A U.S. District Court has mandated Michigan’s DTE Energy to pay a $100 million penalty for ongoing air pollution violations linked to its subsidiary, EES Coke Battery, located on Zug Island. In addition to the financial penalty, the court has instructed DTE to establish a Community Quality Action Committee and allocate $20 million toward community air quality improvement initiatives.
U.S. District Judge Gershwin Drain’s ruling on February 17 marks a significant development in environmental justice, particularly for residents in Detroit. The judge emphasized the need for DTE to adhere to stricter “new source review” air pollution permitting guidelines to rectify its non-compliance with the federal Clean Air Act.
Nicholas Leonard, executive director of the Great Lakes Environmental Law Center, expressed optimism about the ruling, highlighting it as a positive turn toward environmental accountability. DTE’s operations at the EES Coke Battery involve heating coal in an oxygen-free atmosphere to produce coke, a critical component in steelmaking. However, this process has positioned EES Coke Battery as one of Michigan’s largest sulfur dioxide emitters, releasing approximately 3,600 tons of the pollutant into the atmosphere in 2021, as confirmed by the EPA.
The trouble for DTE escalated following a notice of violation issued by the U.S. Environmental Protection Agency in 2020. Subsequently, a lawsuit by the U.S. Justice Department revealed that EES Coke Battery failed to adhere to Clean Air Act standards regarding pollution control and permitting requirements after a major modification of its operations.
In previous court proceedings, a ruling found EES Coke Battery liable for Clean Air Act violations, and a bench trial later determined that DTE was also effectively operating the facility, making them responsible for compliance. The imposed civil penalty was calculated based on evidence indicating DTE benefitted financially by approximately $70 million by delaying compliance costs, a factor the judge heightened to enhance deterrence against future violations.
Theresa Landrum, a resident and environmental justice advocate, called the ruling a “monumental victory,” expressing hope that accountability measures will yield significant changes in air quality for her community. The committee formed will primarily consist of local residents and environmental group representatives, focusing on health and quality improvements in heavily industrialized areas like Ecorse, River Rouge, and the polluted 48217 ZIP code.
While acknowledging the court’s judgment, DTE expressed disappointment and warned of potential adverse impacts on the U.S. steel industry. The corporation remains steadfast in planning an appeal, asserting commitment to compliance under its original state permit.
This ruling presents a rare win for communities affected by industrial pollution, emphasizing the importance of corporate responsibility in maintaining air quality standards critical for public health. It also showcases the power of community advocacy in driving change and ensuring accountability from major corporations.