EPA issued an information request letter to the Defendant pursuant to Section 114 of the Clean Air Act, 42 U.S.C. ? 7414 (114 letter) on September 17, 2008 to determine whether the San Juan facility had violated the Clean Air Act's Prevention of Significant Deterioration provisions. The response was reviewed and discovered projects that could rise to the level of a violation of the Clean Air Act's PSD regulations, 40 C.F.R. 52.21. However, a complete analysis was limited because of gaps in the data provided by the Defendant. Region 2 did not send the Defendant a supplemental 114 letter because, upon joining the global enforcement negotiations initiated by Regions 3 and 5, the U.S. negotiation team, including EPA Headquarters and DOJ, decided that Region 2 should suspend further investigation while the global settlement negotiations were proceeding. DOJ, EPA, and several States, including Puerto Rico, are currently finalizing a consent decree that would include penalties, mitigation projects, and a possible SEP, in settlement of alleged violations at six of the Defendant's plants, including the Facility. Injunctive relief at the Facility would include installation of SNCR and dry scrubber/lime injection technology, and CEMS for NOx and SO2.
Stipulation and Agreement Regarding Assessment and Payment of Certain Stipulated Penalties entered on December 5, 2019.