EPA v. MARATHON PETROLEUM COMPANY, LP AND CATLETTSBURG REFINING LLC (NATIONAL CASE)

Case summary

MARATHON HAS AGREED TO STATE-OF-THE ART CONTROLS ON COMBUSTION DEVICES KNOWN AS FLARES AND TO A CAP ON THE VOLUME OF WASTE GAS IT WILL SEND TO ITS FLARES. WHEN FULLY IMPLEMENTED, THE AGREEMENT IS EXPECTED TO REDUCE HARMFUL AIR POLLUTION BY APPROX 5,400 TONS PER YEAR AND RESULT IN FUTURE COSTS SAVINGS FOR THE COMPANY. THE SETTLEMENT IS PART OF EPA'S NATIONAL EFFORT TO REDUCE AIR POLLUTION FROM REFINERY, PETROCHEMICAL AND CHEMICAL FLARES. A FLARE IS A MECHANICAL DEVICE, ORDINARILY ELEVATED HIGH OFF THE GROUND, USED TO COMBUST WASTE GASES. THE MORE WASTE GAS A COMPANY SENDS TO A FLARE, THE MORE POLLUTION OCCURS. THE LESS EFFICIENT A FLARE IS IN BURNING WASTE GAS, THE MORE POLLUTION OCCURS. EPA WANTS COMPANIES TO FLARE LESS, AND WHEN THEY DO FLARE, TO FULLY COMBUST THE HARNFUL CHEMICALS FOUND IN THE WASTE GAS. A CONSENT DECREE WAS ENTERED ON AUG 30, 2012, IN THE U.S. DISTRICT COURT IN DETROIT RESOLVES MARATHON'S ALLEGED VIOLATIONS OF THE CAA. AS PART OF THE EFFORT THIS AGREEMENT, MARATHON, UNDER THE DIRECTION AND OVERSIGHT OF EPA, SPENT MORE THAN $2.4 MILLION TO DEVELOP AND CONDUCT PIONEERING COMBUSTION EFFICIENCY TESTING OF FLARES AND TO ADVANCE THE UNDERSTANDING OF THE RELATIONSHIP BETWEEN FLARE OPERATING PARAMETERS AND FLARE COMBUSTION EFFICIENCY. IN ADDITION, BEGINNING IN 2009, MARATHON INSTALLED EQUIPMENT, SUCH AS FLOW MONITORS AND GAS CHROMATOGRAPHS, TO IMPROVE THE COMBUSTION EFFICIENCY OF ITS FLARES. TO DATE, MARATHON HAS SPENT APPROX $45 MILLION ON THIS EQUIPMENT AND PROJECTS, AND PLANS TO SPEND AN ADD'L $6.5 MILLION. MARATHON ALSO WILL SPEND AS AS YET UNDETERMINED SUM TO COMPLY WITH THE FLARING CAPS REQUIRED IN THE CD. AT THE SAME TIME, MARATHON INDICATES THAT THE EQUIPMENT IT ALREADY HAS INSTALLED IS SAVING IT APPROX $5 MILLION PER YEAR THRU REDUCED STEAM USAGE AND PRODUCT RECOVERY. MARATHON ALSO PROJECTS ADD'L SAVINGS THRU THE OPERATION OF THE EQUIPMENT TO BE INSTALLED IN THE FUTURE.

Defendants (2)

• MARATHON PETROLEUM COMPANY, LPNamed in complaintNamed in settlement
• CATLETTSBURG REFINING LLCNamed in complaintNamed in settlement

Facilities (4)

• MARATHON PETROLEUM CO LLC - CATLETTSBURG REFINING

  11631 US 23, CATLETTSBURG, KY, 41129

  Registry ID: 110008361263

• MARATHON PETROLEUM CO LLC - CATLETTSBURG REFINING

  11631 US 23, CATLETTSBURG, KY, 41129

  Registry ID: 110008361263

• MARATHON PETROLEUM CO LLC - CATLETTSBURG REFINING

  11631 US 23, CATLETTSBURG, KY, 41129

  Registry ID: 110008361263

• MARATHON PETROLEUM CO LLC - CATLETTSBURG REFINING

  11631 US 23, CATLETTSBURG, KY, 41129

  Registry ID: 110008361263

Statutes cited

• CAA 111 — New Source Performance Standards

Enforcement conclusions (1)

• MARATHON PETROLEUM COMPANY, LP AND CATLETTSBURG REFINING LLC (NATIONAL CASE) (04-2012-C016)entered 2012-08-30

  Primary law: CAA

  Federal penalty: $60,000

Timeline (6 milestones)

• 2012-03-28Referred To Dept Of Justice
• 2012-03-29Enforcement Action Data Entered
• 2012-04-05Complaint Filed With Court
• 2012-04-05Final Order Lodged
• 2012-08-30Concluded
• 2012-08-30Final Order Entered