December 21, 2000: Cinergy Settles NSR Lawsuit with Justice Department

Cinergy Corp., a Cincinnati-based electric utility, agrees to settle a Justice Department lawsuit (see November 3, 1999) over its alleged violation of the New Source Review section of the Clean Air Act. As part of the agreement, Cinergy will spend $1.4 billion to install state-of-the-art pollution controls at 10 coal-fired power plants in Ohio, Indiana, and Kentucky. It is estimated that the plant upgrades will reduce the company’s annual sulfur dioxide and nitrogen oxide emissions by 400,000 tons and 100,000 tons, respectively. The company also agrees to pay an $8.5 million fine and complete $21 million in environmental projects. [Cinergy Corp., 12/21/2000; Environmental Protection Agency, 12/21/2000; Associated Press, 12/21/2000]