Monday, March 16, 2009

The Reality of the EPA Penalty

By Daniel Stouffer

Refrigeration and air-conditioning systems; commercial refrigeration; heating, ventilation and air conditioning systems; fire protection systems; and other equipment using refrigerant gas are part of the phase out program now underway in the United States. Facilities that use this ozone-depleting gas risk a significant EPA penalty by not following requirements under the U.S. Clean Air Act.

Preventing a costly EPA penalty requires companies, municipalities and property managers to follow strict documentation requirements for refrigerant equipment. This means monitoring its usage and submitting records that indicate refrigerant management efforts. To avoid hefty fines, many facilities use refrigerant tracking and reporting programs. They are automated, so identifying leaks, tracking repairs and tracing disposal are all done with minimal effort. An automated management program enables them to stay up-to-date with polices and procedures, compliance regulations and penalties for non-compliance.

Overseeing the EPA penalty aspect of the U.S. Clean Air Act is the Office of Enforcement and Compliance Assurance. They are aggressively pursuing enforcement of the requirements to curb harmful gas emissions. Auditors and inspectors are permitted to make spot inspections to review a facility's records pertaining to regulated gases. Those unable to produce proper documentation, or have incomplete or missing data are subject to heavy fines.

The EPA penalty addresses those facilities that improperly discharge, vent, or dispose of refrigerant gas. Under the law, proper servicing and safe removal of any equipment using refrigerant gases is required. Those who fail to do so face fines of up to $25,000 a day, per violation. Fines are also in place for restricted substances not properly recovered. To better understand the law and reduce the likelihood of being fined, the government has created a technician certification program for anyone who services, repairs, provides maintenance to, or disposes of equipment containing refrigerant gases.

Under the EPA penalty guidelines, refrigerant leaks not fixed within 30 days are subject to a $32,500 fine per day, per unit. Furthermore, purchasing used or imported refrigerant gas calls for fines of $300K per 30 pound cylinder. With so much money at stake, it is crucial for businesses and municipalities to track every pound of gas and manage its inventory, especially those with more than one location.

The law allows for a period when comments are accepted and updates to the regulations are proposed and implemented. On January 1, 2010, all revisions end, the phase out of refrigerant gas becomes official and the EPA penalty is strictly enforced. Currently, the government agency is taking civil and criminal actions against companies nationwide who violate the law. The total of fines collected is in the billions of dollars.

Because refrigerant gas contains chlorofluorocarbons and hydrochlorofluorocarbons, identified as the major causes of ozone depletion, its use is being reduced, and eventually eliminated, worldwide. The plan reduces the use of R-22 refrigerant gas by 75% by 2010 and eliminates it by 2015. The EPA penalty increases as the complete phase-out comes to a close.

EPA penalty policies are designed to control the use of refrigerant gas. In addition to the U.S. Clean Air Act, the Montreal Protocol and the Kyoto Protocol are international laws aimed at improving air quality to protect the ozone and reduce the potential for global warming. The severe penalties under the laws are designed to encourage compliance by facilities so a better environment is created. - 15790

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