Petroleum Refinery Initiative

Clean Air Act

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The petroleum refining industry, with approximately 150 refineries nationwide, has been an EPA national enforcement priority for a number of years. Since 1998, EPA has pursued a coordinated, integrated compliance and enforcement strategy to address Clean Air Act compliance issues at the nation's petroleum refineries.

The National Petroleum Refinery Initiative addresses the four most significant compliance and enforcement concerns affecting the petroleum refining industry under the Clean Air Act:

• Prevention of Significant Deterioration/New Source Review (NSR);
• New Source Performance Standards (NSPS) for fuel gas combustion devices, including sulfur recovery plants, flares and heaters and boilers;
• Leak Detection and Repair requirements (LDAR); and
• Benzene National Emissions Standards for Hazardous Air Pollutants (BWON).

EPA has initiated scores of investigations at the refineries, each focusing on at least one of the above areas. At the same time, EPA has embarked on a series of innovative, multi-issue/facility settlement negotiations with major petroleum refining companies. Since March 2000, EPA has entered into 12 global settlements with petroleum refiners that together represent more than 40 percent of the domestic petroleum refining capacity. The settlements cover each of the four areas of non-compliance at all of the refiners' facilities. The settling refiners are:

BP Exploration and Oil, Inc. Chevron USA Inc. CHS Inc. (Cenex) CITGO Coastal Eagle Point Oil Company (CEPOC) Conoco, Inc. (preconsolidation refineries only) Ergon Refining Inc. Koch Industries Lion Oil Marathon Ashland Petroleum LLC Motiva Enterprises LLC/ Equilon Enterprises / Deer Park Refining (Shell) Navajo Refining Company and Montana Refining Company

Office of Enforcement and Compliance Assurance Response to the EPA Inspector General's Refinery Initiative Evaluation More Information

The settlements now cover 48 refineries and, based on the settling companies' estimates, will result in a reduction of atmospheric emissions of approximately 51,000 tons of nitrogen oxide and 118,000 tons of sulphur dioxide. The settlements also require significant emission reductions of benzene, volatile organic compounds and particulate matter. The settling refining companies have agreed to invest more than $2.1 billion in control technologies and pay civil penalties of $40.4 million. They will also perform supplemental environmental projects valued at approximately $30 million. For more on Petroleum Refinery Initiative.

Negotiations are continuing with other refiners.

Selected Enforcement Alerts Affecting Petroleum Refineries

• Voluntary Program (slotted guidepoles) -- May 2000
• Fugitive Emissions (LDAR) -- October 1999`
• Flaring -- October 2000
• RCRA new waste listings -- April 1999
• NSR/ PSD -- January 1999

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