Environmental Protection Agency announced that Union Pacific Railroad Company will pay USD 1.5 million for six alleged oil spills in Colorado, Utah and Wyoming and for three alleged coal spills in Colorado.

The civil penalty is part of a settlement Union Pacific reached with the EPA for allegedly violating the Clean Water Act and the Oil Pollution Act. In 2003 and 2004, the EPA claims the company spilled oil and coal along railroad lines in all three states and committed other violations at 20 of its rail yards.

Mr Jim Martin, EPA regional administrator said that “Today we have secured a settlement that will help prevent spills, protect water quality, and improve the safety of Union Pacific’s operations in 20 communities across Colorado, Utah, and Wyoming. Union Pacific has already begun putting necessary measures in place and we will ensure they continue to do so.”

Union Pacific will deposit USD 1.4 million into the Oil Spill Liability Trust Fund, which is used by federal agencies to respond to oil spills. The remaining USD 100,000 will be paid to the US Treasury for the coal spills and stormwater violations.

The settlement also requires Union Pacific to develop a management and reporting system to ensure compliance with the EPA’s Spill Prevention, Control, and Countermeasure rules, Facility Response Plan regulations, and storm water requirements in all three states.

An EPA press release said that “This settlement will benefit many communities in Colorado, Utah, and Wyoming, many of which are disadvantaged, by requiring Union Pacific to install secondary containment to safely store oil and prevent oil spills from leaving its properties. Union Pacific must take further actions to control stormwater runoff at the Burnham Rail Yard in Denver, which are anticipated to prevent the discharge of approximately 2,500 pounds of chemical oxygen demand, 50 pounds of nitrate, 11,000 pounds of total suspended solids, and 30 pounds of zinc annually to waters in the Denver area.”