SACRAMENTO, Calif. – Chevron Corp. paid a six-figure fine to the California Air Resources Board (CARB) this week for violating the state's reformulated gasoline regulations.
The fine--totaling $329,700--relates to two cases when Chevron supplied over-oxygenated gasoline that violated state regulations at its terminals in Montebello and Richmond, Calif. The self-disclosed violations involved 4.4 million gallons of gasoline with an oxygenate volume of 11%, exceeding the 10% standard.
While oxygenates are added to gasoline to help cut carbon monoxide and soot that forms when the fuel burns, the overall content must stay within a specific range; otherwise, excess oxygen can make the vehicle engine produce excess nitrogen oxide emissions, which is a key component of smog.
Bakersfield and the San Joaquin Valley, which sit between the two Chevron terminals, deal with some of the highest smog levels in the country, reported Examiner.com.
Chevron supplied around 3.75 million gallons of fuel that exceeded the oxygenate standard for 48 days in 2010 at its Montebello terminal, and 660,000 gallons for four days in 2011 at the Richmond terminal. The refiner determined that an equipment malfunction was responsible for the blending mishaps and corrected the issues.
Most of the $329,700 in penalties will go to the California Air Pollution Control Fund. More than $82,000 will go to the Statewide School Bus & Diesel Emission Reduction Supplemental Environmental Project (SEP), which retrofits or replaces outdated diesel school buses in operation throughout the state.
San Ramon, Calif.-based Chevron is one of the world's leading integrated energy companies. It explores for, produces and transports crude oil and natural gas; refines, markets and distributes transportation fuels and lubricants; manufactures and sells petrochemical products; generates power and produces geothermal energy; and develops the energy resources of the future, including biofuels.
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