KENTUCKY UTILITIES COMPANY (KENTUCKY UTILITIES) WILL SPEND APPROX $57 MILLION TO INSTALL SULFURIC ACID MIST CONTROL SYSTEMS AND PERFORM OTHER WORK TO REDUCE SULFURIC ACID MIST (SAM) EMISSIONS, FUND AN ENVIRONMENTAL MITIGATION PROJECT THAT INCLUDES REPLACING A COAL-FIRED BOILER AT AN ELEMENTARY SCHOOL, AND PAY A CIVIL PENALTY OF $300,000 TO RESOLVE ALLEGED CAA VIOLATIONS (CAA) AT THE GHENT STATION FACILITY LOCATED IN GHENT, KY.
THE TERMS OF THE SETTLEMENT REQUIRES KY UTILITIES TO ADHERE TO MORE STRINGENT AND PERMANENT EMISSIONS LIMITS AND INSTALL SULFURIC ACID POLLUTION CONTROLS SYSTEMS THAT WILL REDUCE EMISSIONS OF THE POLLUTNAT, SAM, BY MORE THAN TWO-THIRDS (3.7 MILLION LBS/YR). KY UTILITIES WILL SPEND APPROX $57 MLLION IN INJUNCTIVE RELIEF COSTS TO INSTALL POLLUTION CONTROLS SYSTEMS AND MAKE OTHER CHANGES AT THE GHENT STATION FACILITY. THIS WILL REDUCE EMISSIONS OF SAM IN AN AREA THAT AMONG THE TOP 10 PERCENT OF ENVIRONMENTAL JUSTICE AREAS IN THE COMMONWEALTH OF KY.
AS PART OF THE SETTLEMENT, THE COMPANY HAS ALSO AGREED TO SPEND $500,000 FOR AN ENVIRONMENTAL MITIGATION PROJECT THAT WILL INCLUDE THE REPLACEMENT OF A COAL-FIRED BOILER WITH A GEOTHERMAL HEATING AND COOLING SYSTEM AT AN ELEMENTARY SCHOOL IN THE KY UTILITIES SERVICE AREA.
THE CD WAS LODGED WITH THE U.S. DISTRICT COURT FOR THE EDKY ON DEC 20, 2012, AND WILL BE SUBJECT TO A 30-DAY COMMENT PERIOD.
THE COMPLAINT ALLEGES CAA VIOLATIONS AT KY UTILITIES' GHENT STATION, INCLUDING VIOLATION OF THE PSD REGS AN