Press Releases

11/19/2024

Attorney General Tong Announces $2 Million Settlement with Pike Fuels Over New Haven Environmental Violations

(Hartford, CT) – Attorney General William Tong today announced a $2 million settlement with Pike Fuels (formerly Gulf Oil) following numerous violations of Connecticut environmental protection laws at its New Haven petroleum distribution facility.

The settlement resolves allegations stemming from an investigation by the Department of Energy and Environmental Protection Agency dating back to 2019 that found a series of environmental violations, including years of falsified records, inaccurate emissions reporting, failure to conduct required equipment inspections, failure to report changes and repairs to their storage tanks, non-permitted construction of a new tank, and demolition without inspecting for asbestos-containing materials, among other violations.

Today’s settlement includes a $1.2 million civil penalty, in addition to $800,000 to support environmental remediation, mitigation and monitoring. Included in the remediation funding is $100,000 to support first responders in New Haven and $100,000 for environmental justice initiatives in New Haven.

“Gulf Oil ran a defective operation and falsified records to cover its tracks. This facility stores millions of gallons of petroleum products directly adjacent to Long Island Sound, one of our state’s most treasured natural resources. We take compliance at this facility very seriously. Today’s settlement exacts a substantial civil penalty, including direct support for environmental justice in New Haven and further environmental monitoring and enforcement statewide. We expect complete compliance with all environmental laws from fossil fuel companies in Connecticut. We will not hesitate to take aggressive action if we detect any future violations,” said Attorney General Tong.

"Connecticut’s residents and businesses rely on a healthy Long Island Sound and clean air to thrive,” DEEP Commissioner Katie Dykes said. “When Pike Fuels violated environmental laws at their New Haven facility, they released volatile organic compounds that threaten the public including increased respiratory issues, organ damage, and even greater cancer risk. This isn’t just a regulatory issue—it’s a direct threat to our health, livelihoods, and economy. DEEP won’t tolerate illegal practices that put profit over people and harm the resources we all depend on. Our commitment is to hold violators accountable to protect the health of our families, our environment, and our economy."

“The Port of New Haven and Long Island Sound are critical environmental and economic assets to our city and state, and those who have the privilege of doing business here must abide by our laws, regulations, and reporting requirements. In New Haven and in Connecticut, we expect you to be a good corporate citizen, and if you’re not we’re going to hold you accountable. This settlement sends a clear message to Gulf Oil and other actors that if you violate our environmental laws and standards, there will be a price to pay,” said New Haven Mayor Justin Elicker. “I want to thank Attorney General Tong, Commissioner Dykes, and their teams for their work on this matter and their ongoing commitment to protecting our residents, our workers and our natural resources.

From 1988 to 2024, Pike Fuels, doing business as Gulf Oil, ran a bulk petroleum storage and distribution facility at its New Haven terminal. The facility transfers petroleum products from delivery trucks and pipelines to large storage tanks, then transfers from those tanks to petroleum delivery trucks. In April 2024, Pike Fuels sold its New Haven terminal to Global Partners Limited.

Petroleum distribution facilities are a major source of volatile organic compounds and other hazardous air pollutants, and as a result they operate under a series of state and federal regulations. Gulf Oil was required to conduct monthly inspections of their equipment. A DEEP investigation of 21 months of required records found multiple instances of fabrication and falsification, including discrepancies and inconsistencies with alleged inspection dates, inspection observations, and operator signatures. The fabricated records were designed to provide false assurance that Pike tanks and other service equipment at the New Haven Terminal did not contain leaks.

In numerous instances, Gulf took tanks out of service for inspection, upgrades, and repair of defects, but never informed DEEP as required by law. During its work, Gulf removed several storage tanks without notifying DEEP and checking for asbestos-containing materials. Gulf further constructed a new 6.4-million-gallon tank without obtaining necessary permits.

Assistant Attorney General Dan Salton and Deputy Associate Attorney General Matthew Levine, Chief of the Environment Section assisted the Attorney General in this matter.

Twitter: @AGWilliamTong

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Media Contact:

Elizabeth Benton
elizabeth.benton@ct.gov

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