Wednesday, August 11, 2010

Environmental group threatens Enbridge with $100 million lawsuit

Enbridge Inc. could be headed to court over its pipeline oil spill in Michigan and face millions of dollars in fines if it's found to have violated a federal law, warns an environmental group that's threatening to sue.
The Great Lakes Environmental Law Center, a Michigan-based group, has issued a notice of intent to file a citizen suit against the Calgary-based company. The group says it will sue for violations of the U.S. Clean Water Act resulting from the burst pipeline that has spilled as much as a million gallons of dilbit (diluted bitumen) into Talmadge Creek and the Kalamazoo River.
On its blog, the group says the legal action will "help insure that Enbridge is held accountable for their violations of the Clean Water Act."
In a letter to the company on Aug. 2, the group also states that based on
the estimated size of the spill, "Enbridge could face fines of over $26 million."
"And if Enbridge is found to be grossly negligent in its maintenance and operation of the pipeline (especially in light of the numerous warnings issued by federal regulators regarding corrosion of the pipeline), the company could face $100 million in fines," the law center said.
The Clean Water Act requires a formal 60-day notice prior to commencement of a citizen suit.

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