2021: Study: Total VOC emissions from natural gas compressors related to higher human mortality rates.
Ovintiv USA to Pay $5.5m to Resolve Clean Air Act Violations by Jim Silver, Sept 30, 2024, Bloomberg Law
Ovintiv USA to pay federal government and Utah a civil penalty of $5.5m as part of a more than $16m settlement resolving Clean Air Act violations.
- Violations occurred at company’s oil and gas facilities in Utah, US Justice Department and Environmental Protection Agency said in a statement
- Company will implement steps to achieve significant reductions in pollution from 139 of its facilities across the state, at a cost of more than $10m
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Ovintiv USA to Settle Alleged Clean Air Violations with $5.5 Million Payment, Investment by Sabela Ojea, Sept 30, 2024, Dow Jones Newswires, Global News Select
Ovintiv USA has agreed to pay a $5.5 million civil penalty to resolve alleged clean air violations with the Justice Department and Environmental Protection Agency.
The DOJ on Monday said that the settlement also requires oil-and-gas producer Ovintiv to take corrective action and mitigation projects expected to cost over $10 million at 139 of its facilities that would eliminate over 2,000 tons of volatile organic compounds emissions annually.
The civil suit was filed jointly by the U.S. and the state of Utah, alleging that Ovintiv failed to comply with federal and state requirements to capture and control air emissions and comply with inspection, monitoring and recordkeeping requirements from 22 of its oil-and-gas production facilities in the Uintah Basin.
These violations resulted in illegal emissions of volatile organic compounds, which contribute to asthma and increase susceptibility to respiratory illnesses, the DOJ said.
Volatile organic compounds are emitted as gases from certain solids or liquids.
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Ovintiv USA Inc. 2024 Clean Air Act Stationary Source Case Summary by USA EPA, Sept 30, 2024
On September 30, 2024, the U.S. Environmental Protection Agency (EPA) and Department of Justice (DOJ) announced a settlement agreement with Ovintiv USA Inc. (Ovintiv) to address Clean Air Act violations at 22 of their facilities in Utah. The actions the company will take under the agreement will reduce approximately 2,047 tons per year of volatile organic compounds (VOCs) and methane emissions equivalent to more than 53,180 tons per year of carbon dioxide at oil and gas production facilities on Utah state land and the Uintah and Ouray Reservation within the Uinta Basin. The settlement requires Ovintiv to pay a $5.5 million civil penalty, split evenly between the U.S. and state of Utah. Additionally, Ovintiv is required to invest in extensive compliance and mitigation measures estimated to cost an additional $10.7 million.
The settlement is part of the EPA’s National Enforcement and Compliance Initiative to mitigate climate change and part of the EPA’s larger effort to hold oil and gas companies accountable for widespread violations at oil and gas facilities throughout the country. Like all of the EPA’s national enforcement initiatives, this initiative prioritizes communities already overburdened by pollution and with other potential environmental justice concerns.
Settlement Resources
I find these bits below extra interesting in the Consent Decree, notably that Encana/Ovintiv signed it. In my view, the company would not do that in Canada, and no regulator or court would compel it to. Here authorities see Encana/Ovintiv as Jesus and above the law.
- Not Tax Deductible. Ovintiv shall not deduct any penalties paid under this
Consent Decree pursuant to this Section or Section X (Stipulated Penalties) in calculating its
federal tax.
- Certification Statement. Each report submitted by Ovintiv under this Section, each
Certification of Completion Report submitted pursuant to the requirements of Paragraph 21 (d) (Vapor Control System Initial Verification), and the project completion notice required by
Appendix B, shall be signed by an official of the submitting party and include the following
certification:
I certify under penalty of law that this document and all attachments were prepared under
my direction or supervision in accordance with a system designed to assure that qualified
personnel properly gather and evaluate the information submitted. Based on my inquiry
of the person or persons who manage the system, or those persons directly responsible for
gathering the information, the information submitted is, to the best of my knowledge and
belief, true, accurate, and complete. I am aware that there are significant penalties for
submitting false information, including the possibility of fine and imprisonment for knowing violations.
On this page:
- Overview of Ovintiv USA Inc.
- Summary of the Violations
- Summary of Environmental Impacts
- Environmental Benefits
- Summary of Consent Decree
- Comment Period
- Contact Information
Overview of Ovintiv USA Inc.
Ovintiv USA Inc. is a subsidiary of Ovintiv Inc. and is headquartered in Denver, Colorado. Of relevance to this settlement, Ovintiv’s assets include 139 well pads located in Utah that extract oil and natural gas from wells and further separate liquids from gas in tank systems to refine product for sale.
Summary of the Violations
The United States alleges in its complaint that Ovintiv violated the Clean Air Act and its implementing regulations at 22 oil and natural gas production facilities on Utah state land and on the Uintah and Ouray Reservation.
At the facilities, Ovintiv failed to comply with multiple volatile organic compound emission control requirements under several New Source Performance Standards (NSPS), Utah state implementation plan, and Utah state oil and gas regulations applicable to storage vessels located at oil and natural gas production facilities.
Summary of Environmental Impacts
VOCs are a key component in the formation of ground-level ozone, a pollutant that irritates the lungs, exacerbates diseases such as asthma, and can increase susceptibility to respiratory illnesses, such as pneumonia and bronchitis.
Methane, a climate super pollutant, is a hydrocarbon that is a primary component of natural gas and a potent greenhouse gas, approximately 25-28 times more powerful than carbon dioxide. It is the second most abundant greenhouse gas after carbon dioxide, accounting for about 16% of global emissions. Achieving significant reductions of methane would have a rapid and significant effect on atmospheric warming potential.
Environmental Benefits
When fully implemented, the EPA estimates that the new controls and requirements as well as the mitigation projects will reduce VOC and hazardous air pollutants emissions by 2,047 tons per year of VOCs and methane emissions equivalent to more than 53,180 tons per year of carbon dioxide, which equates to taking 13,000 gas powered cars off the road each year.
Summary of Consent Decree
Under the proposed consent decree, Ovintiv agreed to invest nearly $9 million to address its noncompliance for all well pads and agreed to:
- Conduct an engineering evaluation to ensure each facility is designed to route all emissions to a control device and many facilities will have automated shut-in to prevent emissions from releasing to atmosphere;
- Conduct more frequent infrared camera inspections and audio, visual, and olfactory (AVO) inspections;
- Perform enhanced preventative maintenance; and
- Install tank pressure monitors.
Also, Ovintiv agreed to mitigate past excess emissions by replacing 899 venting pneumatic devices with zero-emission devices at 27 facilities located in the Uinta Basin.
Comment Period
The proposed consent decree lodged in the U.S. District Court for the District of Utah is subject to a 30-day public comment period and final court approval. Information on submitting comments is available on the DOJ’s Proposed Consent webpage.
Contact Information
For additional information on this settlement, please contact:
Lauren Hammond
Senior Assistant Regional Counsel
U.S. Environmental Protection Agency
Region 8
Denver, Colorado
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Ovintiv USA to Pay $5.5M Penalty and Upgrade Facilities in Utah to Resolve Clean Air Act Violations Press Release by Office of Public Affairs, U.S. Dept of Justice, September 30, 2024
For Immediate Release
Office of Public Affairs
Compliance Measures Address Violations at 22 Facilities in Utah Including on Uintah and Ouray Reservation Lands
The Justice Department and Environmental Protection Agency (EPA) today announced a more than $16 million settlement with Ovintiv USA Inc. resolving Clean Air Act violations at the company’s oil and gas production facilities on the Uintah and Ouray Reservation in Utah and Utah state lands. The settlement requires Ovintiv to pay the United States and the state of Utah a civil penalty of $5.5 million. It also requires Ovintiv to implement extensive compliance measures to achieve major reductions in pollutants emitted from 139 of its facilities across the state.
The settlement resolves a civil suit, filed jointly by the United States and the state of Utah, alleging that Ovintiv failed to comply with federal and state requirements to capture and control air emissions and comply with inspection, monitoring and recordkeeping requirements from 22 of its oil and gas production facilities in the Uintah Basin. These violations resulted in illegal emissions of volatile organic compounds (VOC), which contribute to asthma and increase susceptibility to respiratory illnesses. Additionally, greenhouse gases, including methane, were released in large quantities, contributing to climate change.
Along with the civil penalty, the settlement requires Ovintiv to take corrective action and mitigation projects estimated to cost over $10 million at 139 of its facilities that will eliminate over 2,000 tons of VOC emissions annually. It will also eliminate methane emissions equivalent to a reduction of over 50,000 tons of carbon dioxide emissions annually, a reduction similar to taking nearly 13,000 gas powered cars off the road each year.
“This case is a win for the environment and for consumers,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The work required under the consent decree will significantly reduce the amount of gas Ovintiv facilities vent into the atmosphere and return some of that gas to the sales pipeline where it can be sent to productive use.”
“As climate change accelerates and wreaks havoc in communities across the nation, EPA is doing everything possible to limit the methane emissions that are among the most powerful drivers of climate change,” said Assistant Administrator David M. Uhlmann of EPA’s Office of Enforcement and Compliance Assurance. “Today’s settlement with Ovintiv will significantly reduce emissions across 139 facilities on Tribal and state lands and provides another example of how EPA is delivering on its climate enforcement strategy and holding companies accountable for climate pollution.”
The settlement requires Ovintiv to invest in extensive compliance measures for the proper design of Ovintiv’s oil and gas facilities to capture all VOC emissions and send the emissions to an appropriate control device. Compliance measures also include periodic infrared camera inspections, enhanced maintenance requirements and installation of storage tank pressure monitors at many facilities. The settlement is part of EPA’s National Enforcement and Compliance Initiative, Mitigating Climate Change. This initiative focuses, in part, on reducing methane emissions from oil and gas and landfill sources. Like all of EPA’s national enforcement initiatives, this initiative prioritizes communities already overburdened by pollution and other potential environmental justice concerns.
More information on the settlement agreement is available on EPA’s webpage at www.epa.gov/enforcement/ovintiv-usa-inc-2024-clean-air-act-stationary-source-case-summary.
The complaint and proposed consent decree were filed in the U.S. District Court for the District of Utah. The consent decree is subject to a 30-day comment period. A copy of the complaint and the proposed consent decree are available at www.justice.gov/enrd/consent-decrees.
The EPA investigated the case.
Attorneys with the Environment and Natural Resources Division’s Environmental Enforcement Section are handling the case.
Updated September 30, 2024
Topic
Environment
Components
Environment and Natural Resources Division
ENRD – Environmental Enforcement Section
Press Release Number: 24-1232
***
@MichaelFWehner Sept 30, 2024:
Our best estimate is that climate change caused over 50% more rainfall during Hurricane Helene in some parts of Georgia and the Carolinas.
We estimate that the observed rainfall was made up to 20 times more likely in these areas because of global warming.
Climate change caused over 50% more rainfall during Hurricane Helene in some
parts of Georgia and the Carolinas, A provisional Hurricane Helene rainfall climate change attribution statement by Mark Risser, Joshua North, and Michael Wehner, Lawrence Berkeley National Laboratory
Contact: email hidden; JavaScript is required
Michael Thomas@curious_founder:
Flooding has cost U.S. taxpayers $850 billion since 2000.
***
Ovintiv USA to pay $5.5M penalty and upgrade oil and gas facilities in Utah to resolve Clean Air Act violations, Compliance measures address violations at 22 facilities in Utah including on Uintah and Ouray Reservation state lands within Uinta Basin Press Release by USA EPA, Sept 30, 2024
Contact: EPA Press Office (email hidden; JavaScript is requiredemail hidden; JavaScript is required)
WASHINGTON (Sept. 30, 2024) – Today, the U.S. Environmental Protection Agency and the Department of Justice announced a more than $16 million settlement with Ovintiv USA Inc., resolving Clean Air Act violations at the company’s oil and gas production facilities on the Uintah and Ouray Reservation in Utah and Utah state lands. The settlement requires Ovintiv to pay the U.S. and the state of Utah a civil penalty of $5.5 million. It also requires Ovintiv to implement extensive compliance measures to achieve major reductions in pollutants emitted from 139 of its facilities across the state.
The settlement resolves a civil suit, filed jointly by the U.S. and the state of Utah, alleging that Ovintiv failed to comply with federal and state requirements to capture and control air emissions and comply with inspection, monitoring and recordkeeping requirements from 22 of its oil and gas production facilities in the Uinta Basin. These violations resulted in illegal emissions of volatile organic compounds (VOCs), which contribute to asthma and increase susceptibility to respiratory illnesses. Greenhouse gases, including methane, were also released in large quantities, contributing to climate change.
“This settlement reduces pollutants that contribute to ground-level ozone in the Uintah and Ouray Reservation communities and beyond that are already overburdened by health impacts from ozone,” said EPA Regional Administrator KC Becker. “We are proud to bring a strong enforcement presence to areas that are disproportionately impacted by air pollution released by the oil and gas industry.”
Along with the civil penalty, the settlement requires Ovintiv to take corrective action and mitigation projects estimated to cost over $10 million at 139 of its facilities that will eliminate over 2,000 tons of VOC emissions annually. It will also eliminate methane emissions equivalent to a reduction of over 50,000 tons of carbon dioxide emissions annually, a reduction similar to taking nearly 13,000 gas-powered cars off the road each year.
“This case is a win for the environment and for consumers,” said Todd Kim, Assistant Attorney General of the Justice Department’s Environment and Natural Resources Division. “The work required under the consent decree will significantly reduce the amount of gas Ovintiv facilities vent into the atmosphere and return some of that gas to the sales pipeline where it can be sent to productive use.”
The settlement requires Ovintiv to invest in extensive compliance measures for the proper design of Ovintiv’s oil and gas facilities to capture all VOC emissions and send the emissions to an appropriate control device. Compliance measures also include periodic infrared camera inspections, enhanced maintenance requirements and installation of storage tank pressure monitors at many facilities.
The settlement is part of EPA’s National Enforcement and Compliance Initiative, Mitigating Climate Change. This initiative focuses, in part, on reducing methane emissions from oil and gas and landfill sources. Like all of EPA’s national enforcement initiatives, this initiative prioritizes communities already overburdened by pollution and other potential environmental justice concerns.
The complaint and proposed consent decree were filed in the U.S. District Court for the District of Utah. The consent decree is subject to a 30-day comment period. A copy of the complaint and the proposed consent decree are available on the Justice Department’s Propose Consent Decree webpage.
More information on the settlement agreement is available in the agency’s Ovintiv USA Inc. 2024 Clean Air Act Stationary Source Case Summary.
Refer also to:
2024 08 22: Ovintiv reportedly looking to sell Utah oil assets
2024 08 22: Ovintiv (OVV) Considers Divesting Uinta Basin Operations