Contact: Alexis Donath, 651-757-2120
Saint Paul, Minn. -- Koda Energy LLC, and the Minnesota Pollution Control Agency (MPCA) have reached an agreement that requires the company to pay $55,000 for alleged violations of an air emissions permit. The permit was obtained for a biomass boiler in Shakopee, Minn. which generates heat and power through the combustion of natural gas, untreated wood, oat hulls, and malt and grain byproducts.
Koda Energy began operating the biomass boiler in late February 2009. In July 2009, the company reported to MPCA that it was unlikely to meet permit limits for sulfur dioxide and hydrogen chloride and that additional control equipment would be needed. In August 2009, performance tests documented these violations and an MPCA inspection revealed other permit violations pertaining to fugitive emissions at the facility.
Besides paying the $55,000 civil penalty, Koda Energy will be required to install additional equipment to reduce and monitor emissions from the facility. The company will apply for a permit amendment from the MPCA, which will specify the required new equipment and address any increases in emissions which cannot be reduced by the control equipment. The company has already corrected the violations documented during the inspection.
When calculating penalties, the MPCA considers how seriously the violation affected the environment, whether it is a first time or repeat violation, and how promptly the violation was reported to appropriate authorities. Penalties also attempt to recover the calculated economic benefit gained by failure to comply with environmental laws in a timely manner. For a comprehensive list of enforcement actions by the MPCA, refer to the agency Web site at www.pca.state.mn.us/newscenter/enforcement.html.
