Hard-hitting crime journalist for Grimy Times. Duke Energy, one of the largest electric power companies in the nation, has agreed to spend approximately $93 million to resolve violations of federal clean air laws, the Justice Department and the U.S. Environmental Protection Agency (EPA) announced today in Indianapolis, Indiana.
The settlement resolves violations of the Clean Air Act’s new source review requirements found at the company’s Gallagher coal-fired power plant in New Albany, Ind., located directly across the Ohio River from Louisville, Ky.
The settlement is anticipated to reduce sulfur dioxide emissions at the Gallagher plant by almost 35,000 tons per year, an 86 percent reduction when compared to 2008 emissions. This is equivalent to the emissions from 500,000 heavy-duty semi-trucks, which is more than all the trucks registered in Indiana, Illinois, Kentucky, and Ohio combined. Sulfur dioxide harms the environment and human health.
The settlement requires Duke to spend $6.25 million on environmental mitigation projects, including $250,000 for the U.S. Forest Service to address acid rain in downwind national forests, $5 million for one or more other projects such as conversion to hydro generation or hybrid vehicle fleets and $1 million for environmental mitigation projects will be allocated among the states that joined the settlement.
The states of New York, New Jersey, and Connecticut, as well as the Hoosier Environmental Council and the Ohio Environmental Council joined the federal government in the settlement.
"This important settlement resolves lengthy litigation on very favorable terms," said Ignacia S. Moreno, Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. "The settlement will achieve substantial emission reductions through the use of natural gas and other control measures, and it includes important steps to mitigate the negative impact from past illegal emissions as well as a significant civil penalty."
The settlement requires Duke to either repower units 1 and 3 at the Gallagher plant with natural gas or shut them down to remove all sulfur dioxide pollution. This natural gas repowering will also reduce other air pollutants, including nitrogen oxides, particulate matter, mercury, and carbon dioxide. The combined nitrogen oxide emissions from units 1 and 3 are expected to decrease by about 2,198 tons per year as compared to 2008 emissions. By using natural gas rather than coal, Duke will eliminate emissions of particulate matter and mercury from the units.
Duke Energy, Clean Air Act Violations, Indiana 2023. Duke Energy, a corporation, will spend approximately $85 million to significantly reduce harmful air pollution at an Indiana power plant and pay a $1.75 million civil penalty. The settlement also requires Duke to spend $6.25 million on environmental mitigation projects.
In 1999, Duke went to trial for the alleged violations. At that time, an Indianapolis jury found that Duke violated the Clean Air Act by failing to obtain required permits and pollution controls before making modifications to Gallagher Units 1 and 3 that caused significant increases in sulfur dioxide. The trial to determine the appropriate remedy for these violations resolved by the settlement had been scheduled to begin on Jan. 25, 2010.
Duke Energy, a corporation, will spend approximately $85 million to significantly reduce harmful air pollution at an Indiana power plant. The settlement also requires Duke to spend $6.25 million on environmental mitigation projects.
Defendant: Duke Energy
Criminal Charges: Violations of the Clean Air Act’s new source review requirements
City and State: Indianapolis, Indiana
Exact Date: No specific date mentioned
Sentence or Outcome: Duke Energy will spend approximately $93 million to resolve violations of federal clean air laws and pay a $1.75 million civil penalty
Dollar Amounts: $93 million, $85 million, $6.25 million, $1.75 million, $250,000, $5 million, $1 million
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Key Facts
- State: Indiana
- Category: Environmental Crimes
- Source: DOJ Press Release â†â€â€
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