In a settlement with the US, Minnesota Power, an Allete company based in Duluth, has agreed to pay about $5.6 million, install pollution control technology and meet stringent emission rates to reduce air pollution from the company’s three coal-fired power plants located in Cohasset, Hoyt Lakes and Schroeder, Minn.
The settlement will resolve claims that the company violated the New Source Review provisions of the Clean Air Act by unlawfully constructing major modifications at its plants without obtaining required permits and installing and operating the best available air pollution control technology.
The EPA expects that the actions required by the settlement will reduce harmful emissions by more than 13,350 tons per year, which includes approximately 8,500 tons per year of sulfur dioxide. The company estimates that it will spend more than $500 million to implement the required measures.
The settlement also requires that the company pay a civil penalty of $1.4 million to resolve Clean Air Act violations and spend at least $4.2 million on environmental projects to benefit local communities. The state of Minnesota is co-plaintiff to the settlement and will receive $200,000 of the penalty.