The EPA announced it reached a settlement with utility Minnesota Power on Clean Air Act violations at three of the company's coal-fired power plants.
Minnesota Power expects it will spend at least $500 million to install equipment aimed at curbing pollution from its power plants in the state as required by the settlement. It also agreed to pay $1.4 million in civil penalties and to spend $4.2 million on low-carbon energy alternatives and environmental restoration projects in the state.
"By meeting some of the lowest emission rates in the country, Minnesota Power will continue to provide energy to communities across northeastern Minnesota, while at the same time, reducing sulfur dioxide and nitrogen oxide in the air, which can pose serious health risks," Cynthia Giles, assistant administrator for Environmental Protection Agency's Office of Enforcement and Compliance Assurance, said in a statement Wednesday.
Minnesota Power said it's been working since 2008 to settle the issue with the EPA and avoid costly litigation. Before the settlement, it said it's invested, or committed to invest, more than $600 million to reduce emissions.
"As a regulated utility providing an essential service, we must always take a long-range planning view to meet our electric customers' needs in the most cost-competitive and reliable manner," Al Rudeck, a vice president in charge of strategic planning for the power company, said.
Minnesota is a co-plaintiff in the case and receives $200,000 of the penalty.
