Two energy companies must pay nearly $4 million in penalties for allegedly violating the Clean Air Act (CAA) at oil and gas production facilities in Utah, the U.S. Environmental Protection Agency (EPA) announced last month.
Houston, Tex.-based EP Energy E&P Co. L.P. (EP Energy) and Canada-based Crescent Point Energy U.S. Corp. (Crescent Point) failed to control emissions of volatile organic compounds (VOCs) from storage tanks at production facilities in Utah Uinta Basin, according to the announcement.
"VOCs are a key component in the formation of ground-level ozone, a pollutant that irritates the lungs, exacerbates diseases such as asthma, and can increase susceptibility to respiratory illnesses, such as pneumonia and bronchitis," the EPA states in the announcement. "The emission reductions achieved through these settlements will directly benefit air quality and residents in rural and tribal communities throughout the Basin."
Crescent Point must pay a $3 million civil penalty for VOC violations from tanks at 30 previously owned production facilities, the EPA reports; the $3 million will be divided between the United States and the State of Utah, according to the report.
EP Energy must pay a $700,000 civil penalty to settle similar violations at 246 of its production facilities, the EPA reports. The company also must spend $1.2 million to install pollution controls at facilities not otherwise subject to control requirements, according to the report, as well as ensure future compliance. EPA reports the U.S. and Utah will split the civil penalty.
“These settlements are a victory for communities in the Uinta Basin and across the State of Utah,” Larry Starfield, Acting Assistant Administrator for EPA’s Office of Enforcement and Compliance Assurance, said in the report. “This is part of EPA’s ongoing effort to bring cleaner air to communities by ensuring that oil and gas production operations meet the requirements of the Clean Air Act.”
