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Company fined $564,000 for violating VOC limits in CEPA Regulations

An automotive parts supplier based in Quebec, Les Entrepôts A.B. inc., was recently fined a total of $564,000 after pleading guilty, on October 4, to three counts of contravening the Canadian Environmental Protection Act, 1999 and the Volatile Organic Compound (VOC) Concentration Limits for Automotive Refinishing Products Regulations, which are part of the Act.

An investigation by Environment and Climate Change Canada (ECCC) enforcement officers revealed that the company had imported, offered for sale, and sold automotive refinishing products that contained volatile organic compounds in excess of the allowable limit. The company also failed to comply with an environmental protection compliance order issued by an enforcement officer, under the Canadian Environmental Protection Act, 1999.

The company received two fines of $125,000 for importing and selling the products, respectively, totaling $250,000, and a fine of $150,000 for failing to comply with an environmental protection compliance order. In addition to the fines on the three counts, the company received an additional $164,000 fine for financial gains. This amount represents the profits generated by the sale of non-compliant automotive refinishing products. The total fines will be directed to the Environmental Damages Fund.

In addition, the judge ordered the confiscation and destruction of the automotive refinishing products seized at the company’s expense, as well as the publication of an article in Le Carrossier magazine (Autosphere.ca) within six months. The article must contain the facts of the offence and the details of the sentence.

As a result of this conviction, the company’s name will be added to the Environmental Offenders Registry.  The Environmental Offenders Registry contains information on convictions of corporations registered for offences committed under certain federal environmental laws.

Volatile organic compounds are primary precursors to the formation of ground-level ozone and particulate matter, the main components of smog. Smog is known to have adverse effects on human health and the environment.

It is estimated that over 5 kilotonnes of VOCs are emitted each year from coatings and surface cleaners used in automotive refinishing operations in Canada. The Volatile Organic Compound (VOC) Concentration Limits for Automotive Refinishing Products Regulations are expected to reduce the annual VOC emissions from these sources by approximately 40%.

The Automotive Refinishing Products Regulations set concentration limits of volatile organic compounds for 14 categories of automotive refinishing products identified in the schedule of the regulations.

The Regulations are aligned with limits set by the California Air Resources Board suggested control measure (CARB SCM) for automotive refinishing products. During regulatory development, it was determined that the greatest potential reduction in Canada would be achieved by establishing VOC concentration limits similar to the CARB SCM. Other jurisdictions in the United States, as well as the European Union, have either already established similar limits or are considering them. Therefore, aligning the Regulations will facilitate consistency across North America, provide a level playing field to manufacturers and importers of automotive refinishing products, and provide consistent treatment across jurisdictions.

 

UBC fined $1.2 million for Release of Ammonia-laden Water

The University of British Columbia and CIMCO Refrigeration were recently sentenced for offences committed in violation of the Canadian Fisheries Act, related to a 2014 ammonia-laden water release that ended up in a tributary of the Fraser River.

CIMCO Refrigeration was fined $800,000 after pleading guilty to depositing or permitting the deposit of a deleterious substance into an area that may enter water frequented by fish.

The University of British Columbia was fined $1.2 million after being found guilty of the several offences including the depositing or permitting the deposit of a deleterious substance into water frequented by fish (Booming Ground Creek) and failing to report the incident in a timely manner.

Screenshot courtesy of Ministry of Justice.

In addition to the fine, the University was also ordered to conduct five years of electronic monitoring of storm-water quality at the outfall where the release occurred.

The University has filed an appeal against these convictions.

Background on the Incident

On September 12, 2014, Environment and Climate Change Canada was contacted regarding an ammonia odour at an outfall ditch connected to Booming Ground Creek in Pacific Spirit Regional Park. The source of ammonia was identified as coming from a refrigeration plant at Thunderbird Arena at the University of British Columbia.

CIMCO Refrigeration and the University were completing repairs of the refrigeration system and used a negative pressure device, known as a Venturi, to purge residual ammonia vapours from the system. The mixture of water and ammonia was then discharged into a storm drain at the arena, which flowed to the outfall, through a ditch, and into Booming Ground Creek, which is a tributary of the Fraser River.

Officers and park rangers found approximately 70 dead fish in Booming Ground Creek in the two days following the discharge. The level of ammonia deposited in the water in the storm drain and ditch was analyzed and found to be harmful to fish.

As a result of this conviction, both organizations’ names will be added to the Environmental Offender’s Registry.

Solvent Spill from Transport Truck results in $100,000 fine

Penner International Inc., headquartered in Manitoba, was recently convicted on one charge on the Ontario Environmental Protection Act as a result of a spill of solvent from one its transport trucks in 2017. The company was fined $100,000 plus a victim surcharge of $25,000.

The driver of the vehicle involved in the solvent spill was also personally charged and convicted. He was fined $35,000 plus a victim surcharge of $8,750. He was given 12 months to pay the fine.

In spill occurred on July 20, 2017 in the Town of Gwillimbury, approximately a 1-hour drive of Toronto. A Penner tractor-trailer driven a by independent contractor was heading north on Highway 400 when it rear-ended a pick-up truck that swerved in front of it, ultimately leading to a spill of solvent VORTEX WPM onto the highway.

The VORTEX PM had been picked up by the driver earlier in the day from a Mississauga, Ontario distribution company and loaded onto the trailer. The load consisted of twelve stainless steel 1500-kilogram. The distribution company did not secure them to the trailer.  The driver did not inquire as to whether the totes were secured or not before he closed the doors to the trailer and drove off.

During transport and at the time of the rear-ending incident, as the totes were not properly secured, they shifted and the valves on two of the totes were knocked open. Solvent spilled from the trailer onto the highway and some also ran down gradient onto the soil of an adjacent construction site.

A one-kilometre evacuation zone was also established around the spill site. The closure remained in force for 10.5 hours, and the construction site’s operations were affected for a few days.

Hundreds of motorists were trapped on Highway 400, where the spill occurred, for up to five hours before they could be re-routed to ancillary roads.

VORTEX WPM is an organic solvent that is flammable. To clean up a large spill of VORTEC WPM, the Material Safety Data Sheet (MSDS) for VORTEX WPM states: “Eliminate all ignition sources. Persons not wearing protective equipment should be excluded from area of spill until clean up has been completed. Stop spill at source. Prevent from entering drains, sewers, streams, etc. If runoff occurs, notify authorities as required. Pump or vacuum transfer spilled product to clean containers for recovery. Transfer contaminated absorbent, soil and other materials to containers for disposal.”

Penner International Ltd. was founded in 1923 and specialized in truckload dry van, international, and Canadian transport.

Summary of Environmental Enforcement in British Columbia for 2018

The Province of British Columbia recently released its quarterly environmental enforcement summaries for the third and fourth quarters of 2018 to provide transparency on action taken against polluters.

The summaries detail a total of 1,728 environmental enforcement actions taken by the provincial government during this time period, along with $885,907 in associated penalties and fines.

In total, the Province issued 62 orders, 139 administrative sanctions, 31 court convictions, 14 administrative penalties and 2,412 violation tickets totalling $1,092,465 in fines in 2018. The most frequently contravened acts were the Wildlife Act with 1,040 violations, the Fisheries Act (Canada) with 375 violations and the Off-Road Vehicle Act with 344 violations.

To date, nearly 33,000 enforcement actions have been published in the summary and entered into the ministry’s environmental violations database.

Notable enforcement actions, for this period, include:

  • Radium Resort Group Ltd. was fined $200,000 for introducing waste-causing pollution and open burning of prohibited construction materials. Of that total, $190,000 was directed to Habitat Conservation Trust Fund.
  • Mackenzie Pulp Mill Corporation received penalties of $81,100 for failure to maintain a recovery boiler and failing to comply with permit limits for bivalent sulphur compounds and particulate matter.
  • Canadian Pacific Railway Limited received a penalty for $31,500 for failure to comply with an effluent discharge permit for its rail yard in Golden.
  • Savage Creek Golf Course Ltd. received a penalty of $70,000 for significantly exceeding fill-level maximums, while developing an 18-hole Richmond golf course expansion in the Agricultural Land Reserve.

In addition, B.C. conservation officers issued 95 violation tickets related to activities that could spark a wildfire in the third quarter of 2018. The Province has taken a strong stance to protect forests and communities in the face of one of the worst fire seasons in British Columbia’s history, with more than 1.3 million hectares burned. Fines for these violations were $1,150 each and totaled $108,900 during this same period.

To view the full quarterly environmental enforcement summary, visit British Columbia Natural Resource Compliance & Enforcement website.

Dredging Company fined $350,000 for depositing damaging substance into Fraser River

Company fined $350,000 for depositing damaging substance in Fraser River

Fraser River Pile and Dredge (GP) Inc. recently pleaded guilty to the Fisheries Act violation in British Columbia provincial court. The court fined the company $350,000. The fine was a result of one of the company’s dredging causing the depositing a deleterious substance into water frequented by fish – the Fraser River.

The conviction stems from an incident that occurred on the Fraser River in February 2014. During that time, the company was dredging in Deas Slough in the Fraser River when its vessel punctured a submerged water main carrying chlorinated water to the City of Delta. Enforcement officers from Environment Canada and Climate Change (ECCC) investigated the incident and determined that chlorinated water was released through the pipe into the waterway.

ECCC charged the company with the Fisheries Act violation as Deas Slough is an important fish-bearing body of water and the concentration of chlorine that was released was damaging to fish.

FRPD Equipment in Operation (Source: FRPD)

Fraser River Pile & Dredge (GP) Inc. (FRPD) is Canada’s largest Marine & Infrastructure, Land Foundations and Dredging contractor.  FRPD’s fleet includes cutter suction and trailing suction hopper dredges, spud barges, cranes, dump scows, and flat scows. The company performs all types and sizes of marine & infrastructure, environmental remediation, dredging and land foundations projects.

The $350,000 collected from the company by the government will be directed to the Government of Canada’s Environmental Damages Fund. Also, the company’s name will be added to an Candian environmental offenders registry.

Ontario: Trucking Company Fined $250,000 over hazmat incident

Titanium Trucking Services Inc., headquartered in Ontario, was recently convicted of one violation under the Ontario Environmental Protection Act and was fined $250,000 plus a victim fine surcharge of $62,500 and was given 24 months to pay the fine. Luckily, no one was h The fine was the result of a hazmat incident in which a fluorosilicic acid spilled from a tanker truck into the natural environment, which caused adverse effects. No one can predict anything like this to happen, which is why it is important to always stay focused on the road no matter what vehicle you drive. Luckily no one was hurt in this collision. Saying this though, if you have been involved in a trucking accident and were not sure what to do next, getting some assistance from a personal injury lawyer springfield il could be the answer you need that can help you get your life back on track after this incident. There’s nothing wrong in asking for help.

Fluorosilicic acid is corrosive and causes burns. It decomposes when heated, with possible emanation of toxic hydrofluoric acid vapours. It is used in fluoridating water and in aluminum production. In the aquatic environment, an accidental spillage of fluorosilic acid would suddenly reduce pH level due to the product’s acidic properties.

At the time of the offence, Titanium Trucking Services Inc., which is located in Bolton (just northwest of Toronto) had a contract with a Burlington, Ontario area chemical company to provide drivers and vehicles on a dedicated basis for chemical product transportation.

In January 2017, the Burlington area chemical company placed an order for 81,000 kg of 37-42% fluorosilicic acid, which was required for pickup in Montreal for transport to Burlington. Fluorosilicic acid is a corrosive liquid, classified as a dangerous good.

On the date of the planned chemical pick-up, Environment Canada had issued weather advisories relating to a major winter storm and the public was instructed to consider postponing non-essential travel.

The chemical pick-up occurred as planned on March 14, 2017, and within four hours after leaving Montreal, the truck and the driver were involved in a multi-vehicle collision while traveling westbound on Highway 401. As a result of the collision 15 totes of fluorosilicic acid ejected through the front wall of the trailer and also came to rest in the roadside ditch.

Eight of the totes of acid that ejected from the trailer were punctured and spilled approximately 8,000 litres of acid into the ditch and onto the truck cab, dousing the driver, which eventually resulted in his death later in hospital.

March 14, 2017 incident on Highway 401 near Mallorytown. Several first responders were exposed and needed to be decontaminated. (XBR Traffic)

The acid discharge caused further adverse effects. a total of 13 First responders and another sixteen members of the public had to be decontaminated, the 401 highway was closed in both directions, and the OPP officer who initially attempted to extract the truck driver from the cab on scene experienced significant health effects. In addition, adverse impacts to the roadside soil ecosystem occurred.

Ontario: Fertilizer Producer fined $90,000 for Ammonia Spill

Terra International (Canada) Inc., was recently was convicted of one offence under the Ontario Environmental Protection Act (EPA) and was fined $90,000 plus a victim fine surcharge of $22,500. The conviction stems from an incident that occurred on August 11, 2016 when the company reported an ammonia gas release to the Ontario Environment Ministry’s Spills Action Centre. It was subsequently determined that approximately 8.57 tonnes of liquid ammonia was released and contained, which resulted in a release of 997 kilograms of ammonia gas to the air over a two-hour period.

The ammonia release resulted in various adverse effects including the closure of nearby roads for approximately one hour. In addition, two reports were received alleging odours, with one of those alleging irritation; a third report alleged irritation, nausea and difficulty breathing; and employees at one neighbouring company reported evacuating for approximately two hours.

Upon discovery of the ammonia gas release, personnel from Terra conducted a root cause analysis which concluded that a previously unknown mechanical deficiency in an ammonia pump resulted in the failure of a vent pipe containing liquid ammonia.

Terra International (Canada) Inc. is a wholly owned subsidiary of CF Industries and operates a facility in St. Clair Township, Ontario (30 km south of Sarnia, Ontario) where it produces ammonia and urea products. To produces up to 1.0 million tons of nitrogen products for agricultural and industrial use each year. Approximately 200 people work at the facility.

Environmental Convictions & Contaminated Property: Ontario Summary for 2018

The Ontario Ministry of Environment, Conservation, and Parks (MOECP) publishes publishes an annual report on environmental penalties issued in the previous calendar year for certain land or water violations for companies subject to the Municipal Industrial Strategy for Abatement (MISA) Regulations.  Companies subject to the MISA Regulations belong to one of the nine industrial sectors found in the Effluent Monitoring and Effluent Limits (EMEL) regulations.  The summary report for 2017 was published in the Spring of 2018.

Under the MISA Regulations, environmental penalties can range from $1,000 per day for less serious violations such as failure to submit a quarterly report under the MISA Regulations  to $100,000 per day for the most serious violations, including a spill with a significant impact.

For serious offences under the Ontario Environmental Protection Act and Ontario Water Resources Act, the maximum and minimum corporate fines for each day on which the offence occurs is as follows:

  1. not less than $25,000 and not more than $6,000,000 on a first conviction;
  2. not less than $50,000 and not more than $10,000,000 on a second conviction; and
  3. not less than $100,000 and not more than $10,000,000 on each subsequent conviction.

In the past, Ontario Environment Ministry would publish a more comprehensive environmental enforcement report that covered all penalties, fines and convictions.

In a 2011 blog, Diane Saxe, Ontario’s former Environmental Commissioner and former partner at Siskinds Law Firm, wrote that  a typical year, the Ontario Environment launches about 150 to 175 prosecutions. About 75% of them are resolved by guilty pleas; about 5% are acquitted at trial; about 10% are convicted of something at trial; about 10% are withdrawn.

As the end of the calendar year approaches, the staff at Hazmat Management Magazine thought it would be useful to review some of the more significant environmental convictions related to contaminated property.  That summary can be found below.

Environmental Consultant and an Individual fined $50,000 for False RSC Incidents

In the Spring, an Ontario-based consulting firm that provides environmental, geotechnical, and hydrogeological consulting services was convicted when an employee falsified  Environment Ministry Letters of Acknowledgement to Records of Site Conditions (RSCs) for two properties.

An RSC is a statement on the environmental condition of a property and is typically a requirement by a municipality if a contaminated property is remediated and a redevelopment is proposed that involves a more sensitive land use (i.e., from industrial to residential).  The environmental consultant that performed the environmental site investigation at the site (a Phase I ESA and possibly a Phase II ESA) submits an RSC to the Environment Ministry.  The Environment Ministry issues an acknowledgement of the RSC.

The offences occurred in the Spring of 2014 and winter of 2015.  When the Consulting firm realized one of its employees had issued falsified documents related to the RSCs it immediately informed the affected owners of the related properties.  In the Fall of 2015, an owner/developer of another construction project in the Greater Toronto Area notified the ministry of concerns relating to their RSC submissions of which the consulting firm in question was involved.  At that time, the Environment Ministry commenced an audit and investigations.

The consulting firm was found guilty of one violation under the Environmental Protection Act (EPA), was fined $35,000 plus a Victim Fine Surcharge (VFS) of $8,750, and was given 30 days to pay. On the same date, former employee was found guilty of two violations under the EPA, was fined $15,000 plus a VFS of $3,750, and was given 18 months to pay.

Muskoka Cottage Owner fined $30,000 for Discharging Fuel Oil into Water Well

In the winter, a Muskoka homeowner was convicted for discharging fuel and other petroleum hydrocarbon into a water well which can impair the quality of the water. He was fined $30,000 plus a victim surcharge with 6 months to pay .

The conviction stems from an incident that occurred in the spring of 2016.  On May 16, 2016, the homeowner of a cottage on Lake of Bays poured heating fuel oil down a neighbor’s well, damaging the quality of the water in the well. The incident was referred to the Environment Ministry’s investigations and Enforcement branch, resulted in charges and one conviction through a guilty plea.

Residential Property Owner fined $3,000 for Falsely Claiming Property was Remediated

In the winter, a homeowner in Guelph was convicted of failing to apply with two provincial officers orders issued under the environmental protection act (EPA) . The homeowner was fined $3,000 plus a victim fine surcharge of $750 and was given 15 days to pay the fine .

The violation occurred in 2013 when the homeowner bought a residential property in Guelph , which earlier had been contaminated with oil fuel from a historic spill at the property . In the December of 2014, the homeowner put the residence up for sale.  The Environment Ministry subsequently received a complaint that the house was up for sale but had not been adequately remediated.

During the course of its investigations, the Environment Ministry found the previous owner had claimed the property had been remediated but discovered that no remediation had been conducted.  An Order was issued by the Environment Ministry for all documentation related to any remediation at the property to be submitted.  Despite providing an extension on a submission date, the not information was provided to the Environment Ministry.

The incident was referred to the ministry’s Investigations and Enforcement Branch, resulting in charges and the conviction against the property owner.

Fine of $30,000 for Discharging Contaminants and Illegal Operation of Waste Disposal Site

In the winter, a business located in the County of Essex and its owner was convicted of three offences under the Environmental Protection Act( EPA) and was also fined $30,000 for discharging dust that cause and was likely to cause an adverse effect, and being deposited at a property that is not allowed nor an approved waste disposal site.

A business owner in Essex County accepted 189 truckloads of  construction waste in 2014 despite the fact that property was not approved as a waste disposal site.

In 2015, the business owner was operating a farm tractor to turn soil at the site. The operation resulted in the release of plumes of dust which adversely affected nearby residents and their properties . The incident was referred to the Environment Ministry’s Investigations Branch.

 

Mine fined $100,000 for not Monitoring Effluent

On August 20, 2018, Lupin Mines Incorporated was ordered in the Nunavut Court of Justice to pay $100,000 after pleading guilty to a violation under the Fisheries Act related to the Metal and Diamond Mining Effluent Regulations. Of the total penalty, $80,000 will be directed to the Environmental Damages Fund.

An investigation launched by Environment and Climate Change Canada enforcement officers revealed that Lupin Mines Incorporated did not carry out an environmental effects monitoring study within the prescribed period, contrary to the requirements of the Metal and Diamond Mining Effluent Regulations. Lupin Mines Incorporated has since completed the required study.

Owners and operators of mining companies are required by law to conduct environmental effects monitoring studies that examine the potential effects of their effluent (discharge) on fish populations and aquatic invertebrates.

As a result of this conviction, the company’s name will be added to the Environmental Offenders Registry.

Environment and Climate Change Canada is responsible for the administration and enforcement of the pollution prevention provisions of the Fisheries Act, which prohibit the deposit of deleterious substances into water frequented by fish. The Metal and Diamond Mining Effluent Regulations authorize the deposit of effluent, provided that conditions prescribed in the Regulations are observed.

Lupin Gold Mine, Nunavut

Environmental Fine for Violation of Canada’s Regulations related to Petroleum Products Storage

Mosquito Grizzly Bear’s Head and Lean Man First Nation and band administrator, Arnold Moosomin, were recently sentenced in the Provincial Court of Saskatchewan for failing to comply with an environmental protection compliance order issued by Enforcement Officers from Environment Canada and Climate Change (the Canadian equivalent of the U.S. EPA).

Mosquito First Nation is an Assiniboine Nation located in the Eagle Hills approximately 30 kilometres south of Battleford, Saskatchewan.  It is nearly 50,000 acres in size and has approximately 1000 members.

The Court fined the Mosquito Grizzly Bear’s Head and Lean Man First Nation $100,000 and Moosomin $5,000.  The funds will be directed to the Environmental Damages Fund.

The fine was the result failing to comply with an environmental protection compliance order following an inspection to ensure compliance with the Canadian Storage Tank Systems for Petroleum Products and Allied Petroleum Products Regulations.  These regulations establish technical standards for the design and installation of storage tank systems under federal jurisdiction and include requirements for operation, maintenance, removal, reporting and record-keeping.

Environmental Officers subsequently laid charges under the Canadian Environmental Protection Act, 1999 after it was determined that the First Nation and band administrator failed to comply with all of the terms of the order. The defendants were convicted following a trial.