Pecuniary Penalties Claims Examples

Manufacturing Industry - Chemical Spill

Breaches Involved

Section 120(1) Protection of the Environment Operations Act 1997 (NSW)

 

Case Details

A tile manufacturer used a chemical substance to treat roofing tiles which it manufactured and sold. The spraying system operated directly from a 30,000 litre bulk storage tank located within a bunded area within the manufacturer's premises.

Following a blockage, the tank was emptied and cleaned. In the meantime, on a temporary basis, spraying continued from a 1,000 litre container located outside of the bunded area. When the bulk storage tank was clean, the spray apparatus was reconnected to it and spraying continued in the usual course. However the operators inadvertently left the return line attached to the temporary container which began to overflow. Unbeknown to the manufacturer at the time a significant volume of the chemical escaped into the nearby Parramatta river.

Clean up costs exceeded $80,000 including costs incurred by Sydney Ferries.

 

Resulting Penalties

»  The manufacturer was fined $280,000 following a discount of 20% for the company's guilty plea, mitigating factors and     publicity. In addition the company was ordered to pay clean up costs of $80,000 and legal costs of $75,000.

 

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