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Environmental Progress - Winter 2002

Record Civil Penalty In Air Pollution Case

Panhandle Eastern Pipe Line Co. ordered to pay $850,000 civil penalty

Panhandle Eastern Pipeline Co. compressor station in Glenarm, Illinois.

Air violations that occurred at this Panhandle Eastern pipeline operation near Springfield generated the largest civil penalty yet.

The Illinois Pollution Control Board issued a written decision in November ordering Panhandle Eastern Pipe Line Company to pay a civil penalty of $850,000 for violating air pollution standards. The company, headquartered in Houston, Texas, operates a natural gas compressor station in Glenarm, Illinois.

The decision noted that the compressor station for approximately 10 years emitted nitrogen oxides (NOx) at levels that require controls under the Prevention of Significant Deterioration (PSD) Program. The PSD Program can require sources located in areas where ambient air quality standards are being met to meet stricter emission standards when particular pollutants, including NOx, are emitted in excess.

The total penalty of $965,000, which included court costs and legal fees of approximately $115,000, is the largest penalty awarded by the Board to date. The case was litigated by the Illinois Environmental Protection Agency and the Illinois Attorney General's Office last year.