CUC did not obtain federal permits for rented engines

The U.S. Environmental Projection Agency is looking into whether the Commonwealth Utilities Corp. failed to follow regulations by not obtaining an air quality permit before installing the emergency Aggreko generators.

Dean Higuchi, spokesman for EPA’s Hawaii and Pacific region, said the agency is still gathering information because they were not aware of the situation until last week. EPA is working with CUC and the CNMI government to try to come to a resolution, he said.

“We’re trying to speed it up. We’re trying to get information as quick[ly] as possible,” he said. “Energy is crucial to not only lights but to infrastructure,” he said, adding that the CNMI is experiencing a unique situation.

Gov. Benigno Fitial’s declaration of a state of disaster emergency for CUC suspended local environmental regulations but not federal, Reina Camacho, spokeswoman for the Division of Environmental Quality, said yesterday.

“CUC, as a major source generator, is required to submit an application to DEQ prior to commencing activities. However, the governor’s declaration of emergency allows for the exemption of local regulations,” she said in a statement. “EPA can choose to exercise its authority to require CUC to submit for a permit.”

Camacho said DEQ has been in contact with CUC, explaining the requirements for a permit and the need for a compliance plan.

In yesterday’s declaration of a state of disaster emergency, Fitial said CUC desires to comply with environmental and land regulations, but “fears that the lack of permits or permitting process would postpone or eliminate” uninterrupted service. He has directed CUC within 30 days to provide him in writing its plan for compliance and a copy of each agency’s permits or an explanation why compliance has not been met and how it will be met.

Higuchi said he would not speculate at this time about what would happen if it were determined federal regulations were not followed.

The agency wants to work with CUC and the CNMI to see if they need anything from EPA, Higuchi added.

CUC executive director Antonio Muña referred questions to DEQ.

Charles Reyes, press secretary for the Governor’s Office, said he would have to discuss the situation with the administration’s lawyers, because Muña was dealing with regulations.

“Whatever regulations are required, we will eventually work toward compliance,” he said. “We don’t want to be stuck until all the ‘i’s are dotted and all the ‘t’s crossed because, if that’s the case, we would be back on a daily outage schedule and that’s unreasonable.”

“If [the emergency declaration] does not trump federal law, we will have to look toward complying with EPA,” he added.

Reyes said he hopes EPA will work with CUC and the government to reach a solution that will allow the CNMI to maintain 24-hour power.

“They could come in and shut us down and issue an order and we’ll be back in the dark,” he said. “I don’t know if they’ll want to do that. Hopefully they would want to work with us and our limited resources.”