Oil companies are often the focus of reports about environmental accidents. The size of major oil spills has lead to them being highly publicized in the media. An oil spill can have an effect not only in the immediate waters or on land surrounding the spill but can reach hundreds of miles and dozens of communities. The level of damage oil companies are capable of causing to the environment if they do not follow a strict regimen of safety standards and regulations has prompted the Environmental Protection Agency or EPA to take action against companies who do not adhere to their policies.

The Clean Water Act is enforced by the Environmental Protection Agency to help regulate and prosecute American companies who have the potential to pollute the water sources near their factories, plants, and construction sites. One recent report on the EPA’s website revealed the details of a settlement that was reached with a Maine oil company. Fabian Oil, Inc. The company has several facilities that process gasoline, oil used for heating and a long list of petroleum based products. Inspections at three of Fabian Oil Inc’s plants in Maine revealed that the company had not implemented or properly maintained the plans and equipment required to meet the Spill Prevention Control and Countermeasure guidelines imposed by the EPA. The lack of preparation on the part of the company could have produced catastrophic environmental damage if an accident had occurred at any of the three facilities. The number one goal of the EPA’s Clean Water Act regulations is to give companies a guideline and standards to follow to help prevent unnecessary corporate pollution. Failure to perform regular tank inspections at oil plants like the one named in the recent settlement can lead to failures and spills that allow oil and other contaminants to seep into rivers, streams or groundwater sources. Contaminations like these can have major environmental and human health consequences.

Fabian Oil, Inc. has agreed to a fine of fifty thousand dollars to settle the claim made against them by the EPA. In addition to the fine the company has already begun updating the equipment and emergency plans at all three facilities. Some of the improvements being made include regular tank testing to ensure proper containment of the oil, installing new spill control sensors and indicator systems, installing concrete loading pads to contain possible leakage during the filing of trucks that transport the oil.

If Fabian Oil, Inc had made the initial investment in their safety equipment and emergency planning procedures they would have saved themselves the fifty thousand dollar fine. The EPA’s number one goal is to encourage companies to invest in their infrastructure and make environmentally responsible decisions. The Environmental Protection Agency hopes that by imposing fines in addition to requiring companies to fix their businesses environmental shortcomings, companies will be encouraged to independently improve their facilities in order to avoid the fines. While, some companies are still following the old business model of putting off improvements until they are caught and then dealing with the consequences, others are taking a more responsible approach and are improving their facilities to prevent environmental damage.

Find out more about managing Environmental Insurance Liability issues and how Beacon Hill Associates can help you.

Find out more about managing Environmental Insurance Liability issues http://www.b-h-a.com and how Beacon Hill Associates can help you http://www.b-h-a.com/Home.aspx.

Author Bio: Find out more about managing Environmental Insurance Liability issues and how Beacon Hill Associates can help you.

Category: Advice
Keywords: Environment, Business, Industry, Insurance, Oil