Bio Energy began operations as an electric generating station in 1983 and has been permitted under various laws and regulations applicable over the life of the facility. The facility is designed to consume wood fuel consisting of whole tree chips and clean processed wood fuel to generate 12.65 megawatts (gross) of electrical power. No. 2 fuel oil is also used in combination with the wood fuel as an aid in combustion for the boiler. The boiler is rated at 225 million Btu/hr with wood and has an 80 million Btu/hr limit on use of No. 2 fuel oil.

The facility is also required to have an air operating permit, which stipulates design capacity of the boiler relative to energy input, fuels allowed to be burned in the boiler, federal and state operating and emissions limitations applicable to the boiler, applicable monitoring and testing requirements of the boiler, pollution control equipment required (including pollutant removal efficiencies when required), and recordkeeping and reporting requirements applicable to the facility.

Solid Waste Management Facility Permit

Bio Energy is permitted as an incineration facility under RSA 149-M and Parts Env-Wm 100-300 and 2100-3700 of the New Hampshire Solid Waste Rules. According to the Solid Waste Management Facility Standard Permit issued in May 2002 (Permit Number DES-SW-SP-02-002) and modified in March 2003 and June 2003, Bio Energy has a design capacity for incineration of 528 tons per day on average annually and 3,696 tons per week on average annually, of any of the following types of wood fuel material, singularly or in any combination or mixture thereof:

1) "Permit-exempt" wood materials primarily in the form of pallets, crates, discarded dimensional lumber, logs, brush, and tree parts;

2) Manufactured wood material (i.e., plywood, particle board, fiberboard, waferboard, and oriented strand board) certified as a waste-derived product; and

3) Processed source-separated wood material including (i.e., C/D wood materials):

• Unpainted or painted wood generated from the dismantling of buildings and structures;
• Painted wood generated from the construction of houses, buildings, and other structures; and
• Miscellaneous painted wood such as wood furniture, fencing, signage, and scaffolding.

• Wood or manufactured wood material treated with chromated copper arsenate (CCA), creosote or pentachlorophenol such as railroad ties, telephone poles, pilings, and highway barriers and fence supports;
• Yard Waste
• Stumps
• Hazardous wastes
• Asbestos and waste material containing asbestos;
• Contained gaseous waste;
• Putrescible waste (garbage);
• Bottom ash or fly ash;
• Oil or other petroleum products;
• Contaminated soils;
• Motor vehicle waste, (e.g., batteries and tires)
• Drums or other containers
• Sludge or sewage;
• White goods;
• Explosives;
• Electrical components;
• Radioactive materials;
• PCB waste; and
• Other waste that the facility operator determines to be unsuitable for incineration.

Bio Energy was issued a Title V Operating Permit on July 23, 1998, which authorized the burning of whole tree wood chips, clean processed wood fuel, No. 2 fuel oil, or combinations of these three fuels in the boiler. Clean processed wood fuel is considered to be fuel that exhibits characteristics equivalent to "whole tree wood chips" and "sawdust" with respect to the ultimate and proximate analysis of the fuel. Clean processed wood fuel includes wood chips from wooden pallets and crates and wood chips derived from manufactured wood materials such as plywood and particle board.

In June 2002, Bio Energy requested an operational change to allow for the burning of construction and demolition debris (C/D wood chips) alone or as a blend of C/D wood chips with currently permitted fuels. Following the permitting and public participation process, DES issued a significant permit modification for the Title V Operating Permit on July 23, 2003, to allow for the use of C/D wood chips as wood fuel in the boiler.

In order to assure that the emissions from Bio Energy do not exceed the AALs, the Title V Operating Permit contains a condition that limits the lead emissions from the boiler to less than 0.60 lb/hr. This equates to an annual emissions limit of 2.6 tons. DES expects that actual lead emissions from the facility will be much less than this limit. In February of 2002, Bio Energy conducted a trial burn of a 50/50 blend of whole tree wood chips and C/D material. During the trial burn, emission testing using EPA approved methods was conducted at the facility under the supervision of DES staff. The results of trial test showed that actual lead emissions were significantly lower than the maximum allowed under the permit. Specifically, the test results indicated that if the plant operated 24 hours/day, 365 days/year combusting the 50/50 blend material, the actual lead emissions would be 0.96 tons/year.

Air dispersion modeling methodology uses source data such as stack height and pollutant emissions rates, along with local terrain and meteorological data to predict worst-case impacts in the ambient air. Relative to the meteorological inputs and topography, the first step in the analysis is to use hypothetical meteorology with a range of conditions selected to create the worst possible dispersion of facility pollutants. A screening model is then used with this meteorology on both simple (or flat and small hills) terrain and on complex (or large hills) terrain. This is the most conservative test available and if the facility passes it, it is a safe assumption that the facility won't create worse impacts under real conditions. Under the emissions limits as set forth in the permit, the Bio Energy facility passed the screening test.

Nonetheless, DES did a more refined (and less conservative) assessment with real meteorology and varying operating conditions to ensure that nothing was missed during the screening model. In the application of real meteorology in the less conservative assessment for Bio Energy in Hopkinton, the nearest acceptable quality assured data is from the National Weather Service office in Concord, about 13 miles away. Dispersion characteristics generally don't change significantly over such a short distance. As expected, the more refined assessments predicted lower impacts than the worst-case screening modeling.

In response to public concerns about lead deposition, in addition to the above impact analysis, DES also conducted a lead deposition impact analysis to estimate how much of the lead emitted would be deposited within a 10 square kilometer (6.2 miles) area around Bio Energy. The analysis showed that only 1 - 3 % of the lead emitted would be deposited within this area.

Based in part on the above analyses, a health risk assessment was performed by an environmental consultant and reviewed by DES and DHHS. The results of this risk assessment indicate that the lead emissions from Bio Energy do not pose a human health risk. This assessment reviewed potential exposure to lead through multiple routes, i.e. inhalation and ingestion.

Finally, DES voluntarily undertook a program of soil testing in the Hopkinton area in order to establish a baseline for lead Baseline Survey of Lead Levels in Soils, Hopkinton, NH. In November 2003, DES collected 12 soil samples in the area of the Bio Energy facility. Future soil samples will be taken by DES to monitor the impact of lead deposition from the Bio Energy facility over time.

The official process begins when an application for a Title V Operating Permit or a significant modification to a Title V Operating Permit is submitted to DES. Once an application is submitted, there are typically four phases in the permitting process:

• First, the application undergoes an initial review process by DES to ensure that the information submitted is complete and includes all appropriate regulatory requirements. If so, a "completeness determination" is issued by DES.
• After the application has been deemed administratively complete, DES undertakes an extensive review, including but not limited to facility site visits and an analysis of historical information. Once DES has completed this review and is confident that the application accurately reflects the facility's operations, a "draft Title V Operating Permit" is developed by DES. The draft Title V Operating Permit contains all applicable air regulatory requirements (both state and federal) that pertain to the facility.
• Once prepared, the draft Title V Operating Permit is noticed to the public as outlined in the New Hampshire Code of Administrative Rules, Env-A 200, Procedural Rules (under Env-A 206.02 Public Notice). The public, the U.S. Environmental Protection Agency (EPA), affected states, and any other interested party are invited to submit comments on the draft Title V Operating Permit. An opportunity for a public hearing is also provided.
• After all comments have been received and evaluated by DES, a final determination regarding the permit is made by the Director of the Air Resources Division (Director). If not denied, the draft Title V Operating Permit is designated as "proposed" and sent to EPA for its review. The draft Title V Operating Permit may be modified as a result of comments received during the public comment period before it is sent to EPA as a proposed permit. If so, as in this case, a formal document is generated to address the changes made to the draft Title V Operating Permit. This document is called the "Findings of Fact and Director's Decision." The proposed permit is reviewed by EPA for forty-five days (or less). If EPA has no objections within this timeframe, the final permit is issued.

The process and timeline for receiving and processing the significant modification for the Bio Energy Title V Operating Permit is as follows:

June 21, 2002: Bio Energy submitted permit application for proposed project to burn wood chips derived from construction and demolition debris to DES's Air Resources Division.

December 11, 2002: DES notified Bio Energy that procedural requirements for a significant modification apply in this case and requested additional information

January 16, 2003: DES received supplemental information necessary for processing the operational change as a significant modification to the Title V Operating Permit.

April 18, 2003: DES Air Resources Division published a public notice regarding the draft revised Title V Operating Permit for Bio Energy in the Manchester Union Leader and the Concord Monitor. The notice invited public comment and indicated that any comments received during the public comment period would be evaluated prior to a final decision on this permit. In addition, DES's Solid Waste Division also posted public notices in the same two papers on April 18, 2003 indicating there would be a public hearing to receive public comment on the Solid Waste Management Facility Permit Modification for Bio Energy. The public notices also specified that a combined public hearing was scheduled for May 22, 2003, at 7 p.m. in the Hopkinton Town Hall, 330 Main St., Hopkinton, NH.

May 22, 2003: DES conducted a combined public hearing regarding the draft revised Title V Operating Permit for Bio Energy and a review of the Solid Waste Management Facility Permit application at the address mentioned above. The purpose of the hearing was to receive public comment on the draft revised Title V Operating Permit and to answer any questions pertaining to the draft permit. During the public hearing, several citizens provided oral testimony regarding noise and asked questions about the boiler, pollution control equipment, and support facilities. Written testimony was also received from Ms. Susan B. Covert prior to the close of the comment period on May 29, 2003. EPA Region 1 submitted written comments on the draft Title V Operating Permit. All of the written and oral public comments, and written comments received from EPA were reviewed and considered by DES.

July 22, 2003: The Director of the Air Resources Division issued the Findings of Fact and Director's Decision and the Proposed Title V Operating Permit, indicating approval of the permit application for the significant permit modification. These were sent to EPA-New England, Region 1 in Boston, Massachusetts for EPA final approval or objection. These materials were also sent to all attendees at the public hearing held on May 22, 2003, Town of Hopkinton Officials, and the environmental consulting firm representing Bio Energy. The public had 10 days from issuance of the Proposed Title V Operating Permit to file an appeal with the Air Resources Council. (Note that when the public files an appeal to a permit issued by DES that the permit is still in effect until such time as the Air Resources Council issues a decision and recommendations for resolving a citizen's appeal).

July 23, 2003: DES received written correspondence from EPA-New England, Region 1 indicating that it had no objections to issuance of the Proposed Title V Operating Permit to Bio Energy.

July 25, 2003: DES issued the modified Title V Operating Permit to Bio Energy as final, with copies sent to EPA-New England, Region 1, Town of Hopkinton Officials, all people who attended the public hearing on May 22, 2003, and the environmental consulting firm representing Bio Energy.

In addition, on March 31, 2004, Bio Energy filed an air permit application for a Temporary Permit (Construction) to replace and upgrade its air pollution control equipment. Upon completion of a draft revised Title V Operating Permit and a draft Temporary Permit, DES will issue a public notice and commence the public review process as outlined above. As part of these permit applications, Bio Energy proposed to further restrict lead emissions to 1.9 tons upon startup of the facility burning C/D wood materials and to 1.3 tons upon the installation of the upgraded control equipment.

For information on Bio Energy's air permits, contact:
    Craig Wright, Stationary Source Management Bureau Administrator
    603-271-6791 or cwright@des.state.nh.us