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EPA requires Hawaii Gas to protect workers, local community from risk of chemical releases

Release Date: 06/11/2014
Contact Information: Dean Higuchi, 808-541-2711, higuchi.dean@epa.gov

(06/11/14) Company fined $155,000 for risk management plan and chemical release reporting violations

HONOLULU – The U.S. Environmental Protection Agency today announced a settlement with Hawaii Gas for a total penalty of $155,000 for risk management plan and chemical release reporting violations at its facility in Kapolei, Oahu.

“Risk management plans are critical components of safety programs designed to prevent chemical accidents,” said Jared Blumenfeld, EPA’s Regional Administrator for the Pacific Southwest. “They must be carried out diligently to protect workers, nearby residents and the local environment.”

The Kapolei facility manufactures synthetic natural gas for use on Oahu. In January 2012 EPA conducted an inspection of the facility, which included an audit of records going back five years. EPA’s inspection found several violations of the risk management plan regulations. The company subsequently corrected the violations and agreed to pay a penalty of $136,000.

Inspectors also found that on September 4, 2010, the facility released 3,585 pounds of sodium hydroxide (also known as caustic soda or lye). Although this amount was above the federal reportable quantity of 1,000 pounds, it was only reported to state and local authorities, and not to the federal National Response Center (NRC). The release has since been reported to the NRC and the company also agreed to pay a penalty of $19,000. No health or environmental impacts resulted from the release, which was made to a permitted underground injection well.

Hawaii Gas violated the risk management plan regulations by failing to:

· Certify annually that its operating procedures were current and accurate.

· Provide refresher training to employees to assure they understand and adhere to the operating procedures.

· Ensure that the frequency of inspections and tests of equipment were consistent with good engineering practices and manufacturer recommendations.

· Conduct a compliance audit every three years.

· Track and implement the facility’s own recommendations from its most recent draft compliance audit report.