State, federal agencies may seek damages from PPL
Posted on: Friday, 14 October 2005, 13:08 CDT
NEW YORK (Reuters) - Power company PPL Corp. on Friday said several state and federal agencies are considering environmental damage claims due to a leak at a Pennsylvania power plant.
The company also cut its estimate for reported earnings in 2005 due to a third-quarter charge from clean-up operations from the leak.
In August, about 100 million gallons of ash and water poured out of an ash basin at its Martins Creek power plant into the Delaware River and on to surrounding roadways and fields.
PPL said in a regulatory filing that the leak has been stopped and it is working on the removal of ash from the river.
It received a Notice of Violation from the Pennsylvania Department of Environmental Protection (DEP) in September, and the company said the DEP is considering various information to determine the penalty.
The Commonwealth of Pennsylvania, the State of New Jersey, the U.S. Fish and Wildlife Service and the National Oceanic and Atmospheric Administration have also indicated that they are considering natural resource damage claims against the company, PPL said.
It may also face lawsuits from the Delaware Riverkeeper Network and the Delaware Riverside Conservancy.
The company said it was still working with the Pennsylvania DEP to assess the extent of the environmental damage from the spill, but said independent analysts hired by PPL have found drinking water in the area to be safe and no short-term damage to aquatic life in the river.
PPL said it could not predict the final cost of legal and regulatory actions against the company. The company said it now expects reported earnings in the range of $1.73 to $1.83 per share in 2005 as a result of the $33 million charge for expected costs relating to the Martins Creek leak.
PPL said that it is maintaining its 2005 and 2006 earnings forecasts from ongoing operations. It expects earnings of $2 to $2.10 per share this year and $2.15 to $2.25 in 2006.
Analysts currently expect earnings in 2005 of $2.06 in 2005 and $2.24 in 2006, according to Reuters Estimates.
Source: REUTERS
Related Articles
- PennFuture Launches Campaign to Give Pennsylvania's Families and Businesses Powerful Tools to Save on Electricity Bills
- Allegheny Energy Completes Pleasants Power Station Environmental Project
- Energy Efficiency Experts Predict Staying Power for Environmental Awareness
- Pennsylvania Receives National Green Power Leadership Award
- PPL Signs Agreement to Purchase Additional Wind Power
- Pennsylvania Governor Rendell Invests $2.7 Million for Environmental Improvements
- Oil plant leak damages third of Lebanon's coast-IMO
- Pennsylvania Governor's Proposed Budget for DEP Keeps State Growing Greener, Thriving Economically
- Shell Petroleum Pays for Gas Leak Damage in Metro Manila
- Pennsylvania DCNR Seeking Student Applicants for Environmental Careers Camps
 |
 |
User Comments (0)
RSS Feeds