Southern Counties Oil Co. Settlement
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Southern Counties Oil Co. Case Settles for $25,500
Southern Counties Oil Company is a wholesale fuel supplier in the western United States, and is obligated to report transportation fuel volumes supplied to California each year. The company reported late for the year 2011, in violation of the Regulation for the Mandatory Reporting of Greenhouse Gas Emissions, California Code of Regulations, title 17, section 95100 et seq. Such reports allow emissions from that fuel to be fully accounted for in ARB’s emissions inventory and under the Cap-and-Trade Regulation. 2011 was the first year for which Southern Counties Oil Company was required to report, and it will not have any obligations under the Cap-and-Trade Regulation until 2015.
In light of the important role reporting plays under the overall efforts to reduce greenhouse gas emissions, the Air Resources Board is vigorously enforcing such regulations. Because Southern Counties Oil Company corrected its omission promptly and fully cooperated with ARB’s investigation, the parties compromised for a penalty well below the possible maximum of $10,000 per day. The company agreed to pay a penalty of $25,500 to resolve this matter.