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Suncor’s Colorado refinery records more malfunctions than comparable facilities, EPA study finds

Suncor Energy’s oil refinery in Commerce City experiences more malfunctions that release toxic chemicals into the air than other similarly sized plants in the United States, the Environmental Protection Agency found in a report released Friday.

Inadequacies in preventative maintenance, testing and inspections of various control systems and electrical equipment lead to excessive amounts of sulfur dioxide and hydrogen sulfide being released into the air, the EPA found.

The refinery was compared to 11 other plants with the same production capacity and that also are operating under a consent decree with the EPA, the report said.

The report will be used by the EPA and the Colorado Department of Public Health and Environment during inspections so regulators can target specific equipment at the refinery, said KC Becker, the EPA’s Region 8 director. The report also will be considered in permit updates and enforcement actions at the plant.

“This isn’t just a paper exercise,” Becker said during a Friday morning news briefing. “It’s a step toward improving Suncor’s compliance and its operational performance and reducing incidents leading to air emissions that can harm nearby communities.”

Loa Esquilin Garcia, a Suncor spokeswoman, said Friday that the company had not yet received the EPA’s report and would not be able to comment until management had studied it.

EPA officials launched the analysis last year after discussing Suncor’s emissions with regulators from the Colorado health department, said Scott Patefeld, who works in the EPA’s compliance and enforcement division. The question came up as to whether Suncor reported more violations than its peers, so the EPA used American Recovery Act funds to commission a study.

The goal was to figure out where Suncor ranks and determine what other refinery operators might be doing differently. Suncor operates the only refinery in Colorado, processing about 98,000 barrels of crude oil a day at three plants on the property north of Denver.

The analysis looked at the frequency of air pollution incidents at the Suncor refinery, comparing upsets, malfunctions and excess air emissions at Suncor to incidents at the 11 other refineries.

Between 2016 and 2020, Suncor had the most tail gas incidents that caused releases of excess sulfur dioxide. The refinery had 20 incidents in a five-year period. A Phillips 66 refinery in Amarillo, Texas, was second with 13 violations.

The refinery ranked second in the number of acid gas incidents releasing hydrogen sulfide gas, with 10 incidents in a five-year period. The HollyFrontier refinery in El Dorado, Kansas, ranked first with 15 violations.

And Suncor was seventh in the number of hydrocarbon flaring incidents, the report found.

The state is evaluating its authority to require Suncor to make changes at the facility to prevent malfunctions and intends to establish a new refinery expert position within the public health agency to help improve operations and accountability at the Commerce City refinery, according to the EPA’s news release.

Suncor has received intense criticism from residents living near the refinery. Those people, who are predominantly Latino and other people of color, for years have complained about breathing problems and other health issues caused by Suncor’s pollution. Their complaints have put pressure on the state to bring Suncor into compliance with federal air pollution standards.

“This important analysis provides vital information to protect clean air for all Coloradans, no matter where they live,” Colorado Director of Environmental Health and Protection Trisha Oeth said in the news release. “We anticipate the findings will result in direct actions for Suncor to make improvements.”

Suncor operates under two consent decrees with the EPA, leading to more oversight than refineries that do not. Those consent decrees outdate Suncor’s ownership, though. One was placed on the refinery in 2002 when it was owned by Conoco, and one was put in place in 2005 under Valero’s ownership.

In 2020, Suncor reached a $9 million settlement agreement with Colorado after it violated the air pollution standards allowed under its federal operating permit. At the time, Suncor was in trouble for excessive releases of volatile organic compounds, sulfur dioxide, hydrogen sulfide, hydrogen cyanide and other toxins.

It was the largest settlement in state history over air quality violations.

That investigation found underlying problems related to poor communication, unclear delineation of responsibilities and insufficient processes and resources to prevent issues from becoming more severe.

But Suncor has continued to experience air permit violations and regulators want to understand why, Becker said.

In late December, Suncor’s entire refinery was shut down for three months after a deep freeze caused a breakdown of equipment. That incident led to excessive air pollution emissions from smokestacks and a benzene leak that polluted Sand Creek.

The EPA’s new report did not specifically address that December closure, but it did cite a 2019 analysis in which Suncor said it was going to meet with Xcel Energy to discuss power interruptions. The company did not produce a follow-up report or detail what further actions were taken to prevent power interruptions.

“Other refineries in EPA Region 8 have addressed electrical supply issues in the past, including weather-related electrical supply interruptions,” the report said.

The refinery in April again exceeded air pollution levels allowed under its permit, releasing high amounts of sulfur dioxide into the air.

EPA officials on Friday said they would not discuss ongoing investigations or enforcement actions against Suncor.

Earlier this week, Suncor finished a $100 million maintenance project at its Plant 2, which refines crude oil into gasoline and other fuels. The company said the maintenance project was scheduled as a routine upgrade that would reduce air emissions. The company announced on Wednesday that it would restart the plant.

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