$4.2 million settlement proposed in connection with 2019 fire in Philadelphia

The federal government settled its final Clean Air Act (CAA) claim against Philadelphia Energy Solutions Refining and Marketing, LLC (PES) on Tuesday afternoon, the U.S. Environmental Protection Agency announced.

The claim was in connection with the 2019 explosion and fire at a refinery in South Philadelphia with a proposed $4.2 million settlement.

Fire broke out at the refinery complex on the 3100 block of Passyunk Avenue and reached three alarms on June 21, 2019.

According to the release, the EPA alleges that PES violated CAA section 112(r) , which requires facility owners and operators to ensure that regulations are followed and that other extremely hazardous substances are managed safely.

The EPA said there are at least three previous settlements with PES from 2020 — "one regarding CAA Renewable Fuel Standards, one for compliance issues related to a prior CAA Consent Decree, and the other for recovery of EPA costs related to the refinery's explosion and fire under the Comprehensive Environmental Response, Compensation, and Liability Act."

The release said, "According to EPA, the company violated these requirements by, among other things, failing to ensure that its refining operations, particularly the hydrofluoric acid unit, were designed, built, and operated in accordance with recognized and generally accepted good engineering practices."

Federal investigators with the U.S. Chemical Safety Board determined in 2019 that a single corroded elbow pipe failed, leading to the disaster. Sixteen seconds after 4 a.m. on June 21, 2019, the elbow valve ruptured, releasing flammable fluid containing hydrofluoric acid, which hugged the ground.

The proposed settlement in which PES did not admit liability will have a 30-day public notice and comment period and require final court approval, according to the release.

"The former refinery no longer stands or operates at the South Philadelphia location," the release said. "The current owners intend to use the property as a warehouse distribution center."