EPA Settlement with AES Requires More Monitoring and Payment of Penalty for Clean Air Act Violations in Guayama, Puerto Rico
Company Will Operate Monitors and Pay $3.1 Million Penalty
PUERTO RICO – The U.S. Environmental Protection Agency (EPA) has finalized a settlement with Applied Energy Systems Puerto Rico, LP (AES) that requires it to operate monitors and pay a penalty for violations of the Clean Air Act (CAA) at its facility in Guayama, Puerto Rico, underscoring EPA’s commitment to hold companies accountable when they violate the Clean Air Act, and potentially put a community’s health at risk. EPA found that the company did not properly monitor for mercury, particulate matter and hydrochloric acid emissions, and that it did not properly report mercury emissions as required. As part of the settlement, the company will pay a civil penalty of $3.1 million, and AES will address violations of the Mercury and Air Toxics Standards (MATS).
AES has agreed to operate two recently installed mercury process monitors to support the facility’s operation of its system to remove mercury from its emissions. To increase transparency with the public, the company has also agreed to post its MATS compliance reports and its site-specific monitoring plan to its public website. EPA expects that these environmental improvements will benefit communities near the facility.
“This settlement underscores EPA’s commitment to hold companies accountable when they violate the Clean Air Act, and potentially put a community’s health at risk,” said Regional Administrator, Lisa F. Garcia. “Toxic air pollution from power plants can make people sick and EPA is taking action to hold coal-fired power plants accountable. This settlement is specific to the Clean Air Act, but EPA is continuing to assess this facility for compliance with other environmental laws.”
AES produces about one-quarter of Puerto Rico’s power via its coal-fired power plant in Guayama. The plant’s contract with the government of Puerto Rico calls for the closure of the power plant by December 2027. Any fossil fuel-fired combustion unit exceeding 25 megawatts that produces electricity for sale must comply with the MATS, which include specific emission and operating limits.
EPA’s investigation and discussions with AES specifically revealed multiple alleged violations of the MATS, such as failure to properly operate a mercury monitoring system at all times. AES also failed to comply with the applicable mercury emission limit on two occasions, specifically during the periods of March 17-21, 2022, and April 5-12, 2022. AES failed to comply with calibration, installation, maintenance, and reporting requirements under the MATS and the facility’s air permits. EPA issued a notice of violation in July 2022 to AES for violating the Puerto Rico regulations for the Control of Atmospheric Pollution and the MATS, along with air permits.
Power plants are among the largest domestic sources of emissions of mercury and other toxic air pollutants such as arsenic, chromium, cobalt, nickel, lead, hydrogen chloride, beryllium, and cadmium. Exposure to these hazardous air pollutants, at certain levels and durations, is associated with a variety of adverse health effects, which may include irritation of the lungs and skin, detrimental effects on the central nervous system, damage to the kidneys, and cancer.
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