STATE OF INDIANA

COUNTY OF MARION

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BEFORE THE INDIANA DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT,

Complainant,

v.

NOVELIS CORPORATION,

Respondent.

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Case No. 2010-19487-A

 

 

AGREED ORDER

 

Complainant and Respondent desire to settle and compromise this action without hearing or adjudication of any issue of fact or law, and consent to the entry of the following Findings of Fact and Order.  Pursuant to IC 13-30-3-3, entry into the terms of this Agreed Order does not constitute an admission of any violation contained herein.  Respondent's entry into this Agreed Order shall not constitute a waiver of any defense, legal or equitable, which Respondent may have in any future administrative or judicial proceeding, except a proceeding to enforce this order.

 

I.  FINDINGS OF FACT

 

1.            Complainant is the Commissioner (“Complainant”) of the Indiana Department of Environmental Management (“IDEM”), a department of the State of Indiana created by Indiana Code (“IC”) 13-13-1-1.

 

2.            Respondent is Novelis Corporation (“Respondent”), which owns and operates a stationary source which consists of production equipment to reduce aluminum rolls into finished aluminum coils for foil products with Plant ID No. 167-00001, located at 5901 North 13th Street in Terre Haute, Vigo County, Indiana (the “Site”).

 

3.            IDEM has jurisdiction over the parties and the subject matter of this action.

 

4.            Pursuant to IC 13-30-3-3, IDEM issued a Notice of Violation (“NOV”) via Certified Mail to:

 

Jean-Marc Germain, President

Novelis Corporation

6060 Parkland Blvd.

Mayfield Heights, OH 44124

Corporation Service Company

Registered Agent

251 E. Ohio Street STE 500

Indianapolis , IN  46204,

 

5.            During the stack tests conducted on January 5-6, 2010  and June 15, 2010 the following violations were found:

 

(a)          Pursuant to 326 IAC 8-1-6 and permit T167-18084-00001, Condition D.1.3 (VOC Emissions), Respondent shall install and operate BACT for VOC emissions for Rolling Mill #16, identified as unit 003.  In this case BACT has been determined to be a combination of utilizing a low volatility oil (Norpar 13 or equivalent) and a control device (mist eliminator - controlling droplet phase VOC mist (PM) emissions (down to 1 micron) by 75%).

Respondent conducted a stack test on January 5-6, 2010 that demonstrated the removal efficiency for the control device for droplet phase VOC mist (PM) emissions (down to 1 micron) was 30%, in violation of 326 IAC 8-1-6 and permit T167-18084-00001, Condition D.1.3.

 

(b)          In addition, Respondent conducted a stack test on June 15, 2010 that demonstrated an emission rate of 101 lbs/hr, which revealed that Respondent was not utilizing a low volatility oil (Norpar 13 or equivalent), in violation of 326 IAC 8-1-6 and permit T167-18084-00001, Condition D.1.3.

 

6.            During a stack test conducted on June 15, 2010 the following violation was found:

 

(a)          Pursuant to permit T167-18084-00001, Condition D.1.2 (PSD Minor Limits) in order to avoid 326 IAC 2-2 applicability, the VOC emissions from Rolling Mill #16, identified as unit 003, shall not exceed 81.3 lbs/hr.

Respondent conducted a stack test on June 15, 2010 that demonstrated an emission rate of 101 lbs/hr, in violation of permit T167-18084-00001, Condition D.1.2.

 

7.            On September 29, 2010, the source stack tested using different oil, known as Linpar 1416-V. This stack test demonstrated that Linpar 1416-V does comply with the requirements contained in Conditions D.1.2 and D.1.3 of T167-18084-00001.

8.            In recognition of the settlement reached, Respondent waives any right to administrative and judicial review of this Agreed Order.

 

II.  ORDER

 

1.            This Agreed Order shall be effective (“Effective Date”) when it is approved by Complainant or Complainant’s delegate, and has been received by Respondent.  This Agreed Order shall have no force or effect until the Effective Date.

 

2.            Respondent shall comply with 326 IAC 8-1-6 and Conditions D.1.2 and D.1.3 of permit T167-18084-00001.

 

3.            Respondent shall submit a permit application within 30 days of the Effective Date of this Agreed Order.  This permit application shall include a request to modify the existing air permit language in order to reestablish permit conditions to enforce the emission credits that were taken with respect to the Mill #15 removal from service and the Mill #20 conversion from mineral spirits, which allowed the source to stay below the threshold applicability of 326 IAC 2-2 (Prevention of Significant Deterioration). This application shall be sent to the following address:

 

IDEM Air Permits Administration
ATTN: Incoming Application
100 North Senate Avenue
MC 61-53, IGCN 1003
Indianapolis, IN 46204-2251

 

4.            Respondent is assessed a civil penalty of thirteen thousand one hundred and twenty-five dollars ($13,125).  Said penalty amount shall be due and payable to the Environmental Management Special Fund within thirty (30) days of the Effective Date.  In the event that the civil penalty is not paid within thirty (30) days of the Effective Date, Respondent shall pay interest on the unpaid balance at the rate established by IC 24-4.6-1-101.  The interest shall continue to accrue until the civil penalty is paid in full.

 

5.            In the event the terms and conditions of the following paragraphs are violated, Complainant may assess and Respondent shall pay a stipulated penalty in the following amount:

 

Paragraph

Violation

Stipulated Penalty

3

Failure to submit permit application within 30 days of the Effective Date

 

$100 per week or part thereof

 

6.            Stipulated penalties shall be due and payable within thirty (30) days after Respondent receives written notice that Complainant has determined a stipulated penalty is due.  Assessment and payment of stipulated penalties shall not preclude Complainant from seeking any additional relief against Respondent for violation of this Agreed Order.  In lieu of any of the stipulated penalties set out above, Complainant may seek any other remedies or sanctions available by virtue of Respondent’s violation of this Agreed Order or Indiana law, including, but not limited to, civil penalties pursuant to IC 13-30-4.

 

7.            Civil and stipulated penalties are payable by check to the “Environmental Management Special Fund.” Checks shall include the Case Number of this action and shall be mailed to:

 

Indiana Department of Environmental Management

Cashier – Mail Code 50-10C

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

8.            This Agreed Order shall apply to and be binding upon Respondent and its successors and assigns. Respondent’s signatories to this Agreed Order certify that they are fully authorized to execute this Agreed Order and legally bind the party they represent.  No change in ownership, corporate, or partnership status of Respondent shall in any way alter its status or responsibilities under this Agreed Order.

 

9.            In the event that any terms of this Agreed Order are found to be invalid, the remaining terms shall remain in full force and effect and shall be construed and enforced as if this Agreed Order did not contain the invalid terms.

 

10.         Respondent shall provide a copy of this Agreed Order, if in force, to any subsequent owners or successors before ownership rights are transferred.  Respondent shall ensure that all contractors, firms and other persons performing work under this Agreed Order comply with the terms of this Agreed Order.

 

11.         This Agreed Order is not and shall not be interpreted to be a permit or a modification of an existing permit.  This Agreed Order, and IDEM’s review or approval of any submittal made by Respondent pursuant to this Agreed Order, shall not in any way relieve Respondent of its obligation to comply with the requirements of its applicable permit or any applicable Federal or State law or regulation.

 

12.         Complainant does not, by its approval of this Agreed Order, warrant or aver in any manner that Respondent’s compliance with any aspect of this Agreed Order will result in compliance with the provisions of any permit, order, or any applicable Federal or State law or regulation.  Additionally, IDEM or anyone acting on its behalf shall not be held liable for any costs or penalties Respondent may incur as a result of Respondent’s efforts to comply with this Agreed Order.

 

13.         Nothing in this Agreed Order shall prevent or limit IDEM’s rights to obtain penalties or injunctive relief under any applicable Federal or State law or regulation, except that IDEM may not, and hereby waives its right to, seek additional civil penalties for the same violations specified in the NOV.

 

14.         Nothing in this Agreed Order shall prevent IDEM or anyone acting on its behalf from communicating with the EPA or any other agency or entity about any matters relating to this enforcement action.  IDEM or anyone acting on its behalf shall not be held liable for any costs or penalties Respondent may incur as a result of such communications with the EPA or any other agency or entity.

 

15.         This Agreed Order shall remain in effect until IDEM issues a Resolution of Case letter to Respondent.

 

 

TECHNICAL RECOMMENDATION:

 

RESPONDENT:

Department of Environmental Management

 

Novelis Corporation

 

 

 

By:

 

 

By:

 

 

Craig Henry, Chief

 

Printed:

 

 

Compliance and Enforcement Section III

 

Title:

 

 

Office of Air Quality

 

 

 

Date:

 

 

Date:

 

 

 

 

 

 

 

 

 

COUNSEL FOR COMPLAINANT:

 

COUNSEL FOR RESPONDENT:

For the Department of Environmental Management

 

 

 

 

 

By:

 

 

By:

 

 

Deputy Attorney General

 

 

 

 

 

 

 

 

Date:

 

 

Date:

 

 

 

 

 

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS

 

DAY OF

 

, 2011.

 

 

For the Commissioner

 

 

 

Signed on April 6, 2011

 

Keith Baugues

 

Assistant Commissioner

 

Office of Air Quality

 

Indiana Department of Environmental Management