EPA CONSIDERING WHETHER NEW REFINERY OWNERS NEED ‘DETERIORATION’ PERMIT

CHRISTIANSTED — The U.S. Environmental Protection Agency has warned the new owners of Limetree Bay refinery that they may need to obtain a new “Prevention of Significant Deterioration” permit, and recommended that they not restart operations until a final determination is made.

The EPA sent a letter on March 22 to West Indies Petroleum Limited and Port Hamilton Refining and Transportation, the new owners of the former Limetree Bay refinery on St. Croix, asking for additional information regarding past and future changes to processes and emission units at the refinery.

The information will enable the agency to evaluate this issue further, before making a final determination regarding the need for a PSD permit, according to information from the EPA.

“As EPA continues to obtain additional information to reach a final decision on the need for this particular permit, we remain committed to ensuring that any potential restart of this facility would occur safely and in accordance with environmental laws,” Lisa F. Garcia, EPA regional administrator, said in a statement. “Given the concerning incidents at this facility that previously endangered the health of the people who live and work in surrounding communities, we will carefully review the information we receive and any new plans before determining our next steps in the permitting process.”

The EPA issued an emergency stop work order at the refinery in May 2021, after a series of chemical and oil mist releases that affected neighboring homes and farms and contaminated cisterns used for drinking water.

“In response to these incidents, EPA ordered the refinery to pause all operations until the agency could be assured that this facility can operate safely and in accordance with laws that protect public health,” according to the EPA.

According to the letter, “Because a PSD permit may be required prior to startup of the Refinery operations or of any Refinery unit(s), EPA strongly recommends that you not proceed with any such actions while EPA continues to evaluate PSD applicability. In addition, as EPA has made clear, it is very important to avoid any recurrence of the incidents that took place at the Refinery in the first half of 2021.”

A PSD permit “applies to new major air pollution sources or major modifications at existing sources that result in an increase of certain pollutant emissions (for example, particulate matter, sulfur dioxide, or nitrogen oxide) where the area in which the source is located attains or meets EPA’s national air quality health standards. In its letter, EPA poses a series of questions to the new owners, seeking answers that will help determine whether the refinery needs to obtain a PSD permit.”