DDL faces $1.6m fine over fuel spill

DDL’s Distillery at Diamond, East Bank Demerara
DDL’s Distillery at Diamond, East Bank Demerara

With over 30,000 liters of Bunker C fuel having spilled into the environment, Demerara Distillers Limited (DDL) is facing a $1.6 million dollar fine and will foot the cost of the Environmental Protection Agency (EPA) environmental impact assessment, Executive Director of the EPA, Vincent Adams told Stabroek News yesterday.

Following the spill on April 26,  the company halted operations at the rum distillery at Diamond and the EPA has informed that they will not be able to re-start operations until they meet conditions set out by the oversight body.

Adams told Stabroek News that the EPA believes the incident could have been avoided had the company had strict operating procedures.

During the investigation it was discovered that the company was filling up one of its tanks which overflowed into a secondary containment area and flowed further into the drains and canals.

“It is almost identical to what happened at Troy Resources and the incident was totally avoidable… They were transferring Bunker C fuel and while they were filling the tank it overflowed into the secondary containment area and that flowed…into an internal drainage, flowed outside into the canal which has a thick oil layer flowing into the Demerara River and also into a drain along the East Bank road,” Adams explained.

It was also found that fuel spilled from a makeshift valve.

Yesterday, spokesman for DDL, Alex Graham, acknowledged that the distillery has been closed and an internal investigation is continuing. He noted that the investigations were hampered as they were unable to contact the employee who was on duty at the time.

Following the spill, DDL embarked on a cleanup by throwing sand on the affected areas.

According to Adams, the company has to pay a sum of $1,850, 000 to cover the cost of the investigation.

This is provided for in the EPA Act, he said while explaining “the developers who caused these incidents should bear the cost of whatever cost it is for the investigation, there is a provision in EPA Act that says they have to cover the cost of all investigation. So we have placed them on a bond which they have to deposit [$1,850, 000] the estimated cost for doing the investigation and time we are spending.”

In a letter dated April 30, 2020, Adams said the EPA detailed to the company, nine conditions under which they will be allowed to recommence production.

These conditions require the company to mop up the spill from internal and external drains, canals and passageways and have them functioning again.

It will also have to carry out a cleanup and conduct maintenance activities on the entire plant and submit a detailed map illustrating the network for pipes, drains and pathways for the process, waste and storm water for the entire plant.

Adams expressed disappointment at the company for failing to implement and adopt strict environmental practices.

“This here is intolerable, we cannot continue to operate like this these people brag about making all this money and breaking records last year and it appears production is a higher priority than protection of the health, safety and environment something which the EPA will not tolerate. The protection of health safety and environment over production must be highest priority of all operators.”

The EPA Director added “We are disappointed because this the second accident of this nature within the last year. We did not fine them the first time because they were very cooperative and we thought they were working diligently to not let these sorts of things happen again. I have been using them as the gold standard example as to what other companies must to do. We thought they would have been much further along but we are really gonna have to place much closer attention to their progress to make sure they will have everything in place for health and safety of the environment…”