 Asks Department of Law to Investigate Possible Grounds for Appeal July 31, 2002
"I cannot believe that in passing the Clean Air Act Congress ever intended a company to spend $10 million for no benefit to the environment," Knowles said. "That's what the federal Environmental Protection Agency is requiring in this case. They were wrong then and the Ninth Circuit's decision in this case is wrong now." The dispute with EPA centers on an air quality permit for a new diesel generator to support production at the mine north of Kotzebue. The state Department of Environmental Conservation issued a permit which directed Cominco, the operators of the mine, to spend $2.5 million to install effective air pollution control technology on the new generator and retrofit six existing engines with air pollution controls that meet all state and federal emission standards. The result permitted the mine's power generation to increase without a significant increase in air emissions. Months after the public comment period closed on the DEC permit, EPA rejected the state's permit and insisted on a different technology which is more expensive, unproven in the Arctic, and could result in more air emissions than under the state permit. The EPA's mandated "selective catalytic reduction" technology is estimated at up to $1.5 million more a year in operating costs and up to $10 million more in construction costs than the state's preferred technology. The state and Cominco filed a suit against the EPA in February 2000. "This dispute is over roadblocks on Alaska industry with no environmental benefits and not about protecting the public health or air quality," Knowles said. "Federal 'one size fits all' regulations do not work in Alaska and that's why the state, not the EPA, is best suited and in fact empowered to make responsible permit decisions that protect our environment and Alaska jobs." Cominco operates the lead and zinc mine near Kotzebue in partnership with NANA Regional Corporation. Mineral reserves at Red Dog have increased in recent years and the mine needs added electric capacity to support a higher rate of ore processing. Alaska,
like most other states, was given full authority under the federal
Clean Air Act to make these permit decisions - in this case,
a permit to construct the expansion so as to prevent "significant
deterioration" of air quality. Under the Clean Air Act,
EPA can approve an air permit program, but only states have the
right to issue permits once that program is in place. Alaska's
air permit program has been fully approved since 1984.
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