THIS REFERRAL INVOLVES ALLEGED VIOLATIONS OF THE ACID RAIN PROVISIONS OF THE CAA AND THE KY NOx SIP, PURSUANT TO SECTION 110 OF THE CAA. IN 1998, EAST KY POWER COOPERATIVE (EKPC) REPLACED TWO GENERATORS AT UNITS 1 & 2 OF ITS DALE PLANT WITH TWO NEW GENERATORS HAVING NAMEPLATE RATINGS OF 27 MEGAWATTS (MW), THEREBY SUBJECTING UNITS 1 & 2 TO THE PROVISIONS OF THE ACID RAIN REQUIREMENTS OF THE TITLE IV OF THE ACT, FOR BOTH SULFUR DIOXIDE (S02) AND NITROGEN OXIDES (NOx), AS WELL AS THE NOx SIP CALL REQUIREMENTS AS CONTAINED IN THE KY STATE IMPLEMENTATION PLAN (SIP). AS A RESULT OF EKPC'S FAILURE TO PURCHASE ALLOWANCES FOR ITS S02 EMISSIONS FROM UNITS 1 & 2 DURING 2000-2004 (AND POSSIBLY 2005), EPA ALLEGES THAT EKPC IS LAIBLE FOR MILLIONS OF DOLLARS IN FEES AND PENALTIES TO THE U.S. ADDITIONALLY, EPA ALLEGES THAT EKPC IS LIABLE FOR MILLIONS OF DOLLARS IN FEES AND PENALTIES FOR FAILURE TO PURCHASE NOx CREDITS UNDER BOTH TITLE IV AND THE NOx SIP CALL.
EKPC IS A NOT-FOR-PROFIT ELECTRIC GENERATING UTILITY HEADQUARTERED IN WINCHESTER, KY.
THE RELIEF SOUGHT CONSISTS OF PENALTIES AND FEES FOR THE S02 AND NOx EMISSIONS, AND INJUNCTIVE RELIEF REQUIRING EKPC TO OBTAIN AN AMENDED TITLE V AIR PERMIT, INSTALL AIR POLLUTION CONTROL EQUIPMENT, PERFORM INCREASED MONITORING, AND SUBMIT ANNUAL CERTIFICATION FOR UNITS 1 & 2 AT THE DALE PLANT.
THIS CASE APPEARS TO BE THE FIRST ENFORCEMENT ACTION NATIONALLY UNDER SECTION 411 OF THE ACT, AND INVOLVES MILLIONS OF DOLLARS IN FEES AND PENALTIES