A cold storage and ice manufacturing company has agreed to pay penalties of $225,000 to settle claims by EPA that the company violated federal Clean Air Act (CAA) requirements meant to prevent chemical releases relating to its use of ammonia at facilities located in Rhode Island and Massachusetts.
According to a recent EPA complaint, the company failed to put in place a required Risk Management Plan (RMP) for ammonia used in the refrigeration system at its Rhode Island facility, in violation of the federal CAA. EPA also alleged that the company violated CAA’s General Duty Clause, which applies to facilities where extremely hazardous substances such as ammonia are present, at its Massachusetts location.
Under the General Duty Clause, owners and operators of these facilities are required to identify hazards, design and maintain the facility in a safe manner, taking steps to prevent accidental releases of the extremely hazardous substance, and take steps to minimize the consequences of any accidental releases that occur. EPA says the company had not taken required steps to design and maintain a safe facility or taken precautions that would minimize the consequences of an accidental release of ammonia, if one were to occur, at its Massachusetts facility.
For example, according to EPA, the company failed to:
- Provide mechanical ventilation;
- Provide working ammonia detectors and an emergency shutdown switch for the machinery room;
- Develop operating procedures and a comprehensive mechanical integrity program; and,
- Train employees in the proper operation of the system at the Massachusetts facility.
Ammonia presents a significant health hazard because it is corrosive to the skin, eyes, and lungs. Exposure to 300 parts per million (ppm) is immediately dangerous to life and health. Ammonia is also flammable at concentrations of about 15 percent to 28 percent by volume in air. It can explode if it is released in an enclosed space with a source of ignition present, or if a vessel containing anhydrous ammonia is exposed to fire.
RMPs required under the CAA and steps required under the General Duty Clause, help prevent accidental releases of substances that can cause serious harm to the public and the environment from short-term exposures and reduces the severity of releases that do occur. A company that fails to take these steps can leave the public and environment at risk from accidental releases.
According to EPA, both facilities are located less than a fifth of a mile from residential homes, and less than a quarter of a mile from retail and office areas.
EPA learned about the company’s facilities following an inspection of the Massachusetts facility in November 2011. After EPA’s inspection, the company developed and submitted an RMP for its Rhode Island facility, and the company is currently working to fix problems identified at the Massachusetts facility. For example, the company has installed an ammonia detector and investigated and corrected pipe corrosion and vibration problems noted by EPA inspectors. The company also plans to install a ventilation fan and an emergency shutdown switch and to prepare and implement an improved maintenance program for the system.
It’s no surprise that complying with this requirement can be tricky – there is no specific list of substances subject to the general duty provisions. The general duty provisions apply to owners and operators of all stationary sources that store or manufacture any extremely hazardous substances. There is no single list of extremely hazardous substances. Extremely hazardous substances include the list of regulated substances found at 40 CFR 68 and extremely hazardous substances under EPCRA 302 (40 CFR 355, Appendices A and B).
The Senate report on the Clean Air Act Amendments provides criteria that may be used to determine if a substance is extremely hazardous. The report indicates that an “extremely hazardous substance” is any substance that causes death or serious injury because of its acute toxic effect or as a result of an explosion or fire, or that would cause substantial property damage by blast, fire, corrosion, or other reaction (Senate Committee on Environment and Public Works, Clean Air Act Amendments of 1989, Senate Report No. 228, 101st Congress, 1st Session 211 (1989)). It is up to the owner or operator to determine what chemicals at the facility are extremely hazardous substances.
What Do You Need to Do?
While facilities that have processes that use a listed substance above the threshold limit must prepare RMPs, there are no requirements for processes that use an extremely hazardous substance below the threshold levels. At a minimum level, though, owners and operators must:
- Identify all hazardous chemicals used or produced at the facility. This includes more than the listed chemicals.
- Identify the hazards associated with the chemicals using appropriate hazard assessment and techniques. This could include modeling, risk assessment, or engineering calculations to determine the distance a toxic chemical can travel and still be lethal. The assessment should result in the following information:
– The hazards associated with each extremely hazardous substance
– The potential release scenarios
– The consequences associated with each release scenario
- Design and maintain a safe facility for processes that involve hazardous chemicals:
– Follow applicable design codes, applicable standards, and industry standards
– Identify, research, and apply design safety codes applicable to the substance in the process
– Consider risks from adjacent processes
– Update equipment to current codes and standards
– Attempt to substitute less hazardous substances for extremely hazardous substances
– Minimize inventories of extremely hazardous substances
– Implement a quality control program
– Develop written standard operating procedures for each aspect of the process.
– Implement and evaluate training programs for employees on the hazards of the processes and substances
– When changes occur, evaluate how they impact any of the identified hazards
– Investigate any incidents and determine if there are ways to prevent similar occurrences
– Perform self-audits
- Take appropriate measures to prevent releases and minimize the consequences of any accidental release that may occur. Appropriate measures may include:
– Identifying impacted populations
– Procedures to stop further releases or to mitigate the effects of a release
– Identifying emergency response equipment
– Coordinating with local emergency planning and response personnel
– Training employees to recognize abnormal situations
– Conducting periodic exercises to ensure that the measures are adequate