).
    Whether our proposal to approve Indiana's second implementation 
period SIP relies on a new national policy has no bearing on the 
applicability of EPA's final action. To determine whether an action is 
``nationally applicable'' or ``locally or regionally applicable,'' 
``court[s] need look only to the face of the agency action, not its 
practical effects . . . .'' EPA v. Calumet Shreveport Refining, L.L.C., 
605 U.S. 627, 642 (2025) (``[W]e determine an action's range of 
applicability by `look[ing] only to the face of the [action], rather 
than to its practical effects.' '') (quoting Am. Rd. & Transp. Builders 
Ass'n, 705 F.3d at 456) and Oklahoma, 605 U.S. at 621-622 (basis for 
EPA action is not relevant to determining its applicability); see also 
Sierra Club v. EPA, 926 F.3d 844, 849 (D.C. Cir. 2019) and RMS of 
Georgia, LLC v. EPA, 64 F.4th 1368, 1372 (11th Cir. 2023) (``our sister 
circuits have established a consensus that we should begin our analysis 
by analyzing the nature of the EPA's action, not the specifics of the 
petitioner's grievance'').
    Furthermore, the comments that claim the recently adopted URP 
policy ``amend[s] the nationally applicable RHR'' are unsupported and 
incorrect. This action simply applies our recently adopted policy 
related to the URP in the context of EPA's evaluation of Indiana's 
regional haze SIP submission. Because this action applies a recently 
adopted policy to a SIP submission from Indiana alone, it is locally or 
regionally, not nationally, applicable.
    Comments that claim that EPA ``must'' publish a finding that this 
action is ``based on a determination of nationwide scope [or] effect'' 
are also unsupported and incorrect. The Supreme Court has recognized 
that ``[b]ecause the `nationwide scope or effect' exception can apply 
only when `EPA so finds and publishes' that it does, EPA can decide 
whether the exception is even potentially relevant.'' Calumet 
Shreveport Refining, L.L.C., 605 U.S. at 646, citing Sierra Club v. 
EPA, 47 F.4th 738, 746 (D.C. Cir. 2022). As the D.C. Circuit has also 
stated, the ``EPA's decision whether to make and publish a finding of 
nationwide scope or effect is committed to the agency's discretion and 
thus is unreviewable.'' Sierra Club v. EPA, 47 F.4th at 745; see also 
Texas v. EPA, 983 F.3d 826, 835 (5th Cir. 2020) (``when a locally 
applicable action is based on a determination of nationwide scope or 
effect, the EPA has discretion to select the venue for judicial 
review'').
    The Administrator has not made and published a finding that this 
action is based on a determination of nationwide scope or effect. 
Accordingly, any petition for review of this action must be filed in 
the United States Court of Appeals for the appropriate regional 
circuit.
    Comment and Response 22: The Conservation Groups comment that 
Indiana's 2021 SIP submission does not meet EPA's URP policy for 
presumptive approval. As such, the Conservation Groups argue that 
Indiana: (a) would not be able to meet the RHR monitoring requirements 
without the IMPROVE network if its continued operation were threatened, 
(b) relies on adjusted URP glidepaths that do not comply with the RHR, 
and (c) ignores additional out-of-state Class I areas affected by 
visibility impairing emissions from Indiana.
    EPA disagrees with these comments as further discussed in the RTC. 
Indiana

[[Page 3065]]

met the requirements of the recently adopted policy. First, the RHR 
requires States to submit a long-term strategy that addresses regional 
haze visibility impairment for each mandatory Class I Federal area 
within the State and for each mandatory Class I Federal area located 
outside the state that may be affected by emissions from the State. 40 
CFR 51.308(f)(2); see also CAA 169A(b)(2). However, there is no 
specific statutory or regulatory requirement to identify the precise 
set of Class I areas that are affected by emissions from Indiana, and 
there is no requirement to establish a source contribution threshold in 
identifying those areas. In this case, Indiana identified affected out-
of-state Class I areas, none of which are above the 2028 URP.
    EPA believes Indiana has reasonably documented its impacts to in-
state and out-of-state Class I areas, and they are not reasonably 
anticipated to cause or contribute to any impairment in any area that 
is above the URP.
    In conclusion, IDEM took into consideration the four statutory 
factors in CAA section 169A(g)(1) and determined that no additional 
controls were necessary to make reasonable progress for the specific 
sources selected for four-factor analyses. CAA section 169A(b)(2) only 
requires SIPs to include ``such emission limits, schedules of 
compliance and other measures as may be necessary to make reasonable 
progress'' (emphasis added). IDEM concluded that it was not necessary 
to incorporate any new emission limitations, schedules of compliance, 
or other measures into its SIP for these sources. Thus, IDEM did not 
ignore the results of its consideration of the four statutory factors; 
rather, as supported by the recently adopted URP policy, the State 
properly used the URP to inform its final decision making as to the 
measures necessary to make reasonable progress in the second 
implementation period.

D. EPA's Final Approval

    EPA determines that Indiana reasonably considered the statutory and 
regulatory requirements and appropriately determined what measures are 
necessary for reasonable progress for the second implementation period. 
As such, EPA finds that Indiana submitted a Regional Haze SIP revision 
that meets all the regional haze requirements for the second 
implementation period.
    EPA concludes that Indiana's determinations of the measures 
necessary for reasonable progress were based on a reasonable 
consideration of the four statutory factors. IDEM thoroughly evaluated 
and determined the emission reduction measures that are necessary to 
make reasonable progress by considering the four statutory factors. 
IDEM also documented large statewide emissions reductions achieved 
during the second implementation period.
    EPA is finalizing its approval of Indiana's December 29, 2021, 
Regional Haze SIP submission for the second implementation period as 
proposed.

IV. Final Action

    For the reasons set forth in the June 18, 2025, NPRM, the April 22, 
2025, TSD, the December 19, 2025, RTC document, and in this final rule, 
EPA is approving the Regional Haze SIP revision for Indiana submitted 
by IDEM on December 29, 2021, as satisfying the regional haze 
requirements for the second implementation period contained in 40 CFR 
51.308(f).

V. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the CAA and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve State choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
action merely approves State law as meeting Federal requirements and 
does not impose additional requirements beyond those imposed by State 
law. For that reason, this action:
    <bullet> Is not a significant regulatory action subject to review 
by the Office of Management and Budget under Executive Order 12866 (58 
FR 51735, October 4, 1993);
    <bullet> Is not subject to Executive Order 14192 (90 FR 9065, 
February 6, 2025) because SIP actions are exempt from review under 
Executive Order 12866;
    <bullet> Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
    <bullet> Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
    <bullet> Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
    <bullet> Does not have federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
    <bullet> Is not subject to Executive Order 13045 (62 FR 19885, 
April 23, 1997) because it approves a State program;
    <bullet> Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001); and
    <bullet> Is not subject to requirements of section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA.
    In addition, the SIP is not approved to apply on any Indian 
reservation land or in any other area where EPA or an Indian Tribe has 
demonstrated that a Tribe has jurisdiction. In those areas of Indian 
country, the rule does not have Tribal implications and will not impose 
substantial direct costs on Tribal governments or preempt Tribal law as 
specified by Executive Order 13175 (65 FR 67249, November 9, 2000).
    This action is subject to the Congressional Review Act, and EPA 
will submit a rule report to each House of the Congress and to the 
Comptroller General of the United States. This action is not a ``major 
rule'' as defined by 5 U.S.C. 804(2).
    Under section 307(b)(1) of the CAA, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by March 27, 2026. Filing a petition for 
reconsideration by the Administrator of this final rule does not affect 
the finality of this action for the purposes of judicial review nor 
does it extend the time within which a petition for judicial review may 
be filed, and shall not postpone the effectiveness of such rule or 
action. This action may not be challenged later in proceedings to 
enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Intergovernmental relations, Nitrogen dioxide, Ozone, 
Particulate matter, Sulfur oxides.

    Dated: January 6, 2026.
Anne Vogel,
Regional Administrator, Region 5.

    For the reasons stated in the preamble, title 40 CFR part 52 is 
amended as follows:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

0
1. The authority citation for part 52 continues to read as follows:

    Authority:  42 U.S.C. 7401 et seq.


[[Page 3066]]



0
2. In Sec.  52.770, amend the table in paragraph (e) by adding a new 
entry for ``Regional Haze Plan for the Second Implementation Period'' 
after the entry for ``Regional Haze Plan'' to read as follows:


Sec.  52.770  Identification of plan.

* * * * *
    (e) * * *

                       EPA-Approved Indiana Nonregulatory and Quasi-Regulatory Provisions
----------------------------------------------------------------------------------------------------------------
                 Title                   Indiana date          EPA approval                 Explanation
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
Regional Haze Plan for the Second           12/29/2021  1/26/2026, 91 FR [insert   Full approval.
 Implementation Period.                                  Federal Register page
                                                         where the document
                                                         begins].
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------

* * * * *
[FR Doc. 2026-01406 Filed 1-23-26; 8:45 am]
BILLING CODE 6560-50-P


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Indexed from Federal Register on January 26, 2026.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.