"The EPA´s new legal interpretation of the Clean Air Act is part of an obvious effort by the agency to impose new emissions reductions requirements through enforcement initiatives," Heydlauff said. "We regret that the agency has again demonstrated that it prefers headlines and confrontation over consensus building.
"We are fully prepared to vigorously defend against these allegations and we believe we will prevail," Heydlauff said.
The notice of violation and complaints received today by AEP allege the company of undertaking modifications of generating units over the course of the past 25 years to extend their operating lives or to increase their generating capacity in violation of the Clean Air Act. Under the New Source Review requirements of the Clean Air Act, if a source undertakes a major modification that directly results in an emissions increase, it can trigger permitting requirements under the New Source Review program and may subject the source to the installation of additional pollution control technology.
This requirement is not applied to activities such as routine maintenance, replacement of degraded equipment or failed components, or other repairs needed for the reliable, safe and efficient operation of the plant.
"All of AEP´s maintenance projects are consistent with good engineering practice and many result in more efficient use of fuel, which would be expected to lower emissions," Heydlauff said. "The company´s activities follow historic industry practices and past EPA guidance. Federal and state environmental agencies never questioned the legality of these projects in the past."
The notice of violation cites projects completed at AEP´s Muskingum River plant near Beverly, Ohio; Cardinal plant near Brilliant, Ohio; Conesville plant near Conesville, Ohio; Tanners Creek plant near Lawrenceburg, Ind.; Philip Sporn plant near New Haven, W.Va.; and Mitchell plant near Moundsville, W.Va. The complaint cites projects at Muskingum River, Cardinal, Tanners Creek, Sporn and Mitchell. These projects were necessary to ensure safe, efficient and reliable operations of the facilities, Heydlauff said.
"AEP and other companies in our industry are required by law to maintain generating facilities to provide a safe, efficient and reliable supply of electricity," Heydlauff said. "More than 7 million people rely on AEP to supply electricity. This is a responsibility that we take very seriously. We work hard to maintain our facilities so we can meet our customers´ needs at all times of the year. The failure to do so would put our customers´ health and welfare at risk since it would jeopardize our ability to meet their peak electricity needs on the hottest or coldest days of the year."
AEP, a global energy company, is one of the United States´ largest investor-owned utilities, providing energy to 3 million customers in Indiana, Kentucky, Michigan, Ohio, Tennessee, Virginia and West Virginia. AEP has holdings in the United States, the United Kingdom, China and Australia. Wholly owned subsidiaries provide power engineering, energy consulting and energy management services around the world. The company is based in Columbus, Ohio. On Dec. 22, 1997, AEP announced a definitive merger agreement for a tax-free, stock-for-stock transaction with Central and South West Corp., a public utility holding company based in Dallas.
For More Information, Contact:
Pat Hemlepp
Manager, Media Relations
American Electric Power
614/223-1620
Pat Hemlepp
Manager, Media Relations
American Electric Power
614/223-1620