Schnitzer Steel, Ozone Depletion, Oregon 2023

Federal authorities have accused Schnitzer Steel Industries Inc., a Portland-based recycling company, of violating the Clean Air Act and regulations designed to protect stratospheric ozone at 40 scrap metal recycling facilities throughout the United States.

The United States, on behalf of the Environmental Protection Agency (EPA), has reached a proposed settlement with Schnitzer Steel Industries Inc. of Portland, Oregon, to resolve alleged violations of the Clean Air Act and regulations designed to protect stratospheric ozone at 40 scrap metal recycling facilities throughout the United States.

The complaint filed together with the consent decree alleges that Schnitzer failed to recover refrigerant from small appliances and motor vehicle air conditioners before disposal or to verify from the supplier that the refrigerant had been properly recovered prior to delivery to Schnitzer’s facilities.

To help protect stratospheric ozone and reduce the risks of climate change, the Justice Department will seek to ensure companies like Schnitzer comply with the Clean Air Act when recycling appliances and motor vehicles containing harmful refrigerants.

The proposed settlement will require the company to pay a civil penalty of $1,550,000, implement compliance measures worth over $1,700,000 to prevent the release of ozone-depleting refrigerants and non-exempt substitutes from refrigerant-containing items during their processing and disposal, and complete an environmental mitigation project.

Under the settlement, Schnitzer must implement an EPA-approved Refrigerant Recovery Management Program (RRMP) at its 40 U.S. facilities. The RRMP includes, among other things: installation of refrigerant recovery systems at Schnitzer’s facilities; screening procedures for scrap appliances and vehicles; new forms for statements and contracts to verify any refrigerant recovery from appliances and motor vehicles prior to receipt by Schnitzer; notices to customers regarding proper procedures for delivering items currently or previously containing refrigerants; employee training on procedures for ensuring compliance with regulations designed to prevent the release of refrigerants; and recordkeeping and reporting obligations.

The settlement also requires Schnitzer to perform an environmental mitigation project involving the destruction of all R-12 refrigerant in scrapped appliances and automobiles received at its facilities. R-12 contains chlorofluorocarbons and has over 10,000 times the global warming potential of carbon dioxide.

The proposed consent decree, lodged in the U.S. District Court for the District of Massachusetts, is subject to a 30-day public comment period and approval by the federal court. To view the proposed consent decree or to submit a comment during the public comment period, visit: justice.gov/enrd/consent-decrees

Schnitzer Steel Industries Inc., a Portland-based recycling company, has been accused of violating the Clean Air Act and regulations designed to protect stratospheric ozone at 40 scrap metal recycling facilities throughout the United States.

Defendant: Schnitzer Steel Industries Inc.

Criminal Charges: Violations of the Clean Air Act and regulations designed to protect stratospheric ozone.

City and State: Portland, Oregon.

Date: March 20, 2023.

Sentence: Proposed settlement requiring the company to pay a civil penalty of $1,550,000, implement compliance measures worth over $1,700,000, and complete an environmental mitigation project.

Dollar Amounts: $1,550,000 civil penalty, over $1,700,000 in compliance measures.

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