BIS Considers Reducing Declaration Exemption Level for 2A Chemicals
The Bureau of Industry and Security has issued a Notice of Inquiry seeking comments by August 12, 2011, on the impact of amending the Chemical Weapons Convention (CWC) Regulations to reduce to 10% (from 30%) the concentration level for certain mixtures that trigger an exemption from the declaration requirements that apply to Schedule 2A chemical production, processing, and consumption. If this change is implemented, it would result in more declarations being filed for Schedule 2A chemicals.
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(Legislative amendment of the Chemical Weapons Convention Implementation Act (CWCIA) would be required to implement such a change to the CWC Regulations.)
BIS Considering Two-Tiered Concentration Exemption for Declaration
To make these declaration requirements consistent with the international agreement adopted by the Organization for the Prohibition of Chemical Weapons (OPCW), BIS is considering amending the CWC Regulations to replace the current low concentration exemption (a concentration of “less than 30%” by volume or weight) with a two-tiered low concentration exemption that is based, in part, on whether the total amount of a Schedule 2A chemical produced, processed, or consumed at one or more plants on a plant site during a calendar year is less than the applicable verification threshold in the CWC Regulations.
One Tier for “1% or Less” Concentration, 2nd Tier for “Over 1% to 10%”
Under this two-tiered approach, the declaration and reporting requirements in the CWC Regulations would not apply to a chemical mixture containing a Schedule 2A chemical if: the concentration of the Schedule 2A chemical in the mixture is “1% or less,” or the concentration of the Schedule 2A chemical in the mixture is “more than 1%, but less than or equal to 10%,” and the annual amount of the Schedule 2A chemical produced, processed, or consumed is less than the relevant verification threshold.
Reports Would be Needed for Imports/Exports of Mixtures w/Concentration >10%
BIS is also considering amending the CWC Regulations to require declarations/reports for exports and imports of any mixtures that contain “more than 10%” of a Schedule 2A chemical by volume or weight (whichever method yields the lesser percentage), if the total quantity of the Schedule 2A chemical exported or imported during a calendar year exceeds the applicable CWC Regulations declaration threshold.
(See ITT's Online Archives or 07/13/11 news, 11071321, for BP summary of BIS requesting comments on the impact of reducing the mixture concentration exemption threshold for commercial Schedule 3 activities.)
BIS Contacts --
On CWC Requirements: Douglas Brown (202) 482-2163
On Submission of Comments: Willard Fisher (202) 482-2440
CWC Regulations, including declaration requirements, are available here.