The Arkansas Department of Energy & Environment – Division of Environmental Quality (“DEQ”) and Solfuels USA Inc. (“Solfuels”) entered into a December 7th Consent Administrative Order (“CAO”) addressing alleged violations of an air permit. See LIS No. 21-134.
The CAO provides that Solfuels owns and operates a biodiesel production facility (“Facility”) in Phillips County, Arkansas.
The Facility is reported to hold an air license.
DEQ personnel have stated that they conducted a compliance check at the Facility between March 2nd and March 8th, covering the reporting period from September 1, 2017 to January 31, 2021. According to the inspection, the Facility failed to record the specific gravity and scrubbing liquid temperature during the reporting period. This is allegedly in violation of certain conditions of an Air Permit.
According to inspection, the Facility was found to not have established a written fugitive emission minimization program. This violation was in violation of certain conditions under an air permit. The Facility was also found to not have submitted the semi-annual reports required during the reporting period. This is in violation of conditions of an Air Permit.
HSG Environmental Consultants, LLC (“HSG”) is stated to have responded on behalf of Solfuels in correspondence dated September 23rd. HSG was responding on behalf of Solfuels to a proposed CAO. The Facility’s biodiesel production was stated to have been shut down and not expected to resume for up to two years.
HSG also stated that
. . . Facility operators regularly inspected the process equipment and piping to identify leaks and other problems. If problems were found, repairs were made promptly. Fugitive emissions detection procedures weren’t documented in a written program. Also, observation records, leak testing and repair efforts were not kept during the reporting period. Therefore, 40 C.F.R. required semi-annual reports. Part 60, Subpart IV cannot be retroactively created.
Solfuels sent October 12th a correspondence indicating that there was no production between November 28, 2019 and January 28, 2020, as well as no production since October 9, 2021.
Solfuels does not admit or deny the legal and factual allegations in the CAO.
The CAO requires that you submit a modification to your air permit within 60 days of the date of the document Solfuels.
- Correct regulatory citations
- Revise compliance demonstration requirements (including control equipment monitoring procedures)
- Make plans for physical changes to facility operations (with the latter intended so that the facility can achieve the permitted biodiesel production rates).
This modification to an air permit is required to include any proposed operating scenario and/or new chemical processes. It is subject to air permitting requirements.
The CAO also requires Solfuels to submit a written assurance within 10 calendar day of restarting biodiesel production. This letter must be signed by Solfuels confirming that liquid scrubber compliance monitoring has been conducted in accordance with the scrubbing monitoring requirements and recordkeeping requirements set forth in the air permit application. Solfuels must:
. . . Based on 40 C.F.R., establish a program for fugitive emission monitoring and record keeping. Part 60, Subpart VI or VVa as applicable in the wake of the revision of an air permit.
A civil penalty of $4.500 is assessed.
You can download a copy of the CAO Here.