Judge Asked to Approve $1.5 Million Settlement Over Air Pollution at Arkansas Paper Mill

The U.S. Department of Justice, the Environmental Protection Agency (EPA) and the Arkansas Division of Environmental Quality (DEQ) have asked a federal judge to approve a proposed settlement requiring Domtar's A.W. paper mill in Ashdown, Arkansas, to pay $1.5 million for alleged violations of the federal Clean Air Act.

The proposed consent decree follows a 2019 inspection by the EPA and DEQ at the kraft paper mill, which has operated since 1968 and has produced fluff pulp used in products such as diapers since 2016. The facility employs around 580 people.

According to the legal complaint, inspectors observed visible emissions from the mill's brown stock washer system during the inspection, while hydrogen sulfide monitors worn by the inspection team were activated. Regulators also alleged that the mill failed to conduct required inspections and monitoring to identify equipment leaks, resulting in an undetected leaking valve that emitted unlawful levels of pollutants.

The Department of Justice said that because proper monitoring and performance testing were not conducted, the full extent of hazardous air pollutant emissions from the facility remains unknown.

Court filings state that the mill is permitted to emit, or has the potential to emit, hazardous air pollutants including volatile organic compounds, methanol and chlorinated compounds such as chlorine dioxide and hydrochloric acid.

Under the proposed settlement, Domtar would be required to repair equipment, strengthen leak detection and monitoring procedures, and retain an independent third party to review and revise its existing leak detection programme. The agreement would remain in effect until the company has maintained compliance with its requirements for two consecutive years.

The public comment period on the proposed settlement will remain open for 30 days. If approved by the court, the consent decree will take effect immediately.

DEQ spokesperson Melony Martinez described the agreement as "an important step for improving air quality and protecting the environment" but declined to comment on whether the underlying issues had already been resolved.

Adam Gustafson, Deputy Assistant Attorney General leading the Department of Justice's Energy and Natural Resources Division, said the agreement demonstrates that Domtar is taking steps to resolve its Clean Air Act violations by improving pollution controls and monitoring for leaks.

The proposed $1.5 million penalty, half of which would be allocated to the Arkansas DEQ, is substantially larger than most recent air permit enforcement penalties imposed on facilities in Arkansas.