Duke Energy to Spend $93M for Violations

INDIANAPOLIS, Dec. 22 (UPI) — Duke Energy will spend $85 million to resolve Clean Air Act violations at its Indiana plant and pay a $1.75 million fine, federal officials said Tuesday.

The company agreed to reduce harmful air pollution and pay the penalty under a settlement to resolve the violations, the U.S. Justice Department and the Environmental Protection Agency said in a joint release.


The settlement also requires Duke Energy to invest $6.25 million on environmental mitigation projects, the agencies said.

The agreement, filed in federal court in Indianapolis, resolves violations found at the company’s Gallagher coal-fired power plant in New Albany, Ind., across the Ohio River from Louisville. The settlement is expected to reduce the plant’s sulfur dioxide emissions by almost 35,000 tons per year, an 86 percent reduction when compared to 2008 emission levels, the Justice Department said.

The settlement also requires Duke to spend $6.25 million on environmental mitigation projects, including $250,000 for the U.S. Forest Service to address acid rain in downwind national forests, $5 million for at least one project such conversion to hydro-generation or hybrid vehicle fleets, and $1 million for environmental mitigation projects allocated among the states — New York, New Jersey and Connecticut — that joined the settlement.

Copyright 2009 by United Press International


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