Oregon fines BP $205,800 for double-counting renewable fuel volumes

Oregon environmental regulators said BP Products North America has paid a $205,800 fine for inaccurately reporting renewable fuel volumes to the Oregon Clean Fuels Program, generating 11,821 illegitimate credits.

BP impermissibly double-counted the same volumes of imported renewable fuel to both Oregon and California, the Oregon Department of Environmental Quality said in its penalty order. It also failed to report fuel that was exported out of Oregon by barge.

DEQ also cited BP, without a financial penalty, for additional reporting violations under the Clean Fuels Program and Greenhouse Gas Reporting Program.

“DEQ issued this penalty because inaccurate reporting undermines the integrity of the Oregon Clean Fuels Program, a signature component of Oregon’s efforts to combat climate change by reducing greenhouse gas emissions from the transportation sector,” the state wrote in the order.

The Clean Fuels Program, which has been in place since 2016, provides incentives to companies that develop transportation fuels with lower carbon intensity, such as electricity or biofuels. The incentives come in the form of credits that can be sold to other companies as a way to comply with state rules requiring reductions in greenhouse gas emissions.

It’s not the first time DEQ has fined a company for violating the program’s rules.

In September 2022, DEQ issued a $2.7 million fine, the largest in its history, to a Lincoln City electric vehicle charging company it said sold fraudulent credits through the Clean Fuels Program.

Thompson Technical Services, which went by TTS Charging, illegitimately claimed 16,089 Clean Fuel Program credits for operating three electric vehicle charging stations in Sheridan, the department said.

At the time the company claimed and sold the credits, the three charging stations had not been installed and had not dispensed any electricity to vehicles.

TTS Charging then sold most of those credits to Elbow River Marketing for nearly $1.8 million.

DEQ issues 18 fines in June

The BP Products fine was among 18 fines DEQ issued in June, totaling $632,056.

Other violations included a Portland food processor that discharged hummus and bleach to the Columbia Slough; a McMinnville steel mill that failed to install air pollution control equipment; and a city that discharged raw sewage to the Willamette River.

Recipients can appeal their fines by requesting a hearing within 20 calendar days of receiving their penalty letter. DEQ sometimes reduces or eliminates fines after appeals.

Recipients also may be able to resolve part of their fines by sponsoring an environmental improvement project instead of paying a penalty.

These are the other citations:

Cascade Steel Rolling Mills, McMinnville, $181,604: For failing to implement its pollution prevention plan; for repeatedly omitting from its permit applications fluoride and hydrogen fluoride emissions associated with the use of fluoride-containing flux in the mill’s steel-making process; and for failing to submit motor vehicle scrap provider information requested by DEQ. The company is appealing the penalty.

Anodex Finishing, Medford, $122,961: For illegally treating and storing large quantities of toxic and corrosive hazardous waste at its facility without a permit. DEQ also ordered the company to complete hazardous waste determinations, label tanks and containers of hazardous waste, properly dispose of hazardous waste at the facility, provide hazardous waste training to staff and submit annual hazardous waste generator reports to DEQ. The company did not appeal the penalty but has not paid it. DEQ has sent it a notice of default.

Oregon Harvest, dba Lilly’s Hummus, Portland, $28,752: For discharging bleach and waste, containing food particles, from its food processing facility into the Columbia Slough, and placing waste where it was likely to be carried into the slough.

Justin Willett, Hillsboro, $13,558: For failing to implement erosion and sediment control plan at adjacent home construction sites at 221 and 235 NE Evergreen Road in Hillsboro.

Warren Scott Hunter and Judith DeBrey, Cloverdale, $10,509: For storing waste tires and solid waste without a permit, despite DEQ’s warning letter in 2019 and pre-enforcement notice in 2022.

Burnside Auto Wrecking, Portland, $9,792: For storing waste tires without a permit. DEQ also ordered the company to either apply for a permit or dispose of the tires.

St. Charles Medical Center Bend, $8,993: For underground fuel storage tank violations, including failing to initially test spill prevention and overfill prevention equipment, failing to have adequate release detection on tanks for emergency generators, failing to conduct annual line tightness testing and failing to keep fuel release detection records.

City of Hood River, $8,800: For discharging raw sewage to Indian Creek.

City of Coquille, $8,044: For discharging more pollution than allowed by its wastewater permit and failing to conduct required monitoring.

Fujimi Corporation, Wilsonville, $7,600: For exceeding permitted levels of aluminum in its wastewater, which is discharged to channelized portions of an unnamed tributary of Coffee Lake Creek, which flows to the Willamette River.

Duckwall-Pooley Fruit Co., Hood River, $6,800: For failing to conduct all required monitoring of wastewater discharges from the Van Horn Cold Storage Facility.

Home Depot U.S.A., Bend and Portland, $6,218: For failing to submit required annual reports for its stormwater underground injection control system.

City of Estacada, $4,825: For discharging more pollution than allowed by its wastewater permit.

City of Albany, $3,900: For repeatedly exceeding permitted limits of E. coli bacteria and total suspended solids in effluent discharged from its sewage treatment system to the Willamette River, for discharging raw sewage into the river, and for failing to conduct required monitoring.

Coastal Housing Solutions, Garibaldi, $3,000: For failing to implement an erosion and sediment control plan at construction site.

U.S. Forest Service, Estacada, $600: For failing to submit timely monitoring reports for the wastewater treatment facility it operates at the Timber Lake Civilian Conservation Center.

City of Dufur, $300: For violating wastewater limits set out in a mutual agreement and order.

Tracy Loew covers the environment at the Statesman Journal. Send comments, questions and tips: tloew@statesmanjournal.com or 503-399-6779. Follow her on Twitter at @Tracy_Loew

This article originally appeared on Salem Statesman Journal: BP fined $205K for double-counting renewable fuel volumes