Motiva, LDEQ reach settlement agreement

Published 12:00 am Saturday, March 24, 2001

Motiva Enterprises, LLC, confirmed that they have reached a settlement agreement with the State of Louisiana’s Department of Environmental Quality (LDEQ). Gary Miller, external affairs manager at Motiva’s Convent plant, verified that the understanding covered a range of environmental issues about their refineries located in Norco and Convent, Louisiana. Miller indicated that resolving those issues cooperatively with the LDEQ, was key to their company’s commitment to spend in excess of $4 million on environmental projects. “The agreement is positive for Motiva, the community, and the environment,” according to Kimberly Windon, external affairs manager at the Norco facility. “Reaching this settlement agreement allows us the opportunity to make operational and environmental improvements plus it provides us with a chance to move forward and have a fresh start while also putting divisive issues behind us.” Windon explained that the company had already considered, or was already working on many of the beneficial environmental projects outlined in the settlement agreement. “Our Good Neighbor Initiative,’ a joint initiative between Motiva, Norco Refining, and Shell Chemical,” she said, “includes the installation of an ambient air monitoring network reducing our emissions by 30 percent, and our episodic releases by 50 percent over three years.” Norco Refinery Manager Allen Kirkley said the company was extremely pleased with the cooperative agreement and expected it to result in reduced overall plant emissions and operating improvements. “I am confident this settlement will be beneficial to the environment in which we live and operate, as well as for the residents of the community of Norco.” Kirkley indicated that the comprehensive package would resolve a number of outstanding issues with LDEQ going back to 1998. “We would like to thank the LDEQ for the professional manner in which they have conducted the negotiations that have resulted in this agreement.” Included in the settlement is Motiva’s commitment to spend more than $4 million on beneficial environmental projects, providing support for important health studies, implementation of additional community ambient air monitoring, and a reduction in flaring and in overall environmental emissions. These are consistent with Motiva’s commitment in their “Good Neighbor Initiative.” Also included is a half-million dollar cash payment to the State of Louisiana. The three key items in the settlement are: Lower Mississippi River Interagency Cancer Study. Motiva will provide financial support of $280,000 towards this project. Community Ambient Air Monitoring Project. Motiva will provide $750,000 to establish and maintain an ambient air monitoring network which will include the installation of air ambient monitors at various locations around the Norco area. This program will be developed in cooperation with the neighboring community, LDEQ and other industry representative; and Flaring Reduction. Motiva will invest approximately $3 million over three years to install new equipment to reduce flaring incidents. In reaching this settlement the LDEQ has agreed that as a result of Motiva’s cooperation in its investigation and given that the majority of allegations involved issues which were self-reported by Motiva, a reduction in the penalty was appropriate. In addition, it was agreed that there was no basis for a penalty with respect to the issues raised in the June 2000 Administrative Order. It was also agreed, that there was either no basis for a penalty or no violation of any regulatory standard for 10 of the 26 items initially listed in the June 2000 Notice of Potential Penalty. Motiva is continuing to work with the LDEQ, the U.S. Environmental Protection Agency and the local community to discuss additional improvements to their refining operations.