EPA v. CHEVRON, U.S.A., INC. (PASCAGOULA REFINERY) (NATIONAL CASE)

Case summary

ACTION AGAINST CHEVRON U.S.A., INC., FOR ALLEGED VIOLATION OF THE CAA AT CHEVRON'S FACILITY IN PASCAGOULA, MS. TIS FACILITY IS PART OF THE NATIONAL PETROLEUM REFINERY INITIATIVE. CHEVRON IS THE 9TH NATIONAL SETTLEMENT REACHED AS PART OF EPA'S CAA PETROLEUM REFINERY INITIATIVE. THE SETTLEMENT ALSO INCLUDES CHEVRON REFINERIES LOCATED IN RICHMOND, CALIFORNIA; EL SEGUNDO, CALIFORNIA; AND SALT LAKE CITY, UTAH; AND KAPOLEI, HAWAII. THE MISSISSIPPI COMMISSION ON ENVIRONMENTAL QUALITY IN MISSISSIPPI IS ONE OF THE PLAINTIFF-INTERVENORS IN THIS CASE. THE RELEVANT PROVISIONS OF THE CAA ARE THE PREVENTION OF SIGNIFICANT DETERIORATION (PSD) REQUIREMENTS AT PART C OF SUBCHAPTER 1 OF THE CAA AND THE MISSISSIPPI STATE IMPLEMENTATION PLAN AND RULES SETTING FORTH THE PSD REGULATIONS. NEW SOURCE PERFORMANCE STANDARDS ARE FOUND UNDER SECTION 111 OF THE CAA AND REGULATIONS PROMULGATED UNDER 40 CFR PART 60, SUBPARTS A AND J, SPECIFICALLY APPLICABLE TO PETROLEUM REFINERIES. PURSUANT TO SECTION 112 OF THE CAA , EPA HAS PROMULGATED NESHAPSs INCLUDING REGULATIONS FOR EQUIPMENT LEAKS (FUGITIVE EMISSION SOURCES) SET FORTH AT 40 CFR PART 60, SUBPART J; PART 63, SUBPARTS H AND CC; AND PART 60 SUBPARTS VV, GGG, AND QQQ. IN ACCORDANCE WITH CAA SECTION 112(d), EPA HAS PROMULGATED REGULATIONS AT 40 CFR PART 61, SUBPART FF, THAT ARE APPLICABLE TO BENZENE-CONTAINING WASTE WATERS. ALL OF THESE PROVISIONS ARE APPLICABLE TO THIS REFERRAL. BACKGROUND: CHEVRON, U.S.A., INC. IS THE SECOND LARGEST ENERGY COMPANY IN THE U.S. AND THE 5TH LARGEST IN THE WORLD. CHEVRON'S REFINERY IN PASCAGOULA, MS, HAS A CURRENT DISTILLATION CAPACITY OF APPROX 325,000 BARELS PER DAY PRODUCTING REFINED PETROCHEMICAL PRODUCTS, PRINCIPALLY LUBRICATING AND SPECIALTY PRODUCTS. THIS REFINERY HAS HEATERS AND BOILERS AND FLARING DEVICES, A FLUIDIZED CATALYTIC CRACKING UNIT (FCCU) AND A SULFUR RECOVERY UNIT. THE FACILITY IS LOCATED IN A NATIONAL AMBIET AIR QUALITY STANDARDS ATTAINMENT AREA. THE PROPOSED COMPLAINT ALLEGES SEVEN CLAIMS FOR RELIEF AGAINST CHEVRON BASED ON BROAD ALLEGATIONS MADE UPON INFORMATION GLEANED FROM CONVENTIONAL REFINERY INVESTIGATIONS BECAUSE THE REFINERY HAD NOT BEEN INVESTIGATED BY EPA OR OUR STATE ENFORCEMENT PARTNERS. THE 4 AREAS OF CAA COMPLIANCE ARE: (1) VIOLATIONS OF THE PSD REGULATIONS FOR FAILURE TO APPLY FOR AND OBTAIN APPROPRIATE PERMITS FOR MODIFYING THEIR PROCESS HEATERS AND BOILERS; (2) VIOLATIONS OF THE NSPS REGULATIONS AT 40 CFR PART 60, SUBPART 1, FOR FAILURE TO COMPLY WITH THE EMISSION LIMITS AND MONITORING REQUIREMENTS FOR FLARING DEVICES, HEATERS AND BOILERS; (3) VIOLATIONS OF THE NSPS REGULATIONS FOR FAILURE TO OPERATE AND MAINTAIN THEIR HEATERS, BOILERS AND FLARING DEVICES IN A MANNER CONSISTENT WITH GOOD AIR POLLUTION CONTROL PRACTICES; (4) VIOLATIONS OF APPLICABLE LDAR REQUIREMENTS; AND (5) VIOLATIONS OF BENZENE WASTE NESHAP REGULATIONS

Defendants (2)

• CHEVRON U.S.A., INC.Named in complaintNamed in settlement
• Chevron Products Company

Facilities (6)

• CHEVRON USA INC, CHEVRON PRODUCTS COMPANY, PASCAGOULA REFINERY

  250 INDUSTRIAL ROAD, PASCAGOULA, MS, 39581

  Registry ID: 110000377477

• CHEVRON USA INC, CHEVRON PRODUCTS COMPANY, PASCAGOULA REFINERY

  250 INDUSTRIAL ROAD, PASCAGOULA, MS, 39581

  Registry ID: 110000377477

• CHEVRON USA INC, CHEVRON PRODUCTS COMPANY, PASCAGOULA REFINERY

  250 INDUSTRIAL ROAD, PASCAGOULA, MS, 39581

  Registry ID: 110000377477

• CHEVRON USA INC, CHEVRON PRODUCTS COMPANY, PASCAGOULA REFINERY

  250 INDUSTRIAL ROAD, PASCAGOULA, MS, 39581

  Registry ID: 110000377477

• CHEVRON USA INC, CHEVRON PRODUCTS COMPANY, PASCAGOULA REFINERY

  250 INDUSTRIAL ROAD, PASCAGOULA, MS, 39581

  Registry ID: 110000377477

• CHEVRON USA INC, CHEVRON PRODUCTS COMPANY, PASCAGOULA REFINERY

  250 INDUSTRIAL ROAD, PASCAGOULA, MS, 39581

  Registry ID: 110000377477

Statutes cited

• CAA 112 — Hazardous Air Pollutants
• CAA 111 — New Source Performance Standards

Enforcement conclusions (1)

• CHEVRON, U.S.A., INC. (PASCAGOULA REFINERY) (NATIONAL CASE)entered 2005-06-29

  Primary law: CAA

  Federal penalty: $500,000 · State/local: $500,000

Timeline (6 milestones)

• 2003-10-16Referred To Dept Of Justice
• 2003-10-16Final Order Lodged
• 2003-10-16Complaint Filed With Court
• 2004-01-09Enforcement Action Data Entered
• 2005-06-29Concluded
• 2005-06-29Final Order Entered