EPA v. AMERICAN REFINING GROUP, INC.

Case summary

On 9/26/26, EPA filed a Consent Agreement and Final Order which both initiates and settles EPA's administrative penalty action for numerous violations of the Clean Air Act at Respondent's facility located at 77 North Kendall Avenue, Bradford, Pennsylvania 16701-1726 which include: Respondent's failure to install a fuel gas recovery unit within the required compliance period, as required under 40 C.F.R Part 60, Subpart Ja; numerous deviations or instances of noncompliance with the terms, conditions and requirements of its Title V Operating Permit, as self-reported in its annual compliance certifications; violations that relate to the standards of performance for equipment leak detection and repair (LDAR) requirements found in 40 C.F.R. Part 60, Subpart VV; failure to maintain a pilot light at the flare under 40 C.F.R. Part 63, Subpart CC; emergency engine violations under 40 C.F.R. Part 63, Subpart ZZZZ; violations that relate to 40 C.F.R. Part 60, Subpart K (Standards of Performance for Storage Vessels for Petroleum Liquids); and violations that relate to 40 C.F.R. Part 63, Subpart DDDDD (National Emission Standards for Hazardous Air Pollutants for Major Sources: Industrial, Commercial, and Institutional Boilers and Process Heaters). ARG's Main Refinery Flare fuel gas recovery unit has now been fully installed and brought online, and the facility's overall flare gas recovery rate has progressively increased. EPA has also approved guidelines for the operation of the fuel gas recovery unit in accordance with an alternative monitoring plan for the Main Refinery Flare. ARG's coal-fired boiler (No. 5) has also been permanently removed and replaced with a new gas-fired boiler (Boiler No. 6), resulting in a dramatic reduction in sulfur dioxide (SOx) emissions. The emissions decrease from the decommissioning of Boiler 5 are approximately 567 tons per year (tpy) of SOx, and approximately 9 tpy of particulate matter (PM). Estimated compliance costs for injunctive relief performed, including decommissioning of Boiler No. 5, installation of Boiler No. 6 and associated fuel gas recovery unit at $4.5 million. No further injunctive relief is required. There were no human health/environmental impacts involved in this matter. Prefiling negotiations resulted in a settlement requiring that Respondent pay a civil penalty in the amount of $350,000. EPA informed the Pennsylvania Department of Environmental Protection (PADEP) of this enforcement action on or about April 12, 2019, and PADEP played no role in this direct implementation case.

Defendants (1)

• AMERICAN REFINING GROUP, INC.Named in complaintNamed in settlement

Facilities (12)

• AMER REF GROUP/BRADFORD

  77 N KENDALL AVE, BRADFORD, PA, 16701-1726

  Registry ID: 110000332220

• AMERICAN REFINING GROUP, INC.

  77 NORTH KENDALL AVENUE, BRADFORD, PA, 16701

  Registry ID: 110000332220

• AMERICAN REFINING GROUP, INC.

  77 NORTH KENDALL AVENUE, BRADFORD, PA, 16701

  Registry ID: 110000332220

• AMERICAN REFINING GROUP, INC.

  77 NORTH KENDALL AVENUE, BRADFORD, PA, 16701

  Registry ID: 110000332220

• AMER REF GROUP/BRADFORD

  77 N KENDALL AVE, BRADFORD, PA, 16701-1726

  Registry ID: 110000332220

• AMERICAN REFINING GROUP, INC.

  77 NORTH KENDALL AVENUE, BRADFORD, PA, 16701

  Registry ID: 110000332220

• AMERICAN REFINING GROUP, INC.

  77 NORTH KENDALL AVENUE, BRADFORD, PA, 16701

  Registry ID: 110000332220

• AMER REF GROUP/BRADFORD

  77 N KENDALL AVE, BRADFORD, PA, 16701-1726

  Registry ID: 110000332220

• AMER REF GROUP/BRADFORD

  77 N KENDALL AVE, BRADFORD, PA, 16701-1726

  Registry ID: 110000332220

• AMER REF GROUP/BRADFORD

  77 N KENDALL AVE, BRADFORD, PA, 16701-1726

  Registry ID: 110000332220

• AMER REF GROUP/BRADFORD

  77 N KENDALL AVE, BRADFORD, PA, 16701-1726

  Registry ID: 110000332220

• AMERICAN REFINING GROUP, INC.

  77 NORTH KENDALL AVENUE, BRADFORD, PA, 16701

  Registry ID: 110000332220

Statutes cited

• CAA 502 — Operating Permits (Title V)
• CAA 112D — MACT Standards
• CAA 112 — Hazardous Air Pollutants
• CAA 111 — New Source Performance Standards

Enforcement conclusions (1)

• AMERICAN REFINING GROUP, INC.entered 2019-09-26

  Primary law: CAA

  Federal penalty: $350,000

Timeline (4 milestones)

• 2019-09-26Complaint Filed/Proposed Order
• 2019-09-26Final Order Issued
• 2019-10-03Enforcement Action Data Entered
• 2019-10-15Enforcement Action Closed