EPA, DOJ and Mississippi Reach Settlement with Chevron U.S.A. Inc. Requiring Nationwide Safety and Chemical Accident Prevention Measures
10/24/2018
EPA, DOJ, and MDEQ announced a national settlement with Chevron U.S.A. Inc. that requires safety improvements at all its domestic refineries. This resolves claims that the company violated provisions of the CAA aimed at preventing accidental releases of hazardous chemicals that can have serious consequences for public health and the environment.
As part of the proposed settlement, Chevron will spend approx $150 million to replace vulnerable pipes, institute operating parameters and alarms for safer operation, improve corrosion inspections and training, centralize safety authority within the corporation, conduct a pilot study of safety controls for fired heaters, and make other safety improvements at all its domestic refineries. Chevron also will pay a $2.95 civil penalty and will implement supplemental environmental projects worth at least $10 million in the communities surrounding the refineries in CA, MS, UT, AND HI. The overall value of this settlement exceeds $160 million, which makes it the largest settlement in the history of the EPAs enforcement of the RMP Rule under CAA 112r.
EPA?s initial investigation was spurred by an Aug 6, 2012 fire involving high-temperature hydrocarbons released in the Crude Unit at Chevron?s Richmond, CA refinery. That fire prompted a shelter-in-place order by Contra Costa County official