U.S. Engine Maker Facing Largest Clean Air Act Penalty Ever Over Emissions Test Cheating Accusations
U.S. engine manufacturer Cummins Inc. is facing the largest civil penalty ever issued under the Clean Air Act for allegations that it used software to cheat on emissions tests. The company is expected to pay a penalty of approximately $14.5 million.
The Environmental Protection Agency (EPA) found that Cummins used software to defeat emissions standards set by the agency. The software was installed in heavy-duty diesel engines shipped in model years 2010 to 2015. According to the EPA, the use of these software features enabled the engines to produce much lower emissions results during tests than actual.
In a statement, EPA Acting Administrator Andrew Wheeler said, “The civil penalty announced today sends a clear and strong message that EPA and other federal agencies will pursue those who attempt to cheat emissions testing and fail to meet their obligations under the Clean Air Act.”
The U.S. Department of Justice (DOJ) is also part of the enforcement action against Cummins, as the company reportedly misled the EPA when the agency questioned the engines’ emissions standards. According to the DOJ, Cummins made false statements to the EPA in an attempt to cover up its cheating. Cummins will also pay a criminal fine of $2.7 million and forfeit $6.3 million as part of the settlement.
The settlement resolves the government’s environmental claims, as well as potential civil penalties and forfeiture of profits against Cummins. According to the EPA, this is the highest ever civil penalty for violations of the Clean Air Act. U.S. Attorney Andrew E. Lelling said that Cummins’ actions and the subsequent penalty send an important message that “American companies must be honest and transparent in their dealings with the EPA and in compliance with the law.”
The settlement also requires Cummins to adopt rigorous emissions-compliance procedures and to implement a state-of-the-art Corporate Compliance Program. The company must also take other steps to ensure compliance with applicable emissions regulations.
Through this penalty, the EPA and DOJ are aiming to deter similar violations. It is expected that Cummins will take all necessary measures to adhere to the Clean Air Act and other related standards in the future.
