Holly Refining to pay $115K penalty and improve risk management at Woods Cross, Utah refinery

EPA Press Release:

Holly Refining to pay $115K penalty and improve risk management at Woods Cross, Utah refinery

Clean Air Act requirements designed to improve preparedness and prevent accidents

Contacts: David Cobb, 303-312-6592; Matthew Allen, 303-312-6085

(Denver, CO., Dec 20, 2012) – The U.S. Environmental Protection Agency (EPA) today announced a settlement with Dallas-based Holly Refining and Marketing Company (Holly), resolving alleged Clean Air Act violations at the company’s refinery in Woods Cross, Utah. The company has agreed to pay civil penalties of $115,000 for violations of risk management program requirements associated with the storage and use of flammable substances and hazardous chemicals.

An EPA inspection of the Woods Cross refinery in 2011 revealed issues with the facility’s  management of flammable substances and the maintenance program associated with a  propane storage unit. Holly has agreed to move forward with the planned closure of the frozen-earth storage unit and correct other risk management program violations.

“Companies using chemicals and substances which pose a potential danger to their employees and the public are responsible for having a robust risk management program in place,” said Mike Gaydosh, director of EPA’s enforcement program in Denver. “Failure to do so places the environment, employees, and the nearby community at risk.”

The penalty was assessed under Section 112(r) of the federal Clean Air Act, which requires the development of Risk Management Plans for all public and private facilities that manufacture, process, use, store, or otherwise handle flammable substances and toxic chemicals.

EPA enforces risk management requirements of the Clean Air Act with a goal of preventing accidental chemical releases and minimizing the impact of releases or other accidents that may occur. Facilities are subject to these regulations because they store the flammable or highly toxic chemicals above regulatory thresholds.

Risk Management Plans help companies, industries, and municipalities operate responsibly, assist emergency responders by providing vital information necessary to address accidents and other incidents, protect the environment by preventing and minimizing damage from accidental releases, and keep communities safer.